AtriCure Q2 2024 Earnings Call Transcript

Quartr
Provided by Quartr
August 8, 2024

There are 13 speakers on the call.

Operator

Good afternoon. My name is Lody, and I will be your conference operator today. At this time, I would like to welcome everyone to the Western Midstream Partners Second Quarter 20 24 Earnings Conference Call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question and answer session.

Operator

I would now like to turn the conference over to Danielle Jenkins, Director of Investor Relations. Please go ahead.

Speaker 1

Thank you. I'm glad you could join us today for Western Midstream's 2nd quarter 2024 conference call. I'd like to remind you that today's call, the accompanying slide deck and last night's earnings release contain important disclosures regarding forward looking statements and non GAAP reconciliations. Please reference Western Midstream's most recent Form 10 Q and other public filings for a description of risk factors that could cause actual results to differ materially from what we discuss today. Relevant reference materials are posted on our website.

Speaker 1

With me today are Michael Ure, our Chief Executive Officer and Kristen Schultz, our Chief Financial Officer. I'll now turn the call over to Michael.

Speaker 2

Thank you, Daniel, and good afternoon, everyone. Yesterday afternoon, we reported another strong operational quarter for WES. Our sequential quarter throughput growth was driven by a robust system operability. And as a result, we experienced throughput records from both natural gas and crude oil and NGLs in the Delaware Basin for the 5th consecutive quarter. Taking these results into consideration, we still expect our throughput to steadily grow for the remainder of the year and for West to be towards the high end of our executed numerous agreements with both new and existing customers in several of our most active basins.

Speaker 2

1st, in the Delaware Basin, we signed several new agreements with both public and private customers for natural gas and produced water services that will positively benefit WES starting in the Q3 and to an even greater extent in 2025. 2nd, in the DJ Basin, we executed an amendment to DCP Midstream's now Phillips 66s natural gas processing agreement in the DJ Basin to extend the original firm processing capacity of 175,000,000 cubic feet per day from 2027 to 2029 on a 100% take or pay basis. Additionally, this multi year amendment provides Phillips 66 with an incremental 200,000,000 cubic feet per day of firm processing capacity, primarily supported by minimum volume commitments starting in 2026. If fully utilized, these agreements could fill up the remaining capacity across our DJ Basin complex over the coming years. 3rd, and just after quarter end, in Utah, we executed a multiyear natural gas processing agreement with Kinder Morgan in support of their Altamont Green River pipeline project providing for up to 150,000,000 cubic feet per day of firm processing capacity at our Chapita facility in the Uinta Basin, which is expected to be in service by mid-twenty 25.

Speaker 2

Finally, we executed agreements with several customers supporting Williams Companies Mountain West Pipeline expansion to provide up to 110,000,000 cubic feet per day of natural gas processing capacity at our Japita facility. We've already begun to receive a portion of these volumes and we expect incremental volumes in the months ahead. Taking all these agreements into account, we believe our existing cryogenic capacity at Chapita of 550,000,000 cubic feet per day may be fully utilized by the second half of twenty twenty five. Turning to the balance sheet, the sale of non core assets throughout the Q1 and early in the second quarter enabled us to achieve our trailing 12 month net leverage ratio threshold of 3 times earlier than anticipated. In this leverage environment, we will continue to look for the most efficient ways to allocate capital to generate the best returns for our unitholders over time.

Speaker 2

Those options include investing capital to prudently expand the business. In order to bring more throughput onto our systems, we will continue to allocate capital to organic growth projects that grow volumes and meet our strict returns thresholds with the goal of driving adjusted EBITDA and free cash flow higher and enhancing our return on assets over time. 2nd, allocating capital towards accretive M and A. We continue to evaluate strategic opportunities that will ultimately enhance the value of our existing asset base, such as the Meritage Midstream acquisition that closed in the Q4 of 2023. And finally, increasing the base distribution.

Speaker 2

As our business grows and we generate incremental free cash flow, management and the Board will continue to look at opportunities to grow the base distribution in line with the overall growth in our business. If our business outperforms relative to our initial expectations in a given year, we also have the enhanced distribution framework in place to return the unitholders. We will remain opportunistic regarding unit buybacks and additional debt retirement. However, based on current market conditions and our net leverage ratio of 3 times, we do not expect these options to be the most efficient ways to allocate capital. With that, will turn the call over to Kristin to discuss our operational and financial performance.

Speaker 3

Thank you, Michael, and good afternoon, everyone. Our reported Q2 natural gas throughput was relatively flat on a sequential quarter basis, primarily due to strong throughput growth in the Delaware, DJ and Powder River Basins, offset by decreased throughput from the sale of the Marcellus gathering system early in the second quarter. Our natural gas throughput from our operated assets increased by 3% on a sequential quarter basis. While our reported crude oil and NGL throughput declined by 9% on a sequential quarter basis as a result of equity investment divestitures completed during the Q1, our crude oil and NGL throughput from our operated assets increased by 6% on a sequential quarter basis due to strong throughput growth in Delaware, DJ and Powder River Basins. Produced water throughput decreased by 4% on a sequential quarter basis due to fluctuations in produced water used for recycling activities upstream operations of our producers.

Speaker 3

Our 2nd quarter per Mcf adjusted gross margin for natural gas assets was relatively flat quarter over quarter, and we expect our 3rd quarter per Mcf adjusted gross margin to be in line with the 2nd quarter. Our 2nd quarter per barrel adjusted gross margin for our crude oil and NGL assets increased by $0.04 compared to the prior quarter. This was primarily due to the sale of our interest in the Whitehorn and Saddlehorn pipelines in the Q1, both of which had a lower than average per unit margins as compared to our other crude oil and NGL assets and increased throughput in the Delaware Basin. We expect our 3rd quarter per barrel adjusted gross margin to be in line with the 2nd quarter. Our 2nd quarter per barrel adjusted gross margin for our produced water assets was also relatively flat quarter over quarter, and we expect our 3rd quarter per barrel adjusted gross margin to be in line with the 2nd quarter.

Speaker 3

During the 2nd quarter, we generated net income attributable to limited partners of $370,000,000 and adjusted EBITDA of $578,000,000 Relative to the Q1, our adjusted gross margin decreased by $9,000,000 This decrease was mostly driven by the sale of the Marcellus gathering system and the equity investment, partially offset by higher throughput in profitability from the Delaware DJ and Powder River Basins. Our adjusted EBITDA decreased sequentially by 5% or $30,000,000 due to the decrease in adjusted gross margin that I just mentioned, increased operation and maintenance expense and more normalized property and other taxes. If you recall, in the Q1, we benefited from lower than anticipated costs, which resulted in higher than expected adjusted EBITDA. Going forward, we expect our operation and maintenance expense to trend modestly higher in the Q3, primarily driven by increased throughput, seasonally higher utility costs and increased asset maintenance and repair expense. As a reminder, we expect seasonality associated with our utility expense in the summer months due to higher estimated electricity pricing and greater energy usage in conjunction with increased throughput.

Speaker 3

Turning to cash flow, our 2nd quarter cash flow from operating activities totaled $631,000,000 generating free cash flow of $425,000,000 Free cash flow after quarter 2024 distribution payment in May was $84,000,000 From a capital markets perspective, as previously announced, in the Q2, we opportunistically repurchased $135,000,000 of senior notes through open market transactions, which has resulted in $150,000,000 of total debt repurchases year to date, all at approximately 96% of par. Finally, in July, we declared a base distribution of $0.875 per unit, which was unchanged relative to our previous announcement in April and is payable on August 14 to unitholders of record as of August 1. Based on our operated throughput performance to date and continued strong producer activity levels, we still expect average year over year throughput growth for all products in the Delaware Basin, DJ Basin and Powder River Basin. We still expect our portfolio wide average year over year throughput to increase by mid to upper teens percentage for natural gas, low teens percentage for crude oil and NGLs and mid to upper teens percentage for produced water. Focusing on our financial guidance, with the throughput growth I just described, we still expect to be towards the high end of our previously disclosed adjusted EBITDA and free cash flow guidance ranges of $2,200,000,000 to $2,400,000,000 and $1,050,000,000 to $1,250,000,000 for the year, respectively.

Speaker 3

Additionally, we still expect our 20 24 capital expenditure guidance to range between $700,000,000 $850,000,000 implying a midpoint of $775,000,000 We continue to expect just over 80% of our capital budget to be spent in the Delaware Basin, the majority of which is expansion capital for the North Loving plant construction and additional system expansion to facilitate continued throughput growth. As previously mentioned, we expect to allocate incremental capital to the Powder River, DJ and Uinta Basin to facilitate throughput growth over the next 18 months. In the Powder River Basin, several existing customers plan to accelerate completion activities as we exit 2024. Thus, we are allocating incremental capital in 2024 2025 to expand existing compression facilities and to account for incremental well connects. In the DJ Basin, we expect to invest incremental capital in 2025 to support the new and extended agreements with Phillips 66.

Speaker 3

And in the UN to basin, based on our commercial success connecting Kinder Morgan's Altamont pipeline and with the shippers on Williams Mountain West pipeline expansion, we are allocating incremental capital predominantly in 2025 to expand pipeline connections, increase existing compression capacity and to expand crude oil stabilization capacity at the facility. Our full year base distribution guidance of at least $3.20 per unit remains unchanged. We will continue to evaluate the base distribution on a quarterly basis influenced by the health and growth trajectory of our business. As a reminder, any potential enhanced distribution payment in 2025 will be based on our full year 2024 financial performance, governed by our year end 2024 leverage threshold of 3 times and subject to the Board's discretion. I'll now turn the call back over to Michael.

Speaker 2

Thank you, Kristin. I would like to highlight that we will be releasing our annual sustainability report in the coming weeks, which will detail our 2023 sustainability accomplishments. This report highlights our successful attainment of our 2023 sustainability goals, which included targeting and implementing systems and processes to monitor our GHG emissions, safety culture and community volunteering efforts, as well as additional details on all of our environmental, social and governance practices. Once available, I encourage you to read more about our 2023 accomplishments in the report, and we look forward to building on this momentum in the years ahead as we continue to advance energy by enhancing the sustainability of our operations.

Speaker 4

Before we

Speaker 2

open it up for Q and A, I would like to highlight a few key points and reiterate why West remains a differentiated and attractive investment opportunity. Since becoming a standalone organization, we have worked hard to grow the business while greatly improving the financial position of the partnership. We have achieved record operated throughput for several quarters, which has been driven by our increasing asset operability and continued strong activity levels from our producing customers. These strong throughput numbers are expected to result in record adjusted EBITDA and free cash flow this year and these improving trends over the past few years have put us in a position to reduce leverage and to return even more capital to stakeholders. We did this while maintaining strict returns thresholds for expansion capital spending, which drove increases in return on assets to upper double digit territory compared to an average of approximately 13% for our midstream peers.

Speaker 2

We accomplished all of this while paying approximately $3,500,000,000 in base and enhanced distributions, reducing $943,000,000 of net debt and repurchasing just over $1,100,000,000 of West units or approximately 15% of the unaffected unit count, all since early 2020. This combination of efforts has culminated in leading unitholder returns and total capital return yield for West unitholders relative to our midstream peers, the S and P 500 Index and the S and P 500 Energy Index. Focusing on the distribution yield, West still offers a very compelling investment opportunity when comparing its yield to the average yield of all subsectors within the S and P 500. In fact, WES offers more than double the average yield of any sector within the S and P 500 Index and WES continues to maintain the highest distribution yield among our midstream peers. Clearly, West continues to provide one of the strongest tax deferred investment opportunities, not only within the midstream space, but relative to all subsectors of the S and P 500.

Speaker 2

Finally, from a valuation perspective, the current average MLP valuation still trades at approximately 8.5 times, a discount of just over 5 times compared to the average MLP valuation from 2011 through 2016. Meanwhile, balance sheets continue to strengthen. Free cash flow continues to grow and the future business prospects of the industry remains strong. Also, the average current distribution yield remains just over 9 percent compared to the average MLP distribution yield of just under 7% from 2011 through 2016, a time when midstream MLPs generated negative free cash flow and leverage was increasing. We continue to argue that the new MLP model is deserving of evaluation rerate, especially when you take into account the corporate tax burden that C Corps in the midstream space and other sectors of the economy will face over the coming years.

Speaker 2

There is no doubt that as net operating losses are exhausted, the current tax burden faced by C Corps will result in less capital available for unitholder returns, which continues to present a very compelling investment opportunity for WES and the MLP space. To close, I would like to thank the entire WES workforce for all of their hard work and dedication. I would also like to thank all of the teams within our organization that are working to finalize our 2023 sustainability report. The year is off to a strong start and I look forward to updating you on our Q3 results in November. With that, we will open the line for questions.

Speaker 5

Thank you. Your first question comes from the line of Gabe Moreen at Mizuho. Your line is now open.

Speaker 6

Hey, good afternoon, everyone. I just wanted to ask about the growth that you're seeing in the DJ and the Uinta. And it sounds like whether medium term or long term using up the rest of your slot capacity there. How do you think about potentially growing beyond using up that capacity? Is that something you think you're planning for right now and just managing growth just in those basins where I don't think think investors were expected to see that 6 to 12 months ago?

Speaker 7

Yes. Hey, Gabe, this is Michael. We're incredibly excited about the new volumes that we're expecting to come onto the system, both of the DJ and the Uinta basins. We were always big believers in those basins historically and definitely feel that way today. As we look at it now, no expectations or plans in terms of broad expansions within those areas.

Speaker 7

Obviously, we will continue to have capital expenditures as it relates to maintenance and compression and well connects, but currently not projecting to have any major projects in those areas. More it's about utilization of existing assets and capacity out there, which we're really excited to be able to service our customers in those areas.

Speaker 6

Thanks, Michael. And then maybe if I can sort of follow-up to that question on secondary basins and what you're seeing out there as far as M and A. You're able to get Meritage at a really nice multiple. Are you still seeing that differential out there, I guess, for assets outside the Permian? Is that of interest, particularly now that you've seen, I guess, some perking up in growth in some other basin?

Speaker 7

Yes. For us, our focus really hasn't changed from an M and A standpoint. We're really looking at ways in which we can acquire assets that we can differentiate what it is that is already happening within those assets. And so that primarily means that they're in and around areas where we currently operate. And so as we think about M and A, it's about enhancing typically it's about enhancing areas in which we currently operate and can provide a differentiated set of synergies related to the opportunity itself.

Speaker 6

Great. And then just if I could squeeze one last stand one in, you mentioned some additional MVCs in the Delaware. Could you maybe quantify some of that? And also within the bigger picture of kind of where you stand 3rd party business versus Oxy, what those MVCs and how they ship things for you?

Speaker 7

Yes. So, we are able to get MVCs that relates to contracts that we're getting and that's irrespective of the counterparty. And so for us, again, we're really focused on returns overall. We want to make sure that if we're going to spend any capital that we're able to do that at a level that satisfies those returns thresholds where the MVCs come into play. And so as you've seen in the transactions or the new commercial deals that we've announced, we've been able to do that with MVCs really across the board and those are not with related parties.

Speaker 6

Okay. Thanks very much.

Speaker 7

Thanks, Ken.

Speaker 5

Thank you. Your next question comes from the line of Keith Stanley at Wolfe Research. Your line is now open.

Speaker 8

Hi, good afternoon. So just touching back on, I guess, CapEx. In the past, you've talked about a meaningful year over year decline in 2025 CapEx. Any updated comments you'd make there given the need to invest some in growth in the DJ PRB and Uinta Basins? And then separately, any progress on contracting for a new plant in the Permian?

Speaker 8

Or is there still a lot to do on that before moving forward?

Speaker 7

Yes. So we would expect that there will be a step down. There would be a step down in capital for 2025. Obviously, we're excited about the new commercial agreements, which will require a little bit of capital in order to satisfy those agreements and make our customers happy. As it relates to new plants in the Permian, no plans to increase plant capacity in the Permian as we sit here today.

Speaker 7

So no change from previous comments that we've made on increasing capacity there.

Speaker 8

Thanks for that. The second question, so leverage you got to your 3 times target now. Does that impact how you think about the timing for another distribution increase? Or is that more tied to growth in free cash flow in the business?

Speaker 7

Yes. It's a little bit of both. Obviously, we're really excited to be able to get to that level earlier than expectations As we think about base distribution, the base distribution itself, we really try and tie that towards the free cash flow generation of the business and then what it is that we can and should be using that capital for. Now that we are at the 3 times leverage level, as I mentioned in my prepared remarks, that really opens up the possibility for us to be able to use that capital without having the need to focus as much on buybacks, whether they're debt or equity around distribution growth, base distribution growth.

Speaker 4

Thank you. Thanks, Keith.

Speaker 5

Thank you. Your next question comes from the line of Jeremy Tonet at JPMorgan Chase. Your line is now open.

Speaker 9

Hi, good afternoon.

Speaker 7

Hey, Jeremy.

Speaker 9

Just wanted to come back to the Uinta, if I could. And as it relates to Chipeta, just wondering how much latent processing capacity is there right now? Just trying to think through I guess how runway there is how much runway there is before there would need to be more investment?

Speaker 7

We do have sufficient capacity as it relates today to be able to satisfy all of the needs with these incremental new commercial agreements that we've been able to achieve. So, I wouldn't expect that that would require any plant expansion to be able to satisfy that growth that we're expecting and have contracted to bring out in the system.

Speaker 9

Got it. That's helpful. And then you listed a string of commercial wins here. And just kind of curious how capital intensive, I guess, these initiatives are? Or is this just kind of very accretive filling up open capacity for the most

Speaker 7

Yes, highly accretive from that standpoint. There is some capital, but it's far more limited capital to be able to satisfy these commercial agreements. So we're really excited to be able to utilize some of the latent capacity that we had in those areas. Like I said, we were always believers that those volumes would come and now we're seeing some of that progress. We're really, really happy with the operational efficiencies that we've been able to drive obviously focus on our customers, which is why we believe in part these new deals were able to come onto the system.

Speaker 7

So but for the most part, highly accretive minimal capital to be able to satisfy these new agreements.

Speaker 9

Got it. Very helpful. And just last one, if I could real quick here. I mean, we haven't seen I can't recall this number of commercial wins in 1 quarter. Anything that kind of fed into it now?

Speaker 9

Do you see more opportunities like this? Just trying to get a better view of the backdrop here.

Speaker 7

It comes a little bit in waves. Obviously, the team, I can tell you, is as every quarter. But as it happens, the transactions themselves take some time to bring on to our system. So again, a lot of energy around it, a lot of excitement. We have a phenomenal commercial team that's out there trying to look for transactions all the time.

Speaker 7

But I certainly wouldn't expect this number of commercial deals every quarter. I would hope for it, but I shouldn't we shouldn't expect that.

Speaker 9

Got it. That's helpful. I'll leave it there. Thanks.

Speaker 10

Thanks, Jeremy.

Speaker 5

Thank you. Next question comes from the line of Spiro Dounis at Citi. Your line is now open.

Speaker 10

Thanks, operator. Afternoon, team. Just wanted to start maybe with the DJ, if we could. I guess as we understand it, obviously, it's been pretty active there so far this year. But I think is the way it works with NBCs, we're maybe not seeing it show up on your side as much.

Speaker 10

And so I'm just curious, any sense how close you are to seeing the torque from that volume ramp?

Speaker 7

Yes. As it relates to crude in particular, we wouldn't expect that we'll exceed those NBCs for 2024. But to your point, they've been active out there. They've seen some incredibly positive results. That's part of the reason why we're seeing some of the real over performance there in addition to the new commercial agreements.

Speaker 7

But in particular, as it relates to the oil side, it's still below MVC levels expectations out through 2024.

Speaker 10

Got it. Okay. So we'll wait on that one. Second question just going to the guidance and sorry if I'm splitting hairs here a little bit, but you reaffirmed the top end of the range again and it would seem as though some of these new agreements that you signed do have a benefit for 2024. So I guess I'm just curious, were these agreements contemplated in that guide and getting to that top end or does this actually create a scenario where maybe outperform the high end?

Speaker 7

Yes. These will have some impact in 2024, but actually the vast majority of the impact is in future periods. And so while they're incremental hadn't been planned within our forecast, really doesn't change where we sit as it relates to the guidance on a quarter on quarter basis. What it really does though is it gives us some really strong tailwinds as it relates to future periods, particularly in assets that we had some latent capacity out there. So really excited about what it does for us in future periods with less of an impact in 2024.

Speaker 10

Got it. I'll leave it there. Thanks, Michael.

Speaker 7

Thanks, Drew.

Speaker 5

Thank you. The next question comes from the line of Manav Gupta at UBS. Your line is now

Speaker 11

open. Good afternoon. I basically wanted to discuss the agreements you're doing with PSX. Looks like you amended the agreement with DCP, which is now PSX and then looks like there is a seasonality there, incremental volumes coming probably in 2026. So can you talk about the opportunities as DCP, PSX and PSXP have all become PSX?

Speaker 11

Are there more opportunities to do business with this company?

Speaker 7

Yes. So actually this is we're really proud of the relationship that we've had historically with both TCP as well as P66. So I would say that this relationship has been something that we've had really for a long time. In fact, the extension of one of these agreements is one that we entered into about 5 years ago. And so I haven't really seen or I wouldn't attribute any of these new agreements to a changeover in ownership.

Speaker 7

It's just been a strong relationship we've had for some time.

Speaker 11

Perfect. And how should we think about volumes and margins that Mentone 3 is in service and how is the ramp North Loving plant looking like? Thank you.

Speaker 7

Yes. North Loving still expecting to be on time and on budget for Q1 2020 As we look to margins for the Q3, we would expect margins for the Q3 to be relatively in line with the Q2.

Speaker 11

Thank you.

Speaker 5

Thank you. The next question comes from the line of Neil Mitra at Bank of America. Your line is now open.

Speaker 4

Hi, thanks for taking my question. I wanted to understand the processing needs past North Loving. Understand there's a lot of interruptible volumes that you're offloading there. So when you think about offloading versus processing needs, could you maybe quantify how much capacity for loads or timing of when those contracts end? And then would you build a new processing plant if you had enough interruptible volumes that you think it could underwrite the plant?

Speaker 7

So the way that we think about interoperable volumes, generally speaking, is that we if we don't have existing capacity available, then that's when we'll try and use offloads to take some of that interruptible volume. When it is that we do receive commitments, that's when we try and tie our long term capital with the long term commitment of our customers. And that helps us get more comfortable with the investment itself. As we sit here today, we do have some offloads and that's really bridging those interruptible volumes to when we get North Loving online. Once North Loving comes online, then we'll bring those onto our system.

Speaker 7

I guess it depends a little bit in degrees and confidence level on the interruptible side. If we had significant excess interruptible volumes that would justify a plan under the conservative assumptions that we might apply to those volumes coming through our system, then it could justify it. But historically, that's not been the way that we've done it. We've done it more to align our long term capital with the long term commitments of our customers.

Speaker 4

Okay, perfect. Thanks for the answer. Second question pertains to the commercial wins that you had in the Delaware for the quarter. Could you maybe walk through offering gas gathering, crude gathering and water, if you're able to bundle some services and that gave you an advantage in procuring some of these contracts?

Speaker 7

Yes. So these contracts actually were not necessarily related to bundling. They're just a one product set of contracts that we're able to achieve in these particular areas. We do see, however, in the Permian in particular, great value in us being able to gain new customers get much more customers get much more comfortable with our area our manner of operating than it has resulted in incremental new volume streams onto the system. So in West Texas, that's definitely been employed as it relates to these new customer contracts.

Speaker 7

For the most part, these are just single product contracts that we've added into.

Speaker 4

Got it. Really appreciate the color. Thank you.

Speaker 7

Yes. Thanks, Neil.

Speaker 5

Your next question comes from the line of Zach Vaneffern at TPH. Your line is now open.

Speaker 12

Hey guys, thanks for taking my question. Just a quick one on the contract extension with PSX or DCP. Was that at the same rate and it was just length extension or was there any changes to the fixed rate there?

Speaker 7

Yes, we typically thanks for the question, Zach. We typically don't talk about contract specific items as it relates to any contract that we enter into for various reasons. What I would say though is that again this highlights the wonderful partnership that we have with them. We think a lot of them overall and obviously this series of agreements highlights the strong manner in which we've been able to work together.

Speaker 12

Got you. That makes sense. And then maybe a bit of a hypothetical one here, but on M and A, with TSX going through a bit of a transition, if those DCP assets were ever to hit the market, are you guys would that be too high of DJ as far as FTC risk? Or do you think that's something that they would allow? Obviously, very hypothetical, but just looking at location and opportunity and how much contracts you already have with them?

Speaker 7

Very hypothetical, but very specific, Zach. I can't actually comment on any specific transaction, hypothetical or otherwise. As it relates to M and A, I'd just reiterate kind of what our position is, which is we're looking for ways that we can add some accretive opportunities to us to continue emphasize what it is that we believe that we do differently from a customer service standpoint and allow those types of transactions to enhance the returns to the enterprise, which we've been really focused on from the very beginning of becoming a standalone enterprise.

Speaker 12

Perfect. I appreciate that. Thanks, guys.

Speaker 7

Thank you.

Speaker 5

Thank you. There are no further questions at this time. Mr. Ohr, I turn the call back over to you.

Speaker 7

Thank you very much. Thanks everyone for joining. This marks the 5 year anniversary of my appointment to this role. I'm so proud of what this organization has been able to achieve, the incredible benefits and abilities that we've been able to demonstrate to the market, the debt reduction, the repurchase of units, the increase in the distribution, the new customer wins, our focus on our customer has been remarkable overall. I'd like to also congratulate Danny Holderman on the appointment as Chief Operating Officer.

Speaker 7

Danny is an excellent leader and we really look forward to what he'll continue to do as we focus on operational excellence and customer service. I want to thank the West people for their continued efforts in the pursuit of excellence overall. And with that, we thank you all for joining.

Speaker 5

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

Powered by Quartr
Earnings Conference Call
AtriCure Q2 2024
00:00 / 00:00