Neuropace, Inc. · NASDAQ:NPCE
Neuropace — 43rd Annual J.P. Morgan Healthcare Conference (January 2025)
28 slides from Neuropace's conference presentation, January 2025
Slide 1: JPM Healthcare Conference Presentation
JPM Healthcare Conference Presentation January 2025 1
Slide 2: Disclaimer
Disclaimer This presentation may contain forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements may be identified by words such as “aims,” “anticipates,” “believes,” “could,” “estimates,” “expects,” “forecasts,
Slide 3: NeuroPace Mission
NEUROPACE MISSION Transform the lives of people suffering from epilepsy by reducing or eliminating the occurrence of debilitating seizures. 3
Slide 4: NeuroPace Investment Highlights
NeuroPace Investment Highlights >$55B total U.S. addressable market; >$2B annual core market opportunity Large, underpenetrated market within Comprehensive Epilepsy Centers with additional upside from expanding outside Level 4 centers Unique technology Closed loop, brain-responsive neuromodulation s
Slide 5: Management Team
Management Team* Joel Becker Rebecca Kuhn Martha Morrell, MD Kelley Nicholas Chief Executive Officer Chief Financial Officer Chief Medical Officer Vice President, Sales *Recent additions to leadership team in Research and Development, Marketing and Human Resources Previous Experience 5
Slide 6: Drug-Resistant Epilepsy is a Devastating, Highly Undertreated Disease with Significant Unmet Need
Drug-Resistant Epilepsy (DRE) is a Devastating, Highly Undertreated Disease with Significant Unmet Need Epilepsy is a disorder in which abnormal electrical activity in the brain causes seizures 4th most common neurological disorder in the U.S.1 ~$28B direct medical costs in the U.S.1 2-3X higher une
Slide 7: U.S. Prevalence: 1/3 of Epilepsy Patients are Drug Refractory
U.S. Prevalence: 1/3 of Epilepsy Patients are Drug Refractory Drug-resistant epilepsy (DRE) defined as a patient failing to achieve sustained seizure freedom after trying two antiseizure medications3 DIAGNOSIS & FIRST LINE TREATMENT Patients diagnosed Try multiple anti-epilepsy ~1 in 3 have drug-res
Slide 8: RNS System - Novel Therapy to Address Unmet Need
RNS System - Novel Therapy to Address Unmet Need Brain-Responsive Neuromodulation System Provides Unique Window to the Brain Monitors Recognizes & Responds Records Brain activity continuously To patient-specific seizure patterns Ongoing iEEG data for physicians to review Epilepsy Treatment that is •
Slide 9: RNS System Data
RNS System Data Allows Physicians to Actively Manage and Customize Ongoing Patient Care Identify Seizure Triggers Monitor Patient Progress See Effects of Therapy Changes Electrographic seizures Therapy change Reveal Seizure Cycles Inform Future Surgeries 9
Slide 10: Impressive Seizure Reductions Improve Over Time
Impressive Seizure Reductions Improve Over Time Median % Reduction in Seizures Original FDA Study Real World & FDA 82% 82% Results:1,2 Post Approval Study 75% 75% 73% 75% Results: 72% • Statistically greater 67% 67% 67% 63% seizure reduction than • 67% median seizure 62% 58% sham therapy at reductio
Slide 11: Alternative Treatment Options Have Significant Risks and Side Effects
Alternative Treatment Options Have Significant Risks and Side Effects Epilepsy Surgery Neuromodulation Competitors RNS Therapy Irreversible destructive procedure Fixed anatomical target Therapy at seizure source only when needed Carries neurocognitive risks: impaired Not responsive to brain activity
Slide 12: Closing the Treatment Gap
Closing the Treatment Gap CEC Growth Opportunity MACRO TRENDS • Number of CECs increased from 151 in 2012 to 256 in 20193 50K DRE patients admitted • 150% increase in number of epileptologists to CECs annually2 per capita from 2012 to 20193 1.2M • Epilepsy monitoring unit (EMU) admissions people liv
Slide 13: Current Patient Population Focus
Current Patient Population Focus 6.5K DRE patients get treatment beyond drugs annually3 1.2M 50K DRE people living with patients admitted to Comprehensive Epilepsy Centers annually2 DRE in the US1 Significant Opportunity Exists to Close the Treatment Gap! 1Chen, Z., et al., JAMA Neurology, 2017. 2De
Slide 14: Annual Core U.S. Market Opportunity at CECs >$2 Billion
Annual Core U.S. Market Opportunity at CECs >$2 Billion ~50K New ~50K Patients1 DREPatients New DRE Admitted Admitted totoCECs CECsAnnually Annually1 50 50 45 45 40 40 30K $1.4B Annual U.S. Core Market ~48% ~60% Focal 35 35 Excluding replacement implants2 Thousands Thousands 30 30 25 25 ~12% 20 20 1
Slide 15: Closing the Epilepsy Treatment Gap Through Expanded Therapy Access
Closing the Epilepsy Treatment Gap Through Expanded Therapy Access Expanded Increased Expanded Therapy Therapy Patient Utilization Availability Eligibility Educate and Support Increase Availability in Broaden the Indications Clinicians and Patients to Health Care Systems Near of Patients Eligible fo
Slide 16: Expanded Therapy Utilization: Strategies for Focal, Refractory Epilepsy
Expanded Therapy Utilization: Strategies for Focal, Refractory Epilepsy RNS® System Enables Diverse Treatment Approaches TARGETED NETWORK THERAPY STIMULATION STIMULATION COMBINATIONS For discrete onsets For regional onsets To augment surgery Bilateral & suspected bilateral MTL Regional neocortical s
Slide 17: Market Expansion: Project CARE – Bringing the RNS System into the Community
Market Expansion: Project CARE – Bringing the RNS System into the Community Community Expansion – Making the RNS System Accessible to Patients and Clinicians outside of Level 4 CECs • Expanding to additional 1,800 epileptologists Facilitating Referrals of Expanding RNS System and all functional neur
Slide 18: Indication Expansion: Generalized Epilepsy
Indication Expansion: Generalized Epilepsy Generalized Epilepsy Clinical Trials • NAUTILUS Patient Eligibility Indication o Breakthrough Device Designation Expansion – RNS System status indication for Generalized o Enrollment and implants complete Epilepsy o One-year follow-up to be complete in Marc
Slide 19: Closing the Treatment Gap: Enhanced RNS Therapy Access
Closing the Treatment Gap: Enhanced RNS Therapy Access Patient Indication • Enrollment completed – Q4 2023 Expansion: RNS • Planned Implant follow up completion – H1 2025 Access for • 40% of DRE Patients Generalized Epilepsy Community Expansion: RNS System • Expansion to additional +1,800 Epileptolo
Slide 20: Closing the Treatment Gap: Enhanced RNS Therapy Access
Closing the Treatment Gap: Enhanced RNS Therapy Access Patient Indication • Enrollment completed – Q4 2023 Expansion: RNS • Planned Implant follow up completion – H1 2025 Access for • 40% of DRE Patients Generalized Epilepsy Community Expansion: RNS System • Expansion to additional 1,800 Epileptolog
Slide 21: Closing the Treatment Gap: Enhanced RNS Therapy Access
Closing the Treatment Gap: Enhanced RNS Therapy Access • Completed enrollment and implants in NAUTILUS and LGS Patient Indication trials Expansion: RNS • Submission after 1-year post-implant follow up System Access for • 40% of DRE patients Generalized Epilepsy • Potential to be first device in U.S.
Slide 22: Leveraging the Power of the RNS System's Data Collection, Brain Monitoring and Analysis Capabilities
Leveraging the Power of the RNS System’s Data Collection, Brain Monitoring and Analysis Capabilities Strategic Collaboration Demonstrates NeuroPace’s Data Offers a Window to the Brain® and May Help Inform Treatment Strategies First of its kind collaboration: initial step into extending the benefits
Slide 23: DIXI Partnership Offers Comprehensive Solution for Seizure Localization
DIXI Partnership Offers Comprehensive Solution for Seizure Localization Focal Seizures Start in specific locations of the brain Stereo EEG electrodes are used in CECs for seizure localization • Determine starting location and transmission network of seizures • Stereo EEG is less invasive, offers fas
Slide 24: Distribution of DIXI Stereo EEG Products Leads to Earlier Patient Engagement
Distribution of DIXI Stereo EEG Products Leads to Earlier Patient Engagement Accelerates core RNS business by helping to inform therapy decisions earlier • ~2/3 of RNS patients go through intracranial EEG monitoring as part of the diagnostic process • Most patients that have stereo EEG procedure are
Slide 25: Closing the Treatment Gap to Drive Long-Term Growth
Closing the Treatment Gap to Drive Long-Term Growth Referral marketing to epileptologists Earlier patient education to increase pull through Direct-to-patient Broaden RNS adoption digital marketing Grow the Market Take Share within CECs through CECs Awareness & Commercial Demand Execution Community
Slide 26: Financial Performance
Financial Performance Total Cash Balance of approximately $52.8M (as of 12/31/2024) provides sufficient capital to support key operating priorities Preliminary Preliminary $21.1 $21.0 - $21.5 4Q24 FY2024 (unaudited) (unaudited) $19.3 Revenue $21.0M - $21.5M $79.4M - $79.9M* Revenue growth (y/y) 17%
Slide 27: Summary
Summary Positioned for growth and focused on revenue, operating discipline, and effective cash management Prioritizing utilization and adoption of the RNS System across existing and new clinicians Project CARE to expand access to the RNS System Transforming the lives of outside of Level 4 centers pe
Slide 28: In-Person and Virtual Investor Day to Discuss RNS System in Drug-Resistant Epilepsy
63 NELROPACE In-Person and Virtual Investor Day to Discuss RNS® System in Drug-Resistant Epilepsy Tuesday, January 28, 2025 | 9:00 AM - 12:00 PM ET New York, NY and Live Webcast CLICK HERE TO REGISTER & ATTEND
NeuroPace — 43rd Annual J.P. Morgan Healthcare Conference (January 2025) on 6ix