Dan Reuvers: Sure, Suraj, good question. Remember last year we grew 14% in lymphedema and we didn’t raise headcount at all. And I think that that’s really indicative of the kind of expanded productivity that giving the sales force more selling time is capable of. We were up to 35% with our patient education coordinators in the first quarter, and our goal is to continue to expand that. Ideally, I’d like to see us get to 50% by the back part of the year, and ultimately that should continue to free up our sales force from all of the home visits that they’re doing and spend more time in high volume clinics that see a high velocity, the kind of patients that we can help. So, I think those are kind of the key pieces. And the other thing I would add is that we have not had to add as many patient trainers to expand this capacity, because one of the things that we’ve seen is the patient trainers tend to do a really comprehensive demonstration that has led to fewer in home trainings after the device has been shipped to the patient.
So keep in mind, there’s a pre-sales demo that we’re obligated to do for Medicare patients, and then there’s a post-sales training. Most or not most, but certainly more of our patients are finding themselves capable of using their therapy right out of the box with the quick start guide and the available online tools, having gotten a really comprehensive demo. So if you’ve got a trainer that now doesn’t have to do that post-sales training because they just did a really good job on the pre-sales demo. It certainly continues to allow us expanded capacity from within that existing group as well.
Suraj Kalia: Thank you.
Dan Reuvers: Thanks, Suraj.
Operator: And our next question comes from the line of Ryan Zimmerman with BTIG. Please proceed with your question.
Ryan Zimmerman: Good afternoon. Thanks for taking the question, Dan. Congrats on the retirement. Expect a lot of pictures of the grandkids. I want to talk about long-term margin targets or long term targets, really. I know we have Sheri coming in, but I think one of the things that investors are probably going to be concerned about is just the commitment to these long term targets that you guys established late last year. And so I know you’re staying on the board, you’re involved, maybe just kind of opine on what the thought process is right now with obvious, the caveat that Sheri is coming inside [ph].
Dan Reuvers: Yes, sure. So I think they’re to some extent apples and oranges, right. Mine’s a personal decision, and I think that as it relates to targets beyond 2024, I think the first one is, I know when Sheri gets into the seat, she’s going to be very focused on the same thing I am, which is delivering on our 2024 plan. So that’s kind of project number one. I think, as far as 2025, we will clearly be providing guidance at the end of 2024, as we usually do in our normal cadence. But as far as the long-term targets are concerned, we established them in 2022, not in 2023, and we did it in the fall of 2022 with a particular intention, which is we were emerging from COVID and we wanted to make sure that we extended an expectation of ourselves beyond just 2023.
That said, what do we expect within a normalized environment? We typically, I think, historically, hadn’t given long-term targets. The company had typically been on an annual cadence. But as I said, emerging from COVID I think to your point, folks were curious about. Okay, is this what 2023 looks like? Or is this indicative of what we should expect on a longer term basis? What we laid out was a top-line growth rate in the teens. We said we wanted to continue to expand our operating margins and demonstrate stronger cash conversion. And I think just in that framework, those are really still very good, sustainable targets for ourselves. So, I know Sheri will be looking forward to providing 2025 guidance when we get a little deeper into 2024, but I think that we still think those are good, sustainable targets for ourselves.
Ryan Zimmerman: Okay. Very helpful. And then the other big question is around I think margins; your gross margins are up slightly this year, Elaine, as you alluded to. You do have you just talked about some of the features of this new system that’s coming? Where do you see opportunity to improve your gross margin maybe on a longer term basis? Because I think that’s certainly important to drive in some of the expansion and EBITDA margin.
Elaine Birkemeyer: Yes, so I think maybe kind of two parts of the question here. We did see improvements in gross margin this quarter, largely due to achieving scale in some of our new products and just good work that our manufacturing team is doing and lowering COGS. We do expect to continue to see some of those drivers come into play for the remainder of the year, which is why we took up our outlook to growth of slightly above from a year-over-year perspective. I think longer term, we’ve always talked about gross margins were not a place we expected to see being the big growth driver of adjusted EBITDA expansion rather, it was continuing to get operating expense leverage. And while this year our leverage will be relatively modest, given it’s a heavy investment year for us, longer term, these investments are going to allow us to continue to get productivity in our sales force, in our back office, and really that will be the driver of the adjusted EBITDA operating margin growth going forward.
