iCAD, Inc. (NASDAQ:ICAD) Q2 2023 Earnings Conference Call August 14, 2023 4:30 PM ET

Company Participants

Jessica Burns – Head-Global Communications

Dana Brown – President and Chief Executive Officer

Eric Lonnqvist – Chief Financial Officer

Conference Call Participants

Per Ostlund – Craig-Hallum Capital

Sam Eiber – BTIG

Yale Jen – Laidlaw & Company

Frank Takkinen – Lake Street Capital

Operator

Greetings. Welcome to the iCAD Inc. Second Quarter 2023 Earnings Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. [Operator Instructions] Please note, this conference is being recorded.

I will now turn the conference over to your host, Jessica Burns. You may begin.

Jessica Burns

Thank you, operator. Good afternoon, everyone. Thank you for joining us today for iCAD's second quarter 2023 earnings call. On the call today, we have Dana Brown, our President and Chief Executive Officer; and Eric Lonnqvist, our Chief Financial Officer. Before turning the call over to Dana, I would like to remind everyone that we will be making forward-looking statements on the call today. These forward-looking statements are based on iCAD's current expectations and are subject to uncertainty and changes in circumstances. Actual results may differ materially from these expectations. For a list of factors that could cause actual results to differ, please see today's press release and our filings with the U.S. Securities and Exchange Commission. iCAD undertakes no obligation to revise or update any statements to reflect events or circumstances after the date of this conference call.

I would also like to note that management will refer to certain non-GAAP financial measures. Management believes that these measures provide meaningful information for investors and reflect the way that they view the operating performance of the company. You can find a reconciliation of our GAAP to non-GAAP measures at the end of the earnings release.

With that, I'll turn the call over to Dana.

Dana Brown

Thank you, Jessica, and good afternoon, everyone. Let's begin with our business update. On the therapy side of the business, revenue for Q2 was $1.7 million compared to $2.3 million for Q2 2022. We're continuing to make progress with parties interested in acquiring the therapy business. While we move forward with these discussions, we continue to operate the business, and customers worldwide continue to treat patients with its targeted therapy.

On the detection side of the business, we're continuing to make significant progress in positioning the company for growth. While revenue is similar to last quarter at $5.9 million, as noted on previous calls, we implemented several strategic changes earlier this year, including cost reductions to align and streamline our cost base, reducing annualized expenses by $4.3 million to $4.6 million and annualized cash burn by $4.9 million to $5.2 million.