CVRx Announces Increased Inpatient Payment for Barostim Procedure
CVRx, Inc. (NASDAQ: CVRX) announced a significant increase in inpatient payment for its Barostim procedure. The Centers for Medicare and Medicaid Services (CMS) has reassigned the procedure to MS-DRG 276 for Fiscal Year 2025, effective October 1, 2024. This reassignment increases the national average payment from the previous range of $17,000-$23,000 to approximately $43,000.
CVRx's President and CEO, Kevin Hykes, expressed appreciation for CMS's recognition of the resource requirements associated with the Barostim implant procedure. The company believes this increased reimbursement will facilitate greater access to the therapy for heart failure patients when performed in an inpatient setting.
CVRx, Inc. (NASDAQ: CVRX) ha annunciato un significativo aumento del pagamento per il ricovero legato alla sua procedura Barostim. I Centri per Medicare e Medicaid Services (CMS) hanno ridefinito la procedura come MS-DRG 276 per l'Anno Fiscale 2025, con decorrenza dal 1 ottobre 2024. Questa ridefinizione aumenta il pagamento medio nazionale dall'intervallo precedente di $17,000-$23,000 a circa $43,000.
Il presidente e CEO di CVRx, Kevin Hykes, ha espresso gratitudine per il riconoscimento da parte di CMS delle esigenze di risorse associate alla procedura di impianto Barostim. L'azienda crede che questo aumento del rimborso potrà facilitare un maggior accesso alla terapia per i pazienti con insufficienza cardiaca quando eseguita in un contesto di ricovero.
CVRx, Inc. (NASDAQ: CVRX) anunció un aumento significativo en el pago por hospitalización relacionado con su procedimiento Barostim. Los Centros de Servicios de Medicare y Medicaid (CMS) han reasignado el procedimiento a MS-DRG 276 para el Año Fiscal 2025, a partir del 1 de octubre de 2024. Esta reasignación incrementa el pago promedio nacional del rango anterior de $17,000-$23,000 a aproximadamente $43,000.
El presidente y CEO de CVRx, Kevin Hykes, expresó su agradecimiento por el reconocimiento de CMS a los requisitos de recursos asociados con el procedimiento de implante Barostim. La compañía cree que este aumento en el reembolso facilitará un mayor acceso a la terapia para los pacientes con insuficiencia cardíaca cuando se realice en un entorno de hospitalización.
CVRx, Inc. (NASDAQ: CVRX)는 Barostim 절차에 대한 입원 환자 요금의 중요한 증가를 발표했습니다. 메디케어 및 메디케이드 서비스 센터(CMS)는 이 절차를 2025 회계연도에 대해 MS-DRG 276으로 재지정하였으며, 이는 2024년 10월 1일부터 시행됩니다. 이 재지정은 국가 평균 지급액을 이전의 $17,000-$23,000 범위에서 약 $43,000으로 증가시킵니다.
CVRx의 회장 겸 CEO인 Kevin Hykes는 Barostim 임플란트 절차에 관련된 자원 요구 사항에 대해 CMS의 인식에 감사의 뜻을 표했습니다. 회사는 이 증가된 환급이 입원 환경에서 수행될 때 심부전 환자에게 치료 접근성을 높일 수 있을 것이라고 믿고 있습니다.
CVRx, Inc. (NASDAQ: CVRX) a annoncé une augmentation significative du paiement des patients hospitalisés pour sa procédure Barostim. Les Centres de Medicare et Medicaid Services (CMS) ont réaffecté la procédure à MS-DRG 276 pour l'Exercice Fiscal 2025, effectif à partir du 1er octobre 2024. Cette réaffectation augmente le paiement moyen national de la fourchette précédente de $17,000-$23,000 à environ $43,000.
Le président et CEO de CVRx, Kevin Hykes, a exprimé sa gratitude pour la reconnaissance par le CMS des ressources nécessaires associées à la procédure d'implantation Barostim. L'entreprise estime que cette augmentation de remboursement pourrait faciliter un meilleur accès à la thérapie pour les patients souffrant d'insuffisance cardiaque lorsqu'elle est réalisée en milieu hospitalier.
CVRx, Inc. (NASDAQ: CVRX) hat eine bedeutende Erhöhung der Zahlung für stationäre Behandlungen im Zusammenhang mit dem Barostim-Verfahren bekannt gegeben. Die Centers for Medicare and Medicaid Services (CMS) haben das Verfahren für das Geschäftsjahr 2025, wirksam ab dem 1. Oktober 2024, auf MS-DRG 276 neu zugeordnet. Diese Neuzuordnung erhöht die nationale Durchschnittszahlung von zuvor $17,000-$23,000 auf etwa $43,000.
Der Präsident und CEO von CVRx, Kevin Hykes, drückte Dankbarkeit für die Anerkennung der von CMS benötigten Ressourcen im Zusammenhang mit dem Barostim-Implantationsverfahren aus. Das Unternehmen ist der Meinung, dass diese erhöhte Rückerstattung einen besseren Zugang zur Therapie für Herzinsuffizienzpatienten im stationären Bereich erleichtern wird.
- Significant increase in inpatient payment for Barostim procedure from $17,000-$23,000 to approximately $43,000
- Reassignment to MS-DRG 276 for FY 2025, effective October 1, 2024
- Potential for increased access to therapy for heart failure patients due to improved reimbursement
- None.
Insights
The reassignment of CVRx's Barostim implant procedure to MS-DRG 276 by CMS is a significant development for both the company and the healthcare sector. This change, effective October 1, 2024, will nearly double the national average payment for the procedure from the current range of
This decision reflects CMS's recognition of the resource-intensive nature of the Barostim procedure. From a policy perspective, this move aligns with broader efforts to improve access to innovative therapies for chronic conditions like heart failure. The increased reimbursement could potentially:
- Encourage more hospitals to offer the Barostim procedure, expanding patient access
- Reduce financial barriers for healthcare providers in adopting this technology
- Potentially lead to more research and development in neuromodulation therapies for heart failure
However, it's important to note that while this change benefits CVRx and potentially patients, it also increases Medicare spending. Policymakers will likely monitor the utilization and outcomes of Barostim closely to ensure it delivers value commensurate with its new reimbursement level.
For investors, this development signals a potentially brighter future for CVRx, but it's important to consider how this might impact the company's market penetration, revenue growth and competitive position in the coming years.
The CMS decision to reassign CVRx's Barostim procedure to MS-DRG 276 is a significant financial catalyst for the company. This move effectively increases the reimbursement rate by approximately
Key financial considerations include:
- Revenue Growth Potential: The higher reimbursement rate could drive increased adoption of Barostim, potentially accelerating CVRx's revenue growth.
- Profit Margins: Improved reimbursement may positively impact gross margins, assuming the cost structure remains relatively stable.
- Market Expansion: Higher reimbursement could make Barostim more attractive to healthcare providers, potentially expanding CVRx's addressable market.
- Competitive Advantage: This development may strengthen CVRx's position against competing heart failure therapies.
However, investors should also consider potential risks:
- Increased Scrutiny: Higher reimbursement rates may lead to greater regulatory oversight and pressure to demonstrate cost-effectiveness.
- Market Reaction: While this news is positive, the stock price may have already factored in some of this upside, given the announcement's timing.
- Execution Risk: CVRx will need to capitalize on this opportunity through effective marketing and sales strategies.
Overall, this reimbursement change represents a significant positive development for CVRx, potentially improving its financial outlook and market position in the heart failure treatment space.
MINNEAPOLIS, Aug. 02, 2024 (GLOBE NEWSWIRE) -- CVRx, Inc. (NASDAQ: CVRX) (“CVRx”), a commercial-stage medical device company, announced today that Centers for Medicare and Medicaid Services (CMS) has reassigned the Barostim implant procedure for the inpatient setting as part of the Fiscal Year (FY) 2025 Medicare Hospital Inpatient Prospective Payment System (IPPS) final rule.
In FY 2024, Barostim was assigned to MS-DRGs 252, 253, 254 with a national average payment range of
“We applaud CMS’ consideration and recognition of the resource requirements associated with the Barostim implant procedure. We believe that reassignment to MS-DRG 276 will facilitate increased access to the therapy for patients with heart failure by establishing sufficient reimbursement for the procedure when performed in an inpatient setting,” said Kevin Hykes, President and CEO of CVRx.
About CVRx, Inc.
CVRx is focused on the development and commercialization of the Barostim™ System, the first medical technology approved by FDA that uses neuromodulation to improve the symptoms of heart failure. Barostim is an implantable device that delivers electrical pulses to baroreceptors located in the wall of the carotid artery. Baroreceptors activate the body’s baroreflex, which in turn triggers an autonomic response to the heart. The therapy is designed to restore balance to the autonomic nervous system and thereby reduce the symptoms of heart failure. Barostim received the FDA Breakthrough Device designation and is FDA-approved for use in heart failure patients in the U.S. It has also received the CE Mark for heart failure and resistant hypertension in the European Economic Area. To learn more about Barostim, visit www.cvrx.com.
Media Contact:
Laura O’Neill
Finn Partners 917.497.2867
laura.oneill@finnpartners.com
Investor Contact:
Mark Klausner or Mike Vallie
ICR Westwicke
443.213.0501
ir@cvrx.com
FAQ
What is the new inpatient payment for CVRx's Barostim procedure in FY 2025?
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