Q3 2023 Silk Road Medical Inc Earnings Call
Good day, and thank you for standing by.
Welcome to the Silk Road medical third quarter 2023 conference call. At this time all participants are in a listen only mode. After the speaker's presentation. There will be a question and answer session to ask a question. During the session you will need to press star one one on your telephone.
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Your question. Please press Star one one again please be advised that today's conference is being recorded I would now like to hand, the conference over to your first speaker today Marissa by with Guild Gilmartin Group Director of Investor Relations. Richard. Please go ahead.
Great. Thank you for joining today's call earlier today Silk Road medical released financial results for the three months ended September 32023.
A copy of the press release is available on the company's website.
Before we begin I'd like to remind you that management will make statements. During this call that include forward looking statements within the meaning of the federal Securities laws, which are made pursuant to the safe Harbor provision of the private Securities Litigation Reform Act of 1995.
Any statements contained in this call that relate to expectations or predictions of future events results or performance are forward looking statements.
All forward looking statements, including without limitation those relating to our operating trends and future financial performance expense management expectations for hiring and growth in our organization and our business physician training and adoption market opportunity and penetration commercial and international expansion regulatory approval reimbursement.
Sean and product development are based upon <unk>.
Our current estimates and various assumptions.
These statements involve material risks and uncertainties that could cause actual results or events to materially differ from those anticipated or implied by these forward looking statements.
You should not place undue reliance on these statements for a list and description of the risks and uncertainties associated with our business. Please refer to the risk factors section of our latest quarterly report on Form 10-Q filed with the Securities and Exchange Commission.
This conference call contains time sensitive information and is accurate only as of the live broadcast today November eight 2023.
So Fred medical disclaims any intention or obligation, except as required by law to update or revise any financial projections or forward looking statements, whether because of new information future events or otherwise.
I will now turn the call over to Jack clearer son, Chairman of Silk Road Medical's Board of directors.
Good afternoon, everybody and thank you for joining us I am the chairman of Silk Road medical and had been a director on the board for over 15 years.
I wanted to start our call today by welcoming Chaz Mccann, our new Chief Executive Officer, and offer and my excitement for the future of the company.
<unk> is on the line with us today, and alongside Lucas Buchanan, Our Chief Financial Officer, and Chief operating Officer.
I will turn the line over to Lukas shortly to review our recent performance and drivers of the business, but first I would like to thank Erica Rogers for her tremendous contributions to the company over the past 11 years to date more than 75000 patients have benefited from the Teacart procedure, which speaks to the incredible.
Impact of the team here at Silk Road has had.
Erica has been instrumental in cultivating an enduring mission focused culture at Silk road and setting the company apart.
We appreciate her leadership and wish her the very best looking forward.
Meanwhile, we are thrilled to welcome Charles from account to the company trash has more than 25 years of experience in the medical device industry with over 20 years and C suite positions building and scaling commercial businesses. Most recently served as president and CEO of Apollo Endo surgery, which was acquired by boss.
<unk> scientific and April of this year at Apollo trash created and led the transformational growth strategy for the company's minimally invasive technologies for gastrointestinal and bariatric conditions previously he held commercial officer roles at <unk> medical and intersect E N T as well as.
His leadership positions at Boston Scientific and Johnson and Johnson.
We're confident that Chad is the right leader alongside Lucas in the full leadership team to leverage our strong infrastructure skilled commercial team and substantial body of clinical evidence to take the company further on the journey to treat patients with carotid artery disease.
Under his leadership, so Kroger remains committed to the same mission vision and values that have guided us since its founding.
We look forward to executing a smooth transition and continue expanding our impact for patients our company faces a substantial underpenetrated market opportunity and we will continue to prioritize the growth and adoption of T car in this context.
With that I'll turn the line over to Lucas to review third quarter performance and trends in the business. Thank you.
Thanks, Jack as communicated in our pre announcement, we achieved third quarter revenue of $44 4 million, representing 19% year over year growth and approximately 6350 T car procedures, representing 20% year over year growth.
Our results were primarily driven by strong CCAR growth and adoption offset by pockets of weaker than anticipated procedure volume.
Our commercial team across approximately 85 territories today is hard at work to build upon their physician relationships and strengthen adoption trends and areas, where we have seen variability.
Jonathan I plan to spend substantial time digging into our commercial performance, including a comprehensive review of trends and drivers of physician behavior and adoption over the coming months.
For the full year 2023, we continue to expect revenue of $170 million to $174 million, representing 23% to 26% growth over the prior year.
I would now like to shift to touch briefly on CMS coverage dynamics.
Early in the fourth quarter CMS released their national coverage decision for carotid stenting procedures.
The final decision was largely consistent with our July proposed ruling.
<unk> coverage to both high and standard surgical risk patients.
That are either asymptomatic, but greater than 70% stenosis or.
Or symptomatic with greater than 50% stenosis.
The final decision was in line with our expectations.
And our perspective on the implications for our business remain unchanged.
The primary takeaway from this proposal is access broader.
Broader access to less invasive options for patients with carotid artery disease.
Including for underserved and under diagnosed population.
We see expanded coverage as an indicator of the importance of treating carotid disease.
With the likely impact of more awareness and interest in screening.
Yielding more diagnoses in procedures over time.
We are proud of the incredible body of CCAR clinical evidence generated in just the last few years that helped support Cms's decision.
With broad reimbursement coverage and broad FDA labeling.
The industry's only commercial infrastructure dedicated to carotid disease.
And significant experience borne from over 75000 procedures performed to date.
We believe our opportunity is vast and we are confident that <unk> value proposition will carry the procedure to standard of care in the long run.
Shifting to our pipeline initiatives.
Last year, we achieved FDA label expansion to standard surgical risk patients for our on road stent and initiated a large post approval study called roadster, three which will yield prospective data in this patient population.
Enrollment is tracking to our expectations and we are excited about our progress in this study.
Earlier this year, we launched the <unk> product and our T car portfolio. The <unk> balloon, which is the only balloon purpose built for carotid arteries in the T car procedure.
We have entered the market with a premium pricing strategy and utilization continues to ramp.
Looking ahead, we are planning for the upcoming launches of our next generation Neuro protection system.
As well as tapered configurations of our stent.
And look forward to sharing more detail when appropriate.
Our R&D and clinical organizations continue to progress other ongoing and new programs to maintain and extend our position as the leaders in carotid disease.
Lastly, I will review our financial results for the quarter in greater detail.
As mentioned revenue for the three months ended September 32023 was $44 $4 million, a 19% increase from $37 4 million in the same period of the prior year.
The number of CCAR procedures in the quarter was approximately 6350.
Waiting to a 20% increase from the same period of the prior year.
Growth in revenue and procedures over the prior year period were driven by increasing T car demand.
Gross margin for the third quarter of 2023 was 73% compared to 75% in the third quarter of 2022.
The decrease was driven by a revaluation of standard costs in the prior year period, which benefited margins.
As well as higher manufacturing cost associated with having two manufacturing facilities.
Fully operational in the third quarter of 2023.
Total operating expenses for the third quarter of 2023 were $46 $1 million at <unk>.
4% increase from $37 3 million in the third quarter of 2022.
R&D expenses for the third quarter of 2023 or $10.01 million compared.
Compared to $8 5 million in the third quarter of 2022.
Sales general and administrative expenses for the third quarter of 2023 were $36 zero million dollars compared to $28 8 million in the third quarter of 2022.
The increase was largely driven by growth in personnel and personnel related expenses and continued commercial expansion.
Net loss for the third quarter was $12 8 million or a loss of 33 per share as compared to a net loss of $10 3 million.
Or a loss of 29 per share for the same period of the prior year.
We ended the quarter with over $197 million in cash cash equivalents and investments.
We are confident that we can accomplish our current growth and organizational objectives, including executing on our pathway to profitability with our current capital.
Finally, I'll Echo Jack's remarks, we are incredibly excited to have chaz onboard and we are looking forward to delivering together for patients providers and shareholders.
Our long term belief in the value of <unk> remains steadfast.
And we are confident that we can drive meaningful value through deeper penetration.
With that I'll turn the line over to Chad for a brief introduction.
Thank you Jack and Lucas for the warm welcome and thank you all for joining us today.
It truly is an honor and a pleasure to step into the CEO role here at <unk> at Silk Road.
I've been fortunate to lead several businesses in my 25 year career in Med Tech and I'd like to highlight one commonality that has really inspired me throughout my career I was one of the reasons why I came here and that is the potential for innovative minimally invasive therapies to dramatically improve patient outcomes, especially in very long.
<unk> disease States and markets.
But for me Silk Road Medical is also also has a very personal appeal.
I come from a family of brain physicians.
Father was the founding chairman of neurology at Johns Hopkins, starting back in $19 69.
For more than 50 years, he and his colleagues built arguably one of the leading neurology departments in the world of course, I'm a little bit biased.
My brother, followed in his footsteps and as a neurosurgeon at Columbia.
So Brian Health has been very much part of our family for many many years.
But later in life, starting about 10 to 15 years ago. My father suffered from a series of debilitating strokes.
And we experienced.
Stroke as patients and caregivers.
Had <unk> been available.
Really believe he may have been an excellent candidate for the procedure.
And so silk road Medical's mission to reduce the risk and impact of stroke is very meaningful and personal to me.
In addition to the tremendous impact that we can make for patients I chose to take this role because we unmatched benefits of the CCAR procedure as well as the immense opportunity that we still have in front of us the strengths of the business the unique company and culture that Erika Jack Lucas and the rest of the Silk Road leadership team.
We've created over the past decade and more.
There is a significant opportunity ahead to establish <unk> as the standard of care in carotid artery disease.
Admire the innovation and growth that silk road is achieved over the years and I am very excited for the journey ahead.
I look forward to diving into the business with Lucas the broader leadership team and our board as well as connecting with many of you over the months ahead and with that I will turn it over back to the operator to Stacy for questions and Lucas and I are here and happy to address them.
Thank you as a reminder, at this time, we will conduct a question and answer session.
To ask a question you will need to press star one on your telephone.
And wait for your name to be announced to withdraw your question. Please press star one again, please limit to one question and one follow up question. Please standby, while we compile the Q&A roster.
Our first question comes from Rick Wise of Stifel. Rick. Please go ahead with your question.
Hey, Lucas Hi, Chaz welcome.
Welcome to <unk>. This.
This is John on for Rick Today, I wanted to start Jeff with with with the fourth quarter guidance here.
It's another sequential step down.
Versus the third quarter and you called out in the in the 10-Q filing.
That you are facing some sort of sales force disruptions and youre expecting that to continue into the first half of 'twenty four I just want a better.
A sense of what's going on with the sales force and why you're expecting that disruption to continue into the first half of next year.
Thanks, John I'll take that just to take a step back for a moment we've been building.
And expanding our presence in commercial team in this market over many years now really trying to establish that broad clinical footprint you can get a lot of physicians going on this new therapy.
And this year is really the pivot point, where we're leveraging all of that we've built over many years to really deepen adoption at the same time, we continue to expand the commercial team.
So we really understand this market and have gained tremendous learnings around what it takes to be successful.
And we are executing that go deep strategy, we're doing work to strengthen referral networks, we're engaging allied health care professionals, who are doing lots of patient preference initiatives.
But as we make that evolution at the same time that we're expanding our team.
With those wins come some choppiness right as we've got new territories, and restructured territories and promotions and normal attrition and so this is our area of focus going forward, where Charles and I are going to spend a lot of time with our with our commercial and marketing and other leaders.
To really learn from and double down on what's working well and reduce and mitigate the choppiness, we've seen which per the guidance in the Q as you mentioned, we expect will persist.
For a little bit of time until we hit our stride.
That's helpful. Lucas Chaz, maybe one for you.
Coming into silk you talked a bit about what you're excited about I just wanted to get a better sense of where your priorities are in the sense of optimizing the sales force.
Investing in new technologies I, just wanted to get a sense of what your vision is for this company and where are your areas of focus are going to be.
Yes, no. Thanks, John I appreciate the question.
Really I'm not going to get a lot of detail I truly is day five for me at this point.
Except to reiterate I really I did my homework and I'm tremendously excited about the opportunity that we have.
And clearly as Lucas just said, we know we need to dig into some of the recent results and come forward with the kind of updates and build on.
Taking a step back very impressive growth that's happened over the time since launch, but now moving forward kind.
Kind of dig into that so a lot of the obvious area to focus in on and then beyond that I'm going to spend a lot of time getting to know the business going into the team is spending time with customers, we're going to be at the Veith meeting next week, which many of our top customers will be at.
And spending time digging in to learn what's made us so successful up to this point and then one of the areas we need to do to focus on going forward.
Thanks, that's helpful and thanks for taking the questions.
Standby for our next question.
Our next question comes from Robbie Marcus of Jpmorgan.
Robbie. Please go ahead with your question.
Hi, everyone. This is actually <unk> on for Robbie.
To say congrats Chad on the new role and we look forward to working with you.
Thank you ill just start off though I'd just like to maybe ask you another question.
Backing off on the last one.
But is there anything kind of you can share just broadly about what excites you generally about the company.
Be safe.
The move to kind of focus it's a pretty significant it's obviously very different than than Apollo as well. So maybe just talk about some of the ways you.
You could leverage your experiences at Apollo itself and then maybe just the drivers behind why you're so excited about this opportunity here.
Sure yes, thanks for the question.
As I said I did my homework and as I talk to people throughout the industry and then inclusive.
Yes, when you take a step back the benefits of the <unk> procedure incredibly compelling it's rare that you have the combination of.
Benefits to patients benefits for physicians benefits to the health care system.
With a lot of evidence to support that now out in the real world with over 75000 patients treated.
And <unk>.
Knowing that we still have a lot of room to run on that and so I'm excited about that.
Great organization, and I said in my comments, all credit to Erica and Lucas and the team here for what they built and so it's really an honor to be a part of it.
And I like the opportunity I like you mentioned Apollo, but also across my background I've really enjoyed.
The challenge is changing behavior in health care is hard right. There's a lot of inertia in the system and so thinking through all of the different tools that we can use whether it's education and training.
And patient programs in all the range of things I've got a lot of different things in my background that I think I can call on and to be clear. The team already here has done a lot of great stuff. So this is this is adding to and enhancing what is already a very good commercial team.
And I heard that loud and clear from many different stakeholders, but adding to that so we can really go after that opportunity I'm excited about it.
Sure.
Great and I guess, the second question I had was more around kind of growth outlook for the remainder of this year and in 2024, obviously you called out some more pronounced seasonality in third quarter.
And obviously with the Choppiness around the sales force just kind of thought just.
A slowdown in growth.
And given that kind of single digit exit rate, you're likely going to see in fourth quarter how.
How should we think about what a reasonable baseline is for 2024 and beyond just in light of some of these puts and takes that you highlighted.
Thanks, Ron for the follow up question I think we will.
Give give chaz more than five days on the job to really dig in before we talk meaningfully about 2024, obviously I just commented on the 2023 guidance and some of the puts and takes I think our long term conviction about being very early in the penetration of this market.
Assembling a lot of the assets required for durable growth.
Remain steadfast.
And the goal now again is to to really make that transition from broadening adoption deepening adoption.
And.
Get our sales team and our customers increasingly tenured together.
As we drive these benefits for patients over over many years to come.
Okay, great. Thanks, so much.
Please standby for our next question.
Our next question.
Excuse me. Our next question comes from Joanne Wuensch of Citi.
Please go ahead with your question.
Good afternoon. This is Anthony on for Joanne. Thank you for taking our questions.
My first Lucas I think in your prepared remarks, you mentioned there were some.
Pocket.
The weakness in demand can you, maybe just elaborate elaborate a bit more of these.
With certain types of doctors or certain geography is just on any more granularity would be appreciated.
Yes, so we've.
We've talked.
Recently about kind of where we stand there.
At 80 territories in Q3 and 85 now in Q4.
Roughly 2600 physicians in Q3, which the math there is about 33 physicians per territory. So so we have the ability to look at kind of.
Per territory per account per physician.
Metrics and I understand.
What's going on for folks that are performing ahead of expectations at expectations or below expectations. So as we've done those forensics.
We have each of those buckets right territories, <unk> docs and our hospital accounts that are.
Ahead at or behind expectations and so.
This is a business where.
100 procedures is about 700000 in revenue and across 80 territories, that's 125 procedures per territory and that kind of moves the business incrementally in a positive way and if we miss that opportunity for a procedure or two or three because there's some sort of.
Change or disruption at.
At the local level.
There are some opportunities we missed right and so that's really some of the color and context for my comments.
Okay. It's helpful. Thank you and then can you just give an update on where you are in China.
I think on the last call. You said you were just about just some of it for.
And in Japan, but just any additional color would be appreciated.
Yes, we didnt mentioned on the call because there really is no substantive update.
Just as a reminder, T car has multiple products, which means multiple regulatory pathways across two different countries.
Also means multiple reimbursement pathways as well as the.
The channel discussions and so we continue to make good progress on all those fronts.
As the markets themselves are dynamic.
And changing and so no substantive update.
This quarter, but but continue to make progress.
Great I appreciate the color.
Please hold for our next question.
Our next question comes from Neil Chatterji of B Riley meal go ahead with your question.
Neel go ahead with your question.
And by far our next question.
Our next question comes from Adam Nadir of Piper Sandler Adam. Please go ahead with your question.
Hi, good afternoon javelin Lucas.
For taking the questions and congrats.
Congrats on the new role.
Maybe just to start I wanted to double click a little bit more on the sales disruption issue.
And just understand.
Kind of where are we today from a head count standpoint, I mean, I just I heard the commentary and territories, but are you willing to give head count.
Where are we at the beginning of the year.
Do you have any territories that are understaffed are open just any more details you can share there would be appreciated. Thanks.
Sure Adam I'll take that.
We exited 2022 with 70 territories as you May remember, which was similar spot where we were in Q2, and then Q3 and I just mentioned 85.
On this call.
And we are roughly a territory for us as one sales rep and one clinical specialist on average and then obviously, we have a sales management layer.
In addition.
And so as we've been building and expanding this team over time.
At any given point in time, we're doing territory splits were back filling reps, who have been promoted theres always normal attrition and in open territories, either because of attrition or promotion and so thats kind of always happening in the background.
And over.
Over our entire commercial existence, but thats, where we stand today.
Okay. Thanks for the additional color there.
And then I guess just for the follow up would be on the.
The NCD that went into place last month I'm, just curious what youre hearing from your.
Your customer base about.
The new carotid NCD.
Any any kind of chatter that they may be sharing with you all have they seen any change to the referral pathway or volume trends. Thank you.
Yes, I think there's general excitement and I think.
Physicians talking about this referring physicians talking about this.
Companies and innovators talking about this is all a good thing for the market as a whole.
As I said in my prepared remarks, our position hasn't changed we think this.
As stated one of the goals by Medicare is to broaden access and we think this leads to more interest and awareness that could potentially have a market expansion effect over time, and we really are.
At the beginning after after many years of.
Putting <unk> on the map in the history of transfer MRO carotid stenting prior to that.
At the era of minimally invasive carotid stenting, which has already happened in almost every other blood vessel right and so we see we see the market expanding we see minimum minimally invasive.
Carotid stenting procedures rising and innovative surgical procedures following and we are the clear leader in the minimally invasive category right as measured by <unk>.
Evidence experience products broad label commercial expertise.
And on and on so we're excited about this next era.
Thank you.
Standby for our next question.
Okay.
Our next question comes from Kristen Stewart of CL King.
Christian Please go ahead with your question.
Hi, Thanks for taking my question.
And Jeff Congratulations on the new role.
I was wondering if you.
You could just.
Dive a little bit deeper into the expectations for <unk> to what extent there was any sort of disruption that you would expect from Nancy D embedded in your assumptions there.
Well I think it's certainly a new variable to Kristen.
So that's some something has to be considered for that.
Some of it is kind of where our commercial organization is as I mentioned.
And some of it is just making sure Chaz has the time to really dig into the business.
As we close out the year.
Okay and then.
Follow up question just on gross margins.
They came in and improve sequentially I was wondering if you could help us just take a step back and think about what sort of expectations, we should see going forward.
Yes. So it was it was a strong kind of clean quarter on the gross margin front.
Relative to.
Volume across our two manufacturing facilities that are fully operational so we expect to continue getting some some leverage out of that fixed overhead as we.
<unk> unit volume up over over the future.
And we've also obviously continue to perform really well on the product level asps that.
Obviously helped underwrite.
That performance in the face of the supply chain.
Cost inflationary pressures and other things that serve as headwinds.
Okay. Thanks very much.
Thank you Christopher.
One moment for our next question.
Our next question comes from Suraj Kalia of Oppenheimer <unk> Company Suraj go ahead with your question.
Good afternoon, Chad Lucas can you hear me all right.
Yes, good afternoon.
Yes.
Charles Congrats on the on the new role vis you all the best Thank you.
So.
So I just.
Forgive me I know you're new.
And this question might be unfair, but I just wanted to sort of tee off on.
On your comments about doing due diligence on silk.
When you look back at your background with Apollo Tarek, so on and so forth.
Vince such a structural shift happens do you think it makes any sense.
You change sales force incentives either to reduce churn and or improve utilization.
Okay, Youre getting to real detailed army suraj.
Yes.
Great.
I appreciate the question and let me just say so.
Hey, guys.
<unk> context commercial team here has done a fantastic job.
Knowing the business since launch.
And.
As we look at and learn from what's happened. This year, we're going to dig into all of that right. We're going to spend time together looking at it collectively and say what are the various aspects that we need to do what do we build on that's already in place and it's working great. What are some areas. We may want to adjust and enhanced going forward, but I am nowhere near being able to answer the question in terms of exactly what we might do in <unk>.
So we've had a chance to do that and so I really do look forward.
In the coming months to coming back to this group, where it's much more of a forward looking commentary on where we are heading.
But first I got to do the work.
Fair enough.
Lucas one follow up question for you and I'll hop back in queue and your pre.
Repaired remarks, you mentioned about.
And Im paraphrasing here mining physician behavior.
Just to see how to better engage the physician again I'm paraphrasing.
What I'm curious about Lucas is given the newness of the NCD Dolby have enough data points to.
Any changes in physician behavior, hence make any corrective actions gentlemen, thank you for taking my questions.
Thanks for the question Suraj I think it has less to do with reimbursement in this disease state is we've all we've always said.
The brain is the and Oregon here, which is incredibly unforgiving.
And what could go wrong in a prophylactic procedure intended to prevent a future stroke.
Is major stroke death heart attack permanent cranial nerve injury.
So the stakes are really high and physician behavior is derivative.
Of what's at stake and confidence has a lot to do with it and when we say the inertia of Cta, that's another way of saying their confidence that a procedure.
They perform for a long time and so that's the same type of confidence in the same type of barriers to entry will ultimately build.
Around CCAR and the good news is as we know we can do it because we've done it right. We've got a lot of CCAR first physicians that of cross that chasm.
And.
Have really gone from.
Not confident to highly confident and thats reflective in their adoption patterns and so when we talk about behavior, it's really.
Confidence and other key variables.
That allow us to look at adoption trends and what's working really well, what's not working so well and how do we continue to change and evolve to drive the business in this in this disease state with this February.
Okay.
Thank you.
Standby for our next question.
Okay.
This question comes from Michael Polak of the Wolfe Research Michael. Please go ahead with your question.
Thank you two for me one the balloon Lucas would you be willing to frame up numerically how much balloon contribution year to date.
Thanks for the question, Mike So I'd say, we're slightly ahead on our <unk>.
ASP expectations and slightly behind on our utilization expectations and obviously those those two things are related.
And so that that is theres still a lot of room to run in terms of driving.
The balloon utilization and more accounts and more procedures.
So we're making good progress, but no we don't breakout product level detail Mike.
Okay.
The follow up maybe for Chad and maybe again five days then question that's unfair so if that's the answer.
That's the answer but.
I look at Silicon.
I know there is nuances here, but your customers are principally the vascular surgeon community and does NCD kind of.
Levels, the playing field with interventional lists and I guess as you look at this at a really high level with multiyear lens during the diligence ahead of saying, yes to the job.
Do you think there is a path here.
In addition to continuing to serve.
The surgical community.
Engages with interventional, it's in a bigger way.
I appreciate the question.
And we are going to.
Look at over time broadly a whole range of strategic options, but where we want to be over time, if you take a lens of multi year.
And we're going to have a succession. So allow me to spend time with the team really understanding.
To date as well as other plans.
I like the fact that right now we are.
Pretty focused company and we got to focus on that and keep it going but then I also like the fact that that creates new opportunities for growth down the line and that could be international opportunities or it could be adjacent opportunities, but at this point, what that looks like I am not prepared to sort of put a stake in the ground we'll pilot.
By the way Theres already been a fair amount of work done internally, so I'm going to learn from that understand where we're thinking about work ago, and then come back to you guys with a more robust comprehensive plan.
Thank you.
One moment for our next question.
Our question comes from Neil Chatterji of B Riley.
Neil. Please go ahead with your question.
Yes.
Okay.
Okay.
Okay.
Yes.
Seeing there are no further questions I'd like to turn it back over to Chad Mccann for closing remarks.
Yes. Thank you for joining us today I just wanted to leave you with some final thoughts, especially as we pull back just from a reporting on the quarter.
CCAR truly is an outstanding procedure.
They are the proven benefits for patients physicians and the health care system as well as the support of the really robust clinical evidence is really unmatched in this space.
And at Silk road, because of all of that we aspire and <unk>.
And this hasnt changed at all to establish <unk> as the standard of care in the treatment of <unk> and we believe that patients deserve the benefits of this therapy.
The company has made a lot of progress towards achieving that objective over time, and we have a strong team in place going forward as I mentioned, a few times, we're going to really dig into the business and work to deliver on that promise.
Of this therapy to all of our investors.
Much appreciate your support and look forward to sharing more in the coming months. Thank you all for joining us today.
Thank you for your participation in today's conference. This does conclude the program you may now disconnect.
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