Cardiovascular Systems, Inc.

Ladies and gentlemen, thank you for standing by and welcome to the Cardiovascular Assistance Inc. Fiscal Year 2021 Second Quarter Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speaker presentation, there will be a question and answer session. To ask a question during the session, you will need to press star 1 on your telephone. If you require any further assistance, please press star 0. I would now like to hand the conference over to your speaker today, Jack Nielsen, Vice President, investor relations, and corporate communications. Thank you, and please go ahead.

Thank you, Chris. Good afternoon, and welcome to our fiscal 2021 second quarter conference call. With me today are Scott Ward, CSI Chairman, President, Chief Executive Officer, Rhonda Robb, Chief Operating Officer, Jeff Points, Chief Financial Officer, and Dr. Ryan Eglin, Chief Medical Officer. Approximately 30 minutes ago, we issued a press release announcing second quarter results. You may find a copy of this release on the investor relations section of our corporate website. Here you may also find an earnings supplement that includes additional details on our performance and outlook. In a few moments, CSI management will discuss results for our second quarter, which ended on December 31st, 2020. After our prepared remarks, we will entertain your questions. During today's call, we will make forward-looking statements. These forward-looking statements are covered under the safe harbor provisions of the Private Securities Litigation Reform Act, of 1995 and include statements regarding CSI's future financial and operating results or other statements that are not historical facts. Actual results could differ materially from those stated or implied by our forward-looking statements due to certain risks and uncertainties, including those described in our most recent Form 10-K and subsequent quarterly reports on Form 10-Q. In particular, the COVID-19 pandemic has created risks and uncertainties for our business, results of operation, financial condition, and prospects, which we will discuss on this call. CSI disclaims any duty to update or revise our forward-looking statements as a result of new information, future events, developments, or otherwise. We will also refer to non-GAAP measures because we believe they provide useful information for our investors. Today's press release contains a reconciliation table to GAAP results. I will now turn the call over to Scott Ward.

Scott Ward Thank you, Jack. Good afternoon, everyone, and thank you for joining us today. I hope that you and your families are successfully navigating through this pandemic. This afternoon, we reported that our second quarter revenue grew 6% sequentially to $64.2 million. The surge in COVID cases and increased ICU demand began to negatively impact our procedures during the final weeks of December, and as a result, our revenue finished slightly below the midpoint of our guidance range. Considering the unprecedented spike in hospital admissions, We are really pleased with these results, and I am proud of our team's focused support of our customers and patients, especially under these extreme conditions. During the second quarter, COVID continued to have an asymmetric impact across the U.S., mainly impacting semielective procedures like the above-the-knee and claudicin segment of the peripheral market. while the non-elective procedures, including critical limb ischemia and coronary, have been more resilient. This trend has continued into January, and as a result, we expect our Q3 revenue to be down sequentially, but about in line with last year. Even though we expect the pandemic to negatively impact our sales in Q3, we remain optimistic about calendar 2021 and we expect our business to ramp sequentially throughout the coming year. We have continued to invest in our product pipeline, and we are excited about near-term opportunities like our peripheral balloons and the wire-on embolic protection device, as well as the longer-term opportunities like our hemodynamic pump and now our drug-coated balloon portfolio. So this afternoon, we will update you on how we are managing our business in this environment, Rhonda will provide commercial highlights, and our Chief Medical Officer, Dr. Ryan Egland, will discuss our recent announcement to partner with CVET on the development of drug-coated balloons for coronary and peripheral artery disease. But first, Jeff will provide you with details regarding our financial results and our third quarter guidance. Jeff.