Prosomnus Inc (OSA) 2023 Q1 法說會逐字稿

Good day and thank you for standing by. Welcome to the ProSomnus Q1 2023 earnings conference call. (Operator Instructions) Please be advised that today's conference is being recorded. I would now like to hand your conference over to your speaker today, Mike Cavanaugh, Investor Relations. Please go ahead.

美好的一天，感謝您的支持。歡迎參加 ProSomnus 2023 年第一季度收益電話會議。 （操作員指示）請注意，今天的會議正在錄製中。現在，我想將會議交給今天的演講者，投資者關係部門的邁克·卡瓦諾 (Mike Cavanaugh)。請繼續。

Thank you, and welcome to ProSomnus first-quarter investor update call. On the call with me today are Len Liptak, Chief Executive Officer; and Brian Dow, Chief Financial Officer.

謝謝您，歡迎參加 ProSomnus 第一季度投資者更新電話會議。今天與我通話的是首席執行官 Len Liptak；和首席財務官布萊恩·道。

Before we begin, I would like to inform you that comments mentioned in today's call may be deemed to contain forward-looking statements. Actual results may differ materially from those expressed or implied as a result of certain risks and uncertainties. These risks and uncertainties are described in detail in our Securities and Exchange Commission filings, including our most recent Form 10-K filed on April 14, 2023.

在我們開始之前，我想通知您，今天電話會議中提到的評論可能被視為包含前瞻性陳述。由於某些風險和不確定性，實際結果可能與明示或暗示的結果存在重大差異。這些風險和不確定性在我們向美國證券交易委員會提交的文件中進行了詳細描述，包括我們於 2023 年 4 月 14 日提交的最新 10-K 表格。

Our SEC filings can be found through our website at www.ProSomnus.com or at the SEC's website. Investors are cautioned not to place undue reliance on such forward-looking statements.

我們的 SEC 備案文件可通過我們的網站 www.ProSomnus.com 或 SEC 網站找到。投資者應注意不要過分依賴此類前瞻性陳述。

Please note that this conference call will be available for audio replay on our website in the Investor section under our Investor Relations page. Today's press release is also available on our website.

請注意，本次電話會議將在我們網站的投資者關係頁面下的投資者部分提供音頻重播。今天的新聞稿也可以在我們的網站上獲取。

The format of today's call will consist of providing you with an overview of ProSomnus and the highlights of our first-quarter results as described in our press release announced earlier today, followed by a question-and-answer session. And with that, I will turn it over to Len.

今天電話會議的形式將包括向您提供 ProSomnus 的概述以及我們今天早些時候宣布的新聞稿中所述的第一季度業績亮點，然後是問答環節。有了這個，我就把它交給萊恩。

Thank you, Mike. Good afternoon. It is an honor to represent ProSomnus Sleep Technologies today, including our team members and the growing number of providers who trust ProSomnus devices for the treatment of patients with obstructive sleep apnea.

謝謝你，邁克。下午好。今天很榮幸代表 ProSomnus 睡眠技術公司，包括我們的團隊成員和越來越多信任 ProSomnus 設備治療阻塞性睡眠呼吸暫停患者的提供商。

In Q1 2023, our first full quarter of being a public company, ProSomnus made meaningful commercial, operational, financial, and strategic progress towards realizing our vision of being a leading solution for the treatment and management of obstructive sleep apnea.

2023 年第一季度，即我們成為上市公司的第一個完整季度，ProSomnus 取得了有意義的商業、運營、財務和戰略進展，以實現我們成為治療和管理阻塞性睡眠呼吸暫停的領先解決方案的願景。

I am pleased to report record revenues of $5.8 million (technical difficulty) times faster than industry growth. In terms of growth rate, we believe that this result places ProSomnus somewhere within the top 5% of publicly traded medical device companies and that our record revenue growth within the period indicates further validation of our value proposition, growing acceptance of our precision intraoral medical devices, our plans to further accelerate growth, and our ability to efficiently service demand, thanks to our digital manufacturing capabilities.

我很高興地報告創紀錄的收入達到 580 萬美元（技術難度），比行業增長速度還要快。就增長率而言，我們相信這一結果使 ProSomnus 躋身上市醫療器械公司前 5% 之列，並且我們在此期間創紀錄的收入增長表明我們的價值主張得到了進一步驗證，我們的精密口腔內醫療器械的接受度不斷提高，我們進一步加速增長的計劃，以及我們有效服務需求的能力，這要歸功於我們的數字製造能力。

One key driver of growth in this period is the performance of our precision intraoral medical devices. Case feedback cards from over 8,800 cases indicated that 98% of patients and 97% of providers were satisfied with their ProSomnus treatment experience, and 100% would recommend ProSomnus. Initial quality for our mass-individualized precision devices with 98% in Q1 2023 measured by First Time Fit; and 96% total quality of oral devices, three-year useful period.

這一時期增長的一個關鍵驅動因素是我們精密口腔內醫療設備的性能。來自 8,800 多個病例的病例反饋卡表明，98% 的患者和 97% 的提供者對 ProSomnus 治療體驗感到滿意，100% 會推薦 ProSomnus。根據 First Time Fit 測量，我們的大規模個性化精密設備的初始質量在 2023 年第一季度達到了 98%；口腔器械總質量96%，使用期三年。

Expansion of our direct sales and scientific marketing capabilities was another key driver of our revenue growth. We added seven direct sales representatives relative to the prior corresponding period from 13 in Q1 2022 to 21 in Q1 2023. We remain on track to achieve our previously disclosed target of 30 to 35 direct sales representatives by the end of the year.

我們的直接銷售和科學營銷能力的擴大是我們收入增長的另一個關鍵驅動力。與去年同期相比，我們增加了 7 名直銷代表，從 2022 年第一季度的 13 名增加到 2023 年第一季度的 21 名。我們仍有望在年底前實現之前披露的 30 至 35 名直銷代表的目標。

The expansion of our direct sales and marketing capabilities translated into a 34% increase in utilization rate per active center. The increase in utilization rate is a function of our direct sales teams collaborating with centers to increase [ProSomnus] relationships from sleep physicians, combined with sleep physicians' growing acceptance of ProSomnus precision oral appliance therapy as an alternative to CPAP and hypoglossal nerve stimulation.

我們的直銷和營銷能力的擴展使每個活躍中心的利用率提高了 34%。使用率的提高得益於我們的直銷團隊與中心合作，以增加與睡眠醫生的 [ProSomnus] 關係，同時睡眠醫生越來越接受 ProSomnus 精準口腔矯治器療法作為 CPAP 和舌下神經刺激的替代方案。

Operations had a particularly strong Q1 2023. Our strategic importance, our team successfully relocated manufacturing to our new state-of-the-art facility when [tupling] our capacity potential and preparation for future growth. During the period, while completing our relocation, the team sustained gross margins in line with Q4 2022 and maintained our best-in-class service levels.

2023 年第一季度的運營表現尤其強勁。我們的戰略重要性，我們的團隊在[翻倍]我們的產能潛力並為未來增長做好準備時，成功地將製造轉移到我們最先進的新工廠。在此期間，在完成搬遷的同時，團隊保持了與 2022 年第四季度一致的毛利率，並保持了一流的服務水平。

The average production time for our mass-individualized precision devices was under seven days in Q1 2023. This type of service enables ProSomnus to help therapy providers get patients into treatment faster at a time when patients are reporting significant delays in lead times of over three months for getting alternative therapies such as CPAP.

2023 年第一季度，我們的大規模個性化精密設備的平均生產時間不到 7 天。這種服務使 ProSomnus 能夠幫助治療提供商更快地讓患者接受治療，而患者報告交貨時間明顯延遲超過三個月以獲得替代療法，例如 CPAP。

99.6% of our devices were delivered on time and in full in Q1 2023 according to our internal metrics. And over 99% of our devices were delivered on-time and in-full according to customer feedback cards. This level of consistent, predictable service enables therapy providers to operate these centers more efficiently and provide a better, more convenient experience for their patients.

根據我們的內部指標，我們 99.6% 的設備在 2023 年第一季度按時足額交付。根據客戶反饋卡，我們 99% 以上的設備都按時、完整交付。這種一致、可預測的服務水平使治療提供者能夠更有效地運營這些中心，並為患者提供更好、更方便的體驗。

ProSomnus made important strategic headway in Q1 2023. Several scientific abstracts featuring ProSomnus devices were accepted for presentation and publication at leading medical conferences. These abstracts report on the efficacy, effectiveness, compliance rates, and safety profiles for treatment associated with ProSomnus devices.

ProSomnus 在 2023 年第一季度取得了重要的戰略進展。一些以 ProSomnus 設備為特色的科學摘要被接受在領先的醫學會議上進行演示和出版。這些摘要報告了與 ProSomnus 設備相關的治療的功效、有效性、依從率和安全性概況。

Importantly, preliminary results from a FLOSAT study, which stands for frontline OSA treatment, is scheduled for the prestigious American Thoracic Society meeting in May. The FLOSAT study is a prospective, head-to-head crossover trial comparing the effectiveness and patient preference for Precision Oral Appliance Therapy with ProSomnus devices versus CPAP for patients with moderate to severe OSA. The FLOSAT study is now fully enrolled.

重要的是，代表 OSA 一線治療的 FLOSAT 研究的初步結果計劃在 5 月份舉行的著名的美國胸科學會會議上公佈。 FLOSAT 研究是一項前瞻性、頭對頭交叉試驗，比較了 ProSomnus 裝置精密口腔矯治器治療與 CPAP 治療中度至重度 OSA 患者的有效性和患者偏好。 FLOSAT 研究現已全部入組。

We are also pleased to share first enrollment in the SOS study, the severe OSA study. The SOS study is a prospective, single-arm, multi-center trial that is designed to evaluate the safety and efficacy of ProSomnus precision devices for the treatment of patients with severe OSA. Severe OSA represents approximately 30% of patients with OSA.

我們還很高興分享 SOS 研究（即嚴重 OSA 研究）的首次入組。 SOS研究是一項前瞻性、單臂、多中心試驗，旨在評估ProSomnus精密設備治療重度OSA患者的安全性和有效性。重度 OSA 約佔 OSA 患者的 30%。

ProSomnus intends to use data from the SOS study to apply for an expanded indication for use with the FDA. If successful, the ProSomnus EVO would be the first intraoral medical device cleared for the treatment of patients with severe OSA. We expect initial data readout from SOS in the first half of 2024.

ProSomnus 打算利用 SOS 研究的數據向 FDA 申請擴大適應症。如果成功，ProSomnus EVO 將成為第一個獲准用於治療嚴重 OSA 患者的口腔內醫療設備。我們預計 SOS 將於 2024 年上半年讀出初始數據。

I'd like to turn now to our new product development efforts and other key growth initiatives. We continue to advance our next-generation precision intraoral device with an embedded, remote patient monitoring capability, which will measure oxygen levels, ODI, heart rate, and sleep quality, and provide data via cloud-based system directly to a provider portal and the patient's smartphone app.

我現在想談談我們的新產品開發工作和其他關鍵增長舉措。我們繼續開發具有嵌入式遠程患者監測功能的下一代精密口腔內設備，該設備將測量氧氣水平、ODI、心率和睡眠質量，並通過基於雲的系統直接向提供商門戶和服務提供商提供數據。患者的智能手機應用程序。

This unique functionality will provide the physicians [a] valuable new tools to help manage their patients with OSA. And we believe, we have the ability to fundamentally change how OSA is treated and managed in the associated business models for both ProSomnus and providers. We remain on track to introduce this commercially in late 2023.

這種獨特的功能將為醫生提供有價值的新工具來幫助管理 OSA 患者。我們相信，我們有能力從根本上改變 ProSomnus 和提供商的相關業務模式中 OSA 的處理和管理方式。我們仍有望在 2023 年底將其商業化。

With that, I will wrap up my prepared remarks, and we'll hand the call over to Brian to discuss the financials. Brian?

至此，我將結束我準備好的發言，我們將把電話交給布萊恩來討論財務問題。布萊恩？

Thanks, Glenn, and good afternoon, everyone. As Len mentioned a few moments ago, the first quarter of 2023 was another strong topline quarter with revenues totaling $5.8 million, representing an increase of 55% from the first quarter of last year. On a sequential quarter basis, the fourth quarter is historically the strongest seasonal quarter and results of sequential quarter-over-quarter softness of 15% to 20% in the results for the subsequent first quarter.

謝謝格倫，大家下午好。正如 Len 剛才提到的，2023 年第一季度是另一個強勁的營收季度，收入總計 580 萬美元，比去年第一季度增長 55%。從環比來看，第四季度是歷史上最強勁的季節性季度，隨後第一季度的環比疲軟程度為 15% 至 20%。

However, this year, our strong revenue performance of the fourth-quarter 2022 continued during the first quarter of 2023 as revenues of $5.8 billion were reported for both periods with a slight uptick from Q4 of 2022 hidden in the rounding. We ended the quarter with gross margin of 53% compared to 58% for the same period a year ago, with modest period fluctuations being largely driven by the strategic investment in the company's new manufacturing facility and the prioritization of service levels and quality. We expect these period fluctuations will mitigate going forward with the scale of additional volume.

然而，今年，我們在 2023 年第一季度延續了 2022 年第四季度的強勁收入表現，兩個時期的收入均為 58 億美元，四捨五入中隱藏的收入較 2022 年第四季度略有上升。本季度末，我們的毛利率為 53%，而去年同期為 58%，期間波動較小，主要是由於公司新製造工廠的戰略投資以及服務水平和質量的優先考慮。我們預計這些期間波動將隨著額外交易量的規模而減輕。

Operating expenses for the quarter were $7.2 million, representing a 79% increase compared to $4 million in the same period in 2022, but down $1.6 million or 18% sequentially compared to the fourth quarter of 2022. Sales and marketing expenses increased by $700,000 or 33% for the three-month period ended March 31, 2023, compared to the same period last year, and an increase of $400,000 or 17% sequentially compared to the fourth quarter of 2022. The increases noted reflect the strong topline results and are driven largely by personnel expenses as we implemented planned expansion of the sales team and the timing of in-person events.

本季度運營費用為 720 萬美元，較 2022 年同期的 400 萬美元增長 79%，但較 2022 年第四季度下降 160 萬美元，即 18%。銷售和營銷費用增加 70 萬美元，即 33截至 2023 年 3 月 31 日的三個月期間，與去年同期相比，增長了 %，與 2022 年第四季度相比，連續增長了 40 萬美元，即 17%。上述增長反映了強勁的營收業績，主要是由於由於我們計劃擴大銷售團隊和安排現場活動，因此產生了人員費用。

Research and development expenses increased by roughly $0.5 million to $1 million for the quarter ended March 31, 2023, compared to the three months ended March 31, 2022, and down modestly when reviewed sequentially compared to the fourth quarter of 2022. R&D expenses in the year-over-year increases noted reflects the investments we are making in two key areas. First, the development of our digitally, enabled remote patient monitoring device and ancillary support infrastructure and preparation for a late 2023 introduction. And second, this clinical work being done to expand the labeling for our devices in the case of our SOS study and to further enhance our commercial positioning through the execution of FLOSAT head-to-head comparison study.

與截至 2022 年 3 月 31 日的三個月相比，截至 2023 年 3 月 31 日的季度的研發費用增加了約 50 萬美元至 100 萬美元，與 2022 年第四季度相比，按順序審查時略有下降。同比增長反映了我們在兩個關鍵領域的投資。首先，開發我們的數字化遠程患者監護設備和輔助支持基礎設施，並為 2023 年末推出做好準備。其次，這項臨床工作的目的是在 SOS 研究中擴大我們設備的標籤，並通過執行 FLOSAT 頭對頭比較研究進一步增強我們的商業定位。

General and administrative expenses increased by $2 million for the quarter ended March 31, 2023, compared to the same quarter in the prior year and decreased $1.9 million sequentially compared to the fourth quarter of 2022. The first quarter of 2023 reflects our first full quarter operating as a public company. This comes with additional operational costs that are typical for compliance, professional services, and personnel-related expenses.

截至 2023 年 3 月 31 日的季度，與上年同期相比，總務及管理費用增加了 200 萬美元，與 2022 年第四季度相比，環比減少了 190 萬美元。2023 年第一季度反映了我們第一個完整季度的運營情況作為一家上市公司。這會帶來額外的運營成本，這些成本通常用於合規性、專業服務和人員相關費用。

The first quarter was also burdened with some lingering expenses stemming from the December merger, combined with the first quarter being compliance heavy from a reporting standpoint. We expect our G&A expense to mitigate modestly going forward.

第一季度還背負著去年 12 月合併產生的一些揮之不去的費用，而且從報告的角度來看，第一季度的合規性很高。我們預計我們的一般管理費用將在未來適度減少。

Total other expense increased by $1.6 million to an expense of $2.7 million for the three months ended March 31, 2023, from an expense of $1.1 million for the same period last year. This increase was primarily driven by an increase in accounting fair value of our debt and merger related liabilities.

截至 2023 年 3 月 31 日的三個月，其他費用總額從去年同期的 110 萬美元增加了 160 萬美元，達到 270 萬美元。這一增長主要是由於我們的債務和合併相關負債的會計公允價值增加所致。

At March 31, 2023, we had cash and cash equivalents of $11.6 million available to fund our ongoing business activities. We believe that our cash can be sufficient to fund our projected operating requirements for at least 12 months. Taking a look forward towards the remainder of 2023 and consideration of our -- the ongoing planned investments we have been and continue to be making in our commercial organization.

截至 2023 年 3 月 31 日，我們擁有 1,160 萬美元的現金和現金等價物，可用於為我們正在進行的業務活動提供資金。我們相信我們的現金足以滿足我們至少 12 個月的預計運營需求。展望 2023 年剩餘時間，並考慮我們已經並將繼續對我們的商業組織進行的持續計劃投資。

We continue to expect strong top line, year-over-year growth for 2023. The first several months have demonstrated this strength, and we expect strong results going forward. To that end, the guidance we provided six weeks ago remains relevant and now supported by our first-quarter results as we expect year-over-year topline revenue growth of 35%, landing 2023 revenue, just over $26 million.

我們繼續預計 2023 年營收將實現強勁的同比增長。前幾個月已經證明了這一實力，我們預計未來將取得強勁的業績。為此，我們六週前提供的指導仍然具有相關性，並且現在得到了我們第一季度業績的支持，因為我們預計營收同比增長 35%，2023 年收入略高於 2600 萬美元。

Thank you to all of you for making time to join today's call and your ongoing support for ProSomnus as we continue to afford personalized treatment solutions to millions of patients managing OSA. I will now turn the call back to Len for closing remarks.

感謝大家抽出時間參加今天的電話會議，感謝大家對 ProSomnus 的持續支持，我們將繼續為數百萬患有 OSA 的患者提供個性化的治療解決方案。現在我將把電話轉回給 Len，讓他發表結束語。

Thank you, Brian. ProSomnus made tremendous progress in Q1 of 2023, establishing our precision devices as the leading solution for the treatment and management of the almost 1 billion people worldwide with (inaudible - microphone inaccessible). This progress is underscored by record demand, 55% revenue growth will grow higher, and meaningful operational, financial, and continued progress.

謝謝你，布萊恩。 ProSomnus 在 2023 年第一季度取得了巨大進展，將我們的精密設備確立為全球近 10 億患有（聽不清 - 麥克風無法訪問）患者治療和管理的領先解決方案。這一進展的體現是創紀錄的需求、55% 的收入增長將更高，以及有意義的運營、財務和持續進展。

And this concludes my remarks by thanking each of you for supporting the stocks (inaudible - microphone inaccessible). Operator, we'll now open the call for Q&A.

最後，我感謝大家對股票的支持（聽不清 - 麥克風無法訪問）。接線員，我們現在開始進行問答。

(Operator Instructions)

（操作員說明）

Alex Nowak, Craig-Hallum.

亞歷克斯·諾瓦克，克雷格·哈勒姆。

Hey, Len and Brian. It's [Jason] on for Alex. Congrats on the quarter here. It's a good first-quarter result.

嘿，萊恩和布萊恩。亞歷克斯的[傑森]上場了。在此恭喜本季度。這是一個不錯的第一季度業績。

I guess kind of digging in, results were right in line with our expectations. Maybe some extra color on what you're hearing from the field from especially those new reps you've added in the US so far in Q1 and in Q2 here. And then maybe in Europe as well, relative to what you had there, you've really expanded your footprint. Some specific color in Europe would be helpful as well just to get a sense of what's happened in the field.

我想，經過深入研究，結果完全符合我們的預期。也許您從現場聽到的消息有一些額外的色彩，尤其是您在第一季度和第二季度在美國添加的新代表。然後也許在歐洲，相對於你在那裡的情況，你確實擴大了你的足跡。歐洲的一些特定顏色也有助於了解該領域發生的情況。

Certainty. Thanks for the questions. In the US, (inaudible - microphone inaccessible) and what we really hearing is that sleep physicians are open to explore an alternative therapy in a way that they haven't been for quite some time. Perhaps some of that is due to the data that we're providing and the outcomes that are associated with how [OSA] being treated with our devices.

肯定。感謝您的提問。在美國（聽不清 - 麥克風無法訪問），我們真正聽到的是，睡眠醫生願意以一種他們已經很長時間沒有嘗試過的方式探索替代療法。也許其中一些是由於我們提供的數據以及與我們的設備如何治療 [OSA] 相關的結果。

Now some of that is also, potentially, effects of some CPAP recalls that are going on and [shape] investor's expectations for (inaudible - microphone inaccessible) therapies. I think our sales team is finding that they're having success in these positions and encouraging these positions to refer patients, particularly, those refused or failed to have referring those patients to our dental therapy providers in the local area. That model seems to be working very well, and it's also very encouraging to start.

現在，其中一些也可能是一些正在發生的 CPAP 召回的影響，並[塑造]投資者對（聽不清 - 麥克風無法訪問）療法的期望。我認為我們的銷售團隊發現他們在這些職位上取得了成功，並鼓勵這些職位轉介患者，特別是那些拒絕或未能將患者轉介給我們當地的牙科治療提供商的人。這種模式似乎運作得很好，而且開始也非常令人鼓舞。

For Europe, there's some -- we are expanding here in Europe, largely focusing on high-value countries with attractive treatment guidelines that are favorable to oral appliance therapy, as well as countries that have reimbursement in place. And we're building our sales team strategically in those markets, and that's going quite well.

對於歐洲，我們正在歐洲擴張，主要關注那些具有有吸引力的治療指南、有利於口腔矯治器治療的高價值國家，以及有報銷的國家。我們正在這些市場戰略性地建立我們的銷售團隊，進展順利。

For Europe -- Europe is a little bit different stage of development, where in United States, for the last several years, establishing really strong relationships with dental therapy providers (inaudible - microphone inaccessible). And now we can start to drive proposals to those (inaudible - microphone inaccessible) therapy providers.

對於歐洲來說，歐洲的發展階段略有不同，而在美國，過去幾年與牙科治療提供商建立了非常牢固的關係（聽不清 - 麥克風無法訪問）。現在我們可以開始向那些（聽不清 - 麥克風無法訪問）治療提供者提出建議。

In Europe, it's a little different now. We're establishing ProSomnus with those [things] in medicine therapy providers. So it's something different stage of development in terms of our brand and establishing our value proposition.

在歐洲，現在情況有些不同了。我們正在利用藥物治療提供者的那些[東西]來建立ProSomnus。因此，就我們的品牌和建立價值主張而言，這是不同的發展階段。

It's going quiet well over here Europe in terms of suggesting them switch into our products, to our devices because, obviously, we have a lot more data. (inaudible - microphone inaccessible) and we did when we starting to establish our business in North America.

在歐洲，建議他們轉向我們的產品、我們的設備方面進展順利，因為顯然我們有更多的數據。 （聽不清 - 麥克風無法訪問）我們開始在北美建立業務時就這樣做了。

Got it. And maybe digging in a little bit, you talked about the CPAP failures. They're starting to really flow through to your sleep dentist.

知道了。也許深入挖掘一下，您談到了 CPAP 失敗。它們開始真正流向您的睡眠牙醫。

You also mentioned that utilization rates increasing 35%, I believe, is what you said from those existing customers. Is that from that pull through of those failed patients that you're really driving into your ecosystem? Or is that a shift change in how your existing customers are thinking about your solution?

您還提到利用率提高了35%，我相信這是您從現有客戶那裡說的。那些失敗的病人的康復是你真正推動你進入你的生態系統的嗎？或者您現有的客戶對您的解決方案的看法是否發生了轉變？

It's largely the former, and that our sales team worked very closely with the local medicine therapy providers. They reach out to local (inaudible - microphone inaccessible) physicians. And the main difference is that we may have a large and focused effort to speak the language of sleep physicians by providing them the data and registry and testimonials that prescribe our oral therapy can do to patients who refused and failed the CPAP. (inaudible - microphone inaccessible) to find that approach compelling and are more willing to (inaudible - microphone inaccessible) So it has a lot to do with that. I think maybe it is also fair to say that they're might be more open to this approach because of the macro dynamics of the (inaudible - microphone inaccessible)

很大程度上是前者，我們的銷售團隊與當地的藥物治療提供商密切合作。他們聯繫當地（聽不清 - 麥克風無法訪問）醫生。主要區別在於，我們可能會付出巨大而集中的努力，通過向睡眠醫生提供數據、登記和推薦來使用我們的口服療法來治療那些拒絕和失敗的 CPAP 患者。 （聽不清 - 麥克風無法訪問）發現這種方法引人注目並且更願意（聽不清 - 麥克風無法訪問）所以這與此有很大關係。我認為也許可以公平地說，由於（聽不清 - 麥克風無法訪問）的宏觀動態，他們可能對這種方法更加開放

Got it. And then following, back up on that recently announced data that you guys have put out in that retrospective study against legacy, old devices. Is that something you've been able to share with prospective new customers? You had any feedback there? Because it seems like it could potentially really shift people's thinking around you related to those legacy appliances.

知道了。然後，支持最近公佈的數據，這些數據是你們在針對遺留舊設備的回顧性研究中發布的。您可以與潛在新客戶分享這一點嗎？你有什麼反饋嗎？因為它似乎可能真正改變人們對這些遺留設備的看法。

Yes, it's really powerful. It's [efficient] because as you may know, for the longest times, these physicians have so much discounted this idea of [oral] therapy. (inaudible - microphone inaccessible) And when we speak with them, it's important to be able to demonstrate that our devices are different, and that the different features and technologies of our devices are associated with better outcomes. And the abstracts, the other one you referenced, and others, certainly have data that demonstrate that our unique technologies are associate with their outcomes, which is generally enough to get them to try referring to patients over to now therapy providers treatment.

是的，它確實很強大。它是[有效的]，因為你可能知道，在很長一段時間裡，這些醫生對這種[口服]療法的想法非常不以為然。 （聽不清 - 麥克風無法訪問）當我們與他們交談時，重要的是能夠證明我們的設備與眾不同，並且我們設備的不同功能和技術與更好的結果相關。摘要、您引用的另一篇摘要和其他摘要肯定有數據證明我們獨特的技術與其結果相關，這通常足以讓他們嘗試將患者轉介給現在的治療提供者治療。

And then maybe just last for Brian, a housekeeping item. I didn't see average share count ending March in the press release. Is that something you could provide us just from modeling perspective?

最後也許是布萊恩，一個家務用品。我在新聞稿中沒有看到截至三月份的平均股數。您可以從建模的角度為我們提供這些嗎？

Yeah. So our average share count was $16,041,464.

是的。因此，我們的平均股票數為 16,041,464 美元。

Great. Thanks, guys.

偉大的。多謝你們。

(technical difficulty) Thank you and good afternoon.

（技術難度）謝謝，下午好。

Scott Henry, ROTH Capital.

斯科特·亨利，羅斯資本。

Thank you and good afternoon. I don't know if you mentioned, but you had mentioned in the past the number of units in the quarter. Did you give that for the first quarter?

謝謝你，下午好。我不知道你是否提到過，但你過去曾提到過本季度的單位數量。你給了第一季度的錢嗎？

No, we have not given that number, Scott.

不，我們還沒有給出這個數字，斯科特。

Would you like to, or is it a number you're not going to give anymore?

您願意還是不再提供這個號碼？

Yeah. We're not giving that number right now. We're going to be giving guidance on the actual volumes. We're going to stick to giving the guidance on the revenue front at this point.

是的。我們現在不會給出這個數字。我們將就實際數量提供指導。此時我們將堅持在收入方面提供指導。

Okay, great. Would you say that pricing was stable in the quarter?

好的，太好了。您認為本季度定價穩定嗎？

Yeah, ASP has remained stable during the quarter and comparable to what we saw in the fourth quarter.

是的，平均售價在本季度保持穩定，與我們在第四季度看到的情況相當。

Okay, great. And I did hear you confirmed 2023 guidance of 35% or more in revenues. Any thoughts on Q2, how we should think about that? Or are you staying with the annual?

好的，太好了。我確實聽說你們確認了 2023 年收入目標為​​ 35% 或更多。關於第二個問題有什麼想法嗎？我們應該如何思考？或者你還留在年度嗎？

No. We're going to stand with the annual guidance we've given. With the 35% guidance we've given for the year, we're comfortable saying that we're going to have a strong second quarter. Obviously, if we hit those type of growth rates, we're going to have strong quarters for the rest of the year.

不會。我們將堅持我們給出的年度指導。根據我們給出的今年 35% 的指導，我們可以放心地說，我們的第二季度將會表現強勁。顯然，如果我們達到這樣的增長率，我們將在今年剩餘時間裡擁有強勁的季度表現。

Okay, great. G&A in the quarter, I mean, we were in the early days of being a public company. Would you say first-quarter G&A was representative of what we should expect the rest of the year?

好的，太好了。我的意思是，我們正處於上市公司的早期階段。您是否認為第一季度的一般管理費用能夠代表我們對今年剩餘時間的預期？

I'd like to think it was a little bit heavy start, certainly, from the standpoint. Now we have some fairly expenses that we have to square away from the transactions in the fourth quarter. And then obviously, first quarter or two, public companies might require a little bit transitionary work that's going to come in. So I would expect it to mitigate modestly as we look towards the rest of the year.

從角度來看，我想這確實是一個有點沉重的開始。現在我們有一些相當大的費用，我們必須從第四季度的交易中扣除。顯然，在第一季度或第二季度，上市公司可能需要一些過渡性工作。因此，當我們展望今年剩餘時間時，我預計這種情況會適度緩解。

Okay, great. Just a couple more questions. Thank you for taking them all. With regards to the next-generation product with the monitor inside, I believe you said introduction late 2023. What are the risks to that timing? How could it change, and what do we think about as the key variables?

好的，太好了。還有幾個問題。謝謝你把它們全部帶走。至於內置顯示器的下一代產品，我相信您說的是 2023 年底推出。這個時機有哪些風險？它會如何改變？我們認為關鍵變量是什麼？

I think that there are always risks in scaling up new technologies. And then there are always regulatory risks with [constructing] these new technologies. And those are probably the two major risk that we faced.

我認為擴大新技術的規模總是存在風險。 [構建]這些新技術總是存在監管風險。這些可能是我們面臨的兩個主要風險。

The team is doing an excellent job of mitigating risks and developing the product in accordance with our policy development process. And I mean, we feel comfortable and confident in the progress that we've made and the time as we move forward.

該團隊在降低風險和根據我們的政策開發流程開發產品方面做得非常出色。我的意思是，我們對已經取得的進展和前進的時間感到放心和自信。

Okay. Great. And you're one of the -- with the company that's growing really fast and is still investing for growth, one of the metrics that I think can be interesting is customer acquisition costs: where is it relative to margins, and how is it trending? Any comments on that metric of customer acquisition cost?

好的。偉大的。你是其中之一——公司增長非常快，並且仍在為增長而投資，我認為有趣的指標之一是客戶獲取成本：它相對於利潤率的情況如何，趨勢如何？對客戶獲取成本指標有什麼評論嗎？

I imagine, when you add a sales rep, initially, it goes up, but then it trends down, although it's a mix of all of them. Just any comments in general.

我想，當你添加一名銷售代表時，最初，它會上升，但隨後會下降，儘管它是所有這些的混合。只是一般性的評論。

You're right on that, Scott. When we bring in new sales reps, it does take a brief period of time to get them up and running and same with the development of the territories that we're putting them into.

你說得對，斯科特。當我們引入新的銷售代表時，確實需要很短的時間來讓他們啟動並運行，這與我們將他們投入的區域的發展相同。

What we're seeing from our side is that we're having good traction with our new reps that are coming in. They're getting up to speed. And the territories that we're putting them in are developing nicely and in line with expectations. So yes, that is something that we keep an eye on.

從我們這邊看到的是，我們對新加入的代表有很好的吸引力。他們正在加快步伐。我們投入的地區發展良好，符合預期。所以，是的，這是我們密切關注的事情。

And to your point about making investments for growth, we are making those investments. But we're trying to be prudent to make sure that we're timing it correctly in order to be both capital efficient and get the correct return on the investments we're making in the commercial organizations. But yes, that is something that we're monitoring. So far, the way we're seeing it, it's on track and moving the direction we wanted it to.

至於您關於為增長進行投資的觀點，我們正在進行這些投資。但我們正在努力保持謹慎，以確保我們正確選擇時機，以便既提高資本效率，又從我們對商業組織的投資中獲得正確的回報。但是，是的，這是我們正在監控的事情。到目前為止，從我們的角度來看，它正在步入正軌，並且正在朝著我們想要的方向發展。

Okay. And I guess, for my final question, I'll just reflect on a conversation I had with someone this past weekend, which is always an interesting start to a question.

好的。我想，對於我的最後一個問題，我將回顧一下上週末我與某人的一次談話，這總是一個有趣的問題的開始。

Yeah, I was talking to someone, and they are CPAP user. And they don't like the device, but they still use it. I asked them, how often do you use it? 50% of the time.

是的，我正在和某人交談，他們是 CPAP 用戶。他們不喜歡該設備，但仍然使用它。我問他們，你們多久使用一次？ 50%的時間。

And we know, based on the data you showed that you better off using an appliance in CPAP at 50%. But this patient or this person will probably continue to go on CPAP. I didn't get positive feelings from his wife about how well it was working either.

我們知道，根據您所顯示的數據，您最好在 50% 的情況下使用 CPAP 設備。但這個病人或這個人可能會繼續接受 CPAP 治療。我也沒有從他的妻子那裡得到關於它效果如何的積極感受。

So the question is, how do you confront this in trying to get your product as first line? I mean, as opposed to CPAP failures, why not just start out with it? If the patients aren't complying as well and you have the data to show that, just how do you think about that in changing that practice?

所以問題是，在努力讓你的產品成為一線產品時，你如何面對這個問題？我的意思是，與 CPAP 失敗相反，為什麼不直接從它開始呢？如果患者也沒有遵守規定，而您有數據表明這一點，您如何看待改變這種做法？

Yeah, it's a great question. We can give it in a dynamic play. We can be -- we normally approach the physicians and talk about their failures (inaudible - microphone inaccessible) and treat those patients. And then once we have the success with our therapy providers to treat those patients, then we could use those experience as an argument to justify transitioning more patients to frontline therapy.

是的，這是一個很好的問題。我們可以在動態遊戲中給予它。我們可以——我們通常會聯繫醫生並談論他們的失敗（聽不清 - 麥克風無法訪問）並治療這些患者。然後，一旦我們與治療提供者成功治療這些患者，我們就可以利用這些經驗作為論據來證明讓更多患者接受一線治療的合理性。

So it's an evolutionary process. And that's absolutely part of our long-term business here, is to make it our frontline therapy. We think with the preliminary data that we have, it certainly supports that type of strategy. And we'll continue to strengthen the data that we have.

所以這是一個進化的過程。這絕對是我們長期業務的一部分，就是將其作為我們的一線療法。我們認為，根據我們掌握的初步數據，它肯定支持這種類型的策略。我們將繼續加強我們擁有的數據。

We do think that's a very viable approach. (inaudible - microphone inaccessible) monitor patients where we've demonstrated excellent efficacy, excellent with year ends. Relatively, a few adverse events and side effects compared to other treatment options and a lower cost to serve the patient. Not to mention back the times to getting the patients into therapy in comparison with some of the last times we've seen with CPAP and other surgical procedures.

我們確實認為這是一個非常可行的方法。 （聽不清 - 麥克風無法訪問）監控患者，我們已經證明了其出色的療效，在年底也表現出色。相對而言，與其他治療方案相比，不良事件和副作用較少，並且為患者提供服務的成本較低。更不用說與我們最近看到的 CPAP 和其他外科手術相比，讓患者接受治療的時代了。

So we think, for all of those reasons, we have a viable claim for frontline therapy. But we want to do it appropriately, and we would might do it [separately].

因此，我們認為，出於所有這些原因，我們對一線治療有一個可行的主張。但我們想要適當地做這件事，我們可能會[單獨]做。

Okay, great. Thanks for the color, Len, and thank you for taking the questions.

好的，太好了。謝謝你的顏色，Len，也謝謝你提出問題。

Well, thanks, Scott.

嗯，謝謝，斯科特。

Thank you, Scott.

謝謝你，斯科特。

And that's all the time allotted for questions. I would now like to turn the call back over to Len.

這就是分配給提問的所有時間。我現在想把電話轉回給 Len。

Thank you very much for joining us today. We really appreciate that. That concludes our call for today.

非常感謝您今天加入我們。我們真的很感激。我們今天的呼籲到此結束。

This concludes today's conference call. Thank you for participating. You may now disconnect.

今天的電話會議到此結束。感謝您的參與。您現在可以斷開連接。