There are some projects out there, but this is — it’s not an easy task to make a technology that delivers all the aspects of the light adjustable lens, and it remains to be seen whether and when somebody is going to be able to do that. And then — even when somebody enters if they do, they’ll be entering at a point when we’ll already have introduced a whole slew of improvements to the technology in response to market requirements. So, I think it’s going to be a tough road for somebody to follow.
Craig Bijou: Got it. That’s helpful. Thanks, Ron. And maybe a quick follow-up for Shelley. On the new LDD and I guess it’s part of longer-term peak margins. But I guess my question is about how should we think about where you can bring peak gross margin. And how long does it take you to get to that level?
Shelley Thunen : So, I think you’re asking not specifically about the reconfigured LDD — or are you talking about overall margins in the long run for the company?
Craig Bijou: Yes, more overall margins, Shelly, I know you have been reluctant to provide some details. So, if you’re willing to give detail, I’d love to hear it, but just overall margins for the company.
Shelley Thunen : Yes. And so, with the reconfigured LDD, and I think I’ve said this before, we expect to be able to stabilize that margin in the 20% to 30% range, and we’ve been lower than that and hopefully, more towards the high end as we — because we’ve got good volume in that product as well. Overall, really, if we think out long term, there’s a big market for LDD sales, but typical of razor, razor blade companies, in the long run, we would expect probably 90% of our revenue to come from the LAL, and that is very price stable, has been so far because of the value it offers. And I would expect long range will be in the mid-80% gross margin level, maybe even as high as 90%, but that remains to be seen.
Operator: [Operator Instructions]. Our next question comes from David Saxon of Needham & Co. Please proceed with your question.
David Saxon : Yes. Hi, Ron. Hi, Shelley. Thanks for taking my question. Congrats on! the quarter. Maybe to follow-up to one of Craig’s questions. It’s been two years since you’ve been public. You’ve been a little further along in the launch. So, I wanted to ask, are you seeing — hearing the same areas of pushback from prospective docs as you were a few years ago? Or has the awareness and interest been established? And it’s just more of a question of getting out and engaging with the docs and placing LDDs — and also, any color on kind of how the sales cycle has changed?
Ron Kurtz : Yes. Thank you, David. I think the same general interactions are going on. I think we have obviously, a larger and more experienced commercial team, and we have more experience that we can point to and that we can refer new practices or practices looking at our technology too so that they can get information not only from us, but from other customers that might be more like them. So, for example, we’re — unlike other intraocular lenses, we have a piece of capital equipment. And that obviously has a cost to it. But over the last several years, we’ve established that the ROI for that piece of capital is pretty quick. Six months to nine months on average and can be quite faster. And so that makes new practices coming on board more comfortable but they still need to go through their own financial analysis.
And so, it’s both Shelly and I have been in similar business models before and I would say it never gets easy. But we’ve seen — I think we have more answers for potential customers.
