Vivos Therapeutics, Inc. (NASDAQ:VVOS) Q1 2023 Earnings Call Transcript

But that seems to have passed, things have picked up again here, and we’re optimistic that we weathered that storm a little bit there and that that contributed in, especially in the latter part of the first quarter, and into the second quarter. So we are seeing now — where as we drive demand through some of these distribution channels that we’re talking about that have never been there before. We have new ways of helping doctors find patients to treat and it appears to be significant revenue opportunities for the doctors and their new patients. And so we’re very optimistic. So it’s going to be a — come a point where the old model where we just relied upon dentists to source their own cases through their own practices and to do that. We’re taking the bull by the horns and we’re driving patients to our very best providers.

So we are actively pursuing through our Treatment Navigator, our Airway alliance and our distribution networks that we’ve talked about. We’re actively working to drive patients into their offices. And that’s a very different kind of paradigm shift that we’ve force into the marketplace. So as you go forward, I think we hopefully will see those numbers pick back up as some of these other distribution channels kick in.

Scott Henry: Okay, great. Thank you. Final question, Kirk. Brad set a pretty high bar for you, getting to $8 million a quarter. How do you expect — what are the levers you’re going to pull to get there from here? How much do you get from the AFD acquisition — is it the DMEs? Just in big picture terms, what are the levers you got to pull to get from here to there? Thank you.

Kirk Huntsman : Thank you, Scott. I think that’s a great question. And all I can say is, is that — there is a huge challenge in the CPAP community, in the CPAP world with patient compliance and with patients abandoning their treatment. And when patients abandon CPAP, which 90% of patients who get — 90% of patients who are diagnosed with OSA get CPAP machines. In the first 90 days, a fourth of them will stop using their CPAP, and eventually, about half are known to stop using their CPAP machines. So there’s a huge, huge number of people. It’s in the millions of people out there in the United States, Canada, and around the world who have tried CPAP and are intolerant to it. They don’t use it. They won’t use it, they can’t use it for a variety of reasons.

Some of them psychological, some of them physiological, some of them just preferential. They just hate having it. But what do those people do? Well, we’ve now unlocked the secret, if you will, to how to access those patients and what to do. We’ve established some really clear and very — I think reasonable and market-based distribution agreements with people that know where those patients reside and who they are. And we’re going to be going after them. And then there’s so much of that out there. It’s really hard for us to say at this point how many of those patients will come in and convert into Vivos therapy. But we and our distributors are very optimistic that that number will far exceed what we’ve been doing in the past. And we’re very optimistic about it.