And so from an expense profile standpoint, there’s a bit of a sequential step up for those reasons. If you kind of think then about how that flows through adjusted EBITDA, if you just take your 800 basis points margin expansion on the full year and if you appreciate that that’s probably 900-ish basis point improvement in the first half and a 700 basis point improvement in the second half. I think you kind of get to a mid single digit negative adjusted EBITDA absolute number in the first quarter. And so I think that obviously improves in the second quarter. And as I shared earlier, we view — seen a positive number in the third quarter.
Operator: The next question comes from the line of Mathew Blackman with Stifel.
Unidentified Analyst: This is Emily on Matt. I just wanted to touch on EOS and the next kind of wave of product features versus if there’s anything in 2023 of note that we should be looking out for. And then further out 2024, ’25, I wonder if you could give us an example of how surgeon might be using EOS today compared to how they might be using it then with all these new features in terms of procedures, product opportunity? And then what needs to be done on the product side to keep pace and optimize that product pull through for EOS?
Pat Miles: Emily, that’s a question that warms my heart. And I absolutely adore just the opportunity that EOS provides. And when you think what the output is today, the output today is a standing rate bearing image in a biplanar view, so both the front and the side. And then what you could do is you can reconstruct the entire skeletol system in a single image. And so what the near term will provide, and I’ll give you some time frames, like this year, we’ll go through the verification process of each of the different feature sets, such that we know that they’re perfectly operating and perfectly accurate. And so the effort this year will be really a verification of the elements. And so what we’re doing right now is our IT team and the software team is building the cloud infrastructure with things like high trust and other elements that are required to ultimately house images in a HIPAA friendly way.
And so those things are going on in the background. And so I would say the things that are going on right now is the automated measurements, the preoperative planning elements, the ability to do patient specific rods, and some of the interpretive reconciliation. So those will be the first things that you see on the marketplace in, let’s call it, mid to late ’24. We’ll go through the verification process much sooner than that. And so it will be in the marketplace is late this year. And so our excitement associated with a surgeon having the ability to pull down an image from the portal, understand exactly what the imaging is, exactly what the plan is, what the interoperative experience was and then reconcile it back to the plan, that’s the foundation of a predictive environment.
And so when you start to say, why is spine surgery not great in the hands of the masses, it’s the volume of variables. And we feel like EOS provides us an opportunity to really address the different variables that exist today in spine. So when you start to think down into the future, there’s other elements. And I’m not going to provide timelines on things like bone quality measure. But when you start to think about my ability to ultimately effectuate the objectivity of alignment, which is the greatest correlative to a durable long term outcome and then say, gosh, what type of devices are we putting in, what’s the design of those devices are we putting into the foundational material, i. e. the bone, knowing what that bone is. These types of things become very, very profoundly important to surgeons.
