Kaumil Gajrawala: Okay, great. And I guess as a follow-up on that, are the costs now where they should be? Obviously, everything you just talked about on bringing down various technology spends, bringing down G&A, are we — is this now the run rate or is there still more to go? And maybe just to make sure that it’s clear, I think of the difference between cost cutting and efficiency. I recognize you’ll continue to focus on being efficient, but that some of the big heavy lifting. Would you say that’s complete now after ’22 and we get on with it? Is there still more to do?
Marc Suidan: Yes, I would say it’s largely complete, right. There’s still a few things to flow through to get the benefits. I mean, the last reduction in force we did was in January. But for the most part, we’re pretty close to realizing the benefits of all the cutting we’ve done and driving the efficiency we want. And you could see from our CapEx spend in ’22 versus ’23 that’s more likely to be the profile of our CapEx spend going forward. We had some one-time cost in Q1 to incur due to the reduction enforce and the severance. But once we started exiting that, I’d say we’ve pretty much set up the business to be able to run at this size. And then all the changes we’re making is all about driving new growth, and thus the leverage model will create the profitability from there.
Kaumil Gajrawala: Okay, great. Thank you.
Operator: Thank you. Our next question comes from the line of Jonathan Komp with Baird. Please go ahead.
Jonathan Komp: Yes, hi, good afternoon. Thank you. First question I want to ask if you could be a little more specific. What’s the year end cash balance that you’re targeting, and could you share a bit more insight just to the key performance metrics that you’re including to forecast that?
Marc Suidan: Yes, Jon, this is Marc. What I would say is, like I just said in that previous question, we have a bit more cost to incur in this quarter for one-time costs. And then afterwards, largely at this size, we’ve set up the business not to burn more cash. So our plans is we’re trying to drive this in a way where we avoid going below our net debt balance and start generating positive cash flow from there. I think the most critical thing to watch out for in terms of KPI, given all the changes we’ve done is going to be the digital revenue, right? Because we’re shifting to this higher value customer that line will be critical to see if we’re netting out. And our plan is to net out more favorably on the revenue side, despite having a bit less subscribers.
Jonathan Komp: Okay, and I guess I’m trying to understand more of the revenue assumptions you’re making, given the very significant changes to the business model here. And if you could share a little bit more insight on the last comment you just had, effectively raising the price of your core product by 50%, how you expect the subscriber base to play out, and if you have any specific test data to base that on?
Marc Suidan: Yes, we have plenty of test data, Jon. What I’d start off by saying that’s why we did the July price increase on BOD to test that out. And then when we brought the — in September, the price of BODi from 298 to 179, the reaction was very positive. We’ve surveyed our coaches and partner network extensively. They’re incredibly supportive and mainly because remember, that’s what I was saying earlier. When they bring in customers, they mainly start them off on what we call a total solution pack, which is both a digital and nutrition subscription. On average, that’s going up by $40, right? It’s going up from an average of $180 to $220. And then it goes to the normal nutrition subscription. So all in, we don’t think it’s that big on most of our customers.
