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spk_0: ladies and gentlemen thank you for standing by welcome to the era go inc fourth quarter twenty twenty two earnings conference call i would now like to turn to call over to nick latigo keep retail officer please go ahead
spk_1: good afternoon everyone and welcome to the year ago fourth quarter twenty twenty two earnings conference call as a reminder that about being broadcast live in the digital replay will be available on our i our website joining the antlers color christian guns and president and chief executive officer and animal upon us chief financial officer before we begin i'd like to remind you that some of the matters discussed disgusting the conference call or contain forward looking statements regarding future events as outlined in a press release today we wish to cost knew that that statements are based on management current expectations and beliefs are forward looking in nature are subject to risk and uncertainty and actual event or results may differ materially the factors that could cause actual results are going to differ include but are not limited to factors reference in a press release today as well you're finally that the fcc before turning the collar work a christian i want to make note that we have posted a historical gap to non gaap reconciliation table on our our website in the events and presentation section but that said i will not turn the call over to christian
spk_2: the internet and thank you everyone for joining us today the fourth quarter mark the combination of a pivotal here for a year ago and twenty twenty two we settle our to your yoga investigation and he had our se si fine and with in quincy recapitalize the business to a major finance i added patients square capital as art major shareholder and made meaningful
spk_1: progress i can power most important business priorities perhaps most impactful to the future year ago was a prophecy made on our the teaching evolution into a true only channel business while we continue to seek stable trends and sales to direct to consumer cache customers retail has begun to diversify our ross shipments and leverage our existing be nothing and while still early stage insurance remains a future for change
spk_2: lastly we have retained top talent across the organization despite the challenges our organization of faith given the circumstances we think it's fair to say that year ago has made incredible progress and twenty twenty two and we're excited about the continued evolution of our business and twenty twenty three turning to operational results a business momentum we reported in the third quarter carried into the fall for we established a nationwide physical retail threatens to our partnership with victim in connection with the o t c final rule being published in october
spk_1: and now specific partnership with nations benefit and an early twenties twenty three commercially launched yoko seven our most innovative product yet
spk_2: fourth quarter twenty twenty two net revenue was twelve point nine million dollars up approximately twenty eight percent year over year and over sixty three percent sequential
spk_1: i'll now provide a brief update on our security initiative and the path ahead to twenty twenty three beginning with an update on our retail strategy which is the top organizational priority and twenty twenty three
spk_2: in order to provide some contact let me first briefly recap our brief primary objectives and launching their to be tell channel
spk_1: first level it's existing retail foot traffic and sales price at a national scale drive awareness and education of the ago beckett better target and qualify consumers through in person conversation and a that eight inability of and in store here and swimmer and third accelerate revenue growth bought better defining our past couple of it moving to our partnership with victor one of america's largest while be terrorists early in the fourth quarter we announced our expanded partnership play think the ago infantry and approximately fifteen hundred stores nationwide as a reminder this partnership enable us to meet the for core elements of a world class experience at we believe consumers desire when shopping in person for hearing aids one education and proper merchandising two thousand administered hearing me three experts sales consultation and for outstanding post purchase support the partnership remains in the early stages of scaling up and we're not prepared to make comments on a second performance however we have really cares five what we have seen and five months a year ago has been available for purchase and picture of retail locations we can send you to support our partner by training and educating bad salesforce on how to talk to consumers are hearing and most importantly the different shade or so often year ago this process will continue the first half of twenty twenty three as we listened to customers refine our approach and improve the customer experience while our partnership remains that the very early stages we believe premium partnership opportunities like this one are important sustainability of the against business and i'll have to both accelerated revenues and clear line of sight to profitability we thank our partners that picture and afford to provide a would forever performance updates overtime turning now to insurance and benefits access and lit december we announced a strategic partnership with nations benefits nations is a leading provider of supplemental benefits like start and member days and solutions for health class and this opportunity will allow health plan members so high latency that flat benefits towards purchasing year ago o he's been hearing aids i do so we believe this will create a pathway for individuals for curing lot lower barriers to care and offer oversight to cure people have access to the right products are added to fit your needs alternately allowing more people to hear about pattern while the original signing up a nation launch was expected to be generated swinging twenty three nations has been a large of it's ot see hearing aid offering generally and we do not know when alternately nations will long suffering nevertheless we are excited to partner with an organization a shares all that and i'm a satisfaction and using technology to enhance the customer experience in terms of broader insurance accents are currently accepting both sch be and none mph the insurance as a method of direct payment and certain limited circumstances and particular when best customer has undergone additional testing by independent license healthcare provider to establish medic on the stephanie which supporting clinical documentation for example my customers receive and in person hearing integrations it remains early in this new process and we do not expect to see any significant volume for insurance orders and twenty twenty three additionally we have generally focus on an handling our compliant and risk management operations including to support insurance claims processing and we intend to continue to do so turning now to even style we were thrilled to announce the launch of year ago settle our seventh generation device at cs as in original was the commercial launch and met favourite yoko seven is now available for purchase online as well as a picture locations across the country hugo seven as the most revolutionary device with have developed sedate unique is assigned to offer an even better experience experience he own speech and noisy environments widely perceived to be the most challenging situation for people with hearing loss this is achieved through sound the just plus
spk_3: with clarity mode
spk_1: this feature provides more sophisticated sound processing and loud environments by analyzing soundscape as a changes and then automatically choosing whether to emphasize speech or reduce noise no need to open the app or manually adjust and things were incredibly proud of this feature and believe it will happen kitna appeal in the new oh to see landscape offering advanced technology and hi such as purchase support at an affordable price without ever compromise and quality a user experience important following whom seat up like ten k clearance and the ask me any yoga five six and seven can each be marketed as self fitting hearing aids with the use of sound much via our mobile lab and each will be marketed o t c pressured to the f t a new ot the regulatory requirements meaningful innovation is a priority you know and this made his generation device reaffirms this commitment with new features that continue to put the customer at the heart of the hearing experience that me now send it over to adam for more details summary of our fourth quarter financial results dave christian i will provide financial comparisons for the fourth quarter of twenty twenty two sequentially versus the third quarter twenty twenty two given the difficult for fiscal year over year comparison as a result of the impacts video game destination hat on or twenty twenty one thing to result
spk_4: if christian mentioned we began be accepting insurance isn't that the direct payment and a limited capacity but we do not expect a significant buying that insurance orders at this time
spk_1: we are also seeking clarity on a plan requirements post the of too feeble fourth quarter twenty twenty two net revenue was twelve point nine million up approximately sixty three point three percent sequentially the increase is primarily driven by an increase in growth system shit fourth quarter twenty twenty two growth system shit for eight thousand eight hundred sixty three up seventy one point nine percent sequentially the increase is driven by a wholesale inventory purchased by victor can your that available for purchase in there are approximately fifteen hundred locations nationwide and sequential growth and system ship torch additional cash pay direct to consumer customers the fourth quarter twenty twenty to return a cool right
spk_4: with thirty four point nine percent
spk_1: at two point six percentage point sequentially moving to nine gap gross margin and nine gap operating expenses our discussion of financial metrics in the gross margin line and below will be under nine get basis which excludes stock based compensation expensive please refer to our gap to non gaap reconciliation included in today's earnings release and the historical gap to nine gap reconciliation table on our i our website in the events and presentation section fourth quarter nine gap gross margin with forty seven point nine percent compared to twenty four point five percent in the third quarter of twenty twenty two the sequential gross margin increase was primarily due to higher growth given time on a similar effect cosby fourth quarter nine gap sales and marketing expenses were fourteen point nine million or one hundred and fifteen point three percent of net revenues
spk_4: compared to can point six million or one hundred and thirty four point five percent in net revenues in the third quarter of twenty twenty two
spk_1: the decrease in sales and marketing as a percentage in that revenues was due to the higher net revenues
spk_4: non gap research and development expensive
spk_1: four point two nine or thirty two point seven percent of net revenues compared to four point three million or fifty three point eight percent of net revenues in the third quarter twenty twenty two non gap general and administrative expenses were eight point six million or sixty six point four percent of net revenues compared to ten point oh million or one hundred and twenty six point eight percent in that revenues in the third quarter of twenty twenty two
spk_4: the decreases primarily due to a net reduction in professional thief
spk_1: non gaap net operating loss for the fourth quarter twenty twenty two was twenty one point five million compared to nine gap net operating loss of twenty three point o million for the third quarter twenty twenty two and compared to thirty three point three million in the fourth quarter of twenty twenty one moving to the balance sheet in late november be closer previously announced right up front of up to eighteen point seven five million share that come to talk to existing stockholders representing a major step for to the county good the offering we brave gross proceeds from subscriptions at approximately twenty nine point three million in addition to these gross proceeds from subscriptions the also received an additional investment of approximately five point five nine from patient square
spk_4: after deducting related costs and expenses we're pleased to raise a total net profit and approximate thirty two point nine nine between the two transactions which we plan to use to further finder amit shah growth strategy
spk_1: we thank patient square for their support it commitment to our long term success and look forward to their continued partnership following the right thought run and to end the year we a cash and cash equivalent of one hundred and one point two million and december thirty first twenty twenty two with no debt on the balance sheet
spk_4: this compares to one hundred and ten point five million of cash and cash equivalents and fifteen point three million a term debt as december thirty first twenty twenty one
spk_2: a previous guidance the fourth quarter of twenty twenty two with accordingly cash burned of approximately twenty million to twenty five million dollars
spk_1: are operating cash burn was twenty point four million dollars in the fourth quarter of twenty twenty two and or over cash bounce increase by thirteen point two million dollars in the fourth quarter twenty twenty two primarily driven by the right offering and patients were investment oh now turn it back to christian for closing commentary based that us were pleased to conclude twenty twenty two and are proud of what the organization has achieved during the challenging the as we now look forward to twenty twenty three and the opportunity to transform our business through executing are on the channel sunday we believe our progress and twenty twenty two puts us at enough that sound operational platform of his execution we could send you to focus on off for most important business parties this year one for filing an expanding our intel strategy to accessing insurance coverage for a year ago hearing which including continuing dialogue way individual ethier to be carriers and other third party years regarding insurance coverage of the ago during it's three optimizing our cache business and for continuing to invest in innovation of course all of it is supported by our culture of compliance and accountability as we continue to refine our program and maintain the utmost compliant across the business before closing i would like to thank our team a year ago about unwavering dedication to
spk_5: improving hearing
spk_1: this organization remains motivated incentivize and energized to achieve our of just and without them none of this progress with be possible we have a lot of work ahead of us but this market remains large and under penetrated and we believe our recent business progress and product innovation put your ago in a position to capitalize on this opportunity hello how to and all over to operator you on it
spk_0: the floors now open for your questions to ask questions time please past our one on your telephone keypad if at any point you like to withdraw from the key please post our want to get you'll be provided opportunity to ask one question and one further follow up question will now take a moment to render
spk_6: roster
spk_0: we do have a question from the line of margaret kak sore from william blair please proceed
spk_7: hey good afternoon good thanks for taking the question that i wanted to fuck started after a shower time on a picture of sale by the folks it's great to see their commitment to try to take that service or the wholesale purchase but can you give us a sense i guess around repeat purchase foods by victor either due for and you on your either units or percentage and sister to get a sense of embers itself through
spk_1: and market and again good get to hear and based by the feedback and that we're we're we're off to what we believe it you know early days and terms of the towel and you know getting the commitment under and to be present and all fifteen hundred locations as than enough to
spk_2: never again grill not giving a specific guidance adam i don't know if we can you know provide more nuance year as specifically to our were looking at it ah but overall you know we've who were pretty excited about this partnership and a collaboration that were seeing have been better
spk_1: and the margaret the element they keep the question we aren't giving specific guidance or breakdown of the of the elements of be at it your to adequately mention we did provide initial stocking or the cupboard a unit need to the fifteen hundred locations i'm and we did start to see filtering to for but it was very early days in that part
spk_4: you should that would i started during the quarter
spk_7: okay that a top helpful add ad and i have one fall on fantastic he followed in one batch that how you guys thinking about an the partnership may extending into the other partnership that bad that and sub thought know how are the think about this whole tell were you able to recognize cash from it and then at the real kind of follow up i guess would be as we think about the according to see c underlying franchise is demand there especially with your ago seven and then canada
spk_1: upset if it is it all by recent inflation growth thank you get yeah now thank you very elegant way of asking one question margaret land up no surprise let let me call the first part of nerve and her doctor to out i'm when it comes to the cat but you know how how we are facing and up and colleagues describe
spk_8: the partnership that is now
spk_1: the data you know o t c is very new ah for the whole industry and you know what it is like how much support what kind of experience i to building our you are on the picture partnership and of even my we emphasize and so much to you know in bits call it we believe that this is
spk_2: you know cut creating the close to optimal user experience as a we're married well albert in level of commitment were seeing and also the level of experience had become belt and store and terms of accident actively talking about hearing loss and supporting prospective customers and experience and even hearing swimming simulation adding a kind of expansive it's an hour but landing it not what you see in a lot of other over the counter experience of though what we are you know clearly focused on here as you know we continue to work with sector to build out this as a as a
spk_1: case us out over the counter can be done we are in discussions with other retailers because stated it is something that it's getting a lot of and just bought but ideally we gonna wear at the point where we can use the extra as a case example of how to really bring customers into the category in a way where we're meeting the customer where they already are which is the whole point of and so so i guess yeah assumption is pretty
spk_9: correct on that one
spk_1: adams unfit you wanna call a common under cash and and colonial and and nine and is a good standard distribution agreement with the standard terms against we declare cash into for been initial shipment and that we are you in ongoing partnership with a grin and will continue to provide updates it's think perfume que en did and then finally on get the court t to see you know as we also mentioned you know we had a fondness for also nurses cute two and two three
spk_2: which frankly we've also historically been seeing you know good momentum in include for ah especially committee to see business and you know the holiday season and that that you know pot off and on delivering the numbers that we did that we had a strong que por
spk_7: again when not really commenting on the new year but i think it's fair to say that we hadn't not really seen any strong indicator expected economy of such an all that worries about inflation and chest cash you name it and the have impacted our business
spk_0: think you got it thank you ladies and gentlemen just as concludes these calls thank you for your participation you may now disconnect
spk_1: ladies and gentlemen thank you for standing by walking to the era go inc fourth quarter twenty twenty two earnings conference call i would yeah like to turn to call overtook nicola deca keep retail officer please go ahead good afternoon everyone welcome to the year ago fourth quarter twenty twenty two earnings conference call as a reminder that about being broadcast live in the digital replay will be available on our i our website joining the today's color christian guns and president and chief executive officer and animal upon us chief financial officer before we begin and like to remind you that some of the matters discussed in the conference call will contain forward looking statements regarding future events as outlined in a press release today we wish to cost knew that that statements are based on management current expectations and beliefs are forward looking in nature are subject to risks and uncertainties and actual events or results may differ materially the factors that could cause actual results are going to differ include but are not limited to factors referenced a press release today as well they're finally that the fcc
spk_2: before turning the call over to christian i want to make note that we have posted a historical gap to non gaap reconciliation table on our our website in the events and presentation section but that said i will not turn the call over christian better make and thank you everyone for joining us today
spk_1: the fourth quarter mark the combination of a pivotal here for a year ago and twenty twenty two we settle our to your jury investigation and he had our se si fine and good in quincy recapitalize the business through a major finance i added patient square capital as our major shareholder and make meaningful progress against our most important business priorities perhaps most impactful to the future of year ago was a prophecy made on our strategic evolution into a true only channel business while we continue to see people trends and sales to direct to consumer cache customers resell has begun to diversify our ross shipments and leverage our existing meeting thing and while still early stage insurance remains a future for chain lastly we have retained top talent cross the organization despite the challenges our organization has given the circumstances we think it's fair to say that year ago has made incredible progress and twenty twenty two
spk_2: and we're excited about the continued evolution of our business and twenty twenty three
spk_1: turning to operational results a business or men some we reported in the first quarter carried into the fall for we established a nationwide physical retail prices for our partnership with picture in connection with the o t c final rule being published in october and now specific partnership with nations benefits and an early twenties twenty three commercial launch yoko seven our most innovative product yet
spk_2: fourth quarter twenty twenty two net revenue was twelve point nine long pause up approximately twenty eight percent year over year and over sixty three percent sequential are now provide a brief update on our security initiatives and the path ahead to twenty twenty three beginning with an update on our retail strategy which is the top organizational priority and twenty twenty three
spk_1: in order to provide some context let me first briefly recap our three primary objectives and launching that's be tell channels first leverage existing retail foot traffic and fails practice at a national scale the drive awareness and education of the ago beckett better target and qualify consumers to in person conversation and a that availability of and in store here in school and third accelerate revenue growth bought that a defining all packed profitability moving to our partnership with victor one of america's largest while it's been ten years early in the fourth quarter we announced our expanded partnership replacing the ago infantry and approximately fifteen hundred stores nationwide as a reminder this partnership enable us to meet the for core elements of a world class experience at me to leave consumers desire when shopping in person for hearing aids one education and problem merchandising to self administered hearing spooning three expert sales consultation and for outstanding post purchase support
spk_2: the partnership remains in the early stages of scaling up and were not prepared to make comments on a second performance however we have been encouraged by what we have seen and five months a year ago has been available for purchase and picture retail locations
spk_1: we can say you to support our partner by training and educating that salesforce on how thought to consumers a house hearing and most importantly a different shade or so often year ago this process will continuing the first half of the twenty playing three as we listened to customers refine our approach and improve the customer experience
spk_2: while our partnership remains that the very early stages we believe premium partnership opportunities like this one are important to sustainability of legos business and i'll have to both accelerated revenues and see or line of sight possibility we thank our harkness a picture and afford to provide you with forever
spk_1: farmers updates overtime turning now to insurance and benefits access and this december we announced a strategic partnership with masons benefits nations is a leading provider of supplemental benefits like shark and member days and solutions for our class and this opportunity will allow health plan members so finances to use their flat benefits towards purchasing year ago o t been hearing that it's i do so we believe this will create a pathway wait for individuals with hearing lot lower barriers to care and offer oversight to cure people have access to the right products are added to fit your needs alternately allowing more people to hear about it the original signing up a nation launch was expected to be january twenty twenty three nations has been a large of it's ot see hearing aid offering generally and we do not know when ultimately nations will launch offering nevertheless we are excited to partner with an organization at share our values and customer satisfaction and using technology to enhance the customer experience
spk_10: in terms of broader insurance access are currently accepting both sch the and non if he d insurance as a method of direct payment in certain limited circumstances and particular when the customer has undergone additional testing by an independent license health care provider to establish mad
spk_2: common stephanie
spk_1: which supported clinical documentation for example my customers receive and in person hearing integrations it remains early in this new process and we do not expect to see any significant volume for insurance orders and twenty twenty three additionally we have generally focus on enhancing our compliant and britain management operations including to support insurance plans profit thing and we intend to continue to do so turning now so here goes to hell we were thrilled to announce the knowledge of here settle our center generation device a t s and original was the commercial launch admit favourite hugo seven is now available for purchase online as well as a picture locations across the country hugo seven as the most revolutionary device will have developed to date didn't need to decide to offer an even better experience experience own speech and noisy environments widely perceived to be the most challenging situation for people with hearing loss this is achieved through sound just plus with clarity mode this feature provides more sophisticated sound processing and loud environments are analyzing the soundscape as a changes and then automatically choosing whether to emphasize speech or reduce noise no need to open the app or manually adjust and thing when credibly be proud of this feature and believe it will have particular appeal in the new ot to landscape offering advanced technology and hi such as purchase support at an affordable price without ever compromise and quality a user experience important following whom seat up five ten k clear from the ask me any yoga five six and seven can each be marketed as self fitting hearing aids with the use of sound much via our mobile lab and each will be marketed o t c pressured to the f t a new ot the regulatory requirements meaningful innovation is a priority your mouth and this made his generation device reaffirms this commitment with new features that continued to put the customer at the heart of the hearing experience that me now send it over to adam for more details summary of our fourth quarter financial results dave christian
spk_4: i will provide financial comparisons for the fourth quarter of twenty twenty two sequentially versus the third quarter twenty twenty two given the difficult full fiscal year over year comparison as a result of the impacts video game destination hat on or twenty twenty one thing to result
spk_1: if christian mentioned we began be accepting insurance isn't that the direct payment in a limited capacity but we do not expect a significant buying insurance orders at this time we are also seeking clarity on a plan requirements post the of too feeble fourth quarter twenty twenty two net revenue was twelve point nine million up approximately sixty three point three percent sequentially the increase is primarily driven by an increase in growth system shit fourth quarter twenty twenty two growth system shit for eight thousand eight hundred sixty three up seventy one point nine percent sequentially
spk_4: the increase is driven by a wholesale inventory purchased by victor ten your that available for purchase in there are approximately fifteen hundred locations nationwide and sequential growth and system ship torch additional cash pay direct to consumer customers
spk_1: the fourth quarter twenty twenty to return a cool rate with thirty four point nine percent at two point six percentage point sequentially moving to nine gap gross margin and nine gap operating expenses our discussion of financial metrics in the gross margin line and below will be under nine get basis which excludes stock based compensation expensive please refer to wear gap to non gap reconciliation included in today's earnings release and the historical gap to nine gap reconciliation table on our i our website in the event and presentation section fourth quarter nine gap gross margin with forty seven point nine percent compared to twenty four point five percent in the third quarter of twenty twenty two the sequential gross margin increase was primarily due to higher growth given been on a similar effect coffee fourth quarter nine gap sales and marketing expenses were fourteen point nine million or one hundred and fifteen point three percent of net revenues compared to can point six million or one hundred and thirty four point five percent a net revenues in the third quarter of twenty twenty two
spk_4: the decrease in sales and marketing as a percentage in that revenues was due to the higher net revenues
spk_1: non gap research and development expensive for four point two nine or thirty two point seven percent of net revenues compared to four point three million or fifty three point eight percent of net revenues in the third quarter of twenty twenty two non gap in general and administrative expenses were eight point six million or sixty six point four percent the net revenues compared to ten point oh million or one hundred and twenty six point eight percent in that revenues in the third quarter of twenty twenty two the decreases primarily due to a net reduction in professional thief
spk_4: non gaap net operating loss for the fourth quarter twenty twenty two with twenty one point five million compared to nine gap net operating loss of twenty three point o million for the third quarter twenty twenty two and compared to thirty three point three million in the fourth quarter twenty twenty one
spk_1: moving to the balance sheet in late november be closer previously announced right up front of up to eighteen point seven five million share that comstock to be wasting stockholders representing a major step for to the county through the offering we brave gross proceeds from subscription at approximately twenty nine point three million
spk_4: in addition to these gross proceeds from subscriptions the also received an additional investment of approximately five point five nine from patient square
spk_1: after deducting related costs and expenses we're pleased to raise a total net proceeds an approximate thirty two point nine nine between the two transactions which we plan to use to further funder amit shah growth strategy we thank patient square for their support and commitment to our long term success and look forward to their continued partnership
spk_4: following the right thought and to end the year we a cash and cash equivalent of one hundred and one point two million and december thirty first twenty twenty two with no debt on the balance sheet
spk_2: this compares to one hundred and ten point five million of cash and cash equivalent and fifteen point three million a term debt as december thirty first twenty twenty one
spk_1: a previous guidance the fourth quarter of twenty twenty two with a cash burn of approximately twenty million to twenty five million dollars are operating cash burn was twenty point four million dollars in the fourth quarter of twenty twenty two and or over bounce increased by thirteen point two million dollars in the fourth quarter twenty twenty two primarily driven by the right offering and patients were investment oh now turn it back to christian for clothing commentary a fattah were pleased to conclude twenty twenty two and are proud of what the organization has achieved during the challenging the us we now look forward to twenty two thousand and three and the opportunity to transform our business through executing are on the channel seventy we believe our progress and twenty twenty two puts us at enough that sound operational platform of his execution we can send you to focus on off for most important business parties this year one for filing an expanding our intel strategy to accessing insurance coverage for a year ago hearing which including continuing dialogue with individual ethier to be carriers and other third party carriers regarding insurance coverage of the ago during it's three optimizing our cache business and for continuing to invest in innovation of course all of it is supported by our culture of compliance and accountability as we continue to refine our program and maintain the utmost compliant across the business the closing i would like to thank our team a year ago about unwavering dedication to improving hearing this organization with mais motivated of and energized to achieve our of yeah that's and without them none of this progress with be possible we have a lot of work ahead of us but this market remains march and under penetrated and we believe our recent business progress and product innovation put the ago in a position to capitalize on this opportunity
spk_0: adam how to end all over to operator or que on it the floors now open for your questions to ask questions time please past are one on your telephone keep it at any point you like to withdraw from the key please press star want to get you'll be provided opportunity to ask one question of one further follow up question will now take a moment to render row
spk_7: foster we do have a question from the line of margaret kak sore from william blair please proceed
spk_1: hey good afternoon guys thanks for taking the question and i wanted to fuck started after a follow up on am a picture of a sale by the folks it's great to see their commitment to try to take expenses as a wholesale purchased but can you give us a sense i guess around repeat foods by victor either for and que en either units or percentage and sister to get a sense and sell embarrass himself through a market and again get get to hear and based by the feedback and that we're we're we're off to what we believe it you know early days in terms of the towel and you know getting the commitment on there and to be present in all fifteen hundred locations as than enough
spk_4: significant know we're not giving specific guidance adam i don't know if we can you provide more nuance year as specifically to our looking at it as but overall you know we've who were pretty excited about this partnership and a collaboration that were seeing a from become
spk_7: and the market the yeah them and they keep the question we aren't giving specific guidance or breakdown of the of the elements of the at it your to adequately mention we did provide initial stockinger the cupboard a unit needs that fifteen hundred locations on and we did start to see filtering to for but it was very early days in their partnership that would only started during the quarter okay that's that's helpful add add and i have one fall and fantastic he followed in one batch that yeah hi guys thinking about and this partnership may extending into other partnership and
spk_11: that in some thought know how is the think about this whole telltale were you able to recognize cash from it and then at the real kind of follow up i guess would be as we think about the according to see underlying franchise is demand there especially with the ago seven and then idea
spk_1: upset if it is it all by recent inflation growth
spk_2: thank you get yeah now thanks you've out and elegant way about in one question margaret and no surprise a little bit other first part of nerve and a doctor to out i'm when it comes to the cat but you know how how we are facing and i think how weeks describe depicts a partnership that is the data you know o t c is very new ah for the whole industry and you know what it is like how much support what kind of experience i to building our view on the picture partnership and a reason why we emphasize and so much to get off in bits call it we believe that this is you know cut creating the close to optimal jews or experience as a we're very well but in level of commitment were seeing and also the level of experience that we can build and store and terms of accident
spk_1: actively talking about hearing loss and supporting prospective customers and experience in my teens either hearing swimming simulation adding a lot of expands which to our understanding it not what you see in a lot of other over the counter experience of though what we are you know the result
spk_9: post on here as you know continue to work with sector to build allowed this as a as a case us out over the counter can be done we are in discussions with of retailers
spk_1: because did it it is something that it's getting a lot of interest but ideally we gonna at the point where we can use the extra as a case example of how to really bring customers into the category in a way where we're meeting the customer where they already are which is the whole point of and so so i guess you have something is pretty correct on that one adams did you wanna call a common under kashmir and and colonial and and nine and is a good standard distribution agreement with the standard turns against it we declare cash into for been initial shipment and that we are you in ongoing partnership with a grin and will continue to provide updates as things progress you're in que it and then finally on that the court t to see you know as we also mentioned you know we had a fondness for also nurses to two and two three
spk_7: which frankly we've also historically been seeing you know good momentum and include for ah especially committee to see business and you know the holiday season
spk_0: and that that you know pot off and on delivering the numbers that we did that we had a strong few core again were not really commenting on the new year but i think it's fair to say that we have not really seen any strong indicator expected economy of such and all that worries about inflation and
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