LMAT - Earnings call 4 2023 | LeMaitre Vascular, Inc.

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Operator

Welcome to the LeMaitre Vascular Q4 2023 Financial Results Conference Call.

As a reminder, today's call is being recorded.

At this time, I would like to turn the call over to Mr. J.J. Pellegrino, Chief Financial Officer of LeMaitre Vascular. ahead. go Please

Joseph Pellegrino

President, Good on operator. on thank for and you call Thank QX afternoon, XXXX us our LeMaitre; George our our me Roberts. conference joining is you, CEO, and David call. today's With

subject harbor of Before will Today, of XXXX, the of the make our Securities Private is within we the statements accuracy statement. U.S. we to forward-looking Litigation read uncertainties. begin, meaning I'll risks safe and some Reform which Act

statements by try expect, will to forward-looking as and identify we words possible, believe, using those anticipate, similar Wherever such expressions. forecast pursue,

Our assumptions on as views forward-looking and representing February statements should are of XXXX, or estimates any based on subsequent our estimates XX, upon our as date. and not relied be today,

the SEC in and or cause those Please recent XX-K implied. including most filings, results risk from factors factors refer cautionary to information to the that subsequent our expressed of statement disclosure the regarding materially could differ and forward-looking

organic During measures Relations this in the as reconciliation release this will financial press operating discuss GAAP well charges. non-GAAP call, is contained Investor which call available we in associated and operating section non-GAAP and to the special of EPS sales website, our www.lemaitre.com. of is as A excluding growth discussed income, expense in include measures,

George I'll to turn now the call LeMaitre. over

George LeMaitre

activities XX% and By regulatory XX%, income 's force excellent I'll XX%, bovine shunts sales up focus with Thanks, JJ. QX, XX.X% Americas on op XX% top XX%. and patches allograft was line, QX growth. XX% gross Geographically, the XX% quarter and updates. my was product, some an sales growth, margin a APAC the XX%. up EMEA and in XX% remarks valvulotomes carotid were

rep ample patch sales of to To force supply the QX sales approximately America, porcine sales growth regional drove to managers product added The We area with increases, December XXXX, expect and promoted we X reps. growth. and staff By sales of XXXX return in patients, XXX managers. we ended recently worldwide. growth the our accommodate million employ ASP sales also in become of Distribution XXX reps hospital to North by quarter. $X.X

management XXXX had revenues coupled to sales our sales. train acquisition, RSMs $X hire, with in enable the average growth, The too territory from and our more North bandwidth additional million reps. Artegraft have large. This recent and territories should North American In XXXX, us American made manage

Over the found years, territories surgeons. enable we relationships tighter smaller with

the a We In should sales also our larger So time sales. well surgeons X of Paris should hospitals open sixth too. as connections reps. France we territories. reduce with we've in plan Europe, to QX, office begun and mode. French French country-wide largest as growth our in dividing windshield our which some This is remain improve

February. there. in the I Turning early to of offices APAC visited Asia. look X great over X Things

branch is profits years expectations. direct Our XXXX we've In celebrating Korea, op Bangkok. $XXX,XXX. exceeded Tokyo just and offices sales our first and year $X.X million opened XX reached figures and in Both were Seoul in

In sales of XXXX. $X.X about in direct our be Thailand, million year full should first

and XXXX, well several and Canada, The file in APAC last also submitted performing was and this other grew Allografts is Our year. countries December in Australia Chinese file XX% to also team approval Allografts plan year. for we CE

transition And XenoSure products make China. We also making in peripheral also XXXX plan we're in to filings Europe. our and MDR cardiac by for the

our MDR this XX you to categories deadline extended mark. of MDR product new XXXX. the has As Brussels know, need CE

To allografts recovery in gross Also MDR is CE X first of this our and marks. conclude, these op QX. have undertaking. produced in growth our European growth the be will sales margin income countries XX% and made in currently and those new considerable of XX% of a Union. We either Germany, approval been allograft in a Europe, in filings own Ireland So approval

Our hand and on and growing provides safety optionality. profitability strategic cash

to With over turn J.J. I'll it that,

Joseph Pellegrino

Thanks, George. We XX% on increase $XXX posted XX% was a of sales, reported an in million organically. an year. excellent XXXX basis and

While was post-COVID the XXX XXXX only to with control, and XX% hiring year XXXX XX% basis. constraint margin, XXXX. year our income gross a ads, operating margin along our then our strong If rehiring This reported XX% increased versus improved operating XXXX with an with a sales XX. in results headcount was on led in

balance Separately, million in $XXX XXXX by improved $XX our has cash to million.

posted weaker strong XX.X%, by we dollar. on points manufacturing team driven QX of up to basis team a costs P&L, improvements and the quarter, a a remain had and and ASPs, benefits of more gross XXX a manufacturing The increase quality was in our efficient larger in the Turning QX come year-over-year. to check. XXXX, This higher margin productivity have allograft

largely reversals In sales million, professionals driven and hiring improved expenses QX XXXX. increase surge XXXX timed onetime increase manufacturing $XXX,XXX XX% retrospect, the Operating QX was were $XX.X an return margin. million, sales and well our increased XX% $XX.X gross XXXX driven hospital. sales in global income to by with more higher in year-over-year versus higher of QX commissions, The operating an to by was QX XXXX. of

and with are annual in million operating will this take expense in restrained approximately be place will by was at in operating the our processes reporting, real-time This Separately, a improved an million XXXX respect on operating analytics. States. provide system million new margin. to entities that year. With recently driven we per $X period. improved spend XX% and and approximately guidance, The in improve growth we We Implementation more margin prior went QX gross and the $X from United XXXX. XXXX, ERP the up XX%, project, sophisticated estimate financial in P&L overseas leverage year streamlined should impact live system will $X we forecasting to

XX% operating of in margin and in an XX% includes XXXX. in -- reported of guidance XXXX XX% Our XXXX versus

growth XX%. of growth EPS margin growth include QX of sales XXXX of year outlook few for gross our release, sales of and more operating margin details, XX%. For growth reported income please highlights guidance business And reported of see XX%, and press of growth gross in XX% full operating XX.X%, XX%, today's XX% the a issued but income EPS of XX%, includes growth of

that, it over With for to the questions. back I'll operator turn

Operator

Instructions] with Your comes Oppenheimer. question [Operator line Suraj the of first Kalia from

Suraj Kalia

us the start say, go let's rep George, process out. prepared when In let your So the But JJ's to, in can you million territories about? let's from $X terms remarks, you split me talked of about territory, $X process was How does commission thought it maybe the comments. or retention? million, sales walk through you say,

George LeMaitre

for right? the sales to forces grow. completely handle. If around how like trying -- to how them this Suraj, smaller is because big course, device it So an of exactly is And big, to half. is start normal this ameba in And gets of it Ohio a ], course, cover It's got $X [ cut hospitals million some you've activity, medical becomes sales, running device to rep feel medical of worth too of ignored. thing

Ohio, very would and one Columbus, split will. clearly and so level, now pick in they put and a split you guy it and And you would high Cleveland one if city, guy

what sort of else it happens of So aspect the then perfectly ] ameba And there? what normal. is I about to [ know would think you like that's

Suraj Kalia

force I hence, was do terms more you definition, curious issues sales of about in normal specifically I concerns I any a -- usually it's industry. terms was curious any encounter retention process churn churn. of the in just by understand in

George LeMaitre

hospital this else turnover, No, do of to I we're but concern. I heard near It's some get with those stay. get don't into I exactly know this good thing, any and that. know score I on if have read anything higher article sort surgeons you, won't particular didn't you recently. this question, you you don't near the ask -- or in normal the anyone's service and that to Suraj, you just the have called is it force, agree touch time do maybe big but I you sales perfectly

big dramatically last and LeMaitre so as now turnover to the the we're reduced great And stay opposed experience in into year. resignation,

XX% number turnover. a wrong, in somewhere XX% somewhere our around or our peer always than get the better decrease down companies think points like I it but going colleague was or year I'm We're X Massachusetts -- from X X.X%, major before. or companies, to manufacturing

with LeMaitre the before Usually, further had a paid and reps start how dramatically result, specifically, surge Suraj, they mention, last the grown XXXX. massive force, much would bonuses. year, XX, force, and organically those remember, had to grew they W-Xs sales seen final them the this were we X% as you getting And around paychecks when stuck XX, their January leaving get to XX%. notably, we higher January a we that have the in one organically. commissions result, was sales thing sales in And as about procedures, and And in

X and We have seen haven't there's there, but I seen at all. here mean, that been all. X we at not or that

very, time, cetera. happy a in cetera, in the opinion, are we're very et so my commission force, results, et sales great huge, checks And in

Joseph Pellegrino

your as their we profit on And gross And you reps performance the of the recall, out of was a you Suraj, commission split territories. part the when change dollars' based question compensate versus quota.

profit And then when it's to end quarters based obviously change answer change. linked gets or territory split the the so that is. the them tier by gross change their paid, they're the on commensurately dollar split, doesn't whatever And we new at compensation, what those

big a fair necessarily global were when it's that, before. topic obviously you to but make So the making going around of make There isn't kind they're split. what they half of

Suraj Kalia

I'll background to follow-ups ask my X Gentlemen, noise. quickly the avoid

seeing your the I'd valvulotomes study, terms has love the Are looking there year-over-year. of for gave in best your George, have love seen I get somewhat So any which the really Obviously, And to strategy was opposite your M&A with growth. updated question guys to CLI counterbalancing that second on BASIL-X results. is, grew I'd you going you and XX% get pull-through all study thoughts forward? perspective on

on if curious front. to that thoughts your on any, Just

George LeMaitre

a I'm valvulotomes call rather then question going I'll to to your the pass to M&A back and over Dave, over Dave, question. come to Suraj,

David Roberts

respect strategy, of calls. the I'd criteria say are And to acquisition with previous the from consistent

$X with open about than Of course, There of XX vascular we're more altogether. focused revenue. them on are of million targets

Beyond probably move thing. in that a learned I maybe think few have in years acquisition is the from adjacent allografts ago been will first that, we more. are It markets, the we larger surgery hunting If good a needle hunting endovascular. and cardiac anything,

$XX looking LTM $XXX up. raise also, acquisition an do balance EBITDA at So cash excluding million price, and with leaving of EBITDA. been million or Xx And course, target equity $XX of could levered fund our sheet, a purchase $XXX we We of bit the the larger maybe cash, little have we've more million on to plus million an targets. the

we'll someday, be it's grounds looking to transaction. that where just think the -- have I report And we're back consistently able hunting done So same the we hopefully, we've in been. out

George LeMaitre

stents the great going valvulotomes. "I BASIL open too." So best your surgery study do and want the And bit some who listen Suraj, leg want little it bypasses, question. like surgeons feel to best to excited "Do results surgeons of it's we Best that year, can BEST BASIL-X comes out, then, comes heard course, sort angioplasty in would and come you no, was out. have do I say. say, in study, And way stents first And Yes, as the CLI retrenchment, European relates CLI do to ask And ways, the have BASIL-X." in the half and I get about of there So "No, to CLI best of use angiologists of open "I CLI. that CLI." you who and says, a the says, angioplasty antidote basically you comes BASIL-X about and first a surgery, out then got saying, to then

we For organic in X% dollars. last grew the up exact units factor, valvulotomes XX% That's XX% were year. and

X%. in units across general, portfolio, fact, our up were In

would first although and our say, decreased was didn't units 'XX. good, crazy, slightly X% the of I So go better BASIL-X, valvulotomes year that 'XX with than

It was XXXX post say, counteracted it So a seems and BASIL-X. it guess BASIL. will. like X% what but around thing, again it I'd got and XXXX then then bounced I units of it up or X% in make decrease by was good you

Operator

Instructions] next of line comes [Operator with Your JMP Daniel Stauder Securities. question the from

Daniel Stauder

some give of gross But much drivers the margins, how XXXX, of the we guide for gains? coming So could And we and first off, and of there. to on the healthy I versus great to talked some think in manufacturing to is contribution you just ask you've very about gross an us look ASP of cadence as primary about margin how should efficiencies out see, idea from the XXXX? wanted then

Joseph Pellegrino

Yes.

drivers. largest quarters time talking or P&L. been X now efficiencies, for the and X come we would So them that have those are I the into the I say those X manufacturing about

And you've year. and it heard good to the really ASP those, healthy about year this that's was see. us So ASPs, talk a

And battling sequential the deficiencies so they're would what improvement. story #X I were or terms of your I something would or it say X/X those each Maybe period a physician. of of whatever. And if high comparison in X level, or out. battling like is depends is and say, at it year-over-year general sort the But ASP are you're and that

we There's in that a to some part our other at they from it matter And like there I of quality sort well, in the growing pace in. lesser are story. of script costs was that really hadn't be a where had lights maybe that accelerated want as the put big been

a And of putting helped well. lot that's bit and think a that little on monitoring started I lid we that. a as So

we to And the some quality forward operational processing restore going in that that as results can so the late. had help costs will flows keep of the then side sort those as extent of And really on margin check, well. nice

throughout that going year, we'll hopefully, can so the we So keep see.

Daniel Stauder

of with M&A. one the repurchase, this healthy has Or order just million, would M&A able Does then think your thoughts you change very there Cash great. been just cash? about the really pecking should of year and that how be mean and you XXXX use you this that share I just follow-up, achieve we options? And be look the in feel both $XX how and announcement at kind year? to to for would of generation do weighing XXXX,

David Roberts

think say, I the pretty I is on oatmeal. would the is share mean, our cash I doubling as authorization corporate repurchase you of balance just the obviously, healthily. growing, good mentioned,

we're just to end idea. probably Obviously, row. $X.XX heard -- cash thought the we're that's, you a think, of feeding increase really, so it feeding at from our XX% dividend XXth the day, good from we XX% for QX we increasing So dividend. and is we're taking the a But the $X.XX, to annual increased in I

of that's then We've for is aside me. while. And been sort excess a hunting beyond a So that acquisitions. for set main cash sale

larger, or we as At couple business out and of some point, of other it's we'll identify ago we we'll there in last Thailand. running year buy Those as cash the use years like more one. in capital Korea consumers of And Is that. cash if of expenditures when beyond are a the in distributors users terms did well.

Operator

line Your Rick next of Wise question with from the Stifel.

Frederick Wise

get of Just versus a growth in maybe the to to I how year it contributing is this XXXX? understanding off, start contributed outlook price in little bit guidance wanted to and better XXXX how

Joseph Pellegrino

in it So of the I XXXX, about mean, it's in default say floors. the default in I XXXX, kind for thought going that was around us And I out think sort a that than something pricing answer answer those mentioned X% answer. more of quarterly. XXXX, forward XXXX we've maybe new of George XX% little this instituted traction is got And we might bit And X%. we about call talk you've year full get. Notably, we or pricing our XX%, think I past year heard would

base single case And sort you I probably bit answer, maybe digits do where mid, that if that want more this say in so of year. we'll We'll But that would little goes. a of see it's high a range.

Frederick Wise

ahead, focusing gross the line. just just And looking margin on

'XX. You're to guiding pretty strong for XX% That's growth.

lot increases. a increases, efficiencies manufacturing manufacturing about and talking You're price

about how returning efficient higher forward we the look for you further more pre-COVIDXX% ASPs, gross ahead, structure had. sort we manufacturing? margins with the about gross Could should potentially I thinking be to of business the mean, as be Just thinking going margin I

Joseph Pellegrino

I far goes now, Yes. from we're out that here. score. the right with not obviously, mean, on XX% happy that now there. step you I of sort where it that looking would see with next evolution guys for right in We'll we're say

if getting direct know, you it, or keep you bleed XX% your and hikes If other incremental as X% if that more of -- going hike, and call can get. is there's that that through, does is And answers price only folks they an efficient you instead keep the I margin forward, a will price labor benefit so those, little aren't in that going that they're now stuff the much gross bit even are maybe But goes that obviously those X help. on biggest answers. to don't

when product those us expenses topic, or clean can do issues rooms come terms come come in CardioCel, manufacturing out excess which or issues Omniflow about, obsolete little X built it. Inventory consolidations quality is for last of and the we year push a of bit. us in and and and quality and talked topic, get transitions other like comes quarter topic we've that of the of or there a that's pieces manufacturing for or and gets margin go lines We've a the couple those a X, that down whenever a you in or and and depreciation I done of recently, those transfers through

I margin. -- happens a it after for don't year. on want see There's just gross story to lot you. clear I So this make what line We'll going in a

David Roberts

with hope But of going like little a leave JJ, to forward. I'd bit John

getting used are several in think to like that to line XX We're shots there I goal what on item. just again. be it's

But a need of et short I studying, there's think goal, ton lot cetera. some we So John.

Operator

comes Research. of the from Michael line And Barrington with next question Petusky your

Michael Petusky

improvement get satisfied. and more, the for never people XXX they're point you basis JJ, asking are

Joseph Pellegrino

[indiscernible] is that long Mike. last know the I

Michael Petusky

press You guess. I about came an after hour right. All release out, had the

mention sales how guys that for the you So to I price percentage out mentioned QX didn't you specifically? split was related guys if volume, QX growth what catch it. and Did this of

George LeMaitre

year, X It repeat, price was it to price not. the again, unit. X for We And was units. XX XX% did

Michael Petusky

And to revenue Is it the you the do the possible -- Autograph always but and know this. this, possible for get you've year? and for is done don't I guys it occasionally quarter

George LeMaitre

Yes, of course.

try Let's find to for it you here. quickly

David Roberts

little XX% $X.X quarter, for a million, up million, under the It's QX. $X

Michael Petusky

For the year?

Joseph Pellegrino

$XX like to that. that get the be million, something around Going call. We can on you we're while

Michael Petusky

another I have question.

where know the the leverage, So looking and successful, deal has while with level terms Dave sort an $XXX on been growth ratio said you do guys it's and in mean been comfort think a of top of you a do I external I has level diligently. potentially. been your terms out million leverage -- obviously, your comfort you you could deal opportunity? JJ, obviously, in allograft of

Joseph Pellegrino

So if X.Xx of Maybe maybe range XX-ish somewhere I EBITDA the the before is somewhere of acquired it's EBITDA, $XXX maybe X, that talk say. if range $XXX in that days. million, company. about the you're in there, in And million, in sort million, $XXX of you EBITDA these would sort XX, Mike,

Michael Petusky

it initiative, not one question. just maybe floors then after you really like it's an do Or easiest can you low-hanging was floor I The And I'm tougher just case basis. the on it's forward? incremental what more there? terms fruit seem that the pricing really, does and of went that quick curious, going helped of pricing maybe and on some suspect in

George LeMaitre

a price has what a the and sometimes last over good pricing high we're And years. cut years to and because forever individual been reps question. of reps it do is left the last take a the at sort question lever don't management x asked, that's the and in-house Yes, as deal here, X trying away from the team they at level, then low with back for it bring previous a

but kind pass we of it's been about products. back. X full-blown to We've now which U.S. before, ago set Mike, effort. them that X time of every pricing first or for card, pricing out in plant ever, there's set in we years with employee. Europe. And And single the what X had all little pools goal is full for pulling first ever, the this the started, -- floors become year, this a a So the we've And some time in drilled Europe this into it's call

then got it's time that drilled ever, we've a into has European And planks. also, the plank first again, set the pricing for So Japanese floors. being

not And right half which so specifically, of all in Asia Japan, Asia, now. our is of just Japan,

so have -- some it So room here. on go I you we the got to still think

in pricing." And you to "Hey happened real, learning when it start effort it's you'll and relating it's back dribs ago. what started come now X become to to, QX in with a and think X.X I it's guys weeks we with drabs and But full-blown worldwide. QX as years

Joseph Pellegrino

it's was of million the up XX% On a we a category -- think reported allografts in call basis. year, it it, question $XX and XX bovine million was on answer. allografts I all nearly It have graphs, the

Michael Petusky

were 'XX. you Allograft, some Australia Actually, of Canada talking just George, talking and OUS correct? you confirm, could were Is I development. fast filings that when the about in

George LeMaitre

That there is X thrown Asia correct. countries Pac then also, in well. as roughly over we've we'll And more file

Michael Petusky

XenoSure then still is And XXXX in China.

George LeMaitre

Yes. and keeps just peripheral I But XenoSure, pushing XXXX. China yes, in cardiac mean it away.

Michael Petusky

listen, know Well, and margin. and congratulations particularly that while JJ to I team gross that for after a congrats. particularly, been congratulations on you've and the

Operator

next question your of Sidoti Co. Sidoti from the with comes And & James line

James Sidoti

break Can expansion? XXXX. to that domestically? a you force more in a bit You out about you Can talk think about the little and you're going internationally sales I more folks XX said, add bit little

George LeMaitre

it's subsidiaries sales start guy do would why there, U.S., so in bunch Canada, if in up American lined like but it largely the couple then domestic got over feels X newer not reps, in a I a that. where It a should Asia give these the to We've call was of And some right? It Pac, thing. thing. North going have we you a less Korea, over where go X in didn't worth you or

a this mostly Europe, oddly year. in much and Asia bit North not So little America,

James Sidoti

this were year? their Korea home? what's What changed? mentioned opened you offices Were just you you in working folks those And Or and under Thailand. doing

George LeMaitre

years she and We were to going first No, before an year, our drill office, to operating was a Korea. them then for passed in X Jim, still hospitals that. hired in sales I through doing out up Korean X XX sole was distributorship. reps hired XXXX bought sold year, we actually and distributor office, we her Korea. a our then from and and manager full year we for that And a And along -- items in later, finally Thailand. started, of she been distributor, set they've now general they're for same operations

James Sidoti

for it And organic about that significant growth. XXXX, say you've portion for Is that from guided fair to X% of pricing? a is

George LeMaitre

would guide we I pricing year that the in X% past you because until it's on differently. price, XXXX, try to all variable so relationship units, X% say back look not this know and what's happening. But to if maybe XX% XX% we holds

James Sidoti

you're And JJ, tell you one, can will XXXX? be assuming you the can what last then for -- me rate tax the

Joseph Pellegrino

a XX.X% in put the and QX -- year, Jim, let's XX.X%. there, for we For or see, then full XX%

James Sidoti

Well, you be a more can little specific?

Joseph Pellegrino

asked. You

James Sidoti

XX have been good. would

Operator

of next Markets. Lake Capital question Your comes from the Brooks Street line O'Neil with

Unknown Analyst

the is Aaron Brooks. for line on ] This [

mainly volume been have give an my for But addressed. we're sense tight more for these in -- you sensing little remain just priorities expense solid pricing I us key a guess and the guys. general for environment updated Can you of XXXX, most and so solid questions So color areas? and control

George LeMaitre

good XXXX, we in seems happy feels return on be a KeyBanc folks would the And the -- I going stretching from X swipes the them XXXX, -- KeyBanc, I all were the USA of nice XXXX. of to on screen. in report of the card on hospitals. and really I it really it from about the the place stuff one the see Brett, we business business credit studying good feels staff and read, for patients in also to we And U.S.A. in we're helped in hospitals. hospital this weeks they it what's would staffing all like revealing not from it to that year. stuff say just into this published we're take out call feel But And and first see read just up we

procedure-wise. the of same more maybe So

Unknown Analyst

last then for one And me.

you sales to reps. and year, aggressively XX-ish but So brought in hired been last this manufacturing and plan has you up, add

So those? XXXX you're some if you for about could of the thinking outline priorities how and just

George LeMaitre

Aaron? Your priorities what in gone, terms we're of that is hiring,

Unknown Analyst

Correct.

George LeMaitre

And We get we at hiring just XXXX. headcount. only new big question. lot. sort of headcount. new put place this in to really then in put took business the in of And XX slowed spur beginning there The down XXXX, We on in XXX that a on

last to We're maybe So put catch we're back on We wanted that really this here. And XX But on we're we that you There's talked and reps, it post-coat the maybe operations now of little biggest We plan to it like maybe add think in a still the department is did the XX-ish out. year, plan all the elsewhere. that. we And managers, maybe brakes people that pretty feels year. tight-fisted. up pay-as-you-go sales and hire to a working we of bit. hiring. X bucket XX at we about there's XXXX sales there's like And manufacturing. we're something XX-ish

that. income stuff and here then come goal after op #X Our is in fills

Unknown Analyst

Great. Very helpful. on Congrats the quarter.

Operator

Capital Fishbin comes the question from KeyBanc Brett line last of Your Markets. with

Elizabeth Bui

Brett. for Liz for question. taking actually Thanks is the on This

how to regions? different think start And to we do for growth? X% amongst where growth the should drive year, with that the off the Just the you about expect most

George LeMaitre

Well, I America grow Europe to Asia always to faster. that's say, and fastest is slower. bit a generically, to going a is going second think we would going good is be question. little grow Pac North

some the region We'll thrilled reported Liz? what is at we So with of we regardless be to also up we happens, organic which make for on is really get -- year, guided. that's happen. X% generically that when XX% that guidance show going of based growth, Does your don't question, how it

Elizabeth Bui

should was how side, I your on ask could how op think that if And R&D versus thinking going forward? really investments then SG&A? are Yes, you we helpful. this of balancing about the And leverage

George LeMaitre

of spend. margin sort balancing a kind some numbers kind of we've on little R&D, percent op all like down bit a of So something as building or I been mean that.

of sort on the X% we think now in I and sales up Xs. at we're we're the that. in of were Maybe historically, Xs

So maybe We the so us, with on for expanded new to we've acquisitions. bit clinical little regulatory tend the try specifically old-fashioned And R&D cranking really much products. in side. R&D through R&D up efforts, not means a been to bring products and

in may is And the R&D of was our but XX%. before question margin year op thing for XX%. right? that bigger that was getting And 'XX, question, the part I Am the part is, op year. XX% think the small of implying is think margin year. figure So it guidance the for your a that, I cover that I XX% your same

So I little bit think seeing we're here. leverage operational of a

we're that a course, -- should by margin but gross things easy in Of number. sticks around pretty make around, easy big that If here. doable more out way helped not

So from still the bit force. leverage sales growing coming and of little gross margin a

Operator

that Ladies I disconnect. now a and like great day. to for Have conference. your you concludes gentlemen, may and thank would today's participation, you

LeMaitre Vascular (LMAT) 27 Feb 242023 Q4 Earnings call transcript