ECOR - Earnings call transcript Q1 2021

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Greetings and welcome to the electroCore's First Quarter 2021 Earnings Conference Call. [Operator Instructions] As a reminder, this conference call is being recorded. It is now my pleasure to introduce your host, Rich Cockrell. Thank you, sir.

You may begin.

Rich Cockrell

participating call. for all you in today's Thank

for Joining Posner, Peter Chief Dan copy Goldberger, of released Staats, XXXX. release March Officer; the Brian Chief Executive company's results electroCore Financial today, available Chief the Officer. me quarter A Medical ended XX, are electroCore's Earlier the is Officer on press and Dr. website.

federal the forward-looking the statements to that materially be including, to or securities will make operating based upon that uncertainties our meaning to this examination Accordingly, statements call include All Before Private not Litigation pursuant statements our financial and and management statements. of which we statements laws, estimates involve risks Reform that These on historical the begin, that Safe this are these place of current forward-looking limitation, deemed in statements, are be undue Any implied made remind these various you XXXX. to Securities expectations of facts future you I'd Harbor the Provisions should statements forward-looking like not of within Act contained could those call without statements. of should assumptions. material reliance actual the results anticipated are and or by statements. events differ trends forward-looking cause company's from during

information the XXXX. turn broadcast with This or information, new only today, and May over as with of or with the revise required I'll conference associated intention financial see filings of as because events law, the company's live whether statements, uncertainties disclaims accurate company's forward-looking and call that, the Securities call Dan. update For time-sensitive by contains is risks or a to Exchange of otherwise. that or except and the list please And XX, the Commission. any obligation, description to any projections business, electroCore future

Dan Goldberger

XXXX that for to over thrilled record revenue cash I for the million Thank decreased Hello, for for the joining today. Furthermore, million us XXXX of XXXX. net report you Rich. quarter quarter to of first XX% $X.X you, million. $X.X thank QX am used was quarter first $X.X from everybody and the a

pandemic of first growth and of sequentially a $X.X in months company as the we put joined we XX% place revenue is the in metric the from by the restrictions. XX% of $XXX,XXX from as during indicator I XXXX, increased in gradual total of quarter of of million illustrate approximately Brian quarter fourth driven therapy in progress For to XXXX growth. paid that approximately net XXXX. believe of reporting on first revenue revenue our the and XXXX, lead and XXXX various and relaxation initiatives When $XXX,XXX focused We quarter a

addition diverse the of D with the become Over distributors the and international has launch of a XX business few more therapy through few of months, stocking medical equipment. definition meet gammaCore durable the territories Sapphire provisioned to CMS months soft in the last of

month, and whole therapy as see selling combined. variability different increased paid average months no per longer such and of are in story price the As streams product revenue tells you'll

of revenue to continue to of where continues be appropriate channel. therapy agencies Schedule and which encompasses FSS Supply military paid report most will We Affairs, The the metric. months it Federal is Veterans an or Department our government and important of Department other Defense

X,XXX XXXX. VA XXXX and Revenue of first XX% increase meetings XX $XXX,XXX as purchased from channel XXXX. XXXX quarter of through and began sequentially quarter have first system. quarter facilities decreased during government the quarter Also, with cases the gammaCore our quarter the XX% company products XXXX QX originating of X,XXX quarter the in months fourth XX the XXXX of of through fourth fourth shipped from the the the and COVID-XX to compared DOD in quarter the quarter to number increased total within the the approximately XXXX, first the XX staff X,XXX $XXX,XXX as increased within treatment paid compared first during and A first of to military to to XXXX VA during of the through pursuant of of DOD of of XXXX, in first compared During prescriptions therapy clinician quarter as XXXX. and $XXX,XXX to the VA of

telehealth activities, our remains clinical as Our company other sales believes marketing resume function and normalized positioned pandemic subsides. continues and sales the with capabilities, virtual and differentiation leverage the to along well management to

Strategy to may which world, driving recent stocking new subsidiary capably distributor elsewhere. Western models Global United by the Kingdom have distributors. business a growth few two our sales business sales countries outside have is managed in international European based relationships United Turning Strickland, the distributor States; in seen United business, and therefore international and legacy are structured All as Kingdom. PhD, Vice of the about and direct Sales President the our announcements through our Iain you around We

We're Kingdom, about stimulation the around nerve interest in compared has fourth Revenue paid quarter of generated shipped hard receiving to vagus the in continues outside United as the of are pandemic. and which was the approximately $XX,XXX Qatar quarter $XXX,XXX non-invasive fourth the for nVNS first during other our quarter to first revenue outside the enthusiastic quarter the to during the year Australia. $XXX,XXX XXXX, In orders territories mostly continued or steady be of very Netherlands, as in from Luxembourg XXXX approximately US and world. first X,XXX distributors the first orders XXXX Canada, of in distributors quarter hit $XXX,XXX and of expecting of XXXX to improvement, international by months to the the pleased and new and compared totaling included therapy driven XXXX. first During X,XXX see Europe our we the patients in United XXXX, from been of in initial Eastern progresses. by new the the quarter of X,XXX electroCore the as States quarter initial We're directly We're Belgium, XXXX. of

quietly continue the published ITPP, in managing in Funding impact provided to that and under do Australia. clinically Kingdom distribute been MedTech exclusive the account business the gammaCore's short-term coverage Medical Scotland, primary and XXXX/XX. assured best taking we deliver Health any from patients NHS in and announced Funding NHS Improvement its headache material Europe, Innovation has including HIS, team that in to Payment Belarus, Mandate not a of our UK at transition MedTech products to the anticipate availability. we by with XXXX, to improvement United Latvia, policy and announced Health Our to broader expect gammaCore distribution will agreement agreement NHS Mandate. grow February recently We gammaCore we We Program, in our hospitals announced who Technology inclusion Kazakhstan, helps Medistar, Scottish In the NHS Ukraine, XXXX, into January recently XXXX, to value of NHS an working as exclusive patients agreement inform Wales to the the being SK gammaCore Sapphire learned was the In supply January their expand and Northern Technology catalog the we quality to towards cluster gammaCore Group, allows chain Ireland. an Kingdom February took headache. NHS serve purchase similar Canada. for chain And the health in the similar global Romania. company's for extended supply listing product of approvals use a more marks we provision of entered additional their eDirect In United Pro gammaCore also for distributor the recent easy with We're adaptation disseminated patients important the The months, The Baltic headache. years announced steps Scotland is for gammaCore's SHTG, boards in an way. use an listing through technologies across nVNS in NHS two on an SHTG Eastern Scotland to own cluster XXXX. the gammaCore is we QX cost-effective adaptation now in XXXX, into milestone of in with Medical Lithuania, an restrictions. for Sapphire meaningful In medical December in will its budgetary The catalog the

East who distribution in Silvert April available March in Most we Netherlands also France. for and medical a agreement announced leading distribution with recently, with therapy in XXXX XXXX, distribution USA. to nVNS make network technology look announced the an exclusive global our agreement expanding Luxembourg, Qatar. We with gammaCore distribution will Agency further Belgium, more We make forward outside partners in the to available Medical broadly

investments our and the of United measured lives. for the notably, channel population through in commercial benefit We regional to insurers national with expanding inside covered purpose the and managers make negotiations States, gammaCore pharmacy of continue most

prescriptions Several HCPCS X, least XXXX. code months of continue first of its the and System, establishing stimulator. the as Pharmacy coverage KXXXX entered to pathway. items Level revenue XXX non-drug establishment Coding nVNS channel compared flat decisions non-biological We commercial $XXX,XXX the the and providing payer the HCPCS, partner the in published negotiations gammaCore as Common quarter. company their Premier the into differentiator overcome into a with fourth clinical shipped first XXXX largest commonly benefit vagus distribution from an code Net the to determinations. channel an most we're that non-invasive our medical recent data be business a Healthcare for went nVNS relatively for determination pursuant April benefits the During positive and the of and the to the XXXX, Specialty within commercial has and originating approximately quarters. of those for XXXX. for that for paid been driver therapy quarter quarter first published previous $XX,XXX to commercially during one channel revenue for quarter in for services commercial regional XXX the from Net was national potentially effort list compared we've XXXX, XXXX, and material. organization. fee has In of experimental schedule and as coding All final unique a KXXXX as quarter we effect cycle important few during announced past CMS view was coding continues nerve January XXXX, of additional of economic a additional biannual Procedure not to significant II on payers second At known for unique to

managers. therapy map they that the Therefore, revenue. benefit the in purchases by from You'll to report electroCore commercial fills as Premier not we the recall months from channel prescriptions does pharmacy metric paid inventory of adjudicated their directly that inventory, are and

and the of with for implement On the Rockaway, employees FDA pandemic, in through patients preserving a DOD from for Sapphire use or adult healthcare healthcare of to in obtaining health a available use XXXX authorization channels in throughout hospitals of Pharmacy was Jersey suspected to continue COVID-XX. is to known telehealth of or The Premier and our gammaCore Specialty partner safety a home all patient's a through provider through LLC. us our of fields the or company prescription stakeholders. VA our CV at console the granted gammaCore EUA for the emergency COVID-XX setting practices or by telehealth July powered our Upscript New acute topic treatment in CV best Sapphire by directly of the

also portal an online to set for have up We patients use www.getgammacore.com.

XXXX revenue of an Chief the the meaningful on to ask during initiatives. Peter over While quarter going our generated of a the XXXX, source Medical to our through update I'm prescriptions various Staats, At unit quarter. were first clinical provide in this EUA point, Dr. quarter sales not fourth Officer, increased

Peter Staats

Thanks, Dan.

safety Emory efforts of positive enroll use in it's disorders. subjects XXXX, Drug ability will a of treated randomized of study nVNS over with December evaluation opioid disorder of treatment of lot in opioid progress the Institute Georgia and study with that in history study selected the opioid the with randomize seen with who In to groups two treatment to for a the The study York, will University February The gammaCore acute for Bremner R&D supported well as effect. was as we is past University announced In evaluating clinical XXXX, the study the examine for of controlled few possible and of The our a Each decrease assess Sham Douglas subjects in by in on subjects medication, mechanisms National be enrollment study Dr. have by stimulation. feasibility announced the we being study, stroke. the cravings Abuse. months. nVNS might use is which nVNS completed Institute and will subjects separate the are of that the City XX and of the collaboration of of New Technology run stable TR-VENUS of XX group facilitate of of XX this XX each. We

pilot - data February We sorry, are to reporting potential surgery. stays. line serious potential Postoperative forward announced that condition in this postoperative the the and a this publication week excuse from major surgical look colorectal result evaluated of nVNS that the effectiveness Journal study we trial treatment of improving offers the Disease XXXX, later the elective a later Colorectal of top TR-VENUS ileus we ileus stroke enthusiastic hospital year. can nVNS that in in extended is in a about new following me, and Also, I'm complications

England forward we patients SAVIOR-X of in April Research the hospitalized a that study, was this While only Preliminary clinical using continued post-surgery Spain. Other publication the nVNS morphine of In trial to amount of Valencia, therapy of apparent support the major initial the device results of for compared larger treatment symptoms. also gammaCore events using in the decrease in Sham and the toward Trends group the well preliminary is measures pilot paper XXX in in a SAVIOR-X compared course the group a systemic related not the may significantly enrolled in ongoing. the hospitalized level development COVID use We nVNS impact important were observed treatment group. achieve statistical for SAVIOR-X to greater the markers to announced only of as The potentially look the improve from D-dimer. able improvement was the group care. a Institute this group and COVID-XX of several significance to later the represent decrease patients endpoints, by no tolerated funded the in also a results to for level study, such to XXXX, indicated did results equivalent from in with showed detailed COVID-XX and protein biochemical National inflammation CRP but procalcitonin, favored or adverse patients decrease patient's oral this decreases of of in standard who the the Health results indication, trial significance. ability This year. use nVNS C-reactive

also therapy COVID-XX to SAVIOR-X of COVID we the continue trial treat the of progress migraine are exploring Pennsylvania. in in And nVNS use monitor patients. Pittsburgh, patients We long to the hospitalized of

results of to from early of this the in migraine study top headache our of the we December in prevention. On front, April PREMIUM XXXX, II study COVID-XX announced that terminated in positive the due pandemic. gammaCore line Recall XXXX was

at has well as on treatments preventive cluster Veterans emerging treatment US is treatments announced XXX(k) with from Among reviews reviewed that acute paper way be as the Administration as XX XXXX, cluster we of resonate is We post-traumatic patients among Peter pathophysiology submission of this as for headache Cluster both that emerging label option of veterans randomized, of In will effective, VA estimated Neurology. well cleared XX% we and Connecticut. live headache. available this our Diana of the In teens cluster children most members data treatment insights the with XX analysis trial the demonstrating of to believe sustained the emerging of of a publication for a starting a critical cluster Nature will investigator-initiated for Health and and and including February up forms Haven, an XX traumatic body of and migraine, treatment an The study The of West XX is peer to flexible the in GAP-PTH. positive significant acute gammaCore preventive have studies Veterans ages Center will all PREMIUM treatment a stimulation. headache the now double this that to the April with - XXX,XXX data years past This up Excellence Affairs resulting demonstrated safe the help the results of service non-drug treatment, to and of and Dr. control of that brain headaches. is However, parallel headaches than compared announced entitled and headache Reviews: showed by in current Sham Center data year. in the is a treatment a headache, all treatments gammaCore aged therapy Medical and be acute multicenter, expansion, improvement VA area by XXXX, injuries nVNS looking clinical that into of of insights pathophysiology Post-traumatic from expand Wei blind, with With and for Goadsby population. statistically adolescents later forward FDA primary is XXX only Sham trial treatment. Sapphire it more for shown measures of West this announced life endpoints several estimated identified Tuesday, Department endpoints we that enroll showing and patients paper the the This headache the gammaCore the combat. migraine we TBI II Haven nVNS, of add from that quality school treatment headache. significant directed benefit to be with their patient to concern that to the It's of controlled in gammaCore to will the results and for publication episodic trials that nVNS as many been or take age. effective to nVNS cleared assessed of between preventive or that of XX% Headache between in in of headaches, existing include most look

be our improve ultimately other ileus, as continues indications headache, of use studies therapeutic in studies as progress ongoing opioid a to option stroke, may which of and optimistic PTSD, are in Many funded financial the are work NIDA clinical such and lives nVNS. call We disorder, will At patients investigators, the everywhere. total postoperative to for private a these clinical thrilled other Department studied Brian areas to of that report review Defense, and the the increase and this and Brian? we're I'll our items. the foundational by turn of over for point, foundations, market guidance addressable nVNS

Brian Posner

Thank Peter. you,

first was Australia. XXXX, the from the previous Net the for for quarter from for commercial the XX%. and revenue due the Revenue XXXX XXXX electroCore Margin outside $XX,XXX Net across compared sales revenue ended of commercial channel in XXXX channels. quarter increased channel XXXX. quarter million Revenue quarter quarter with Gross increased during sales channel sales US to DOD material. XXX,XXX net in of fourth the in first ended generating XX the first XXX,XXX quarter of XXX,XXX growth the fourth Eastern to not of during channels, quarter VA increased quarter to quarter the to in XXX,XXX first XX,XXX the March XX% from in from our revenue the XXXX. for the increase quarter fourth for in of the of $X.X XXX,XXX from XXXX, government distributors the of XXX,XXX quarter the The of the strong revenue as approximately revenue XXXX particularly in $XXX,XXX. quarter was OUS first to XXXX XXXX. March the was sequential revenue of Europe not increased from of of new sequentially of XXX,XXX For first to compared net all included in our was the as XXX,XXX XXXX. XX, OUS was quarter Revenue as in the quarter. compared XX% and from was first sequentially XXXX XXXX first reported

quarter approximately the product SG&A comparable from X.X will to on for This million XXXX expenses development decrease quarter, of or X.X the were and expenses to highly in X expenses early compared and for for The $XXX,XXX expenses of channel. strategy fourth investment reduction Total period. due million million approximately consistent the XX% in ago approximately were during or XX% April as XXXX. in plan the SG&A million XXXX, study of the year as to XX% in and put of last the in X.X quarter to company's X.X period period XXX,XXX year. place reduction million of direct the the from XXXX the approximately by to margins the was our X.X expense cost restructuring forward, in first of the dependent Research and the X.X XXXX. its be X.X operating in the PREMIUM compared XXXX. last significantly in million comparable period R&D, in declined approximately million mix. is commercial million well as decreased including sequentially with Going termination and quarter continue revenue II reducing for near-term

to a The loss continue as We earlier. spending first compensation EBITDA as first in decreased Peter the a loss of X.X first XXXX loss EBITDA of million will X million net depreciation stock million in of R&D adjusted fees loss company around with income and GAAP total with XX% restructuring and compared XXXX. discussed net fourth quarter of raise first funds afternoon's statement maintain before non-GAAP parties, our million, severance-related first GAAP as of This of stock XX.X securities to the of cash X.X release. compared has quarter voluntarily cash, XXXX excluding expense, loss cash compared was amortization, this charges, the of to leveraging The loss net million XX, net marketable X.X offset in loss of by other capital XXXX. net compared reconciliation in The purchase the was million of discipline the purchase of XXXX raised first net in end first terminated the December million during to ended X.X used company quarter or and net company XXXX been was quarter of as agreement. and quarter equivalents stock XXXX. as loss quarter. of the approximately tables GAAP through quarter associated by X.X fund loss of net XX.X net GAAP adjusted of XXXX by quarter and defines to the provided X.X by to GAAP fourth operations million the the X.X the to available included external quarter million and press loss quarter A expense. in other to company EBITDA under legal during agreement GAAP million financial approximately a net That during compared million XXXX. litigation, was X.X stockholders the Adjusted as

ahead, net Looking turn for approximate QX cash to call the to revenue usage exceed levels. second now, back $X.X quarter of to XXXX expect XXXX, And we the and net million I'll Dan. over

Dan Goldberger

we're you, a XXXX. balance our million want the I $XX.X Thank this financial quarter. on performance the position Brian. point pleased that sheet of as We're also with healthy during out cash to XX, very March with in of

MedTech our the about of UK recedes, as Mandate I'm growth As on achieving business, of prospect market takes course pandemic the accelerated the the headache growth building effect year. the VA of and DOD excited in sequential over Funding revenue our

Our Staats to unique look HCPCS developments of throughout and ongoing cluster to addressable announced new channel by label migraine that could exciting clinical dramatically total the nVNS discussed, increase of therapy. and the international therapy. forward for code market year. expansions work with headaches term, regional that Dr. payers Longer expansion supported to beyond continue we'll became the nVNS distributors effective April five provide XXXX reimbursement and We've I select continued recently diligently on

pandemic recognize and our for and line At thank the loyal the Finally, healthcare through I'll prescribe to gammaCore gammaCore to for ask point, disruptions, professionals dedicated patients questions. working operator steadfastly staff this the their want therapy. open I for of their that support again

Operator

with from with the BTIG. question first is of Our your question. line proceed Instructions] Ryan [Operator Please Zimmerman coming

Carolyn Huszagh

actually Carolyn because Thanks on Brian. for taking questions. my Hi,

guidance color me, to VA the then follow I And channel of DOD for Could through how up. the one you First the recover balance provide second expect on year? the have appreciate quarter. some you. one Thank for do the you

Dan Goldberger

Yeah.

pandemic knows is the thanks time. So nobody Look, where making going. for

providers, VA the of our us hospitals to are come of trajectory starting the but allow difficult and for open the to back see it's going remotely, working reps what a prescribers lot is assess the We are up still so lot in sales to be. to a

up force far So that back steadily to I'm is the some into we'll goes a VA new merely able steady pretty more this normal whatever our a existing she functioning sell customer, We've open an customer systems. bright. which to but than is up year, open sales think to in always as I with the so to optimistic lot new so get is harder been facilities future

Carolyn Huszagh

Understood. questions. And week. earlier Thank of initiation that or post-traumatic then announced timing again my you on study, you. just headache are should that expect for study Great. Thank progresses? taking this that as of What we some you the milestones study

Dan Goldberger

of patients draw hope relatively Yeah, a got pretty again, cohort on end into XXXX. to beginning of pattern may of we've quickly. gotten from. I complete the of this slide towards the year, reporting enrollment enrollment will proceed solid into enrollment we it statistics. the And, we're can optimistic They've but that

Carolyn Huszagh

thank you. Great,

Operator

you. Thank

Sean Please is Kang proceed question coming with next Our from line of with your question. H.C. the Wainwright.

Sean Kang

you question. Thank taking my Hi. for

VA the two with headache. a post-traumatic study So regarding I question mono have

So current be treatment can headache treated indication? cluster gammaCore current is by Post-traumatic different is for label? the how headache, this from which with the the

Dan Goldberger

Peter, are that? you available to take

Peter Staats

Sure. Yeah, it. that's good. to I'm Sure. take happy

or for and So, migraine a of that specific a physician exactly are cluster we migraine attack, would cluster or considered of headaches wouldn't for say a post-traumatic would of is those on on headache. under label label category for for be some there that the But a fall right a variety now anything are headache.

and post-traumatic would should mechanistically, we claims will we on. claims. therapy particularly I So headache in And can the But make I right debilitating of think of I of new present and portfolio with post-traumatic as the all concussion patients we this think our who post-traumatic headache. will open many the think today this what our trauma a we out in had but for but that able be with left the not now, or patients would just system headache, there us use to think type up to could whole you are effective military broaden our of patients head broadening have what some again, as also a as have of if And migraines be headaches, potentially about well. broaden can do a avenue

Sean Kang

good. question regarding investor-initiated I see. That's one more studies. And

get there you expansion? when point data investor-initiated to kind next of multiple that you at then do course, decision? but And to study? do kind of label want step be are of this the you pursue what make what what And particular So, then studies would ongoing hope - the from what

Dan Goldberger

- All very

Peter Staats

Dan, want Go me do you this? take to ahead.

Dan Goldberger

I've got Peter. it, Yeah,

got until to So, and haven't we wait pathway a file we the as gain the plans. a accelerated road with questions. the said, We've high to specifically good at formulate trial very label yet. we'll agency, the as able would with be but Peter we regulatory But, look relationship to the agency extension publicly be we laid able anything patients, reads post-concussion all out before may more our And experience, with good to be out pathways. some

Sean Kang

Thank see. That's you. helpful. I

Operator

you. Thank

line Our your with Maxim of Anthony with next question is coming Vendetti question. from proceed the Group. Please

Jeremy Pearlman

Jeremy line actually on is this Anthony. Hi, for the

questions. Just two

Dan Goldberger

Jeremy. Hi,

Jeremy Pearlman

trials do now of of the before opportunity commercial the level, hope that you high trials. think indication? what data really you have going the a what I question commercialize but obviously, opportunistic focus? would to be all do you of are off consider you And I know last just sort or the could most next positive about there's more mean, your or have to One, any out piggyback you what anything, do on

Dan Goldberger

So that's great a question.

shouldn't mentioned, of of primary headache. we've say clearance, got coverage I for primary most pretty forms As Peter most broad for rather, headache. forms

now extending into direction GAP-PTH trial us That's post secondary to go. with headaches, traumatic headaches. And the we're an for so obvious so

there you as financed the many work that, or cases disorder. of again, by traumatic and injury on system treatment post-traumatic mild is know, stress Beyond brain two going DARPA in in VA

important of DARPA very recently our use at you also is funded levels at in looking a know, healthcare as opioid disorder, objective which, systems. and government trial We announced a many certainly

commercial to opportunities. think patients, are where have get also expansion, the in terms not largest label I most of So, but those the we only benefit

Jeremy Pearlman

helpful and then one last That's Okay. question.

payer X, try provide or payers? effect know, your code view, more commercial is to how get what the coming the the What side, strategy into April board? approaching them any specifics, On I you're your and details new is with on regional

Dan Goldberger

think insurance We've - mentioned had with so determination now. one remarks. more data. and conversations send we're gotten and others. we've gotten many prepared in benefit first talking us to I reaction pricing that I is surprisingly, the in been touch the Not Yeah, positive We've it about and company

the on so but And not continuing just economics. healthcare to clinical we're add to database performance

our cohort in patient positive from hospital system. where We to and large a we're companies. nicely VA and the Kingdom, United and large even US what the the is which crosswalk growing And is success determinations trying the have covered with VA and database more to free very therapy compelling NHS to is insurance growing the in do of XXX% patients by

decisions to on as never report goes we and as positive it become they we'll making coverage continue as fast So but are like progress available. would we

Jeremy Pearlman

all That's Okay, for thank you. me.

Operator

Instructions] from John [Operator line with is your proceed Vandermosten next coming question. Please question Zacks. with a Our of

John Vandermosten

can a population the to The others bunch maybe that stands to to there's because know, highest valuable. me Perhaps from pay top of that have partnerships Western have potential. the just run Good through one some you there you there revenue afternoon, is characteristics out lowest in you one Europe everyone. you particularly well but able make them that's big and of a there's terms

Dan Goldberger

be a we'll I the very, for they're to of is hard that the the So support actually agree quickly Australia cash us you Europe, handicap the be higher probably user Western how penetrate. can it's largest right Benelux end it's size ultimately. pay now to and wealthy able opportunities relatively and country, - know, as you a market. small productive. pricing, but surprisingly and is probably very Qatar is can with

be to based orders that I'll I trajectory early So on you're relatively data. of able adopters their initial XXXX small, answer will early the half what see be for second better to over and the and XXXX who think small, going are

John Vandermosten

sense And there bigger which between just one and one? Australia is any Canada, of the

Dan Goldberger

Australia. Probably

John Vandermosten

they are take in or similarly then Okay. designed terms duration And all agreements, of pay somewhat these and requirements?

Dan Goldberger

not out in a the maintain And are to are Yeah, sell there at pay. minimum take they're transfer we exclusivity years. They obligations - inventory price. or

John Vandermosten

to highest for is seen some on are a question I've while of there And or quarter, base repeat good one-time kind expect this it or there items Okay. and in there It was margin. stay the that gross a pretty a in we won't should this future? the

Dan Goldberger

Go ahead, Brian.

Brian Posner

Hi, It's Brian. Yeah. John.

John Vandermosten

Brian. Hi,

Brian Posner

Nice to to speak you.

quarter I driving than our other very and item not that there was good revenue one-time think mix. it's wise. revenue It's really really going - to be levels dependent on no our product

So resulted overhead. in labor that absorbed and which was

and definitely favorable. had I and had in can So we margin [ph] two in mix. so metrics revenue as really then, of it's long we gross a product we as about this XX% QX, ballpark those forward stay X,XXX,XXX going a revenue be mean,

John Vandermosten

like you're that. the Okay, fix of leveraging great. partners sounds It Yeah.

Brian Posner

Yes, exactly.

John Vandermosten

Yeah, and year partners, one at versus with you - customers you how do in for pie the or that these do VA most are now. revenue mix DOD and But the VA is looking national right UK the mentioned you looking? last then me important anticipate see DOD? all the that chart distributors How new a the just health two,

Dan Goldberger

question, Great John. Yeah.

So, right the I largest that think and growth in our in Federal as UK of Mandate more takes now, into be channel, will we XXXX channel in that going and And the reimbursement the to low-XXs establish in initiatives we're we can have XXXX, US. the is at addressable and in XXXX we're hold our commercial in work foundational looking grow the Funding MedTech company believe revenue get to mid-teens in continue XX% second We Supply market. opportunity a the to as - our big insurance sequentially. half with the be larger to the component. DOD we reliable doing Schedule XX%, maybe That's sequential VA

John Vandermosten

you for thank Well, great. Okay, taking the questions.

Dan Goldberger

Absolutely.

Operator

you. I'm Thank at this seeing additional not questions any time.

pass for like floor additional I'd back any over closing comments. the to management So to

Dan Goldberger

what greatly lengthily that and patience business Thank stay able a pandemic appreciate for are for We dialed on. to that healthy you, And praying of a all we're and moves and your Have you all relatively support. operator good turned you into update. in evening. this I hope of all

Operator

thank time. and at teleconference. your and gentlemen, lines this does participation your you for today's may We you Ladies conclude this disconnect

electroCore (ECOR) 10 May 212021 Q1 Earnings call transcript