Prophase Labs Inc (PRPH) 2024 Q3 法說會逐字稿

Hello and good morning, everyone. Welcome to today's presentation. My name is Noella Alexander Young, Virtual Event Moderator here at Renmark Financial Communications. On behalf of our team, we'd like to thank everyone for joining us today for the presentation of ProPhase Labs for the third quarter 2024 results. ProPhase is trading on the NASDAQ under the ticker symbol PRPH.

大家好，早安。歡迎參加今天的演講。我叫 Noella Alexander Young，是 Renmark Financial Communications 的虛擬活動主持人。我謹代表我們的團隊感謝大家今天參加 ProPhase Labs 2024 年第三季業績發表會。ProPhase 在納斯達克上市，股票代號為 PRPH。

Presenting today is Ted Karkus, Chairman and Chief Executive Officer.

今天出席演講的是董事長兼執行長泰德‧卡庫斯 (Ted Karkus)。

And with that being said, I will now hand over to Ted.

說完這些，我現在將麥克風交給泰德。

Thanks everybody for joining today. Before I get started, I have to of course read the forward-looking statement before we get started. I would like to remind you of the company's safe harbor language. During this presentation, we will make forward-looking statements including statements regarding our strategies, plans, objectives and initiatives and underlying assumptions.

感謝大家今天的參加。在我開始之前，我當然必須先閱讀前瞻性聲明。我想提醒您注意公司的安全港條款。在本次演示中，我們將做出前瞻性陳述，包括有關我們的策略、計劃、目標和舉措以及基本假設的陳述。

Well, we believe that these forward-looking statements are reasonable as and when made forward-looking statements are based on expectations that involve risks and uncertainties that could cause actual results to differ materially.

嗯，我們相信這些前瞻性陳述是合理的，因為前瞻性陳述是基於涉及風險和不確定性的預期，可能導致實際結果有重大差異。

These risks and uncertainties include but are not limited to our ability to obtain and maintain necessary regulatory approval, general economic conditions, consumer demand for our products and services, challenges relating to entering into and growing new business lines, the competitive environment and the risk factors listed from time to time in our filings with the SEC.

這些風險和不確定性包括但不限於我們獲得和維持必要的監管批准的能力、一般經濟狀況、消費者對我們產品和服務的需求、進入和發展新業務線所面臨的挑戰、競爭環境以及我們向美國證券交易委員會提交的文件中不時列出的風險因素。

This call will present non-GAAP financial message such as adjusted EBIDA reconciliation of these non-GAAP measures to the most comparable GAAP measures are included in the earnings release furnished to the SEC prior to this call and available on our website.

本次電話會議將提供非公認會計準則 (GAAP) 財務信息，例如，這些非公認會計準則 (GAAP) 指標與最具可比性的公認會計準則 (GAAP) 指標的調整後 EBIDA 對賬表，這些信息包含在本次電話會議之前提交給美國證券交易委員會 (SEC) 的收益報告中，並可在我們的網站上查閱可在我們的網站上查閱可在我們的網站上查閱。

I want to start and get it out of the way. I want to talk about the capital raise and then spend our time, focus on bringing you all up to date on our many initiatives that have so much potential. As far as the capital raise is concerned, I wanted to seize the opportunity to have an aggressive launch for DNA complete and DNA expand to take advantage of the holiday season.

我想開始並把它解決掉。我想談談籌集資金，然後花點時間專注於向大家介紹我們許多具有巨大潛力的舉措。就籌集資金而言，我想抓住機會積極推出 DNA complete 和 DNA expand，以充分利用假期。

Advertising for Black Friday has already begun. This is one of the best times of the year for selling DNA and products and services. They are great for gift-giving and a significant percentage of our annual sales.

「黑色星期五」的廣告已經開始了。這是一年中銷售 DNA 和產品和服務的最佳時機之一。它們是絕佳的送禮之選，占我們年銷售額的很大一部分。

At the same time, PMI is ramping up aggressively. If you think about it, purchasing more packaging, more ingredients, manufacturing more product. We're really ramping up aggressively right now, adding more shifts, adding more labor, it all adds up very quickly.

與此同時，PMI正在大幅上升。如果你仔細想想，你會發現購買更多的包裝、更多的原料、生產更多的產品。我們現在正在積極地加大工作力度，增加更多班次、增加更多勞動力，一切都進展得非常快。

Meanwhile, invoicing to customers and receiving payments from our customers can be months behind. So it can create a cash flow imbalance. I don't think anybody on this call would want me to hurt our fourth quarter by not having the capital to support our subsidiaries that have such tremendous growth potential.

同時，向客戶開立發票和從客戶處收到付款可能會晚幾個月。因此這會造成現金流失衡。我認為，參加電話會議的任何人都不希望我因為沒有資金來支持具有巨大成長潛力的子公司而損害我們的第四季業績。

And in fact, in the case of PMI, growing so strongly and robustly right now. It's just the timing of the year that I want to take advantage of. I want to have a strong fourth quarter. And that's my anticipation and that's my goal. Look, I'm the largest shareholder in the company. So the capital raise affects me as much or more than anyone else. I made an executive decision and believe that in hindsight, a few months from now, when we report Q4, it will prove to have been the best decision.

事實上，就 PMI 而言，目前的成長非常強勁。我只是想利用這一年中的這個時機。我希望第四季能夠表現強勁。這是我的期望，也是我的目標。你看，我是這家公司最大的股東。因此，籌集資金對我的影響與對其他人的影響一樣大，甚至更大。我做出了一個行政決定，並相信回想起來，幾個月後，當我們報告第四季時，它將被證明是最好的決定。

I'll also mention that our investment bankers have 45 days to exercise the 15% green shoe. For those of you that don't understand about capital raises, the green shoe is meant to support the stock price in the aftermarket after the capital raise has been done. If that support isn't needed after 45 days, then instead of covering the short, that extra 15% is provided to the company.

我還要說一下，我們的投資銀行家有 45 天的時間來行使 15% 的綠鞋政策。對於不了解融資的人來說，綠鞋是為了在融資完成後在售後市場支撐股價。如果 45 天後不再需要該支持，那麼公司將獲得額外的 15% 而不是彌補短缺。

They exercise -- our investment bankers exercise the green shoe the same day, which is highly unusual. Obviously, our bankers are very bullish, have plenty of buyers in the aftermarket. We're not the least concerned about needing the green shoe to support the stock price.

他們行使－我們的投資銀行家同一天行使綠鞋選擇權，這是極不尋常的。顯然，我們的銀行家非常看好，售後市場有很多買家。我們一點也不擔心需要綠鞋來支撐股價。

And finally, I am proactively working on a plan to reduce overhead and other expenses by at least $6 million, which may include satisfaction of more than $5 million in payables. I anticipate this plan going into effect before the end of the year.

最後，我正在積極制定計劃，減少至少 600 萬美元的管理費用和其他開支，其中可能包括償還 500 多萬美元的應付款項。我預計該計劃將在今年年底前生效。

At the same time, we anticipate at least $5-plus million in earnings next year for Pharmaloz. These two items alone would provide an $11 million real cash earnings swing to the positive for our company, just on these two items alone, having nothing to do with the other subsidiaries that are all growing.

同時，我們預計 Pharmaloz 明年的獲利至少將達到 500 萬美元以上。光是這兩項就將為我們公司帶來 1,100 萬美元的實際現金收益，而且僅憑這兩項就足以，與其他正在成長的子公司無關。

In addition, potentially reducing $5 million or more in our payables, which would be a part of this initiative I am working on. In fact -- so I can't go into more details right now, but I would anticipate, long before year-end, I should have a very nice update about all of this for all of you.

此外，我們有可能減少 500 萬美元或更多的應付款項，這也是我正在實施的計劃的一部分。事實上——我現在無法透露更多細節，但我預計，早在年底之前，我就應該為大家提供關於這一切的非常好的更新資訊。

In regard to our potential liquidity events -- and then I really want to get into the subsidiaries. But in regard to our liquidity events, first of all, our accounts receivable with the government. Due to the election, it was impossible for my -- for the team that we have hired.

關於我們的潛在流動性事件 - 然後我真的想進入子公司。但就我們的流動性事件而言，首先是我們對政府的應收帳款。由於選舉的原因，我的——我們僱用的團隊——無法做到這一點。

We've hired some very sophisticated attorneys and political consultants to work on getting us the accounts receivable from the government. Unfortunately, during the election for the last couple of months, all of a sudden, the government -- the politicians were sort of in shutdown mode in terms of being responsive. All those doors are opening back up.

我們聘請了一些非常老練的律師和政治顧問來幫助我們獲得政府的應收帳款。不幸的是，在過去幾個月的選舉中，政府——政客突然處於不作為的狀態，無法做出回應。所有這些門都重新打開了。

I don't want to -- I don't think I should name names, but I will just say that our consultants have been meeting with very well-known politicians and I am optimistic that we're going to collect a large block of money at some point. The problem is, I just don't know when. I don't know if it's going to be a week, a month, three months or six months.

我不想——我不認為我應該說出名字，但我只想說，我們的顧問一直在與非常知名的政治家會面，我樂觀地認為我們最終會籌集到一大筆資金。問題是，我不知道什麼時候。我不知道這會是一周，一個月，三個月還是六個月。

I can't operate the company. I can't grow the subsidiaries based on money that's coming in in the future. So it's been really honestly frustrating for me, but I know we have tremendous underlying value in the company and I know that we have large blocks of money coming to us down the road. So that's one, is the accounts receivable.

我沒有能力經營公司。我無法依靠未來的資金來發展子公司。所以說實話這對我來說真的很令人沮喪，但我知道我們公司具有巨大的潛在價值，而且我知道我們將來會獲得大筆資金。其中之一就是應收帳款。

I would also point out that on the accounts receivable, we have $70 million of testing for COVID that we did, that we were never reimbursed for. It's a ridiculous amount of money. You say, where is the $70 million on your books? We were conservative. We never put the $70 million on our books. We put less than $30 million on our books. There's another $40 million that we're going after that's not even on our books. We never anticipated or expected to collect on $70 million.

我還要指出的是，在應收帳款中，我們有 7000 萬美元用於 COVID 檢測，但我們從未得到報銷。這金額實在太荒謬了。你說，你帳上的 7000 萬美元去哪了？我們很保守。我們從來沒有把這 7,000 萬美元記入帳簿。我們帳上的金額不到3,000萬美元。我們還想爭取另外 4,000 萬美元，但這筆錢甚至還不在我們的帳面上。我們從來沒有預期或期望過能籌集到 7,000 萬美元。

Some tests don't have the proper insurance, et cetera, et cetera, don't have the right patient information. Somebody tested too often and they don't want to reimburse, those types of things. So we discounted, but we were very conservative.

有些測試沒有適當的保險等等，沒有正確的患者資訊。有人測試得太頻繁了，他們不想報銷諸如此類的事情。因此我們打了折扣，但我們非常保守。

But we realistically are going after the $70 million. I would assume that we're going to get a percentage of that. The group that we've hired is going to take a percentage of that. When you put it all together, I still believe that we have very large blocks of money coming to us. I just don't know when. It's hard to run a company based on I don't know when.

但我們現實的目標是 7,000 萬美元。我認為我們將獲得其中的一定比例。我們僱用的團隊將從中抽取一定比例。如果把所有這些綜合起來，我仍然相信我們會獲得巨額資金。我只是不知道什麼時候。我不知道什麼時候才能開一家公司，這很難。

Two other potential liquidity events, and this is really just developing now. Our BE-Smart Esophageal Cancer Test, and I'll get into this when we go through the presentation. But we have initiatives that have started with some of the largest cancer diagnostic testing companies in the world. We could do a partnership at any time. I don't know if that's in a month or two or in six or 12 months.

另外兩個潛在的流動事件實際上現在才剛開始發展。我們的 BE-Smart 食道癌測試，我將在演示時詳細介紹這一點。但我們已經與世界上一些最大的癌症診斷檢測公司合作了一些措施。我們可以隨時建立合作關係。我不知道那是在一兩個月還是六個月或十二個月後。

I really don't know right now. But I can tell you that our goal is to pick two of the largest against each other because they really want to get into the space and we have a lot of proprietary know-how regarding the proteins that affect esophageal cancer.

我現在真的不知道。但我可以告訴你，我們的目標是挑選兩家最大的公司相互競爭，因為他們確實想進入這個領域，而且我們在影響食道癌的蛋白質方面擁有大量專有技術。

I'm going to get into that more in the general presentation. But I want you to be aware, esophageal cancer, our test has enormous potential and there's the potential that we can get a block of money in sooner rather than later and we'll just have to wait and see.

我將在總體介紹中更深入地討論這一點。但我希望你們知道，我們的食道癌檢測具有巨大的潛力，我們有可能很快就會獲得一大筆資金，我們只需要拭目以待。

And finally, with PMI, again, I'm going to get into this in moments, but I strongly believe we could sell that in the first quarter. And the valuations we're talking about could be $40 million, $50 million. And by the -- 12, 18 months from now, the valuation of it could be $100 million, $150 million, so selling for $40 million to $50 million should be relatively easy. It's not a guarantee, but we know that there are a lot of very interested buyers.

最後，關於 PMI，我稍後會再次討論這個問題，但我堅信我們可以在第一季售出它。我們談論的估值可能是 4,000 萬美元、5,000 萬美元。而從現在起的 12 到 18 個月內，它的估值可能會達到 1 億美元、1.5 億美元，因此以 4,000 萬到 5,000 萬美元的價格出售應該相對容易。這並不能保證，但我們知道有很多非常感興趣的買家。

So let's get into the subsidiaries. I wanted to start with that before we got into the actual slides. I'm not going to spend a lot of time on each slide, but I wanted to give you some of that background. So let's see if I can. Again, Noella, this is not the usual screen.

讓我們來了解一下子公司。在我們開始播放實際的幻燈片之前，我想先從這一點開始。我不會在每張投影片上花費太多時間，但我想向你們介紹一些背景知識。那麼讓我們看看我是否可以。再說一遍，諾拉，這不是通常的螢幕。

Let's see. Okay. So I read you the forward-looking statement already. Look, I'm going to assume most of you are already shareholders, already know the subsidiaries. I'm going to talk about them in order.

讓我們來看看。好的。我已經向您讀過前瞻性聲明了。瞧，我假設你們大多數人已經是股東，已經了解子公司。我將按順序討論它們。

Pharmaloz Manufacturing that manufactures lozenges. Our ProPhase BE-Smart Esophageal Cancer Test has multi-billion-dollar potential. We just launched DNA Complete and DNA Expand. Nebula Genomics, think of that as our laboratory, our world-class laboratory in ProPhase supplements. We have Legendz XL in the marketplace now. We have distribution of 40,000 food, drug and mass stores.

Pharmaloz Manufacturing，生產錠劑。我們的 ProPhase BE-Smart 食道癌測試具有數十億美元的潛力。我們剛推出了 DNA Complete 和 DNA Expand。Nebula Genomics，將其視為我們的實驗室，我們在 ProPhase 補充劑領域的世界級實驗室。目前，我們在市場上有 Legendz XL。我們的分銷網絡遍及 40,000 家食品、藥品和大眾商店。

And we're soon to release Equivir, our broad-based antiviral that I'm really excited about. We have the entire infrastructure in place to roll out Equivir. I'm going to go through each of those and then we'll get into the Q&A.

我們即將推出 Equivir，這是我們的廣泛抗病毒藥物，我對此感到非常興奮。我們已擁有推出 Equivir 的完整基礎設施。我將逐一介紹這些內容，然後我們進入問答環節。

All right. When I say our best is yet to come, performance track record, my track record speaks for itself. Of course, with the stock price where it is, people say, well, what about now? The one thing I can tell you which I find interesting, back in 2012, I had essentially a bankrupt company on my hands.

好的。當我說我們最好的還沒到來時，業績記錄、我的業績記錄不言而喻。當然，鑑於目前的股價，人們會說，那麼，現在怎麼樣？我可以告訴你一件我覺得很有趣的事，早在 2012 年，我手上的公司基本上已經破產了。

The only product we had was Cold-EEZE. Cold-EEZE had declining sales for four or five years, looked like it was going out of business. Our stock price was $0.65. Interestingly, we played out about the same number of shares outstanding as we do right now today. I turned around the brand, sold it for $50 million, paid out $2.40 in cash special dividends to our long-term shareholders.

我們唯一的產品是 Cold-EEZE。Cold-EEZE 的銷售已經連續四、五年下滑，看起來快要破產了。我們的股價為 0.65 美元。有趣的是，我們發行的股票數量與今天大致相同。我扭轉了品牌的頹勢，以 5,000 萬美元的價格將其出售，並向我們的長期股東支付了 2.40 美元的現金特別股息。

So now, yes, are we back to these penny stock prices? Yes. The difference is, instead of having the Cold-EEZE brand that I turned around and sold, we now have -- and at the time, a dozen years ago, the manufacturing facility wasn't worth anything.

那現在，我們是不是又回到了這些低價股票的價格呢？是的。不同的是，我們不再擁有後來我轉手賣掉的 Cold-EEZE 品牌，而是現在擁有的——而在當時，也就是十幾年前，這個製造工廠還一文不值。

We now have a manufacturing facility that I hope to sell for $40 million, $50 million. We have a multi-billion-dollar potential esophageal cancer test. We just released DNA Expand and DNA Complete, and I'm going to go into all the specifics of how great they are that we've developed them.

我們現在有一家製造工廠，我希望以 4,000 萬美元或 5,000 萬美元的價格出售。我們有一項潛在價值數十億美元的食道癌測試。我們剛剛發布了 DNA Expand 和 DNA Complete，我將詳細介紹我們開發這些產品的優點。

Separately, we have a world-class genomics laboratory. We're about to roll out Equivir and in the next couple of months, a broad-based antiviral. I'm going to go into why the potential of that is multiples of the potential of Cold-EEZE, and we're back at the same kind of stock price. I just want to put it in that kind of perspective. I did it before. I'm going to do it again. I have an enormous number of assets at my disposal to work on and develop compared to 12 years ago when the stock price was $0.65. And I'm really excited about the future of our company.

另外，我們還有一個世界一流的基因組學實驗室。我們即將推出 Equivir，並在接下來的幾個月內推出一種廣譜抗病毒藥物。我將深入解釋為什麼它的潛力是 Cold-EEZE 潛力的數倍，而且我們又回到了相同的股價。我只是想從這樣的角度來表達這一點。我以前做過。我會再做一次。與 12 年前股價為 0.65 美元時相比，我擁有大量可供利用和開發的資產。我對我們公司的未來感到非常興奮。

All right. Pharmaloz. This is a no-brainer to understand. The reason why I love this business is because it has strong demand, growing demand, visible demand for the next one, two, five years. The demand for lozenges is expected to grow into the next decade, whereas there is limited supply of capacity for manufacturing lozenges.

好的。藥物。這是很容易理解的。我熱愛這個產業的原因是它有強勁的需求，不斷增長的需求，以及未來一、二、五年內可見的需求。預計未來十年對錠劑的需求將會成長，但生產錠劑的能力卻有限。

It puts us in the right place at the right time. I didn't plan that. In fact, I primarily kept Pharmaloz in place because I wanted the manufacturing, packaging, shipping, distribution and logistics for selling products into food, drug and mass stores.

它讓我們在正確的時間出現在正確的地點。我沒有計劃這麼做。事實上，我保留 Pharmaloz 的主要原因是我想要進行製造、包裝、運輸、分銷和物流，以便將產品銷售到食品、藥品和大眾商店。

We have access to 40,000 food, drug and mass stores. That was the primary reason I kept this business, not because I thought that one day that demand would be continuing to grow for lozenges and there would be a lack of capacity for manufacturing around the country and around the world.

我們可以進入 40,000 家食品、藥品和大眾商店。這是我堅持這項業務的主要原因，並不是因為我認為有一天對片劑的需求會持續增長，而全國乃至全世界都會缺乏生產能力。

Now people ask me, well, what's so special about our facility? Can't someone else build one? We estimate -- in fact, we were negotiating with a large brand earlier in the year about this. It would take about four to five years to build what we have and cost up to $70 million to build what we will have built in the next year or so. Basically, to build what we have right now, maybe it would be about $50 million, where we're going with it would be about $70 million, but it would take four to five years to build it.

現在人們問我，我們的設施有什麼特別之處？其他人就不能建一個嗎？我們估計——事實上，今年稍早我們正在與一個大品牌就此事進行談判。建造現有的設施大約需要四到五年的時間，而建造明年左右將要建成的設施則需要高達 7,000 萬美元。基本上，建造我們現在擁有的東西可能要花費大約 5000 萬美元，而我們計劃建造的東西大約需要 7000 萬美元，但需要四到五年的時間才能完成。

It requires acquiring the land and the building, ordering the equipment takes 1.5 years just to build the equipment that would be shipped. It has to be installed. You have to hire people to then run it with no customers. And then you have to figure out how you're going to get an FDA approval. That can be another two years. It's a major undertaking. I don't see how there's going to be any serious competition for many years.

它需要獲取土地和建築物，訂購設備需要 1.5 年的時間來建造要運輸的設備。它必須被安裝。您必須僱用人員來經營，儘管沒有顧客。然後你必須弄清楚如何獲得 FDA 批准。那可能還要再過兩年。這是一項重大的任務。我看不出在未來許多年還會有任何激烈的競爭。

There is another manufacturing facility or two. One of them is focused more on gummies and capsules and other forms and don't care. In fact, we took some of their customers already who are telling us we have a leading customer now.

還有另外一兩個製造工廠。其中一個更關注軟糖、膠囊和其他形式，並不關心。事實上，我們已經擁有了他們的一些客戶，他們告訴我們，我們現在有一個領先的客戶。

They're the top-selling brand on Amazon and they're giving us as much business we can handle. And they're telling everyone, there's no lozenge manufacturing facility in the country like ours. And that's what we're getting feedback from, that's what we're doing. And so we have more demand than we can satisfy right now and that's continuing.

他們是亞馬遜上最暢銷的品牌，並且給予我們盡可能多的業務。他們告訴所有人，國內沒有像我們這樣的錠劑生產工廠。這就是我們所得到的回饋，也是我們正在做的事情。因此，我們目前的需求超出了我們所能滿足的範圍，而且這種情況還在持續。

So we're building capacity as fast as we can. And the numbers are just taking off going forward. So we hired ThinkEquity to explore strategic alternatives, which is fancy way of saying we're exploring a potential sale. They have already targeted over 70 potential acquirers.

因此我們正在盡快建設產能。且未來數字仍將持續快速成長。因此，我們聘請了 ThinkEquity 來探索策略替代方案，這是一個很花哨的說法，意思是我們正在探索潛在的銷售機會。他們已經瞄準了超過 70 個潛在收購者。

They're already getting very positive feedback. It's early, but they already did all their due diligence over the last couple of months, put together the CIN, that's the confidential materials, et cetera, et cetera, et cetera.

他們已經獲得了非常正面的回饋。現在還為時過早，但在過去的幾個月裡，他們已經盡職盡責，整理了 CIN，也就是機密資料等等，等等，等等。

So to put this in perspective in terms of the numbers, we're looking at starting the fourth quarter this year approximately $15 million. My COO will say it's $15 million to $20 million, I'm happy just to say $15 million, and $5-plus million in earnings over the next 12 months. That's only on the first lozenge manufacturing line. Our plans are to build out a second manufacturing line, which we ordered 1.5 years ago.

因此，從數位角度來看，我們預計今年第四季開始時的營收約為 1500 萬美元。我的營運長會說是 1500 萬到 2000 萬美元，我很高興地說是 1500 萬美元，並且未來 12 個月的收益將超過 500 萬美元。這只是第一條錠劑生產線。我們的計劃是建造第二條生產線，這是我們一年半前訂購的。

It's been built. It's ready to be shipped. We are currently in discussions with one of the largest lozenge brands in the world. We're in very, very late discussions with them, basically all but done, they agreed to pricing, et cetera, et cetera, et cetera. They anticipate and we anticipate $20 million to $25 million a year in revenues from them on Line 2. And they want to build in that ultimately it's going to go to $35 million. That's in addition to the $15 million on Line 1.

已經建好了。已準備好發貨。我們目前正在與世界上最大的錠劑品牌之一進行洽談。我們與他們的討論已經進行了非常非常晚了，基本上都已經完成了，他們同意了定價等等，等等，等等。他們預計，我們也預計，2號線每年將從他們身上帶來 2,000 萬至 2,500 萬美元的收入。他們希望最終將這一數字提高到 3500 萬美元。這是對 1 號線 1500 萬美元的額外投資。

So we're talking about a business growing to $40 million in revenues. We could enter a five year contract, which virtually guarantees the business growing to $40 million in revenues. And then we're talking about a Line 3 that we're planning for. And we have customers who are already that would go to Line 3 if we were to build it out. So it just goes from there.

我們談論的是收入成長到 4,000 萬美元的企業。我們可以簽訂一份五年的合同，這實際上保證業務收入增長到 4,000 萬美元。然後我們正在討論我們正在規劃的3號線。如果我們建造 3 號線，已經有客戶會選擇搭乘 3 號線。一切就從那裡開始。

So the progression and the numbers are really exciting for PMI. It has enormous potential. And so as much as our company and the stock price and everybody is upset right now, including me, the fact of the matter is we have some tremendous opportunities going into next year. And I would imagine that our company in terms of the balance sheet and the financials next year will look dramatically better than it does today.

因此，PMI 的進展和數據確實令人興奮。它具有巨大的潛力。儘管現在我們的公司、股價和每個人都感到不安，包括我在內，但事實上我們在明年擁有巨大的機會。我可以想像，我們公司明年的資產負債表和財務狀況將比現在好得多。

Okay. BE-Smart, ProPhase Biopharma, BE-Smart Esophageal Cancer Test. Just very briefly, I know most of you know this. But by the same token, I think we have a lot of new shareholders that are on this call. So bear with me. I really want to make sure everybody is up-to-date. Esophageal cancer is one of the deadliest cancers. 80% to 90% of people diagnosed with esophageal cancer will die of esophageal cancer. Why? Because they're diagnosed too late.

好的。BE-Smart、ProPhase Biopharma、BE-Smart 食道癌測試。只是非常簡短，我知道大多數人都知道這一點。但同樣，我認為有許多新股東參加了這場電話會議。所以請忍耐一下。我確實想確保每個人都了解最新情況。食道癌是最致命的癌症之一。被診斷出患有食道癌的人中80%到90%會死於食道癌。為什麼？因為他們診斷得太晚了。

Why are they diagnosed too late? Because there's no good diagnostic test out there. We have a great diagnostic test that will diagnose you earlier and more accurately and it will save your life if you're developing esophageal cancer, which will save insurance companies billions of dollars and save lives. And at the same time, the test, and I'm doing the quick version of this explanation, the test will tell you if you're at low risk. If you're at low risk, you don't have to get endoscopies every year.

為什麼他們的診斷太晚了？因為目前還沒有好的診斷測試。我們有一個很好的診斷測試，可以更早、更準確地診斷您，如果您患有食道癌，它可以挽救您的生命，這將為保險公司節省數十億美元並挽救生命。同時，我會進行簡短版的解釋，測試會告訴您是否處於低風險狀態。如果您的風險較低，則不必每年都進行內視鏡檢查。

So just to explain how this all works, when you have acid in your stomach, that acid starts to eat away at the bottom of your esophagus, which is connected to your stomach.

為了解釋這一切是如何運作的，當你的胃中有酸時，酸就會開始侵蝕與胃相連的食道底部。

Over time, that develops precancerous cells. That's a condition known as Barrett's esophagus. People with Barrett's esophagus or that are otherwise at high risk of esophageal cancer regularly get endoscopies, whether it's once a year or twice a year or whatever.

隨著時間的推移，就會形成癌前細胞。這種疾病被稱為巴雷特食道。患有巴雷特食道或患有食道癌風險較高的人需要定期接受內視鏡檢查，無論是每年一次還是兩次或其他次數。

Right now in this country, roughly 67 million people are getting endoscopies every year. Roughly 7 million of them are specifically at high risk of esophageal cancer. Insurance companies are reimbursing up to $4,000 per endoscopy. That's a $28 billion expense to the insurance companies.

目前，在這個國家，每年約有 6,700 萬人接受內視鏡檢查。其中約有700萬人罹患食道癌的風險特別高。保險公司每次內視鏡檢查的報銷金額最高為 4,000 美元。這對保險公司來說是一筆280億美元的開銷。

And that doesn't include the people who end up getting diagnosed with esophageal cancer where 80% to 90% of them are going to die. So it's an enormous expense to the insurance companies. And of course, there are a lot of people dying out there unnecessarily because they're not diagnosed early enough.

這還不包括最終被診斷出患有食道癌的人，其中 80% 到 90% 的人將會死亡。因此，這對保險公司來說是一筆龐大的開支。當然，有很多人因為沒有及時診斷而毫無意義地死去。

Our test, our scientists that discovered this, discovered the 8 key proteins associated with esophageal cancer. As those proteins shift more, that indicates a higher risk of esophageal cancer. And so our test can tell you whether you're at high risk or low risk. So if you're at high risk, there's a procedure you can get called an ablation. An ablation destroys the precancerous cells.

我們的測試，我們的科學家發現了這一點，發現了與食道癌相關的8種關鍵蛋白質。隨著這些蛋白質的轉移，罹患食道癌的風險也會更高。所以我們的測試可以告訴您，您的風險是高還是低。因此，如果您的風險較高，可以進行一種稱為消融的手術。消融會破壞癌前細胞。

Right now, GIs would love it if they could send all their patients to get ablations that they're concerned about. The problem is the insurance companies don't want to reimburse everybody getting an ablation because they don't know who really needs it and who doesn't. It would cost an absolute fortune. And it's also unnecessary for everybody to get one. But if you knew which patients were at high risk, you could just give them the ablation, it would save their life, it would save the insurance companies billions of dollars.

目前，如果能夠讓所有他們關心的患者都接受消融治療，那麼美國大兵們會非常高興。問題在於保險公司不願意補償每個接受消融治療的人，因為他們不知道誰真正需要，誰不需要。這將花費一大筆錢。而且也沒必要每個人都買一個。但如果你知道哪些病人處於高風險中，你就可以對他們進行消融，這將挽救他們的生命，也將為保險公司節省數十億美元。

And so we have a test that will tell you if you're at high risk or low risk. If you're at high risk, get the ablation, save your life. Based on CPT codes and industry standards we believe and it's based on the complexity of the test, based on complexity of our test, we believe we'll be reimbursed $1,000 to $2,000.

所以我們有一個測試可以告訴你，你是否處於高風險或低風險。如果您的風險很高，請進行消融，挽救您的生命。根據 CPT 代碼和行業標準，我們相信，根據測試的複雜性，根據我們測試的複雜性，我們相信我們將獲得 1,000 至 2,000 美元的報銷。

And our target market is 7 million endoscopies that are performed every year in this country and it doesn't include globally. I was working on developing some business in the Middle East over the last couple of years. The incidence of upper -- I'm sorry, the incidence of esophageal cancer and Barrett's esophagus is growing like wildfire over there and it all has to do with diet. So globally, it's a growing problem as well. But just in the United States market alone, it is 7 million endoscopies per year. And with our test, we're not telling anybody to go get an endoscopy.

我們的目標市場是這個國家每年進行的700萬次內視鏡檢查，但不包括全球。過去幾年我一直致力於在中東​​拓展一些業務。上食道癌和巴雷特食道的發生率在那裡呈現野火般增長，這一切都與飲食有關。從全球來看，這也是一個日益嚴重的問題。但光是在美國市場，每年的內視鏡檢查量就高達700萬次。透過我們的測試，我們不會告訴任何人去做內視鏡檢查。

A key component of the success or failure of a diagnostic test is its convenience. There's nothing more convenient than our test because we're not telling the patient to do anything additional. This is only for patients who are already getting the endoscopy. So the patient after the endoscopy goes home. There's nothing else patient has to do. The GI just has to send one of those specimens. And endoscopy is where you stick a tube down your throat and remove 7 to 9 tissue specimens where a pathologist studies those tissue specimens under a microscope.

診斷測試成功或失敗的關鍵因素是其便利性。沒有什麼比我們的測試更方便，因為我們沒有告訴患者做任何額外的事情。這僅適用於已接受內視鏡檢查的患者。因此，患者做完內視鏡檢查後就可以​​回家了。病人無需做其他事。士兵只需送交其中一個樣本即可。內視鏡檢查就是將一根管子插入你的喉嚨並取出 7 到 9 個組織樣本，然後病理學家在顯微鏡下研究這些組織樣本。

The problem is 2 pathologists will study the same specimen under the same microscope. One will tell you have esophageal cancer, one will tell you don't.

問題是兩位病理學家會在同一台顯微鏡下研究同一標本。一個人會告訴你有食道癌，另一個人會告訴你沒有。

So the next step, the next smart step if medicine wants to evolve and really take care of its patients, it would be to send that specimen to our lab, run it through a mass spec machine and we'll tell you definitively whether you have esophageal cancer right now and/or whether you're at high risk or low risk.

因此，如果醫學想要發展並真正照顧到患者，那麼下一步、下一個明智的步驟就是將樣本送到我們的實驗室，透過質譜儀運行，我們會明確地告訴您現在是否患有食道癌和/或您處於高風險還是低風險。

And based on the high risk, low risk, if you're at low risk, you don't have to get an endoscopy every year, that will save the insurance companies billions of dollars and the patient doesn't have to get an unnecessary endoscopy, which honestly isn't fun. On the other hand, you're at high risk, it will save your life.

並且基於高風險、低風險，如果您的風險較低，則不必每年進行內視鏡檢查，這將為保險公司節省數十億美元，並且患者也不必進行不必要的內視鏡檢查，老實說，這並不好玩。另一方面，你處於高風險之中，它會挽救你的生命。

So it's really an incredible test. We're looking to commercialize it within approximately a year. To be clear, I don't want to complicate matters. It could either go an LDT route. That's a laboratory developed test or FDA. FDA earlier this year was talking about getting involved in monitoring all LDTs. We and our consultants thought there's no way that's going to happen, but FDA sounded pretty adamant that it was coming to that. Now I'm hearing that within the next month or 2, FDA is going to say that they've changed their mind on that initiative.

所以這真是一次令人難以置信的測試。我們希望在大約一年內實現其商業化。要明確地說，我不想讓事情變得複雜。它可以走 LDT 路線。這是一個實驗室開發的測試或 FDA。FDA 今年稍早曾談論參與監控所有 LDT。我們和我們的顧問都認為這不可能發生，但 FDA 卻非常堅定地表示會發生這種情況。現在我聽說，在未來的一兩個月內， FDA 將會表示他們改變了這項舉措的想法。

If we go the LDT route, we can commercialize very quickly. But the fact of the matter is we've hired FHC, Forward Healthcare Consultants, a multi-billionaire who has used them in the past and made a lot of money with them on other cancer diagnostic tests and the like, highly recommended them to us and one of the best recommendations I've ever received.

如果我們走LDT路線，我們可以很快實現商業化。但事實上我們已經聘請了 FHC，即 Forward Healthcare Consultants，一位億萬富翁，他過去曾使用過他們的服務並在其他癌症診斷測試​​等方面賺了很多錢，他向我們強烈推薦了他們，這是我收到的最好的推薦之一。

Forward Healthcare Consultants are experts in the industry. They have developed many -- as consultants, many very successful multi-billion-dollar diagnostic testing companies, in particular, Guardant Health. The Founder of FHC, worked with Guardant Health for five or six years very closely. Guardant Health right now has about a $2.7 billion market cap.

Forward Healthcare Consultants 是該行業的專家。他們作為顧問創立了許多非常成功的價值數十億美元的診斷測試公司，尤其是 Guardant Health。FHC 的創辦人與 Guardant Health 密切合作了五、六年。Guardant Health 目前市值約為 27 億美元。

So we're working very closely with FHC. FHC wants us to take a very conservative approach so that when we launch, we have the physician networks behind us. We have the insurance payers behind us. We have the key opinion leaders behind us. We have all the right papers published in all the right publications, et cetera, et cetera. They want to do it the right way. So even if we go the LDT route, realistically, we'll probably commercialize late next year. If we have to go through FDA, realistically, we'll probably get FDA approval at the end of next year, we commercialize at the beginning of 2026.

因此，我們與 FHC 的合作非常密切。FHC 希望我們採取非常保守的方法，這樣當我們推出產品時，就有醫生網絡為我們提供支援。我們背後有保險支付者的支持。我們背後有關鍵意見領袖。我們在所有正確的出版物上發表了所有正確的論文，等等，等等。他們想以正確的方式去做這件事。因此，即使我們選擇 LDT 路線，實際上我們也可能需要到明年年底才能商業化。如果我們必須通過 FDA，那麼實際上，我們可能會在明年年底獲得 FDA 批准，並在 2026 年初商業化。

But again, just going back to the numbers for a moment. We're talking about 7 million endoscopies and getting reimbursed $1,000 to $2,000. That's a $7 billion to $14 billion market we're going after with virtually no competition.

我們再來回顧一下數字。我們談論的是 700 萬例內視鏡檢查，報銷金額為 1,000 至 2,000 美元。我們所追求的是一個價值 70 億到 140 億美元的市場，而且幾乎沒有競爭。

And even if we only get a fraction of that -- and we think every one of these endoscopies should use our test. But even if we only got a fraction of that, the numbers are ridiculously large compared to our current market cap. And it's not far away. This isn't like a drug where you have to go through FDA and you have to spend another $50 million or $100 million, another five or 10 years to maybe finish a Phase II and finish a Phase III and then keep your fingers crossed that you get great results and the FDA approve.

即使我們只得到其中的一小部分——我們也認為每一次內視鏡檢查都應該使用我們的測試。但即使我們只獲得了其中的一小部分，與我們目前的市值相比，這個數字也是大得離譜。而且距離也不遠。這不像開發某種藥物那樣需要經過 FDA 審批，還需要花費 5,000 萬美元或 1 億美元，再花五年或十年的時間才能完成 II 期和 III 期臨床試驗，然後祈禱獲得優異的結果並獲得 FDA 的批准。

We've already gotten all of our great results. In fact, we're doing more studies, but we don't need them to commercialize. We're just going to make the statistics stronger and stronger and more compelling. But we're ready to go on this. I'm really excited about it.

我們已經取得了所有出色的成果。事實上，我們正​​在做更多的研究，但我們不需要將它們商業化。我們只是要讓統計數據越來越有力、越來越引人注目。但我們已準備好繼續這項行動。我對此感到非常興奮。

So my point being, from the point of view of a biotech, this is very late stage in its development and it has 0 value in our company -- in the stock market right now. Just something to be aware because it's very real. For those of you that know me, you know that I am a straight shooter, that I've executed in the past and I am a huge believer in this test. I think it's going to save a ton of lives. It's going to save insurance companies billions of dollars. And there's no reason why we can't make billions of dollars in the process. And whether it's hundreds of millions or billions, either way, it make our stock go up 10 times, 20 times, 30 times, 40 times, 50 times from where it is right now.

所以我的觀點是，從生物技術的角度來看，這處於發展的非常後期的階段，並且對我們公司來說它的價值為零——在目前的股票市場上。這只是我們需要注意的事情，因為它是非常真實的事情。對於那些認識我的人來說，你們知道我是一個直率的人，我過去的表現很出色，而且我非常相信這項測驗。我認為它將挽救許多人的生命。這將為保險公司節省數十億美元。我們沒有理由不能在過程中賺取數十億美元。不管是數億還是數十億，它都會使我們的股票比現在上漲 10 倍、20 倍、30 倍、40 倍、50 倍。

Okay. Finally, just very quickly before I move on. I'm spending a lot of time on this because, look, our Pharmaloz Manufacturing, to me, is a lay-up. It's worth an enormous amount of money. Right now, probably double the entire market cap of our company. If we held it an extra year, it could be worth triple or quadruple the market cap of our company. And with esophageal cancer, it could be worth 10x or 20x the market cap of our company. It really has that kind of potential. And my point being is if Pharmaloz is worth that much now based on its revenues and earnings, it provides dramatic and significant underlying support for our company, while you're getting these other biotech-related assets and initiatives basically for free, even less than for free.

好的。最後，在我繼續之前，請先快速說幾句。我在這上面花了很多時間，因為，對我而言，我們的 Pharmaloz Manufacturing 只是一個小企業。它價值連城。現在，可能使我們公司整個市值的兩倍。如果我們再持有一年，其價值可能會是我們公司市值的三倍或四倍。而對於食道癌來說，它的價值可能是我們公司市值的 10 倍或 20 倍。它確實有這種潛力。我的觀點是，如果 Pharmaloz 現在的收入和收益值這麼多錢，那麼它將為我們公司提供巨大而重要的基礎支持，而您獲得這些其他生物技術相關資產和計劃基本上是免費的，甚至比免費還便宜。

So one last thing I want to mention for those of you doing due diligence, you'll hear about blood tests for esophageal cancer. Blood tests, I don't care what they tell you, there's no such thing as a highly accurate blood test. I don't want to pick on other companies. But a lot of times with these clinical studies, the results aren't always exactly the way they present them.

最後我想對那些盡責的人說一件事，你們會聽到有關食道癌的血液檢測。血液測試，我不在乎他們告訴你什麼，沒有什麼是高度準確的血液檢查。我不想挑剔其他公司。但很多時候，這些臨床研究的結果並不總是像他們所呈現的那樣。

Just as an example, with COVID testing, when the antigen test came out, everybody said they're just as accurate. They were nowhere near as accurate. It was a joke. But it was a good first test because it could be done on the spot. And so with the antigen test, you get the antigen test, you test positive, then you follow-up with PCR test, which gives you the more accurate result.

舉個例子，對於 COVID 測試，當抗原測試問世時，每個人都說它們同樣準確。它們根本就不準確。這是個笑話。但這是一個很好的首次測試，因為它可以在現場完成。因此，透過抗原測試，您可以進行抗原測試，如果測試結果呈陽性，然後再進行 PCR 測試，這會給您更準確的結果。

Well, think of it the same way with the blood test. You get a blood test that tests positive, what's the next step? Go to your GI get an endoscopy. That's where we come in. It actually grows our market. Our market is after you get the endoscopy. The blood test is before you get an endoscopy. So if you get -- if you do get a positive blood test, if these companies with blood tests are successful, I hope they are, it's actually going to grow the market for more endoscopies, which is going to grow our market. It's not competition.

嗯，以同樣的方式思考血液測試。您的血液檢測結果呈陽性，下一步該怎麼辦？去胃腸道做一次內視鏡檢查。這正是我們要做的。它實際上擴大了我們的市場。我們的市集就在您接受內視鏡檢查之後。在進行內視鏡檢查之前，需要進行血液檢查。所以如果你——如果你的血液檢測結果呈陽性，如果這些進行血液檢測的公司成功了，我希望他們能成功，這實際上會增加內視鏡檢查的市場，從而也會增加我們的市場。這不是競爭。

So the blood test will give you a positive or negative. If it gives you a positive, the next step, you're going to go to your GI. The GI is going to want to immediately give you an endoscopy. And once you get the endoscopy, send this specimen to our lab and we'll give you the definitive result. Okay. There you go. I think that -- I think we really covered it. Happy to answer more questions on it.

因此血液檢測結果將呈現陽性或陰性。如果結果呈陽性，下一步，您需要去接受胃腸道檢查。胃腸科醫師會立即為您做內視鏡檢查。一旦您進行了內視鏡檢查，請將樣本送到我們的實驗室，我們會給您最終的結果。好的。就這樣。我認為—我認為我們確實涵蓋了這一點。很高興回答更多相關問題。

DNA Complete. So we just launched DNA Complete. I'm not going to spend too much time on it. DNA Complete has a significantly more research reports than what we had with Nebula. But more importantly, it has an advanced ancestry platform. We formed DNA Complete to work with new developers and develop this incredible ancestry product. And we have all these great offerings now for DNA Complete.

DNA 完成。因此我們剛剛推出了 DNA Complete。我不會在這上面花太多時間。DNA Complete 的研究報告比 Nebula 的多得多。但更重要的是，它擁有先進的祖先平台。我們成立了 DNA Complete 來與新開發人員合作開發這款令人難以置信的祖先產品。現在我們為 DNA Complete 提供了所有這些優質產品。

And just as importantly, and I've mentioned this, we are working with the former COO of Barstool Sports, who is in charge of business and marketing. He is an expert's expert. He has connections to everybody, to influencers, et cetera, et cetera. He has been working on this for the better part of the year with Jason Karkus on building this incredible media and marketing platform that we're now going to be rolling out.

同樣重要的是，正如我所提到的，我們正在與 Barstool Sports 的前營運長合作，他負責業務和行銷。他是一位專家中的專家。他與每個人都有聯繫，與有影響力的人等等。他今年大部分時間都在與傑森·卡庫斯 (Jason Karkus) 合作，致力於建立我們現在即將推出的這個令人難以置信的媒體和行銷平台。

And the other thing that's special, DNA Expand. I'm really excited about this. DNA Expand does not require a lab test. We take an ancestry test data. So if you're a consumer, 26 million consumers have gotten an ancestry test. All 26 million, if you got your ancestry test from 23andMe, ancestry.com, MyHeritage, you're allowed to download your data. You can then upload it to us. The only cost to us is we then have to store the data and some other IT. All in all, might cost us $5, $6.

另一件特別的事情是 DNA 擴展。我對此感到非常興奮。DNA Expand 不需要實驗室測試。我們取得了祖先測試數據。如果你是消費者，那麼已經有 2600 萬消費者接受了血統測試。全部 2600 萬，如果您從 23andMe、ancestry.com、MyHeritage 進行了祖先測試，您就可以下載您的資料。然後您可以將其上傳給我們。我們唯一的成本就是必須儲存資料和一些其他 IT 資訊。總的來說，可能要花費我們 5 美元、6 美元。

Meanwhile, the ancestry companies, 23andMe is charging $69 per year for subscription to provide you with health-related research reports related to your ancestry test. We will provide significantly more health-related reports. We boost your data significantly. I'm not going to get into the science behind it, but you can read here, it expands your DNA data.

同時，血統公司 23andMe 每年收取 69 美元的訂閱費，為您提供與您的血統測試相關的健康相關研究報告。我們將提供更多與健康相關的報告。我們大大增強了您的數據。我不會深入探討背後的科學，但你可以在這裡讀到，它擴展了你的 DNA 數據。

Users file has boosted 50 times more data after upload. We provide significantly more in-depth health and wellness reports compared to typical DNA ancestry test. So we're providing an enormous wealth of additional information. We'll do it for $49 subscription instead of $69. We'll save the consumers $20 and provide them more information that cost to us like $4 or $5.

用戶檔案上傳後資料量增加了50倍。與典型的 DNA 祖先測試相比，我們提供更深入的健康和保健報告。因此我們提供了大量額外的資訊。我們的訂閱費用將為 49 美元，而不是 69 美元。我們將為消費者節省 20 美元，並向他們提供更多信息，而我們只需花費 4 美元或 5 美元。

This is a cash cow. Throw out everything in the company, just focus on this one business. I don't know, in three years, could we get $1 million out of $26 million? It's not a lot. But if we got $1 million, that would be a $50 million a year revenue business generating $40 million -- more than $40 million in profits minus whatever the cost of the advertising is. This could be earning $10 million, $20 million, $30 million a year. So I'm really looking forward to ramping up this business. Another reason why we want to do the capital raise, I want to start advertising this now. I want to start going after these consumers now. Best time of the year to go after them is holidays. It's Black Fridays, it's Christmas, everyone is giving gifts. So I'm really excited about these products and this launch.

這是一棵搖錢樹。拋開公司裡的一切，只專注於這項業務。我不知道，三年內，我們能從 2600 萬美元中拿出 100 萬美元嗎？不算多。但如果我們得到 100 萬美元，那將會是每年 5,000 萬美元的收入，產生 4,000 萬美元的收入——扣除廣告費用後，利潤將超過 4,000 萬美元。每年這可以帶來 1000 萬美元、2000 萬美元、3000 萬美元的收入。所以我真的很期待擴大這項業務。我們想要籌集資金的另一個原因是我想現在就開始宣傳這一點。我現在想開始追逐這些消費者。一年中追逐它們的最佳時間是假期。今天是黑色星期五，是聖誕節，每個人都在送禮物。所以我對這些產品和這次發布感到非常興奮。

And again, Nebula Genomics, I'm not going to spend a lot of time on that. Think of that moving forward more as our laboratory. We also work very closely with George Church, world-renowned in the field of genomics up at Harvard. We've been working with him for years on these companies. And it's a real pleasure having him on our advisory board and we speak with him regularly.

再說一次，我不會在這上面花太多時間。將其視為我們實驗室的進一步發展。我們也與哈佛大學基因組學領域世界知名的喬治·丘奇密切合作。我們已經和他一起在這些公司合作多年了。我們非常高興他能加入我們的顧問委員會，我們經常與他交談。

All right. ProPhase supplements, very quickly. As I mentioned, we have a brand Legendz XL. When we sold the Cold-EEZE brand, I wanted to keep the infrastructure in place to reach out to the 40,000 food, drug and mass retail stores. So we have the manufacturing, packaging, shipping, distribution, logistics. We have our same senior salesman, Joe Brennan, who's been with us even more years than when I took over control of the company. I remember Joe being with the company when I was first just an investor. So he's probably been in the company about 20 years. He's an experts' expert in selling into the retail stores. I worked very closely with him on Cold-EEZE and turning it around. And then he placed Legendz XL into CVS and Walgreens.

好的。ProPhase 補充，非常快速。正如我所提到的，我們有一個品牌 Legendz XL。當我們出售 Cold-EEZE 品牌時，我希望保留現有的基礎設施，以便涵蓋 40,000 家食品、藥品和大眾零售商店。所以我們有製造、包裝、運輸、配送、物流。我們的高級銷售員還是原來的喬布倫南 (Joe Brennan)，他與我們在一起的時間比我接管公司時還要長。我記得當我剛開始只是一個投資者的時候，喬就在這家公司工作了。所以他可能已經在這家公司工作了大約 20 年。他是向零售店銷售產品的專家。我與他密切合作，共同研發 Cold-EEZE 並扭轉其局面。然後他將 Legendz XL 放入 CVS 和 Walgreens。

We don't even do any advertising on this product that's $2.5 million, $3 million a year. We're now on the media platform, marketing and media platform that we built that we're launching DNA Complete and DNA Expand with. We're also going to build out a whole ProPhase supplements section, which could be really cool. Legendz XL is just the lead on that. We also have Triple Edge, which is complementary to Legendz XL. You can bundle them together as a great workout product. But more importantly, that was more to keep the infrastructure in place. We have the same great relationship with the one sales broker in the country that works with all the major retailers. And with those relationships, we're now going to roll out Equivir.

我們甚至沒有為這個每年花費 250 萬到 300 萬美元的產品做任何廣告。我們現在在我們建構的媒體平台、行銷和媒體平台上推出 DNA Complete 和 DNA Expand。我們還將建造整個 ProPhase 補充劑部分，這真的很酷。Legendz XL 正是其中的佼佼者。我們還有 Triple Edge，它是 Legendz XL 的補充。您可以將它們捆綁在一起，作為一款出色的健身產品。但更重要的是，這是為了維持基礎設施的現狀。我們與國內一家與所有主要零售商合作的銷售經紀人保持著良好的關係。有了這些關係，我們現在將推出 Equivir。

So Equivir is a -- I'm not sure what I'm allowed to say on the packaging and what I'm not. So please, I'm not advertising the product. It's not out yet. What I -- so I have to be very careful how I talk about it. But I can tell you that we did a very large -- now first of all, a lot of studies were done before we acquired the rights of the product a few years ago. But since that time, we ourselves independently did a very large clinical study.

因此，Equivir 是——我不確定我可以在包裝上說什麼，不可以說什麼。所以請注意，我並不是為該產品做廣告。還沒出來。所以我必須非常小心地談論它。但我可以告訴你，我們做了大量工作——首先，在幾年前我們獲得該產品的權利之前，我們已經做了很多研究。但從那時起，我們自己就獨立進行了一項非常大規模的臨床研究。

Now typically, what the FDA would like to see is two studies of at least 50, 5-0, patients. If you want to keep the class action attorneys off your back, you also want at least two studies of 50 patients each. I know this from experience, you have no idea how many nuisance class action lawsuits I had to deal with, with Cold-EEZE. We won all of them, but they were a nuisance and I'd rather avoid them. And so I made sure that before we -- we could have launched Equivir already. I didn't want to launch it until this clinical study was done.

通常情況下，FDA 希望看到的是兩項至少涉及 50 名 (5-0) 患者的研究。如果您不想讓集體訴訟律師不再糾纏您，您還需要進行至少兩項針對每項 50 名患者的研究。我從經驗中知道這一點，你不知道我和 Cold-EEZE 一起處理了多少令人厭煩的集體訴訟。我們贏得了所有的比賽，但他們很麻煩，我寧願避開他們。因此，我確保在我們推出 Equivir 之前，我們已經可以這樣做了。我不想在這項臨床研究完成之前推出它。

So we did 2 arms, a total of 370 patients. And the preliminary results were phenomenal. And the final result, we recently got in the raw data and the initial word back on the raw data is that the clinical study researcher is really excited about the final results and I can't wait for that all to be written up and that should be done before year-end. We'll launch Equivir. I've been talking to my team recently. They think that Equivir could be the biggest product of all.

因此我們進行了2組研究，總共370名患者。初步結果非常驚人。我們最近獲得了最終結果，原始數據中的初步反饋是，臨床研究人員對最終結果感到非常興奮，我迫不及待地想將其全部記錄下來，這應該在年底之前完成。我們將推出 Equivir。我最近一直在和我的團隊交談。他們認為 Equivir 可能是最暢銷的產品。

Now of course, that's separate from PMI, which is a manufacturing facility and our BE-Smart Esophageal Cancer Test. Those are two completely different businesses. But from a product point of view, Equivir could be the biggest thing that we sell. And the reason it's different from Cold-EEZE -- and by the way, I still take Cold-EEZE. I still believe in it.

當然，這與 PMI（一家製造工廠）和我們的 BE-Smart 食管癌測試是分開的。這是兩個完全不同的業務。但從產品角度來看，Equivir 可能是我們銷售的最大產品。它與 Cold-EEZE 的不同之處在於——順便說一句，我仍然服用 Cold-EEZE。我仍然相信它。

But Cold-EEZE is a homeopathic lozenge that dissolves in your mouth. It sits there for a long time. Some people don't like the taste of it and it's homeopathic. Only about 6% of the country even buys homeopathic products. So it's a small market. I had to turn around and grow a brand with a very small target market and did it.

但 Cold-EEZE 是一種在口中溶解的順勢療法藥片。它坐在那裡很長時間。有些人不喜歡它的味道，而且它是順勢療法的。該國祇有大約 6% 的人購買順勢療法產品。所以這是一個很小的市場。我必須扭轉局面，發展一個目標市場非常小的品牌，而我做到了。

And just to show you, not to toot my own horn, but I sold that brand for $50 million. I had it doing a fair amount of -- a very fair amount of revenues. It was growing and profitable. That business is now doing a small fraction of what it did when I turned around. I don't want to go into more details. We do still manufacture Cold-EEZE. I still believe in it and I still take it myself. Equivir though is not homeopathic and it's not a lozenge.

只是為了給你們看一下，不是為了吹噓我自己，我以 5000 萬美元的價格出售了該品牌。我透過它獲得了相當多的收入——非常多的收入。它不斷成長，並且獲利。現在，這項業務的營收規模僅為我轉手時的一小部分。我不想談論更多細節。我們仍然生產 Cold-EEZE。我仍然相信它，我仍然自己服用它。但 Equivir 不是順勢療法藥物，也不是藥片。

So the market, the target market is probably 5 times the size of the market that Cold-EEZE would sell to. The number of consumers we can sell to is probably 5 times as many. The results have been phenomenal. I don't -- won't go into more details now, except to tell you that we tested it during the cough/cold season. two arms. One was as a therapeutic, meaning if you got sick, you either took Equivir or you took a placebo. It turned out this is just preliminary results. The preliminary results show that if you took Equivir, you're sick half as many days. And that included for cough, cold, flu and COVID. We will not be able to make COVID claims, but we will be able to publish the study. The results will speak for itself. That's as a therapeutic.

因此，目標市場可能是 Cold-EEZE 銷售市場規模的 5 倍。我們能夠銷售產品的消費者數量可能增加了5倍。其成果令人矚目。現在我不想談論更多細節，只想告訴你，我們在咳嗽/感冒季節對其進行了測試。兩隻手臂。一種是作為治療，也就是說，如果你生病了，你可以服用 Equivir，或是服用安慰劑。原來這只是初步成果。初步結果顯示，如果您服用 Equivir，生病的天數會減少一半。其中包括治療咳嗽、感冒、流感和新冠肺炎。我們將無法提出 COVID 聲明，但我們將能夠發表這項研究。結果將不言而喻。這是一種治療效果。

Then as a prophylactic, meaning you take it every day, turned out the group that took Equivir got less sick. There were less incidences of getting sick of everything from, as I said, cough, cold, flu, COVID compared to those taking the placebo. So the results -- I'm really excited about the results. I can't wait to roll out this product.

然後，作為一種預防措施，也就是每天服用它，結果發現服用 Equivir 的組別病情較輕。正如我所說，與服用安慰劑的人相比，患有咳嗽、感冒、流感、新冠肺炎等疾病的幾率較低。所以結果——我對結果感到非常興奮。我迫不及待地想要推出這個產品。

Okay. And I just talked about the Equivir clinical trial and the timeline. I already covered all of that. The investment highlights, you get it. I just want to wrap up with -- and I've really gone through all of this, but I think it's important, especially given the stock price and people like, oh, what's going on? I have never been more bullish on the future of our company than I am right now with the assets that we are developing. We have never had the wealth of assets that we have now and we've never had the potential that we have now. And it's not like these are pie in the sky assets that maybe get commercialized in three, five years and require tens of millions of dollars.

好的。我剛才談到了 Equivir 臨床試驗和時間表。我已經講完了所有這些。投資亮點，你懂的。我只是想總結一下——我確實經歷了這一切，但我認為這很重要，特別是考慮到股價和人們會問，哦，發生了什麼事？鑑於我們正在開發的資產，我對公司的未來從未像現在這樣充滿信心。我們從來沒有擁有過現在這麼多的資產，也從來沒有擁有過現在這麼多的潛力。這些並不是不切實際的資產，不需要三、五年就能商業化，也不需要數千萬美元的投入。

So, if you can't tell, I'm enthusiastic about what we have, I think our future is very bright and I am going to focus on making sure that financially going forward. We took a lot of expense. I don't even want to say where I don't, you know, I have to be very sensitive about what I talk about now, but I can tell you that our financials, I have the ability to make our financials improve very significantly very soon. And that's my goal and that's what I'm going to do for you as a shareholder. And that's what I'm going to do for me as the largest shareholder in the company. So I'm sure there's a bunch of questions out there. Let's get to as many questions as we can.

所以，如果你不知道的話，我對我們所擁有的一切充滿熱情，我認為我們的未來非常光明，我將專注於確保未來的財務狀況。我們花了很多錢。我什至不想說我不知道的地方，你知道，我必須對我現在談論的內容非常敏感，但我可以告訴你，我們的財務狀況，我有能力讓我們的財務狀況很快得到顯著改善。這就是我的目標，這就是我身為股​​東要為你們做的事情。這就是我身為公司最大股東要做的事。所以我確信大家還有許多疑問。讓我們盡可能多回答問題。

Thank you, Ted, for the presentation. We will now begin the Q&A. The first question is, how is DNA Complete different from Nebula? Is there a pathway for Nebula customers to switch to DNA Complete?

謝謝泰德的演講。我們現在開始問答環節。第一個問題是，DNA Complete 與 Nebula 有何不同？Nebula 客戶有沒有途徑轉換到 DNA Complete？

The key difference, think of -- look, we decided to develop DNA Complete and DNA Expand. Think of it as a well, first of all, we have the enhanced ancestry, which Nebula never had. We have more health reports with DNA Complete.

關鍵的區別在於，想想看——看，我們決定開發 DNA Complete 和 DNA Expand。想像一下，首先，我們擁有增強的祖先，這是星雲從未有過的。我們擁有更多有關 DNA Complete 的健康報告。

And with DNA Expand, we have this incredible opportunity of this amazing potential cash flow generating business with incredibly high margins where we're going after the ancestry customers. So it's really an entire it's an entirely new business.

而透過 DNA Expand，我們有了這樣一個難以置信的機會，那就是開展一項具有驚人潛在現金流生成能力的業務，其利潤率極高，我們的目標是祖先客戶。所以這實際上是一個全新的業務。

We formed DNA Complete and Expand completely separate from Nebula. So Nebula, think of that as we're still going to use the Nebula lab going forward, but we can also use other labs if we want to. So we have a lot of flexibility now with DNA Complete and DNA Expand. It also gives me a lot of flexibility with what we do with Nebula in the laboratory.

我們成立了 DNA Complete 和 Expand，與 Nebula 完全分開。所以星雲，想想看，我們今後仍將使用星雲實驗室，但如果我們願意，我們也可以使用其他實驗室。因此，我們現在對 DNA Complete 和 DNA Expand 擁有很大的靈活性。這也讓我在實驗室中對星雲進行研究時具有很大的彈性。

So it's I really have the best of the both worlds and I have a lot of flexibility now. These are completely independent companies of each other. They are both wholly-owned subsidiaries of ProPhase Labs.

所以我現在確實可以兼得兩全其美，而且擁有很大的彈性。這些都是彼此完全獨立的公司。它們都是 ProPhase Labs 的全資子公司。

Can we expect initial sales figures for DNA complete in Q4?

我們能否預期 DNA 第四季的初始銷售數據？

So we yeah, well, look, we're going to report Q4 -- whenever we report Q4, I would imagine we will certainly break-out DNA Complete DNA Expand sales. I'm not the CFO, but I believe we'll probably break them out. But having said that, we're just launching this now mid-November. And so it's going to take some time to get some traction.

所以，是的，好吧，看，我們將報告第四季度 - 無論何時我們報告第四季度，我想我們肯定會公佈 DNA Complete DNA Expand 的銷售額。我不是首席財務官，但我相信我們可能會把它們分開。但話雖如此，我們只是在 11 月中旬才推出這個產品。因此，需要花費一些時間來獲得一些支持。

So we should get some traction over the next six weeks. And especially because it's the holiday season, which again, is another reason why I wanted to get some money in the door so that we could be aggressive with the advertising, immediately put a block of money into the advertising so that our social media and marketing team could ramp up immediately with that. So we're still tweaking the website and the logistics of it. At the same time, we're ramping up.

因此我們應該在接下來的六週內取得一些進展。尤其是因為現在是假期，這也是我想要籌集一些資金的另一個原因，這樣我們就可以積極進行廣告宣傳，立即將大量資金投入廣告宣傳，以便我們的社交媒體和行銷團隊可以立即加大力度。因此我們仍在調整網站及其物流。同時，我們正在加大力度。

What was the cost for launch that marketing for DNA complete?

DNA Complete 的行銷發布成本是多少？

What was the cost? Okay. So you got to understand, this has been a work in progress for quite some time. As I said, we collaborated with Stu Hollenshead back when he left Barstool Sports. He's now the CEO of a marketing company that has very nice potential. And at the same time, he's a consultant to us. It's a great relationship. And so we've been working with him and building all year. It's more Jason than me. The two of them work very closely together every day.

費用是多少？好的。所以你必須明白，這項工作已經進行了相當長一段時間了。正如我所說，當 Stu Hollenshead 離開 Barstool Sports 時我們就與他合作過。他現在是一家很有潛力的行銷公司的執行長。同時他也是我們的顧問。這是一種很好的關係。因此我們整年都和他合作並進行建設。這更像是傑森而不是我。他們兩個每天都緊密合作。

And so we get the best of both worlds. We get to leverage all that expertise and all the infrastructure of Stu's company, which is 10PM Curfew. And it's just a great situation for us. So this has been building all year.

這樣我們就實現了兩全其美的結果。我們可以利用 Stu 公司的所有專業知識和所有基礎設施，這就是 10PM Curfew。這對我們來說是一個很好的情況。所以這已經建造了一整年了。

So in terms of the expense, we've been spending on this all year. In terms of the expense now, what you do is you spend money on marketing and then you see the results. And based on the results, you have to tweak it. They've already been doing -- quietly doing some testing long before now, but now they really start to ramp up.

所以從費用方面來說，我們全年都在花這筆錢。就現在的費用而言，你所做的就是把錢花在行銷上，然後你就會看到結果。並且根據結果，您必須對其進行調整。他們早就已經開始悄悄地進行一些測試，但現在他們才真正開始加強。

And based on testing and seeing where you're getting a positive return on your advertising dollars and where you're getting a negative return, obviously, you optimize to where you're getting a positive return and then you advertise more and more.

透過測試，您可以了解廣告費用在哪些地方產生正回報，在哪些地方產生負回報，然後，顯然，您可以進行優化，以獲得正回報，然後再投放越來越多的廣告。

And then as you're generating revenues and cash flow, you keep growing the advertising. That's exactly what I did with Cold-EEZE many years ago. But when I did it, I mostly did it with TV, social media and online and podcast. Honestly, that's not my thing. To me, that's more of a young person's. I'm being honest. We're probably going to do TV radio. When we do, I will be heavily involved in that.

然後，當你產生收入和現金流時，你會不斷增加廣告。這正是我多年前對 Cold-EEZE 所做的事情。但當我這樣做時，我主要透過電視、社群媒體、網路和播客來做。說實話，那不是我的事。對我來說，這更像是年輕人的做法。我很誠實。我們可能會做電視廣播。當我們這樣做時，我將深度參與其中。

I also have some very strong beliefs on how to advertise. It's critically important that you create an effective message in the way you do that with a lot of test marketing. And then once you create a highly effective message, you have to deliver that message efficiently. If you're spending a lot of money on the advertising to get the word out, it's not going to be efficient, you're going to have a low ROI.

我對如何做廣告也有一些非常堅定的信念。透過大量的測試行銷來創建有效的資訊至關重要。一旦您創建了高效的訊息，您就必須有效地傳遞該訊息。如果您在廣告上投入大量資金來傳播訊息，那麼效率不會很高，投資報酬率也會很低。

So it's important to have an effective message and then deliver that message as efficiently as possible. I used to buy remnant time on TV and radio all the time. I was paying less than anybody. Zicam was a big competitor of ours. We gained significant market share on them when I was building the Cold-EEZE brand, even though I have one-fifth the budget that they did.

因此，擁有有效的資訊並儘可能有效率地傳遞該訊息非常重要。我經常在電視和廣播上購買剩餘時間。我付的錢比任何人都少。Zicam 是我們最大的競爭對手。當我打造 Cold-EEZE 品牌時，儘管我的預算只有他們的五分之一，但我們卻獲得了相當大的市場份額。

So, we're basically going to do the same kind of things with the same sophistication in rolling out DNA Complete and DNA Expand. And then I'm really excited when we roll out Equivir. I think Equivir is going to be a no-brainer. At the same time that we're selling that online, we're then going to ultimately work it into the 40,000 food, drug and mass retail stores.

因此，在推出 DNA Complete 和 DNA Expand 時，我們基本上會以相同的複雜程度做同樣的事情。當我們推出 Equivir 時我真的很興奮。我認為 Equivir 是明智之舉。我們在網路上銷售的同時，最終將其推廣到 40,000 家食品、藥品和大眾零售商店。

The next question for you is, any prospect to screen for more than just esophageal cancer for the BE-Smart test?

您的下一個問題是，BE-Smart 測試除了篩檢食道癌之外，還有其他用途嗎？

So look, there are a lot of directions that we could go in, but my goal right now is to limit capital expenditures going forward. As I said in the press release, my first goal is to cut out about $6 million of overhead and expenses going forward. My goal is to do that before year-end as the run rate going into next year. That's point 1. So point 2, the last thing I want to do is develop new initiatives that's going to cost us millions of dollars. I just don't believe in it. If you see, 23andMe is struggling right now.

所以看，我們可以有很多選擇，但我現在的目標是限制未來的資本支出。正如我在新聞稿中所說，我的第一個目標是削減約 600 萬美元的管理費用和支出。我的目標是在年底前完成這個目標，作為明年的運行率。這是第 1 點。所以第二點，我最不想做的事情就是製定會花費我們數百萬美元的新措施。我就是不相信它。如果你看到的話，23andMe 現在正陷入困境。

They're not struggling because of selling their ancestry test. If they just stayed to selling ancestry tests, they probably would have made a fortune. They'd be a great company with a big market cap. They got into drug development. That's what got them into trouble.

他們並沒有因為出售血統測試而陷入困境。如果他們只是繼續銷售血統測試，他們可能會賺一大筆錢。他們會成為一家擁有巨大市值的偉大公司。他們開始從事藥物研發。這就是他們陷入困境的原因。

So the last thing I want to do is follow in the mistakes of these other companies. And by the way, with 23andMe struggling, that's a real opportunity for us because we can go after their customers with our DNA Expand product. So this is a real opportunity for us. So the bottom-line is, I don't want to develop high -- very expensive drugs. We do have one actually, a cancer therapeutic called Linebacker, where we've got great preliminary results, but I will not spend a lot of money on that.

所以我最不想做的事就是重複其他公司的錯誤。順便說一句，23andMe 陷入困境，但這對我們來說是一個真正的機會，因為我們可以用我們的 DNA Expand 產品來吸引他們的客戶。所以這對我們來說是一個真正的機會。所以底線是，我不想開發非常昂貴的藥物。我們確實有一種方法，稱為 Linebacker，是一種癌症治療藥物，我們已經取得了很好的初步成果，但我不會在該藥物上花很多錢。

Our goal really is to partner that. I don't want to shoulder the expense. So by the same token with our esophageal cancer test, I don't want to shoulder the expense of going in another direction other than there may be other delivery technologies for using our test that don't necessarily require an endoscopy like a brush that goes down your throat that still picks up the tissue specimens and we can run the test without an actual endoscopy.

我們的目標確實是與此合作。我不想承擔這筆費用。因此，對於我們的食道癌測試，同樣地，我不想承擔其他方向的費用，除非我們的測試有其他的傳輸技術，而這些技術並不一定需要內視鏡檢查，就像一把刷子插入你的喉嚨，仍然可以拾取組織樣本，我們可以在沒有實際內視鏡檢查的情況下進行測試。

So there are ways that we're looking into. But the key is, we have the IP on the 8 proteins. And if anybody really wants an accurate esophageal cancer test -- and just so you understand, I didn't really explain this with the blood test earlier.

我們正在研究一些方法。但關鍵是，我們已經掌握了這 8 種蛋白質的智慧財產權。如果有人真的想要進行準確的食道癌檢測——為了讓你們理解，我之前並沒有真正用血液檢測來解釋這一點。

The esophageal cancer grows in your esophageal tissue, it doesn't grow in the blood. It takes time for the disease to go into the blood. And by the time it seeps into the blood, you have so much blood in your body, it gets diluted. So a lot has to go into your blood before a blood test is going to pick it up.

食道癌生長在食道組織中，而不是在血液中生長。疾病進入血液需要時間。當它滲入血液時，由於你體內的血液太多，它會被稀釋。因此，在血液檢查能夠檢測出之前，必須有大量物質進入你的血液。

So the key, though, is that tissue is getting to the tissue. So there may be other ways of testing for esophageal cancer. But I believe it really needs our test because our test is the one with the IP on the 8 key proteins associated with esophageal cancer. I don't see how -- it will be very difficult to develop an esophageal cancer test that's as accurate as ours that doesn't study the proteins that we have the IP on.

因此，關鍵在於組織如何到達組織。因此可能還有其他檢測食道癌的方法。但我相信它確實需要我們的測試，因為我們的測試是針對與食道癌相關的8種關鍵蛋白質的IP。我不知道如何——開發一種像我們的一樣準確的食道癌測試，如果不研究我們擁有 IP 的蛋白質，將會非常困難。

And then at the same time, as I said, the blood, no way it's as accurate because too many false negatives, too many false positives. But it could be a first test that you take before you get the endoscopy from the GI

同時，正如我所說，血液檢測不可能那麼準確，因為假陰性和假陽性太多。但這可能是你在接受胃腸道內視鏡檢查之前要做的第一次檢查

Who are the shares in the financing sold to? How much stock did ThinkEquity get? And how much were they paid to handle the financing?

融資中的股份賣給誰了？ThinkEquity 獲得了多少股票？他們為處理融資得到了多少錢？

So look, it's a standard investment banking deal. The investors were institutional investors. These are clients of ThinkEquity. I met with a lot of them. So a part of what happened here was that I went to a ThinkEquity conference. So there are actually a couple of delays in this raise and it's a part of why the timing got a little screwed up.

看起來，這是一項標準的投資銀行交易。投資者均為機構投資者。這些是 ThinkEquity 的客戶。我見過他們中的很多人。這裡發生的部分事情是我參加了 ThinkEquity 會議。因此，這次升息實際上有幾次延遲，這也是時間安排有點混亂的原因之一。

But I went to a ThinkEquity conference about 1.5 weeks before, I met with a ton of institutional investors, had great meetings with them. Then we had the election and then we did the raise. So the bottom-line is I don't have a list yet. I'll probably get a list. I don't have a list yet of who the investors are, but they are typical institutional investors that are clients of ThinkEquity.

但我在大約 1.5 週前參加了一次 ThinkEquity 會議，見到了大量機構投資者，與他們進行了非常愉快的會面。然後我們進行了選舉，然後我們進行了加薪。所以底線是我還沒有清單。我可能會得到一份清單。我還沒有投資者名單，但他們是 ThinkEquity 的典型機構投資者客戶。

Equity. what is the basis of your forecast to do $15 million and pre-tax profit of $5 million? How do you arrive at that number?

公平。您預測營收為 1500 萬美元、稅前利潤為 500 萬美元的依據是什麼？您是如何得出這個數字的？

it's actually pretty straightforward. We have more customers than we can handle. We've been increasing prices on them. We have a new customer who, as I mentioned, they tell us that they are the largest seller of lozenges on Amazon.

事實上它非常簡單。我們擁有的客戶數量超出了我們的處理能力。我們一直在提高它們的價格。我們有一位新客戶，正如我所提到的，他們告訴我們他們是亞馬遜上最大的錠劑賣家。

And they're giving us as much business we can get and it's high margin business. So we're really -- we're just looking at our capacity of our first line. And by the way, we added automation equipment to increase our capacity. We're also adding shifts.

他們給我們盡可能多的業務，而且是高利潤的業務。所以我們實際上——我們只是在關注我們第一條生產線的產能。順便說一下，我們增加了自動化設備來提高產能。我們還增加了班次。

So those are really just number calculations as to how many shifts, how much product is manufactured per shift, et cetera, and then what are we charging for it and then what's the cost of ingredients. So you put that all together, and you come up with numbers.

所以這些其實只是數字計算，有多少班次，每個班次生產多少產品等等，然後我們收取多少費用，然後原料成本是多少。所以你把所有這些放在一起，就得出了數字。

But understand, this isn't like we're guessing if more customers come to us. These are customers that we already have. As I said, we have one large customer that will take all the capacity we can give them right now and we're accepting orders right now through April of next year. So we already know our entire book of business and what we charge our customers through April of next year.

但要明白，這並不像我們猜測的那樣，是否會有更多的客戶來找我們。這些都是我們已經擁有的客戶。正如我所說的，我們有一個大客戶，他將佔用我們現在所能提供的所有產能，我們現在接受訂單直到明年四月。所以，我們已經了解了我們的全部業務以及到明年四月我們向客戶收取的費用。

So -- and the other thing I would mention is, typically, in the lozenge business, it's seasonal. So consumers are buying the product in the cough/cold season, let's say, fourth quarter, first quarter. So the retailers want to stock the shelves with it starting just before the fourth quarter, so in the third quarter. So a lot of the manufacturing really takes place third and fourth quarters.

所以 — — 我想提到的另一件事是，通常，在錠劑業務中，它具有季節性。因此消費者會在咳嗽/感冒季節購買產品，例如第四季、第一季。因此零售商希望在第四季之前，也就是第三季開始將其庫存上架。因此許多製造業實際上發生在第三季和第四季。

So second quarter is typically a down -- a very down quarter seasonally, but we're now adding new non-seasonal customers. It turns out there are companies in the dietary supplement space who are selling capsules and gummies and other forms that don't have a lozenge form that now want to get into lozenges too.

因此，第二季度通常是一個下滑季度——從季節性來看，這是一個非常下滑的季度，但我們現在正在增加新的非季節性客戶。事實證明，膳食補充劑領域中有些公司正在銷售膠囊、軟糖和其他沒有錠劑形式的產品，現在它們也想進軍錠劑市場。

Lozenges are becoming a more and more popular form. Not that they're overtaking these other forms. So for example, I didn't really mention, this is one of the reasons I'm so bullish on Equivir. It's not just that our target market is so much bigger because we're not -- it's not a homeopathic product, but also we're capsules. Everybody takes capsules. They're really easy to take. Some people love lozenges, some people hate them. Everybody -- nobody -- almost no one has a problem with the capsule, you just swallow. It's really easy to do. So it's one of the most popular forms.

錠劑正成為越來越受歡迎的劑型。這並不意味著它們會取代其他形式。例如，我實際上沒有提到，這就是我如此看好 Equivir 的原因之一。這不僅是因為我們的目標市場更大——它不是順勢療法產品，而且我們是膠囊。每個人都服用膠囊。它們確實很容易服用。有些人喜歡含片，有些人討厭含片。每個人 - 沒有人 - 幾乎沒有人會對膠囊產生任何問題，只需吞下它即可。這真的很容易做到。所以它是最受歡迎的形式之一。

So the bottom-line is we have all of these orders and we have the capacity and we know what we're charging. So it just becomes a numbers game. It's not like we have to guess, are we going to have orders? So -- and then the beauty of our second manufacturing line, we're negotiating with the brand to take up the entire capacity. And in fact, they're talking about they want in years -- and they're talking about a five-year contract. They're talking about by year three, they expect us to have a third line and they want to take up some of that too. They're talking about growing to $30 million, $35 million a year in revenues. And that's in addition to what we're doing on the first line.

因此，最重要的是我們擁有所有這些訂單，我們擁有產能，我們知道我們的收費標準。所以這只不過是一場數字遊戲。我們不用猜，我們會有訂單嗎？所以——我們的第二條生產線的美妙之處在於，我們正在與品牌商協商，以佔用全部產能。事實上，他們談論的是他們想要的年薪——他們談論的是一份五年合約。他們談論的是到第三年，他們希望我們能擁有第三條生產線，而且他們也希望採用其中的一些。他們談論的是年收入成長到3000萬美元、3500萬美元。這是我們在第一行所做工作的補充。

So -- and understand, the reason why we can do more in the second line, it's two-fold. One, it's much more efficient, it's new equipment and it requires less labor. So it's much more efficient, the capacity is significantly greater and our margins are greater on the second line. On the other hand, if we do all the business with one large brand, they're going to want us to charge them less than if we had 15 customers. It's also a lot easier for us if we're not constantly switching customers. Every time you switch a customer, you need downtime to clean the equipment and machinery. All the labor has to know how and learn how to manufacture the intricacies of each different product, et cetera, et cetera, et cetera.

所以 — — 請理解，我們之所以能夠在第二行做更多的事情，有兩個原因。一是效率更高，設備更新，所需勞動力更少。因此，它的效率更高，產能顯著提高，第二條生產線的利潤也更高。另一方面，如果我們所有的業務都與一個大品牌進行，他們會希望我們收取的費用比我們有 15 個客戶時要低。如果我們不經常更換客戶的話，對我們來說也會容易得多。每次更換客戶時，您都需要停機時間來清潔設備和機器。所有勞工必須知道如何並學習如何製造每種不同產品的複雜部件，等等，等等，等等。

So the second line is much more efficient. We charge less. So our margins might be less. The volume is greater and the margins are less, but it's a really nice profitable business as well. So these numbers -- and that's why my point is, private equity loves a business like this because you can see visibly what the growth could look like.

所以第二行效率更高。我們的收費較低。因此我們的利潤可能會更少。雖然銷量較大，利潤較小，但這也是一項非常有利可圖的業務。所以這些數字——這就是我的觀點：私募股權喜歡這樣的業務，因為你可以清楚地看到成長情況。

If they're willing to invest, especially in the third line, you can see what the business looks like for the next two, three, four, five years, exactly what they want. So what they do is they say to themselves, okay, we buy it for $50 million. We're going to finance it. What's the interest cost on the financing? How much CapEx do we have to spend? And what's the business worth in three to five years? And guess what, the return on it could be enormous.

如果他們願意投資，特別是在第三線投資，你可以看到未來兩、三、四、五年的業務狀況，這正是他們想要的。所以他們就會對自己說，好吧，我們以 5000 萬美元的價格買下它。我們將為其提供資金。融資的利息成本是多少？我們需要花費多少資本支出？那麼三到五年後該企業的價值是多少？你猜怎麼著，它的回報可能是巨大的。

So the next question people are asking me is, well, then why sell? I may not sell it. It all depends on the finances of the company. I don't want to be strapped for cash. I don't want people upset because I do capital raise. I don't want to do capital raises, I want a liquidity event. Now the easiest liquidity event that is the most reliable is the sale of PMI, and that honestly is what I'm focused on.

所以人們問我的下一個問題是，那為什麼要賣呢？我可能不會賣它。這一切都取決於公司的財務狀況。我不想陷入資金短缺的境地。我不想讓人們因為我確實籌集了資金而感到不高興。我不想籌募資金，我想要流動性事件。現在最簡單、最可靠的流動性事件是 PMI 的出售，老實說，這也是我關注的重點。

Because once I sell that -- I don't know if I'm allowed to say this or not allowed to say this, but I'll just tell you, if we sell PMI and our stock is anywhere near these price, I'll buy back every single share that was issued last week and more, and I've done it before. I bought back an enormous amount of stock over the years. I can't wait for next year, we have a liquidity event.

因為一旦我賣掉它——我不知道我是否可以這麼說，但我只想告訴你，如果我們出售 PMI 並且我們的股票接近這個價格，我會回購上週發行的每一股股票，而且我以前也這樣做過。這些年來我回購了大量股票。我等不及明年了，我們有一個流動性事件。

I don't want to -- I don't think I'm allowed to say I'm definitively going to do it and I don't want people to buy the stock today because I'm going to do it. But I want to explain to you how I think as a CEO and as the largest shareholder, my background is on Wall Street and investment banking. I promise you, I know what I'm doing.

我不想——我不認為我可以說我一定會這麼做，而且我不希望人們因為我會這麼做而今天買股票。但我想向你們解釋我的想法，作為執行長和最大股東，我的背景是華爾街和投資銀行。我向你保證，我知道自己在做什麼。

And I promise you if the stock is anywhere near these prices when we have a liquidity event, forget about it, all right? I will buy up every share that anybody -- in fact, when I sold the Cold-EEZE brand, I did a Dutch auction. The Dutch auction is where you say to everybody publicly, I'll buy back your stock. I did the Dutch auction and there was one shareholder that had 14.9% of the shares outstanding, and I didn't get along with him. And so when we were done with the Dutch auction, it was slightly oversubscribed and I didn't take them out of all the stock. So I did a second Dutch auction, all right?

我向你保證，如果我們出現流動性事件時股票價格接近這些價格，那就忘掉這件事吧，好嗎？我會買下任何人擁有的每一股股份——事實上，當我出售 Cold-EEZE 品牌時，我進行了荷蘭式拍賣。荷蘭式拍賣就是你公開地對所有人說，我將回購你的股票。我進行了荷蘭式拍賣，有一位股東擁有 14.9% 的流通股，我與他相處得不好。因此，當我們完成荷蘭式拍賣時，認購量略有超額，我並沒有把所有股票都拿出來。所以我進行了第二次荷蘭式拍賣，好嗎？

So my point is that's my history. I can't guarantee what I'm going to do in the future. And I'm sure the SEC doesn't want me talking about how I might do a stock buyback in the future. But what I can tell you is look at my history of what I've done in the past. There's no reason why I wouldn't repeat that.

我的觀點是，這就是我的歷史。我無法保證我將來會做什麼。我確信美國證券交易委員會不希望我談論未來如何回購股票。但我可以告訴你的是看看我過去所做的事情。我沒有理由不重複這一點。

And there's no reason why the same thing that happened over the last decade isn't going to happen again. The difference is instead of having one small asset that I turned around and sold for $50 million, I have 4 or 5 assets that I can build and several of them I believe I can sell for a hell of a lot more than that.

沒有理由說過去十年發生過的事情不會再發生。不同之處在於，我不再擁有一項小資產，然後將其轉手以 5,000 萬美元的價格出售，而是擁有 4 或 5 項可以構建的資產，其中有幾項我相信可以賣出比這高得多的價格。

For the esophageal cancer test. Could you provide more detail on the nature and scope of the partnerships with two major cancer diagnostic companies. What milestone should investors anticipate in terms of validation, market access and potential insurance reimbursement timelines.

用於食道癌檢查。您能否詳細介紹與兩家主要癌症診斷公司合作的性質和範圍。在驗證、市場准入和潛在保險報銷時間表方面，投資者應該期待什麼里程碑。

it's kind of premature and I don't like to mislead anybody and I don't -- with Pharmaloz, it's a done deal that we're putting it up for sale and that we're aggressively along. So not that we're guaranteed to sell it, but I can tell you definitively, it's up for sale. And so it's appropriate for me to say it's up for sale. These are the numbers and these are my expectations.

現在有點為時過早，我不想誤導任何人，我也不想——對於 Pharmaloz，我們已經確定會出售它，而且我們會積極參與。因此我們不能保證能賣掉它，但我可以肯定地告訴你，它是可以出售的。因此我可以很恰當地說它是待售的。這些是數字，這些是我的期望。

With the BE-Smart Esophageal Cancer Test, we go in one of two directions. We either commercialize it ourselves, partner it after we commercialize or we partner now. Now from my way of thinking, we're far along in the development stage of this. This is when large multi-billion-dollar companies want to partner just before commercialization.

透過 BE-Smart 食道癌測試，我們可以朝兩個方向發展。我們要么自己將其商業化，要么在商業化之後尋找合作夥伴，要么現在就與合作夥伴合作。現在，從我的想法來看，我們已經在這個開發階段取得了巨大進展。這是當大型價值數十億美元的公司希望在商業化之前合作的時候。

The reason I like the idea of partnering is because these large companies already have this massive infrastructure in place. They have the sales force. They're already going into the GI's offices, the physicians' networks. They have the relationships with the insurance payers, with the key opinion leaders, et cetera, et cetera, et cetera. Very easy for them to commercialize our test.

我喜歡合作想法的原因是這些大公司已經擁有龐大的基礎設施。他們有銷售團隊。他們已經進入了胃腸病辦公室和醫生網絡。他們與保險支付者、關鍵意見領袖等等都有關係。他們很容易就將我們的測驗商業化。

At the same time, I know that there are multiple colon cancer diagnostic testing companies that are dying to get into the esophageal cancer space. It is a perfect fit. You all know with the colonoscopy, how that's performed. Well, that goes up one way. In the endoscopy, they go down your throat, it's going down the other way. They want to get you coming and going, not my joke. But seriously, these companies want an esophageal cancer test and we got the proprietary IP that they need.

同時，我知道有多家結腸癌診斷檢測公司都渴望進入食道癌領域。它非常合適。大家都知道大腸鏡檢查是如何進行的。嗯，這是往上走的。在內視鏡檢查中，它們會進入你的喉嚨，然後從另一個方向進入。他們想讓你來來去去，這不是我的笑話。但說真的，這些公司想要進行食道癌測試，而我們獲得了他們需要的專有智慧財產權。

So, the question is, if our market is a potential $7 billion to $14 billion market, one of these large companies could potentially three years from now, they could build our test. We commercialize it in roughly a year. Two years out, it could be doing easily hundreds of millions of dollars in revenues on its way to $1 billion in revenues. Just imagine, I don't know what our royalty would be.

所以，問題是，如果我們的市場是一個潛在的 70 億到 140 億美元的市場，那麼這些大公司中的一家可能在三年後就能建立我們的測試。我們大約用一年的時間將其商業化。兩年後，它的營收很容易就達到數億美元，甚至達到 10 億美元。試想一下，我不知道我們的皇室財產會是多少。

Hypothetically, there are some industry standards in there, like a $25 million or $50 million upfront, a milestone when you actually commercialize. And then it could be a 7% royalty. 7% royalty on $1 billion is $70 million a year. I'm not going to say that we're going to get $70 million a year for esophageal cancer test in royalties.

假設其中有一些行業標準，例如 2500 萬美元或 5000 萬美元的預付款，這是實際商業化時的里程碑。然後它可能會是 7% 的版稅。 10 億美元的 7% 特許權使用費就是每年 7,000 萬美元。我不會說我們每年會從食道癌檢測中獲得 7000 萬美元的專利費。

By the same token, if instead of $1 billion test, it's only $100 million -- we can do a $100 million test by ourselves, by the way. I don't think we need a large company. I think we'll get to $100 million a year by ourselves. But let's suppose we partner it. When they first get to $100 million in revenues, you know it's going to grow to $200 million and $500 million. But even at $100 million, it's a $7 million a year of free earnings cash flow for our company. That alone would make our company worth 5x its current value or 10x or whatever it is.

同樣的，如果不是花費 10 億美元進行測試，而是只花費 1 億美元——順便說一下，我們自己就可以進行 1 億美元的測試。我認為我們不需要一家大公司。我認為我們每年就能達到 1 億美元。但讓我們假設我們與它合作。當他們的收入首次達到 1 億美元時，你就知道它會成長到 2 億美元和 5 億美元。但即使是 1 億美元，對我們公司來說，每年也能有 700 萬美元的自由獲利現金流。僅此一項就會使我們公司的價值達到現在的 5 倍或 10 倍，或其他數字。

So the idea of partnering, it just speeds up and accelerates the valuation of the test and at the same time gives it more upside because the risk reward partnering with a large company probably significantly reduces the risk and still gives you a lot of upside, maybe not as much as on our own. But I think that if we partner, they'll make it a much bigger test than we will by ourselves. And then the truth of the matter is if we did it by ourselves, ultimately in a couple of years, we'd probably sell it anyway.

因此，合作的想法只是加速了測試的估值，同時為它帶來了更多的上行空間，因為與大公司合作的風險回報可能會顯著降低風險，但仍然給你帶來很多上行空間，也許沒有我們自己合作那麼多。但我認為，如果我們合作的話，他們會為我們帶來比我們單獨面對更大的考驗。事實是，如果我們自己做的話，最終在幾年後，我們可能會把它賣掉。

So Hunter Diamond specifically asked though who we're talking to. I will just tell you they are multi-billion-dollar cancer diagnostic testing companies. And it's somewhat preliminary, but my guess is preliminary could accelerate very, very quickly. There could be a competition for it. Again, I don't want to jump the gun and I don't want to say that we're going to do this. I am very confident in selling PMI because the revenues and numbers are there right now and I know that there's a long list of potential buyers. With our esophageal cancer test, let's see how the next month goes with discussions.

因此，亨特·戴蒙德特別詢問了我們正在與誰交談。我只想告訴你，他們是一家價值數十億美元的癌症診斷檢測公司。這還只是初步階段，但我猜初步階段可能會加速得非常非常快。這可能會引發一場競爭。我再說一遍，我不想操之過急，也不想說我們會這樣做。我對出售 PMI 非常有信心，因為目前其收入和數據都很好，而且我知道有很多潛在買家。透過我們的食道癌測試，讓我們看看下個月的討論情況如何。

Hopefully, I'll have something really positive to say about it and we'll see over the course of the next two, four, six weeks. Anecdotally, I'll tell you that our consultants at FHC sent me some cryptic note like yesterday. And I said, what do you mean? What do you mean? And he just kind of repeated with a smile. I know he's making progress and I'll see what that means. So we have real -- the bottom-line is we have real potential there and I'm excited about it. Thanks.

希望我能對此做出一些正面的回應，我們將在接下來的兩週、四周、六週內拭目以待。據我所知，FHC 的顧問昨天給我發了一些神秘的便條。我說，你的意思是什麼？你是什​​麼意思？他只是微笑著重複。我知道他正在取得進步，我會看看這意味著什麼。因此，我們有真正的——底線是我們在那裡有真正的潛力，我對此感到興奮。謝謝。

To Well, that concludes our Q&A session for today. But before we go, I will turn back the floor to you, Ted for final remarks.

好了，今天的問答環節到此結束。但在我們離開之前，我會把發言權交還給泰德，請你做最後的發言。

As you can tell, I'm really optimistic for the future. The assets we have under development speak for themselves. They are late stage. The difference with us and other biotech is, first of all, our manufacturing facility is not biotech. There's no risk associated with it. It's just it's a growing business. Our other businesses, Equivir and Legendz XL, they're not really they're biotech, they're supplements. We have a great platform distribution in place for them. So I'm excited about them. Equivir by itself could be a phenomenal product. Our ProPhase supplements, our ProPhase supps, that business could be a tremendous business that we grow for the next few years.

正如您所看到的，我對未來非常樂觀。我們正在開發的資產是不言而喻的。他們已進入後期階段。我們與其他生技公司的差異在於，首先，我們的製造工廠不是生技工廠。這並不存在任何風險。這只是一個正在成長的業務。我們的其他業務，Equivir 和 Legendz XL，實際上並不是生物技術，而是補充劑。我們為他們提供了出色的平台分銷。所以我對他們感到很興奮。Equivir 本身可能是一種非凡的產品。我們的 ProPhase 補充品、我們的 ProPhase 增補劑，這項業務可能會成為我們未來幾年發展的一項龐大的業務。

So we have a lot going for us. It's all late stage. It's all commercialization now or soon. At the same time, my goal is to significantly reduce overhead and expenses going forward so that we are fiscally conservative going forward. Understand, a part of this is because we should have gotten a block a large block of money in from the government.

因此我們有很多事情要做。一切都已進入後期階段。現在或即將實現全部商業化。同時，我的目標是大幅削減未來的管理費用和開支，以便我們在未來保持財政保守。要知道，部分原因是我們應該從政府那裡獲得一大筆資金。

A lot of my planning, it wasn't that I was sloppy, but a lot of the planning was based on the fact that the government should have paid us significantly more money than it has long ago. And that's disappointing. So now I have to respond accordingly.

我的許多計劃，不是我馬虎，而是基於這樣一個事實：政府早就應該給我們比現在多得多的錢。這真令人失望。所以現在我必須做出相應的回應。

As a responsible CEO, I have to figure out how to adjust to that fact. But that money will come in, when it does, how much comes in, but I'm not going to count on it. I'm not going to wait for it. I want to run the company as if that money isn't coming in.

作為一名負責任的首席執行官，我必須想辦法適應這一事實。但這些錢總是會到賬，至於什麼時候到賬，到賬多少，我都不會指望它。我不會等待它。我想經營這家公司，就好像沒有錢進來一樣。

I am still very confident it's going to, but I have to run the company accordingly. And there are some things we can do where I want to focus on our core assets that are either commercialized or about to be commercialized.

我仍然非常有信心它會實現，但我必須以正確的方式經營公司。我們可以做一些事情，我希望專注於已經商業化或即將商業化的核心資產。

And again, our esophageal cancer test, I don't think that's going to cost a lot. And if we end up partnering, that's not going to cost us anything to commercialize it. To the contrary, we're going to get money upfront. So I'm thinking in terms of being very cost conscious going forward and building our company in a smart way.

再說了，我們的食道癌測試，我認為不會花很多錢。如果我們最終達成合作，那麼我們無需花費任何成本來實現其商業化。相反，我們會預先獲得錢款。因此，我考慮今後要高度重視成本，並以一種明智的方式建立我們的公司。

And with that, again, thank you all. We ran way over time. Everybody, have a great day. I really appreciate your support. And looking forward -- look, next month, I will do another call like this and I should have lots of updates. So check in with Renmark. You can sign-up, it's free and they'll let you know every time we have another presentation coming up. Thank you again. Have a great day.

再次感謝大家。我們遠遠超出了時間。祝大家有個愉快的一天。我非常感謝您的支持。展望未來——看，下個月，我會再打一次這樣的電話，我應該會有很多更新。因此請與 Renmark 聯絡。您可以註冊，它是免費的，並且每次我們有另一個演示時他們都會通知您。再次感謝您。祝你有美好的一天。

Thank you everyone for joining us today for the prophase labs. Third quarter, 2024 results prophase is trading on the NASDAQ under the ticker symbol PRPH. Stay tuned for the next quarterly call and see you next time.

感謝大家今天參加我們的前期實驗室。2024 年第三季業績前期在納斯達克交易，股票代號為 PRPH。請繼續關注下一次季度電話會議，下次再見。