Penumbra Inc at Canaccord Genuity Growth Conference (Virtual) Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: William John Plovanic - Canaccord Genuity Corp., Research Division - Analyst : And then just for -- I'd be surprised if people didn't know who Penumbra is, but actually, I have gotten some inquiries over the past week. So -- not very familiar with the company. Just give a brief high-level overview of the business for those folks that might not -- that are new to the story.

Question: William John Plovanic - Canaccord Genuity Corp., Research Division - Analyst : Thank you for that. Listen, I know on the last analyst call -- investor call, we talked about the upcoming Investor Day next month that will give us details on the real VR business. So just for all the folks out there listening today, this isn't going to be a real VR question-and-answer session. I'm going to -- I don't want to steal the company's thunder for next week, and I doubt Adam would answer a question on it. So we'll kick it off with the peripheral vascular business, which is now your biggest and fastest-growing segment. Talk about the overall market opportunity that you're targeting with this and then even some of the market dynamics. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. AUGUST 11, 2021 / 3:00PM, PEN.N - Penumbra Inc at Canaccord Genuity Growth Conference (Virtual)

Question: William John Plovanic - Canaccord Genuity Corp., Research Division - Analyst : It seems like the body of that clinical evidence, the awareness -- COVID has really had a significant driver for a lot of that, right, just due to the dynamics and the needs in the hospital. I don't know. And your thoughts, mine kind of it seems like it probably accelerated the development and transition of this market from lytics to single session much faster than we've seen in other areas.

Question: William John Plovanic - Canaccord Genuity Corp., Research Division - Analyst : And then another -- a question from the audience is just in terms of the dynamics you're seeing in that business relative to COVID, do you think it's lifted? And then kind of the wave -- with the waves you get these lifts in ebbs and flows? Or how would you characterize what that has done? You mentioned last summer it was the spark, I agree. That's probably the best way to -- better way than I articulated it. But how would you see that as it's flowed through kind of Q4, Q1, Q2 as you think about the business?

Question: William John Plovanic - Canaccord Genuity Corp., Research Division - Analyst : And I think -- I love having these conversations with you because, I mean, you have such a unique perspective given you've watched this happen in the neuro market and you're watching it happen in the peripheral market. But is -- and you've had to compete there with some really big players. What's the 1 or 2 biggest differentiators for you versus the other players in the market, would you say?

Question: William John Plovanic - Canaccord Genuity Corp., Research Division - Analyst : Excellent. I think 1 or 2 more questions on peripheral and then we'll switch over. But how different are the needs? I think as more companies compete in these different subsegments of this whole peripheral thrombectomy market, it's parfait that we keep going through the layers and learning more about. But how different is venous, the needs for venous, arterial and coronary as you look at those different kind of subsegments?

Question: William John Plovanic - Canaccord Genuity Corp., Research Division - Analyst : Last question, just we're seeing this -- your partnership with RapidAI, that helps the PERT teams (technical difficulty). How important is this to development of the market? How necessary is it today? Or is this kind of for something that you'll need to kind of keep that penetration up in the out years? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. AUGUST 11, 2021 / 3:00PM, PEN.N - Penumbra Inc at Canaccord Genuity Growth Conference (Virtual)

Question: William John Plovanic - Canaccord Genuity Corp., Research Division - Analyst : And a clarifying question. As they put the PERT teams together, would a user of RapidAI in neuro be part of that PERT team?

Question: William John Plovanic - Canaccord Genuity Corp., Research Division - Analyst : It's easier to sell an add-on than it is for the first time, that's for sure. Neurovasc -- let's switch over to neurovascular. I mean that's the roots of Penumbra. Last year was a challenging year, especially the COVID dynamics. Just talk about what you're seeing today macro in that market and then specifically for you.

Question: William John Plovanic - Canaccord Genuity Corp., Research Division - Analyst : Let's transition to the international. It says here it's 25%, 30% of your revenues. Japan is no longer a headwind. You got China is a driver. How should we think about -- like is this a one-country driver? Is this -- I know you're in multiple countries. But how should we -- if you think about the drivers and kind of the biggest opportunity, where do you think you're going to put the most time and effort?

Question: William John Plovanic - Canaccord Genuity Corp., Research Division - Analyst : How should investors think about -- we've seen the growth come back and the earnings are -- it's like you're making money, but you're not making a ton of money. And how do you think about forward? Is it more about continued -- because the opportunity is so big, continue driving top line growth and -- just as long as you're not burning cash or a lot of cash, we're fine. How do you think about that?

Question: William John Plovanic - Canaccord Genuity Corp., Research Division - Analyst : I think that's a perfect point to end this. I want to thank you for your time, Adam. Again, this is Canaccord Genuity 2021 Growth Conference, and we just had a conversation with Adam Elsesser of Penumbra. Thanks, Adam.