Medifast Inc (MED) 2024 Q3 法說會逐字稿

Greetings, and welcome to the Medifast third-quarter 2024 earnings conference call.

您好，歡迎參加 Medifast 2024 年第三季財報電話會議。

(Operator Instructions)

（操作員說明）

As a reminder, this conference is being recorded.

提醒一下，本次會議正在錄製中。

It is now my pleasure to introduce your host, Steven Zenker, Vice President of Investor Relations. Thank you, sir. You may begin.

現在我很高興向您介紹主持人，投資者關係副總裁 Steven Zenker。謝謝您，先生。你可以開始了。

Good afternoon, and welcome to Medifast's third-quarter 2024 earnings conference call. On the call with me today are Dan Chard, Chairman and Chief Executive Officer; and Jim Maloney, Chief Financial Officer. By now, everyone should have access to the earnings release for the quarter ended September 30, 2024, that went out this afternoon at approximately 4:05 PM, Eastern Time. If you have not received the release, it is available on the Investor Relations portion of Medifast website at www.medifastinc.com. This call is being webcast, and a replay will also be available on the company's website.

下午好，歡迎參加 Medifast 2024 年第三季財報電話會議。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。到目前為止，每個人都應該可以查看截至 2024 年 9 月 30 日的季度收益發布，該發佈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、預期和其他類似表達方式通常可識別前瞻性陳述。這些聲明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 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在本次電話會議之日發表。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 the call today. With me is Jim Maloney, Medifast's CFO. We'll give some color on our third quarter results and provide an update on the progress we're making on our business transformation. The weight loss segment of the health and wellness industry continues to experience profound change; widespread consumer adoption of GLP-1 medications has fundamentally shifted the way people think about weight management and health. The growth is in many ways staggering given that it's not quite 12 months since the FDA approved the second generation of GLP-1 medications for use in weight loss regimens. A recent Kaiser Family Foundation poll showed that one in five US overweight and obese adults have used one of these medications.

謝謝史蒂夫，也謝謝大家今天加入我們的電話會議。和我在一起的是快驗保 (Medifast) 財務長吉姆‧馬洛尼 (Jim Maloney)。我們將介紹第三季的業績，並提供我們業務轉型進展的最新資訊。健康和保健行業的減肥領域繼續經歷深刻的變化；消費者對 GLP-1 藥物的廣泛採用從根本上改變了人們對體重管理和健康的看法。鑑於 FDA 批准第二代 GLP-1 藥物用於減肥方案還不到 12 個月，這種增長在許多方面都是驚人的。凱撒家庭基金會最近的一項民調顯示，五分之一的美國超重和肥胖成年人使用過其中一種藥物。

Like many of our peer set, we've naturally seen significant impact on our business fundamentals. Adjusting to market realities has not been easy. However, we continue to believe that there is a significant opportunity to return the company to growth. Our goal is to build the health and wellness company of the future, one that is designed to grow in a GLP-1 world.

與我們的許多同行一樣，我們自然地看到了對我們業務基本面的重大影響。適應市場現實並不容易。然而，我們仍然相信公司有一個恢復成長的重大機會。我們的目標是建立未來的健康與保健公司，致力於在 GLP-1 世界中發展的公司。

With that in mind, we've been steadily executing on our strategic transformation plan, focusing on our core mission, while broadening reach and improving solutions to address the changing nature of the marketplace. We continue to make progress in several key areas and are working with OPTAVIA coaches and customers, as we shift to reflect this new environment.

考慮到這一點，我們一直在穩步執行我們的策略轉型計劃，專注於我們的核心使命，同時擴大影響範圍並改進解決方案，以應對市場不斷變化的性質。我們繼續在幾個關鍵領域取得進展，並與 OPTAVIA 教練和客戶合作，以適應這一新環境。

To establish a thriving health and wellness business that can grow in today's market, we've developed distinct coach-supported program offerings tailored to meet the unique needs of three specific customer segments on their health and wellness journeys.

為了建立一個能夠在當今市場中蓬勃發展的健康和保健業務，我們開發了獨特的教練支援計畫產品，以滿足三個特定客戶群在其健康和保健之旅中的獨特需求。

The first offer is targeted at individuals using GLP-1 medications as a core element of their weight loss program. The second offer is for people looking to maintain weight loss and improve health when they come off GLP-1 medications for whatever reason, those could include cost, side effects, or any other cause. And the third offer is for people who have never used medications and want to use coach supported habit-based programs as the core of their weight loss journey.

第一個優惠是針對使用 GLP-1 藥物作為減重計畫核心要素的個人。第二個優惠適用於那些因任何原因（可能包括費用、副作用或任何其他原因）停止使用 GLP-1 藥物時希望保持體重減輕和改善健康的人。第三個優惠是針對那些從未使用過藥物並希望使用教練支持的基於習慣的計劃作為減肥之旅核心的人。

I want to take a look at each of those target markets separately. Starting with those who want to use GLP-1 medications at the core of their weight-loss efforts. We've expanded training for our independent OPTAVIA coaches to better equip them to help customers develop a healthy lifestyle, while using GLP-1 medications.

我想分別看看每個目標市場。從那些想要使用 GLP-1 藥物作為減肥努力核心的人開始。我們擴大了對獨立 OPTAVIA 教練的培訓，使他們能夠更好地幫助客戶在使用 GLP-1 藥物的同時養成健康的生活方式。

Currently, over 95% of coach leaders have completed this specialized training and according to our latest survey, approximately 40% of active coaches are now supporting at least one client on a GLP-1 medication.

目前，超過 95% 的教練領導者已經完成了這項專門培訓，根據我們的最新調查，大約 40% 的現役教練現在正在支持至少一名客戶使用 GLP-1 藥物。

Research commissioned by Medifast suggests the GLP-1 support market could grow to $50 billion or more by 2030, making this audience a core focus for our business. GLP-1 medications have been shown to be highly effective in aiding healthy and lasting weight loss when used in conjunction with healthy habits like diet and exercise. As such, we believe there is strong compatibility with our experience of helping people through our coach-guided Habits of Health Transformation System.

Medifast 委託進行的研究表明，到 2030 年，GLP-1 支援市場可能會成長到 500 億美元或更多，使這一受眾成為我們業務的核心焦點。事實證明，當與飲食和運動等健康習慣結合時，GLP-1 藥物在幫助健康、持久減肥方面非常有效。因此，我們相信，透過教練指導的健康習慣轉變系統來幫助人們的經驗與我們有很強的兼容性。

Around 12% of our customers have used GLP-1 medications over the last 12 months compared with around 4% at the beginning of the year. We expect this penetration to increase over the coming months as coaches continue to successfully help these individuals with their weight loss goals and in making a healthy lifestyle second nature.

我們約有 12% 的客戶在過去 12 個月內使用過 GLP-1 藥物，而今年年初這一比例約為 4%。我們預計，隨著教練繼續成功幫助這些人實現減肥目標並使健康的生活方式成為第二天性，這種滲透率將在未來幾個月內增加。

The next target segment reflects growth in the number of people transitioning off medications for any reason. We're very encouraged by the potential of OPTAVIA to help people maintain weight loss and improve health when they stop using medications.

下一個目標部分反映了因任何原因停止用藥的人數的增長。我們對 OPTAVIA 幫助人們在停止使用藥物後保持體重和改善健康的潛力感到非常鼓舞。

External research shows that individuals who stop medication usage regained two-thirds of their lost weight and failed to maintain associated health improvements if they do not adopt a modified healthy lifestyle, during or after using GLP-1 medications. This is particularly important because of early indications that GLP-1 medications are not being used for the long-term.

外部研究表明，停止用藥的人如果在使用 GLP-1 藥物期間或之後不採取改變的健康生活方式，體重會恢復三分之二，並且無法保持相關的健康改善。這一點尤其重要，因為早期跡象表明 GLP-1 藥物不會長期使用。

Recent KFF analysis showed that about one-third of users quit taking the medication after six months and by one year, this number can rise to half or more. That same poll showed that one in eight US adults have taken GLP-1 medications at some point, with only half saying that they are currently on the medication.

最近的 KFF 分析顯示，大約三分之一的使用者在六個月後停止服藥，到一年後，這個數字可能會上升到一半或更多。同一項民調顯示，八分之一的美國成年人曾在某個時候服用過 GLP-1 藥物，只有一半的人表示他們目前正在服用該藥物。

By 2030, our internal estimates suggest that as many as 50 million or more people could have started and then stopped GLP-1 usage. A huge potential market. We are actively exploring this area in more depth and expect to launch a program later this year that meets this group's needs.

我們的內部估計表明，到 2030 年，可能會有多達 5000 萬人或更多的人開始使用 GLP-1，然後停止使用。巨大的潛在市場。我們正在積極更深入地探索這一領域，並預計在今年稍後推出一個滿足該群體需求的計劃。

Lastly, we continue to place focus on finding new customers and reactivating past customers who have no interest in GLP-1s, but who are motivated to lose weight by focusing on wellness, healthy habits and a healthy lifestyle.

最後，我們繼續致力於尋找新客戶並重新激活對 GLP-1 不感興趣但有動力透過專注於健康、健康習慣和健康生活方式來減肥的老客戶。

Central to our efforts in this area is an initiative to improve overall customer experience, whether new to our program or reactivating after an absence. Improvements include better tracking dashboards and advanced data capabilities, enabling customers and coaches to stay aligned on the progress and on their goals and allowing greater personalization. We saw an increase in engagement for those on our newly enhanced website in recent months with an average session time of up double-digits and unique visitors and sessions also increasing.

我們在這一領域努力的核心是改善整體客戶體驗的舉措，無論是新加入我們的計劃還是在缺席後重新激活。改進包括更好的追蹤儀表板和高級數據功能，使客戶和教練能夠在進度和目標上保持一致，並實現更大的個人化。近幾個月來，我們發現新增強的網站上的使用者參與度有所增加，平均會話時間增加了兩位數，獨立訪客和會話也有所增加。

Regardless of Need State segment, our integrated coach-supported lifestyle-based approach accurately reflects the behaviors and priorities of the consumer in a positive way. We differentiate ourselves by offering holistic solutions that include scientifically developed nutrition products and individualized coach and community support as well as access to weight loss medications through LifeMD where clinically appropriate.

無論需求狀態細分如何，我們基於教練支援的基於生活方式的綜合方法都以積極的方式準確地反映了消費者的行為和優先事項。我們透過提供整體解決方案來脫穎而出，其中包括科學開發的營養產品和個人化教練和社區支持，以及在臨床合適的情況下透過 LifeMD 獲得減肥藥物。

With new products in development as well as enhanced technology to help coaches provide a highly personalized experience to each of their customers, our offer has never been more compelling. Personal coaching, a support community, tailored plans and personalized solutions have always been at the heart of our offer, and they remain just as relevant in a GLP-1 world. We've spent 40-plus years walking alongside people and offering integrated solutions to those learning to live healthy lifestyles.

隨著新產品的開發以及增強的技術幫助教練為每位客戶提供高度個人化的體驗，我們的產品從未如此引人注目。個人輔導、支持社區、量身定制的計劃和個人化解決方案始終是我們服務的核心，它們在 GLP-1 世界中仍然具有重要意義。40 多年來，我們一直與人們同行，為那些學習健康生活方式的人們提供全面解決方案。

Now with the evolving dynamic of the weight loss market, we're positioning Medifast to address a broader spectrum of customer needs, working alongside our independent OPTAVIA coaches and in collaboration with LifeMD's physicians. As part of that strategy, we need to ensure that we have the right products, pricing strategies and positioning in place to drive engagement and retention.

現在，隨著減重市場的不斷發展，我們將 Medifast 定位為滿足更廣泛的客戶需求，與我們獨立的 OPTAVIA 教練一起工作，並與 LifeMD 的醫生合作。作為該策略的一部分，我們需要確保擁有正確的產品、定價策略和定位，以提高參與度和保留率。

We expect to launch a new program at the beginning of 2025, featuring a series of entirely new products under the new OPTAVIA ASCEND brand. These products and associated meal plans are specifically designed for those on GLP-1 medications.

我們預計在 2025 年初推出一項新計劃，推出新 OPTAVIA ASCEND 品牌下的一系列全新產品。這些產品和相關飲食計劃是專門為服用 GLP-1 藥物的人設計的。

We also plan to simultaneously launch a supplement pack with vitamins and minerals to help support the program and to provide a complete and balanced diet. This program will be competitively priced to ensure we capture consumers who are already spending money on the medications themselves. OPTAVIA ASCEND products are high in protein and fiber to help retain lean muscle mass and promote digestive health and also include calcium to support bone health. These products will be paired with the support of a coach and community and access to GLP-1 medications through LifeMD.

我們還計劃同時推出含有維生素和礦物質的補充包，以幫助支持該計劃並提供完整均衡的飲食。該計劃的價格將具有競爭力，以確保我們吸引那些已經在藥物上花錢的消費者。OPTAVIA ASCEND 產品富含蛋白質和纖維，有助於保留肌肉質量並促進消化健康，還含有鈣以支持骨骼健康。這些產品將與教練和社區的支持相結合，並透過 LifeMD 獲得 GLP-1 藥物。

OPTAVIA ASCEND also supports a new program designed to facilitate the key transition and weight maintenance phase of customers' weight loss journey, empowering lifestyle changes and providing essential nutrients. We know that once customers lose the weight, OPTAVIA Coaches can teach them how to keep it off.

OPTAVIA ASCEND 還支持一項新計劃，旨在促進客戶減肥之旅的關鍵過渡和體重維持階段，促進生活方式的改變並提供必需的營養。我們知道，一旦客戶減肥，OPTAVIA 教練可以教他們如何維持體重。

OPTAVIA ASCEND has a different nutrition profile and the plan was developed in response to coach feedback, requesting a simpler, more tailored approach for clients transitioning from active weight loss to weight maintenance. We're also testing starter kits for new customers who want to try OPTAVIA before making a longer-term commitment. This program allows us to show customers the effectiveness of our products and familiarize them with our coach community at an attractive initial price point. By offering additional ways to drive affinity with our program, we believe we can bring in more customers, which in turn will drive higher numbers of active coaches.

OPTAVIA ASCEND 具有不同的營養成分，該計劃是根據教練的反饋而製定的，要求為客戶從主動減肥過渡到體重維持提供更簡單、更量身定制的方法。我們也正在為想要在做出長期承諾之前嘗試 OPTAVIA 的新客戶測試入門套件。該計劃使我們能夠向客戶展示我們產品的有效性，並以有吸引力的初始價格讓他們熟悉我們的教練社群。透過提供額外的方式來提高對我們計劃的親和力，我們相信我們可以吸引更多的客戶，這反過來又會帶動更多的活躍教練。

Development of these products took about half the time of previous launches. And as we move through 2025 and beyond, we'll continue to consider further product line extensions and modular add-ons that will extend beyond weight loss and support those using medications. So, we have a differentiated offer that is designed specifically for the key audience need states and we have products and programs in place to drive sampling, engagement and retention, as well as to support the transition to long-term weight maintenance.

這些產品的開發時間大約是以前產品發佈時間的一半。隨著 2025 年及以後的發展，我們將繼續考慮進一步擴展產品線和模組化附加組件，這些附加組件將超越減肥範圍並為使用藥物的人提供支持。因此，我們提供了專門針對關鍵受眾需求狀態而設計的差異化產品，並且我們擁有適當的產品和計劃來推動採樣、參與和保留，以及支持向長期體重維持的過渡。

We're about to embark on a clinical study to assess the health outcomes associated with the integration of OPTAVIA nutrition and lifestyle programs alongside medications. We believe this study will provide valuable insights into the performance of our products and our support for customers on their health journey. The results will add to our existing scientific evidence, as we continue to offer differentiated holistic lifestyle programs that serve all clients from weight loss to weight maintenance.

我們即將進行一項臨床研究，以評估 OPTAVIA 營養和生活方式計劃與藥物相結合所帶來的健康結果。我們相信這項研究將為我們產品的性能以及我們對客戶健康之旅的支援提供有價值的見解。這些結果將補充我們現有的科學證據，因為我們將繼續提供差異化的整體生活方式計劃，為從減肥到維持體重的所有客戶提供服務。

Through all of this, we must use marketing and partnerships to maintain competitive white space, drive brand awareness and power client acquisition. Our company-led marketing campaigns reflect an approach that targets key demographics across the 3 core groups, I mentioned earlier. This is a competitive market, and it's not easy breaking through the noise in a crowded environment.

透過這一切，我們必須利用行銷和合作夥伴關係來保持競爭性空白，提高品牌知名度並增強客戶獲取能力。我們公司主導的行銷活動反映了一種針對我之前提到的 3 個核心群體的關鍵人口統計數據的方法。這是一個競爭激烈的市場，在擁擠的環境中要衝破喧囂並不容易。

We have learned some valuable lessons and have been fine-tuning our strategy with a focus on channels that yield the highest return on investment. We are optimizing spending accordingly and have scaled back in less effective areas. We now expect total marketing spend for 2024 to range between $20 million and $25 million. This reflects a disciplined approach that prioritizes efficiency and value.

我們吸取了一些寶貴的經驗教訓，並一直在微調我們的策略，並專注於能產生最高投資回報的管道。我們正在相應地優化支出，並縮減效率較低的領域。我們現在預計 2024 年的行銷總支出將在 2,000 萬美元至 2,500 萬美元之間。這反映了一種優先考慮效率和價值的嚴格方法。

Our collaboration with LifeMD also continues to show promise. As we begin piloting joint marketing campaigns, highlighting the complementary solutions that both companies offer. These efforts should help us reach new customers and broaden our customer acquisition strategy. The full impact of all these initiatives will take time to materialize. But with resolution season coming up, we see real opportunity.

我們與 LifeMD 的合作也持續展現出前景。當我們開始試行聯合行銷活動時，重點強調兩家公司提供的互補解決方案。這些努力應該有助於我們接觸新客戶並擴大我們的客戶獲取策略。所有這些舉措的全面影響需要時間才能實現。但隨著解決季節的到來，我們看到了真正的機會。

With our newly refreshed website up and running, as well as the availability of our new products and enhanced interface, we are well positioned to begin to see improved performance in 2025 and beyond. As we continue to develop and refine our solutions, we feel cautiously optimistic about our ability to drive further adoption and engagement.

隨著我們新更新的網站的啟動和運行，以及新產品和增強介面的推出，我們已做好準備，在 2025 年及以後開始看到效能的改善。隨著我們不斷開發和完善我們的解決方案，我們對推動進一步採用和參與的能力持謹慎樂觀的態度。

Our strong balance sheet gives us the financial flexibility needed to invest in these key growth initiatives for the business. We're managing our capital prudently, focusing on areas that we believe will deliver long-term value for our stakeholders. We have also identified additional cost savings opportunities as part of our ongoing Fuel for the Future initiative. And we believe that these further -- these will further strengthen our financial position as we execute our transformation.

我們強大的資產負債表為我們提供了投資這些關鍵業務成長計畫所需的財務靈活性。我們謹慎管理我們的資本，重點關注我們認為將為利害關係人帶來長期價值的領域。作為我們正在進行的「未來燃料」計劃的一部分，我們還發現了額外的成本節約機會。我們相信，當我們實施轉型時，這些將進一步加強我們的財務狀況。

The weight loss market has been revolutionized and Medifast is committed to moving with it to meet changing needs. Our focus on providing integrated solutions that combine lifestyle modification, clinical guidance and community support puts us in a strong position, and I'm confident in our team's ability to execute on our strategy to position the company for growth in the quarters and the years ahead.

減肥市場已經發生了革命性的變化，快驗保致力於隨之改變以滿足不斷變化的需求。我們專注於提供結合生活方式改變、臨床指導和社區支持的綜合解決方案，這使我們處於有利地位，我相信我們的團隊有能力執行我們的策略，使公司在未來幾個季度和未來幾年實現增長。

Now, I'll turn it over to Jim to review the quarterly financial details.

現在，我將把它交給吉姆來審查季度財務細節。

Thank you, Dan. Good afternoon everyone. Third quarter 2024 revenue was at the upper end of our guidance range and EPS was above the high end of the range as we move forward with the significant business initiatives, Dan, just mentioned and strategically timing our company-led customer acquisition spending.

謝謝你，丹。大家下午好。丹剛剛提到，隨著我們推進重大業務計劃，並策略性地安排我們公司主導的客戶獲取支出，2024 年第三季的收入處於我們指導範圍的上限，每股收益高於該範圍的高端。

Revenue for the quarter was $140.2 million, a decrease of 40.6% versus the year earlier period, primarily driven by a decline in the number of active earning OPTAVIA coaches and lower productivity per active earning OPTAVIA coach, customer acquisition continues to be impacted by competition from GLP-1 medications and consumer spending patterns.

本季營收為 1.402 億美元，較上年同期下降 40.6%，主要是由於活躍賺錢 OPTAVIA 教練數量下降以及每位活躍賺錢 OPTAVIA 教練的生產力下降所致，客戶獲取繼續受到來自 OPTAVIA 的競爭的影響。 -1 藥物與消費者支出模式。

We ended the quarter with approximately 30,000 active earning OPTAVIA coaches, a decrease of 36.3% from the third quarter of 2023. Average revenue per active earning OPTAVIA coach for the second quarter was $4,672, a year-over-year decline of 6.7%, reflecting the continued headwinds to customer acquisition.

截至本季末，我們約有 3 萬名活躍的 OPTAVIA 教練，比 2023 年第三季減少了 36.3%。第二季每位活躍獲利 OPTAVIA 教練的平均收入為 4,672 美元，年減 6.7%，反映出客戶獲取持續面臨的阻力。

Gross profit decreased 40.4% year-over-year to $105.7 million, driven by lower revenue, gross profit margin improved 20 basis points to 75.4%. SG&A expense was down 31.8% year-over-year to $103.6 million, primarily reflecting lower compensation expenses due to lower volumes and fewer active earning coaches as well as reduced cost for coach-related events including convention and a decrease in employee compensation, partially offset by cost for our company-led customer acquisition initiatives.

由於收入下降，毛利年減 40.4% 至 1.057 億美元，毛利率提高 20 個基點至 75.4%。SG&A 費用年減 31.8% 至 1.036 億美元，主要反映了由於數量減少和活躍收入教練減少而導致的薪酬費用減少，以及包括會議在內的教練相關活動成本的降低和員工薪酬的減少，部分抵消了按我們公司主導的客戶獲取計劃的成本。

SG&A as a percentage of revenue increased 950 basis points to 73.9%, primarily as a result of the loss of leverage of fixed costs due to lower sales volumes in cost for our company-led acquisition initiatives.

SG&A 佔收入的百分比增加了 950 個基點，達到 73.9%，這主要是由於我們公司主導的收購計劃的成本銷售下降導致固定成本槓桿損失。

On a non-GAAP adjusted basis, which excludes the final $1.7 million of expenses related to the company's overall $10 million collaboration with LifeMD, SG&A decreased 32.9% to $101.9 million and moved 830 basis points higher as a percent of revenue to 72.7%.

在非 GAAP 調整後的基礎上，不包括與公司與 LifeMD 的 1000 萬美元合作相關的最終 170 萬美元費用，SG&A 下降 32.9% 至 1.019 億美元，佔收入的百分比上升 830 個基點至 72.7%。

Income from operations was $2.1 million in the third quarter of 2024 versus $25.5 million in the prior period, driven by lower gross profit, partially offset by lower SG&A. As a percentage of revenue, income from operations was 1.5% in the third quarter compared to 10.8% in the prior year period.

2024 年第三季的營運收入為 210 萬美元，而上一季為 2,550 萬美元，原因是毛利下降，但 SG&A 下降部分抵消了這一影響。第三季營運收入佔營收的百分比為 1.5%，去年同期為 10.8%。

On a non-GAAP adjusted basis, which excludes the adjustments described previously, income from operations decreased to $3.8 million. As a percentage of revenue, non-GAAP adjusted income from operations was 2.7%, a decrease of 810 basis points from the year ago period.

在非 GAAP 調整後（不包括前述調整）的基礎上，營運收入下降至 380 萬美元。以非公認會計準則調整後的營運收入佔收入的百分比為 2.7%，較去年同期下降 810 個基點。

The effective tax rate in the quarter of 28.5% was higher than the 12.9% recorded in the prior year's third quarter due to a decrease in the tax benefit for donations of inventory compared to 2023. On a non-GAAP adjusted basis, the effective tax rate in the third quarter was 26%.

由於庫存捐贈的稅收優惠較 2023 年有所下降，本季的有效稅率為 28.5%，高於去年第三季的 12.9%。以非公認會計原則調整後，第三季的有效稅率為26%。

Net income in the third quarter of 2024 was $1.1 million or $0.10 per diluted share compared to net income of $23.1 million or $2.12 per diluted share in the year earlier period. On a non-GAAP adjusted basis, net income in the third quarter of 2024 was $3.9 million or $0.35 per diluted share.

2024 年第三季的淨利為 110 萬美元，即稀釋後每股收益 0.10 美元，而去年同期淨利為 2,310 萬美元，即稀釋後每股收益 2.12 美元。根據非公認會計準則調整後的基礎上，2024 年第三季淨利為 390 萬美元，即稀釋後每股收益 0.35 美元。

Turning to our balance sheet. We ended the quarter with $170 million in cash, cash equivalents and investments and no interest-bearing debt. This is up from $150 million as of December 31, 2023. Given our healthy cash position that is projected to be maintained through the expiration of our credit facility and beyond, we have canceled our credit agreement effective October 30. This action was made as part of our Fuel for the Future initiative as we incurred $50,000 of cash expenses related to the termination, and we will achieve annual savings of approximately $500,000 in commitment fees. The credit agreement termination was done in accordance with its terms.

轉向我們的資產負債表。截至本季末，我們擁有 1.7 億美元的現金、現金等價物和投資，沒有帶息債務。截至 2023 年 12 月 31 日，這一數字為 1.5 億美元。鑑於我們健康的現金狀況預計將在信貸額度到期及之後保持不變，我們已取消自 10 月 30 日起生效的信貸協議。這項行動是我們未來燃料計畫的一部分，因為我們因終止協議而產生了 50,000 美元的現金費用，我們每年將節省約 50 萬美元的承諾費。信貸協議的終止是根據其條款進行的。

As of the date of the termination, the company did not have any borrowings under the credit agreement, and the company was in compliance with all covenants. In addition, the company did not incur any premium or early penalties in connection with the termination.

截至終止日，本公司不存在任何信貸協議項下的借款，本公司遵守所有承諾。此外，該公司沒有因終止而產生任何溢價或提前罰款。

Now I will turn to our guidance. We are expecting fourth quarter revenue to range from $100 million to $120 million, reflecting a continued decrease in the number of active earning OPTAVIA coaches as a result of near-term challenges to customer acquisition due to the growing acceptance of GLP-1 medications in the marketplace. We expect our loss per share for the quarter to range from $0.10 to $0.65.

現在我要談談我們的指導。我們預計第四季度的收入將在1 億美元至1.2 億美元之間，反映出由於GLP-1 藥物在全球範圍內的接受度不斷提高，近期客戶獲取面臨挑戰，導致積極賺錢的OPTAVIA 教練數量持續減少。我們預計本季每股虧損為 0.10 美元至 0.65 美元。

The guidance includes expectations of spending $7 million during the quarter on company-led marketing. However, it excludes any gains or losses from changes in the market price of our LifeMD common stock holdings, which we are unable to estimate.

該指導意見包括預計本季將花費 700 萬美元用於公司主導的行銷。然而，它不包括我們無法估計的 LifeMD 普通股市場價格變化所帶來的任何收益或損失。

As we discussed on our last call, we have made a conscious decision to better align our spending with the availability of the full complement of our new offer, which includes the new products and enhanced customer experience that we expect will be ready for the start of resolution season at the beginning of 2025.

正如我們在上次電話會議中所討論的那樣，我們做出了一個有意識的決定，以便更好地將我們的支出與我們新產品的全部補充的可用性結合起來，其中包括我們預計將為開始的新產品和增強的客戶體驗做好準備。

In summary, we believe that continuing to execute our key business initiatives and supplementing those initiatives with marketing dollars at the right time will allow us to take full advantage of the changes we are making today.

總而言之，我們相信，繼續執行我們的關鍵業務計劃並在適當的時候用行銷資金補充這些計劃將使我們能夠充分利用我們今天所做的變革。

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

接下來，讓我將電話轉回給接線生詢問問題。

Thank you. We will now be conducting a question-and-answer session. (Operator Instructions)

謝謝。我們現在將進行問答環節。（操作員說明）

Jim Salera, Stephens Inc.

吉姆·薩萊拉，史蒂芬斯公司

Yes, good afternoon. Thanks for taking our question. I wanted to start maybe on the marketing spend because, if my notes served me correct, I think initially, we had talked about like $30 million in company-led marketing for the year. If I kind of back into where we're at now, Jim, based on what you said for 4Q, that's about half, $7 million in 3Q and $7 million in 4Q. And then in the supplemental, you mentioned scaling back on some less effective areas. So, maybe you could just give us some color on some of the areas that you've scaled back the spend and for the areas that you still are driving some of the company led marketing, what the response has been so far and any learnings that we might be able to take into 2025.

是的，下午好。感謝您提出我們的問題。我可能想從行銷支出開始，因為如果我的筆記對我有用的話，我想最初我們討論了今年公司主導的行銷支出約為 3000 萬美元。吉姆，如果我回到現在的情況，根據你所說的第四季度的情況，大約是一半，第三季為 700 萬美元，第四季為 700 萬美元。然後在補充資料中，您提到縮減一些效率較低的領域。因此，也許您可以給我們一些關於您已經縮減支出的領域以及您仍在推動公司主導營銷的領域的一些信息，到目前為止的反應以及任何教訓我們也許可以考慮到 2025 年。

Thanks for the question, Jim. So, yes, we did spend $7 million this past quarter, and we are intending on spending an additional $7 million in Q4. So year-to-date, we are at $17 million through September 30. And we've made a lot of progress in this area. As we mentioned to investors and in our last several calls, this is a new initiative for the company, and we continue to evaluate this marketing effort. We are making progress in this area, and we are continuing to look at what are the best ways to optimize these initiatives to improve our customer acquisition costs and the timing of that spend, we feel it's better to do it in other times of the year, and that's why some of the pullback happened in Q3.

謝謝你的提問，吉姆。所以，是的，我們上個季度確實花了 700 萬美元，我們打算在第四季再花費 700 萬美元。今年迄今，截至 9 月 30 日，我們的收入為 1700 萬美元。我們在這一領域取得了很大進展。正如我們在最近幾次電話會議中向投資者提到的那樣，這是該公司的一項新舉措，我們將繼續評估這項行銷工作。我們正在這一領域取得進展，我們正在繼續尋找優化這些舉措的最佳方法，以提高我們的客戶獲取成本和支出時間，我們認為最好在一年中的其他時間進行，這就是第三季度出現一些回調的原因。

So you're correct in saying that we were going to spend more amounts in 2024, but we believe that it's more appropriate to invest in this spend in the coming months and years. I'm sorry, in the months and quarters. So you'll see us continue to do this type of spend into 2025 through resolution season. So hopefully, that answers your question.

因此，您所說的我們將在 2024 年支出更多金額是正確的，但我們認為在未來幾個月和幾年內投資這筆支出更為合適。抱歉，在幾個月和幾個季度。因此，您將看到我們在 2025 年解決方案季中繼續進行此類支出。希望這能回答你的問題。

Yeah. There maybe as a follow-up -- are there any particular kind of channels or formats on the company-led advertising side that you guys have seen more or less success with? I mean, know there's kind of different what you do on TV or social media, but have you found more or less engagement through any one of those particular advertising channels.

是的。也許作為一個後續——在公司主導的廣告方面，你們是否看到了或多或少的成功的任何特定類型的管道或格式？我的意思是，知道您在電視或社交媒體上所做的事情有所不同，但是您是否透過任何特定的廣告管道發現了或多或少的參與度。

Yes. Jim, this is Dan. I think we've -- as Jim said, we've continued to optimize the social media channels have been highly effective. Interestingly, some of the ways we've been capturing just e-mail or those who start to interact with our website have been some of the more effective ways for us to drive new clients.

是的。吉姆，這是丹。我認為，正如吉姆所說，我們持續優化社群媒體管道非常有效。有趣的是，我們只捕獲電子郵件或開始與我們網站互動的一些方法是我們吸引新客戶的更有效方法。

I'd also add that it's -- 90% of our client acquisition still comes through our coach channel. So, it's important even though the company-led acquisition is a new part of our client acquisition strategy, it's still a smaller part of the whole. And it's -- now it's been a little bit under a year since we started to modify our message and incorporate a GLP-1 medication message that's available to us through LifeMD.

我還要補充一點，我們 90% 的客戶獲取仍然來自我們的教練管道。因此，重要的是，儘管公司主導的收購是我們客戶收購策略的新組成部分，但它仍然只是整體的一小部分。自從我們開始修改資訊並納入可透過 LifeMD 取得的 GLP-1 藥物資訊以來，已經過了不到一年的時間。

And just to kind of highlight some of the things we said in our prepared remarks. Because I think I don't -- I want to make sure those don't get lost. We now have 95% of our coach leaders who have been trained to support GLP-1 medications. And I think that's -- training is important, which then means that they train the rest of our coaches.

只是為了強調我們在準備好的發言中所說的一些內容。因為我想我不會——我想確保它們不會丟失。現在，我們 95% 的教練領導者都接受過支持 GLP-1 藥物治療的訓練。我認為訓練很重要，這意味著他們會訓練我們其他的教練。

But I think the proof of that starting to work is 40%, that was up from 33% last quarter, our coaches are now supporting at least one client on a GLP-1 drug, and that translates into roughly 12% of our current client base either have been or are currently on GLP-1 medications and -- yeah, over the last 12 months.

但我認為開始起作用的證據是 40%，高於上季度的 33%，我們的教練現在支持至少一名客戶使用 GLP-1 藥物，這相當於我們當前客戶的大約 12%基地要么已經或正在服用GLP-1 藥物，並且——是的，在過去12 個月裡。

And I think one of the things we really feel is important as well as the product development initiatives that have taken place over the last several months that will start to roll out at the beginning of this next year and resolution season.

我認為我們真正感到重要的一件事以及過去幾個月進行的產品開發計劃將在明年年初和解決季節開始推出。

So, these are products under the OPTAVIA Ascend brand that have been specifically formulated to support people on GLP-1 drugs or -- and this is -- the second part is important, those who are moving to a maintenance program. And that's true for both, those who are transitioning off GLP-1 drugs as well as off of our traditional program that is coach-led habit space.

因此，這些是 OPTAVIA Ascend 品牌下的產品，專門為支持使用 GLP-1 藥物的人而配製，或者——這是——第二部分很重要，即那些正在轉向維持計劃的人。對於那些正在擺脫 GLP-1 藥物以及擺脫由教練主導的習慣空間的傳統計劃的人來說，情況都是如此。

This is an area that our coaches have been talking about for a long time and asking for a long time. And this, along with the clinical research that we anticipate doing to prove out that our lifestyle program is highly complementary of people on GLP-1 medications or those who are often maintaining, I think, is an important part for our future. So, just wanted to add those comments to your question about where we're seeing the most traction.

這是我們教練們講了很久、問了很久的領域。我認為，這一點，再加上我們預計要做的臨床研究，將證明我們的生活方式計劃與服用 GLP-1 藥物的人或經常維持的人高度互補，是我們未來的重要組成部分。所以，我只是想將這些評論添加到您的問題中，以了解我們在哪裡看到了最大的吸引力。

Yeah. That's great. And maybe if I could sneak one more in. If my kind of back of the envelope math, it doesn't fail me. The midpoint of your 4Q guidance on the top line, implies like a 200 -- a little bit less than a 200 basis point deceleration quarter-over-quarter.

是的。那太棒了。如果我能再偷偷溜進去一次就好了。如果我的數學能力很強，它不會讓我失望。頂線上第 4 季指引的中點意味著季度環比減速 200 個基點，略低於 200 個基點。

Is there a reason that you think that the rate of decline of the top line would accelerate into 4Q given that we've seen it get kind of gradually better sequentially over the years? Is that just with West marketing support or you got this product rollout that doesn't hit until 2025? Just any thoughts on that.

鑑於我們已經看到多年來收入逐漸好轉，您認為第四季營收下降速度會加速嗎？這只是靠 West 的行銷支援還是你的產品要到 2025 年才會推出？只是對此有任何想法。

Yeah. I mean we are -- when you look at our guidance at the midpoint we are obviously still having continued pressure on client acquisition and with that, it's impacting the number of coaches.

是的。我的意思是，當你看看我們的中期指導時，我們顯然在客戶獲取方面仍然面臨持續的壓力，這會影響教練的數量。

So, when you think about the coming quarter, we are scaling back some of our company-led acquisition in advertising. And this -- that part of the year, Jim, due to seasonality, we feel is we wanted to make sure that we gave guidance that we were certain that we can do our best in achieving. So -- the -- if you look back at the last several years, Q4 has been more difficult than other quarters as people aren't thinking about their health and wellness at that point and better in January and beyond.

因此，當你考慮下一個季度時，我們正在縮減公司主導的一些廣告收購。吉姆，在這一年的那個時候，由於季節性原因，我們覺得我們想要確保我們提供的指導是我們確信我們能夠盡最大努力實現的。因此，如果你回顧過去幾年，第四季比其他季度更加困難，因為人們當時並沒有考慮自己的健康狀況，一月份及以後的情況會更好。

Great. Appreciate all the thoughts guys. I'll hop back in queue.

偉大的。感謝大家的所有想法。我會跳回隊列。

Linda Bolton-Weiser, D.A. Davidson.

琳達·博爾頓·韋瑟，D.A.戴維森。

Yes. Hello. So, I was wondering, of the 12% of your clients who were on or currently are on a GLP-1 drug. Can you give us some ideas to what portion got their script from LifeMD?

是的。你好。所以，我想知道，您的 12% 的客戶曾經或目前正在服用 GLP-1 藥物。你能給我們一些關於他們的劇本的哪些部分是從 LifeMD 獲得的想法嗎？

Yeah, We're not putting that number out there publicly. I mean it's -- I'll say it's -- mean, obviously, it's a mix between the two. And I think what we're seeing is that a portion of those people who are coming in, that portion of that 12% are some who have been transitioning off. So they're finding us in different ways. So some of those individuals have their script through their own physician and transitioned off and are looking for a way to help them maintain their weight loss and others have come through LifeMD.

是的，我們不會公開公佈這個數字。我的意思是——我會說這是——意思是，顯然，這是兩者的混合。我認為我們看到的是，在新加入的人中，有一部分人，即那 12% 的人中，有一部分人已經開始轉型。所以他們以不同的方式找到我們。因此，其中一些人透過自己的醫生獲得了腳本，並開始尋找一種方法來幫助他們保持減肥效果，而其他人則透過 LifeMD 獲得了成功。

What I will say is, we have some very successful Coach groups who are working very closely with the LifeMD physicians, who are really specialized in this area. And as we've continue to improve the integration of our technology together, that experience is becoming very attractive to the way our coaches do business. So we anticipate that number will continue to improve and become a more central part of how our coaches support those groups who are looking for medical supported weight loss.

我要說的是，我們有一些非常成功的教練小組，他們與 LifeMD 醫生密切合作，他們在這一領域非常專業。隨著我們不斷改進技術的集成，這種體驗對於我們教練開展業務的方式變得非常有吸引力。因此，我們預計這個數字將繼續改善，並成為我們的教練支持那些尋求醫療支持減肥的團體的更核心部分。

So I've actually signed up in the last couple of months with LifeMD for (inaudible) compounded semaglutide and I asked my clinician when I was meeting with her online about -- well, I ask specifically about OPTAVIA. She did not offer the information. And then when asked about OPTAVIA, she had never heard of it or she vaguely had heard of it, but she didn't know much about it and she said she didn't know much about it. So I guess, I'm just wondering like what's the value of the partnership with LifeMD. If their clinicians are not oriented toward helping people that might want the services of OPTAVIA like why didn't the clinician know about OPTAVIA?

所以，實際上，在過去的幾個月裡，我已經在LifeMD 註冊了（聽不清）複合索馬魯肽，當我在網上與我的臨床醫生會面時，我向她詢問了——嗯，我特別詢問了OPTAVIA。她沒有提供這些資訊。然後問OPTAVIA的時候，她沒有聽過或隱約聽過，但不太了解，她說不太了解。所以我想，我只是想知道與 LifeMD 合作的價值是什麼。如果他們的臨床醫生不致力於幫助可能需要 OPTAVIA 服務的人，那麼為什麼臨床醫生不了解 OPTAVIA？

Yeah, I think your experience is probably different than most. The LifeMD has a group of trained physicians who have been trained on the OPTAVIA program. And specifically, our technology kind of routes those customers who come through our website or through a coach to that group of physicians.

是的，我認為您的經歷可能與大多數人不同。LifeMD 擁有一群訓練有素的醫生，他們接受過 OPTAVIA 計劃的培訓。具體來說，我們的技術可以將那些透過我們的網站或透過教練來到的客戶路由到該組醫生那裡。

It sounds like you may not have gone through that process. I don't -- I mean -- I think we could kind of look at the process you use. But if you went to LifeMD on your own rather than through your coach or through our website, you may have gotten a physician who is supporting the LifeMD program in general rather than those physicians we've been specifically trained to support OPTAVIA customers or yeah, I think that's probably what happened. But I'd have to give more details.

聽起來您可能沒有經歷過這個過程。我不——我的意思是——我認為我們可以看看你使用的流程。但是，如果您自己去 LifeMD，而不是透過您的教練或透過我們的網站，您可能會得到一位支持 LifeMD 計劃的醫生，而不是那些我們經過專門培訓來支持 OPTAVIA 客戶的醫生，或者是的，我想這可能就是發生的事情。但我必須提供更多細節。

So it's not -- the whole partnership is not designed for you to take advantage of their customer base. It's more for your customer base, they have access to LifeMD, right?

所以整個合作關係並不是為了讓您利用他們的客戶群而設計的。這更適合您的客戶群，他們可以訪問 LifeMD，對嗎？

The initial phase of the collaboration is for our coaches and their clients to offer access to medically supported weight loss through LifeMD. The second phase, which we're starting to integrate now, and I mentioned in the prepared remarks, has to do with co-marketing. And leveraging the program, the lifestyle program to support their patients who are either looking for a lifestyle program or those who are potentially transitioning off.

合作的初始階段是讓我們的教練及其客戶透過 LifeMD 提供醫療支援的減重服務。我們現在開始整合的第二階段，我在準備好的發言中提到過，與聯合行銷有關。並利用該計劃，即生活方式計劃來支持正在尋求生活方式計劃或可能正在過渡的患者。

So, we're at the very beginning of that part of it, but you're correct. That the initial phase has been largely for our customer base. But the second phase is to access their customer base as well to leverage that in some different ways.

所以，我們正處於這部分的開始，但你是對的。初始階段主要是針對我們的客戶群。但第二階段是訪問他們的客戶群，並以一些不同的方式利用這一點。

Okay. So, switching a little bit to the cost side. I was a little surprised to see the magnitude of the loss expected in the fourth quarter, I guess it's deleverage more than anything. But the clinical trials that you talked about or the clinical studies, is there a cost associated with that? And does that spending start in the fourth quarter or does it start in 2025?

好的。因此，稍微轉向成本方面。看到第四季預期的虧損幅度，我有點驚訝，我想這最重要的是去槓桿化。但是您談到的臨床試驗或臨床研究是否有與之相關的成本？該支出是從第四季開始還是從 2025 年開始？

Linda, the majority of the cost of the studies will occur in 2025 and beyond. So, very little will be spent in Q4. So, you're correct in saying that the leverage on the fixed cost due to volume pressures is impacting us in Q4 also we're investing -- we're continuing to invest in marketing, and we're looking at the best ways to go about doing that.

Linda，大部分研究費用將在 2025 年及以後發生。因此，第四季的支出很少。因此，您的說法是正確的，由於銷售壓力，固定成本的槓桿正在影響我們第四季度的情況，我們也在投資——我們正在繼續投資於行銷，我們正在尋找最好的方法來實現這一目標。

There are also is some timing differences. So, we did do better versus our guidance on the bottom-line in Q3 that that shifted into Q4. Some of was work that we're doing with the plan that Dan mentioned regarding OPTAVIA Ascend.

還有一些時間上的差異。因此，與我們對第三季利潤的指引相比，我們確實做得更好，該指引已轉移到第四季度。其中一些工作是我們正在根據 Dan 提到的有關 OPTAVIA Ascend 的計劃進行的工作。

Okay. But in terms of the clinical studies, I mean I'm not a drug person. So I mean I don't know what to imagine for the cost of such a thing? Is it like $10 million or $15 million or $50 million? Like what type of costs are we talking about for these studies that you're planning?

好的。但就臨床研究而言，我的意思是我不是吸毒者。所以我的意思是我不知道這樣的事情的成本是多少？是 1000 萬美元、1500 萬美元還是 5000 萬美元？就像我們正在討論的您計劃的這些研究的成本類型是什麼？

Yeah. So right now, the initial estimates, most of it will occur in 2025 and beyond would be less than $2 million.

是的。因此，目前初步估計，其中大部分將在 2025 年及以後發生，費用將低於 200 萬美元。

Okay. And then, in terms of the vitamins and supplements that you talked about offering in 2025, are these as well the new programs going to be ready like right at January 1 when people are doing their resolution or a little before January 1. Like when are we actually going to see them kind of launch?

好的。然後，就您談到的 2025 年提供的維生素和補充劑而言，這些以及新計劃將在 1 月 1 日人們制定計劃時或在 1 月 1 日之前準備就緒。例如我們什麼時候才能真正看到它們的推出？

So we'll be introducing those 2 coaches in the latter part of this year, so basically, next month, and then they will be introduced for use with new clients and our current client base during resolution season.

因此，我們將在今年下半年（基本上是下個月）介紹這兩位教練，然後在解決季節期間將他們介紹給新客戶和我們當前的客戶群使用。

I think just to give you a little bit of insight in terms of why we've done that, as you know, our traditional approach with our products has been to include the vitamin supplements inside of the product. And because there's a -- so this new product set was tested with people on GLP-1 drugs, as well as those who are transitioning and going into weight maintenance. And so, we pulled the vitamins out of the -- our fuelings or what we're referring to in this line as mini mills and to improve the taste profile. And we were successful in doing that and then we're providing them a supplement so they can be taken separately. So, we think it provides a better product experience for this new segment of consumers. And yes, it will be ready for resolution season.

我想只是為了讓您對我們這樣做的原因有一點了解，如您所知，我們產品的傳統方法是將維生素補充劑包含在產品中。因為有 - 所以這套新產品已經在服用 GLP-1 藥物的人以及正在過渡和維持體重的人中進行了測試。因此，我們從我們的燃料或我們在這一行中所說的迷你磨坊中提取維生素，以改善口味。我們成功地做到了這一點，然後我們為他們提供了補充劑，以便他們可以單獨服用。因此，我們認為它為這個新的消費者群體提供了更好的產品體驗。是的，它將為解決季節做好準備。

And so can you give us some rough idea as to the price point? Is it like a vitamin pack or something? Is it a monthly cost of like $30, $40? Like can you give us some idea?

那麼您能給我們一些關於價格的粗略想法嗎？是不是像維生素包之類的？每月費用是 30 美元、40 美元嗎？你能給我們一些想法嗎？

Those are all being discussed internally. We're going to be announcing that shortly. So there's more to come on that as we launch that product in the coming weeks.

這些都在內部討論中。我們將很快宣布這一點。因此，當我們在未來幾週內推出該產品時，還會有更多內容。

Okay. And then my last question was just on what you said about cash flow or cash balance. You said your cash balance that it is now you expect to continue as the cash balance for how long? I didn't quite understand what your comment was there.

好的。我的最後一個問題是關於你所說的現金流或現金餘額。你說你的現金餘額現在是你預計這種現金餘額能持續多久？我不太明白你的評論是什麼。

Yeah. I mean we basically are looking at our forecast. And what we were attempting on saying was that, we believe that the credit facility will not -- would not be used, so we decided to cancel it. The expiration of that credit facility is in -- was in 2026, and we had really no intention on using it unless we did something inorganically, and then we would need a different type of facility, and it wouldn't be a revolver.

是的。我的意思是我們基本上正在考慮我們的預測。我們試圖說的是，我們相信信貸安排不會——不會被使用，所以我們決定取消它。該信貸安排將於 2026 年到期，我們真的無意使用它，除非我們無機地做一些事情，然後我們需要一種不同類型的信貸安排，而且它不會是左輪手槍。

So, we made the conscious decision to cancel it and save the fees that we're paying on that credit facility because at least at this point in time, we're not -- there was no need for it. Obviously, if things change, we would be working with our banking partners to reestablish a facility when needed.

因此，我們有意識地決定取消它，並節省我們為該信貸安排支付的費用，因為至少在這個時候，我們沒有——沒有必要這樣做。顯然，如果情況發生變化，我們將與我們的銀行合作夥伴合作，在需要時重建設施。

Okay. So what you're just basically saying is -- so you don't expect to need financing to fund your operations or something in 2025. That's basically what you're saying, right?

好的。所以你基本上想說的是——所以你預計 2025 年不需要融資來資助你的營運或其他事情。這基本上就是你所說的，對吧？

That is correct. That's exactly right.

這是正確的。完全正確。

Yeah. Okay. And then do you have the operating cash flow number either in the quarter or the nine months year-to-date?

是的。好的。那麼您是否有本季或年初至今九個月的營運現金流量數據？

The operating -- well, I can provide that to you offline, Linda.

操作——嗯，我可以離線提供給你，琳達。

Okay. All right. Those were all my questions. thank you very much.

好的。好的。這些都是我的問題。非常感謝。

There are no further questions at this time. I would now like to turn the floor back over to Dan Chard for closing comments.

目前沒有其他問題。我現在想把發言權交還給丹·查德（Dan Chard）以供結束評論。

I want to thank you all for joining us today, and we look forward to seeing many of you at the upcoming Stephens Annual Conference that will take place in several weeks. Have a good evening.

我要感謝大家今天加入我們，我們期待在幾週後舉行的史蒂芬斯年會上見到你們中的許多人。祝你晚上愉快。

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

今天的電話會議到此結束。此時您可以斷開線路。感謝您的參與。