Carlsmed Q3 2026 Earnings Call Transcript

Carlsmed (NASDAQ:CARL) reported third-quarter financial results on Tuesday. The transcript from the company’s third-quarter earnings call has been provided below.

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Summary

Carlsmed Inc reported 65% revenue growth in Q3 2026, reaching $21.6 million, and raised full-year revenue guidance to $78-$80 million.

The company launched the Aprevo Lumbar Bilateral Posterior system and is preparing for the QORA cervical plating system launch, both expected to drive growth in 2027.

Operational efficiency was demonstrated with a 140 basis point gross margin expansion year-over-year, driven by lower manufacturing costs and digital production improvements.

The CMS FY27 IPPS final rule now consolidates the DRG codes for Aprevo lumbar procedures, potentially broadening patient access.

Carlsmed’s surgeon user base grew by over 60% year-over-year, with a 76% increase in procedure volume, supported by a strong contribution from Aprevo Cervical.

Management highlighted the strategic importance of recent organizational updates, including new executive roles to support the next phase of growth as a personalized surgery company.

The company’s capital-light, digital-first model enables efficient scaling and patient-specific innovation, with a focus on improving patient outcomes and reducing reoperations.

Adjusted EBITDA improved to negative $7.3 million from negative $8.2 million in Q3 2025, reflecting positive operating leverage from strong sales growth.

Full Transcript

OPERATOR

Ladies and gentlemen, thank you for standing by, and welcome to the Carlsmed third quarter 2026 earnings 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. I would now like to turn the conference over to your first speaker today, Stephanie Zadkovich, Investor Relations. Please go ahead, Stephanie.

Stephanie Zadkovich (Investor Relations)

Thank you, operator. Welcome to Carlsmed’s third quarter 2026 earnings call. Joining me today are Mike Cordonnier, Chairman and Chief Executive Officer, and Rich Heppenstall, Chief Financial Officer. Before we begin, I would like to caution you that comments made during this call will include forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements made on this call that do not relate to matters of historical fact should be considered forward-looking statements, including statements regarding the market in which Carlsmed operates, the potential of Carlsmed’s current and future product offerings to improve patient outcomes, trends, expectations and demand for Carlsmed’s products, expectations with respect to reimbursement, statements about the company’s clinical data, surgeon and customer adoption, procedure volume and utilization, the timing of Carlsmed’s future product launches and its planned multi-center cervical registry, the ability of Carlsmed to scale, and Carlsmed’s expected financial performance, growth prospects and position in the market.

Any forward-looking statement made during this call, including projections for future performance, is based on management’s expectations as of today. Carlsmed undertakes no obligation to update these statements, except as required by applicable law. These statements are neither promises nor guarantees and are subject to known and unknown risks and uncertainties that could cause actual results, performance or achievements to differ materially from those expressed or implied by the forward-looking statements.

For more detailed information, please review the cautionary notes in the earnings materials accompanying today’s presentation, as well as Carlsmed’s filings with the SEC, particularly the risk factors described in Carlsmed’s Annual Report on Form 10-K for the year ended December 31, 2025. I encourage you to review all Carlsmed’s filings with the SEC concerning these and other matters. These filings, along with Carlsmed’s press release for the third quarter 2026 results, are available on Carlsmed’s website at www.carlsmed.com under the Investors section and include additional information about Carlsmed’s financial results.

Additionally, during today’s call, management will discuss certain non-GAAP financial measures, including adjusted EBITDA and adjusted net loss per share. A reconciliation of these non-GAAP financial measures to the most directly comparable GAAP financial measures is included in today’s earnings press release. A recording of today’s call will be available on Carlsmed’s website by 5:00 p.m. Pacific Time today. Now I would like to turn the call over to Mike to go over Carlsmed’s business highlights.

Michael Cordonnier (President and CEO)

Thank you, Stephanie, and welcome everyone. At Carlsmed, our mission is to improve outcomes and decrease the cost of healthcare for spine surgery and beyond. We aim to accomplish this through our proprietary data- and AI-enabled, surgeon-in-the-loop personalized surgery platform. The published clinical evidence behind Aprevo, which demonstrates meaningful reductions in reoperations, continues to drive strong surgeon adoption, procedure volume, and revenue growth, while our inventory-light, digital-first model lets us scale that growth efficiently.

We believe Carlsmed represents the future standard in medical technology, one that is better for patients, surgeons, hospitals, and payers. The third quarter represented strong execution against our long-term strategy as we reach an inflection point in our business. We delivered 65% revenue growth, and we’re raising our full-year revenue guidance to between $78 million and $80 million. We continue to demonstrate operational excellence, consistently delivering Aprevo personalized surgery kits in about a week, expanding gross margin, and improving quarterly adjusted EBITDA year over year.

We broadened our portfolio with the commercial launch of our Aprevo Lumbar Bilateral Posterior system in October and are preparing for the full launch of our QORA cervical plating system, both of which we expect to be meaningful catalysts in 2027 on reimbursement. The new lumbar MS-DRGs that took effect on October 1st are a significant win that we anticipate will make it easier for hospitals to provide access and adopt Aprevo, and we announced organizational updates that strengthen our leadership team and prepare Carlsmed for its next phase of scale as a pure-play personalized surgery company.

Our technology platform leverages proprietary data assets and foundational AI models to create surgeon-specific 3D surgical plans and translate that to 3D-printed anatomical correction implants. Published studies involving our closed-loop technology and Aprevo personalized fusion procedures have demonstrated predictable outcomes and a meaningful reduction in reoperations. Our underlying technology platform powers the business to run capital-light and drive sustainable, profitable long-term growth.

Commercially, we delivered strong revenue of $21.6 million during the third quarter, representing 65% growth over the prior year, driven by rapidly onboarding new surgeons, deepening utilization within our existing customer base, and building upon our 4Q25 launch of Aprevo Cervical. In the third quarter our trained surgeon user base grew more than 60% year over year, driven by continued strong additions of new surgeons who performed their first Aprevo procedure in the quarter, and procedure volume grew 76% year over year with a growing contribution from Aprevo Cervical procedures.

As a result of this strong growth in the first nine months of 2026 and in combination with our expectations for the fourth quarter, we’re raising our full-year 2026 revenue guidance, which Richard will detail shortly. Organizationally, we recently announced management team updates to prepare Carlsmed for the meaningful growth we see ahead. In September, we promoted Jeff Bertolini to Chief Operating Officer. Jeff previously led operational excellence and advanced manufacturing technologies at Carlsmed, where he drove the deployment of advanced technologies throughout our digital production process, and he will lead our operations as we rapidly scale. We also welcomed Richard Heppenstall as Chief Financial Officer.

Rich brings deep public company medtech finance experience, most recently as CFO of Zimbie, and will be instrumental in driving disciplined, efficient growth. And on October 1, Dr. Tony Jarc joined us in the newly created role of Chief Product and AI Officer. Tony spent more than 15 years at Intuitive Surgical, where he built a global AI organization from the ground up, and he will lead the development of our next-generation technology platform, surgeon UI/UX, and personalized spine surgery procedures.

Together this team brings large-scale experience to drive the next phase of Carlsmed’s growth. Operationally, we continue to demonstrate the efficiencies of our capital-light, digital-first business model. Our proprietary digital platform enables us to provide patient-specific and surgeon-specific preoperative 3D plans, personalized implants, and single-use instruments directly to the hospital without the significant capital investments required by traditional medtech companies, like surgical trays and stock implants. We can focus on patient-centric innovation in partnership with surgeons and hospitals to execute on our mission to improve patient outcomes.

With our deep focus on technology and operational excellence, we can consistently deliver Aprevo surgical kits to the hospital in about a week after surgeon approval of the plan. We’ve achieved approximately 140 basis points of quarterly gross margin expansion year over year. Shifting to our commercial performance, during the third quarter, our lumbar fusion franchise represented 88% of our revenue. We continue to grow the lumbar franchise rapidly, and we believe that we’re still in the early innings, with an estimated 445,000 lumbar fusion procedures performed every year in the U.S. Clinical outcomes data remains core to our value proposition for surgeons and hospitals. Published data on over 500 Aprevo patients has demonstrated improved surgical outcomes in both degenerative disc disease and adult spinal deformity.

Most recently at the SMS Annual Forum in September, investigators presented two-year data where, on 378 lumbar fusion patients with low vertebral bone density, patients treated with Aprevo had a two-year reoperation rate of approximately 6%, representing an 80% reduction in short fusions and an 85% reduction in long fusions compared to published literature in similar patient populations. Based on unadjusted cross-study comparisons, we believe this data is meaningful, as this patient population represents nearly 80% of spine surgery patients over age 50.

On reimbursement, the CMS FY27 Inpatient Prospective Payment System, or IPPS, final rule went into place on October 1, 2026. The final rule consolidated the 11 MS-DRG codes previously applicable to Aprevo inpatient lumbar procedures into three new codes, 523, 524, and 525. This new reimbursement structure simplifies coding and enhances reimbursement for hospitals providing the Aprevo inpatient lumbar procedure, which we believe will broaden patient access.

We have invested in our Strategic Accounts team over the past few quarters to drive awareness and education of this important change, with the goal of accelerating hospital approval of Aprevo. Finally, we continue to drive patient-centric innovation within our lumbar portfolio, and we’re thrilled to announce the commercial launch of our Aprevo posterior bilateral procedure in mid-October. Our newest procedure offering further expands our proprietary technology platform to enable a direct posterior approach for personalized spine fusion. Feedback from surgeons during our limited market evaluation suggests that this procedure has the ability to achieve targeted disc and regional alignment with double the end plate coverage as compared to stock devices.

This expansion of the lumbar procedure addresses an estimated 30,000 procedures, or approximately 7% of total lumbar fusions performed annually in the U.S. In our cervical business, surgeon reception and utilization has grown ahead of expectations post launch. With an estimated 370,000 cervical fusion procedures performed annually in the U.S., we’re already driving impressive momentum of Aprevo Cervical within this market as further extension of our technology platform.

The Aprevo Cervical procedure is designed to provide precise implant fit with maximized end plate coverage, which we believe has the potential to benefit patients who have a higher risk of reoperation, including those receiving more than two fused levels, patients with malalignment, and patients with low vertebral bone density such as osteoporosis and osteopenia, conditions that collectively impact nearly 80% of patients. Approximately 80% of spine surgeons perform both lumbar and cervical fusions, with about 20% of new surgeon users starting with cervical only.

Our planned multicenter Aprevo Cervical Effectiveness, or ACE, registry will collect real-world evidence from patients treated with the Aprevo Cervical at 6-month, 1-year, and 2-year time points, and we remain on track to commence enrollment this quarter. To expand our cervical franchise, we’re also looking forward to commercially launching our FDA-cleared cervical plating system within the coming weeks. With the full launch of QORA personalized ACDF plates, surgeons will have the flexibility to perform a personalized cervical procedure with standalone fixation, personalized multi-level fixation, or segmental fixation, with the goal of maintaining alignment as planned preoperatively and delivered with the Aprevo interbody device.

Approximately 60% of cervical ACDF procedures in the U.S. utilize fixation plates, so we see this as having the potential to deepen utilization inside our current user base and accelerate new surgeon adoption with the cervical platform in 2027 and beyond. Taken together, our third quarter demonstrates consistent execution against our strategy and positions us for continued high-quality growth. We’ll continue our focus on onboarding new surgeons, deepening utilization, and broadening hospital access, supported by expanding medical education programs for residents, fellows, and key opinion leaders. With a growing body of clinical evidence, strong reimbursement, and a platform built to add new procedures efficiently, we believe AI-enabled personalized surgery has the potential to become the new standard of care for spine fusion and beyond.

We’re just getting started. We look forward to updating you on future progress. With that, I’ll turn it over to Rich, who will review our financial performance.

Richard Heppenstall (Chief Financial Officer)

Thanks, Mike. Good afternoon, everyone. I’ll begin by reviewing our third quarter 2026 results and we’ll close by providing updated commentary on our outlook for the full year 2026. Please note our prepared remarks include references to certain non-GAAP financial measures. We urge investors to review the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures, which can be found in today’s earnings press release.

Beginning with sales, revenue for the third quarter of 2026 was $21.6 million, reflecting a 65% increase over the $13.1 million we delivered in the third quarter of 2025. Growth was driven by continued market adoption of the Aprivo lumbar platform through our expanding surgeon user base as well as a strong contribution from our newly launched Aprivo cervical platform. Revenue per procedure remained consistent in the quarter, reinforcing what we are seeing relative to strong market adoption rates.

We are excited about the momentum we are carrying into the end of the year and are encouraged that our personalized surgery solutions will continue to gain traction in the market. Gross margin of 77.3% in the third quarter expanded by approximately 140 basis points over 75.9% in the third quarter of 2025. Our gross margin expansion is largely driven by lower per-unit contract manufacturer costs and continued operational efficiency improvements in our digital production system, partially offset by a slight impact of product sales mix.

Sales and marketing expense of $13 million compares to $9.6 million in the prior-year period and includes continued foundational investment to drive long-term sustainable growth, including sales headcount to broaden our reach and marketing investment to expand our surgeon user base. R&D expenses were $6.4 million, inclusive of a half a million dollars related to executive transition costs, and compares to $4.4 million in Q3 of 2025 due to increased expenses to advance our patient-centric product development and AI initiatives.

General and administrative expenses of $10 million included $2.3 million related to executive transition costs and the expected resolution of certain legal matters. When excluding these expenses, general administrative expenses were $7.7 million compared to $4.9 million in the prior-year period. The increase is driven primarily by personnel costs, professional services expenses, and legal fees. Adjusted EBITDA, which excludes expenses related to executive transition and the expected resolution of certain legal matters, was negative $7.3 million in the quarter compared to negative $8.2 million during the third quarter of 2025. Of particular significance, Q3 was the first quarter where our sales growth and strong gross margins generated positive operating leverage on our profitability.

This inflection point reinforces the power of our differentiated digital-first, capital-light business model and provides additional clarity toward becoming adjusted EBITDA profitable without compromising continued investment in crucial areas that drive long-term sustainable growth. Adjusted net loss per share in the third quarter was negative $0.34 per share. Now turning to the balance sheet. As of September 30, 2026, cash, restricted cash, and investments totaled $80.3 million. Cash burn in the quarter was $9 million. Our term loan debt remains at $15.6 million under our $50 million debt facility that matures in October 2030, providing non-dilutive capital to support general corporate purposes.

Now turning to our outlook for the full year of 2026, we are raising our full year 2026 revenue range from between $74 million to $78 million to between $78 million and $80 million, representing over 56% year-over-year growth at the midpoint. This is reflective of the strong volume growth we have seen in the first nine months of 2026 and our revenue expectations for the fourth quarter. Our expected catalysts in the fourth quarter include an anticipated uplift in our overall Aprivo lumbar volumes from the fiscal 2027 IPPS final rule 20 that took effect on October 1, as well as the fourth quarter commercial launches of our Prevost posterior bilateral procedure and QORA cervical plating system. We expect gross margin to remain in the high 70s.

Additionally, we want to provide some additional transparency around stock-based compensation expense and the number of expected shares outstanding for the balance of the year. For the fourth quarter of 2026, we expect stock-based compensation expense to be between $2.75 million and $3.0 million and we expect our number of weighted average shares outstanding to be between 27.3 million and 27.6 million shares. With that, I will now turn the call over to the operator for questions.

OPERATOR

Thank you. At this time, we will conduct the question-and-answer session. As a reminder, to ask a question, you’ll need to press star-11 on your telephone and wait for your name to be announced. To withdraw your question, please press star-11. Again, we ask that you please limit to one question before rejoining the queue. Please stand by while we compile the Q&A roster. Our first question comes from the line of David Saxon of Needham & Company. Your line is now open.

David Saxon (Analyst at Needham & Company)

Great. Thanks for taking my questions and congrats on the nice quarter here. So maybe I’ll start just on the DRG coding and kind of what you’re seeing or what you saw late in third quarter leading up to that effective date in terms of kind of interest from hospitals and then what you’re seeing in the fourth quarter now that it’s live and how we should really think about that driving lumbar case volumes into 2027.

Michael Cordonnier (President and CEO)

Hi David, thanks for the question. As previously discussed, we see the new DRGs for lumbar as being an ongoing catalyst for our business. We did see an uptick in new hospital acquisitions going on contract exiting Q3 and continuing through Q4. So that gives us a lot of momentum going into 2027 and beyond.

David Saxon (Analyst at Needham & Company)

Okay, great. Thank you.

OPERATOR

Thank you. Our next question comes from the line of Ryan Zimmerman of US Bancorp ptig. Your line is now open.

Ryan Zimmerman (Analyst at US Bancorp)

Good evening. Can you hear me okay?

Stephanie Zadkovich (Investor Relations)

Absolutely. Good to hear you, Ryan.

Michael Cordonnier (President and CEO)

Hi, Ryan, good to speak with you. Mike.

Ryan Zimmerman (Analyst at US Bancorp)

Rich, Stephanie, thank you. Congrats on the nice results here. You know, in the past you guys have talked about kind of a mix of lumbar and cervical, I think with cervical being kind of around 10%, maybe, you know, a little higher than that, low double digits, kind of low teens from a contribution score standpoint, is that still where you’re thinking you come in at for the year. And I’m wondering if you could expand a little bit on kind of the mix as we move into 2027.

I know we’re not going to get guidance necessarily, but cervical is going to become a bigger part of the business I think over the coming quarters. Thank you.

Michael Cordonnier (President and CEO)

Thanks for the question, Ryan. We’re very happy with the adoption of cervical here in the early days. And particularly as we look forward to our QORA cervical plating launch here at the end of the quarter, we will see continued uptick of the cervical franchise and as we’ve previously discussed, low single digit contribution for the years where we initially estimated. We’re now seeing this ramp above plan. And I’ll hand it over to Rich.

Richard Heppenstall (Chief Financial Officer)

Yeah, yeah. Hey Ryan. Yeah. So to answer the first part of your question, cervical mix as a percentage of the total in the third quarter was 12%. And what we’ve seen over the last few quarters is we’ve seen kind of, you know, roughly a three-point increase in contribution in cervical. And so, you know, the way we’re thinking about it for Q4 anyway, that we’ll continue to see strong adoption of the cervical platform, you know, as a percentage of the total.

Ryan Zimmerman (Analyst at US Bancorp)

Got it. And if I could just sneak one more in and Stephanie, I hope I’m not overstaying my welcome on the questions of a second but you know, when you think about where you’re taking share, I’m curious, you know, where you think specifically it’s coming from from an interbody perspective. Do you see it being share gain from sakes expandables? You see it being share gains from maybe more conservative fusion methodologies. Just curious, Mike, if you could opine on kind of where these cases you think are coming from from an interbody perspective.

Thanks for taking the question.

Michael Cordonnier (President and CEO)

Absolutely. And I think that’s a great question. As we think about our growth and certainly very strong procedure volume growth, we continue to look at the early and mid-career surgeons that are really adopting this across their entire spine fusion portfolio. And as we continue to roll out more partnerships with the residents and fellows in academic teaching institutions, we’re seeing this adopted broadly across various procedures. One of the key initiatives that we’ve talked about that we continue to invest in is our medical education program and advanced courses where, when we initially started, we were heavily focused on adult spinal deformity and we have rolled out some great advanced courses in adult spinal deformity. We’re now seeing more and more uptick in MIS posterior and we’ve just launched our advanced course series in advance in MIS posterior and we’re seeing a lot of traction in that specific procedure as well.

Ryan Zimmerman (Analyst at US Bancorp)

Thank you.

OPERATOR

Thank you. Our next question comes from the line of Matthew O’Brien of Piper Sandler. Your line is now open.

Matthew O’Brien (Analyst at Piper Sandler)

Great. Thanks for taking that question. Just want to make sure the first one is just more of a clarifying question. Did you just, based on the 60% increase in the number of new docs, is that your best or your second best ever new doc add for a quarter sequentially and especially in Q3. And then the real question is just looking at the guide for the year. Good to see it pop up by more than you beat in the quarter. But it does imply the midpoint, just a modest sequential step up when you have all of this other momentum.

Is there something specifically that was better than expected in Q3 or that could weigh on Q4 a little bit or are you just trying to be conservative with that metric on Q4? Thank you.

Michael Cordonnier (President and CEO)

Yeah. First we’ll talk about the surgeon adds and, you know, as just talked about with the prior question, you know, we continue to see very strong adoption in early and mid-career surgeons and, you know, growing north of 60% year over year with our new surgeon adds, you know, really sets the bar for us going forward. And as far as guidance, you know, we feel really good about our business in Q4 and beyond and, you know, as a newly public high growth medtech company, we continue to be prudent with our guidance.

Matthew O’Brien (Analyst at Piper Sandler)

Got it. Thanks.

OPERATOR

Thank you. Our next question comes from the line of Richard Newiter of Truist. Your line is now open.

Richard Newitter (Analyst at Truist)

Hi, congrats on the quarter. Thanks for taking the questions. I guess maybe one housekeeping and then one about guidance and what’s in the assumption set. Just the housekeeping on ASP. I think you had said that it was stable with 2Q. Is that right? And just if you can give us any color on kind of where cervical and lumbar are relative to one another or even where cervical is from a pricing or ASP standpoint relative to where you thought it would be, that would be the first question.

And I’ll follow up.

Richard Heppenstall (Chief Financial Officer)

Yeah. Hey, Richard, it’s Rich Heppenstall. Good to talk to you. Thanks for the questions. Yeah. So quickly around pricing, it’s consistent to prior quarters as we talked about. And then relative to your question around cervical and lumbar, we mentioned in the call, I think, that cervical was 12% of the total. So lumbar is 88%, and cervical continues to be adopted very nicely in the markets. We’re really pleased with this progress so far.

Richard Newitter (Analyst at Truist)

Okay, great. And then maybe just a second on the guide. You know, I think you had mentioned that you are assuming some uplift from the October 1st DRG reimbursement change. Is that right? And then how should we think about that? Just going back to Matt’s question, the sequential uplift in 4Q versus 3Q is a little bit lighter than what we’ve seen the last two years. So if you could reconcile that. And then just any thoughts on competition, which was delayed in custom implants, but that sounds like it’s on track for 27.

How do you expect that to impact the market that you’re clearly pioneering? Thank you.

Michael Cordonnier (President and CEO)

Yeah. First, just to reiterate on the prior comments on the guide, we feel really good about our Q4 and a lot of early signals with new hospital adds, growth in our new surgeon adds, and continued growth in utilization. We believe that we have a lot of catalysts that are driving long-term growth and continuing to grow. Our strategy as far as competition, just kind of double down on our uniqueness as a business. You know, we continue to be really the only pure play personalized surgery company and continue to invest in our innovation around personalized surgical plans, personalized devices, and post-op data continues to drive the great clinical outcomes that we’ll continue to publish on.

OPERATOR

Okay, thank you. As a reminder to ask a question, you’ll need to press star 11 on your telephone. Our next question comes from the line of Gracia Mahoney of Bank of America. Your line is now open.

Gracia Mahoney (Analyst at Bank of America)

Hey, good afternoon. Thanks for taking the questions. And congrats on a good quarter. And congrats, Rich, on the new role. Mike, I think in the prepared remarks you talked about reaching an inflection point in the business. So just kind of wanted to get your preliminary thoughts on how you were thinking about the contribution from reimbursement, cervical, cora, bilateral, all of those launches that are good tailwinds to growth in 2027. And could we think about growth accelerating next year given the DRGs and your comments on inflection.

Michael Cordonnier (President and CEO)

Great to talk to you. Thanks for the question. And we do really see our business at an inflection point now as we’ve got a lot of these tailwinds behind us that you just mentioned are permanent enhanced reimbursement for the lumbar procedure, the additional expansion of the lumbar platform as well as the rapid momentum on the cervical platform. And so as we, as Rich also noted in his remarks, at the scale we’re growing at, this is giving us some opportunities for additional productivity as we scale on our path to profitability. And so, you know, we’re able to reinvest into those key areas of patient centric innovation again, focus on the early and mid career surgeons that are adopting this at a very rapid pace and continuing to reinvest in those key innovations.

Gracia Mahoney (Analyst at Bank of America)

Thank you.

OPERATOR

Great. Thank you. I’m showing no further questions at this time. I would now like to turn it back to management for closing remarks.

Michael Cordonnier (President and CEO)

Thank you all for joining. You know, we feel really good about our business as we exit Q3 and go to the close of the year and start of 2027. Appreciate the time and look forward to updating you at the next.

OPERATOR

Thank you for your participation in today’s conference. This does conclude the program. You may now disconnect.

Disclaimer: This transcript is provided for informational purposes only. While we strive for accuracy, there may be errors or omissions in this automated transcription. For official company statements and financial information, please refer to the company’s SEC filings and official press releases. Corporate participants’ and analysts’ statements reflect their views as of the date of this call and are subject to change without notice.