Strata Skin Sciences, Inc.

Greetings and welcome to the Strata Skin Sciences fourth quarter 2023 earnings conference call and webcast. 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, Ritz Cockrell, Strata Investor Relations. Thank you, Ritz. You may begin.

Thank you, operator. Good morning, everyone, and thank you for joining us for the Strata Skin Sciences fourth quarter and full year 2023 earnings conference call. Earlier today, we released our financial results for the quarter ended December 31st, 2023. You can find a copy of the press release on the company's website. Before we begin, I'd like to remind everyone that this call may include forward-looking statements. These statements are not guarantees of future performance and involve risks and uncertainties that could cause actual results to differ materially. We encourage you to review the SEC filings, which highlight these risks and uncertainties. The company does not commit to updating any forward-looking statements as new information becomes available. Now, today on the call, we have Dr. Dola Raffaele, our CEO, and Christopher Lecevitz, our CFO. Each will provide an overview of the company's Q4 performance and discuss the strategic outlook. After their remarks, we'll open the floor for questions. And with that, I'd like to turn the call over to Dolan. Go ahead, sir.

Thank you, Rich, and good afternoon, everyone. Respecting 2023, it's evident that it was a pivotal year for Strat. characterized by strategic leadership adjustments, product innovation, and substantial market expansion. The strategic change in leadership at the end of the year, which saw my return to Strata in October, marks a significant commitment to our proven strategic vision that drives growth and operation excellence. A robust reintegrating of the direct-to-consumer DTC recurring revenue model has been a cornerstone of our strategy, proving to be a vital element of our success, especially evident during my previous tenure as CEO for our core extract business between 2011 and 2015 and from 2018 to 2021. These periods that marked a transformation in Strata, steering the business towards positive cash flow from operation, expanding our footprint both domestically and internationally, streamlining operations, and sparking innovation through a launch of new product and services. Central to our plan has been the focus on our flagship product, the XRAC, the DTRAC, and the TheraClear X. A key highlight of the year was the success of introduction of our TheraClear X active therapy system in January of 2023. By year's end, we placed 92 devices under the recurring procedure model. During 2023, SRATA also significantly increased its domestic and international recurring revenue install base, to 964 extract devices as of December 31st, 2023. This extension underlines our capability to innovate and efficiently respond to market demand. Just last month, we took an important step to secure our future growth through the amendment of our credit facility with MidCap Financial Trust. in our financial strategy, ensuring alignment with the company's current and future business projections in supporting operation and capital needs is crucial for our continued growth and further expansion of assets. More recently, we have initiated a campaign to extend insurance coverage to essential dermatological conditions. Aligning with our mission to enhance patients' access to vital treatments through the improved insurance practices and broadening inclusion of CPT codes initially, our efforts are concentrated on securing patients payer coverage for extract treatments for multiple indications, including vitiligo, CTCL, alopecia areata, and atopic dermatitis. This initiative is a testament to our commitment not only to increase the accessibility of our treatment, but also to advocate for the well-being and quality of life of those affected by the conditions. I note that not all of these conditions are currently approved indications, but we are in the process of moving forward to see if such use may be approved in the future. Leveraging our best database of over 270,000 pest extract patients, we are actively collaborating with prominent patient advocacy groups, and the wide dermatology key opinion leader community. Strata also commenced targeted advocacy with legislators to enhance access to the extra treatment. As we continue to ramp up the DTC revenue model in 2024, we remain laser focused on executing our key strategic priorities. First and foremost, We are working diligently to drive utilization and rationalize the replacements of both our extract and TheraClearX devices. This involves leveraging our strengthening balance sheet to rebuild and expand the DTC capabilities and stimulate patients' demand. By bringing patients directly to physicians' offices, we can increase procedural holdings, and device utilization, thereby generating incremental high margin recurring revenue. Let's now pivot to the review of our financial landscape from our CFO, Chris Lasovich, and then I will explain a little bit more on the operational side. Chris?