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Natus Medical Inc. Q1 2008 Earnings Call Transcript

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2008-05-18 12:27:08.0

Tags: Natus Medical Inc.

Question-and-Answer Session

Operator

(Operator instructions) And your first question comes from Eli Kammerman of Cowen and Company. Please proceed, sir.

Eli Kammerman Cowen & Co.

Yes. Thank you and good morning. I've got a couple of questions on neurology, to start. Firstly, you told us what the year-over-year changes were for neurology for devices separately from disposables, but what was overall neurology, up or down year-over-year?

Jim Hawkins

Steve, I'm not sure if we have that number handy.

Steve Murphy

The disposable is a smaller portion of the total. So, Eli, it's not going to change the absolute difference by much. So, I'd guess it's going to be somewhere between 6% and 7%.

Eli Kammerman Cowen & Co.

Okay. And can you tell us whether or not Xltek products grew or declined in the quarter?

Jim Hawkins

They grew. But we don't really break out, Eli, dollars for each of our subsidiaries. It'd just be too burdensome.

Eli Kammerman Cowen & Co.

Understood.

Jim Hawkins

But with the first quarter of having Xltek, we do want to communicate that it went very well for us and it was very, very good growth.

Eli Kammerman Cowen & Co.

Okay. That sounds good. Next question is how many units of Cool-Cap do you think you can sell this year?

Jim Hawkins

You know, Eli, we don't break out our forecasts by units. I think we had said in our plan we've communicated previously, I want to say that we had 30 or 40 units, I want to say, in our plan, something like that, at the beginning of the year. But we don't update quarter-by-quarter.

Eli Kammerman Cowen & Co.

All right. And next –

Jim Hawkins

Last question, Eli, because we have a lot of people wanting to ask questions.

Eli Kammerman Cowen & Co.

Thank you for taking those.

Operator

And your next question comes from Daniel Owczarski from Avondale Partners. Please proceed.

Daniel Owczarski Avondale Partners

Thanks. Hi, Jim. Hi, Steve. Are you seeing any kind of slowdown in the hospital purchasing of equipment? Are there CapEx budgets being tightened or any kind of stretching out of the purchasing decisions going on here?

Jim Hawkins

Dan, we have not experienced any such slowdown or even a hint of it in our businesses. That's what we think is very unique about our product niches. We are not big dollar equipment. We are small niches that have a standard of care in many, many cases that are just required and accepted. Yes, we just haven't seen it.

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