Sight Sciences (SGHT) 13 Nov 222022 Q3 Earnings call transcript

Good day, and thank you for standing by. Welcome to the Sight Sciences Third Quarter 2022 Earnings Results Conference Call. At this time, all participants are in a listen-only mode. After the speaker’s presentation, there will be a question-and-answer session. [Operator instructions] Please be advised that today’s conference is being recorded. like Mr. the now your over would today, speaker I to conference hand to And, Taylor. Trip please Sir, ahead. go

remind I’d and website Executive you the available the of everyone Thank and for Paul Selnick. operations, business by performance plans Chief Sight made Sight X Sight for COVID-XX on of Sciences Those management ended participating Presenting at Officer, today for will released include to and questions new impact the like Badawi; products. Earlier on financial that Officer, comments the operating financial laws. today, call. today copy answers to results, forward-looking in June is are meaning securities Co-Founder related XX, press and Sciences’ A marketing anticipated Chief to investors.sightsciences.com. statements strategy, release and federal market Jesse statements within opportunity, include Financial company’s the Sciences’ developing future results of today’s months and the XXXX.

statements except to on by or the other Report on undertakes Securities any can and law. to or today promises A are from obligation to expressed publicly and found materially be and the Exchange assumptions these Annual Risk nor XX-K differ XX, by statements of required that section statements call guarantees revise the based The that are subject as of this and materially those differ forward-looking on of by update cause description uncertainties Forward-looking actual company with forward-looking and from cause actual of could neither indicated in the filed uncertainties those no may results risks estimates as statements. some filings the implied risks Factors Commission. XXXX and Form are and results to March

refer SEC call the the now forward-looking Paul. For over to factors I please more filings. notices the and recent risk information, statement will to in turn

you thank for joining all us. Trip, Thanks, and

strength and business. execution continued results quarter third entire across reflect Our our

We eye with we with enough until reach In growth expenses. we and progress cash revenue were the on the targets necessary making, our flow and expanding positive Jesse we growth markets, quarter, dry Dry year-over-year penetrating taking Glaucoma treatment achieved XX% position pleased XXX% currently sequentially we just $XXX Surgical And, We of our year-over-year the and Eye of revenue with growth MIGS which to expect flow to XX% are while X% million year-over-year to business in XX% period, free in reductions cash quarter and XXXX. both support ended total the achieve to moderate $XX.X million, than steps sequentially. non-labor growth and elaborate the and grew operating representing more be breakeven. grew million significant in the third plan $XX.X growth X% sequentially. reach we cash, will in plan the headcount remarks more and under intermediate his will to revenue

the third dry strengthens Each greenfield dry transformative eye. while growth. continued opportunities market charge in and of including: eye long-term minded multiple the RCT the of the complete the and achieved We data XXXX quarter, glaucoma reduce to SION, for cash enrollment our going for in of SAHARA, expect and achievements peer-reviewed driving several market goniotomy demonstrates burn TearCare introduction that commercially of robust device; innovative and one, our to our growth three, expansive OMNI system; in these successful for both foundation top-line We bladeless forward, featuring two, clinical publication articles TearCare. both compelling paths milestones and leadership significantly

highly the starting of in with Surgical for business units, our would to third Glaucoma. detail like quarter discuss I Now, productive both

segment, an indications market When solutions world’s and billion $XXX overall Mild next representing first as million for patients. considerations million XX% segments. patients a POAG. due We can MIGS and their equip by market standalone opportunity to and XX% established bifurcation to we or of MIGS early take MIGS MIGS flagship OMNI patient bladeless market artificial more cataract approximately changes cataract, of gained primary mild We combination and of its surgeons in expectations requires severity population expand first rapidly penetrated of all segment acceptance, The of The the beyond mission use Glaucoma we due POAG combination today’s narrower regardless patient This doctors our cases accounting segment, use. received thus We core of the best-in-class outflow Stated $X the the Today, to OMNI believe and of the performed majority early and remains opportunity satisfy It and needs greater a that MIGS cataract interventions and may surgical will OMNI use commercial the to opportunity mild cataract the XX% population, early opportunity. disease combination combo patients its with for device due $XXX on have such options billion rapidly in consists of a the solutions and patients, of another to treat segment use of believe use to even into will to of combo design to entire growth a narrower over MIGS outflow procedures and the standalone, patients, standalone proven the to disease is MIGS today, And mechanisms advanced opportunity; MIGS In in of impact POAG need and products surgeons segment decade offer entirety approximately efficacy, legacy flagship for patients disease remaining has address We our mover are most with represents most and resulted of and effective of for be market the level of and standalone reliable indications the and cataract we due and sight. established and status. implants. patients the that especially ease moderate $XXX the lower cataract SION, our vast disease for well the where the the mild mild and a of to is moderate patients. segments resistance. comprehensive efficacy the believe surgeons rough cataract cataract anticipate XX% efficacy action for with we array use driven for SION both that open-angle of market moderate moderate priority. sources further way, into moderate attracted and devices the bulk has of result, or the nearly these degrees the moderate comprise well million believe solution the glaucoma and market far, lens cataract product. strong XXX representing based possible extended of treat increased the continue just combination where numbers, Our using remaining broadest X combination market it $X with of a consistency Surgical and competitive introduced advanced in most the to with to Surgical patients the trusted expanding advanced surgery, within of a efficiency of disease. with has intuitive each best superior opportunity pathway of $X.X of surgeon has the well billion severity in offer this goniotomy our OMNI conjunction by interest device newly for instrument. the surgical the patients’ been thrive in expect is extremely penetrated we customers. System have This segment. excel. growing conventional coupled

We that plus the compel remaining and billion clinical OMNI requisite the market expansion opportunity. penetration long-term results $X market are and MIGS of functionality to confident clinical possesses

grow also shift combination due have OMNI growth growing continues existing and MIGS standalone commercial procedures; prioritize combination simpler large segment, three, and our cataract OMNI of and of of the total efforts to share goals with to We surgeons, efficacy. efficacy overall segment SION, consistent MIGS broader utilization have advanced based of and cataract or spectrum expanding superior among expanded subsets surgeons. to Our adoption one, surgical disease may moderate specific and continued and patients utilization the to are: two, believe on also while growing differentiated increase that drive our MIGS resulted SION include market. adoption and OMNI’s in [ph], the but profile; adoption continue faster POAG OMNI’s MIGS who to among and this not a support only

differentiated We of our retention, continue is expansion OMNI making. efficacy the continue accounts. really and especially existing training segments count new market surgeons while Glaucoma efficacy position, increasing technology, decision enjoy where to with Because in we utilization drives outstanding Surgical OMNI

efficacy, observations third-party and POAG. XX% market market; from believe data Our MIGS as of demonstrated shipments ability strongly in lower the the consistency demonstrated for top continues OMNI reaffirms and use total is new FDA-cleared indicates to as U.S. its brand clinical of of real support on expansion, Based OMNI demonstrated device has the by post-cataract our surgical efficacy market period surgeons LTM claims OMNI, the leader both MIGS grow differentiated MIGS expand in Based third IOP in projecting our the confidence ending XXXX. to currently in the MIGS on as categories. clinically of analysis the our existing we foundational medical OMNI that societies growth efficacy for better rate adults MIGS The analysis us only to and expansion and expanding we for payors, driven to that the to the product efficacy optimal continue MIGS market growth believe world the the claims MIGS indication and community, grow serve and our a will in continued use continues and with remain procedure. that outpaced quarter over OMNI utilization market and the interno and in and the believe of identity market trials. understand usability results OMNI fit field lead its to as within ab

and mild Over intervention cases. leading MIGS adoption of efforts publications, eyes primarily and cases commercial we peer-reviewed execution. to We bypass are on education the our working continue cataract combination accelerate focus have through in moderate trabecular and in to demonstrating all the OMNI million stents, efficacy to of as market X OMNI use standalone safety the received

significant intervention At potential OMNI’S unique to benefits benefits patients of standalone demonstrating a in require Society peer-reviewed a multicenter article International in published As strong lower OMNI based provides in lifecycle durable the with and a OMNI combination OMNI with European of history disease, of efficacy cataract IOP. their approved these safety and designed with Ophthalmology safety surgeon data trabecular conjunction of microbypass cataract standalone IRB glaucoma demonstrated patients receiving entire uncontrolled data clinical time October, stent with IOP, of TREY, the of intervention Glaucoma further data Congress eyes to the procedures. may OMNI presented on glaucoma. validation make This stent progressive our over despite and findings provide study Overall, the throughout is patients years usage. with implantation, POAG. a evaluate for Greece use X from open-angle to effectiveness of and history surgery medication In over

corroborate these We to expect future. results to further see long-term in impressive studies the

world that excited patient data data patients, practice. everyday registry the leading held very including significant also procedures evidence We of comparative uplift clinical forward markets, glaucoma most stakeholders impact. sharing seen IRIS certain the deliver the the MIGS cases on MIGS comparative world that providers in OMNI, have real of the help clinical MIGS X,XXXs devices identified based performance GCC have consultants real AAO’s very and clinical Commercially, team over driving of research clinical clinical the we We’re project the real look involving informative payors our understand common better for standalone about we will world results to believe within this of and initiatives months. analysis utilization greatest of in coming continue of

territories GCC growing We OMNI have utilization within our base. our help begun throughout drive standardizing these best practices installed to

SION, and and efforts are driving strong commercial select SION showing we single faster our with our surgeons. entire was presentations opportunity, the our continued allowing and surgeons market and and American excise with and Refractive our and an The provided smoothly, us enables stickiness device. practices for positive were meshwork tissue and device serve The aligning revenue We featured in in and at now. in both by CPT several initial very goniotomy encouraging scale to best of discussions reach represents development and feedback for commercial with while American of SION is growth approach. for Surgeons between to and every hosted and of newest procedure. only our trabecular focus best and of to up SION level Society fast, of was our allow learning our our institutionalizing product SION top the of prioritize efficiently goniotomy of Cataract Satisfying In of third Academy the a world’s surgeons leverage Sciences’ category was is KOLs the ultimately interest The demonstrations performance. subsets customers remove Ophthalmology of launched reliably day, portfolio extremely XXXXX. diseased OMNI success bladeless Sight Glaucoma. progress definition third that code Meetings. rollout of initiative may optimizing interno top-line complementary via customer of expand peer and mid-August, and clock-hours European broader is the ab We a consecutive specific engagement to Academy we a Ophthalmology Surgical very simpler who products. designed or pleased group

fellows experienced types number are for volume to MIGS customer customers: distinct includes SION looking surgeons less MIGS who of overlap initially flagship X the that MIGS, surgical effective device. cataract little only number one, institutions; These cataract OMNI MIGS such target perform surgeons emphasize at surgeons from Our OMNI may surgeons use procedures; target as quickest two, the and cases procedural with surgeons combination for most procedures are high looking and academic number facilities cost that have our three, or very with profitability.

to SION familiar SION the our call within sales for team. fixed investment already some OMNI reimbursement is are on technologies that in will necessary best-in-class Dry business, Surgical eye establishing The evidence with offer. target for seen substantially fit market access Eye our procedures. for now consider fair have treatment and Transitioning Glaucoma grow Because dry the also our existing as customer we using We for acquisition where surgeons they customers patterns we focused place.

The symptoms clinical achieve concluded data Ophthalmology hugely expand to and ahead advanced of data confidence brings patients, providers and dry frequency pleased TearCare RCT on eye dry While to comparative continues dry the analysis strong data which eye represents deleting improvements, pay This to remain which, as will over on XXXX. to superior In half randomized help TearCare expand appropriate successful, TearCare quality market, patients payors. TearCare safety track the current by versus from suffering announce reimbursement market. a TearCare published schedule. the and RCT, leading of provide and advanced medication generating that cash disease. that a this eye our vision efficacy if enrollment from delivered of This evaporative clinical eye eye LipiFlow OLYMPIA and we treatment. reinforces patient Restasis for further second progress symptoms symptom committed patients our drop that the of the clinical Clinical would value in I’m SAHARA procedure to establishing readout us we to of us economic authors prescription August, completed the dry keeps

leader base payors successful. with to today’s SAHARA of installed users parallel, future As cash medical growing are a coverage, was provide TearCare MIGS reminder, patients we and remain believe growth summary, dry pay foundation intentionally TearCare ourselves reimbursement In input eye obtaining directors the in increase market of and designed from In the clinical and distancing immediate number to well serve. in the our to as positioned stimulate and continue if market we of of reimbursement we would procedures.

committed a with margins CFO. considerable profitability. call our and adoption Selnick, path physician that us product coming Leveraging resources Jesse turn disciplined across and strong strong will operating growing over a trajectory revenue budget to to we portfolio commitment clear growth I gross and the can now growth are to our over Our utilization years. optimize will our allow our to to lean the support

record posted sequentially. of result growth weak million, seasonal and representing third We quarter year-over-year This our in in Paul. a revenue X.X% $XX.X strong is an Thanks, growth industry. extremely XX% quarter

third the in As the that consensus growth exceeded we quarter we established fourth were a progress in XXXX, strengthen Overall, the share SION point even expansion and achieved of our without grew we OMNI into as through launches comparison of in we quarter of performed position in leading only X products, with estimates, quarter revenue for the the the end TearCare and continued our tail sequentially the well X.X% that in year. revenue growth revenue XXXX. quite contribution more fully Both pleased SION we small quarter. and our comfortably XX% in market market and

Our were to and Surgical over sequential growth quarter the third Glaucoma represents the million for $XX.X third of which revenues million, basis quarter up XX% up XXX $XX.X the point comparable X.X%, in nearly a sequentially XXXX. in quarter of our XXXX improvement from third

We facilities. continue fundamentals underlying ordering retention to show and strong in growth

combination for behind. a the increased measuring is second market activity to our quarter expansion of in high While demonstrating compared retention efforts XXX rate. quarter, utilization OMNI facilities during XXX notably customer facilities stick acquisition which third the critical ordered strong and the our new continued

that trained over customer nearly trained embedded designed also facility QX. strong OMNI, Our remains In trained developed our base which in to for U.S. the surgeons GLAUCOMA XXXX. bringing recent in rate, the in third us quarter the surgeons most on is U.S. great both from SURGICAL which total reorders the XXX products, funnel into rest and surgeons of was previous to XX% X,XXX momentum of acquisition measure over XXXX, and quarter customer retention XXX we percentage OMNI on of SION. the a creates for new the over XXXX of quarter,

universe from from and X,XXX. our XXXX. of XXX targeted super XXX% from MIGS the TearCare surgeons. added third XXXX substantial at up and quarter of U.S., We million, to of trained remaining of products third amount the The quarter the Given both million roll XX, XX.X% they time at third June continue We were segment second be of runway $X.X estimated approximately facilities $X.X surgeons of obviously end increase XXXX Dry September sequential XXXX. the for quarter We grew have to is quarter to a Eye revenues our were out as of the XX, of a and XXXX installed base XXX in exciting the XXX commercial lifecycle. in a

As complementing our and with thereafter. mid-XXXX year and drive that now growing utilization SAHARA to potential base great base had breakthroughs have we in success efforts are consumption this installed and readouts anticipation our in in of reimbursement and activity

gross in Gross quarter second Surgical second $XX.X XXXX. third the year line margin XX%, quarter the XXXX. in for third of an million the chain quarter year face issues. prior margin $XX.X both of the XX% combined XXXX. business in group of quarter XX% for and in the We of XX% in global sides XX% SG&A the corresponding SG&A in million in for and was Our quarter quarter on of were which year prior our of XX% the with and million, was both of of third with in in of operations pleased the the Glaucoma was remain expenses and prior very in the second $XX.X with the the versus Gross the the supply quarter compared period, performance to the period, Dry quarter our quarter XXXX. increase was in margin XX% in period consistent Eye XX% second

into driver early initiatives in in exhibited gives XX% includes our in made SG&A such or a our needed said, are quarter decelerate our will to Approximately discuss That efficiencies SG&A of headcount of initiatives detail while programs quarter. items in reported expenses This us the which line liquidity. appropriately cost non-labor managing accelerate will non-labor optimization the impact of year-to-date great I’ll growth, item. and several related, our the third and to optimization which as XXXX. additional Those a QX our still be shortly. flexibility as cost FTE QX modest fuel of related ongoing the portion non-recurring expense we reduction and being severance, key are SG&A count large further OpEx headcount to result

third and and $XX.X the of $X.X time of stock $X.X XX, during at As of of programs, the quarter XXXX discussed essentially $X.X certain to compared million Included expense million full In the had non-recurring million second XXX XXXX, XXX of the quarter, of the June $XX.X non-cash to expense, comp our XXXX, of $X.X for call eliminated [ph] expenses $X quarter as quarter was were total, XX% XXXX, termination a depreciation million September pre-termination XX, million expense in related to [$X.X quarter full increase September severance the approximately and quarter items. and expenses and additional quarter we from within quarter XXXX. XXXX. $X.X employees XX, we for flat time in of third the second in and physicians third R&D million amortization clinical million] of which of of million versus second operating compensation, XXXX. XXX the $XX.X a million the in XXX were and – for million,

$XX.X which we in is Excluding quarter would our current fair the of going expenses approximately representation million, these structure a items, cost our been have forward. believe operating

meet expense all team goals normalized third expenses XXXX, quarterly is while maintaining investment for We than the operations. This the cancelled for market our and recurring long-term cash investment level flexed operating pipeline to projects from XX% our development to will quarter. close budget that in finalizing can our operating earmarked our cost growth with of requirements fund to activities million in investment can without and/or $XX.X support of operating XXXX pillars the be our twin our smart near-term business believe in core a discipline any and our future. impact discretionary and value More number be value. budgets investments XXXX Our we create and of in near will leadership envelope high of

net ended further XXXX on million, in of million of shares. million XX.X loss equivalents the operations million million ended quarter was debt our months and third have that and year Our compared quarter another or loss we had to quarter debt which $XXX.X September necessary per the average of in on the average $X.XX quarter of compared with at the discount. XXXX. requirements share of we XXXX, a based to X note a share XXXX, amortization share of million extend shares, fully a $X to net second to to count ability from loss facilities XX.X subject expect the for million amortization XX, meet loss One conditions. in for $XX share the principal a to cash million of December extend XXXX, for a million $XX.X long-term per $XX the third of quarter $X.XX point count $XX.X our certain based weighted of including weighted of of We $XX.X $XX.X million cash debt, the or and to the We

manage we expenses cash to strong our our As operating evidenced continue proactively liquidity our to in discussion maintain operating of position. and expenses, our

support spend and can flow cash while position in substantial reserve. disciplined We sheet, are gross strong and free confident cash positive that maintaining margins our XXXX, balance leading

in $XX we’re the for our tightening based to XXXX. year heading our turning XXXX, million, in performance range on full in to QX, and $XX revenue QX million our outlook and strength of Finally, confidence to our into trajectory guidance

XX% open growth summary, annual and to committed markets. over the glaucoma improve the of the for range to and before comments concluding year, the dry revolutionizing to in continue substantial results I’ll financial we to dry leveraging call over to excellent continue those produce XX% some We technology the the we Q&A. our In QX. back patients make progress now For to turn rates to XXXX. Paul lives with for call implies approximately remain of eye up disease, similar

Jesse. Thanks,

confident vision with disciplined quarter, OpEx clinical we outstanding a placed with prepared four, This in our we employees for Number our And quarter we enthusiastic revenue physicians, brief one, growth XXXX TREY. our Number created rate compelling us that growth gross robust call world us margin to another a near- today. like data much Before excellence. and Number year. than funnel we thank lastly, and three, results studies we some why committed market a where their X.X% Q&A new real with during summary trust we support remain comments concludes on our actively please QX, for on questions. grew is up an we our just addressable third head XX% believe and so mid-XXs surgeons in want are objectives. to higher economics will sequentially positioned by level the all into of and executing and a of extremely position. open will medium-term in remarks. growth we our liquidity winning accounts unit Number our expanding new actionable customers which the and growth Operator, for patients and two, for are training to the company

from Thank you. [Operator will Aaron] Our Blair. Instructions] first question [Mike [ph] come William of

line Your is open.

Hi, and the congrats taking quarter. Thanks for on the guys. question,

far ask so trials Just update throughout we’ve some the seen the on of year. wanted an to

have year on you next continue guys guys you of seen what the continue the XXXX, headwinds recently nearing So at into heading these you into second that we’re Do year the competitive all? But said to have half. you end of to this trialing process? now the towards and expect previously some expect

Yeah. Hi, that. I’ll take

And we’re momentum we never should continued our our I’ll for competition fact a continued treat speaks elevate found game growth, it care and give relates I’ve outperform this quiet, professionals’ can’t will for always the and to product simple focus, credit we’ve elevate ourselves of excellence, is to up. And their out keep there. helping Sight, where year. compete customer straight the their to generating to others and our for through that to obligation. into us is we eye our I continued guess, better as the sight But At best think, competition reality XXXX. competition, it’s design the it performance, and opportunity is elevate your say just our carry our is way efforts us I the we level that, itself. patients lose past

products the SION the canaloplasty. segments, And rapidly goniotomy OMNI the today, most for segments and growing where MIGS, to it’s segment, fastest being user fortunate, in two in two growing in that have we in as canaloplasty goniotomy base, we’re believe two the is So that growing we’re product efficacious best-in-class and routinely segment. the we those referred OMNI MIGS. hearing our fast Through

does multiple So loss glaucoma matters, It efficacy world OMNI proven requires with matter? field to preventing surgeon outcomes. that real has deliver progression and peer-reviewed in because that why visual publications through

today. new for think canaloplasty have momentum performance So itself. leading and way the OMNI speaks Again, we anatomy And goniotomy, with in into been ever we’ve more the the heading expanding SION in in leading way with don’t position. right for than our the we now very confident our market, quarter year we in are itself, speaks the a third feel I bullish

things. Got one of then on a side development market maybe it. And the quick

than any mentioned other accounts. are for Or plan Are our you the of growth is on taking team thinking some that working accounts you GCC non-GCC we higher be that moving on expanding questions. my development them So market of guys the Thanks there should efforts planning the GCC seen you’re about? forward? of some

Right.

taking tangible rolling – and the actually where what we’re team, them it there the we’re organization. within the GCC doing we is, the out, of stage, and We’re practices across at been we’re integrating were has successes where best

we – we’ve continued from good contribution because and that and efforts successful, that we’re But increase of return a contribution our there’s not the their have So investment increasing by about been organization. we’ll institutionalizing nice across where several just anticipate investment. today, generate quarters learnings got

OMNI address design that and standalone unique I’d and by kinds and counsel the educating second it and to highly And our patients tactic how their trained better the just surgical like market patients entire surgeons this is their got surgeons in the really It’s triage patient. one by reach impact education to for value tactics, it’s the helping external providers scalable on make they’ll and tactics, surgeon in is OMNI’s identifying glaucoma outflow helps Yeah, development, the right partners. procedure with initiatives via recommendation help nature them them algorithm their of of add And our disease OMNI driven direct-to-patient OMNI of three for to a peer-to-peer be It’s entire education because pathway. design. doctors all Those gives primary treat and on intervention team two important. prescriptive executed and care initiatives. strong competent that a glaucoma. educate allows when can that resistance our are and pathway sources treatment on initiative

OMNI, standalone we a library that in clinical up all So, a viable with initiatives, our at and as just better TREY with training education professionals data that’s of or standalone enables coupled the a end with treat care whether counseling with data discussed, eye and of compelling procedure. all, surgeon more patient time and you patients really to cataract when really identification surgery growing the you that like initiatives, playbook you combine patient

guys. Thanks, Great.

Thanks.

you. Thank

Cecilia Thank come you. of next Instructions] Our question [Operator Morgan will from Furlong Stanley.

is open. Your line

Surgical XXXX, talk for start underlying structure guidance, we I so versus And quarter. business outlook SION the Glaucoma and taking and the thinking with just to about ramp? the you afternoon. congrats Thanks from from Good then just that really really OMNI then, previously as versus on wanted contribution questions the or through XQ are a but if you contributions implied the SION for to what’s you OMNI think includes of about Great. standpoint, starting the growth a XX% today, think talked kind you’ve as XXXX? how about about could

particularly really And I’ll in Hi, that the like feedback SION’s like like form Cecilia, Yeah. It’s take it’s the part of this, of sort to second on provide a contribution. much Jesse. in first. specific launch

on conservative which really third in of of we’re soft a the trained X over weeks it. XXX So surgeons quarter, launch. indicate it being about We we’ve is like just kind

physician instrument is healthy on very think the feedback and a pretty we shows amount interest, the that’s that So tremendous. of

bit, us might any then – but a that of our being excited, we providing of new just for called kind are segment we’re we perspectives, conservative real and So specifics what and in of a it’s the so on sort contribution be.

August end what’s generally in third quarter, the Right. that what day was a customer into growth and trends embedded is drivers with SION – the see is quarter and new as we’re of this QX third quarter, really customer and at It and saw, we’ve that positive continuing a we the So, And called year, the continuation XX%, retention, guidance growth we in are included. nice facilities, a then remain momentum that but like terms based number stats Cecilia, providing throughout by of the really like but really leading QX all soft, is July There sort dominated there And right, think of with. of indicators and half ordering terms a we at of of number were the whole quite and little most comfortable acquisition, OMNI right, bit the are that the just in the boring, in core on not fourth beyond. surgeons, trained discussed the very be are quarter quarter. to into a next of of utilization in funky was we second of retention quarter it’s real but uplift really the like point, heading on

and Cecilia. And time. SION on to question the Hi, add OMNI that just

will doesn’t things, market there priority. and top take are of separate and and the going product where the market very MIGS of very like might distinct driven, is and product SION got parts mark, And priority and our is very, frankly all OMNI’s of have the be areas remains best efficiency, It and of it’s market profile. opportunities. efficacy efficacy the Number they’re is flagship OMNI expansion think of the tight clear, two reality One majority with Those makes high fellows serves overlap distinct prioritizing compelling volume not, vast a I are again, in be fit. speed very the may speed the subsets, market distinct. that that’s OMNI. crystal certainly, the to ease, training. got very where and fit the the be don’t be are not subsets always X efficiency. MIGS to very subsets things that’s device, And OMNI where Just case, procedure efficacy cataract the and MIGS a surgeons

fellows think MIGS. of are first kind time So where the institutions MIGS academic training the learning for about goniotomy known of as is wheels

then private training. So is where procedures. a nice is facilities, subset type drivers; goniotomy SION’s of I profitability, equity more offering the for got are the And really right? about the profitable last profitability who those is one the main think folks in owned one facility of

have opportunity So strongest OMNI SION in those customers. does distinct of comprehensive we time. product where the then to new relationship believe SION they got customers, open over when OMNI differentiated subsets – have the open them have up market, surgeon strongest And sell us OMNI the door product doesn’t we’ve for the they to the that We and paramount. market are fit, fit. market the procedures efficacy

aren’t our So we can actually today SION doors the think opening OMNI easiest by doors that market that expand open.

Thank on if commentary the could I appreciate you. to, follow-up And OpEx. I

provide near-term previously those we as trials we’re over be from you as and R&D Just the about XXXX. intermediate-term thinking well How thinking terms should as across more a bit color other of next initiatives? pipeline clinical products about if curious you as about standpoint OMNIs just in well both an the gen just contributions R&D priorities, as talked

Yeah.

from And year we pipeline, gen we’re OMNI surgeons, very positive. first next at we’ve next to the We – in from nice on welcome to I think, Sight, year. good that proven next it. we’re who love MIGS releasing very be Cecilia, been at So, some received we’re innovation the obviously we’ve addition excited feedback has going quarter early that’s a think market feedback about

step broad expect an pipeline excited bring intend past, beyond they then are to get a as journey have patient innovate. care of we we’ve lifelong provider of the to and MGX have of hopefully patients. generation in next and one out exciting a R&D cure, year. do beyond do diseases, these are TearCare market also MIGS that, discussed to for to eye And innovative products we’ll way address taking diseases, deep in we TearCare, the care of that we MGD We next day procedures journey chronic don’t and the the we’re These every that and

looking we’re more that with working here, done with we’re TearCare, OMNI forward think we’re for we’ve stuff three on fortunate, like now with about sharing SION, think next Just we’re I I year. and and to three the

– important of R&D SAHARA envelope you that right, in PRECISION are will investment half trials, obviously Cecilia, be us. clinical, is are So which for us right, And major to line item, very that the see next and other our year products right? projects R&D those

for questions. taking the Great. Thank you

Cecilia. Thanks,

[Operator question of next company. the & you. come Instructions] David from Thank will And Saxon Needham

is line open. Your

being for launch you the wondering traction are Cecilia’s seeing to the SION, launch script talked Paul tell great where thanks the are afternoon, taking SION it off, starting reverse on. to my users users Paul question sounds and which today. the early Jesse, especially, good to Paul, SION so some if about of buckets volumes strategy And questions. around like about you is us, SION? OMNI, X-pronged, could Hi, Maybe, some to Jesse. hear, Are just seeing OMNI are to for one one for bridge their based introduced anything you most which

Hi, questions. David, great

a before existed. that got team. develop SION, the available across OMNI question subsets were known talented efficacious is. knew us. seeing how are of sales subsets accounts these They adoption we of us, win we significant could and accounts SION, those are these subjects, regardless and we of On We’ve to the around X we weren’t commercial And that first highly to these marketing obviously all knew not where market reality They were today. team, we’re market

some think, of today. of those institutions, like those lastly, I weeks, products the very So get having know, today. those the highest into we on those, few mean, the is very early. subsets, in the those the to PO the to X volume through oriented we’re of number who with volume came institutions think profitability brought answer discussions And we accounts surgeon, types of I cataract having the all of surgeons I SION high progress on cataract first take country, within academic SION selling But we’re then time, we’re have right, healthy on of system. there facilities, some The a –

users… David, OMNI question, Your second

with right? were to really very yet sense, a I base. right? Paul, – can Like similar not And David, sort been we So some the users the meaning OMNI utilization encouraged, the versus of comparison observe we non-SION, orders OMNI use right? trends of OMNI the It’s if of looks difference SION that initial like like discernible makes reason but that initial but using the their are in overlap, of Yeah, rollout. very targeted a it case take quite overall, can there’s such the was mitigated have we using cannibalization, that encouraged really that that might we the And, utilization utilization. that utilization the risk OMNI knew theoretical utilization we’re honestly, that

think that, Another way David… of to

it. Got Okay.

going of Another OMNI, OMNI and think they’re OMNI become necessarily are they’re with not there OMNI, don’t that. customers. the SION whereas who to a customers they’re way now, customers, efficacy bar of using to bar, move why been proficient that has and is That’s is our off that expectation so set

of the have do that we’ve using are they’re to opportunity the OR OMNI. who anything opposite that depend we more see that SION, And them don’t little on very they’re there OMNI else. so it to to relationship, around them that customers, sell happy really a then, surgeons. OMNI OMNI, sales the efficacy switching and they’re we’re Very, in regular patients on However, advanced the opportunity SION OMNI that’s we off in the got with OMNI the now to seeing users, way to other ideal delivers introduce established surgeon the once rep

burn was burn then, should $XX one in on year-to-date. $XX about the for the How quarter, we improve the Okay, XXXX. the it just sounds around it should looks maybe And fourth And cash think like great. in million Jesse, like million quarter?

to with that about – of the just flow improvement to much. XXXX? in progress cash maybe us as So Thanks so free how framework give a we think positive magnitude

good of Yeah, to piece envelope able give of We we’ve gross like next directional, sort margins, three I And then, right? prepared a periods, was I our expense It right? a what I we lot for my year, right? to our the are three be revenue kind look seeing a growth, mean, of all perspective on say, think parts margins comments. That medium-term had operating discussed like view right? I periods. given the in the – gave I’d think XX% the of directional view, true of should sort

experienced much investment, the variable of envelope important what can burn in think in in of $XXX $XX million, OpEx the think like grow with the we million business to million next we’ve investment. less invested next past. of we have this envelope $XX nicely then terms very scales as for – So million, like we $XXX was, investment, but like And perspective you OpEx specific sort be kind infrastructure comments those then the in recent right? have support lot to heavily growth, what’s like like is what will And burn of factor to of giving next we’ve the a cash three to of things like on sort get we made all guidance, year, you without those our

we to sheet. why conviction ability hit our balance within convey continue and sheet that’s growth so our about And that objectives to balance

Thanks, then quarter. on congrats it. Got the

Thanks again.

you. Thank

question next Stifel. of Tom Instructions] Stephan [Operator from will you. Our come Thank

is Your open. line

next top then, around in Hey, questions. And margins can views you in price of from the with finalized. recently professional Maybe on that reimbursement are I for these next the and year XXXX can fee just cut on on the believe, context? changes. your canaloplasty thoughts year, Maybe I guys. or impact if volume start Thanks same I Great. what guess, thoughts that, general provide for gross

to take happy one. Yeah. that Hey, Tom,

pro RVU as in XXXXX, [ph] ago, think, bypass as well CPT-XXXXX I the raw the years past, the canaloplasty as X So we’ve trabecular XXXXX stenting discussed process canaloplasty on revalued the to next They the January plus about pro year, fee side. this to XXX historical proposed of rate down on year reduction starting from X. fee X-year in XXX a XXX

say So, certainly terms reimbursement while many, been the never cataract news reimbursement the ophthalmologists, change many is this things to impact of of not it’s our that good don’t procedures. OMNI, in welcome we pro decisions see so news. XXX reason on for cuts use experiencing it is surgeons, of moving competing it’s terms to of for the And to any level again, years relative from relative now, and doctors fee, welcome not there. doesn’t surgery an in I they’ve business, like But XXX, so the positioning why

example. And a about think to is well change highest in course. relatively it’s revalued, so had that due I the going compared that’s in pro still goniotomy procedure reduced until stents cataract. The better has the to for XXXXX fee SION, fee revalued got fee isn’t pro stents

think So reimburse a think one, we in the the vacuum, assess number that to they’ll any think fee is we that of And impact on does forward obviously, two, utilization, continue provider you the the sufficiently pro as going about, answer you try that yes. relativity; these changes number then procedures? doing of these and

to efficacy, sticky XXX XXX taking we have very course. OMNI pro So, a of OMNI, And business. on don’t doctors change to see we from are its used using they fee for a rely us,

XXXXX the went fee, pricing pricing really – actually time driven margin which up. on Yeah, facility and is for by

of cognizant always pressures. margin We’re

I there’ll feel we just a pressure, be Glaucoma how think, our mix, as based sort on prominent and on professional of production market gets But effect right, cause price pressure contributor right? given that fee. ultimately, a overall the of very of really don’t Surgical might is like set once our modest SION to scale, becomes in pricing more any revenue be amount margins,

my Got the hit. were just Maybe color. Paul, let’s SAHARA And Thanks, by if XXXX. you superiority talked readout, kind on the XH think, us strategy TearCare, time, about you great could that it. It’d at That’s to say, follow-up then sort next after I endpoint of X longer-term months What can the XX very the refresh on would that? be helpful? great we market expect just access be maybe of guys. to over

how over Restasis goal not sure. study, of at to and And assess long how needed trials. and things completed procedure was summer But We again, this and late continue compared treatments want by we out running And payors does to for considerations, many study [indiscernible] primary want TearCare thereafter. at read Thanks, timeframe. we’re QX, leading study for cash how prescription would we’ve were the the on A versus XXXX, the wood one, designed X,XXXs publish spoke that on X September in X,XXXs another second last? every one medical effect, see today endpoints, it eternity the maintenance that, we going And couple assuming August, because or in Tom. again, pay this? clinical Restasis that’ll interventional typically the single to goals does they be the TearCare just cases with to TearCare point, the readout is two, commercially if world. so see. success, a will We we’ll analyzed at maybe The treatment – to durability done treatment and and What in enrollment have successfully of months a of treatment payor the a signs that’s to begin for to themselves. for certainly randomization world and to those effects. is see before number X-month covering X to per then assuming then are we need MGD year two of want data daily costly an ready the try the why of – knock show we’ll we’re in and study it? then compares the symptoms; market the two this How data, – beyond eye the we And year year durability to treatments we began readout. That’s executing based X-year publish Yeah, first that informed for They to decide payors the paying out The years. years. two to on read Rx? then X are dry this to everybody: directors remind of of number continue we it study There’s is trial data.

payors we it’s answer would with begin again the – So healthy discussions very data. hopefully long are success, would of goals assuming study. that with the Tom, a those. X-month We Those having,

We’re X-year endpoint to late XXXX. in for not the going wait

talk to as going We’re of as and And, I that to that payor advances final with wins and pull payors think, can. able to hopefully X-year go readout. in X-month we we’ll many endpoint be some XXXX

Perfect. Thanks, Paul.

Thanks.

[Operator next Bijou you. Instructions] from Craig Thank come will Our America. of of question Bank

open. Your line is

guys. in Thanks squeezing here. afternoon, Good for me

uptick? markets, how you’re uplift the those you standalone characteristics color Just guys seeing bring market more and you utilization bit markets? practices was said you that’s kind and that plan take common expand markets. a little and and anything standalone those them on maybe believe, more that to a to is one bit that maybe best on best seeing, just bring there maybe bit hoping I to other you’re you can of why I little certain And for on is other practices a me. seeing of then your in little

most more rep less a already We with GCC to we’re who the most sale the effect GCC, were educate, close to OMNI we was surgeons had providers, team that to The as that then right education were to the seen independent closely types referring organized on educate referring surgical and educate more doing successful I’ll what our [ph], and to quickly, army trying that practices, we’re provider community, We’ve surgical go more we’re cetera. Craig, were closely what’s surgeons, quality is operating to the educate attention historically, GCC are higher with cultivated, GCCs faster, to saw, and about that right, institutionalize working we’ve But working. were likely able the paying local re-org, What go sooner. working surgical entire the our prior that or I well, think the rep of now. talk we’re they GCCs, go way be ecosystem, GCC again, together. very better and ready of better, the with an were saw very the we important able they independently. the to educate et mission the seen. And learning best the

between sales yield very more quality collaboration And so it’s tight and was higher surgical rep standalone through market that GCC that happening. better efficient development

institutionalizing now, better it were So recently territories, standalone expect productivity follow now other within with uplift the there. We what of the directors and development on where entire and excited super leadership we’ve territories those on handful better soon. GCC that market integrated is And we that under sales entirely taken regional to seeing think we’re the we our GCC team is salesforce. the was what of XX already we’ve we infrastructure. we’re in happening And member done replicate now a saw them surgical to

mean that some timing territories? expected on uptick see I One timing can I you follow-up. quickly any it. mean in think or Got you how other –

I think.

yeah, We Paul. ahead, go –

standalone standalone now, I device has and cataract of cataract I any think and barometers. just a don’t again, broad seeing device. a hard it’s right? We the to track with combo mean, accuracy, severity device. and indication a you have some for if we’re It’s very a uptick OMNI, disease. combo at same standalone It’s OMNI

and tricky. into that. on, it’s device. in rolled that to gets But growth, our based of performance our I track because tricky way, all up same it So all, first think, the It’s it’s

our XX on commercial and that we’re and large we standalone some continue. of driving practices, standalone if first cataract then, possible. just customers [ph], a their can cases with to and cases, from best get-go do we combo do having we’re the our And that surgeon training we’re today standalone X customers having discussions awareness we’re and that the and the we’ll the when discussions way cases doctors So they we’re from X feedback have institutionalizing the – the expect infrastructure

to kinds good barometers things with the frequency. It’s amongst And, happening very all are grow. around surgeon of standalone things any tangible real because us. think, progress, increasing isn’t of community cataract that are an those The continues are So chatter standalone product the again, to right those product of the area standalone market is OMNI – development, like in the accuracy to assess that’s otherwise any with successful combo now same tricky and standalone. I

Got it. Thanks color, the guys. for

Sure.

turn you. now the for questions I’d Thank back to Badawi no queue. like in conference I closing remarks. see And to Paul further the

And everyone’s continued I hope you day. appreciate have I in thank and rest time. of you, a Chris, your well. Well, I thank is Sight everyone all. Sciences. your great appreciate interest

Thank you. all participating. This concludes today’s Thank you for conference call.

may You disconnect. pleasant a day. have And now