DarioHealth Corp. (NASDAQ:DRIO) Q4 2023 Earnings Call Transcript

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And we know that more people — when you engage more people on the top of funnel, you can actually engage more people that need support in chronic conditions. As we mentioned before, in our database, about 36% of the users that have touched our platform, top of funnel, have chronic conditions, many of which have metabolic conditions. So ultimately, to summarize, we’re moving with the solution from longitudinal relationship — we move into longitudinal versus transactional. We’re using better data and engagement to lead more people towards activations into the conditions.

Charles Padala: That’s very helpful. I know it’s still very early but can you speak more to any feedback or progress you’ve made on the Twill cross-selling efforts?

Erez Raphael: So I’m happy to address that. As you heard from Rick, we are practically integrated on the commercial side of the house. We went to all of our large clients and introduced the new capabilities. And I would say we have received very positive feedback with concrete discussions about how we can bring more services. For me, I would summarize it to say the thesis behind the combined entity and the multi-platform condition is moving from theory to execution right now and that’s where our focus is and what we’re going to be focusing over the next few quarters.

Charles Padala: And lastly, what are some of the integration milestones that you’re looking for in the short and medium term with Twill?

Tomer Ben-Kiki: This is Tomer Ben-Kiki. Maybe I’ll take this. So we’ve been working diligently on the integration on multiple levels since the announcement of the acquisition and obviously, earlier than that. As Ofer mentioned, the first milestone that we targeted and achieved is the commercial team of Dario that took over the entire set of products from 12 in markets on multiple levels. They’re selling the entire portfolio of products. And as we said, the division is a comprehensive set of services in digital health that allows an employer or a health plan or company to get access to all these digital tools with one relationship. The second component is selling the behavioral Health stand-alone product suite of Twill which is undergoing right now.

And thirdly, we are going to, I would say, launch this combined vision that has been outlined by both Erez and Ofer to allow the Twill care platform to optimize the flow of members and reduce the cost of acquisition when it comes to conditions that are covered by Dario but there’s a high prevalence of them in the mental health level at Twill care that we’ll provide. So that synergy will be available in the middle of the second half but we’re actively selling it already. Secondly, on the organizational level, we have integrated our executive leadership teams, the senior leadership teams and are now executing on delivering on the financial profile and the cost optimizations that we’ve been presenting to the market. This is a couple of milestones ahead of us in order to extract those in the best possible way.

And lastly, there’s a couple of data, AI and ML, I would say, achievements that we’re not announcing yet but we’re deeply delivering, obviously, in digital solutions and the ability of the state-of-the-art technologies to drive our KPIs up. So that gives a bit more color.

Operator: Thank you. And there are currently no further questions in the queue. So I’ll hand the floor back to Erez Raphael, CEO of Dario, for the closing comments.

Erez Raphael: Thank you. I would like to thank everyone for joining our call today and the interest in DarioHealth. Have a good day. Thank you.

Operator: This now concludes the conference. Thank you all very much for attending. You may now disconnect your lines.

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