While there have been several medtech companies that have been eliminating positions over the past few months, there is one firm that’s taking on new personnel.
Senseonics, the developer of the Eversense continuous glucose monitor, is expanding its sales team. The measure is a result of Ascencia, Senseonic’s distribution partner, making financial and strategic investments in the company’s technology.
“To broaden the commercial footprint forever Eversense, Ascensia is expanding the U.S. salesforce from approximately 20 sales reps in 4Q22 to a plan to about 50 professionals this year,” said Tim Goodnow, President & CEO of Senseonics, according to a Seeking Alpha transcript of the call. “This growing team is focused on increasing physician interactions, engaging new accounts, and expanding awareness. The sales force plans to build on ACP- focused exposure by hosting peer-to-peer events and having an increased presence in expanded territories.”
Marie Thibault, an analyst with BTIG, noted the move to increase the salesforce was favorable.
“While we anticipate it will take several months for the new reps to reach full productivity, we believe the added headcount will better position the company to reach new patients and providers later this year and in 2024,” Thibault wrote in research notes.
Senseonics is currently developing a 365-day version of the Eversense and is in a pivotal trial of the device.
“A top focus for us right now is on extending the wear time duration of Eversense to 365 days, patients enrolled in the expanded and enhanced study have all completed 180 days of wear time,” Goodnow said according to a Seeking Alpha transcript of the call. “This keeps us on track with our plan to make an FDA submission for the 365-day product in early 2024. A component of the enhanced trial included approval to evaluate Eversense in a pediatric patient cohort. And we are pleased to announce that we have initiated enrollment for this important group.”
The CGM space is rapidly growing and there could be plenty of opportunities for Senseonics. The CGM devices market was estimated to be valued at $7.8 billion in 2022 and is estimated to expand at a compound annual growth rate of 4.4% from 2023 to 2030, according to research from Grandview Research.
The market could also gain a huge boost from Medicare coverage for CGMs being expanded for a broader group of beneficiaries with diabetes after removing the prior requirement of multiple daily insulin injections to be eligible for reimbursement. Additionally, coverage now extends to certain non-insulin-using individuals who have a history of problematic hypoglycemic events — when one’s blood glucose is lower than normal.
Senseonics’s rival, Dexcom, is one of the biggest players in the CGM space. The San Diego-based company made some moves recently that would see it expanding its presence in the market. According to a report from Reuters, Dexcom is investing $330 million over the next five years to build a manufacturing site in Ireland, which could create up to 1,000 jobs.