Axonics, Inc. (NASDAQ:AXNX) Q3 2023 Earnings Call Transcript

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Obviously, it’s easier to get somebody who’s doing 12 to turn that into 20 than it is to take somebody who’s doing 60 and turn it into 80 or 90, right? So we’re aware of that. But we are looking to move the dabblers into the middle category and we are looking obviously to maximize what we can out of high-volume accounts. The key thing for us is to bring some more of those high-volume accounts to Axonics. And if they were a high-volume account, we came into the market. Clearly, our competitor kind of withdrew their forces, if you may and surrounded the castle to try to keep us out of the bigger high-volume accounts. Now we’ve been able to penetrate quite a few of them. But Bulkamid has been the key for us to get into those castles and to get people using Bulkamid and then to play the longer game with them with respect to giving us an opportunity on sacral neuromodulation.

So your question was implying or asking whether or not Bulkamid is helping us to gain share and to gain the business from a sacral neuromodulation standpoint. And the answer is absolutely without a doubt, no question. We would not be where we are today if we had not made that strategic acquisition and had that product in our line and you’re right, it does clearly separate us from Medtronic, who has no other business in urology other than sacral neuromodulation. So now the good news is that we only have about half of our Bulkamid customers that are doing sacral neuromodulation with Axonics. A bunch of them are doing it with our competitor and some are just doing BOTOX. So we’re continuing to work on that. There’s a lot of cross-selling initiatives that we’re doing as a company as you would imagine.

And it’s all moving in the right direction. I just think it’s just going to take a little more time. It’s difficult to displace a competitor who have had a monopoly for 25 years, right? I mean — and we’ve talked about the legacy associated with that. So — but we’re moving in the right direction. And I think that the word’s out, right? When it comes to sacral neuromodulation, we got the goods. Patients do really, really well with our products. They get great support from our team and so on and so forth. And Bulkamid works like a charm. And it is clearly much easier for a woman who has stress urinary incontinence to say yes to Bulkamid than to a sling procedure as an example. So hopefully, that gave you a pretty open-end answer, Anthony, to your question.

Operator: The next question comes from Kallum Titchmarsh with Morgan Stanley.

Kallum Titchmarsh: Just on the DTC campaign, some interesting comments there. I’m wondering whether there’s been certain respondent demographics or populations that have surprised you. Anything that’s varied from a typical patient type you’ve seen receive an SNM treatment across the years? I mean given the goal of these campaigns is the spread awareness, I wanted to see whether you’ve seen anything different in patient mix since commencing the ads?

Raymond Cohen: Thank you for the question. I wouldn’t say that there’s anything different about the people responding from — to DTC from the actual patient demographics of who we’re actually implanting. I would say it’s pretty consistent. I think the only difference is that we have more men responding to DTC than actually we have as percentages of our customers that get an implant. As it turns out maybe 25% of the people inquiring are men but in terms of actual implants, it’s less than 15% or somewhere around that number. So that would be the only thing I’d call out. I think it’s going to be really interesting now starting this month actually. We will have the first bowel dysfunction or fecal incontinence commercial that will be running with a gentleman who is a patient who talks about him having had both urinary and fecal incontinence and how Axonics has — Axonics’ therapy has really changed his life.

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