Foxo Technologies Inc A

Good afternoon and welcome to FOXO Technologies' fourth quarter and full year 2022 Business Update Call. All participants are in a listen-only mode. As a reminder, this conference call is being recorded. I would now like to turn the call over to Aisha Branch. Thank you. Please go ahead.

Thank you, Operator. Hello, everyone, and welcome to the FOXO Technologies' 2022 Business Update Call. On this call, we will be recapping our activities in 2022 and providing an overview of the company's strategy for 2023 and beyond. Before management begins their formal remarks, we would like to remind everyone that some statements we are making today may be considered forward-looking statements under the securities law and involve risks and uncertainties. As a result, we caution you that there are many factors, many of which are beyond our control, which could cause actual results and events to differ materially from those described in the forward-looking statements. For more detailed risks, uncertainties, and assumptions relating to our forward-looking statements, please see the disclosures in our earnings release and public filings made with the Securities and Exchange Commission. We disclaim any obligation and undertaking to update forward-looking statements to reflect circumstances or events that occur after the date the forward-looking statements are made, except as required by law. We will also discuss non-GAAP financial metrics and encourage you to read our disclosures and reconciliation tables to applicable GAAP measures in our earnings release carefully as you consider these metrics. We refer you to our filings with the Securities and Exchange Commission for detailed disclosures and descriptions of our business, as well as uncertainties and other variable circumstances, including but not limited to risks and uncertainties identified under the caption risk factors in our filings. You may get Foxhole's Security and Exchange Commission filings for free by visiting the SEC website at www.sec.gov. I would also like to remind everyone that this call is being recorded and will be made available to replay via a link available in the investor relations sections of Foxhole's website. Now, I will turn the call over to Foxhole's Interim CEO and Chief Technology Officer, Tyler Danielson.

Tyler? Thank you, Asha, and thank you, stockholders, for joining us today. We're going to cover a variety of topics that will highlight the opportunity that lies before us, how we plan to capture that opportunity, and the financial and operational steps we have taken to do so. I feel great about the future we've been working towards and can't wait to share with you what we've been up to. This being our inaugural call as a public company, I would like to spend some time reintroducing you to our story by briefly discussing FOXO as a leader in commercializing epigenetic biomarkers of health and aging and their application in life insurance industry. At its core, FOXO is a technology and science company focused on optimizing human health span and lifespan. Many, if not most, of the leading causes of death occur as we age. And unsurprisingly, there are scientifically identifiable biological mechanisms behind this. As we begin to understand the biological science behind aging, we may in fact be able to stave off disease stay healthier for longer, and live longer. That's the basis behind longevity science and what we are pursuing. We are commercializing an area of longevity science called epigenetics, which is a science around gene expression. As some of you may already know, DNA, or the human genome, has been referred to as the blueprints for life. And these blueprints are drawn up when you're born. Brown hair, green eyes, tall, short, and a million of different combinations of the sort. Epigenetics, how our genes are expressed, can change in response to aging, environmental factors such as sun exposure and pollution, and lifestyle factors such as smoking and drinking. This natural fact serves to explain why two genetically identical twins can have dramatically different health and wellness outcomes as they age. FOXO's unique case for this science lies in identifying patterns of DNA methylation, or gene expression, that correlate to the very impairments that life insurance underwriters are trying to assess. Historically, insurers have attained these clinical biomarkers through numerous and rather invasive collection methods, such as blood and urine specimens and or medical records. And they currently use legacy technologies to price risk. Simply put, the life insurance industry is ripe for change, and that's what we're working towards, the disruption of a trillion-dollar industry. Using artificial intelligence and machine learning, we look to decipher these epigenetic patterns in clinical biomarkers to gain biological insights into individuals based on one single biological sample, a simple, non-invasive, male-in saliva sample. As not to mince words, spin in a tube, and our technology can potentially replicate decades of uncomfortable, annoying invasion of the customer's life and at the same time provide insurance companies the same, if not better, data with which to price their policies. We believe this technology can revolutionize the insurance industry by aligning the interests of insurance companies, their agents, and consumers. Our goal is to do this by providing consumers and insurance companies with novel epigenetic data and reports that they can read and understand. The longevity report is already available as an addition to life insurance policies, and we are exploring plans to expand this longevity report to other use cases. Consumers are more in touch and interested in their health than ever before. and we are actively pursuing the multitude of applications for this science to benefit their lives. To be clear, the goal of our product is to provide the end consumer with new, important information like their biological age and potential risk factors that may reduce their lifespan that will tell them what they can do to not only live longer, but healthier life. Allow agents to better guide their customers through financial insights into whether they are aging slower or faster, and how to plan accordingly. Ensure that insurance companies have a clear line of sight of the risk they are pricing through science-based evidence that better informs their underwriting process. We believe we are adding value for all parties, customers, agents, and insurance companies, and that is something to be excited about. When I became interim CEO in November of last year, I decided to start the year off by holding ourselves accountable to a manner of operational excellence that our stockholders deserve. The leadership team and I wanted to start off fresh by reviewing every aspect of our business from vision and mission down to specific employee goals and even our strategy for creating the strategies. Our vision is to improve and optimize human health span and lifespan. And we believe that aligning with the goals of the insurance industry can provide the financial incentives to help improve human health. Life insurance is one example of a major industry whose goal of having you live longer and healthier is perfectly aligned with our longevity mission. If people die younger than expected, claims go up and their margins go down. Longevity science serves as a conduit through which consumers' interests and insurance companies' interests become aligned. Along with an adjustment to our vision and mission, we set core values to guide our daily work as a team. We are a group of future-focused leaders who collaborate closely together and efficiently work through changes. Specifically, we plan to change and will work to adapt as we see fit to our customers, the market, and our future competitors. These are important, and we've been working since the end of 2022 to make sure we have all the right people aligned with our overall direction. And I feel we have the right team in place to serve our priorities. We have reset all of our strategic goals, or more specifically, our objectives and key results, or OKRs. to align with these goals, reducing or outright eliminating much of the non-core work that we felt was taking away from our most important objectives. Our strategic alignment allows us to focus on the most viable path forward. We have streamlined our organization, reduced operating expenses, and are a smaller team than we were six months ago. We realized that we couldn't do everything we wanted to do, as excited as we were about the ideas that we have. This meant aligning the team for the very top on down, Every objective that anyone at FOXO is connected and moves the company in the same direction. We let go of things that didn't move us quickly towards revenue and reduce risk of overexposing ourselves to a difficult market. Our narrowed strategy is meant to go directly after what we've tested and learned in the market and know will work. With that said, I'd like to introduce our new Chief Operating Officer, Taylor Fay. Taylor has been at FOXO since 2018 as one of the first five employees. and is spearheading our short and long term strategy planning and execution. I'll pass it on to him to chapter what we've been doing. Taylor.