Good morning, and welcome to the InMode Ltd. second quarter 2021 earnings conference call. All participants will be in a listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask question. To ask a question you may press star then one on your touch-tone phone. To withdraw your question, please press star then two. Please note, this event is being recorded. I would now like to turn the conference over to Miri Segal of MS-IR. Please go ahead. Thank you operator and everyone for joining us today. Welcome to InMode's second quarter 2021 earnings call. Before we begin, I would like to remind our listeners that certain information provided on this call may contain forward-looking statements, and the safe harbor statement outlined in today's earnings release also pertains to this call. If you have not received a copy of the release, please direct yourself to the investor relations section of the company's website. Changes in business, competitive, technological, regulatory, and other factors could cause actual results to differ materially from these expressed by the forward-looking statements made today. Our historical results are not necessarily indicative of future performance. As such, we can give no assurance as to the accuracy of our forward-looking statements and assume no obligation to update them except as required by law. Today with us are Moshe Mizrahy, InMode's Chairman of the Board and CEO, who will begin the call with a business update. Then, he will turn the call over to Shakil Lakhani, InMode's President of North America, to discuss our North American operations. Finally, Yair Malca, our CFO, will discuss the financials of the company. With that, I'd like to pass the call to Moshe Mizrahy. Moshe, please go ahead. Thank you, Miri, and thank you everyone for joining our second quarter 2021 earning call. With me today are Dr. Michael Kreindel, our Co-founder and Chief Technology Officer, Mr. Yair Malca, our CFO, Mr. Shakil Lakhani, our President of North America, Dr. Spero Theodorou, our Chief Medical Officer, and Rafael Lickerman, our VP Finance. Following our presentation, we will all be available for Q&A. For the second quarter of 2021, InMode is happy to report record revenue of $87.3 million, an increase of 184% compared to the second quarter of 2020. Also this quarter, net income on a GAAP basis reached $40.9 million and $43.9 million on a non-GAAP basis. During Q2 2021, sales of capital equipment accounted for 89% of our total revenue. The remaining 11% was derived for consumable and services, representing $9.5 million of total revenue, a 22% increase compared to last year. Quarter by quarter, over the past year, InMode has consistently posted sales of a record number of consumable. From Q2 2020 until today, sales of consumable have more than doubled. This indicate that physicians are successfully adopting our system with a greater frequency, paving the way for this segment to continue even more to contribute to our revenue. This ongoing demand reflects how the minimally invasive aesthetic surgical space is growing. 71% of our revenue was derived for minimal invasive and ablative procedures, 22% from our hand-free devices, and 7% from our traditional laser and non-invasive RF platforms. The U.S. continued to be the biggest contributor to our top line, with the total sales reaching $56.4 million compared to $24.1 million in the same quarter last year. As part of our growth strategy and following our success in the United States market, we keep expanding globally. We continue to expand our sales network in all geographic markets. This quarter, Asia and Europe were top contributors. Total sales outside U.S. were $30.9 million, more than triple what we reported during the same period last year. This represents 35% of our total revenue compared with 22% of our total revenue in Q2 2020. Currently, we operate in 68 countries, and we expect these numbers to grow. We generally manage 12 to 15 regulatory projects globally at any given time. Some of these projects go beyond aesthetic and are medically oriented. Presently, InMode R&D pipeline is comprised of dozens of projects in our traditional area of activity in aesthetic surgery, as well as in gynecology, ophthalmology, and ENT, and more. Our newest platforms, the EmpowerRF, will be launched in August 15. These platforms is expected to become the gold standard in women health and wellness. The EmpowerRF will expand our business and mark a major step for InMode into the gynecology market. Based on our successful performance in the first half of 2021, we have updated our full year 2021 revenue guidance and expect total revenue to be between $305 million-$315 million. In addition, we intend to maintain a non-GAAP gross margin of 84%-86% for this year. We are continuing to make important progress in our ESG related activity. Today, we will be publishing our business and commercial ethics, interaction with healthcare professional guidelines, and marketing ethics. All will be posted on our website. Finally, we continue to support the InMode workforce as we continue to comply with all local and regional health and safety regulation to protect the welfare of our employees and customers. Now, I would like to turn your attention to Shakil, our president in North America. Shakil? Thank you, Moshe, and hello, everyone. Once again, we delivered a record performance in the second quarter with exciting developments on several fronts. Strong sales from capital equipment drove revenue for the quarter to $87.3 million. Consumables and services continued their consistent upward trajectory. In light of lockdown limitations being lifted, North American physicians returned to some semblance of normal capacity and were able to treat more patients at a given time. This had a direct impact on consumer demand, and ultimately, more patients returned to physician offices seeking our treatments. We continue to see physicians adopting our platforms frequently and successfully. Moreover, pent-up consumer demand and industry trends in the aesthetic space enabled InMode to offset much of the market's post-pandemic deficit. As these demands and trends materialize and strengthen, consumers are seeking previously delayed treatments. During this time, our sales force has exceeded expectations, and we played a major role in transitioning the company to a new normal. We plan to reinforce our growth by hosting a number of in-person events throughout the year. These events provide an opportunity to educate the medical and wellness community on the variety of InMode's minimally invasive and hands-free applications. As Moshe mentioned, we'll be launching our women's health and wellness platform, EmpowerRF, which we're confident will be a one-of-a-kind technology in the market. Finally, we commend our North American team for their continued impressive performance, and we appreciate their loyalty, dedication, and hard work. Their efforts were pivotal in helping us achieve another strong quarter. Now I'd like to hand over the call to Yair for a review of the financial results. Yair? Thanks, Shakil. Good day, everyone. Total revenue in the second quarter of 2021 increased 184% year-over-year to $87.3 million, with a gross margin of 85% on a GAAP basis. The increase in revenues was primarily due to the impact of the global COVID-19 pandemic, which significantly reduced economic activity and caused shutdowns in the U.S. during Q2 of 2020. Highlighting significant growth in each of our segments, year-over-year minimally invasive and subdermal ablative technologies grew 247%, hands-free platforms increased by 64%, and laser and non-invasive grew 397%. In addition, international sales continued to significantly increase year-over-year as we successfully implement our U.S. growth strategy across the globe. Geographically, we saw the highest growth rate in Asia and Europe, which increased by 253% and 467% year-over-year, respectively. Our capital equipment accounted for 89% of our revenue, while consumables and service revenue were 11%. GAAP operating expenses in the second quarter of 2021 totaled approximately $33.1 million, an 84% increase from the second quarter of 2020. Sales and marketing expenses increased 97% in the second quarter of 2021 compared to the second quarter of 2020. Stock-based compensation increased to $2.9 million in the second quarter of 2021 compared to $1.2 million in the second quarter of 2020. On a non-GAAP basis, operating expenses totaled approximately $30.4 million in the second quarter of 2021 compared to operating expenses of $17 million in the same quarter of 2020, an increase of 79%. GAAP operating margin was 48% in the second quarter of 2021, compared to 26% in the second quarter of 2020. Non-GAAP operating margin in the second quarter of 2021 was 51%, compared to 30% in the second quarter of 2020. This increase derived primarily from the interruption of the sales cycle in April and May 2020 by the COVID-19 pandemic, while the company continued to incur the non-variable sales and marketing expenditure during those months. In addition, the company's accelerated growth increased gross profit more than operating expenses, which translated to a higher operating margin for the quarter. In the second quarter of 2021, marketing activities were still lower than expected in some regions due to public health restrictions prompted by the COVID-19 pandemic. GAAP diluted earnings per share in the second quarter of 2021 were $0.95 compared to $0.21 per diluted share in the second quarter of 2020. Non-GAAP diluted earnings per share in the second quarter of 2021 were $1.02 compared to $0.24 per diluted share for the same quarter of 2020. We completed the second quarter with a strong balance sheet. As of June 30th, 2021, the company had cash and cash equivalents, marketable securities, and deposits of $332.9 million. On the cash flow front, the company generated $46.8 million from operating activities for the second quarter of 2021. With that, I will turn the call back over to Moshe. Thank you, Yair. Thank you, Shakil. Operator, we are ready for Q&A. We will now begin the question and answer session. To ask your question, you may press star then one on your touch-tone phone. If you are using a speakerphone, please pick up your handset before pressing the keys. To withdraw your question, please press star then two. At this time, we will pause momentarily to assemble our roster. Our first question today will come from Travis Steed with Barclays. Please go ahead. Hi. Thanks for the question. Just curious if you could talk about some of the trends for the quarter and how July is shaping up. Just curious to think about how to think about Q3 and the difficult seasonality, and particularly in light of your guidance, you know, looking at the full-year guidance and basically the full year assumes about 0%-7% growth in the back half versus the front half, which is well below the 2019 trend. I didn't know if that was just conservatism or if you're actually seeing something there on the seasonality part. This is Moshe. I will try to answer your question. Usually, going forward, the third quarter is usually the slowest quarter in this business, because on the summertime, people takes vacation and patients do not like to do a major aesthetic procedure. The third quarter in Europe, you know, month and a half, they're on vacation, and in other countries as well. The third quarter is the slowest one. The fourth quarter is usually the strongest one for several reasons, but this is what we see in the last 20 years that I'm involved in the medical aesthetic field. As far as visibility, you know, this business is no backlog business, so we don't have visibility. We know who do we want to approach. We have the budget. We know what kind of marketing activity we're going to do this quarter and the fourth quarter, and the guidance that we gave between 305 and 315, yes, you're right, it's conservative, but we try to be conservative and do a better number than give numbers that we will not be able to deliver. Do you think the Q3 revenue dollars will be able to grow versus Q2, or do you think they're going to be down versus Q2? I don't know now. It's just, you know, the beginning of the quarter. We're not even 1 month out of the quarter, and I don't know. We are growing overall. In 2020, the third quarter was stronger than the second quarter, but this is because of the situation with the COVID. In the second quarter of 2020, during the months of March and April, most of the doctors around the world, not just in the United States, have closed their clinics and basically, we had revenue for 1 month. Therefore, the third quarter, once the clinics opened, was stronger than the second quarter, but 2020 is not a typical year as far as seasonality. What will happen this year, I cannot say. We're doing our best to do better than the second quarter, but it all depends on how the market will behave and, of course, the seasonality of the aesthetic business. Okay. Last question, I'll jump back in the queue and that's on the hands-free, looks like as a percent of the U.S. revenue, it peaked here in Q2 of last year, around 46%, and now we're down to like 29%. Curious how you think about the hands-free growth moving forward and as a percent of U.S. revenue or the growth overall, and if you could give a U.S. versus OUS installed base number total, that'd be great, too. Thank you. Shakil, can you answer that? Yeah, Travis. We do see it actually continuing to be a strong portion of the segment. We also, as we mentioned, we do have EmpowerRF coming out, so of course, it's not going to be a cannibalistic technology in any which way. However, I do still see the hands-free being a main driver. Yair, if you want to jump in and answer the question regarding the install base, that'd be great. Sure, absolutely. We have 9,150 units installed base worldwide, out of which 4,650 in the U.S. Thank you. Our next question will come from Matt Taylor with UBS. Please go ahead. Hi, guys. Thanks for taking the question, and congrats on a nice quarter. I guess the first one, I just wanted to see if I could get more color on the quarter. We've gotten used to good results from you, but this was a particularly strong quarter, and I wanted to know if there's anything special that happened. Were there any big orders or new countries, or was this just a continuation of momentum that we've seen building here? Matt, hi. This is Moshe. I think it's a combination of everything that you mentioned. We had strong quarters in several countries. The leading countries were Korea, China, that the market has started to open, Russia. I would say that even the U.K. was very strong this quarter, in addition, of course, to the U.S. and Canada, and also two countries in South America, Brazil and Mexico. We did very well, more than what we expected. These are good news. The good news is that OUS, we are growing faster than what we thought and faster than what we projected. Overall, this quarter was strong because I believe the market is open due to the fact that, in most countries, people start to understand that they have to live with the corona and business back to usual. In the United States, I will ask Shakil maybe to answer and tell you how we did and what was the main reasons. Yeah, Matt. Thanks for the question, of course. I do think that, seeing particularly to the U.S. and Canada, we saw the same kind of demand that we had seen, of course, in Q2. We've also, a lot of the training that we've done, as a group and as a team, has really started to pay off. A lot of our teams that we have set up throughout the country have been working synergistically to really get to the point where we now have a very solid force, and we're still growing that, which is great. We also did see some of the in-person events, which I had mentioned earlier. That was a very big driver, and we do have that backloaded into Q3 and Q4 as well. I think that'll be a nice little cushion there to really help us get to the next level. Okay, thanks for that. I think we're all anticipating the EmpowerRF launch here in ophthalmology. I guess I was wondering if you could discuss, A, commercially, how should we think about those launches? How quickly can they ramp versus being gated by training or these being new ophthalmologists, especially new call points? Can you discuss any data that you've seen around the different packages within EmpowerRF in ophthalmology that we could take home and think about how effective those technologies can be in different indications there? Yeah, sure, Matt. I'll let Spero Theodorou jump in on the second part of the question going towards the data. When it comes to EmpowerRF, and even the ophthalmology side of things, I think with EmpowerRF, you know, the one thing that we've always done as a company, when we started off with the minimally invasive technology, we got it in the right hands. We like to make sure that it's obviously a tried-and-proven technology. We've established that, which I'll let Spero jump in on, but right now, as we launch it, thankfully, we're in a position where we don't necessarily need another product to keep growing, but it's always great to have, which is why we're constantly innovating and introducing new technologies. However, with the women's health and wellness market, it's kind of been a market that hasn't been touched in quite some time, and there's not been much focus on it. We see a huge window. When it comes to training and getting people, you know, kick-started, it'll be the same as all of our other technologies. That's going to be a super smooth transition. We do have some really good thought leaders that are already working with the technology and are very happy with what they're seeing so far. Again, we're not going to rush into this thing and just go gangbusters right off the bat, but I do think it'll help add to the numbers for Q3 and Q4, obviously. Spero, did you want to chime in on the data question? Sure. Matt, good to hear from you. Thank you for your question. I think it's important that just like in plastic surgery, where we set the foundation differentiating ourselves between, within the RF community, the fact that we have bipolar technology versus unipolar. We did that in plastic surgery, and we show the fact that bipolar is certainly, the way it's delivered, the way we're delivering it in our patented technology, is far superior to unipolar devices. Within the years, you saw that the companies that had unipolar basically have gone to the wayside and are not able to compete in this sector. I'm not touching the laser, I'm just talking about RFs right now. Same thing in gynecology and women's health. Our first study, we did a retrospective study, which is already published, came out last couple weeks ago, and it showed the statistical difference between bipolar and unipolar. Whatever unipolar devices are in the market, again, here we go, same thing. Bipolar is going to be a lot more effective and targeted, and all the patents that InMode has make it a superior delivery platform. That's our foundation to push off of. Right off the bat, we have that security, and we know we have the right delivery system. What we're seeing now with the studies that I've already performed over the last two, three years, we're seeing women, when it comes to SUI, being dry one year out. That's a big deal. In addition to that, we're also seeing that a lot of the symptoms of overactive bladder are staying or gone for urgency and frequency. We're not saying we have a treatment for that segment yet, but we're saying that the symptoms are markedly improved. This is all per what we're hearing from our study group patients, and now that we're, as Shakil mentioned, have rolling it out to some of our luminaries, they're very, very excited about it. Overall, I think we're in the right place to give the sales force what they need, the foundation they need to push off and go confidently into doctors' offices. We feel confident that we have a technology, thankful to Mishka and what he's developed with us, that can go into an office and say, "If you're premenopausal, you have a BMI of 30, and you're healthy and young, and you have these issues of SUI and all this effect that it have, we feel very confident that we can treat you, and we can help you out." This is having a major impact in the markets that we're seeing. The patients are lining up just word of mouth because there simply hasn't been a really good solution up to now. As far as the data and the studies met, we're very confident that it will do really well with this. Ophthalmology, we're getting there. We know all our objective measurements are there. They're panning out just as we expected for dry eye. I'm not going to get into the details again about the studies too much, just saying that they're going along just as expected, and we're very happy with the way things are going. I hope that answers your question. Yeah, that's perfect. Thanks, Spero. Thanks, guys. No problem. Congrats again on the quarter. Thanks, Matt. Our next question will come from Kyle Rose, Canaccord Genuity. Please go ahead. Great. Thank you for taking the questions, everyone. I just want to start from maybe just a more thematic, big-picture question. You have really strong expense control again in the quarter. There's no surprise there given, you know, the lower activity from a commercial perspective during COVID. Can you just maybe frame out OpEx expectations on a longer-term basis? You've put up unquestionably stellar results, you know, despite these restrictions in place in the pandemic. Have your thoughts towards the spend required for this commercial model changed at all moving forward? You just put up 51% non-GAAP operating margins in a record revenue quarter. How much do you need to continue to spend to really drive this growth moving forward? Well, this is Moshe. I think a typical P&L is what we are showing. We will continue to maintain 85% gross margin, although I have to say that it's become more difficult because all kind of expenses like shipping, logistic, are going to the sky. Also, you know, there was a problem with the supply chain of component around the world, and we fight 24/7 every day in order to make sure that we will have enough component and sub-assembly to maintain the production line up and running and deliver every system that order. In the same time, maintain the 84%-86% on a non-GAAP basis, gross margin. As far as R&D and G&A, it will stay the same. I don't think we have to measure them percentage-wise. We're spending around $2 million a quarter on R&D. That's enough in order to maintain the R&D pipeline of at least two indication, two platforms, so two product every year. As far as G&A, I'm sure you can compare us to any other company in the field or in any other field and realize that we're very lean and mean and humble company. We have $1.5 million-$1.7 million per quarter on G&A. The question is, how much we need to spend on marketing and sales. As we grow and as our business will go back to usual, I believe we will spend more on marketing and sales, especially on marketing. In the last year and a half, we spent less on marketing because the world was closed, no exhibition, no conferences. Everything was done on the Zoom. Salespeople did not travel much. We manage, of course, we manage. As business will go back to normal, we will spend more on marketing, and you should take into account something in the range of 37%-38% marketing and sales expenses year-over-year. All the rest will stay the same. Overall, the P&L structure, the typical P&L structure that we're showing today will remain, even if we will continue to grow in the same pace that we did in the last few years. Thank you, Moshe. That's very helpful. Maybe can you talk just a bit about, at least within North America, the great growth, how much of that is coming from the historical core market when we think about plastics and derms? How much of that is coming from some of the other medical specialties? I know that'll probably change as you launch the more therapeutic products moving forward, but where do we stand now with respect to the installed base in core versus non-core? Yeah, great question, Kyle. When it comes to core versus non-core, we obviously started off with the minimally invasive line, and we penetrated the plastic surgery market. We continue to. It has great brand recognition. Consumers are actually asking for a lot of the products by name, whether it's BodyTite or Morpheus8 or some of the hands-free technology. As we've rolled out some of the hands-free technology and some of the other things that are a little easier to implement, we've actually seen growth in a different number of categories in terms of specialties. When it comes to, you know, the derm market, that was one of the goals that we had. We never really did too well in penetrating that market because the focus was on the plastics. Slowly, we've really started to get some big names on board, and it started to kind of work out where things spread and word travels. When it comes to the non-core market, the non-core market's always, when you talked about more of the therapeutic devices, of course, we're going to be approaching women's health and wellness specialties, some of the ophthalmology practices, so on and so forth. One of the key things which I've said in the past is that as long as managed care, insurance-based medicine keeps going where it's going, overhead's not coming down, right. In fact, it's increasing. As long as that's there, which I don't see that changing at any given time soon, we'll always have that market that we can actually penetrate. The opportunities are endless when it comes to that, and then obviously with the new products launching into this. Thank you. Just one final question, I'll keep spreading it around. For Spero Theodorou, what are you seeing in your patient volumes with respect to demand and waiting lists? Has there been any change in demand as, you know, the economy's reopened and perhaps patients are reallocating discretionary spend dollars towards vacations and activities like that? or are you still seeing robust demand in your practice? No, that's a great question. I'm based in New York City, and considering what's happened here certainly would be reflective of certainly big urban cities as well. Our demand's there. It's really strange. At this time of the year, things do start to slow down, but it's coming in heavy. It's coming in heavy, and it continues to come heavy, which is unusual. Last year, I'd say it was due to pent-up demand. This year, even though traveling's coming back and people are, you know, starting to spend on other things, it's still not at a critical mass, I think. There's still a lot of people who are scared and would rather stay home or not even go overseas or whatever they're doing. Yes, our demand's strong. It's solid all the way into September. Waiting list, it's no different than, at least here in New York, it's about a month out. We are surprised. I can tell you this right, I'm surprised it's still carrying on. I think it has to do more with the fact that we're not quite there yet. Considering the Delta variant and all the scare that that's caused, I think people are still cautious. What do they do? They're still staying home, the majority of them still are staying home, regardless of the increase in the travel industry, and they're spending on what we do. The most interesting part here is, again, a lot of percentage of the patients, at least over one-third of the new patients coming in, have never had anything done before. The first time they've considered it. This has definitely opened the market, and I can say it with a lot of confidence. We predicted that last year, and we're seeing it continue this year. Thank you very much. Just to add to what Spero said, I think the best way to measure is to show and to see how many disposables we are selling every quarter. We're getting close to 100,000 disposable every quarter, this is only for the surgical part, for the minimal invasive and ablative. Because all the other equipment and platforms that we manufacture do not need disposable. The hands-free do not need disposable, and also the others. We're growing 20% quarter-over-quarter with the numbers of disposables that we're selling worldwide. That's a good measurement for the users of the systems. Thank you very much. It's very helpful. Congrats on another strong quarter. Thank you. Thank you. Next question will come from Mike Matson with Needham & Company. Please go ahead. Yeah, good morning. Thanks for taking my questions. Just on EmpowerRF, there's obviously a large population of OB-GYNs. How do you sort of plan to target the ones that are most likely to be interested in a product like this? Do you have a sense of the fraction of the OB-GYN population that would consider this type of product? Yeah. Good question. This isn't the first time that many of our North American sales force have been going out to the OB-GYN market. When MonaLisa Touch was launched back at Cynosure, there's a good percentage of people that had been through that launch. This is different because we're going to be able to offer multiple different things, and that just covered vaginal atrophy. When it comes to what we're going to be doing here, as we launch it'll obviously get out there, but there's going to be a large number of different things that we're going to be able to do. When it comes down to going after them, typically it's going to start with your OB-GYNs, your urologists, and your urogynecologists. Now, the thing is that when you're targeting that market, the hardest hurdle for them is to understand that they can't get a patient to fork out $30 for their copay, yet they're going to spend $2,000 on trying to fix something. Because we've seen this before and because a lot of these solutions are more medical-based and they improve quality of life and wellness significantly, we have seen that transition actually been quite smooth for that. As we penetrate those markets, we've already gotten some of the key thought leaders, as I mentioned earlier, on board with this, and that typically holds a lot of weight just to make the others feel comfortable. It has to be a good mix of academics and also people that can get up on a podium and speak, which we've been able to accomplish already. Okay. Thanks. I didn't hear any mention of Envision in the ophthalmology area. I think you were targeting to launch that also in the second half of this year. Is that still the case? The Envision platforms, we are planning to launch sometime toward the end of the year. I have to say that we already received clearances for all the applicators from the FDA, and we're working on other countries as well. If everything will be okay and the Corona, you know, the next wave will not close countries, we would be able to launch at some time November, December. Okay, thanks. This is probably a difficult question to answer, but how should we think about market penetration among the plastic surgeons and derms for the more aesthetic type products? Look, I understand you're going into OB-GYN and ophthalmology. Those are your greenfield opportunities, but you've sold a lot of units in the plastic surgery, dermal world. The install base has gotten quite big, yet you're seeing really strong growth still. I guess my one fear is that growth, just all of a sudden slows down unexpectedly, because you kind of saturated the market. Based on the numbers, it doesn't seem like you're near that point, but I just wanted to see what you thought on that. No, that's a good question. I think the way to look at it is, when it comes to penetrating the markets, I mentioned that earlier in terms of dermatology, we actually don't have a super strong penetration in the derm world. We've started to, of course, in the last two, three quarters. Keep in mind, though, I think the biggest thing here to note is that we're not a one-trick pony, right? If we had just one product and that's all we were going to sell, yeah, I'd understand concerns for penetration. However, we have so many different platforms that can all do something different, which allows our sales force to go in and actually customize what makes sense for the practice. As you heard Moshe Mizrahy and myself mention, we've seen people consistently be able to actually introduce certain technologies into their practice. With the consumable numbers that Moshe had talked about, we do see people utilizing their units, which might sound rare, and that's kind of the whole point of this, but typically when they get one unit and they do well with it, they want to add in a second or a third unit. Our post-sale team, which has done a phenomenal job, and our sales team, which has done a phenomenal job, are trained in the sense that they know exactly what to do when, for the most part. I think because we have so much different technology and then obviously the new stuff we're constantly innovating, that's why we're seeing this massive growth that we've had. The companies that we've seen who've gone stagnant are either trying to get technology from overseas, rebrand it, repackage it. There's been plenty of different companies that have just rebranded old technology, and that's not innovation, right? I think because of Dr. Michael Kreindel and his brain and the way he creates these things, when we give him some ideas as to what the market needs, I think that's really a big differentiator, and I think that's why, frankly, we're not worried at all about oversaturation. Okay, got it. Thank you. it. Thank you. Mike, this is Spero. Really, just to answer your question as a plastic surgeon, I think what we've been used to in the past with energy-based devices, on average in the plastic surgery market, you have a 10% penetration. That number hasn't really changed until we came along. The reason is, there's a basic change in the way we're doing things for plastic surgeons. This is not just one product that just like Shakil mentioned, it's going to go away and not come back. Just like every plastic surgeon has a device, for example, for liposuction. That's a staple. Every operating room has that device. The whole goal here has always been from the very beginning, that's why we took the hard road to approach this group first, is to make sure that our machines have the exact same sort of view. In other words, you need a tightening device, you have to have this. It's standard. It becomes standard of care across the board. In that respect, energy-based devices, this is the first time we're getting so far into it because of that basic seismic change in the ability to tighten skin. We said it's the Holy Grail. In that respect, we have a long way to go still. We're not resting on our laurels. We have the early adopters. Now, we have, you know, the main plastic surgery, but we still have ways to go. We're not concerned about it. The innovation, of course, allowing the plastic surgeons to develop new operations, new ways of doing things, that's the biggest benefit there is, because when they're doing it themselves and developing new things for us, because they're finding solutions and they're excited about it, that just drives growth exponentially. Okay, got it. Thank you. This is Moshe. I just want to add on what Spero said. In the United States, we started early in 2017, 2016, but on the ROW, we're in a very embryonic stage with plastic surgeons. In those countries where we have a clearance from the regulatory bodies, we're just starting to introduce it with a greater, I would say, momentum. Overall, we have a long way to go in order to penetrate all the markets. Okay. That's helpful. Thanks. Our last question today will come from Jeff Johnson with Baird. Please go ahead. Thank you. Good morning, guys. Spero and Shakil, maybe I could put some numbers or maybe you could help me put some numbers on some of the conversations that just took place, and I think all that was very helpful. If I look at your 4,650 installed U.S. base, and we know there's, what, maybe 17,000 derm, plastic, and aesthetics in the U.S., you know, that would say penetration rate about 25%-27%, somewhere in there. Obviously, some of those docs do own two platforms and things like that. Do you think that penetration right now is closer to 20% instead of mid to upper 20s? Spero, to your point on standard of care, do you think that penetration, I know it's tough to predict it, I wouldn't hold you to this, but can that get to 40%-50% over the next 3 to 5 years or something? Just how to think about kind of the numbers today and where those numbers could go? Shakil, you want to handle the first part, and I'll handle the second part. Thank you, Jeff. Great question. Yeah, great question, Jeff. I think when you look at it is lower or closer towards the lower 20% side of things. There is some upside there. Like you had talked about, some of these specialties do own one or two or multiple units. Again, not to sound redundant, but going back to what I was saying, but if you have 17,000 of those core specialties, well, you start adding it up where you start doing the math and multiplying by two, three, four units, that number is a pretty big runway, right? I do think on that side of things, with the plastics, with the derm, we've seen it happen. We've already been seeing it currently, and I think we're going to keep seeing that in the future, just based on people being, I think the key thing here is that physicians need to be successful with their technology, and if they're successful, they'll reinvest with us, and that's been a big key to the success from the last quarter and as we start gaining more brand recognition. Spero, did you want to chime in on the second part there? Jeff, it's an excellent question. Your average plastic surgeon, the ones that do pure cosmetic surgery are a small minority, right? Majority of plastic surgeons out there do about 50% reconstructive or 50% cosmetic as their practice matures. Our applications in the reconstructive world haven't even started. Skin tightening is not just a cosmetic thing for aesthetic surgery, it's overall, has other applications everywhere. As this technology starts to mature, as it starts to enter into the training centers, which we've already seen, it goes all back to, if you look at the laser industry and what Moshe said, the laser industry back in the '90s. RF, we think it's superior in many ways. It goes deeper. We can modulate a lot of things. We're just at the beginning of a peak of a whole industry change, and if it wasn't the case, our competition wouldn't be trying to continuously try to develop RF, right? If you look at that and step back at the 30,000-foot view, do we have a runway? Just like laser penetrated a whole market segment of these type of doctors, we think RF has that potential runway as well. With what we have and with the way our technology is protected and patented, you know, it's all clear skies as far as that's concerned, Jeff. To put things in perspective, Shakil said absolutely the right thing, and I agree with him. We have ways to go, and we're confident about that. Yeah. Fair enough. Last question from me, just on the GYN market. Hearing some of the SUI data points and overactive bladder, is that the main way this new platform is going to be used? I know it'll be the way you market it, obviously. How much do you think off-label use will be for other type of rejuvenation procedures, things like that we've heard about in the past? Will the appeal be on both the therapeutic side and the cosmetic side, or is this really going to be focused on the therapeutic side only? Thanks. Jeff, that's a great question. As you know, we have to be very careful because of the history and the language that the FDA put out there. Cosmetic-wise, we certainly, as you know, the American Gynecological & Obstetrical Society is against certain things in the cosmetic world for this respect, but there's always a demand for that. I think the push, if you had to look at this platform as a Swiss army knife, it's got many modalities and many applications, and our whole mantra of going into physician offices and saying, "Look, here's your core training. Here's what you've done. Here's a patient population that's already in your office, already you're not taking advantage of them in other ways. You don't have to go out necessarily and market this because you have a captive population," right? Every woman who delivers is a potential patient that's going to benefit from Empower's ability to therapeutically help her pelvic floor, to help certain things like we discussed, as well as slowly move into cosmetic. Right? At the end of the day, we're an aesthetics company, and introducing a platform into a segment where they can actually find a medical indication, use a medical indication, and then slowly ease them into the cosmetic, that's been always our mantra. If you're asking a specific question as to this platform, how this launch is a little different than all the other ones, yes, we have a strong therapeutic thing that we're going after. That's why it took us three years to do the studies right and bring the right key opinion leaders on board. Does that answer your question, Jeff? It does, yeah. Very helpful. Thank you, guys. Thank you. Thanks, Jeff. This concludes our question and answer session. I would like to turn the conference back over to Moshe Mizrahy, Chairman and CEO, for any closing remarks. Thank you, operator. Again, I want to thank everybody who was on the line today that joined us in the second quarter earnings call. I want to thank all of our employee worldwide. I assume many of them are listening to us today. I want to thank to our investors for the trust and the loyalty. I want to thank all the management team of InMode who are on the line today, and others. We all look forward for the third quarter to have you all joining us the same as today. Thank you all. The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.