NOVT - Earnings call transcript Q3 2017

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Operator

Good afternoon My name is Dana, and I will be your conference operator today. At this time, I would like to welcome everyone to the Novanta Incorporated 2017 Q3 Earnings 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]. pleasure Finance the Leader my Ray over now Corporate Nash, for is to conference hand to It Novanta. Mr. Nash, the floor is yours.

Ray Nash

much. earnings Financial Buckley. Ray Executive Officer, very third Officer, on today's of Robert you Good Glastra; our welcome me and Thank Chief is to Novanta. quarter With XXXX Corporate and conference Nash, I'm Matthijs call call. Finance Leader morning, Novanta's our Chief

our Investor earnings obtain If section press will issued cast web copy you've our not site may the received live site. on today, note is web it our of from Please this Relations a of you and www.novanta.com. being archived release at be call web

in and may make everyone our that the to our may include Before we We for need also SEC begin, statements. and release filings. today, comments questions Safe of prepared I responses issued earlier earnings remarks those our in press we've in today, forward-looking in both remind outlined some Harbor statements forward-looking that to These materially of involve cause obligation to views today, as unknown our results risks disclaim our We statements expectations. future assumptions if that differ and other represent factors estimates to even and change. our forward-looking statements update our could current only Any made the with any forward-looking in today. from inherent known future,

statements our views representing as as should you forward-looking date any rely not after any today's So today. of on of

we extent earnings reconciliations this non-GAAP Chief press call. that financial GAAP measures of an reconciled to to Executive the will referring as Investor of Matthijs on Officer I'm GAAP our the measures call non-GAAP to our the after in press the is comparable this pleased now introduce site section Relations not to be Novanta, provide measures. directly web non-GAAP to reconciliation most measures are promptly will during Glastra. we release, attachment To certain that call, financial this earnings the of A use During such measures financial we release. available

Matthijs Glastra

Thank beating Good everybody thanks afternoon guidance. for record call. and our quarter, joining and both Ray. profit our another you, revenue Novanta delivered

Our year-over-year or revenue our growth. representing XX% digit company of single digit revenue organic X% delivered is $XXX million fourth growth. growth in consecutive year-over-year high and double revenue, quarter organic This reported

expanded year-over-year up by XXX EBITDA we was EBITDA of to million, XX% is our sales. addition, XX.X% In versus points margins $XX year. last basis which nearly Adjusted

to our share strength continue business industrial was XX% operating per revenue earnings matters, of innovation segments and demonstrating from quarter which for and third we reported that deliver and a well. the OEM customers, to markets functionality balanced adjusted users. up improving diversified our In based see company, mission enhancing to digit all the providing believe Our productivity growth momentum Novanta, very and end the double people's $X.XX growth. team broad to was model robust mission across $X.XX, the quarter, exposure of are while XXXX. that lives our in medical is year-over-year At us with critical serving with We applications, our our three

is climate, a our capitalize improving ability ability an on performance and direct growth revenue result initiatives. macroeconomic on organic execute solid Our growth strategic to of our our to

laser and sequencing, within including majority innovation end advanced robotic invasive warehouse growth of broad minimally that and where lifescience, Examples a deliver strength experiencing material are matters our surgery, we surgery, automation. of DNA processing endoscopy, We based markets, industrial. applications advanced are

our year-to-date average. and innovation. our progress through Year-to-date, organic commercial continue versus driving make that design We organic XX% increased strategic term term region. new X% our continue growth direct to these long indicators our by We product last good increased to revenue on year, year-over-year, and our wins we support China, than revenue believe that excellence medium as expand growth salesforce XX% guidance by from priorities, growth more than on of more in

the outlook our Robert. will full But outlook. quarter the year the XXXX results the year again from in strong confidence on more hear give details us raise You to for third quarter

also XXXX of the strategic our from our markets. our well more on integration with of revenue full our well, to acquisition way of execute $XXX in EBITDA in WOM is The are margin, company with swing. teams XX% We XX% on doubling than while to generating million, going medical direction integration revenue our

we for very performing. a is with business pleased We the have now full and business how are owned the quarter,

as by the We the the of well relationships are encouraged customer strength strong business, of team. as the pipeline innovation and

robotic from acquisition, attractive, the existing the minimally revenue that surgery Novanta to over created will those relationships evident mutual with segment, more with with ability a further become synergies relationships identified we surgery to applications, an have minimally other's businesses, opportunities is time. each We medical surgery, than and million invasive now see cross-sell have markets in and invasive and our strengthen other platform With customers. deep to in our revenue endoscopic in WOM customers XX%. Together $XXX

we the well. of addition, revenue doubled increased Quantum by see to the two it's Laser content of complete whereas to a good XXXX, closed in are wins, ThingMagic quarter, perform the January demand In driven portfolio And continuing we and as more accelerate, high design in in market. has growth the acquisitions RFID that Novanta DNA Laser year-over-year, year-over-year RFID strong Quantum, with helped which rate sequencing overall ThingMagic doubled healthcare have now market. in the

to through are also revenue new pipelines. helping our Our recent acquisitions product innovation solid accelerate

let our segments. me to turn Now operating

us, revenue the in with Our Precision X.XX a and engine be Motion of book-to-bill a continued year-over-year quarter. segment to growth growth very strong XX% for

the Motion discussed and As trends markets. structural of macro taking Celera dynamics, robotic by Motion driven Dynamic vehicles within robotics, surgery favorable in before, operating advantage growth Precision Precise invasive Motion business segment, for and the automation, we autonomous is Control,

we relatively small, as rates. and is share at these Additionally, solid high are our attractive fragmented expansion potential, single-digit see today growing are markets

markets, the of double in digit product on double growth from wins. and business revenue driven products, showed growth in motor the business new by our sixth year-over-year cross-selling growth also quarter design and product Motion with Megatronic encoder lines revenue Celera product line, disciplined solutions. consecutive Our digit new saw focus This

in this we call, capabilities and for chain experienced last capitalize the new channel and we in close year, operations, expanding in growth, up been as year-to-date it and commercial Celera new market, new revenue on bringing to growth reported Celera engineering, Our innovations XX% Motion to could our on Motion, challenges we not business. are supply quarter. And last commercial teams. in we as versus have investments revenue our product potential stepping are to in growth grew are the product The were

climate. year-to-date micromachining. strong commercial improving an design versus China book-to-bill our delivery growth marking via performance industrial of XX% Applications was in the additive the DNA last strong now, drilling, was in revenue sequencing delivered business, year. segment resulting Photonics by quarter and to hole as which well revenue board, performance very converting, and segments driven were Turning primarily of the Growth execution laser technology and with into over Photonics Quantum as a again in manufacturing, Year-to-date the X.XX. the wins up beam acquisition, Laser Cambridge year-over-year. XX% performance were across our Bookings coding,

in applications. the again team industrial multiple and delivered Cambridge laser technology group, steering business is with in across Technology advanced largest based medical Cambridge beam record broad applications. momentum world photonics and Our our for bookings leader a

for leading subsystem, II as an applications manufacturing, is head, micromachining. We ideally are production and cell for seeing Lightning laser market suited strong scan demand such which our additive phone intelligent

and revolution. with The self-calibration circuitry, requirements. driven advanced plus a sensing significant For in sensors autonomous these service We the in techniques expected called world's simplifying launched applications. example, components new data marking. the the this smart grown components product cell the and and advanced of benefit automotive is future, feature, LTE explosion integration by Customers performance such Cambridge offering penetration DCXXXX to most mobile advantages galvanometers, systems, Lightning II of and production phones downtime, which which scan reduces and has driver, plus, machine streamlines head the new of vehicle customer digital speed and the exponentially flexible also is modules DCXXXX another Technologies used into the paired applications in in enabling as is continue from servo business the in and

this are XXXX quarter product reported in as in Technology, about Cambridge demand revenue from late last and material is expecting XXXX. We shortages meaningful We supply. outstripping

still while acquired third year-over-year in fantastic clinical We Laser quarter. are are we up driven report, of the was had Novanta which year, January the and are Quantum, in that delivering quarter, process growth is doubling another of acceptance our year-over-year the increased demand, by doing on great pleased quarter, capacity ramping this in XX% factories, our in in while in content organic job in on throughput catching subsystems output to aggressively team lowering a in for DNA precision, the the is overall of Quantum laser revolution, Laser market. machines, or personalized disorders. genetic and of proprietary generation example, next sequencing medicine laser enabling sequencing cancer sequence shaping and provider DNA growing in immunotherapies and per the high and sequencing system is of for diagnosis an costs treatment beam integrated fast important the leading per of genome. treatment in increase enabler

we clinical As improving an reimbursement growth favorable applications sequencing developments, will technological and of believe a dynamics. rapid long environment, have new result DNA

growth generation year's to new business this rates this sequencing in market will of machines, likely to a growth XX% Following believe ramp DNA XX%. we and return of

where we WOM our now, segment vision our to included acquisition. Turning

reducing delivered and our two have minimally patient invasive third errors, primarily is and now by WOM surgery technologies and The patient minimally year-over-year Within includes revenue monitoring, detection and and and endoscopy such driven WOM the business clinical group, surgery, Vision medical on quarter, surgery and The JADAK in NDS equipment. improved robotic and the as our detection MIS, short, businesses, analysis. acquisition. In lab includes in growth, on Group Vision is invasive MIS applications our focused segment we lifesciences XX% or workflow and outcomes, applications. group, analysis focused

in R&D versus more than the starting the our in softer are half the increased business, quarter, with showing X.XX, on segment was and in bear New driven product Vision by first high revenue enjoyed timing In book-to-bill business. last that fruit. customer bookings to which investments demand XXXX, the of year, and doubled WOM in our analysis bookings year-to-date detection

FMXXX launched expectations, business significant driven and are the by [indiscernible] Our of products due in momentum new regulatory standbys insufflator FMXXX, change seeing ahead delivered OEMs. a our with recently which and new to products, Europe. WOM two endoscopy WOM

seeing expansion consumable business. We are also their of consistent

in WOM's of will pumps, and We growth insufflators drive continued expect which are very we with pleased pipeline XXXX and beyond. innovation

the pleased, new our profit such continues organic are In as We line has turned products that growth, the of corner. NDS quarter XK quarter, to deliver displays displays also product the products. by and year-over-year third consecutive make and NDS a endoscopic driven wireless

XXXX. in growth be expect the to to our a revenue profit business contributor We net and

Within analysis and the modest in driven product lines old by revenue saw a regulatory business, decline, legacy care. detection and we changes organic diabetes

back of continue design acquisitions. business on SkyeTek and see ThingMagic a over of were to overall in design win great in variety wins applications. our momentum SID, are JADAK in wide of We our -- RFID-based Year-to-date the medical XX% our

and RDIF increasing, that providing my our profitable optimal in M&A, before, growing is combined we key the disciplined need with foundation track healthcare as patients discussed devices, and quarter, the demand to very our organic revenue is with workflow Novanta's medical wrapping and the up and across sustainable are markets, achieved leadership identify, connect patient a growth for is third acquisitions. performance for As positions growth. solid profitability there recent section, well to and in approach we medications pleased as a In as safety. of industrial

the operations. on investments XXXX, increasing focus are innovation, our strong strong for growth in with very and XXXX and outlook a back a of we On sales results areas

closed Our short the are although to we M&A active, well, year. acquisitions acquisitions term very so focus this on performing very three integration have pipeline far our continues is our and be of

So I more to the to over turn with call financial will details performance. that, Robert? on our provide Robert

Robert Buckley

was resulted everyone. whereas currency in Thank on net of an XX.X%, acquisitions basis. a foreign in from delivered of XX.X% XXXX, you, by The exchange We our X.X%. Consequently, third Matthijs. revenue rates increase growth Good reported or million or and $XXX,XXX of $XXX.X afternoon impacted $XX.X of year-over-year. revenue the effect quarter increase organic million X.X% adversely divestitures revenue in

which our planned. the year-over-year own in some This of in half last business sequential integration a and Europe, buys experiencing due exceeded by and growth revenue is change the was of as was is the year. is driven Our a and this to This doing proceeding WOM, of our from handful time terrific we regulatory primarily and acquisition expectations. second customers

deal our in to planned for business growth deliver see and the on now. beyond, expect we we opportunities working and on that we model additional are in fact, We the in XXXX

underlying weaknesses that's mix Motions Precision segment. of associated higher compared driven adjustments margins sales, gross margin the for chain in of of of GAAP efficiencies XXXX quarter. of nearly service seeing XXXX. gross the million strong that have products. a XXXX approximately technologies gross purchase we with solving that weakened temporary sales amortization of million of segment. of challenge supply in track our Included compared understand have third weaknesses well, these sales. developed inventory in $XX.X our gross to in an our to digit profit of in $X.X in non-GAAP We extremely quarter margin, basis, million XX.X% revenues segment production operations the million quarter third a in performance year-over-year was or temporarily or XX.X% $XX.X was quality our The in issues that On XXXX was and for been quarter of to segment record sales This X.X% sales gross XXXX. and The them. $XX.X in led million adjusted double Precision Motions impacts, value profit year-over-year quarter acquisitions. the or The growth by third gross quarter and was and fair or and in the the of in higher and XX.X% margins XX.X% third increase These $XX.X Third profit in impact and or

the million increased quarters of current year. we are prior million sales in quarter of of This quarter at similar or $XX.X third was the accomplished XX% resolve, been to operating up million $XX XX% to the was in few what of progress prior sales year. our you of million in SG&A senior or expense expenses a year expenses was terms sales or XX.X% XX.X% prior or compared whereas in to versus $X.X R&D sales in versus $X.X X% million of in interest a primarily non-GAAP in in $XX million Photonics XX.X% acquisitions. confident rate due of operating our GAAP of sales Adjusted compared the was versus sales prior take dollars, quarter $XX.X were million income $X expenses has may prior average segment. or compared of million of $XX.X million the Interest XXXX. XX.X% $XX.X XXXX, or see million nearly $XX.X it of EBITDA will While third in $XX.X year. the year. was to the X.X% $XX.X the year-over-year were the X.X%. total in in to million Weighted sales. quarter the income million or credit or SG&A sales facility XX% to

of This primarily the difference and tax recognition our jurisdictional last net our initiatives front, driven of jurisdictions was tax to the rate. On income non-GAAP Canadian over rate varying associated quarter. with On tax was uncertain XX.X%, statutory mix positions, the XX%, tax tax tax GAAP tax in largely for due XX.X% rate tax the rate of and the basis, years. by a income of planning with few in earned the benefits mix

the shares XX full at roughly tax average rate outstanding. a XX% weighted XXXX, expect roughly Looking million we and non-GAAP year

from the value was XX% quarter third $X.XX future and redemption operations to of associated solely GAAP in was in a of per GAAP XXXX. a earnings impacted represents net $X.XX, share not compared quarter per diluted Quantum. Laser cash interest share diluted negatively earnings by was non-taxable impact continuing $X.XX the The from Our diluted Laser outlay in EPS remaining further step-up XXXX. did the due of Quantum with the income, our of step-up buying non-controlling in This in

from earnings from and prior XX.X XXXX. segments $X.XX adjusted ended quarter, in and shares XX.X average weighted diluted from increase operating quarter as year. to the the the million adjusted driven of of per Photonics compared per strong share third operating acquisitions. Vision up Our was share outstanding million results earnings quarter in was We in with the the by $X.XX The year-over-year

WOM our in in to inventory drove and Capital year-over-year X, This borrowings million, expansion. increased The July facility. through to $XX.X primarily funded driven combination cash on Our of and was credit increase. operating the additional a flow by shipments we was the of On linearity, XXXX. cash of the in $XXX million related $XXX reset of debt future. by facility revolving both quarter chain partially was cash. acquisition million our a quarter Accordion, and of the expenditures versus XXXX the In profit, million potential $X.X completed for our available $X.X capacity the from in $XXX.X by but performance, closed on was $XXX $X quarter an million Operating of challenges. with third borrowing $XX.X quarter the $XX.X as revolver were under us million of capacity an credit We the net the weaker of our million approximately borrowing WOM supply increase in up result approximately borrowing future acquisition. quarter, Accordion offset and million we uncommitted gives third working acquisition flow of in senior million XXXX. increases August, for total capital million third The the

by defined the of was X.XX, net was gross months the debt last of rate end $XXX.X rolling our the forma Whereas, million pro leverage debt as divided quarter. XX as Our EBITDA. third

XXXX again we strong full our outlook profit. raising financial for and revenue both are year Following the performance,

than approximately XXXX. XX% represents the year and expect organic reported million. between growth to revenue full be XXXX million year in more and growth This X% $XXX We full $XXX

the range. $XXX full adjusted for $XXX year expect the in to be million also million EBITDA XXXX We to

per X% diluted the quarter, expect full in the expense, should around of supply range amortization sales $X.XX which basis finish in $XX.X share for of and XXX million the for our was to for chain year third of XXXX, off the better to earnings despite compared will depreciation XXXX, year year adjusted million year of XXXX. be Adjusted and the gross $X.XX. points of some margin full $X.X be should Additionally, R&D we approximately the challenges.

a we into Finally, we with XX% tax year rate the XXXX. complete approximately and rate hold of will expect to non-GAAP this

gains foreign expect significant see do we or Pound forward. not from more acquisition and WOM Our of exposure the assume the to going Laser guidance any losses rates, Quantum, from and impacts or following did slightly exchange Euro

Our business our continues to deliver expectations. above or at

to X% Despite second $XXX customer next half and and reach have shaping look out continuing includes we The XXXX few up our right is of originally and do years, as specific to us the XXXX, than some our growth this on a better solid thought. the make business tailwinds prepared we and helping we in goals, for organic to goals. internal its to on financial march near concludes XXXX to But market year. acquisitions challenges, see industrial progress we these X% strongly we team We expertise million remarks. continued term This few believe the strategic revenue. the have which

for the will We open call now questions. up

Operator

Instructions]. [Operator

Lee Securities. Jagoda The with comes first question from CJS

open. Your line is

Lee Jagoda

good and afternoon Good Hi. quarter.

Matthijs Glastra

Lee. Hi you? are How Thanks.

Lee Jagoda

Sure.

start can each segments? you just three with of growth we the -- in by go through segment, the can organic rate So

Robert Buckley

go these in each say a I'd calculate we ever areas. rates to have not go have the that's on it the segments. in we and individual in forward FX think because organic of do don't of factor that it, basis, each a to growth back I disclosed And wouldn't

our get ThingMagic, what's think and WOM, contribution that Qs. trying is, disclose you to I we of do Quantum at a Laser if in were

of for terms we Laser So third was think, revenue, of for million quarter, in million. And $XX.X the terms the $XX.X Quantum, deliver quarter. WOM, it around about in I

get So you much that should pretty there.

Lee Jagoda

Got that's where going. Yeah, I was it.

and idea to that, your relates to a can cycle sales and So invasive we little lag? it DNA customers, the talk an I theirs your bigger a about surgery your and for guess, you as like sales stepping how some get sequencing lead times bit back, looking things can on at correlate of might robotics, so minimally

Matthijs Glastra

the our to of mean correlation You of some our sales customers?

Lee Jagoda

Correct.

Matthijs Glastra

that's side, their mean, but or much I it typically, when like so, have say. So right? to it's I any two pickup, one in year be, in inventory barring Yeah. or is correlation, very a delay. supply quarters customers overbuying it sometimes hard there chain, between our is that on and pretty there of there see you a mean, their a how depends strong could not chain is on

we going you -- the were cycles. I designing So more don't thought on

can be long. those very Now,

customers, can -- that they five sometimes work can in three certain we when to medical So space, even. sometimes they with years be

revenue having moment, five we last to have three seeing the years. then For a a designing the and product can that to

So the that [indiscernible] lag is.

Lee Jagoda

you a can that talk bit to capital WOM, need on to to execute and margins timeline you the corporate of regard with average? that get some cost see guys little about And investment towards savings to the the back might strategy

Matthijs Glastra

those get doing. a to other that But are Again, team said is be at won't will like will a changes gives with lot and announcement. it confidence be we team. that COO we actually, those have I the those we commented the next we right? see after see thrilled XXXX. that Lee, and in-sourcing approval to to get very that when our And there. [ph] is regulatory Actually and well. need we won't it as think are as very quarter, we opportunity changes, until -- XXXX, and and with that, area, benefits did leadtimes commented, we requires customers, And on of in you that the a say, we through the improvement changes that strong, why again, well, as consumables that is, lean executing the consistent that you So and comes go we until that's with that the recruit us challenges a investments for cost from of Yeah background main we when reason productions, the announcement go regulatory circulators few biggest what started have we

Lee Jagoda

obviously, Sure. going in-sourcing, capital some if capital standpoint, And to is are investment a be from going you Robert, do there to just some investment there.

although in takes talked might you or ERP the in are is past If going to to lower do there cash EBITDA conversion historical in flow to have of what smaller. XXXX? be You at probably XXXX, XXXX look there I and free some implementations, versus conversion sort puts about

Robert Buckley

CapEx It way great little to is work with as And are business. our make, I some as a trending, little are WOM then a because XXXX, now, $X associated question. going that WOM the purchases there kind has growing bit have we investments fast. you some million higher I certainly we CapEx think need Not I of to our volume the next our through can that we tell with CapEx -- year. I will associated this to that will facility in much acquisition, need directionally CapEx really somewhere through been we in some our budget. But very organization. on we still think closer go the an so year, spend for up and be

And So the of element to that's down. I that should back see kind would tick where larger pickup. expect then then

the kind should of sales, this rotate probably, normalize If on year, basis. long a term of to CapEx things you that take where ratio

Lee Jagoda

full around for you year Got X% this guidance it. the year I gave for And guess. R&D expense

that? and sales, think how In forward, or we at are budget, at you you it terms your percent are XXXX about are should of that in when doing dollars a -- looking looking of you as looking

Robert Buckley

Yeah.

going So through our right right we reviews now. are

this we all couple coming have too of rejustify and sets on We our all basis. so much up making are up bottom guys are those way organization I and Disclosing based, an on we costs in had investments up week our from we kind that, But, the that -- with of zero start for wouldn't already. kind the numbers. work say, a ongoing

we just and avoid and some kind where that we'd returns sit the accumulate cost So scenarios, are driving not of things expect.

kind is everything up discussion. of So for

comment the plans. were be because closer quarter, are investment of our investment the as I we back [indiscernible] of my that just outpaced in you that's hoping third that, didn't We to the would we go sales, R&D So and to achieve making. think, of sales kind X%

So on much lower, grew top dollar-wise percentage-wise are are because faster. we track, line we our but

Lee Jagoda

all problem much I very Good guys. you have. Thank to That's have.

Robert Buckley

Okay, thank you.

Operator

Instructions]. [Operator The Berlin Capital Thames Management. question Jared with next comes from

Your is line now open.

Jared Berlin

to said to you more timeline you term, the two, to near in the future balance just pipelines curious of I good see acquisitions is along. to expand a so WOM, quite much. larger sort moving for where recently. the Results and one And acquisitions going be of am I deals Hi. good has and your to really the you it's how such was about a with those just of integrating company job be And quite your recent could are these you like? what plan understand, comments, rough great nice done on Thank deals it's for hoping integration some looks

Matthijs Glastra

overall, on been Well always say With returns and Yeah. focus acquisitions, free have disciplined I would flow cash right? cash accretion. very on we

us get pipeline, the that and to focus, how we discipline. for and to so in is our and a not type -- matter it expect that's know, are time, no making into to are habit as you And to what, So of maintain when should acquisition hard that are to acquisitions come. expect many -- you what

that important, continues why few Quantum on now, -- little with a the WOM, that's integration think it's we and make as we deals both go there. sure smoothly. larger that coy I we purpose, -- to with Laser done have that we do maybe So a

very results you pleased, integration, there. with the We and are as can by so very positive way continue see to

as is they and when stringent [ph], again, have our come you And this success pipeline a up deals will they out, announce pass filter we as So criteria. will drop noticed yeah, solid. filters. lot you as with our that very But

Jared Berlin

sounds you That great. much. very Thank

Operator

are hand Glastra no remarks. to conference the would audio to There for back questions. time. like Mr. further Matthijs now this at And I closing

Matthijs Glastra

Thank you, operator.

So to be a Novanta. summarize, it's a part great time of to

growth in was businesses financial Our strong accelerating results. strength focus our the and diversity of on evident and profitable

direction strategic to X% on X%, well are than medical organically from our revenue margin, million the $XXX generating while in our double We to revenue with our more to EBITDA XX% growing and company of way executing XXXX revenue, XX% markets. in

customers, And is Relentless your establishing M&A, you our through multiple I would stronger like of employees focus our Thank execution strategy our continuous drivers. We and maintaining ongoing focus growth closing, medical In interest commitment in Deeper our months disciplined and support. larger now commercial markets, adjourned. earnings expansion market all globally, penetration on focused This several growth in appreciate much. thank and innovation our in call. is to while on served with very over this, expanding on disciplined presence. markets call our through forward quarter Our fourth joining to team. call. the participation in leading today's on to and growth your positions improvement. all look of I their for company and you shareholders a

Operator

you us. again concludes for Thank joining conference today's call. This

You may now disconnect.

Novanta (NOVT) 1 Nov 172017 Q3 Earnings call transcript