Brainsway Ltd (BWAY) 2023 Q3 法說會逐字稿

Good day and welcome to Brainsway's third-quarter 2023 earnings call. (Operator Instructions) As a reminder, this conference is being recorded.

美好的一天，歡迎參加 Brainsway 2023 年第三季財報電話會議。 （操作員指示）謹此提醒，本次會議正在錄製中。

I will now turn the conference over to Brian Ritchie.

我現在將會議交給布萊恩·里奇。

Thank you all, and welcome to Brainsway's third-quarter 2023 earnings conference call. With us today are Brainsway's Chief Executive Officer, Hadar Levy; and Chief Financial Officer, Ido Marom.

謝謝大家，歡迎參加 Brainsway 2023 年第三季財報電話會議。今天與我們在一起的有 Brainsway 執行長 Hadar Levy；財務長伊多·馬羅姆 (Ido Marom)。

The format for today's call will be a discussion of recent trends and business updates from SEDAR, followed by a detailed discussion of the financials, then we will open up the call for your questions.

今天電話會議的形式將是討論 SEDAR 的最新趨勢和業務更新，然後詳細討論財務狀況，然後我們將開始電話會議回答您的問題。

Earlier today, Brainsway released financial results for the three and nine months ended September 30, 2023. A copy of the press release is available on the company's Investor Relations website.

今天早些時候，Brainsway 發布了截至 2023 年 9 月 30 日的三個月和九個月的財務業績。新聞稿的副本可在該公司的投資者關係網站上取得。

Before I turn the call over to Hadar, I would like to remind you that this conference call including both management's prepared remarks and the question-and-answer session may contain projections or other forward-looking statements regarding among other topics, Brainsway's anticipated future operating and financial performance, business plans, and prospects and expectations for its products and pipeline, which are all subject to risks and uncertainties, including shifting market conditions resulting from the COVID-19 pandemic, the global supply chain crisis as well as the use of non-GAAP financial information. Additional information regarding these and other risks are available in the company's earnings release and in its other filings with the SEC, including the Risk Factors section contained in Brainsway Form 20-F.

在我將電話轉給哈達爾之前，我想提醒您，本次電話會議（包括管理層準備好的發言和問答環節）可能包含有關 Brainsway 預期未來運營等主題的預測或其他前瞻性陳述。其產品和管道的財務表現、業務計劃以及前景和預期，這些都受到風險和不確定性的影響，包括因COVID-19 大流行、全球供應鏈危機以及使用非-公認會計準則財務資訊。有關這些風險和其他風險的更多信息，請參閱該公司的收益報告和向 SEC 提交的其他文件，包括 Brainsway 表格 20-F 中包含的風險因素部分。

I would now like to turn the call over to Hadar.

我現在想把電話轉給哈達爾。

Thank you, Brian. Welcome, everyone, and thank you for joining us today.

謝謝你，布萊恩。歡迎大家，感謝您今天加入我們。

To begin, I would like to extend our gratitude to so many of you who have continued to reach out to us to express your concern regarding the health and safety of our employees, given the horrible act of violence taking place in and around Israel. While no one in Israel is unaffected by the events unfolding, we remain resilient and will emerge stronger.

首先，我要向你們中的許多人表示感謝，鑑於以色列及其周邊地區發生的可怕暴力行為，你們繼續與我們聯繫，表達對我們員工健康和安全的擔憂。雖然以色列沒有人不受正在發生的事件的影響，但我們仍然具有韌性，並將變得更加強大。

We have encouraged our team in Israel to prioritize their well-being, look after their physical and mental health, and spend time with loved ones. As a company, we remain committed to the consistent availability and delivery of our products and services and the impact of our current events on our operation remains limited.

我們鼓勵我們在以色列的團隊優先考慮他們的福祉，照顧他們的身心健康，並與親人共度時光。作為一家公司，我們仍然致力於產品和服務的持續可用性和交付，當前事件對我們營運的影響仍然有限。

We have taken steps to ensure that we have enough inventory and stock on hand to continue our supply of devices on an uninterrupted basis to meet our projections and have additional contingency plan in place should there be any need for alternative supply channel in the future. Of course, we will provide further updates if and when material events so warrant.

我們已採取措施確保我們有足夠的庫存和庫存，以不間斷地繼續供應設備，以滿足我們的預測，並製定額外的應急計劃，以防將來需要替代供應管道。當然，如果發生重大事件，我們將提供進一步的更新。

With that, I will now discuss the strong momentum that currently exist throughout our entire business. You will recall our goal of growing the company's 2023 top line over 2022, while targeting breakeven operating income and positive adjusted EBITDA in the fourth quarter. Our plan for the achievement of these objectives remain on track and in some areas ahead of initial projections. We will discuss this further shortly, but we were very pleased to nearly reach breakeven operating income and to record positive adjusted EBITDA in the third quarter, one quarter sooner than anticipated.

接下來，我將討論我們整個業務目前存在的強勁勢頭。您會記得我們的目標是讓公司 2023 年的營收比 2022 年成長，同時目標是在第四季實現損益兩平營業收入和正調整 EBITDA。我們實現這些目標的計劃仍在按計劃進行，並且在某些領域超出了最初的預測。我們很快就會進一步討論這個問題，但我們很高興在第三季幾乎達到盈虧平衡的營業收入並錄得正的調整後 EBITDA，比預期早了一個季度。

We continue to optimize our existing commercial process, including enhancing our emphasize on larger institutional and enterprise customers that are playing an increasingly important role within the industry. We remain focused on adding Deep TMS technology into this expanding large mental health group or network.

我們持續優化現有的商業流程，包括加強對在業界發揮越來越重要作用的大型機構和企業客戶的重視。我們仍然專注於將 Deep TMS 技術添加到這個不斷擴大的大型心理健康團體或網路中。

As our results indicate, we are executing well on this strategy. Recent key agreements include the formation of an important partnership with a mental health clinical treatment provider with an increasingly expanding footprint in the Northeast region of the US. As a result of this partnership and a series of successive order, a total of 10 Deep TMS systems will be installed by this provider in 2023 alone with the potential for additional systems thereafter.

正如我們的結果所示，我們在這項策略上執行得很好。最近的重要協議包括與一家心理健康臨床治療提供者建立重要的合作夥伴關係，該提供者在美國東北地區的業務不斷擴大。透過此次合作以及一系列連續訂單，該提供者僅在 2023 年就將安裝總共 10 個 Deep TMS 系統，此後還可能安裝更多系統。

In addition, our longstanding partner, Katie's Way Plus, has ordered an additional 10 Deep TMS systems, which will be more than double its existing offering. This agreement is especially gratifying given that it will support Katie's Way Plus in its vital mission to provide focused care to your service members, veterans, and their families.

此外，我們的長期合作夥伴 Katie's Way Plus 已額外訂購 10 套 Deep TMS 系統，這將是現有產品數量的兩倍以上。該協議尤其令人欣慰，因為它將支持 Katie's Way Plus 履行其重要使命，即為您的服役人員、退伍軍人及其家人提供專注護理。

Moreover, our international business continued to perform very well. To this end, we extended the availability of our Deep TMS technology in Taiwan, where the most recent delivery of system increased the installed base in this important Asia Pacific country to 16 systems. Importantly, the momentum we experienced in our business during the first half of the year continued in the third quarter, and our outlook for the fourth quarter is positive as well.

此外，我們的國際業務繼續表現出色。為此，我們擴大了 Deep TMS 技術在台灣的可用性，最近交付的系統將這個重要的亞太國家的安裝基礎增加到 16 個系統。重要的是，我們上半年業務的勢頭在第三季度延續，我們對第四季的前景也很樂觀。

On the top line, our third-quarter revenue increased 61% year over year, and we shipped a net total of 56 systems during the third quarter. Moreover, demand for OCD treatment indication continued to grow as we shipped 48 OCD coils as add-on helmets to certain new and existing systems. Nearly 50% of our total installed base now includes OCD treatment capabilities.

在營收方面，我們第三季的營收年增 61%，第三季我們淨出貨了 56 個系統。此外，隨著我們將 48 個 OCD 線圈作為附加頭盔運送到某些新的和現有的系統中，對 OCD 治療指示的需求持續增長。現在，我們總裝機量的近 50% 具備強迫症治療能力。

As we said, would be the case, our third-quarter bottom line included meaningful benefit of the cost optimization measures we executed on earlier this year as we generated substantial improvement in operating and adjusted EBITDA results. We expect further bottom-line improvement in the fourth quarter.

正如我們所說，情況確實如此，我們第三季的利潤包括我們今年稍早執行的成本優化措施的有意義的好處，因為我們在營運和調整後的 EBITDA 業績方面取得了實質改善。我們預計第四季的利潤將進一步改善。

In addition, we continued to be supported by an extremely strong balance sheet, having ended the period with $44.2 million in cash with no debt. Moreover, we were cash flow positive in the third quarter.

此外，我們繼續得到極其強勁的資產負債表的支持，期末現金為 4,420 萬美元，無債務。此外，我們第三季的現金流為正。

As our third-quarter results reflect, we are confident in the upward trajectory of our overall business and look forward to further progress in the fourth quarter. In order to achieve further growth, we continue to achieve significant progress in expanding the clinical and real-world evidence in support of Deep TMS.

正如我們第三季業績所反映的那樣，我們對整體業務的上升軌跡充滿信心，並期待第四季度取得進一步進展。為了實現進一步成長，我們在擴大支持 Deep TMS 的臨床和現實世界證據方面繼續取得重大進展。

We recently presented two Deep TMS posters at the World Congress of Psychiatry. The first poster highlighted the benefit of Deep TMS in the difficult-to-treat elderly population. The second poster focused on the positive results from a group of patients receiving an accelerated Deep TMS region.

我們最近在世界精神醫學大會上展示了兩張 Deep TMS 海報。第一張海報強調了深度 TMS 對難以治療的老年族群的好處。第二張海報重點介紹了一組接受加速深層 TMS 區域治療的患者所取得的正面結果。

This accelerated treatment approach was also the subject of the publication of new real-world post-marketing data, demonstrating the efficacy of Deep TMS administered over the multiple sessions each day to allow for quicker overall treatment time for depression patients.

這種加速治療方法也是新的真實世界上市後數據發布的主題，證明了每天多次進行 Deep TMS 的功效，可以縮短憂鬱症患者的整體治療時間。

The compelling results were published in the peer-reviewed journal, Psychiatry Research, and the data suggested that outcome can be achieved with accelerated Deep TMS, which are comparable to those resulting from longer traditional protocol. This preliminary results could be leveraged to support the effort to expand current labeling for Deep TMS, and we intend to further investigate the potential efficacy of accelerated Deep TMS in the treatment of depression.

這一令人信服的結果發表在同行評審期刊《精神病學研究》上，數據表明，可以透過加速 Deep TMS 來實現結果，這與較長的傳統協議所產生的結果相當。這項初步結果可用於支持擴大目前 Deep TMS 標籤的努力，我們打算進一步研究加速 Deep TMS 在憂鬱症治療中的潛在功效。

On the commercial front, following the reprioritized allocation of our commercial investment, we have decided to seek a distribution partner for smoking cessation and indications. Importantly, the data from the initial patients utilizing Deep TMS therapy for smoking continues to look favorable, and we are beginning to gain commercial traction with this offering.

在商業方面，在重新分配商業投資後，我們決定尋找戒菸和適應症的經銷合作夥伴。重要的是，最初使用深度 TMS 治療吸煙的患者的數據看起來仍然令人滿意，我們開始透過該產品獲得商業吸引力。

In addition, the recent positive recommendation issued by the clinical TMS society that advocates for reimbursement related to TMS for the treatment of smoking addiction is an important step towards securing insurance coverage for this indication.

此外，臨床 TMS 協會最近發布的積極建議提倡與 TMS 相關的治療菸癮的報銷，這是確保此適應症保險涵蓋的重要一步。

Moving on, before I pass the call over to Ido for his review of our financial results, I would like to reiterate our confidence in the Brainsway outlook for full-year 2023 and beyond. For full-year 2023, we continue to expect to demonstrate revenue growth over 2022 and are now targeting positive operating income in the fourth quarter as well as positive adjusted EBITDA for the second consecutive quarter.

接下來，在我將電話轉接給 Ido 審查我們的財務表現之前，我想重申我們對 Brainsway 2023 年全年及以後前景的信心。對於 2023 年全年，我們繼續預期 2022 年營收將實現成長，目前的目標是第四季實現正營業收入，並連續第二季實現正調整 EBITDA。

Looking ahead, the market dynamic continue to show that TMS is a large market with strong momentum and there is ample room for Brainsway to continue capturing significant market share, both in the US and internationally.

展望未來，市場動態繼續表明 TMS 是一個勢頭強勁的大市場，Brainsway 有足夠的空間繼續在美國和國際上佔據重要的市場份額。

With that, I will now turn the call over to Ido for his review of our third-quarter 2023 financial results.

現在，我將把電話轉給 Ido，請他審查我們 2023 年第三季的財務表現。

Ido?

我願意？

Thank you, Hadar. Revenue for the third quarter of 2023 was $8.3 million, a 61% increase compared to the prior-year period revenue of $5.2 million. On a sequential basis, revenue in the third quarter grew 6% as compared to the second quarter of 2023. We placed 56 Deep TMS systems in the third quarter. Our total installed base was 1,041 system as of September 30, 2023, compared to 851 systems at the same point in the prior year.

謝謝你，哈達爾。 2023 年第三季營收為 830 萬美元，比上年同期營收 520 萬美元成長 61%。從環比來看，第三季的營收比 2023 年第二季成長了 6%。我們在第三季放置了 56 個 Deep TMS 系統。截至 2023 年 9 月 30 日，我們的總安裝基數為 1,041 個系統，而去年同期為 851 個系統。

Gross profit for the third quarter of 2023 was $6.2 million or 74% gross margin. This is compared to $3.8 million or 74% gross margin during the prior-year period.

2023 年第三季的毛利為 620 萬美元，毛利率為 74%。相比之下，去年同期的毛利率為 380 萬美元，即 74%。

Moving on to operating expenses. For the third quarter of 2023, sales and marketing expenses were $3.6 million compared to $4.8 million for the third quarter of 2022. Research and development expenses were $1.5 million compared to $2.2 million in the third quarter of 2022.

接下來是營運費用。 2023 年第三季度，銷售和行銷費用為 360 萬美元，而 2022 年第三季度為 480 萬美元。研發費用為 150 萬美元，而 2022 年第三季為 220 萬美元。

General and administrative expenses for the third quarter of 2023 were $1.2 million, compared to $1.7 million for the third quarter of 2022.

2023 年第三季的一般及管理費用為 120 萬美元，而 2022 年第三季為 170 萬美元。

Operating loss for the third quarter was $133,000, compared to an operating loss of $4.9 million for the same period in 2022. As Hadar previously mentioned, adjusted EBITDA was $337,000, representing the first time we achieved positive adjusted EBITDA, compared to a loss of $4.1 million in the same period in 2022. We expect to achieve a second consecutive quarter of positive adjusted EBITDA in the fourth quarter.

第三季營運虧損為 133,000 美元，而 2022 年同期營運虧損為 490 萬美元。正如哈達爾之前提到的，調整後 EBITDA 為 337,000 美元，這是我們首次實現正調整 EBITDA，而虧損為 4.1 美元2022年同期將達到100 萬美元。我們預計第四季將實現連續第二季調整後EBITDA 為正值。

For the third quarter ended September 30, 2023, we incurred a net loss of $230,000, compared to a net loss of $5 million in the same period of 2022. We ended the third quarter with cash, cash equivalents, and short-term deposits of $44.2 million as compared to $47.9 million at December 31, 2022.

截至 2023 年 9 月 30 日的第三季度，我們的淨虧損為 23 萬美元，而 2022 年同期的淨虧損為 500 萬美元。第三季末，我們的現金、現金等價物和短期存款為2022 年12 月31 日為4,420 萬美元，而截至2022 年12 月31 日為4,790 萬美元。

However, when compared to cash balance of $43.4 million in the previous quarter, we achieved positive cash flow from operating activities in the third quarter. Based on our robust US pipeline and continued momentum internationally, we are confident in our positive outlook for the remainder of 2023 and into the next year.

然而，與上一季 4,340 萬美元的現金餘額相比，我們第三季的營運活動實現了正現金流。基於我們強勁的美國管道和持續的國際發展勢頭，我們對 2023 年剩餘時間和明年的積極前景充滿信心。

This conclude our prepared remarks. I will now ask the operator to please open up the call for questions. Operator?

我們準備好的演講到此結束。我現在請接線生打開電話詢問問題。操作員？

(Operator Instructions) Jeff Cohen, Ladenburg Thalmann.

（操作員說明）Jeff Cohen、Ladenburg Thalmann。

Our apologies. The Jayson Bedford, Raymond James.

我們的歉意。傑森貝德福德，雷蒙德詹姆斯。

Hi. Good morning. My sympathies with what's occurring in your country right now. But congrats on the progress. You guys are doing a nice job of turning this business around here.

你好。早安.我對你們國家目前正在發生的事情表示同情。但恭喜你取得了進展。你們在扭虧為盈方面做得很好。

Can I ask you if you could compare the selling environment in the US and the international right now? And just as a bit of a tag onto that question. The international US mix in the quarter, much different than in past quarters?

請問您能否比較一下目前美國和國際的銷售環境？就像這個問題的一個標籤。本季美國的國際組合與過去幾季有何不同？

Yeah. Hi, Jayson. Thank you for the question. So there is definitely an improvement and the US Market is slowly improving, and we have experienced large commercial wins recently both in the US and internationally. We continue to see positive sign in the US marketplace of increasing demand for the Deep TMS therapy, and I'm expecting this momentum to continue.

是的。嗨，傑森。感謝你的提問。因此，肯定會有改善，美國市場正在慢慢改善，我們最近在美國和國際上都取得了巨大的商業勝利。我們繼續看到美國市場對深度 TMS 療法需求不斷增長的積極跡象，我預計這種勢頭將持續下去。

Outside the US, also, we managed to sign with some very impressive agreement with distributors and the demand continue to grow. There is a very large market outside of the US. And just to remind you, we also have some other approved indication than the US, the demand for those indication is also continued to grow. So I'm expecting both markets, US and international, to continue to be deliver strong momentum for us.

在美國以外，我們也成功地與經銷商簽署了一些令人印象深刻的協議，需求持續成長。美國以外有一個非常大的市場。提醒您一下，除了美國之外，我們還有其他一些核准的適應症，對這些適應症的需求也持續成長。因此，我預計美國和國際市場將繼續為我們帶來強勁動力。

In terms of your second question, the ratio between US and international continue to stay the same. I would say like 70:30 US and international. That's the current ratio. In the previous quarter, I think it's similar to this quarter as well. I am anticipating this ratio to also go into [Q4].

關於你的第二個問題，美國與國際之間的比例仍然保持不變。我想說的是 70:30 美國和國際。這就是當前的比率。上一季度，我認為與本季也類似。我預期這個比率也會進入[Q4]。

Okay, very helpful. And then in terms of new systems, are they largely going to existing users? Or are you opening up new accounts as well?

好的，非常有幫助。那麼就新系統而言，它們主要面向現有用戶嗎？或者您也在開設新帳戶嗎？

So traditionally, it goes 50:50 between new customers and current customers. Our practice development team is doing a phenomenal job with developing the current business to be much more successful to increase utilization and they're ready to pull the trigger and extend their practice. The other 50 is with our capital sales team that continue to push and increase the market.

傳統上，新客戶和現有客戶之間的比例為 50:50。我們的實踐開發團隊在開發當前業務方面做得非常出色，以更加成功地提高利用率，並且他們已準備好扣動扳機並擴展他們的實踐。另外 50 名來自我們的資本銷售團隊，他們將繼續推動和擴大市場。

Okay, great. I'll get back in queue. Thank you.

好的，太好了。我會回到隊列中。謝謝。

Jeff Cohen, Ladenburg Thalmann.

傑夫‧科恩，拉登堡‧塔爾曼。

Could you give us a sense of the 56 placements from the quarter percentage numbers that were leased and/or purchased?

您能否從租賃和/或購買的季度百分比數字中向我們介紹 56 個安置位置？

Yeah, so -- actually the 56% -- 56 system was the net amount. And after few returns, like we always, when customers are ending their lease agreements. Out of the net amount that we have shipped this quarter, 46 were for sales, for purchasing deals and the rest were for against net amount of leasing after a few [returns].

是的，所以 - 實際上 56% - 56 系統是淨額。當客戶終止租賃協議時，就像我們往常一樣，在幾次退貨之後。在本季我們出貨的淨額中，有 46 筆用於銷售、購買交易，其餘的則用於幾次[退貨]後的租賃淨額。

Okay, perfect. That's very helpful. Could you talk about the accelerated Deep TMS treatment approach a little bit as far as number of visits that have been studied minutes on the system as far as durations and then maybe hypothesize with us a little bit about the payers and the costs and the reimbursements that may be the same or not.

好的，完美。這非常有幫助。您能否談談加速深度 TMS 治療方法，包括在系統上研究的就診次數、持續時間，然後與我們一起假設一下付款人、費用和報銷情況可能相同也可能不同。

So this is a very preliminary result on the accelerated TMS. It's a different treatment regime that is basically, we are providing few treatments a day, five treatments a day in a course of six days. We are intent to collect the data and potentially also to work with the FDA on submitting a protocol for a study with the FDA in this matter.

這是加速 TMS 的非常初步的結果。這是一種不同的治療方案，基本上，我們每天提供幾次治療，在六天的療程中每天提供五次治療。我們打算收集數據，並可能與 FDA 合作，提交與 FDA 就此事進行研究的方案。

It's too early for me to share the information, but based on the data that we collected so far, the data is very favorable, very similar to the, I would say, to in terms of safety and efficacy to what we've seen on the acute phase protocol.

我現在分享這些資訊還為時過早，但根據我們迄今為止收集的數據，這些數據非常有利，我想說，在安全性和有效性方面與我們所看到的非常相似急性期方案。

Okay, got it. So the same energy delivery just over a 6-day period. Got it. Okay. And then lastly for us, any current updates on rotational fields at all, any studies or papers or presentations that are out there?

好，知道了。因此，在 6 天的時間內提供相同的能量。知道了。好的。最後對我們來說，關於旋轉場的任何最新更新，任何研究、論文或簡報？

Yeah, we are planning to launch the first multi-channel system toward the end of the year. We intend to do some feasibility study with this new and impressive technology with -- to investigate few areas. Some of them relates to neurology like dementia and stroke rehabilitation. Some of them relates also to psychiatry, but the current timing of launch the first system is toward the end of the year.

是的，我們計劃在今年底推出第一個多通路系統。我們打算利用這項令人印象深刻的新技術進行一些可行性研究——調查幾個領域。其中一些與神經病學有關，例如癡呆症和中風復健。其中一些也與精神病學有關，但目前第一個系統的啟動時間是在今年年底。

Perfect. Those are for us. Thanks for taking the questions.

完美的。這些是給我們的。感謝您提出問題。

(Operator Instructions) Steven Lichtman, Oppenheimer.

（操作員說明）Steven Lichtman，奧本海默。

Hi, everyone. Good morning. This is [Amir] on for Steve. And I just wanted to quickly ask you've talked about positive developments at payers with regard to lowering hurdles for MDD coverage. Can you talk about whether this has started to change customer behavior? And as a follow-up, are you seeing overall more demand as a result? Thank you.

大家好。早安.這是[阿米爾]為史蒂夫做的。我只是想快速詢問您是否談到了付款人在降低 MDD 覆蓋障礙方面取得的積極進展。您能談談這是否已經開始改變客戶的行為嗎？作為後續行動，您是否看到整體需求增加？謝謝。

Thank you for question. Absolutely, and you know, this is not a trend that started yesterday. I would say in the last 18 months, we see a [relief from our peers] to treat with TMS. There is a relief on the number of antidepressant failures before you can prescribe the TMS treatment. This is definitely something that is driving utilization, and I'm expecting that it will continue to grow that from this aspect. On the other end also, I believe that on the OCD, the continuation and the increase on the OCD coverage is also could be a good driver for the adoption of the Deep TMS technology.

謝謝你的提問。絕對的，而且你知道，這不是昨天開始的趨勢。我想說的是，在過去 18 個月裡，我們看到 [同行們鬆了一口氣] 使用 TMS 進行治療。在您可以進行 TMS 治療之前，抗憂鬱藥物失敗的次數會有所緩解。這絕對是推動利用率的因素，我預期從這方面來看，利用率將持續成長。另一方面，我相信在強迫症方面，強迫症覆蓋範圍的延續和增加也可能成為採用深度 TMS 技術的良好驅動力。

Great. Thank you. And just quickly also moving on to international. On your international expansion efforts, where do you see the biggest near term opportunities? And can you guys update us on your outlook for international expansion in Asia and Europe? Thank you.

偉大的。謝謝。並且很快就進入國際市場。在您的國際擴張努力中，您認為近期最大的機會在哪裡？你們能否向我們介紹一下你們在亞洲和歐洲的國際擴張前景？謝謝。

Yes, I think you're -- I think you said it right. I would say that the main big hubs internationally are Asia Pacific. It could be Japan, China, and India. We're definitely going to grow in those market, although we also have a great success with -- in the Taiwan market and also in South Korea, but this is on Asia Pacific, and we have a very, very good footprint. And I'm anticipating that this important market will continue to grow.

是的，我認為你——我認為你說得對。我想說，國際上主要的大型樞紐是亞太地區。可能是日本、中國和印度。我們肯定會在這些市場上成長，儘管我們在台灣市場和韓國也取得了巨大的成功，但這是在亞太地區，我們擁有非常非常好的足跡。我預計這個重要的市場將繼續成長。

The other important market is obviously Europe. Europe, there is a really strong demand. I would still say it's an undeveloped area for our technology. There is ample room for us to grow in those area. We'll continue to look and find the right partnership, and that's where we're going to focus on in 2024.

另一個重要市場顯然是歐洲。歐洲的需求非常強勁。我仍然想說，對於我們的技術來說，這是一個尚未開發的領域。這些領域有足夠的空間讓我們成長。我們將繼續尋找合適的合作夥伴，這也是我們 2024 年的重點。

Carl Byrnes, Northland Capital Markets.

卡爾‧伯恩斯，北國資本市場。

Thanks for the question and congratulations on the progress. Most of my questions have been answered. But I was wondering, given the cash flow from operations, I think it was around $1.4 million generated in the quarter. Where you see that progressing in '25 and '26 you can? And then also can you add a little more detail with respect to the prospects of a partnership relating to smoking cessation?

感謝您的提問並祝賀您的進展。我的大部分問題都得到了解答。但我想知道，考慮到營運現金流，我認為本季產生的現金流約為 140 萬美元。您認為 25 年和 26 年可以在哪些方面取得進展？您能否補充一些有關戒菸夥伴關係前景的更多細節？

Yeah. Thank you for the question. So for your first question, we were not providing guidance, but what I can say that as part of our vision is to build a healthy and growing company. Healthy means that yes, we still continue to focus on profitable -- on growing the company, but also looking very carefully on the profitability and the bottom-line results.

是的。感謝你的提問。因此，對於你的第一個問題，我們沒有提供指導，但我可以說，作為我們願景的一部分，我們的願景是建立一家健康成長的公司。健康意味著，是的，我們仍然繼續關注盈利——公司的發展，但也非常仔細地關注盈利能力和底線結果。

And for your second question, so we're having active dialogue with potentially interested parties on a consistent basis. We are looking for the right partner for the smoking addiction. I believe that there's plenty of room for us to grow in this market, and finding the right partner can really help us to push this important indication forward.

對於你的第二個問題，我們正在與潛在感興趣的各方持續進行積極對話。我們正在尋找戒菸成癮的合適合作夥伴。我相信我們在這個市場上有很大的發展空間，找到合適的合作夥伴確實可以幫助我們推動這個重要的跡象向前發展。

Thanks, and congratulations again.

謝謝，並再次恭喜。

Boobalan Pachaiyappan, H.C. Wainwright.

布巴蘭‧帕猜亞潘 (H.C.)溫賴特。

Hi. Thanks for taking our questions and congrats on the progress. So the third quarter numbers came out very strong. So just curious, what are your expectations in terms of growth trends for the fourth quarter and maybe for early 2024? And what could be the underlying assumptions behind these expectations.

你好。感謝您提出我們的問題並祝賀我們的進展。因此，第三季的數據非常強勁。我很好奇，您對第四季甚至 2024 年初的成長趨勢有何期望？這些預期背後的潛在假設是什麼？

So again, we're not providing a guidance for 2024, but we do have a very strong confidence; very, very strong confidence about our outlook going forward. We definitely believe that we will be able to grow year over year and continue to build a healthy and strong profitability going forward.

再說一次，我們不會提供 2024 年的指導，但我們確實有非常強大的信心；對我們未來的前景非常非常有信心。我們堅信，我們將能夠逐年成長，並繼續建立健康、強勁的獲利能力。

Okay, fair enough. Speaking of H4 coils, do you expect the sales to gain traction, particularly in light of the clinical TMS Society recently published post-coverage recommendation? Or do you think you might need additional data in order to gain traction?

好吧，很公平。說到 H4 線圈，您是否預計銷量會增加，特別是考慮到臨床 TMS 協會最近發布的覆蓋後建議？或者您認為您可能需要額外的數據才能獲得關注？

So the H4 is treating. Today, it is cleared for the smoking addiction. We definitely believe that we see that the demand for this coil is growing. I believe it will grow even faster with finding the right partner. The right partner could be a partner that is mainly focused in addiction centers. It can be cancer centers. We are collecting very important data on some other addiction symptoms with the H4. And potentially, that could be used for some additional clinical trials, but it's too early for us to show this information.

所以H4正在治療。如今，菸癮已被清除。我們確信我們看到對該線圈的需求正在增長。我相信，透過找到合適的合作夥伴，它會發展得更快。合適的合作夥伴可能是主要專注於成癮中心的合作夥伴。它可以是癌症中心。我們正在收集有關 H4 的其他一些成癮症狀的非常重要的數據。有可能，這可以用於一些額外的臨床試驗，但現在展示這些資訊還為時過早。

All right. You briefly spoke about entering European markets. So I'm just curious whether the European strategy would be any different from, say, the other international markets such as India or Taiwan, or will it be hybrid between US and India and Taiwan? Thank you.

好的。您簡要地談到了進入歐洲市場的情況。所以我只是好奇歐洲的策略是否會與印度或台灣等其他國際市場有所不同，或者會是美國、印度和台灣的混合體嗎？謝謝。

So in Europe, we are going to work -- we're not going to work to sell directly. We are going to find a strong distributor that is familiar with the space. We can find more than one distributor. One distributor can be focused on the mental health and another one could be focused on some neurology. Just to remind everyone that in Europe, we have cleared for 10 indication, not only 3 like in the US. So we are wide and open to sell for some other indication, and I anticipate that the demand in this important countries will continue to grow.

因此，在歐洲，我們將努力工作——我們不會直接銷售。我們將尋找熟悉該領域的強大經銷商。我們可以找到不只一個經銷商。一名經銷商可以專注於心理健康，另一名經銷商可以專注於某些神經病學。只是提醒大家，在歐洲，我們已經清除了 10 種適應症，而不是像美國一樣只有 3 種。因此，我們對其他一些適應症的銷售持開放態度，我預期這些重要國家的需求將持續成長。

Thank you very much. Ladies and gentlemen, we have reached the end of the question-and-answer session. And I would like to turn the call back to the CEO, Hadar Levy, for some closing remarks.

非常感謝。女士們、先生們，問答環節已經結束。我想將電話轉回執行長哈達爾·利維 (Hadar Levy)，讓其發表一些結束語。

I would like to thank all of you, the investors, analysts, and the other participants for their interest in Brainsway. With that, please enjoy the rest of your day. Thank you.

我要感謝大家、投資者、分析師和其他參與者對 Brainsway 的興趣。就這樣，請享受您剩下的一天。謝謝。

Thank you very much, sir. Ladies and gentlemen, that does conclude this event and you may now disconnect your lines.

先生非常感謝您。女士們先生們，本次活動到此結束，您現在可以斷開線路了。