Steve Dyer: Great, thanks. Good afternoon, Jim and Aina. With respect to the $30 million of cost savings, could you sort of break out where we should expect to see that from, between COGS and the different categories of operating expenses?
Aina Konold: Great question. Thank you. So as we said, this was a proactive choice to right size our model to lower revenue expectations. So, you’re really going to see the cuts enterprise-wide. Now, some of our functions are part of COGS, so you’ll see most of them coming through OpEx, but some of it coming through COGS. And then incrementally, the lapping of those supply chain headwinds will result in margin expansion in the upcoming quarters as those costs are shared and we can now benefit from lower input costs. And also, tailwinds now in supply chain like inbound, freight costs being down compared to the pandemic highs.
Steve Dyer: Got it. Okay. And I would expect, I mean, you’ve already taken down your selling and marketing by quite a bit. I would expect that, that’s going to, there’s probably not much left there for retail selling and marketing. It’s probably largely the support, the Direct business.
Aina Konold: It’s enterprise-wide and but the one thing that I will tell you, because we are pleased with how Direct performed, especially in the last quarter, we’re going to make sure that they remain supported as they continue to drive performance and support our JRNY members.
Steve Dyer: Got you. So as you look forward to next year, just playing around with the model, it’s hard to get sort of anywhere near EBITDA profitable or EBITDA breakeven. Obviously the $30 million is a chunk of that, but that would imply, some fairly meaningful revenue growth for next year. And I know you’re not guiding to next year, but is that sort of part of the assumption or the plan is that you guys will grow pretty meaningfully next year?
Aina Konold: So, we’re not guiding to 2024 revenue right now, but I will remind you that we have gross margin expansion coming from reduction in supply chain costs. So a lot of what happened to us starting in latter part of fiscal year 2022 with all those supply chain market issues like high inbound freight costs, the detention and demerged costs that we talked about, that we’ve now lapped and are no longer in there, our standard costs are much lower than they were, and that’s really going to drive margin expansion. So the past profitability is a combination of these cost cuts we’ve already taken and then continued margin expansion.
Steve Dyer: Okay. Got it. And then lastly for me, as you look at the next 12 months or 18 months should we expect, any new products or modalities from a hardware perspective? Or is all of your, sort of your investment pretty tightly focused on improvements to JRNY?
Jim Barr: No, in fact the contrary, we are €“ we excel is the hardware business. We know our path back to profitability centers around continuing to be good at creating great hardware and selling it. And as I mentioned on the call, we do have some really exciting new products coming out for this holiday. I say calendar 2023. We’re not prepared to announce what those are yet for competitive reasons, but we are very, very excited about that. And they’re also going to be wearing our new visual brand language, which we know a lot more externally, internally than you know externally. But we are taking a really, we’ve invested in taking the Bowflex brand to a new level and really have changed the branding and the brand identity.
