Merit Medical Systems, Inc. (NASDAQ:MMSI) Q2 2019 Earnings Conference Call - Final Transcript
Jul 25, 2019 • 05:30 pm ET
about it, and you will see that through the balance of this year. And I think the other thing that we looked at was the guidance, and there may be some of you who were chasing us, because we haven't changed next year's guidance.
We just have such confidence in the business and we're not trying to be foolish. This would be the time to do those sorts of things. We think we need to adjust it for the performance in the first half. We're confident as we move through the second half and we feel confident enough that we don't want to go change numbers that we have to change again, because we are so positive on the pipeline, the contracts, the new products, the new approvals and so on and so forth.
So at the end, it's a great business. Our customers want to do business with us. The business continues to grow in Europe, in Asia, in the U.S. and we see that those tailwinds which we alluded to before, but those contracts, those opportunities are in place now. They're not all going to ramp up in the third quarter. Inventories have to be sold off or they have to be used up, and this thing will ramp. But as we start to take a look, we will be gaining momentum and we think as we move into 2020 that there are going to great opportunities for this comfort. Albeit, with a positive, maybe a little bit less gross margin because of these legacy products but nevertheless gross margin dollars opportunities, and as long as we maintain the balance and the discipline in the expense side of things, the company is going to prosper.
So today it may seem like a dark day, it's not. There was just a thunderstorm that came through town, and the thunderstorm has left. So you have to do your job, we'll do ours. Again, thank you for joining us, and we're going to be here this evening to take calls. We'll take questions now.
And with that said, I think we'll turn our time over to the administrator. And we'll go ahead and we'll start taking your calls. So we'll turn the time back over to you, sir.