TRxADE HEALTH, Inc.

Good afternoon, ladies and gentlemen. Thank you for standing by. Welcome to TrackState Health's third quarter 2021 earnings conference call. During today's presentation, all parties will be in a listen-only mode. Following the presentation, the conference will be opened for questions. The earnings press release accompanying this conference call was issued at the close of the market today. The quarterly report in which includes additional information regarding the company's results of operations for the quarter ended September 30th, 2021, was filed with the SEC earlier today. On our call today is TrackState Health's founder, chairman, and chief executive officer, Surin Ajarupu, and Howard Doss, its chief financial officer. The replay of this call and webcast will be available for the next 30 days on the company's website under the NASDAQ Meds link. The company's website also includes more supporting industry information. At this time, I'd like to turn the call over to Howard Doss, the company's Chief Financial Officer. Howard, the floor is yours.

Thank you, Operator, and thank you for joining us today. I'd like to welcome you to our third quarter 2021 financial results conference call. Our press release announcing our third quarter financial results was issued after the close of market today and is posted on our website. We also have furnished such press release to the SEC on Form 8K. Statements made on this call and webcast include forward-looking statements. These statements include but are not limited to our outlook for the company, and statements that estimate or project future results of operations or the performance of the company, including the potential continued impact of COVID-19 on the company's business and results of operations. These statements speak only as of the date hereof, and the company assumes no obligation to revise any forward-looking statements that may be made in today's press release, call, or webcast. These statements do not guarantee future performance and are subject to the risks, uncertainties and assumptions. Please refer to the press release and the risk factors and documents we file with the Securities and Exchange Commission, including our most recent annual report on Form 10-K and the subsequently filed quarterly reports on Form 10-Q, including the Form 10-Q for the third quarter. For information on risks, uncertainties and assumptions that may cause actual results to differ, material from those set forth in such statements. In addition, during today's call and webcast, we will discuss non-GAAP financial measures, which we believe are useful as supplemental measures of TRAX-AIDS performance. These non-GAAP measures should be considered in addition to and not as a substitute for or in isolation from GAAP results. You can find additional disclosures regarding these non-GAAP measures, including reconciliations with comparable GAAP results at the end of our earnings press release. Unless otherwise stated, all financial comparisons in this call will be to our results for the comparable period of fiscal 2020. During the question and answer portion of today's call, please limit yourself to no more than one question and one follow-up. At this time, I'd like to turn the call over to Surin Ajarapu, the company's Chief Executive Officer. Surin, the floor is yours.

Thank you, Howard. We saw strong margin improvement as our revenue base returned to the core track-shared pharmaceutical exchange platform in the third quarter, seeing an expected drop-off in the first-time personal protective equipment sales recognized in 2020, which were driven by the initial onset of the COVID-19 pandemic. Our nationwide footprint continues to grow. We have relentlessly focused on exciting new ways to expand proportional wallet share within our large growing network of independent pharmacy members, while better enabling them to service their respective customers, the end users, further growing their loyalty to their local retail pharmacy. Our telehealth subsidiary, Bonham Health, has continued to grow as well, building a foundation that we believe we can build upon for years to come, not only offering an advanced telehealth offering, but concurrently allowing customers to retain their own healthcare data in a secure, compliant manner. This provides an exciting opportunity, leveraging our large, established national footprint of retail partners to drive the growth. Before we do a more detailed walkthrough of financial and operational results for the quarter, for those of you new to the company, I'd like to walk you through who we are, how we are digitalizing the retail pharmacy experience to the optimization of drug procurement, prescription journey, and patient engagement. Prior to the launch of TraxAid, obtaining drug codes as an independent pharmacy was an extremely laborious, time inefficient process with no insight or transparency into fair market price or what others are paying for the same drug. Additional wholesalers would provide unfavorable payment terms, slow delivery, and create a difficult conundrum for the approximately 21,000 independent pharmacies nationwide. We identified this market inefficiency as well as the incredible potential in these independent pharmacies which together maintain around $74 billion in annual purchasing power and proceeded to launch TracSafe. We design, own, operate a business-to-business web-based market platform, bringing together the nation's independent pharmacies with accredited national pharmaceutical suppliers to provide a uniquely efficient and transparent buying and selling process. Our platform lets independent pharmacies know that they are receiving a fair price from competing suppliers and at fair terms and often with next-day delivery. We believe this radical price transparency, economy of scale, and competition among the suppliers leads up to a 10% reduction in pharmacy total annual drug purchase costs, with a drug-level savings of up to 90% on some pharmaceutical products. Our platform saves pharmacists from having to manually compare prices across distributors, saving hundreds of hours of unnecessary labor annually and eliminating negative reimbursements or fulfilling a prescription at a loss. Our revenue model is simple. We are paid on an administrative fee of up to 6% of the buying price on a genetic pharmaceutical and up to 1% on brand pharmaceuticals that pass through our pharmaceutical platform similar to PayPal or Visa-like model. To date, we have seen incredible success in garnering attention from independent pharmacies nationwide, validating our business model. We currently have over 12,950 registered members on our platform, with approximately 250 new registered members added in the third quarter alone. To further grow the exchange, we began to partner with group purchasing organizations, also known as GPOs, which will allow us to secure dozens, if not hundreds, of pharmacies at once. These GPO agreements can result in pharmacies purchasing a majority of their pharmaceuticals from TraxSafe rather than a smaller portion, as may do, giving them an outsized impact on our transaction volume, therefore revenue growth. We announced our first GPO deal with QualityCare in May 2021, a GPO spanning 10 states. We expect the GPOs will continue to drive pharmacies to purchase more products through the platform. We have leveraged our significant success since the launch of our aforementioned marketplace platform to move into adjacent complementary business where we can leverage our strong retail pharmacy network and core competency in technology. These include Bonham Health, our telehealth subsidiary, as well as the mail-order pharmacy and Rx distribution. In 2021, we're focused on driving forward adoption channels to broaden the reach of our Bonham Health telehealth partnerships, signing strategic partnerships with brand name nationwide stores such as Winn-Dixie, Kenny Drugs, ProAct, Brookshire Grocery Company, Spartan Mass, and most recently, Big White Foods. To build a truly national platform of partners to complement our immense independent pharmacy network. Approximately 500 stores offer Bonham Health Services to thousands of users in all 50 states. We expect to continue to grow in these incoming quarters to come as we wrap up our strategic partnerships and we anticipate an increasing number of employers turning into our turnkey telehealth solution. Bonham Health telehealth in third quarter had approximately 5,925 application downloads with an approximately 18.7% patient registration rate. The total application downloads for the year are over 18,750 within approximately 10.6% patient registration rates. Many of our relationships are still in the rollout phase, but we expect these numbers to increase into 2022. We continue to integrate exciting new solutions into the bottom health offering, including a direct-to-patient prescription drug coupon platform through our partnership with SingleCare, the ability to streamline patient lab results directly into Bonham Health virtual electronic medical records and remote patient monitoring. In addition, Bonham Health recently launched prepaid digital telemedicine passes, providing an innovative new way for uninsured consumers to gain access to vital healthcare services, all while concurrently streaming the path for organizations to efficiently gift healthcare to those in need. We believe that these product enhancements paired with our digital marketing strategy that we are ramping up provide us with an accelerated access into new key markets alongside our enterprise retail partners. On the capital market front, we were proactive in recent months attending four premier investor conferences, the Collier Fifth Annual Investor Conference, H.E. Wainwright 23rd Annual Global Investment Conference, the Benziga Healthcare Conference, and the LD Micro Mine event, all with the goal of enhancing broader investor awareness of our ongoing company. I'd like to now turn to the call over to our Chief Financial Officer, Howard Doss, to walk through the key financial highlights from the third quarter of 2021. Thank you, Sarin.