Q2 2022 Precipio Inc Earnings Call

Welcome to the precipitous shareholder second quarter 2022 shareholder update conference call.

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Note that the conference is being recorded.

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Now, let me hand, the call over to Ilan Danielli precipitous CEO .

Thank you Anthony Hello, and good afternoon, everyone and thanks for joining our 2022 second quarter shareholder update call. Thanks.

Thanks also to those who sent in your question hopefully, we'll be able to adjust them in todays call.

I realize this is an August summer afternoon, I'm sure not all.

But the one in the northeast it's beautiful one so I'll do my best to keep this brief.

Today I'd like to expand on a few of the recent news items and released over the past few months and give you a little more color as to what we've been working on and our plans going forward.

As you can see for the recent activity as our pathology services Division continues to grow management focus is on the products Division I would like to discuss three aspects to this division is share with you. The work we've been doing.

The first is distribution partnerships. The second is our product portfolio and the third is T.

Okay.

Lets begin with distribution partners.

As we've said all along our intent is not to build our own sales force to sell another product, but rather to leverage distributors. We've already we're already have existing sales to the challenges of finding and hiring a team the timeline until they become productive and of course the cost simply don't know why we are comfortable.

Particularly post Covid, where access to customers has become even harder partnering with teams with preexisting relationship is critical knowing who the right decision makers all with it does it does.

More innovation, gaining quick access to them.

And ultimately making the sale.

We began our partnership with <unk> solutions, a subsidiary of Amerisourcebergen, which help us obtain our very first customers that partnership continues to grow.

Over the next few weeks, we will be training additional numbers of LTE, creating a program focused on key strategic accounts, who would most benefit from history.

We're excited to continue to build a relationship with island and their team their dedication to patient care as well as being a value to their customers is outstanding.

As we recently announced we signed a distribution agreement with Thermo Fisher.

I'd like to spend a few minutes, providing some color into this new relationship.

This is an event a huge magnitude one cannot be overemphasized.

Let's start with the fact that thermo is not only the market leader in laboratory distribution. It is the market dominant player.

I think it's safe to say there is no lab in the world that doesn't buy anything from them.

Their reach was broad and deep they play in every market and across every segment.

Second there were no sales team that can do that.

Not only in their size of Athene Athene that has passed with selling haynesville, both more than 200000 out of your system wide.

Thermal teams are also well known and well respected for their in depth technical knowledge.

Initial interactions with their team have already filled.

Nowadays that reputation and they are quick they quickly grasp the value proposition of being screen.

The benefits to their customers.

And lastly, the thermal team is well entrenched with their customers they interact with them on a daily basis is at the highest levels.

We are also in the final stages of sizing signing an agreement with a third.

Those distributor they too are a major industry player and we believe they will have a substantial impact on our on our market growth.

In other words, there's no money in the world. The combined sales team. We are successfully laying back the right partners to execute on our distribution strategy.

The combination of these three distributor distribution partners, whether part of his strategy setting up multiple partners to ensure we maximize the potential of <unk>.

Well, then we will have access to all market segments that are targets for hearing screen.

Physician office Labs hospital, or acute laboratories, and independent breakfast laboratories.

While there may be some overlap between segments for the most part it's just distributor has its own market share of the industry, which will translate to if the market potential for H b.

The human set a high bar for success and we will be managing these partnerships closely and providing support to them on a daily basis.

Over the next six to nine months, we are tasked with trading over 250000.

And ensuring that they have the necessary knowledge tools and support to generate revenue.

Of course training never ends and as our company's product lines developed the need for further training development will always be there.

This is a daunting task for even a large company, we intend to do it right.

Which is why we recently announced the hiring of telling me I know the lead this time Tony.

Tony I have direct experience both in our industry and with these players and is well versed in creating the methodology and tool to ensure their success.

It's actually humbling to have these esteemed multibillion dollar industry, leading corporations. So shot show such interest in our company and our technology and commit the resources to bring them to market I feel like the bicycle we've been driving so far just got a powerful set of hedges stock object. We are about to take off this is very.

Exciting.

Second I'd like to discuss our product portfolio.

Just a year ago, we only had a few paddles commercial we now have a total of five.

B sorry, the old town always getting great traction and we expect to have several sites up and running this quarter.

Same goes for I mean, your panel, which due to market feedback we will be rebranding as a quite a few of them are.

Our AML or acute leukemia panel is also getting interest not only with our history and customers, but also with pharma companies due to the unparalleled rapid turnaround time it provides.

This is particularly significant with the disease, such a acute leukemia, where every hour counts.

The test that can provide a result in three hours versus the industry standard of five to seven days offers impactful clinical.

With each panel that we have the market potential for gigs being grows it also multiplying the value propositions for each customer.

Our panels are driven by the most up to date scientific literature represent the cutting edge diagnostics for the coalition.

Lastly, we've been working on several new and exciting features the HD one.

Enzo will further simplifying the workflow improves economics for the customer and most importantly provide better clinical value to the treating physician and to their patients we.

We are seeing for ourselves the benefit of our model the combination of our products division, which develops or technologies.

And the clinical Laboratory Division, where we could identify laboratory need test new concepts validated rather than politically and all that.

All of this speaks to our ability to probably tell every potential accounts.

We were the first customer to use every product that we developed.

Of course, none of this would be would be would work without building a strong team that has been one of my main focus is over the last period.

I'm delighted with the commercial team of our potash Division.

To say the work that was done over the past few months.

Under the leadership of Keith matters is transformational for our company I don't Wanna recognized these achievements and the impact she has already made.

Yeah.

Under his leadership he has assembled an all star team that provides all of the circle, partly achieving success.

Sales marketing training and development customer technical support although it's a crucial element we are only going to accept that achy, because that's what it takes to succeed.

With that in summary, I feel like we have all the elements we need in order to really make an impact over the next six to 12 months.

We're all working hard to ensure that the investment in people and products coupled with our distribution partnerships translates into revenue and margin dollars for the company, which will then translate into shareholder value for you.

With that I wish you a nice evening and we'll talk soon thank you.

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The conference has now concluded. Thank you for attending today's presentation you may now disconnect.

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