Q4 2021 Pear Therapeutics Inc Earnings Call

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G Jing: Good afternoon, everyone. Welcome to the pay or therapeutic sports quarter and full year 2021 financial results conference call. My name is Gigi and I'll be your operator for today. Please note that all lines of it placed on mute to prevent any background noise.

Good afternoon, everyone and welcome to the payer therapeutics fourth quarter and full year 2021 financial results Conference call. My name is Gigi and I'll be your operator for today. Please note that all lines have been placed on mute to prevent any background noise. This call is being recorded.

G Jing: This call is being recorded. A replay of the webcast will be available in the investor's section of the company's website approximately two hours after the completion of the call and will be archived for up to 30 days.

A replay of the webcast will be available in the investors section of the company's website approximately two hours. After the completion of the call and will be archived for up to 30 days.

G Jing: I'll now turn the call over to your host, Meira Murphy, Senior Director of Corporate Communications. Meira?

I'll now turn the call over to your host Miro Murphy Senior director of corporate Communications Merrill.

Mira Murphy: Thank you, Gigi. On behalf of the P.A.R.E. team, thank you for joining us today. With me today are Corey McCann, our president and CEO .

Thank you Gigi and because of the PR team. Thank you for joining us today.

Today, our core Mccann, our president and CEO .

Mira Murphy: Chris Lee Frey, our Chief Financial Officer and Chief Operating Officer. Aaron Brenner, our Chief Product Development Officer. Yuri Maratish, our Chief Medical Officer.

Chris <unk>, our Chief Financial Officer, and Chief Operating Officer, Aaron Brenner, our Chief product Development Officer.

Gary <unk>, our Chief Medical Officer.

Mira Murphy: Ron and O'Brien are general counsel and chief compliance officer and Julia Stranberg are chief commercial officer to start to call. I'd like to turn it over to Ronin for the safe harbor statement. Good.

Ronan O'brien, our general counsel, and Chief compliance Officer, and Julia <unk>, our Chief commercial officer.

The call I'd like to turn it over to Ron for the Safe Harbor statement.

Good afternoon. Please note that statements made during this presentation and our comments during this conference call, including statements concerning our future business operating results or financial condition.

Ronan O'Brien: Please note that statements made during this presentation and our comments during this conference call, including statements concerning our future business, operating results, or financial condition, are forward-looking statements within the meeting of the Private Securities Litigation Reform Act of 1995, as amended.

We're looking statements within the meaning of the private Securities Litigation Reform Act of 1095 as amended.

Ronan O'Brien: Information contained in these forward-looking statements is based on management's current expectations, and actual results may differ materially from those indicated by these forward-looking statements due to a variety of important factors. Additional information regarding these factors is included in our annual report on Form 10-K and quarterly reports on Form 10-Q filed with the SEC.

Information contained in these forward looking statements is based on management's current expectations and actual results may differ materially from those indicated by these forward looking statements due to a variety of important factors additional information regarding these factors is included in our annual report on Form 10-K and quarterly.

Toward some Form 10-Q filed with the SEC.

Ronan O'Brien: except is required by law. Parasumes, no obligation to update or revise these forward-looking statements, even if actual results or future expectations change materially.

Except as required by law Payor assumes no obligation to update or revise these forward looking statements, even if actual results or future expectations change materially.

Speaker Change: With that, it's my pleasure to turn the call over to Corey.

With that it's my pleasure to turn the call over to Corey.

Thanks, Ron.

Coy: Welcome, everyone, to PEAR's first earnings call as a public company.

Welcome everyone to Paris first earnings call as a public company.

We are leaders in the digital health Revolution.

Coy: And we are proud of the role we've played in pioneering software as medicine.

And we are proud of the role we played in pioneering software as medicine.

Coy: Multiple trends converge, creating tailwinds for digital health.

Multiple trends converge, creating tailwind for digital health.

Coy: Chronic disease continues to drive healthcare spending and burden millions of people.

Chronic disease continues to drive health care spending and burden millions of people.

Coy: We are in the midst of a provider shortage where trained clinicians are unavailable to treat many prevalent conditions like addiction and behavioral health.

We are in the midst of a provider shortage were trained clinicians are unavailable to treat many prevalent conditions like addiction and behavioral health.

Coy: Due to COVID-19, expectations for care have shifted toward remote settings and technology.

Due to COVID-19 expectations for care have shifted toward remote sentence.

And technology is pervasive in our lives.

Coy: Our contribution to the digital health revolution so far has been creating the category software-based medicine.

Our contribution to the digital health Revolution, So far has been creating the category of software based medicines also called prescription digital therapeutics or pvt.

Coy: also called Prescription Digital Therapeutics or PDT.

Let me explain what our PDT is and how it works.

Coy: Let me explain what a PDT is and how it works.

Coy: PDTs deliver clinically validated evidence-based therapeutic interventions through a smartphone or tablet anywhere and anytime, providing the potential to remove the geographic and time-bound barriers of traditional medicine.

Pdc's deliver clinically validated evidence based therapeutic interventions through a smartphone or tablet anywhere and anytime providing.

Providing the potential to remove the geographic and time bound barriers of traditional medicine.

Coy: Unlike pharmaceuticals, PDTs treat disease directly through soft...

Unlike pharmaceuticals, pdt's treat disease directly through software.

Coy: Unlike wellness apps, PDTs pursue similar regulatory standards as pharmacotherapy in terms of safety, effectiveness, indications for use, and quality.

Unlike wellness apps pdt's pursue similar regulatory standards as pharmacotherapy in terms of safety effectiveness indications for use and quality.

Coy: PDTs must be developed under good manufacturing practices.

Pdt's must be developed under good manufacturing practices tested in statistically significant randomized controlled trials and authorized by regulators like FDA.

Coy: Tested in statistically significant randomized controlled trials and authorized by regulators.

Coy: PDTs also have the unique ability to collect real world data for use by Cornish.

Pdt's also have the unique ability to collect real world data for use by clinicians.

Coy: Enhancing the connection between patients and healthcare providers.

Enhancing the connection between patients and health care providers.

Pdt's can improve patient outcomes.

Coy: They can enhance clinicians' ability to deliver care, and they can save money for payers and the health care system.

Ken enhanced clinicians ability to deliver care.

And they can save money for payers and the health care system.

Coy: Today, we will introduce you to Paris vision and the opportunity before us.

Today, we will introduce you to Paris vision and the opportunity before us.

Coy: We will move on to introduce our three commercial products and to describe the commercial inflection point we achieved in 2021.

And we'll move on to introduce our three commercial products and to describe the commercial inflection point, we achieved in 2021.

Coy: Then, we will orient you to our evidence generation and to our pipeline of product.

Then we will Orient you to our evidence generation into our pipeline of product candidates.

Coy: Next, we will discuss our dual platform, PAIR Create, our discovery and development platform, and PAIR Connect, our commercial platform.

Next we will discuss our dual platform.

Create our discovery and development platform and per connect our commercial platform.

Coy: We'll also share our financial results and the performance metrics that allow you to track our progress toward the achievement of our mission. Finally, we'll wrap up by answering your questions.

I will also share our financial results and the performance metrics that allow you to track our progress toward the achievement of our mission.

Finally, we will wrap up by answering your questions.

That's a lot of ground to cover so let's get to it.

Coy: I mentioned we'd start with Paris vision and the large opportunity we are pursuing. The vision has remained.

I mentioned, we'd start with Paris vision and the large opportunity we are pursuing.

Division has remained constant since our earliest days, but it has achieved higher resolution over time, especially in 2021.

Coy: but it has achieved higher resolution over time, especially in 2021.

Coy: When Parallels found it nine years ago, we envisioned a world where software would be used to treat most of these conditions.

When <unk> was founded nine years ago, we envision a world where software would be used to treat most of these conditions.

Coy: It was obvious that technology would transform health care, as it transforms everything. The question was not if, but when.

It was obvious that technology will transform healthcare as it transforms everything.

The question was not if but when and how.

Coy: The pandemic seems to have turned a digital health evolution into a digital health revolution and PDTs are part of that.

The pandemic seems to have turned a digital health evolution into a digital health Revolution.

Pdt's are part of that digital health Revolution.

Coy: The space is exploding and last year our commercial success accelerated the emergence of PDTs as a mainstream medical treatment.

The space is exploding and last year, our commercial success accelerated the emergence of <unk> as a mainstream medical treatment.

Coy: We do 2021 at the year when pair, and therefore the entire PDC category achieved its first commercial and selection point.

We view 2021 as the year when pear and therefore, the entire PDP category achieved its first commercial inflection point.

Coy: AIR achieves strong financial results and commercial progress from its portfolio of marketed products across key performance metrics of prescriptions, fulfillment rate, covered lives, and revenue. We'll discuss that

<unk> achieved strong financial results and commercial progress from its portfolio of marketed products across key performance metrics of prescriptions fulfillment rate covered lives and revenue.

I'll discuss that performance later in the call.

Coy: We think pairs rapid acquisition of covered lives in 2021 driven by real-world outcomes data is a great reason to believe PDTs are here to stay.

We think pairs rapid acquisition of covered lives in 2021.

Driven by real World outcomes data is a great reason to believe Pdt's are here to stay.

Coy: We cannot think of a better way to measure the rapid de-risking of the entire PDT category than with more than 30 organizations providing access to our commercial products and major coverage decisions from the likes of Prime Therapeutics, OptimRX, and Massachusetts Medicaid.

I cannot think of a better way to measure the rapid de risking of the entire PDP category and with more than 30 organizations, providing access to our commercial products and major coverage decisions from the likes of Prime therapeutics of Tomorrow.

And Massachusetts Medicaid.

Coy: Our strategy to generate health economic data, demonstrating cost savings in excess of product price, is what we believe is key to driving coverage. In addition.

Our strategy to generate health economic data demonstrating cost savings in excess of product price is what we believe is key to driving coverage.

In addition, we generated advocacy.

Coy: both from clinicians who are actively utilizing our products and from patients and patient advocacy organizations who understand the benefit of our product.

<unk> from clinicians, who are actively utilizing our products and from patients and patient advocacy organization to understand the benefits of our products.

Coy: In parallel, we generate streamlined mechanisms for coding and payment.

In parallel we generate streamline mechanisms for coding and payment.

Coy: We've already seen this strategy gaining ground, and we will continue to execute until we see broad-based payer coverage for PDT.

We've already seen this strategy gaining ground and we will continue to execute until we see broad based payer coverage for PDP.

Coy: I'd like to share some examples of how others are now contributing to this coverage crusade.

I'd like to share some examples of how others are now contributing to this coverage Crusade.

Coy: The first is the milestone announcement last fall of the American Medical Association, or AMA, revising its new family of Category 1 CPT codes to allow physicians to be reimbursed for their time spent monitoring and supplying FDA-authorized online cognitive behavioral therapy technologies like RPDT.

The first is the milestone announcements last fall of the American Medical Association or AMA revising its new family of category, one CPT codes to allow physicians to be reimbursed for their time spent monitoring and supplying FDA authorized online cognitive behavioral therapy technologies like <unk>.

Our pdt's.

Coy: The second example is last month, the Centers for Medicare and Medicaid Services, Ford CMS, established a new level-to-hix-fix code for prescription digital behavioral therapy.

The second example is last month the centers for Medicare and Medicaid services for CMS established a new level to fixed fixed code for prescription digital behavioral therapy.

Coy: This code includes PDTs such as pairs reset, reset O, and sum.

This code includes pdt's, such as payers reset reset and some risks.

Coy: The code is scheduled to become effective on April 1st, 2022.

So it is scheduled to become effective on April one 2022.

Coy: The third and final example I'll share is the access to prescription digital therapeutic acts introduced into Congress earlier this month.

The third and final example, I'll share is the access to prescription digital therapeutics.

Introduced into Congress earlier this month.

Coy: The bill, which enjoys both bipartisan and bicameral support, if enacted into law, would expand fee-for-service Medicare coverage to include PDT.

The bill, which enjoys both bipartisan and bicameral support if enacted into law would expand fee for service Medicare coverage to include PDT.

Coy: I'll sum up our vision and opportunity with three quick observations.

I will sum up our vision and opportunity with three quick observations.

Coy: First, Hair defined the PDT industry, achieved early market traction with the first three PDT products, and lay a strong foundation for growth.

First per defined the PDT industry.

Achieved early market traction with the first three PDP products and lay a strong foundation for commercial expansion.

Coy: We believe that many companies will join us in building the industry for the benefit of patients, providers, and payers.

We believe that many companies will join us in building the industry for the benefit patients providers and payers.

Coy: And we believe that PDTs have the opportunity to quickly become mainstream medical treatment.

And we believe the PD teams have the opportunity to quickly become mainstream medical treatments.

Coy: We believe that five years from now, PDTs will abound. And 10 years from now, they will be ubiquitous.

We believe that five years from now Pdt's will abound.

10 years from now they will be ubiquitous.

Coy: Second, our business is enabled by competitive advantages like those obtained by life science and tech companies.

Second our business is enabled by competitive advantages like those obtained by life Science and tech companies.

Coy: Our business features data, platform, regulatory, and IT competitive advantages, and presents the opportunity to create therapeutic-like medical value with software-like scale and efficiency.

Our business features data platform regulatory and IP competitive advantages and presents the opportunity to create therapeutic white medical value with software like scale and efficiency.

Coy: At the first mover in PDTs, we see the opportunity for our company to deliver PDT after PDT, both be of the dominant PDT creation engine as well as the standard commercial platform for PDT.

At the first mover in Pdt's, we see the opportunity for our company to deliver PDT after pvt.

<unk> via the dominant PDT creation engine as well as the standard commercial platform for Bdcs.

Coy: Third, adoption of PDTs is accelerating, creating a major financial opportunity.

Third adoption of PDT is accelerating creating a major financial opportunity.

Coy: Clinical trial data, real-world data, prescriber adoption, and payer coverage collectively make PDTs ripe for disruption of the medical complex.

Clinical final data real world data prescriber adoption and payer coverage collectively make PDT is ripe for disruption of the medical complex.

Coy: We believe the market opportunity for three FDA-authorized PDTs is significant.

We believe the market opportunity for our three FDA authorized PDT is significant.

Coy: The market opportunity for our current pipeline of 14 product candidates is even greater.

The market opportunity for our current pipeline of 2014 product candidates is even greater.

Coy: the market opportunity for the category is greater even still. We think PDTs are likely to transform healthcare and we intend to be the company that leads this rapidly growing space.

And the market opportunity for the category is greater even still.

We think <unk> are likely to transform healthcare and we intend to be the company that leads this rapidly growing space.

Speaker Change: Now let's turn to Julia, who will tell you more about our marketing products and who will share with you why we believe we achieved a commercial and selection point last year.

Now, let's turn to Julian who will tell you more about our marketed products and who will share with you why we believe we achieved our commercial inflection point last year.

Julian.

Julia: Thanks, Corey. Greetings to all of our investors, analysts, employees, and partners.

Thanks Corey.

<unk> to all of our investors analysts employees and partners.

Julia: Substance use and opioid use disorders are chronic, treatable diseases, and yet more than 20 million Americans struggle each year with these forms of addiction.

Substance Houston opioid use disorders, or chronic treatable diseases, and yet more than 20 million Americans struggle each year with these forms of addiction.

Julia: Our product reset is a 90-day FDA authorized prescription product for the treatment of substance use disorder.

Our product reset is a 90 day FDA authorized prescription product for the treatment of substance use disorder.

Julia: It's the only product with a label for the treatment of addiction to cannabis, cocaine, and stimulants.

It's the only products with a label for the treatment of addiction to cannabis cocaine and stimulants.

Julia: It's also indicated for the treatment of addiction to alcohol when used in combination with any of those substance.

It is also indicated for the treatment of addiction to I'll call when used in combination with any of those substances.

Julia: Our product Reset-O is an 84-day, FDA-authorized prescription product for the treatment of opioid use disorder when used in combination with the pharmaceutical medication called buprenorphine.

Our product reset is an 84 day FDA authorized prescription product for the treatment of opioid use disorder when used in combination with the pharmaceutical medication called buprenorphine.

Julia: Ricetto is part of an innovative response to the opioid crisis in America, which was the number one public health care crisis in our country before the pandemic, and which has only gotten worse due to the pandemic. In fact, according to a recent report from the CDC, America's addiction epidemic is the deadliest it's ever been.

<unk> is part of an innovative response to the opioid crisis in America, which was the number one public health care crisis in our country before the pandemic and which has only gotten worse due to the pandemic.

In fact, according to a recent report from the CDC American addiction epidemic is the deadliest it's ever been.

Julia: More than a hundred thousand people died of drug overdoses in the United States during the 12 month period ending in April of 2021.

More than 100000 people died of drug overdoses in the United States. During the 12 month period ending in April of 2021.

Julia: This is up 28.5% from the same period a year earlier and nearly double the past five years.

This is up 28, 5% from the same period, a year earlier and nearly double the past five years.

Julia: Summerist is a 63-day FDA authorized prescription product for the treatment of chronic insomnia.

Tom wrist is a 63 day FDA authorized prescription product for the treatment of chronic insomnia.

Julia: In fact, it is the only product with a label for the treatment of chronic insomnia, which means that it has the opportunity to displace habit-forming pharmaceuticals indicated for acute insomnia.

In fact, it is the only product with a label for the treatment of chronic insomnia, which means that it has the opportunity to displace habit, forming pharmaceuticals indicated for acute insomnia.

Julia: It delivers CBT for insomnia called CBTI in a convenient, standardized and accessible way.

It delivers CVT four insomnia called cdti in a convenient standardized and accessible way.

Julia: Both the American College of Physicians and the American Academy of Sleep Medicine treatment guidelines recommend CBTI as first line treatment for insomnia. But most patients never get CBTI because there are fewer than 300 treating clinicians in the US for about 30 million patients.

Both the American College of physicians and the American Academy of Sleep Medicine treatment guidelines recommend cdti as first line treatment brand family.

Most patients never get cdti, because there are fewer than 300 treating clinicians in the U S for about 30 million patients.

Julia: Clinical data for some rest demonstrate a long-term durable improvement of insomnia, depression, and anxiety symptoms out to 18 months, unlike acute drug treatments which have no durable.

Clinical data for <unk> demonstrate a long term durable improvement of insomnia, and depression and anxiety symptoms out to 18 months.

Unlike acute drug treatments, which have no durable effect.

Now I will share with you a few thoughts on why we believe that 2021, what's the first commercial inflection point prepared and the PDP category more broadly.

Julia: Now I'll share with you a few thoughts on why we believe that 2021 was the first commercial inflection point for PEAR and the PDD category more broadly.

Julia: First, the number of patients benefiting from our products continues to grow. In 2021, we saw more than 14,000 prescriptions.

First the number of patients benefiting from our products continues to grow in.

In 2021, we saw more than 14000 prescriptions.

Julia: We are starting to see refills of second and third prescriptions of Reset and Reset O as providers looked to keep patients engaged with treatment on their path to recovery.

We're starting to see refills are second and third prescriptions of reset and reset O as providers look to keep patients engaged with treatment on their path to recovery.

Julia: approximately 60% of our prescribers prescribe refill to support a patient through their treatment journey.

Approximately 60% of our prescribers prescribe rebuilt to support a patient through their treatment journey.

Julia: And the number of prescribers benefiting from our three products also continues to grow.

And the number of prescribers benefiting from our three products also continues to grow.

Julia: We believe the adoption of CPT and HCPCS codes for the category reflects the evolution of the reimbursement ecosystem for PDT.

We believe the adoption of CPT and hix picks codes for the category reflects the evolution of the reimbursement ecosystem for PDT.

Julia: As Corey mentioned earlier, the AMA announced Category 1 CPT codes for Remote Therapeutic Monitoring Treatment Management Services.

As Corey mentioned earlier, the Ami announced category, one CPT codes for remote therapeutic monitoring treatment management services.

Julia: These codes along with the revisions that specify the reporting of cognitive behavioral therapy monitoring services recognize the value of both PDT's and related physician services, including setup education and monitoring.

These codes along with the revisions that specify the reporting of cognitive behavioral therapy monitoring services.

Recognize the value of both PDT and related physician services, including setup education and monitoring.

Julia: Additionally, CMS established a new level 2 HCPCS code for PDTs, including our three marketed products.

Additionally, CMS established a new level, two hix fixed code for PDT, including our three marketed products.

Julia: The new code is scheduled to become effective on April 1st, 2022.

The new code is scheduled to become effective on April one 2022.

Julia: Second, our fulfillment rate remains steady at year end, we're up to 51%.

Second our fulfillment rate remained steady at year end were up to 51%.

Julia: We expect our continued focus on integration into the digital provider infrastructure to further drive simpler prescribing and optimize fulfillment.

We expect our continued focus on integration into the digital provider infrastructure to further drive simple error prescribing and optimized system.

Julia: Third, the number of covered lives of our products continue to grow, unlocking access for more and more Americans and unlocking the revenue potential in the PDT business model.

Third the number of covered lives of our products continued to grow unlocking.

Unlocking access for more and more Americans and unlocking the revenue potential and the PDT business model at.

Julia: At year-end, we had more than 31 million covered lives across more than 30 PBMs, commercial payers, employers, and state organizations providing access by either listing on a formulary as a covered benefit or purchasing products in bulk.

At year end, we had more than 31 million covered lives across more than 30, pbms commercial payers employers and state organizations, providing access by either lifting on a formulary as a covered benefit are purchasing products in bulk.

Julia: These organizations include the likes of Crime Therapeutics, OptumRx, the Health Transformation Alliance, the Hartford, and states such as Massachusetts, Ohio, Indiana, and Kentucky.

These organizations include the likes of Prime Therapeutics Optima Rx.

<unk> transformation alliance, the Hartford, and states, such as Massachusetts, Ohio, Indiana and Kentucky.

Julia: Already this year, we've added Michigan and Oklahoma and a Fortune 10 employer to our list of groups providing access to our PDC.

Already this year, we've added, Michigan, and Oklahoma, and a fortune 10 and player to our list of groups, providing access to our PDP.

Julia: For our real-world evidence and healthcare economic outcomes are driving progress with payers. Pairs published real-world HR data to nine out to nine months for resetto.

For us.

Our real World evidence and health care economic outcomes are driving progress with payers Perez published real World <unk> data to nine out to nine months for re setup.

Julia: The data showed a net cost savings in access of the product price.

The data showed a net cost savings in excess of the product price.

Julia: We made strong commercial progress in 2021 and I look forward to giving you updates each quarter moving forward.

We made strong commercial progress in 2021, and I look forward to giving you updates each quarter moving forward.

Speaker Change: At this point, I'm happy to turn the call over to Yuri, who will talk to you more about our real-world evidence and health economic data, and then tell you about a couple of our 14 product candidates. Yuri?

At this point I'm happy to turn the call over to Gary who will talk to you more about our real world evidence and health economic data and then tell you about a couple of our 14 product candidates Yuri take it away.

Eie: Thank you, Julia, and thanks to everyone joining this call.

Thank you Julia and thanks to everyone joining this call.

Eie: Before I dive into our pipeline, as Julia noted, evidence and data generation is an important component to our market access strategy.

Before I dive into our pipeline as Julian noted.

Evidence and data generation is an important component to our market access strategy.

Eie: We've made great progress with publishing both real-world evidence and health economic data over the last 18 months.

We've made great progress with publishing both real world evidence and health economic data over the last 18 months.

In addition to what we've already published in peer reviewed journal articles in the next few months I anticipate we'll be able to talk about six months EUR data for reset 12 months EUR data for recent.

And 24 months <unk> data for <unk>.

Eie: As you saw earlier this month, we have interim data coming out of our virtual real-world study of adults with chronic insomnia, called Dream, which was presented at the World Seek

As you saw earlier this month, we have interim data coming out of our virtual real World study of adults with chronic insomnia called Dream, which was presented at the World CTD.

Eie: Data are the ways that will bring PDT to everyone's choice.

Data are the way that will bring pdt's to everyone shores.

Eie: The combination of RCTs, RWE, and HUR enables pair to show value to key stakeholders, be they patients, clinicians, provider organizations, regulators, or payers.

The combination of Rct's, RW and AQR enables payer to show value to key stakeholders be they patients clinicians provider organizations regulators or payers for example, our reset O RCT shows 82.

Eie: For example, our reset O-R-C-T shows 82% of patients were retained in therapy, and 77%

Some of the patients were retained in therapy, and 77% cheat accidents, while real world evidence data shows 88% absent at 12 weeks and AQR data shows a net savings $2708 over nine months.

Eie: While real-world evidence data shows 88% abstinent at 12 weeks, and HEOR data shows a net savings of $2,708 over nine months.

Eie: the ability to rapidly generate this continuum of evidence is key competitive differentiator for pair. We will dig further into real world

The ability to rapidly generate this continuum of evidence is key competitive differentiator for <unk>.

We will dig further into real world data next quarter.

Eie: For today, it's my privilege to introduce you to our pipe.

For today, it's my privilege to introduce you to our pipeline.

Eie: We don't have time to talk about each candidate, so I'll orient you to our pipeline generally and then shine a light on two candidates to give you a sense of what's to come. Our pipeline is.

We don't have time to talk about each candidate. So Orient you to a pipeline generally and then shine a light on two candidates to give you a sense of what's to come.

Our pipeline is organized into three categories psychiatry, neurology and all others.

Eie: psychiatry, neurology, and all others.

Eie: The Psychiatry category is the most advanced, with three products on the market and other candidates in various stages of development.

The psychiatry category is the most advanced with three products on the market and other candidates in various stages of development. Our mission is to become a one stop shop for all conditions related to mental and behavioral health.

Eie: Our mission is to become a one-stop-shop for all conditions related to mental and behavioral health, and we see great opportunity for cross-prescribing driven by our clinician dashboard.

And we see great opportunity for cross prescribed me driven by our clinician dashboard.

Eie: This category is headlined by our Alcohol Use Disorder or AUD candidate and our Product Candidate for Major Depressive Disorder or MDD, both of which I will discuss in a moment.

Category is headlined by our alcohol use disorder, or AED candidate and our product candidate for major depressive disorder or <unk>.

Both of which I will discuss in a moment.

Eie: The neurology category is a logical extension into another area of CNS disorder.

The neurology category is a logical extension into another area of CNS disorders pain. For example is well suited for treatment with the PDT because more than 50 million patients are left to choose between pain and treatment by the law.

Eie: Pain, for example, is well suited for treatment with the PDT because more than 50 million patients are left to choose between pain and treatment by opiate.

Eie: The last category is all others. We believe that PDTs have promise across a range of therapeutic areas, including candidates in our pipeline targeting major markets like GI, oncology, and cardiovascular conditions. Now let's discuss our.

Last category is all others, we believe that pdt's have promise across a range of therapeutic areas, including candidates in our pipeline targeting major markets like Gi oncology and cardiovascular conditions.

Now, let's discuss our AED and depression candidates.

Eie: Our AUD program is a natural outgrowth of our success with RESET. As you may know, alcohol is in RESET's label when it is one of two or more substances of use. But the RESET label does not include

Our <unk> program is a natural outgrowth of our success with reset as.

As you May know alcohol is in resets label. When it is one of two or more substance abuse with the recent label does not include AED alone. We have data showing recent promise in this setting and we are developing <unk> for patients with AEP only we believe this label expansion has a good probability of success.

Eie: We have data showing RESET's promise in this setting, and we are developing RESET for patients with AUD only.

Eie: we believe this label expansion has a good probability of success based on existing data.

Based on existing data.

Eie: In addition, if we obtain the label expansion, it would create a large market opportunity which is currently covered by our existing commercial field.

In addition, if we obtain the label expansion it would create a large market opportunity is currently covered by our existing commercial field force.

Eie: Next I'd like to mention our candidate for MDD. This is an area of enormous unmet need, with more than 19 million Americans suffering from depression before the COVID-19 pandemic.

Next I'd like to mention our candidate for MBE. This is an area of enormous unmet need with more than 19 million Americans suffering from depression before the COVID-19 pandemic.

Eie: Like AUD, if it's perfectly in the site category of our pipeline, allowing us to leverage our commercial infrastructure and allowing psychiatrists to cross-prescribe via our clinician dashboard. In December , we announced two deals that allow us to incorporate promising digital therapeutic assets into our MBD candidate.

Like AED it fits perfectly in the fight category of our pipeline, allowing us to leverage our commercial infrastructure and allowing psychiatrist to cross prescribed via our clinician dashboard into.

In December we announced two deals that allow us to incorporate promising digital therapeutic assets into our MBT candidate.

Eie: Unlike other software-based treatments for depression, both of our assets have already demonstrated effectiveness in treating patients with MDD in randomized control trials.

Unlike other software based treatments for depression, both of our assets have already demonstrated effectiveness in treating patients with MTBE in randomized controlled trials.

Eie: Leveraging those assets along with our digital biomarkers, we are developing a PDT candidate for use alone and or in combination with pharmacotherapy to treat patients across the continuum of depression subtypes and severity.

Leveraging those assets along with our digital Biomarkers, we are developing a PDT candidate for use alone and or in combination with pharmacotherapy to treat patients across the continuum of depression subtypes and severities. The PDT candidate would then be evaluated in a potential pivotal clinical.

Eie: The PDT candidate would then be evaluated in a potential pivotal clinical trial support FDA submission.

While support FDA submission.

Eie: It is a bit premature to announce plans for clinical trials, but I expect to be able to discuss specific plans with you before the end of the year.

It is a bit premature to announce plans for clinical trials, but I expect it to be able to discuss specific plans with you before the end of the year.

Speaker Change: At this point, I'd like to turn it over to Aaron to talk to you about our dual platform.

At this point I'd like to turn it over to Eric to talk to you about our dual platform <unk>.

All yours Erin.

Aaron Brenner: Thanks hearing and thanks to all of you joining us on today's call.

Thanks, Gary and thanks to all of you joining us on today's call.

Aaron Brenner: Pair is a platform-based, product-driven company. My job in the next several minutes is to give you a sense of Pair's dual platforms, Pair Create and Pair Connect.

There is a platform based product driven company.

My job in the next several minutes to give you a sense of parent duo platform per create and per connect.

Aaron Brenner: Pair Create is our discovery and development platform. We use it to discover, develop and obtain approval for product candidates.

Per create.

February and development platform, we use it to discover.

And obtain approval for our product candidates.

Aaron Brenner: In that regard, it has similarities to a biotech plot.

In that regard it has similarities to a biotech platform.

Aaron Brenner: Moderna is a biotech that used its mRNA platform to create multiple product candidates, one of which became a very important product. We believe that will not be the only product that comes from Moderna's development platform. We also believe that Reset, ResetO, and Somrist will not be the only products that come from PairCreate.

They're not as a biotech they use this mrna platform to create multiple product candidates, one of which became a very important part of <unk>.

We believe that will not be the only product that comes from the Donuts development platform. We also believe that we thought we thought Oh and signed that will not be the only products that come from parents.

Aaron Brenner: The components of our PAIR-CREATE platform consist of our technology infrastructure, universal design system, asset aggregation capabilities, and content and component libraries. In addition, we've built an integrated virtual and decentralized clinical study platform, as well as a health, economic, and real-world data engine to facilitate regular and timely evidence generation for PAIR or third-party PBTs.

The components of our Pur create platform consists of our technology infrastructure, Universal design cellphone asset aggregation capabilities and content and component library.

In addition, we've built an integrated virtual and decentralized clinical study platform as well as our health economic and real World data engine to facilitate regular and timely evidence generation prepare or third party people too.

Aaron Brenner: All of these capabilities have the potential to create leverage and scalability as we practice human centered design.

All of these capabilities have the potential to create leverage and scalability as we practice human centered design.

Aaron Brenner: Pair Connect is our commercial platform. It connects PDTs with patients, providers, and payers. We use it to commercialize our products, and we intend to make it available to other PDT companies if they so choose, so that providers will have a unified platform on which to access PDTs.

Per connect because our commercial platform that connects P. D teams with patients providers and payers, we use it to commercialize our products and we intend to make it available to other P boutique company if they so choose.

Providers will have a unified platform on which to access too.

Aaron Brenner: Whereas PairCreate looks a lot like a biotech company's platform, PairConnect looks a lot like a tech company's platform. Think of PDTs as therapeutic products that are delivered to providers and payers in ways that resemble enterprise software.

Whereas pear create looks a lot like a biotech company with platform per connect with a lot of tech companies popcorn.

A P. D. T is a therapeutic products that are delivered to providers and payers in ways that resemble enterprise software.

Aaron Brenner: Since I had up our product development team that pair, a big part of my focus is working with the team to streamline patients and provider journey to build the infrastructure for the entire PDC category.

Since I head up our product development kit per a big part of my focus is working with the team to streamline patient and provider journey to build the infrastructure for the entire PDP category.

Aaron Brenner: EMR integration, the PAIR.md clinician dashboard, our end-to-end patient service center, and a data infrastructure configured to aggregate patient engagement, adherence, and clinical outcome data are all part of PAIR Connect. And PAIR Connect is gaining steam.

EMR integration Peridot M D clinician dashboard.

End to end patient service center, and the data infrastructure configured to aggregate patient engagement adherence and clinical outcome data are all part of personnel and pair connect is gaining steam as an example, we announced last week that our care connect platform is now available to health care providers.

Aaron Brenner: As an example, we announced last week that our Paraconnect platform is now available to healthcare providers in the EPIC Orchard Gallery, so providers can access the platform from within EPIC's leading EMR.

Epic Orchard Gallery.

Riders can access our platform from within epic leading him off.

Aaron Brenner: We are working to make PAIR a one-stop shop for providers and payers to connect with PDTs for their patients.

We are working to make pair a one stop shop for providers and payers.

It connects with P D piece for their patients.

Aaron Brenner: this gigantic vision inspires us and motivates us every day and it is why we believe we are building more than just a company. We're building the entire category.

This gigantic vision inspires us and motivates US every day and it is why we believe we are building more than just a company we're building the entire category I.

Speaker Change: I look forward to updating all of you in future calls on pairs category creating platform build. Next I'll hand the call to Chris.

I look forward to updating all of you in future calls on Paris category, creating platform bed next I'll hand, the call to Chris.

Pris: Thanks, Aaron. Before we jump to Q&A, I'll cover financial results and a few operating metrics for which we provide guidance.

Thanks Aaron.

Before we jump into Q&A I'll cover financial results and a few operating metrics for which we provide guidance.

Pris: First, we forecasted 12,500 prescriptions for 2021. We generated more than 14,000.

First we forecasted.

12500 prescriptions for 2021.

We generated more than 14000.

Pris: Second, we forecasted 50% fulfillment rate for 2021. We hit 51%.

Second we forecasted 50% fulfillment rate for 2021.

We had 51%.

Pris: Third, we forecasted 30 to 40 million covered lives for 2021. We delivered more than 31 million.

Third we forecasted a 30 to 40 million covered lives for 2021.

We delivered more than $31 million.

Pris: Fourth, we forecasted 8% gross to net for 2021. It was 18%-

Fourth we forecasted 8% gross to net for 2021, it was 18% and the average price per paid prescriptions in 2021 across our three products was one three.

Pris: and the average price per paid prescription in 2021 across our three products was $1,306.

$306.

Pris: Going forward, we will not provide gross-to-net guidance because we believe that prescriptions, fulfillment rate, and covered lives are the key operating metrics, and we believe that gap revenue is the key financial result.

Going forward, we will not provide gross to net guidance, because we believe that prescriptions fulfillment rate and covered lives are the key operating metrics and we believe that GAAP revenue as the key financial results.

Pris: Now let's turn from operating metrics to financial results.

Now, let's turn from operating metrics to financial results.

Pris: Our revenue forecast for 2021 was $4 million. We generated $4.2 million.

Our revenue forecast for 2021 was $4 million.

We generated $4 2 million I'd.

Pris: I'd like to take this opportunity to thank all of our Pearmates for standing together to deliver these strong results.

I'd like to take this opportunity to thank all of our permits for standing together to deliver these strong results.

Pris: Our diverse team could be the most important ingredient in our recipe for success. And diversity is one of our strengths. That diversity...

Our diverse team could be the most important ingredient in our recipe for success in.

And diversity is one of our strengths.

That diversity starts at our board.

Pris: extends to our management team, and permeates every level of the company.

Extends to our management team and permeates every level of the company.

Pris: Our paramates share a common denominator, which is that they are mission-driven pioneers who love to innovate for patients.

Our perm rates share a common denominator, which is that they are mission driven pioneers, who love to innovate for patients.

Pris: A few more 2021 metrics to note. First, at year-end, we had approximately $170 million on the balance sheet, which takes us well into 2023.

A few more 2021 metrics to note.

First at year end, we had approximately $170 million on the balance sheet, which takes us well into 2023.

Pris: Second, we recorded total operating expenses of approximately $35.6 million in the fourth quarter. That includes approximately $1.4 million in non-recurring expenses related to going public in December .

Second we recorded total operating expenses of approximately $35 6 million in the fourth quarter.

That includes approximately $1 4 million in nonrecurring expenses related to going public in December .

Pris: And finally, we add approximately 300 employees at URA.

And finally, we had approximately 300 employees at year end.

Pris: This afternoon, we issued a press release, which was furnished to the SEC under Form 8K, reporting our fourth quarter and full year 2021 results.

This afternoon, we issued a press release, which was furnished to the SEC under form 8-K reporting our fourth quarter and full year 2021 results. We plan to file our Form 10-K for 2021 Tonight.

Pris: We plan to file our form 10k for 2021 tonight. Now let's look ahead.

Now, let's look ahead to our 2022 guidance.

Pris: First, 50,000 to 60,000 prescription.

First 50000 to 60000 prescriptions.

Pris: Second, 50% to 65% fulfillment rate.

50% to 65% fulfillment rate.

Pris: Third, $100 million to $120 million covered lives, and fourth, $22 million in revenue.

Third $100 million to 120 million covered lives.

<unk> <unk>.

$22 million in revenue.

Pris: We believe we've shown strong execution so far as a public company, just as we did as a private company.

We believe we've shown strong execution, so far as a public company just as we did as a private company.

Pris: Our track record of execution in 2021 allowed us to meet our revenue guidance for the year while building the capability to excel in 2022 and beyond.

Our track record of execution in 2021 allowed us to meet our revenue guidance for the year, while building the capability to excel in 2022 and beyond.

Pris: Our track record of execution continued in the first three months of 2022. It includes recent announcements related to one, payer coverage in Michigan and Oklahoma.

Our track record of execution continued in the first three months of 2022 and includes recent announcements related to one payer coverage in Michigan and Oklahoma.

Pris: Two, availability of RESET and RESET-O in Spanish. Three, a collaboration to potentially expand our sleep franchise in Japan. Four, CMS establishing a HCPCS code for payers' PDTs.

Availability of reset in <unk> in Spanish.

Three our collaboration to potentially expand our sleep franchise in Japan.

Sure.

Establishing a X sic codes for payers PDT.

Pris: five, the introduction of federal legislation to make PDT's a covered benefit category, and six, availability of our Care Connect platform within ethics leading EMR.

Five the introduction of federal legislation to make PDT is a covered benefit category.

And six availability of our pair connect platform within epic's, leading EMR.

Pris: After the year we had in 2021, PEAR and the entire PDT category are poised for growth.

After the year, we had in 2021.

<unk> and the entire PDP category are poised for growth.

Pris: In fact, we believe that PDTs today have similarities with continuous glucose monitors, telehealth, liquid biopsies, and monoclonal antibodies immediately prior to their massive commercial expansion.

Scott when you believe that Pvp's today have similarities with continuous glucose monitors telehealth liquid biopsies and monoclonal antibodies immediately prior to their massive commercial expansions.

Pris: Those technologies were new and transformational, just like PDT.

Those technologies were new and transformational just like PDP.

Pris: As novel product classes, reimbursement was unlocked by real-world evidence and the establishment of bespoke billing and coding mechanisms.

As novel product classes reimbursement was unlocked by real world evidence and the establishment of bespoke billing and coding mechanisms.

Pris: Today, those health care technologies are commercial success stories with broad coverage from commercial and government payers.

Today, those health care technologies, our commercial success stories with broad coverage from commercial and government payers.

Pris: We believe that PDTs have the potential to transition from novelty to ubiquity, and it is parents' privilege to lead that charge.

We believe that PD Ts.

The potential to transition from novelty to ubiquity.

And it is pairs privilege to lead that charge.

Pris: With that, Gigi, let's open the call for questions.

With that <unk>, let's open the call for questions.

Pris: As a reminder, to ask a question, you will need to press star one on your telephone. To withdraw your question, press the pound key. Please stand by while we compile the Q&A roster.

As a reminder to ask a question you want me to press Star one on your telephone to withdraw your question press the pound team. Please standby, while we compile the Q&A roster.

Speaker Change: Our first question comes from the line of Michael Czerny from Bank of America. Your line is now open. Good afternoon.

Our first question comes from the line of Michael Cherny from Bank of America. Your line is now open.

Good afternoon, thanks for all the color so far.

Michael Journey: I want to ask a little bit about the CMS code, as you think about the chicken and the egg approach as you continue to build towards those more live dynamics, what is the more important part?

I wanted to ask a little bit about the CMS code as you're thinking about the chicken and the egg approach as you continue to build towards those those more lives dynamics. What is the more important part is it. The fact that you have the code in place. The payers are now willing and able to utilize with physicians, having more clarity on reimbursement or is it more you need to bring.

Michael Journey: Is it the fact that you have the code in place that payers are now willing and able to utilize with physicians having more clarity on reimbursement?

Michael Journey: Or is it more, you need to bring the members, the lives, the payers to the table in order to help funnel the use of that code and drive more prescriptions?

The members of the lives the payers.

The table in order to help funnel the use of that code and drive more prescriptions.

Speaker Change: Michael, thank you for the question. Thank you for attending our earnings call. I think it's it's gladly both. I think what we need in order to add to our current roster of cover lives. Is a combination of both payer demand. As well as mechanisms for payers to provide cover.

Michael Thank you for the question and thank you for attending our earnings call.

I think it's slightly both.

I think what we need in order to add to our current roster of covered lives.

Is a combination of both payer demand as well as mechanisms for payers to provide coverage.

Speaker Change: On the payer demand side, that's where you hear our health economic evidence story continue to evolve. Yuri mentioned where we are. He mentioned a bit about where we're headed.

On the payer demand side, that's where you hear our health economic evidence story continue to evolve you already mentioned, where we are you mentioned a bit about where we're headed.

Speaker Change: With regard to the Category 2 HCPCS code, that's an example of providing a billing and coding mechanism for these payers to be able to provide simple coding and payment.

With regard to the category two X fixed code. That's an example of providing a billing and coding mechanism for these payers to be able to provide simple coding and payment. So it's a long winded way of saying, it's both and it's at the convergence of both demand and mechanism that we believe we can continue.

Speaker Change: So it's a long winded way of saying it's both and it's at the convergence of both demand and mechanism that we believe we can continue to advance our payer coverage.

To advance our payer coverage.

Speaker Change: Understood. And then I guess, you know, Corey or anyone who wants to answer this relative to the payer coverage, obviously you have some really nice brand names on the PBM side that are already

Understood and then I guess.

Corey or analyst wants to answer this relative to the payer coverage. Obviously you have some really nice brand names on the <unk> side that are already adopting state side as well how do you think about that dynamic in place between having the lives under management versus how to make sure that you're optimizing how youre positioning on the formulary. It's one thing obviously to get the Ax.

Speaker Change: adopting state side as well. How do you think about that dynamic in place between having the lives under management versus how to make sure that you're optimizing, you're positioning on the formulary? It's one thing obviously to get the access, but once you get the access, how do you get in there to make sure that you're being adopted, that your products are being positioned in the way that can drive further adoption from individuals?

And then once you get the access how do you get in there to make sure that you are being adopted that your products are being positioned in the way that can drive further adoption from individuals.

Yeah.

Speaker Change: Michael, I think it's all about demonstrating medical value and making sure that we are valued by the customers of many of these PDMs. And that's where we've taken an employer strategy. You heard in the call today, adoption by a top 10 employer in the U.S.

Michael I think it's all about demonstrating medical value and making sure that we are valued by the customers of many of these pbms.

And that's where we've taken an employer strategy you heard in the call today adoption by a top 10 employer in the U S. These are some of the largest customers of many of the pbms and they have a position of prominence in the PGM industry.

Speaker Change: These are some of the largest customers of many of the PBMs and they have a position of prominence in the PBM industry. We believe that that demand, again, along with the creation of medical value and excess of product price, helps us with formulary positioning.

We believe that that demand again, along with the creation of medical value in excess of product price helps us with formulary positioning.

Speaker Change: Thus far formulary positioning has not been an impediment to our revenue generation, but it's certainly something that we will continue to keep a watch on And it's something that I would expect you to ask going forward

Thus far formulary positioning has not been an impediment to our revenue generation, but it's certainly something that we will continue to keep a watch on and it's something that I would expect you to ask going forward.

Speaker Change: I'm guessing it'll be a topic we'll address going forward, but really appreciate the time and the educational effort here today, and look forward to catching up more soon.

Guessing it will be a topic will address going forward, but really appreciate the time and the educational effort here today and look forward to catching up Morrison.

Thanks, Michael Great to hear from you.

Speaker Change: Thank you. Our next question comes to the line of Judith Romer from Credit Suisse. Your line is now open. Yeah. Hi, guys. Thanks for taking my questions. You know, first,

Thank you. Our next question comes from the line of Judah Frommer from Credit Suisse. Your line is now open.

Hi, guys. Thanks for taking the questions.

First.

Juddo Plomers: The news flow out of pair has certainly been robust, I would say.

The news flow kind of out of pair has certainly been robust I would say since since these back I was wondering from a high level you can help us with kind of what's been you know maybe the one or two upside surprises in terms of progress that you've announced.

Juddo Plomers: back. I was wondering if, from a high level, you could help us with, Connor, what's been, you know, maybe the one or two, you know, upside surprises in terms of progress that you've announced, kind of since the transaction, and then more specifically on the EPICA.

Since the transaction and then more specifically on the on the epic announcement happens that wouldn't affect <unk> ability to serve as a PTT platform have there been any conversations or thoughts around Paris ability to serve as the PDT platform within an EMR like epic.

Juddo Plomers: How does that one affect Pair Connect's ability to serve as a PDT platform? Have there been any conversations or thoughts around Pair's ability to serve as the PDT platform?

Speaker Change: Judith, thank you for the two-part question and we'll address it as such. First, I'll walk through what I view as some of our most important accomplishments since our DSPAC process and then we'll speak a little bit to EPIC and the way that we believe it's positioned to be able to help our business.

Thank you for the two part question and we'll address it as such.

First I'll walk through what I view as some of our most important accomplishments.

Since our <unk> process, and then we will speak a little bit to epic.

And the way that we.

We believe it is positioned to be able to help our business.

Speaker Change: So what I'd love to do is really just work from our operating metrics and give you a sense for what we think are the most important events.

So what I'd love to do is really just work from our operating metrics and give you a sense for what we think are the most important events.

Speaker Change: From a prescription perspective, this is a place where we really have what we believe to be a very supportive group of initial prescribers.

From a prescription perspective.

This is a place where we.

We really have what we believe.

To be a very supportive group of initial prescribers and many of these prescribers are larger health care systems, and we're very interested in the opportunity to expand within those prescribers.

Speaker Change: And many of these prescribers are in larger healthcare systems and we're very interested in the opportunity to expand within those prescribers.

Speaker Change: I think that expansion can be driven by things like our EMR integration via the Epic App Orchard. We believe that that expansion also could continue to be supported by things like CMS releasing its Category 1 CPP codes.

I think that expansion can be driven by things like our EMR integration via the epic App Orchard.

We believe that that expansion also could continue to be supported by things like CMS, releasing its category, one CPT codes and I think it would be appropriate for us to place emphasis on the notion that for the first time.

Speaker Change: and I think it would be appropriate for us to place emphasis on the notion that for the first time providers will have the ability to be able to see financial remuneration for their use of prescription digital therapeutics potentially like our Reset, Reset-O and Somers products.

Providers will have the ability to be able to see financial remuneration for their use of prescription digital therapeutics potentially like our reset reset O and <unk> products.

Speaker Change: On the fulfillment side, you can think about this as a long and progressive movement forward. I think things like Epic, again, are emblematic of the tech platform and what we affectionately call laying the plumbing for this entire space. You'll see us continue to move in that direction, make prescribing simpler, and we believe that that is really the key to boosting fulfillment rates.

On the fulfillment side, you can think about this as a long and aggressive movement forward I think things like epic again are emblematic of the tech platform and what we affectionately call laying the plumbing for this entire space Youll see us continue to move in that direction make pre.

Scribing simpler.

And we believe that that is really the key to boosting fulfillment rate.

Speaker Change: On the coverage side, we had quite a year, we're very proud of the year that we had, and I think some of the marquee wins that you've seen, for example, like Massachusetts Medicaid providing coverage really provides a template for every other Medicaid organization that may be looking to cover PDT.

On the coverage side, we had quite a year, we're very proud of the year that we had and I think some of the marquee wins that you've seen for example, like Massachusetts, Medicaid providing coverage really provides a template for every other Medicaid organization that may be looking to cover pvt.

Speaker Change: You've seen Oklahoma already jump on board and we issued a press release with Michigan as well. We believe that that momentum in the payer world is again supported by the pleasant surprise of the level two HCPCS codes. I think the easier these products are to prescribe and to pay for, the more ubiquitous they're likely to become.

You've seen Oklahoma already jumped onboard and we issued a press release with Michigan as well.

We believe that that momentum in the payer world.

Again supported by the Pleasant surprise of the level two hix picks codes I think the easier of these products are to prescribe and to pay for the more ubiquitous they are likely to become <unk>.

Speaker Change: I think the last thing that I would highlight, and this is not a pleasant surprise, it's just the way that we roll at Pear, we're a data-centric business.

The last thing that I would highlight and this is not a pleasant surprise, it's just the way that we roll repair, we're a data centric business.

Speaker Change: And you heard Uri talk about our nine-month health economic data. We're very proud of the ability to continue to put forth

And you heard <unk> talk about our nine months health economic data.

We're very proud of the ability to continue to put forth data that not just shows that our products are utilized in the real world data that not just shows that our products have clinical effect in the real world data that shows that our products save money in the real world and so I think if you put all of that together our priority.

Speaker Change: data that not just shows that our products are utilized in the real world, data that not just shows that our products have clinical effect in the real world, but data that shows that our products save money in the real world. And so I think if you put all of that together, our priorities for calendar year 2022 are quite clear. It's achieve our $22 million in revenue. It's drive some of these major coverage decisions.

For calendar year 2022 are quite clear its achieve our $22 million in revenue. It's drive some of these major coverage decisions.

Speaker Change: continue to generate that health economic data at scale because we know that that's the tail that wags the payer dog. And it is an increase in adoption across major centers.

<unk> to generate that health economic data at scale, because we know that that is the tail that wags the pay your dog Andrew.

And it is an increase in adoption across major centers.

Speaker Change: Finally, we didn't get a chance to talk much about our pipeline, but we're a company that aims to do this time and time again, and we're very excited to be able to speak with you going forward about developments in our pipeline.

Finally, we didn't get a chance to talk much about our pipeline, but we are a company that aim to do this time and time again, and we're very excited to be able to speak with you going forward about developments in our pipeline.

Speaker Change: Great, thanks. If I could sneak one more in, just kind of one of the key questions we get from investors is.

Great. Thanks, and if I could sneak one more in just kind of one of the key questions. We get from investors is right.

Speaker Change: We're sort of in the early stages of this modality and kind of the path forward is still being laid by various entities, but do you feel you get enough credit for the randomized clinical trial work that you've done in pair conversations or are they saying, you know, we're gonna wait and see what the real-world data looks like and make decisions then effectively kicking the can a little bit.

We're sort of in the early stages of this modality in kind of the path.

We have forward is still being weighed by various entities, but do you feel that you get enough credit for the randomized clinical trial work that you've done in payer conversations or are they saying you know, we're going to wait and see what the real world data looks like and make decisions then effectively kicking the can a little bit.

Speaker Change: I flatly don't view it as kicking the can. I view this as the new standard in healthcare and I think whether we're addressing a digital health product

Tom.

I flatly don't view it as kicking the can I view this as the new standard in health care and I think whether we are addressing a digital health product for a pharmaceutical product or any other innovative medical device.

Speaker Change: or a pharmaceutical product, or any other innovative medical device.

Speaker Change: It is standard of play and standard of the industry to look for real world data and to look for evidence of health economic benefit. So we think this is really just the rules of engagement. And I think we're very excited to be in a position where for the first time, all of our commercial products will have what I affectionately refer to as the holy trinity of clinical data.

It is standard of play and standard of the industry to look for real world data and to look for evidence of health economic benefit. So we think this is really just the rules of engagement and I think we're very excited to be in a position where for the first time all of our commercial products, we'll have what I affectionate.

We refer to as the Holy Trinity of clinical data randomized clinical trial data. In addition to real World performance data. In addition to cost data and I might ask our Chief Medical Officer, Yuri If you have anything to add on the real World War top economic front, yes, Julian I think just to.

Speaker Change: randomized clinical trial data, in addition to real-world performance data, in addition to cost data.

Youri: And I might ask our chief medical officer, Yuri, if you have anything to add on the real world or health economics front. Yeah, Jonah, I think just to underscore what Corey said is that we see the focus on generating evidence as really just part of the demand of health systems, particularly the health ecosystem and payers writ large for any type of product.

Underscore what Corie said is that we see.

Focus on generating evidence is really just part of the demand health systems, particularly to help ecosystem and payers writ large for any type of product.

Joh: And really the competitive advantage and differentiator for payer here is the speed with which we can do it. So as Corey said, it's that we have those RCTs and those RCTs really show clear internal validity of the clinical benefit of our products.

And really the competitive advantage and differentiator prepare here.

The speed with which we can do it so as Corey said is that we have those are those rct's really show full year internal validity of the clinical benefit of our products, but to that do you see the use in the real world.

Joh: but two, that we see the use in the real world.

Joh: and that that use is consistent with our RCTs and so that gives more reason to believe by providers and payers. But then third, as Corey said, it's been really showing the medical value and the cost savings from the product, but the fact that we can do this rapidly and we can do this

And that that use is consistent with our RCT and so that gives them more reason to believe by providers appears but then third as Corey said, it didn't really showing the medical value and the cost savings from the product, but the fact that we can do this rapidly and we could do this whether in studies or in.

Joh: whether in studies or in our real world allows us to use that as a catalyst as we engage with payers and so we're really excited to continue to talk about additional data as we are able to generate it.

Our real World allows us to use that as a catalyst as we engage with.

And so we're really excited to continue to talk about additional data as we are able to generate it.

Great. Thanks.

Speaker Change: Thank you. Our next question comes in the line of Eric Purcher from Nephron Research. Your line is now open.

Thank you. Our next question comes from the line of Eric Percher from Nephron Research. Your line is now open.

Eric Perter: Thank you. Good to see the 14,000 scripts and the steady target for 50 to 60,000. It looks like today you're averaging about 25 scripts per doc. What's your aspiration for scripts per doc? Sounds like expansion within existing systems is important. Also wondering if the density you're driving in states like Massachusetts is a driver there. And then the flip side of that, what's your expectation in terms of additions for prescribers?

Thank you good to see the 14000 scripts in the steady target for 50 to 60000, it looks like today, you're averaging about 25 scripts per Doc what's your aspiration for scripts per Doc.

Like expansion within existing systems is important also wondering if the density you're driving in states like Massachusetts as a driver there and then the flip side of that what's your expectation in terms of additions for prescribers.

Speaker Change: Eric, thank you for listening and thank you for your questions. And I know that we're starting to run a bit long here, and so we're going to try to keep our answers relatively brief.

Eric Thank you for listening and thank you for your questions and I know that we're starting to run a bit long here and so we're going to try to keep our answers relatively brief.

Speaker Change: As you know, we haven't issued any sort of guidance in terms of prescriber expansion number of prescribers for any sort of other functional or productivity metrics associated with scrap.

As you know, we havent issued any sort of guidance in terms of prescriber expansion.

<unk> of prescribers for any sort of other functional or productivity metrics associated with scripture.

Speaker Change: With all that said, I think what I can tell you is that at a very high level our strategy resembles much more that of an enterprise software provider within healthcare than it does a traditional pharmaceutical company.

With all that said I think what I can tell you is that at a very high level our strategy resembles much more that of an enterprise software provider within healthcare than it does a traditional pharmaceutical company and what I mean by that is as opposed to detailing dock by Doc.

Speaker Change: And what I mean by that is, as opposed to detailing dock by dock.

Speaker Change: What we tend to do is detail either center by center or organization by organization.

What we tend to do is detail either center by center for organization by organization.

Speaker Change: And what that creates is a top-down mandate that then allows us to embed. And when I say embed, I mean physically embed via things like EMR integration and utilization of our Peridot MD dashboard. And via that top-level embedding, we're then able to target clinicians in mass.

And what that creates is a top down mandates that then allows us to embed and when I say embed I mean physically embed.

Things like EMR integration and utilization of our Paradise MD dashboard.

And that top level embedding, we're then able to target clinicians in mass.

Speaker Change: And I'm sorry if I mixed my metaphors here, I didn't mean in Massachusetts, what I meant was in large groups.

So I'm sorry, if I mixed my metaphors here I didn't mean in Massachusetts, what I meant was in large groups. So what I would expect in 2022 is really not to be thinking so much about <unk>.

Speaker Change: So what I would expect in 2022 is really not to be thinking so much about scripts per clinician ratios, but I expect to be looking toward what are conversion of larger clinics. And I would expect the conversion of those larger clinics and larger health systems to potentially be some of the catalysts that you might see going forward.

<unk> per clinician ratios, but I expect to be looking toward what our conversion of larger clinics and I would expect the conversion of those larger clinics and larger health systems to potentially be some of the catalysts that you might see going forward.

Speaker Change: That's helpful, and a quick financial one for Chris. I know you're sunsetting gross to net guidance, but at 18%, it sounds like you're not far off from mature expectations. Is it fair to assume that the mature expectation has not changed? Our mature.

That's helpful and a quick financial one for Chris I know, you're sunsetting gross to net guidance, but at 18% it sounds like youre not far off from mature expectations is it fair to assume that the mature expectation has not changed.

Our mature expectations have not changed.

Okay. Thank you.

Speaker Change: Thank you. Our next question comes in the line of Kiyomaki from Chardon. Your line is now open.

Thank you. Our next question comes from the line of Keay I'm knocking from Chardan. Your line is now open.

Key: Yes, thank you. First question, with the establishment of the CPT codes, what are you seeing now in terms of interest in providers and either wanting to know more about the product or interested in all the mechanics related to reimbursement from

Yes. Thank you.

Okay.

First question with the establishment of the CPT code. What are you seeing now in terms of interest and providers and either wanting to know more about the product or interested in all of the mechanics.

Related to.

Reimbursement from from that point on.

Key: It's certainly early days for the CPT codes, but we anticipate that those codes will support physician payments for using Peridot MD to track therapy outcomes for education as well as for setup on the therapeutic.

So the key is.

It's certainly early days for the CPT codes.

But we anticipate that those codes will support physician payments for using Paradise MD to track therapy outcomes for education as well as for setup on the therapeutic.

Key: payers have really been considering these codes for a while, but additional education will occur around the addition of CBT programs.

Payers have really been considering these codes for a while.

But additional education will occur around the addition of CVT programs.

Speaker Change: I think at this point, I'd love to pass it to Julia in order to speak just a little bit more to what we're seeing around the Category 1 CPP codes. Great, thanks Corey. So this year in 2022, our products support the CAP-1 code through therapy adherence and therapy response and monitoring and we believe that clinicians will be able to utilize again, these codes for setup and monitoring when using PERS products.

I think at this point I'd love to pass it to Julia in order to speak just a little bit more to what we're seeing around the category one CPT codes great. Thanks Corey.

This year and 2022, our products support the cap one code through therapy adherence to therapy response, and monitoring and we believe that clinicians will be able to utilize began these pellets first setup and monitoring when using <unk> products.

Julia: As it relates to January 1st of 2023, CVT, Consid Behavioral Therapy Supply Code will be available, and thus we believe that these codes also apply across pairs product.

As it relates to January one 2023.

T cognitive behavioral therapy supply code will be available and thus.

We believe that these codes also apply across pairs products.

Julia: Again, as Corey mentioned, these codes include payments for setup and education on patient use and equipment, and two, monitoring services in the first 20 minutes and 20-minute increments, and three is monitoring services greater than 20 minutes.

Again as Corey mentioned these codes include payments for setup and education and patient use and equipment and two monitoring services in the first 20 minutes and 20 <unk>.

And in increments and three is monitoring services greater than 20 minutes.

Julia: There are some national approximate payments and fee schedules associated with those codes.

There are some.

National approximate payments.

Schedule associated with those codes.

Julia: So you can appreciate that a provider could receive payment for each of these codes on setup and education, both RESET and RESET-O, as well as SOMRIS, and then could get paid for the monitoring services thereafter.

So you can appreciate that a provider could receive payment for each of these codes then setup in education.

<unk>.

And <unk> as well as summer and then could get paid for the monitoring services thereafter.

Speaker Change: Okay and second question specific to Somersp and you know as we think about getting covered lies for that product you know what would what would you expect would be the the easiest types of entities of the of the different types that you've mentioned on the call today to begin covering that product.

Okay.

Second question specific to <unk> and.

As we think about getting covered lives for the product.

What would.

What would you expect would be the easiest types of entities of the different types of you've mentioned on the call today too.

Begin covering that product.

Speaker Change: Okay, I think we, to date, have not broken out covered lives for our three commercial products, Reset, Reseto, and Somris.

Okay. I think we to date have not broken out covered lives for our three commercial products reset reset and some risks.

Speaker Change: We have, however, spoken to what are some differing payer representations across the patients that are treated by those products.

We have however spoken to what are some differing payer representation across the patients that are treated by those products.

Speaker Change: And so you've heard us emphasize a good bit state Medicaid, you can think about many of those wins as largely being specific to driving payer coverage for reset and reset out.

So you've heard us emphasize a good bid state Medicaid.

You can think about many of those wins as largely being specific to driving payer coverage for reset and reset out.

Speaker Change: on the somerside. This is a patient population which is more deeply Medicare. It's also more deeply commercial.

On the <unk> side. This is a patient population, which is more deeply Medicare. It's also more deeply commercial.

Speaker Change: As you think about the ways in which we bring these strategies together, in many cases we are engineering coverage via fee-for-service state Medicaid that ultimately compels managed care organizations who are run by large commercial payers to provide coverage for Reset and Reset-O, and that's a fantastic entree into coverage for SOMRI.

As you think about the ways in which we bring these strategies together in many cases, we are engineering coverage be fee for service state Medicaid that ultimately compels managed care organizations, who are run by large commercial payers to provide coverage for <unk>.

Re setup and that's a fantastic entree into coverage for <unk> in.

Speaker Change: In addition, we mentioned the Prescription Digital Therapeutics Act.

In addition, we mentioned the prescription digital Therapeutics Act.

Speaker Change: That is an act that would generate coverage across fee-for-service Medicare as well as some other channels, and we believe that that's an act that, if it comes to fruition, would have a large impact on Somrist, again, because many of these patients are Medicare patients.

That is an act that would generate coverage across fee for service Medicare.

As well as.

Some other channels and we believe that that's an act that if it comes to fruition would have a large impact on <unk> again, because many of these patients are Medicare patients.

Okay. Thanks for that color.

Thanks Curt.

Speaker Change: Thank you. Our next question comes in the line of Charles Rye from Cowen. Your line is now open.

Thank you. Our next question comes from the line of Charles <unk> from Cowen. Your line is now open.

Charles Dry: Yeah, thanks everyone. And thanks for taking the questions here and then go grab some all the progress made so far. Wanted to go back about the HickPix code here and maybe ask, you know, follow up to one of the earlier questions, you know, if we look at the fulfillment rate.

Yeah. Thanks, everyone.

And thanks for taking the questions here and congrats on all the progress made so far.

I wanted to go back about the Hick picks code here and maybe ask a follow.

A follow up to one of the earlier questions. If we look at the fulfillment rate.

Charles Dry: Not that familiar, sorry, the coverage rate for 21 if the Hicks code was in place in 21 how much more percentage points, you know, maybe ballpark would we have picked up.

So I'm very sorry that the coverage rate for 'twenty, one if the hix picks code was in place in 'twenty, one how much more percentage points.

Ballpark would we have picked up.

Charles Dry: in terms of prescriptions that were reimbursed for, just trying to get a sense as we think about that implementation coming this year, you know, how much of our revenue growth we should think of in terms of sort of access to Medicare coverage versus sort of the growth in the clients that you have so.

In terms of prescriptions that were reimbursed for just trying to get a sense as we think about that implementation coming this year, how much of our our revenue growth.

We should think of in terms of sort of access to Medicare coverage versus.

Sort of the growth in the clients that you have so far.

Speaker Change: Charles it's a great question and it's great to hear your voice. I appreciate your moxie and you can imagine that there are parts of that question that I just can't get into because they would address MNPI. I think what I can tell you is that we expect payers to continue to provide reimbursement for PDTs via both pharmacy and medical benefits.

Charles It's a great question and it's great to hear your voice.

Appreciate your Moxie and you can imagine that there are parts of that question.

But I just can't get into because they would address mmpi.

What I can tell you is that we expect payers to continue to provide reimbursement for PDT b are both pharmacy and medical benefits.

Speaker Change: We've done a tremendous amount of work on the pharmacy side, and most of the coverage that we've seen to date is via pharmacy.

Done a tremendous amount of work on the pharmacy side.

And most of the coverage that we've seen to date is be a pharmacy I think there are a number of reasons for that simplicity is perhaps the most important here, it's just easier to oversee and adjudicate a pharmacy claim than it is a traditional medical claim.

Speaker Change: I think there are a number of reasons for that. Simplicity is perhaps the most important here. It's just easier to oversee and adjudicate a pharmacy claim. Then it is a traditional medical claim.

Speaker Change: That said, not all payers are able to process PDTs, which are, by statute, a medical device via a pharmacy benefit, and so for those payers, we see them as being quite interested in these HCPCS codes, which ultimately allow the product to be reimbursed as a medical benefit.

That said not all payers are able to process PD teas, which are by statute a medical device beyond a pharmacy benefit.

So for those payers, we see them as being quite interested in these <unk> codes, which ultimately allow the products to be reimbursed as a medical benefit.

Speaker Change: I think it's far too early to be able to know exactly what sort of an impact those HCPCS codes will have. In fact, it's so early that those HCPCS codes have not yet been issued. We mentioned April 1st was the date at which those codes dropped.

It's far too early to be able to know exactly what sort of impact those hicks fixed codes will have.

In fact, it's so early that those fixed fixed codes have not yet been.

<unk> been issued we mentioned April one was the date at which those coach drop.

Speaker Change: It's something that we will continue to monitor across calendar year 2022. And I think I hope you can tell from my voice just the excitement that we have from what is potentially a standard coding mechanism across all payers.

It's something that we will continue to monitor across calendar year 2022.

And I think I hope you can tell from my voice just the excitement that we have from what is potentially a standard coding mechanism across all payers.

Speaker Change: But again, that's the way between pharmacy and medical is something that we'll continue to work on. We'll probably continue to buy a short medical, but we'll continue to keep you updated on that front.

But again, that's split between pharmacy and medical is something that we'll continue to work on we'll probably continue to bias toward medical but we will continue to keep you updated on that front.

Speaker Change: Great, I appreciate that. Well, I want to also follow up another question. When you guys were talking about PairCreate and you talked about the SoftBank relationship making a Japanese language version for sleep, in this scenario, would Pair be the developer here or would SoftBank be the sort of quote developer of the PDT here for the Japanese market using the Pair platform?

Great I appreciate that.

Wanted to also follow up with another question.

When you guys were talking about per create.

You talked about the Softbank relationship, making a Japanese language version for sleep.

In this scenario would sure be the developer here or is with Softbank D D.

Developer of the PDT here for the Japanese market using the <unk> platform.

Yeah.

Speaker Change: Yeah and Charles, thank you for the question and thank you for highlighting the news. It's something that we're incredibly excited about. What we have not done is to disclose operational details of the partnership in particular and that's something which is deeply into the MNPI portion of that potential agreement.

Yeah and Charles Thank you for the question and thank you for highlighting the news, it's something that we're incredibly excited about.

What we have not done it used to disclose operational details of the partnership in particular, and that's something which is deeply into the mmpi portion of that potential agreement.

Speaker Change: I think what I can say personally is that the deal with SoftBank is quite exciting because it represents our first step toward ex-US expansion and because we believe that SoftBank could be a great partner in Japan.

What I can say personally is that the deal with Softbank is quite exciting because it represents our first step toward ex U S expansion and because we believe that softbank could be a great partner in Japan.

Speaker Change: We believe that pair is poised to leave the DTX revolution and that's not just in the US, but it's also another geography.

We believe that pair is poised to lead the Gtx Revolution and Thats not just in the U S. But its also in other geographies.

Speaker Change: Appreciate that. I guess where I was going with the question is, you know, in terms of pair created, having other people build PDTs off your platform, just curious sort of what sort of inbound, you know, request you're getting from potential PDT developers to use the pair platform and maybe a little bit more on that is sort of where I was going.

I appreciate that I guess, where I was going with the question is in terms of pure crazy, having other people Bill Pdt's off your platform, just curious sort of what sort of inbound.

Uh huh.

Requests, we're getting from potential PDT developers to use the power platform and maybe a little bit more of that as sort of where I was going with.

Speaker Change: Yeah, and thank you for clarifying the question, Charles. You know, we've been highly acquisitive to date. I think the publicly available number that's out there is about 18 deals. I think what we are seeing in the space is an evolution in the parties with whom we are having these deal discussions.

Yes.

And thank you for clarifying the.

Question Charles.

We've been highly acquisitive to date.

I think the publicly available number that's out there.

Is about 18 deals.

What we are seeing in the space is an evolution in the parties with whom we are having these deal discussions and I think if you think about the bad old days of the BDC space, we were having discussions with academic institutions and with very small companies.

Speaker Change: And I think if you think about the bad old days of the PDT space, we were having discussions with academic institutions and with very small companies.

Speaker Change: I think as many of these companies have been able to raise Series A, and in some cases Series B financing, they see what is a value proposition of a commercial pipeline to be able to commercialize their PDTs either late stage or after approval. So I think we are having more of those kinds of conversations, and it's very consistent with the maturation of the space writ large.

I think as many of these companies have been able to raise series a and in some cases series B financing.

They see what is the value proposition of a commercial pipeline to be able to commercialize their pdt's either late stage or after approval. So I think we are having more of those kinds of conversations and it's very consistent with the maturation of the space writ large.

Speaker Change: I think the last thing that I would say here is that this is not something that we believe is driven by our ambition. We believe that this is something that's driven by productivity in the healthcare landscape.

I think the last thing that I would say here is that this is not something that we believe is driven by our ambition. We believe that this is something that's driven by productivity in the health care landscape.

Speaker Change: As we are speaking with provider and provider system, much like they interact with the EMR, there is an appetite for one and only one PDT platform. And because of our first mover advantage and because of our investment in infrastructure, we're very excited to be positioned to potentially be that PDT platform.

As we are speaking with provider and provider system much like they interact with the EMR. There is an appetite for one and only one PDT platform and because of our first mover advantage and because of our investment in infrastructure.

Very excited to be positioned to potentially be that PDP platform.

Speaker Change: Great, appreciate it. If I could sneak one in for Chris. Appreciate the guidance for 22 that you've given so far. Maybe you could help us think about, you know, EBITDA loss, as we think about expenses for this year. I know you got about 175 million on the balance sheet, maybe kind of walk us through your thinking in terms of cash use for this year.

Great I appreciate it if I can sneak one in for Chris.

I appreciate the guidance for 'twenty two that you've given so far maybe you could help us think about.

EBITDA loss.

Do you think about expenses for this year.

I know you've got about 175 million on the balance sheet, maybe kind of walk us through your thinking in terms of.

Cash use for this year.

Speaker Change: for. So first, Charles, I just want to clarify, we have about 170 on the balance sheet at year-end, not 175, but certainly right in the same neighborhood that you estimated. We don't provide expense guidance. I don't think that PEAR is at a state of maturation where we're ready to do that yet.

So first Charles I, just wanted to clarify we have about 170 on the balance sheet at year end is not 175.

But certainly right in the same neighborhood that you estimated.

We don't provide expense guidance I don't think that there is a state of maturation, where we're ready to do that yet, but if you look at our 10-K, which will be filed tonight, you'll see that our expenses grew each quarter last year as we invested in our commercial launches and.

Speaker Change: But if you look at our 10-K , which will be filed tonight, you'll see that our expenses grew each quarter last year as we invested in our commercial launches and prepared to go public.

Prepared to go public.

Speaker Change: Again, we don't provide expense guidance as we do with some of the other metrics that you referred to, but I can assure you we do not expect to see quarterly growth in expenses this year. Okay, that's helpful. I appreciate all.

Again, we don't provide expense guidance as we do with some of the other metrics that you referred to but I can assure you we do not expect to see quarterly growth in expenses this year.

Okay.

Helpful. I appreciate all the comments thanks guys.

Thank you thank you Charles.

Speaker Change: Thank you. Our next question comes from the line of Marie Sebald from BTIG. Your line is now open.

Thank you. Our next question comes from the line of Marine say about from <unk>. Your line is now open.

Marie: Hi, thank you for taking the questions and congrats on your debut earnings quarter. Wanted to ask a question here. Happy to see the reaffirmed 2022 revenue guidance. I wondered if you could give us any anecdotal look into how Q1 has been going or how you would prefer sort of investors and analysts to be thinking about the cadence of sales this year.

Hi, Thank you for taking the questions and congrats on your debut earnings quarter.

Wanted to ask a question here happy to see the reaffirmed 2022 revenue guidance I Wonder if you could give us any anecdotal look into how Q1 has been going or how you would prefer sort of investors and analysts to be thinking about the cadence of sales this year.

Speaker Change: Marie, it's good to hear your voice and Chris, I'd love to pass the question to you. Sure, Marie. Thanks so much for the question. We, as you noted, are very close to the end of the quarter. And I think all we can say there is that we believe we're off to a good start to the year.

Marie it's good to hear your voice.

Chris I'd Love to pass the question to you sure Murray. Thanks, So much for the question we.

As you noted are very close to the end of the quarter and I think all we can say there is that we believe we're off to a good start to the year.

Chris Miefrreay: Okay, sorry enough, I'll take it. Maybe I can ask my follow up here on legislative efforts. Certainly the bill that was introduced. Can you tell us a little bit more about possible timelines? I know it's hard to predict the legislation. But is that something we might hear more on this year? Is it simply sort of a way to get the conversations started? Or do you think something material could have?

Okay fair enough I'll take it maybe I can ask my follow up here on legislative efforts.

The Bill that was introduced can.

Can you talk a little bit more about possible timelines I know, it's hard to predict with legislation, but that's not something we might hear more on this year is it simply sort of a way to get the conversation started or do you think something material could happen again this year.

Chris Miefrreay: No, Marie, I wish we had visibility into the timing of this particular bill, but I think it would be folly for us to introduce any sort of guidance around timing. I think what we again can say is that this is something which is a big swing for the company and for the space.

Marie I wish we had visibility into the timing of this particular, bill, but I think it would be folly for us to introduce any sort of guidance around timing.

I think what we again can say is that this is something which is a big swing for the company and for the space.

Chris Miefrreay: We believe that this would absolutely be a homerun and would institute what is very close to universal coverage for PDTs as a product class and prepares commercial products.

We believe that this would absolutely be a homerun and wood Institute.

Is very close to universal coverage for <unk> as a product class and prepares commercial products.

Chris Miefrreay: I think the only thing that I can say with regard to this particular bill is that it's not something that's baked into any of our financial projections.

I think the only thing that I can say with regard to this particular bill is that its not something thats baked into any of our financial projections and I think we've been very clear about that in our conversations with investors and.

Chris Miefrreay: And I think we've been very clear about that in our conversations with investors and in our in our discussions to date.

In our discussions to date, so I would think about this as upside.

Chris Miefrreay: So I would think about this as upside and I think we're very excited to have the opportunity to be able to relay news back to you, but I would decline on being able to provide any sort of estimates on probability of success and or on timing. All right, very good. Thank you for taking.

And I think we're very excited to have the opportunity to be able to relay news back to you, but I would decline on being able to provide any sort of estimates on probability of success and door on timing.

Alright, very good thank you for taking the questions and good luck.

Thank you Marie.

Speaker Change: Thank you. Our next question comes from the line of Nina Biterito Guard from City. Your line is now open.

Thank you. Our next question comes from the line of Nino be Teredo Guard from Citi. Your line is now open.

Mina: Hey, guys. Thanks for taking the question. I know we're short on time here, but maybe just a quick question on reimbursement kind of following up.

Hey, guys. Thanks for taking my question.

Short on time here, but maybe just a quick question on reimbursement kind of following up on the theme of most of the questions, but I guess, if you had to.

Mina: the questions, but I guess if you had to identify maybe one key event or one key driver of

Identify maybe one key events or one key driver of kind of.

Mina: progressing your payer deals and kind of increasing the number of covered lives, what would you kind of call out as kind of a key event?

Progressing your payer deals and kind of increasing the number of covered lives.

What would you kind of.

Call out as kind of a key event for this year. Thanks.

Speaker Change: Yeah, so I think I would point to two key events with regard to coverage in 2022.

Yes, so I think I would point to.

Two key events with regard to coverage in 2022.

Speaker Change: Um, and neither of them are discrete events. They're both about trends.

And neither of them are discrete events they are both about trends.

Speaker Change: I think the first is we will continue to publish a steady stream of health economic data and we mentioned in this call upcoming 12 month data for reset O. That's a milestone that seems to be of significance for some payers. And again we're very excited for all of our products

I think the first is we will continue to publish a steady stream of health economic data.

And we mentioned in this call upcoming 12 months data for reset.

That's a milestone that seems to be of significance for some payers.

And again, we're very excited for all of our products to have randomized clinical trial data real world performance data and health economic data and it's my hope that as an analyst. Following this company every time you see another health economic publication.

Speaker Change: to have randomized clinical trial data, real-world performance data, and health economic data. And it's my hope that as an analyst following this company, every time you see another health economic publication, that that helps to signal that we are developing our payer value proposition and really moving those conversations forward.

That that helps to signal that we are developing our payer value proposition and really moving those conversations forward.

Speaker Change: I think the second thing is another trend, and in the world of payer coverage, it's a bit of a death by a thousand cut.

I think the second thing is another trend.

And in the world with payer coverage.

Bit of death by 1000 cuts and so really what we're looking to do is move from coverage of <unk> as being something innovative to coverage of <unk> as being something standard.

Speaker Change: And so really what we're looking to do is move from coverage of PDTs as being something innovative.

Speaker Change: to coverage of PDTs as being something standard. And you saw this already, and you're seeing this already. We announced our coverage decision with Massachusetts Medicaid, and I think that was lauded as an innovative move by the state.

And you saw this already and you're seeing this already.

We announced our coverage decision with Massachusetts, Medicaid and I think that was lauded as an innovative move by the state.

Speaker Change: Very soon thereafter, you saw press releases that we issued around work that we're doing in the states of Oklahoma and Michigan. We also happen to be doing similar work in the states of Indiana, Ohio, and Kentucky. And so you're really seeing this fee-for-service state effort get to critical mass, and these states are, they're changing.

Very soon thereafter, you saw our press releases that we issued around work that we're doing in the states of Oklahoma and Michigan. We also happen to be doing similar work in the states of Indiana, Ohio, and Kentucky, and so Youre really seeing this fee for service state effort get to critical mass and need state.

<unk> are they are changing their tone as opposed to asking what is the PDT, they're asking how do we cover of PDT and not just are they asking how do we cover of PDT, they're asking how do we cover of PDT like innovative states like Massachusetts, Oklahoma in the other states that I mentioned, so I think this is less about <unk>.

Speaker Change: as opposed to asking what is a PDT, they're asking how do we cover a PDT and not just are they asking how do we cover a PDT, they're asking how do we cover a PDT like innovative states, like Massachusetts, Oklahoma, and the other states that I mentioned.

Speaker Change: So I think this is less about discrete binary events.

Binary events and this is more about a steady cadence of progress going from novelty to making these products mainstream medical treatments.

Speaker Change: and this is more about a steady cadence of progress.

Speaker Change: going from novelty to making these products mainstream medical treatments.

Got it thank you.

Speaker Change: Thank you. I'll now turn the call back to Dr. McCann for closing remarks.

Yeah.

Thank you I'll now turn the call back to Dr. Mccann for closing remarks.

DR McCann: We know we've covered a great deal in this InfraDuct recall, so I'll wrap up very briefly.

We know we've covered a great deal in this introductory call. So I'll wrap up very briefly.

DR McCann: In 2021, we put the PDT category on the map with rapid commercial progress highlighted by major wins with payers. That commercial progress led to $4.2 million in revenue in line with our goal.

In 2021, we put the PDP category on the map with rapid commercial progress highlighted by major wins with Payors that.

<unk> commercial progress led to $4 $2 million in revenue in line with our guidance.

DR McCann: In 2022, we plan to build on the significant momentum we generated last year.

In 2022, we plan to build on the significant momentum we generated last year.

DR McCann: We plan to further the commercial traction of PDTs as a class and move the healthcare system closer to software as a mainstream meta.

We plan to further the commercial traction of <unk> as a class and move the health care system closer to software as a mainstream medicine.

Speaker Change: Thank you for your time. As always, please reach out to Mayor Murphy or head of corporate communications if you have any questions.

Thank you for your time as always please reach out to Miramar Murphy, our head of corporate communications, if you have any questions.

Speaker Change: That concludes today's call. Thank you for joining. ???

That concludes today's call. Thank you for joining us today.

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Yes.

Okay.

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Okay.