RxSight, Inc. (NASDAQ:RXST) Q4 2022 Earnings Call Transcript

Shelley Thunen: Yes, why don’t we start with your second question first, Ryan. And no, we don’t €“ we expect pricing to be consistent with what we saw in 2022. It’s kind of stayed between $1,000 to $2,000 quarter-to-quarter about the same.

Ron Kurtz: And then going back to your first question, Ryan, about is there any difference in our more recent accounts versus our earlier ones. And as Shelley mentioned, really we see them all getting to about the same level on average utilization if you look at them as a class. But the newer accounts are getting there more quickly. And that’s likely has to do with both us and them. We’re better. We’ve learned a lot over the last several years in how to bringing customers up faster. And then, these customers that are coming on, they tend not to be the innovators or the early adopters. They’re more in the early majority range. And so they’re more focused on making sure that they get the economic value as quickly as possible from the purchase of the LDD.

So there’s still a lot of variability in terms of the practice types that are coming on. Again, we have very large practices that have joined us recently as well as practices that have not done a lot of premium in the past. So it’s still quite a lot of variation.

Ryan Zimmerman: Thank you.

Operator: Thank you. One moment while we prepare for the next question. Our next question is coming from David Saxon of Needham. Your line is open.

David Saxon: Yes. Hi. Good afternoon, Ron and Shelley. Thanks for taking my questions and congrats on the quarter. Maybe to start on the sales force, I think were Shelley, you talked about how reps are continue to mature and the business, know the sales cycle. I was wondering if you could talk about where productivity is, maybe what inning we’re at? And then, where productivity can go over the next couple years?

Shelley Thunen: I sometime struggle with the productivity question as you know, right. Overall, because productivity by salesperson really depends on their region and what we expect of them, right. While we try and make it perfect and give everybody about the same number of potential. It can vary person by person. And I also don’t think about it as a max. I think about it as are we getting the right customers and do we continue to grow the number of LDD sales? And that’s more of a metric we look at. And then the other metric we have is how productive those accounts get. Would you add anything to that, Ron?

Ron Kurtz: No. Again, I would just echo that we are pleased with the sales force that we’ve been able to attract and put in place and they continue to make strong progress in the field.

David Saxon: Okay. That’s helpful. And then, when I talk to doctors, sometimes I hear they’re doing 20%, 25% of their IOLs are LALs. So I wanted to ask or see if you could give some details on what you’re seeing with maybe some of the more mature accounts. How much of those IOLs are your LALs? And maybe where you think your share can go over time? Thanks so much for taking the questions.

Ron Kurtz: So, again, every €“ there’s a lot of variability in the percentage of their premiums that are LALs. It depends a lot on the practice some high volume practices. We can be a high percentage of their premiums and or we can be lower and middle, in lower and similarly in lower volume practices. So there’s really flexibility there. And over time, of course, our goal is to grow the percentage of procedures that are LAL and we think that both the clinical and the economic benefits argue for that. So that over time we would anticipate that those numbers would continue to increase.