Tom Stephan: Got it. That’s helpful. And, Dave, if I can push you a bit, just looking at the model, believe it implies flat utilization year-over-year in 2023. And again, o-US was challenging in €˜22 as well. So the comp isn’t overly difficult on that front, I guess big picture, what gives you confidence you can re-accelerate growth in the Glaucoma business more broadly? You gave the four key initiatives, which make perfect sense, but I guess what really gets us going again and maybe what’s the timing of when we’ll start to see those signs trickle through in the numbers.
David Bruce: Yes, thanks for that. I think we see as I mentioned, we see the signs that it’s working in the sense that when people select the right treatment parameters and then execute those that they are pleased with the results and they’re substantial. The study that I was referring to that was presented, at least the early results presented at the American Glaucoma Society, 30% and 40% IOP reductions are at the top end of what can be achieved with other technologies. So we’re really pleased that we can do that with a non-incisional procedure and get the durability which, when you get those high IOP reductions in the three to six month period, it tends to carry on for durability. So we’ll see what the particular study data demonstrates, but we expect that to bear out.
And as you get those kinds of results in the hands of users, they tend to gain confidence and start to select a broader set of patients. And that’s what we’re really focusing on for 2023. Our sales reps are very focused on targets and taking those targets down that pathway of proctored cases and recognizing the results on a representative sample of their patients. And as you look at the opportunity in the space, there’s just a dramatically large number of potential procedures if we can achieve that adoption in the moderate stage pre-incisional patient. I’ve talked about the analogy with SLT, the early Stage Laser Glaucoma treatment that’s been around for 20 years and is clinically mature and has penetrated about 20% of the mild stage patients in the US.
So that’s the opportunity we’re pursuing in about 2 million moderate stage patients. And it will take time, but if you have efficacy, you have safety. And you have a way to demonstrate to clinicians that they can achieve that in their hands. We’re very confident that will drive adoption. The challenge is what rate? And to a certain extent, that’s part of the frustration. But at the same time, medical device adoption is always well considered, I’d say, by the a main stream community. And it takes a little bit longer, but when you get that critical mass, the growth rates go up. And we’re not trying to predict where that critical mass point and increasing growth rate occurs. We do our guidance based on what we think we can execute through the team, given the current situation.
So I know that doesn’t identify exactly where that nee occurs, and it really starts to accelerate, but I think all the pieces are in place to get us there.
Tom Stephan: That makes perfect sense. Thanks for that, Dave. And then just to pivot to retina for my last question might be some unknowns around the G6 Asps, but to reach the midpoint of your guidance I’m arriving at roughly flat retina growth. But you do have a lot of new products coming into the field. So I guess for what am I thinking about that growth correctly and then, Dave, can you talk a bit about kind of what headwinds might be suppressing potential positive growth in the retina business. Thanks.
Fuad Ahmad: I mean I think Retina, we anticipate the retina to grow but it’s going to generally grow with markets somewhere around 3% to 4%. I think there is opportunity for growth further because of the rollout of new products, especially the GenM or the Pascal side as well as the rollout of the new platform. So I think there is an opportunity there for growth in retina as well. But I think for us, when we think about retina, we think about at least preserving market growth rate, which is at least 3% could be a little higher. Know that I think on the overall revenue, I think one of the things that should be looking at is that we did, as we mentioned in our prepared remarks as well as in the earnings release itself, that we have about $1.5 million of headwind on some royalty income due to some expiring patents.
That will happen over the course of year. I think it’ll emerge; it will manifest itself in the second half of next year. So you might want to make an adjustment to your model for that. So you have to subtract that it comes from other revenue. So if you look at the overall growth rate, I think we’re still mid to, low to mid double digit for Glaucoma and about 3% growth on the retina piece. So just kind of as you work through your models. And then in terms of I think the last question you asked is the headwinds. I think it’s kind of uncertainty. We had headwinds on the — for stronger dollar for most of fiscal €˜22 and that impacted the o-US sales, not just for Retina, but also on the Glaucoma side. I think that’s still a little bit of headwind going into €˜23.
We’ll have to manage that. So I think that I see as the biggest headwind for the business, not just the retina piece. And I think we have been generally successful on the supply chain side. We think it’s safe to say that we haven’t missed a lot of revenue due to shortages. The team has done a good job here, but that still casts a low fall over the business. But I think for most part, I think at this point, it’s the currency and some inflationary risk that we’re all dealing with probably the biggest factor into €˜23.
Operator: Thank you. And this concludes the Q&A session. I’d now like to turn the call back over to Dave Bruce for any closing remarks.
David Bruce: Thank you, operator. Thank you all for joining us. We’re looking forward to a strong 2023 performance and reporting to you in upcoming quarterly results.
Operator: Thank you. This concludes today’s conference call. Thank you for participating. You may now disconnect.
