Greetings, and welcome to the Pulse Biosciences' Third Quarter 2024 Financial Results Conference Call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation. [Operator Instructions] As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Trip Taylor, Investor Relations. Thank you, sir. You may begin.

Thank you, operator. Before we begin, I would like to inform you that comments and responses to your questions during today's call reflect management's views as of today, October 30th, 2024 only and will include forward-looking statements and opinion statements, including predictions, estimates, plans, expectations, and other similar information. Actual results may differ materially from those expressed or implied as a result of certain risks and uncertainties. These risks and uncertainties are more fully described in our press release issued earlier today and in our filings with the U.S. Securities and Exchange Commission. Our SEC filings can be found on our website or on the SEC's website. Investors are cautioned not to place undue reliance on forward-looking statements. We disclaim any obligation to update or revise these forward-looking statements. We will also discuss certain non-GAAP financial measures. Disclosures regarding these non-GAAP financial measures, including reconciliations with the most comparable GAAP measures can be found in the press release. Please note that, this conference call will be available for audio replay on our website at pulsebiosciences.com in the News and Events section on our Investor Relations page. With that, I would now like to turn the call over to President and Chief Executive Officer, Burke T. Barrett.

Good afternoon. Thank you all for joining us. Today, I will start by providing updates on our business progress, and then Mike Koffler, Vice President of Finance, will review the third quarter 2024 financial results. Then we will be joined by Bob Duggan, Co-Chair of the Board; Darrin Uecker, Chief Technology Officer and Director; and Kevin Danahy, Chief Commercial Officer, for a question-and-answer session. By way of background, Pulse Biosciences is a novel medical company committed to health innovation using its patented Nano-Pulse Stimulation Technology or nano-PFA, a revolutionary energy modality that delivers nanosecond duration pulses of electrical energy, each less than 1 millionth of a second long to non-thermally destroy targeted cells, while sparing adjacent non-cellular structures and material. Nano-PFA technology, when used to ablate cellular tissue, has the potential to treat a variety of medical conditions for which an optimal solution remains unfulfilled. The company developed its proprietary CellFX system, a novel nano-PFA delivery platform and commercialized the initial application to treat benign lesions of the skin. In parallel, the company has designed and developed a variety of disposables, sometimes called end effectors to explore the potential use of the platform to treat disorders and other medical specialties such as cardiology, gastroenterology, gynecology, and ears, nose and throat. These indications include devices for open surgical procedures, endoscopic, or minimally invasive procedures and endoluminal catheters, and each has been used in preclinical studies. Based on our preclinical experience and the potential to significantly improve outcomes for patients in large and growing markets, the company decided in 2022 to focus its primary efforts on the use of nano-PFA energy in the treatment of Atrial Fibrillation or AF, as well as in a select few other markets such as Soft Tissue Ablation, where it could have a profound positive impact on…

Thank you, Burke. Today, I will highlight our GAAP and non-GAAP financial results. I encourage you to review today's earnings release for a detailed reconciliation of non-GAAP measures to the most comparable GAAP measures. In the third quarter of 2024, total GAAP costs and expenses increased by $2.4 million to $13.7 million compared to $11.3 million in the prior year period. The increase in GAAP costs and expenses was primarily driven by an increase in non-cash stock-based compensation expense, which was $3 million in the third quarter of 2024 compared to $1.8 million in the prior year period and also driven by other compensation and administrative expenses to support the expanding organization and the advancement of our NanoPFA devices. To remind everyone, non-GAAP costs and expenses exclude stock-based compensation, depreciation and amortization. Total non-GAAP costs and expenses in the third quarter of 2024 increased by $1.2 million to $10.4 million compared to $9.2 million in the prior year period. GAAP net loss in the third quarter of 2024 was $12.7 million compared to $10.6 million in the prior year period. Non-GAAP net loss in the third quarter of 2024 was $9.4 million compared to $8.5 million in the prior year period. In the third quarter, we strengthened the balance sheet considerably through the completion of the rights offering in July, raising $60 million in gross proceeds with the potential to raise an additional $66 million through the exercise of the associated warrants. As of September 30, 2024, cash and cash equivalents totaled $79 million compared to $44.4 million as of December 31, 2023. Cash used in the third quarter of 2024, excluding financing activity, totaled $8.5 million compared to $8.7 million used in the same period in the prior year and $8.7 million used in the second quarter of 2024. I will now turn the call back over to Burke.

Thank you, Mike. As we look forward, we are excited to continue our initial clinical experiences with our three products throughout the remainder of 2024 and into 2025. The focus at Pulse right now is to continue to treat patients in each of our three active indications, advance our clinical understanding of the performance of each device and move forward in the regulatory processes towards approved devices that maybe commercialized. To support our anticipated growth, we are building our team and the infrastructure required to conduct three pivotal clinical studies with these three products beginning in 2025. We strengthened our team with the additions of a new Co-Chair of the Board, a Vice President of Marketing, a Vice President of Clinical Engineering and a Chief Medical Officer of Electrophysiology. Now, joining us for the question-and-answer session today are Bob Duggan, Co-Chairman of the Board; Darrin Uecker, Chief Technology Officer and Director; and Kevin Danahy, Chief Commercial Officer. Operator, please open the call for questions.

It appears that there are no questions at this time. I would now like to turn the floor back over to Burke Barrett for closing comments.

Thank you, operator. I want to thank the Pulse team for another strong quarter. We continue to make great progress with all three of our applications and indications. And we look very much forward to providing updates again next quarter and in the future as information becomes available. Thank you all.

This concludes today's teleconference. You may disconnect your lines at this time. Thank you for your participation.