Rich DiIorio: Yeah, that’s a great question. So having been around the reimbursement world, collectively for probably 100 years as a leadership team, we’re going to see two effects. We will see that. We will see some people that are going to get ahead of the reimbursement and want to kind of open up as a new account sooner. That doesn’t mean we’ll see kind of significant revenue they’re not going to call us today, they’ll call us at the end of the year and say hey we want to prepare for the new reimbursement. The other side of that coin is that when the reimbursement comes, the floodgates don’t necessarily open, it takes accounts a while to get used to the billing process to understand what they have to build, how they have to build, what the reimbursement looks like, the actual dollar value of the reimbursement isn’t out yet.
So that will be a driver to. So, some, it’s like any other bell curve, right. We’re going to have some early adopters at the end of this year. We’ll have some late adopters that might wait till mid to end of 2025 or even in ’26 right and until they see the reimbursement, not just see the number but actually see the dollars come in. So, obviously its great news for the market, it’s great news for patients and families right. The government’s finally putting something behind eliminating opioid use up front. So that’s all great news. It will definitely help infuse system that will help all of us in the market. Yeah, we would — our hope is we see something at the end of the year and people start to get ahead of this because they should and not just because of reimbursement but obviously that’ll drive behavior.
So it’s good news. As we get towards the end of the year if we start to see that coming in, well obviously give you guys line of sight into that if we see it.
Alex Nowak: Okay, makes sense and then just last question is a kind of a clarification around the 10-K delay. So is there going to be, I got a couple questions in here but is it going to be a restatement of prior periods, is there going to be a material weakness notice that shows up once the 10-K is filed and is there any issues with debt, debt covenants with this delay?
Barry Steele: There should not be any issues with the covenants or we’ll be able to make that all of our reporting requirements we’re meeting our financial covenants for sure. As far as the other point, until we actually have the audit done, I don’t really have the ability to say anything. Obviously, the reclassification is a change we already made and share with you, but we still have to finish the audit to, to know clarity on the other issues.
Operator: The next question will come from Jim Sidoti with Sidoti & Company. Please go ahead.
Jim Sidoti: Hi, good morning and thanks for taking the questions. With respect to GE, do you have sufficient staff now to implement that contract fully or are you still bringing people on?
Rich DiIorio: I think we’re pretty much staffed up. There’s always ebbs and flows of the team, but we’re in pretty good shape. Carrie, we’re probably at 90% plus of the way there right.
Carrie Lachance: Yep, that’s correct.
Jim Sidoti: Okay, and can you give us a little more color on how you think the revenue build will be with Sanara? Do you think this, something that starts in the second, third quarter and how fast do you think that ramps up?
Rich DiIorio: So we’re going to see, we’re already seeing some revenue come in for their products. I think that the challenge will be the comps last year, kind of in wound care, specifically had the leases in last year, right, which was almost $4 million just south of $404 million. So, the scenario products are going out the door today. That ramp will happen, probably in a very, very steady kind of gradual pace. By the end of this year we should really be, it should really be kicking in as it starts to build on itself. It’ll just be — we’ll give you guys clarity on future calls because it’ll be hard from a comp standpoint with the leases in there for ’23, because those aren’t going to repeat to the level that we saw last year. So the ramp is coming. It’s already here. It will accelerate, as we come out of this year and certainly into 2025.
Jim Sidoti: But if you’re forecasting high single digit growth, I assume you’re thinking that you’ll get some leases in 2024 as well.
Rich DiIorio: Yeah, leases will always be part of that business. We had one really big customer last year that drove the majority of the lease revenue. So we don’t expect that to repeat, but they’ll always be some growth and some revenue coming in from leases every year, that hopefully is always the case. Replacing that one big customer, makes it a little bit tough from a comp standpoint, but we do expect the business to grow year-over-year versus ’23. So even with the leases in the comp, we still expect growth in that business.
