BIOLASE Inc (BIOL) 2022 Q4 法說會逐字稿

Greetings. Welcome to the BIOLASE 2022 Fourth Quarter and Full Year Financial Results Call. (Operator Instructions) Please note, this conference is being recorded. I will now turn the conference over to your host, Todd Kehrli of EVC Group. You may begin.

問候。歡迎參加 BIOLASE 2022 年第四季度和全年財務業績電話會議。 （操作員說明）請注意，正在錄製此會議。我現在將會議轉交給您的主持人 EVC Group 的 Todd Kehrli。你可以開始了。

Thank you, operator. Good afternoon, everyone, and thank you for joining us today to discuss BIOLASE's financial results for the fourth quarter and full year 2022 ended December 31, 2022. On the call today from BIOLASE are John Beaver, President and Chief Executive Officer; and Jennifer Bright, Chief Financial Officer. John will review the company's operating performance and then turn the call over to Jennifer to review the financials in more detail before opening the call for questions.

謝謝你，運營商。大家下午好，感謝您今天加入我們，討論 BIOLASE 截至 2022 年 12 月 31 日的第四季度和 2022 年全年財務業績。今天來自 BIOLASE 的電話會議是總裁兼首席執行官 John Beaver；和首席財務官 Jennifer Bright。 John 將審查公司的經營業績，然後將電話轉給 Jennifer，以便在開始提問之前更詳細地審查財務狀況。

Before we begin, I'd like to remind everyone that a number of forward-looking statements, which are any statements that are not historical facts, will be made during this presentation and subsequent Q&A session, including forward-looking statements regarding the company's strategic initiatives and anticipated financial performance. These statements are forward-looking statements as defined under the Private Securities Litigation Reform Act of 1995 and are based on BIOLASE's current expectations and assumptions and are subject to a variety of risks and uncertainties that could cause the company's actual results to differ materially from the statements made. Such forward-looking statements only represent the company's view as of today, March 28, 2023.

在我們開始之前，我想提醒大家，在本次演講和隨後的問答環節中，將做出一些前瞻性陳述，即任何非歷史事實的陳述，包括關於公司戰略的前瞻性陳述舉措和預期的財務業績。這些陳述是根據 1995 年《私人證券訴訟改革法案》定義的前瞻性陳述，基於 BIOLASE 當前的預期和假設，並受各種風險和不確定因素的影響，這些風險和不確定性可能導致公司的實際結果與這些陳述存在重大差異製成。此類前瞻性陳述僅代表公司截至 2023 年 3 月 28 日的觀點。

These risks are discussed in the Risk Factors section of the company's most recent Form 10-K filed with the Securities and Exchange Commission. A replay of this conference call will be available on the BIOLASE website shortly after the completion of today's call. When listening to this call, please refer to the news release issued earlier today announcing the company's 2022 fourth quarter and full year financial results. If you do not have a copy of the news release that is available in the Investor Relations section of the company's website at biolase.com.

公司最近向美國證券交易委員會提交的 10-K 表格的風險因素部分討論了這些風險。今天的電話會議結束後不久，將在 BIOLASE 網站上提供本次電話會議的重播。在收聽此電話時，請參閱今天早些時候發布的新聞稿，該新聞稿公佈了公司 2022 年第四季度和全年的財務業績。如果您沒有公司網站 biolase.com 投資者關係部分提供的新聞稿副本。

BIOLASE financial results can also be found in the company's report on Form 10-K, which will be filed with the SEC. The tables we've provided in today's news release offer additional financial information, so we encourage you to review them. The tables include a reconciliation of unaudited GAAP net loss and net loss per share to non-GAAP adjusted EBITDA loss and adjusted EBITDA loss per share as well as more information regarding the company's non-GAAP disclosures.

BIOLASE 的財務結果也可以在公司的 10-K 表格報告中找到，該報告將提交給美國證券交易委員會。我們在今天的新聞稿中提供的表格提供了額外的財務信息，因此我們鼓勵您查看它們。這些表格包括未經審計的 GAAP 淨虧損和每股淨虧損與非 GAAP 調整後 EBITDA 虧損和調整後每股 EBITDA 虧損的對賬，以及有關公司非 GAAP 披露的更多信息。

With that said, I'll now turn the call over to BIOLASE's President and Chief Executive Officer, John Beaver. John?

話雖如此，我現在將把電話轉給 BIOLASE 的總裁兼首席執行官 John Beaver。約翰？

Thanks, Todd, and thank you, everyone, for joining us this afternoon. We appreciate your continued interest in BIOLASE. 2022 was a great year for BIOLASE as we strengthened our business and position the company for continued growth and achieve our goal of improving profitability in 2023.

謝謝托德，也謝謝大家今天下午加入我們。感謝您對 BIOLASE 的持續關注。 2022 年對 BIOLASE 來說是偉大的一年，因為我們加強了業務，使公司定位於持續增長，並實現了我們在 2023 年提高盈利能力的目標。

Looking quickly at some of our results. Total revenue for the year was $48.5 million, representing a 24% increase year-over-year. Our U.S. laser sales for 2022 increased 39% year-over-year and our U.S. consumables sales increased 25% for the full year. Our strong performance this past year reflects continued positive momentum on several fronts, including continued progress with our innovative Waterlase exclusive trial program, which puts a BIOLASE laser in the dentist office for 45 days, supported by mentor and 2 days of in-person training. When we started the WETP initiative pre-COVID, our success rate -- the percentage of dentists who purchased after the trial was about 30%. However, success rate in 2021 improved almost 40%, and our success rate in 2022 was nearly 50% from the 32 WETP events we hosted.

快速查看我們的一些結果。全年總收入為 4850 萬美元，同比增長 24%。我們在 2022 年的美國激光銷售額同比增長 39%，我們的美國耗材銷售額全年增長 25%。我們過去一年的強勁表現反映了在多個方面持續的積極勢頭，包括我們創新的 Waterlase 獨家試用計劃的持續進展，該計劃將 BIOLASE 激光放在牙醫辦公室 45 天，並得到導師的支持和 2 天的現場培訓。當我們在 COVID 之前啟動 WETP 計劃時，我們的成功率——試用後購買的牙醫的百分比約為 30%。但是，從我們舉辦的 32 場 WETP 賽事來看，2021 年的成功率提高了近 40%，2022 年的成功率接近 50%。

We have sold well over 100 Waterlase lasers through this program since the start of 2021. And in 2023, we expect to host about 35 WETP events and achieve a 60% success rate. Additionally, we will be hosting our first WETP events internationally with 4 expected to be scheduled throughout the year. This initiative and our continued emphasis on dental specialists, including endodontists, periodontist and pediatric dentists, continue to generate increased adoption of our laser technology by new customers with a record 84% of our U.S. Waterlase sales during the year coming from new customers and 47% of U.S. Wireless sales for the full year coming from dental specialists. It's important to note that our focus on dental specialists really didn't exist 2 years ago. So this momentum is quite encouraging and gives us confidence that we can attain even greater success in the future.

自 2021 年初以來，我們已通過該計劃售出 100 多台 Waterlase 激光器。到 2023 年，我們預計將舉辦約 35 場 WETP 活動，並實現 60% 的成功率。此外，我們將在全球範圍內舉辦我們的第一場 WETP 活動，預計全年將舉辦 4 場。這一舉措以及我們對牙科專家（包括牙髓病醫生、牙周病醫生和兒科牙醫）的持續重視，繼續促使新客戶越來越多地採用我們的激光技術，今年美國 Waterlase 銷售額的 84% 和 47% 來自新客戶，創歷史新高全年來自牙科專家的美國無線銷售額。值得注意的是，我們對牙科專家的關注在 2 年前並不存在。因此，這種勢頭非常令人鼓舞，並使我們有信心在未來取得更大的成功。

Lastly is a testament to the entire BIOLASE team that we have no open sales territories and had no sales turnover during 2022 because our team is enthusiastic about our products, programs and initiatives and the excitement they are creating in the dental community. As many of you already know, BIOLASE has approximately 60% share of the worldwide all-tissue laser dental market represented by our Waterlase brand. However, less than 10% of dentists in the U.S. and less than 2% of dentist outside the U.S. currently use dental lasers today. We plan to leverage our brand and grow the overall market by engaging with the other 90% of dentists while ensuring we continue to protect our position as a market leader.

最後，對整個 BIOLASE 團隊來說，我們沒有開放的銷售區域並且在 2022 年期間沒有銷售營業額，因為我們的團隊對我們的產品、計劃和計劃以及他們在牙科社區中創造的興奮充滿熱情。正如你們中的許多人所知，BIOLASE 在以我們的 Waterlase 品牌為代表的全球全組織激光牙科市場中佔有約 60% 的份額。然而，目前美國祇有不到 10% 的牙醫和美國以外的不到 2% 的牙醫使用牙科激光。我們計劃通過與其他 90% 的牙醫合作來利用我們的品牌並發展整個市場，同時確保我們繼續保護我們作為市場領導者的地位。

To reach this large and addressable market opportunity, we are focused on increasing education and training to build awareness of our industry-leading laser benefits to dentists and their patients. For example, in 2022, we held over 600 educational and training events in the U.S. alone. And because of these increased efforts, dental practitioners are now proactively approaching BIOLASE as they look to upgrade their dental practices and improve their patient outcomes. Last year, the number of marketing qualified leads or MQLs increased by 400% in the U.S. market compared to 2018. To put this into better perspective, the number of inbound leads a couple of years ago was less than 1,000 a year. And in 2022, they grew to 4,000. This is a phenomenal achievement. And if we convert half of these new leads to Waterlase sales, it would represent $150 million in new laser sales.

為了抓住這個巨大且可尋址的市場機會，我們專注於增加教育和培訓，以提高牙醫及其患者對我們行業領先的激光優勢的認識。例如，2022 年，我們僅在美國就舉辦了 600 多場教育和培訓活動。由於這些努力的增加，牙科醫生現在正在積極接觸 BIOLASE，因為他們希望升級他們的牙科實踐並改善他們的患者結果。去年，與 2018 年相比，美國市場的營銷合格線索或 MQL 數量增加了 400%。為了更好地理解這一點，幾年前的入站線索數量每年不到 1,000。到 2022 年，他們增加到 4,000 人。這是一個了不起的成就。如果我們將這些新銷售線索中的一半轉化為 Waterlase 銷售額，則新激光銷售額將達到 1.5 億美元。

We believe each 1% increase in the adoption of our all-tissue laser technology in the U.S. will equal approximately $50 million in additional revenue for BIOLASE assuming we keep our same 60% market share. This doesn't include potential increased adoption outside the U.S., where historically, approximately 40% of our revenue has been generated or the consumable revenue that is generated from the procedures done with our laser systems. We have a well-established 3-pronged strategy to grow market adoption of our lasers, which has created the growth momentum we are experiencing today.

我們相信，假設我們保持相同的 60% 的市場份額，我們的全組織激光技術在美國的採用率每增加 1%，就相當於為 BIOLASE 增加約 5000 萬美元的額外收入。這不包括在美國以外的潛在增加採用，從歷史上看，我們大約 40% 的收入已經產生，或者我們的激光系統完成的程序產生的消耗品收入。我們有一個完善的三管齊下的戰略來增加我們激光器的市場採用率，這創造了我們今天所經歷的增長勢頭。

The first of these is to give more dental specialists to use our lasers. In 2021, BIOLASE formed specialist academies to expand awareness of the benefits of dental lasers in dental specialist communities. Specifically, we launched specialist academies for periodontists, endodontists, pediatric dentists, and dental hygienists to drive further adoption of our lasers and obtain superior patient outcomes. Our plan in 2023 is to combine all these specialist academies into 2 academies, 1 for each of our product families, the Waterlase Academy and the EPIC Academy. We believe that this will not only further improve and simplify training for the specialists, but also give the general practitioner who is interested in adding more specialty procedures to the practice, an avenue to pursue further training.

首先是讓更多的牙科專家使用我們的激光器。 2021 年，BIOLASE 成立了專科學院，以擴大牙科專家社區對牙科激光優勢的認識。具體來說，我們為牙周病學家、牙髓病學家、兒科牙醫和牙科保健員開設了專科學院，以推動我們的激光進一步採用並獲得卓越的患者治療效果。我們在 2023 年的計劃是將所有這些專業學院合併為 2 個學院，Waterlase 學院和 EPIC 學院，每個產品系列各 1 個。我們相信，這不僅會進一步改進和簡化專科醫生的培訓，還會為有興趣在實踐中增加更多專業程序的全科醫生提供進一步培訓的途徑。

We believe the opportunity that exists for BIOLASE within each of these specialist communities is very meaningful. Imagine a pediatric dentists, who doesn't need to give a kid a shot, to fill a cavity or an endodontist that can remove 99.5% of the bacteria from the root canal instead of just 50%. Led by key opinion leaders, or KOLs, in each of these specialties, BIOLASE is increasing education and training to drive expanded awareness and adoption. Our focus on increasing education and training for these dental specialists is translating into higher demand for our products as they look for safer, more advanced alternatives to improve patient outcomes and their practices. Combined, these dental specialist markets represents hundreds of millions of dollars of potential laser systems revenue each year, not including the potential for recurring revenue from the sale of our consumables.

我們相信 BIOLASE 在這些專業社區中存在的機會是非常有意義的。想像一下，一位兒科牙醫不需要給孩子打針來填充蛀牙，或者一位牙髓醫生可以從根管中清除 99.5% 的細菌，而不僅僅是 50%。在這些專業的關鍵意見領袖或 KOL 的帶領下，BIOLASE 正在加強教育和培訓，以推動擴大認識和採用。我們對加強對這些牙科專家的教育和培訓的關注正在轉化為對我們產品的更高需求，因為他們正在尋找更安全、更先進的替代品來改善患者的治療效果和他們的實踐。結合起來，這些牙科專家市場每年代表著數億美元的潛在激光系統收入，這還不包括我們的消耗品銷售帶來的經常性收入的潛力。

The second of these is focused on the significant opportunity we have with over 150,000 general practitioner dentists in the U.S. alone. We believe that if an additional 5% of U.S. GPs adopt our lasers, it would generate $225 million in laser revenue, not including the follow-on consumables. The success we are seeing with our Waterlase exclusive trial program is driving our continued penetration of this key target market.

其中第二個重點是我們僅在美國就有超過 150,000 名全科醫生的重要機會。我們相信，如果再有 5% 的美國全科醫生採用我們的激光器，將產生 2.25 億美元的激光器收入，其中不包括後續耗材。我們在 Waterlase 獨家試用計劃中取得的成功推動了我們對這一關鍵目標市場的持續滲透。

We believe it's a win-win for GPs because a big part of the Waterlase exclusive trial program is teaching them additional procedures they can do in-house with our laser so they keep more procedures and more revenue in their practice and achieve superior patient outcomes. Doing just 2 extra procedures a week could potentially generate a 200% return on investment in our laser. We believe that, along with the better patient experience is motivating dentists to incorporate Waterlase technology into their practices. The more training education we do through our Waterlase exclusive trial program, the more success we believe we'll have in driving laser adoption.

我們相信這對 GP 來說是雙贏的，因為 Waterlase 獨家試用計劃的很大一部分是教他們使用我們的激光在內部進行的額外程序，這樣他們就可以在實踐中保留更多程序和更多收入，並實現卓越的患者結果。每週僅進行 2 次額外手術就有可能為我們的激光器帶來 200% 的投資回報。我們相信，隨著更好的患者體驗，牙醫將 Waterlase 技術融入他們的實踐中。我們通過 Waterlase 獨家試用計劃進行的培訓教育越多，我們相信在推動激光采用方面取得的成功就越大。

Our Waterlase laser has over 80 FDA-cleared indications or procedures that dentists can perform using our laser. We recently announced a new handpiece for the Waterlase that will allow dentists to perform skin resurfacing procedures. Did you know dentist administer more BOTOX shots in the U.S. than dermatologists? The new Waterlase fractional handpiece is FDA cleared and can deliver both ablative and nonablative fractional treatments and provide the user with control over the penetration depth with different parameters and treatment techniques. It can create a uniform one-dimensional pattern of microperforations on the tissue surface for maximum efficacy, offering patients comfortable and effective skin resurfacing treatments with faster healing and quicker recovery time.

我們的 Waterlase 激光有超過 80 種 FDA 批准的適應症或程序，牙醫可以使用我們的激光執行這些操作。我們最近宣布了一款適用於 Waterlase 的新型手機，牙醫可以使用它來進行皮膚重修手術。您知道在美國牙醫注射的 BOTOX 注射量比皮膚科醫生多嗎？新的 Waterlase 點陣手機已通過 FDA 批准，可以提供消融和非消融點陣治療，並為用戶提供對不同參數和治療技術的穿透深度的控制。它可以在組織表面形成均勻的一維微穿孔圖案，以實現最大功效，為患者提供舒適有效的換膚治療，並加快癒合速度和恢復時間。

This is just 1 example of the multiple use cases that exist for dentists to increase our revenue using our laser technology. I believe this launch will further accelerate the adoption of our Waterlase technology in the dental industry and is consistent with our commitment to providing less invasive, patient-friendly technology for both patients and clinicians while at the same time, expanding our access to the skin resurfacing market worldwide, which is projected to reach $650 million by 2031.

這只是牙醫使用我們的激光技術增加收入的多個用例中的一個示例。我相信這次發布將進一步加速我們的 Waterlase 技術在牙科行業的採用，並且符合我們為患者和臨床醫生提供侵入性更小、對患者友好的技術的承諾，同時擴大我們在皮膚表面重修方面的應用全球市場，預計到 2031 年將達到 6.5 億美元。

More we can do to raise awareness of the many procedures dentists can use our laser for and the benefits of doing these procedures with the laser, the faster we can drive increased adoption of all-tissue lasers. While less than 10% of dentists in the U.S. use an all tissue today, a recent survey indicated that almost 80% of the recent purchases of Waterlase laser use it daily. The WETP is just 1 way we are looking to drive increased awareness. As I mentioned before, we hosted over 600 webinar study clubs and training events in the U.S. during 2022, including our BIOLASE advancing dentistry podcast launch.

我們可以做更多的工作來提高人們對牙醫可以使用我們的激光進行的許多手術以及使用激光進行這些手術的好處的認識，我們可以更快地推動全組織激光的採用。雖然今天在美國祇有不到 10% 的牙醫使用全紙巾，但最近的一項調查表明，近 80% 的最近購買的 Waterlase laser 每天都使用它。 WETP 只是我們希望提高認識的一種方式。正如我之前提到的，我們在 2022 年期間在美國舉辦了 600 多個網絡研討會學習俱樂部和培訓活動，包括我們的 BIOLASE 推進牙科播客發布。

Due to the overwhelmingly positive response from the dental community and the rise in interest in popular demand, we recently announced our plans to launch the second season in 2023. Season 2 will continue to provide world-class education in a readily accessible and visually appealing format, focusing on trending topics for dental clinicians. New episodes will feature engaging stories from clinicians about the benefits of laser technology. The podcast will continue to be available on Spotify and Apple podcast platforms.

由於牙科界的積極反響和大眾需求的興趣增加，我們最近宣布計劃在 2023 年推出第二季。第 2 季將繼續以易於訪問且具有視覺吸引力的形式提供世界一流的教育，專注於牙科臨床醫生的熱門話題。新劇集將以臨床醫生關於激光技術優勢的引人入勝的故事為特色。該播客將繼續在 Spotify 和 Apple 播客平台上播放。

Speaking of increased education. During the fourth quarter, we began constructing our new training facility and first ever model dental office named Laser Smiles and we expect both to open in April. These new spaces are conveniently located next to our corporate headquarters and will expand our ability to drive revenue and laser adoption by training practitioners in a hands-on dental environment. This is a novel opportunity to educate, train, produce marketing materials, create content, perform studies and test new equipment.

說到增加教育。在第四季度，我們開始建設我們的新培訓設施和第一家名為 Laser Smiles 的示範牙科診所，我們預計兩者都將在 4 月開業。這些新空間位置便利，毗鄰我們的公司總部，將通過在動手牙科環境中培訓從業者來擴大我們推動收入和激光采用的能力。這是教育、培訓、製作營銷材料、創建內容、進行研究和測試新設備的新機會。

We're also embodying leading international dentists to spend time at our facility this year to work with us as we help ensure that our customers' international voice has heard as well. We also recently announced that we are further advancing our market awareness and educational initiatives with the launch of our new education web portal, education.biolase.com, which allows us to offer tailored education pathways through our Waterlase Academy and Epic Diode Academy, which are designed to offer dental clinicians an easy-to-navigate solution for laser education.

今年，我們還邀請了領先的國際牙醫來我們的工廠與我們合作，因為我們幫助確保我們的客戶的國際聲音也能被聽到。我們最近還宣布，我們將通過推出新的教育門戶網站 education.biolase.com 進一步提高我們的市場意識和教育計劃，這使我們能夠通過我們的 Waterlase Academy 和 Epic Diode Academy 提供量身定制的教育途徑，它們是旨在為牙科臨床醫生提供易於導航的激光教育解決方案。

Finally, the third prong of our growth strategy is getting corporate dentists and universities to adopt our lasers. We continue to develop stronger relationships with key dental schools across the country, and we have lasers in about 1/3 of the dental schools now. We have also integrated our Waterlase lasers into several postgraduate programs and plan to expand into many more programs over the next few years. We believe there is a large appetite among dental residents to utilize state-of-the-art technology in treating patients and the introduction and reinforcement of technology during training are key to the adoption of laser dentistry with this new generation of dentists.

最後，我們增長戰略的第三個分支是讓企業牙醫和大學採用我們的激光器。我們繼續與全國主要牙科學校建立更牢固的關係，現在我們大約 1/3 的牙科學校都有激光。我們還將 Waterlase 激光器整合到幾個研究生項目中，併計劃在未來幾年擴展到更多項目。我們相信，牙科住院醫師對利用最先進的技術治療患者有很大的興趣，而在培訓期間引入和加強技術是新一代牙醫採用激光牙科的關鍵。

Also, today, most new dentists are employed by corporate dentists or DSOs, right out dental school. We have ongoing trials with 4 of the 5 largest DSOs in the U.S. Our goal is for these new dentists begin using our lasers while employed at the DSO and for them to make our lasers a central part of their practices moving forward, becoming new dental laser and consumable customers when they go out on their own. We just completed the second phase of our trial with Heartland. The results were again very positive. We continue to make solid inroads with the DSOs, and we believe that the DSOs can lead to far greater revenue for BIOLASE in the coming years.

此外，今天，大多數新牙醫都受僱於公司牙醫或 DSO，就在牙科學校。我們正在與美國 5 家最大的 DSO 中的 4 家進行試驗。我們的目標是讓這些新牙醫在受僱於 DSO 時開始使用我們的激光器，並讓他們使我們的激光器成為他們向前發展的實踐的核心部分，成為新的牙科激光器以及自行外出時的消耗品客戶。我們剛剛完成了 Heartland 試驗的第二階段。結果再次非常積極。我們繼續在 DSO 方面取得穩固的進展，我們相信 DSO 可以在未來幾年為 BIOLASE 帶來更大的收入。

In summary, our growth plan is generating positive results as evidenced by our strong revenue this year. Further, we have a very large opportunity and a well-developed road map for future growth. Our sales team's success and continued performance gives us continued confidence that we can achieve our operating objectives for 2023 and beyond, as we've set our sights even higher. I have 1 final comment before I hand the call over to Jennifer, I would like to congratulate the entire BIOLASE team for their 2 top workplace awards for 2022. The awards announced earlier this year and based solely on employee feedback, reaffirm the cultural tone that runs throughout the organization. Our team generalizing cares about our customers and each other, and they are incredibly passionate about the role in advancing our objectives. I'm truly grateful for our exceptional team and their daily efforts.

總而言之，我們的增長計劃正在產生積極的成果，今年我們的強勁收入證明了這一點。此外，我們擁有非常大的機會和完善的未來增長路線圖。我們的銷售團隊的成功和持續的表現讓我們繼續相信我們能夠實現 2023 年及以後的經營目標，因為我們設定了更高的目標。在將電話轉給 Jennifer 之前，我有 1 個最後的評論，我想祝賀整個 BIOLASE 團隊獲得 2022 年的 2 個最高工作場所獎項。今年早些時候宣布的獎項完全基於員工反饋，重申了文化基調貫穿整個組織。我們的團隊普遍關心我們的客戶和彼此，他們對在推進我們的目標中扮演的角色充滿熱情。我真的很感謝我們出色的團隊和他們每天的努力。

With that, I'll turn the call over to Jennifer to provide further details regarding our fourth quarter and full year financial results.

有了這個，我將把電話轉給詹妮弗，以提供有關我們第四季度和全年財務業績的更多細節。

Thank you, John, and good afternoon, everyone. I also want to congratulate the team. The top workplaces awards were well deserved. Now I'm going to provide more context around some of the numbers and highlight some of the operational improvements we achieved during the full year 2022. Our strong full year financial performance demonstrates continued business momentum and the higher demand for our industry-leading dental lasers. As John mentioned during his prepared remarks, we believe our success is directly related to our increased education and training initiatives, and we look forward to building on that success in 2023.

謝謝約翰，大家下午好。我還要祝賀球隊。最佳工作場所獎項當之無愧。現在，我將圍繞一些數字提供更多背景信息，並強調我們在 2022 年全年取得的一些運營改進。我們強勁的全年財務業績表明持續的業務勢頭以及對我們行業領先的牙科激光器的更高需求.正如約翰在準備好的發言中提到的那樣，我們相信我們的成功與我們加強教育和培訓計劃直接相關，我們期待在 2023 年取得成功。

Now diving into the results. We delivered net revenue of $48.5 million for the full year, an increase of 24% year-over-year. Some additional full year highlights include U.S. laser system sales increased 39% year-over-year to $20.4 million, and U.S. consumable sales increased 25% year-over-year to $7.5 million, an increase to over $11 million on a consolidated basis. This record-breaking year in consumable sales was driven by an increase in procedures using BIOLASE lasers.

現在深入研究結果。我們全年實現淨收入 4850 萬美元，同比增長 24%。一些其他全年亮點包括美國激光系統銷售額同比增長 39% 至 2040 萬美元，美國耗材銷售額同比增長 25% 至 750 萬美元，綜合增長超過 1100 萬美元。這一年耗材銷售額破紀錄的原因是使用 BIOLASE 激光的手術數量增加。

We continued momentum with new customer adoption in 2022 with 84% of our U.S. Waterlase sales coming from new customers and 47% of U.S. Waterlase sales coming from dental specialists. Lastly, as John mentioned, the success rate of our Waterlase exclusive trial program was nearly 50% for the full year, highlighting the success of this program. These are all positive indicators of the increased demand we are experiencing for our industry-leading dental lasers in the U.S. and abroad.

我們在 2022 年繼續保持新客戶採用的勢頭，我們 84% 的美國 Waterlase 銷售額來自新客戶，47% 的美國 Waterlase 銷售額來自牙科專家。最後，正如約翰所說，我們 Waterlase 獨家試用計劃全年的成功率接近 50%，凸顯了該計劃的成功。這些都是我們在美國和國外對我們行業領先的牙科激光器的需求增加的積極指標。

The gross margin for the year was 33% versus 42% a year ago. The decrease in gross margin reflects mainly the impact of supply chain issues that we encountered during the year that required us to source new trunk fiber vendors, resulting in significantly higher cost for inventory and related warranty expenses. At the end of 2022, we completed an acquisition of a trunk fiber supplier that will allow us to supplement certain third-party key components with our own in-house manufactured components. We expect this will reduce our backlog for these materials as well as reduce the overall cost of goods and improved cash flow when production is operating at full capacity beginning in the first half of 2023.

這一年的毛利率為 33%，而一年前為 42%。毛利率的下降主要反映了我們年內遇到的供應鏈問題的影響，需要我們尋找新的干線光纖供應商，導致庫存成本和相關保修費用大幅增加。 2022 年底，我們完成了對主幹光纖供應商的收購，這將使我們能夠用我們自己的內部製造組件補充某些第三方關鍵組件。我們預計這將減少我們對這些材料的積壓，並在 2023 年上半年開始滿負荷生產時降低商品總成本並改善現金流。

In addition, largely due to the supply chain issues I mentioned, we had to source replacements for other vendors resulting in some end-of-life designated parts in inventory. An analysis of our inventory resulted in expense of $2.8 million to write down inventory and to increase our reserve for obsolescence during 2022.

此外，主要是由於我提到的供應鏈問題，我們不得不為其他供應商尋找替代品，導致庫存中出現一些報廢指定零件。對我們的庫存進行的分析導致 280 萬美元的費用用於減記庫存並增加我們在 2022 年的過時準備金。

On the expense line, total operating expenses were $41.2 million for the year compared to $33 million a year ago. This increase was due to compensation expense since all territories were filled in 2022, commissions and bonus incentives for achieving higher sales targets and increased travel-related expenses. GAAP net loss for the full year 2022 was $28.6 million compared to a net loss of $16.2 million for the full year 2021. GAAP net loss per share for the year 2022 was $4.13 compared to $2.73 in 2021 as adjusted for the reverse stock split.

在費用方面，全年總運營費用為 4120 萬美元，而一年前為 3300 萬美元。增加的原因是自 2022 年所有地區都已滿員以來的補償費用、為實現更高的銷售目標而提供的佣金和獎金激勵以及與差旅相關的費用增加。 2022 年全年的 GAAP 淨虧損為 2860 萬美元，而 2021 年全年的淨虧損為 1620 萬美元。經反向股票拆分調整後，2022 年的 GAAP 每股淨虧損為 4.13 美元，而 2021 年為 2.73 美元。

Our adjusted EBITDA loss for the full year 2022 was $20.1 million compared to an adjusted EBITDA loss of $14.7 million for 2021. Adjusted EBITDA loss per share for the year 2022 was $2.91 compared to $2.49 for 2021 as adjusted for the reverse stock split.

我們調整後的 2022 年全年 EBITDA 虧損為 2010 萬美元，而 2021 年調整後的 EBITDA 虧損為 1470 萬美元。經反向股票拆分調整後，2022 年調整後的每股 EBITDA 虧損為 2.91 美元，而 2021 年為 2.49 美元。

Now let's turn to the balance sheet. We finished the fourth quarter with cash and cash equivalents of $4.2 million. Following our January 2023 equity raise of an additional $9 million in net proceeds, we believe we have sufficient liquidity and to execute our near-term growth strategy and greatly improved profitability.

現在讓我們轉向資產負債表。第四季度結束時，我們的現金和現金等價物為 420 萬美元。在我們於 2023 年 1 月額外籌集 900 萬美元的淨收益後，我們相信我們有足夠的流動性來執行我們的近期增長戰略並大大提高盈利能力。

Now how do we get there? First, in addition to projected sales volume increases, and certain price increases contributing to top line growth, we expect to have lower cost of goods due to the trunk fiber acquisition completed in 2022. As a result of this acquisition, we are on schedule to have our in-house trunk fiber make up approximately 50% of the trunk fiber we will be shipping beginning in the second quarter of 2023. We expect these cost savings will drive increased gross margins, getting us close to that 50% needed to reach profitability.

現在我們如何到達那裡？首先，除了預計銷量增加和某些價格上漲有助於收入增長外，我們預計由於 2022 年完成的干線光纖收購，商品成本將降低。由於此次收購，我們正按計劃讓我們的內部主幹光纖占我們將於 2023 年第二季度開始發貨的主幹光纖的大約 50%。我們預計這些成本節省將推動毛利率提高，使我們接近實現盈利所需的 50% .

We also expect to lower our WETP expenses this year by opening our own centralized training facility. We now have 4 dentists on staff to train prospective customers, and we are also working to partner with educational facilities around the country to host WETP events at their locations for little to no cost. We expect to host about 35 WETPs this year, so the expense savings will be quite meaningful as well as the continued improvement in our closing success rate that we anticipate for 2023. With higher gross margins, the expected WETP savings and continued revenue growth, we believe we will have the potential to improve profitability and achieve positive adjusted EBITDA for the full year.

我們還希望通過開設我們自己的集中培訓設施來降低今年的 WETP 費用。我們現在有 4 名牙醫來培訓潛在客戶，我們還在努力與全國各地的教育機構合作，在他們的地點舉辦 WETP 活動，費用低廉甚至免費。我們預計今年將舉辦約 35 個 WETP，因此費用節省以及我們預計 2023 年的成交成功率將持續提高將非常有意義。隨著毛利率的提高、預期的 WETP 節省和收入的持續增長，我們相信我們將有潛力提高盈利能力，並在全年實現調整後的 EBITDA 為正。

Now moving on to guidance. For 2023, we are forecasting continued strong revenue growth of at least 25% year-over-year. And as I just mentioned, we also expect to achieve positive adjusted EBITDA for the full year. For the first quarter, however, we expect net revenue to exceed $10 million, representing relatively flat revenue compared to the year ago quarter. We believe the recent banking environment has created some uncertainty around the overall economic outlook for some dentists looking to invest in our technology. We do believe the situation will be short-lived and expect to begin trending towards a 25% forecasted growth rate in the second quarter of 2023.

現在繼續指導。到 2023 年，我們預計收入將持續強勁增長，同比至少增長 25%。正如我剛才提到的，我們還希望全年實現調整後的 EBITDA 為正。然而，對於第一季度，我們預計淨收入將超過 1000 萬美元，與去年同期相比收入相對持平。我們認為，最近的銀行業環境給一些希望投資我們技術的牙醫帶來了整體經濟前景的不確定性。我們確實相信這種情況將是短暫的，預計到 2023 年第二季度將開始趨向於 25% 的預測增長率。

In summary, we had another strong year with significant revenue growth and solid sales execution and are confident that our strategies and our actions to strengthen BIOLASE are working.

總而言之，我們又迎來了強勁的一年，收入顯著增長，銷售執行穩健，我們相信我們加強 BIOLASE 的戰略和行動正在發揮作用。

With that, I'll return the call to the operator to open the call for questions. Operator?

這樣，我會將電話返回給接線員以打開問題電話。操作員？

(Operator Instructions)

（操作員說明）

And the first question is coming from Bruce Jackson with The Benchmark Company.

第一個問題來自 The Benchmark Company 的 Bruce Jackson。

The first one is about the gross margin progression throughout the year. So how do you think that the gross margins build off in the fourth quarter? And where do you think they could exit the year in 2023?

第一個是關於全年的毛利率進展。那麼，您如何看待第四季度毛利率的增長？您認為他們可以在 2023 年從哪裡退出？

Yes, Bruce. So good question. I would expect that we had a couple of, I would say, onetime items in Q4 that adversely affected gross margins. Jen mentioned the inventory write-down, while noncash has still had an impact on gross margins. We expect to approach 50% gross margins and exceed that in the fourth quarter of next year. To get there, there are a few things that have to happen, and I think we're well on our way to that.

是的，布魯斯。好問題。我希望我們在第四季度有幾個一次性項目對毛利率產生不利影響。 Jen 提到了庫存減記，而非現金仍然對毛利率產生影響。我們預計明年第四季度毛利率將接近 50% 並超過該水平。要實現這一目標，必須要做一些事情，我認為我們正在朝著這個方向努力。

Jen mentioned the trunk fiber in-house production, that's going to significantly improve not only our cost of goods sold from a manufacturing standpoint, but also our service and warranty as well. In addition, some of the things that we're doing on the training side to reduce costs like open up the training facility here and having WETPs at various, I would say, static locations as opposed to hotels and so forth are greatly going to reduce the cost of training, which also shows up in the cost of goods sold line.

Jen 提到了乾線光纖的內部生產，這不僅會顯著改善我們從製造角度來看的商品銷售成本，還會顯著改善我們的服務和保修。此外，我們在培訓方面正在做的一些事情是為了降低成本，比如在這裡開放培訓設施，並在不同的地方擁有 WETP，我想說，靜態地點而不是酒店等將大大減少培訓成本，這也體現在商品銷售成本中。

Okay. And then one question on the Heartland study. Can you give us a sense of what they were looking at and some of the data points that they were using to evaluate the Waterlase system?

好的。然後是關於 Heartland 研究的一個問題。您能告訴我們他們在看什麼以及他們用來評估 Waterlase 系統的一些數據點嗎？

Sure. The first trial that we had with Heartland a few years ago, we were working with some of their most experienced dentists, I would say, not laser dentists, but very experienced. And there, and we've shown this in our videos before investor presentations and so forth, they each paid for their lasers in 4 to 7 months in additional procedures. The second phase of this trial was looking at kind of the next tier of dentists, if you will. And how much they would bring in additional revenue during this period.

當然。幾年前我們與 Heartland 進行的第一次試驗，我們正在與他們一些最有經驗的牙醫合作，我會說，不是激光牙醫，但非常有經驗。在那裡，我們在投資者介紹等之前的視頻中展示了這一點，他們每個人都在 4 到 7 個月的額外程序中支付了激光費用。如果你願意的話，這個試驗的第二階段是尋找下一級牙醫。以及在此期間他們將帶來多少額外收入。

And for them -- each of them, the trial is complete. And they each pay for their laser on estimated, I think it was 17 months. So long -- it took them longer, but it still beat the Heartland, I think, kind of incremental or internal hurdle rate of 2 years for payback on equipment. So we were really encouraged by that. We expect those units to be sold in Q2 and continue to try to roll out these additional units at Heartland throughout the year.

對於他們——他們每個人來說，審判都已經結束。他們每個人都為他們的激光支付費用，我認為是 17 個月。這麼久——他們花了更長的時間，但它仍然擊敗了 Heartland，我認為，設備投資回報率的增量或內部障礙率為 2 年。所以我們真的很受鼓舞。我們預計這些單元將在第二季度售出，並繼續嘗試全年在 Heartland 推出這些額外的單元。

Okay. Great. Very helpful. So congratulations again on all the progress and I'll hop back in queue.

好的。偉大的。很有幫助。所以再次祝賀所有的進展，我會跳回隊列。

The next question comes from Frank Takkinen with Lake Street Capital Markets.

下一個問題來自 Lake Street Capital Markets 的 Frank Takkinen。

I wanted to start with one on the growth guidance. I appreciate the color on Q1. I was hoping you could provide a little further color on the expected ramp of revenues for Q2 to Q3. And how you expect that to trend throughout the year to hit the 25% growth number? And then as a second part to that, any -- if you could provide any color related to contribution from systems versus consumables? That would also be great color.

我想從增長指導開始。我欣賞 Q1 的顏色。我希望您能進一步說明第二季度至第三季度的預期收入增長情況。您如何期望全年趨勢達到 25% 的增長率？然後作為第二部分，如果你能提供任何與系統貢獻和消耗品貢獻相關的顏色？那也會是很棒的顏色。

Sure. Thanks, Frank. As Jen mentioned, we still expect -- excuse me, 2023 to have at least a 25% increase in revenue over full year 2022. Though we are off to a little bit slower start than we had wanted. But it will ramp up, we believe in Q2 and Q3, I would expect Q2 and Q3 to have similar revenue to each other and then Q4 to be our strongest quarter. If you were to line all that stuff out and assume at least a 25% increase over the $48.5 million that we had in '23 -- excuse me, in '22, I think you can model that out.

當然。謝謝，弗蘭克。正如 Jen 所提到的，我們仍然期望——對不起，2023 年的收入將比 2022 年全年至少增長 25%。儘管我們的起步速度比我們預期的要慢一些。但它會增加，我們相信第二季度和第三季度，我希望第二季度和第三季度的收入相似，然後第四季度將是我們最強勁的季度。如果你要排除所有這些東西並假設至少比我們在 23 年的 4850 萬美元增加 25%——對不起，在 22 年，我認為你可以模擬出來。

The second question was in terms of revenue split between systems and service and consumables I still expect a similar as a percentage of revenue split among those 3 items. We continue to grow on an absolute basis, our consumable sales. We had record consumable sales in 2022, and I expect to break that record in 2023. However, we're selling a lot of laser systems as well. And so I would expect each of those as a percentage of revenue to remain fairly constant next year or this year in 2023.

第二個問題是關於系統與服務和消耗品之間的收入分配，我仍然希望這 3 個項目之間的收入分配百分比相似。我們的消耗品銷售額在絕對基礎上繼續增長。我們在 2022 年的耗材銷售額創下歷史新高，我希望在 2023 年打破這一記錄。但是，我們也銷售了很多激光系統。因此，我預計明年或今年 2023 年，每一項占收入的百分比都將保持相當穩定。

Okay. That's helpful. And I wanted to follow up on the comment related to some customers having challenges with SVB. My assumption is that this is -- that's implying this is related to system sales in Q1 and consumables continue to be positive through Q1? Or is there any other color you can provide on that?

好的。這很有幫助。我想跟進與 SVB 遇到挑戰的一些客戶相關的評論。我的假設是——這是否意味著這與第一季度的系統銷售有關，而消耗品在第一季度繼續保持正增長？或者您可以提供其他顏色嗎？

No, your assumption is correct. While many of our customers obviously did not have accounts at SVB, I think the general market feeling from that banking crisis hurt some cells that were imminent, and they put the brakes on, pulling the trigger on those laser sales. That's the reason we're confident that they'll pick back up in the second quarter.

不，你的假設是正確的。雖然我們的許多客戶顯然沒有在 SVB 開立賬戶，但我認為一般市場對銀行業危機的感覺傷害了一些迫在眉睫的細胞，他們踩下剎車，拉動激光銷售的扳機。這就是我們相信他們會在第二季度回升的原因。

Okay. And then last one for me. I wanted to follow up on the comment about the 4 DSOs currently evaluating the technology. Could you maybe speak to when we could hear back from those DSOs evaluating the technology and what kind of impact we could see from them?

好的。然後最後一個給我。我想跟進有關目前正在評估該技術的 4 個 DSO 的評論。您能否談談我們何時可以從那些評估該技術的 DSO 那裡收到反饋，以及我們可以從他們那裡看到什麼樣的影響？

Frank, that's a multimillion dollar question and one that I would be very reticent to answer because we do not control, unfortunately, the timing of how fast the DSOs move. I am surprised that we're sitting here in 2023, for instance, with Heartland, where we are, I thought we'd be further along to be frank with you. And so it's one of those things that in our internal forecast and our guidance, we expect gradual growth someday, we're going to wake up and get a big order. I just can't ever predict when that's going to be. And so I don't try to.

弗蘭克，這是一個價值數百萬美元的問題，我非常不願回答這個問題，因為不幸的是，我們無法控制 DSO 移動的速度。我很驚訝我們在 2023 年坐在這裡，例如，我們所在的 Heartland，我想我們會更進一步，坦率地說。因此，這是我們內部預測和指導中的其中一件事，我們預計有一天會逐漸增長，我們將醒來並獲得大訂單。我只是無法預測那會是什麼時候。所以我不嘗試。

Next, we have Anthony Vendetti with Maxim Group. Anthony, please proceed.

接下來，我們有來自 Maxim Group 的 Anthony Vendetti。安東尼，請繼續。

So the first question I have is on the Waterlase Exclusive Trial Program. So you did a lot of those I guess, back in the second quarter, I think it was around 150 educational events. How many did you do in fourth quarter? And it seems like that's going to slow down in '23. Is that because you've covered all the territories you need to cover? Or is there another reason for that?

所以我的第一個問題是關於 Waterlase 獨家試用計劃。所以我猜你做了很多，回到第二季度，我認為大約有 150 場教育活動。你在第四季度做了多少？看起來這種情況在 23 年會放緩。那是因為您已經覆蓋了所有需要覆蓋的區域嗎？或者還有其他原因嗎？

No. We did about 35 of those last year in 2022, and we'll have the same amount this year in 2023. The difference between those 2 years really is we should and we are planning on getting more participants into each one. We average about 5 participants in 2023 into each program. And this year, we're expecting to have 6 or 7, and we're seeing that early on this year.

不。我們去年在 2022 年做了大約 35 次，今年我們在 2023 年也有同樣的數量。這兩年之間的區別確實是我們應該並且我們計劃讓更多的參與者參與每一年。到 2023 年，我們平均每個項目約有 5 名參與者。而今年，我們預計會有 6 或 7 個，我們在今年年初就看到了。

In addition, we had almost 50% success rate last year, we anticipate 60% success rate this year. And we've already, so far, is early in the year, but are exceeding that in average, if you will. What we talked about earlier was how we're -- and where we are having these programs. So when we first started this initiative, we basically had these programs all over the country in hotel rooms. We have now identified not only our own training facility that will be open next month, but also training facilities across the country that we can actually provide a better experience for the dentists who are attending, but just as importantly, more cost-effective experience.

此外，我們去年的成功率接近 50%，我們預計今年的成功率將達到 60%。到目前為止，我們已經在今年年初，但如果你願意的話，我們已經超過了平均水平。我們之前談到的是我們的情況——以及我們在哪裡開展這些計劃。所以當我們剛開始這項計劃時，我們基本上在全國各地的酒店房間裡都有這些項目。我們現在不僅確定了下個月將開放的我們自己的培訓設施，而且還確定了全國各地的培訓設施，我們實際上可以為參加的牙醫提供更好的體驗，但同樣重要的是，更具成本效益的體驗。

And the other big change over when we started the program is when we started it, we had to go out to our trainers, our key opinion leaders and pay them on a one-off basis. They weren't BIOLASE employees to train during those 2 days and the mentoring over the 45 days. By adding a number of dentists on to our staff over the last 1.5 years, we now have 4 dentists that are full-time BIOLASE employees and the ability to reduce cost around the training is very significant there. And so this will be -- 2023 will be our first year -- full year with having all 4 on board. So I'm excited about that.

與我們開始該計劃時相比，另一個重大變化是當我們開始時，我們不得不去找我們的培訓師、我們的關鍵意見領袖，並一次性支付給他們。在這 2 天和 45 天的指導中，他們不是 BIOLASE 員工。通過在過去的 1.5 年中增加一些牙醫到我們的員工中，我們現在有 4 名牙醫是 BIOLASE 的全職員工，並且在培訓方面降低成本的能力非常重要。因此，這將是 - 2023 年將是我們的第一年 - 全部 4 人加入的整年。所以我對此很興奮。

Okay. And you said that the conversion rate has increased. Did you say to 60%?

好的。而且你說轉化率提高了。你說到60%？

Yes. So just going back in history a little bit, when we started this back in 2019, it was around 30%. In 2021, 40%, 2022, we almost got to 50%. And in 2023, we're projecting 60% and what I said was, so far this year, we're above that.

是的。所以稍微回顧一下歷史，當我們在 2019 年開始這項工作時，它大約是 30%。 2021年40%，2022年我們差不多到了50%。到 2023 年，我們預計將達到 60%，而我所說的是，今年到目前為止，我們已經超過了這個數字。

Okay. Great. And then since I've been following esthetic laser for a long time, I think it's interesting that you're looking at fractional skin resurfacing. What has been the reception so far to the handpiece, how much extra does that cost above and beyond your Waterlase system? Maybe just talk a little bit about the reception, the pricing behind that and for the dentists that have purchased it, how are they pricing it?

好的。偉大的。然後，由於我長期關注美容激光，我認為您正在研究點陣換膚很有趣。到目前為止，該機頭的反響如何，除了您的 Waterlase 系統之外，它還額外花費了多少？也許只是談談接待，背後的定價以及購買它的牙醫，他們如何定價？

Yes. So the reception has been good. We've had a lot of our U.S. dentists really asking for this fractional handpiece, which has been available in Europe for a number of years for quite a while. We weren't going to introduce this into the U.S. market until we receive the FDA clearance and really rolled it out in the right way with the right training and so forth. And that started in March. So this month, literally, we have begun shipping the hand pieces, and we're developing the training program.

是的。所以接待一直很好。我們已經有很多美國牙醫真正需要這種點陣手機，它在歐洲已經有好幾年了。在我們獲得 FDA 許可並通過正確的培訓等以正確的方式真正推出它之前，我們不會將其引入美國市場。那是從三月份開始的。所以這個月，從字面上看，我們已經開始運送手機，並且我們正在開發培訓計劃。

Now we're teaming up with American Academy of Facial Esthetics to help train. We have a large training for kind of train to trainer scheduled for early May. And then our first national event scheduled in August. So all that's going, I think, extremely well. In terms of the pricing, I never want to get too much into pricing. But it is the hand pieces are from a revenue standpoint as opposed to the cost of Waterlase, not insignificant, I would say, meaningful. I don't want to give you the price just from a competitive standpoint.

現在我們正在與美國面部美學學院合作，幫助進行培訓。我們計劃在 5 月初對培訓師進行大型培訓。然後我們的第一個全國活動定於 8 月舉行。所以，我認為一切都非常順利。在定價方面，我從不想過多地關注定價。但從收入的角度來看，手件與 Waterlase 的成本相比，不是微不足道的，我想說，是有意義的。我不想僅僅從競爭的角度給你價格。

I see for now, for the most part, it's dentists that have been looking to do this, they already have a Waterlase that are purchasing in the hand piece. But I will tell you that we're starting to get some inquiries from non-Waterlase owners about the hand piece. And obviously, they'd have to buy Waterlase with it, right, to make it work. And so that's very interesting. There's, I think, a tremendous amount of upside there as well.

我現在看到，在大多數情況下，是牙醫一直在尋求這樣做，他們已經在手持件中購買了 Waterlase。但我會告訴你，我們開始收到一些非 Waterlase 所有者關於手機的詢問。顯然，他們必須購買帶有它的 Waterlase，對吧，才能讓它發揮作用。所以這很有趣。我認為，那裡也有很大的上升空間。

In terms of how much it cost, I mean, anywhere from I've heard $500 to $1,000 in terms of what the dentist is charging or even more than that. I think from a dentist standpoint, the nice thing is that while this provides great clinical efficacy and results to the patient and does it in a really noninvasive, almost pain-free way, it's -- it doesn't last forever. So it's a recurring revenue stream for them as well. Just like BOTOX, they may have patients coming in on a 3-month, 6-month or 1-year type schedule and it's kind of like an annuity for them, which is really nice.

就它的成本而言，我的意思是，就牙醫的收費而言，我聽說過從 500 美元到 1,000 美元不等，甚至更高。我認為從牙醫的角度來看，好處是雖然這為患者提供了很好的臨床療效和結果，並且以一種真正無創、幾乎無痛的方式進行，但它不會永遠持續下去。所以這對他們來說也是一個經常性的收入來源。就像 BOTOX 一樣，他們可能會讓患者按 3 個月、6 個月或 1 年的時間表來，這對他們來說有點像年金，這真的很好。

Okay. Great. And then last question is on EdgeEndo. How is that going -- how is that business going with them?

好的。偉大的。最後一個問題是關於 EdgeEndo 的。進展如何——他們的業務進展如何？

Yes, still going well. I think we were off to a great start in 2022. We expect to sell more units to them in 2023. And so I would say, so far so good, we're proceeding as planned.

是的，仍然很順利。我認為我們在 2022 年有了一個良好的開端。我們預計在 2023 年向他們出售更多單位。所以我想說，到目前為止一切順利，我們正在按計劃進行。

(Operator Instructions)

（操作員說明）

The next question is coming from Ed Woo with Ascendiant Capital.

下一個問題來自 Ascendiant Capital 的 Ed Woo。

Congratulations on the quarter. My question is, do you have any idea of how much of the percentage of sales of Waterlase is financed? Have you seen any issues with the test is getting financing in the wake of what happened with Silicon Valley Bank and all the midsize and smaller banks?

祝賀這個季度。我的問題是，你知道 Waterlase 的銷售額有多少是融資的嗎？在矽谷銀行和所有中小型銀行發生的事情之後，您是否看到融資測試有任何問題？

So in the U.S., where we sell directly to dentists versus international where we go through distributors. In the U.S., well over 90% of Waterlase purchases are financed through a third party. And for the dentists, that's either a credit union, their bank or a third-party financing company. We have not seen any from a financing standpoint, really any pullback there. It really is dependent on the individual dentists credit rating, credit score, credit history and so forth than it is a macro banking.

因此，在美國，我們直接向牙醫銷售，而在國際上，我們通過分銷商銷售。在美國，超過 90% 的 Waterlase 採購是通過第三方融資的。對於牙醫來說，這要么是信用合作社、他們的銀行，要么是第三方融資公司。從融資的角度來看，我們還沒有看到任何回調，真的有任何回調。它實際上取決於個人牙醫的信用評級、信用評分、信用歷史等，而不是宏觀銀行業務。

I think when I mentioned SVB is really more market sentiment around the dentists, whether or not they wanted to pull the trigger yet or not that caused some negative impact in Q1, but I haven't seen any reduction in the amount of dentists who can get qualified for the credit.

我認為當我提到 SVB 時，實際上更多的是圍繞牙醫的市場情緒，無論他們是否想扣動扳機，這在第一季度造成了一些負面影響，但我沒有看到能夠做到的牙醫數量有任何減少獲得信貸資格。

Great. And then tying to that, obviously, with the higher interest rate, which is probably going to factor into higher payment costs or leasing costs. Have you seen any pullback from debtors saying, "Hey, wait a minute, the lease rates are much higher because we're no longer in a 0 interest rate environment, so the monthly cost is higher than expected." Have you seen any pullbacks from that?

偉大的。顯然，與此相關的還有更高的利率，這可能會導致更高的支付成本或租賃成本。你有沒有看到債務人的任何撤回說，“嘿，等一下，租賃利率要高得多，因為我們不再處於零利率環境，所以每月成本高於預期。”你有沒有看到任何回調？

Not really because there's so much benefit from a revenue enhancement standpoint when you purchase the Waterlase for most dentists. Before the interest rate hikes of -- let's go back 1 year, 1.5 years ago, the dentist was on average, paying $1,000 to $1,100 a month for their Waterlase if they financed it because most of them finance it over a 84-month period. Waterlase last a long time, so that's easily done. Now that number is closer to $1,300 to $1,400. So it's $200 to $300 extra a month, which is less than 1 procedure.

不是真的，因為當您為大多數牙醫購買 Waterlase 時，從增加收入的角度來看有很多好處。在加息之前——讓我們回到 1 年，1.5 年前，牙醫平均每月為他們的 Waterlase 支付 1,000 到 1,100 美元，如果他們資助的話，因為他們中的大多數人在 84 個月的時間內資助它。 Waterlase 持續很長時間，所以很容易做到。現在這個數字接近 1,300 美元到 1,400 美元。所以每個月要多花 200 到 300 美元，這還不到 1 個程序。

So the calculus that we show and what we're showing in the trial program and I said we're well over 50% so far this year is that 2 procedures a week that you're doing that you weren't doing before, and getting a 200% ROI, the fact that the payments went from $1,000 to $1,300 because the interest rate spike hasn't impacted calculation meaningfully.

因此，我們展示的微積分以及我們在試驗計劃中展示的內容，我說今年到目前為止，我們已經超過 50% 是每週進行 2 次您以前沒有做過的程序，並且獲得 200% 的投資回報率，付款從 1,000 美元增加到 1,300 美元，因為利率飆升並未對計算產生有意義的影響。

We've reached the end of the question-and-answer session, and I will now turn the call over to management for closing remarks.

問答環節已經結束，我現在將把電話轉給管理層作結束語。

I want to thank everyone for being on today's call. Also, I want to thank the BIOLASE team for their continued commitment and dedication to delivering an elevated standard of care and safety through laser industry. Jennifer and I look forward to reviewing our first quarter results on our next call in May. Thank you, operator, and thank you, everyone, for your interest in BIOLASE. This concludes our call. Have a great day. Thank you.

我要感謝大家參加今天的電話會議。此外，我要感謝 BIOLASE 團隊對通過激光行業提供更高標準的護理和安全的持續承諾和奉獻。詹妮弗和我期待在 5 月份的下一次電話會議上回顧我們的第一季度業績。謝謝運營商，也謝謝大家對 BIOLASE 的關注。我們的通話到此結束。祝你有美好的一天。謝謝。

Thank you. This concludes today's conference, and you may disconnect your lines at this time. Thank you for your participation.

謝謝。今天的會議到此結束，此時您可以斷開您的線路。感謝您的參與。