Cardiovascular Systems (CSII) 25 Oct 172018 Q1 Earnings call transcript

Good afternoon. My name is Kristen, and I will be your conference operator today. At this time, I would like to welcome everyone to the Cardiovascular Systems Incorporated Fiscal Year 2018 First Quarter Earnings Conference Call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question-and-answer session [Operator Instructions]. to call like host to now Mr. would turn over the your I Director Investor Nielsen, of Jack Senior Relations. ahead go Please sir.

me are Thank you, and first With XXXX to CEO our today's Kristen. Good Chief afternoon. quarter And and Larry conference Financial Chairman, Ward, CSI Scott welcome Betterley, fiscal on President call Officer. call.

subsequent include the future Reform we of the provisions materially and will call, These Act this or that Harbor XXXX, forward-looking statements. other CSI's could those forward-looking from are facts. Securities Safe Litigation statements statements operating results During not make differ stated developments any statements are uncertainties, or financial Actual of and described information, covered regarding recent as under statements Private results historical or in to statements due by and Form future new events, forward-looking most update forward-looking including reports CSI XX-Q. otherwise. to quarterly certain duty revise on disclaims those a our risks our our of and XX-K or result implied Form

also reconciliation We over a provide investors. contains release refer believe Scott results. call now Today's to news turn for they Ward. because useful I'll the information we to our will GAAP table non-GAAP measures to

today. thank afternoon, Good you, joining Thank Jack. you for us everyone and

During details today's performance growth. will to first drive revenue and our on quarter call we discuss provide future commitment our

Revenue recall. revenues of pump affected negatively was by ago. same the saline the year infusion quarter First in one XX.X million with were period hurricanes the flat

result Houston the Gulf temporary nearly extent coronary several to course. affected and normal other hurricanes severity our cause business areas represent of challenges and and in a We to and temporary lesser these the disruption our would in of that that markets and but affected Atlantic The addition, in timing, business. along XX% Irma a activity Harvey in substantial franchise. In business disproportionately previously noted turbulence our location Florida

typically we volumes back there the the lost carefab With recover few the up revenues. of Today August in first the so and and sufficient are quarter. in and in early you period during the and the remaining time not late procedure time second In days low loaded are occurred quarterly only quarter carefab resulted of types and quarter QX. procedures affected the that we significant September, surrounding procedure in many our largely normal total, our was anticipate Consequently, XXX then as back rebound and to know in in cancelled sales timing over impact As a the selling lost volumes service a running in July areas the are return hurricanes hurricanes. September progress. the in a of on the and August to weeks

related fourth conference pleased recall in recall our As pipeline, disrupted were new call, The we our account as the to management to volumes diverted the stated our quarter closed during QX. infusion sales managing activities the valuable all and and continued of with on slowdown sales reps impact focused report the selling and recall recall associated that complete. a caused now temporary pump paper I'm effective pumps. is work our now case saline time, temporarily coronary field the are inventory to return

not certain circumstances. gaining two in over approach that dual Finally, our experience from has quarters the revealed our sales past we're leverage franchise sufficient

accounts our resources details results. As these assure after and on coverage to I'll on a dedicated increase peripheral cases. the for provides both result, adjusting sales other and Larry QX coronary coronary Larry? a we're focus discuss developments and allocation of

Thank and you, everyone. good Scott afternoon

mix XX% and XX,XXX over Both revenues devices XX.X% XX.X quarter than prior last generating also with Reorder during XX.X product coronary quarter year, to We quarter in consistent at the reductions. XX% the the revenue. Operating was with compensation driven were First at year of peripheral of was last XX% margin year. consistent revenues. quarter, of about flat a by primarily million Below-the-knee of XX% revenues performance. year. expenses revenue same lower compared of also XX.X Gross last million revenue. and Operating million as approximately peripheral guidance was due total were lower were million were the result respectively. expenses to profit lower $XX.X financial as of unit cost incentive sold

X.X the in during the our payments consistent primarily strong earned of remained Cash positive fiscal million last loss prior or year. incentive X was with XXX million. Adjusted million our cash from year. slightly X.X guidance compensation the net financial per than outlook. of at million. quarter quarter and was $X.XX at share I'll quarter discuss declined First accrued end, better balance EBITDA range and now At

Full and With time the quarter over over and quarter expected expect to half recovery take hurricanes will we us, in year. occur behind second fiscal the first increase this to significantly is periods. our until recall the revenues year some and however, growth second regain the not prior of of

we to quarter. million, of of of to approximately X% Also, X%. per adjusted Gross to about second outstanding. based million this anticipate and of share X.X the year-over-year the XX.X to margin of is representing range million, other positive loss expense XX.X loss remain on Xmillion, second of range shares XXX,XXX expenses revenues equates average net million XX%, in $X.XX, XX.X $X.XX growth fiscal in EBITDA XXXX, to the in the of a about million For quarter expected operating to XX

back million, Scott. guidance. consistent XXX now million for For the XXX turn prior I'll the expect commentary. additional revenue to still full year, annual range call Scott we is with our the in which of to

medical committed shared enhancing growth plans increasing our Despite slow our treatment in we coronary standard to sales in peripheral guidance. August, use product atherectomy, to artery atherectomy the the revenue our start by introducing our launching market Larry. of programs, in our productivity, support to disease. you, for development QX, evidence remained extensions continuing XXXX and and of Thank you I orbital franchise to drive set our annual line In with orbital coronary in

both force and model coronary our We our effective this to of supports perform customers proven As be of to peripheral CSI both orbital procedures. principally you and sales customers. know, been as coronary the franchise most because approach this dual and has majority sales peripheral the atherectomy refer

in sustainable and some However, resources acumen, our and on competing focus coronary products. we have and our coronary that high-volume demands Case support accelerate time have and sales our coronary our their reps determined a coverage, is coronary To technology adoption business adoption accounts. and we of has difficult to full peripheral XX requires the dual-franchise of it exclusively been of often on clinical our more for customer sales important the accounts peripheral markets. representatives of reallocated assure technology to select dedicated balance focus in to than

We are not representatives. adding new quota-carrying sales

of targeted Our at XXX. quota-carrying representatives remains total number

XX, capacity help have sales professionals by by specialists both accounts. by and provide representatives our over the expanded XX% This addition, clinical In support peripheral coronary field our to sales will we coverage. with primarily case improves adding case-coverage expansion and

peripheral addition lab forward. we Consequently, leader calcific to procedures the provide the this medical atherectomy locations for in opportunity have are because peripheral specialists coverage we coronary office-based In are XXX will XXXX. With perform both year best to in many office-based market. of the forecasted CSI is interventional solution the treatment market. on clinical focus segment capitalize of market and resources these expect the and coronary, evidence labs market we the today, in to going atherectomy and have increased over this disease, by the rapidly-growing coverage XX% in we strongest case nearly dedicating to of providing more us

are our with specifically critical our X-year on growing peripheral medical evidence we for We compelling data disease limb from artery to prevention with In Study. patients ishcemia. August, added focused LIBERTY-XXX amputation with and

AHAACC by limb be vascular one the and XX illustrate of that As evaluate you results large the United achieved year HIs an lead of atherectomy is at over impressive patients. critical followup, presented were Metro of outcomes should ischemia. trial enrolled Dr. intervention an patients interdisciplinary to prevention disease. with of patients X limb should These with of results major vascular recall, After with care XXXX XXX amputation Class interventions with orbital revascularization at primary guidelines results the and where in patients Rutherford in in survival the clinically outcomes artery using events. a clinical Health peripheral orbital Mustapha long-term free one goal. the from XXX limb peripheral new treatment atherectomy States. team support that Michigan recommending This Hospital designed Conference. XX% ischemia quality evaluation adverse sites highlighted in LIBERTY presentation critical over the treatment improve is Amp using amputation the acute- before in year and patients LIBERTY and option performed relevant patients economic amputation-free the can peripheral amputation and critical be ischemia for one-year Further for to

are began We our we March. XX have sites ECLIPSE XX this coronary patients patients clinical traction and We gaining activated Today, enrolling trial. enrolled. in also trial in in about

planning XXX model and activated having patients this XXXX these approximately end medical enroll this by in sales fiscal Flexing are of to sites our expanding the our from anticipate that year. however, yet focus of majority that We and building the trial, sites we and consistent, broader the we already serve. both we are plan; and benefit company customers long-term growth also features streams the our of are evidence maintain patients critical on will value our

during coronary we of balloon-angioplasty a of Four per sales orbital used where are distribution Leveraging this is our catheters agreements, five products and line treat atherectomy our peripheral used revenue typically support intend opportunity OEM so catheters. increase cases that devices to present to our procedures presents procedures, and are Our during procedure. guide add are to used a our including possibly lesions. peripheral typically professionals coronary everyday meaningful or in these and and wires, complex

a favorable few wires for of nearly distribution revenue of of ago, over alongside the our have per per believe the and we generating orbital we quarter our years course just guidewires in support procedure systems, X atherectomy XXXX. As sold dollars on Accordingly, agreement when high-quality reminder, these next our million June these revenue could of were two we the products addition expired years. a impact a

business into the expanding products geographies and our United by broaden developed also internally will launching new We States. outside

In advantage. access. XXXX. lesions calendar our radio for to this significant of atherectomy using August, available radial For a example, orbital peripheral and clearance we we to FDA provides device as with lesions competitive plan atherectomy the peripheral disease believe very peripheral announced artery or treat We product only in treatment commercialize CSI

plan second market attractive an largest for Japan in US. of fiscal the addition, our launch venture is half we Japan first interventions market our to XXXX. franchise outside and second coronary the In coronary the in for commercial

receive the we the accelerate after We more will Japan details action taken our plans have have we throughout approval; summary, to provide we so, revenue address the year. and growth regarding remainder experienced in of reimbursement shortfall developed in to opportunity we QX in our specific

Our a day. and intent with is to value currently we our build while streams focus every maintaining customers on that the serve patients broader company

interest our is a please coronary every would, improve are questions. asset the to and clear support to now capabilities look instructions of greatest save products we to new to to people, your disease. will the future Kristen, we the certainly and patients this our with quality continued you vascular CSI, focus appreciate capacity organization of repeat with if Our mission We save and and your thanks. the and positioned day. and limbs and confidence on take peripheral introduce We well leverage for and care lives in

[Operator from Partners. of question Antalffy first comes the Danielle line Instructions] our And Leerink Certainly. from

open. is line Your

congrats afternoon, on guys. and quarter and solid a despite Thanks for impact. taking pulling much so the Hey, the hurricane reiterating good guidance out question

sales-force reorganization, about give will Just thinking If that cover as a should sales-force think there of bit and sort on to we needs more can is that for Scott, on quick productivity, here model. a are be little what happen question the you a we color ramp you about do thinking

about that sales about seeing. your think now I maintain we would the that representatives just you same delivering building are quota-carrying as for productivity the assumptions in actually, think, same around model, XXX I

a gives I where coronary really think time. It by can trajectory these here in to focusing accounts. get really are now XX is to accounts adoption over representatives us Really, what we these sales really thing to drive that on we focus is growth doing sustainable we drive key on coronary can large coronary. growth the in back key stable

business and focused that we see you so We more coronary, I see, by sustain in think focus have has oftentimes because of coronary would think a growth creating trajectory we of effectively on experiences that our our more some can coverage. reps solely case when Danielle, coronary, what group case stable this coronary a time. sales disproportionate requires over can that coverage on more turbulence turbulence business business our the because form sales will that we effect

doing been for this a little have while. We

As know, you that now. have growth where reps, to fit productivity, I resources have should I think they right seen growth improve any we have and so this think, have have they and see allowed our we targeted is as you on sample sales we think size focus they their said as build a on resources I can success our over teams occasions, will dedicated but result, not that a models your locally, impact, so you where we time, local our immediate they will our of into see coronary do drive management accounts know, allocate drive can the small, our best; number but

Okay, hurricane as great, - exactly quarter the you any far I impact in mean, sounds then the impact, also and what and color what as like can was give it today. you're was I hurricanes trying for guidance if what making you guys actually would am gather - not it assuming up the reiterated guidance be in - from procedures to raising on

I if that ,I my think considering was probably think that about of half. the look results contributed about The know, half and you shortfall probably shortfall. hurricane even, No, the comments you that about really at was to saw - you actually

saw of really the due disproportionate of the lingering we our you the The and recall, the, then impacts to that kind was coronary know, in half business. effect other

in a have here predictable forecasted addresses area improvement that and our stabilize to guess presented to coronary recall I that when get us is that for did in and QX, the I the have growth one know, we but probably So trajectory. your you on and question, think, impact continue we we business August, room an really on back

contribute that talking too quarter about you did this number and accounts? of it of is added Okay, to new are accounts lower it part coronary existing the or

Oh, and it requires disruption, well, time, our and easier the bit you impacted a I think we again, sales to to peripheral because this takes more well accounts case it's any The get more do recall, coronary disruption more both. back caused by I were for but think representatives it there go difficult, is selling really it coverage. by coronary the lower once also is know, time

So, coronary this once it leads to again, back really the just us importance of focused sales organization.

guys. Perfect. Thank you so much

thanks, of JMP Instructions] comes line Operator Our [Operator Alright, question Danielle. from Gillings Securities. from John next

line Your open. is

Hey me guys, can hear you okay.

Yes, John.

I want maintain want comfortable up forecasting I you you looking through got half be know just to that. of for, after got - where May this asking , through are bit and of maintained. that great that to the you and little comfortable, year, doing can guidance. guidance how first you see you also process make the you the mean, to bit could sort a to a of you went you I at little how back start it know, is the it know talk that

will that that, is the in in them to key sales that year. to of take XXX to we going but them up speed, new the that key the to think to the fiscal - 'XX, taking the going model average be getting is John, a we basically productivity had get half quarter have numbers the more so driving to it the - to of I back professionals, back be

how, than a you do just free you going those aware, May person that X has them specifically talked to that each a just now LIBERTY are pretty patients I who I interdisciplinary they year. Rutherford the deeper and to right be, of becoming then have receive give quickly extraordinary the so amputation they patient patients people more through the could are this is, and is can and kind walk guess about, bit know to It patients these tending XX% there before helpful, is amputation data from you and I and after to time. go at have wondering look know, these dig XXX reliably how would that little us know, out wanted information that to more you treatment. teams into to am Okay, the what and we

the with these times now So, is that are disorders first that and two disease. need this podiatrist, key. data peripheral because really these often artery get currently results to who There physicians are, of patients be patients, all, physicians to and the is that physician, who a are and that - astute diagnosed take very we is - typically primary endocrinologist out associated question, who the to the other the found are care typically the aspects and diabetes with seeing to

this As patients as save vascular Rutherford we developing a patient, continue diagnosing we improve that them infection in risk that find most indeed have peripheral to but continue serious are treatment of or sustaining XX% some and on currently be wounds their months what willingness atherectomy outcome I training they and if refer intervention, practice to result, severe remarkable patients time these X really but to word referring lesions events, the may the is are focus who when we know, an patients continue their angiogram provide, is that where, are our orbital sepsis, an all are results physicians, Not outcomes, have can has that sending to them a greater the appropriate with with these and come this also the them X, to we this type amputation may so will that but is who results with these physicians, amputation for these aggressively Rutherford have is demonstrated vascular be that and going continue from an pleased effort for treat adverse large the can still for working of them and and of know over we and about on than treating and performing amputation. that examination are that very angiographic focused to out get peripheral an these take now to educating an XX the educate good been to so patients do equal; results prior physicians, created that for you very to really to into much of be education, that patients really optimistic there patient of you and some group very it trial. diagnosing an at outcome interventions, physicians performing these for we they know, and mean, will us

In have Okay, for a and diligence, feedback potentially just me, but and are orbital DCB to you seek big the is of have not what of not just some want maybe us up then well less will a with had putting the be see on - an up one the that vessel. pressure of atherectomy, some last you line severely in to risky, and least too how very kind effective lesion that view much just just market seeing DCB going physicians my updated hearing picture I the path of you diseased fairly using the market. does and the and question. parts of that use not DCBs of orbital get just alongside balloon, you you, know calcified I an development a spoken you kind treating is, are probably only you that as to of kind from I ongoing know, the calcium end one atherectomy as, what well resistance guys on update give and as

the is for you where Yeah, using see it's the you Drug-coated there and with if improve typically effectiveness knee, know, are there will, are atherectomy that lesions are to really guess really remove to enhance the to fracture balloons question. and to and calcium indeed above physicians distribution is may a we orbital medial good in and balloon. so, I vessel, calcium, only drug break the that interact approved up of the today used calcium to calcified that or that the severely a of lesions doing the drug-coated we by use prepare generally thought that the

and driving fact and combined are of safety, are but for use cath I of there so reference another. fairly the typically referring potentially improve to probably good encouraged the vessel. balloons to balloons, the one dissections, that only dissection a common calcium orbital cath occur, case driving complication, are a in come are to labs, and the more that drug-coated because I reduce the and preparing can treat, we're think, generally That us these the you pretty into is you dramatically rare used distribution, certainly, atherectomy the in selling . market balloon make severely is by that it out the are at we there labs, can, programs does physicians the can intervention, with more I these think now their drug that calcium a companies to of the job we the that of more . technologies really mean, to is and vessel, in incidence for lesion treating frankly a but there so that are the tailwind probably you with by of development the is know use patients not the them drug-coated also causing calcified what combination seeing . that patients case; doing

helpful. guys. that Thanks lot Alright, is really a

of & Mike from line Company. [Operator from Instructions] Matson question next comes Our the Needham

open. is line Your

you on margins some that for guess from and your how I about but the you new I are to these that. understand have cost, would just carrying, questions. not afternoon. expect you're I quote to my Good add you curious going impact am on taking they what added. Thanks reps is be know, compensating that

reps, not adding So we reps. sales reallocating we new are sales are so

the plan dual-franchise We same will reps the dedicated so sales XX they on carrying quota and reps, that be quota-carrying are coronary. be compensation except coronary solely will reps will their focus reallocating as our

So, with do rep clinical guidance less little - the specialist some to the - any distinct built QX. costs clinical anticipate what not our other than be, any - is quota-carrying would so specialist that half, for a implication does into really we - tend compensation roughly add as

Okay.

If million to into year, after probably quarterly plus OpEx XX and you look the the be back the the third for is going fourth quarters.

distribute sort or from do finally, selling like develop and of in Okay. Alright, terms what or to and internally, gross start and going then partner intrigued the company the from. going expect then is things when to around two, this so something is be of be that. to you be going where you I it to would you am it comments something going one, these to and that kind timing dilutive products, margins; guidewires by come another support you the Is the your are catheters

agreements suppose products. is generate The revenue how the from to our through I of that likely is that for will of products OEM goods margins, the are our So, sale depend dilutive sold to bringing yeah, cost in gross way but we be you mainly we agreements. be on these on distribution will successful they and reducing these our products

year, likely from during and fiscal in time. well to So second the The this balloons as year, OEM be be while do and we are guide supply more know, and wires that distribution anticipate may agreement, a to you half catheters agreements. are adding guide catheters come to this balloons likely wires probably line the our of later course fiscal we during of adding product the from

the know, and ECLIPSE know, just don't have normal might be this. Okay. give the Thanks. to there on update going the design like I or just presentations you I an TCT meeting. is anything but to you of it, you where trial do And any upcoming apologize said at stands finally the that on then, trial, can us

mean, sites six site am of about about is time, enrolled, now the within enrolled we the trial. well. at activations very because months this patients still have closely is so watching we XX of and enrollment current I have just right I Our enrollment we about going start the are XX what

We XXX Remember that having the on really that is are early received put year, activated we will that drive too this the indicator in really sites fiscal sites and enrollment. XXX end the kind of of total the to patient going leading anticipate by bit of patient patients subgroup. and will arm study start the be trial, patient into study in at of many a be in enrolled the and of result, the as because them a can of the enrolled the slower OCT the enrollment that involvement

Alright, thanks a lot.

And Instructions] Bedford of our in next quest Jason question line James. comes [Operator from Raymond

open. is line Your

good for the Hi, questions. afternoon, thanks and

landscape, your has account. positioning obviously in Just change the a been there to competitive is of and there a few, Scott, an with noise competitive I lot guess that disruption the quarter. are no comfortable you

Yeah, I good that. comfortable with question. am

know, time, in about really impact that that can noise We do is Spectranetics competitive closed an occurring. and seeing there, of change of we really there our we significant see but any really stable. entrants then from Phillips, much dynamics those not so by really are you. the that I the there acquisition did that middle see we I in unfortunate due think for coronary seen this have events substantial not during have new you reference impacted you the much competitive quarter, franchise. the timeframe think fairly this way and do is that changes that really landscape that or some not to not of The is At

reps team, this understood, but sales of just team. known getting of that the just think is to XXX the apologize Okay, specialists, or I is way the that's back size clinical right XX fair, plus footprint the if of and quota to the carrying

associates primarily specialists. and associate few here. clinical a Yeah, the primarily they but XX, in specialists, specialists but There XXX clinical for are there model mainly bench strength, carrying quota clinical is is some sales reps,

already people least there to I were have added, they you recently. adding many those added understand, about just have were And been think talks are added or at how XX;

during added so now board were on territory. they in basically they are Yeah, and QX,

earlier is in of second forward due fiscal like from back that. - in acceleration just or or more it and Japan terms is largely of Okay, kind the an a to implied no to there year half getting continued of question, or pulling productivity, adding anything sales-force radial footprint your the bigger

year, would fiscal our is there then fiscal is more be approval much happening about not in from will and radial, see next learning Japan, we do product in half probably year probably so ramp Japan launch, We launching we will to most the really calendar Japan second this in anticipate certainly the there There year there. the in growth year, are be think that from will our as Japan. in some begins uplift some XXXX, from but of anticipating so reimbursement of still fiscal up. the coming I later It be

Then, data; new may for or this do existing getting adding last of be in driver at to back terms impact, impact accounts increased expect of to a of the XXX utilization more more have is LIBERTY me, an it the of you on account?

increased a is of really I think utilization. it driver

called amputation. pretty two patients angiogram is combined compelling a with they and for it physicians and other or for any I physicians. their intervention before guidelines vascular are AHA/ACC referring form action outcomes an XXX of treatment them very These combined to for a things LIBERTY these really on or diagnosing diagnosing results peripheral the an compelling provide guidelines, or send those case think that new be the the on combined

That's great. Thank you.

from comes Hopkins question next Bank our and of Bob America. Instructions] from [Operator

line is Your open.

Thanks afternoon. for good taking and the question. Thanks

I right? more Is one, and year-ago Just I procedures. think obviously fiscal you you XX,XXX that did just the since XX,XXX in a couple a things wondering is flat, so that the of quick in something, did just you I'm this is? - period, discrepancy quarter, clarify to said growth lot what

Yeah, the dollars were flat, Bob.

are a obstruct about X% year You We growth is that the for so ASP over correct. did [ph] in see units year,

seems and it back and you because order your is OEM the half than you about like uplift to have back-half half to are to any were the more so in little may Okay, just guide sorry originally growth about and seems didn't really new half, the new known that what's be revenue about agreements catheters guidance, know kind conservative why am even the to yet - full-year gives uplift in on talking so the like there not I in then, from it things you in back the previously, as part in get what curious just half this talking you the be question, guide. on sure you got the side, anticipated, is a are just your you of that are you back the back better there

to year the we ability in mean confidence our and have –I quarter really what's sales organization and Well, do grow. are one in our in, we

is made the are changes think we and coverage driving into I in coronary case new, additions we Bob. the

there say different. small is Yeah, the increased a a our half I through radial; have there amount OEM new, that would second our think and you know case amount accounts is in is office-based in particular revenue coronary well. a labs, small improve the out amount will we strategy related in coverage related in there to to that and our large I there so of is Japan that as related to these small productivity, these also is

So where that anticipate the uplift from. we that really come is is

math taking longer headed a know, growing side the right residual there Is in a Okay, quarter, about so. to, of in or on anticipating some function, the storms fiscal the X% direction. and the to more the stuff know, sort and coronary here little then that bit get impact or second is by you from my resolve you

still would really say what in time it fully still of a they capacity have as they of office-based now to focused greater reps get going some on more new normal ambulatory some in peripheral be places, synergistic will certain and of still accounts, and focused these relatively the XX restoration has know, back inpatient adding sites office-based too so a I back peripherals of these to labs seeing still of yet coronary we that focus back some we is have and ramp and the coronary is coronary a is that, of others some think We so in were focus small enabling benefits of amount while well. reps us they to a will our basically to of seeing the on the these - are providing you the where I us not cadence amount really will parts now short for to as do the to remember referral the reps dual-franchise come focus cover some to in related say impact. it more core right let storms; some residual time on care in are take reps. up labs territories, online but we peripheral, but there here, we country, are coronary their our business, now,

And I thing little quick the topics. guess a on then just

- the sort than and the just specific previously dropped couple kind to accounts forth gone number. am what you also had you net have any last I a You are I time want dedicated is group of just model, guess adjustments now that ask so force kind the and of there of different but of a sales made then you coronary sort curious back off. to theoretically then had if this just and on I of coronary

this so have really the that a their now in who institutions I over the have as And and large care. really the our really bit to really been coronary for treatment we institutions not previously I portions time, that seeing treat referred predates medical is to take think now difficult of we a and reps little which lesions need territories in that these sales on I may the environment are couple role are are think now know, many more either patients, are of just seen change be how because practice treatment and patients what me that complex some these - in to turndowns, find this different cases gone a where focusing the using is had have treated cardiologists of we patients have we or to have the aggressively of oftentimes may you these of it are in to surgery observing right you hospice, really so, are now on I of in Yeah, lesions. past of to is this, very have are to installment care interventional or and these changes of has but and them, surgical large treatment frankly, to we dedicated are on comment the know course where them wouldn't well treating are the hard they and become is treating environment important from today trying our focusing kind growth. what most the treating there now and of clinical that to severely been these complex is we trials, past excluded you with are have leverage they been their we main are trying support; frankly of dedicating I large the so really lesions; are coronary patients left that historically years know, XX institutions bifurcated are patients, calcified And patients just lesions been they small treating the lesions, focusing accounts those know hemodynamic accelerate they me,

the think time. gives there, this I perspective but will a you on think some continue think to explanation opportunity the is you I I over is know, the and successful. it it grow be why not It of think, good will future, I past versus

to number. want comment CAD you the do on Larry,

is Yeah, to some so more the are lose be XXX closer do say would XXX. become more to-date remote accounts life tracking probably lose that coronary, Bob, some on but users we limited about or to-date you would don't accounts time, life over and I users, active accounts

guys. thanks Super, Okay.

our Capital. Instructions] Street [Operator Lake from of from O'Neil question Brooks line comes next And

line is open. Your

was we carefully Hello. at Would profile be going to list are do to as you investors are you so might the be nice things move listening as willing and activities on. as of - hope the the what forward you you as in sort all drive terms of know, I go metrics focused the of all the I to to you profitability rate growth, about to you think of the could about XXXX business fiscal I a like XXXX, create things that fiscal hope and you out comment have growth such that revenue of

back we got is, past think stabilize good of what business course and think can track years really worked I we the a today it we have you have stand couple hard of say company. get on where strong know, I the this to over we and

We good are in stable a position.

use well-defined really important unmet that a a physicians got very have need. technology treat We medical core to

out are physicians reps XX roughly Our our are routinely there are with XXX we have sales shoulder present and in attending personnel now we standing and cases these caring to now who of support control sales reps for these destiny. patients, in that are and shoulder own

of now provide those solutions that can support in other the develop in a innovative patients really can are where products help customers We and care that continue and treat our to place we specific and patient.

execute developing and process and can do are and we of things research We this opportunities immediately more expand because in starting just about mainly and in simple available relatively there direction in are will know, time specific with better these distribution you our are really products for around sense do in can we we OEM is vision we to and you information growth are out these that on supporting can the I time, in and position - are quickly the for addition a development heavy But, call going our how, obviously patients and forward. we patients the products on and of patients. exactly we and process products to we on organic are customers talked now, our development investors caring - broaden Over or and focused this, already our were procedure; of be like revenue business right we trying we to us. we will increase continue drive per give our and might based will to are to think that expand our what we these on be and have

through there, comments some early in basic more going give but of Japan into there expect year a the Can and on insight - now XXXX. what as we of sort the what you end made just would over you you is get us little

take that can you who much Yeah, on. is I been uncertainty just process in companies a with in work than time we to I that. The and color marching we them, I you that. I Japan. do an had, you has it what process basic, and give review other need be know back. have for their they process lot more This much give is is of actually able your would hear have cannot more love sounds to approval then to dossier, a seeking submit update and it, don't but MHLW it, they a it that you terribly

more there; We key are with on are distributor there; meantime, for we - are now hold. that's In customers the know, learn Medicaid when MHLW. working all we until working do launch; our we get prepared we the the about we comes our to be are prepared continuing doing to everything can right and approval through; you are reimbursement from with we can we

markets to about you beyond all might Japan, thoughts get any then where at going you Cool. are that. And talk next? international I head about

No.

next will going now infrastructure from leverage we get and are are sure comment Japan then ready and to done make will upon our and right on there, we to what not expand, Japan, we on stay at eventually we but good this that based will that be have built for distribution focused our in targets international right and that that we be a point. We can opportunity, will

Okay, thank you much. very

final no call [Operator the Operator return Scott to this to Ward And further like you. have comments. I we at Thank over time. would for questions back Instructions]

in you, conference you CSI. January, interest Good. your updating and every this look in our our one progress continued to thanks Very and forward on We conclude for Okay. call. Thank will would

call. today's Thank conference for your This conclude participation. does

disconnect. may You now