But our default assumption, we’ve experienced these asset transfers, that in our client base in the past has been that our solutions will continue to be utilized by the new owners of those assets. And given the criticality of our solutions, and this is particularly the case at Steward Health Care, in the vast majority of historical cases where asset transfers have occurred, our solutions have been retained post-asset transfer. That’s what we’re assuming will be the case with regards to Steward’s assets. And therefore, we’re assuming the continuation of revenue and ARR related to the solutions, specifically at Steward moving forward, including our guidance for revenue and dollar-based retention. And also as it relates to our adjusted EBITDA guidance for 2024, we just affirmed our previous guidance even with the incremental inclusion of some bad debt reserve that is informed by the updates from Steward Health.
With all of that said, we recognize it’s a dynamic situation and it’s unfolding in real time. We’ll continue to be in active communication with senior leaders at Steward. And we expect to learn a great deal more in the coming weeks and months. And that’s just one specific example of a number of — when you service hundreds of clients at any given point in time, there’s a wide variety of circumstances that are being faced by our clients. And so we try to be mindful of those. We try to be responsive and helpful to those clients that find themselves in a difficult position that obviously can have some impact, as we think about bookings and growth moving forward. But as is the case in this Steward situation, we feel confident that that our solutions are critical.
We’re grateful that those solutions are critical, and that certainly informs our overall perspective of confidence in our growth reacceleration moving forward.
Stan Berenshteyn: Appreciate the color. It’s very helpful. Maybe just a quick follow-up. Tangentially speaking about the sales pipeline, you’ve had your summit in February this year as the third quarter. Would just love to get your impression, does the calendar change had any impact on pipeline formation or on the sales cycle more broadly? Thanks.
Daniel Burton: Yeah, great question. So one thing that has remained consistent, whether that summit was in February or in the fall like it’s traditionally been, is the help and the accelerant that it is to developing and deepening of our relationships. Whether that’s more on the developing side with new clients or prospective clients, with a deepening with existing clients, this was an extremely successful summit in that regard. As I mentioned in the prepared remarks, we had 115 face-to-face meetings with senior leaders at existing clients and prospective clients. And I and other senior leaders, participated in almost all of those. That’s just a tremendous concentrated opportunity. That may have been the most meetings we’ve had at Health Care Analytics Summit ever.
So in that regard, it was fantastic. I think it’s also really helpful to have that earlier in the year, so that we benefit from that acceleration throughout the year. There were some other challenges not related to the sales cycle, where logistically, holding a summit in the wintertime where there can be all kinds of weather-related issues proved to be pretty darn challenging. And so we are planning to actually move back to the fall timeframe. But from a sales enablement and a bookings enablement and a pipeline acceleration perspective, I was really pleased with the summit. And found — we continue to find it a very, very helpful sales accelerant for the company.
Operator: Thank you. We have no further questions at this time. Mr. Burton, I’d like to turn things back to you for any closing comments.
Daniel Burton: Thank you again for your time, for your interest in Health Catalyst, and we look forward to staying in touch in the future. Take care, everyone.
Operator: Thank you, Mr. Burton. Ladies and gentlemen, this concludes today’s Health Catalyst first-quarter 2024 earnings call. Please disconnect your lines at this time and have a wonderful day.
