Q1 2020 Earnings Call
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Thank you operator, good afternoon, everyone and welcome to the raise first quarter 2020, <unk> financial results Conference call. Joining me today, It's Scott Drake, our president and.
Chief Executive Officer.
Earlier today, the re issued a press release on our call that can be found on the Investor relations portion of our website at www Dot investors Dot D. Ray Dot com.
Today's call being broadcast and what caste wide and a replay will be available on our website for 14 days.
Before we begin I would like to caution listeners that comments made by management. During this call may include forward looking statements within the meaning of federal Securities laws.
These statements involve material risks and uncertainties and actual results could differ from those projected and any forward looking statement you didn't numerous factors.
For a description of these risks and uncertainties. Please see the raise annual report on form 10-K for the fiscal year ended December 31, 2019, and its quarterly reports on form 10-Q and that they didn't periodically with the companys other FCC filings.
Furthermore, the content of this conference call contains time sensitive information accurate only as of today April Thirtyth 2020.
The re undertakes no obligation to revise or otherwise update any statements to reflect events or circumstances. After the date of this call.
I will now turn it over to Scott.
Thank you for Kayla good afternoon, everyone and thanks for joining our call.
Today, we discussed the ongoing.
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And provide an update to our previously given 2020 guy.
Sure highlights from Q1 results and provide commentary on our capital preservation plan.
Well good insights into meridians utility during this pandemic provided an update clinical innovation and economic pipelines and announced recent board and management a point.
Including our new Chief Financial Officer.
Well, then review workable financials and look forward to answering your questions.
We were in the midst of an unprecedented and uncertain time as cobot 19 impact virtually every facet of life.
First and foremost, we all would that have gratitude to our clinical partners and frontline workers fighting this pandemic.
During these difficult times, our top priority.
Is the health and safety or 14 customers in patients.
We are focused on enabling our customers to continue to deliver meridian treatments in the face of the crisis. It yeah.
As a company. We're also taking responsible action to stop the virus from overwhelming our health care system like following CDC guidelines and government regulations, including travel restrictions and working remotely whenever possible.
I've been inspired by the way that our team customers and communities that come together across the world to improve the likes of patients down more than ever.
When we last spoke to you in early March we shared that we were actively monitoring and scenario planning for the cobot situation.
As the pandemic unfolded, we acted swiftly and thoughtfully.
Ever given the existing uncertainty we see that it is prudent to withdraw our 2020 guidance issued on or March earnings call as the full impact Corona virus remains on no.
Let me use installations as an example lumpy uncertainty.
Our team is making herculean efforts to continue to exhaust systems wherever possible.
We recently had a team under 14 day corn team at an agent site to safely enter a hospital to begin work.
Here in the U.S., we just started team completed installation in an urban hotspot.
Despite the obvious challenges this was one of our fastest installations ever.
In several instances our customers are moving forward with bolt preparation and installation activities, but given the nature of travel restrictions and changing priorities that our customers space. There is risk because the completion date of each active program.
We currently have five installations in process of which three have been delayed due to cope at 19.
Our pipeline includes other projects in various stages of bolt preparation and several are currently impacted.
We expect these installations to be successfully completed but under current circumstances. It is difficult to predict when.
Turning to our Q1 results we've recognized approximately 14 million in revenue primarily from two installations in one upgrade.
We received four meridian orders highlighted by a world renowned treatment training in research center in the Midwest.
Closing four deals this is a credit to our team despite circumstances inhibiting our ability to fully engage with customers.
Well, we have pivoted to virtual site visits for potential customers and are driving the pipeline forward every way we can.
Hospital decision makers are rightly focused on cobot 19 efforts.
We anticipate that major capital decisions will be impacted for some time and this is one of the key assumptions underlying our scenario planning.
Thus far in Q2, we have completed one installation that was recognized as revenue would have prior quarter and we have yet to receive any orders.
On the cash front, we ended Q1 with approximately $190 million on hand.
In the quarter, we used approximately 36 million inline with our projections.
About 14 million with seasonal Q1 spend that we will not see in the remainder of the year and none of the cash savings initiative that we've recently implemented were in place during the quarter.
As we shared before we're striving to still a cheaper gold is not going back to the equity markets in 2020, or 2021, and our aspiration goal is to say the same for 2022.
Our ability to achieve these goals is dependent upon how the current situation evolves.
We are in a highly dynamic environment and in order to keep these goals and reach we recently enacted a 30 million dollar cash savings plan for 2020, which includes approximately 20 million of operating expense savings and the balance in working capital.
These plans prioritize our innovation and clinical pipeline enter partly the result of a shared sacrifice from our team.
We stairstep salary reductions throughout the organization, including our board of directors and furloughed about 8% of our team.
Is right for our team customers in shareholders.
We are balancing the needs to make forward progress on our value creation, Pat while concurrently preservative capital.
In line with protecting our balance sheet, we are actively engaged with M.D.M.A. and add permit to work towards broader release that will help our customers financial liquidity.
Patient access to care and to protect jobs in innovation.
From a patient care perspective, we're working diligently to enable delivery of meridian's treatments for our customers in patients.
Our mission is to treat improve what others cans.
We can safely deliver high dose SBR tea, which evidence has shown is 75 to 100, great biological effective dose or B.E.D. 10.
We have demonstrated our ability to produce low toxicity with high doses across cancer sites, including the most difficult to treat cancers, such as pancreas ligaments liver and central lungs.
We currently have 37 systems in the market and utilization trends. During this pandemic have further displayed meridian's value.
Some customers have shared an uptick in SPR key as fewer treatments result in less exposure for both patients and hospital staff.
Further customers have diverted surgery patients to meridian for the same preventative measures and to open up needed hospital beds.
Dr. James Good at Genesis Care, Oxford stated quote the best in class Meridian solution from view Ray combines them arrive in radiation technologies, allowing us to see the target and shape the treatment accordingly.
At Genesis care, we have treated people with a wide variety of cancer conserves from localized prostate cancer to inoperable pancreatic cancer complex lung cancers, and multiple liver secondary tumors. This pandemic will come to an end, but at tennis care safer or SBR.
T on the Meridian platform is just getting started and quote.
In the hotbed of the virus Battle Doctor <unk> of New York Presbyterian or what his experience to like saying quote. During this covert 19 crisis, we are seeing additional significant benefit to treating prostate cancer patients with SPR t. on meridian.
By leveraging M.R. guided radiation therapy, we're able to reduce the number of patient interactions eight bowl compared to traditional therapy, which further minimize exposure risks for patients in hospital staff.
We also eliminate the need for additional procedures like the Newshel placement, which put unnecessary strain on hospital resources and equipment and quote.
While some sites are increasing utilization of meridian other customers are delaying radiation oncology treatments and prioritizing the need to treat code that patients.
Our customers are being responsive to their respective situations and we're supporting them in every way we can.
As we shared earlier, our action plans prioritize our innovation in clinical pipelines and we're working diligently to advance these workstreams.
The clinical Brian we are continuing to enroll patients interface too smart trial for pancreatic cancer.
Efforts regarding or clinical research and policy collaboration are ongoing yet had slowed at this time.
Because of the postponement conferences and meetings, there's less new data being presented.
Clinical work is still moving forward.
On the innovation front our team is continuing to deploy are most recent upgrade to customers in the field.
We had one physician publicly share that the new high speed M.L.C. has taken radiation delivery times down by 20% to 30%.
He was also pleased with how much greater image quality was at eight versus four frames per second.
We look forward to rolling out this innovation more broadly moving forward.
Lastly, I'd like to share recent changes made to our Oregon management team.
Last week, we announce that Chris Johnson joined our board of directors.
She is currently president in General manager affinity capital management and serves on the board of directors for a trickier and Clearpoint neuro incorporated.
She was previously board chair at Spectranetics and lead director at Piper Jaffray.
Chris held several leadership roles at Medtronic over the course of 17 years, serving most recently senior Vice President and Chief administrative officer.
It's notable that Chris was the first female general manager ever at Medtronic.
We're proud to welcome to our team.
Concurrently are founder Jim Dempsey stepped down from the board.
We are happy to brief him up so he can focus on is critical role of cheap scientific officer.
On behalf of our entire board I can't think him enough for all he has done and continues to do.
We're looking forward to deriving or innovation pipeline and Jim is essential to this work in a deeply value of business partner to me.
Regarding our management team, we're pleased to announce that or search for a chief financial officer has concluded.
I'd like to thank our interim CFPO, Brian can elite for his hard work to drive the business forward and lead our financial organization over the last several quarters.
Our new CFPO, whose accessing was selected after a rigorous search.
Check was most recently the CFPO and see Oh at Boulder surgical innovative privately held that Tech company.
Prior to both are surgical Zach worked with me and Spectranetics, where he held various roles, including Vice President of finance.
Earlier, he co founded a device company that was acquired by Cardinal Hell.
Also has experience as a healthcare investment banker at Piper Jaffray.
His start date will be may 18th.
In summary, we're hoping that things improved quickly, but preparing for a prolonged economic downturn.
Executing and focusing on what we can control and creating value in a challenging environment.
Value creation lies into driving or clinical pipeline for work.
Simplifying work flow shortening treatment times, taking cost out of our system, making current meridian programs, even more effective.
Both clinically and economically and moving our commercial pipeline forward, albeit at a likely slower rate for a period of time.
We intend to exit this global crisis, better positioned to change you'd improve the paradigm of care for cancer patients around the world.
And with that we will now review or two one financials in more detail Kayla.
Thank you Scott for the fiscal quarter ended March 31, 2020, total revenue with $14.3 million, primarily from three revenue units, including one system upgrade as compared to $20.3 million, primarily from poor revenues unit, including one system upgrade in the same period last year.
Total cost a revenue with $16.4 million compared to $25.6 million in the same carried last year.
Total cost of revenue in the first quarter of 2019 within packet by approximately $7 million at target primarily from higher than anticipated installation costs related to historical upgrade Cologne.
Total gross profit was the last $2.1 million compared to a profit of $5.4 million over the same period last year.
Decreases attributable to $5.6 million of one kind installation costs related to historical upgrade commitment in the first quarter of 2018 and the cost of revenue on one <unk> in the first quarter of 2020.
Total operating expenses were approximately $28 million as compared to $25 million for the same carried last year.
The increase in operating expenses predated the implementation of the cash savings program. We previously discussed.
Finally, net loss for the quarter with $27.5 million or 19 cents per share compared to $33.4 million or 34 cents per share for the same period last year.
Turning out the orders and backlog.
In the first quarter of 2020, we received for new orders for Meridian system totaling approximately $22.6 million compared to 70 orders totaling approximately $43 million in the same period last year.
As of March 31, 2020 are backlog stood at approximately $231 million as compared to approximately $238 million as of March 31 2019.
One system was removed from the backlog in key wine.
Regarding cash we used approximately $36 million and the first quarter as we shared about $14 million with seasonal first quarter spend that will not occur in the remainder of the year and our cash savings program was not yet enacted.
And previously stated we are withdrawing are 2020 guidance issued on March 12, 2020, and the full impact of current virus remains unknown.
We will now open up the line for question.
Thank you and ladies and gentlemen, as a reminder to ask a question you will need to press star one on your telephone. So we've dry a question you may press the pound our house pool.
Oh. It first question is Jason that's more with P.S.D.K. go ahead same thing.
It's gotten team.
I'll do well and make sure taking the questions here.
I'm just to start I'm curious maybe from your vantage point.
And probably more of your opinion and where do you think radio therapy investments shake out on the other side of the pandemic. Her do you think that it needs investments are relatively more protected than some of the other lower <unk> items and budget.
And then I'll have one solve after that.
Jason Thank you and I hope you and your family or well also.
I think it's it's very difficult to to speak with clarity in terms of where things are are going here in the next 12. The 36 months. It is our operating assumption.
That we're going to be our customers are going to be in a capital constrained environment or some period of time, we're obviously, hoping for the best but planning for a prolonged contraction here. So I think it's difficult to tell on the other side what ultimately.
Will happen what is clear during the pandemic is the importance of.
Cancer treatment.
And it it varies from site to site, but we've seen the utility of the meridian system on pretty extraordinary display.
We've had customers share with us that they're moving even more rapidly toward high dose SBR tea.
We have seen patience.
Be diverted from surgery to single fraction treatment on meridian for cancer, such as long and pancreas.
And we're just inspired by the way our customers are utilizing the system, but I would say the most difficult thing for us to project at this time.
Is is what kind of capital environment will be present in the next 12 24 36 months very difficult to see right now Jason from our perspective.
And have totally understand thanks for that and it got maybe as a follow up on the 30 million and cash savings you mentioned I'm curious hide characters that as maybe semi permanent items versus items that may come back in the model. Later this year next it things with the economy into health care system normalize near term and then.
That 30 million an annualized figures that a figure you expect to save here over the remainder of 2020.
Yeah, Yeah, great question. So it is a figure that that we intend to say here in 2020. So as you can see we've we've pulled the lover relatively hard that we only have roughly three quarters to achieve that level of savings and I think the best way that I can characterize that beyond.
What we said in our prepared remarks and that was approximately 20 of the 30 million is in <unk> and the balance in working capital savings I would say that we are prioritizing.
Are are clinical pipeline, which we are incredibly excited about our innovation and product pipeline. Those are the areas and I would say along with the clinical pipeline. The things that we can do with healthcare economics and reimbursement to compliment that those things obviously go.
Go hand in hand, so those are the things that we are prioritizing beyond all else and we think we can create value in that you know kind of hard to hard to see period of time by deriving the clinical pipeline the product pipeline reimbursement pipeline we've.
I think there's a lot that we can do and that's what we're focused on to your point, if things improve and and we see our order book in installations really moving along a than than we very much would go back to operating as normal, but and lesson until we see.
That clearly we think it's important for investors to understand.
That we're really focused on the capital preservation plan and concurrently driving shareholder value in the ways that I mentioned.
Okay makes sense and thanks, and good luck out there.
Thank you so much.
Thank you all are next question sound, Anthony that's wrong with Jeffrey <unk> I had on tiny.
Oh, Hi, and good afternoon, everyone hope, everyone as doing well and I everyone's family safe healthy a couple of questions.
Yes as relates to.
In the near term installation cycles.
In two Q. specifically in you know most of the companies were speaking to.
And this quarter, we're looking for you know a so called trough in the second quarter, and then a gradual recovery into the back half of the year.
And so just and thinking of of your business, how you looking at potential installations two q.
In in as far as your Crystal ball can go I mean, how do you think it plays out for the rest of the year and then on follow up.
Yeah, Anthony Thank you and and let me reciprocated I Hope you and your family are are safe and well also.
Why don't I touched on your question from a macro standpoint, and invite schar to also way in here.
So we have pretty sizeable number of projects that are that are operational right now from a bolt preparation and installation standpoint.
And and there's some starts and stops Anthony but no no indication at all that any of those installations are ball preparation work are stopping on a permanent basis in other words everything is moving forward, but potentially in some.
Instances, where we're having difficulty get into a country. It may take us a little bit longer than normal to get that installation fully completed so everything is moving forward, but a little bit of different pacing here. In this you know interim period of time, where we're having challenges entering into.
To a certain countries to do installation work I would highlight the incredible worked at our team has done enduring quarantines in in various areas to get installations completed and also our field service team just doing extraordinary work to keep.
<unk> treatments going so with with that kind of macro backdrop schar do you want to help us honed in a little bit more narrowly on Anthony's question.
Sure happy to I think to to what Scott has stated.
I think there's delays both involve prep as well as installations, mainly just because of the supply chain or getting access to the hospital or to the country has been challenging overall, we've been working on scenarios or finding alternatives in many cases, otherwise I think the sense for.
Setting right now is especially I'd say for for the Asian installations that things look like they they might be opening up a bit or will be opening up in the summertime as long as that kind of holds true than I think.
More of our installations will be well <unk> essentially try to catch up and the second half of the year, but again that all depends on what countries do how it goes here in the Western Europe, where our teams are mostly located and will they have access to the various countries. So we're trying to get into.
That's helpful. And then the the follow up would be Scott you mentioned hospital capital budgets and I'm just wondering in in your most recent conversations is you're out there.
Seeking the customers, both existing and new potential customers just your sense on.
Where capital budgets will trend certainly obviously, there's a there's a there's a downward trajectory currently but in some instances. We here. Obviously this areas of pent up demand or areas of reinvestment that are higher on the totem pole for hospitals. So just.
You can add on on capital budgets would be helpful. Thanks again Stacey.
Thank you Anthony So I I would I would share with you that the the umbrella under which these comments reside is again, our our preparations for an enduring capital constrained environment.
But that said, we we were very pleased to achieved two orders after our March earnings call.
We are having and obviously in that period of time, the pandemic Kid taken its grip on on all the bus and our customers in a significant way.
We are having very productive conversations with customers in the midst of this crisis I would point to an example, just a few days ago, where we had I think it was over 30 clinicians from a multi site world renowned cancer Center and we're you know kind of move.
Being the ball forward.
With our customers primarily be a web <unk> zoom and other such things as everybody is doing now. We're also the the other thing that could that could help out Anthony.
We're working with add <unk> M.D.M.A. pretty closely on what might come four the four point no stimulus package.
We we hope that.
That there's going to be something for our customers to relieve a capital constrain and certainly hope that since 80% or more of Med Tech operates at a loss that there's some kind of benefit to us we're not counting on that but that is work that we're doing and the.
Thing that you know, we're we're picking up a bit on his his dialog with customers about alternative.
Meridian acquisition models that might become more attractive as capital budgets get squeeze for some period of time.
So the final comment that I would make an I I referenced it in in Jason's question earlier, our customers are sharing that coping as changing how they're treating patients and high dose SBR tea is is on the rice, it's it's an extraordinary benefit to be.
Well to deliver treatments as as Doctor <unk> said with an eight fold decrease in the in the contact between the patient and the caregiver and the patient and the health care system, and that's what keys, delivering and you put that hand in glove with the economic benefits.
That that can be a crude in our system and and there's there's certainly hope, but again admits that hoping hard work, we're planning for a prolonged environment, where where capital budgets are constrained. So hopefully that gives you a little bit of context.
Helpful. Thanks again.
Thank you.
<unk>.
Question, <unk> and do the Hell that would be rally.
Good afternoon, I'm glad to hear every one sounds healthy just just a couple quick questions for me so as at least the C.M.S. They you know recently started to ease up restrictions at least.
As it's related to non emerging treatments.
I I was curious one if.
Yeah, any anecdotal thoughts on if you you would expect to see more treatment <unk>.
Utilizing meridian.
That announcement and is there any wave just by looking at that that it's possible for it to benefit your installed.
Or is that more of a you know me face to part of the reopening that that could be more impactful for you.
Yeah, Andy I would say that you know in in the majority of instances our our customers are doing their very best to continue treating.
Cancer patients. It's it's a critical part of our of what our customers do and and very obviously high on the list in terms of the patience that they have to treat now there are some instances, especially in in Corona virus hot spots are covert 19 hot spots.
Where there are prioritizing the treatment of those patients over their regular operations, but I think we in the in the majority of instances you see treatments continuing on and in our case [noise] in the case of Meridian centers. The heightened use frequently of our systems again.
Diverting surgery patients to us and really looking to do more treatments on our system because of how it can decrease the contact with the healthcare system. So you know there there's good news within the bad from that perspective.
You know, we we have had anecdotes I would stress anecdotes in terms of what things might be like on the other side of this but I would tell you I believe from a relatively broad swath of our customers that the march toward high dose SBR tea.
It is very much in play and and if anything I think this pandemic may speed that along and I think we are quite well positioned within that as we shared on our previous call. We think we are very well positioned to deliver in a blade of dos 75 to 100 Gray.
The 10 in both very hard to treat cancer types, but we also see the benefits as doctor <unk> and Genesis care pointing out in in prostate patients getting five per action prostate treatment. So I believe we're we're pretty well position here for the longer term in terms of where.
The treatment paradigm is going but again I would stress that we're preparing for a capital constrained environment for some period of time.
<unk> understandable that that makes sense.
In a similar vein as it relates SPR Ti has there been any update as relates to H.T.M. and where was it from the standpoint of the a and b. reviewing it I, obviously world has changed dramatically, but it you know any incremental data from when you talked about last quarter VSL.
Yeah, our our most contemporary understanding is that we'll we'll see something here in 2020, and then implementation date.
Early and calendar 2021, that's the best information that we have at this time.
Okay, Okay, and then two more <unk> as it relates to your.
Partners or distribution network that you use for international installs are you seeing any challenges there right now from effectively partners going out of business or potentially defaulting or anything like that I'm just curious.
If there could be any longer term challenges that that that that you're aware of right now.
We haven't seen anything that dramatic Andy at this point.
You know, we we have we have our our team mates doing what what I consider to be herculean, even heroic work by enduring 14 day, quarantines and those kinds of things and and our distributors. Likewise are doing everything that they can to support the meridian programs in there.
Various geography is so we haven't seen anything that traumatic at this point, but we'll certainly keep you apprised as we go for work.
Great. Thank you and last one for me as it relates to a cost of goods you mentioned the 7 million charge from last year were were there any one time charges in the first quarter 20 numbers or is that a fairly clean representation.
Hey, Brian <unk> can I ask you to answer that one place.
Sure and it.
There are no one time items and Q1 of 2020.
Okay. Okay perfect. Thank you very much a best of luck and everybody stay safe and healthy.
You're to Andy Thank you.
Thank you.
The next question comes from the <unk> with the V.T.I. tool tip go ahead.
Thank you that afternoon I appreciate the detailed commentary.
Data set stayed on Q2, so far I think for Q2, you mentioned you've completed and so are the revenue was recognizing the prior corridor considering there's two months left in the second quarter and kind of the level of detail you've been able to provide aren't given given the pandemic from your viewpoint today doesn't seem like any of the new.
Near term planned and cells that are in later stages come complete in the next few months.
[noise] <unk> I would say, we want to probably stopped short of any kind of prediction there in in the even in the corridor I I wouldn't want to give you an answer and then and then something happened that we can't.
<unk>. We're we're trying to give you are are very best contemporary point of view, that's happening, including the installed that we've recently completed.
And also in update, albeit very early in the quarter on orders, but I I think it's very prudent for us to.
Stop guiding at this point.
Did you have been be uncertainty in various areas I I would reinforce that our programs are moving forward gratified by the work that our team and distribution partners are doing.
But but you know things are changing so rapidly I I think it would be a bit foolish for me to a project too much on that front.
Sure absolutely understand you mentioned the Asia inspiration experience and that you know early signs there that the installation environment might be opening up.
I realize it's obviously in different marketing Oh, no, but what have you seen in the last couple weeks of things have improved in terms of ordering and the capital equipment environment over in Asia.
Yeah, I would I would say from and orders perspective really the the commentary that a shared a moment ago, probably stands I I think the the international order book generally speaking has been more productive here lately than.
What we have going on in the U.S.
And I and some of that indeed is in Asia.
I think it's a little bit earlier early for us to read too much into that because that that broader call that I referenced with over 30 clinicians.
And it was was in the U.S. market. So you know we kind of reflect the overall industry being two thirds or so international one third U.S., we tilt from quarter to quarter, a little bit more one way or the other but I think generally speaking we're we're seeing.
Reasonable conversations both in international markets in the U.S., but again I think the message that we're trying to deliver here is we're moving things forward commercially as best we can but we are bracing for eight and extended period of time that that we may not.
The order book that we would all like us to house and and we we think that's a very important message for investors to here.
Okay. Thanks.
Fish are.
<unk> just to add to what Scott mention I think although the conversations are being had an h., there's still limitations as we talk to our distribution partners for them to get access directly in the hospitals. So they've got to have meetings outside the hospital. So I think businesses coming back slowly, but but there's still a lot of controls.
Maybe not to the same level as and the U.S. right now, but they're still constraints there.
Okay. Thank you so much.
Oh, Yeah, I like question, it's kinda <unk> with Oppenheimer.
Good afternoon, and thanks for taking my question. This is Mike <unk> shop, everyone's doing well on the four unit orders, which geography is did those come from if you could say.
Sure do you have a breakdown of that just broadly speaking.
Yeah, I'd say I'd say, it's essentially 50 50, U.S. International I think that that's the best way to characterize all right now.
Okay Fair enough. Thanks, and then also could you share an update in total number of patients treated so far last call I believe it was over 8000 patients on 34 systems.
Yeah I you know, we we're going to have an update for you on our on our next call given that the the previous call was was so recent in the world kind of got turned upside down I don't want to speculate on number there I I would tell you that I'm very pleased with the utilization of our of our system.
I referenced the customer I believe on the previous call that this is a brand new wins stall and they're on pace to treat 300 patients in their first year of having a meridian system.
As an update to that they're actually modeling something higher than that very pleased with the the pro forma that they have and obviously the clinical benefit and what's interesting. There is there are planning on 100% SPR t. on the Bridion system.
Very difficult to treat cancers, along with them a lot of prostate and it's actually making their conventional Linux more productive. So those are the kinds of things that we're seeing that are really motivating us to drive the improvements clinically from a product perspective and reimbursement.
It it seems like things are going quite well from utilization standpoint with our customers.
That's great to hear thanks much Scott.
Thank you.
I don't care and Sir I'm, not showing any saga question.
Okay fantastic. Thank you operator, and thanks, everybody for joining or call here, we look forward to another update next quarter and I Hope you when your family's all say stay safe unhealthy. Thanks, so much.
And with that ladies and gentlemen, we.
Conclude our program your main noun disconnect.
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