Heartflow Prices IPO, Aims to Raise $180M for Heart Imaging Software

Heartflow, a company specializing in 3D heart modeling software, has set the terms for its initial public offering (IPO) on the Nasdaq, aiming to raise approximately $180 million. The move comes as the company expands its product portfolio and secures significant insurance coverage for its innovative plaque analysis software.

IPO Details and Financial Outlook

Heartflow plans to offer 12.5 million shares priced between $15 and $17 each. At the midpoint of this range, the company expects to net $180.5 million after fees, with the potential to increase to $208.4 million if underwriters exercise their options to purchase additional shares.

The company's preliminary unaudited revenue for the second quarter of 2025 shows impressive growth, ranging from $42.9 million to $43.4 million, representing a 38% to 40% year-over-year increase. This growth is attributed to a rise in revenue case volume, which climbed 47% to 48,420 cases.

Despite the positive revenue trends, Heartflow's cash reserves decreased from $109.8 million at the end of March to $80.2 million by the end of June, primarily due to annual bonus payments, IPO costs, and interest on debt.

Product Portfolio and Market Expansion

Heartflow's flagship product, Heartflow FFRCT Analysis, creates 3D heart models from coronary computed tomography angiography scans. Clinical trials have shown that this software is 78% more likely to identify patients requiring revascularization compared to standard care pathways.

The company is also diversifying its offerings with the introduction of Heartflow Plaque Analysis software. This new product recently received a significant boost when UnitedHealthcare announced it would provide coverage across all its lines of business, including Commercial, Medicare Advantage, and Community plans, effective October 1, 2025.

Insurance Coverage and Industry Guidelines

UnitedHealthcare's decision to cover Heartflow Plaque Analysis aligns with recent guidelines from EviCore, a radiology benefit manager that provides coverage recommendations to major commercial health insurers. This move makes UnitedHealthcare the first insurer to fully adopt EviCore's updated cardiac imaging guidelines, which now include Heartflow's software.

The expanded insurance coverage is expected to play a crucial role in Heartflow's commercialization efforts, as the company seeks to diversify beyond its FFRCT Analysis software, which accounted for 99% of total revenues at the end of March 2025.