CVRx, Inc. (NASDAQ:CVRX) Q4 2022 Earnings Call Transcript

Nadim Yared: Alex, it’s Nadim. It’s all of the above, first we’re really not in Europe, I’ll put in Germany in a couple of other countries. In regards to Germany, we have a ZE code from a reimbursement perspective. ZE code is kind of the middle layer, it’s not as low as new as it’s not as good as DRG. Once the constraints about ZE code is that, that the profit that has to pretty significant burden procedures at the beginning of the year with their payers. But even if they pre-negotiated it, they could do the procedure, and they can still be paying after by an entity called the MDS that is made up medical auditors with common eyesight. And that kind of of engaging in procedures that are not yet at GRG or are not yet in the guidelines.

And if we are neither. And because of this, we are not currently in Germany right now waiting until we have more data and do more advocacy and education in regards to getting in the guidelines in Europe. It’s a chicken and egg, to get a DRG, we need a certain number of units per year. It goes about 1,500 procedures, we have a device that’s a high price, low number of units, as I’ve mentioned earlier in quarters. And because of that, it’s harder to get 1.500 units in Germany to get into that DRG examination mode. all of the above that we have not yet decided to invest heavily in Europe. Just in the comparison, we have more in our markets we have our entire team in Europe right now. It takes from an education perspective, physician education, patient education, and direct-to-consumer marketing, the physician directed marketing team and so forth.

It’s a large effort that we resources right now to duplicate that just for Germany, in Germany. And we don’t have the volume to decide being able to do it. And again, it’s a chicken and egg have to decide to do it and break that loop. But right now, our focus is in the U.S. Have I answered the question, Alex?

Alex Nowak: Yes, you have. That makes total sense. Really appreciate the update. Thank you.

Nadim Yared: Thank you so much. And

Operator: Thank you.

Nadim Yared: Go ahead, operator.

Operator: I’m showing no further questions in the queue at this time. I would like to turn the call back over to you, Mr. Nadim Yared for any closing remarks.

Nadim Yared: Excellent. Thank you so much, operator, and thanks everyone again for joining us for our fourth quarter earnings call. We appreciate and we look forward to updating you on our progress during our next update. Good night.

Operator: Thank you all for participating. This concludes today’s program. You may now disconnect.