Medifast Inc (MED) 2023 Q4 法說會逐字稿

Greetings, and welcome to the Medifast fourth quarter and full-year 2023 earnings conference call. (Operator Instructions)

您好，歡迎參加 Medifast 第四季和 2023 年全年財報電話會議。（操作員說明）

As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Steven Zenker, Vice President, Investor Relations. Thank you, Steven. You may begin.

提醒一下，本次會議正在錄製中。現在我很高興向您介紹主持人，投資者關係副總裁 Steven Zenker。謝謝你，史蒂文。你可以開始了。

Good afternoon, and welcome to Medifast's fourth quarter 2023 earnings conference call. On the call with me today are Dan Chard, Chairman and Chief Executive Officer; and Jim Maloney, Chief Financial Officer.

下午好，歡迎參加 Medifast 2023 年第四季財報電話會議。今天與我通話的是董事長兼執行長 Dan Chard；吉姆·馬洛尼，財務長。

By now, everyone should have access to the earnings release for the quarter ended December 31, 2023, that went out this afternoon at approximately 4:05 Eastern time. If you have not received the release, it is available on the Investor Relations portion of Medifast's website at www.medifastinc.com. This call is being webcast, and a replay will also be available on the company's website.

到目前為止，每個人都應該可以查看截至 2023 年 12 月 31 日的季度收益報告，該報告於東部時間今天下午 4:05 左右發布。如果您尚未收到該新聞稿，可以在快驗保網站 www.medifastinc.com 的投資者關係部分取得。這次電話會議正在網路直播，並且公司網站上也將提供重播。

Before we begin, we would like to remind everyone that today's prepared remarks contain forward-looking statements and management may make additional forward-looking statements in response to your questions. The words believe, expect, anticipate, and other similar expressions generally identify forward-looking statements. These statements do not guarantee future performance, and therefore, undue reliance should not be placed on them.

在開始之前，我們想提醒大家，今天準備的言論包含前瞻性陳述，管理階層可能會針對您的問題做出額外的前瞻性陳述。相信、期望、預期和其他類似的表達方式通常表示前瞻性陳述。這些陳述並不保證未來的表現，因此，不應過度依賴它們。

Actual results could differ materially from those projected in any forward-looking statements. All of the forward-looking statements contained herein speak only as of the date of this call. Medifast assumes no obligation to update any forward-looking statements that may be made in today's release or call.

實際結果可能與任何前瞻性陳述中的預測有重大差異。本文所包含的所有前瞻性陳述僅代表本次電話會議當天的情況。快驗保不承擔更新今天的新聞稿或電話會議中可能做出的任何前瞻性聲明的義務。

And with that, I would like to turn the call over to Medifast's Chairman and Chief Executive Officer, Dan Chard.

說到這裡，我想將電話轉給快驗保董事長兼執行長 Dan Chard。

Thanks, Steve, and thanks to everyone for joining us on today's call. With me is Jim Maloney, Medifast's Chief Financial Officer. I'll kick off with some comments on the company's work to drive business transformation and empower sustainable growth of Medifast and an update on how we are delivering against our objectives. I'll then hand things over to Jim to walk through our Q4 and full-year financials.

謝謝史蒂夫，也謝謝大家參加今天的電話會議。和我在一起的是快驗保 (Medifast) 財務長吉姆‧馬洛尼 (Jim Maloney)。我將首先對公司推動業務轉型和促進快驗保可持續成長的工作發表一些評論，並介紹我們如何實現目標的最新情況。然後我會將事情交給吉姆，讓他詳細介紹我們的第四季和全年財務狀況。

Over the course of the past 40 years, Medifast has established itself as an important player in the US health and wellness landscape. The company has consistently adapted to shifting consumer behavior, maintaining and building its relevance to ensure that it stays at the heart of the wellness journey of customers everywhere.

在過去 40 年裡，快驗保 (Medifast) 已成為美國健康與保健領域的重要參與者。該公司始終如一地適應不斷變化的消費者行為，維持和建立其相關性，以確保其始終處於世界各地客戶健康之旅的核心地位。

Now, Medifast is embarking on its biggest and most important transformation to date, taking bold steps to forge a new future as a diversified health and wellness company with significantly increased growth opportunities. While we historically focus on the $8 billion structured weight management segment of the total $230 billion health and wellness market, our new focus includes the medically supported weight management and sports nutrition segments. Together, we expect these to more than quadruple the size of our target base.

現在，快驗保正著手進行迄今為止規模最大、最重要的轉型，採取大膽舉措，打造一個多元化健康與保健公司的新未來，並顯著增加成長機會。雖然我們一直專注於 2,300 億美元的健康和保健市場中 80 億美元的結構化體重管理領域，但我們的新重點包括醫療支援的體重管理和運動營養領域。我們預計這些將使我們的目標基礎規模增加四倍以上。

The weight loss market is expected to grow significantly over the next six years, with GLP-1 medications alone projected to reach up to $100 billion by 2030 according to several Wall Street firms. Several factors are driving this significant growth projection, including further clinical development that improves efficacy and ease of administration, increasing insurance coverage and changes in pricing.

預計減肥市場將在未來六年內大幅成長，據多家華爾街公司稱，到 2030 年，光是 GLP-1 藥物就將達到 1,000 億美元。有幾個因素推動了這一顯著的成長預測，包括提高療效和易於管理的進一步臨床開發、增加保險範圍和定價變化。

At the end of last year, we announced a new strategic collaboration with leading telehealth provider LifeMD. Through this collaboration, our customers will have access to both our personalized habit-based coach-guided approach, along with the medical expertise of board-certified affiliated LifeMD clinicians. This offering extends beyond the initial efforts to lose weight, creating a pathway to a healthy lifestyle as a permanent part of each individual's health and wellness journey. This comprehensive wellness solution will be available to all people in the United States looking to make a healthy lifestyle second nature.

去年年底，我們宣布與領先的遠距醫療提供者 LifeMD 建立新的策略合作。透過此次合作，我們的客戶將能夠獲得我們基於習慣的個人化教練指導方法，以及經過委員會認證的附屬 LifeMD 臨床醫生的醫療專業知識。該產品超越了最初的減肥努力，創造了一條通往健康生活方式的途徑，作為每個人健康和保健之旅的永久組成部分。這個全面的健康解決方案將提供給所有希望將健康生活方式視為第二天性的美國人民。

Independent research commissioned by Medifast last year clearly showed that people who are interested in medical weight loss solutions are also looking for support to establish an overall healthy lifestyle. 96% of those surveys recognize that lifestyle changes are needed for weight loss and maintenance. And only 17% are confident that they can manage on their own. More than half of those surveyed indicated that they are very concerned with the prospect of being on a weight loss medication for the rest of their lives.

去年由快驗保委託進行的獨立研究清楚地表明，對醫療減肥解決方案感興趣的人也在尋求支持以建立整體健康的生活方式。 96% 的調查認識到，減重和維持體重需要改變生活方式。只有 17% 的人有信心自己能夠獨立管理。超過一半的受訪者表示，他們非常擔心餘生服用減肥藥物的前景。

GLP-1 products are not seen as a lifelong commitment by most, but instead, viewed as providing a catalyst to establish long-term health and well-being, with GLP-1 medications being prescribed for weight loss alongside lifestyle modifications as mandated by FDA requirements and some health plans requiring a period of lifestyle modification prior to coverage of these medications after the programs are well positioned to meet these needs. They provide a holistic solution to achieving and maintaining a healthy lifestyle.

大多數人並不將 GLP-1 產品視為終身承諾，而是將其視為建立長期健康和福祉的催化劑，根據 FDA 的規定，GLP-1 藥物被用於減肥和生活方式改變要求和一些健康該計劃要求在計劃充分滿足這些需求後，在覆蓋這些藥物之前先改變一段時間的生活方式。它們提供了實現和維持健康生活方式的整體解決方案。

While this initiative is a transformative step for our model of care, what is not changing is the role and importance of our incredible coach community.

雖然這項舉措是我們護理模式的變革性一步，但沒有改變的是我們令人難以置信的教練社群的角色和重要性。

Coaches remained firmly at the center of our efforts. All of our customers work with coaches to make a healthy lifestyle second nature, whether they are just starting their health journey with the support of GLP-1 medications, transitioning off those medications, or focusing on the medication-free wellness journey. The three-pronged approach, which brings together customer, coach, and clinician, markedly differentiates OPTAVIA in the health and wellness landscape.

教練仍然是我們努力的核心。我們所有的客戶都與教練合作，讓健康的生活方式成為第二天性，無論他們是在GLP-1 藥物的支持下剛開始健康之旅、戒掉這些藥物，還是專注於無藥物的健康之旅。這種三管齊下的方法將客戶、教練和臨床醫生聚集在一起，使 OPTAVIA 在健康和保健領域脫穎而出。

Independent clinical studies conducted by Medifast show that OPTAVIA's structured programs with one-on-one coach support are 10 times more effective for weight loss than a self-directed reduced calorie diet alone. The decision to collaborate with LifeMD follows a successful six-month pilot. LifeMD delivers high-quality virtual healthcare, thanks to their affiliated medical group, anchored by full-time providers who are credentialed to treat patients in all 50 states. They already service over 200 different conditions, have conducted 800,000 virtual consults, and continue to grow their business by adding 750 patients a day.

Medifast 進行的獨立臨床研究表明，OPTAVIA 的結構化計劃和一對一教練支持的減肥效果比單獨自我指導的低熱量飲食有效 10 倍。經過六個月的成功試點後，我們決定與 LifeMD 合作。LifeMD 提供高品質的虛擬醫療保健，這要歸功於其附屬醫療團隊，該團隊由擁有在所有 50 個州治療患者資格的全職提供者組成。他們已經為 200 多種不同的情況提供服務，進行了 800,000 次虛擬諮詢，並透過每天增加 750 名患者來繼續發展業務。

The LifeMD collaboration went live in early January, giving all of our coaches and customers the ability to work with clinicians. Early results are encouraging and meeting our expectations. By midyear, we anticipate launching a more seamlessly integrated solution with LifeMD, offering deeper interaction, coordination, and more seamless activities.

LifeMD 合作於一月初上線，使我們所有的教練和客戶能夠與臨床醫生合作。早期結果令人鼓舞並滿足我們的期望。到年中，我們預計將與 LifeMD 推出更無縫整合的解決方案，提供更深入的互動、協調和更無縫的活動。

We've already developed two new product bundles for those on GLP-1 medications based on independent research that showed people were creating their own bundled nutrition solutions by assembling disparate pieces and spending about the same amount as the price of our initial bundles. As previously indicated, we are investing in customer acquisition and customer experience to drive long-term growth. We're currently building out a new comprehensive company-led national marketing campaign to complement the existing outreach effort of our coaches and to broaden awareness of the OPTAVIA brand among key demographics.

我們已經根據獨立研究為GLP-1 藥物開發了兩種新產品組合，該研究表明人們正在透過組裝不同的零件來創建自己的捆綁式營養解決方案，並且花費與我們最初的捆綁包價格大致相同的金額。如前所述，我們正在投資客戶獲取和客戶體驗，以推動長期成長。我們目前正在製定一項由公司主導的新的綜合性全國行銷活動，以補充我們教練現有的推廣工作，並擴大 OPTAVIA 品牌在關鍵人群中的認知度。

Investment in this important initiative will ramp up significantly as we move through the year and launch our integrated solution with LifeMD. We'll also work closely with LifeMD to ensure that we provide their existing patients with access to our own lifestyle programs, including a dedicated coach. The LifeMD collaboration as well as our company-led marketing activities will give us two incremental channels for new customer growth, and we expect to begin to see their impact on revenues as we approach the end of 2024 and into 2025 and beyond.

隨著今年我們與 LifeMD 一起推出整合解決方案，這項重要措施的投資將大幅增加。我們還將與 LifeMD 密切合作，確保為他們現有的患者提供我們自己的生活方式計劃，包括一名專門的教練。LifeMD 合作以及我們公司主導的行銷活動將為我們提供兩個新客戶成長的增量管道，我們預計在 2024 年底、2025 年及以後，我們將開始看到它們對收入的影響。

Our strong balance sheet, with significant cash and liquid investments, and no debt, provides us with the liquidity to aggressively pursue these new customer acquisition initiatives, and our capacity is further enhanced by our Board of Directors' decision to discontinue the quarterly dividend, as we announced in December, to prioritize our capital for growth initiatives in the years ahead.

我們強大的資產負債表，擁有大量現金和流動性投資，並且沒有債務，為我們提供了積極追求這些新客戶收購計劃的流動性，並且我們的董事會決定停止季度股息，進一步增強了我們的能力，因為我們在 12 月宣布，將優先考慮將我們的資本用於未來幾年的成長計劃。

Our Fuel for the Future cost efficiency program is also a significant contributor to that effort. With expense savings ahead of schedule, expectations are now at the high end of the 200 to 300-basis-point target savings previously indicated. This has been achieved by empowering our procurement organization to negotiate additional savings and by utilizing value engineering in key areas such as R&D.

我們的未來燃料成本效率計畫也是這項努力的重要貢獻者。由於費用節省提前完成，目前的預期是先前指出的 200 至 300 個基點節省目標的高端。這是透過授權我們的採購組織協商額外節省費用以及在研發等關鍵領域利用價值工程來實現的。

We're also working hard to shift customer support to more of a self-service model in order to power substantial additional savings. Being flexible and agile is imperative in this fast-changing environment. And by taking actions to optimize our operations, we're able to shift resources to areas that present the greatest opportunity for revenue and profit growth.

我們還努力將客戶支援轉向更多的自助服務模式，以節省大量額外費用。在這個快速變化的環境中，靈活性和敏捷性至關重要。透過採取行動優化我們的運營，我們能夠將資源轉移到最有機會實現收入和利潤成長的領域。

One recent area of investment that ties neatly into our work in the medically supported weight loss space has been our entrance into the sports nutrition market, with the launch of our new OPTAVIA active product line in the second half of last year. This premium line of products is scientifically designed to help those looking to add an exercise component to their routine. It is also an important part of programs developed for medically supported weight loss customers, helping retain lean muscle mass.

最近與我們在醫療支持減肥領域的工作密切相關的一項投資領域是我們進入運動營養市場，我們在去年下半年推出了新的 OPTAVIA 活性產品系列。這個優質產品系列經過科學設計，旨在幫助那些希望在日常生活中添加運動成分的人。它也是為醫療支持減肥客戶開發的計劃的重要組成部分，有助於保持瘦肌肉質量。

Aging and weight loss are two common causes of reduced muscle mass, and up to 50% of weight loss from medication could come from lean muscle mass and not fat. Our active products help provide reassurance that weight loss is focused on fat burning while minimizing muscle loss. Almost a third of our new customers placed an order with at least one active product since the launch of the active product line to customers in mid-September. All this work dovetails together to drive transformative effects across the business.

老化和體重減輕是肌肉質量減少的兩個常見原因，藥物導致的體重減輕高達 50% 可能來自瘦肌肉質量，而不是脂肪。我們的活性產品有助於確保減肥的重點是脂肪燃燒，同時最大限度地減少肌肉損失。自九月中旬向客戶推出活躍產品線以來，近三分之一的新客戶下了至少一種活躍產品的訂單。所有這些工作相互配合，共同推動整個企業的變革效應。

Expansion of our addressable market and our customer-facing offer enables us to power increases in customer acquisition. We expect that our newly acquired customers using medically supported weight loss products will have a lower order size. But we'll use our OPTAVIA coaching services and nutritional support products for longer as we expand our reach beyond weight loss into maintenance and other healthy habits such as exercise and sports nutrition.

擴大我們的目標市場和客戶導向的服務使我們能夠增加客戶獲取量。我們預計使用醫療支援減肥產品的新客戶的訂單規模將會較小。但隨著我們將業務範圍從減肥擴展到維持和其他健康習慣（例如運動和運動營養），我們將更長時間地使用 OPTAVIA 輔導服務和營養支持產品。

We've seen strong retention for our pilot customers who have been on a LifeMD program since last summer. It's a small sample size, but it gives us helpful insight and confidence as we move forward with our 2024 plans.

我們發現自去年夏天以來一直參加 LifeMD 計畫的試點客戶的保留率很高。雖然樣本量很小，但在我們推進 2024 年計畫時，它為我們提供了有用的見解和信心。

Turning now to performance in the fourth quarter. Typically, the fourth quarter was a slower one for health and wellness companies. Medifast did hit the high end of its revenue guidance and met its EPS guidance as well. Results were down over the prior-year quarter as we continued to see challenges from the impact of macro factors and GLP-1 medications.

現在轉向第四季的表現。通常來說，第四季度對於健康和保健公司來說是一個較慢的季度。快驗保確實達到了其收入指引的上限，也達到了每股盈餘指引。由於我們繼續看到宏觀因素和 GLP-1 藥物影響的挑戰，結果比去年同期有所下降。

Customer acquisition and coach numbers continue to see pressure from headwinds that have impacted us over the last 18 months. However, we believe that the investments made during 2024 will help assure that coaches benefit not only from their own traditional recruitment efforts, but also from new customer sources from the LifeMD collaboration and from company-led marketing initiatives as we seek to tap into the sizable and fast-growing medically supported weight loss opportunity.

客戶獲取和客車數量繼續面臨過去 18 個月影響我們的逆風帶來的壓力。然而，我們相信，2024 年期間進行的投資將有助於確保教練不僅受益於他們自己的傳統招聘工作，而且還受益於LifeMD 合作的新客戶來源以及公司主導的營銷計劃，因為我們尋求利用規模龐大的市場。以及快速成長的醫療支持減肥機會。

Medifast's commitment to helping people make a healthy lifestyle second nature includes actively supporting communities in need. I'm proud of the impact we've made through our corporate social responsibility initiative, Healthy Habits for All, which advances our mission by providing the education and access necessary to create healthy habits. We've now impacted more than 100,000 students with lessons designed to equip students with the skills, knowledge, and confidence to build healthy habits from a young age.

快驗保致力於幫助人們養成健康的生活方式，其中包括積極支持有需要的社區。我為我們透過企業社會責任倡議「全民健康習慣」所產生的影響感到自豪，該倡議透過提供培養健康習慣所需的教育和機會來推進我們的使命。目前，我們的課程已影響了超過 10 萬名學生，這些課程旨在培養學生從小就養成健康習慣的技能、知識和信心。

Together with our coach and client community in 2023, we also increased access to nutritious food through a continued partnership with the national non-profit, No Kid Hungry. To date, we've helped provide nearly 14 million healthy meals to deserving kids.

2023 年，我們也與我們的教練和客戶社群一起，透過與全國性非營利組織 No Kid Hungry 的持續合作，增加了獲得營養食品的機會。迄今為止，我們已幫助為有需要的孩子提供了近 1400 萬份健康餐點。

Transformation is at the heart of this business and always has been. Throughout our history, we have helped our customers and coaches transform their lives, and we have consistently adapted our own business approach to drive growth and adjust to changing dynamics in the marketplace. Today, the new realities of the weight loss and health and wellness environment present yet another transformative opportunity, one that we intend to seize.

轉型始終是該業務的核心。縱觀我們的歷史，我們幫助客戶和教練改變了他們的生活，並且我們不斷調整自己的業務方法來推動成長並適應市場不斷變化的動態。今天，減肥以及健康和保健環境的新現實提出了另一個變革機遇，我們打算抓住這個機會。

Our management team and all of our remarkable team members are focus and working diligently to enable meaningful change in every aspect of our work. What is clear to us is that our business model is as relevant as ever and helping individuals lose weight and live a healthier lifestyle. There's still much to be done, but we have a differentiated strategy, ample liquidity and investment firepower, and a motivated and enthusiastic coach community that is excited about the opportunities that lie ahead.

我們的管理團隊和所有傑出的團隊成員都專注並努力工作，以實現我們工作的各個方面的有意義的改變。我們清楚的是，我們的商業模式一如既往地具有相關性，可以幫助人們減肥並過上更健康的生活方式。雖然還有很多工作要做，但我們擁有差異化的策略、充足的流動性和投資火力，以及對未來機會感到興奮的積極主動和熱情的教練社群。

We have an important year ahead of us, and I'm confident in our team's ability to navigate our transformation as we execute on our long-term growth strategy.

我們即將迎來重要的一年，我對我們的團隊在執行長期成長策略時引導轉型的能力充滿信心。

With that, I'll turn it over to Jim to go over the specifics of our financials.

這樣，我會將其轉交給吉姆，讓他詳細了解我們的財務狀況。

Thank you, Dan. Good afternoon, everyone. 2023 full-year results were in line with our guidance, as we begin to leverage the cost savings generated in the prior quarters to establish a foundation in new markets and take action on plan growth initiatives.

謝謝你，丹。大家下午好。 2023 年全年業績符合我們的指引，因為我們開始利用前幾季節省的成本為新市場奠定基礎，並採取行動計畫成長措施。

Revenue for the full year of $1.07 billion was at the upper end of our guidance range of $1.05 billion to $1.07 billion, but decreased 32.9% versus 2022, primarily driven by continued pressure on customer acquisition, which has led to a decline in the number of active earning OPTAVIA coaches and productivity per active earning OPTAVIA coach. Revenue for the fourth quarter of 2023 decreased 43.4% to $191 million from $337.2 million in the fourth quarter of 2022, as customer acquisition continues to be pressured by growth in popularity of weight loss medications.

全年營收為 10.7 億美元，處於我們指引範圍 10.5 億美元至 10.7 億美元的上限，但與 2022 年相比下降了 32.9%，這主要是由於客戶獲取的持續壓力導致客戶數量下降。主動賺錢OPTAVIA教練和每個主動賺錢OPTAVIA 教練的工作效率。2023 年第四季的營收從 2022 年第四季的 3.372 億美元下降 43.4% 至 1.91 億美元，因為減肥藥物受歡迎程度的成長持續對客戶獲取造成壓力。

We ended the quarter with approximately 41,100 active earning OPTAVIA coaches, a decrease of 32.5% from the fourth quarter of 2022. Average revenue per active earning OPTAVIA coach for the fourth quarter was $4,648, a year-over-year decline of 16.1%, reflecting the continued headwinds to customer acquisition.

截至本季末，我們約有 41,100 名活躍的 OPTAVIA 教練，比 2022 年第四季減少了 32.5%。第四季每個活躍獲利 OPTAVIA 教練的平均收入為 4,648 美元，年減 16.1%，反映出客戶獲取持續面臨的阻力。

Gross profit decreased 39.5%, $141.4 million for the fourth quarter of 2023, driven by lower revenue. Gross profit margin improved 470 basis points to 74%, positively impacted by cost savings from the company's Fuel for the Future program as well as the absence of restructuring costs of certain manufacturing agreements that occurred in the fourth quarter of 2022. On a non-GAAP adjusted basis, excluding one-time expenses related to the 2022 restructuring, gross profit decreased 42.5% to $141.4 million, and gross profit margin increased 110 basis points to 74%.

由於營收下降，2023 年第四季毛利下降 39.5%，為 1.414 億美元。毛利率提高了 470 個基點，達到 74%，這得益於公司「未來燃料」計劃節省的成本以及 2022 年第四季度發生的某些製造協議沒有重組成本的積極影響。在非公認會計原則調整後的基礎上，排除與2022年重組相關的一次性費用，毛利下降42.5%至1.414億美元，毛利率增加110個基點至74%。

SG&A expense was down 34% to $132.7 million for the fourth quarter of 2023, primarily due to decreased coach compensation on lower volume and fewer active earning coaches, progress on several cost reduction optimization initiatives, and the impact from the charitable donation made in 2022, partially offset by market research and investment costs related to medically supported weight loss. SG&A as a percentage of revenue increased 990 basis points as a result of loss of leverage of fixed cost due to lower sales volume and market research and investment costs related to medically supported weight loss activities, partially offset by progress on several cost reduction and optimization initiatives and the charitable donation impact in 2022.

2023 年第四季的SG&A 費用下降了34%，至1.327 億美元，主要是由於教練數量減少和活躍收入教練減少而導致教練薪酬下降，多項成本削減優化舉措取得進展，以及2022 年慈善捐贈的影響，部分被與醫療支持減肥相關的市場研究和投資成本所抵消。SG&A 佔收入的百分比增加了 990 個基點，原因是銷售下降以及與醫療支持減肥活動相關的市場研究和投資成本導致固定成本槓桿損失，但部分被多項成本削減和優化舉措的進展所抵消以及2022年慈善捐贈的影響。

On a non-GAAP adjusted basis, which excludes one-time costs to initiate the LifeMD collaboration and reorganize the IT and supply chain functions, SG&A decreased 35% to $125.1 million and moved 840 basis points higher as a percent of revenue to 65.5%.

在非 GAAP 調整後的基礎上（不包括啟動 LifeMD 合作以及重組 IT 和供應鏈職能的一次性成本），SG&A 下降 35% 至 1.251 億美元，佔收入的百分比上升 840 個基點至 65.5%。

Income from operations was $8.7 million in the fourth quarter of 2023, down 73.4% versus the year-earlier period, driven by lower gross profit, partially offset by lower SG&A. As a percentage of revenue, income from operations was 4.5% in the fourth quarter, a 510-basis-point decline versus the year-earlier level.

2023 年第四季的營運收入為 870 萬美元，較上年同期下降 73.4%，原因是毛利下降，但 SG&A 下降部分抵消了這一影響。第四季營運收入佔營收的比例為 4.5%，較去年同期下降 510 個基點。

On a non-GAAP adjusted basis, which excludes one-time expenses described previously, income from operations decreased 69.5% to $16.2 million as a percent of revenue, non-GAAP adjusted income from operations was 8.5%, a decrease of 730 basis points from the year-ago period.

在非 GAAP 調整後（不包括前述一次性費用）的基礎上，營運收入佔收入的比例下降 69.5% 至 1,620 萬美元，非 GAAP 調整後營運收入為 8.5%，比去年同期下降 730 個基點一年前的時期。

The effective tax rate of 38.4% was higher than expected and higher than the 18.2% recorded in the prior year's fourth quarter due to inventory overhead adjustments for tax reporting purposes, which reduced the expected tax benefit for charitable donations of inventory. On a non-GAAP adjusted basis, the effective tax rate in the fourth quarter was 31.6%.

38.4%的有效稅率高於預期，也高於去年第四季的18.2%，原因是出於稅務報告目的的庫存管理費用調整，減少了庫存慈善捐贈的預期稅收優惠。以非公認會計原則調整後，第四季的有效稅率為31.6%。

Net income in the fourth quarter of 2023 was $6 million, or $0.55 per diluted share, compared to $26.5 million, or $2.41 per diluted share, in the year-earlier period. On a non-GAAP adjusted basis, net income in the fourth quarter of 2023 was $11.9 million, or $1.09 per diluted share.

2023 年第四季的淨利潤為 600 萬美元，即稀釋後每股收益 0.55 美元，而去年同期淨利潤為 2,650 萬美元，即稀釋後每股收益 2.41 美元。根據非公認會計準則調整後的基礎上，2023 年第四季的淨利潤為 1,190 萬美元，即稀釋後每股收益 1.09 美元。

Turning to our balance sheet and cash flow, our financial position remains strong with $150 million in cash, cash equivalents, and investments, and no interest-bearing debt as of December 31, 2023. Cash flow from operations continues to be strong at $147.7 million for the year ended December 31, 2023.

就我們的資產負債表和現金流而言，截至 2023 年 12 月 31 日，我們的財務狀況依然強勁，擁有 1.5 億美元的現金、現金等價物和投資，並且沒有帶息債務。截至 2023 年 12 月 31 日的年度，營運現金流持續強勁，達到 1.477 億美元。

During the quarter, our Board of Directors made the decision to discontinue Medifast's dividend, redirecting the capital to invest in growth and technology initiatives to help drive growth in the years ahead. The bulk of those funds will be invested in initiatives designed to improve our customer acquisition and customer experience, which we believe will lead to greater long-term value for our stockholders. The LifeMD collaboration and our company-led customer acquisition initiative are just two examples of how we expect to use those funds.

在本季度，我們的董事會決定停止 Medifast 的股息，將資本重新投資於成長和技術計劃，以幫助推動未來幾年的成長。這些資金的大部分將投資於旨在改善我們的客戶獲取和客戶體驗的舉措，我們相信這將為我們的股東帶來更大的長期價值。LifeMD 合作和我們公司主導的客戶獲取計劃只是我們期望如何使用這些資金的兩個例子。

Now, I'll turn to our guidance. We are expecting first-quarter revenue to range from $155 million to $175 million, reflecting continued near-term challenges in the face of changing dynamics in the weight loss business, impact from the growth of GLP-1 medications in the marketplace, as well as a deliberate change to our promotion strategy, which eliminated a customer promotion in January 2024 as compared to January 2023, are some of the factors that will negatively impact the results in the first quarter of this year versus last year.

現在，我將轉向我們的指導。我們預計第一季營收將在 1.55 億美元至 1.75 億美元之間，反映出減肥業務不斷變化的動態、市場上 GLP-1 藥物增長的影響以及我們特意改變了促銷策略，與2023 年1 月相比起取消了2024 年1 月的客戶促銷活動，這些因素將對今年第一季的業績與去年相比產生負面影響。

We expect our EPS for the quarter to range from $0.25 to $0.95. The EPS range excludes the costs related to the initiation of the Life MD collaboration and any gains or losses from changes in the market price of our LifeMD common stock. While the operating environment remains challenging, we continue to believe that meaningful spending on driving customer acquisition from two additional sources, company-led marketing and customer flow from LifeMD, will lead to an improvement in customer acquisition trends beginning in the back half of 2024 as our growth initiatives begin to ramp up.

我們預計本季每股收益為 0.25 美元至 0.95 美元。每股收益範圍不包括與 Life MD 合作啟動相關的成本以及 LifeMD 普通股市場價格變化帶來的任何收益或損失。儘管營運環境仍然充滿挑戰，但我們仍然相信，從公司主導的營銷和 LifeMD 的客戶流這兩個額外來源推動客戶獲取方面的有意義的支出，將從 2024 年下半年開始改善客戶獲取趨勢，因為我們的成長計劃開始加強。

This also means that we should start to see an increase in SG&A for the year beginning in Q2, that for the entire year will approximate 200 to 300 basis points of incremental spend as a percent of revenue based on 2023 revenues as we increase our marketing activities. That elevated level is expected to continue into 2025. These increases in marketing spending, as well as the leverage of fixed cost, are expected to exceed the savings we expect from our Fuel for the Future initiative, which, as a result will negatively impact our operating margin and EPS in 2024 and likely 2025 as well.

這也意味著我們應該開始看到從第二季開始的一年的SG&A 增加，隨著我們增加行銷活動，全年增量支出佔收入的百分比將約為200 到300 個基點（基於2023 年收入） 。這一較高水準預計將持續到 2025 年。行銷支出的增加以及固定成本的槓桿作用預計將超過我們對「未來燃料」計劃節省的預期，這將對我們 2024 年和可能的 2025 年的營業利潤率和每股收益產生負面影響，因為出色地。

Therefore, while we still are targeting 15% revenue growth and a 15% operating margin in the long term, it could take longer than previously discussed due to the factors I just mentioned.

因此，雖然我們的長期目標仍然是 15% 的收入成長和 15% 的營業利潤率，但由於我剛才提到的因素，這可能需要比之前討論的更長的時間。

In summary, we are taking steps to help transform Medifast into a diversified health and wellness company. The reallocation of resources, along with our expense reduction efforts, are expected to help drive significant improvement in our operations as we move throughout the year and into 2025 and as we look to expand our market, pursue other growth opportunities, and bring lasting value to the business.

總而言之，我們正在採取措施幫助快驗保轉型為多元化的健康與保健公司。隨著我們全年和進入2025 年，當我們尋求擴大市場、尋求其他成長機會並為客戶帶來持久價值時，資源的重新分配以及我們削減開支的努力預計將有助於推動我們營運的顯著改善。這生意。

With that, let me turn the call to the operator for questions.

接下來，讓我將電話轉給接線員詢問問題。

(Operator Instructions) Jim Salera, Stephens Inc.

（操作員說明）Jim Salera，Stephens Inc.

Hi, guys. Thanks for taking our questions. If I take a look at the number of active earning coaches in the fourth quarter, the end of the fourth quarter, I think if my math is correct, it's the biggest year-over-year decline of 2023. And I believe the first-time quarterly revenue per coach was below $5,000, at least as far back as I have the quarterly numbers, I think, to 2017.

嗨，大家好。感謝您回答我們的問題。如果我看一下第四季、第四季末的活躍收入教練的數量，我認為如果我的數學正確的話，這是 2023 年最大的同比下降。我相信每位教練的季度收入首次低於 5,000 美元，至少從我掌握的季度數據來看，我認為是 2017 年。

Is that a trend that we're going to need to see reverse before the sales trend can stabilize? Or do you guys feel that when you turn on the marketing spend at a company level that it's going to enable you to grow without relying as much on returned to growth and coaches as well?

在銷售趨勢穩定之前，我們是否需要看到這種趨勢逆轉？或者你們是否認為，當你們在公司層面投入行銷支出時，這將使你們能夠成長，而無需過度依賴成長回報和教練？

Yeah, that's a great question. I think part of the answer is tied to what we saw in the period going from 2016 to 2017 as we resumed growth based on our new model. So what we'd expect to see is as we complete the integration of the technology between Medifast and LifeMD, that will give our client -- our coaches the ability to have a seamless experience for clients and will expand our offer to include not only the new products that we've launched, but also seamless experience as they are able to access LifeMDs clinician services, as well as the medically supported weight loss products.

是的，這是一個很好的問題。我認為部分答案與我們在 2016 年至 2017 年期間根據新模式恢復成長所看到的情況有關。因此，我們期望看到的是，當我們完成Medifast 和LifeMD 之間的技術整合時，這將使我們的客戶（我們的教練）能夠為客戶提供無縫體驗，並將擴大我們的服務範圍，不僅包括我們推出的新產品，而且還提供無縫體驗，因為他們能夠存取 LifeMD 臨床醫生服務以及醫療支援的減肥產品。

At that point, what we'd expect to see is a little bit lower per-quarter revenue number, but an expanded ability to acquire new clients, returning to something closer to what we've seen in the past. The other thing that we expect to see, Steve (sic - "Jim"), is that we will have a broader or a longer lifetime in terms of -- measured by months for each of these new clients. So those two things together should drive that productivity per coach back up to historical levels.

到那時，我們預計會看到每季的收入略有下降，但獲得新客戶的能力有所增強，回到更接近我們過去所看到的水平。史蒂夫（史蒂夫，「吉姆」），我們期望看到的另一件事是，我們將擁有更廣泛或更長的生命週期——以每個新客戶的月數來衡量。因此，這兩件事加在一起應該會使每個教練的生產力恢復到歷史水準。

As a follow-up, Dan, to your comment on LifeMD, should we think about the incremental sales lift from that partnership as kind of limited until the fully integrated offer is launched? I mean, does that prevent you guys from seeing much incrementality? Or should we still expect to continue that ramp even before the integrated product is launched in the middle of the year?

Dan，作為您對 LifeMD 的評論的後續行動，我們是否應該認為在完全整合的產品推出之前，這種合作夥伴關係帶來的增量銷售提升是有限的？我的意思是，這是否會阻止你們看到更多的增量？或者，我們是否仍然應該期望在年中推出整合產品之前繼續這種成長？

Yeah. So this is Jim, Jim. So our Q1 guidance where -- we believe we're going to continue to see pressure in revenue due to -- we're looking at that seamless offer. And in our prepared remarks, we mentioned that's going to happen midyear. So once that activity is finalized, then you're going to see incremental advertising -- company advertising pretty much in the range of about $20 million to $30 million, which the company has really never spent that kind of money in this channel before.

是的。這是吉姆，吉姆。因此，我們的第一季指導 - 我們相信我們將繼續看到收入壓力，因為 - 我們正在考慮無縫報價。在我們準備好的發言中，我們提到這將在年中發生。因此，一旦這項活動完成，你就會看到增量廣告——公司的廣告費用幾乎在 2000 萬到 3000 萬美元之間，該公司以前從未在這個管道上花過這麼多錢。

So we're expecting we both the channel regarding LifeMD, for customers, and the channel for company-led acquisition to be in the back half of 2024 due to that seamless offer, getting the technology ready for that seamless offer.

因此，由於提供了無縫服務，我們預計 LifeMD 的客戶管道和公司主導的收購管道將在 2024 年下半年推出，為無縫服務做好技術準備。

Okay. That's helpful. And then if I can maybe sneak in one other question for you, Jim. You guys saw a solid gross margin uplift in 4Q. And I believe in the slide deck, you mentioned $45 million in Fuel for Savings for the year, for 2023. Maybe just size up what the opportunity for that is in 2024, given the headwind that you're going to see from the increase in company-led marketing.

好的。這很有幫助。然後我可以偷偷地問你一個問題嗎，吉姆。你們看到第四季的毛利率穩定上升。我相信在幻燈片中，您提到了 2023 年節省燃料 4500 萬美元。考慮到公司主導的行銷成長將帶來的阻力，也許你需要評估一下 2024 年的機會。

Yeah. The 110-basis-point improvement on a non-GAAP basis in gross margin, we are -- that was mainly from the price increase that we took at the end of Q4 of 2024. And it's really just lapping that price increase. What I'm expecting, the Fuel for the Future program that generated about $45 million to operating income, that benefited both cost of sales and SG&A. And that will continue, those cost savings will continue into 2024.

是的。我們的毛利率在非 GAAP 基礎上提高了 110 個基點，這主要是由於我們在 2024 年第四季末採取的價格上漲。事實上，這只是價格上漲的結果。正如我所期望的，「未來燃料」計畫將產生約 4,500 萬美元的營業收入，這對銷售成本和銷售成本和管理費用都有好處。這種情況將會持續下去，這些成本節約將持續到 2024 年。

We haven't presented a target for that. So we're not -- we didn't provide any target for that, but we are going to get additional savings. But we do expect that all the cost savings from the Fuel for the Future will be spent back on investments for growth opportunities. The one you mention is the marketing -- the company-led marketing activity, that will be about $20 million to $30 million on a full-year basis that really won't start until later on this year once we get the seamless offer ready.

我們還沒有為此提出目標。所以我們沒有——我們沒有為此提供任何目標，但我們將獲得額外的節省。但我們確實預計未來燃料節省的所有成本都將用於投資成長機會。你提到的是行銷——公司主導的行銷活動，全年費用約為 2000 萬至 3000 萬美元，直到今年晚些時候我們準備好無縫報價後才會開始。

Also, we're spending funds on market research technology and other activities regarding medically supported weight loss. In Q4, just to give you a feel, those investments were about 690 basis points, and that did not even include the $5 million of the initial payment that we paid LifeMD.

此外，我們還將資金用於市場研究技術和其他有關醫療支持減肥的活動。在第四季度，只是讓您感受一下，這些投資約為 690 個基點，這甚至不包括我們支付給 LifeMD 的 500 萬美元首付。

So we're going to continue to invest in these growth opportunities for the next year. And you're going to see pressure on not just our gross margins. It's going to be more really looking at our operating income margin. It's really where that's going to be impacted the most. So it's going to be included mostly in SG&A, where it was in Q4.

因此，我們將在明年繼續投資這些成長機會。你會看到的壓力不僅僅是我們的毛利率。它將更真實地關注我們的營業利潤率。這確實是受影響最大的地方。因此，它將主要包含在 SG&A 中，即第四季度的情況。

Got it. Great. That's helpful color, guys. Thank you. I'll hop back in the queue.

知道了。偉大的。夥計們，這顏色很有用。謝謝。我會跳回到隊列中。

Thanks, Jim.

謝謝，吉姆。

Linda Bolton Weiser, D.A. Davidson.

琳達·博爾頓·韋瑟，D.A.戴維森。

Hi, thank you. So just so I understand the comments you made about the incremental costs and expenses, the 200 to 300 basis points of incremental spending, which I think you said would all be in SG&A, is that in (multiple speakers) Is that in addition to and separate from the advertising blending that you're talking about?

嗨，謝謝你。因此，我理解您對增量成本和支出的評論，增量支出的 200 到 300 個基點，我認為您所說的全部都在 SG&A 中，是在（多個發言者）中，除了和與您所說的廣告混合分開嗎？

So that's the same. So the 200 to 300 basis points, which really equates to approximately $20 million to $30 million, we're going to start spending that in the coming months as we get the seamless offer completed by midyear. So you're going to see that type of spend start to happen probably towards the end of Q2 and then into Q3 and beyond. So that's our expectations at this point, Linda.

所以那是一樣的。因此，200 到 300 個基點，實際上相當於大約 2000 萬到 3000 萬美元，我們將在未來幾個月內開始支出，因為我們將在年中之前完成無縫報價。因此，您將看到這種類型的支出可能會在第二季末開始發生，然後進入第三季及以後。這就是我們目前的期望，琳達。

Great. But I'm trying to clarify, like is that advertising spending to draw people into the seamless offering?

偉大的。但我想澄清一下，廣告支出是否是為了吸引人們使用無縫產品？

Yes, it is. Correct.

是的。正確的。

Okay. Then you should have the seamless offering all ready to go at the time you start turning on that advertising spend? Is that the way to think about it?

好的。那麼，當您開始投入廣告支出時，您應該已經準備好無縫產品了嗎？是這樣思考的嗎？

That's exactly right. Yes. And we're thinking that's going to happen midyear, and that's when you're going to see that type of incremental advertising happening. And that will be reported in SG&A.

完全正確。是的。我們認為這將在年中發生，那時你會看到這種類型的增量廣告的發生。這將在 SG&A 中報告。

Okay. I got you. So that means that -- well, I guess here's the thing. I mean, are you working in conjunction in a collaborative effort with LifeMD to put forth an advertising message? And are they spending the same amount or are you spending -- like what's the combined spending on the advertising front?

好的。我接到你了。所以這意味著——嗯，我想事情就是這樣的。我的意思是，您是否正在與 LifeMD 合作發布廣告訊息？他們的支出是相同的還是你的支出──例如廣告方面的總支出是多少？

I think what LifeMD spends is something for them to announce. The message they're putting out it is to draw, say their traditional message, which ties to their primary care physician services.

我認為LifeMD花多少錢是他們要宣布的事情。他們發出的信息是吸引人，他們的傳統訊息是這樣的，這與他們的初級保健醫生服務有關。

What we do know, though, and we mentioned this in the comments, if you step back and you say, what does it really that we're doing as a company? And it's a first, we're giving a new message to our coaches, which means that coaches can now offer the support of the clinician for the OPTAVIA programs. So that's a modified message for them, and they will continue to use that message over -- both in their communities and using social media platforms.

不過，我們確實知道的是，我們在評論中提到了這一點，如果你退一步說，我們作為一家公司到底在做什麼？這是我們第一次向教練傳達新訊息，這意味著教練現在可以為 OPTAVIA 計畫提供臨床醫生的支持。所以這對他們來說是一個修改過的訊息，他們將繼續在他們的社區和使用社交媒體平台上使用這些資訊。

The second channel for client acquisition is the one you just -- that Jim just described and you asked a question on, which is company-led acquisition. That's done in coordination with our coaches, and it's providing coaches within that -- the coach offer within that message.

客戶獲取的第二個管道是您剛才提到的——吉姆剛剛描述的並且您提出了一個問題，即公司主導的獲取。這是與我們的教練協調完成的，並在其中提供教練 - 教練在該消息中提供。

The third is the one that you're asking about now, which is client acquisition through our partner LifeMD. So they have a very specific formula to drive the best results for their client -- their patient acquisition.

第三個就是您現在問的問題，透過我們的合作夥伴 LifeMD 獲取客戶。因此，他們有一個非常具體的公式來為客戶帶來最佳結果—患者獲取。

What they also know is that once their patients are in and using their product, they've surveyed them, and they know that a significant portion. So I'll describe that as about 50% of the patients they bring in are looking for additional support for lifestyle programs. And they're the kind of type of lifestyle programs that we offer throughout OPTAVIA.

他們也知道，一旦患者開始使用他們的產品，他們就會對他們進行調查，並且知道其中很大一部分。因此，我將描述為，他們帶來的大約 50% 的患者正在尋求生活方式計劃的額外支持。它們是我們在 OPTAVIA 中提供的生活方式計劃類型。

So the intention is to support those patients who want to have that kind of support. And so we're at the very beginning of this. This was part of the reason they were excited, enthusiastic about partnering with us through this collaboration agreements. And we believe that through these three new client acquisition channels, we have an important and meaningful way to impact our client acquisition capabilities as we move through the year.

因此，我們的目的是支持那些想要獲得這種支持的患者。所以我們才剛開始。這是他們對透過這項合作協議與我們合作感到興奮和熱情的部分原因。我們相信，透過這三個新的客戶獲取管道，我們可以透過重要且有意義的方式來影響我們全年的客戶獲取能力。

So as you go forward in time over the long term, do you expect to continue to ramp up the pull marketing spend? So you're saying it's going be $20 million to $30 million. So that's 2% to 3% of sales. Does that go higher overtime to 5% of sales, or does it go lower as your coach network becomes used to marketing that message?

因此，從長遠來看，您是否預計會繼續增加拉動行銷支出？所以你說的是 2000 萬到 3000 萬美元。也就是說，佔銷售額的 2% 到 3%。隨著時間的推移，這個比例會上升到銷售額的 5%，還是會隨著您的教練網絡習慣於行銷該資訊而下降？

Yeah. I don't know if we know that answer right now, and there'll be more to come on that as we learn more information on this. This is the early stages of this. But what I can say on that is we're going to look to see what the return on investment of that marketing spend is to that particular channel and determine the profitability of that channel to make additional adjustments within that channel on marketing spend.

是的。我不知道我們現在是否知道這個答案，隨著我們了解更多相關信息，將會有更多答案。這是早期階段。但我可以說的是，我們將看看該行銷支出對特定管道的投資回報是多少，並確定該管道的獲利能力，以便在該管道內對行銷支出進行額外調整。

So there's going to be more to come on that. There's really -- I can't give you a full answer on that for you to model out 2025. But we wanted to give what 2024 will look like to investors at this point.

因此，還會有更多的事情發生。確實——我無法給你一個完整的答案，讓你模擬 2025 年。但我們現在想向投資者介紹 2024 年的情況。

Okay. And then I'm just curious, are you making any changes to your commission structure to help fund the advertising spend? Or are you making no changes at this time for the commission structure?

好的。然後我很好奇，您是否會對佣金結構進行任何更改以幫助資助廣告支出？或者您目前沒有對佣金結構進行任何更改？

No changes at this time for commission structure.

目前佣金結構沒有變動。

Okay. And maybe you could share with us what you’re learning from LifeMD about -- like what are they saying about the availability of the branded drugs versus compounded? I know they work with a compounder or compounders for the drug -- to get their drugs to their customers, to their patients. Are they seeing more availability of the branded drug? Or like what are they seeing on that front?

好的。也許您可以與我們分享您從 LifeMD 了解到的情況，例如他們對品牌藥物與複方藥物的可用性有何看法？我知道他們與藥物的配製者合作——將藥物送到他們的客戶、他們的病人手中。他們是否看到品牌藥物的可用性更高？或者他們在這方面看到了什麼？

I think their access is the same as everyone else's to the branded. I think there have been some supply shortages that I think you're referencing. And they have a reliable supplier for the compounded version of the active GLP-1 ingredients.

我認為他們對品牌的訪問權與其他人相同。我認為您所提到的存在一些供應短缺的情況。他們擁有可靠的 GLP-1 活性成分複合版本供應商。

So they're able to offer both solutions for their patients. But like I said, there's no -- their access to the branded product is through the same pharmacies that everybody else is using.

因此他們能夠為患者提供這兩種解決方案。但就像我說的，沒有——他們是透過其他人都在使用的同一家藥房獲得品牌產品的。

Okay. And then can you just remind us in terms of what they provide to patients, do they help them with insurance navigation? And if so, what percentage of their GLP-1 patients have insurance coverage for that?

好的。然後您能否提醒我們他們為患者提供的服務，他們是否幫助他們進行保險導航？如果是這樣，他們的 GLP-1 患者中有多少比例有此保險？

They do offer assistance with navigating the insurance question and provide solutions for those who are not insured or underinsured. We don't report on their specific metrics. So I'll leave that question to them to answer in terms of what percentage are insured versus uninsured.

他們確實提供解決保險問題的幫助，並為那些沒有保險或保險不足的人提供解決方案。我們不報告他們的具體指標。因此，我將這個問題留給他們來回答投保與未投保的百分比。

But I do think, and I think you're getting at this, I mentioned this earlier, they have a unique offering during a time of scarcity and some supply constraints to provide those who are looking for an answer through alternative means other than through their compound pharmacy to have a viable way to achieve the benefits of medically supported weight loss. And so I think that was one of the attractive offers that they have along with their very specific type of primary care physicians support through their robust platform.

但我確實認為，而且我認為你已經明白了這一點，我之前提到過，他們在稀缺時期提供了獨特的產品，並且存在一些供應限制，為那些通過替代方式而不是通過他們的產品尋求答案的人提供了幫助。複合藥房有一個可行的方法來實現醫學支持的減肥的好處。因此，我認為這是他們提供的有吸引力的優惠之一，以及透過其強大的平台提供的非常特定類型的初級保健醫生的支持。

So I think we're -- I would say at this stage, we are very pleased with the collaboration that we're seeing. As we said, our IT, respective IT teams are actively working as we speak to achieve this integration. And all of that is meant to provide an excellent cloud experience on our side or patient experience on their side to achieve this lifestyle component that's becoming more and more relevant as we learn more about what people are looking for and how to achieve the best outcomes while using GLP-1 medications.

所以我認為我們——我想說，在這個階段，我們對我們所看到的合作感到非常滿意。正如我們所說，我們的 IT 以及各自的 IT 團隊正在積極工作，以實現這種整合。所有這一切都是為了在我們這邊提供出色的雲端體驗或在他們這邊為患者提供出色的體驗，以實現這種生活方式組成部分，隨著我們更多地了解人們正在尋找什麼以及如何在同時實現最佳結果，這種生活方式組成部分變得越來越相關。使用 GLP-1 藥物。

Okay. And then finally, the range for EPS for the first quarter, it seems a little bit wide. Is the variability of getting to the low end versus the high end of EPS, is that just variability around how revenue comes out? Or is it that you're unsure of gross margin or the SG&A spending level? What's the variability there?

好的。最後，第一季每股收益的範圍似乎有點寬。每股盈餘的低端與高端的變化是否只是收入產生方式的變化？還是您不確定毛利率或銷售管理費用 (SG&A) 支出水準？那裡有什麼可變性？

Yeah. It's mainly the SG&A spending, and it depends on the investments that I spoke about earlier, how much of it is actually spent in Q1. That's the majority of the variability.

是的。主要是SG&A支出，這取決於我之前談到的投資，第一季實際支出了多少。這是大部分的變異性。

Okay. All right. Thanks a lot. I appreciate it.

好的。好的。多謝。我很感激。

Thank you.

謝謝。

Thanks, Linda.

謝謝，琳達。

Thank you. There are no questions. There are no further questions at this time. I'd like to hand the floor back to Dan Chard for any closing comments.

謝謝。沒有問題。目前沒有其他問題。我想將發言權交還給丹·查德（Dan Chard）以徵求結束語。

I'd like to thank you both for your questions and for the opportunity to further expand on our transformation -- our transformative vision on today's call. Today, we stand at the start of an important shift in this company's proud and successful history as we broaden our approach and position ourselves to be ever more central to the health and wellness journeys of people across United States and beyond.

我要感謝你們提出的問題，也感謝你們給我機會進一步擴展我們的轉型——我們在今天的電話會議上的變革願景。今天，我們正處於這家公司令人自豪和成功的歷史上的一個重要轉變的開端，我們拓寬了我們的方法，並將自己定位為美國及其他地區人們的健康和保健之旅的中心。

We have remarkable platform built on deep experience, strong collaborations, investment firepower, and talented and passionate coaches and employees who can help us deliver on our goals. And our mission to make healthy habits second nature has never been more important in a world where obesity remains a significant and growing problem.

我們擁有卓越的平台，建立在豐富的經驗、強大的合作、投資火力以及才華橫溢、充滿熱情的教練和員工的基礎上，他們可以幫助我們實現我們的目標。在肥胖仍然是一個嚴重且日益嚴重的問題的世界裡，我們讓健康習慣成為第二天性的使命從未如此重要。

I'm excited about the opportunity that Medifast has to become an ever more important part of the solution. And I look forward to updating you further on our progress on our next call.

我很高興有機會讓快驗保成為解決方案中更重要的一環。我期待在下次電話會議上進一步向您通報我們的進展。

Thanks, everyone, and have a great day.

謝謝大家，祝你有美好的一天。

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

今天的會議到此結束。此時您可以斷開線路。感謝您的參與。