CapsoVision (NASDAQ:CV) outlined its strategy to expand capsule endoscopy technology beyond its current small-bowel business into colon, pancreatic and esophageal cancer screening applications, highlighting its artificial intelligence capabilities, cloud-based workflow and upcoming regulatory submissions.
David Garcia, the company’s senior vice president of finance, said CapsoVision’s goal is to develop a single ingestible capsule capable of screening for five of the world’s 10 deadliest cancers: esophageal, gastric, pancreatic, liver and colon cancers. The company said its AI tools could help identify precancerous lesions before they develop into cancer.
Garcia described CapsoVision as a commercial-stage medical technology company, reporting $3.6 million in second-quarter revenue. He also said the company had 85 U.S.-issued patents and recently received FDA clearance for a small-bowel AI module. CapsoVision previously received FDA clearance for use of its capsule in small-bowel indications.
Four-camera capsule and small-bowel business
Doug Atkinson, CapsoVision’s senior vice president of sales, said the company’s capsule differs from conventional capsule endoscopy products through its four laterally positioned cameras, designed to capture a 360-degree view of the gastrointestinal tract. The images are stitched together into a panoramic view for clinicians.
Atkinson said the design is intended to mimic some of the visualization benefits of a flexible endoscope while avoiding the need for external equipment worn by patients. According to the company, patients swallow the capsule and do not need external data recorders or sensor arrays.
The company currently sells its capsule for small-bowel use, including evaluation of gastrointestinal bleeding, Crohn’s disease, celiac disease, tumors and other obscure conditions. Atkinson said CapsoVision has a direct sales force in the United States and Germany and uses distributors in 69 countries internationally. He also cited relationships with group purchasing organizations and said Kaiser Permanente uses CapsoVision as its primary modality for small-bowel diagnostics.
Atkinson said CapsoVision’s capsule has a 98% success rate in reaching the cecum for small-bowel examinations, compared with 84% for competing products, though he did not identify the source of those figures during the presentation.
Colon capsule submission planned
CapsoVision said it completed a pivotal study for its colon capsule in August and plans to submit the data to the FDA in the fourth quarter. Atkinson said the colon product includes a 3D sensor designed to measure polyps and help identify their location in the colon, including flat and other difficult-to-detect lesions.
He characterized colon screening as a substantially larger opportunity than the company’s existing small-bowel market, citing a $17.8 billion colon screening market. Atkinson said the company sees potential both for screening and surveillance, as well as for patients who may be unable to undergo conventional colonoscopy because of age, blood-thinning medication, previous complications, incomplete prior procedures or other conditions.
The company said a colon capsule could be priced at about $600, compared with an estimated $3,500 to $5,000 for a conventional colonoscopy. During a question-and-answer session, Garcia said the current small-bowel capsule sells for $425 and costs the company about $200 to produce. He said the capsules are single-use devices.
Company executives also confirmed that patients using the colon capsule would still need to complete standard colonoscopy preparation. However, Atkinson said the procedure could be administered through telehealth and completed at home.
AI and cloud workflow
Johnny Wang, CapsoVision’s chief executive officer and co-founder, said the company’s workflow is designed around cloud processing. Patients can swallow the capsule at home and send it to a downloading center after it is excreted, Wang said. Images are then processed and uploaded to the cloud, allowing physicians to review them remotely.
Wang said the cloud-based approach provides computing capacity for AI analysis and allows CapsoVision to retain image data for training AI models. He said AI can reduce reading time for physicians, potentially lowering small-bowel review time from about 30 minutes to several minutes and colon review time from more than an hour to roughly 10 to 20 minutes.
The company is also pursuing pancreatic and esophageal applications. Wang said a pancreatic clinical study began several months ago and is focused in part on identifying abnormalities around the pancreatic duct and surrounding anatomy. For esophageal screening, he said CapsoVision expects Canon to provide a high-definition, high-dynamic-range CMOS image sensor by year-end. Garcia said a study involving esophageal varices is expected to begin in the second half of the following year.
Garcia said CapsoVision generated $13.6 million in revenue in 2025, representing 15% year-over-year growth, with a 53% gross margin. He added that the company had no debt outstanding as of June 30 and completed an $18 million registered direct offering in September. The company also established a $100 million at-the-market equity program in August.
About CapsoVision (NASDAQ:CV)
CapsoVision, Inc is a medical technology company focused on developing and commercializing diagnostic solutions for gastrointestinal diseases. The company’s primary product is the CapsoCam Plus capsule endoscope, an ingestible camera that captures images of the gastrointestinal tract as it passes through the digestive system.
CapsoCam Plus is designed to provide panoramic imaging, including a 360-degree view, to help physicians examine areas of the small bowel that can be difficult to assess using conventional endoscopy.
