RxSight, Inc.

Good day and thank you for standing by. Welcome to the RxSight third quarter 2023 earnings call. This time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, you will need to press star 1 1 on your telephone. You will then hear an automated message advising that your hand is raised. To withdraw your question, please press star 1 1 again. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your first speaker today, Alex Wong. Please go ahead.

Thank you, Operator. Presenting today are RxSight President and Chief Executive Officer, Dr. Ron Kurtz, and Chief Financial Officer, Shelley Tunant. Earlier today, RxSight released financial results for the three and nine months ended September 30, 2023. A copy of the press release is available on the company's website. Before we begin, I would like to inform you that comments and responses to questions during today's call reflect management's view as of today, November 9, 2023, and will include forward-looking and opinion statements, including predictions, estimates, plans, expectations, and other information. Actual results may differ materially from those expressed or implied as a result of certain risks and uncertainties. These risks and uncertainties are more fully described in our press release issued today and in our filings with the Securities and Exchange Commission, or SEC. Our SEC filings can be found on our website or the SEC's website. Investors are cautioned not to place undue reliance on forward-looking statements, and we disclaim any obligation to update or revise these forward-looking statements. We will also discuss certain non-GAAP financial measures. Disclosures regarding non-GAAP financial measures, including reconciliations with the most comparable GAAP measures, can be found in the press release. Please note that this conference call will be available for audio replay on our investor website. With that, I will turn the call over to President and Chief Executive Officer, Dr. Ron Kurtz.

Good afternoon, and thank you for joining us. In a few minutes, Shelley will review our third quarter financial results and guidance for the balance of the year. But I wanted to first highlight several positive developments that we believe will further strengthen RxSight's ability to penetrate and expand the high-growth premium cataract market. In the latter part of the third quarter, we launched our reconfigured light delivery device, or LDD, and ceased sales of our previous LDD version. While offering identical functionality, the new LDD's reduced footprint addresses practice-based constraints, with an updated design that has elicited very favorable feedback, including at its first public exhibit at the RxSight booth during last week's annual meeting of the American Academy of Ophthalmology, or AAO. Even with a modest price increase, the reconfigured LDD's ROI remains highly attractive, generally paying for itself in about six to nine months, assuming approximately nine to 10 light adjustable lens implantations per month. Also at the AAO meeting, there were numerous presentations discussing the LAL, indicating continued growth in awareness and interest. This included real-world clinical data on 738 bilateral LAL subjects from nearly 80 clinical sites that continues to illustrate the clear advantages of postoperative adjustability. Consistent with earlier data readouts, 97% of LAL subjects achieved uncorrected binocular distance vision of 20-25 or better, and 87% achieved 20-20 or better. Ninety-one percent of LAL subjects achieved uncorrected binocular near vision of J-2 or better, which means they could read five-point type without glasses, while 79% could read at J-1 or better, equivalent to four-point type. Just under 80% of subjects decided to optimize vision in one eye for near and intermediate distances. often referred to as blended vision. For most of these subjects, the refractive difference between the eyes was quite small, at 1.25 diopters or less. The results showed that 97% of blended vision LAL patients achieved 20-20 or better uncorrected distance vision, and 95% achieved J2 or better uncorrected near vision. Just under 25% of all LAL subjects in the study were post-refractive patients, However, there were no differences in visual outcomes between eyes that had previous refractive surgeries and those that had not, even though it is generally considered to be more difficult to achieve optimal results in post refractive eyes. Also during the AAO meeting, preliminary phase four clinical study results were reported on a new member of the light adjustable lens family called the LAL+. Approved by the FDA earlier this year, this new lens has a proprietary optical design that further extends the depth of focus before light treatments, but with the same ability to customize and deliver high-quality vision as the LAL. We believe this combination of quality and expanded range will be very attractive to premium eye well surgeons and their patients, particularly to those who favor distance-dominant vision in both eyes and might be considering an alternative such as a multifocal lens that can be associated with reduced quality of vision. We will be expanding our ongoing Phase IV LAL Plus clinical study to generate more real-world data, while continuing a controlled commercial launch for the LAL Plus in the first half of 2024. Surgeons and practices already familiar with the LAL can seamlessly add the LAL Plus to their premium practice, as there are no differences in the surgical procedure or post-op adjustment process. The LAL will continue to offer outstanding visual results for those patients who are likely to utilize more blended vision or who have other ocular conditions such as previous corneal refractive surgery. We believe that with both the LAL and LAL+, doctors can provide nearly any patient with precise high-quality vision across a full range of distances while avoiding increased rates of glare, halos, or loss of contrast sensitivity common to multifocal IOLs, thereby delivering the highest level of patient satisfaction. The reconfigured LDD and LAL Plus are good examples of our approach to innovation, which focuses on the continuous improvement of our technology to drive progressive adoption by patients and practices. Through such product enhancements, industry-leading clinical results, and individualized high-touch customer service, we remain fully focused on helping doctors deliver the best possible vision to premium cataract patients, thereby also helping their practices to grow and prosper. With that, I'll turn the call over to Shelly for a recap of our quarterly financial performance and guidance outlook for the balance of 2023.