Sanara MedTech Inc.

Greetings. Welcome to the Sonara MedTech, Inc. Second Quarter 2023 Results and Business Update Conference Call. At this time, all participants are in a listen-only mode. A 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. Please note that this conference is being recorded. I will now turn the conference over to your host, Callan Nichols, Director of Investor Relations. You may begin.

Thank you, and good morning, everyone. I'd like to welcome you to Ceram MedTech's earnings conference call for the quarter ended June 30th, 2023. We issued our earnings release yesterday afternoon, and I would like to highlight that we've posted today's deck on the investor relations page of our website. The supplemental deck, as well as a copy of the earnings release, and the Form 10-Q for the quarter ended June 30, 2023 are available on this page. We will reference this information in our remarks today. We expect today's prepared comments from Ron Nixon, Executive Chairman, Zach Fleming, Chief Executive Officer, and Mike McNeil, Chief Financial Officer, to last approximately 15 minutes to allow time for Q&A. Certain statements in this conference call, in our press release, and in our supplemental deck, include forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. For more information about the risk and uncertainties involving forward-looking statements and factors that could cause actual results to vary materially from those projected or implied by forward-looking statements, please see the risk factors set forth in our most recent annual report on Form 10-K as supplemented by the risk factors in our most recent quarterly report on Form 10-Q. Now I would like to turn the call over to Ron Nixon.

Thank you, Kellen, and good morning, everyone. In Q2 2023, Sonera generated $15.8 million in net revenue, representing a 63% increase from the prior year period. Second quarter of 2023 was another record quarter, revenue record quarter for Sonera, but the company did have a slower growth rate, which Zach will discuss and outline the plan we're implementing to continue our increased year-over-year growth strategy. Our loss before income taxes narrowed from $3.4 million to $1.9 million over year-over-year in Q2. We had a net loss of $1.9 million compared to net income of $800,000 for the prior year period. The higher net income in 2022 was primarily due to a one-time non-cash income tax benefit realized in Q2 of 2022. Turning to our new product pipeline, we continue to prepare for the commercialization of BioSurge Advanced Surgical Solution. This product, which was developed by our R&D team at Rochelle Technologies, is expected to commercially launch in mid-Q4 of this year. In the first quarter of 2023, we entered into a sales agreement with Canna Fitzgerald for an ATM offering of our common stock. Stock sales were paused at the end of Q1, and we have no immediate plans to reactivate the ATM offering. We could potentially utilize it if and when management and the board determine it is appropriate. Subsequent to the end of the quarter, we announced the acquisition of certain assets related to our collagen products business. The acquisition includes all rights and ownership for human wound care uses for four 510K cleared collagen-based wound care products, including Celerate RX and Hycol. We believe this transaction was a significant strategic milestone for the company and was something the team has been working on for quite some time. Now, Zach Fleming will provide more details on the quarter.