Ryan Zimmerman: Great. Very helpful. Thank you.
Operator: Thank you. Our last question comes from Suraj Kalia with Oppenheimer. Your line is open.
Suraj Kalia: Good morning, Peter, Jay. Can you hear me all right?
Peter Arduini: We can. Good morning.
Suraj Kalia: Pardon the background noise. Gentlemen congrats on the quarter. So I’ll post both my questions upfront. One for Jay and one for Peter. So, Jay I understand and appreciate the commentary about a robust demand and procedure backlogs. When I look at the risk mitigation, how should we think about the various buffers that GE has vis-à-vis all the geopolitical risks right now? That’s the question for you Jay. And Peter forgive me maybe I misheard it. I thought I heard you say you are looking to have a strategic collaboration to get into therapeutics in peripheral disease maybe I misheard it was a type 2. And it just piqued my curiosity if now you’re looking at potentially entering into some therapeutic segments. Gentlemen, congrats again and thanks for taking my questions.
Peter Arduini: Yes, Suraj, thanks for your question. Maybe I’ll take the first one and then Jay can talk a little bit about some of the broader demand procedures now we’re looking at it. What I mentioned was actually for peripheral use of Ultrasound for therapy. So, I didn’t mention actually going into other therapies. But we actually have had some research work that’s been going on for some time on the use of peripheral ultrasound to actually help out with stimulation of different nerves, focus on the liver to actually be able to change the course of certain disease states. And so, this is very early, but it’s collaboration we announced with Novo Nordisk, that will work together. And so this is what folks would categorize as bioelectric medicine and again peripheral focused ultrasound.
If you’re interested in it, there’s actually been some articles most recently in 2021, there was a great article in Nature about how the products can actually help modulate inflammation stimulate the liver. But this is potentially an opportunity for a way of a non-pharmacological approach to actually help change disease courses, as well as working in conjunction with pharmacological solutions. So this is obviously a longer-term investment. But it’s something actually that is actually funded in the near term with our partner and we’ll work jointly on this. But this is a pretty exciting opportunity to leverage what we know and partner up with the world-class pharmaceutical company. Jay?
Jay Saccaro: Yes, sure. As it relates to your first question, it’s interesting, because if you think about 2023, we’ve had a highly volatile macroeconomic backdrop. And yet the sales for our company have been quite resilient and ahead of our original expectations, we originally expected 5% to 7%. We now expect 6% to 8%, again confronted with a very volatile macro backdrop that we’ve discussed today and we’ve discussed on previous calls. What it really comes down to is a few things that buffer us. Number one, is the backlog that we’ve discussed. At the end of the day, when customers put in orders they typically have a very acute need that they would like satisfied with products that we have. And so that backlog — that $18-plus billion backlog has served us incredibly well.
The second thing that we have in place is the fact that we have nearly half of our business or so is recurring revenue. And so things like PDx, things like our Service business, these are all things that we can count on reliably, again even despite a volatile macro backdrop. The final thing that I would say is, as we have this lean operating model in place, it’s really about efficiency and managing costs effectively, such that you have a third layer of protection against a volatile macro situation. So, overall I think the business has fared quite well and the setup is good for 2024 as we look forward. I will leave it at that and maybe turn it over to Pete for some final comments.
Peter Arduini: Great, Jay. So look well thanks everyone for joining us today. It’s been 10 months in spend. It’s amazing how fast time flies. We’re successfully worked through a number of the macro challenges some we just talked about and our teams really delivered well on its commitments. We’re looking forward to closing out the year and maintaining strong momentum as we approach 2024. We hope to see many of you and some of you if not soon at the Radiological Society of North America in Chicago, one of our biggest congresses at the end of November or one at the upcoming investor meetings we’ll participate in. That ends the call. Thank you very much.
Operator: Thank you for your participation. You may now disconnect. Everyone have a great day.