CVRx (CVRX) 26 Jan 232022 Q4 Earnings call transcript

Good day and welcome to the CVRx Q4 2022 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speaker presentation there will be a question-and-answer session. [Operator Instructions] Please be advised that today's conference is being recorded.

I would now like to hand the conference over to your speaker Mr. CVRx. with Vallie Mike ahead. go Please

afternoon. Thank fourth today CVRx's joining you and full-year for quarter call. us XXXX for Good earnings conference

on the are Officer, its today's and Financial me Chief Oasheim. Executive and Nadim company's Jared Officer, Chief Yared; Joining President call,

forward-looking contain plans guidance. time. on including statements expectations change over as of will The today about are statements remarks statements, The may based and financial today which

earnings a including those Company's actual addition, results the issued In SEC. identified of including will and uncertainties, SEC Form materially this to could to the that risks number due the in filed call the release prior in with be XX-Q differ and upcoming filings,

call would the Officer, and CVRx's like President Executive turn I now the over Chief Yared. to Nadim

thanks today's then Oasheim. for To our review of on XXXX everyone today. financial followed before full-year overview an a by and call Jared conclude providing fourth an our us begin to And quarter our and questions-and-answers. of I turning thoughts results by will performance joining you, our Thank update, by operational Mike, CFO,

by the U.S. several that increased despite growth. worldwide driven We macro over heart This Barostim, We team all very annual strategic our towards made everything in of by for has our great failure utilization XXX% of proud It progress accomplished disruptions year. our fact in XX% CVRx. demonstrated primarily XXXX resulting that initiatives our throughout adoption been a businesses and the are is the revenue by increased XXXX. year

was strong quarter. by a year the capped And fourth

U.S. of from initiatives, fourth sales implanting expansion of centers. by XX% fourth force quarter the U.S. in the quarter continued active the an which XXXX. for and was $X.X quarter the was an revenue contributions increase to marketing worldwide increase driven million, led our Our Performance for in over

and XXX% XXXX, expansion driven new more in the fourth an growth public heart territories, was by very over physician into U.S. launch The stages increased increase primarily awareness. generated early our we we the were than accounts patient failure $X.X When XXXX. In commercial increase continued went and of U.S. of the in our the and business million, sales new quarter summer the in of

expect At with business in it this in commercial we consistently line organization. time, our the to grow investments the

We XX%, increasing quarter has are U.S. how our very pleased this growth out with played sequential since the with revenue IPO. average failure quarter the consecutive excess with quarterly of of heart in fourth XXth being

use developments an update Barostim. the fourth during of greater quarter Now on adoption for operational in to support

continued product the two, areas of of focus three, were: body evidence. the of infrastructure; the expansion innovation commercial our of one, Our portfolio; and clinical expansion

expansion Starting commercial of infrastructure. with our the continued

During three new the XX. quarter, added to bringing that territories we total

excited attract continuing look with build in that the to been quality XXXX. we are upon quality forward sales We and able to talent of have to

we including direct-to-consumer business. the DTC been several new positive The a has During or our DTC programs. year, patient to-date and U.S. and impact momentum successful generated pilot program had has our with pilot for education on branding marketing our programs, campaign program,

broadly. campaigns candidates to optimize to to the to We are roll Barostim we campaigns undergo interest have cost DTC seen we localized continue for in whether patients and more effective they investments therapy. minimum made them have than with in implant pipeline evaluate we whether robust XXX learning a patients potential them plan these To-date, as have make of more more a and out

product Our innovation second area our of of focus is portfolio.

reduces longevity the a by X allows smaller streamlining the procedure. It is second-generation extends providers. During by device, X] (ph) of the which XX% IPG XXXX, XX% the the Barostim their reducing Neo for half launched IPG and for implantation patients by of footprint for replacements device a of employing of virtualized size we and the [Neo second extends frequency the remarkable and

more in third is patients the trial failure provides ejection in of symptoms of with designed mortality of reduced The that reduction Our evidence. heart and fraction. to of clinical expansion Barostim benefit area to a body demonstrate clinical of was rated our BeAT-HF addition focus a

announced, in the and to the the event trial accrued collect required previously and As XXXth working we data. all are monitor

the a composite the endpoint potentially is few the hierarchical COVID and hospitalization. a analysis, secondary pre-specified ratio and win severity As ancillary a These meaningful reminder, sensitivity and and mortality account primary analysis, have include endpoints waste we morbidity and endpoint, few for of analysis.

the on our be share While with quarter of belief to also will before are results, end based committee in XXXX. and still but we we a blinded position data to of the the that collection the steering progressing unblind and how is the data the first

trial post submit We for note market its FDA goal the is ultimate that this And experts. evidence available data. plan to corresponding for seek advice claims is team labeling. analysis a of decision all maker outline panel broaden our the of based the allow to Barostim on own we labeling in independent evaluation Barostim’s totality whether Our from FDA of on to the Please when data. a additional the also new to

to scenario. The At may this straightforward than last for a a in point, a the complex results binary produce it is more specific plan is conclusion answer. difficult that

toolkit. BATwire, trial. added make into patients implant we to sites continue ultrasound we more XXXX, more addition, progress In our and clinical the In guided

expect the we XXXX. in reminder, trial a to As complete

Kevin September his the of his cardiovascular in that We late brings to Kevin we experience of devices. added Board announced decades implantable the business acumen Directors. veteran field medical in Hykes our long and device executives,

have XX bench at strength the eight Additionally, with Showcasing executives of our to promotion the internally. promoted depth our the four talent of and we CVRx. leaders of of team, executive out now

failure the healthy with of and benefits disease. start fourth as considerably active Barostim that adoption more both of professionals quarter In expanded once continued implanting we fantastic had Barostim heart as to The push summary, our facilities U.S. growth business. growth can the year we States, a application which with we United quarters cardiovascular and a by was provide seen off consecutive the patients XX the highlighting in XXXX successful in during of and strong

our to Jared? call review I to now over financials. will turn Jared the

generated in which million million, the $X.X Thanks, over XXX% the increase same last the was to million fourth the period generated compared period an $X Nadim. Total quarter or U.S. was of last fourth which in $X.X is of same increase year. XX%, an when for revenue Revenue quarter, is the year.

by on fourth revenue up dollars failure new accounts period sales Heart in the percent expansion units, of as BaroStim. in physician and $X the and quarter U.S. revenue of into territories, XXXXXXX.X revenue same total XXX in of million the primarily in patient compared result units. on driven U. totaled increased as to failure business XXX was new XX The continued growth increase S. the the year a last awareness heart a

and year. when in territories the U.S., compared to end end compared fourth XX $X.X XX the the end XXXX is of of to generated have last the the QX an end compared XXXX. at quarter, had of XX same at At of of XX%, the the million XX increase XXXX we in which XXXX. a quarter, in fourth at total Revenue fourth of to the quarter, as end total QX period at At QX a QX the centers, was end the XXX of implanting XX of Europe we active the of and

QX QX The the remained from increased increase due primarily Europe. impact XXXX. in XX% QX lessening XXXX. XXXX The units during XX COVID-XX revenue to in revenue Total territories at of pandemic six was number consistent of Europe Europe the sales in in to in

a period $X.X was for year. to ended revenue was XX% profit margin the the XX, coming systems increased through for larger same quarter, increase in unit million to when Gross price, million, a decrease of partially margin period higher an Gross the battery selling year. the for same the XX% and quarter December for last offset an months $X Gross XXXX percentage compared of our three the fourth replacements. to fourth both to last average cost units compared versus per increase due in by

to is development were XX%, fourth same when compensation compared head expenses count. change in increase period increases million for increased Research by $X and of expenses is to were primarily last which This driven expenses quarter, the was million $XX.X year. quarter, period increase an the costs SG&A an increased was due the as with the associated by fourth of driven headcount. last well an higher from primarily of XX%, which same year. increase when commercialization and as advertising compared to Barostim, This the for marketing costs compensation in

average Net outstanding last approximately for loss was for to $XX.X compared last million million the $XX.X $X.XX fourth as year. $XX.X period $X.XX of shares million based $XX.X for per loss share weighted same per the fourth period and was quarter share approximately same a quarter, loss weighted on shares outstanding share Net year. net for per million average the the or or

of operating and end quarter, fourth to in the equivalents were investing $XX.X the the was cash cash million for same for used $X.X activities $XXX.X period At compared fourth Net quarter, million year. last and cash the million.

capital. cash continue We reach without believe raise to enough needing cash flow on breakeven have hand to to we additional

guidance. Now turning to

full-year we operating million. between million. XX% $XX early Gross $XX million XX% As in announced margin and and $XX total of January, expenses for and $XX and million XXXX, between the expect between revenue

and to between quarter expect For million million. the revenue first of $X.X total $X.X we XXXX, report

Nadim. turn now would over to I back like to the call

Jared. Thanks,

as we our would the opening of to drive seek adoption I utilization the like Before discuss key line and for of areas XXXX to increased for focus Barostim. questions,

expansion direct First, force a United sales top in especially the the our our infrastructure priority. continued remains of commercial States

continue U.S. are the quarter. XXXX by the adding three XX to hiring of end or expect territories a top per and territories year new throughout average total on We approximately talent targeting of

the to in our increased efforts add talent commercial Barostim. incremental to awareness to In our and sales drive region. addition, will strategy organization U.S., expect in direct in of additional help marketing to we headcount continue in Germany to Outside have support that to invest we of we continue XXXX added

body And updates. later, area track are second years seven looking trial this In since regard with evidence. study the focus conducting to are clinical of before potentially unblinding of end you on results XXXX. this our sharing the been the have previous we to early remain quarter. data BATwire our is market forward of we and and of BeAT-HF the post Both our here with BeAT-HF Our expansion we

utilizing by development Barostim very eager built years. the Looking ahead over previous have to positive we we XXXX, the the momentum accelerate to of two are

market still totally focused early to patients potential as commercial ramp are While we to many as are treatment we significant provide the the and in very the on penetration, possible.

And now, Operator? open to like questions. the line I for would

Our Robbie [Operator Marcus question first with will the come JPMorgan. you. from Instructions] line Thank of

is Your line open.

about capital talk further cash Maybe sales Thanks. for going burn than out raises? a and bit thinking maybe looks the a positive it target? about last and is to is without Thanks -- on profitability or pathway be flow cash questions. to Great. OpEx first guidance frames be taking you profitability? the higher based any the from a in to getting terms to that of that BeAT-HF And readout years How important time revenue that year

consistent question, conservative been not we've based morbidity, assumption the Hey, mortality get model is we've trial. us one Robbie. on us readout approach. it's we on neutral that Thanks the results being the is that taking the pessimistic that's from so the for thing a under that a just about built And

And enough cash cash is assumption that reach we comes we to have breakeven so flow that mortality when hand and neutral. say still morbidity, we that with think on

when that the line. cash there, publicly run expect perspective. be we quarterly we drawn a cash that yet be starting from burn that where the line drop in a do breakeven the see basis. To reach similar from see on this going flat haven't overall sand a to we We year the saw rate burn we're XXXX. burning to start start And when flow But to in point to then to a for

following? want to big physician not a does trial. say adoption dream have important afterwards? it a having you more been is be driving And -- FDA has it like maybe should think just and adoption? barrier How I a how we a or still big If rapid little wait do labeling? is to benefit improvement for would there if a it has to have Or a Great. in positive positive, So mortality thinking time

Robbie, Hey, here. Nadim

clear is Difficulty] [Technical word below. all it's out put be to the will answer get data risk simple started said, beginning in the we hopeful for in it thanks powered when trial started questions the it by the yes So it, XXXX That we out. takes So it, certainty cut time right? we're to of Listen, win the question to XXXX, the it the enrolling still here that way. the

First, so we'll meeting. it one, probably data as time, of sit if medical there meeting, as during terms announcement closed by long, enough too to long if to like results of there But we'd is we'll do in isn't possible. the medical the soon the a for out on get the

may we and other and end listen So you invite the the present wants -- in next basically to we’ll in and up doing will people where event ourselves who data.

the The this allow most didn't we'll to has or median to to time month. and Difficulty] wait medical the second labeling us the But have get that And [Indiscernible]. via [Technical presentation FDA that meeting Difficulty], symposium After you been that does is [Technical do the journals. the surprisingly, one that, manuscript would also publish publication Difficulty] those, [Technical heard FDA is than market so data. faster it there for and

yes, faster uncertain but earlier make happen would sales [Technical positive, element funnel may based is a if see the burn to we pickup that's But say, question, paradoxically, may will so in in the we are those in to the would data [Technical on cash bit me Difficulty] your a little we that previous to pickup Difficulty] hesitate So XXXX. XXXX, desire

Got it.

Okay.

breaker lot. this last think Thanks you're for you miss submit Just a to there? late going and date do the try something me. for ACC? one Is you'll Or a quick at

for thanks We yet. Yes, question. don't know the

it. Got

Appreciate Okay. the taking you questions.

be, know. the the Thank still [Technical you're the The after Thanks, we -- us Difficulty] if [Technical if we deadline was if one, We has you. accept they And even data unblinded and don't will breaker late right number Robbie. that's for Operator? why if are, would know Difficulty] don't passed. listening, ACC deadline.

from will of with One Matthew Thank line you. Sandler. that come And O'Brien next moment for our question. the Piper

line Your open. is

too active is the last you unit even want rate QX here Good number or afternoon. this don't in at centers I the Thanks But to Jared, but I in you look don't that which That this productivity number and when Nadim know, QX. for versus one of QX I somewhat much. of taking the down questions. QX. had for, the is in in overstate

even just a the metrics And you those case? and so about way confidence QX can in that's and bit talk little then throughout why the why especially So all XXXX. improve steadily the

Yes. Hi, Matt. I take Jared. can is This that one.

overall and throughout was productivity addition right for we we a then accounts the reimbursement one patients. the we accounts XXXX. this the success the said from Part early that out by going account how new five treat average look patients doing three, perspective, for but They as We've of the that check the as or months. of saw is them of then results therapy their productivity So two to driven also six they push period starts, to or the on down. on driving when with an see four, pause with a or

After productivity. then they on pace up pick start own see their to that, the they

us with treating. they are average, are the they longer the on patients So more

new they're with we've the years. we that over to collected last patients have confidence on three the seen stay the data accounts and treat still going based I that But more and CVRx, more these longer last think facing So the accounts. that rate of we're to newness which that of number we're the over exceeded down, challenge just of quarters expectations those add, on we've productivity drives of the couple because accounts is overall the expecting

Makes Got it. sense.

it, as from bit. of not because is active respectively. utilization a six-month just line as QX as why So put seeing that a reason the on XX down exiting kind QX finer and accounts any just to And trend far window? those point among in and centers you're XX that we're That's little change up you're metric

seeing we're less that between than months. with two doing that that of the that's us more Yes, correct. have the centers doing us for Yes, XX the than a centers couple been us with have still been one years and centers they're years more and than have with been

Got it.

running Okay. seems positive campaign. a and which But have stuff, the guess into all are out on what seeing I can margins just there's And updates, get It like that getting later. good studies I I candidates you the then an the of those a question as of pilot study, patients really DTC and was could this them in be some through lot know other all there it's patients as front other way but are then and of the we far did for to getting potentially transitioning implant.

question. or you because that exactly little understand need Difficulty] a is that's have [Technical our And Nadim. think have So an the Thanks pilot incidence questions DTC as characterize. is have heart harder about those over I'm form general new why look for longer they that's kept X% heart pacemaker. still Difficulty] no calculated, idea [Technical what if rates a They our and the the [Technical failure you're to for a to -- bit we this it of failure to Difficulty] have ICD they it’s of a patients CRT, pilot, asking. a to they disease every we that they X% overall. year, when patients And Matt, at

click, as we we it's of to try the [Technical So every small single provide every percent single a game much when it's get patient possible. numbers as information Difficulty], and they us a track

the seeing we a their it will how own are [Technical Difficulty] as are slower. where faster, allowed heart diverge, specialists much we hand, physicians in medical the pass they the other are is Difficulty] to well happen on much go site already failure on [Technical activated, they're condition be Difficulty] to as if And seeing to versus if [Technical much as know. seeing and there

now being because a centers. this So [Technical as the all difficult of very one all Difficulty] timing it's keep that for those uncertainties

Got it. Thanks much. so

you. Thank

from Margaret Blair. of our line for will that with question. come One you. Kaczor And moment the Thank next William

Your open. line is

Hey, everyone. for good taking Thanks the afternoon, question.

gray just commercial mortality third you your whatever to that on guidance us area, events, be positive would improvement change marketing call that obviously because that any catalysts. you good changes good maybe Just more look outcome if it, where events. gray walk BeAT-HF I you numerical would at? the all is and that then less morbidity, that area is on, but short-term based on a first morbidity a can not curious less relative mortality, let's guess, was of would would I on or have? maybe How behavior? through three you or scenarios And make a the but

Margaret. Thank question. the the [Technical of three from been have is what start the [Technical you neutral, to you, until Thanks the most negative let's Difficulty] data negative most for mentioned, scenarios positive. the no doing. most there is that the we Difficulty] And

is on built Our plan that scenario.

a As win, baseline we that it’s mentioned and past upside. use the don't not that as [Technical that know, we just, of conservative all consider earlier, just and would I you it's is that believe will to us establish like Difficulty] Jared

positive, there'll strategy. our Difficulty] If no the not be it's then sales base positive in trending marketing change probably endpoint but meaning itself, [Technical

Now time. Difficulty] the met we and happen, outcome. efforts most may and approval in our would decide FDA [Technical it when I the marketing with that sales United accretive will that it this the And Board, the heart of will accelerate take the failure's States. device where we in possible our Then and endpoint if labeling to that positive improves it's is a clear-cut Jared that us give

you to them, talent, forth. the territories, You have it identify Difficulty] train [Technical hire and don't so them see adding

will So question? it accelerate, answered Difficulty] you [Technical see but that overnight. your ramp will not

further Barostim. their trial the who scenarios existing more more that and utilization [Technical have TAM data those good to patient us expectations their and about Difficulty] use Yes. up? what how training I great. you through the might Have and accounts their they also Should come changing? history once how positive is That on then, would and now turning talked with right, I'll of one are view a change one guess, the opportunity of them walk already make they for so sense And was

some with careful sales and [Technical one, force wonder should Difficulty] to about the have spoken super approved FDA instruct our labeling. [Technical I with question this, and be stick now physicians number if Difficulty] I we up

why that's outcome. regarding speculative not So they do discussions engage in

as for. not of bundle met And and that not in explore so current was the Difficulty], as they yet when more devices there modality However, increase of When endpoint. even they do what I the could X very more we indicated, our perspective. Class QRS it [Technical a with one kind will that back if customer because it That base, the a FDA is where FDA hit about presence feedbacks have was are we getting area labeling clear and a have we XXXX. TAM that XXX the we left outlined talking said, about benefit. PRC negotiated

want In not did to FDA situations. prescribe auto those physicians itself. device

because we FDA decide physician patients those therapy appropriate CRT what are the labeling our a ask So than the for are believe exclusion, I for a hit, is their believe calculation excluded the market, that we I exclusion eligible we accept that and in endpoint, would [Indiscernible] Difficulty] I that's total who treatment. will CRT device. indicated know who for addressable why [Technical us allow actually we patients will and of FDA patients should to indicated for then more that if remove that let

we'll increase but ready the the much the have time, right expand the to the market be probably the same total So Margaret, speculating -- with addressable Difficulty] here, will addressable but time. total discussion that we updated I of of [Technical during we the numbers believe results, market. about I'm at how at

QX. in So

Great. Thanks. That'd Thanks fantastic. be guys.

Thank you.

next Thank from for That moment line our with come Canaccord. will William the of question. One Plovanic you.

Your line is open.

already them some think stick P&L stuff. of evening. have been and I so Thanks. taking questions. guidance A with I'll my Thanks Great. answered, Good lot for

go terms you of or expect gave stay that same talked, the cadence you you the cadence. expect to As strategy? account Would a new deep more you us rep to are you the in shifting

Hey, handle I Bill, can one. this that Jared. is

is about adding quarterly about we're a high a were on of year, in perspective, to that the throughout account range an march XXXX. centers And bit new little from added that basis going basis and single-digits referral XX are as be active. in deeper pathway last really talking the account by XX year, start managers there done a implanting to expecting through of then the work be bit active already a to those to we This centers we on digging work So for quarterly XXXX.

that more to centers for deeper, or a been the of little to trying referral reach cardiologists So have around the out XX months bit XX go along the way.

Okay. titrate through today? them trying what and a Is converting DTC that and or kind and And into DTC of that a the getting to the heard patient that find terms lead of getting you're to where is the I and efficiency in a is is, that kind want you the ties of of patient. most alluded efficient to of that a that it the on converting make terms question is in fact of more focus I spend a I think right out this sure lot

by the Bill, did single Difficulty] the XX-years at excellent did was of saw it, what it, ads channels loop putting you today. of metrics are and question. we every and we closed and I way. Thank study convert an doing very where an companies ads from open all Yes, device question. was We doing we're every back [Technical awareness that those direct-to-consumer Think What favor different ago It's about stage the we are then, of medical they campaigns what for click TV loop every mean, is traceability single know system. system. single everything the game. have so a patients. this

scene. is the if iceberg of ad campaign of possibilities XX% And consumers our to marketing [Technical the doing to candidate candidates the the saw Difficulty] tip the the who that offer or becoming visible are contact becoming are is all way the and happened what procedure. sites they them basically to behind itself. work the Those not identify

daily So we monitored single to of optimize. a wanted This closely is what is not one in right now those and creating almost business of cost money on for throwing we're We're very and the tracked campaigns and basis doing. not every awareness.

those that explore. money we're lead trying X profitable [Technical their from equation And should where money believe to paying We're what Difficulty], be of would we patients. that to for number that's us

channel iteration added an more new other As that's example, a few mainly what trying figure of for profitable and trying two social type And than type or there. we same of testing And ago. sites profitable, as channels do channels between Difficulty] and TikTok to Difficulty], geographies, Facebook less it here, not different see we're profitable way we'll advertise days if weeks, a to of do so And using. be we're [Technical it’s on Twitter or out media you different the forth. [Technical different advertisement, out the or some different you it Instagram do

So Difficulty] it's a big [Technical

what just do, would it's it simply possible, Okay, of kind through would that's big number, like for in but break but you Margaret, as a curious you those I of I you positive, for And as the then good. you've define if would what that and how it? it define like should And then what what as could we sum you are up investors, neutral to little kind hard define BXHF quick know with was. outcomes. And think a think Jared, the X.XXX gain just that's as and points in where as the Thanks. went about of kind negative would other,

interest that time. -- we're expense seeing just balance biggest chunk the it, that is other that's have that the from income I'll into first the we bucket mean, point Bill. piece fallen net cash I Hey, in the of on at this

I’ll you biggest there. the number the kind Nadeem, second let cover that's So of piece.

Yes.

be p-value a fluke that though, to one and FDA [Indiscernible] by consider will that ensure reaching Difficulty] you looking that type between positive that a less previously FDA Margaret, whether there if or relevance. those achieve statistical a if is is the wants the what preparation agreed whether with the right? endpoint [Technical to the statistics in met be would either that as the primary [Technical I clinical What Regarding or percentage, but Difficulty] is to to widened what is endpoints So FDA Difficulty]. certain you've if prioritized relevance trending I chance close than to it results error it analyze know is say five [Technical observation point, have pre-specified, is not we for. Difficulty] the [Technical other then with

I What we if of win, seen XX-years to the rely approved [Indiscernible] than Why FDA the this the complicated when and have devices, you say so? on select you evidence a you a the adjustment need of you whether endpoint totality has beat do Difficulty] the end past the approval, before you designing little that's and on don't it's the approved issue endpoint, if the and over Usually, you're medical not. FDA for or lose endpoint, [Technical more game. the bit it's endpoints,

approved device to FDA. according In is our our case, already risk benefit to outweigh the

FDA looking bit the you're why allow what what a more situation. device as physicians that other now. even would than here it's primary is, the that's or meet we right don't endpoint, primary does do us And complicated positive little And but the Difficulty]. ancillary that se, So positive per endpoint elements another base yes, believe meet in usual net-net [Technical the tell meeting if above to still [Technical endpoint, case a our is to positive, but there not secondary, we Difficulty] as that

Thank you.

Alex That line with the our for question. Nowak you. Thank One next from will Craig-Hallum. come moment of

open. is line Your

half the confidence this in to what the everyone. rather background you happening the You afternoon, but seeing perhaps data to something that morbidity it's all must be Good can collecting missed first great. something is readout going of in or And the move than give come more I half quarter? on expand first this, first to the the hearing from to year? quarter, Okay, you

from Hey, but Alex. data, actually This data. is collection the of it's Difficulty] the the and not Nadim. rate monitoring Nice hearing [Technical of data rate you. of the the of

likelihood FDA strong it's showing sites of will are and now we are we see, ensure we we this of we're identifying Difficulty] So in the very and the their that that QX, blinding monitored to to we're before timeline data synergistic narrow the as will based QX. in able for not just all by that have that happen the on able a monitoring [Technical trend of required

Okay. makes Understood. sense. That understood. then Okay, [Multiples Speakers] would And yes,

going good. in rate doubled out number all in about you I'm ramping the what When than just the in about what are thinking You're center new sales can throw XXXX. this year? ads double to think the that you of number -- Or again it more do you XXXX, XXXX?

of Alex, on again. maybe baseline kind I'll Yes, guidance that just

to XX midpoint see the centers U.S. we'll So the is quarterly on that be Continuing the those forward. XX of to failure implanting for longer-term around seeing going heart the ads business, basis to active a expectation of range, a accounts flat, level continue I still it’s right, hypertension the look as then to ramp in it’s business population. And just set past. up the the patient to we the saw similar productivity rates in U.S.,

And the We over cracked just one then point. code piece necessarily on haven't side still at more European the it. of there this

it per would that $X saw shelves of uptick the road but so fourth XXXX. of of first quarter, that case, half so middle the units at there We is distributors And of the base that in for around some up there stocking of a was stay a some shelf bit consistent guidance quarter. million or -- our the the

the we be repeated expect that So to first quarter. here don't in

that of those already the going forward. from per have and overall, but coming vast that So heart up coming activated signed in quarter revenue from XX% is business, U.S. adding most centers XXXX been majority that to then of have the already that growth XX% failure

understood. for makes too U.S., focusing Is it You're good you on just dynamic? what happen do Europe? probably need on focus on ramp. last That thinking how really point, need Is a much for that more maybe it to it? the put about Europe you just reason. reimbursement to little bit Okay, sense. you Just are to And a

a Nadim. reimbursement ZE as it's it's the ZE we're But low their they pretty payers. a not eyesight. new if and year in with perspective. procedures of procedure, that MDS the regards Germany Europe, have in above, first from layer, couple Germany, countries. as good entity put common as code the we the kind about as that ZE an as is not the Alex, the a in it’s not other really all code up of It's I'll middle In DRG. of at that to to medical they code made beginning called constraints still is significant profit can do pre-negotiated is after with could even by that, of paying they it, the has burden the be auditors Once

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this over turn Nadim Mr. like the in to showing back at the for to I'm would you, further questions Yared no time. queue call I any closing remarks.

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