GERMANTOWN, Md. - Senseonics Holdings (NYSE:SENS), Inc. (NYSE American: SENS), a medical technology company, in collaboration with healthcare provider Mercy, has announced the first commercial patient application of the Eversense® 365 Continuous Glucose Monitoring (CGM) system. This system is the only one of its kind to offer year-long glucose monitoring for adults with Type 1 and Type 2 diabetes.
Approved by the U.S. Food and Drug Administration last month, Eversense 365 is an implantable CGM system that requires only one calibration per week after the initial 14 days. The launch of this innovative technology is being managed by Ascensia Diabetes Care, a subsidiary of PHC Holdings Corporation (TSE 6523), and aims to alleviate the routine disruptions experienced with traditional CGMs that necessitate frequent sensor replacements.
According to Dr. Jeff Ciaramita, president of specialty service lines at Mercy, the introduction of Eversense 365 represents a significant advancement in diabetes care, offering a more convenient and reliable management method for an entire year with a single sensor. Mercy, which serves 3 million patients annually, anticipates that around 30,000 of its patients could benefit from the new CGM system.
The commercialization of Eversense 365 is expected to not only improve glycemic control but also to reduce the distress associated with diabetes management, potentially lowering healthcare costs for both providers and payers. Mercy's adoption of the system is part of its commitment to value-based care, aiming to enhance patient outcomes while also reducing healthcare expenses.
Senseonics' chief medical officer, Francine Kaufman, M.D., expressed excitement about the potential real-world benefits of Eversense 365 as it becomes available to patients across the U.S. The company anticipates that health systems nationwide will recognize and adopt the advantages of this long-term monitoring solution.
The Eversense 365 system is part of Senseonics' portfolio of glucose management products designed for the global diabetes community. For more information on Eversense 365 and to learn about availability, individuals can visit the product's website. This news is based on a press release statement.
In other recent news, Senseonics Holdings witnessed an 18% year-over-year revenue increase in the second quarter of 2024, totaling $4.9 million. This boost aligns with the FDA's approval of Senseonics' Eversense 365-day continuous glucose monitoring system (CGM) with iCGM status, a significant milestone for the company. Analysts from Stifel maintain a Buy rating on Senseonics, citing this FDA approval and the company's steady full-year financial outlook, with global net revenue expected to be between $22 million and $24 million. Meanwhile, BTIG maintains a Neutral rating on the company's shares. These are recent developments that also include the initiation of in-human clinical testing for the Gemini system and a collaboration with Mercy Health System to leverage Eversense for population health management. The company anticipates a temporary decrease in revenue in the third quarter due to the transition from the 180-day to the 365-day CGM system. However, Senseonics predicts a rise in the fourth quarter following the launch of its Eversense 365-day CGM system in partnership with Ascensia Diabetes Care, a subsidiary of PHC Holdings.
InvestingPro Insights
As Senseonics Holdings, Inc. (NYSE American: SENS) launches its groundbreaking Eversense® 365 CGM system, investors should consider some key financial metrics and insights from InvestingPro.
The company's revenue growth is noteworthy, with a 30.25% increase over the last twelve months as of Q2 2023. This aligns with the potential market impact of the Eversense 365 system, which could significantly boost Senseonics' market presence in diabetes care.
However, it's important to note that Senseonics is currently not profitable, with an adjusted operating income of -$73.75 million over the same period. This is reflected in an InvestingPro Tip which indicates that the company is "quickly burning through cash." This situation underscores the importance of the successful commercialization of Eversense 365 for the company's financial health.
Another InvestingPro Tip reveals that Senseonics is "trading near its 52-week low," with the stock price at 44.27% of its 52-week high. This could present an opportunity for investors who believe in the long-term potential of the Eversense 365 system and its ability to capture a significant share of the diabetes management market.
For those seeking a more comprehensive analysis, InvestingPro offers 6 additional tips for Senseonics Holdings, providing a deeper understanding of the company's financial position and market outlook.
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