Senseonics Second Quarter 2025 Earnings Call - Eversense 365 Launch Accelerates, $77.8M Raised to Fund DTC Push and Pipeline

Conference Operator: Good day, everyone, and welcome to Senseonics Second Quarter twenty twenty five Earnings Call. At this time, all participants are in a listen only mode. Later, you will have the opportunity to ask questions during the question and answer session. Please note, today’s call will be recorded and I’ll be standing by should you need any assistance. It is now my pleasure to turn the conference over to Jeremy Pfeffer from LifeSci Advisors.

Please go ahead.

Jeremy Pfeffer, LifeSci Advisors Representative, LifeSci Advisors: Thank you. This is Jeremy Pfeffer from LifeSci Advisors. Before we begin today, let me remind you that the company’s remarks include forward looking statements. These statements reflect management’s expectations about future events, operating plans, regulatory matters, product enhancements, company performance and other matters and speak only as of the date hereof. These forward looking statements involve a number of risks and uncertainties.

A list of the factors that could cause actual results to be materially different from those expressed or implied by any of these forward looking statements is detailed under Risk Factors and elsewhere in our Annual Report on Form 10 ks for the year ended 12/31/2024, and our 10 Qs and our other reports filed with the SEC. These documents are available on the Investor Relations section of our website at www.senseonics.com. We undertake no obligation to update publicly or revise these forward looking statements for any reason except as required by law. Joining me today from Senseonics are Tim Goodno, President and Chief Executive Officer and Rick Sullivan, Chief Financial Officer. I’ll now turn the call over to Tim.

Tim Goodno, President and Chief Executive Officer, Senseonics: Thanks, Jeremy, and thank you to everyone on the call for joining us today. In the second quarter, we executed on a number of programs to drive shareholder value and position Senseonics for long term growth. Rick and I will walk you through these initiatives today. One of our main objectives is to drive Eversense awareness and adoption and we’re doing this by further supporting our product with added Senseonics commercial investment. Additional objectives include enhancing three sixty five access with the EON Care build out, while expanding capabilities with our device integration efforts and advancing our key product development pipeline programs.

We are making solid progress across each of these areas. Q2 completes two quarters with Eversense three sixty five on The U. S. Market, and we continue to be pleased with our launch momentum. We expect that through expanded DTC marketing, more people will learn about the unique performance attributes and convenience of our one year sensor, resulting in more people choosing Eversense to help manage their diabetes.

In Q2, we saw meaningful progress in that direction. Our new patient starts were up 79% over the prior year and 37% from Q1. Leads were more than doubled over the prior year and June leads were up 50% over the prior three month average. We are seeing true acceleration in the growth of Eversense, the expanded DTC and we plan to continue to augment Ascension’s DTC spending through the remainder of this year. To support this increased volume, Ascensia has hired a dozen new inside sales reps to handle these calls.

Our plan is for the increased DTC spending to expand awareness and the enhanced inside sales capacity to support sales conversion combining directly to translate into increased new patient starts. We expect that these results to be bolstered by Eversense reorders in The U. S. In the fourth quarter. Recall that in transitioning from a six month to one year product, the cadence for repeat Eversense users to have a new sensor inserted has changed to a twelve month cycle.

Instead of coming back for reinsertion in one hundred and eighty days, users now return in three sixty five days. This means that following the Q4 launch of Eversense three sixty five, our overall US shipments during Q2 and Q3 naturally reflected significantly reduced reorder volume compared with the prior year. Therefore, nearly all sensors sold in Q2 and Q3 are for new patient starts. In Q4, with the first three sixty five adopters coming up for their next insertions, reorders will make more meaningful contributions to sales. Beyond The US launch execution, we are advancing a series of initiatives to broaden access, support adoption and enhance the user experience.

We continue to expect our development to translate into CE Mark approval for Eversense three sixty five in Europe and we are planning for the European launch later this year. We have begun training the OUS Ascensia sales team to be ready upon approval. We anticipate this will translate into more people in more markets having access to the promise of one year, one sensor. Additionally, we are collaborating with other companies to further improve the market presence of Eversense three sixty five. Last month, Sequel began the launch of their Twist pump and we announced during the quarter our respective development teams are collaborating on the final integration work and we expect to see the Eversense three sixty five available for use with the Twist pump later this year.

We believe combining the advanced technologies of both companies will offer a real differentiation and unique benefits to people with diabetes. We all know that our users have to monitor their carb intake, exercise, and their glucose levels to determine the safe amount of insulin they need. This constant management requires significant patient involvement and through the integration of Eversense with the Sequel Twist pump patients can simplify their lives, simplify the diabetes overhead, de stress the CGM complexity for an entire year and rest assured that the world’s most advanced diabetes technology is working for them. The integration with the Twist pump is the first of multiple partnerships we hope to announce with pump manufacturers and other parties. With the world’s first and only three sixty five day continuous glucose monitor approved as an iCGM, we have a unique and convenient offering to integrate with any pump on the market and we look forward to announcing updates in the future.

In another important initiative, we continue working to make it easier for patients to have access to Eversense and for physicians to prescribe it. During Q2, we completed the planned transition of inserters from the nurse practitioner group to EON Care, our network of providers that can perform Eversense three sixty five insertion procedures. The goal of this initiative is threefold: to make it more convenient for interested people with diabetes to be served by an inserter, to enable practitioners who want to prescribe our product but not insert to simply do so, and third, to ensure consistent high quality insertion experience. Following the transition from NPG, our EonCare network is nearly 40 strong and handles approximately twenty percent of our insertions. The volume of insertions through eNcare continues to grow, increasing nearly 30% in Q2 versus Q1 this year.

With the foundation of eNcare established, we are working to quickly expand it. Our current goal is to increase this network to approximately 50 practitioners by the end of this year and roughly 100 by the end of next year. Through the combination of e on care nurses and prescribing providers who perform their own insertions, we continue to add further insertion depth and breadth, targeting the major US geographies. Our aim is to ensure that anyone who wants Eversense three sixty five has a convenient option to access it. Further supporting access, in Q2 CMS updated the Medicare physician fee schedule to provide payment for a full year of Eversense.

This inclusion was announced in April and was retroactive to January 1. And as a result, we did see a notable increase in the business that flows through our consignment program. We are also seeing some commercial payers begin to transition to a bundled payment reimbursement, similar to Medicare. As the product is consigned to the office until its use, you’ll hear us refer to this channel as either bundled pay, buy and bill, or consignment. This reimbursement pathway covers both the product cost and provider’s procedure fee through a single claim.

This simplifies payment for insurers, providers, and patients. Furthermore, because Eversense is an implanted device, Medicare reimbursement for the product is included as part of CPT codes 446T and four forty eight T. These codes are established on a physician fee schedule and covered through a member’s medical benefit Medicare Part B. Medicare correctly does not characterize Eversense as a DME product, meaning Eversense will be excluded from the pending DME competitive bidding program. Now I’d like to turn to the important development work and progress being made by our R and D teams.

Senseonics was founded to develop and deliver on the best in class once a year continuous glucose monitor. Having delivered on that promise, our mission is to now drive further advances to make the one year sensor more convenient, less intrusive, and more appealing to patients. Gemini is the next step in that continued evolution. As a reminder, Gemini includes a self powered battery and offers both swipe and prospective CGM functionality, all incorporated into a tiny under the skin sensor. This offers the option to wear a transmitter when the full functionality of alarms and alert protection is required, and swipe when a user does not want to wear anything on their skin.

This product will be especially attractive to the large population of people with diabetes on both basal insulin and those on non insulin regimens. We’re very excited about the growing Type two opportunity with Gemini and I’m pleased with the development team’s progress. We remain on schedule to start an IDE pivotal study for GEMINI later this year. Our target is to then have a U. S.

Submission mid next year with a commercial launch in The U. S. Starting near the 2026. The next exciting evolution beyond Gemini is our work on the Freedom program. With Freedom, we are targeting to deliver the world’s first truly invisible CGM.

Freedom will eliminate any on body component to offer people continuous readings with real time alarms and alerts directly to the phone with nothing on the skin. Our team is working towards the goal of launching Freedom about a year after Gemini. All of us at Senseonics remain committed to pushing the boundaries of technology and continue to provide the world’s most advanced CGM to people with diabetes. Lastly, we raised approximately $78,000,000 in gross proceeds during the second quarter, including $20,000,000 from Abbott in a concurrent private placement. This capital supports the critical work that I’ve been speaking about, expanding the ongoing launch of Eversense three sixty five, including increased direct to consumer advertising, supporting access and other initiatives to the product and continuing our development pipeline.

We believe our progress on these initiatives positions us well to further drive product awareness, innovation, long term growth and shareholder value. Now I’ll turn the call over to Rick to walk you through financials from the quarter and provide some additional details.

Rick Sullivan, Chief Financial Officer, Senseonics: Thank you, Tim, and thanks to everyone joining us this afternoon. This was an important quarter for Senseonics with a focus on many initiatives all supported by the recent public offering, together with the Avid investment that resulted in a combined gross proceeds of $77,800,000 including the full exercise of the underwriter’s green shoe. With a cash position of over $126,000,000 we have strengthened our balance sheet to support our runway, not only for continued development of both the Gemini and Freedom systems, but also to support key launch and marketing initiatives, such as driving patient leads through direct to consumer advertising. As Tim mentioned, we are complementing ADC’s efforts in this area. Jointly, we will more than double the previously anticipated DTC spend to more than $10,000,000 over the next two quarters.

Together with our partner Ascensia, we expect to boost actionable leads and support our sales force in conversion and other activities to accelerate patient growth. We expect our expanded DTC efforts to improve product recognition and awareness of the unique benefits of three sixty five, driving patients and prescribers to the Eversense brand. Our recent public offering also gave us the opportunity to speak with a significant number of institutional investors. The majority of investors that participated in the offering requested that we consider a stock split in the near future. And during the marketing of the deal, we also heard from a number of potential investors that they could not participate due to internal policies and practices that limited their ability to invest in stocks trading below certain dollar value thresholds.

Listening to this feedback, we plan to seek shareholder approval for a reverse stock split to overcome these limitations, which we believe will address this impediment and make it easier for a broader number of investors to invest in Senseonics. We also believe a reverse stock split will facilitate inclusion of Senseonics in indices that have stock price requirements, such as the Russell, and reduce the administrative costs caused by the current share count. Taking into consideration the shareholder feedback from earlier this year, we have elected to reduce the targeted split ratio to a range of 10 for one to 20 for one, and we will provide additional details as we get closer to the fall special meeting of stockholders to vote on this proposed reverse stock split. Now transitioning to the quarterly results. In the 2025, net revenue grew 37% to $6,600,000 compared to $4,900,000 in the prior year period on the strength of new Eversense three sixty five insertions.

U. S. Revenue for the second quarter was $4,900,000 and revenue outside The U. S. Was $1,700,000 As always, a quick reminder regarding revenue recognition in our two main sales channels.

Our collaboration agreement with Ascensia is based on revenue sharing, with the revenue sharing percentage applied differently in each channel. For sales made directly to Ascensia, we recognize revenue after discounting the current revenue sharing percentage when shipments are delivered to Asensia. Asensia targets sixty to ninety days of inventory, and therefore shipments made during the quarter largely support future demand of Eversense. The supply of Eversense three sixty five has been at target levels since the end of Q2. We also sell product through an office consignment program, which continues to grow, making up over 40% of our revenue in Q2.

In this channel, we recognize revenue at the time of procedure and at the same time record a commission expense to sales and marketing expenses based on the current revenue sharing percentage for Asensia’s commercial support. The average selling prices in the consignment channel are approximately two times the ASPs through the Ascensia direct shipment channel, as a result of the consignment channel being primarily Medicare with the recently announced updated pricing and the ability to recognize 100% of the Eversense revenue. With this sales channel mix, we recognize approximately 80% of the Eversense revenue. In Q2 twenty twenty five, gross profit was $3,100,000 an increase of $2,800,000 from the prior year period. This increase in gross profit was primarily driven by the increased margins on the three sixty five day product, sales channel mix, and for this quarter, a one time gain of $700,000 from value added tax recoveries expensed in prior years.

Research and development expenses in Q2 twenty twenty five were $7,700,000 a decrease of $3,100,000 compared to the prior year period. The decrease was primarily due to a reduction in clinical study spend and consulting costs due to the completion of the three sixty five day product trials. Second quarter twenty twenty five selling, general and administrative expenses were $9,700,000 an increase of $700,000 compared to $9,000,000 in the prior year period, primarily driven by sales commission expenses due to Ascensia for commercial support of our consignment program. Net loss was $14,500,000 or a $02 loss per share in the 2025 compared to a net loss of 20,300,000.0 or a $03 loss per share in the 2024. Net loss decreased by $5,800,000 primarily due to improved gross profit margins of Eversense three point six five and reduced research and development costs.

As of 06/30/2025, cash, restricted cash and cash equivalents totaled $126,700,000 and debt and accrued interest was 35,300,000.0 Reiterating our outlook for 2025, we expect full year 2025 global net revenue to be approximately $34,000,000 to $38,000,000 as we progress the launch of Eversense three sixty five in The U. S. And we expect EU. This financial outlook takes into consideration several factors, including the timeline for the regulatory approval and the planned commercial launch of Eversense three sixty five outside The United States, plans with respect to spending on the USDTC marketing campaigns to generate leads continued progress in our launch activities reinsertion and pricing dynamics with the shift from a six to twelve month product and the status of other sales and marketing initiatives. The full year 2025 financial outlook assumes approximately doubling the global patient base in 2025 compared to 2024.

We achieved our target of approximately one third of planned annual revenue in the first half of the year, with the remaining two thirds of revenue expected in the second half because of the steady increase in patients and the seasonality of program discounts and patient deductibles. For the second half of the year, we expect the majority of revenue in the fourth quarter due to the continued momentum in new patient starts, and importantly, reorders from our first U. S. Three sixty five patients as we pass the first anniversary of our Eversense three sixty five launch. Excluding accounting adjustments and one time benefits that have a positive impact to gross profit margins, we continue to see favorability due to our sales channel mix and the execution of our manufacturing and supply chain teams.

We are continuing to monitor the impact of tariffs and currently expect that we’ll be able to mitigate much of the negative impacts. Taking into consideration our margin performance to date and the anticipated continued favorability, we now expect full year gross profit margins between 32.537.5%. We expect cash utilization in 2025 to be approximately $60,000,000 largely as a result of tight cash management while complementing Ascensia’s DTC spend. Finally, we’ve practiced good financial housekeeping, filing an updated shelf with the SEC in the amount of $300,000,000 with a portion assigned to $100,000,000 at the market facility with TD Cowen, two additional activities to facilitate long term growth. And with that, I’ll turn it back to Tim.

Tim Goodno, President and Chief Executive Officer, Senseonics: Thanks, Rick. The last thing I’ll mention before wrapping up is the event we hosted at this year’s ADA. We had a great turnout and I encourage any of you that did not participate to go and listen to the replay on our website. We featured some of our DTC marketing materials featuring George, our favorite CGM personality, and heard from Gary Graff, a nurse practitioner that inserts the Eversense three sixty five on a regular basis. According to Gary, the procedure fits seamlessly into his practice and typically takes him about eight minutes and can be easily completed on a patient’s lunch break.

As you’ve heard, we accomplished a lot in the second quarter and have made great strides in setting the company up for long term growth. To build shareholder value, we’ll continue to drive the March launch, enhancing investment in effective direct to consumer marketing, all while supporting greater access and convenience of Eversense and by moving Gemini and Freedom closer to the market. We’re also forming partnerships to advance and simplify diabetes care together with maintaining financial discipline and strengthening our balance sheet and remaining focused on the transformative potential of one year, one CGM. With that, I’ll now turn the call over to the operator to answer any questions that you may have. Thanks once again for your time today.

Operator, let’s go ahead and open up the call for questions.

Conference Operator: We’ll take our first question from Josh Jennings of TD Cowen. Your line is open.

Josh Jennings, Analyst, TD Cowen: Hi, good afternoon. Thanks for taking the questions and congratulations on the nice quarter and continued momentum with the Eversense three sixty five launch. Wanted to just ask a couple of questions on the back half here. And I guess to start just even calling out again just the fourth quarter strongly the third quarter and you’ll have some the replacement cycle kick in forever since the initial Eversense three sixty five patients. Maybe just help us think about or help us frame up expectations for retention rates.

Anything you can share just on historic attritionretention attrition rates for Eversense in prior versions? And then what do you expect going forward?

Tim Goodno, President and Chief Executive Officer, Senseonics: Sure, Josh. Appreciate the time as well. As you know, we don’t yet have the retention on the three sixty five as that first patient is not off yet. But our experience to date typically has been 75% retention from sensor one to two, jumps to about 85% from sensor two to three, and about 95% from sensor three and beyond. So as they become longer and longer tenured users, of course it becomes more and more part of their life and they continue to sign up for the reinsertion.

We do expect that the retention rate will be higher for March than it was for the 01/1980, but of course, don’t have that real data yet. So that’s what our history has been, and we’re obviously going to continue to work hard at a number of programs in place to do everything we can to maximize those reinsertions.

Josh Jennings, Analyst, TD Cowen: Excellent. Thanks for the help there. And then just on the consignment channel, percentage of 2Q revenue Medicare reimbursement is in place. I’m assuming that that’s helping that kind of percentage increase sequentially. But how should we be thinking about the consignment as a percentage of total revenue in going forward?

And just on the second part of this last question is just how do you should we think about the private pay for, you know, physicians and this kind of global reimbursement play for Medicare? How far behind are private payers to institute that coverage, and are you already there with some payers? Thanks a lot for taking the questions.

Tim Goodno, President and Chief Executive Officer, Senseonics: Sure, yes. Actually have started to see some of the payers. They recognize that this is not a traditional DME by any means. So they have begun that transition to the buy and bill channel, which again we consign that product so the docs don’t actually pay for it until they actually use it. So typically one or two sensors will sit in their institution, they’ll do the insertion and then it’ll run out or it’ll appear in the cloud and we’ll actually build them for it at that point.

For sure that consignment channel is definitely increasing. It’s the most attractive for that buy and bill space. But Rick, do you want to speak to how we’re thinking about it going forward?

Rick Sullivan, Chief Financial Officer, Senseonics: Sure. Thanks, Tim. Thanks, Josh. You’re absolutely right that a big piece of the increase in the percentage of revenue from the consignment channel is that Medicare pricing. But the volume is actually up as well, and it’s certainly supported by our EON Care efforts and the increase in the number of providers that we’re anticipating there.

So we will continue to see that consignment channel increase as a percentage of our revenue. I wouldn’t expect the growth to be as dramatic in future quarters. We also will see that our ASPs in our other Ascensia direct channel will improve in the second half of this year as many of the patient assistance programs are going to be less utilized since our patients have now met their deductibles or near meeting them in the second half of this year.

Josh Jennings, Analyst, TD Cowen: Excellent. Appreciate it. Thanks.

Conference Operator: Thank you. We’ll take our next question from Ben Haynor of Lake Street Capital Markets. Please go ahead.

Ben Haynor, Analyst, Lake Street Capital Markets: Good afternoon, gentlemen. Thanks for taking the questions. Just following up on one of Josh’s questions on the retention rates. Is there anything more that you could share maybe on how those changed when you move from ninety days to one hundred and eighty days or the sample size not there or non representative?

Tim Goodno, President and Chief Executive Officer, Senseonics: No, it’s pretty consistent. As I said, the sensor retention is around 75% from sensor one to sensor two. About half of the time in both cases, whether it was on the 90 or the 180, it is economic. So they will have moved plans potentially or would have been a participant in a subsidized, so a patient assistance program that might have expired. And it’s an economic barrier to the transition to future ones.

So we think it’ll be we’re planning in that range. But again, there’s also the recognition that by the time you use the product for a year, it really does become part of your life. And that’s certainly, of course, the case with now all the three sixty five sensors.

Ben Haynor, Analyst, Lake Street Capital Markets: Okay. That makes sense. Definitely helpful. And then is there anything you can share on kind of the mix of diabetics that are getting these things? Has it changed much between what you’ve seen historically, type one, type two using insulin, intensive insulin, hypo unaware, etcetera?

Tim Goodno, President and Chief Executive Officer, Senseonics: It certainly started out where all CGM started out being very heavy into the type one. But especially because of the long duration and frankly the ease of use. We are seeing the vast majority of our patients now about seventy five percent are type 2s that are coming in. Very attractive space for us is the folks that are on basal insulin. Again, they’re looking for a technology that’s got a little bit lower overhead and going into the office having one procedure done and then being able to forget about it for the next three sixty five days is pretty attractive for them.

So our biggest growth by far is coming from type two patients.

Ben Haynor, Analyst, Lake Street Capital Markets: Okay, that’s great. And then on

Nicole, Research Team Member, Senseonics: consignment, is there kind of

Ben Haynor, Analyst, Lake Street Capital Markets: a ballpark way to think about it once you do go consignment with the clinic or provider of the kind of increase that you expect to see in patient starts that can be expected when these folks move over to that program?

Tim Goodno, President and Chief Executive Officer, Senseonics: Rick, you take want that one? I don’t know if we’ve got good data on the growth due to consignment. It really is remember, this is a fairly expensive device now that it’s up to a year for a doctor to purchase upfront. So we implemented a consignment program as a way to moderate that buying barrier.

Rick Sullivan, Chief Financial Officer, Senseonics: Yeah, and I think just to add to that, a provider isn’t on a consignment program or nothing else. They may have consignment sensors on their shelves ready for patients that are reimbursed through those specific payers. They also may still go through our other channel as well, traditionally through those DME channels through Ascensia. So it’s not a one or the other, but as we continue to add Care physicians and utilize adding physicians to that consignment program, we are seeing the volume increase.

Nicole, Research Team Member, Senseonics: Okay,

Ben Haynor, Analyst, Lake Street Capital Markets: got it. And then lastly on eOnCare, there any revenue contribution models for that’s factored into guidance on that? And is that meaningful? Or should we expect it to be meaningful for the year?

Tim Goodno, President and Chief Executive Officer, Senseonics: Rick, you want to go Sure.

Rick Sullivan, Chief Financial Officer, Senseonics: Yeah, there is some contribution from the EON care services as it relates to procedure revenue, so not revenue from the sale of product. But that’s low single digit percentage. So it’s not something that we’re going to break out today. But it will certainly grow as the EON care becomes a larger percentage of our total procedures and as we increase providers over the coming years.

Ben Haynor, Analyst, Lake Street Capital Markets: Got it. Excellent. Well, you for taking the questions gentlemen. Congrats on the progress.

Conference Operator: Thank you. We’ll go next to Sean Lee of H. C. Wainwright. Your line is open.

Sean Lee, Analyst, H.C. Wainwright: Hey, good afternoon guys and thanks for taking my questions. I just have two quick ones. First on the package with SQL’s twist. So you mentioned that SQL launched twist last month. So I was wondering what was the commercialization of the combo look like?

Is it gonna be a co marketing agreement or is there something else?

Tim Goodno, President and Chief Executive Officer, Senseonics: There is quite a bit of co marketing that we plan on doing as they launch their new sensor in combination. The commercial teams have actually been working for about the last three or four months to be prepared for the day. The formal relation is actually through a development agreement where they have specific responsibilities and we have responsibilities. So that we’re actively following and executing, but by the nature of the uniqueness of their pump and their algorithm and the uniqueness of the one year sensor, it’s pretty exciting to be taking to patients that innovation. So that’s a big part of how we’re going to work together.

Sean Lee, Analyst, H.C. Wainwright: I see. Thank you for the additional clarity. My last question is on the upcoming ID pivotal study for Gemini. So I was wondering, what would the design of that study be like? Is it similar to what was done previously with Eversense?

Thanks.

Tim Goodno, President and Chief Executive Officer, Senseonics: Nicole, would you mind speaking I to

Nicole, Research Team Member, Senseonics: can take that in. So, what would be similar would be the evaluation, right, where we bring the patients to the clinic and hook them up and do a bedside monitoring of that accuracy to YSI, while we look at the glucose data coming out of the CGM and compare the two. What we intend to do in this clinical study is to just test for validate the new features, which is the flash part of it, and not go through the entire longitudinal one year because the sensor part of the Gemini is the same as three sixty five. This is how we are planning on that study. We still are in discussions with FDA doing a pre serve and having those discussions.

So, it still have to be worked through that, but that’s the intent.

Sean Lee, Analyst, H.C. Wainwright: I see. Thanks again for taking my questions.

Nicole, Research Team Member, Senseonics: You’re welcome.

Conference Operator: We’ll move next to Anthony Petrone of Mizuho Group.

Anthony Petrone, Analyst, Mizuho Group: Thanks and congrats on the quarter here and the launch on Eversense so far. Any comments from the Senseonics vantage point on the CMS proposal for competitive bidding and then just bundling with insulin pumps. It almost seems like the payment, if that does go through, that actually Eversense is in a favorable, I guess, position because technically I don’t think would fall into that category. But I may be misspeaking there. But just again, the views on competitive bidding and just what that actually means for Eversense if it becomes a final rule as we head into 2027.

Then I’ll have a follow-up.

Tim Goodno, President and Chief Executive Officer, Senseonics: Yeah, Anthony, we agree with that assessment. Definitively, Eversense is compensated by Medicare as a medical benefit. So it’s a Part B benefit. It is not a DME product. And they remunerate us, as you heard, through the payment for the combined buy and bill.

And therefore, we recognize that we will not be part of that competitive bidding products because it is a DME process that they follow. So it’s those home use products that are subject to it very similar to what they did in the diabetes technology space for blood glucose mirrors and strips. But it is a result of that DME process. As a medical benefit with a published annual CPT code and the reimbursement for it, we certainly be outside of that.

Anthony Petrone, Analyst, Mizuho Group: No, that’s helpful. And then the follow-up there would be on the provider transition eon care, increased number nurse practitioners that are now implanters, inserters, just what’s the timing there for actually when you can see that actually start to benefit volumes? If you can give us just a scale of what that represents in terms of percentage increase in total number of implanters for Eversense. Thanks again and congrats. Yeah,

Tim Goodno, President and Chief Executive Officer, Senseonics: so we are right around 40 professionals right now. Over the next three or four months, we’re to take that to 50. And then we plan to double that again in 2026. So it’s going to be a very material component. It offers us not only the advantage of that flexibility, it also allows us to more regionally cover.

So in situations where as we have transitioned to more and more type two patients that are seen more and more by primary care, it’s less likely that they’re going to be large inserters. So those areas we’re augmenting with this network of closely held and closely trained but ten ninety nine nurses. So they work on contract. We pay them an hourly or a per diem rate. And then through the EON we’ll actually bill for the procedure as well as that bundled payment if in Medicare or bill it through the commercial pay if going through the more traditional route.

Thanks again, Tim.

Conference Operator: Thank you. This does conclude our question and answer session. I’d be happy to return the call to Tim Goodnew for closing comments.

Tim Goodno, President and Chief Executive Officer, Senseonics: Well, great. Thank you. We feel very excited about the progress that we’re making with Eversense. The $3.65 product has truly shown some exciting times. We’re excited to continue to be working with the team at Ascenty as we ramp up the DTC investment, which we’re paying very close to and encouraged with the results that we’re seeing.

So look forward to updating you all in about a quarter on the progress and an important second half of the year for us. So with that, thanks everyone for the time and look forward to speaking with you soon.

Conference Operator: Thank you. This does conclude today’s conference. You may now disconnect your lines and everyone have a great day.