Q1 2020 Earnings Call

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It's going be standby. Thank you for your feet.

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Ladies and gentlemen, thank you for standing by and welcome to the I reasoned technologies incorporated Q1 2000, its many earnings conference call.

This mine all participants' lines are in listen only mode.

After the speakers presentation, there will be a question answer session.

A question. During this session you want me to press, sorry, and then a number one on your telephone keypad.

Yes, I said to these conference is being recorded.

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I would like not across price over to one of your speakers with me Sabot <unk> Investor Relations. Thank you may begin your conference.

Thank you all for participating in today's call. Joining me are Kevin King CEO Nasty Garrett fuel and Danny Wilson, MVP strategy corporate development and Investor Relations.

Earlier today I wasn't released financial results for the first quarter ended March 31st 20, 2020, a copy of the press releases available on the company's website.

Before we begin I'd like to remind you that management will make statements. During this call that includes forward looking statements within the meaning of federal Securities laws, which are made pursuant to the safe Harbor provisions of the private Securities Litigation Reform Act of 1995 any statements contained in this call but are not statements of historical fact should be deemed to be forward looking statements all forward looking statements.

Including without limitation those statements related to the impact of covert 19 on our business expectation for economic recovery market expansion penetration productivity improvements reimbursement released a clinical data operating trends in our future financial expectations, including revenue gross margins profitability in operating expenses.

Based upon our current estimates in various assumption made statements of all material with uncertainties that could cause actual results or events materially differ from those anticipated or implied by these forward looking statements.

Accordingly, you should not place undue reliance on these statements for list and description of the risks and uncertainties associated with our business. Please refer to the risk factor section of our most recent annual and quarterly reports on form 10-K, and form 10-Q, respectively with the FCC.

This conference call contains time sensitive information and is accurate only as of the live broadcast today May 720 20.

I wouldn't disclaims any intention or obligation except as required by law, the update or revise any financial projections or forward looking statements, whether because of new information future events or otherwise with that I'll turn the call over to Kevin.

Thank you Lee good afternoon, and thanks for joining us.

Before we begin a discussion of our results and outlook I'd like to taking minutes works pressured deep appreciation to four point health care professionals that had been working tirelessly to fight the cold at 19 Battle.

We are truly grateful for their dedication and compassion.

Give us high confidence that when we get through this pandemic, we will be even stronger.

I'd also like to thank the entire I live in change I'm impressed by the inventories spirits and commitment to our customers and their patients.

As a testament to the recently Unsi of Archie that we were able to quickly transition to our remote operating environment, while continuing to deliver or Geo service without disruption.

Over the course of all prepared remarks, I'll cover Q1 highlights.

Provide our observation so important market dynamics and recap our priorities in the face of the cobot 19 pandemic.

I will also provide commentary on what we're experiencing so far this quarter.

How we're managing our business today.

Positioning for recovery long term.

Matt will cover our financial results for the first quarter in more detail before opening up to questions.

Starting with our first quarter results, we had an exceptionally strong start to the euro strong adoption over a single deal platform was ahead of our own expectations by almost all measures through the beginning of a March.

A strong Ramsey away tea and our focus on large systems drove sustained high sales force productivity.

We saw continued pull through of XT and accounts that launched a ti.

We had strong growth for both new and existing accounts.

The components of our near term and midstream strategy remains sound and we expect these to continue to drive expansion of our business as a recovery takes hold and then the longer term post recovery environment.

Beginning in March we began to see a significant impact on our patient registration patterns.

As we are all highly aware unprecedented changes merged into healthcare landscape that made it necessary to prioritize treatment for critically ill patients and limit the spread unquote at 19.

Patients were encouraged to avoid hospitals and stay at home except in most extreme circumstances.

Elective non essential procedures were canceled or deferred and diagnostic tests outside of bones related to severe respiratory illnesses were largely on available.

Most physician office is closed or reduce the minimal hours for central procedures.

These factors began to significantly impact our petrik patient registration patterns, starting the week of October 16th.

Total revenue for the first quarter of 2020 was $63.5 million, an increase of 31% compared to the same period in 2019, and 8% sequential growth over the fourth quarter of 2019.

As not will detail further in his comments, we estimate the impact of corporate 19 on or first quarter revenue was approximately $2 million.

Revenue for the quarter would have been 65.5 million, representing a 36% growth compared with same period in 2019.

We're extremely pleased with our quarterly results in a momentum we have in the marketplace.

At the onset of called the 19 pandemic in mid March I wouldn't began implementing initiatives that we're focused on three key priorities.

Our first priority is focused on protecting and supporting the health and wellbeing of our employees, our communities and our customers by limiting the potential transmission of cold at 19.

Following recommendations from federal and local government and health agencies, we quickly transitioned all employees to our remote working environment.

For a small number up our employees, who continue to support essential operations at our facilities, we have instituted social distancing and other measures to ensure their safety.

As mentioned earlier, the I rhythm team was able to transition to this new work environment without disruption to our as you know service, we continue to follow local and national guidelines to determine the appropriate time to resume in office functions.

Our second priority is ensuring uninterrupted patient care for both GL, XT and 80 and supporting efforts to monitor calls at 19 patients.

Corporate 19 has been associated with significant atrium and particular arrhythmias.

In coal that 19 infected patients with underlying her conditions are at high risk for complications.

Our digital service platform enables physicians to remotely monitor both of these patient populations heart health.

Our single use inpatient funding zeal patches ideal for virtual model and eliminates the need for clinical staff to clean and reuse traditional holter and event monitors, which may lead to exposure to viruses and other pathogens.

Another component of our second priority was to support health systems efforts to monitor cobot 90 patients.

Zili T is now deployed in both inpatient and outpatient settings to monitor real time health of Cobot 19 patients.

And finally, our third priority is to ensure continued financial strength by adjusting our operating plan.

Given the disruption in demand in an uncertain length of time of recovery, we have adjusted our operating plan by taking steps to reduce our operating spend.

These steps include eliminating or delaying project spend from non essential programs.

Reducing spend on traveling consulting.

Implementing a hiring freeze.

Furloughing, a select number of employees and implementing varying rates of temporary pay reductions for our salaried salesforce.

We are confident these initiatives, while not easy will ensure the company continues to have appropriate liquidity, while continuing to invest in a core drivers of our business and our future growth.

I like them now I'll provide some insights from the trends were observing thus far.

In the last two weeks of March we saw a significant decrease in patient registrations as shelter in place orders took hold in patient visits were cancelled or postponed.

We began to see a modest recovery in late April and early may but continued to see suppressed levels of patient registrations.

In total for the month of April weekly registration rates were approximately 65% of our average weekly registration rates in the first quarter prior to the impact of cold at 19.

While we have seen signs of stabilization and would like to believe that was maybe behind us. It is our belief that we will be suppress levels of demand through the second quarter and potentially the remainder of the year.

I will share more about our views on the market recover momentarily.

Home enrollment is one component of our complete platform that allows physicians to prescribed zito registered patience view preliminary xeo data impose final report independent of location and without the need for direct patient contact.

During this period home enrollment has grown to be more than half of our current touch patient registration volume.

We expect home enrollment to remain at relatively high percentage of our total patient registrations well into the recovery period.

Homer enrollment would zeal it was more than mailing a device to patients home.

The home enrollment process is expensive and take slightly longer to complete them zeal services prescribed in clinic.

Because of the need for either of them to remotely take on activities normally performed by our accounts.

<unk> increased wants abilities and include confirmation of the accuracy of pension patient registration information.

Confirming the application and activation of the zero patch by the patient.

Providing 24 by seven support services and ensuring the patient follows the appropriate steps to return the device upon completion of testing generally after 14 days of where.

In general the number of days to complete the service is slightly longer for home enrollment.

Turning back to zero 18, we've seen an increase cobot 19 related demand for deal 18.

Hospitals are using a zili t. as patients transfer to outpatient status freeing up inpatient hospital beds, while safely monitoring patients that are at an increased risk of lethal arrhythmias caused by the Corona virus.

Hospitals are also using deal 80 in inpatient settings for Q2 monitoring in instances, where there was a lack of available telemetry beds.

As it relates to market recovery, we've been doing a tremendous amount of work with our customers to understand the choices that are experiencing and their expectations full return of patient demand.

The prevailing consensus amongst customers. We've interviewed is that they expect to be operating in this colbert like state for their foreseeable future at least 12 months.

Most of form dedicated recovery teams to shape their plans.

All our tethered to state and local guidelines interim in close collaboration with medical societies and related health care entities.

The main focus for all his on staff in patient safety.

New workflows are being developed that require prioritizing patient types and deferrals.

Establishing procedures for exam room and equipment cleaning after every patient visit and spreading outpatient appointments.

Together these actions are expected to create near term capacity constraints.

To offset these constraints many our plan to extend hours and had weakened services.

We believe the continued use of home enrollment service combined with the benefits of a single use wearables yields sensor will be more favorable alternative than office visits and equipment that requires cleaning between patient visits.

In the advent of a resurgence in new cases accounts or plan to use tele health and virtual workflows to sustain patient care for various levels of acuity.

Before closing I want to provide a quick update on our market expansion initiatives as well as our CPT process.

We expect our market expansion efforts to continue with little or no impact on timing.

And our collaboration with Virally, our teams continue to make progress on the development of an end to end solution and we recently plastic development milestones that will trigger a milestone payment in the second quarter.

While we have paused hiring for roles that were originally planned for the collaboration the overall timing of a project remains on track.

In regards to our silent efforts, we continue to expect important clinical data this year from both screen Aaas and M. stops.

And the Garden study, which we started with BMS Pfizer.

Late last year is temporarily on hold but is expected to restart in the coming weeks. We will also now utilize a home enrollment option.

And finally on our CPT process, we continue to look forward to the July publication of the Medicare physician fee schedule by CMS.

Which will include their proposed fee for the Newpark permanent code sets, our expectations on timing and our confidence and views of the ultimate outcome remain unchanged in the current environments.

To close the timing for what would seem like what would be likely a new normal remains unknown.

We're closely watching the patterns in the state set of open up health care facilities for deferred procedures and other non emergency visits.

While these are challenging times for all we recognize the need for a high quality patient care is greater than at any point in our history.

Our digital platform enables physicians and patients to access all the capabilities of our proven a complete platform and a virtual environment, whether they are using a mobile device a tablet a laptop or desktop computer.

Our single USIO devices or patient friendly and eliminate the need for cleaning traditional equipment.

We are a highly confident that the strength of our single platform and being clinically proven and operationally complete position us for further market penetration.

Our strong start to 2020.

Our ability to quickly adapt to a predominantly virtual sales and service model and our adjusted operating plan to maintain our long term growth objectives delivers confidence that we were in the best position possible to continue to gain share for as you will service.

Moreover, the strategic initiatives that are key to our growth strategy remain unchanged.

Increased market penetration with our single deal platform.

Increased operating leverage through continued productivity and automation improvements and expanding our addressable market into new indications and geographies.

And with that I'd like to turn it over to Matt Guard, our CFO for a more detailed engineering augment Q1, 2000 2020 financial results Matt.

Thanks, Kevin.

Before I dive into first quarter 2020 results I'd like to point out two key comments about the current state of our business.

First even after taking into account the impact of Cobot 19 crisis, I read and posted a solid quarter with strong execution across the board.

Secondly, and as importantly in six short weeks the company transition to the new normal leveraging our database business and TRID positioning a significant portion of our operations to support home enrollment.

So while the company clearly sees challenges in the near term, we remain very confident and I rhythms ability to weather the storm and come out of the backend and an even stronger position.

Highlights for the first quarter 2020 are as follows.

Revenue growth of 31% year over year and sequential growth of 8%.

Gross margins of 74.7% inclusive of onetime inventory adjustments as announced in Q4 2019.

Continued traction and expansion of our Xeo 18 market launch, making our NCT monitoring solution available to all customers across the country.

And finally sustain salesforce productivity levels due to development and Onboarding of new reps investments in our sales organizational infrastructure continued penetration of large integrated systems and of course, the launch of zero 80.

Taking a more detailed look at the first quarter financial results.

Revenue for the three months ended March 30, Onest 2020 was 63.5 million, an increase of 31% year over year and 8% sequentially.

Management has determined that revenue was negatively impacted in the quarter by the covert 19 crisis on two fronts.

First the company book additional reserves due to expectations last patient insurance and co pay patient payments.

Lower than historical averages and secondly, the company has estimated that lower registrations and unit intake in the latter half of March had a material impact on Q1 revenues in total the company has determined the impact of lost revenue in the quarter to be approximately $2 million.

Despite the impact of coking 19 on the business, we'd like to continue to highlight some of the trends, we're seeing would support our confidence in the business and in our ability to.

To be ready to expand our footprint when we come out at this current environment.

These trends in crude continuing improvement and sustainability or sales productivity levels were significant number of reps, surpassing 2.5 million in annual revenue productivity.

Despite the late March impact of Cobra 19, we continued to see strength in new store revenue growth, where new store revenue growth mix increased to 45%.

We view this mix as a positive sign of our ability to penetrate new accounts in a post code 19 environment, while still growing same store accounts with both Xeo XT and 80.

And finally in the last three weeks of March the company's successfully transitioned our business to support home versus in clinic enrollment.

Typically home enrollment over the past month.

Now accounts for more than 50% of registration and the company has the ability to support all registrations through home enrollment as necessary moving forward.

In summary, these trends continue to demonstrate our ability to scale, our high volume business and our flexibility support virtual repair moving forward in a meaningful way.

Turning our attention to the rest of the piano gross margin for the quarter of 2020, with 74.7% compared to 75.6% a 0.9% decrease in gross margin or the same period of 2019.

Gross margins as adjusted for onetime items in the quarter and the additional cobot 19 reserves was approximately 76.1% or a 0.5 percentage point improvement over the same period in 2019.

Non adjusted operating expenses for the first quarter of 2020 were 56.7 million compared to 44.8 million for the same period of the prior year, an increase of 27%.

Excluding cost associated with barely development Opex was 56.1 million or an increase of 25%.

In the quarter Opex was adjusted for the impact of coping 19, where bonuses and stuff and some stock comp expense were eliminated or reverse. In addition, the company booked approximately 1 million of incremental bad debt expense in the quarter due to anticipated impact of cobot 19 for last patient insurance.

An impact on lower co payments.

Finally, the net loss for the first quarter of 2020 was 9.1 million or a loss of 34 cents per share compared with a net loss of 8.3 million or a loss of 34 cents per share for the same period of the prior year.

Turning now turning to our expectations for the remainder of 2020.

As was announced as part of the 8-K filing on Thursday April nine the company has expanded guidance until which time management feels confident that internal expectations on revenue and operating expense can be a reestablished and communicated publicly.

We do however went to communicate to investors. The following activities in steps the company of taking to ensure the long term sustainability of the business first that the company's ability transition from in clinic to home enrollment operational environment was key in our ability to maintain meaningful registration and revenue streams. During this challenging period.

Good and second that the company has taken significant step to decrease our expenditure profile and current spending run rate by reducing current employee expenditures, new hire freezes limiting cash bonus plan and materially lower in travel and consulting expenditures.

With these steps the company intends to lower cash burn to the largest extent possible, while still maintaining our ability to deliver benchmark services to our customers.

With over 120 million of cash on hand, the company is in good position to whether any near term challenges and to step up investment at the appropriate place in time.

Kevin Dan and I would now like to open the call for questions and I turn it back over to the operator.

Thank you for Teekay, ladies and gentlemen.

As a reminder.

A question, we will meet the press fine and then the number one on your telephone really glad question you have depressed found I hashed.

And that will lead the Q any ross thanks.

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Operator, we're ready to take the questions. Please.

All right. Yeah first question comes from the line offer David moving your line is not Wilson.

Hi, good afternoon, thanks for taking the question.

I appreciate the comments I sound to the April into April recovery or April stabilization I, just wonder if you can kind of providing additional feedback and sort of some of the trends you're seeing in into into early may and is it reasonable to assume that we get back to growth as early as the third quarter in that a couple of quick follow ups.

Sure Hi, David This is Kevin.

Look I think there's three levels that you need to consider all we're considering one were projecting but near term and.

<unk> X.T. as we're moving to a more tele medicine world and perhaps this is even here to stay as we go forward. How are you guys feel about the reimbursement coverage under a tele medicine World is that is there a broad coverage that patients can can just call up do a tele health and that doesn't have to be any in person.

Yes.

So how how does that kind of track and is that going to be sufficient for you guys. The kind of recover through the year.

No hope Randall says Kevin show, but tele help visits.

Or gently dawn.

Mhm physician to patients and that's.

The health care.

Air wider or a physician responsibility to bill for.

Prescription zeal, whether or this or this is including their core remotely until the same way southerners there isn't any <unk>.

<unk> all into the technical fee that we received four zero, that's impacted whether it's home and roll muttering clinic enrollment.

Okay, but that's helpful. And then switch gears to Z.O.A.T. The comments that you guys had made on H.T. being used in the inpatient setting a was especially interesting given I think in the past when you've talked about this market for H.T.. It's it's generally been in.

Patient a real time monitoring market. So I guess the question is.

What what are the capabilities of G.O.H.T. <unk>.

Pair to some of the traditional impatient I think they maybe use some more aggressive 12 lead E.C. Jeeze and is this a potential market that you guys can kind of get into moving forward can you can can the inpatient market also be used for zero 18 in the long term or is this a temporary coded market.

Thanks.

So.

So <unk> answering the second question horror so I think that market has to be developed you know right now they're saying in many instances, there's a shortage of monitoring beds in hospitals.

Wasn't there in the critical care units I see use and see see use or they are in the stepped down telemetry wars and there aren't enough beds to monitor wrong enough monitors to monitor patients.

So then you only t. has found called into action in these situations to monarch of patience for life critical related events with great success. We've had we had good feedback from customers about the accuracy of relative to their.

Real time telemetry monitors for example.

It it it's something new that has emerged overtime, we did receive F.T.A. oh permission if he will to use it as an impatient monitor for these particular instances and we're really pleased with that.

And we're just going to have to see where it goes going forward, whether I mean mains a a key key use.

In hospital.

We'll have to work on that as me as we work our way through through the pandemic here.

Literally for us to tell I think.

Great. Thanks, taking the questions.

Your best friend.

Yeah next question comes along the line offensive Syria for along the lines that were from.

Hi, Kevin, Matt and Dan thinking Hey, taking a question I wanted to ask just could make an impact on <unk> in hospital setting hockey fetus to one and expanding the theater like they shun within the hospital and beyond your traditional cardiology to target.

Enters and and what does that do you <unk> yeah.

And a peasant took on the hospital longer time.

So you're referring to using using zeal isn't getting it as an inpatient circles.

And and just <unk>.

Expanding beyond cardiology <unk> <unk>.

I think the driver I got expansion going filing.

Yeah. So so you know we've talked a lot about this how or or digital platform.

Our focus on large integrated delivery systems, where.

Users the walls of the users have expanded beyond cardiology U.P.

So this includes the emergency departments neurology in many cases primary care or or general medicine.

And I think given the environment, we're in now, particularly with <unk> with the movement to Helen Helen helper.

We're optimistic that this is going to continue to build awareness amongst those.

Various physician groups.

And also them and then straight the value of what we have.

As far as using it in inside the hospitals and impatient I was just you know just sort of answer that were friend in that I think for Brandon.

That's a little bit too early.

For us to tell although the value we are seeing zero 18 in these transferred patience and then they select cases board corporate 19 infections is is is quite traumatic can wear option actually very pleased about that.

Okay. Thank you and I guess.

Looking for moving past curve and how are you thinking about home enrollment.

How much of your business that really the impact. This could have went on <unk> ended activity as though it's how you feel kind of a long term discount spicing scout.

Yeah. Okay. So you know there there is no governor on our ability to scale home enrollments.

This this was a circus that robin's through his ego sweet information system that we deployed to the beginning of the year informally what's your record since predecessor.

As I said earlier on a prepared remarks to surface does take a little bit.

Longer mostly because we're mailing directly to the patient as opposed to mailing bulk to the account and having them do the patch application.

Aside from that it's perfectly scale and we'll for us to continue to do this.

In conversations with many of our customers Oh Hell was something of interest him a lotta people, but it didn't seem that there was a driving.

Force behind them and coping as forced customers to engage until how.

With great success for good success and as a result of that any husband and see that one might have water one might have had to water.

No [noise] through until telephone complication is pretty much gone away.

And I've highlighted also by the data that we have on our website could comparisons of in clinical home enrollments you know quality of service.

Outcomes to patients patient satisfaction and things of that nature I.

I I think it's here to stay and I think it's going to be a a market expand or force.

And I were just add that you know home enrollment as as I said on the prepared remarks has more than just delivering it that likes to a patient store stuff. It's it's really enabling that entire end to end surface service to take place.

Prescribe brain, making sure that data is accurate providing 24 by seven information.

Independent or platform that that that caregiver or the patient confusing.

A mobile phone or tablet or desktop computer a laptop or the service can be can be remote.

What we manage through any type of hardware platform. If you will.

Okay. Thank you kidding.

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Yeah next question comes <unk> <unk> <unk> okay.

Sure a good afternoon, everyone <unk>, Kevin two questions for you and one for Matt.

What percentage view X.P., if I look over the last four to five quarters.

You know is used let's say within the 227 day bucket.

And also you know that has been a lotta mentioned about <unk> <unk>.

<unk> in the impatient setting.

It specifically to relate it to <unk>.

Could you care to <unk>, what what loom contribution was received let's say the last two weeks March let's say or even April in early may and not for you you know assuming the unemployment scenario increases.

The weight reserves the calculate it for a bad debt and patient Copays is it's still going to be the portfolio approach or is that going to be any switch to any extend whatsoever gentlemen. Thank you for taking my question is.

True true.

I hear from you.

In in <unk> I'll take the the L.A.T. one person in terms of E.L.A.T. volumes as they relate to a response to code I would say G.L.A.T. violence are applying crackling two to three easily.

In in this short period of time.

Relative to a real where climbs oh, well over three quarters to maybe 85% of our prescriptions are for 14 days.

The average where time for those who.

So I think we're left on the person to this was about 13.8 days.

Vast majority of people are realizing what benefits of long term continuous monitoring.

Relative to shorter alternatives.

Present that day now on a 500000 sequential patients.

And when we know that the <unk> pine cardiac arrhythmias occurred after a day slap them.

One of those cardiac arrest me as one of the first events and they were life critical response heart pauses complete lock neutral cracker part h. or.

What type of cardio et cetera.

The strong evidence for them I think with medical from there already is beginning to realize cool.

Man you Wanna, you want to take the but the question on on bad <unk>.

Sure I Ain't or there's two parts of that question sure. The first part is related to the non contracted portion of our business or average collection rain and then we do take a portfolio approach of looking at that and have made appropriate adjustments as it relates to bad debt expands obviously, we are going to be mine.

From the ability to pay but will continue to monitor it carefully and a enough data. According to my on quarterly basis.

I guess, maybe from 10 times, if you have questions that fine. Please press side and then the number one on your telephone keypad in fact, I shouldn't have to me I said, Oh, you wishing or south.

Q Please press spots.

Yeah next question kind of some of the line of robbing like Okay, Yeah that anyhow.

[laughter] great. Thanks for taking the question.

I've been bouncing between call stuff, that's been asked a apologies, but you know in our diligence we've had a lot of doctors say that this could open <unk>.

And how they treat patients longer term and you know could help accelerate the transition to.

The L.N.T.L.A.T. away from home there over time, you know is that something you're thinking about and how're you preparing to capitalize on that longer term.

Oh, Hi, Robyn kept on that thanks, thanks for the question.

Yeah, certainly you know in our in our work that we've been doing there's there's two things that are.

Behind that question one of them is that.

Customers tell us their staff.

Yeah.

And it's likely that patients are not going to.

This isn't great English, but not wanting to not going to want to interact with devices that have I've worn by I get patience because of the potential risk contaminants and so forth worth unlikely that they will and so single wearable devices will be preferred and this will help drive.

Further adoption.

I think the second part is that people are seen show us.

Yeah.

Incredibly high level quality in.

Patient data that they hadn't seen before.

I I can.

Speak to this from the early work that we've seen here with the T.I.D.'s impatient hospitals in in patients in hospitals in until I'm a trade applications.

As well as in the home enrollment application. What are you know a patient can apply themselves may end up getting the same more better.

The same same level quality information the same level, where time I I think it's only going to help accelerate that adoptions up you've been working on for so long.

In terms of you know getting away from technology, that's 40 or 50 years old.

Nothing like a crisis to help help help accelerate change right wishing that also what tell her health in terms of physician adoption their their embracing this more and more as a result of the need rather than the or the necessity rather interesting.

Yeah.

Great maybe I just as a quick follow up as there been any impact the time lines on the the barely collaboration thanks.

Yeah.

Yeah.

Okay.

I mean that was one one question you you missed earlier no impact to overall timing in our prepared remarks, we mentioned that recently surpassed developed and then milestone and expect to pay out a milestone came in in the second quarter. So no no update or no change.

Two a they'll roll time in that project.

Yeah.

Sorry about that I guess, that's what happens when I listen to four calls at one no <unk> no or animals.

Mm.

Again participants I sent in mind also asked a question you want me depressed fine I'm in the number one on your terrifying again that that'd be fine and then the number one on your time Funky back. So we do I have question tries to find a hash team based on dial a week from the.

<unk>.

Yeah next question comes from the line of maybe a drastic cuts your line is helping.

His dad on for a killer Cronos Oh thanks.

You guys, you know touch them, a little bit around the G.L.A.T. used for cushion or covered patients in both the inpatient and outpatient studying elsewhere, if you'd be able to either qualifier keys out what kind of net benefit you guys have seen from those type of patients versus you're just the doctrine over on the second half of March.

Sure David David just a clarifying point bye bye benefits are you, referring to a clinical benefit or financial benefit.

Understand a little bit more yeah, yeah, just you're trying to tease out kind of what the I guess the number of patients or the amount of revenue overall that you guys had in the corridor from either patients that run an impatient studying for coded or those who kind of where in the outpatient studying for for use for yeah for coping.

Affected by Coleman.

Yeah. So you know, we're we're not we don't breakouts product line specific information.

You know a a couple of things to smoking.

Put some corners on this you know we noted the impact t. or old Coven 19 around March 16, So we had two weeks in the quarter.

So there there there wasn't much time in a quarter to have a whole lot of impact if you think about it that way.

Since that time, you know we've seen increase.

Demand for 18.

In the environments that I described on the call patient transfer to outpatient status wearing the away team.

Freeze up inpatient beds for people that are at risk of lethal gives me as we're also seeing it as the away team inpatient settings for Q.T. monitoring and instance, again when there's a lack of available bad overall, but we've not broken out that in terms of volume.

Okay. Thanks, and then maybe you just on any talked about kind of the at home enrollments. If you guys provided any color around you know whether the break other break up I got some those types of patients the whether it be on P.L.A.T.S.U.X.T.

Yeah. It the the home enrollment tend to be either.

And and let's say the vast majority of interest based upon the mix of our businesses deal actually right now.

Correct. He has one.

<unk>, there's a whole bunch as a home every element talk on the neighborhoods.

Application as well.

Alright. Thanks.

But.

Again participate if he would like to ask that question kind of <unk> and then the number one on your telephone again that that'd be style and then the number one on your telephone keypad. If your question answered are you wish to move against South some of the queue beats press the housekeeper.

<unk> some barbecue any lasting.

Operator, I think we're done with the question for today and we'd like to Cook heard the call place.

Mmm show you know for their questions at this time I would now like it Kinda conference back to me to Kevin King.

Convenient.

Thank you operator, thank you everyone for joining our two 120 20 earnings Conference call. We hope you all remain safe unhealthy during this period of time.

We remain totally confident in in our ability to navigate through this period.

I believe the advantages of our proven incomplete platform or resonated with customers and their needs more than ever. We appreciate your interest and look forward to updating U.S. progress unfolds take care.

Radius again <unk>. This concludes today's conference call. They keep perfect speech you may now this is gonna.

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[music].

[noise] huh.

[music].

Yeah.

[music].

[laughter].

[laughter].

[music].

[music].

[music].

[laughter].