4/30/2025

speaker
Joe Capper
CEO

Yeah, I'm going to stay away from forecasting how much of our business might convert to a higher-priced product. Look, this was not our first choice. This was a step we felt it was necessary to take to protect some portion of our business. It's a little bit more niche-y for us. Again, 25% exposure in that category. And within our current customer mix, you don't have – the majority of them are probably niche.

speaker
Unnamed Executive
Senior Executive

not moving in that direction. Let's just put it that way.

speaker
Joe Capper
CEO

And to the extent that they do, because there's some fear of missing out, they're looking for products that are priced higher than our existing portfolio, but more moderately priced as compared to what we're seeing out there in the marketplace today. What we're seeing out there is rather obscene. And remember, when a doctor decides to use a product that's several thousand dollars, They still have exposure and risk around audit. And we know that audits are increasing at quite a high rate, right? So the higher the bill of charges, the higher the potential callback in the event of an unsuccessful audit outcome. So I think for us, it's a little bit more niche-y. That's why in my prepared remarks, I cautioned against looking at this as some sort of a windfall. I would look at it as just a tactic or step that we're taking to protect as much business as we can until reform takes place.

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