Hi, good afternoon, everyone. My name is Kristen Stewart, and I'm the medical device analyst here at CL King. I'm very pleased to be joined by Raul Parra, Merit CFO. This will be a moderated Q&A session. If you'd like to ask a question, please type it into the box on your screen, and it'll prompt it over to me. With that said, let's begin. Thanks again, Raul, for joining us today.
Yeah, thank you for having me. Appreciate it.
I'd love to get started on WRAPSODY since you just released some data out of CIRSE over the weekend. Maybe we could just start by commenting on what WRAPSODY is for those who may not be as familiar with the product.
Yeah, so it's a covered stent, you know, for dialysis, and it's a product we've been working on, for you know, quite a few years and submitted the PMA approval at the end of the second quarter. And so, I know people have been anxious to kind of hear the you know, the results of the study, and so we were excited to be able to release you know, a portion of the results, you know, over the weekend and get that out there.
I think, you know, people should expect a wave, you know, no pun intended, of additional data release here over the next several months as we kind of gear up for, you know, kind of a hopefully approval, and then, you know, a release of what we think is the market opportunity.
Maybe you could start by just commenting on the results themselves. The target lesion primary patency rate came in at 89.8%. That was compared to PTA of 62.8%, so it looks really good to me. Maybe if you could just comment on, you know, your view of the results and how they compare to other therapies that may be out there.
Yeah, look, I think we're really excited about the, you know, the results. I think when you look at the PTA, which is kind of the standard that everybody compares themselves to, we obviously did, you know, had a, you know, superior results, you know, to that at almost, you know, 90% patency. I think when you look at it against our competitors, I think the highest competitor out there is, you know, around 78 or, you know, 76, something like that.
And so as we look at, you know, the results of us against kind of the, you know, the baseline that everybody uses, which is PTA balloons, and then we look at our, you know, we measure ourselves against the competitors, in either scenario, we're, you know, we're looking, you know, really good. You know, the doctor had a really good quote. Obviously, we didn't know what he was gonna say, that released the data, but, you know, he thought that this could be kind of a standard of care change, and, you know. But we'll see how it all pans out, and there's still a lot of work to do, but, you know, super excited about the results.
How important do you think clinical data will be in terms of being able to compete in the market? Is this a market where clinical data really carries the day?
Yeah, look, I think there's multiple things, right? I mean, I think there's the, you know, there's reimbursement that, you know, that factors into it. There's data. This is obviously gonna be a competitive landscape, you know. There's relationships and sales reps that you're gonna need that are knowledgeable about the products. Those are all kind of factors that we're all considering and are working through. As you know, Kristen, we did an acquisition last year with the AngioDynamics products to start to build a sales force, and we've started to do that. You know, they're in training right now.
They've got a whole bag of products that they can sell and go out and compete with and get face time with doctors, so that by the time the PMA, you know, or the WRAPSODY product launches, they'll have those relationships, and they'll be able to, you know, go out and sell and push the WRAPSODY. So we're also working on a reimbursement strategy. We've got consultants that we're hiring, and, you know, that's ongoing right now, and, you know, we'll work through that process, you know, here over the next, you know, several months, and also as approval comes.
Can you maybe expand a little bit further on the different reimbursement pathways we could see for the product? Will you seek an NTAP?
Yeah. So I think that there's obviously the, you know, there's the existing code out there that we could always fall back to. There's an NTAP, you know, that or, you know, pass- through that we can apply for. And then there's also the creation of, you know, your own unique code, right? And so I think those are all the three options that are, you know, obviously under consideration. One of them doesn't require anything 'cause there's already a code out there. The other two require more work, and we have consultants that are helping us through that process right now.
Okay, and then just on the commercial infrastructure, you mentioned last year you acquired the AngioDynamics dialysis catheters, and that gave you a little bit of a team. But do you feel like you have enough people to support the commercial launch, or will you have to hire more individuals?
You know, we've got a plan, and we're marching to the number of reps and clinical support that we think we need. You know, we're not quite there yet, but we'll, you know, by the time the product launches, we'll definitely be right where we need to be. We're getting some good, you know, some solid, you know, reps and interest, you know, from, you know, on selling the WRAPSODY just because of the, you know, the technology behind it.
I think we'll have a competitive sales force that has relationships, that understands the business, and you know, we're in the process of doing that hiring and also the training, and so that they can hit the ground running.
You currently are selling the product in Europe, correct?
Selling it in Europe and some other parts of the Americas, too.
Do you expect the data to accelerate revenues that you're seeing outside the United States?
Yeah, we anticipate that and specifically in Europe, 'cause they're so data-driven, that the data release there will help, you know, further gain traction on the product there.
Okay. And how should we just think about the potential timing of approval? Where are you in the process with the FDA?
Yeah, so we, as most of you know, we submitted the PMA in a modular format, and submitted the final fourth module at the end of the second quarter. From what we understand, you know, these products typically take about 180 days, so if the clock never stopped, and, you know, we got through it quick, we'd be in, you know, potentially in a position to get approved, you know, in the fourth quarter. More realistically, we're thinking it'll probably happen in Q1 of 2025, just given that I'm sure there'll be questions that'll, you know, happen, I'm sure the clock will stop, and you're heading into the holidays here, and so we'll have to kind of work through that.
But, our expectation is really kind of Q1 of 2025, or thereabout.
Okay. And how should we just think about the commercial opportunity ahead? How big of a growth driver could this be for the company?
Yeah, that's a great question, Kristen, and I know there's a lot of investors that have been peppering me with questions on getting that opportunity. You know, given where we're at with the reimbursement strategy and that there's still you know that work that's being done internally, we've decided to hold off. And also, by the way, you know, there's a competitive edge here, too, that we don't wanna release what our go-to-market strategy is, you know too early, you know, that then gives our competitors, you know, time to adjust before we actually have the approved product.
So, really, you know, we're not gonna release the go-to-market strategy or where we think the market opportunity is until we get closer to the PMA approval, and we have better clarity on the reimbursement kind of, you know, pathway.
Okay. Do you think, is there any sort of color you could comment on just the commercial opportunity that exists today for those products that are in the market, or who are the main competitors that are out there?
You know, I'll give you the competitors. You know, it's specifically, you know, BD and Gore would be the, you know, the primary competitors with the Viabahn and the... Can't remember the name of the other one, but it's the Viabahn and Covera.
Okay. And how do you feel just kind of competitively positioned relative to those two products with the data and kind of the size of your commercial infrastructure that you have in place today?
Well, look, you know, I speak really highly of our sales force team. You know, I think anytime we assemble a team and I have a lot of trust in Joe, you know, who's building that renal space sales group out. And I think, you know, we'll have a best-in-class sales force team and, you know, clearly we have the data that supports it. And we'll see kind of where the reimbursement strategy is. So I have a high level of confidence that we can execute at a high level here.
Okay, and should we think about WRAPSODY as accretive to your current margin profile and growth rate?
Yeah, I mean, I think we've been pretty open about that, right? In either scenario, from a reimbursement strategy, you know, we feel like this can be accretive.
And if, correct me if I'm wrong, but this is not included in your Continued Growth Initiatives plans?
That's correct. The U.S. launch is not included in our plan.
Okay, and WRAPSODY is your first PMA product. Will you be bringing other PMA products to market?
Yeah, you know, we haven't really talked about that yet, but there is a roadmap. You know, there's obviously technology that was developed as part of WRAPSODY that we think could help us with other products. And so there is a roadmap of products behind WRAPSODY, but you know, we won't give too much details in that yet. We'll kind of focus on WRAPSODY first.
Okay. And are there other new products that you'd like to highlight for investors before we turn to some of the individual business units?
Yeah, look, I think, you know, we've got some new products coming in our oncology group. You know, a lot of our investors know that as the Cianna acquisition, or the SCOUT system. So there's products that are being launched in that space. You know, we have, you know, in any given year, we introduce, you know, eight to 12 new products. It's kind of the Merit way. And so, you know, anytime we find, you know, something that we think is exciting, we'll typically do a press release. So, you know, urge your investors to kind of go check those out. But, yeah, there's a slew of products, you know, coming out.
You know, that's just the way we do things in typical Merit fashion.
Okay. And maybe just turning to peripheral interventions business, in the quarter, it delivered 7.6% organic growth. Can you comment on what's driving that growth and how sustainable it is?
Yeah, I mean, look, I think that's one of the areas that we continue to invest in. You know, whether it be our oncology business, which I just talked about, our access products, you know, are also delivering, you know, strong growth in that space. Our embolics are, you know, are things that, you know, that we're excited about. Our biopsy devices and our delivery devices are all things that are, you know, that are, they're growing very strongly. And I think, over, you know, over the last couple of years, several years, our focus has really turned to the kind of the peripheral intervention space, given that we think it's a more fragmented market and, and, more opportunity for, for Merit exists.
I think you'll continue to see kind of this growth rates, you know, within PI over time as we push and develop, you know, newer products into that space. WRAPSODY, by the way, will also fall into PI.
Okay, perfect. And, you mentioned earlier the acquisition of AngioDynamics dialysis catheter and Bluegrass Vascular Technologies. How has that been tracking relative to your expectations?
You know, it's been doing great. I mean, you know, we transferred the products. It's fully transferred over to our Tijuana facility now, and so they've started to produce those. Our sales are, you know, just slightly ahead of where we anticipated they would be. From an integration standpoint, you know, it's fully integrated and part of Merit. And, like I said, we've got a sales team that's a dedicated sales team that's selling those products in preparation for the WRAPSODY launch.
Okay. Maybe turning to the cardiac intervention business, that business delivered 1.5% growth last quarter, so a little bit softer than peripheral interventions. Can you discuss just what some of the growth drivers for this business might be, and how we should think about growth going forward?
Yeah, I mean, you know, our strongest products, you know, that grew within that were, you know, our EP/CRM products. You know, and our access products, you know, continue to grow, you know, at a pretty strong clip there, too. I think really in our fluid management, I should also call out. I think, you know, one of the things that showed the slower growth, and we've talked about this, you know, quite often, is really the Chinese business is kind of what drove the slower growth rate in that space. And so, and a little bit, you know, Russia had a little bit of, you know, of an impact in that division also.
And so, as we look, you know, in the future, we think that can return back to a kind of more normalized growth.
What does more normalized growth look like for that business?
I'd say kind of in the, you know, not as fast as PI, just a little bit slower than that, so, you know, somewhere in the 4-5% range.
Okay, and maybe turning to OEM, that business has trended a little softer in the first half of the year, but I think you're expecting it to significantly improve in the second half. Can you comment on the trends that you're seeing there? What gives you the confidence in the acceleration?
Yeah, look, I think we started to see a little bit of a slowdown in the fourth quarter of last year. You know, ended up with a negative 5% growth in Q1, and then it bounced back to 5% growth in Q2. So we saw kind of a slowdown, the dip, and then, you know, then it's on its way, you know, back to recovery. And we think, you know, really what happened there is people controlling their inventory levels, you know, better. We know we're doing it. Our inventories are down about $6 million, you know, this year, even though we've outpaced the growth that we had projected.
And so I think, you know, as people get more confidence in the supply chain, you know, raw materials are easier to get, and then you can have more confidence in the delivery of those, then I think people, you know, start looking at their working capital and say, "Okay, you know, do we have too much on hand?" And I think, you know, people have adjusted those, and I think, they're back to kind of their comfortable levels. And we think, in the back half of the year, OEM should be able to deliver pretty strong growth.
Is there any particular product categories that you are more confident about in that acceleration?
You know, I think it would be very similar, you know, to our, you know, our PI products that they sell, you know, will do well. And the CPS products that they also sell will do good. I think, you know, generally speaking, there's a lot of stuff that hits within that, but they have a good pipeline of products that I think will get them back to where they need to be.
Okay, and I think you're still guiding for double digits for the full year. Is that correct?
That's correct, yeah.
Okay. Maybe turning to your endoscopy business. There, I think the big story is your recent EndoGastric Solutions acquisition. Can you talk a little bit about the rationale behind the deal and how we should be thinking about the growth outlook?
Yeah, look, I think, you know, one of the areas that we've been looking to find, you know, greater scale in, is really in our endoscopy group. We've been looking for quite a few years, from an acquisition standpoint, you know, trying to find the right asset that we thought our sales force could sell. And so, you know, when we came across this, we thought this was a great fit. And so we moved on it. And, you know, what this does is it brings, you know, almost doubles the revenue in our endoscopy segment.
It also, you know, brought over, you know, nearly increases our sales force by about 50%, and will allow our sales force to not only sell their existing portfolio, but also the new products brought on. And same with the sales force that we brought on, right? They're gonna be cross-selling everything. And so far, the integration has been going well. We hope to have the product line transferred to our Salt Lake facility here in the next couple months, few months, you know, by the end of the year. And then have our, you know, the sales forces fully integrated by the end of the year also, so they can start cross-selling each other's products by, you know, by January 1. So...
or at least in Q1 of 2025. So yeah, excited about that, that opportunity.
... And how should we think about the growth outlook for this? Is this kind of a high single-digit growth story or-
Yeah, I mean, I think it's been that profile for a while, and we think we can continue that.
Does EndoGastric Solutions improve upon that, you think?
We think so, yeah. I mean, we think it's at the very least, you know, neutral to or accretive to the growth that we've outlined. But, you know, we think it'll help with our growth rate, especially with the cross-selling opportunities in the pool.
Okay, and I think this year it's dilutive to the P&L, but next year it becomes accretive. Is that correct?
That's correct. Yeah. Yeah, there's some transition costs and there's some synergies that we had to pull out, and that typically takes a little bit of time. So, for the first six months, we're pulling those out and getting those synergies going.
Okay. And maybe just switching gears, you'd mentioned earlier the China business. Can you remind us how big China represents as a percentage of your sales and how you're thinking about the outlook there?
Yeah, we think by the end of the year, it should be somewhere around 10% of our sales.
How should we think about the growth outlook for that business and how it's been trending?
You know, we thought we did, you know, pretty good in the, in the first, first half of the year. You know, we were, we were anticipating, you know, for the second quarter being down about 20%. We were down about 5%, which we thought was good. And, you know, volume-based purchasing came in as expected, but what really surprised us was the strong volume growth that we saw. I think what, you know, what, what generally how we feel, you know, the long-term, appeal of China, it's got an aging population, and we feel, we feel we can be very competitive in that market, you know, for, for, for a long time. And so, you know, really right now the, the task is to get through the volume-based purchasing pricing cuts.
And then, you know, we continue to see strong volume or unit growth in that market, and so we think once we've reset the prices, we can get back to more normalized growth that people are used to seeing out of that market.
When do you think that would occur? Is that something that we could see in 2025, or do you think that we have to wait until 2026 to see that normalization occur?
Yeah, I think we start to head into the right, you know, into normalized growth in 2026, you know, Kristen. I think we've been pretty open that we think 2024 and 2025 are kind of, you know, we're kind of scraping the bottom here and getting through these cuts as they roll through. And then towards the end of 2025, we start to kind of, you know, get our way, you know, dig our way ourselves out of it.
Okay. Maybe turning to the P&L, how should one think about the opportunities for operating margin expansion this year? With the Continued Growth Initiatives, I think you're targeting 20%-22% over a three-year period. But how should we think about the near-term and longer-term opportunities?
Yeah, look, I think when you look at what we've done over the last four years, you know, we've added over 400 basis points of operating margin improvement, added almost $400 million of free cash flow. We feel pretty excited about what we can do with the P&L. Obviously, the current plan calls for 20%-22% operating margins for Continued Growth Initiatives. You know, this year is a little bit, you know, slower than the next couple of years, just given the investments that we've tried to make in connection with the launch of the WRAPSODY and also the wrapping up the study and getting the approval.
We think we're off to a good start this year, and you know, kind of look forward to you know, being focused on delivering at least the 20%, you know, at the very minimum, the 20% operating margins. But definitely feel like we have a good game plan in place to be able to achieve that.
Will it be mostly driven by gross margin expansion? Maybe you can comment on what's driving that.
Yeah, on the 20%, it's mostly gross margin. You know, I think when you get to the 22%, you're getting, you know, a little more gross margin and some operating expense leverage.
Anything to comment on what's driving the gross margin improvement? Is it just mix, or are there opportunities that you have?
Yeah. Yeah, no, I think-
...
You know, thank you for asking that question, 'cause I think, you know, the way we look at it, you know, from gross margin improvement, we really throw the kitchen sink at it. We think that's really the only way to kind of get that gross margin to move, in the way that it should, right? So from a sales perspective, we're focused on mix, we're focused on price, making sure that we're hitting our pricing targets, getting our pricing, you know, uplifts that we've asked for. And then on the operation side, it's about looking at your raw material costs, your operational efficiencies, your logistics and supply chain costs. Really everything operationally that we can do to be more efficient and lean, we've got plans for.
So, you know, whether it be product line transfers to lower cost areas, or just being over, you know, new automation equipment or whatever it may be, we're looking at it. And we find that's the best way because we know we'll have leakage. You know, that's just the way, the nature of the beast. And so you throw enough at it, you know, hopefully you overcome all those things.
Okay. And you've done some product rationalizations this year in CPS. Are there other opportunities for product rationalization that could help drive gross margins?
Yeah, we think of, you know, one of the areas that we tried to improve on in, coming out of, you know, or during Foundations for Growth was our product lifecycle management. And so there's two kind of ways we look at SKU rationalization. One is the one that you probably won't notice, or we hope you don't notice, and that's where we're getting rid of the legacy products when we've launched a new product, right? So just being better about, again, that product lifecycle management, right? If we introduce a new product that's better than the old one, then let's get rid of the old one, push the customer to the new one, that which typically has a better price and a better gross margin.
So that, you know, that's ongoing, and that's just something that we hope to be, you know, better at. And then I think the typical SKU rationalization, which you guys think about, are the kind of the bigger ones, where we just, you know, revenue just kind of goes away. And those are, you know, we've only done those twice here in the last year, you know, three years, three or four years. One of them related to our pack business in Australia, and then the other one related to our, you know, the European pack business that we got rid of at the end of last year, and so we're dealing with that headwind this year. And that was about $15 million. You know, we don't anticipate, you know, anything, you know, coming of that size.
You know, there, there's nothing planned, you know, so far for next year from that standpoint. You know, and we, and we don't do it very often, and we typically start talking about it, you know, a couple quarters before to give, you know, people a little bit of color, you know, letting them know that it's coming.
Okay, and can you provide us an update on your pricing trends that you've seen, how much that's added to the historical growth rate, and how we should look about it going forward?
Yeah, look, you know, volume continues to be the primary growth driver at Merit. Pricing is definitely, you know, helping us. So far we've met or exceeded each of our, you know, pricing targets over the last several years. And it's something that, you know, Merit's very proud of. You know, we've made a lot of investments over the last several years under Foundations for Growth and into CGI to make sure that we have a best-in-class group from a pricing standpoint. We have the right systems, we have the right visibility, and we have the right targets. And so, we continue to execute there and, you know, really happy with the way the team's, you know, progressing.
Okay, and can you talk a little bit about your free cash flow generation and your goals there?
You know, for now, it's just to continue to generate cash and park it on the balance sheet and be ready for anything that may come our way. We think that's the best use. You know, we did that with, obviously with the convert, you know, after doing the AngioDynamics deal, and then now also just, you know, with, you know, doing the EndoGastric Solutions deal, you know, allowed us to do those, and be in a position to be ready to go. So, we'll continue to generate free cash flow. The CGI program calls for a minimum of $400 million. We're off to a really good start this year.
And so, you know, I think we're happy where we're at, and we'll continue to, you know, stockpile, you know, cash and be ready for anything that may come our way.
Can you maybe just expand a little bit upon the M&A outlook for the company and just how you think about future M&A opportunities? Should we think of them more as tuck-in acquisitions, or would you be willing to do something a little larger?
You know, I never wanna commit ourselves to anything of, you know, of a specific size, and only because you just never know what's gonna come your way. I think, you know, we typically do the transactions that we've been doing. Right? I think over the... You know, hopefully, you guys are starting to catch a theme here. Over the last two acquisitions, I think we've been very direct in kind of how we approach acquisitions, right? Whether it be the EGS deal, again, going deeper in the channels that we're already in, supplementing our sales force, you know, giving them making it a stronger sales force in an area that we're already very comfortable with. Same with the Angio deal, right?
Taking a set of products that we already have, carving them out of our existing sales force, creating its own unique sales force for a new product launch that we think can drive, you know, you know, revenue growth. And, you know, and just, you know, getting us to get deeper and allowing the sales force to get deeper. So, you know, those are the type of transactions we're looking for. You know, things that'll get us deeper into our channels, things, areas that we're comfortable with or adjacencies that we're comfortable with. And it's gotta be neutral to, or accretive to our, you know, to our CGI programs.
Can you just remind us the CGI goals, the growth rates that you're targeting for the next couple of years?
Yeah. So the CGI calls for 5%-7% growth, you know, or CAGR on the revenue side, 20%-22% operating margins, and a minimum of $400 million in free cash flow.
This year, you're tracking a little bit better than the 5-7% top-line growth goals. How should we just think about, you know, that kind of in perspective and thinking about WRAPSODY coming in? How should we just kind of put all that in place?
Yeah, I mean, I think we lay out those financial targets, right? So that, you know, investors have a kind of a vision of where we think, you know, we can be. I mean, I think history would say that the 5%-7%, we typically do better. We did so under Foundations for Growth, but you know, that the 5%-7% is something that we feel is realistic and achievable, that investors can rely on. We're obviously gonna go out there and try and beat it, and that's our nature.
Okay. And then just thinking ahead to 2025, what are some of the puts and takes you think investors should be thinking about in terms of the outlook for the following year?
You know, we haven't gotten in much details other than the China, you know, you know, we'll be dealing with China, and then again, it's all included in our CGI programs. We've thought through it, so we feel like it's not gonna be a surprise to us or anybody else because we've been very vocal about our expectations for the Chinese market. Other than that, you know, we've got a presidential election coming here in the next couple of months. We'll see how that plays out.
You know, we'll see what else kind of comes our way here over the next several months, but I think for now, I'll just, you know, take as much time as I can to see what kind of, you know, headwinds or, you know, tailwinds we'll have, you know, coming our way.
Just in terms of WRAPSODY coming in for 2025, assuming you get approval kind of in that first quarter, I think we touched a little bit about this earlier, but just wanna make sure I understand it. Do you think that there is a big commercial infrastructure build that you need to do in 2025 that could put pressure on the margins, or do you really think this could just be accretive to overall growth?
Yeah, again, I mean, I want to, you know, just so there's all sorts of scenarios that can play out here, Kristen, right? And so again, I'll be careful how I say this, but, you know, if there's an acceleration of demand from WRAPSODY, you know, clearly we want to make sure that we're meeting that demand, and we'll need the sales force. I can say that, you know, the gross margin profile of the current product is accretive. You know, how we fund the sales force and things that we do there, I think, you know, we'll save that for further discussions.
But we've, you know, again, tried to be really thoughtful about how we fund new sales forces and how we do things. And so, I think our investors should kind of, you know, focus on that I'm not going to surprise you guys with a, you know, $30 million sales force, you know, in two months, right? I mean, we've been very vocal that we did the EndoGastric acquisition because we knew we needed a sales force. We wanted to find a way to fund it, and we wanted more products for our sales reps to be able to sell, and I think we found a good way to do that.
And so, I think we've been very thoughtful about how we spend our money, and I don't think that's going to go away, in any scenario.
Okay, and then maybe in the last few minutes, maybe you could share your perspectives on what you think is most misunderstood about the Merit Medical story today?
I think the hardest, you know, piece to understand, and Joe, Ryan, and I were talking about this along with Fred, is where the growth comes from, right? I think our portfolio is so broad and wide that it, people have a hard time understanding where the growth is coming from, and so we're internally kicking the tires around to see if there's a better way for us to give you guys, you know, what the market opportunities are. Maybe a different way to, you know, you know, preview the revenue growth so that you guys can kinda get a better feel and you know, heartbeat of how the markets are that we're playing in.
But, I think that's the hardest part, is just, you know, where's the growth coming from? There is a little bit of a trust me factor that goes with it. But, you know, if you go back historically, we've been able to do... you know, execute at a pretty good level.
Okay, and then just on WRAPSODY, go back to that, how should we think about the updates going forward, and when do you think you'll be in the position to share commercial opportunities more broadly?
Yeah, we haven't pinned down any dates yet. Although all we've said is, as we get closer to approval. Like I said, we're working through the reimbursement strategy. We're working through kind of what, you know, what that looks like, you know, and the different scenarios that come along with it. So, I don't have any further details other than to tell you, you know, closer to the approval.
Okay, and we have a minute or two left. Is there any kind of closing remarks you'd like to make?
No, just, you know, thank you for inviting us. You know, I, again, you know, we're super excited about how the business is doing. I think, you know, the executive team and Merit, just in general, has been executing at a pretty high level here over the last, you know, several years. And, you know, we think there's more to be had and are super excited about the WRAPSODY launch. And excited that we could at least get the data out there for investors to see, you know, as to why we're so excited about it. And, can't wait to talk about what the market opportunity is, and what our go-to-market strategy is. And, you know, that, that's-- I know people are anxious to hear that, and we're anxious to tell you.
But we just want to make sure that we have our hands around it before we give you, you know, the information so that we're not whipsawing anybody.
All right. With that, I'd like to thank you so much for participating today, and everyone can disconnect.