Evan Luxon Presents Centese at LSI USA ‘23

Transcription

Evan Luxon  0:05  

My name is Evan Luxon. I'm the co founder and CEO of Centese peace where we are transforming surgical recovery. As we just heard, over the past 50 years, surgery has undergone a massive transformation, thanks to the forces of digitization, quantification and automation, which has led to a massive improvement in outcomes for patients. Unfortunately, over that same time period, recovery has not progressed much at all. What you see here is a patient who is being tended to after chest surgery, where it's critical to understand how much fluid is coming out of the chest. And to get that fluid out in a timely manner. 50 years ago, this was done by putting glass jars on the floor and connected them to the wall. In order to collect the fluid, measure the air as it bubbles through the fluid and to measure the volume with graduations on the side of the canisters. Today, that same exact technique is used. But instead of glass jars, the nurses now use plastic boxes. And that's a shame because as surgery has Advanced Recovery has become exposed as the weak link in the patient's care, leading to delayed discharge, preventable complications and unnecessary costs for patients. Now, obviously, wherever there's a big problem, there's a big opportunity. And that's what we see at Santis is a massive opportunity to bring patient recovery into alignment with the advances made in surgical techniques themselves. And that's exactly what we've done with our system Thor guard. Thor guard is our solution to patient recovery in the digital age. Thoraguard takes the same forces that have transformed surgery itself over the past 50 years, and applies them to patient recovery. In doing so, we're able to enable earlier discharge with less complications and reduce costs. Thoraguard is a digital chest strain that provides superior performance versus the standard of care in a couple of key areas. First, Thoraguard provides superior data in the form of digital measurements that can be trended over time, to provide an increased confidence level for physicians as they make decisions about their patients course of care. We also have aI powered insights to support those decisions and to further codify best practices into the standardization of care. And second, Thoraguard provides superior drainage, including enhanced recovery due to its precision control and patient mobilization, which we enable with our built in suction, and automation of tedious nursing tasks due to our adaptive suction and clock clearance functionality. The results of this superior performance is superior outcomes with reduced costs. With superior data. shorter lengths of stay are possible because clinicians are more confident in the decisions they're making about their patient's discharge, resulting in a cost savings of nearly $3,000 per patient. And with superior drainage, patients experienced fewer complications, including a nearly 50% reduction in post op AFib following cardiac surgery, which is the most common complication in that field. This results in a cost savings of nearly $2,000 per patient. Now the market for better post op patient data and drainage is very large, because the need is ubiquitous across many surgical specialties. In total, it's a $6 billion market for thorough guard, which is intended for use and cleared for all thoracic chest surgeries. This market is worth 2.1 billion. And our beachhead market, which is lung and heart surgery is worth 1.1 billion. And we're starting there because this is the best market to go after initially due to the strong emphasis on enhanced patient recovery, clear and demonstrated clinical and financial impact, and the fact that there's already a rapid digital transformation underway. To support our commercial launch, we've performed clinical pilots with some of the country's top hospitals, including NYU, Stanford, and the Mayo Clinic and have experienced over 4000 patients to date. Through that experience, we've shown that Thor guard specifically does in fact provide superior data, leading to a full day reduction in length of stay for lung surgery, and that it also provides superior drainage, even though our catheters are smaller and less invasive than the standard of care. Due to our adaptive suction and clock clearance functionality. In addition to the core Thor guard system, we have a strong product pipeline that builds on our initial foundation to continue creating additional value over time. The two main areas we're focused on our AI powered insights and remote patient monitoring. The first embodiment of AR AR AI powered insights, which we call smart check, and are releasing now provides decision support functionality in order to augment the physicians decision making. standardize the practices for care, and ultimately lead to better outcomes for patients are remote, you go back for a second. Our remote patient monitoring functionality, which we call Smart View, enables some very interesting use cases, such as discharging patients with thorough guard in order to get them out of the hospital even sooner and allow them to recover at home, which obviously provides even further cost savings for hospitals. Our business model is a very straightforward razor razor blade model, where we have three core components. The first is our reusable control module. This is a piece of equipment that we sell for $3,000 with 35% margins, and then we have two disposables that go along with it. The first is the canister kit, which must be used on every single patient that uses thorough guard. This is a single use disposable, we sell it for $150 with 70% margins. And to enable our automated cloud clearance functionality, we offer our catheter kit, which is another single use disposable that we sell for $200 with 80% margins. In addition to those core product offerings, our ongoing product development will unlock additional revenue streams, including software updates for new features, and subscription for a remote data access functionality. When we launch thorough guard next year, we will start in lung surgery where the need is the greatest and the market is most ripe for disruption. From there, we will expand into additional markets with heart surgery being the next logical step and expand on the product offering including the release of our Smart View functionality. To drive sales will use a hybrid sales force of direct and independent reps, placing the direct reps in the densest geographies, and supplementing with independence in order to maximize impact while maintaining as much efficiency as possible. Related to that approach, we will focus on the hospitals with the largest revenue potential as our initial target accounts. In the US there are 60 hospitals each that are capable of generating over $1 million in revenue. Collectively, that's an $80 million dollar initial go to market opportunity. And although this is only a fraction of the total market, we believe that we can capture this portion very quickly and efficiently with growth that will make us a very natural acquisition target within the next couple of years. Part of the reason that we're so confident in this plan is because the competition in the space is limited and lackluster as the few competitors that do exist failed to provide the full value of enhanced surgical recovery. Thorough guard is the only system with the features and benefits needed to live up to this potential, which is why we will become the standard of care when we launch next year. You can see how we've projected that growth here ending this year with 15 hospitals and roughly doubling the number of accounts every year over the next few years. As we expand into additional markets launch new publications and new products to cement our position as the gold standard. We're now raising a $10 million Series B round most of that will go to sales, marketing, and research and development. And finally, this is the team. If you'd like to speak I'd really appreciate the opportunity. In addition to the partnering app and email address there you can find me in innovation pavilion up in the monarch room where I've got a throat guard demo, and we'll be happy to chat. Thank you