Sensus Healthcare, Inc. (NASDAQ:SRTS) Q4 2023 Earnings Call Transcript

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In addition, we can drive the car for you, and we can do all the things that you’d normally have to do from a responsibility standpoint and an operations aspect. So some practices are very interested in that just, because they’re so busy with other things.

Ben Haynor: Okay. And that makes sense. That’s helpful. I mean, do you have a sense on how much demand there was out there for the recurring revenue model and providing the personnel that you haven’t been able to fulfill just because you haven’t had it in the past?

Joe Sardano: Well, I can tell you that based on the meetings that we’ve had with people and people asking us about the model and interested in getting into this, I think the interest is very, very high. So, I think the opportunity to make these presentations, is extremely important, and I think the biggest impact that we’re going to have is going to be with the bigger models. The bigger private equity-backed groups that are looking at this model and being very, very serious about it, because they would like to use their capital to buy more clinics. And so, we free up a lot of their capital to be able to do this. So I think that’s where our biggest opportunity is going to be with this model.

Ben Haynor: Okay. That’s definitely helpful. And then on the expense side of the equation, and obviously great job controlling expenses, in particular on sales and marketing, is that decline partially a function of moving to the recurring revenue model as well, or is that just straight up cost control?

Javier Rampolla: So in Q4, we experienced a one-time reduction in compensation expense that we recorded. So that is basically what is driving the decrease some market in Q4, Benefit.

Ben Haynor: Okay. Can I quantify that for me? Is it $0.5 million?

Javier Rampolla: It was about $800,000.

Ben Haynor: $800,000. Okay. Great. I guess that’s all I had, gentlemen. I’ll take the rest offline.

Joe Sardano: Thanks, Ben.

Michael Sardano: Thanks, Ben.

Operator: This concludes our question-and-answer session. I’d like to now turn the conference back over to Joe Sardana for any closing remarks.

Joe Sardano: Thank you. Thank you once again for your time this afternoon and for your interest in Sensus Healthcare. I’d like to mention that we’ll be participating in the 36th Annual Roth Conference being held in Dana Point, California from March 17 through the 19, and I hope to see some of you there. We’ll speak with you again when we report first quarter financial results in May. In the meantime, thanks again for joining us today.

Operator: The conference has now concluded. Thank you for attending today’s presentation. You may now disconnect your lines.

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