Corvex, Inc.

Greetings and welcome to the Movano second quarter 2022 earnings call. At this time, all participants are in a listen-only mode. A brief question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Jake Hogan, Movano's Chief Financial Officer. Please go ahead.

Thank you, operator. Good afternoon, everyone, and thank you for joining us today. Our CEO, John Mestre-Tatara, will open today's call with prepared remarks about the progress we've made during the second quarter of 2022 and in recent weeks. Afterward, I'll cover the highlights of our quarterly operating results and provide perspective on our financial position. Finally, Movano's founder and chief technology officer, Michael Liebman, will join John and me for the Q&A. Before we begin, I'd like to remind everyone that we will make forward-looking statements during today's call. Whether in prepared remarks or during the Q&A session, these forward-looking statements are subject to inherent risks and uncertainties. These risks and uncertainties are detailed in the risk factors section of our filings with the Securities and Exchange Commission, specifically in the company's forms 10Q and 10K. Except as otherwise required by federal securities laws, Bovano disclaims any obligation to update or make revisions to such forward-looking statements contained herein or elsewhere to reflect changes in expectations with regards to those events, conditions, and circumstances. Now, I'd like to turn the call over to our CEO, John Mastersitaro.

Welcome, everyone. Thank you for joining us for Movano's second quarter 2022 earnings call. This year, we have our sights set on one primary goal, preparing for commercialization of our first product, the Movano Ring. a sophisticated smart ring designed for women that blends the best features of medical and wellness devices to help them better understand the correlation between how they feel and various aspects of their health. To ensure readiness for our future launch, we are focusing on a few key areas. First and foremost, we're gearing up for a beta test program in the second half of this year, which will help us optimize our product and prepare for a broad direct-to-consumer commercial launch. Second, we're making great progress in developing relationships and creating partnerships across the broader healthcare landscape that are critical to building the foundation for an enterprise solution. Finally, we're continuing to put our technology through clinical testing to gather more data, advance our algorithms, and work toward a suite of FDA clearances. We've made significant progress in each of these areas over the course of the last quarter and in recent weeks, and would like to update you on where we stand in today's call. We've previously announced that we're planning for a limited beta release within the second half of 2022, and we're still on track to meet that milestone. To prepare for the beta, we are spending a significant amount of time alpha testing our device internally. To test the hardware, software, firmware, wearability, and battery life of our device, many of our employees have been wearing our ring prototypes as they go about their daily routines at home, at work, at the gym, and beyond. We're running the ring through a series of different activities and scenarios and then evaluating our data against a reference device to test the accuracy of our algorithms. we're absorbing all the feedback to continually improve our end-to-end solution. While internal testing can uncover many opportunities for improvement pre-commercialization, nothing can truly simulate a real user experience like a beta test. There's been tremendous interest in supporting our beta program amongst major players in the pharmaceutical, medical device, digital health, and integrated health network sectors, as well as amongst leading universities. We're gearing up for beta evaluations in the fourth quarter with several of these prospective partners. We're very excited to share that one of our beta partners is Stanford University's Applied Sports Science Department. Stanford is looking to apply the latest wearable technology, like the Movano ring, to drive innovation that facilitates the ethical enhancement of athletic performance and improve the quality of life of Stanford athletes. The beta test represents an excellent opportunity to test our technology with a group of elite athletes who rely on health data to optimize their performance and feel their best. Although we can't share the details of the other corporate partners at this juncture, we are planning to conduct additional betas later this year with a major global pharmaceutical company, a leading global diabetes-focused medical device company, and an integrated regional health network. Despite the breadth of wearable devices available today, these beta testing partners are pursuing opportunities with Movano as they believe in our vision to advance the healthcare industry forward with more usable and accessible medical devices. And it's a huge vote of confidence for a small company like ours. Throughout our conversations, we've learned that they value our focus on women from the outset. They love our ring sleek form factor and aesthetic designs. They're in sync with our decision to structure Movano as a medical device company to pursue FDA clearances and deliver medical-grade data to consumers as a primary differentiator. They're also supportive of our goal to deliver cupless blood pressure and noninvasive continuous glucose data to the market. And they share in our belief that good health is a fundamental human right and healthcare technology should be more accessible to reach the broader market. The way in which each potential partner will use our device may differ, but they all see the Movano Ring as a solution that could augment and differentiate their offerings to help them rise above the competition. The response to our call for beta partners demonstrates just how well many of the aspects of the Movano Ring are resonating on an individual, consumer, and enterprise basis. The beta tests themselves will be an extremely valuable exercise for Movano, enabling us to collect data from a broader group of people, which will help us fine-tune our algorithms. They'll serve as dry runs of the Movado customer experience, and ultimately, they will be a crucial step in assessing how well the ring meets customers' expectations and the extent to which it's ready for release. While we're preparing for the phase of testing through beta, we're also planning for our broader commercial launch which we expect to commence in the first half of 2023. We know the success of our wearable solution is dependent on more than accurate measurements and sleek design. We need to create a service that's compelling for users over the long term. Our go-to-market team has brought on some fantastic partners this quarter who are helping us create a unique, customized, and valuable user experience from the very first touchpoint. These partners are helping us conduct research that allows us to delve deeper into the needs of our target audience, create compelling branding, develop a differentiated app experience that makes connections between daily health events and the wearer, and construct an intuitive website that enables frictionless purchase. In conjunction with our partners, we've interviewed more than a thousand women to build a profile of our target customer and gain valuable insight into their needs throughout different life stages, as well as their evolving motivations around digital wellness. The research is informing decisions we're making around their entire solution and giving us the confidence that we're developing an attractive and distinctive ring and app experience geared for our target audience. As we're progressing closer to a launch date, we've hired two key employees on the go-to-market team to support our vision and goals. In August, we hired Daniel Amara as vice president of user experience and user interface. And we are also bringing Jim Chambers onto the team as vice president of digital marketing and growth. Daniel brings more than a decade of experience in UX design and launching products to the Movano team. In his most recent role as UX lead for Google Fitbit, he successfully launched a number of award-winning products, including Fitbit Sense, Fitbit Versa 3, and Fitbit Inspire. Prior to Fitbit, Daniel held various roles designing connected hardware software products for brands like Toshiba, Alpine, and Chevrolet, and also consulted for hardware-based startups with founders like Ben and Hermione Way and Peter Thiel. As Movano's VP of UX and UI, Daniel will oversee the lifecycle of Movano's products and work with the company's best-in-class design and engineering teams to identify new opportunities and product features that are important to Movano's customer base. Jim Chambers has over a decade of experience in growth and digital marketing that will be crucial for the direct-to-consumer launch for the Movano ring. Most recently, he was vice president of Growth Marketing at Lightboxer, an elite connected fitness company. In this role, Jim developed and led the company's growth strategy, integrated multi-channel digital marketing campaigns to drive sales, and executed successful launches of two new products, the Lightboxer Virtual Reality in the U.S., Mexico, and Canada, and Lightboxer Go in the United States. Prior to joining Lifeboxer, Jim was Senior Director of Global E-Commerce and Sales and Marketing at Hydro, a leading connected fitness rowing company. In this role, he set the overall growth strategy and metrics for sales and digital marketing in the U.S. and U.K. and led the team to deliver over 10 times sales growth from 2019 to 2020. As Movano's VP of Digital Marketing and Growth, Jim will develop the company's digital growth strategies through innovative ROI-based customer approaches and data-driven acquisition strategies. To arm future ring users with medically validated data, we are continuing to conduct clinical studies and work toward FDA clearances. Most recently, we completed a pilot study with the University of California, San Francisco to test the ability of our platform to accurately measure heart rate and blood oxygen saturation, or SpO2, in a hypoxia study. The study was completed with seven subjects of mixed genders and ethnicities and followed the same protocol that we expect will be required by the FDA for submission. With results that exceeded the requirements of the industry standard used by the FDA for evaluating SpO2 devices, this successful study is a promising step for the company's goal to provide medically validated data to consumers and healthcare professionals. Based on the positive results from this study, Movano plans to conduct a larger pivotal study for the FDA submission later this year. Aside from our beta and consumer launch planning, I wanted to provide a status update on our proprietary and patented system on a chip The smallest ever custom millimeter wave integrated sensor designed specifically for cupless blood pressure or noninvasive glucose monitoring systems. The sensor was a major engineering feat for a couple of primary reasons. One, it offers an opportunity for increased accuracy across a broader population because it is not affected by different skin tones. And two, it was fabricated using advanced processes and semiconductor technology, allowing for a small enough size to fit into a variety of form factors. While the sensor will not be in our first ring, it gives us greater flexibility in the design of future medical devices and in our ability to offer a solution that's affordable so we can reach a larger, more diverse segment of people. You may recall from our last earnings call, we had successfully validated the chip's functionality. The next step was to integrate it into a prototype system that's closer in size and shape to a final product. As of today, we've received new circuit boards back and we'll be working to integrate them into new prototypes. We're planning to test the new prototype solution in a blood pressure study scheduled to commence in the third quarter and we'll follow the blood pressure study with another glucose study shortly thereafter. With the smaller prototype, we plan to conduct longer and more complex studies, which will give us data needed to advance our blood pressure and glucose algorithms. In the intellectual property news, Movano was recently granted two new patents centered around our proprietary sensor, marking a total of nine U.S. patents currently issued to the company. The two new patents protect the system on a chip's agile method of understanding detailed features of waveforms that aid in estimating blood pressure or other analytes. Pursuing FDA clearances, preparing for the beta evaluation, and building and launching a product from the ground up is no small feat. And although there's still a lot of work to be done in every front before we will be ready, we're confident in where we stand today. Our team has proven its ability to execute time and time again, as we've met every milestone throughout the development process thus far. At just over 40 people in the company, we're a small organization, but we've got the right people with the right experience leading our engineering, clinical, and go-to-market teams. With more than 80,000 website visits and nearly 7,000 consumers who have messaged us to share their excitement about Movano, coupled with the tremendous amount of interest we've received for partnerships and beta opportunities since the announcement of the Movano ring late last year, it's clear we're building the right product at the right time with the right consumer segment. Our predecessors in the wearable space set the expectation of what a wearable can do, and Movano has an opportunity to redefine the wearable experience over time. Through our research, we've discovered the role of a wearable is evolving from a fitness to a health device. And as a result of COVID and recent political events, We see a permanent shift in the way people, especially women, think about their health. They're focused on gaining more clarity and control over their health, understanding their body's signals, and finding solutions that promote prevention and longevity. We're focused on developing a new type of wearable with purpose-driven healthcare solutions at the intersection of med tech and consumer devices that combine medically validated health data with personalized, intelligent feedback, and ready-to-wear, beautifully designed form factors. Grounded in innovation and creating the ideal blend of digital and physical experiences, we believe the authentic combination of our devices, insights, and community will pave the way for real connections and empower women to live healthier, happier, and more well-balanced lives. We are so excited about the opportunity in front of us and are looking forward to delivering the Movano ring to consumers. I'll now turn it over to Jay to discuss the quarterly financials.