Good afternoon. I'm Larry Biegelsen, the med tech analyst at Wells Fargo. It's my pleasure to host this session with the management team from Nevro Corp. With us, we have Kevin Thornal, the CEO and President, and Rod MacLeod, the CFO. In terms of format, it's going to be a fireside chat. If anybody has a question, please raise your hand and we'll come around with the mic. Excuse me, Kevin, in the back, please start the clock. Thank you. Kevin, Rod, thanks so much for being here. Thanks. Thanks for having us. So, Kevin, you've been with Nevro now for, I think, about five months. Four months, yeah. Four. So can you talk about the progress you're making on the priorities that you highlighted on the second quarter call, please? Perfect. Yeah. So we highlighted on second quarter call, three main pillars that we're concentrating on right now. One is sales force execution, commercial execution. I'll go in a little bit into detail about that. The second is expanding the markets in which we play, so including, expanding new indications, also using our technology in different areas of the body that we can do, and then also, looking at some tuck-in M&A that we're doing. And then the last is path towards profitability and our, everything's going to be online in Costa Rica, and as that comes through. So those are the three main pillars. I feel great about number one. As you know, during, the second quarter, I brought in a new Chief Commercial Officer, someone that both Rod and I had worked with, previously. So Greg Siller is his name. He's come in, he's on week number 8 or 9 right now, and made a massive impact in realignment, not reorganization, but realignment of our sales organization, and it's already having a big impact on engagement, and the culture, and the intense desire to win versus what I saw when I came in. The second is on our new indications. We're now implanted in some patients in Australia for some brand-new indications. Nothing that we're publicly talking about yet, but I feel good about what we're doing there. And then we've had a whole bunch of M&A meetings, and we're really, you know, small, bite-sized type M&A opportunities that we're going to be able to have. We're having a lot of good conversations. With Costa Rica coming on board, you know, we said, the first quarter, we had 11% of our products were IQ implanted. The second quarter was 35%, and by the end of six to nine months, we'll be in that 75% to 80%. Those are all now going to be manufactured and start flowing through our PNL from Costa Rica, so you'll start seeing that in fourth quarter and first quarter of 2024. Okay. I feel good about that. That's helpful. Just a couple follow-up questions on that. So the new Chief Commercial Officer, you talked about, the changes to the sales organization. A little bit more detail on the changes, and it sounds like a lot of change in a short period of time. What are you saying about, you know, potential near-term disruption? Yeah. So, here's... I'll give you two examples of what Greg has already done. So one is realignment. So we have different kinds of sales reps. We have regular sales reps that are quota-carrying. We have assistant sales reps. We have therapy consultants that talk to the patients. You have coaches that talk to the patients, and all those people were reporting up to different managers. So instead of, like, the person here in Boston managing every person that lives in Boston, some of those people were reporting up to Redwood City people. Well, people in Redwood City don't know anything about Boston. The guy here that's from Boston, that went to high school here and knows Jimmy, the neighborhood bartender, that's who should be running that team in Boston. And so we've realigned it, where now that team reports to the same manager. We also had, where everybody had independent quotas and, and ways in which they got paid. Now, we actually added on a layer with that team now here in Boston. They have a team quota, and if they hit it, everybody on the team gets a $2,500 bonus. So now they're incentivized to work together. They're incentivized to row the boat in the same direction, and the biggest part about it is that if we're on a team here, sitting up here, and Rod's not pulling his weight because he's not doing... Now, that affects my pocketbook, I'm going to make sure Rod doesn't play golf on Thursday afternoon. He's going to be working because we're, we're all working together, right? Because we're going to hold each other accountable. So those are offenses that come from the place that Rod and I came from and have been emulated at another place I went to, and that's what drives accountability and decision-making closer to the customer. And if- So those are some of those- If you've ever seen my golf game, you know I'm not playing golf. He does. He's not He's not playing golf on Thursdays. He plays golf on Thursday. Yeah. So talking about Stryker. Yeah, that's where me, Greg, and Rod knew of each other. But, you know, obviously. Then I was at another company for nine years, and I think we did pretty well there also. Interesting. Okay, and disruptions? Yeah. So right now, I know that the disruption was just rip the Band-Aid off. We made the change. The great news is, a lot of the people wanted these types of things to happen. It just wasn't getting through with the previous Chief Commercial Officer. So the reps are really excited about the changes that we made. I mean, we just enhanced their commission program, where they have a chance to make even more money, and it's uncapped. So, the winners that like to go out and compete, go to places like this because they want to bet on themselves and earn whatever money that they can by continuing to grow without having to worry about any capped commission or trying to figure out how they get paid and finagle a game to try to maximize the... It's now just, you get this percentage commission, but go blow it out. I hope I write a check to you bigger than what I make. Yeah, it's hard. It must be hard to change quotas in the middle of the year. You know, how were you able to do that so quickly and seamlessly? Because I'm the boss, and I get to decide what to do, and I- No, no, without people- Yeah. I mean, you know, without people getting upset. "You know, this was my quota. You told me at the beginning of the year, this is..." You know, I could see that makes sense, what you're saying. Yeah what you're doing, obviously. But, I could see it, you know, not some people thinking it's not fair or, you know, it's not easy. Yeah. So their quotas came down... so not up, that reps always like that. So we actually reset their quotas to more align with our reset guidance that we gave to you guys on second quarter call. So now it's aligned with exactly what we're telling everybody in here. They now have a lower quota, and then this is on top of what they were already getting paid. So this $2,500 bonus that everybody gets when the team wins, that's new on top of what they were already getting paid. And it's funny, the little things you think reps that make, you know, six figures wouldn't care about an extra $10,000, but this is money that's outside of their budgeted money, that pays for their house and their cars and everything else. Right. So it's like free money for them, and they'll do anything to get sort of off their spouses or off their families' whatever radar. They can go blow that money and do whatever they want to with it. It really does drive behavior modification. Does this impact OpEx, Rod? No, it's- De minimis. De minimis, yeah. Okay. you know, it's really important to keep, keep your reps and your sales force in the game, and that was, that was what a lot of these, these changes were. They've got numbers that they can go - they can go chase, that they can achieve, and it's a pretty small financial impact. Okay. You know, how much of the $40 million revenue guide down for 2023 was due to the realignment versus other factors? Yeah, so, so, you know, going into that call, it happened on a—our call was on a Tuesday, and on Thursday, the week before, is when Boston presented their numbers. And so we had Abbott growing at double digits, which was great. We knew where we were coming in at 4%. But then on that Thursday, they... I think you even had this in your model as well. I think they were flat globally and probably down 4% or something in the U.S. So that gave us a little pause because we didn't know- Right -what the last player was going to do. Now, we know that the last player grew as well, so feel better now about the market, where it is. The other thing is that, yes, I wanted to give Greg Siller time to be able to come in and make the changes he needed to, to give him some space. So for instance, say, we need to get rid of a rep in San Francisco, California because they weren't doing well. Well, they're doing well enough to at least keep the businesses there, but probably not growing it. So I wanted him to be able to make that decision to say: "Well, I know it's going to be a $500,000 temporary negative if when I fire this rep and bring in the new rep, but it's—I can't do it because I—we have to hit our number for the street." I wanted him to be able to go out there and say, "Hey, I got to make a couple of these changes, bring in some big winners. It's going to be a temporary dip before it gets back." And he had the room to be able to do that and, and fill those, those—turnaround those territories that we, we know we needed better players in. So, so basically, now it looks like the SCS market grew about 8%, 7.5% in the second quarter, 7% in the first quarter. Pretty good. So better than you-- It sounds like better than you expected at the time of the second quarter guide, at least for second quarter. Yeah, I think that's fair. One more company came out, so and they grew. So it's like, okay, that's that. We didn't know what was going to happen. And then- Remember, though, it is pretty soft comparable- Soft. -the Q1 2022 and Q2 2022. We had Omicron- Yeah Q1 of 2022, and Okay Some of the staffing shortage issues. So we're, I mean, we've been kind of trying to predict and project when the market's going to start to recover over the last couple of years. We're certainly encouraged by what we've seen in Q4, Q1, and Q2, but we're, you know, we're kind of cautiously optimistic as we go into the second half of the year as far, you know, from a market recovery perspective. Okay. When are we going to learn more about this new indication in Australia? Yeah. So, you know, we were just talking about this before. So one of the things when I was at a large organization, we would love whenever these one-product companies who did their earnings call because they would just tell you their whole strategy. Right. I'm very cautious to not share any of this because our competitors would find out about it. Right. You saw what they did with painful diabetic neuropathy or PDN. Right. They just did a predicate 510(k) and tried to fast follow. I don't want my hat for them. So we will be. You'll find out about it as soon as we know things are looking really good. They're not listening. Always listen, yeah. And then you talked about M&A, the third pillar, and diversifying, I think within interventional pain. What are the other areas of interest? Some things seem obvious, like, you know, peripheral stimulation and things like that, you know, external devices. What more can you add? Yeah. So, it will be more important about call point than it is technology. So I spend a ton of time out in the field, and I spend a lot of that time in the field, not only with our reps, but also with our, our implanters. And I go into the operating room or OR and say, "Hey, I'm going to hang out here all day. I want to see what you do all day today. So not just the spinal cord stuff. I want to see everything else that you do." Well, you start to see that every city you're going to, all these doctors are doing a new procedure, and it's the same people that we already know. Why wouldn't we want to add that product to our bag? It's going to be somewhere with the call point that we're already going to today because we need to leverage our biggest asset of the company, which is our 500 people out in the field. Right. That's our biggest asset, and that's going to give us the biggest leveraging point in our PNL as well. Keep adding products to the bag. And I do believe it also will have a halo effect for spinal cord stim for us as well, because you're now in front of that doctor. Their selling time is when they're draping the patient or when they're scrubbing up at the scrub sink or what have you. That's when you get to sell. And if you're in more procedures, you get to sell more, and you're there, and you're more of a valuable- Right -asset to that office. And so you get to spend more time with the surgeon. Capacity, Rod, how are you thinking about kind of equity, you know, versus, you know, debt, you know, that kind of thing? Yeah. So I mean, obviously, it depends on the size of the deal and the sort of things that we're looking at. But we have, you know, as of the end of the second quarter, we have about $330 million of cash on the balance sheet. We have a convert due in April 2025 at about $190 million. Some of the deals that we're considering, we could fund right off of our balance sheet right now. If they get a little bit bigger, then we'll look at either, you know, extending the maturity or refinancing, and we've been talking with a number of folks that would give us a lot of options there. Is it important, given you're not profitable right now, to find kind of a revenue-generating profit that you could drop in the bag that could add some EBITDA quickly? Is that a priority? Yeah. To leverage our, the largest line on our P&L is our sales force, and if we can find something where we can leverage that sales force, a lot of that's going to drop through and really, really help our leverage and our profitability as well as cash flow. Okay. GLP-1, can't believe I'm asking an SCS company that. Yeah. But are you getting questions on that? No, we didn't really. I saw your report when you, when you got it out there, and I forwarded it to my team saying, "Hey, is there anything that we need to be worried about?" And we went to all of our clinicians, endocrinologists, and whatever, like, "No, no, no. This has nothing to do with you guys. It's not..." If it was, if, if obesity caused all the, all the different types of pain, we'd be concerned. But painful diabetic neuropathy is a issue because you have diabetes, not because you're overweight. Right. Right? So, it's not like a mechanical issue in your, in your spine. It's an issue because you have neuropathy, and so, we don't see any impact. How do you guys think you did, from a share standpoint in the first half of the year? Our calculations, using some of your stuff as well, is we took share. De minimis, but we took share in the first half. Got it. But and the guidance implies, you know, down, I think, 3% to 5% in the second half of the year. I mean, on the surface, it, it looks conservative. What, what are some of the assumptions, Rod, that would lead to being down 3% to 5% in the second half? Yeah. So I mean, when, when we... Kevin spoke to this a little bit before. When, when we put the guidance out there, we, we had just received the Boston news a couple days before, where they were flat globally, down 4% in the U.S., and it, it did cause us to hit the pause button just, just a little bit, you know, as we're thinking about what does this mean for market recovery in the second half of the year. The growth, and as we mentioned also in the first half of the year, was, you know, a little bit, a little bit of soft comps that probably inflated those growth, growth numbers a little bit. And then we wanted to give Greg a little bit of time and space as well, as we go into the second half of the year to make the needed moves. And we didn't necessarily know what all of those moves might be or could be, but we want to give him a little bit of room there. So, you know, we're not going to comment mid-quarter here, where we are guidance-wise, you know, et cetera. You know, the fact that Medtronic came out with their numbers gave us a little bit more confidence in the market and, you know, we're executing on the sales plan with the sales force, with Greg, with the leadership, and it feels like, you know, anecdotally, there's the engagement's up, et cetera. Okay. That's good to hear. Let's, yeah, well, maybe talk about HFX iQ. I think you said 75% in mix within six to nine months after launch. You talked about that earlier. Yeah. How is the rollout going? It's going well. You know, we launched it end of March. It was official launch date, and so, you know, we did 11% of our total implants in first quarter, 35% in second quarter, and we're marching. We feel good about where we are right now, marching towards that number that we want to get to. And, you know, the great thing about that, not only the, you know, ASP increase, and we'll have a margin increase because of the COGS going down from Costa Rica, but also, we now know we're starting to get some data. I'll probably start to drop it on earnings calls of the benefits that we're able to derive from using IQ. So don't forget, this is the first device that the patients are actually in charge and part of their own pain relief, right? So it asks you four questions every day, and if you're doing great, it's going to give you some rewarding messages saying, "Great, you've done really well. Let's keep going." If you haven't been feeling well or maybe you're increasing your pain meds, then the algorithm says, "Oh, wait, you're not doing so well. Would you like to try a new program?" "Yes, I'd like to try a new program." They get to answer those questions on their own, so we're seeing a reduction in the amount of calls that come into our help desk and to our therapy consultants when physicians and patients are moving towards IQ. So we'll start talking about some of those financial benefits as a result of that, and customer satisfaction, patient satisfaction. We'll start probably talking about those on our earnings calls. I know I'm jumping around here. I apologize. All right. The M&A comments, do you think you could get, seems like you're moving quickly. You talked about all the meetings you've had. Do you think you can get something done this year, or maybe it might, might have to get pushed to 2024? If there's something that we really want and it's in the price range, I'm not afraid. We're not afraid to pull the trigger. We have a very supportive board, a board that's done tons of deals before as well, so we've got the support. If we like something, we'll be able to move quickly. And the new indication in Australia, you know, it's kind of—when you did PDN, you know, you probably... The company, you weren't there then, I know. Company probably thought it was going to be proprietary to Nevro when not, you know, probably, you know, virgin back, proprietary, but turned out with PDN, right, it wasn't so proprietary, and that was FDA really being more lenient. How are you thinking about new indications and being able to make sure that in the future, when you have—when you spend the money on this, that it's really proprietary to Nevro? Because that's really what hurt—really hurt the stock, was when you-... Everyone was excited about PDN, and then FDA said, "No, Medtronic and others, you can submit old data, and we'll give you an indication, too." It took a lot out of your stock because you invested all this money into it. How are you thinking about new indications and being able to make sure this is really specific to Nevro? Yeah, so I think the way I would think about it is FDA gives you a license to go play ball, but they don't tell you who's going to win or lose, right? They're not kingmakers. Right. They don't do that, right? So all of our clinical evidence that we've done, no one else has. So when we're at ADA, up on the main stage, talking about lowering A1C and lowering body weight, no one else can go up there and use those stats. That's proprietary to high frequency. Technology is what drove those stats. So I feel great that. That's great if they're, everybody else is in PDN, but they don't have high frequency. Right. They have paresthesia. The last thing you want to do for a diabetes patient that already can't feel their feet and they have numbing and tingling is put them in paresthesia. We're the only paresthesia-free, high-frequency player out there, and that's why our clinical results are showing superiority and why we have the largest- Right ... RCT RCT trial. No one else can use that data. Right. So they can just say, "FDA approved us for it." "Okay, where's your data?" "Well, I don't have any." So we feel really good that even FDA gives it to them. It doesn't mean that they're going to be commercially as successful when they need to go talk to endocrinologists- Sure and podiatrists, to start showing them about the papers. That makes sense. Yeah. Remind us, where is PDN in second quarter? I think, like, 20-ish% of implants or trials as a percent of the total in the U.S. And where can that go over time? Yeah, we and we did, we did about $19 million in second quarter, and it's about- Okay -73% growth. Right. So it's roughly about 20% of our implants. We've, you know, we've said that earlier in the year that we thought we'd do somewhere in the neighborhood of $75 million to $85 million, and we're largely tracking to that. In the past, we've said that, you know, this can be a really meaningful part of our market and our business over the next number of years, and we're still very bullish on the growth engine that PDN can be for us. Yeah, you know, actually, I want to put some top spin on what you asked earlier. Not only in our core market, we know high frequency changed the game, and it's, you know- Right ... much differentiated from everybody else that's in low frequency. They can come out with whatever gimmick they want to, but they can't touch high frequency. Those that did had to pay us a lot of money because they weren't supposed to do that. So, but the biggest difference is in the PDN patients. High frequency makes the bigger impact in the difference because of those patients, what I talked about with the foot and leg pain and numbness. You don't want to put them in paresthesia. So we're seeing not only the benefit of high frequency, but also whenever you're seeing doctors talk about it, they actually put 10 kilohertz spinal cord stimulation utilized for painful diabetic neuropathy. They're calling us out, and they're calling out that it needs to be 10 kilohertz. They're not saying any spinal cord stim, they're calling us out, and that's what's on all the papers. I saw you at ADA in June. Yeah, I did. How was the meeting for you? What, what were some of the key takeaways? I think the key takeaways is there's more and more patients, unfortunately, that are going to keep entering the diabetes pool. As you guys know, I know there's a lot of diabetes companies here, my friends that work, some of them. And that's unfortunately a growing population. More people have diabetes now than in the U.S., than there was 10 years ago. So that's going to be something that's going to be a sustainable market. The other is that they wanted us there. Like, Dr. Klonoff was on stage. He's one of the world's renowned endocrinologists. He's working for us. Like, he did clinical work for us, and he's now doing the work on our sensory study as well. Like, no one else had those kind of people in their corner because they don't have any clinical data. So their endocrinologists aren't going to put their name behind something that doesn't have clinical data. So it felt really good to have that, and then I do feel good about our sensory study, our enrollment, and we know that once we get two RCTs, now we have a shot to try to get in some guidelines. That's helpful. Let's shift to competition. You know, I guess Abbott did stand out in the second quarter. What are you seeing there from a competitive standpoint? Yeah, so they just had a brand-new launch. We did, you know, our own models. So they just launched Eterna. They had a lot of non-rechargeable batteries that were implanted in patients. Why wouldn't you, if you're a patient, wait for the new car model, right, to come out? And so there was probably some pent-up demand for switching out rechargeables for non-rechargeables for rechargeables. And then we also know that they took a really good double-digit price increase, which I think is great for the market because that allows us to be able to hold pricing when you don't have a competitor that's in there trying to undercut. So we know why they grew that much, and, but we don't like losing, and we got second place in the quarter, and we're used to winning. We have to get back to winning, but they did have a really good quarter. When are you going to get back to winning? Every morning I wake up, it's what I want to do and think about. Okay. Yeah. And Saluda, what are you seeing in the market from them? I think your model is accurate, what you put. I think you put that there's, like, $3 million or something, $3.5 million a quarter. I can't remember. You can't remember? And I think that's about right. You know, we will never take any competitor lightly. But at the same time, I think sometimes the bark is louder than the bite out there. You know, people will give something new a shot, but I think, you know, their challenges are going to be when someone else comes out with closed loop, which I know someone is going to, then what is their story? I don't know what their story is. It's low frequency with closed loop. That's—Where's the clinical data? And actually, if you look at their clinical study, you need to look at the both arms, the ones with closed loop and the ones without. The results were exactly the same, no different, so and the P value is really bad. You could go read that study, and I don't- The study shows what, I'm sorry? That the- Basically equivalent. Equivalency between their arm that was closed loop and the arm that was not closed loop. So it didn't actually change the patient's pain relief between those two arms. Okay, that's interesting. But I guess if Medtronic gets approval for closed loop in the U.S., and it has been, it's taken a long time, right? In the U.S., they have it outside the U.S. You'll have two companies promoting closed loop, closed loop, so that could kind of be a rising tide for closed loop. You know, how do you think about that? Okay, so here's hopefully, I can put this one to bed. So closed-loop is solving a problem that's been inherently a problem with low-frequency, paresthesia-based stimulation for 30 years. So good job, you finally solved your problem. Guess who doesn't need closed-loop? Us. You know why? We don't use paresthesia, so we don't have the problem in the first place. Right. So the reason why you need it is if you're too close to the spinal cord and it moves, you can zap somebody, or if it's too far away, you don't get therapy. We already track that. It's already part of our algorithm, and in high frequency, we don't do paresthesia, so we don't need to map out anything. Right. It'd be like asking... I told at one of the bus tours last week, and Rod came up with this. He's better than just a finance guy. And he said: "It'd be like going to ask Elon Musk, 'Hey, what size gas tank are you going to put on the next generation of Tesla?'" Like, what do you mean, gas tank? We're a freaking electric car. I don't need a gas tank. I don't need closed loop. Why are you asking me about closed loop? We don't have that problem. You came up with that one? I did. That's pretty good. I did. You know, I wanted to be a marketing guy at one point in my career- You did ... and I ended up in finance, so- Got it There you go. Okay. Okay, and then Medtronic, you know, they seem to be making some noise, not really? No, I don't-- I haven't heard too much. Not much, okay. Yeah. Okay. Interesting. Rod, you know, switching gears here to 2024, what are some of the puts and takes we should think about? Yeah. So, I mean, obviously, we're going to lean into PDN, and I think that's going to be a growth driver for us. I think we want to see what our exit rate is, you know, from a market perspective, in the second half of the year. You know, from a core perspective as well as all in. And then to what Kevin was speaking about earlier, if you know, if we engage in some M&A activity, then that can be additive as well. But, I think our game right now is sales force execution. We expect to win when we roll into work every single day, and that sort of winner's mentality and winning culture and taking share from our competitors, we expect that, and we're going to drive that sort of accountability throughout our entire organization. Not our salesforce, but everybody in our business has to roll into work every day, whether they're in Redwood City or some other part of the world, supporting that sales force to win. And, you know, from where we are right now, we're really excited about, you know, what these next couple of quarters can bring. It might take us a little bit of time here as we work through some of these changes with Greg and the commercial team, kind of making some of those readjustments, but we're excited about where we stand right now. And margins? So we should see, and I think we mentioned this earlier, that we'll start to see some of the product flowing through cost of sales late in the fourth quarter. Costa Rica? Mm-hmm. Yeah. That- Yeah, from Costa Rica, and then we'll see that continue into 2024 and then in the out years. That helps? Yeah. That gets you to gross margin of? So, well, you know, assuming that pricing basically holds about where we are now, we have a, we have a pathway over the next couple of years to bring gross margins to kind of the mid-seventies. We're in the high sixties, low seventies right now, depending on, depending on the quarter. But we'll, we'll start to see that starting to flow through a little bit in, in the latter part of this year, more so in net in next year, and then it'll, it'll continue to, as, as scale and new products go there, to expand margins over the next few years. Kevin, you talked about, on the second quarter call, areas for improvement, and I imagine the sales force was one. Mm-hmm. There are other areas for improvement that you were referring to on the call? Yeah, I think, you know, one of the things we needed to realign and focus and do a handful of things really, really well versus trying to be all things to all people. And so, I think, you know, Keith did an unbelievable job professionalizing the organization, and I get the benefit of sort of building on top of that. He fixed a lot of the plumbing, if you will, and put in a lot of processes, and now I get the chance to sort of pretty up the house a little bit here. And some of the things that we're doing is really focusing on the ones that are going to move the needle the most. So that's some of the other improvements that we sort of made. Okay. I forgot to ask you about any reaction to consensus for 2024, 8% growth? Yeah, we're not, we're not commenting on the 2024 consensus or, or guidance at this point. Okay. And I guess on the M&A side, is it more exciting new technology, or is it more kind of here are some established, you know, revenue-generating product? I know I asked you that before- Yeah. - but how do you think about something kind of novel and exciting, but maybe, you know, just maybe pre-revenue versus established revenue? Yeah, definitely something that's already has established revenue, but some of the newer procedures that are being done by pain physicians are exactly what we're looking at right now. Some of those new markets are-- the good news is reimbursement just got settled on a lot of areas about five weeks ago when we were down at ASPN. That gives us comfort knowing that we're going to have a good market. We need... You know, this is a great thing. The size of the business we are, we grow-- If we add $15 million to our revenue, that's 300 basis points of growth. So that gets pretty exciting that you can move the needle by something that maybe is doing, you know, $8 million to $10 million, and you double it to $20 million, then you go to $40 million, and then you go to $60 million. That, that's a, that's a fun hockey stick ride to be, to be on. And it helps all the business come together because you're now more valuable to those, each of those offices that you're, that you're calling on. Is nonsurgical refractory back pain a priority for you, or do you feel like with HFX iQ and with, you know, PDN, that should be the focus? Yeah, PDN definitely is the biggest, newest area. You know, if you ask most of our physicians, they felt like they, even without the indication, people were still using off-label for non-surgical back, back pain, patients anyway, so it's not like a brand-new market that didn't exist. Whereas PDN is new patients that likely weren't going in to go see a pain doctor because they were seeing their endocrinologist, and so that's why you see a much quicker uptick there than what you're seeing in the non-surgical back pain. HFX iQ was supposed to help free up the sales rep. Yeah. 'Cause it allows the patient to do some- Yeah Reprogramming might, may or may not be the right word. No, you just answer the questions- Right and the algorithm reprograms it for you. Right - based upon past 100,000 patients that are in our database and continuing to grow and learn. It now offers up different programs based upon the success, based upon how you answered the questions for the last week or so. So, that's why I said we're going to start probably talking about some of these data points so that they're proof points to exactly what we said it was going to do. We see early indications right now that patients on iQ call in less than patients that are on some of our previous technology. And so it frees up the rep- Correct. Just doing what you hoped it would do. That's right. Yeah. And again, going back to Keith, they did a great job as well, setting up our coach program. So the reps used to have to be the ones calling the patient all the time, and they still talk to patients when the doctor asks them to. But most of the time, those are our coaches that are at home, talking on the phone. They're not going in between surgeries, and that coach can actually call that patient back or answer the phone right when that patient calls. And, that's been freeing up our reps, which is why also I feel good about dropping something else in the bag, because we can, we've got some capacity in our sales force to be able to sell more things. Okay. Two minutes left. Kevin, I'd love to give you the last word here. Any closing comments, anything we didn't cover, you want to highlight, how you're just feeling about the rest of the year? Yeah. The floor is yours. Okay. Thanks, Larry. I I appreciate it. Yeah, I feel, I feel much better today than I did when I was on week number 1, and I didn't know that the game's slowing down for me, as you say in football, and starting to understand a lot more about the market and the team. I feel great about the new people that we've brought into the organization, both Greg Siller, and then I also brought in a new head of HR, Shauna Ross. She's an unbelievable talent magnet. And so now I feel like we have the team. We've got a head of IR. If anybody has some people that you would like to refer, we do have a head of IR, will be the last person on our leadership team, and then the team's done. So I feel good about that. I feel really good about the engagement of the sales force and the excitement in the sales force, with some of the enhancements we've made and the realignment of who they report to. You know, now our regional sales directors are being treated as business owners, not sales leaders. They're business owners, they have their own P&L. They can make decisions on how their teams are made up, and that makes it easier so I can hold them accountable for making those right decisions, and that corporate didn't just tell them what to do. I feel really good about the organizations lining up behind the sales reps every day and being able to support them. And then last but not least, all of this is based upon great science, great clinical evidence that we know, and I feel like we have a moral obligation to win, because when we win, that means more patients are implanted with the technology, high frequency, that we know is superior to low frequency. And when that happens, then we grow, the doctors' practices grow, the patients do better, and then we can invest more in R&D and in M&A, and that gets you on this nice cycle of winning and being good for healthcare system, good for patients, and good for our employees and shareholders.