Thank you, Jim, and good morning, everyone. Thank you for joining today's call. I'm excited to share more about AirSculpt. Before we begin, in the prior slide, the mandatory notice regarding forward-looking statements, please take a moment to read that now or later. Just a little bit about me, the move forward. I've joined the company seven months ago as the CEO and really excited about the business, the opportunity, and where we are headed. Let me start with who we are and what we do. On the next slide, essentially, we are a premier body contouring provider in the nation. We started in 2012. We've been around since then. We provide body contouring services in our 32 centers, 30 stateside, plus one in Canada and one in the U.K . We have a huge addressable market with lots of white space. We've done already that number. I think it's outdated. We're close to, I just crossed 75,000 procedures and continuing to grow. Lots of satisfied patients. If you go to the next slide, probably one more. Right. A little bit of who we are, what we do. As we mentioned, we are a provider of body contouring services. We provide that in our own setup. We've got 32 clinics, which are corporately owned and run. We do this with a minimally invasive patented method. We go in through small openings around 2 mm or so into the body with cannulas using a patented method to remove fat permanently. We remove up to 10 lbs of fat. We can remove up to 10 lbs in a sitting. It's a short one-time procedure. It is permanent fat removal. You literally see your fat come out in a canister. We do it without general anesthesia. The fact that it's minimally invasive, it's a patented method without general anesthesia, many of our patients, as a result, are back to their normal routine within a day. Just a couple of other things over here. We are 100% cash pay. Everything is cash pay upfront. There's no insurance. That has a number of benefits from a cash flow perspective. Our average ticket size is about $12,000 - $13,000. Just in terms of within body contouring, what we provide, on the next slide, as I mentioned, we certainly do fat removal. That becomes a cornerstone of our services. In addition to fat removal, our method of removal is such that it preserves the fat to enable the fat to be transferred to other parts of your body. We do a lot of fat transfers as well. Roughly 20% of our procedures include a fat transfer. As you can imagine, this would be areas like transferring fat to the buttocks, to the breast, hips, hand, and the legs. We have the ability, and it's a part of our business. We also provide skin tightening. The next one down over here on AirSculpt Plus, essentially, it's enhanced skin tightening. As you can imagine, when you remove fat, our procedure is such that it tightens the skin a little bit when fat is being removed. You can also do additional skin tightening on top of that. For that, we use Renuvion technology from Apex Medical. The combination of AirSculpt and Renuvion gives pretty significant results. You're talking about somewhere in the 40%+ in terms of skin tightening results that we've seen in many cases. In addition, we do cellulite removal. As aging happens, particularly on the skin level, there are places where cellulite becomes an issue, particularly on the buttocks and thighs, where we work with the Ovalease technology in conjunction with AirSculpt to do cellulite removal. It's a part of our business. We talked about fat transfer. One of the other areas of fat transfer is fat transfer to the face as well so that it can correct any irregularities and restore any lost volume. Largely in body contouring services, within that, you've got fat removal as the cornerstone, and then there's fat transfer, skin tightening, cellulite removal, and AirSculpt Lift as other services that we provide on top of that. All of these done in our centers. It's a premium setting. If you go to the next slide, how we do it, our treatments are done by elite plastic and cosmetic surgeons. Our surgeons have tremendous expertise. We generate interest with consumers. There is interest in the space. There's interest in body contouring. We capture that interest through direct-to-consumer marketing. We generate leads through multiple platforms like paid search, paid social. Once we get someone who's interested, we build a custom treatment plan for each patient to help them achieve their goals. For some, it would involve coming in, talking about what are the areas they want to address. We look at what are, we do a custom evaluation of each person. In many cases, the surgeon is involved in creating the plan as well. We also provide access to third-party credit providers who are able to fund and allow just ease of payments for patients. Those are all non-recourse loans. We are more facilitating. We do not have any payment risk associated over them. Next slide. Dennis will walk through the financials of the business, and then we can talk about where our focus has been for the last few months over here. Dennis?
Hey, thanks, Yogi. Yeah, I wanted to give you guys a quick update of some financials, but also just kind of wanted to give a little bit of our business model, some notes around that. We do locate ourselves in very high-end retail areas of metropolitan areas. We play in a space that we cater to a very high-end consumer. As Yogi talked about the technology, we do have a proprietary method of how we remove fat, and it's driven us to be able to generate roughly $12,000, $13,000 per case for our procedures. A lot of variability in that. Not every patient is the same. That's historically where we've been running for the last three to four years is about $12,000- $13,000. A very strong revenue per case. We've had a strong history of opening up centers, new centers, de novo centers. I joined the company in 2021. We had about 16 centers. Today, we're at 32. We've been able to double our footprint, which is a significant amount of growth that we've experienced on that front. One of the things that's really nice about our model historically is that it usually costs us about $1.5 million to open up a center. Historically, we're able to return 100% of that capital in the first 12 months. A very, very strong business model from that standpoint. From a CapEx perspective on a go-forward basis, it's very low maintenance capital. It doesn't require a significant amount of capital to kind of maintain our centers as well. Lastly, we have a very high variable cost model, which allows us to really kind of move up and down as revenues increase, decrease. It's a very, very high variable cost from that standpoint. That's a little bit about our business model. You can see on the slide here, and I won't unpack it all, but in 2024, we generated approximately $180 million in top-line revenue and approximately $21 million of adjusted EBITDA. You can see in the first and second quarter, which we recently published, we generated $44 million and approximately $6 million of EBITDA for the business. We're a business that generates positive cash flow, very profitable from that standpoint. We have experienced some downturns within our core business over the last year and a half, primarily due to the macroeconomic pressures that are facing our customer, simply because we are a very high-end ticket price that reminds you of that $12,000 - $13,000 price point. Next slide, please. This is just a little bit about our de novo process. It usually takes us about a year to open up a new center. Last year, you can see the most recent centers that we opened up. We opened up five last year. We also opened up five in 2023 as well. We've had a very strong footprint growth, as I had mentioned previously. For the current year, for 2025, we have decided to pause our de novo growth projects simply because we did see the downturn in our core businesses from a same-store. We wanted to kind of refocus where we're spending our attention currently so that we can kind of return our existing centers to same-store growth. I do expect us before too long to begin to ramp up again in de novo growth because we've experienced such a successful track record from that standpoint. The biggest question right now is when that will happen. We're, again, very focused on our core centers and growing those and getting those back to same-store growth. Next slide, please. Again, just sort of speaking to our historical performance, you can see in 2019, we're about a $40 million business. Grew that in 2023 to just under $200 million. As I said, in 2024, we were $180 million. 34% CAGR in top-line revenue growth has been very solid for us. I'd point your attention now to the left bottom quadrant of the slide. We're very profitable from the standpoint of when we perform a procedure. Over the last four years, our average profit per every case that we perform runs approximately $8,000. We're a very profitable business as it relates to our volume whenever we perform a case. That generates a significant amount of EBITDA for us and obviously, you know, cash flow. I just wanted to point that out. It's been very consistent on that profitability. Even through some of the challenges of 2024, even though we saw a slight dip, it was still close to $8,000 a case of profitability. Strong profitability profile from that standpoint. In the top right quadrant, you can see our EBITDA growth, even though we've experienced a little bit of a downturn this last year, year and a half, almost 25% CAGR growth over the last five years. Again, very strong EBITDA growing business that generates significant free cash flow, which you can see in the bottom slide. We have, you know, one of the things that's not necessarily, you know, that you can't necessarily draw from this slide is we have funded 100% of our growth with free cash flow. We have not borrowed money to open up centers over our history. The debt that we have on our balance sheet was there related to a private equity transaction that was done back in 2018. We fund our own growth, and we've had a history of doing that. The last item that I would point out too is when we went public back in 2021, we had roughly $85 million of debt on our balance sheet. Today, as of the end of the second quarter, that number is down to $58 million. We've paid almost $27 million, $28 million down on our debt as well. I think that just speaks to the cash flow generation that this business offers. Next slide. I won't spend a lot of time on this slide, but as we said earlier, we have paused our de novo process currently. Recently, we've done a third-party study on what do the opportunities look like in the U.S. and Canada and North America as well, as well as we did an international look as well. What we found was there's well over 100 opportunities just in the U.S. alone. When you bring in Canada into that footprint, we're upwards into the 200 range. There's a significant runway for us. As I said, we're at 32 centers today. There is a significant opportunity for adding new de novos to our footprint when we start to reconstitute that program. Next slide, please. I'm going to turn it back over to Yogi, and he can kind of tell about some current business priorities that we're focused on.
Thank you, Dennis. As I came in in January, we declared two areas of focus as I joined, which are on the screen. One is culture to make sure that all of our centers align on one vision and drive the enterprise forward. The second one is on revenue. Improving our go-to-market strategy so that we can get back to same-store sales growth. We've proven that we can open and scale de novo center openings, which is why the focus on same-store sales allows us to further accelerate performance in a lasting manner. I am happy to report that on the culture piece, I've had a chance to visit a lot of our centers, and the passion within the centers, the passion within our team, it's really strong. The focus on doing the right thing and serving our patients allows us to have a strong foundation from which we are building on the culture of the company. Specifically on revenue, on the next slide, there are five focus areas that we have. I'll talk about what those are on the left, and then I'll give an update on where we stand on those as of the end of Q2. The first one obviously is marketing. The goal over there is how do we drive more consumer interest to drive more leads? Once I get those leads, the focus then shifts on sales to convert those leads to cases, to paying treatments. We're also looking at new services, so product and sales innovation to tap into more consumer demand. How do we expand our offerings to drive more revenue? Around that, around sales and marketing technology, it's a technology that underpins these priorities. There are cost efficiencies within the business we can do and how we address that. Digging deeper into all of these, on marketing, we continue to see the benefits from our reallocated marketing spend to proven strategies. In Q2, as the slide calls out, we've seen lead generation at record highs with improvements in marketing spend as this percentage of revenue and a reduction in our customer acquisition costs. That tells us that we are better monetizing our marketing tactics. Once we have those, it's how do we focus on optimizing sales to convert those leads into cases? We've been supporting our teams with enhanced training on key initiatives. We've expanded financing options to make it easier for consumers in any macroeconomic environment, but particularly this one, to say yes and move forward with our services. Additionally, we've also done things like added virtual appointments that help us meet the consumer at their convenience. If someone cannot come in or if there's an hour of day when they're available but our clinics are closed, by going virtual, it allows us to meet the patient demand where it is rather than have them stick to our schedule. We've also introduced new services to tap into consumer demand. We launched a pilot of a skin tightening procedure in the second quarter to three centers, and we are planning to extend that pilot into the third quarter to additional centers. As a quick reminder, we have historically done fat removal and then skin tightening on top of that fat removal procedure. The thesis over here is standalone skin tightening. There is demand for that, and how do we tap into that demand? That's a pilot. We continue to gain valuable learnings from the pilot and believe it can be a meaningful opportunity for us given the skin laxity, particularly that occurs following the use of GLP-1 medications. We are along the same ways. We're enhancing our customer experience to consistently provide premium results. As I said, I've visited nearly 2/3 of our centers, and I've been impressed by the quality of care that is delivered across our locations. There is always opportunity to further elevate the experience, and we have a lot of initiatives planned in the back half, which allows us, we think of that as part of our offering itself, and how do we improve that? Lastly, we continue to invest in technology to accelerate these priorities. Whether it's in support of this, as I talked about, the financing options, whether it's the upgrade to our IT systems to enable sales team close deals more efficiently, the goal is to reduce friction for our customers and, more importantly, make lives easier for our team members so that overall things work more smoothly and we can get more patients treated. Thus far, we're seeing good uptake and good reception from the team on that. In Q1, we had announced that we had taken actions for over $3 million of cost savings in a year. In Q2 of 2025 versus just Q1, we've delivered more in adjusted EBITDA, certainly, but we've also seen that our cost actions are taking hold, and we continue to make sure that we can drive efficiencies where possible. On the next slide, on our Q2 earnings call earlier this month, we re-traded our annual outlook, which was a revenue of approximately $160 million - $170 million and adjusted EBITDA of approximately $16 million - $18 million. That's a bit of where we are. If I take a step back, if you move to the next slide, we continue to make progress on our initiatives in the second quarter. We've seen encouraging steps. We have plans for the remainder of the year to further improve our performance and focus on business priorities and cost management. In Q2, we also did an equity offering to use the proceeds primarily to pay down our debt. As Dennis mentioned, we've aggressively paid down debt and made sure that our balance sheet is durable. That positions us well. As we return the business to growth and perform at a high level of profitability, it drives value for the business, for our team members, and for our shareholders. I continue to believe we have a compelling business case. We have a competitive moat, and the best years lie ahead for us and our shareholders. With that, we'll pause and move to questions, Jim.
Great, great. I have a bunch of questions. First one, you know, who is your typical customer? What's the profile?
Yeah, Jim, thank you for that question. Our typical customer is 80%+ female, roughly age group 30 - 50-ish. She is someone who is focused on how do I not only look but also feel better in my own body. She's somebody who's focused on, I have a need, I have this issue. I've most likely tried diet, exercise, but there are stubborn areas which still don't go away. She tends to be higher income. We don't track income in any of the information we collect, but in surveys that we have done, we see that her household income is over $150,000, aesthetically minded. Net-net, she's an affluent customer who has disposable income to spend on aesthetics, and as a result, becomes an attractive target broadly for many businesses going after similar profiles.
How long does it take to recover from the procedure?
Jim, that's a great question. Many of our patients are back to their normal routine within 24 hours of the procedure itself. I have personally had the procedure recently, and I got the procedure done in the morning. I was doing emails by 4:00 P.M. once the medication wore off. I don't think my team was pretty happy that I was back online, but it was amazing just going through it. You have to see it to believe it, just how effective the procedure is, and just how quickly you can recover.
I saw in the second quarter, you were able to reduce your customer acquisition cost by more than 10%. How were you able to pull that off?
Yeah, on marketing, as you mentioned, as I've come in in January, the focus, we further focused on a returns-based approach to marketing. We're focused on for every dollar that we're spending, are we able to measure the returns on those dollars? How are we optimizing towards that? As a result, we've done a lot of reallocation of our marketing dollars to places that are working, whether it's geographic, whether it's marketing tactics, and those start to pay off. In addition to that, we have ramped up our testing, whether it's creative testing, website testing, to make sure that we have messages and experiences that resonate with customers. All of that has meant that the entire ecosystem works better. We make it easier for customers to go from, "I saw an ad," to, "I'm getting treated." We're seeing that we're getting paid back for that in customer acquisition costs.
All right. Just an overall market question. You can't turn on the TV without seeing a commercial for one of the Wegovy and Ozempic and the other GLP-1s. What do you think the impact of those drugs will be on your business?
Jim, that's a great question. Not only for our business, I would argue GLP-1s are having an impact broadly on aesthetics and even secondary, tertiary impacts, which you're just starting to feel. There's a lot of research out there on just industries which will get impacted. For us, we're focused on the complementary impacts of GLP-1. What we see is GLP-1 has two side effects, two primary side effects that consumers report. One is skin laxity. As you lose weight, you have loose skin, and depending upon how much weight you've lost, that can be significant. The second one is you take GLP-1, you may lose volume from areas you don't expect. You might want to lose volume from your abdomen, but instead, the terms Ozempic face, Ozempic buttocks are becoming more part of the nomenclature. What we are seeing is we have a couple of solutions which can help address some of those challenges, particularly with skin tightening. The premise on our skin tightening pilot was to see, can we take people who've lost weight and help tighten skin and address the skin laxity issue for that? That's part of what we are testing in the pilot. The second one is we do offer fat transfers as well, and for the right patients, that can help them put volume back in areas where it would make sense from a GLP-1 perspective.
All right. Last couple, you've been there about seven months. I'm sure you've learned a lot. What do you see as the biggest opportunity and the biggest challenge going forward?
Jim, I'd probably say the biggest, honestly, the biggest positive, which makes it easier for any business opportunity. The biggest positive I've seen is just the team and the passion within the team. Anytime you're coming into an organization, you want to make sure that you have an engaged team. At a center level, we see that the team works cohesively. Patient care is top of mind. We've got access to elite surgeons, and they provide a great quality of care. All of that creates an ecosystem which allows us to drive the right changes within the business, to drive the right outcomes for our customer. In many ways, the macro will continue to dictate the pace of progress. What we have been doing is we've been putting all the right initiatives in place. We've been working towards doing the right thing for the patient, for our team, and for the business such that we see improvements. When the macro stabilizes, then it's a double positive for us moving forward.
Okay. All right. We are out of time. I just want to thank you both, Dennis and Yogi, again. I know you both have very busy days with meetings. We appreciate that and appreciate the fact that you took the time out today to give us an update. Thank you.
Absolutely, Jim. Thank you.
Okay.