TELA Bio, Inc. (NASDAQ:TELA) Q2 2023 Earnings Call Transcript

Tony Koblish: We’ve done a nice job of updating the contracts after we got the 510(k) clearance. We are in the process of rolling out the product to about 50 early users. We’re about two weeks into that process. And we really like what we’re seeing so far. I think it’s going to be a great contributor in the second half and beyond. And we should be in a position from an inventory perspective and an experience perspective to turn this wide open at some point in the third quarter. So we look forward to strong contribution from PRS LTR almost immediately, I would say.

Operator: Thank you. One moment please for our next question. And we have a follow-up from Michael Sarcone of Jefferies. Your line is open.

Michael Sarcone: Hey, thanks for taking the follow up. Just one, last one for me. Really a question about 2024. So you mentioned it’s still very early days on all fronts in the GPO contract, plus you’re rolling out new products through 2023, plus you’re building out your rep base through 2023. So when I look to 2024, you’ll have the benefit of a full year of all three GPOs and the full year of that larger rep base and then a full year of new products. So for 2023, your guided comply is $20 million to $25 million of absolute dollar increase versus the prior year. Is there any reason why 2024 should it be higher than that on an absolute dollar increase basis higher than that $20 million to $25 million you’re expecting in 2023?

Roberto Cuca: So we haven’t provided guidance on 2024 yet. But – what I would add to what you described for the effect of 2024 is that we may continue to hire reps in 2024 as well. So we’ll continue to feel the growth from those reps that annualize in 2024, but also potential additional growth from new reps in 2024. So we think there’s a lot of opportunity. We talk about us being in the low single digits as far as unit share for these markets. So there’s a lot of possibility for us.

Michael Sarcone: Okay. Thank you.

Tony Koblish: Michael, thank you.

Operator: Thank you. And this will end the Q&A session for today’s call. I would now like to turn the conference back to Tony Koblish for closing remarks. Mr. Kolish?

Tony Koblish: Hi, we’ll see you next time.

Operator: This concludes today’s conference call. Thank you all for participating. You may now disconnect, and have a pleasant day.