Mitch Hill: I’m sorry. 15% to 20% of the VTE procedures are complex in nature, meaning that the physicians would benefit from using both the ClotTriever family of products as well as the aspiration tools that are a part of the FlowTriever family. So this idea of bundling together all of the products in kind of a larger toolkit is something that they really love.
Operator: The next question comes from Adam Maeder with Piper Sandler. Please go ahead.
Adam Maeder: Hi, good afternoon. Thank you for taking the questions here. I wanted to start on Artix. I believe you were previously targeting a mid-2024 relaunch. I just wanted to see if that still holds or if that’s kind of shaping up to be a little bit later in 2024 and what’s needed, I guess, from a clinical regulatory standpoint to get that product launched again in the States and then a follow-up. Thank you.
Tom Tu: Adam, this is Tom. Thanks for the question. We’re really excited about Artix. As you know, we’ve been in the market with the first generation product. We’re really happy to see a pristine safety profile, excellent efficacy, which really offers a better option for patients who, in this mature market, really have had suboptimal choices. With Artix Generation 2, what we’re bringing is increased ease of use as well as even better thrombectomy efficacy. And we are still targeting a mid-year launch of that 2.0 product. So we’re just getting the finishing touches, and we’ll have more to say as we make further progress.
Adam Maeder: Thanks for the color, Dr. Tu. And one other question, and it’s a bigger picture question on innovation. Inari clearly has been very innovative in recent years, and you’ve launched a lot of different products and have more coming down the pike. One question that I sometimes get from investors is around FlowTriever and ClotTriever. Any plans for future iterations of those technologies and any specific ways that you think that those products could be further improved? Thank you for taking the questions.
Tom Tu: Yeah, absolutely. So as our flagship products and as the core driver of our mission as well as our growth, we are very much interested in continuing to invest in what is currently fourth generation FlowTriever and ClotTriever products. And we continue to solicit feedback from physicians to look for areas where we can improve safety and efficacy, and we’ll see continued investment in developing and introducing those concepts into our products. I think as far as the safety and efficacy profile that we now see becoming documented in high-level clinical data, I anticipate that we are reaching diminishing returns in terms of improvements there, but can always improve elegance, form factor, and ease of use.
Operator: The last question today is Richard Newitter with Truist Securities. Please go ahead.
Richard Newitter: Hi, thanks for taking the questions. I have two. The first one just on the profit comments in the first half of ’25. I think you guys said you continue to expect profitability in the first half of ’25. I’m just curious if that’s meant to be read as the first quarter is probably still in a loss situation and the second quarter is positive and the net of those two is breakeven to slightly positive. Is that the right way to look at it, or are you turning the corner, you think, as early as the 1Q and then follow up?
Mitch Hill: Yeah, Richard, it’s Mitch. Happy to try to address that question. In Q1 of each year, we have a reset that happens with the ERISA taxes and also some of the company matched in the 401(k), and it’s a larger number than you might imagine. And so that particular — that actually, if you look at the Q4 to Q1 walk that we’re currently reporting, you can see some of that appearing in the numbers. So that’ll happen again as we move from Q4 of ’24 to Q4 of ’25, and we would expect currently to see a loss in Q1 of 2025, but then we would go into the operating profit sort of profile in Q2 of 2025 and thereafter. So that’s kind of the commentary we have about the first half of the year. And that’s just something that’s kind of all companies deal with in terms of the calendar year tax issues.
Richard Newitter: Okay, thanks for that color. And then maybe just on the — you guys have referred to competitive dynamics a couple of times as — potentially explaining the delta between your U.S. Venus growth rate and the underlying market rate. I guess, a year ago, you had a competitor launch, you talked about some trialing, and you expected that to be transient. I guess, can you characterize the competitive dynamics as we’re now kind of moving into a second year or anniversarying the launch of the main competitor and some new ones are coming on? What exactly is the competitive dynamic that’s occurring, and why or why shouldn’t we expect that to be transient going forward?
Drew Hykes: Yeah. I can try and answer that, Richard. So we are going to see competitive entrance in this market. It’s a large, attractive market, high growth market in the earliest stages of penetration and inflection from conserved medical management to frontline therapy with mechanical thrombectomy. That competitive dynamic is factored into our guidance. That’s not a new part of our business. We obviously faced those same dynamics as we moved through 2023 and delivered 28% growth. We saw those same competitive dynamics play out here most recently in Q1, and we grew 23%, including 20% in VTE. So all of that, I think, underscores our confidence in continuing to be the market leader in this market despite new entrants coming in. And again, to the extent they can help from a market development standpoint, I think there’s real value and real constructive work they can do alongside Inari to develop the market over time.
End of Q&A:
Operator: This concludes our question-and-answer session and concludes the conference call. Thank you for attending today’s presentation. You may now disconnect.
