Rxsight Inc at Bank of America Global Healthcare Conference Transcript

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

Question: Craig Bijou - BofA Global Research - Analyst : So I want to start with Q1 results. You ended up -- you preannounced Q1 revenue that grew 28% year-over-year, but it missed TheStreet. LALs missed, but LDDs beat. And I think you called out some macro impact on LAL sales. So maybe if we could just start there and you guys can just kind of walk through what you saw in the quarter.

Question: Craig Bijou - BofA Global Research - Analyst : And I guess so I do -- so Alcon reported this morning and talked about a softer premium IOL market. They -- I mean, they talked about -- they actually talked about productivity of some of their docs and the change with some of the higher volume docs maybe either doing less or maybe not retiring. And -- but it does -- I guess I want to ask you guys if that's something that you've seen or if the dynamic that you guys experienced or saw is something different than that?

Question: Craig Bijou - BofA Global Research - Analyst : Got it. And I do -- I guess -- and I don't know if this is for you, Shelley or Ron, LDDs came in better than expected in the quarter. So it's not necessarily a capital equipment issue or selling that, which I know a lot of investors are concerned about. So maybe just from the LDD placement or sale perspective, what did you see in Q1 from that perspective because that was obviously strong.

Question: Craig Bijou - BofA Global Research - Analyst : And I guess on that point, that was one of the questions that I had. So if a patient is potentially worried about spending money. So toric IOLs would be less expensive than LALs, right? And then monofocal obviously, would be even that much. And you did see some of the surveys show that some people chose to go with monofocal and LAL and -- or toric instead of an LAL? Or I guess, what did the survey tell you from that perspective?

Question: Craig Bijou - BofA Global Research - Analyst : Got it. Maybe switching back to kind of expectations for Q2 '25. I know you don't guide quarterly. So I'm just going to give you some of TheStreet numbers what TheStreet is expecting. So TheStreet has you had total revenue of $39.8 million. And I think it's flat LDD revenue and placement and then assumes 20% LAL growth. I mean, I guess your reaction to that or any directional feedback on how TheStreet is modeling Q2?

Question: Craig Bijou - BofA Global Research - Analyst : Got it. And if we look at the guidance, so I know you expect it to accelerate throughout the year or to get better throughout the year. It's a pretty wide range for the full year 2025. So it sounded like the lower end of the range would be that you wouldn't see much of a pick up in the second half. And I guess, is that the right way to think about how you've set up the guidance for the year?

Question: Craig Bijou - BofA Global Research - Analyst : Got it. And following up on your comment on the LDDs that you expect to sell more LDDs in '25 versus '24. I think you were 7 higher. Actually, you were 7 higher in Q1 than you were prior year Q1.

Question: Craig Bijou - BofA Global Research - Analyst : So what -- I guess, just maybe a clarification. When you say more, do you mean more for the rest of the year, like the last 3 quarters or the entire year?

Question: Craig Bijou - BofA Global Research - Analyst : Okay. All right. And then -- and we've talked about this on -- you're still confident in the LDD selling a lot of LDDs, and you don't think the LAL, call it, hiccup or market reaction or maybe hesitancy of patients would impact any LDD sales. So maybe just, I guess, your confidence that the consumer or not willing to spend on LALs early on won't have some kind of impact or negative impact on LDD sales later on for a practice.

Question: Craig Bijou - BofA Global Research - Analyst : Got it. One more clarification, Shelley, on -- before moving on to other questions. So the LDD placements -- how -- what are you expecting international contribution to LDDs?

Question: Craig Bijou - BofA Global Research - Analyst : You did also announce workload challenges and investment or more of a focus on education and marketing and support for the practices. So -- and I guess first question is, is that separate from the market maybe or the hesitancy of patients to get an LAL? So are those 2 or your decision to do that, is that separate from -- or is it in a reaction to some of the hesitancy that you saw?

Question: Craig Bijou - BofA Global Research - Analyst : And I guess some of these programs, are they directed -- you said it's based on feedback that you've gotten with some of the outreach that you've done. Are they directed at some of the lower volume or lower utilized LDDs or is it more of a broader base? And I guess the question is, are there efforts, one, like did you hear from the physicians that we need this or we need some other -- we need a way to unlock more utilization or to get -- we need this before it's a higher percentage of the -- before LALs are a higher percentage of the procedures that we do. So is that kind of the genesis of it where you can really unlock and maybe get deeper within the practices? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. MAY 15, 2025 / 1:40AM, RXST.OQ - Rxsight Inc at Bank of America Global Healthcare Conference

Question: Craig Bijou - BofA Global Research - Analyst : Got it. Okay. If we can just talk a little bit about utilization. I think, Shelley, you've made some comments about the cohort in '24, maybe not having the same ramp in utilization as prior years. I know you were impacted, Q1 procedures were impacted, but the LDD base installed base grew more than LAL procedures. So maybe just talk about kind of what you're seeing from a per practice utilization and why '24 may have been a little bit down versus the ramp that you saw in prior years?

Question: Craig Bijou - BofA Global Research - Analyst : And I'm jumping around a little bit, but I kind of want to go back to the notion or that docs might be retiring or lowering their volume. And the docs that adopt your technology, where are they in their careers? So are they a few years of experience? Are they more experienced? Is there a range? Or do you see any disproportionate? They're early docs and they see your technology as maybe a way to make a name for themselves? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. MAY 15, 2025 / 1:40AM, RXST.OQ - Rxsight Inc at Bank of America Global Healthcare Conference

Question: Craig Bijou - BofA Global Research - Analyst : Okay. Only a couple of minutes left. Maybe just touch on, Shelley, you brought up the international approvals that you guys have gotten recently. It sounds like the international premium IOL market is actually doing extremely well. So just talk about kind of your opportunity launch there and kind of what investors should think about your ability to penetrate these markets?

Question: Craig Bijou - BofA Global Research - Analyst : Got it. And modest contribution, I think, is the words that you used. I mean, any directional color on that?

Question: Craig Bijou - BofA Global Research - Analyst : We're just about out of time, so I probably don't have the time for another question, but I want to thank you, Ron and Shelley, for participating.