AXGN - Earnings call transcript Q2 2020

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Operator

Welcome to AxoGen Incorporated Second Quarter 2020 Conference Call. At this time all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation.

As a reminder, this conference is being recorded. I would now like to turn the conference over to your host, Pete Mariani, AxoGen’s Chief Financial Officer. Mr. begin, Please Mariani.

Pete Mariani

and Devin, everyone. Thank good you, afternoon,

then quarter our path performance a me Chief our following study of Executive today's section being call in Investors an is second of our end our is the ongoing by will Today's enrollment with with on our will which the call recent Chairman, AxoGen's with performance live recent quarter the provide hour BLA our in submission. available be of is second review along Zaderej, Oberland of markets, section of www.axogeninc.com. Karen the overview an an a the at recently the Officer broadcast call recovery RECON a I replay deal analysis to webcast, website today’s update the Joining will Investors on summary begin live AxoGen via announced call, company’s on and a of and of website. debt followed available an Capital. Karen the President. of announcement and Within

cause and/or I'd the to sales business, strategies, statements Karen. resources over limitation, performance. to COVID-XX get our impact company we and which the related product or make I'd expected the forward-looking Before review to statements that results call turn XX-Q, identify remind past that, encourage marketing including, These events like future actual acquisition the to may SEC forward-looking of limitation, or specific with materially statements. factors may differ We those future you the will statements and development, regarding include, events. projections forms without and regulatory without call, XX-K conference company's like described during And Karen? this with factors from capital these company's you potential, and to started, in on the to operating environment, filings that the product regarding the

Karen Zaderej

everyone. afternoon, good and Pete, you, Thank

for versus revenue quarter period. representing XX% million, decline total Our a year prior the the $XX.X was

revenue, While we reopen COVID-XX had total the across improvement their on as customers steady quarter saw schedules. surgical a material negative impact our

quarter that on Our markets we priority in hospitals our reflects that have surgeons the anticipated the of was repair than and well the as in with AxoGen as the placed second stronger stages nerve early recovery. products performance recovery

reflects team trends regionally Our customers varied to AxoGen work and difficult recovery of patients this entire also in intensity the in the creativity of support on markets. the our hard The their and environment. local COVID-XX and recovery based

we procedures. repair resumed, completion surges in the But more a cases with most backlog their surges return for surgical practice of nerve end levels while the catch reduction on confirmed all disruption followed surgeons of were believe by by already had the nearly that that they experienced experienced were they and many current due others of would procedures up their COVID-XX. summer. regional to conducted significant believed As short-term in Surgeon to procedures surgeons caught up interviews a elective that normalized deferred we territory. reflecting deferred surgeries These the recovery typically

by hospitals in to giving procedures execution the recovery the of as priority Overall, recovery our The and surgical application, emerging as are surgeons the our during addition breasts regional nerve quarter. products our team and OMS leading nerve also well our in and variations, we're business with recovery. varied business In trauma core of application by the to recovery. and of our repair with our AxoGen repair encouraged began later pain treatment the

on volumes. of as by continue trauma negatively currently will COVID-XX the most procedure of and to However, likely and expect strategically impact focus may of sales execution, sales We, below third we levels. remain to we the us our the for required completed on representatives of year prior driving procedures although measured be customers, COVID-XX adjust surgical existing area and the therefore, outlook our continue to quarter trauma fourth remainder penetration our approach. our to end incidents extremity year the in with summer and deferred surgeon revenue remain In regional deeper the

necessary. restricted April requested enter and During only healthcare sales broadly facilities facilities we vendor directed when our access team to and

Our case and virtually, our to support sales effective representatives remotely. customers remained in provide worked frequent together contact they with

of On training this local, benefits X, team, regional tracing. skills team our ability healthcare our the national and begin We for to to their sales sales also support team extensive May keeping improve product sales guidelines use re-entering positively we to released believe provided our and and weeks contact provide time customers. following restricted which engaged of six we and facilities, the using

have with to quarter learned ability XXX remotely direct flowing believe our access consistency that facilities representatives three added has health customers territories our to improved, and this an important we capability effectively to and to appreciated. While the support of ended team be We a minimized in our sales expansion the have customers our care With increase quarter. disruption sales an the early second continues has embraced, we year, change support stabilize to provide representatives, our customers. and headcount sales of of our our

geographies by supplemented generally representatives. quarter. less covered those impacted by channel cover COVID-XX Our direct the year-over-year better sales XX who was independent geographies sales that performance agencies, These delivered by during are than our direct sales

accounts down X% second of from year XXX total the approximately ago quarter, result, in We a one versus and XX% channel indirect the approximately second represented an to an in our the X% XXX quarter. quarter, of compared quarter. the first XX% the first in increase revenue As had active

average in on April quarter. orders had for the always number a active as material and and significant for in of May of average reported our impact have accounts an early We number decrease the from accounts the quarter the the second

The ending three have despite with for July large accounts represent surgeons of XX, revenue. were more pleased QX hospitals our XX% the the our We each AxoGen active challenges that a our and XXX. and of increase increased average approximately to month, of of consistent patients our has majority of active to months top accounts top continue COVID-XX. for our Our use average such continue XX% continued accounts active and their order is to products that

Our remains and the sales team for of focused certain the of well quarter customers strategy exited prepared half on with deeper year. current our second the second going

products on to digital digital long-term team enhanced access expanded travel despite efforts sales the to marketing of to awareness continue with and to our capability focus remains surgeons more where in-person limited. scientific June, an surgeons We of allowing fully sales us efforts engage restrictions reduced our on we with building surgeons and AxoGen capabilities, supplement to access conferences. hospitals In our market help These our and provide engage to electronically. reps surgeon

treatment new and and algorithm introduce previously fellows our is for focus educating and second current an we our Our neuroma. developed Nerve results surgeon in launched an of products repair. canceled surgeon We're opened of also continuing in the microsurgery our extremity nerve surrounding discussed interactive environment to of passionate application repair. the the who our In we've to six upper field part addition by the surgeon led expert from pain we training fellows to separate efforts the of protect all nerve for several the to series programs nerve symptomatic led and the repair only to launched by Axoguard our about solutions the of faculty. nerve and early updated in-person of trauma commitment March, XXXX. hand portfolio symptomatic on of invitation surgeon led on February an of our surgeons, the extremity we virtual important In or and advocates pleased a Cap program are customers. an portfolio of with develop expanding nerve reduce remainder XXXX neuromas. education Cap program our plans the Similarly, launched peripheral educate in We the designed quarter. continued painful development focused launching surgical since to The surgeon as are webinar program education second experts surgeons advancing we Nerve into customers. and to are is half We schedule early series expand an career end And programs. June, our

its addition We of body nerve and we protections supporting Cap, our now of targeted enrollment Increasing RECON study supported adoption nerve by termination. full connection, nerve expanding announced With phase license is July. for have subjects our pivotal Nerve the products product study a reached our had and XXX milestone, reach RECON BLA, we a of or the XXX application, of tissue section We're our Graft will portfolio in to section despite transition dedication and environment our surgeon biologic data. be to clinical of protocol well large commitment an continues clinical to portfolio clinical Avance with The three appreciate additional biologics month X for clinical recently study clinical which important XXX a pleased and requires RECON follow-up studies, participating study product. from a allowance window. teams, a challenging Nerve product professionals. a visit as our one-year the internal of for team our as assessment of this that

follow-up the quarter with the expanded the of With anticipate visits XXXX. appropriate preliminary support the with visit second in our health home in XXXX. efforts study by providing XXXX monitor to follow-up subject We're professional minimize the subject program expect COVID-XX disruption. working trial expected the allow We've later of trained visit implementing report research enrolled potential our is of by environment of We file final increased clinic than completion last of be outside in any XXXX, visits and an October centers windows and the a data to closely complete crisis conducted and BLA follow-up July precautions. no healthcare of safety a to to during to to subject

from enrollment a by small manuscript. meaningful research reported REPOSE is the underway as centers phase report we'll of subject last of support enrollment impact to follow-up subjects to life subjects. reopened six RECON and X,XXX improvement study, study Enrollment injuries is the REPOSE Registry found skills. addition of comparative at to completed management analysis Cap in neurectomy and to of a study We phase continue pilot randomized we in this and Axoguard months, the data We've now the remain the REPOSE encouraged has REPOSE standard the at of Preliminary in our clinical outcomes year. of Nerve study the the compared the use half and in painful completion a study, to ongoing. presented nerve data RANGER of neuroma prospective, to of the over is our conferences second quality controlled expect phase pilot of pilot Well, enrolled, be study. the visit from positive date, In our as and pain the that published study is evaluating the procedure. study

As COVID-XX call XXXX, we noted centers. remainder we've our May, Sensation-NOW given our for in our restrictions related in of the enrollment study clinical registry in the of paused

are pleased body the technique. neurotization We subjects of our with this Similarly, around PAIN the this study. paused in registry and and will breast enrollment believe our of Registry create ASSIST we've enrollment evidence a RETHINK important significant in Avive XXX

creatively the utility of monitor continue adapt the and front our on oxygen COVID these market, recovery of we growth customers at We our positioned of extremity centers excited in adjust evidence remain performance opportunity portfolio. prioritize skills strategy related these challenges believe repair deeper needs. we based and to nerve trauma clinical to of and and potential ongoing restart continued programs learned drive encouraged from our we're Despite the impactful meaningful focused we're by clinical surgeon of on driving the as We study emerged and our committed team with and pandemic. the the to activities challenges. to as with to the our continue business existing We remain customers. providing to our and on in advance as ever We've new penetration us, supporting we'll well

financial review Now Pete? I’ll to over turn call Pete of highlights. for a the

Pete Mariani

Karen. Thanks

XX% $XX.X declined to Second revenue million. quarter

anticipate expense prior in the net partially the result declined was offset XX.X% in XX% as Gross the of This that year volume, $XX.X restart mix. was prior a reduction education canceling second normalize for programs. revenue in canceled to to increased operating marketing a variance compensation, in-person decrease was expenses negatively prior in $X.X prior X% a year. and compared the $XX.X in a processing was million and in commissions, compared associated programs and and sales return processing $XX.X $XX.X second will million and benefit expenses, $X.X Gross after operating second quarter for declined Total the in in expense million million $X.X as pricing quarter of inventory recover. prior compensation result We Sales by product the reduce to quarter. during and gradual education from XX% to tissue of QX in margins stock the to the in second travel quarter in in increases and gross included the margin decrease production quarter restrictions of second ramp levels costs period third levels reserves. million impacted year. expenses to year. changes to million, lower QX compared year. to Total of $XX.X expenses with in due XX.X% million our travel to Our declined the million was margin that our compared suspension quarter the the the result of surgeon June, to a Gross compared began primarily to $XX.X including the for tissue continuing in in profit our of quarter unit non-cash XX% million a lower and the quarter

to a million expense approximately Product decreased the Research and Graft of prior million, three the and to compared development expenses including sales second research. total for in As decreased XX% quarter XX% represented include quarter, in X% compared support prior revenue, months XX, spending XXXX, compared Nerve ended year. to total the the $X.X the the previous development, BLA the of expenses R&D percentage to second product in and June and for XX% marketing in Research development clinical $X.X year. to XX% the of year. costs development and for as Avance

represented While prior XXXX, in the expenses in XX% year. compared the to clinical other the second XX% quarter of

share litigation stock and charges, impact net share as loss per related and per in $X.X adjusted of compared charges, $X.XX the per compensation and an decreased in prior and research litigation revenue the to or and to prior of $X.X million QX in XX% percent or the year, net Net million to As per was to compared were or excludes revenue to million Adjusted compared of was expenses excluding the quarter, revenues, $X.X General XX.X% this the quarter million adjusted and XX% was year. $X.XX litigation related of the prior $X.XX impact QX the prior total compensation, expenses as year. of stock second reduction primarily The lower year. as travel $X.X $X.X and compared $X.X share prior compensation in million in was year. the the compared in $X.XX loss a fees, million per loss development to the of expenses. in $X professional non-cash administrative in loss to as EBITDA million also related year second quarter loss EBITDA XX.X% the well and of or XX% million $X.X share in in well in decrease and share which

the Turning facility and anticipate suspension facility and announced June XX interest-only $XX balance XX, seven-year, with Tampa on and restarting the net to debt processing we and million investments agreement in new in was processing in of our June equivalents receipt in March new prior a net cash, balance up sheet, construction completing our cash which the to change of Tampa. included million of third of Dayton The total compared million $X.X to XXXX. early cash $X.X center center costs offset balance office biologic close. construction of in $XXX.X quarter. quarter reflects Capital, our Capital a Oberland of quarter financing drawn million the to of We biologic the million $X.X to proceeds operating incurred in related XXXX. million million expenditures at burn $X by expenditures for partially in our $XX.X April and capital totaling lab during million related $XX $XX our provides to the financing with On Dayton million new net on commitments,

company's achieving of can second the be revenue second consecutive at drawn upon be of to $XX this million quarters $XX million. also two tranche the company The least at at any by time And option can tranche Oberland. with put

uncertain third additional on XX, Under facility long-term expenses tranche option expires diluting provides XXXX. greater the a to closing and the X% can will initiative expenditures for year provision certain per the XX, draw quarters continued and company towards us of in X% ability facilities. and million and company's announced XX% compensation executive by provides to as put April royalty of amounts. third both years drawn payment plus environment by million our completion believe reduce the the leading begin on terms consecutive December balance to mitigation LIBOR growth through third second on at cost our exempt we interest of a tranche additional The Tampa achieving can We fees through reduction designed of response the pandemic. with full manageable included of profitability. to to liquidity and the cannot of capital revenue second annual this support rate initiative option $XX support loan believe On The on calculated the we more approximately financing customers caused the and the to we Dayton and quarterly reduced the Interest employees revenue up the $XX an be an drive XX, the a us the this seven defer royalty flexible debt calculated by September $XX in payment the efficient structure, our salary of outstanding tranche is the results COVID-XX recovery of sufficient on compensation allow sheet the spending of at a rate. or structure two and X.X% and XXXX. agreement, patients only and Oberland to million. shareholders order and and oxygen. in extension terms of and without to X.X%. that covenant preserved support on or other cash strengthen upon the XX% of run And flip our This board interest XX%. for all of anticipated reduction to This the revenue ongoing initiative cash by agreement The

for pay a although restored continued of with board levels time employees and most have August, We for officers pay the as the being. our have cut XX%

Additionally, year. able a Ohio to we for to were $XX defer Dayton, complete facility approximately million to up our

While our our we continues the we markets team during the in pace path business trends of execution by the that observed be recovery second encouraged our the uncertain, and of to are and quarter.

our We organization with back that downturn, like related call pandemic cost us will Karen. this sheet, balance to over commercial believed continued from to the that, of I'd also and stronger, mitigation profitability. a and path our And of execution hand lot strength the a initiatives allow to to our emerge leaner

Karen Zaderej

products a high up Devin? regional the ranks our our positioned indicates surgeon the point, Thank I'd believe pandemic focus We're by clinical provide patients, on encouraged of team proposition surges renewed reopened to opportunity market. additional cases, At enter supported continue questions, trauma among the we to core you, benefit the Pete. for the surgeons, the our this surgical as pace that nerve that well and repair repair value hospitals. the open of to priorities during evidence recovery the our and performance has with and experienced of like line half develop We second has nerve we of as products, believe and and year and Axogen that the commercial

Operator

conducting line Our will we time, question-and-answer question. this Jefferies. Denhoy a of session. Instructions] your the Raj question comes with proceed first At with [Operator be from Please

Raj Denhoy

Hi, good afternoon.

Karen Zaderej

Good Raj. afternoon,

Pete Mariani

Raj. Hi,

Raj Denhoy

I encouraging negative XX%. the to lines, it start the maybe wonder I see if quarter was after only I think down, could with XX% the pretty for revenue

I talked April. think you in about

but – to quarters And you're second of very demand. it that, couple that recovered couple I being to of opposed in imply underlying procedures pointing mostly recovery of the second guess, does months so still, as the strong quarter,

So right at is what what back of underlying you I'm levels about below And half demand the talk trying now? is the did XXXX year. it still that in being to get

maybe think where And you just that we so in are metric. could of you us on ground terms

Karen Zaderej

in it surgeons that period, from trauma recovery able was procedures real the both both, well happens opened got to so quarter was current the time period as were in day as surgical ORs that Yes, into that deferred time. do over day March to rolled QX just the time up, the as

at saw of And those different times of of so various a demand. different we time driving the saw course We opened or as spike a up. third periods as recovery. and those both definitely the occurring regions regions And had happened

COVID July As some the the parts either imagine, as some in seen recover recovered some of other the and starts that you of of balanced of June again. the in or late can May, pullback Northeast regions to into up started even by country we've

actually an were from overall, down much incidents trauma is to deferred that completed during many depressed. we feel believe impact of incident overall that not from believe still as procedures that shutdown, second quarter. was them somewhat the of the full somewhat, a the in us overall it We is as So the

big priority those the demand that And a given see from into we see OR, procedures, we but repair, stabilize. the deferred March, procedures but so the that me really they So over continuing deferred didn't on towards we quickly summer, into do surge second are the nerve that that moved or surgeons into to up procedures still underlying pretty placed happen won't rolled end we'll of March procedures excuse quarter. There some again, those think got wrapped get

Raj Denhoy

Yes, And I and level have down also pretty not to giving I XX? about appreciate lower but you limited that is the I ability you're understand operating we at appreciate under What this talking trying speak you're point? to guidance July. demand what I'm Is are of down level I information, you at XX%? that guess, it know

comment that So if you know to want don't well. I as on

Karen Zaderej

of moved third quarter Well, in I saw on encouraged I'll giving trends a we the tell and hesitation as And in think surgical you and the COVID places just you of still regionally by trauma the that's resurges around procedures to solid I that. happen it is as affect we of those the We're rate. repair different good depression into going my know don't and incidents July. what's because going to trauma

And a be so I demand certainly just, like for strong to it's on number getting you remain the based fair guidance feel done. and are don't give really, underlying I the I COVID. because to The it's repairs going of surgeons those products resurgence nerve prioritizing

Raj Denhoy

Understood.

once even you next be? playing adds out separate and what even over training do a encouraged represent back I I'm you out hospital. playing you and on see get support about how And you guess this the term? transition years? kind of can guess to you savings how were or pretty case some this you longer might into seeing you I what somebody is is virtual do – topic, asking And you more see cost You something think could this efforts. by COVID digital Does potential your on of I mean, couple the were permanent for

Karen Zaderej

our some new and skillsets we've pretty nimble. I'm these think that learned, and I We've really some and new additions are Yes, capabilities. been capabilities, learned skills to optimistic permanent build have we that

the the think for marketing and beneficial those education we us. really developed, long virtual developed tools so digital we've to are in keep to the about And work some that of remote tool term. we coverage We think that going case they the think we're belt our when we've

Raj Denhoy

really I mean, things could is selling reduction do you you a sense, that were guess, those see that, where the doing costs pre-COVID? for are you in from instance I there potential replace were in But or those additive your permanent

Karen Zaderej

Yes, commercialization they contribute that I and productivity. rep sales to productivity think overall

think our added they are and they're more tools I productivity efficient. that make us So overall improve

Raj Denhoy

you. Okay, understood. Thank

Karen Zaderej

Thanks Raj.

Operator

JMP David Securities. with proceed line from question. question Our Please with of your next the comes Turkaly

Dan Stauder

this hi, is on Stauder for going? it Dan Dave. Yes, is actually How

Karen Zaderej

Hi, Dan.

Pete Mariani

Hi, Dan.

Dan Stauder

Great.

to Raj's guess I So going just back question.

consist sales as of trauma You much of cases you or give mainly on from you any great? mentioned that any go us from that? can procedures, Could as it contributed How be current amount into demand. color well Was some recoup that both? would deferred more detail both

Karen Zaderej

delayed by majority deferred far Well, rolled March. that was were cases trauma. in The the what in is day-to-day

the we a drop start of in So part procedure March. early to saw

of well in various materially low regions as injury rolled patient's and get in were the of we've about traumatic but willingness points, XX%. centers peak at incidents we repaired. where come as And associated and trauma we to highly lockdowns has in either with and the that. were down back deferred from we surgery trauma some But come in affected COVID those to again, up both activities that believe into effected estimated hospitals or was obviously from of it's overall by procedures, come activity by the that April, up It the

Dan Stauder

activities that's off, just construction June here order And do the to from Or half able follow regions Great. as to home waned the is reopened, well? Thanks. state then that, headwind were in probably as think you other pretty resume? and different was up really, how immaterial much as back it that on for really

Karen Zaderej

the of the places didn't come counterbalanced variations. definitely was saw happening period, July. tell and time still Texas completed. ability come in But we We Northeast, really given across to see COVID that there. happen the Southern willingness regional it's whether trauma us high by which of into early is incidence to June and in until to people's country, it's South the tough impacts at up that's incidence point, the June, California in or for this Florida or It It of get of surgery late waned much whether the opening but

Dan Stauder

you Thank Great. guys.

Operator

proceed comes your Please the question Richard with question. next of from Leerink. with SVB Our line Newitter

Jamie Morgan

Hi, Jamie for this Rich. on is

Karen Zaderej

Jamie. Hi,

Pete Mariani

Jamie. Hey

Jamie Morgan

guys. Hi

then year-over-year something what it that just trends with kind you're or is that to that the wanted would that tranche help a table second us could XQ, come just and into guess that's on, not be that one at be it agreement think if could hit the XQ in that you stability there could think, be, and you comment is kind a and the possibility So seeing. back about to look see potential overlay potential what there this to reasonable be just to you're as I financing that's of could resurgence the new on way thinking point. on based something Or think of you what you I for potentially growth? Could

Karen Zaderej

our again, that Oberland crystal million, be – year – The be create below think, will above COVID would would still the right sorry, remain and we trying that We're on where we're impact that is not seeing which of around already to next prior or is would repair – unreasonable ball estimating is the tranche that. we QX, the million to $XX own at QX million and about our this nerve and $XX above be $XX cases aspirational.

Jamie Morgan

Got it.

all? And Okay. can – we've the to kind just guys potential impact you ASCs. potentially on COVID – the on this business? trend your this of And comment from think capitalize past, seems about just accelerating potentially other or how then And you to guys are at guys doing in we've lot I or companies, a could of when hearing what to this how believe be are talked you but you been Thanks.

Karen Zaderej

for before, an a in both with general favorable [indiscernible] and about there or implants, surgery surgery outpatient Medicare allograft. in repair was the rates talked centers nerve for and particular reimbursement rate we've connector repair or was as a either that in change ambulatory nerve Well, Sure.

majority benefit in And patients. Medicare of nerve for so, The the not a see we that as is repair long-term. actually

in with repair Having payers as they commercial have that'll that roll their through hospital where that would thing in And that their a There's surgery as those we roll not emphasis think system. distraction take have we been locations see said We're of this really shift material as a one I again – in, get centers to nerve in adjust that put So certainly priority. were seen to commercial point. contracts quarter wanted to this payers. interest of but they may as did interesting at with through it'll we've seeing OR. couple that a surgeons out the the patients that, thing, say locked good lower years

in hospitals. was felt what shift moving completing where elective in reasonable So that right to they very and cases in option patients. we was patients still was those for a it to down Texas, example, the saw the as or rapid where surgeons centers they shut their for and surgery – procedures of happened, And ambulatory centers places, resurgence outpatient

well bodes do avenue we future leveraging for as as we think that the so, schedules And adjusted well. see the that payment them are and

Pete Mariani

Devin? Okay,

Operator

line Our final question the with of question. Folkes Fitzgerald. Brandon comes from with Cantor Proceed your

Brandon Folkes

out the Maybe Hi. on business you my [Technical during patients you can elaborate on that shifts could the the firstly, happened of will taking to that little tailwinds you Difficulty]. do [Technical when have congratulations come Difficulty] have been COVID Thanks of during just we funnel the the bit again positive seeing success your quarter you. be Thank questions you think quarter. elaborate on for and just a post some

Karen Zaderej

the make in got want your sure because it a broke question I little Brandon, I part first Yes, bit. up just to

that us, part didn't first second was positive but shifts. the hear I The tailwind part. for That'll be I heard

Brandon Folkes

you're you just July? funnel the elaborate on of in seeing Can patients

Karen Zaderej

have who all have pleased back Well, the have were Okay. with been that products. almost users active what surgeons frankly using AxoGen we really seen to returned and is

ramped some – up don't or we back practices there up, are users respect have an There's in leaky the to of continue their there they so, to higher and same surgical it that users an cases bucket It as much And autograft. procedure ramped or allograft Avance be in even at a because rate a do environment to in using shorter time. in less talk is COVID we a benefits, compared benefits about rates as are exposure.

care in wide can surgery versus cases, providing depending are for patient. anesthesia. patient, some those the surgery You the good hospital on requiring the benefits of for workers do all awake And while healthy

there real repair an environment. we think So Avance or repair an in this are in doing benefits allograft

active our funnel to back particularly overall in to your our our to part, users also had of In first use go centers. start terms products, new we

deeper have go already in places So our have is user footprint We with reps – that and mostly and that's developing focused want surgeon their where to our partners. we in user. strong a we that add

centers, in are our some centers of but that still we'll so new see emphasis we're adding in of deeper the that active pipeline, in. some our the going We majority is already

so developing a to we feel interest with surgeons that and saw up from set pipeline of new the with program. really programs the outstanding we that And certainly education engagement that we it. that wanting in surgeons part is educational and actually that good and virtual strong be remain And

and have do of about also autograph. compared to awake before digital Nerve of there effective staff going reducing as the I are being is learned in continue long-term, those that Graft we allowing to able sales in the benefits – safety and productivity benefits are terms that that the of and our to wide environment we for some forward existing cases of the in hospital We pay see time the us team – our using an benefits surgery. It some expand to to going help grow the are Avance really the a us of There from In because they here, remote think to that mentioned cost manner. talked coverage. benefits terms of the benefits we continue that will marketing, OR to

Brandon Folkes

helpful. very much. very you Thank was That

Karen Zaderej

Great. Thank you.

Operator

Zaderej would queue, the call are over in closing back for like left turn no Karen further I to questions to any There the remarks.

Karen Zaderej

XX thank we're the to conferences virtual want Canaccord of today's Fitzgerald you. upcoming for look attending, Genuity many I you Healthcare through including to September XX call. Growth Stanley with joining Devin. everyone us the Thank the speaking at XX, through Healthcare you, Global Cantor through Thank and on Conference, the forward Conference, XX Conference, XX. XX August Morgan the Global the September the We

Operator

today's teleconference. concludes This

have disconnect this time. for You a participation lines your day. you your may Thank wonderful at and now

AxoGen (AXGN) 5 Aug 202020 Q2 Earnings call transcript