Hyperfine, Inc. (NASDAQ:HYPR) Q4 2022 Earnings Call Transcript

Brett Hale: So we’ve commented on our OpEx that we are actually continuing to invest significantly in our R&D. Maria mentioned the clinical evidence, the innovation that continues to be a priority and focus. Most of our focus, most of our cost savings has been about running an organization that’s very efficient and lean, and that cuts across the whole organization, but a majority of the savings price come disproportionately from SG&A side versus R&D given the increased investment we’re making in terms of our percentage of OpEx to R&D.

Kevin Joaquin: Got it. Thank you.

Operator: Thank you. One moment please. Our next question comes from a line is Neil Chatterji with B. Riley. Your line is open.

Neil Chatterji: Hey guys, good afternoon. Thanks for taking the questions. Just curious, just in terms of the kind of I guess sequential drop here on the installs, just curious on how much of that was potentially related to that. You mentioned the kind of the higher ASP being a potential barrier. So just kind of curious you know how much of a role that played, and then also, if there’s potentially any sort of a bonus from potential installs in 4Q into the first quarter.

Maria Sainz: Sure. Hi Neil! So, pricing is not a barrier to adoption. I think we’ve said it a number of times, and I realize that I’ve been in the job now five months and I’m still convinced that I haven’t really heard it at all by now. That is a reason why we decided to start moving pricing up and have started to do that. Although of course, the deals do take a long time. So it will take some transition time until that is fully baked into our actual ASP, but that was not the reason for the software Q4. I really think that part of the reason was that disruption that we created by the significant reorganization that we cramped into Q4 so that we could get it all done and start the year with the right team in place, the right processes and the right leadership.

So I feel it was definitely not pricing. The new pricing is something that we have started to roll out actually at the beginning of this year. So it didn’t really even factor in that much into Q4, although of course internally the team knew that that was the direction we were heading as we were looking into implementing it. And then as we go forward, so in terms of the volumes, I mean things continue to progress and I think I’ve said it. We don’t really €“ we have not lost deals. Deals get more complicated or just a little bit longer with different paperwork. I can give you some examples where we had a contract in place, and all of a sudden the buying group wanted to be the acquiring organization, and that had a total restart on a contract at an institution where we’re going to ultimately create multiple placements as well.

So on the other two deals that we have spoken about, the order from KCL, the King’s College London, as well as the DJC, we continue to expect a fairly steady deployment and shipment of those devices over the quarters ahead. So I don’t €“ there is no associated with that either.

Neil Chatterji: Got it. Thank you for that, and I might have misheard on the pricing aspect. And maybe just on the FDA clearances you’ve had recently, just curious if you’ve had any initial feedback on those updates and the enhanced capabilities on Swoop. And then secondly, what other updates we could expect kind of through the balance of €˜23.