Q2 2021 Rewalk Robotics Ltd Earnings Call
[music].
Yes.
Good day, and thank you for standing by and welcome to the Q2.2021we buffer of body Ltd earnings Conference call.
At this time all participants are in a listen only mode. The later, we will conduct a question and answer session and instructions will follow at the time if anyone should require assistance. During the conference. Please press Star then zero on your Touchtone telephone.
I would now like to turn the conference over to your host of Mr. Ari Gordon. Please go ahead Sir.
Thank you Patricia.
Morning, and welcome to revoke reported second quarter 2021 any of this.
This is all we go on the Oct, Chief Financial Officer, and with me on today's call is Larry Jasinski, Chief Executive Officer.
This morning of the company issued a press release detailing financial results for the 3 and 6 months ended June 32021.
This press release and the webcast of this call can be accessed through the Investor Relations section of the rework website.
<unk> Ww the reworked the call.
Before we get started I would like to remind everyone that any statements made on today's conference call. We've expressed a belief expectation projection forecast anticipation or intent regarding future events and the company's future performance may be considered forward looking statements as defined by the private Securities Litigation Reform Act.
These forward looking statements are based on information available at the rework management as of today and in the.
The risks and uncertainties, including those noted in this morning's press release and reworked filing with the SEC.
Forward looking statements are not guarantees of future performance.
Actual results may differ materially from those projected in the forward looking statements reworked specifically disclaims any intent or obligation to update these forward looking statements except as required by law.
A telephone replay of the call will be available shortly after the completion of this call.
You'll find the data of information in today's press release the.
The webcast will be available on the company's website.
For the benefit of those who may be listening to the replay or archived webcast. The.
This quarter was held and recorded on August 9.2021.
Since then the rework may have made announcements related to the topics of Scott.
So please reference the company's most recent press releases.
And the SEC filings.
With that I'll turn the call over to <unk> CEO Larry Jasinski.
Thank you Laurie.
Good morning, everyone.
We work had a very good Q2 and met our key objectives, we see the right trends to grow our business and are optimistic about the direction for the year we.
We have seen the majority of our accounts returning to normal levels of activity.
As the measurable example, after 15 months without being able to schedule a single user training or trial and the VA. We now have 10 in the process of being scheduled in Q3 and Q4.
We have a database of 45 potential VA candidates that we will work with in the second half of 2021 and 2022.
Q2 sales were 1 for $3.6 million, which represents our fourth consecutive quarter of growth and recovery from the pandemic.
The patient trainings and president account activity supports continuing growth in the second half of 2022.
Our sales mix resulted in the Q2 gross margin of 56% and is at 52, 1% year to date.
Our expenses increased by 140000 to $386 million to $8 million as we increased activity with the market reopening.
We started the year identifying the key milestones that will drive our growth and long term success.
We are pleased with the progress occurring with each and the remaining the most important measurements to meeting our goals of providing broad access to our products the coverage policies and.
Expanding the supporting base for their use of.
Before we outlined were 1 German courts.
The federal Social court ruling, which will define whether the reward system serves as a direct compensation for disability has progressed and final elements are being completed in September.
We would expect the ruling to be published in the weeks following that session. The.
The positive ruling would have the significant impact that would broaden the access to exoskeletons.
Second German insurer coverage expansion.
<unk> expansion of contracts with German insurers as an important indicator we have expected this to be limited until the court case was completed.
Had 5 additional DKK groups joined the contract in the last quarter, which has added $2 million further covered lives with the block contracts to a total of 25 million Germans.
As we also have a contract with the D. G U D for work related injuries, which essentially covers all German workers overall.
Overall, we have made significant progress to date with our German reimbursement strategy.
Third.
Establishing processes with CMS on.
Our progress in building pricing.
The category and contracts around the successful Hick picks code for Exoskeletons issued by CMS is our primary focus in 2021.
We are finding it is similar to Germany, where we once we have the code established the process of establishing contracts requires education and detailed planning.
We have ongoing activities in selecting the initial users for the application process for supply.
Have gained guidance on how to proceed from CMS.
And our continuing and building our resources for the contracting process.
And the fourth national account activity for broader supply of our stroke and other product lines.
While the Covid has delayed implementation for much of the year. We now have trial evaluations underway with 2 national chains in the United States and have completed training for the 3 lead sites for NHS in the UK.
As the patient flow expands we will seek to build on their data and clinical experiences as a basis for establishing a national contracts for the expansion of the unique soft exo suit design for the community.
I would now like to turn the call over to <unk> for a review of the financial details.
Thanks, Larry.
Book, the total of $1.4 million in revenue in the second quarter of 2021 compared to $1.7 million in the second quarter of 2020. The decrease was mainly due to lower number of personal and a 6 point, though units in Europe this quarter for.
For the 6 months period ended June 32021, we have recorded a total of $2.8 million in revenue compared to $2.4 million in the previous year, which represents a 13% year over year of growth. This increase is mainly due to higher revenues in the U S. <unk> personal 6 <unk>.
The <unk> and restore sales.
The quarter. For example, we had sold 9 million units for over 100000, total, which marks our highest quarter to date for these product lines.
As we look at our insurance progress during this quarter, we had the total of 8 new insurance decision to place the device for when you ramp up or the repurchase and 5 conversion of the previously rental devices. Our current pipeline of active rentals consists of 17 cases, representing a total of $1.7 million.
And our overall insurance cases currently at 80.673 in Germany of 13 in the U S.
Turning into a growth mode in the second quarter of 2021 of gross margin of 51% compared to 61% in that part of the quarter the.
The decrease is mainly due to the changes in our sales mix.
The reduced revenue as well as the higher costs related to sales.
Regarding our operating expenses, our second quarter of 2021, Opex was $3.9 million compared to $3.6 million in the part of the quarter.
This increase is mainly due to higher sales and marketing expenses as we are now back in the field and we also had cost reduction of elements in the filing of the quarter.
The lower RMB debt offset this increased during this quarter is mainly due to lower employee and employee related expense.
To recap of the quarterly results our net loss for the second quarter of 2021 was $3.1 million.
Compared to a net loss of $2.8 million in the second quarter of the top 20.
Our non-GAAP net loss for the second quarter of 2021 was $2.9 million.
Compared with $2.7 million in the second quarter of 2020.
We ended the quarter with $64.2 million in cash.
With that I'd like to turn the call back to Larry for some final remarks.
Sure.
Thank you Laurie.
I would like to continue the session with a focus on the second half of 2021.
We have several major milestones of business activities, which drive the second half results and that will support growth for 2022 and beyond.
There are several highly visible efforts and other activities that are that are meaningful as they build our business position the.
The highly visible ones are the German court case Prague.
Progress with CMS.
And national account efforts.
Very importantly, there are also several less visible nuts and bolts activities.
Which include first.
Our investment in the building high level health economics and market access our hema processes.
The <unk> in anticipation of the expanding coverage landscape.
With reward coverage the provision of systems will rely heavily upon establishing a strong physician referral network to prescribe reward systems to qualified users we.
We have built a large base of clinical data to various publications in 2 large scale randomized trials in parallel we are developing economic studies from the <unk> extensive database on the walk us.
We started our expansion of the seam of team with the Biopharma executive with an extensive history of gaining access through the physician base and in establishing contracts with both the public and private markets.
Our success for wide scale supply of the rely on data.
Education.
And systems that enable the prescribing community with all of the tools for selection and processing for those who qualify for the reward system.
We will then seek the expansion of U S contracts in a manner similar to what we have accomplished in Germany.
Second of the smaller nuts, and bolts groups are maintenance and building of our U S field organization.
We effectively expanded our team.
Just before Covid started and elected to keep that team in place to be well prepared for capitalizing unexpected success with coverage and to build and the posting of the marketplace.
Our database has been expanded.
Our customer contact shifted the content driven educational materials, our new team is very well trained for this period of growth ahead, and we have established implementation plans at a local level.
Third.
In parallel we have continued to invest in our core product line as we prepare for a wider coverage position.
Our development of new features that will improve the users' breath of abuse will be available in the new design and we will also be able to offer an upgrade package to our existing users. We are in the regulatory process of pepperidge presently and anticipate a launch in 2022.
Fourth <unk>.
Published peer review data is building on the use of soft excellence in.
In July 2021 in frontier and neuro robotics, the first of several papers in the store the documents a better outcome was published.
This data demonstrated pre post changes in walking that exceeded the threshold for clinical meaningfulness the.
Mm Mci I'd, which stands for minimal clinical.
The important difference.
In all 3 categories and the investigated first comfortable walking speed.
Maxim of walking speed, both of which had increases of 1.3 meters per second.
For each.
And then third the 6 minute walk test, which showed an increase of 59 meters. The.
The substantial improvements in clinical outcomes were achieved by training for improved Paretic propulsion strategies specifically.
Significant pre post improvements were observed in peak Paretic propulsion.
Propulsive power and trailing looming.
So in summary.
We are establishing a pattern of growth.
<unk> built the team required to expand this market.
Have done the fundamental work, we could to allow coverage contracts.
Have eliminated debt.
<unk> expenses and half of cash position of $64.2 million.
We finally have a mix of a growing market position the.
Of the pathways to coverage.
The resources to implement and of realizable plan in place I very much look forward to reporting our progress in the coming quarters.
Thank you for your time and interest today I'd like to turn the call over to questions. At this stage operator, if you can please go ahead with the instructions.
Thank you and if you have a question at this time. Please press star and then the number 1 for you on your Touchtone telephone.
For your question has been answered or you wish to remove yourself from the queue. Please press the pound key.
Again that we'll be sorry of wanted to ask the question.
We'll pause for a moment to compile the Q&A roster.
Yes.
Your first question comes from the line of Swayam for Kulaga MOFCOM from H C. Wainwright. Your line is open.
Thank you good morning, Gary and Laurie.
Okay.
So.
Thanks, Tom.
Moving about the the German court.
The process.
Yes, David.
Yes.
For the German courts are successful in completing their process and also of publishing.
Yeah.
And the dam findings.
Findings bye bye bye.
By mid October.
Yeah.
Would you what do you think 2.
<unk>.
The revenue of broad comment would be meaningful in 'twenty, 1 of its more of a 'twenty 2 event.
I think first the timing of which they actually of issue. It is not in our control. We anticipate based on past history of that it'll be mid October it could be a little bit later, it could be a little bit sooner.
But just wanted to clarify that.
There would probably be some immediate impact as we have a significant number of social court cases, so that may allow a few to convert but the majority of the value to this will be in probably in 'twenty..2 so because we get an october we'd have to convert those patients.
With the holidays by early December so of the timing may affect of that a little bit. So there is some potential in 'twenty, 1 a lot of potential in 'twenty 2.
Okay, perfect and then.
It is actually very.
Encouraging.
At this node.
Clive.
Okay.
Partners, joining the <unk> the contract even even as the court case of progressing probably.
It's a good sign.
But.
What is the process for them as they're signing on the.
The USC.
Increase in the backlog.
So you can kind of get an idea as to.
How many units you will need to keep keep ready when things outcome.
Come to fruition.
The.
The DKK additions are encouraging to see as I said, we didn't anticipate them.
But.
What they will do is bring in some additional patients that will go into the system and process in about the 6 month cycle, which is the common by the time, we trial on get them fully trained and then get of product to them so their impact.
It will be late this year early next for those the number of patients in those specific 5 I cannot identify for you right now of where he might have that number but I do not in front of me I have the number the currently we have.
A total of 6 cases.
The DKK.
Different.
Different groups.
Thank you.
And the last question for me.
Please go back into the line.
So on the.
On the pile evaluations.
In the National chain analysis that says so whats the process there.
And how is that the.
Progressing from some trial.
The revenue generation.
Well the process there.
Is similar between NHS in the national chains. It was the early.
Went to committees within each groups and demonstrated the product provided the data.
And each elected to move into a trial evaluation as a baseline for deciding whether or not they'll put it in a larger number of accounts.
That all occurred quite some time ago with Covid simply.
Werent doing much with it for quite some time.
And as the centers of reopened what we've done is moved to the stage of these actual evaluations that were booked.
9 months or so ago.
And what we've done is completed the training and they are now using the product.
The selected centers by the chains and by NHS.
And.
So we're kind of in the middle of that process right now our expectation is that the results are consistent with what we've had in other.
The places that have used the product.
It will move to a contracting phase in more sites, but that is really a determination by how they feel it fits their specific clinical situation at the NHS and at the each of the U S chains. So the timing for that I think were still not growing that quickly.
With the number of patients coming in with Covid still.
Has been slower in the U K, it's been better in the U S.
But we don't have a specific timeline as to when we would try to switch for me evaluation to a contract I would hope it would be before year end.
Impact of this year's sales significantly.
But not a large number so sorry, it's a long answer because we're not entirely sure of the exact timing.
Thank you thanks for taking all my questions.
Thanks.
And again, if you would like to ask question. Please press star 1 on your Touchtone telephone.
I am showing no further questions at this time I would like to turn it back to Mr. Valli Jason for.
For further comments.
Thank you Patricia.
As I close the call.
I made the statement I very much look forward to reporting this in the coming quarters, and it's really based on the trends that we see this quarter.
These continue these will be some enjoyable calls growth with progress in the coming months. So please stay tuned to our publications and everybody have a wonderful day. Thank you.
Yes.
And this concludes today's conference call. Thank you all for joining you may now disconnect.
Okay. Thank you Patricia.
Thanks.
[music].
Okay.
[music].
Okay.
Yes.
[music].
Yes.
Yes.
Yes.
[music].
[music].
[music].
Good day, and thank you for standing by and welcome to the Q2.2021we bought for the Biotic Ltd earnings Conference call.
At this time all participants are in a listen only mode. The the Thursday will conduct the question and answer session and instructions will follow what the guidance.
The 1 should require assistance during the conference. Please press Star then zero on your Touchtone telephone.
I would now like to turn the conference over to your host of Mr. Ari Gordon. Please go ahead Sir.
Thank you Patricia.
Morning, and welcome to revoke or both the second quarter 2021 earnings calls. This is all we go on the of Chief Financial Officer, and with me on today's call is Larry the DMT, Oh, Chief Executive Officer.
This morning of the company issued a press release detailing financial results for the 3 and 6 months ended June 32021.
This press release and the webcast of this call can be accessed through the Investor Relations section of the rework website.
For the Ww does we walked out the call.
Before we get started I would like to remind everyone that any statements made on today's conference call that express belief expectation projection forecast anticipation or intent regarding future events and the company's future performance may be considered forward looking statements as defined by the private Securities Litigation Reform Act.
These forward looking statements are based on information available at the real punishment as of 2 day and involve risks and uncertainties, including those noted in this morning's press release and reworked filing with the SEC such forward looking statements are not guarantees of future performance.
Actual results may differ materially from those projected in the forward looking statements.
<unk>, specifically disclaims any intent or obligation to update these forward looking statements, except as required by law.
Telephone replay of the call will be available shortly after completion of this call.
You'll find the dial in information in today's press release the <unk>.
Webcast will be available on the company's web site.
For the benefit of those who may be listening to the replay of all.
All kinds of web site.
This call was held and recorded on August 9.2021.
Since then the rework may have made announcements related to the topics discussed. So please reference the company's most recent press releases and SEC filings.
And with that I'll turn the call over to <unk> CEO, Larry just Anthony sorry.
Thank you Laurie.
Good morning, everyone.
Re work had a very good Q2 and met our key objectives, we see the right trends to grow our business and are optimistic about the direction for the year we.
We have seen the majority of our accounts for returning to normal levels of activity.
As the measurable example, after 15 months without being able to schedule a single user training of our trial and the VA. We now have 10 in the process of being scheduled in Q3 and Q4.
We have a database of 45 potential VA candidates that we will work with in the second half of 2021 and 2022.
Q2 sales were 1 for $3.6 million, which represents our fourth consecutive quarter of growth and recovery from the pandemic.
The patient trainings and present account activity supports continuing growth in the second half of 2022.
Our sales mix resulted in the Q2 gross margin of 56% and is at 52, 1% year to date.
Our expenses increased by 140000 to $386 million to $8 million as we increased activity with the market reopening.
We started the year identifying the key milestones that will drive our growth and long term success.
We are pleased with the progress occurring with each and the remaining the most important measurements to meeting our goals of providing broad access to our products the coverage policies.
And simple.
Expanding the supporting base for their use.
Before we outlined were 1 German courts.
The federal Social court ruling, which will define whether the reward system serves as a direct compensation for disability has progressed and final elements are being completed in September.
We would expect the ruling to be published in the weeks following that session. The positive ruling would have the significant impact that would broaden the access to exoskeletons.
Second <unk>.
Chairman insurer coverage expansion measuring expansion of contracts with German insurers as an important indicator. We have expected this to be limited until the court case was completed.
<unk> had 5 additional DKK groups joined the contract in the last quarter, which has added 2 million further covered lives with the block contracts to a total of 25 million Germans.
As we also have a contract with the <unk>.
For work related injuries, which essentially covers all German workers.
Overall, we have made significant progress to date with our German reimbursement strategy.
Third the.
The establishing processes with CMS, our progress in building pricing.
Category and contracts around the successful <unk> code for Exoskeletons issued by CMS is our primary focus in 2021.
We are finding it is similar to Germany, where we once we have the code established the process of establishing contracts requires education and detailed planning.
We have ongoing activities in selecting the initial users for the application process for supply.
Have gained guidance on how to proceed from CMS.
And our continuing and building our resources for the contracting process.
And the fourth national account activity for broader supply of our stroke and other product lines.
While COVID-19 has delayed implementation for much of the year.
We now have trial evaluations underway with 2 national chains in the United States and have completed training for the 3 lead sites for NHS in the UK.
As the patient flow expands we will seek to build on their data and clinical experience with as a basis for establishing national contracts for the expansion of the unique soft exo suit designed for the community.
I would now like to turn the call over to <unk> for a review of the financial details alright.
Thanks, Larry we will book the total of $1.4 million in revenue in the second quarter of 2021.
Sales to $1.7 million in the second quarter of 2020. The decrease was mainly due to lower number of personal 6 point, though units sold in Europe This quarter.
For the 6 months period ended June 32021, we have recorded a total of $2.8 million in revenue compared to $2.4 million in the previous year, which represents a 13% year over year of growth. This increase is mainly due to higher revenues in the U S for <unk> personal 6 point of Mylan and restore sales.
This quarter for example, we had sold 9 million units for over $100000, which marks our highest quarter to date for this product line.
As we look at our insurance progress during this quarter, we had the total of 8 new insurance decision to place the device for new rental or they repurchase and 5 conversion of previously rent of devices. Our current pipeline of active rentals consist of 17 cases, representing a total of $1.7 million.
Our overall insurance cases is currently at 86 with 73 in Germany and 13 in the U S.
Turning into our gross margin in the second quarter of 2021 of the gross margin of 51% compared to 61% in the prior year quarter. The decrease is mainly due to the changes in our sales mix.
Reduced revenue as well as the higher costs related to sales.
Regarding our operating expenses, our second quarter of 2021, Opex was $3.9 million compared to $3.6 million in that part of the quarter.
This increase is mainly due to higher sales and marketing expenses as we are now back in the field.
We also had cost reduction of elements in the prior year quarter.
The lower RMB debt offset this increased during this quarter is mainly due to lower employee and employee related expense.
To recap the quarterly results our net loss for the second quarter of 2021 was $3.1 million.
Compared to a net loss of $2.8 million in the second quarter of 2020, our non-GAAP net loss for the second quarter of 2021 was $2.9 million.
Compared to $2.7 million in the second quarter of 2020, we are.
We ended the quarter with $64.2 million of cash.
With that I'd like to turn the call back to Larry for some final remarks Barry.
Thank you Laurie.
I would like to continue the session with a focus on the second half of 2021.
We have several major milestones in business activities, which drive the second half results and that will support growth for 2022 and beyond.
There are several highly visible efforts and other activities that are that are meaningful as they build our business position the.
The highly visible ones of the German per case Prague.
Progress with CMS.
And national account efforts.
Very importantly, there are also several less visible nuts and bolts activities, which.
Which include first.
Our investment in the building high level health economics, and market access our hema processes within rework in anticipation of the expanding coverage landscape.
With reward coverage the provision of systems, where rely heavily upon establishing a strong physician referral network to prescribe reward systems to qualified users.
We have built a large base of clinical data to various publications of 2 large scale randomized trials in parallel we are developing economic studies from the <unk> extensive database on maybe walk us.
We started our expansion of the seam of team with the Biopharma executive with an extensive history of gaining access through the physician base and in establishing contracts with both the public and private markets.
Our success for wide scale supply of the rely on data.
Education.
And systems that enable the prescribing community with all of the tools for selection and processing for those who qualify for the reward system.
We will then seek the expansion of U S contracts in a manner similar to what we have accomplished in Germany.
Second of the smaller nuts, and bolts groups are maintenance and building of our U S field organization.
We effectively expanded our team.
Just before Covid started and elected to keep that team in place to be well prepared for capitalizing unexpected success of coverage and to build in the post of the marketplace.
Our database has been expanded.
Our customer contacts shifted the content driven educational materials, our new team is very well trained for this period of growth ahead.
We have established implementation plans at a local level.
Third.
In parallel we have continued to invest in our core product line as we prepare for a wider coverage position.
Our development of new features that will improve the users' breath of abuse will be available in the new design and we will also be able to offer an upgrade package to our existing users. We are in the regulatory process of the beverage presently and anticipate a launch in 2022.
Fourth <unk>.
Published peer review data is building on the use of soft excesses in.
In July 2021 in frontier in neuro robotics, the first of several papers in the store the documents a better outcome was published.
This data demonstrated pre post changes in walking that exceeded the threshold for clinical meaningfulness the.
<unk>, which stands for minimal clinical.
The important difference.
In all 3 categories and the investigated first comfortable walking speed.
Maximum of walking speed, both of which had increases of 1.3 meters per second.
For each.
And then third the 6 minute walk test, which showed an increase of 59 meters. The.
The substantial improvements in clinical outcomes were achieved by training for improved Paretic propulsion strategies specifically.
Significant pre post improvements were observed in peak Paretic propulsion.
The pulse of power and trailing limit.
So in summary.
We are establishing a pattern of growth.
<unk> built the team required to expand this market.
Have done the fundamental work, we could to allow coverage contracts.
Have eliminated debt.
<unk> expenses and have the cash position of $64.2 million.
We finally have a mix of a growing market position the.
For the pathways to coverage.
The resources to implement and of realizable plan in place I very much look forward to reporting our progress in the coming quarters.
Thank you for your time and interest today I would like to turn the call over to questions. At this stage operator, if you can please go ahead with the instructions.
Thank you and if you have a question at this time. Please press star and then the number 1 key on your Touchtone telephone is for your question has been answered or you wish to remove yourself from the queue. Please press the pound key.
Again that will be fired wanted to ask the question.
We'll pause for a moment to compile the Q&A roster.
Yes.
Your first question comes from the line of William <unk> of Morgan from H C. Wainwright. Your line is open.
Thank you good morning, Gary on the Ari.
Okay.
So.
Thanks, a ton of thinking about the the German court.
Process.
Yes, David.
If the German courts are successful in completing their process and also of publishing.
The.
And the dam.
The findings bye bye bye.
By mid October.
Yeah.
Would you what do you think.
<unk>.
The revenue growth.
The meaningful in 'twenty 1 of is it more of of 2000 per event.
I think firstly, the timing of which they actually of issue. It is not in our control. We anticipate based on past history of that it'll be mid October it could be a little bit later, it could be a little bit sooner.
But just wanted to clarify that.
There would probably be some immediate impact as we have a significant number of social court cases, so that may allow a few to convert but the majority of the value to this will be in probably in 'twenty..2 so because we get an october we'd have to convert those patients.
With the holidays by early December so of the timing may affect debt a little bit. So there is some potential in 'twenty, 1 a lot of potential in 'twenty 2.
Okay, perfect and then.
It is actually a very.
Encouraging.
At this node.
<unk>.
Okay.
Partners, joining the the contract even even as the court case of progressing probably.
It's a good sign.
But.
What is the process for them as they're signing on.
The USC.
The increase in the backlog.
So you can kind of get an idea as to.
How many units you will need to keep keep ready when things outcome.
<unk> come to fruition.
The the BK K additions are encouraging to see as I said, we didn't anticipate them.
But.
What they will do is bring in some additional patients that will go into the system and process in about the 6 month cycle, which is the common by the time, we trial of them get them fully trained and then get of product to them so their impact.
It will be late this year early next for those the number of patients in those specific 5 I cannot identify for you right now or he might have the number but I do not in front of me.
Yes, I have the number it's the currently we have.
A total of 6 cases.
Within the <unk>.
Different.
Different groups.
Thank you.
And the last question for me.
Please go back into the line so on the.
On the pile evaluations.
In the national chains and as of today on that says so what's the process there.
And how is that the.
Progressing from some trial.
The revenue generation.
Well the process there.
Is similar between NHS in the national chains. It was the early.
Went to committees within each groups and demonstrated the product provided the data.
And each elected to move into a trial evaluation as a baseline for deciding whether or not the put it in a larger number of accounts.
That all occurred quite some time ago with Covid simply.
Werent doing much with it for quite some time.
And as the centers of reopened what we've done is moved to the stage of these actual evaluations that were booked.
9 months or so ago.
And what we've done is completed the training and they are now using the product.
The selected centers by the chains and by NHS.
And.
So we're kind of in the middle of that process right now our expectation is that the results are consistent with what we've had in other.
The places that have used the product.
It will move to a contracting phase and more sites.
But that is really a determination by how they feel it fits their specific clinical situation at the NHS and at the each of the U S chains. So the timing for that I think were still not growing that quickly.
With the number of patients coming in with Covid still.
Has been slower in the U K, it's been better in the U S.
But we don't have a specific timeline as to when we would try to switch for me evaluation to a contract I would hope it would be before year end.
Will it impact of this year's sales significantly.
It's been out of large numbers, so I'm sorry, it's a long answer because we're not entirely share of the exact timing.
Thank you thanks for taking all my questions.
Thanks.
And again, if you would like to ask question. Please press star 1 on your Touchtone telephone.
I am showing no further questions at this time I would like to turn it back to Mr. Valli Justin for.
For further comments.
Thank you Patricia.
As I close the call.
I made the statement I very much look forward to reporting this in the coming quarters, and it's really based on the trends that we see this quarter.
These continue these will be some enjoyable calls growth with progress in the coming months. So please stay tuned to our publications and everybody have a wonderful day. Thank you.
Yes.
And this concludes today's conference call. Thank you all for joining you may now disconnect.
Okay. Thank you Patricia.
Thanks.