Jonathan Harris: No. I would just expand on the relationship, and the partnership with our major retailers, not only here in the U.S. but also internationally. And really driving that relationship and the Owlet brand and word of mouth amongst parents. Not only the parents who are using our products, but them speaking to new parents coming in newly expecting parents a strong, strong driver for us.
Charles Rhyee: Great. And maybe, Kate, one last question for you here is I know you’re not really giving formal full year guidance. But maybe just to help folks think about sort of trajectories in terms of revenue, as we move through the course of this year, sort of any high-level thoughts as you think about this year, and then going forward. And then obviously, with the profitability, I think last quarter, ex one-time items, you would have been a positive. This quarter, we’re still down a couple of $1 million, maybe give us a sense for trajectory on profitability as well. That would be helpful? Thanks.
Kathryn Scolnick: Yes. We’d like to see – we really feel like we’re starting out this year with a very strong start, obviously, with the two domestic clearances for both of our core products. And then, we just announced the CE Mark as well internationally, which is very important for our business. So, I think those opportunities are very important to us. As Kurt mentioned, and we’re going to be layering in a new product with subscription. So I think, we’d like to be ahead of well ahead of where we were last year. We had specific headwinds outside of waiting for those clearances. We had specific headwinds last year with some customers that we do not anticipate repeating this year as well. So strong double-digit growth in revenue, is what we’re striving for.
Q2 and Q3 will be very telling for those opportunities. But more importantly, the benefit of setting up BabySat with the partnerships that Jonathan mentioned, and setting up subscription with the launch here this summer is what we see the momentum for 2025, beyond where we get to in 2024. So, we’re really excited about what that kind of puts us even further into going out, in terms of the profitability opportunity. We’re very focused on getting to the – on the other side of the adjusted EBITDA side. We have maintained this kind of $10 million to $12 million on the actual operating spend, excluding the stock-based compensation. There’s a little bit that we’re spending just around some very discrete items. But other than that, we’re really trying to control costs, as it relates to employee costs and hiring and anything that’s discretionary.
So as we move into these opportunities around revenue, I think that that’s where the leverage of the model kicks in. So, we’re really trying to get there as we move through the year, and that will be the level, getting into these higher growth ranges for revenue.
Charles Rhyee: Great. Appreciate all the comments. Thanks, everyone.
Operator: Thank you, Charles. We will now hand the call back over to Mike Cavanaugh, who will share some questions received via e-mail.
Mike Cavanaugh: Thanks, operator. First question is for Kate. Can you please give us an update on your investor outreach efforts, and how you’re engaging investors in the Owlet stock?
Kathryn Scolnick: Yes, sure. So as we’ve just been talking about, first and foremost, is delivering strong operational results and communicating on that execution. We’ve been talking about our financial results, our growth objectives and accomplishments around our products, around our channels, both domestically and internationally, our regulatory clearances and then growing that investor engagement. So, we’ve been growing our presence, both virtually and in-person. We’ve announced a number of conferences that we’ve had in Q1 and Q2 here. So, look for more opportunities as we head through the year.
Mike Cavanaugh: Great. Thanks Kate. Next question for the team. Can you please discuss the growth plan in terms of new product pipeline, new channels and new marketing efforts?
Jonathan Harris: Yes, I’ll take that one. This is Jonathan. I think we answered a lot of this, but reiterating really focus on the retailers that we have today. We’re in the process of expanding our in-store merchandising throughout Target and over 1,000 Walmart stores, to really bring to life the Owlet experience for parents and newly expecting parents. Additionally, we’re working – increasing our marketing efforts, focused on sharing parent stories from our customers. With new parents showcasing how Owlet helped provide better parenting insights, and peace of mind. So really sharing the story – the storytelling of our existing parents and customers. Growing channels, we’ve talked a little bit about international continuing to strengthen and grow international, which is critically important to us as well with our CE clearance and medical sales channels.
We’re presently partnered with AdaptHealth, our National DME and that will provide direct access to BabySat and, in many cases, full insurance reimbursement for the BabySat product to parents. Lastly, subscription service, lengthening our LTV, offering data and insight to parents during the initial year of their child’s life. We firmly believe that our products and service can extend their value well into the toddler years and beyond. So, we really believe that we have a strong partnership on distribution platform here and internationally, continue to expand medical channels and build out our subscription services.
Mike Cavanaugh: Great. Thanks Jonathan. And last question for the team. So, can you tell us where you are in terms of working with health insurer – insurance providers to secure reimbursement for BabySat?
Jonathan Harris: Yes. As we previously mentioned, through AdaptHealth with our BabySat product, we’ve integrated with many major insurance plans, including Aetna, Cigna, United, and many of the Blue Cross networks. So we’re expanding on – focused on expanding our DME and provider partnerships as well as integrating with Medicare and Medicaid, to expand the opportunity for every baby who needs Owlet, to have the ability to have it.
