Masimo Corporation Q3 2009 Earnings Call Transcript

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2009-11-03 17:57:08.0

Tags: Masimo, U.S. Bancorp Piper Jaffray Inc., Call Transcript, Earnings, Sales Strategy, Sales Force Management, Healthcare, Sales, Seeking Alpha

Question-and-Answer Session

Operator

(Operator Instructions). And your first question comes from Bill Quirk with Piper Jaffray.

Bill Quirk - Piper Jaffray

Thanks good afternoon guys.

Joe Kiani

Hi Bill.

Mark de Raad

Hi Bill.

Bill Quirk - Piper Jaffray

First off, could we get a hemoglobin account update? Last quarter I think I recall you gave us both the current account numbers as well as indicated that there were approximately 500 accounts that had requested a proposal, any update on either one of those metrics guys?

Joe Kiani

Yes, we will Bill. But I think we have gotten you guys just some granularity that we are regretting now. Don’t forget, we have a business to run and competitors to potentially deal with. But I will one more time give you an update, and I hope may be in the future and we can just look at the overall growth of Rainbow and not get into these fine details.

But, to answer your question there are now 145 hospitals with SpHb and this is up from 68 worldwide hospitals that we had end of Q2. And the 500 float activity I mentioned last quarter has now grown quite strongly and this is the last time I have to give it I will let you about that it’s about 800 now.

Bill Quirk - Piper Jaffray

Outstanding. Second question from me is, if we think about your comments Joe around expecting 4Q to be up sequentially, because obviously you didn’t update your formal guidance, should we read the no update on guidance to essentially mean that you are reiterating the targets that you gave us during the second quarter conference call?

Joe Kiani

Yes, that’s correct. And if things continue to be in the way we think it will probably towards the higher end of the guidance.

Bill Quirk - Piper Jaffray

Okay. Very good. And then, if I can just sneak one last one in here, thinking about the Pronto 7 introduction, can you just give us an update how much have you built out on that sales force now, how much more should we expect and obviously which we would be thinking about in terms of the SG&A impact. Thank you.

Joe Kiani

Sure. We have built a sales force close to 20 people for the physician’s offices, and right now they are mostly doing training and in the hospital environment and we hope to turn our attention to the physician’s offices fully beginning of next year. As far as guidance on revenues and earnings, we’ll provide that at the end of this fiscal year next year.

 

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