AirSculpt Technologies Inc (AIRS) 2024 Q3 法說會逐字稿

Greetings, and welcome to AirSculpt Technologies in third- quarter, 2024 earnings conference call. (Operator Instructions)

大家好，歡迎參加 AirSculpt Technologies 2024 年第三季財報電話會議。（操作員說明）

As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, MS Allison Malkin from ICR. Thank you, Miss Malkin. You may begin.

提醒一下，本次會議正在錄製中。現在我很高興向大家介紹你們的主持人，來自 ICR 的艾莉森·馬爾金女士。謝謝你，馬爾金小姐。你可以開始了。

Good morning everyone and thank you for joining us to discuss our AirSculpt Technologies results for the third quarter of fiscal 2024.

大家早安，感謝您與我們一起討論 AirSculpt Technologies 2024 財年第三季的業績。

Joining me on the call today is interim Chief Executive Officer and Chief Financial Officer Dennis Dean. Before we begin, I would like to remind you that this conference call may include forward-looking statements.

今天與我一起參加電話會議的是臨時執行長兼財務長丹尼斯‧迪恩 (Dennis Dean)。在我們開始之前，我想提醒您，本次電話會議可能包含前瞻性陳述。

These statements may include our future expectations regarding financial results and guidance, market opportunities and our growth risk and uncertainties that may impact these statements and could cause actual future results to differ materially from currently projected results are described in this morning's press release and the reports we will file with the SEC, all of which can be found on our website at investors.arsculpt.com.

這些陳述可能包括我們對財務表現和指導的未來預期、市場機會以及我們的成長風險和不確定性，這些風險和不確定性可能會影響這些陳述，並可能導致未來的實際結果與當前預測的結果產生重大差異，這些因素在今天早上的新聞稿和我們的報告中進行了描述。

We undertake no obligation to revise or update any forward-looking statements or information except as required by law. During our call today. We will also reference certain non-GAAP financial measures. We use no GAAP measures in some of our financial discussions as we believe they more accurately represent the true operational performance and underlying results of our business.

除法律要求外，我們不承擔修改或更新任何前瞻性陳述或資訊的義務。在我們今天的通話中。我們也將參考某些非公認會計準則財務指標。我們在一些財務討論中不使用公認會計原則衡量標準，因為我們相信它們更準確地代表了我們業務的真實營運績效和基本結果。

A reconciliation of these measures can be found in our earnings release as filed this morning and in our most recent 10-Q, which will also be available on our website. For today's call, Dennis will begin with an overview of the quarter and share an update on our strategic initiatives followed by a review of our financials and guidance.

這些措施的調節可以在我們今天早上提交的收益報告和最近的 10-Q 報告中找到，這些報告也將在我們的網站上提供。在今天的電話會議中，丹尼斯將首先概述本季度，並分享我們戰略計劃的最新情況，然後回顧我們的財務和指導。

Following our prepared remarks, we will open the call to take the questions you have for us today. With that, I'll turn the call over to Dennis.

在我們準備好的演講之後，我們將開始電話會議，回答大家今天向我們提出的問題。這樣，我會將電話轉給丹尼斯。

Good morning, everyone and thank you for joining today's call. Our third quarter results were in line with our expectations and included solid progress on our back to basics priorities. These priorities focus on three initiatives, improving the conversion of current and prior lead volumes to perform cases, ensuring our recent De Novo center openings are successful and bettering cost management.

大家早安，感謝您參加今天的電話會議。我們的第三季業績符合我們的預期，並且在我們回歸基本優先事項方面取得了堅實的進展。這些優先事項集中在三項措施上，即改善目前和先前的銷售線索量以執行案件的轉換，確保我們最近開設的 De Novo 中心取得成功並改善成本管理。

We believe this approach has us on the right track to improve performance as we navigate a continuing dynamic macro environment. Briefly highlighting our financials revenue totaled $42.5 million in the third quarter, down 9.1% year over year with case volume down 4.3% from the prior year third quarter.

我們相信，在我們應對持續動態的宏觀環境時，這種方法使我們走上了提高績效的正確軌道。簡單強調一下，我們第三季的財務收入總計 4,250 萬美元，年減 9.1%，案件量較去年第三季下降 4.3%。

Same store cases declined 8.1% over the prior year but improved significantly from the decline of 14% report in the second quarter of this year. Adjusted EBITDA was $4.7 million or 11% of revenue versus $9.1 million or 19.4% of revenue in the prior year quarter, the decline in revenue accounted for $3 million of the decrease.

同店案比去年同期下降 8.1%，但較今年第二季 14% 的下降幅度明顯改善。調整後 EBITDA 為 470 萬美元，佔營收的 11%，而去年同期為 910 萬美元，佔營收的 19.4%，其中 300 萬美元是由收入下降造成的。

With the remainder mostly due to the costs related to new De Novo openings. As a reminder, it takes approximately three to four months for new centers to reach profitability. And let me now turn to the progress made in our back to basics priorities as it relates to converting demand for air sculp to cases in our lowest seasonal quarter of the year.

其餘部分主要是由於與新的 De Novo 開業相關的成本。提醒一下，新中心大約需要三到四個月才能獲利。現在讓我談談我們在回到基本優先事項方面的進展，因為這涉及將浮渣需求轉化為一年中最低季節性季度的情況。

And while our core customers are still facing macro challenges, we are starting to see measured improvement in converting leads to consultations. We believe this is tribal to our return to a more targeted advertising approach of page search advertising at the center level and our continued engagement with historical leads.

儘管我們的核心客戶仍面臨宏觀挑戰，但我們開始看到在將潛在客戶轉化為諮詢方面取得了明顯的進展。我們相信，這與我們在中心層面回歸更有針對性的頁面搜尋廣告方式以及我們與歷史線索的持續接觸密切相關。

As you're aware, AirSculpt is a considered purchase with an average spend between $12,000 and $13,000. In this environment it is common to see a longer time frame just convert leads into cases. Historically, our experience shows that it takes approximately 45 days to convert a lead to a case. For the third quarter, it was closer to 60 days.

如您所知，AirSculpt 是一項經過深思熟慮的購買，平均花費在 12,000 美元到 13,000 美元之間。在這種環境下，通常會看到更長的時間框架將潛在客戶轉化為案例。從歷史上看，我們的經驗表明，將潛在客戶轉化為案例大約需要 45 天。第三季接近 60 天。

In response, we have implemented a number of initiatives to drive leads and conversions to cases. And let me share some examples. We are now utilizing salesforce software to help us reconnect with customer leads in our database and better nurture and communicate with them to offer a more catered experience which should help increase conversion to cases over time.

作為回應，我們實施了一系列措施來推動潛在客戶和案例轉換。讓我分享一些例子。我們現在利用salesforce 軟體來幫助我們重新與資料庫中的客戶線索建立聯繫，並更好地培養和與他們溝通，以提供更迎合客戶的體驗，這將有助於隨著時間的推移提高案例轉換率。

Importantly, as these established leads, convert to cases, they do so at no additional cost which will in turn help lower our customer acquisition cost. We have also added new payment options that give consumers more flexibility to finance procedures. We believe this is an effective way to drive incremental revenue by allowing eligible consumers to schedule higher price procedures which should also help us improve our margins.

重要的是，當這些已建立的線索轉化為案例時，他們不需要額外的成本，這反過來又有助於降低我們的客戶獲取成本。我們還增加了新的支付選項，使消費者能夠更靈活地進行融資程序。我們相信，這是透過允許符合條件的消費者安排更高的價格程序來增加收入的有效方式，這也應該有助於我們提高利潤。

Our second priority is to drive productivity from our recent De Novo locations. We continue to be pleased with the performance of our 2023 De Novo center class. Each of the US centers that have been open for 12 months are performing ahead of our stated year one revenue objective of $4.5 million. Similarly, these centers are also achieving a payback of less than one year.

我們的第二要務是提高我們最近的 De Novo 工廠的生產力。我們仍然對 2023 年 De Novo 中心級的表現感到滿意。每個已開業 12 個月的美國中心均超額完成我們規定的第一年 450 萬美元收入目標。同樣，這些中心也實現了不到一年的投資回收。

We believe the excellent performance of these centers is the result of our more seasoned recruiting sales and operation teams which should also benefit our recent new center openings as well. As it relates to new locations, it was a busy quarter.

我們相信這些中心的出色表現是我們經驗豐富的招募銷售和營運團隊的結果，這也應該有利於我們最近開設的新中心。由於涉及新地點，這是一個繁忙的季度。

We opened centers in Kansas City, Kansas, Columbus, Ohio, Deerfield, Illinois, and Birmingham, Michigan. And while early so far, we are pleased with our new cohort performance. Our fifth and final opening for 2024 is expected to open in White Plains, New York in the next few weeks.

我們在堪薩斯州堪薩斯城、俄亥俄州哥倫布、伊利諾伊州迪爾菲爾德和密西根州伯明罕開設了中心。雖然到目前為止還為時過早，但我們對新團隊的表現感到滿意。我們 2024 年的第五家也是最後一家店預計將在未來幾週內在紐約懷特普萊恩斯開業。

As of September 30, 2024 we operated 31 facilities versus 27 at the end of the third quarter of 2023. Looking ahead, we have a strong pipeline of new centers overall, we continue to believe we have significant opportunity to operate over 100 centers in the medium term and have three locations currently identified for 2025 and expect to increase that number in the next few months.

截至 2024 年 9 月 30 日，我們經營 31 個設施，而 2023 年第三季末我們經營 27 個設施。展望未來，我們總體上擁有強大的新中心儲備，我們仍然相信我們有很大機會在中期運營100 多個中心，目前已確定2025 年的三個地點，並預計在未來幾個月內增加這一數字。

Turning to our third priority. The quarter also saw continued progress on our cost savings goal as we have identified and achieved half of our planned $1 million savings goal for the back half of the year. And on an annualized basis, we expect to deliver savings of $2 million and we will continue to prudently invest savings into higher return marketing activities as we work to increase leads and case growth.

轉向我們的第三個優先事項。本季我們的成本節約目標也持續取得進展，因為我們已經確定並實現了下半年計畫的 100 萬美元節約目標的一半。按年計算，我們預計將節省 200 萬美元，並且在我們努力增加潛在客戶和案例成長的同時，我們將繼續謹慎地將節省的資金投入到回報更高的行銷活動中。

Let me now share additional insights into our financial performance and guidance. As mentioned, revenue for the quarter was$42.5 million a 9.1% decline versus the prior year quarter with same store revenue down 13%. The decline in revenue this quarter was mainly driven by lower case and lead volume due to the challenging consumer spending environment.

現在讓我分享更多有關我們財務表現和指導的見解。如前所述，本季營收為 4,250 萬美元，比去年同期下降 9.1%，同店營收下降 13%。本季收入下降的主要原因是消費者支出環境充滿挑戰，導致銷售和鉛量下降。

In addition, while our average revenue per case, this quarter was $12,984 and on the high side of our $12,000 to $13,000 range, it compares to $13,658 in last year's third quarter, which was unusually high driven by patients having more areas treated than any other quarter.

In addition, while our average revenue per case, this quarter was $12,984 and on the high side of our $12,000 to $13,000 range, it compares to $13,658 in last year's third quarter, which was unusually high driven by patients having more areas treated than any other四分之一.

Notably, while leads are lower, our ability to convert leads to consultations showed some improvement which we attribute to our return to a more efficient marketing spend. The percentage of patients using financing to pay for procedures was 53% which is consistent with recent quarters.

值得注意的是，雖然潛在客戶數量較低，但我們將潛在客戶轉化為諮詢的能力有所改善，我們將其歸因於更有效率的行銷支出。使用融資來支付手術費用的患者比例為 53%，與最近幾季的情況一致。

As a reminder, we receive full payment of all procedures upfront and we have no recourse related to patients who finance their procedures with third party vendors. Cost of service as a percentage of revenue was 41.8% versus 38.8% over the prior year period.

提醒一下，我們會預先收到所有手術的全額付款，對於透過第三方供應商資助手術的患者，我們沒有追索權。服務成本佔收入的百分比為 41.8%，去年同期為 38.8%。

Our recent De Novo openings reflected 130 basis point impact while the remaining percentage increase was due to our inability to flex certain fixed costs such as rent and nursing. Selling it in general and administrative expenses increased $466,000 in the quarter compared to the same period in fiscal year 2023.

我們最近的 De Novo 空缺反映了 130 個基點的影響，而其餘百分比的增長是由於我們無法靈活調整租金和護理等某些固定成本。與 2023 財年同期相比，本季銷售總務和管理費用增加了 466,000 美元。

As mentioned, we worked to contain our corporate G&A cost this quarter and was able to achieve a reduction of $0.5 million in the quarter. However, this was offset by year over year increase in our marketing spend. Our customer acquisition cost for the quarter was $2900 per case. As compared to $2750 in the prior year.

如前所述，我們本季努力控制公司一般管理費用，並在本季實現了 50 萬美元的削減。然而，這被我們行銷支出的逐年成長所抵消。本季我們的客戶獲取成本為每個案例 2900 美元。與去年的 2750 美元相比。

On a sequential basis, we decreased our advertising spend by $4.1 million as a result of discontinuing certain brand awareness spending initiatives. Notably, our efforts to reduce CAC are working as reflected in the sequential decrease in our CAC of $425 versus the second quarter of 2024.

由於停止了某些品牌知名度支出計劃，我們的廣告支出較上季減少了 410 萬美元。值得注意的是，我們減少 CAC 的努力正在發揮作用，這體現在我們的 CAC 與 2024 年第二季相比連續減少了 425 美元。

As our marketing and sales efforts begin to convert to cases, we expect to see further reduction in our customer acquisition costs going forward and continue to move toward our CAC goal of approximately $2000.

隨著我們的行銷和銷售工作開始轉化為案例，我們預計未來客戶獲取成本將進一步降低，並繼續朝著約 2000 美元的 CAC 目標邁進。

Adjusted EBITDA was $4.7 million compared to $9.1 million for the fiscal 2023 third quarter. Adjusted EBITA margin was 11% compared to 19.4% in the prior year quarter. And adjusted loss for the quarter was 1.4 million or a loss of $0.02 per diluted share.

調整後 EBITDA 為 470 萬美元，而 2023 財年第三季為 910 萬美元。調整後 EBITA 利潤率為 11%，去年同期為 19.4%。該季度調整後虧損為 140 萬美元，即攤薄後每股虧損 0.02 美元。

Turning to our balance sheet as of September 30, 2024 cash was $6 million and we had $5 million available on our revolving credit facility. Our gross debt outstanding is $71.3 million and our leverage ratio is 2.2 times. Cash flow from operations for the quarter was $1.8 million compared to$0.6 million in the prior year quarter, and we invested $4.9 million this quarter in De Novo facilities.

看看我們截至 2024 年 9 月 30 日的資產負債表，現金為 600 萬美元，我們的循環信貸額度有 500 萬美元。我們的未償債務總額為 7,130 萬美元，槓桿率為 2.2 倍。本季營運現金流為 180 萬美元，而去年同期為 60 萬美元，本季我們在 De Novo 設施上投資了 490 萬美元。

Let me now turn to our outlook for the remainder of the year. As noted in our preliminary sales release issued on October 24. We have increased the midpoint of our revenue guidance for 2024 to a range of $183 million to $189 million. As compared to the guidance issued with second quarter results in August for revenue in the range of $180 million to $190 million.

現在讓我談談我們對今年剩餘時間的展望。正如我們 10 月 24 日發布的初步銷售新聞稿中所述。我們已將 2024 年收入指導中位數上調至 1.83 億美元至 1.89 億美元之間。與 8 月發布的第二季業績指引相比，營收在 1.8 億至 1.9 億美元之間。

We are also maintaining our full year guidance for adjusted EBITDA in the range of $23 million to $28 million. Before I wrap up my remarks, I would like to share an update within our organization. I am pleased to announce the promotion of Philip Bodie to Chief Accounting Officer.

我們還將調整後 EBITDA 的全年指引維持在 2,300 萬美元至 2,800 萬美元之間。在結束演講之前，我想分享我們組織內部的最新情況。我很高興地宣布菲利普·博迪 (Philip Bodie) 晉升為首席會計官。

For the past 3.5 years Philip has served as Senior Vice President and corporate controller at AirSculpt, where he has been a highly valuable and trusted partner of mine. Prior to joining AirSculpt, Philip held senior finance roles with significant experiences in the health care industry.

在過去 3.5 年裡，Philip 一直擔任 AirSculpt 的高級副總裁兼公司財務總監，他是我非常有價值且值得信賴的合作夥伴。在加入 AirSculpt 之前，Philip 曾擔任高階財務職務，在醫療保健產業擁有豐富的經驗。

I am looking forward to continuing to benefit from his business acumen as we work to improve our financial foundation. Additionally, the search for a permanent CEO is well underway. We have conducted several interviews and are narrowing our list of candidates in hopes of announcing a new leader of AirSculpt in the coming weeks.

我期待著在我們努力改善我們的財務基礎時繼續受益於他的商業頭腦。此外，尋找永久執行長的工作也正在順利進行中。我們進行了多次採訪，並正在縮小候選人名單，希望在未來幾週內宣布 AirSculpt 的新領導者。

And finally, despite the challenged consumer spending backdrop, we believe our back to basics approach to the business is working and will enable us to continue to improve our revenue and profitability trend.

最後，儘管消費者支出面臨挑戰，但我們相信我們回歸基本的業務方法正在發揮作用，並使我們能夠繼續改善我們的收入和獲利趨勢。

In summary, we remain excited about our business prospects as we see significant opportunity to capitalize on the $11 billion total addressable market in which we operate with proven results and a proven track record of opening and operating centers and a cash generative model that will allow us to navigate this dynamic period and continue to invest to support our future growth.

總而言之，我們對我們的業務前景仍然感到興奮，因為我們看到了利用總規模達110 億美元的潛在市場的重大機會，我們在該市場中的運營取得了良好的成果，在開設和運營中心方面擁有良好的業績記錄，而現金產生模式將使我們能夠度過這個充滿活力的時期並繼續投資以支持我們未來的成長。

With that, I'd like to turn the call over to the operator for some questions, operator.

這樣，我想將電話轉給接線員詢問一些問題，接線生。

(Operator Instructions)

（操作員說明）

Joshua Raskin, Nephron Research LLC.

約書亞‧拉斯金 (Joshua Raskin)，Nephron 研究有限責任公司。

Hi, thanks and good morning. I guess the first one just starting on the new centers. I know you have four in the quarter. It looks like the case count on those four was about 130 cases in the quarter.

你好，謝謝，早安。我猜第一個剛在新中心開始。我知道你們這個季度有四個。本季這四人的病例數約為 130 例。

I know Deerfield in Birmingham we were right at the end of the quarter, but I think you said that was in line. How should we think about that ramp? And what contributions in the fourth quarter are you expecting?

我知道伯明翰的迪爾菲爾德我們在本季末的時候就處於正確的位置，但我認為你說過這是符合的。我們該如何看待那個坡道？您預計第四季的貢獻是什麼？

Hey, Josh, thanks for the question this morning. So as we said, it was very much in line as you pointed out, Deerfield and Birmingham really did not contribute, hardly anything in the quarter for us. Kansas City opened up first full month I believe was August and Columbus was the first full month of September. So as you pointed out, it was -- it didn't get a full complement of those activities.

嘿，喬希，謝謝你今天早上提出的問題。正如我們所說，這與您指出的非常一致，迪爾菲爾德和伯明罕確實沒有做出貢獻，本季對我們來說幾乎沒有任何貢獻。堪薩斯城開放的第一個完整月份是八月，哥倫布是九月的第一個完整月份。正如您所指出的，它沒有得到這些活動的全面補充。

Those centers are improving well, I mean, I think what you would look at is -- probably looking at -- obviously you can expect a little over doubling that amount. As we pointed out the centers that we opened up last year, continue to perform well.

這些中心正在改善，我的意思是，我認為你會看到的是——可能會看到——顯然你可以預期這個數字會增加一倍多一點。正如我們指出的，我們去年開設的中心繼續表現良好。

When we think about how a center performs on a full year basis our expectation is a range of around $4.5 million of revenue for the full year. And while we don't give out each center individual information, those centers last year performed above that, our current centers that are open are performing very much in line.

當我們考慮中心全年的表現時，我們的預期是全年收入約為 450 萬美元。雖然我們沒有給出每個中心的具體訊息，但去年這些中心的表現高於該水平，而我們目前開放的中心的表現非常一致。

And so we expected it, it's not a full quarter of that, obviously from the standpoint of the $4.5 million, but we do expect some pretty significant improvement over what we saw in the third quarter.

所以我們預計，這不是一個完整的季度，顯然從 450 萬美元的角度來看，但我們確實預計比第三季度看到的情況會有一些相當顯著的改善。

That's helpful. Maybe switching topics. Just I'm curious of your views on the impact of GLP-1s involved. If you add more data on how many patients are using them prior to a procedure or seeing you. And I don't know if you're seeing any specific changes in demand for skin tightening procedures, things like that.

這很有幫助。也許轉換話題。只是我很好奇您對所涉及的 GLP-1 的影響有何看法。如果您添加更多關於有多少患者在手術前或就診之前使用它們的數據。我不知道您是否看到對皮膚緊緻手術之類的需求有任何具體變化。

Yes, still no significant change from what we've talked about in previous quarters around it. We have seen some publications recently that are strongly suggesting that the GLP-1 are leading to people considering, body contouring procedures, specifically as it relates to skin tightening, I think that's an area that we need to be leaning into a little bit further and I expect us to do that in the coming year, skin tightening as, I mean, if you've been around anyone that's been on the GLP-1, that's an area that you can tell that is a needed aspect of it.

是的，與我們在前幾個季度討論的內容相比，仍然沒有重大變化。我們最近看到一些出版物強烈建議 GLP-1 正在促使人們考慮身體輪廓手術，特別是因為它與皮膚緊緻有關，我認為這是一個我們需要進一步研究的領域，我希望我們能在未來一年做到這一點，皮膚緊緻，我的意思是，如果你身邊有任何接受過GLP-1 的人，你就會知道這是一個必要的方面。

Just again, the GLP-1 have been a catalyst of drawing people to what can I do with my appearance. And so obviously, the weight loss aspect has been working for a lot of people and we think skin tightening is definitely an area that we focus on. But currently we do skin tightening. Obviously, we talked about AirSculpt itself, performing really good skin tightening just with the modality itself.

再說一次，GLP-1 一直是吸引人們注意我可以如何改變我的外表的催化劑。顯然，減肥方面一直對許多人有效，我們認為緊膚絕對是我們關注的領域。但目前我們做的是緊膚手術。顯然，我們談論的是 AirSculpt 本身，僅透過設備本身就能實現非常好的皮膚緊緻效果。

We do add on to various AirSculpt procedures with a product from a [renuvion] product to assist enhancing skin tightening as well. But I think there's further work we can do. Around that we've been kicking around several ideas internally and it's a process we want to be diligent about and make sure that when we do roll out new products, new items, new services that we do those clinically well. And obviously, we want to make sure that they give the results that people have grown to expect from AirSculpt.

我們確實在各種 AirSculpt 課程中添加了 [renuvion] 產品中的產品，以幫助增強皮膚緊緻度。但我認為我們還可以做進一步的工作。圍繞著這一點，我們在內部一直在討論幾個想法，這是一個我們想要勤奮的過程，並確保當我們推出新產品、新項目、新服務時，我們在臨床上做得很好。顯然，我們希望確保他們提供的結果符合人們對 AirSculpt 的期望。

Makes sense. Maybe just one last one. I think that you mentioned new payment options to finance for consumers. What does that mean?

有道理。也許只是最後一張。我認為您提到了為消費者提供融資的新支付方式。這意味著什麼？

Does that mean more financing? I assume it means more financing available? Are you -- I assume you guys aren't taking on the financing risk, but I'm just curious what that meant.

這是否意味著更多的融資？我認為這意味著可以獲得更多融資？我想你們不會承擔融資風險，但我只是好奇這代表什麼。

Yeah, so that's correct. We still aren't taking on financing risk from that standpoint. It's just not an area that we want to to do right now. What it is Josh is, we're, we're looking at opportunities for customers that qualify to -- and obviously we want to do it based on procedures that are probably a little larger in nature from a revenue standpoint.

是的，所以這是正確的。從這個角度來看，我們仍然沒有承擔融資風險。這不是我們現在想做的領域。喬希的意思是，我們正在為有資格的客戶尋找機會——顯然，我們希望基於從收入角度來看本質上可能更大的程序來做到這一點。

We're looking at like extending payment options beyond some of our traditional payment options and many of our patients qualify for a, some of it like a 12 month, same as cash program. And we're working with vendors or financing vendors to open up opportunities again for the right qualified candidates to extend that to say 24 months --18 to 24 months again based on their quality from the standpoint of credit.

我們正在考慮將付款方式擴展到一些傳統付款方式之外，我們的許多患者都有資格享受與現金計劃相同的付款方式，其中一些是 12 個月。我們正在與供應商或融資供應商合作，再次為合適的合格候選人提供機會，根據他們從信用角度來看的質量，將期限延長至 24 個月，即 18 至 24 個月。

And so that gives that patient the opportunity to be able to pay for that over a two year period versus a 12-month period, which we think will enhance our our revenue per case and also possibly bring in some additional volume particularly as it relates to the challenges the consumer facing currently.

因此，這使患者有機會在兩年內（而不是 12 個月）內支付費用，我們認為這將提高我們每個病例的收入，也可能帶來一些額外的收入，特別是與消費者當前面臨的挑戰。

Perfect. Thanks a lot.

完美的。多謝。

(Operator Instructions)

（操作員說明）

Korinne Wolfmeyer, Piper Sandler Companies.

Korinne Wolfmeyer，派珀桑德勒公司。

Hey, good morning. Thanks for taking the question. I'd like to touch a little bit on the cost of service this quarter. It was as a percent of sales. It did step up a little bit.

嘿，早安。感謝您提出問題。我想談談本季的服務成本。它佔銷售額的百分比。它確實進步了一點點。

Could you provide a little bit of color on what the driver here was? Was it just a function of lower volumes or anything else going on? And then how to think about the proper run rate of that as we head into Q4 and then even the early parts of 2025. Thanks.

您能否提供一些有關此處驅動程式的資訊？這只是銷量下降的原因還是其他原因？然後，當我們進入第四季甚至 2025 年初期時，如何考慮適當的運行率。謝謝。

Hey, thanks, Korinne. And yeah, as you pointed out, the cost of service did tick up in the quarter, which is typical for us in the third quarter is I remind you guys, the third quarter is our most challenging quarter of the year from a revenue standpoint, even when there's not a consumer macro challenge out there. So we always tend to see a little bit of an uptick in the third quarter as relates to just the decline in the revenue from that standpoint.

嘿，謝謝，科琳。是的，正如您所指出的，服務成本確實在本季度有所上升，這對我們來說在第三季度是典型的，我提醒你們，從收入的角度來看，第三季度是我們一年中最具挑戰性的季度，即使不存在消費者宏觀挑戰。因此，我們總是傾向於看到第三季略有上升，因為從這個角度來看，這與收入的下降有關。

One of the major drivers, Korinne was opening up four new centers in the quarter. Not only do we have pre opening related costs in there, but we also have is, as you guys probably recall, it takes us three to four months for a center to ramp up to being cash flow profitable. And so many of those while we're pleased with the current state of how volume is starting to pick up there, we're still incurring somewhat of a full brunt of the costs at the center level there.

作為主要推動者之一，Korinne 在本季開設了四個新中心。我們不僅有開業前的相關成本，而且正如你們可能還記得的那樣，我們需要三到四個月的時間才能使中心達到現金流盈利。儘管我們對那裡的交易量開始回升的現狀感到滿意，但我們仍然在某種程度上承受著中心層面的成本的全部衝擊。

And so that's really causing a pretty big clip of that percentage increase about about 130 basis points was, was related to just the De Novo activity. So expect that part to be able to begin to come down as those centers begin to ramp up further in the fourth quarter. So highly expect improvement as we move into the fourth quarter to something very similar to where we were earlier in the year.

因此，這確實導致了大約 130 個基點的百分比增長大幅下降，這與 De Novo 活動有關。因此，隨著這些中心在第四季度開始進一步增加，預計該部分能夠開始下降。因此，當我們進入第四季度時，我們非常期待有所改善，與今年早些時候的情況非常相似。

Second quarter obviously is a very healthy quarter for us from a revenue because it's our highest. But again, I think going back to that where we have historically been, is where we ought to land. And again, as those De Novos ramp up, we'll see some significant improvement there.

從收入來看，第二季度顯然是我們非常健康的季度，因為這是我們最高的季度。但我再次認為，回到我們歷史上曾經去過的地方，才是我們應該降落的地方。再說一遍，隨著 De Novo 的增加，我們將看到一些重大改進。

Great, that's helpful. And then moving through the P&L the SG&A step down a good amount and I know there's some cost savings going on, but it sounds like you're still prioritizing marketing and customer spend.

太好了，很有幫助。然後透過損益表，SG&A 大幅下降，我知道正在節省一些成本，但聽起來您仍然優先考慮行銷和客戶支出。

So any color on the building blocks around SG&A and then how we should be thinking about that heading into Q4. Thanks.

因此，圍繞 SG&A 的構建模組的任何顏色，以及進入第四季度我們應該如何考慮這一點。謝謝。

Yeah, sequentially we took out about four -- a little over $4 million in marketing spend again compared to the second quarter. That is our number one area of focus trying to reach the right optimal level of marketing spend. I mean, our main focus currently is heavily in the search aspect of it. Search is much more expensive on a lead basis on a cost per lead standpoint.

是的，與第二季相比，我們又拿出了大約四筆——略高於 400 萬美元的行銷支出。這是我們努力達到最佳行銷支出水準的首要關注領域。我的意思是，我們目前的主要關注點主要集中在搜尋方面。從每個線索成本的角度來看，搜尋線索的成本要高得多。

Doing search marketing, search activities are is definitely more expensive to us, but it also provides a much quicker turnaround. And because those patients have a lot more intent, they're very intent in buying the products and looking for body sculpting. And so we're just trying to strike the right balance there between, making sure that we're getting the right return on what we're spending there.

進行搜尋行銷，搜尋活動對我們來說肯定更昂貴，但它也提供了更快的周轉。而且因為這些患者有更多的意願，他們非常願意購買產品並尋求塑身。因此，我們只是試圖在兩者之間取得適當的平衡，確保我們在那裡的支出得到正確的回報。

But we may see a little bit of an uptick in the fourth quarter in our marketing expense. But nowhere, close to where we were in the second quarter. But again, it's striking the right balance is something that we're very focused on.

但我們可能會看到第四季的行銷費用略有上升。但還沒有達到第二季的水平。但同樣，我們非常關注如何達到適當的平衡。

We did do some things around corporate overhead that gave us about $0.5 million benefit in the current quarter. We expect that to continue on. Most of those were staffing related and identifying what we call middle management type positions that we felt like we could do in the near term with without from that standpoint.

我們確實圍繞著公司管理費用做了一些事情，在本季度為我們帶來了約 50 萬美元的收益。我們預計這種情況將持續下去。其中大部分與人員配置相關，並確定我們所謂的中階管理類型職位，我們認為我們可以在短期內完成這些職位，而無需從這個角度來看。

And so we were able to achieve that cost and expect again that to continue on in the fourth quarter and also going into next year. So continuing to do a lot of work around cost, making sure that we're identifying cost that we, we need in the business and areas that we can can potentially do some additional reductions on as long as we don't sacrifice quality and safety and those things.

因此，我們能夠實現這一成本，並再次預計這種情況將在第四季度持續下去，並持續到明年。因此，繼續圍繞成本做大量工作，確保我們確定業務和領域所需的成本，只要我們不犧牲品質和安全，我們就可以進一步降低成本和那些事情。

Great. Thanks so much.

偉大的。非常感謝。

Thank you, ladies and gentlemen, we have reached the end of question-and-answer session. I would now like to turn the floor over to Dennis for closing comments.

謝謝女士們、先生們，問答環節已經結束。我現在想請丹尼斯發表總結意見。

I thank you again for joining us today and we look forward to speaking with you when we report fourth quarter results and we're going to see many of you.

我再次感謝您今天加入我們，我們期待在報告第四季度業績時與您交談，我們將見到你們中的許多人。

I believe in the upcoming days and weeks related to some investor events. Thank you very much.

我相信未來幾天和幾週將與一些投資者活動相關。非常感謝。

Thank you. This concludes today's teleconference. You may disconnect your lines at this time. Thank you for your participation.

謝謝。今天的電話會議到此結束。此時您可以斷開線路。感謝您的參與。