NOVT - Earnings call transcript Q1 2019

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Operator

Good morning. My name is Chad and I'll be your conference operator today. At this time, I would like to welcome everyone to the Novanta Incorporated 2019 First Quarter 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. this being note Please Instructions] event recorded. is [Operator turn over to would now conference to like I Mr. the Nash, Ray Corporate Finance Leader. Please go ahead.

Ray Nash

much. Earnings Chief Robert am Chief Executive Thank First Financial me on Leader Officer, very Good Matthijs is welcome With and you our call to of Quarter Novanta. XXXX Nash, Glastra Conference Buckley. Ray I Officer, today's Call. Corporate Finance morning Novanta's and our

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

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

of statements representing not So our on forward-looking views rely as call. time this you any as any these of after should

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

Matthijs Glastra

Good the very of on Thank to and quarter everybody profit for XXXX, Novanta in both well Ray. morning our joining and shareholders. performed first our call. delivering our you, revenue thanks promises

Our company delivered and revenue, reported X% on organic a representing $XXX.X basis. million revenue year-over-year in both growth

macro over per the confident was Our was EBITDA remain medical $X.XX, XX% half was $X.XX We our $XX.X adjusted are share which positioning our up about from last revenue that of with year. growth million. drivers growing. around secular in of earnings businesses Adjusted structurally markets

our productivity. vision excited We healthcare trend and photonics continue we customers. as for and see such and motion of growth Industry material in new to first and a innovations advanced and on X.X, penetrate the in sequencing, robotic high to momentum quarter, of efforts about a precision long-term large DNA medicine to to solid back in our position our of continued and markets need processing the variety trends success surgery, robotics. and precision macro see we capabilities remain surgery, In minimally introduce applications applications invasive Particularly, automation

the year-over-year. grew revenue XX% quarter product first New over for

remains is launched the quarter. first new revenue sales which in last XX% years Index, Vitality from of Our the products four above for well

and we segments. win continued increased see sustained System wins all, early design team growth operating by our all quarter quarter driving to the as the in in Novanta strong performance first we had XX%, design by of All implementing over our our benefits a first operating Growth Our of with performance. very growth in broad-based

in we're climate. what our in seeing the on macroeconomic markets touch overall me let Now,

the invasive full out expect temporary and year-over-year in pleased dynamics, I sequencing customer Our reported growth our DNA with XX% growth medical markets which in medical a minimally climate. that based, we first and continue XXXX. as in have double-digit momentum is particularly double-digit point serve business in of due quarter that in double-digit sold XXXX in of revenue, to growth we despite robotic year decline the for We our surgery. Representing our Momentum in we're macroeconomic to are medical are uncertain previously medical business our also engine markets expect but on. our would over momentum very launch broad robust. to we achieving to our like an

the side decline We growth to digits. be is spectrum is XX% spending expect uncertainty which microelectronics our reported but while of revenue the quarter momentum the first is capital rest creating our China and an this markets has mentality widely in to a persist opposite first We we industrial a the of quarter. modest the most of our Europe, XXXX. for year-over-year portfolio, see at mid-single part softening On headwind, And overall digits grew spreading as the Asia in across in noticeable of markets. for saw trade been the wait-and-see double XX% of down industrial of the it's remainder market, and the which to year uncertainty of slightly

far However, is so not uncertainty broad this based.

in the momentum we're momentum. on nice example, growing of For additive seeing market are back double-digit manufacturing, laser share we good growth where

I just China growth dynamics market explained. overall our mirroring Finally, is the

mid year-over-year Our medical China whereas our were into the digits sales businesses double down up by digits. were but microelectronics industrial low and declined single quarter, single in first digits sales our sales

As to relatively is sales. a of reminder, approximately at China revenue Novanta's XX% China's modest --

Now let me turn operating to our segments.

growth. revenue segment had Motion Our Precision year-over-year XX%

to with Ingenia a control start-up is customers technology our company of OEM technology Ingenia's acquisition generation position less companies nitride next in We such on addition gallium high completed and of heat motion precision customers an called performance, footprint This magnitude, In we lower first ultra as continue multiple servo is servo offer small weight. motion dynamics close one and and robotic power drives. surgery on business and Ingenia based markets. our tuck-in critical factors portfolio. or high a serving and provides weight for technologies control precision and small growth April, of customized order structural encoders robotics applications. fantastic precise form precision automation, markets We of technology, control technologies, reducing with is to metrology robotics, integration motion in solutions a with motion which GaN and dynamic like enables precision motors believe our particularly automation solutions size. GaN, Ingenia's with this allow the controls to Ingenia. based

to these forward high-growth is solutions us subsystem selling and application opportunities the While Ingenia is in small, to business capture a in developing areas. strong customers, intelligent positioning step well strategically the acquisition our

segment expanding first Motion design was as mentioned we market robotic Precision we softness earlier, book-to-bill the commercial the Precision in motion to quarter, momentum partly fantastic innovations offset first Within and that are by year versus microelectronics wins last for market the quarter to teams. our new the in X.XX our grew due XX% bring surgery.

Turning Revenue was to mainly segment. Quantum. performance X% Laser of the down our Photonics by driven

is indicated but the in second the the This growth in quarter quarter as to after the first do of we year. business expected. market revenue Laser XXXX, before in expect return expect the calls, of year-over-year half XXXX. second we in in digits in event business to new sequencing facing an of declined double DNA comparisons As Quantum we prior the repeat the is to prior a product Laser launch Quantum a challenging customer's year-over-year

in a which launch market As related dynamics to reminder, this growth. end in temporary sequencing, unrelated is sales lumpiness DNA to customer is

numerous sequencing as about applications the prospects In excited DNA with business fact, of of this stages clinical early growth we long-term on couldn't is penetration catalysts positive the feel in horizon. the more still into

sales just addition, at impacted in Synrad the this is medical particularly sequencing. The capital headwinds feel end discussed the segment we by on temporary some and excluding of of markets segment when now In macroeconomic serve strong in platforms performance industrial which multi-generational the our also Photonics in space. saw the markets securely sensitive The of digits Photonics was we spending DNA we're to. that position double business dynamics in growing we

sales. quarter well quarter, grew wins Photonics from mid above For XX% the new of grew total the Photonics in and was revenue product for China also revenue first pleased robust macroeconomic digit single-digit first Design business, first quarter, revenue which We're despite mid-single delivered despite the in to challenges. market our year-over-year the solid execution growth Cambridge growth still continued Technology challenging in year-over-year see year-over-year climate.

our beam technology with the to proprietary customer solutions packaged enabling and steering due solutions. winning application-specific to are customers with highest accurate performing or fastest, We win our most

with the quarter our segment, which carrying into the year. rest growth was strong this the to momentum Turning star Vision of

The Vision launch serves expect medical progress double bill well digits than For which market product X.XX new the with The segment to the growth. core sales. doubled year-over-year our new last momentum Vision solid market the products XX% predominantly product nearly product through and Vision for board. year launches driven was across quarter, in momentum, of as see was delivered the quarter. as solid year-over-year new we Design and new book mentioned, to the Vision XXXX. grew our greater excellent by the first XX% segment in quarter Growth we strong first previously revenue revenue as new at bookings product customers. was In segment and segment, total versus revenue continue we as wins

for a the well XXXX the Our from WOM momentum team. WOM performed first This high quarters. quarter as the demand testament extremely to commercial as product WOM's offerings well execution is of in the both its business continuing few last by

operating NDS very image are which wireless products of XK video the NDS our integrated momentum and such market. delivered the the first consecutive product by revenue pleased new room its our we driven product new continued ninth VIMA, growth with of acquisition quarter quarter, In products year-over-year and or core addition, addresses In line. management as displays,

business profitability quarter and was revenue of the first XXXX profit addition, growth. a meaningful In driver our improved substantially and its

Finally, show business momentum. Detection solid Analysis to continued our &

contributor on to first growth. markets RFID Despite that launches business of Vision XXXX a and in providing continued the Vision uncertain solid profitability product ourselves approach around quarter the we we're continue markets. to for climate, for strongly combined In New especially diversified organic first strong medical its of our beyond into product in positions profitable growth industrial medical macroeconomic was offerings. and offerings. with Overall, the sustained disciplined quarter our medical with net position teams and XXXX Machine foundation achieved revenue the in is product pleased leadership to revenue M&A more RFID growth how expanding and going Novanta's and with a sustainable growth XXXX focus the across and grade growth our with Machine

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

Robert Buckley

and XXXX, on first the of a Matthias in morning in revenue basis. of you, million delivered X% quarter $XXX.X increase good Thank reported everyone. We an

$X.X of of we by organic million X.X% revenue as Our came and in $X.X in X.X%. Organic currency in million, or acquisitions partially X% resulted impacted year-over-year. customer caused anticipated adversely rate also a planning than result was higher customers. revenue which foreign our our believe an we was timing, by Brexit increase exchange growth Consequently, by growth

was or adjusted First of sales. million first million profit to XX.X% XX% or or million of in XXXX quarter to quarter a sales $XX.X $XX.X of $XX.X sales the XX% basis, compared in of $XX.X was or first On XXXX compared XXXX. of XXXX. XX% quarter GAAP gross quarter profit million gross This non-GAAP first the

we XXXX. SG&A just X% million compared to quarter believe quarter or was sales quarter in have of or $XX.X the to sales XX% to in in first sales sales further year-over-year XXXX. of acquisitions quarter million in quarter interest $XX million First in investment to were XXXX. to $XX markets. the by the $XX higher compensation stock spending senior facility weighted was versus million XXXX. first and to product X% million million $XX $XX partially first of increase $XX in million operating in of in operating X.X% level of expenses XXXX XX% of The new million first average XX.X% driven engine were was the the drive of was expense EBITDA quarter XX.X% compared the income whereas our compared $XX.X of first versus expense. or million or $XX GAAP income or R&D first Adjusted expenses $X.X million and reached the credit high-growth penetrate sales the the XXXX, non-GAAP over Interest XXXX, in in first We prior-year on this and $X XXXX. compared of million in now was our required quarter the rate year and of million of was $XX of quarter prior or our

mix statutory On quarter X.X% first XXXX different more a benefits for from was front, of and Canadian was the It tax by XXXX. awards. was for tax in second jurisdictional rate GAAP On from quarter our we rate benefits driven than result our compensation income basis XX% the first tax of year. largely the favorable a is windfall This XX% quarter, we based tax the stock the the of from rate awards. or to tax impact X.X%. tax anticipated first-quarter for This quarter only rate windfall of as stock-based our to XX% a anticipate normalize full compensation the as non-GAAP

earnings to in quarter of in compared diluted share average earnings Our first the share the XXXX year. the GAAP shares million share in quarter a basis, We XX.X first per On adjusted XXXX to in was earnings quarter the compared $X.XX first prior up were XXXX. diluted XX.X with in the from $X.XX of $X.XX million ended per outstanding XXXX. diluted per $X.XX of XX% quarter, weighted non-GAAP

quarter a to was which operating associated of employee shipment from an This the plan and to First payment acquisition, million linearity an the Zettlex semi-annual million. cash operating annual recorded due expected impacted outflow. capital, was a cash $X Company's was working change negatively lower flow than bonus the with as which earn-out $X.X

debt ratio defined rolling As at ended gross divided of times to we the expect the pro gross as X.XX million XXXX quarter $XXX by we first of cash with gross forma year, recover. look We EBITDA. XX-month and leverage debt our full was flow

Our the $XXX roughly million of quarter, end was the net first of Xx. debt as at

with sheet balance is strong Our ample capacity. acquisition

potential growth acquisition target and disciplined on we addition, We're In evaluate our pipeline and healthy our long-term is in attractive and and remaining very targets. focused to cash continue driving cultivate markets. returns

guidance. to Turning

be a we of revenue our track issued expectations are per to year despite for current our $X.XX profit and year For range and macroeconomic to to environment. the on diluted XXXX, to we to adjusted continue achieving share $X.XX earnings full raising expectations expect full the previously the

the expenses to second XXXX earlier of in be the Adjusted XXXX, lower which driven R&D to expected quarter equity some million. SG&A was around first For first. of and expense, $X similar to sales. first the in expansion about the $XXX of expense. the in of of quarter second million quarter Depreciation the benefited in growth second remain second are final expenses expense year-over-year will expectations be for points our the are first Quantum the quarter difficult by the a Brexit GAAP will nearly for quarter will $X XXXX, quarter million range quarter The amortization X% $XXX line the dynamics the discussed quarter, the revenue that percent million we expect XX% margins with to compensation of second in are coping sales be around than the XX% and the around as in be quarter begin quarter comparisons of And Laser gross revenue basis to of margin business. actions with due lower in effect. to as expected second in XXX our take we our seasonality

We expect rate the remainder and of full-year see XX%. second a to XX% rate the tax giving for non-GAAP non-GAAP in us of expected year, the a tax quarter of

outstanding million. $XX.X expect of And $X.XX range EPS shares around to same first quarter. expect $X.XX it quarter we weighted XXXX. million be to the second adjusted in be in to the in Diluted a as finally, EBITDA, range $XX.X should the of to adjusted the compared of For we was average $X.XX

with us believe includes believe of environment our growth does a position impacts rates. exchange weather assume in portfolio gives the manufacturing innovation Despite not industrial on we're and our markets As foreign to and portfolio more resilience macroeconomic greater strength from continue wars, R&D are environment. Brexit to We objectives uncertain while the driving that any for we employees execute year. a in the end uncertainty, in always, further guidance making medical to trade a opportunities significant our and investments our our

performance evident our deliver of Thank up now remarks. the to call proud the first-quarter open on you. very to forward our our our employees to customers are shareholders. concludes for This continuing and performance our look and of We'll prepared the as commitments We employees, the questions. in

Operator

question from first The come will instructions] [Operator CJS Jagoda Lee Securities. with

Lee Jagoda

guess, I guidance? I So first year commented don't Did reiterate you revenue on and can -- you guidance. that think foremost, you full

Robert Buckley

reiterated. we did, We

Lee Jagoda

pulling regard back about Okay. launches in the other I visibility can you little and And QX, with piece? described guess, confidence half the you bit then to I have the revenue given that things reiterate give product forward you of to, to talk raise the then QX dynamic full-year of into EPS some and you guess, the the because a new Brexit,

Matthijs Glastra

Matthijs. is this Lee,

So, the first Laser year-over-year in tough in we of the will all, lap comps first half Quantum, right.

second return that to expect to we business in So growth half. back the

Secondly, we commented continue confidence give in us markets, our to on we which in reiterate guidance. the momentum remarks, medical continued a prepared where our

Lee Jagoda

you then, you bunch Okay. impact bit bought working Robert, I you can know And as more whole cushion. a for capital you QX? talk time some rationalize inventory about last a than to maybe needed the year more have taken in little some

moving efficiencies on as talk what's system and So, through you're the the of going there some about things you're can you better? achieving going, getting

Robert Buckley

that one earn-out of sure. the were of I structure. in there a two absent type [indiscernible] as earn-out capital, out mean paid is the consequence net happened cash of was which so, just quarter, the Yes, the foremost Zettlex And flows. unusual -- operating first things working and our

annual a year-over-year cash comparables. an finally, to working which a in QX payments then plan, we in other net is was And outlay capital. plan resulted a The it larger moved bonus our on from semi-annual therefore

later by occurring the was net quarter. shipments effectively driven working So in capital

really as So part our their latter to customers back quarter, of quarter. second then you flips get retimed the the shipments the into which

at that EBITDA we year, the last where on flows were and of expect will So XXXX, flows. back to we we get similarly meaning close full-year if into our to down cash XX% look around have a roughly to convert ratio cash

Operator

The next from W. Baird. Eastman with Richard comes Robert question

Richard Eastman

what just you margin are XX.X%, within adjusted come mean Matthijs, from kind I modeled some to bit standpoint? just that, of that a quarter, the you did here speak where inventory it business that in did there the as issues of the maybe address precision with And for the the as out the could first gross an like motion look progression just maybe was will things? low? of we side

Matthijs Glastra

It's some in probably to of that need now the will has Yes. would sequential subside second we that a team business. the improvement have lapped we We've lower we we to little kind the supplier plan kind start very wanted, sequential of say know than issues I I of and exactly the do. confidence in more margin. what but gross in improvement a think solid addressing think after quarter We

than improvement lower the but about wanted, we little trajectory. confident a So

Richard Eastman

was the could in you All then quarter? provide bill Photonics us Okay. to a that right. And there book

Matthijs Glastra

it was Yes, a X. little bit below

So of I think, order what it, X.XX is magnitude.

Richard Eastman

Okay.

Matthijs Glastra

you bit the again, of exposed softness little bit a of compensated a more the good bookings Mind photonics is on from So side bookings the medical industrial mix with side. to a industrial side. it's in

Robert Buckley

A there. in dynamics that of the is Laser business lot to of Quantum due the

So that [indiscernible].

Richard Eastman

the I one-quarter pick there? the, on, quarter again there at half we around a kind when second realizing on Quantum, comps shipment? of Laser see there start second or mean, orders for the an up might into you kind tough first might schedule orders up of would see pick to Quantum any Laser in ship insight insight You Is half Yes. is

Matthijs Glastra

orders quarter, pick no, We to, those expect third expect the yes, to Rick. up to, in we

Richard Eastman

Okay, third quarter.

thought or Does of end try just to Novanta. sense does to have just get of to bit below all a just in a year, we for the they catch-up give Photonics fall for around this, kind core half? low play Photonics. of give how us a, from a they the does standpoint? will X% maybe rate of year that this And maybe, second spoken look Photonics around full presumably for the X% Could growth that I year Do catch-up? the just full growth Okay. you core we last mean, growth as play a the to

Matthijs Glastra

as growth Yes, so we the to in business of second and consequence normalizing. Laser a see Photonics returning largely Quantum half that's

to year-over-year half going the first you're in negative the so from performance to performance in And the half. a second go positive

half I Motion year-over-year single-digit be difficult double-digit faces of high think type then the is our it And into the low performance a into more will it second single growth you'll business it Vision first QX. segment half, get as of really as in and Precision territory, see the impacted probably laps the for by kind normal comps. then more digit

Richard Eastman

Okay.

Robert Buckley

Yes.

products So stronger, on much to as overall initially a momentum, summarize, headwind. back having is is bit right, than well Photonics more yes, having the Rick, we modeled, as new little higher momentum. Vision a of market

Richard Eastman

it literally we follow growth to or is in speak geographies, right if here or versus we any with technologies of and you And by customers speak curious thing of me? here. are the speaking U.S. the be the rates and the kind the by we would to really overall inflection kind particular whether the, there Europe the I'm Yes. to, But the business technologies the

Matthijs Glastra

Yes.

So what is question? the

Richard Eastman

between the so seemed I whether currency just and you, and industrial? [indiscernible]. be Europe, aside, currency, the think you addressed just is inflection surprised business But U.S. and that But or that what question, medical in reasonable. local the Europe, kind of China in Yes, any curious U.S. it between

Matthijs Glastra

Yes.

So, medical across robust right. is geographies,

right. geographical, let's obviously I say, see U.S. So, in mean, medical, we very the are other is differences. -- don't strong but so any geographies,

remarks, do prepared we spreading. for that my us, saw see see but in softening -- China do we we mentioned in I As

Germany. confirmed Japan, Asia, that of see You rest through Europe, the

it's I it been even though not every to we across that of long-term days, that secular do XX like in then feel in have economic board. certain right. would say, affected, the have trends automation up markets backed And the right. indicators last would see factory like You by course application what say XX also we

XX right. So that's what, say, view ago, different would our from I days

a more bit little that's So subdued.

there. Now, but area. the are in over is market, Overall, Germany lull a But doing that the tide that trends bit fair say doing is growing positive we're great. to not increasingly against it's the more a little cycles in there that indisputably longer a we facet is that are term, of uncertain.

Operator

[Operator with from next Brian Please question ahead. instructions] Drab Our William is go Blair.

Unidentified Analyst

for for were of quarter, and and consolidated Hi. This talk main [indiscernible] the or drivers how want What do of the the and is headwind on gross I today. over margins. drivers you of Brian of be main margins those to about first the progressing headwind in the both see the year? expansion the what the remainder remainder EBITDA will year

Robert Buckley

for in gross quarter and where I most on came part the margins EBITDA expected first front. Yes, think our we similarly the

the EBITDA that As a look performance, uptick evident that as still the it in improvement it's as the And of be restructuring that we points to our continuous by we gross we poor as things; we ensure we're margin. actions that get two, headway; in a some that certainty at the handle then of into as taken to sequential cost gotten look, starting the provided. on that's being some are that; kind quality, achieving driven around reduce would starting and and track make gross of year, margins we we've quarter basis we're to margin a the both one, cost and well XXX ground gross the on And guidance performance. then three, get really second in full improvement initiatives to of implications we've combination now,

expansion we points most good the for we for XXX year what about basis type XXXX. a of that part, expect pretty So, feel and

Unidentified Analyst

you. more just will corrected? the correct be fully you to on that Thank what quality taken give any being that and issue, steps when can And poor around detail are

Matthijs Glastra

Yes. Well, Matthijs, this Joe. so, is

transferring chains struggling we the and the now the, situation. our towards Precision targeted there So, in a kind supply we've handle our have do are commented the core in were Motion We of segment. past new issues on

will to after say rest expect fully fashion, by right. kind would continuous our issues done are We segment chipping majority improvement end the incremental I that us. an in behind feel the it's in we the part QX, the efforts, of away at have that the of segment, yes. just that of of It's in the of And steadily issue basically which

is other poor productivity, drivers whether there quality, many and as of of margin as as gross productivity volume cost improvement, it's material well as Of leverage. right, well course volume

Unidentified Analyst

Thank And are you timing more. in margin one the to just related for what's and expansion consumables that? Sure. the business you. and plan Where restructuring

Robert Buckley

full that basis we quarter year. that in one segment look at bit think the little that you'll of a margins, year-over-year I Well, that see to first expect as notice they thing to we the Vision from fourth some a the margin is up ticked gross the continue the and in expansion on segment

first leverage the restructuring pretty the that of see are about out drive leading in that that of that so overhead the increased that half conditional on additional second and the year Also, the first feel and into that. benefits we're seeing in structures that about feel good we volume pretty good we think foremost and So, is we that is business getting which we means our expansion, half that. helping I

even bit with there, into in-house able though, shift manufacturers. to our factories we've own that got a negative volume more of So mix of contract bring it's the a been little versus

on track XXXX So then overall, it's the that the at gross margins for foreseeable look good going future. and we that that improve is segment for improvement if we feel to that

a change facility. In of function low-cost building step conditional terms in us like that segment, manufacturing that's upon out really

a make year. final on the that end of will decision We the by

Matthijs Glastra

to like facility not product necessarily business. you facility. I integrated NDS targeted comment basically the manufacturing We're And our and would into that display German mentioned over restructuring are that Yes. OR consolidating the at they operations consumable actions

enhancer margin an for XXXX of XXXX. gross a the that's latter part So,

Operator

this gentlemen, concludes back remarks. any I would conference Matthijs and turn Ladies the to for over our Glastra session. closing question-and-answer like to

Matthijs Glastra

environment. performance of the in summarize, to a macroeconomic solid quarter delivered uncertain XXXX So Novanta in first an

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

motion, to of a in good leadership feel of our sustainable variety about We with drivers medicine positions around precision our growth continue for of long-term growth of growth photonics medical macro secular applications profitable see in We the macro productivity. X.X, and and revenue focus variety large of a and innovation. businesses a industrial we the to diversification about the macroeconomic and is and excited solid therefore capabilities a applications in positioning on markets. half long-term current invest position of need on Novanta's play continue backdrop. healthcare medical in relentless today's organic we trends our markets and foundation growth the for in We vision have and providing remain continue back over to across Industry

all much. participation on in lead this is Novanta true and forward the earnings to execution strategy the ongoing years based a call of our XXXX quarter call. very for you strategy today's our look organically is our shareholders pleasure It's long-term our Company appreciate would sound and M&A on now and contribution strong In you your XXXX thankful great and employees joining support in through articulated our to customers, call. and multiple well and company. months ago. in growth their We This employees. and we growth Thank adjourned. are and the drivers on I committed to your on way interest teams Our second particularly honor our of I thank three several execute we direction for to like closing, our of

Operator

sir. concluded. presentation. you, is attending you for The conference Thank today's Thank now

You disconnect. may now

Novanta (NOVT) 11 May 192019 Q1 Earnings call transcript