NVE Corp. (NASDAQ:NVEC) Q1 2019 Earnings Conference Call - Final Transcript
Jul 17, 2019 • 05:00 pm ET
Thank you. [Operator Instructions] And our first question comes from Jeff Bernstein with Cowen. Your line is now open.
Hi, guys. Just a couple of questions for you. I guess so, Abbott reported in -- and their CRM business continues to be down a little bit, although, they were optimistic that they might actually turn that around. Can you just talk about what kind of visibility you have there? And talk a little bit about any other med device guys that you have business with now, I know you have mentioned neurostimulators in the past.
Daniel A. Baker
Sure. I believe Abbott reported that they did have sequential sales growth in the quarter. We're looking at also having sequential sales growth in the -- in our third quarter, which would be our third consecutive quarter of sequential growth, and we're expecting in the third quarter, we will return to year-over-year growth.
Great. And can you just elaborate a little bit on -- Abbot's obviously, a very big customer. Is there anybody in this business, any other competitors in CRM that you're designed into?
Daniel A. Baker
This is Dan. Good afternoon, Jeff. It would probably be -- not be a good idea for us to talk about other customers that -- we can talk about Abbott, because we have disclosed that they're a customer in our SEC filings. But as you can imagine, we are very strong in the CRM market. We're very strong in the medical device market in general. We have an excellent reputation. And we're willing to invest in businesses that sometimes take many years to get design wins. So you can expect that we would be in contact with the leaders in that space and working on new devices as well as potential replacements in existing devices.
You also touched on the broader neurostimulator market, which is also a strong market for us. And sometimes these devices share common platforms, often they have the same technical challenges, battery life, small size and the reliability that's so critical in the life support medical device, a Class III medical device. So that's a strong market for us. It's been challenging, as you alluded to. And -- but the long-term demographics are very positive. People are -- the population is aging, we're going to need more medical devices. The therapies are extending the more and more disease processes. So more and more people can be helped for these devices. So we see it as an excellent long term device -- long term market. Although, the device market has been challenging in the relatively -- in the recent past in the near term future.
Got you. And can you just say in neurostimulators, are you guys in particularly focused on applications in pain or depression or is there anything in particular, are you involved in an array of programs?
Daniel A. Baker
We're looking at an array of programs. We do tend to look at. I mean, we're willing to invest in the long term. And so implantable medical devices,