Brandon Vazquez: Okay. Great. And then switching gears a little bit to the pipeline. I will take a shot too and try to get see if I can get any other details out of you, but maybe on Smart 28. If you can give any updates on where you guys are for that product, even if you just, like, are you guys in a point where you have a commercial product, are you in the regulatory filings? Anything like that would be helpful to understand kind of timing of and expectations for that first module in Smart 28? Thanks.
Albert DaCosta: You got it. And I appreciate the attempt and I will do my best to answer as much as I can. I will tell you, we are in a regulatory submission point right now and we are in good conversations with the FDA there and so we are rapid — we are excited about the opportunity, but we are being cautious there. We do have a product that, to be honest with you, is internally, it’s been exceeding our expectations and we are really excited about that introduction. I am also really excited because I know it’s been a little bit difficult for the investment community to really understand why we are so excited about Smart 28 and I think when we launched that first module, people are going to start to understand, okay, that’s what this means and this is what it looks like and this is how it could influence and support surgeons in a meaningful way.
And so that launch, we are expecting to be in the first half of next year for more of a broad scale introduction, but we are expecting sort of a beta launch later this year, just predicated on that regulatory filing. So just making sure that the approvals come in as we would anticipate and if they do, then we will expect to go to a small-scale launch. And at that point in time, we might be able to start communicating a little bit more freely what we have got in the pipeline there. So I appreciate the question and I — it’s hard for me. I am a salesperson at heart. It’s really hard for me not to give you all the details that I would love to give you right now, but stay tuned soon.
Steve Deitsch: Yeah. Stay tuned.
Operator: Our next question comes from Mike Matson with Needham. Please go ahead, Mike. Your line is now open.
Mike Matson: Yeah. Thanks for taking my questions. The — in the context of the comp you are up against, I think, the growth was obviously good, but on a year-over-year basis it did slow down a little from the prior quarter and first half of the year. I was just wondering if you could maybe quantify the impact of the supply chain issues in the third quarter, how much that took off your growth rate. And then also, I was wondering, some of the other orthopedic companies have called out having fewer selling days in the quarter, was that — did that impact your growth at all?
Steve Deitsch: Hey, Mike. It’s Steve. Maybe I will start with the second part of the question because that’s an easier one for us, and actually, we have, for the first time, an earnings supplement that’s out there filed with our earnings release 8-K today. So you can see some of the details that we are talking about here on our third quarter performance, some of our commentary around our new credit facility, some of our comments around the U.S. performance, international performance. But including the impact of selling days. So we certainly did have an impact to selling days. We mentioned that last quarter when we were giving an update for the balance of 2023. We had approximately two less billing days and our estimates pegged that impact somewhere between 200 basis points and 300 basis points and so it’s not insignificant.
And we also do have one less billing day next quarter or this quarter we are in compared to last year. So it had an impact for 3Q that was 200 basis points to 300 basis points and then with respect to the supply chain. We haven’t quantified that other than to say, and I know this is a specificity that you would like or other folks. It’s been pretty significant for us. It’s — we have not been able to supply the product at the right place at the right time for all of the potential demand that we have and so we are really looking forward to getting out of that and getting into next year when we expect that to all be behind us. And then, finally, you mentioned the strong comp. I mean last year we did grow 30%. So all of those things combined, we are really pleased with 15% growth and 20% year-to-date.
Mike Matson: Yeah. Okay. Understandable. And then, just given the new credit facility and the draws that you are taking there, just in terms of modeling interest expense. Can you help us out there in terms of kind of what quarterly interest we should be modeling?
Steve Deitsch: Yeah. So we have 100 drawn…
Mike Matson: Can you give interest related, I guess?
Steve Deitsch: Yeah. Yeah. So it’s $650 is the spread on, or excuse me, $675 is the spread on the term loan and $400 million is the spread on the revolver and we have $75 million out on the term loan and $25 million out on the revolver. And so, it’s probably a cash interest of $8 million to $9 million a year on a net basis.
Mike Matson: Okay. Great. Thank you.
Steve Deitsch: Because we do have $100 million of cash on our balance sheet that’s yielding a nice level of interest income.
Mike Matson: Yeah. Exactly. So that offsets some of it. Okay. Thank you.
Steve Deitsch: You got it.
Operator: Our next question comes from Dave Turkaly with JMP Securities. Please go ahead, Dave. Your line is now open.
Dave Turkaly: Great. Good evening. Maybe one for Steve. I am looking at the slides. Thanks. There’s a lot of good info in there. In the inventory component, it looks like you are kind of saying that you think you will get it back down to, I don’t know, I guess, something closer to a year’s worth of days, it says 817 to 463. Are we talking about inventory…
Steve Deitsch: Yeah.
Dave Turkaly: … should we be thinking about that day number going specifically to that level?
Steve Deitsch: Yeah. Look, and that’s how we came up with…
Dave Turkaly: [Inaudible]
