Mike Levitz: Well, first I’d say yes we are pleased to be able to drive savings on the OpEx side and we are expecting our OpEx to stabilize here as we look into 2024 and that’s what’s going to drive the bottom line as we grow the business. In terms of the quarterly phasing, there were a couple of things in the third quarter that were not normal phasing within OpEx. One was we took a charge – there was no cash in the quarter but we took a charge for a software project that we discontinued and that was – that project had stalled and we have the opportunity to make other process improvements and system improvements to be able to drive some savings by making that decision. So that was in the quarter that was $4.5 million. And then the other thing in the quarter is we have been making some changes around the business.
We had some forfeitures on the stock compensation side of about $400,000 in the quarter. And – so that was reflected in Q3. In terms of the specific quarterly phasing of R&D, that can be lumpy from a quarter-to-quarter basis just depending upon some of the works. We are pleased with how we’ve been wrapping up the MDR and having real success in getting through that process to date. So we expect that MDR is going to continue to be less of a part of our story from an investment standpoint because of the successes we’ve had so far in retiring that. But Integrity is not yet finished and not yet launched that’s going to launch here in the first quarter. And so those kind of wrap-up costs and whatnot will continue through the end of the year and then we’ll start to see that coming down next year.
So I hope that’s helpful directionally.
George Sellers: Yes. That’s really helpful. Thank you all for the questions. I’ll hop in the queue.
Operator: Thank you. And our next question comes from Jim Sidoti with Sidoti & Company. Please go ahead. Hi, Jim, your line might be muted, sir. Mr. Sidoti, are you there?
Jim Sidoti: Sorry about that. Can you hear me now?
Cheryl Blanchard: We can. Hi, Jim.
Jim Sidoti: Okay. Great. So I was just following up on that comments about the software charge. Is that primarily in SG&A?
Mike Levitz: Yes it is.
Jim Sidoti: And can you just give us a little detail what was the software that you were developing that you stopped?
Mike Levitz: It was support software on the commercial side. And it was a multi-year project and the project had stalled. And we made the decision as we — look we’re constantly looking across the business at where we’re allocating our resources and it made sense to not spend more money to pursue that because we found that we were able to drive operational process improvements and also use the systems that we already have in place to have a more cost-effective solution. And so that’s why we made the decision this quarter to discontinue that software project.
Jim Sidoti: Okay. And then the sales team can you give us some sense on how many folks you would expect to bring on and how quickly you think — or how long it will take for them to ramp up?
Cheryl Blanchard: Yes, Jim, I’ll tell you we’ve already started hiring. This is very, very focused and targeted. It’s really going to be to augment the hybrid sales force. It’s going to be focused just on regenerative and sports and just in a few geographies where we’re just not seeing the kind of performance that we’re seeing everywhere else in the country. So, I think we’ll be providing more updates on that as we go forward. But the process has begun and it will continue into next year.
