Q4 2019 Earnings Call
[music].
Thank you for your patience.
[music].
Good morning, ladies and gentlemen, and welcome to tell us fourth quarter and full year 2019 earnings conference call.
At this time, because I know listen only mode. A question and answer session will follow the formal presentation.
Jim I hear this conference is being recorded Alitalia to turn the call first I would just do it Henderson Vice President corporate development and Investor Relations for tell a bio. Please go ahead Sir.
Thank you still in your and good morning, everyone earlier today tele by overly financial results for the quarter and year ended December 31st 2019, a copy of the press releases available in the company's website.
Joining me today, joining me on todays call or Tony Coalition, President and CEO, and Knorr brand and CFO.
We will begin the call they providing an overview of our operational highlights and then nor will provide a detailed analysis of our fourth quarter and full year financial performance later in the call.
Before we begin I'd like to remind you that during this conference call. The company will make projections and forward looking statements regarding future events.
We encourage you to review the company past and future filings with the FTC, including without limitation that competes form 10-K in 10-Q, which identified the specific factors that may cause actual results or events to differ materially from those described to me for wouldn't they.
These factors may include without limitation statements regarding product development product potential regulatory environment sales and marketing strategies capital resources or operating performance with that I'll know 10 during the call Hubertus too.
Thank you Stewart and good morning, everyone. We appreciate you taking the time to join US today on our first conference call as a public company.
For the benefit of those of you who may be nutella bio we are a commercial stage medical technology company focused on designing developing and marketing a new category a category of tissue reinforcement materials to address unmet needs in soft tissue reconstruction.
Our old attack and Overtax Prs products targeting their hernia repair and plastic and reconstructive surgery markets, respectively integrate layers of high quality biologic material with polymer fibers in a unique embroidered construction.
Our products are designed to improve clinical outcomes and reduce overall cost of care relative to other biologic based materials and have been implanted in over 8500 patients to date.
Before reviewing our operational highlights we continue to closely monitored the impact of coated 19 at our customers patients employees and business.
We will provide additional commentary on that shortly in how we are adapting our strategies as we continue to learn more but we would first like to review our strong finish in 2019 and the fundamental growth drivers for our business in 2020.
2019 was an exciting year for tele bio characterized by strong growth and momentum in our business driven by continued adoption of our Overtax and Overtax Prs product line and expansion of our commercial organization. We delivered 4.9 million in total revenue for the fourth quarter 2019 rigs representing 100% grow.
Over the prior year period, and $15.4 million in total revenue for the full year 2019 up 87% from 2018.
At the end of 2019, we had 35 sales territories in the U.S., which is an increase from 22 territories at year end 2018 and up from 30 at the end of the third quarter of 2019.
We exited 2019 with approximately 250 active hospital accounts and saw improved access to hospital accounts through being awarded multiple contracts with group purchasing organizations, including a large national GPL with over 1600 Hospital members, we estimate our current GPO contract to provide us access.
Approximately 19 Hoggard hospital accounts.
Throughout 2020, we will be highly focused on executing against these GPO contract and have begun the implementation process working hand in hand with each GPL in their health system members. Our territory expansion plan is align closely with our GPR strategy.
Creating new territories in high potential areas based on hospital access and surgical procedure procedural volume.
We have also optimize our legacy territories to confirm conform with this approach.
Through the recent appointment of Pete Murphy as our Chief commercial officer, we continue to evaluate and optimize our commercial strategy to ensure we are driving growth and productivity.
Related to Salesforce expansion, we have shifted to a more conservative hiring plan than initially planned due to the impact cold at 19 is having on our business.
Clinically are overtaxed products for hernia repair and abdominal wall reconstruction continued to deliver strong outcomes. We published data from our multicenter prospective post market study named Bravo, showing a zero percent hernia recurrence for failure rate at 12 months in the first 32 patient studies.
As the Bravo data continue to mature we recently conducted analysis on the first patient cohort at 24 months and expanded cohorts at 12 months and 90 days.
We have submitted these data to upcoming medical conferences for presentation to clinical abstracts characterizing overtax usage in robotic hernia repair. We're also accepted for poster presentation at the minimally invasive surgery symposium.
Throughout 2019, we continued to expand our product portfolio contributing to our revenue growth for our Overtax hernia products, we launch large sized devices at the beginning of the year for complex ventral hernia them and abdominal wall reconstruction in December 2019.
We added three additional sizes to our Overtax LDR product line designed for use in robotic and laparoscopic hernia repair entering 2020, we have a robust hernia portfolio capable of and of being implanted across the full range of hernia surgery, and we'll continue to introduce additional products over time to enhance our solutions further.
Yeah.
For plastic and reconstructive surgery, we initiated a controlled launch of our Overtax Prs products in mid 2019. Following five 10-K clearance of the devices. The intent of this controlled launch is to carefully and methodically enter the plastic and reconstructive surgery market being share to gather clinical feedback on the performance of our products.
Across the variety of surgical techniques employed in these procedures based on Implantations to date surgeons have provided us with valuable feedback and we plan to continue commercializing opentext Prs in a controlled manner, while gradually expanding our surgeon network throughout 2020, similar to our portfolio expansion of hernia over.
The tax hernia products, we intend to incorporate surgeon feedback to develop new generations of Overtax trx products to enhance our product portfolio.
Now turning to the impact of coded 19, and our business why our supply chain and commercial footprint are largely insulated from the Chinese and European markets. Many hernia repair surgeries are able to be deferred and postponed until a later date.
Many hospital systems have also sent out notices to limit access to non incentive personnel, including sales representatives as they work to mitigate the spread of the virus and improve containment measures.
Well, we are seeing a reduction in procedural volume in Q1 2020, we have shifted to a more conservative commercial hiring plan, we're working diligently to protect our business and position ourselves.
In a position of strength throughout this unprecedented time.
We are deploying innovative sales and marketing tactics implementing virtual solutions that allow it to effectively educate surgeons on our product portfolio and partner with our hospital supply chain customers to continue contract implementation discussions we are augmenting the reach of our in house commercial organization by a third parties to maximize it.
Pencil impact of our education efforts.
We are also implementing additional training initiatives throughout our commercial organization to further enhance our level of service and ensure our team continues to serve at the high impact resource for our customers. We continue to work with our surgeon hospital customers and sales team to better understand is dynamic and the extent to which it may impact.
After our business.
Due to the fluid nature of situation, we will provide guidance on our Q1 2020 revenue on today's call and hope to provide full year guidance in may during our Q1 2020 earnings call assuming more stable market conditions.
I would like to turn the call over to Nora to review, our fourth quarter and full year financial summary.
Thanks.
Good morning, everyone.
Thank you for not financially.
In todays semi of our financial results for the point quarter and full year 2018.
Subject, commenting on our financial results I will also provide our annual guidance for Q1 2020.
Hey, Tony Tony highlighted.
John commercial application revenue for the fourth quarter, I'm 28 increased 100% every year to 4.9.
For the full year 2019 revenue increased.
The 15.4 than compared to fiscal year 2018.
The increase in both periods when due primarily to the expansion of our commercial organization.
Jason within existing customer account.
The introduction of additional products and our other tech for any franchise.
Yes.
Gross profit as a percentage of revenue includes an abundance linked quarter and full year period.
With respect to prior year period due to the decrease in charge recognized for excess and obsolete inventory adjustment as a percentage of revenue.
Fourth quarter gross margin increased to 61% from 42% any here earlier period awfully, our gross margin increased 6% from 30 consistent for the full year 2018.
Sales and marketing expenses were 5.4 million in the fourth quarter 2018, compared to 49, the same period in 2018.
For the full year 2018.
Sales and marketing expenses were 18.1 million compared to 13.6 claim for the full year 20.
The increase in both periods was due to the expansion of the commercial organization and related entity.
He makes sense, it's like 2.5 main fourth quarter 2018 compared to $1.5 million.
28.
Critically in 28, changing expenses were 6.2 million compared to 4.9 and 28.
The increase in the fourth quarter and the full year was primarily due to increased professional fees associated with operating into public company.
Well as increased personnel.
R&D expenses were 1.99 point put in 2019.
Our point 2 million for the full year 2018.
These consequently unchanged compared to the thanks.
Awesome operations was 5.8 million fourth quarter, 20 and team compared to 5.59.
Yes.
For the full year 2018 loss from operations was 19.2 million compared to 17.89 for the full year 2018.
Moving to $2.2 million being.
Litigation settlement in 2018.
Some operations quota for the full year 2018 19.9.
Net loss of 6.5 million and its liquidity between 18 and improvement coming up on the 7.49 and thinking 20 team.
Moving to $2.2 million gain on litigation settlement 20 team have net loss of 22.4 million.
Full year 2018 improved from a net loss of 23.39.
Full year 20.
We ended 2019 with $54.6 million in cash cash equivalents in short term investments compared to 17.3 million at year end 2018.
Increase includes net proceeds.
Approximately 50.69.
Companies initial public offering completed in November 20.
Now turning to the outlook for Q1 2020, we expect total revenue range of 3.5949, representing growth of 6% to 21% over the prior year period.
Revenue estimate includes impacted to decrease procedural volume and sales have access to hospital system, including 19 as based on information we have as of today.
We've also connected every week every deal that full year 2020 by being an operating plan and have identified Kevin strategy to mitigate our cash bring online and going on.
We've already implemented a more conservative commercial hiring plans than initially planned.
And we'll continue to be judicious on a cash consumption appropriately spot.
As Tony mentioned, we hope to provide full year 2020 guidance in may so at first quarter earnings call anymore given market conditions.
I'll now turn the call back over to the operator and open up the question.
Thank you ladies and gentlemen, if he has a question at this time. Please press Star then one I touched on telephone.
Your question press the pound key.
Our first question comes from Raj Denhoy of Jefferies. Your line is now open.
Hi, good morning.
Yeah.
I Wonder if I could maybe ask a little bit about sort of the complexion of revenue here in the first quarter Rashid right. The in here the first quarter, you've given three to five to 4 million, which is down sequentially from what you guys did in the fourth quarter. So wonder if you could maybe just provide us a little bit of of insight into how the core how the months of this quarter have tracks. The first quarter. How you guys did January February.
Maybe how dramatic falloff has been in March.
Sure Raj so.
No we don't intend to give exact sales numbers month by month.
I think that we'd be a headache for all of US given the fact that everything about our business from the way, we in sense and compensate our salesforce.
To the traditional way.
Our business in other medtech businesses rollout through the quarter.
You know, it's it's a quarterly based.
You know incentive package and and performance right. So generally we get strong month in the last last month for the quarter I think in general terms I would say that our January and February we're within a reasonable range for us to attain our targets.
We probably started to see a little bit a wobble in the back half of the February.
And certainly we started to see it in early March.
One of our largest most successful markets.
Driven by our early attainment of access through some local GPO is is the New York City area. So we lost that market pretty thoroughly early in the game here.
I think in March I would say that.
It's been fairly steady revenue coming in we might be seeing a little bit of a drop off here as we close the month of March but certainly at a lower level than what we would have been accustomed to within normal strong March we have as you know Raj an added.
Element that that influences all of this and that we were awarded and started implementing the healthtrust contract.
On February Onest.
So we had exactly.
One month, maybe of unfettered implementation.
Planning and activity going.
In that time period, we saw great activity and I'll just give you a couple of metrics right. So in all of 2019, we had approximately new 40, new consignment accounts set up signed and implemented.
In the first two months of.
Of the quarter. This year, we had 32.
Consignment accounts in motion.
A lot of those signed sealed and implemented and a lot of those in progress in the final in the final stages once we get into that.
Process of consignment implementation it generally goes through right. So so the uptick.
In our ability to get access and product on the shelf.
Was very very strong for the start of the year.
And we believe that it was going to contribute greatly to March and then even more so in April.
We're going to continue with those activities in the best way that we can one of our mitigation strategies here. During this next period.
Is to push consignment inventory as much as possible in areas that are open.
To us that includes old current consignment.
Locations as well as any of these new consignment locations. So if you look at a typical.
Ratio of what fifth third month of any quarter would look like.
We were set up for more than that I would say so that's probably the best commentary I can give on that.
No that's that's actually very helpful.
I just might for my second question I would want an IND by not be.
Really fair question do you noted that there really two dynamics taking place you're right. So there is the reduction in volumes given everything that's going on in the market and there is also this access issue right that yes reps getting into into hospitals and actually training and converting surgeons is probably.
A little lower than it would be.
I want explore the first one a bit more you know when you think about a complex ventral hernias, particularly on the complex side right now.
How long can these types of procedures the delayed.
How how much of reduction if you've seen in those procedures and do what do you expect will start to come back.
Yeah. That's a that's a good question. So if you look at the complex and of our revenue in March which obviously is the most impacted month within this situation.
We are mainly seeing.
The complex.
Ventral and add wall procedures.
I'm not going to say uniformly going on but that's generally what we're getting.
In terms of.
Consignment requests you know our rep stepping in to be helpful, where they can be those are the types of procedures that we're seeing right now.
If you take a look back.
To the last couple of quarters and even the first two months of this year.
Our hernia business was a broadening really really well.
Part of our ambition is to bring the concept of natural hernia repair to all patients to minimize the amount of permanent polypropylene match implanted into people and so that means.
More inguinal procedures more high ale procedures, and more robotic procedures and we absolutely have been seeing that migration are.
Our ratio or percentage of.
England on hail procedures.
Do you look back to Q1 of 19, our England Olin high it'll procedure count was about 24%.
So far in Q1 of 2020, it's running at 35%. So I think that's a tremendous indicator of our natural repair solution being adoptable across all hernia procedures I think it's a good indicator of our compatibility with the robot.
Very good indicator of our value proposition in price point.
Being acceptable.
And it also is in the early stages of being fueled by the rollout of our LDR product range.
So obviously back to your question.
His background the England on high it'll space is all push of all right Thats all possible I.
I think there is a high percentage of the ventral procedures that are pushing Paul if they are in great. One two or maybe even some simpler grade three I think the really complex infected.
Ross cases, maybe with cancer those are emerging and I think have a better opportunity of being done if you look at the CMS.
Cadence and rating system.
I think our procedures fit into that to a and to be category. So.
Virtually all most except for the most.
Appreciating emergent cases are probably deferrable.
England falls in high Aidells, I think can be deferred for a long time potentially.
Certainly three to six month range if need be.
And then that probably hold for some of the simple events roles as well.
The complex ones I think are dependent on how complex they are.
If there.
Infected that's probably not very deferrable, but if the shift of recurrence and the patient is very active and it's been hanging around for a while those are probably deferrable.
And kind of course rise as you know anything that can fall into an assay, which is probably a lot of those robotic angles.
Certainly deferrable, so I I view, our hernia platform as as Deferrable Biomar. Okay. No. That's that's super helpful. Maybe Norges quick one for use on the expense side right. So.
You mentioned in his prepared remarks that you're hiring plans or anything could review here.
Given all the uncertainty, but when you think about the expenses so the fourth quarter operating expenses about 8.8 million.
How should we think about that trending over the course of the year.
You gave topline guidance for the first quarter, but how should we think about how you manage your expenses through this period.
Yeah I mean.
Again, we're not going to give guidance on on the you might just broad level, we're starting to think about.
Hiring plan, we're going to be markets every is not the scale up again, it's going to be important new China.
Condition, rather than the territory, but some of them from the hiring plans and deferred and tell me or income again that have been studying one tenant until that 19. So again I don't project side, we're guiding into money I assume that weekend, but for right. Now we're just trying to be thoughtful about on hashing.
Yeah, So I'll just throw a little color on that rise we from a sales force perspective, we're still putting offers out but we're deferring the hiring date until later in the year.
So we're we're keeping the machinery going our goal is to come out of this thing stronger and in better shape.
Then we are today right. That's one aspect of it but one massive layer I mean that liebig the big lever that we have is our headcount right. That's payroll. So if you look at our original operating plan to be at 60 reps by the ended the year you know if we're in the low Thirtys right now.
Thank you can see that that's a massive shift.
In you know in head count.
As we.
I think more rationally about bringing restaurant given the situation. So thats a big fat lever that we can manage and of course peony goes with that the usual basic stuff. So that's probably the best way to think about it is headcount driven.
Well that's super helpful. Thank you guys.
Thank you and then next question comes from Matthew O'brien of Piper Stanley is your line is now open.
Good morning, Thanks for taking my questions and I'm sorry, if you go through this is your first quarter as a public company, but.
Just for all of US man again, [laughter], Yeah, no seriously. So just sticking on on a break down between between revenues.
Q1, Tony I know you don't want to get too granular on this but how were thinking strachey specifically on Prs.
Because I know that's a bigger growth driver for you guys over the next couple of years.
Yeah. So prs you know if any product that we have in our range is going to be impacted by this it's a product that's in its early phases of launch right. So I can say that the interest.
From our new GPO partners in this category have been.
Super strong I mean to the point, where we're actually getting calls.
About implementation right the the cost savings the value proposition I think our super clear.
And we feel very very bullish about the long term prospect of this product, particularly with the new access that we developed however that said we are committed to doing this in the right way and plastic surgeons are perfectionists than we want to make sure that we're launching this thing with the with the right amount of attention to detail.
So our ability to do that live and in person is now hindered so I would say you know again same thing you know March end of February we started to see.
That.
Tap out a little bit as well that said I think.
We're implementing what we're calling a virtual selling power model.
Where we can use.
The power of you know virtual tools to help drive both the hernia platform into Prs platform. So for example, we are driving kao well webinars.
We just finished up two days of intensive Salesforce training via Webex.
We've adapted all of that content to be as good I think as live content, but interactive we've just done our first of several surgeon VIP tours virtually and we are developing webinars and content for supply chain, Oh, our directors CRT D crts et cetera to continue.
You are the implementation process as best we can.
One of the platforms that were using to really drive. This is we've hired a third party service provider.
That specializes in telephone.
Selling basically I guess you'd called out almost in house selling.
With the idea that theyre rolling through our best surging contact and and.
Potential future customers.
And driving.
Participants in these webinars. So we've just kicked this process off about a week and a half ago.
Numbers.
Those requesting invitations looks pretty darn good.
Our target is to do as many of these things as humanly possible in the middle of all this.
That we can keep this rolling.
Prs and plastic surgeons are a big piece of that so hopefully we can continue that implementation.
Momentum across.
New product launches I guess that includes LPR as well and across hernia right. So when and if we do this well Matt.
This virtual selling power model hopefully become a permanent part of our armamentarium and it allows us to augment.
And enhance the productivity and reach of our sales reps that are on the ground.
So our goal is to come out of this thing with new and better programs that allow us to do better and the launch of Prs is a huge piece of that I mean.
Our goal is to do a very good job on its launch working very closely with plastic surgeons their perfectionist than they need to be.
Worked with very closely.
Okay and this this all kind of dovetails into my my next question, but.
Prs was going to be a big revenue contributor this year.
Given what's happening now given the slowdown in hiring which is completely understandable should you speak about the business. This year is when you come back with based come back you really focus aggressively on hernia that established market, you're trying to convert people quicker.
Versus a little bit longer selling process with prs and that Prs.
May come back a little bit more in 2021 and beyond.
Yeah, So I'd I. So right now I think it's it's hard for us to figure out, but I don't think it on reasonable at all for you to take.
The rationale that you had we had about the ratio of hernia to Prs and just apply it to whatever the restart looks like right. So you know the restart.
We don't know what the restart is going to look like but it could be where we see a you know a Q2.
That looks like it's low we see a Q3 starting to come back and then we see perhaps the Q4 that that you know ahead right based on how this restart goes at these procedures are not going to go away, there's going to be a good percentage of these procedures that have to get done and I'm, hoping that we're ready.
To step up and meet that challenge in the hospital should be as well.
You know these surgeons are going to get ANSI.
Patients still need to be treated so whatever ratios. We had in mind for contribution you know I think we just have to apply those ratios to whatever the situation holds I think thats my best estimate for it right now.
I think with Prs you know, there's probably an extra pull on it from the GPO.
Feedback that we've gotten so far based on its to curb value proposition. So I think that's the best we can do now I think we'll know a lot more by the next call on how our virtual selling power goes.
In the middle of all this.
Got it last one for me is just on the supply side of things and you guys addressed this to some extent I just wanted to make sure. This is clear though.
You've got a single supplier obviously the majority of your product comes from that area or from that part of the world. So still comfortable that things coming out in New Zealand will be.
The effective everything that's going on.
Well I don't know if I use the word uncomfortable what I'll say is we're in good shape right. So New Zealand.
Isn't organized country.
They probably have a.
A more compliant population and they've taken early measures from what we understand right. So.
They've ordered all non essential business to remain close for a four week period. This is with only 100 or so cases.
So.
It's unclear right now, whether they're going to be deemed essentially or not essential we we are deemed essential.
So they're supporting an essential business, but they've got to go through some type of a process to figure that out.
In the meantime, they've been running seven days a week.
Two separate shifts in case, you know somebody gets sick and I think they've done an excellent job.
Building up their work in process.
To support us.
That said if you look at our inventory position our stock in Malvern, just what we have in our warehouse here in Pennsylvania, We have 10 plus months roughly of Overtax hernia on hand.
And since we're very early in its Prs launch of course, we have 23 months of Prs. So that does not include inventory that we could potentially move around in the field. If this became a a prolonged situation, but I think right now we feel very good about our inventory.
On hand, and our ability to serve our customers going forward.
I can do that yes. Please.
That we've got consignment inventory sitting on shelf and hot.
With that we're not concerned about.
Well and they have hit for the confident early period as Tim mentioned, we haven't yet and customer inventory on hand here.
Yeah.
Sure.
Yes, and our partners done a great job like I said, Matt of building ahead as well.
They are ready very helpful. Okay very helpful. Thank you.
Thank you and our next question comes from piles of Canaccord Genuity. Your line is open.
Great. Thank you for taking the questions. This morning.
So there I guess I just wanted to lessen asset I wanted to.
Kind of touch on just the contribution of some of the new products in 2019, and how you're thinking about those.
At least with respect to the Q1, and just really want to touch on the large sizes and really what we've seen the emergence of the robotic products can you just kind of help us understand how the uptake trended specifically from a mix standpoint in 2019, and then maybe kind of how that was looking at least through the first two months of a of the Q1, you're sure let me let me address.
The robotic.
A question first I think that's super important for us as you can imagine.
As you look at the start Q1 of 2019, approximately 62% of our hernia business was open and 38% of that with them I guess with most of that.
Obviously being robotic.
As we as we shift to exactly what's been happening here in Q1 2020, such as it is a 55% of our procedures have been open and 45% have been robotics.
So.
We get these implant data cards.
Back from every procedure, John I think we have about a 50% hit rate of getting them back 55% hit rate I'm getting the signal.
And we ask exactly how the product with use and what procedure.
So we've had a pretty big cash maybe 1600 cards are so 2000 card stacked up and and over the last few weeks, we just in putting them into our database.
And got latest numbers, so 55% of all of our cases right now.
Have been tallied in this way.
And as of Q1, you know the movement from 62% to 55% down from open and 38% to 45%.
You know essentially robotics, so theres been a great shift that's been driven I think by the versatility of our product portfolio. Our one asked and core our robot compatible I'll call them Gen. One robot compatible and our LPR product I'll call. Gen. Two robot compatible is coming online so we.
Got early experience with LPR range with.
The three new products that have been added to that range that makes for total skews in the LPR range.
And I and although early the uptick.
Has been good in terms of.
Numbers and usage there.
As far as the ratio of hernia to plastic and reconstruction.
80 plus percent at this point is hernia.
Were there any other details in their Kyle.
No.
No that was very helpful. As it you covered it there and then.
See you talked about healthtrust going live in the Q1 you gave the.
Change and consigned accounts year over year.
But maybe kind of help us understand the magnitude of of the confined to count you have within healthtrust, now and kind of how that in.
If and when we restart things from a normalization perspective, how quick of a bounce back you're expecting those counts or or uptake of utilization in those new accounts that you're opening.
And then how much of that is also.
In the future on on the comp based on putting sales reps and things like that in those territories and regions. So I'll give you a snapshot right of our healthtrust footprint.
In Q3 of 2019.
We had approximately 43 healthtrust accounts that.
Use product and I think our definition was within the quarter. So whatever quarter. We measure. We said did did did they use product and that's not a bad figure given that we were vectoring towards getting on the contract which is great. So there might have been a little bit of softening and allowing.
Some access.
I tell you that shift from Q3 to Q1, we are now over 60 62 or more.
Health Trust.
Facilities that have used product within the quarter. So that's a great shift.
In a short amount of time.
So I believe that those accounts should be able to restart once we get moving again, but don't forget our virtual.
Our virtual rabbit Webinars program with supply chain or directors Crts DC Rds is going to continue.
For as long as it takes so to the extent that we can get mindshare and that we can get focus again, our goal is to come out stronger and be able to place consignment inventory at a quicker pace and again I I just want to point out that you know in all of 19, we did 40.
And in Yeah, you know in the first couple of months, we have 32 in motion as well.
So I think our pace and our ability is to it is gonna be.
It's going to be strong.
[music].
Okay, Great I appreciate the additional color there thanks for taking the questions for.
Sure. Thanks Kyle.
Thank you know and our next question comes from both separately at JMP Securities. Your line is open.
Thanks, I hope everyone stay in a safe and healthy.
Usually you mentioned.
The data.
I think we're looking for to your data on 25 patients.
One year on 50 90 day for I think 75, all in this sort of for Q1 Q I just any color you can give us or any [laughter] I know you said submitted but I'd love to just at a high level see what you think about it all right well you know the this situation takes away stuff, but a good stuff as well right.
Not much stuff, but some stuff and so the two year data and the latest data I think is one of those things. So we've submitted four or five abstracts.
They've been accepted or have a super high probability of getting excepted all of those meetings have been canceled.
So it's stalls our ability to you know to present on one hand, we're now going to shift the looking at whatever you know venues. We can get this thing published.
As soon as possible, our Chief Medical Officer has given me permissions.
To talk at least at the high level.
So that we can give you some information we're not gonna be able to drill down into the details were gonna have to save that for you know for the official presentation venues, but what we can share as of today is that.
Our analysis includes the first 20 patients at 24 month first 57 patients at 12 month.
And the first 84 patients at 90 days. So among the 24 month patient cohort, we have zero recurrences, though which is a great result, and consistent from the last three though.
And the expanded 12 month cohort, we have a one hernia recurrence so less than 2%.
What's interesting is is that one recurrence was in a diastase if that was well above.
Where the implant was place so officially it's a recurrence but to the product bail in recur no. So the data remains super strong, which is going to do nothing but enhance our ability to demonstrate a great value proposition within our GPO.
Partners.
Thank you for that doesn't tend thanks for all the detail on the call.
You guys. It really provide a lot I guess just to follow up on that.
I know you were talking to Premier and Vivian some other large ones I guess any update on where those stand today.
I don't think we're ready to discuss that yet I think we've made progress great progress on virtually all of them.
One of them.
A sub group within them I think is is viable for us. So Oh I think we're in good shape overall when it comes to.
These gpos our ability to demonstrate our value proposition you know, we're getting more and more confidence.
In that and we're in we're getting very positive feedback. So we'll have more to say that as as a as we get them, but we're feeling pretty good.
Great. Thanks.
Thank you know and ladies and gentlemen, this doesn't cleanup question answer session almost to turn the call back I like chemicals for any closing remarks.
I want to thank everybody again for your time. This morning for your interest and Tele Bio 2019 was an important a year for our company is really we nearly doubled our revenue.
Launch great New additional products grew our commercial infrastructure to support continued growth and completed or IPO to capitalize the company.
The fundamentals of this business are still strong.
We're confident that we can navigate these challenges.
Associated with the global pandemic.
Our goal is to keep our employees safe.
We want to help out a hospital employees and our customers, we don't want to be a burden to them, but we want to be helpful to them.
Our goal is to add value and I hope that you all on this call.
Our safe and keep your family's well thank you.
Ladies and gentlemen. This concludes today's conference call. Thank you for Paypal City May now disconnect.
[music].
[music].
[music].
[music].