Masimo Corp (MASI) 2023 Q1 法說會逐字稿

Good afternoon, ladies and gentlemen, and welcome to Masimo's First Quarter 2023 Earnings Conference Call. The company's press release is available at www.masimo.com. (Operator Instructions) I am pleased to introduce Eli Kammerman, Masimo's Vice President of Business Development and Investor Relations.

女士們、先生們，下午好，歡迎參加 Masimo 2023 年第一季度收益電話會議。該公司的新聞稿可在 www.masimo.com 上獲取。 （操作員說明） 我很高興向您介紹 Masimo 業務開發和投資者關係副總裁 Eli Kammerman。

Thank you, and hello, everyone. Joining me today are Chairman and CEO, Joe Kiani; and Executive Vice President and Chief Financial Officer, Micah Young. This call will contain forward-looking statements, which reflect management's current judgment, including certain of our expectations regarding fiscal year 2023 financial performance. However, they are subject to risks and uncertainties that could cause actual results to differ materially. Risk factors that could cause our actual results to differ materially from our projections and forecasts are discussed in detail in our periodic filings with the SEC. You will find these in the Investor Relations section of our website.

謝謝大家，大家好。今天與我一起出席的有董事長兼首席執行官 Joe Kiani；執行副總裁兼首席財務官 Micah Young。本次電話會議將包含前瞻性陳述，反映管理層當前的判斷，包括我們對 2023 財年財務業績的某些預期。然而，它們面臨風險和不確定性，可能導致實際結果出現重大差異。我們向 SEC 定期提交的文件中詳細討論了可能導致我們的實際結果與我們的預測和預測存在重大差異的風險因素。您可以在我們網站的投資者關係部分找到這些信息。

Also, this call will include a discussion of certain financial measures that are not calculated in accordance with generally accepted accounting principles or GAAP. We generally refer to these as non-GAAP financial measures. In addition to GAAP results, these non-GAAP financial measures are intended to provide additional information to enable investors to assess the company's operating results in the same way management assesses such results.

此外，本次電話會議還將討論某些未按照公認會計原則或公認會計準則計算的財務指標。我們通常將這些稱為非公認會計準則財務指標。除了 GAAP 業績外，這些非 GAAP 財務指標還旨在提供額外信息，使投資者能夠以管理層評估公司經營業績的方式評估公司的經營業績。

Management uses non-GAAP measures to budget, evaluate and measure the company's performance and sees these also as an indicator of the company's ongoing business performance. The company believes that these non-GAAP financial measures increase transparency to better reflect the underlying financial performance of the business. Therefore, the financial measures we will be covering today will be primarily on a non-GAAP basis, unless noted otherwise.

管理層使用非公認會計準則措施來預算、評估和衡量公司的業績，並將這些也視為公司持續經營業績的指標。該公司認為，這些非公認會計準則財務指標提高了透明度，可以更好地反映企業的基本財務業績。因此，除非另有說明，我們今天討論的財務指標將主要基於非公認會計原則（Non-GAAP）。

Further, we will also be referencing pro forma financial measures, which include historical results for Sound United prior to the acquisition date of April 11, 2022. In our presentation today, we will once again be referring to this business as our non-healthcare segment. Reconciliation of these measures to the most directly comparable GAAP financial measures are included within the earnings release and supplementary financial information on our website.

此外，我們還將參考預計財務指標，其中包括 Sound United 在 2022 年 4 月 11 日收購日期之前的歷史業績。在今天的演示中，我們將再次將該業務稱為我們的非醫療保健部門。這些指標與最直接可比的 GAAP 財務指標的調節包含在我們網站上的收益發布和補充財務信息中。

Investors should consider all of our statements today, together with our reports filed with the SEC, including our most recent Form 10-K and 10-Q in order to make informed investment decisions. In addition to the earnings release issued today, we have posted a quarterly earnings presentation within the Investor Relations section of our website to supplement the content we will be covering this afternoon.

投資者應考慮我們今天的所有聲明，以及我們向 SEC 提交的報告，包括我們最新的 10-K 和 10-Q 表格，以便做出明智的投資決策。除了今天發布的收益報告外，我們還在網站的投資者關係部分發布了季度收益報告，以補充我們今天下午將介紹的內容。

I'll now pass the call to Joe Kiani.

我現在將把電話轉給喬·基亞尼。

Thank you. Thank you, Eli. Good afternoon, and thank you for joining us for Masimo's First Quarter 2023 Earnings Call. We started the year with solid performance and are excited about the many new products coming out of our research and development pipeline this year. Our consistent focus on life-improving innovation continues to drive growth in our professional healthcare, consumer health and consumer markets. And now supported by the scale and infrastructure of our Masimo consumer business, our health and healthcare innovation is going to reach people from all blocks of life.

謝謝。謝謝你，伊萊。下午好，感謝您參加 Masimo 的 2023 年第一季度收益電話會議。我們以穩健的業績開啟了新的一年，並對今年我們的研發渠道中出現的許多新產品感到興奮。我們對改善生活的創新的一貫關注繼續推動我們的專業醫療保健、消費者健康和消費者市場的增長。現在，在 Masimo 消費者業務規模和基礎設施的支持下，我們的健康和醫療保健創新將惠及各行各業的人們。

Our consolidated revenues for the first quarter reached $565 million. We delivered healthcare revenues of $347 million and consumer revenues of $218 million. New customers in our pulse oximetry business and increasing traction for rainbow and advanced parameter products strengthened our healthcare revenues this quarter. In fact, this was the best first quarter in our history for new conversions of hospitals to Masimo. In addition to rainbow blood constituent monitoring, which has now become over 10% of our healthcare revenue, we had solid growth in our SedLine and O3 brain monitoring and NomoLine Capnography and gas monitoring products. Robust growth for hearables led the performance of our consumer business, along with the strong market reception for some recently launched AV products.

我們第一季度的綜合收入達到 5.65 億美元。我們實現了 3.47 億美元的醫療保健收入和 2.18 億美元的消費者收入。我們的脈搏血氧測定業務的新客戶以及彩虹和先進參數產品的日益增長的吸引力增強了我們本季度的醫療保健收入。事實上，這是我們歷史上新改建的 Masimo 醫院表現最好的第一季度。除了彩虹血液成分監測（目前已占我們醫療保健收入的 10% 以上）之外，我們的 SedLine 和 O3 腦監測以及 NomoLine 二氧化碳圖和氣體監測產品也實現了穩健增長。耳戴式設備的強勁增長帶動了我們消費業務的表現，同時一些最近推出的 AV 產品也受到了市場的強烈歡迎。

Despite many consumer-facing companies struggling post-COVID, our consumer business remains on track. Meanwhile, we're leveraging our unique combination of signal processing, physiological monitoring, audio and automation technology capabilities to launch a series of new and innovative products to revolutionize consumer health. On that point, later in the call, I'll update you on the recent launch of our Stork baby monitor and Opioid Halo, as well as some of the other new products planned for this year that we expect will contribute to our long-term success.

儘管許多面向消費者的公司在新冠疫情后陷入困境，但我們的消費者業務仍然步入正軌。與此同時，我們利用信號處理、生理監測、音頻和自動化技術能力的獨特組合，推出一系列新型創新產品，徹底改變消費者的健康。關於這一點，稍後在電話會議中，我將向您介紹最近推出的 Stork 嬰兒監視器和阿片類藥物光環，以及計劃今年推出的其他一些新產品，我們預計這些產品將有助於我們的長期發展成功。

With that, I'll pass it to Micah to review our first quarter results in more detail and provide an update on our 2023 financial guidance.

接下來，我會將其傳遞給 Micah，以更詳細地審查我們第一季度的業績，並提供 2023 年財務指導的最新信息。

Thank you, Joe, and good afternoon, everyone. For the first quarter, we achieved consolidated revenue of $565 million and non-GAAP earnings per share of $0.87. For our healthcare segment, first quarter revenues were $347 million, representing 16% constant currency growth. Recall that our first quarter 2022 revenues were adversely affected by supply chain challenges that produced a shortfall in that period and resulted in growth of only 3%, which was subsequently recovered in the second quarter of last year.

謝謝喬，大家下午好。第一季度，我們實現了 5.65 億美元的綜合收入，非 GAAP 每股收益為 0.87 美元。對於我們的醫療保健部門，第一季度收入為 3.47 億美元，按固定匯率計算增長 16%。回想一下，我們 2022 年第一季度的收入受到供應鏈挑戰的不利影響，導致該時期出現短缺，導致收入僅增長 3%，隨後在去年第二季度恢復。

We shipped over 77,000 drivers in the quarter, and we are on track to ship over 300,000 drivers this year. At the end of the first quarter, we estimated that our installed base has grown by 7% over our installed base at the end of the first quarter of 2022. As Joe mentioned, our healthcare revenue growth was driven by strong performance from our rainbow blood constituent monitoring, SedLine and O3 brain monitoring and Nomoline Capnography and gas monitoring products.

本季度我們運送了超過 77,000 名驅動程序，今年有望運送超過 300,000 名驅動程序。在第一季度末，我們估計我們的安裝量比 2022 年第一季度末的安裝量增長了 7%。正如 Joe 提到的，我們的醫療保健收入增長是由彩虹血液的強勁表現推動的成分監測、SedLine 和 O3 大腦監測以及 Nomoline 二氧化碳圖和氣體監測產品。

For our non-healthcare segment, first quarter revenues were $218 million, representing an expected decline of 9% on a pro forma and constant currency basis. This was in line with our guidance as this business faced a tough year-over-year comparison due to the fulfillment of backordered products in the prior year quarter that drove 22% constant currency growth right before the acquisition closed.

對於我們的非醫療保健部門，第一季度收入為 2.18 億美元，按預計和固定匯率計算，預計下降 9%。這符合我們的指導方針，因為由於上一季度缺貨產品的履行，導致該業務在收購結束前實現了 22% 的恆定貨幣增長，因此面臨著嚴峻的同比比較。

Hearables, including headphones and earbuds remain a key category for growth. Hearable sells more than doubled in the first quarter versus the prior year period, primarily driven by the Bowers & Wilkins headphone franchise. While we're pleased with the strong growth we're seeing in this category, we expect the launch of the Denon Pearl AAT earbuds later this year to further elevate our hearables business as we bring truly differentiated technology to our consumer audio brands.

包括耳機和耳塞在內的耳戴式設備仍然是增長的關鍵類別。第一季度可聽設備銷量比去年同期增長了一倍多，這主要是由 Bowers & Wilkins 耳機系列產品推動的。雖然我們對這一類別的強勁增長感到滿意，但我們預計今年晚些時候推出的 Denon Pearl AAT 耳機將進一步提升我們的耳戴式設備業務，因為我們為我們的消費音頻品牌帶來了真正差異化的技術。

Now moving further down the P&L. For the first quarter of 2023, we realized consolidated non-GAAP gross margin of 52%. This includes gross margin of 62% for our healthcare business and 36% for our non-healthcare business. Consistent with our guidance, we expect to see gross margin steadily rise over the course of 2023 as our supply chain continues to stabilize.

現在進一步降低損益表。 2023 年第一季度，我們的非 GAAP 綜合毛利率為 52%。其中醫療保健業務的毛利率為 62%，非醫療保健業務的毛利率為 36%。與我們的指引一致，隨著我們的供應鏈持續穩定，我們預計毛利率將在 2023 年穩步上升。

For our consolidated business, our non-GAAP operating profit increased 8% to $76 million, which was a solid result despite year-over-year currency headwinds and the elevated litigation costs associated with the trade secret misappropriation trial against Apple. And our non-GAAP earnings were $0.87 per diluted share, which included an increase of $11 million in interest expense over the prior year period related to the debt incurred for the acquisition and share buyback.

對於我們的合併業務，我們的非公認會計準則營業利潤增長了 8%，達到 7600 萬美元，儘管同比匯率不利，而且與針對蘋果公司的商業秘密盜用審判相關的訴訟成本上升，但這仍然是一個不錯的結果。我們的非公認會計原則每股攤薄收益為 0.87 美元，其中包括與收購和股票回購產生的債務相關的利息支出比上年同期增加了 1100 萬美元。

To summarize, we delivered first quarter results at the high end of our guidance as our healthcare business again realized steady gains in market share across the portfolio. In our non-healthcare segment, we saw impressive growth from our hearables products despite a difficult year-over-year comparison. And we have an exciting lineup of new products rolling out this year that will help us advance our strategy, drive long-term growth and improve lives, whether in the home or in the hospital.

總而言之，我們的第一季度業績達到了指導的上限，因為我們的醫療保健業務在整個投資組合中的市場份額再次實現了穩定增長。在我們的非醫療保健領域，儘管同比比較困難，但我們的耳戴式設備產品仍實現了令人印象深刻的增長。我們今年推出了一系列令人興奮的新產品，這些產品將幫助我們推進戰略、推動長期增長並改善生活，無論是在家裡還是在醫院。

Now I'd like to provide an update on our 2023 financial guidance. For the full year 2023, we are maintaining our previous guidance ranges for consolidated revenue of $2.415 million to $2.460 million; non-GAAP operating profit of $400 million to $405 million; and non-GAAP EPS of $4.70 to $4.80. As we discussed last quarter, we are taking a disciplined approach to our product launches and leveraging Masimo consumers' capabilities and channels to maximize the impact of the incremental 100 basis points of promotional investment we are making.

現在我想提供 2023 年財務指引的最新信息。對於 2023 年全年，我們維持之前的指導範圍，合併收入為 241.5 萬美元至 246 萬美元；非公認會計準則營業利潤為 4 億至 4.05 億美元；非 GAAP 每股收益為 4.70 美元至 4.80 美元。正如我們上季度所討論的，我們正在對產品發布採取嚴格的方法，並利用 Masimo 消費者的能力和渠道，最大限度地發揮我們正在進行的 100 個基點增量促銷投資的影響。

For our healthcare segment, we are maintaining our previous revenue guidance of $1.450 billion to $1.465 billion, representing 8% to 10% constant currency growth. For the non-healthcare segment, we are maintaining our previous guidance range of $965 million to $995 million, representing 2% to 5% growth on a pro forma and constant currency basis. Please reference the earnings presentation on our investor website for further details.

對於我們的醫療保健部門，我們維持之前 14.50 億至 14.65 億美元的收入指引，相當於 8% 至 10% 的恆定貨幣增長。對於非醫療保健領域，我們維持之前 9.65 億美元至 9.95 億美元的指導範圍，按預計和固定匯率計算增長 2% 至 5%。請參閱我們投資者網站上的收益演示以了解更多詳細信息。

In conclusion, our outlook for 2023 reflects solid growth in our business while incorporating prudent investments to support the new products we will launch this year. With that, I'll turn the call back to Joe.

總之，我們對 2023 年的展望反映了我們業務的穩健增長，同時納入審慎投資以支持我們今年將推出的新產品。這樣，我會將電話轉回給喬。

Thank you, Micah. I'm delighted to report that we received de nova FDA approval for Masimo Opioid Halo, a revolutionary product for the detection of opioid-induced respiratory depression in people taking opioids at home. The listed opioid-related deaths are at an all-time high and unexpected death from opioids, even in patients who are complying with recommended dosages are a significant problem in the U.S. Over 80,000 people died due to opioid overdose. We intend to play an active role in reducing these deaths by alerting patients and their loved ones when opioid-induced respiratory depression occurs. The alarm functionality of Opioid Halo provides an early warning of depressed respiratory function that should result in vulnerable patients being woken up and saved from a terrible fate. And if not, then in an alarm with location is sent to the nearest ambulance.

謝謝你，米迦。我很高興地報告，我們的 Masimo Opioid Halo 獲得了 FDA 的全新批准，這是一款革命性產品，用於檢測在家服用阿片類藥物的人是否存在阿片類藥物引起的呼吸抑制。列出的與阿片類藥物相關的死亡人數處於歷史最高水平，即使對於遵守推薦劑量的患者，阿片類藥物導致的意外死亡也是美國的一個重大問題。超過 80,000 人因阿片類藥物過量死亡。我們打算在阿片類藥物引起的呼吸抑制發生時向患者及其親人發出警報，從而在減少這些死亡方面發揮積極作用。阿片類藥物 Halo 的警報功能可以對呼吸功能低下發出早期預警，從而喚醒脆弱的患者，使其擺脫可怕的命運。如果沒有，則在警報中將位置發送到最近的救護車。

On May 1, we began marketing Opioid Halo to drugstores and addiction treatment centers. We are going to do our best to make sure there is awareness of Opioid Halo as we believe if used, it could save people from opioid-induced respiratory depression. With the transition of Naloxone brands to over-the-counter status, large retailers are creating display areas that promote opioid safety and awareness within their stores, and we expect Opioid Halo, which has over-the-counter and prescription clearance to become part of that initiative.

5 月 1 日，我們開始向藥店和成癮治療中心營銷阿片類藥物 Halo。我們將盡最大努力確保人們認識到阿片類藥物光環，因為我們相信，如果使用它，它可以使人們免於阿片類藥物引起的呼吸抑制。隨著納洛酮品牌向非處方藥地位的轉變，大型零售商正在其商店內設立展示區，以促進阿片類藥物的安全性和意識，我們預計具有非處方藥和處方許可的阿片類藥物 Halo 將成為納洛酮品牌的一部分。該倡議。

On May 3, we launched Stork at the 2023 Kids Expo in Las Vegas. We had very strong interest from major retailers, including one of Masimo consumers largest customers, which will carry Stork and give it a very prominent display location in stores. We're currently selling different configuration of Stork on the masimostork.com website and expect to announce important retail channel presence as well as large online baby registries for Stork over the next 6 months. The marketing team at Masimo consumer is doing an excellent job of gaining attention for Stork, both online and in traditional retail channels. These efforts should accelerate adoption of the product in the second half of this year.

5 月 3 日，我們在拉斯維加斯 2023 年兒童博覽會上推出了 Stork。主要零售商對我們產生了濃厚的興趣，其中包括 Masimo 消費者最大的客戶之一，他們將攜帶 Stork 並在商店中提供非常顯眼的展示位置。目前，我們正在 masimostork.com 網站上銷售不同配置的 Stork，並預計在未來 6 個月內宣布重要的零售渠道以及 Stork 的大型在線嬰兒登記。 Masimo Consumer 的營銷團隊在網上和傳統零售渠道上出色地吸引了 Stork 的關注。這些努力應該會加速該產品在今年下半年的採用。

As one of our first consumer health product launches, Stork is creating a great template for how our teams can leverage our integrated global brand and marketing framework, which we will rapidly refine and replicate as we learn from the Stork rollout and launch more consumer health products.

作為我們首批推出的消費者健康產品之一，Stork 正在為我們的團隊如何利用我們集成的全球品牌和營銷框架創建一個很好的模板，隨著我們從 Stork 的推出中學習並推出更多消費者健康產品，我們將快速完善和復制該模板。

We will also soon launch our first hearables based on our adaptive acoustic technology platform. The AAT platform creates personalized listening profiles for each user, customizing the sound spectrum for each person's unique ear architecture and hearing sensitivities to ensure that no instrumental detail or sound subtlety goes unheard. These next-generation earbuds will be marketed as a Denon Pearl and Pearl Pro to leverage Denon's heritage of world-class acoustics and we have already received very strong interest from retailers that gives us confidence in a rapid sales ramp.

我們還將很快推出基於自適應聲學技術平台的首款耳戴式設備。 AAT 平台為每個用戶創建個性化的聆聽配置文件，根據每個人獨特的耳朵結構和聽力靈敏度定制聲譜，以確保沒有樂器細節或聲音微妙之處被忽視。這些下一代耳塞將作為 Denon Pearl 和 Pearl Pro 進行銷售，以利用 Denon 的世界級聲學傳統，我們已經收到了零售商的強烈興趣，這讓我們對銷量的快速增長充滿信心。

Shifting to wearables. Our W1 watch is gaining traction as Cambridge University Hospital in the U.K. and Charite German Health Center in Berlin have expanded their telehealth programs with Masimo W1. Last but not least, Masimo Freedom Watch with Android operating system is slated for sale in the second half of the year. We showed Freedom at the BNP Paribas Tennis Tournament in March and have begun presales on our e-commerce site. In addition, Freedom Sleep band will round out our portfolio of wearables, which addresses a range of distinct consumer health needs at various price points and can be displayed together in retail stores for marketing synergy, hopefully prior to the Christmas holiday season.

轉向可穿戴設備。隨著英國劍橋大學醫院和柏林 Charite 德國健康中心通過 Masimo W1 擴大了遠程醫療項目，我們的 W1 手錶越來越受歡迎。最後但並非最不重要的一點是，搭載Android操作系統的Masimo Freedom Watch預計將於今年下半年發售。我們在三月份的法國巴黎銀行網球錦標賽上展示了 Freedom，並已在我們的電子商務網站上開始預售。此外，Freedom Sleep 手環將完善我們的可穿戴設備產品組合，以不同的價位滿足一系列不同的消費者健康需求，並可以在零售商店中一起展示，以實現營銷協同效應，希望在聖誕節假期之前。

We also continue to make progress building our home-based medical data ecosystem that connects our wearables and remote monitoring products and services to HEOS devices, allowing us to feed data from the wearables into our secure health cloud. We grew the number of HEOS connected devices by approximately 180,000 in the first quarter. We intend to grow Masimo by making a real difference in people's lives and hospitals and home. But we can't do that without the dedication and commitment of our team and support of our shareholders.

我們還繼續在構建家庭醫療數據生態系統方面取得進展，該生態系統將我們的可穿戴設備和遠程監控產品和服務連接到 HEOS 設備，使我們能夠將可穿戴設備的數據輸入到我們的安全健康雲中。第一季度，我們的 HEOS 連接設備數量增加了約 180,000 台。我們打算通過為人們的生活、醫院和家庭帶來真正的改變來發展 Masimo。但如果沒有我們團隊的奉獻和承諾以及股東的支持，我們就無法做到這一點。

For the first time since we took Masimo public in 2007, we will be engaged in a proxy contest. We encourage all of our shareholders to both. The outcome will be consequential for our company's mission, strategy and guiding principles, which have been incredibly important to our success.

自 2007 年 Masimo 上市以來，我們將首次進行代理權競賽。我們鼓勵所有股東兩者兼而有之。其結果將對我們公司的使命、戰略和指導原則產生重大影響，這對我們的成功至關重要。

With that, we'll open the call to questions. Operator?

至此，我們將開始提問。操作員？

(Operator Instructions) Our first question comes from Marie Thibault with BTIG.

（操作員說明）我們的第一個問題來自 BTIG 的 Marie Thibault。

Congrats on a very strong start to the year. I wanted to start here with just a basic question about the healthcare business. I think last quarter you mentioned that there had been some encouraging pricing trends and contract renewals. Just wanted to hear what drove some of the strength that you saw in healthcare. I know you mentioned some of the parameters, but I wonder if there are other sustainable trends that you can also point to?

祝賀今年取得了非常強勁的開局。我想從一個有關醫療保健業務的基本問題開始。我想上個季度您提到了一些令人鼓舞的定價趨勢和合同續簽。只是想听聽是什麼推動了您在醫療保健領域看到的一些力量。我知道您提到了一些參數，但我想知道您是否還可以指出其他可持續趨勢？

Well, I don't know if we'll sustain this, but Q1 was our biggest quarter ever in converting hospitals to Masimo SET pulse oximetry new customers. I think it was twice the rate that we normally do. So that's very encouraging. Pricing has stabilized. Cost of goods has stabilized. And one of the other things that we're encouraged about is the traction that rainbow is getting, noninvasive hemoglobin, PVI, outside the U.S., OI, and our Capnography, O3 and SedLine businesses. So we see that all really, really positive.

嗯，我不知道我們是否會維持這一勢頭，但第一季度是我們有史以來將醫院轉化為 Masimo SET 脈搏血氧儀新客戶方面最大的一個季度。我認為這是我們平時的兩倍。所以這非常令人鼓舞。價格已經穩定。商品成本已穩定。另一件令我們感到鼓舞的事情是，rainbow 正在獲得越來越多的關注，包括美國以外的無創血紅蛋白、PVI、OI 以及我們的 Capnography、O3 和 SedLine 業務。所以我們看到這一切都非常非常積極。

The only thing is, from the best -- I guess the best estimate that we have, census has returned to 2019 level, but it hasn't grown. It's the 2019 level, where normally each year, census and growth by 1% to 3%. From the best we can see, we're finally back at 2019 level. So all in all, it all bodes well. We hope that eventually COVID-related deaths that affected a lot of elderly people that would use hospitals regularly in their last years of life will go through and the new norm will begin. And with the huge conversions we've had this quarter and the past couple of years, we think overall will be ahead of things. So I hope that helps.

唯一的事情是，從最好的——我猜是我們的最好估計來看，人口普查已經恢復到 2019 年的水平，但並沒有增長。這是 2019 年的水平，通常每年人口普查和增長 1% 到 3%。從我們所能看到的最好情況來看，我們終於回到了 2019 年的水平。總而言之，一切都是好兆頭。我們希望，與新冠病毒相關的死亡最終會影響到許多在生命的最後幾年經常去醫院的老年人，並且新的常態將會開始。隨著我們本季度和過去幾年的巨大轉變，我們認為總體上將領先。所以我希望這會有所幫助。

Yes, it does. It sounds like it's heading in the right direction. I wanted to ask my follow-up here then on Opioid Halo. Congrats very much on getting through the FDA with that, and great timing with the naloxone going OTC as well. I wanted to sort of understand how you think about your go-to-market strategy. You mentioned that some drug stores will be offering Halo as part of the over-the-counter naloxone effort. Is there a plot to try to get reimbursement at some point? I think I recall out of pocket of $250, which is more than most people spend in the drugstore, so curious about the business model longer term here then.

是的，它確實。聽起來它正朝著正確的方向前進。我想詢問我的後續關於阿片類藥物光環的問題。非常祝賀您通過 FDA 認證，也祝賀納洛酮進入非處方藥市場。我想了解一下您如何看待您的上市策略。您提到一些藥店將提供 Halo 作為非處方納洛酮努力的一部分。是否存在試圖在某個時候獲得報銷的陰謀？我記得我自掏腰包了 250 美元，這比大多數人在藥店花的錢還要多，所以對這裡的長期商業模式感到好奇。

Yes. Longer term, we do hope to get reimbursement, but that might take a few years. In the meantime, we are doing a multipronged sales approach from over-the-counter drug stores to reaching out to the kind of physician offices that do surgeries in their offices and send people home with opioids to make them aware of it. And we're reaching out to states that have received settlement money from the opioid companies that want to use that money for the greater good of people that are potentially addicted to opioids already. So I think, hopefully, with all of that until we do get reimbursement, we should have strong adoption of sales.

是的。從長遠來看，我們確實希望得到補償，但這可能需要幾年的時間。與此同時，我們正在採取多管齊下的銷售方式，從非處方藥店到接觸在辦公室進行手術的醫生辦公室，並讓人們帶著阿片類藥物回家，讓他們意識到這一點。我們正在與那些從阿片類藥物公司收到和解金的州接觸，這些州希望利用這筆錢為那些可能已經對阿片類藥物成癮的人們謀取更大的利益。所以我認為，希望在我們得到報銷之前，我們應該大力採用銷售。

Our next question comes from Matt Taylor with Jefferies.

我們的下一個問題來自杰弗里斯的馬特·泰勒。

Congrats on a good start to the year here. So I guess I was open to ask a little bit about current state of litigation. Obviously, we saw the mistrial. So I was hoping you could update us on what you think ultimately happens there? And maybe just remind us about what's coming up here with the ITC and the other trials you have in the future?

祝賀您今年有一個良好的開端。所以我想我願意詢問一些有關訴訟現狀的問題。顯然，我們看到了無效審判。所以我希望你能給我們介紹一下你認為最終會發生什麼？也許只是提醒我們 ITC 以及你們未來進行的其他試驗將會發生什麼？

Sure. Sure. Big picture, we have 5 separate litigations with Apple. It started off with the patent and trade secret lawsuit we filed here in Orange County, which got split into 2, a trade secret case and a patent case as supposed to resume post PTAB ruling and appellate court decisions. Then we filed the ITC case, and with the International Trade Commission to stop the importation of foreign manufactured products that infringe patents. Then Apple sued us in Delaware for patent infringement and we countersued in Delaware for patent infringement, antitrust and unfair competition.

當然。當然。總體而言，我們與蘋果公司有 5 起單獨的訴訟。首先是我們在奧蘭治縣提起的專利和商業秘密訴訟，該訴訟分為兩部分：商業秘密案件和專利案件，預計將在 PTAB 裁決和上訴法院判決後恢復。然後我們向國際貿易委員會提起訴訟，並向國際貿易委員會停止進口侵犯專利的外國製造產品。然後蘋果在特拉華州起訴我們專利侵權，我們在特拉華州反訴專利侵權、反壟斷和不正當競爭。

So with the first two things, of course, the ITC case, you know we won the first stage of that. We're waiting for the commission to rule. The commission delayed the ruling. Right now we expect middle of July to get a decision. And assuming it's favorable and President Biden doesn't stop it, we could see the exclusion of the Apple Watch with pulse oximetry in September time frame.

因此，對於前兩件事，當然是 ITC 案件，你知道我們贏得了第一階段的勝利。我們正在等待委員會做出裁決。該委員會推遲了裁決。現在我們預計七月中旬會做出決定。假設它是有利的，並且拜登總統不阻止它，我們可能會看到在 9 月份的時間範圍內，帶有脈搏血氧測定功能的 Apple Watch 被排除在外。

On the trade secret case, we just had Orange County. It was quite 3- to 4-week process. The evidence came in incredibly strong -- the evidence came in that showed in 2012 Apple decided to make a watch. They quickly decided the most important feature of that watch would be health sensing with pulse oximetry. They realized they did not know how to do pulse oximetry, so they started a project called Rover to look at all the companies in the world that do pulse oximetry. Quickly, they decided Masimo and Cercacor with the 2 standout pulse oximeter companies, both run by me and my trusted Technical VP, Marcelo Lamego.

關於商業秘密案件，我們剛剛審理了奧蘭治縣的案件。這是一個相當 3 至 4 週的過程。證據非常有力——證據表明蘋果公司在 2012 年決定製造一款手錶。他們很快決定該手錶最重要的功能是通過脈搏血氧儀進行健康感應。他們意識到自己不知道如何進行脈搏血氧測定，因此他們啟動了一個名為 Rover 的項目來研究世界上所有進行脈搏血氧測定的公司。很快，他們就選擇了 Masimo 和 Cercacor 這兩家傑出的脈搏血氧儀公司，這兩家公司都由我和我信任的技術副總裁 Marcelo Lamego 經營。

So they recommended while they recruit some of my team to Tim Cook to acquire Masimo, they thought Masimo would be a great acquisition, not just because of our technology and our people, but because I could take over their healthcare business. And they also were shut down. Tim Cook said this all came in, in front of the jury. Tim Cook said we don't do acquisitions like this. And then they looked at doing maybe a joint development with us while still recruiting our people. Although there had a BD kept warning them, this is not good karma. We shouldn't be doing this, but they were doing it.

因此，他們建議，當他們招募我的一些團隊到蒂姆·庫克收購 Masimo 時，他們認為 Masimo 將是一次偉大的收購，不僅因為我們的技術和員工，還因為我可以接管他們的醫療保健業務。他們也被關閉了。蒂姆·庫克表示，這一切都是在陪審團面前提出的。蒂姆·庫克說我們不會進行這樣的收購。然後他們考慮與我們聯合開發，同時仍然招募我們的員工。雖然有BD不斷警告他們，但這並不是善業。我們不應該這樣做，但他們卻這樣做了。

Right around that time when they were looking at joint development, the CTO at Cercacor, Marcelo Lamego, they had identified as my confidant, finally responded to Apple and said, "You know what, yes, maybe I will join you guys and bring all of the stuff to you if you give me a high-level technical executive role," which, at that time, it looks like that stopped their business development front with us. And instead, Steve Hotelling who apparently have 3,000 to 4,000 engineers reporting to him and the watch started a confidential project to go one layer lower. They had Marcelo now our CTO. They had Michael O'Reilly our CMO, which, by the way, evidence came in, they both took our trade secrets to Apple.

就在他們考慮聯合開發的時候，Cercacor 的首席技術官馬塞洛·拉梅戈（Marcelo Lamego）（他們認為是我的知己）終於對蘋果做出了回應，並說道：“你知道嗎，是的，也許我會加入你們，並帶來所有的東西。”如果你給我一個高級技術執行職位，”這在當時看來就停止了他們與我們的業務發展。相反，史蒂夫·霍特林 (Steve Hotelling) 顯然有 3,000 到 4,000 名工程師向他匯報，手錶啟動了一個秘密項目，以降低一層。他們讓馬塞洛成為我們的首席技術官。我們的首席營銷官邁克爾·奧萊利 (Michael O'Reilly) 是我們的首席營銷官，順便說一句，證據已經出來了，他們都把我們的商業機密交給了蘋果。

And they also unfortunately decided to go one layer lower and attract our engineers and directors and they did. They hired between 20 to 30 additional people. The jury got to see some of that evidence, and they also got to see that Apple launched their pulse ox in 2020, knowing that it wasn't good enough to get FDA clearance. But because of the COVID chaos they called it, they thought SpO2 would help them gain market share from Fitbit, which they launched it. Probably the worst thing is about 100 million people now have pulse ox on the back of their watch, it doesn't really work. Their goal is to just get 2 measurements on 90% of the people each day, and they fell short of that. They got at 37% of the time 2 measurements each day.

不幸的是，他們還決定降低一層並吸引我們的工程師和總監，他們做到了。他們另外僱傭了 20 到 30 名員工。陪審團看到了其中一些證據，他們還看到蘋果在 2020 年推出了 Pulse Ox，因為他們知道它還不夠好，無法獲得 FDA 的批准。但由於他們稱之為新冠混亂，他們認為 SpO2 可以幫助他們從他們推出的 Fitbit 那裡獲得市場份額。也許最糟糕的是現在大約有一億人的手錶背面有脈搏牛，但它並沒有真正起作用。他們的目標是每天對 90% 的人進行 2 次測量，但他們沒有實現這一目標。他們有 37% 的時間每天進行 2 次測量。

So all of that stuff was in front of the jury. They saw how they took several of our trade secrets. Right before the jury went to delivery. The judge, I think believing we had a jury that was going to go all the way with us, took away our business trade secret case, which we disagreed with, but we're going to have to wait for appeal on that. But despite all of that, unfortunately, the jury hung up. It isn't as though it's been reported, there was 6:1. I can't get into more details on that, but it wasn't like that. But unfortunately, we did hit that. So at this point, I guess, in life, you don't get many do-overs. We're going to get another do-over. So we will be retrying this case. And hopefully, given how good the case came and how everyone assumed they would go, we expect next time we'll get very different results.

所以所有這些東西都在陪審團面前。他們看到了他們如何竊取我們的一些商業機密。就在陪審團即將交付之前。我認為法官相信我們有一個會一直支持我們的陪審團，因此撤銷了我們不同意的商業秘密案件，但我們將不得不等待對此的上訴。但不幸的是，儘管如此，陪審團還是掛斷了電話。好像沒報導過，是6:1。我無法透露更多細節，但事實並非如此。但不幸的是，我們確實做到了這一點。所以在這一點上，我想，在生活中，你不會有太多的重來。我們要再做一次。因此，我們將重審此案。希望，考慮到這個案例有多好以及每個人都如何假設他們會去，我們希望下次我們會得到非常不同的結果。

Thanks for that great answer. Any thoughts on the timing of that coming back around?

感謝您的精彩回答。關於回歸的時間有什麼想法嗎？

No. We don't know. It's up to the judge. It could be 2 to 3 months to another year. We don't know.

不，我們不知道。這取決於法官。可能需要 2 到 3 個月才能再過一年。我們不知道。

Our next question comes from Michael Polark with Wolfe Research.

我們的下一個問題來自沃爾夫研究中心的邁克爾·波拉克。

Maybe a guidance question. I see the affirmation for the year on face. As I look through the deck, I see a modest reduction to the consumer gross margin input. That's the standout. I guess, for Micah, any other twists and turns within the guidance affirmation we should be mindful of here?

也許是一個指導問題。我從臉上看到了對這一年的肯定。當我瀏覽甲板時，我發現消費者毛利率投入略有減少。這就是最突出的。我想，對於邁卡來說，我們應該注意指導聲明中的任何其他曲折嗎？

No. So Michael, the only thing we held, of course, guidance on top line, bottom line, EPS and operating profit. But we did have -- if you look at the -- look slightly lower on the full year for the consumer business on gross margin. That just reflects in the first quarter where we saw some lingering spot buys that impacted that business. And we really didn't change the outlook for the last 3 quarters, but let that kind of flow through the year.

不。邁克爾，當然，我們唯一持有的就是關於營收、利潤、每股收益和營業利潤的指導。但我們確實——如果你看一下——全年消費者業務的毛利率略有下降。這只是反映在第一季度，我們看到一些揮之不去的現貨購買影響了該業務。我們確實沒有改變過去三個季度的前景，而是讓這種情況貫穿全年。

And we also -- we did a very good job of managing expenses in the first quarter to offset that. So you'll see a little bit softer gross margins, but also improvement on lowering operating expenses for the year reflected in that guidance. But we're seeing -- overall, Michael, we're seeing stabilization of the supply chain. The trends that we're seeing exiting the first quarter are a good signal for us. We still expect a steady rise in gross margins throughout the rest of this year with Q1 being the low point.

我們在第一季度的費用管理方面也做得非常好，以抵消這一影響。因此，您會看到毛利率略有下降，但該指導意見中反映的今年運營費用降低也有所改善。但我們看到——總體而言，邁克爾，我們看到供應鏈的穩定。我們看到第一季度的趨勢對我們來說是一個很好的信號。我們仍然預計今年剩餘時間毛利率將穩步上升，第一季度是最低點。

If I can follow up another guidance question or modeling question. 2Q, any feel for 2Q modeling? Specifically I guess, both segments, but also kind of want to make sure we're all understanding of the unusual year-on-year comps given kind of the supply chain (inaudible) last year in 1Q and then getting all caught up in healthcare in 2Q. So kind of just sequentially, Micah, how do you think about revenue progression?

如果我可以跟進另一個指導問題或建模問題。 2Q，對2Q建模有什麼感覺嗎？具體來說，我想，這兩個部門，但也想確保我們都了解去年第一季度供應鏈（聽不清）的不尋常的同比比較，然後全部陷入醫療保健領域在第二季度。 Micah，您如何看待收入進展？

Yes, absolutely. Great question. So if you think about the first year -- first half of the year last year, to your point is, there's a lot of supply chain disruption in those quarters, or on the consumer side, there is some improvements from the fulfillment of backorders. So the way I'd think about it, you'll see the second half more normal comps. But in Q1 last year, as I mentioned in my prepared remarks, the healthcare business grew 3%, Q2 grew 19%. Traditionally, our healthcare business based on seasonality and the non-healthcare both step back in Q2 and then you start to see progression in Q3 and our heaviest quarters in Q4.

是的，一點沒錯。很好的問題。因此，如果你想想第一年——去年上半年，你的觀點是，這些季度供應鏈出現了很多中斷，或者在消費者方面，缺貨訂單的履行有所改善。所以按照我的想法，你會看到下半場的比賽更加正常。但去年第一季度，正如我在準備好的發言中提到的，醫療保健業務增長了 3%，第二季度增長了 19%。傳統上，我們基於季節性的醫療保健業務和非醫療保健業務都會在第二季度退後，然後您開始看到第三季度的進展以及第四季度我們最繁忙的季度。

So just be aware of that comp, the 19% growth comp in Q2 on the healthcare side. We also saw comps for the non-healthcare business of 22% growth in Q1 last year, and then 10% growth in Q2, which is above trend line just because of the fulfillment of those backorders. So I think the first half, you'll see that we're up against some tough comps and still up against tough comps in Q2, but then those comps should ease and normalize out in the back half of this year.

因此，請注意該比較，即第二季度醫療保健方面增長 19% 的比較。我們還看到去年第一季度非醫療保健業務的比較增長了 22%，然後第二季度增長了 10%，這僅僅是因為這些缺貨訂單的履行而高於趨勢線。所以我認為上半年，你會看到我們面臨著一些艱難的競爭，並且在第二季度仍然面臨著艱難的競爭，但這些競爭應該會在今年下半年緩解並正常化。

Our next question comes from Jason Bednar with Piper Sandler.

我們的下一個問題來自 Jason Bednar 和 Piper Sandler。

Joe or Micah, I wanted to start on maybe some of the new products as we think about Halo, Stork, W1. I know this is a funding year for a lot of these new products, really a building year to get these products off the ground. But can we talk about maybe an immediate-term economics on the hardware, help us with how you're thinking about margins and what volumes need to reach with Halo or Stork or W1 in order for those offerings to be breakeven. And then maybe from a timing perspective, should we be thinking about breakeven in 2024? Or is this more of a multiyear process to get to that part of the business profitable?

Joe 或 Micah，我想從一些新產品開始，比如 Halo、Stork、W1。我知道今年是許多新產品的融資年，實際上是讓這些產品落地的建設年。但我們能否談談硬件方面的近期經濟情況，幫助我們了解您如何考慮利潤率以及 Halo、Stork 或 W1 需要達到多少銷量才能使這些產品實現收支平衡。然後也許從時機的角度來看，我們是否應該考慮在 2024 年實現收支平衡？或者這更像是一個多年的過程才能使這部分業務盈利？

Well, we -- high level, we expect all of the business to be profitable from the day we launched them. We're not seeing margin limitation despite manufacturing the W1s right here in Irvine, we expect good margin on those. Micah, do you want to add anything to that?

嗯，我們——高層，我們預計所有業務從我們推出之日起就能盈利。儘管 W1 是在爾灣生產的，但我們並沒有看到利潤率限制，我們預計這些產品的利潤率會很高。 Micah，你想補充什麼嗎？

Yes. No, I think, Jason, we would expect, to Joe's point, I mean, those gross margins should be -- or the margins on those products should be supportive of our overall gross margins for the company. So to Joe's point, they wouldn't -- we don't expect those to be dilutive. In fact, if we can start to see -- drive some subscription-type revenues around some of those products as well over time, we could see even steady improvement above the corporate average. So -- but we are making some investments. I think I mentioned in my prepared remarks, about 100 basis points of promotional investments this year. And we're going to be very prudent and thoughtful about that as we invest going forward, and we want to see good results, and we'll continue to make the right investments to grow that business.

是的。不，我認為，傑森，我們預計，就喬的觀點而言，我的意思是，這些毛利率應該是——或者這些產品的利潤率應該支持我們公司的整體毛利率。因此，就喬的觀點而言，他們不會——我們預計這些不會被稀釋。事實上，如果我們能夠開始看到——隨著時間的推移，圍繞其中一些產品推動一些訂閱類型的收入，我們甚至可以看到高於企業平均水平的穩定增長。所以——但我們正在進行一些投資。我想我在準備好的發言中提到，今年的促銷投資約為 100 個基點。當我們繼續投資時，我們將對此非常謹慎和深思熟慮，我們希望看到良好的結果，我們將繼續進行正確的投資來發展該業務。

Okay. I guess just as we think about -- and maybe we're thinking about this differently in terms of how we're bucketing that profitability, but good to say that they're profitable in year 1, we're talking about like more than $20 million in revenue from these products this year, which I don't think is what you're saying, Micah, I don't want to put words in your mouth, but -- sorry, go ahead.

好的。我想正如我們所思考的那樣——也許我們在如何提高盈利能力方面的思考方式有所不同，但很好的是，他們在第一年就實現了盈利，我們談論的不僅僅是今年這些產品的收入為 2000 萬美元，我認為這不是你所說的，Micah，我不想讓你說的話，但是——抱歉，請說吧。

No, that's not -- I don't think that's what we're saying. I think what Joe is referring to is that it would be supportive of our gross margins. In terms of breakeven, I mean we're going to have to see how that plays out, but we're making about 100 basis points of investment this year and we have high expectations for these products, especially we think we'll see some meaningful revenues going into next year that could drive some leverage in that business. And hopefully, we turn profitability within the next year or so.

不，那不是——我不認為這就是我們所說的。我認為喬指的是這將支持我們的毛利率。就盈虧平衡而言，我的意思是我們必須看看結果如何，但今年我們進行了大約 100 個基點的投資，我們對這些產品抱有很高的期望，特別是我們認為我們會看到一些明年將產生可觀的收入，這可能會推動該業務的一些槓桿作用。希望我們能在明年左右實現盈利。

Yes. I think also it's important to note that we've done advertisements before and we've done it every year practically since we launched our product. And when you advertise even for a certain product, it does lift all boats in other areas. For example, during COVID, we were advertising our COVID product. And while the COVID priced it well, it actually helped Masimo grow. So yes, I think -- I don't think we are looking at losing money with any of this.

是的。我認為還需要注意的是，我們以前做過廣告，而且自從我們推出產品以來，我們幾乎每年都做廣告。當你為某種產品做廣告時，它確實會提升其他領域的所有船隻。例如，在新冠疫情期間，我們為我們的新冠產品做廣告。儘管新冠疫情定價合理，但它實際上幫助了 Masimo 的成長。所以，是的，我認為——我不認為我們會因為這一切而虧損。

Okay. No, fair enough. I mean, I think the -- the one thing that's really hard to tease out or tell right now is this -- these are entirely new categories that you're -- entirely new channels that you're marketing and selling into, which I think is why I'm just trying to gauge all the sensitivity around spending and then the uptake, but it sounds like that's right now not expected to be an issue or a problem. But maybe shifting to a different follow-up here...

好的。不，很公平。我的意思是，我認為，現在真正很難梳理或說清楚的一件事是，這些都是全新的類別，你正在營銷和銷售的全新渠道，我我認為這就是為什麼我只是試圖衡量有關支出的所有敏感性，然後是吸收率，但聽起來現在這預計不會成為一個問題。但也許在這裡轉向不同的後續行動......

Well, Jason, let me just maybe that's actually not a bad thing you're raising it, maybe the confusion out there. Remember, that's why we bought Sound United. There's 400 to 500 salespeople at Sound United that were there when we acquired them, that were going to be helping these new products. So while it is a new category for Masimo for the combined entity, we're not hiring people to support these launches. That's why we bought Sound United.

好吧，傑森，讓我說一下，也許你提出的這個問題實際上並不是一件壞事，也許是外面的混亂。請記住，這就是我們購買 Sound United 的原因。當我們收購 Sound United 時，他們有 400 到 500 名銷售人員，他們將幫助這些新產品。因此，雖然這是 Masimo 合併後實體的一個新類別，但我們不會僱用人員來支持這些發布。這就是我們收購 Sound United 的原因。

Understood. Yes. I'll handle some more there, maybe and following offline here. But from a competitive perspective, I guess I'm just wondering if you're seeing any changes in practices or tactics with your main patient monitoring competitor out there, evaluate some alternatives to its business -- not asking you to speak ill of a peer, but is there a distraction with that group? Or have you seen them turn more aggressive? Any shift in behavior there just with that asset being up for -- potentially up for sale or being spun off?

明白了。是的。我會在那里處理更多的事情，也許會在這裡離線關注。但從競爭的角度來看，我想我只是想知道你是否看到你的主要患者監控競爭對手在做法或策略上有任何變化，評估其業務的一些替代方案——而不是要求你說同行的壞話，但是這個群體有乾擾嗎？或者你有沒有看到他們變得更加咄咄逼人？當該資產被出售或被剝離時，行為是否會發生變化？

Well, it never helps to underestimate your competitors. But on the healthcare side, I think they tried everything. They can't slow us down. I hope to when they say that about the consumer side.

嗯，低估你的競爭對手永遠不會有幫助。但在醫療保健方面，我認為他們嘗試了一切。他們不能讓我們慢下來。我希望當他們談到消費者方面時。

Your next question comes from Jayson Bedford with RJ.

您的下一個問題來自傑森·貝德福德 (Jayson Bedford) 和 RJ。

Just a couple of questions. I guess just on the pipeline here, where do you stand with the timing of FDA clearance from both W1 and Stork? And then just walk through the decision to launch Stork without clearance?

只是幾個問題。我想，就在此時，您對 W1 和 Stork 獲得 FDA 批准的時間有何看法？然後就在未經許可的情況下決定推出 Stork？

We don't know, and we don't want to guess on when they're going to approve things. We're delighted that we got Opioid Halo cleared, and we hope the rest will clear as well. But the decision to launch Stork is because it's a baby monitor. If you notice we are not making alarm monitoring claims or things like that. And there's a significant business out there without making or needing to make those claims. So we decided to begin the sales of these products, given that we were seeing the high interest of the retailers that we're talking to without making those claims. But of course, as soon as we get the FDA clearance, we will announce that, and I think it should help as well.

我們不知道，我們也不想猜測他們什麼時候會批准事情。我們很高興我們清除了阿片類藥物光環，我們希望其餘的也能清除。但決定推出 Stork 是因為它是一款嬰兒監視器。如果您注意到我們沒有做出警報監控聲明或類似的事情。而且有很多重要的業務沒有做出或不需要做出這些聲明。因此，我們決定開始銷售這些產品，因為我們看到正在與我們交談的零售商表現出很高的興趣，但並未做出這些聲明。當然，一旦我們獲得 FDA 許可，我們就會宣布這一點，我認為這也應該有所幫助。

Okay. Just off topic here or a different topic. Is there any way to parse out the incremental cost related to the Apple suite in 1Q? And then just on the retrial from an expense standpoint, are most of these costs sunk? Or would you expect a similar spend on round 2?

好的。只是偏離主題或不同的主題。有什麼方法可以解析出第一季度與蘋果套件相關的增量成本嗎？那麼，從費用的角度來看，重審的話，這些成本大部分都是沉沒的嗎？或者您預計第二輪會有類似的支出嗎？

We're not new to defending our IP, but we are new to people just exercising the hell out of the court with motions. I think the number of motions Apple filed that was leading up to this trade secret trial, we're about 3x what we're used to. So it's funny you say that because I've been asking Micah, can we non-GAAP this extra stuff that's really related to Apple, not our standard stuff. Whether he gets comfortable with that or our auditors get comfortable with that, I don't know. But it is really not normal.

我們對保護知識產權並不陌生，但對那些在法庭外通過動議行使權力的人來說卻是新手。我認為蘋果公司在這次商業秘密審判之前提交的動議數量大約是我們習慣的數量的 3 倍。所以你說這很有趣，因為我一直在問 Micah，我們是否可以按照非公認會計準則計算這些與蘋果真正相關的額外內容，而不是我們的標準內容。我不知道他是否對此感到滿意，或者我們的審計員是否對此感到滿意。但這確實不正常。

Is there any way to quantify it?

有什麼辦法可以量化嗎？

I think we have. In the Wall Street Journal article, I think I mentioned we spent $55 million up until now on the Apple litigation. And of course, it's not just a trade secret case, is the ITC case and the patent case, but there's a lot more to go. As I said, there's 5 cases. We've just begun on 2 of them. So my -- unfortunately, I think we're going to spend over $100 million on these litigations.

我想我們有。在《華爾街日報》的文章中，我想我提到過我們迄今為止在蘋果訴訟上花費了 5500 萬美元。當然，這不僅僅是商業秘密案件，還有 ITC 案件和專利案件，但還有很多事情要做。正如我所說，有 5 個案例。我們剛剛開始其中兩個。所以，不幸的是，我認為我們將在這些訴訟上花費超過 1 億美元。

And Jayson, just to clarify, that's over -- since the inception of the cases. So it's over multiple years, about 3 years.

傑森，我想澄清一下，從案件開始以來，一切都結束了。所以已經很多年了，大約3年。

Our next question comes from Mike Matson with Needham & Company.

我們的下一個問題來自 Needham & Company 的 Mike Matson。

I just had a few on the Freedom watch. So -- and I guess the bands as well for that matter. But I checked out the website. It looks like it's got a $1,000 price tag on it. It seems pretty high compared to the competing products out there. Just wanted to get your take on that, especially since -- I assume it would require a subscription as well. And then what -- you said there was a lot of interest from the retailers and store. Have you seen -- what's the interest level been in the bands and Freedom?

我剛剛在自由手錶上看到了一些。所以——我想樂隊也是如此。但我查了一下網站。看起來它的價格標籤上有1000美元。與現有的競爭產品相比，它似乎相當高。只是想了解您對此的看法，特別是因為——我認為它也需要訂閱。然後你說零售商和商店對此很感興趣。你有沒有看到——人們對樂隊和自由的興趣程度如何？

Yes. We have 3 price points when it comes to the wearables. The most expensive is Freedom at about $1,000. The next most expensive product is a W1 at about $500. And then the Freedom band will probably be around $250. So we'll have something that does biosensing, the exact same biosensing for everyone, I believe. So then it's just a matter of what features do they want? And are they willing to pay for those features? I've seen people get really excited about the privacy switch, which nobody else has. So we'll have to see. But as I've said before, our customers that we're targeting are people that have chronic illnesses and that need a serious monitor, that's serious measurement, and they want it in a way that's unobtrusive.

是的。對於可穿戴設備，我們有 3 個價位。最貴的是 Freedom，大約 1,000 美元。第二昂貴的產品是 W1，價格約為 500 美元。然後 Freedom 的價格可能會在 250 美元左右。因此，我們將擁有能夠進行生物傳感的東西，我相信對每個人來說都是完全相同的生物傳感。那麼問題就在於他們想要什麼功能？他們願意為這些功能付費嗎？我看到人們對隱私開關感到非常興奮，這是其他人沒有的。所以我們得看看。但正如我之前所說，我們的目標客戶是患有慢性病的人，他們需要認真的監測，這是認真的測量，他們希望以一種不引人注目的方式進行監測。

So time will tell where we go. And as you know, we are trying to manufacture these products in the U.S., which makes the cost of goods greater than if we were doing them in China. But we'll see how it goes. Unfortunately, due to our conservative financial officer, we haven't projected a lot of revenue for these things. So we'll see.

所以時間會告訴我們我們要去哪裡。如您所知，我們正試圖在美國生產這些產品，這使得商品成本比我們在中國生產更高。但我們會看看事情進展如何。不幸的是，由於我們保守的財務官，我們沒有為這些事情預計很多收入。所以我們拭目以待。

Yes, yes. Fair point. But -- and then just W1 in the healthcare setting, are you seeing any signs of traction there with that product and channel?

是的是的。有道理。但是，就醫療保健領域的 W1 而言，您是否看到該產品和渠道有任何吸引力的跡象？

Well, W1 right now is being really marketed by our hospital sales force outside the U.S. In the U.S., we're still waiting for FDA clearance. We had not begun putting W1 into the consumer channel because we didn't want the consumers to think that is the watch we have in mind. We want them to first know Masimo as Freedom that is a much more beautiful design and has a lot more features. So now that we have begun the presales on Freedom, we're giving our consumer business team the ability if they want to begin selling W1 to their channel. So that may start happening towards the second half of the year.

嗯，W1 目前正在由我們的醫院銷售人員在美國以外的地區進行銷售。在美國，我們仍在等待 FDA 的批准。我們還沒有開始將W1放入消費者渠道，因為我們不想讓消費者認為這是我們想要的手錶。我們希望他們首先知道 Masimo 是 Freedom，它的設計更加美觀，並且具有更多功能。現在我們已經開始 Freedom 的預售，如果我們的消費者業務團隊想要開始向他們的渠道銷售 W1，我們將向他們提供這種能力。因此，這可能會在今年下半年開始發生。

Okay. And if I can just get one more in on the quarter. So I know there was an earlier question, but I guess I want to get more specific, the consensus I'm looking at it's $591 million of revenue, a $1.11 on EPS. Is that -- are you guys comfortable with that? Do you think the Street has -- analysts have modeled it correctly for the second quarter?

好的。如果我能在本季度再獲得一個。所以我知道之前有一個問題，但我想我想更具體一點，我所看到的共識是收入 5.91 億美元，每股收益 1.11 美元。你們對此感到滿意嗎？您認為華爾街分析師對第二季度的模型是否正確？

Yes. I think, Mike, when I look at the numbers right now, it looks like there was a consideration for the seasonality of both businesses where they traditionally stepped down in Q2. And the comps from last year, if you -- as I mentioned before, healthcare is up against a 19% comp on the growth rate last year in Q2, and non-healthcare is up against a 10% comp in Q2 last year. So I think you've got to look at that, consider that we still will see pretty heavy year-over-year currency headwinds as well similar to what we saw in Q1. And then, of course, the -- it starts to turn, I believe, into more of a tailwind in the back half on currency. So make sure that you're thinking through that as well.

是的。邁克，我認為，當我現在查看這些數字時，似乎考慮到了這兩家公司傳統上在第二季度退出的季節性因素。從去年的比較來看，正如我之前提到的，醫療保健行業去年第二季度的增長率為 19%，非醫療保健行業去年第二季度的增長率為 10%。因此，我認為你必須考慮到這一點，考慮到我們仍然會看到與去年同期相比相當嚴重的貨幣逆風，以及與第一季度類似的情況。當然，我相信，在下半年，它開始轉變為更多的貨幣順風。因此，請確保您也仔細考慮了這一點。

Yes. But we reiterated the full year guidance. So while the quarters might not be exactly the way you guys have put out there, we feel really good about the whole year.

是的。但我們重申了全年指引。因此，雖然這些季度可能與你們的表現不完全一樣，但我們對全年的感覺非常好。

And I think that was our last question. We thank you for joining us today, and I know you guys are going to be spending a lot of time with Micah and Eli. Look forward to talking to you next quarter.

我認為這是我們的最後一個問題。我們感謝你們今天加入我們，我知道你們會花很多時間與米迦和伊萊在一起。期待下個季度與您交談。

This concludes today's call. You may now disconnect.

今天的電話會議到此結束。您現在可以斷開連接。