AVITA Medical, Inc. (NASDAQ:RCEL) Q4 2022 Earnings Call Transcript

A €“ Jim Corbett: Yes. Actually, our gross margin has some variability to it. There are very — we don’t experience price competition, but we have volume-related discounts that come into play particularly as you move through the end of the year. So that’s, one factor. We’ve recently made some improvements of note, in our manufacturing process very specifically, kind of in the geek category, if you don’t mind. But we had this process where we had to ship what’s called cold chain, in a package to control temperature. And in the last few months, we succeeded in establishing the data that made that cold chain shipping not necessary, and removed rather substantial cost that we will see going forward. So, I think we feel very confident about two things: our cost of goods improving and the stability of our average selling price, where it is mostly subject to volume discount versus price competition.

Q €“ Lyanne Harrison: Thank you very much. That’s all I have.

Operator: Okay. Thank you for your participation in today’s conference. This does conclude the program. You may now disconnect. Thank you very much.

Jim Corbett: Thank you very much.