AtriCure (ATRC) investor relations material

Growth outlook and guidance

• Revenue growth guided at 12%-14% for 2026, following 15% in 2025, with innovation and new product launches as key drivers.

• Product launches in pain management (cryoSPHERE MAX, cryoXT), and appendage management (FLEX-Mini, PRO-Mini) expected to drive both volume and pricing uplift.

• EnCompass continues to expand the open ablation market, with significant untapped patient population.

• CryoXT, launched at end of 2025, expected to contribute meaningfully in the second half of 2026.

• Long runway remains in core franchises due to low current treatment rates and ongoing clinical adoption.

Profitability, margins, and capital allocation

• Adjusted EBITDA guidance for 2026 is $80M-$82M, with potential to exceed 20% margin ahead of prior targets.

• First full year of positive GAAP net income expected in 2026, with continued focus on organic growth investments.

• No near-term plans for formal capital return programs; capital allocation remains focused on growth.

• New manufacturing facility to be a short-term gross margin headwind, expected to turn positive within a year as capacity supports long-term revenue goals.

Competitive landscape and differentiation

• Entry of large competitors seen as validation of market size and opportunity.

• Competitive moat built on continuous innovation, clinical evidence, and education/training.

• Next-generation AtriClip products and exclusive clinical trial data reinforce differentiation.

• Anticipated competition from Edwards is expected to elevate the market, but lack of equivalent data and experience seen as limiting their impact.