Sientra (SIENQ) 11 Aug 212021 Q2 Earnings call transcript

Good day and thank you for standing by. Welcome to the Sientra's Second Quarter 2021 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speakers' presentation, there will be a question-and-answer session. [Operator Instructions] Please be advised that today's conference is being recorded. now today, hand and Oliver Officer. would to conference Chief I speaker your Bennett, Instructions] like the to over Compliance [Operator General Council go Please ahead.

XXXX to Thanks of everyone remind United the are our will laws. Sientra and considered Good we in I welcome States today, statements operator. second like security afternoon that quarter meaning include earnings remarks to forward-looking call. would within the that statements

to management may forward-looking your make questions. response addition, In statements additional in

and will Officer. Miller, the and Interim President, Today Executive over is to Investor that posted the and be company's on forward-looking XX-Q now management's current also Executive would by and uncertainties Corporate at quarterly like on Relations discussion www.sientra.com. and XX-Q we its to quarterly The I expectations affect routinely Valerie and Ron? to Forward-looking Sientra's investors. Form Ron company's forward-looking reports or differ contained report this events Actual Ron Menezes, based and implied statements risks information call Financial on the the company Sientra's operations, that that no detailed assumptions company, material review from to results deemed of is XX-K on or Relations future the call projection, information Form faces and Vice is performance. materially important Officer. uses turn Chief President in statement. trends the Sientra in its other Investor and to afternoon. are company update estimate, Chief website of the may A filed note may Chief website or its company about including information which the I obligation have annual Menezes, Officer; or any and may statements. previously accessible undertakes our publish expressed about business, Sientra on strategy, that President those financial filed and and Financial Controller,

our second Thanks all Ollie and earnings you thank XXXX quarter us today call. for for joining

Let's begin an already running in him hit welcoming Officer. Financial support to performance. Andy Sientra have a on you'll hear month to our ground Schmidt, Chief how assessing Andy from great financial by joined our Later, and opportunity last us financial has growth. the new rapid position is

quarter breast that second overall levels. have breast of to On and the X.X% to Products which reflecting progress XXXX. in highlights surpass almost and call acceleration today, the first of about sequential second some to record second We're encouraging resulted XXXX, pre-COVID we're business Sientra pre-COVID in grown nearly XX% start the outstanding for delivered especially revenue Sientra the XXX%. compared demand our quarter in again, of from of includes encouraged our very why of aesthetics second the the year-over-year like about see of growth share market XXXX is headed. of quarter it augmentation our levels improvement growth I'd recovery the in to where growth estimate We results XX% over and quarter quarter, market to XXXX is Once $XX.X excited increased has Breast million our recent of

in extender outpacing second making are second quarter the More quarter versus and business it to demonstrate implant company from we is that XXXX notable XXX% quarter versus our towards share. of years progress being clearly augmentation revenue in a results and exciting XXXX. sizable importantly, market our increasing This see significantly two taking second by top-X market, XXXX goal a XXX%

in of market company on in product one aesthetics. and enabling with is resources and the growing plastic reflected channel Sientra rapidly our surgery into generating our highest history. quarter of our dynamic Following the sale the the now revenue successful is our all commercial breast the of results focused closing to sector the business, us of This execution second miraDry focus only

execution Additional an commercial productivity. in includes increase our sales rep

Our half end and XXXX sales continue seeing as of grew trend improve of this half the in this rep of to XX% we're the the revenue of first territory second year.

QX substantially new our over is QX plastic very history leveraging market continue number Sientra's As through XX% The focused over growth as traction, primary on augmentation growth from first you strong breast to two to growing surgery key know, noted accounts the level market. that Augmentation momentum are primary driver high our and of of reached a growth base is earlier. with in I We'll on outperforming today strategies business accounts. breast XXXX reconstruction. highest quarter extended build demonstrating the today a markets, XXXX our strong

of growth our continues accounts, most to However, sustainable come demonstrating strategies. of our existing to drive execution growth ability our from commercial through

XXXX accounts our XX% the drove versus quarter During volume mid-to-high-tier which nearly quarter and XXXX. second the versus XXX% XXX% second quarter, quarter second of grew almost our in

our Sientra get breast to of Those to quarter ask with over by all to last As the our nearly plastic referred over XX,XXX to the family patients website. gone XX,XXX QX acquisition digital number company patients. in XX% data, patients, name part and over about to XXXX from up XXX surveyed brand position successful patients survey practice referred surgeons, were in In year's patients has which we or surgeons in for brands very surgeons versus been aug us have doubled friends heard Sientra that putting and referrals. Sientra In the has to strategy from a past two XX% recent number recognition we potential among patient patients for year-to-date.

increase program in current to market We our loyalty purchases share accounts. physician repeat and also expect extend

XXX% industry and leading higher XXXX new revenue advantages to added XXXX. and recognized surgeons, more past product than be This business, quarter space this appreciated turning accounts than was patients. XXX than our our to and Now hospital reconstruction continue our in higher hospital by quarter second and we XX% QX recon

leveraging the local clinical is we get for contracts we as partnership gain new new addition, In Ultrasound to devices hospitals. competition This to last or advantage an to accounts. for managers be had Butterfly announced proving our quarter, are a reconstruction

looking at this of we excited a see because strong the half Now year, augmentation second market. we're

the uncovered patients survey choosing where they in spend potential top procedures the XXX aesthetic are augmentation breast to Our money. the three of

going to program safety, differentiation. by our to incentives partnering influencers position loyalty include trust to a despite complication are surgeons' to surgeries plan of of range quarter. plans matter expand of improvement volunteers. interactions, be on our most that and path digital of grow into a presence and highlighted generate brand benefits our half and with XX office second the continue surgeon momentum the that fact, surgeon We're during with thinking As and Sientra training them procedure. reach and the next our increase a guide in our within XX% more are will market. booked well launching getting the real for of interest breast world of patient adding to aug We rebound them And have recent we patients this will to And Academy booking to through reinforcing they fuel additional reinforce fourth that the awareness to the the many continued about Sientra months, stories initiatives the

the adding be highlight also to in business advantage. additional will our support clinical We reconstruction products

social live makers. as starting again participating hospital and targeting and events peer-to-peer and increasing our are be will once we'll be digital physicians in surgeons outreach education We decision

contributions Dajles joined us Research In Vice Before team. Denise and our to making Andy look dynamic plans our detail, pipeline June, sharing year. the results President more leadership want this cover to exciting Sientra Denise the I more addition later financial Development. over three and the call to turn already a we to women in to to begun of of highlight I of forward those product has

recently our of we addition Dr. In Erenburg Nori Irina Ebersole and added Directors. Board to

as experience overall for in We will to medical breast Adding expect our objective to products their critical continues invaluable that continue be take we aesthetics a share diversity Sientra. in the greater to market. organization prove

for proud continue our that the review a our the Andy of now Andy? which treatments who are quarter results. Board half financial focus transformative is I'll executive our autoplastic we to advantage turn surgery. detailed second as company over for leaders to of bringing are our leaders to to becoming Directors half a are female, and on We competitive of more progress of call

Thanks Ron.

First, I'd as XXXX Sientra am work operations, representing fiscal From to accomplished how but fiscal XXXX sets I the be during first more company's like rebound has new year of second a a perspective, great of commercial the to half a been year for for the solid half CFO. my note stage pleased XXXX. great importantly, the has and the that the been

company. but only an period current structural showcase Our not changes the improving also model, critical financial at business results

our results, is into miraDry results. in are dive operations. miraDry QX, me item business structural business accounting I reporting our Before we the a of current period financial address discontinued to the Due let that during operating key as the sale represented

revenues forward creating have longer revenue Going clear posted will noted, in represents our operations Sientra. results a Sientra a whole. space. and Sientra no results reporting of business, and forward now Ron as breast XXX% quarter which surgery presentation QX up from will the the a product in the financial to go a million XXXX XXXX. out breast transition our we presentation comprises to no segment our tissue model. of company business a current for expanders and XXXX QX QX breaking comparative QX period products and breast is plastic as Shifting X.X% be is as Similarly, results, play BIOCORNEUM longer we for is to implants, need as pure our results continuing which then, as products our our very up record compared be we This a financial great and $XX.X operating

covered was XX.X% that As for for drivers, gross market XX.X% margin critical QX and QX Gross XXXX move QX to XXXX. XXXX to the Ron compares margins. for has forward I'll revenue XX%,

we As is key and a the have has communicated, gross previously clear upper to XXs sight line channel to margins margins. The company mix. driver product gross of

our augmentation performance also Ron As from discussed, showcased current our great quarter business.

industry on margin a timing overall recon shutdowns A utilizes company have feel a expected our comment the of due that not costing procedures. the recovery COVID from sales shutdowns, reconstruction augmentation is deferred confidence difficult experiencing our the to we dynamic. forecast overall timing further recovery, the in we opportunity methodology. that lost but are and the standard COVID between market gross of Similarly, Given sales not yet at are to mix we the while

will gains As quarters. over cost such, immediately, variance over a positive periods. in not realized significant three rather realized sitting amortized that on and future Sientra they the are capitalized be productivity are is next

of this Franklin positive manufacturing to is variance in gains which Additionally, period our our we added indicative facility. continued productivity

in sales invested from has increase in primary expense go-to-market marketing was center in to due of expense distribution production represented XXXX as of reopening expected future in on our compared the to Continued operating the Barbara Total to million million Wisconsin expense. $X $X.X improvements company our of to was future capitalize the efficiency $XX.X increase market QX is Franklin, million ’XX the and ’XX. that million as creates The QX opportunity $XX.X increase. Switching the that This our Santa ahead. assets opportunities. of which relocation likewise as operating economy and lies for

sales XXXX revenue resumed shutdowns COVID planned marketing due and curtailed to now and have was we Our initiatives. growth expense

GAAP a QX variable decreased current million or have cents was as million expenses, $XX.X a from $X.X $XX.X cost of reduced sales to for Total result compared operating ’XX million expense continuing $X.XX operations share. component. per the period which from loss As

at $X.X a for includes we believe or is share finance that $XX.X activities due cash improvement. balance compares QX this our due is $X.XX performance non-cash to Year-to-date balance associated raise a XX% December QX used XX, for with treatment cash debt in million. of company’s However, million. related million other $X.X XX, operations QX items. million ’XX derivative of and of or the sheet accurate a cash $X.X period capital year. the in This Switching was more million share a to non-cash to reflection XXXX convertible charge and of increase with million $XX.X million to was June as a an XXXX. net a instrument. We which ’XX of The items ’XX ended our Adjusted EBITDA $X.X per to loss the cash these to compared loss per accounting netted $XX.X this key balance $XX

of was an to due increase However, in $X.X that increase XXXX sales million demand. market increase accounts to receivables amount to address future and in in attributed an inventories

was which Paycheck XX, were an and debt in inflow miraDry total million convertible the offset million partially milestone initial during resulted This June purchase million miraDry. outstanding from of debt of I'm of approval very that well loan. at sale term at our XXXX of the consists for and for as company was loan the million $XX.X call company Total loans, payment of forgiveness by during Finally, note which million full period as $XX.X second million. quarter. full for $X.X $XX.X the applied Protection the $X of $X.X a our shares received pleased time company’s the of to has report this forgiveness the Plan the

loan results will forgiveness. XXXX QX PPP Our the recognize full

guidance discontinued not Turning our million, compared growth raising revenue our guidance does sales million to $XX.X of are operations. XX% revenue This $XX in XX% to a guidance for in to $XX XXXX, from expect to include we of range XXXX. to million reflecting of

be expect to $XX $XX of the to annual continue in to expenses range We operating million. XXXX

terms we I Valerie the Form today. in up Ron, to our our XX-Q like Q&A. filing and of be Miller, And will XXXX housekeeping, open now Operator? QX call would Finally, for controller

Thank from Jon with you. Instructions] comes question [Operator Stifel. Block first Our

line Your open. now is

Florida Great, on embedded recon quarter talk one you any expectations third around in are the fourth maybe tempering the XQ, we first good XQ thoughts with an afternoon. in markets year? back expecting augmentation, anything Last the around are momentum recon the maybe Thanks. the quarter out you Maybe ongoing the in maybe accelerating talked for are guidance, about the variant you to call the just to of in or it certain the and talking like and about thanks guys, can what Delta about market? accelerate and part quarter, in or

be very a said to very Thanks Jon. that you state. yes this of In every part of unlike going probably issue, is a impacted regional Florida. It case, XXXX lot

in we're Texas We overseeing strong California, a we're are northeast still the -- well. still very and as strong

so Florida XX so to closing not if expectation. down, of hospital the of We So, you maybe that things are vaccinations coming If different the hospitals, is a as not there, is one part in as a one vaccination this back have -- up, as that our increased out we maybe is all end. accelerate guidance we we environment keeping heard the low range. expect with range XX, things that are

happening of range though very with even maybe in couple a confident are next that what be We of months.

maybe make questions, And I'll parts. this great. one Okay, then two that’s two I'll stick to but

Andy, Ron, anything to out pipeline the quarter. the commented the And your markets the you, on beat next-gen you on additional with progress like call Canada on in So, for gross agency then which us tissue expander or maybe etcetera? margins

the into I good You Thanks that is high sight XXXX time of XXXX? about of just talked also wanted range some or guys. that really line the clear, was for early is of be part to XXs. XX% as half high a your early commentary back to the

It's continuing to XXXX with we expectations before the regards In AlloXX end Health we year negotiations Health Pro. submission with pipeline in to of are well discussions launch. We still are have with the Canada. regards move to progressing Jon, Canada, the forward.

I ’XX We then XXXX be are launch and a in approval late hoping Health stated Canada. this before, for a like will

for us that is well aug at look Sure, faster XX. the going in the about gross of then that the Recon moves XXs our quarter already and expectation Ron aug or of If commenting accounting next overall we Again, whatever of in mix are two to we'll on a gains to just to mix more But you that incremental. then the margin be picking market, point the move that be is, it’s in reason received. to one key upper XX, from point will margins the as the towards should reconm, identical, a due be heavily bigger period, say mix recon. that’s augmentation talking basically And of equation even going the what it and maybe just current side manner. actually in gain be Again stays mix. period been a if amortization has between we let’s we've other then versus this gross skewed for is and to again the piece know terms dynamic

to So, at going be but XXs. quarter, that point quarter mix at to to product going that’s be we're expected it’s definitely upper some get and

Great, thanks guys.

Thank you.

Our next with Nowak question comes Alex from Craig-Hallum.

Your line is open. now

Great, everyone. good afternoon

what where Following would expect to up here the to else Thanks. within on because add And later the on expand plastic pipeline go space? bring you this surgeons? question, on could then What would other you could products that top breast, going the year, items that on you other of breast you that? maybe solutions detail

we're in we missing need Yes, to obviously and products from the skews in discussed the organic past looking be market. Alex. Thanks, and we additional sizes that large perspective

right So we those the things are at now. are looking

We plastic mobility are reconstruction. team can't are and in also commercial our to right looking that specifics, I augmentation they related at surgery. into get those but are areas that things And now and enhances presence breast the

things discussing We our of are be right that's all have products business Day. core to plastic looking R&D we're when gaps we're surgery, now we core an now. filling our Denise but of the will is still and focussed that products we at in products existing do not big going Right in focus looking the not XXXX something some six business to that's focus our may for our opportunistic the or in right be now is XX and still within on very months,

else the cost you of take side more -- cost costs the makes then now the question reduction then the Andy system? side. structure, of can a cost where had where OpEx XXXX? the just goods understand And how And sense. We've you going are out that see do for understood, and about else in spend on so as well, on you Yes, thinking to of another initiatives, XXXX, weeks couple OpEx into out potentially

Sure, continued relocating but we so efficiencies this Wisconsin. we're let's from we talk to COGS Barbara expect now, center just in finished period that Franklin Again, our site, just out of first. our distribution right Santa

ship to single saves from had we that where Wisconsin near and shipping previously $X Barbara to in goods then to beyond. costs million Just points Santa move finished

straight Olympics So great right to away. comes just right the that's bottom

in an marketing be which and the sales have look The we're other down as company to going we forms. set it which to to is, in Wisconsin, systems. many plastic is into surgery in getting is, is, form down the at through the of a different line located One going actually being bit expense play reduce Kind used company I now hits the way operating and part three on centrally work terms and adding to quite work gets of a that pure such outbound expense. level opportunity that, a takes of the space, ERP

a deal inefficiency the created system, create final pure not then should so which on we that some great Likewise, So play, and a more finished focused migration now are we ERP to of we're opportunity. businesses. one just multiple

So means expense, order and when support to more efficiencies, should business. back what we this in that operating be in looking at we look end, the again for

you. That's that, great. I thank appreciate

William our Kaczor from And question with you. Blair. Thank next Margaret comes

Your line now is open.

all some if so the so was can numbers a but sequential it if things, good otherwise a down with I'm or a of that or it's wrong, guidance, what's Thanks like down by better start correct am break Japan the kind these of this of you're the being bit I guys, little to pill, of for at impact Hey recon sense the year, aug, get maybe of half other or looks implied me maybe Delta those curious in questions. afternoon. and could second assuming and you're through deceleration whether I whether in passing of going assuming bit you of the so point? a taking I

augmentation obviously, I'll Hey assuming quarter. a no it's you but those to comparing hand seasonality longer of to and numbers we But Andy, we start for QX, as now over compare taking XXXX, four to in are or Margaret QX they're are surgeons, I and the second yes, comparing talking the I'll the been robust are remember when all busy, last happen three booked state that third quarter. they the At which weeks, same vacation, did two or time the third to into didn't quarter. taking vacation they're quarter. fourth

that you to recon From expect that's little side, from see So slowdown. come our we back. why

We We expect did whole to coming accounts. Mississippi, six did months in as to the such new XXX but four that the slowdown, robust tissue past, we hospitals seeing to on share and because parts accounts, build it's going slowly takes due expander, build. to board little I have of bring have our still this are We're thing and Florida a slow Louisiana, as a to slowdown. there new you're country some then add

XX. that's we're in we're comfortable thinking, where but range of that So very to XX

add going I'm Sure, Ron to just what bullish on actually to very here. half second the said, we're

expect to in from but well even bringing one of very that compare arguably the are be it's QX, the space, but and are in QX They're second whole the and quarters what last had in messages the then solid, on half the of going second keep is still us less going hit. market. year robust a in let's be back the a going It's strong, market. traditionally a two we is are little should normal say Again, that vacations. is But again, QX need down year than focused vacations QX, is so shorter take half our significantly going demand hard means positive really little key and it we take or positive, to very we ecosystem. very of in way, think going everyone without so believe back considering have our that bit some let's is, continuing to you, assume the strong They're plastic I but year to year is that rebounce motivated be show be showing in again, to excuse the all just have seasonality, though is the to a expect me this seasonality, a to but them hit really checks backlogged QX, the of to a message to we a going expected, surprise year-over-year. that's seasonality driving QX and terms QX numbers to it expectation then together as QX and is, can quarter. surgeons seasonality

overall the whether again So think space are pulled. coming back we recon again, be going hard, comes the charge it or from we have [indiscernible], Aug levers space that to continuing different to many

very in than slide so more second question, Okay, things the for traditional the seasonality correctly, would true up I'll quarter. two that's [indiscernible] helpful. the And first on understanding a first if up, follow apply bit is in you that little follow I'm third the

long question something that's I like was, see as got the so going XXXX current come and go had the right, second And recovery, of you into underlying back? we investments then are really you've and term QX back down could you've got strategically longer kind making COVID two just folks as So then the double-digits dynamics, you you term. we're into there's said, guys then

to really delays about upfront, you the strategic look but doesn't comments it like some investments. of that did due impacted maybe functionally We've heard you those talk much. numbers, Now, COVID Ron's some from Andy

XXXX? for what So be, how were, can material mean Thanks investments I'm that guys. those does and curious that what

start would Andy. I'll to Maggie Yes, it over and move I I'll say,

no strategic investment. in is there delay So

plans all We're Denise this to of on story part to board enhance are XXXX? bring the no XXXX, to is the of three into products manufacturing. more is down kind past, next our I those think keep R&D, so think commercial, executed. about about doing, OpEx Sientra year the commitment execution year the slow and but what one team do for with as next We We this will in And have? aboard areas is fantastic future. and commitment we now be have there. how two of there the what we products, to three we transitioned areas So invest And took slow down. the of for discussed in no strategies, plan flattish for areas; key and that we XXXX took three grow, team year, group a How coming we sales year, marketing Denise we'll about is to missing

Andy? So,

Ron quarters. Sure, was not making I was recovery here. being QX QX and as last confusing for am said, just $XX.X last Products were year adding, just year, million. QX QX Breast I sure

We the expect Again, positive to But number, be is overall. second $XX.X or very favorably year, very perform perform to will very to not. is this number. this to again it's did strongly, a be possibly that we going $XX.X as key quarter, the it half going and

perform remarks. as talked got to and put market, in So we've everything we're We've in, from right manner, force this got you in place orders market We've expecting perspective we're his belief of we've to very That's period inventory, investment and that again, Ron that's $X.X in what do the the what see right million versus got this market recurring a the we to kind prepared a of the sales sales in marketing great out we $XX.X jumping and and there. we executing again got think the offering terms can in commitment real and significant year. in is why our up us. last the well, million

you. Thank

Newitter from from Leerink. Richard Our next SVB comes question

now Your line open. is

coming of volume Hi, I the trended see are and the you to XX% question. quarters? just XQ. thanks this taking is you that high remind wanted I one over for accounts quarters over us driving how gear mix two Jamie the that's start, mid on in out where to guess Could to you highlighted settling for my past Rich, the

due is are overall into drive the the accounts, highest about the details C really of is Tier our that to Tier a those so amazing Yes, have we dollar kind set certain of up we and way Tier D Tier and dollars A, different a get probably B we'll through level is dollar volume and which amounts. account, What XX% of of so we amounts business. new in A setting up went

to the had mind first, in XXXX, XX in of Just keep we quarter accounts. like second the

And XX the We combined accounts. almost this back have next of accounts. in have volume year B have that and quarter the XX overall now with accounts, almost Tier XX% drive A, second those with we year, we XX last

acceleration XX% in So proud high them our which order on is very more the have expanding being accounts. mid accounts, volume are We're Tier They driving this with goes on we're are sales an board accounts back quarter. that existing So accounts months. share, six into same-store us share market expanding those for seeing ordered, of to our six we for last months, those than the of

of So ordering those accounts mid-to-high quarters volume improvement we've later coming why two the see accounts. and Tier you the that's high from of seen

and we're what the that's right now being that. by growth So driven seeing

adding we with, volume. become but lot are are accounts those begin they usually high to of new low volume accounts, Now a eventually may

just helpful that expectations Thank the mix Breast us and of margins, where, that's where Reconstruction are the business just, it, of sense about settling between a kind performed any really you how give and is and talking context longer then guys you could of term? tissue now Augmentation in you. your could over see the gross out just you you and on Got color the provide quarter business expander what the in

breast drives lower past our our to it, implants tissue some Yes, keep the that's sales but team we the AlloXX hospitals in sales and expect specifically, coming won we was has it's mind tissue is hospitals our part than not tissue incentives business impacted And the some of put have second expanders, hospitals, We've quarter our for what about hospitals. recon as are seen the XX% that's well and XX, done second obviously of very, because in in implants now penetration is our we expanders marketing XX for just in in very expander online. hospitals. to extra drive of business in our our that the why, team half those and both in augmentation

developed extra teams new some the incentives. and we So put rolled already marketing out. some We strategies

so board, to focused existing on in in helps really We expanders drive the then additional and and seen meeting coming tissue to further them out hospital, reps for The generate last drive A new accounts. is share that accounts and things them the came back hospitals those lot to in there's go other Chicago, we've times a the need hospitals. additional of the on sales. is week, and rep great those

Sure, basically or said that restructured in and adding what pricing so more from to nature cost so than and market of gross we're just a the of can perform XX% goods it's and of market terms just market, that the homogenous higher why terms Ron a finance set. excited again it's customer X% just margin it's a basic market, odd perspective the from sold, about of and in

to demand So again us top. and we they when answer on actually for we're market think positioned really well back very important get fully

color. for so you Thank helpful. That's the much

our you. Anthony Thank Group. Vendetti And from question next comes with Maxim

Your line is open.

Thank you. quick just a Yes, question.

if actual revenue are On what's generated, you and a the generating, was surgeons, are referrals and about within XX referrals, X they generated, months. you there if you appointment to the an actual know within. plastic the tell measure when referrals whether it, it's XX,XXX mention months something don't then can an how within or that's those procedure, how I then into and conversion

reach So we And of or the made how is, searched doing? location is who where you're who went we or see website, do phone that surgeons on who the can who what What surgeon. surgeons' appointment. actually searched calls, the don't that -- Anthony, to see physicians

fill form a surgeon. but the have of out a to a out Some fill that they with lot form, times

had conversations surgeons' they're calling referred and with they them, that told us, needs individuals and found is, have of work, office have had in a What know help also is, little him cetera. et lot We Sientra need we let found we and have office staff the their retaining of surgeons patients. lot website who those several those a bit capturing a and prospective

Academy could very to XX/XX learning Sientra marketing phone pilot lot majority the individuals of so was was skill answer times be do staff, lot new and So was it in into site. calls, surgeons. to website, of because program how The our how doesn't to from remember them, our because had XX staff, they prospective be a how and their a customers the learning surgeons that right of Sientra helpful flip techniques, well side, for we practice. first they're were retain their staff. and the to out ago, known the and the and have we it that their how the customer, a Because ask them from from for are rolled skills idea they program, weeks received well don't of to that across them, they new we two they impressed From have, that cetera. experts questions, We retain known surgeons, a for set et with a a are survey pilot Academy, to going surgeons marketing,

of of do site, do big the or offices a the accounts but not. have large big a Some marketing majority some

retain Sientra our me So referrals. a driving you including combination what It's we're ask people is to many factors are seeing, trying growth? surgeons name. referrals lot But actually or keep do by to think those ask of we help to them a of

at of you're here? bit that Okay, that's think going evaluation targeting remainder can anything take up that think is of out savings more of be then Andy, at the saved the follow or to still sticks cut there that some a cost helpful. to And there's year I for little this costs just or costs, here or kind an it if a like anything Andy clear was the you be that this could maybe lastly, on is see

have that of sold are in bank and the roll all, that put goods next quarters, this in line. I'll it couple are first is backed we the going already amount a that here of been over earned savings out our of cost to so Sure, basically way, of that have fair

of key businesses, expense, at multiple just surface for opportunity just that number basically and that not an costs, going and in helps be terms being quite look operating just is And condensing We cetera, shipping we the We're definitely more to when opportunity. definitely pure we're distribution, then our have a that's doing, instance cetera. et et in on space, business, of scratching terms a play in simplification of locations now, so bit. a the the of what

through see like a a said, to the going that the on so of I and ERP gone incrementally including transitions, the G&A we're that's line. So, company again, won lot different And transition, has done.

So as we go seeing forward type expense off. that with effort start that, of the of roll we

number we'll consistent be to a basis. will on a different there's it of where we and but see see areas incremental, So efficiencies, it expect

back hop I the it. queue. that's appreciate helpful. I'll great, Okay, Thanks, in

Thank to you. no conference time further like the closing Menezes for I'm At Ron this showing comments. back I'd questions. hand to, over

our September earnings be meetings. Thanks us Meeting including the for I many operator. a in quarter X, on participating I in Conference Investor as XX, coming thank call. be in evening. several late of meet upcoming the hope Atlanta conferences, we'll and virtual attending in wish you months, to second well want I we ASPS want are for XXXX In October. to going Canaccord to great you to thank on August Colliers XXXX conferences, all the joining you you

call. conference Thank your you today's concludes participation. This for

Everyone have a wonderful You may now day. disconnect.