Baudax Bio Inc (BXRX) 2022 Q1 法說會逐字稿

Good morning, and welcome to the Baudax Bio first-quarter 2022 financial results conference call. (Operator Instructions) As a reminder, this conference is being recorded at the company's request.

早安，歡迎參加 Baudax Bio 2022 年第一季財務業績電話會議。 （操作員說明）謹此提醒，本次會議是應公司要求進行錄製的。

I would now like to turn the call over to Sam Martin, Investor Relations. You may begin.

我現在想將電話轉給投資者關係部門的 Sam Martin。你可以開始了。

Thank you, Kim. Good morning, and thank you for joining us on today's conference call to discuss Baudax Bio's first-quarter 2022 financial results. This is Sam Martin, and I'm joined today by Gerri Henwood, President and Chief Executive Officer of Baudax Bio. On today's call, Gerri will discuss the continued progress around the commercialization of ANJESO and will provide an overview of the financial highlights from the first quarter. We will then open the call up for questions.

謝謝你，金。早安，感謝您參加今天的電話會議，討論 Baudax Bio 的 2022 年第一季財務業績。我是 Sam Martin，今天與我一起參加的還有 Baudax Bio 總裁兼執行長 Gerri Henwood。在今天的電話會議上，Gerri 將討論 ANJESO 商業化的持續進展，並將概述第一季的財務亮點。然後我們將開放提問。

Yesterday afternoon, we issued a press release detailing our financial results for the first-quarter 2022. The press release, along with the slide presentation that we will reference for today's call, is available on the Events page of the News & Investors section of our website at baudaxbio.com. Please note the slides for today's presentation are viewer controlled.

昨天下午，我們發布了一份新聞稿，詳細介紹了2022 年第一季的財務業績。部分的活動頁面上找到。請注意，今天演示的幻燈片是由觀看者控制的。

Before we begin our formal comments, I'll remind you that various remarks we make today constitute forward-looking statements pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995, including statements related to our financial outlook as seen on slide 2. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from our expectations and forecasts and can be identified by words such as anticipate, believe, could, estimate, target, expect, intend, may, plan, predict, project, will, and other words of similar meaning.

在我們開始正式評論之前，我要提醒您，我們今天發表的各種言論均構成根據1995 年《私人證券訴訟改革法案》安全港條款的前瞻性聲明，包括與我們的財務前景相關的聲明（如投影片所示） 2. 這些前瞻性陳述存在風險和不確定性，可能導致實際結果與我們的預期和預測有重大差異，可以透過預期、相信、可能、估計、目標、期望、打算、可能、計劃、預測、計劃、意願以及其他類似含義的字眼。

The following are some of the factors that could cause our actual results to differ materially from those expressed in or underlying our forward-looking statements. The ongoing economic and social consequences of the COVID-19 pandemic, including any adverse impact on the commercial launch of ANJESO or disruption in supply chain; our ability to maintain regulatory approval for ANJESO; our ability to successfully commercialize ANJESO; the acceptance of ANJESO by the medical community, including physicians, patients, health care providers, and hospital formularies; our ability and that of our third party manufacturers to successfully scale up our commercial manufacturing process for ANJESO; our ability to produce commercial supply in quantities and quality, sufficient to satisfy market demand for ANJESO; and our ability to raise future financing for continued product development and ANJESO commercialization; our ability to pay our debt and satisfy conditions necessary to access future tranches of debt; our ability to comply with the financial and other covenants under our credit facility; our ability to manage costs and execute on operational and budget plans; the accuracy of our estimates of the potential market for ANJESO; our ability to achieve financial goals; and our ability to obtain, maintain, and successfully enforce adequate patent and other intellectual property protection. This list of important factors is not all inclusive.

以下是一些可能導致我們的實際結果與我們的前瞻性陳述中表達或所依據的結果有重大差異的因素。 COVID-19 大流行造成的持續經濟和社會後果，包括對 ANJESO 商業推出的任何不利影響或供應鏈中斷；我們維持 ANJESO 監管核准的能力；我們成功將 ANJESO 商業化的能力；醫學界（包括醫生、病人、醫療保健提供者和醫院處方集）接受 ANJESO；我們以及我們的第三方製造商成功擴大 ANJESO 商業製造流程的能力；我們有能力生產足夠數量和品質的商業供應，足以滿足 ANJESO 的市場需求；以及我們為持續產品開發和 ANJESO 商業化籌集未來融資的能力；我們償還債務並滿足獲得未來部分債務所需條件的能力；我們遵守信用安排下的財務和其他契約的能力；我們管理成本以及執行營運和預算計劃的能力；我們對 ANJESO 潛在市場的估計的準確性；我們實現財務目標的能力；我們獲得、維持和成功執行充分的專利和其他智慧財產權保護的能力。這份重要因素清單並未包含全部內容。

Any such forward-looking statements are not guarantees of future performance and involve certain risks and uncertainties. These risks are described in the Risk Factors and the Management's Discussion and Analysis section of Baudax Bio's annual report on Form 10K, for the fiscal year ended December 31, 2021, and in any quarterly reports on Form 10Q, which are on file with the Securities and Exchange Commission and available on the SEC's website. Any information we provide on this conference call is provided only as of the day of this call, May 5, 2022, and we undertake no obligation to update any forward-looking statements we may make on this call on account of new information, future events, or otherwise.

任何此類前瞻性陳述都不是對未來績效的保證，並且涉及某些風險和不確定性。這些風險在 Baudax Bio 截至 2021 年 12 月 31 日的財政年度 10K 表格年度報告的風險因素和管理層討論與分析部分以及 10Q 表格的任何季度報告中進行了描述，這些報告均已向證券局備案和交易委員會，並可在SEC 網站上取得。我們在本次電話會議中提供的任何資訊僅截至本次電話會議之日（2022 年5 月5 日），我們沒有義務更新我們在本次電話會議上可能因新資訊、未來事件而做出的任何前瞻性聲明，或其他方式。

During the course of today's call, we will refer to a certain non-GAAP financial measure. A reconciliation between the GAAP and non-GAAP financial measure is included in our earnings release, which is available on our Investor Relations website at baudaxbio.com. I encourage you to visit our Investor Relations site to access our earnings release, periodic SEC reports, and a replay of today's call to learn more about Baudax.

在今天的電話會議中，我們將提及某些非公認會計準則財務指標。我們的收益報告中包含了 GAAP 和非 GAAP 財務指標之間的調整表，您可以在我們的投資者關係網站 baudaxbio.com 上查看該報告。我鼓勵您訪問我們的投資者關係網站，獲取我們的收益發布、定期 SEC 報告以及今天電話會議的重播，以了解有關 Baudax 的更多資訊。

With that, I'll ask you to please turn to slide 3, and I will turn the call over to Gerri Henwood. Gerri?

接下來，我會請您翻到投影片 3，然後我會將電話轉給 Gerri Henwood。格里？

Thank you, Sam, and good morning, everyone. If you'll turn to slide 3 and then advance to slide 4. Just a reminder that ANJESO, our commercial product, is the first and only once-daily, non-opioid, IV analgesic. We provide up to 24-hour pain relief. The product continues to demonstrate good safety and tolerability, as seen in the development studies; COX-2 preferential characteristics are attractive to many clinicians who prescribe the product; and it's a very easy-to-use, once-daily IV push.

謝謝你，山姆，大家早安。如果您要翻到幻燈片 3，然後前進到幻燈片 4。我們提供長達 24 小時的疼痛緩解。正如開發研究中所見，該產品繼續表現出良好的安全性和耐受性； COX-2的優先特性對許多開出該產品的臨床醫生來說很有吸引力；這是一種非常容易使用的、每日一次的靜脈推注。

If we go to slide 5, you'll see that we have a very cute little bottle. It's not actual size; it's really giant compared to the actual size. It's a 2ml bottle with a 1ml dose in it. During the quarter, we achieved net product revenue of just under $0.425 million, up 112% year over year. This was our sixth consecutive quarter of demand growth. Quarterly vials sold to end users increased dramatically, thankfully, and increased 20% quarter over quarter versus the fourth quarter. Our top 15 accounts grew by 31% during the quarter, and these accounts make up just over half of our known customer units in the first quarter. March was the largest month -- single month of ANJESO units sold launch to date, and we continue to have Orange-Book-listed patents that run until 2030.

如果我們轉到幻燈片 5，您會看到我們有一個非常可愛的小瓶子。這不是實際尺寸；與實際尺寸相比，它確實很大。這是一個2毫升的瓶子，裡面有1毫升的劑量。本季度，我們實現產品淨收入略低於 42.5 萬美元，年增 112%。這是我們的需求連續第六個季度成長。值得慶幸的是，季度銷售給最終用戶的小瓶銷量大幅增加，與第四季度相比環比增長了 20%。我們的前 15 位客戶在本季成長了 31%，這些客戶僅占我們第一季已知客戶單位的一半以上。 3 月是迄今為止單月銷售 ANJESO 設備數量最多的月份，我們繼續擁有橙皮書上列出的專利，有效期至 2030 年。

If we go to slide 6, you'll see that there's continuing nice quarter-over-quarter growth. And I just would remind you that during the first quarter, we continue to have a reasonably impactful COVID outbreak during January and for part of February. But in spite of that, we still saw 20% growth in that quarter.

如果我們轉到投影片 6，您會發現季度環比持續良好成長。我只是想提醒大家，在第一季度，我們在 1 月和 2 月的部分時間裡繼續爆發了相當有影響力的新冠疫情。但儘管如此，我們仍然看到該季度 20% 的成長。

If we go to slide 7, the unit sales was, as mentioned before, a very big increase year over year and a 20% increase quarter over quarter. And again, the 73% roughly attainment of forecast, really, we think was very good, considering the headwinds that we sustained in the marketplace associated with COVID reductions in surgeries during January and parts of February. We also did the reduction in force in March. And during that month, we continued to have very good pull through in sales. So we're gratified by the team that remains on board and their diligence with which they've continued to work.

如果我們看投影片 7，如同先前提到的，單位銷售量年增率非常大，環比成長 20%。再說一次，考慮到 1 月份和 2 月份部分時間我們在市場上因新冠肺炎手術減少而面臨的不利因素，我們認為大致達到了 73% 的預測，確實非常好。我們在三月也進行了裁員。在那個月裡，我們的銷售持續取得了很好的成績。因此，我們對仍然留在船上的團隊以及他們繼續工作的勤奮感到滿意。

If you look at slide 8, you see that we do -- there is a little bit of variability in the weekly growth, but the weekly growth in terms of units by month is trending up. April, this was not including some of the late data that comes in usually by this weekend, so we think that April will be a normal first month of the quarter. Normally, our first month of the quarter, a little bit later than the ending month of the prior quarter. And because we had such a great quarter overall in the first quarter, we don't have a reason right now to believe that we're not going to see continued progress during this quarter.

如果你看一下投影片 8，你會發現我們確實這樣做了——每週的成長有一點變化，但按月計算的每週成長呈上升趨勢。 4 月份，這不包括通常在本週末發布的一些較晚數據，因此我們認為 4 月份將是該季度正常的第一個月。通常，我們該季度的第一個月，比上一季的結束月份稍晚。因為我們在第一季的整體表現非常出色，所以我們現在沒有理由相信我們在本季不會看到持續的進展。

If we get to slide 9, because of the intermittence of COVID, because of the expense of the team that we were running, although they were working hard and growing in efficacy, we made the decision that we could not continue with the burn rate that we had. We had a lot of feedback from investors that we took very seriously during that time period and made a significant change in our commercial footprint to reduce that burn rate.

如果我們看到幻燈片 9，由於新冠疫情的間歇性，由於我們運行的團隊的費用，儘管他們正在努力工作並且效率不斷提高，但我們決定不能繼續保持這樣的燒錢率：我們有。我們從投資者那裡得到了很多回饋，在那段時間我們非常認真地對待這些回饋，並對我們的商業足跡做出了重大改變，以降低燒錢率。

So during the first quarter, we reduced from our prior staffing levels down to a total, including in-house personnel, of seven professionals associated with the commercialization of ANJESO. This is in spite of the fact that we're making progress for ANJESO, but believe that we could not sustain the platform that we had going.

因此，在第一季度，我們將與 ANJESO 商業化相關的專業人員從先前的人員配置水準減少到包括內部人員在內的總共七名專業人員。儘管我們正在為 ANJESO 取得進展，但我們相信我們無法維持我們現有的平台。

We also made some cuts in finance and medical and some other areas as well to align with this new footprint. We continue, and we'll talk a little bit more about that in a moment, with a very efficient approach to development of our NMBs. And after our reduction in force expenses, our burn rate is reduced by approximately 65% going forward.

我們也在金融、醫療和其他一些領域進行了一些削減，以適應這一新的足跡。我們繼續，稍後我們將透過一種非常有效的方法來討論我們的 NMB 的開發。在我們減少人力開支後，我們的資金消耗率將減少約 65%。

We'll continue, on the ANJESO front, to focus on key accounts and contracts that we have in place or just getting to be put in place. The key staff we have, as I said, continue to hustle, hustle and are working with existing accounts, ordering accounts, as well as specific targeted new institutions. Obviously, we can't cover the same ground that we were covering before, but highly selective approach to date looks like it's being fruitful for us.

在 ANJESO 方面，我們將繼續關注我們已經到位或剛剛到位的關鍵客戶和合約。正如我所說，我們的關鍵員工繼續忙碌、忙碌，並與現有帳戶、訂購帳戶以及特定目標的新機構合作。顯然，我們無法涵蓋之前涵蓋的相同領域，但迄今為止高度選擇性的方法看起來對我們來說是富有成效的。

We continue to evaluate possible partnering options for the ANJESO portfolio, and we believe that it is very possible for this product to attain terrific results with perhaps a sponsorship from an organization with a larger balance sheet. But in the meantime, we're going to continue to grow this product. Although modestly, but we will be continuing to show progress with the product in the meantime.

我們將繼續評估 ANJESO 產品組合的可能合作選擇，我們相信，在擁有更大資產負債表的組織的贊助下，該產品很有可能取得出色的成果。但同時，我們將繼續發展該產品。雖然很謙虛，但我們將繼續展示產品的進展。

So if we go ahead and test the cover slide on page 10 to slide 11, we'll talk a little bit about where we are in terms of overall development. And of course, ANJESO is approved already, you know that we're doing the pediatric study that FDA had wanted us to do, but it also will open up a new market opportunity in addition, and we are making a planned progress on that pediatric trial and have enrolled the first cohort in it to date.

因此，如果我們繼續測試第 10 頁到第 11 頁的封面投影片，我們將討論我們在整體開發方面的進展。當然，ANJESO 已經獲得批准，你知道我們正在做 FDA 希望我們做的兒科研究，但它也將另外開闢一個新的市場機會，我們正在該兒科方面取得計劃進展試驗並已招募了第一批迄今為止的試驗。

The neuromuscular blocking agents -- I'm going to talk about in a little more detail in a moment, but we're now entering Phase 2 for BX1000, and, towards the end of this quarter or very early in the second quarter -- in the third quarter, we believe we'll be getting enrollment into that Phase 2 trial for BX1000 and BX2000 which is the ultra-short acting. Has just begun to enroll patients into its dose escalation study -- healthy volunteers to its dose escalation study. And we continue to do the progressing work on BX3000, the reversal agent, to make the dosage form a little bit more efficient and then look at some preclinical studies. We're doing all of this with a very tiny team inside and great efficiency. So being very conscious of how we spend our shareholders' money.

神經肌肉阻斷劑——我稍後會更詳細地討論，但我們現在正在進入 BX1000 的第二階段，並且，在本季度末或第二季度初——在第三季度，我們相信我們將進入BX1000 和BX2000 的第二階段試驗，這是超短效的。剛開始招募病人參加其劑量遞增研究－健康志願者參加其劑量遞增研究。我們繼續對逆轉劑 BX3000 進行進展工作，以使劑型更加有效，然後進行一些臨床前研究。我們是透過一個非常小的團隊和極高的效率來完成這一切的。因此，我們要非常清楚我們如何花股東的錢。

We look at slide 12, again, a little more detail on the neuromuscular blocking agents, just framing this for you a little bit. Estimated 400 million people receive neuromuscular blocking agents annually. These agents are used to produce total paralysis. This allows for safe placement of a breathing tube, intubation, and muscle relaxation during surgery or in patients who need to be on a breathing machine, a ventilator for other reasons, used either in the operating room or the ambulatory surgical center, and it may be used in an ICU setting. It is unclear yet what role we'll have in those cases; the surgical case usage seems more likely, assuming that we continue to fulfill the profile of the product and see the safety that we are believing we will see.

我們再次查看投影片 12，其中詳細介紹了神經肌肉阻斷劑，只是為您簡單介紹一下。據估計，每年有 4 億人接受神經肌肉阻斷劑治療。這些藥劑用於產生完全癱瘓。這樣可以在手術期間或因其他原因需要使用呼吸器、呼吸器的患者（在手術室或門診手術中心使用）中安全放置呼吸管、插管和肌肉放鬆，並且可以用於 ICU 環境。目前尚不清楚我們在這些情況下將扮演什麼角色；假設我們繼續滿足產品的特徵並看到我們相信我們會看到的安全性，那麼手術病例的使用似乎更有可能。

The number of these procedures is increasing because there are more and more surgeries that are being done through minimally invasive methods, and laparoscopic surgery often creates a pressure in the abdomen as they inflate it to do those surgeries. And so many of those patients, if not all those patients, are put onto ventilators and need to be intubated. So these kinds of agents have roles in those types of surgery.

這些手術的數量正在增加，因為越來越多的手術是透過微創方法進行的，而腹腔鏡手術在進行這些手術時通常會對腹部產生壓力。其中許多患者（即使不是全部）都使用了呼吸器並需要插管。因此，這些藥物在這些類型的手術中發揮作用。

Our two novel NMBs, as I said, are BX1000, which is estimated to act for approximately 45 minutes, with the natural decay after that; appears to have rapid onset. And we have completed the dose escalation trial for this agent, and we'll be looking to do a Phase 2 surgical trial that we think will begin, as I said, towards the end of June or early in July. And this trial, we believe, has a reasonable chance, COVID permitting, of enrolling and possibly completing enrollment in 2022.

正如我所說，我們的兩個新型 NMB 是 BX1000，預計作用時間約為 45 分鐘，之後自然衰減；似乎起效很快。我們已經完成了該藥物的劑量遞增試驗，我們將尋求進行 2 期手術試驗，正如我所說，我們認為該試驗將於 6 月底或 7 月初開始。我們相信，在新冠疫情允許的情況下，這項試驗有合理的機會入組並可能在 2022 年完成入組。

BX2000, our ultrashort acting, this is one that would have a natural decay curve of about 10 to 15 minutes, where it would wear off, if you will. But also we believe, based on animal studies and we're just now beginning the enrollment into human studies in this quarter, of rapid onset. The preclinical development has been completed for this phase of development. The IND is filed and open. So we're looking forward to seeing different dose cohorts as we move up the dosing curve in a safe and a methodical manner for this trial to progress during 2022. And it's possible that we could complete it, but more likely that it will complete in the early part of the 2023 first quarter.

BX2000，我們的超短效，它的自然衰減曲線約為 10 到 15 分鐘，如果你願意的話，它會逐漸消失。但我們也相信，根據動物研究，我們剛剛在本季開始招募人類研究，疾病會迅速發揮作用。此開發階段已完成臨床前開發。 IND 已提交並開放。因此，當我們以安全、有條理的方式提升劑量曲線時，我們期待看到不同的劑量組，以便這項試驗在2022 年取得進展。 2022 年完成。

The novel reversal agent, that's specific to BX1000 and BX2000 and provides chemical reversal of a blockade in a rapid time period based on animal studies. Monkeys have been reasonably predictive of human effects in this therapeutic area. That's why we think that it will be very quick as a reversal agent. We are, right now, trying to work with the dosage form a little bit more to make it a more efficiently administered dosage form and then to do some preclinical work in advance of human clinical trials, which could begin at the end of '22 or early '23, depending on the timing of those and feedback from FDA.

這種新型逆轉劑是 BX1000 和 BX2000 特有的，基於動物研究，可在快速時間內提供化學逆轉封鎖。猴子已經合理地預測了人類在這一治療領域的影響。這就是為什麼我們認為它作為逆轉劑會非常快。我們現在正在嘗試對該劑型進行更多的研究，使其成為一種更有效給藥的劑型，然後在人體臨床試驗之前做一些臨床前工作，人體臨床試驗可能會在22 年底或2020 年底開始。

So if we then move ahead to slide 13, I'll briefly cover the financial highlights from the quarter. We put the press release out yesterday afternoon outlining our full financial results, so I'm not going to go into great depth.

因此，如果我們繼續看投影片 13，我將簡要介紹本季的財務亮點。我們昨天下午發布了新聞稿，概述了我們的全部財務業績，因此我不打算深入探討。

But for the first quarter, we had cash and cash equivalents of $11.5 million at the end. Net product revenue, according to US GAAP, for the quarter was $0.4 million, an increase of $0.2 million or 113% compared to 2021. The cost of sales for the first quarter was $0.6 million, a decrease of $0.2 million compared to the same prior year period, primarily as a result of the reduction of inventory scrap expense recorded in the current year compared to 2021. We expect that, over time, the product costs and cost of sales will increase as sales increase and inventory associated with the units manufactured have been sold.

但第一季末，我們的現金和現金等價物為 1,150 萬美元。根據美國通用會計準則，本季產品淨收入為 40 萬美元，較 2021 年增加 20 萬美元，即 113%。比，主要是由於本年度記錄的庫存報廢費用減少。

Research and development expenses for the first quarter were $1.3 million compared to $1.1 million for the first quarter last year. And the increase was primarily due to the $0.2 million increase caused by the pediatric trial initiating in the quarter.

第一季的研發費用為 130 萬美元，而去年第一季的研發費用為 110 萬美元。這一增長主要是由於本季度啟動的兒科試驗導致 20 萬美元的增長。

Selling, general, and administrative expenses for the first quarter were $14.2 million, compared to $12.1 million for the same period in the prior year. The increase was primarily a result of increased selling expenses, which were related to the $1.7 million in accrued severance costs associated with the reduction in force during the first quarter of 2022. We reported a net loss, including a noncash benefit of $2.4 million, of $12.8 million, or $3.17 per diluted share, for the first quarter of '21.

第一季的銷售、一般和管理費用為 1,420 萬美元，去年同期為 1,210 萬美元。這一增長主要是由於銷售費用增加，這與 2022 年第一季裁員相關的 170 萬美元應計遣散費有關。美元，或稀釋後每股3.17 美元。

Before we open up the call for questions, I'd like to take a moment to recap some of the key takeaways today. ANJESO continues to show meaningful growth year over year and quarter over quarter, with revenues up 113% and 5% respectively on the dollar side. In terms of growth of the product in units, that growth continues to be good in spite of COVID impact in the first quarter and the number of elective surgeries being impacted in January and February; we saw a 20% growth in vials to end users in that quarter.

在我們開始提問之前，我想花點時間回顧今天的一些關鍵要點。 ANJESO 繼續呈現顯著的年比和環比成長，營收分別成長 113% 和 5%。就產品數量的增長而言，儘管第一季受到了新冠疫情的影響，並且 1 月和 2 月的擇期手術數量受到影響，但增長仍然良好；我們看到該季度最終用戶的小瓶數量增加了 20%。

With respect to the neuromuscular blocking agents, we look forward to beginning enrollment in the upcoming Phase 2 study in BX1000, the intermediate duration agent, in surgical patients this summer and to continuing to execute on the dose escalation study which just began enrollment, evaluating BX2000, our ultrashort acting NMB, in healthy volunteers this year.

關於神經肌肉阻斷劑，我們期待今年夏天在手術患者中開始即將進行的 BX1000（中間持續時間藥物）的 2 期研究的入組，並繼續執行剛開始入組的劑量遞增研究，評估 BX2000 ，我們的超短效NMB，今年在健康志工中進行。

In closing, we continue to receive positive feedback from those already using ANJESO and are looking forward to keeping you updated on our progress as we continue to educate physicians and healthcare professionals on the overall benefits of ANJESO in the acute care setting and to the further development of our NMB products.

最後，我們繼續收到那些已經使用ANJESO 的人的積極反饋，並期待向您通報我們的最新進展，因為我們將繼續向醫生和醫療保健專業人員宣傳ANJESO 在急診環境中的整體益處以及進一步發展我們的 NMB 產品。

I'll now turn the call over to the operator for any questions.

如果有任何問題，我現在會將電話轉給接線生。

That concludes our prepared remarks. We will now open the call up for questions. (Operator Instructions) Greg Aurand, Noble Capital.

我們準備好的演講到此結束。我們現在將開始提問徵集。 （操作員指令）Greg Aurand，Noble Capital。

Good morning, Gerri and Sam. This is Greg. Thanks for having the call. Question regarding the revenue levels in the quarter. Units, if I calculate, vials were up about 20%, revenues increased about 11%. Is there a disconnect that I'm missing relative to the wholesale cost versus direct sales level? The revenue per vial, for instance, the change, is there something that I'm there that you can elaborate on?

早上好，格里和山姆。這是格雷格。感謝您的來電。有關本季營收水準的問題。如果我計算的話，單位數量增加了約 20%，收入增加了約 11%。我是否遺漏了批發成本與直銷水準之間的脫節？例如每瓶的收入，變化，我在那裡有什麼可以詳細說明的嗎？

So there are slight timing differences between the units that are passing through and then the reconciliation of those costs. But there is not an overall impact of the volume-related discounts that we're doing. Our senior financial people have taken a look at what is the net impact to us on the revenue side of that discounting program, and it is in single digits. So that is not the impact in that quarter, but there are -- some of the changes in the inventory could have had some impact on that, Greg.

因此，正在通過的單位之間存在輕微的時間差異，然後對這些成本進行調整。但我們正在進行的與數量相關的折扣並沒有產生整體影響。我們的高級財務人員已經研究了該折扣計劃對我們收入方面的淨影響，結果是個位數。所以這不是那個季度的影響，但是庫存的一些變化可能對此產生了一些影響，格雷格。

Okay. Thank you. A follow-up. In terms of the gross margin overall, was that related to that? You mentioned scrap costs were lower this quarter, but I noticed that gross margin was a little bit larger relative to the fourth quarter. Is there something there that you can elaborate on?

好的。謝謝。後續行動。就整體毛利率而言，這與此有關嗎？您提到本季廢品成本較低，但我注意到毛利率相對於第四季稍高。可以詳細說明一下嗎？

So we're still not at what we would consider a full cost absorption, and we're certainly striving to do that. And part of the way that we're doing that is by lowering some of the costs associated with our commercialization of the brand. We do think that at a full commercialization level at some point in time. This product continues to have the ability to generate more typical gross margins for parenteral products more in the 70s, but, right now, we're not at that full on absorption level.

因此，我們仍然沒有達到我們認為的完全成本吸收的水平，我們當然正在努力做到這一點。我們這樣做的部分方法是降低與品牌商業化相關的一些成本。我們確實認為在某個時間點會達到完全商業化水準。該產品在 70 年代繼續有能力為注射劑產品創造更典型的毛利率，但目前我們還沒有達到充分的吸收水平。

Okay. And then fairly, if you don't mind me going on here. Approvals in formulary, did you -- how many -- did you want to specify the number? I didn't hear anything in the presentation that you might have received in the quarter.

好的。公平地說，如果你不介意我繼續講下去的話。處方集中的批准，您是否想要指定數量？我在簡報中沒有聽到您在本季度可能收到的任何內容。

No. We did not specify that. And part of that is going back through and looking at as we did the reduction in force, there were some formularies that were in progress. And as you may know, you need fair access in terms of relationships to get the word quickly, because, otherwise, it can take you a month or more to get the full determination of what was it approved, was it approved for a limited service line, was it approved for broad service line.

不，我們沒有具體說明。其中一部分是回顧並觀察我們在減少兵力時，有一些處方正在進行中。正如您可能知道的，您需要在關係方面有公平的訪問權限才能快速獲得訊息，因為否則，您可能需要一個月或更長時間才能完全確定批准的內容，是否批准了有限服務線，是否被批准用於廣泛的服務線。

So there were approvals in the quarter, but I haven't put the number down yet because we are still finalizing that for that quarter. But we did see a pretty dramatic jump in the early part of the quarter as we got an agreement with a particular large ASC chain, again, one of the top five in the US in terms of size, and that includes a total of close to 200 units.

因此，本季度獲得了批准，但我尚未記下具體數字，因為我們仍在最終確定該季度的情況。但我們確實在本季度初期看到了相當戲劇性的跳躍，因為我們與一家特定的大型 ASC 連鎖店達成協議，這家連鎖店在規模方面是美國前五名之一，其中包括總計接近200 單位。

So nominally, we are approved there, and that came through in the first quarter incrementally, but not every one of those institutions by far is set up for pull-through yet. So I would say we were probably more like another 20 to 40 in the quarter, if we look at pull through on that, pull through on the previous large surgical ASC group that we had and the number of hospitals. So it's a number that is, I think, still quite respectable, but I don't want to put a point on it right now until I have it. But I think as we go through this next quarter, we'll be in a better position to create that baseline for Q1 and into Q2 with a little more precision.

因此，名義上，我們在那裡獲得了批准，並且在第一季逐步獲得批准，但到目前為止，並非所有這些機構都已準備好進行拉動。所以我想說，如果我們看看我們之前的大型外科 ASC 小組和醫院的數量，我們可能會在本季度再增加 20 到 40 個。所以我認為這個數字仍然相當值得尊敬，但在我得到它之前我不想現在就發表觀點。但我認為，當我們經歷下一個季度時，我們將能夠更好地為第一季和第二季創建更精確的基準。

Great. Thank you. That's very helpful. I'll get back in the queue, and thanks for taking my call.

偉大的。謝謝。這非常有幫助。我會回到隊列中，感謝您接聽我的電話。

Thanks very much, Greg.

非常感謝，格雷格。

And we are showing no further questions. I will now turn the call back to Gerri for closing remarks.

我們沒有提出任何進一步的問題。現在我將把電話轉回給格里，讓其致閉幕詞。

Thank you very much for your time today, for your support of the company. We continue to look at ways of helping ANJESO to grow in our hands and to consider options that could provide for an even broader commercialization of the product with a potential partner or otherwise. But continue to believe it is a strong contributor to the management of patients in this non-opioid, perioperative care arena for pain management, and are very encouraged that, with modest spend, we're making good progress on the NMBs, which we think are also potentially very economically important for our shareholders.

非常感謝您今天抽出寶貴的時間，感謝您對公司的支持。我們繼續尋找幫助 ANJESO 在我們手中成長的方法，並考慮可以與潛在合作夥伴或其他方式提供更廣泛的產品商業化的選項。但我們仍然相信，它對非阿片類藥物、圍手術期疼痛管理領域的患者管理做出了強有力的貢獻，並且非常令人鼓舞的是，透過適度的支出，我們在NMB 方面取得了良好的進展，我們認為對我們的股東來說也可能具有非常重要的經濟意義。

Thank you, operator, and thanks, everyone, for joining us. Hope you have a great rest of your day.

謝謝運營商，也謝謝大家加入我們。希望您今天休息愉快。