Financial and Operating Results as of and for the Nine Months Ended September 30, 2023
For the nine months ended September 30, 2023, the Company reported an 11% increase in ProSense® systems and disposable probes sales to $1.7 million, compared to $1.5 million for the nine months ended September 30, 2022, driven by higher sales in the U.S. and China. Revenues for the nine months ended September 30, 2023, were $1.97 million compared to $2.15 million for the nine months ended September 30, 2022, due to the end of revenue recognition from the exclusive distribution rights agreement with Terumo Corporation in Japan, which was partially offset by an increase in ProSense® systems and disposables sales.
Gross profit was $0.73 million for the nine months ended September 30, 2023, compared to $0.98 million for the nine months ended September 30, 2022. Gross margin was 37% for the nine months ended September 30, 2023, compared to 46% for the nine months ended September 30, 2022. The decrease in gross profit and gross margin was primarily attributable to the decrease in revenue recognition from the Terumo distribution agreement.
Research and development expenses for the nine months ended September 30, 2023, were $6.39 million compared to $6.89 million for the nine months ended September 30, 2022. The decrease was primarily due to a reduction in development expenses of IceCure’s next-generation single-probe system and a decrease in clinical and regulatory costs.
In support of ongoing global commercial adoption and in anticipation of increasing U.S. commercial efforts, sales and marketing expenses for the nine months ended September 30, 2023, were $3.23 million, compared to $2.24 million for the nine months ended September 30, 2022. General and administrative expenses for the nine months ended September 30, 2023, narrowed by 30% to $3.27 million, compared to $4.67 million for the nine months ended September 30, 2022. A portion of the decrease was also due to a decrease in director and officer insurance costs.
Total operating expenses for the nine months ended September 30, 2023, were $12.89 million, compared to $13.79 million for the nine months ended September 30, 2022. The decrease in operating expenses was primarily attributable to reductions in general and administrative expenses, which were partially offset by the increase in sales and marketing expenses.
Net loss reported for the nine months ended September 30, 2023, decreased by 11% to $11.66 million, or $0.26 per share, compared with a net loss of $13.03 million, or $0.35 per share, for the same period last year.
As of September 30, 2023, the Company had cash and cash equivalents, including short-term deposits, of approximately $13.2 million, compared to $23.66 million as of December 31, 2022. To ensure the Company is in a position to achieve its near-term objectives, IceCure has implemented an expense reduction plan that will reduce its non-revenue generating and clinical efforts costs, lowering the monthly cash utilization and ensuring it can meet its primary goals in 2024.
