Earnings Sentiment

Sentiment Analysis of the earnings transcript to help figure out if there are any bullish or bearish sentiments that could be gathered from it. We're doing ML and AI based analysis on the earnings call to get some more insights.

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Sentiment Distribution

   

Earnings Call Transcript Word Cloud

     

Bullish Statements during Earnings call

Statement
So that’s very exciting
So it’s very, very exciting
Overall, we are happy that we were able to keep our customer base relatively stable, and we believe that by the end of 2023, where the next major round of renewals and new sales occur, all the concerns of the existing customers and the potential new customers will no longer be relevant as the integration would be over
In addition to that, we’re very, very excited about being able to really predict the cost that may be a little bit hidden and unknown within sub-populations for our clients
I’ll remind everyone that with the acquisition of Maestro also came a lot of wonderful products that, of course, increased the value proposition to clients from the broker channel
A lot of the new lives we received in the last few quarters have been in that profile and that’s very exciting
We save them money by engaging our members proactively in a manner that improves their health and as I’ve said before, yes, healthier employee populations cost our clients less
There’s a great opportunity to upsell products, which we have to clients we already have
Obviously, it also increases their potential to make a mission and to make revenue from these clients, right, all in one package
Our revenues for the first quarter of 2023 were approximately $9.7 million, $400,000 higher than the high end of our guidance, which was $9.3 million and $2.1 million higher than our revenues for the fourth quarter of 2022
We believe that operating loss, excluding the severance cost and cost of unused facilities will improve sequentially every quarter going forward
These are very exciting times, meaning the cost improvements here are certainly not provided by providing cheap health care or less health care, the lowering of costs is because human outcomes – health outcomes are going up, right, and cost behave universally to human outcomes going up or health outcomes going up
All of this has been in search of greater efficiency given our new scale of over 40,000 employee lives
These are the best of the best clinical vendors out there
So obviously, the more they are, the more disease states you’re covering the more members needs you’re covering, and that obviously leads to more revenue share for us
There’s plenty of product for us to meet or even beat our goal of having at least $50 per employee per month in every life we manage
And congrats on the good stuff you’re doing
And then in terms of your use of AI for identifying potential big health care events before they happen, is – and I know it’s always improving
So we see multiple audiences for these models, again, in the quarters and years to come as they get better
We’re very protective about that
But one, the organic channel definitely is alive, well, and the demand is coming
Our goal is to reach the scale required to achieve a profitable EBITDA level of operations within 2024
Great
I think, first, a unique solution, something that they can talk about, which we certainly have
I do believe that we can get there organically
For almost 200 clients across the country, Marpai’s value proposition is clear
Internally, we’re obviously very focused on keeping what we have, meaning making sure that our customers are deriving maximum value and they know it because a customer kept is obviously worth everything, right? So that is a huge initiative
Now what does it mean for us? First and foremost, we have to deliver this value in a very meaningful way to our members and by extension to our clients
Good morning, everyone, and thanks for joining us
The main reason for the increase in revenues from the fourth quarter was that Maestro’s revenues were included for two months in the fourth quarter versus three months in the first quarter of 2023
       

Bearish Statements during earnings call

Statement
Adjusted EBITDA for the first quarter was a negative of approximately $6.7 million compared to a negative of $7 million for the fourth quarter
The transaction also impacted our ability to close new deals because many potential customers would shy away from signing up to the company that is in the midst of an integration project
Our EBITDA was negative $6.7 million, but excluding severance and unused facilities, it was negative $5.9 million
During the first quarter, we added new customers representing approximately 3,300 employee lives and lost customers with approximately 3,300 employee lives and our existing customer base reduced its workforce by about 500 employee lives
Operating loss for the first quarter was $8.5 million compared to $8.9 million operating loss for the fourth quarter
And these vendors are also value-based, meaning they have put their fees at risk against the success of these programs
First, as I mentioned, our adjusted EBITDA loss, excluding these discontinued operations
When any service provider is acquired some customers view this as a reason to test the market, find achieve a deal if you will, and indeed, most of the churn was within Maestro legacy customer base
Our net loss for the first quarter was approximately $8.9 million or $0.42 per share compared to a net loss of $8.5 million or $0.41 per share in the fourth quarter
Such forward-looking statements are subject to risks, uncertainties, and other factors that could cause the actual results for Marpai to differ materially from those expressed or implied on this call
Thankfully, I think this is behind us
We expect to have some volatility in the gross margin from quarter-to-quarter as not all our revenue streams have the same gross margin, and some of them like cost containment, for example, are more lumpy in nature
The industry is being shaken a bit by this kind of trend in a way
   

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