Good day, and welcome to the Weave's second quarter 2022 earnings conference call. Today's conference is being recorded. At this time, I would like to turn the conference over to Ms. Mariah Hocutt. Please go ahead, ma'am.
Thank you, Sharon. Good afternoon, and thank you for joining us for the Weave Communications second quarter 2022 earnings call. Joining me on the call today are Roy Banks, Chief Executive Officer, Alan Taylor, Chief Financial Officer, and Brett White, President and Chief Operating Officer. Full details of our results and additional management commentary are available in our earnings release, which can be found on the investor relations section of the website at investors.getweave.com. Please note that this call will be simultaneously webcast on the investor relations section of the company's corporate website. Before we start, I would like to remind you that the following discussion contains forward-looking statements within the meaning of the federal securities laws, including, but not limited to, statements regarding Weave's future financial results and management's expectations and plans for the business.
These statements are neither promises nor guarantees and involve risks and uncertainties that may cause the actual results to differ materially from those discussed here. You should not place undue reliance on any forward-looking statements. Factors that could cause actual results to differ from the forward-looking statements can be found in our Form 10-Q filed with the SEC on May 13, 2022, which is accessible on the SEC's website at www.sec.gov and also available on our website at investors.getweave.com, as may be supplemented in subsequent periodic reports we file with the SEC. Any forward-looking statements made in this conference call, including responses to your questions, are based on current expectations as of today, and Weave assumes no obligation to update or revise them, whether as a result of new development or otherwise, except as required by law. The following discussion contains non-GAAP financial measures.
For a reconciliation of each of these non-GAAP financial measures to the most directly comparable GAAP metric, please see our earnings press release, which is available on the IR section on our corporate website at investors.getweave.com. Now, I will turn the call over to Roy, Chief Executive Officer of Weave. Roy?
Thank you, everyone, for joining us today, and welcome to our second quarterly earnings conference call. In a moment, Alan and I will provide an update to Weave's strategic and financial progress. First, I'd like to address this afternoon's announcement regarding my decision to step away from my role as Weave's Chief Executive Officer. I joined Weave as CEO in 2020, and since then, the management team and employees have navigated through the challenging COVID pandemic, enhanced our technology platform, and completed our IPO in November 2021, when we successfully raised capital to continue to fund our growth, operations, and pathway to profitability. As a new public company, we face tough equity market conditions, but we continue to improve our competitive position and implemented new go-to-market actions, positioning the company for scalable long-term growth.
These efforts have led to positive Q2 financial results and to raise full year guidance expectations as we will further discuss in today's call. While I'm saddened to take a step back due to personal health and family reasons, I needed to dedicate additional focus to my personal commitments and feel that I can no longer give Weave the leadership attention that the company and its stakeholders deserve. As a result, I am stepping down from the CEO role effective August 15th, but will remain in an advisory role through September 2nd to ensure a seamless transition, at which time I will also resign from the board of directors. I'm happy to announce that Brett White has been appointed to serve as interim CEO until the board of directors appoints the company's next full-time CEO.
As you recall, Brett has been a member of our board since July 2020 and became our President and Chief Operating Officer in April of 2022. Brett has significant executive SaaS experience and previously served as the Chief Financial Officer and Chief Operating Officer for Mindbody. I'm confident his perspective on Weave's business and deep understanding of our financials and operations will ensure a smooth transition and a bright future ahead. I'd like to thank everyone at Weave who supported me during my tenure with the company. The success Weave has enjoyed is directly attributable to the hard work and dedication of our team. Please know that I remain incredibly bullish about the future prospects for the business under Brett and the rest of Weave's leadership team.
With that, I'd like to turn the conversation to our Q2 results and outlook for the rest of the year. As we entered 2022, we were experiencing certain challenges within the macroeconomic environment and also in our business operations. We have since announced several initiatives designed to improve the alignment, productivity, and sustainability of our go-to-market efforts. Although our work to address these challenges is not done and macro uncertainty persists, we are clearly seeing positive results from the new initiatives and improved execution. In the second quarter, we earned revenue of $34.9 million, representing 24% growth year-over-year. Operationally, we achieved a balance between the desire to closely manage cost levels while also continuing to invest in our go-to-market enhancements and long-term growth efforts.
As a result, our non-GAAP operating loss was $10.1 million, reflecting a narrowed loss margin percentage compared to a year ago. Both metrics are favorable to the guidance we provided for the quarter, and with continued cost management and disciplined investment, excuse me, we expect to achieve continued growth and improved operating margins in the second half of the year. We progressed through the quarter, we saw an evolving and bifurcated economic environment. Many of our specialty healthcare customers recover from the effects of the COVID pandemic, the developing uncertainty of the economy is starting to take its place. Business owners are increasingly expressing concerns about rising interest rates, inflation, and fears of a broad economic recession. At this time, these concerns are only minimally impacting underlying demand, but are perhaps elongating purchase decisions and increasing sensitivity to pricing.
We are keeping a close eye on the situation as changing behavior could impact demand. While we recognize the broad macro uncertainty is concerning, our products and services are designed to help our customers manage through exactly these kinds of challenges, which we believe makes our business model more resilient. Our core customers operate within the specialty healthcare verticals, particularly the dental, optometry, and veterinary sectors, which are viewed as essential services that have shown resilience in the face of the pandemic and previous macroeconomic challenges. These small businesses depend on Weave's platform for essentially every facet of their customer engagement and communication, like acquiring new customers, communicating with existing customers via text, phone, chat, or email, scheduling appointments, sending out appointment reminders, and collecting and processing payments.
We remain optimistic about our market opportunity as we expect our existing customers will want to retain the automation and solutions benefits they've become reliant upon. Similarly, we believe that new customers will seek more efficient ways to communicate and engage with their customers, save costs, and operate their businesses more efficiently. We've continued to make investments into our product roadmap and technology platform that will deliver valuable time and cost-saving solutions to our clients. To highlight this progress, I'll briefly point out three recent notable platform enhancements. First, Insurance Verification. As medical patients yourselves, I'm sure each of you have experienced the frustration of trying to use insurance to pay for your treatment. This frustration is felt by all parties. In fact, we estimate the average dental office spends 6+ hours a week trying to verify insurance eligibility.
The time, effort, and expense associated with this activity has no benefit to patient care or the growth prospects of the dental office and is purely an overhead cost ripe for reduction. In July, we made an insurance verification enhancement to our platform available to all of our dental locations. This new solution operates within the same Weave platform the dental office already uses and can potentially shorten the time spent on insurance verification by over 50%. Second, Enhanced Payment Solutions. For a small healthcare practice, collecting payments is one of the most important and sensitive patient interactions. For some patients, making financial arrangements can often cause undue stress and sometimes delay treatment. In a recent Weave survey of pet owners, we found one in three have recently delayed procedures or treatment for their pets due to the large upfront costs and the inability to pay over time.
In May, we announced a partnership with Sunbit to integrate its Buy Now, Pay Later solution into the Weave Payments offering, which now sits alongside our Text to Pay, Digital Wallets, and Card on File features. Last week, we launched this product, and it is currently available to all of our customers that leverage our payment solution. Third, continued expansion of our multi-office capability. In prior calls, we noted the market demand towards consolidated ownership of multi-office businesses. Earlier this year, we announced the signing of Dental Care Alliance, our largest-ever customer, which operates over 370 locations across the country. The onboarding and integration of these offices has been executed according to plan, and we expect to complete this process this fall. We intend to continue to build and adapt our platform capabilities to support the administrative and operational complexity and needs of the multi-office ownership structure.
In the second quarter, we launched several platform features with multi-location businesses' needs in mind. These include department groupings for text messaging, multiple time zone fields for organizations operating in multiple states, and unlimited new texting templates. Each of these platform enhancements are specifically addressing market needs and the key pain points experienced by our customers and their patients. As our suite of offerings becomes more and more robust, we anticipate business owners and patients will have increasingly seamless interactions that improve the patient experience while the improved business automation and efficiencies are expected to provide a quick ROI to the business owners. Our product innovations are increasingly being recognized by our customers and the market. Weave was named a category leader in five of G2's Summer 2022 Software Report categories, including Dental Practice Management, Optometry, Patient Engagement, HIPAA-compliant messaging, and Patient Relationship Management.
Notably, Weave was also named as the best ROI for Dental Practice Management overall and within the Small Business segment. During the quarter, we made progress on our new go-to-market motion, which will serve as the foundation to our sustained efforts and consistent execution to increase productivity, lower customer acquisition costs, and ultimately help grow our subscription and payment processing volume and revenue. In the first quarter, we implemented many new changes and enhancements to our sales platform to better align our go-to-market motion with our market opportunity and plan for growth. During the second quarter, we began executing this plan while continuing to optimize our efforts and processes. This optimization included adjustments to respond to the macro conditions, customer demand, and the labor market as we hired and trained staff with new skill sets.
Now in the third quarter, we are focused on expanding the leverage and execution of our revised go-to-market initiative within the context of the evolving market environment. During the height of the pandemic, most live industry events which had been important to our prior sales efforts were severely impacted. Our planned new actions included more targeted digital marketing campaigns, which have proven very productive in the first half of the year. Internally, our operations change the structure and responsibilities of our sales team to better target specific resources to the opportunities with the highest potential ROI. As these efforts take hold, we will continue to evaluate and adjust our go-to-market operations as appropriate. Going forward, we expect to see improved win rates, lower customer acquisition costs, and improvements in bookings results. Once again, I'm very happy to report another impressive quarter of performance.
We made substantial progress in our new product delivery and go-to-market optimization. While I'm saddened to announce that I'm stepping down, I am extremely proud of what the company has been able to accomplish during my time as CEO. I'd like to add my gratitude and thanks to the board and the entire leadership team and people at Weave for their unwavering support as I made this decision. Their compassion and leadership are perfect examples of how Weave treats everyone as people, not employees. I'm confident that Brett and the rest of Weave leadership team will guide the company to further successes. Now I'll turn the call over to Alan. Alan?
Thanks, Roy, and welcome everyone joining us on our call today. I'd like to take a moment before highlighting our financials for the second quarter to express my gratitude and appreciation for what we have achieved as a company under Roy's leadership. Roy is a driven business leader who has passion for people and an inclusive mindset that brings out the best in them. He led us through our IPO and has positioned us for success, as reflected not only in the strength of our balance sheet, but especially in the strength of the team he has assembled. We wish him all the best. His influence will be very evident here at Weave in the years ahead. Brett has already brought significant leadership and experience to our business, first as a board member, then as President and COO, and now as interim CEO.
I'm confident in his ability to continue operationalizing our growth as the board conducts an evaluation of candidates for the CEO role. Now on to the financials. I am pleased to share the financial results for the second quarter with you as our quarterly revenue grew 24% to reach $34.9 million and exceeded the top of our Q2 guidance range. This reflects increased subscription revenue, primarily driven by the onboarding of new customers acquired. Our net revenue retention rate was 102% this quarter, also adding to our subscription revenue. This metric, along with our gross revenue retention, which remained at 94%, reflect the expanded use of services by our existing customers.
In comparing revenue year- over- year, please note that as previously disclosed, we changed our installation program in the third quarter of 2021, which moved non-recurring installation revenues off our books by the end of last year. Our Q2 onboarding revenue decreased roughly $700,000 year- over- year as a result. Excluding the impact of these installation revenues, our year-over-year growth would have been 28%. Although this change impacts our revenue, it improves our gross margins, better leverages the expertise of our IT partners, and improves the experience for our customers. We earned a non-GAAP gross profit of $21.4 million and expanded gross margins year-over-year by 320 basis points to 61.1%.
This improvement reflects the benefits of outsourcing the non-recurring onboarding process I mentioned previously, as well as improved operating leverage across our personnel and the infrastructure deployed to service our customers. Our non-GAAP operating loss increased by $1.2 million from Q2 of last year, mostly related to G&A functions as we incurred public company costs following our November IPO. There were also certain legal costs and personnel related expenses as we hired additional executive leadership. Our second quarter non-GAAP operating loss of $10.1 million was at the favorable end of our guidance range. While our operating loss increased by $1.2 million, our operating loss margin improved 240 basis points to a - 29.2%.
Non-GAAP net loss was $10.3 million, or -$0.16 per share in the second quarter based on 65 million weighted average shares outstanding. This is compared to a loss of $9.7 million or -$0.73 per share a year ago. Adjusted EBITDA loss was $9 million, an $800,000 increase year-over-year. However, the EBITDA margin improved by 300 basis points, reflecting ongoing leverage in the business and a prudent balance between managing our costs and making strategic investments in go-to-market and long-term growth. A few comments about our financial position. We continue to have a very flexible financial position with $124.3 million of cash and equivalents on hand as of the end of the quarter.
In Q2, we had free cash flow usage of $2.4 million, which was an improvement of $1.6 million compared to the prior-year period. The year-over-year improvement reflects our narrowed net loss margin in the recent period and the absence of meaningful CapEx purchases since we completed the opening of our new office last year. While we are certainly cognizant of the challenging macroeconomic environment that many businesses are facing, we are also confident in the resilience of the verticals that we serve.
The Dental, Optometry, Veterinary, and other specialty healthcare verticals, which comprise the vast majority of our customers, have shown remarkable strength in past economic downturns, and we believe they will weather these challenging times as well. The communications and engagement tools that Weave provides are even more vital to their success because they save our customers money, allow them to collect their receivables, and increase their utilization rates through convenient and robust interactions with customers. Now turning to our guidance. For the third quarter, we expect total revenue in the range of $35 million-$36 million and a non-GAAP operating loss in the range of $9.5 million-$8.5 million, which includes certain one-time expenses associated with the CEO transition we are making. We expect to have a weighted average share count of approximately 65.6 million for the third quarter.
For the full year 2022, we are raising our total revenue guidance. We expect total revenue to be in the range of $141 million-$143 million, which represents a $1.5 million increase compared to our previous midpoint expectation. We also expect our full year fiscal 2022 non-GAAP operating loss to be in the range of $38 million-$36 million, which assumes improvement in our operating loss as a percent of revenue. We expect to have a weighted average share count of approximately 65.4 million for the full year. With that, I'll now introduce our interim CEO, Brett White, for some brief comments before we take your questions. Brett?
Thanks, Alan. On behalf of the board and myself, I'd like to thank Roy for all of his contributions, and I'm honored to be asked to lead the Weave team at this time. I'm very excited and confident in our bright future ahead. We are very well positioned to continue to provide our customers with world-class communication engagement solutions and to continue to innovate and bring to market new highly impactful products. Now we'll take your questions. Operator?
Thank you. Ladies and gentlemen, if you would like to ask a question, please signal by pressing star one on your telephone keypad. If you are using a speakerphone, please make sure your mute function is turned off to allow your signal to reach our equipment. We'll pause for just a moment to allow everyone an opportunity to signal for questions. We will now take the first question from Parker Lane from Stifel. Your line is open. Please go ahead.
Yeah. Hi, guys. Thanks for taking the question. Wondering if you could comment a little bit more on the price sensitivity. Is that showing itself in the form of prospects looking at the price of Weave and maybe going in another direction? Or is it existing customers that are showing some sensitivity to perhaps expansion? Maybe you could just elaborate on that a little bit. Thank you.
Yeah, Parker, thanks for the question. I think primarily it's showing itself in the elongation of the sales process. I think people are more contemplative of the results of their spending and just pausing a little bit more than they have in the past given the economic environment. That's the chief thing I think we're seeing.
Understood. Given some of the sales and marketing and just go-to-market changes you've made recently, how do you feel about sales capacity right now heading into the back half of the year? Obviously, a more uncertain macro, the elongation of sales cycles. Do you feel like you're in a good place, or are you gonna continue to be actively hiring out there? Thanks.
I think we are in a good place. We will continue to actively hire. I think we've seen the regrettable churn for sales employees at the best level we've seen in about six quarters. I think that's a positive result. There still is some churn out there. We'll continue to ramp our existing salespeople, replace them as necessary. I think we're well positioned for the balance of the year.
Got it. Appreciate the color.
Yeah. I would just add to that part of the new go-to-market allows us to size and adapt our sales force accordingly to the opportunity. That's another benefit of the go-to-market changes that we've made.
Understood. Thanks again.
Next up, we have Michael Funk from Bank of America. Your line is open. Please go ahead.
Yeah. Thank you for the question. First, Roy, you know, it's been great working with you, and best of luck to you in the future. A couple if I could. So you made a comment, a ton of conversations with clients. Just wondering where that's gonna manifest. Is it gonna be more in NRR, GRR, or gross additions? Understanding your comment on elongation of sales cycle, just trying to figure out if that's more gross additions or upselling existing clients.
I think it will manifest itself in both. But the growth additions, given the sales situation that we find ourselves in that I just commented on, I think we're in a good position for this. It's something we continue to monitor, but there is definitely probably a more contemplative and questioning approach as we go through the sales cycle, which just extends the time somewhat.
Okay. Understood. In the comments about CAC moving lower over time, you know, first, where can that go? In the short term, with the sales cycle elongating, should we expect that to actually maybe increase in the short term with a longer sales cycle?
The improvements that we are seeing in efficiency, the ramping of our sales team, those are the items that I think are going to really help us out. The comp structures, we are gaining ground and growing into those as we ramp these employees, which will be a benefit to our CAC structure.
Understood. Then last one, cash on the balance sheet. You know, your cash burn relatively low. How should we think about use of cash on the balance sheet?
We will continue to be good stewards of the cash that we have. We are aware that we're in a market that is somewhat ripe for consolidation. We're gonna watch those trends, and we will be opportunistic with respect to our acquisition strategy as well as to other growth opportunities that present themselves. We like our position in this market given the cash that we have in the balance sheet to execute and have optimum kind of optionality.
Great. Guys, thank you so much for the questions.
Next up we have Mark Schappel from Loop Capital. Your line is open. Please go ahead.
First off, Roy, let me just say the best to you in the future. Sorry to see you leave. Alan, starting with you, though, I was wondering if you could just talk a little about the net retention rate in the quarter. It ticked down a little bit. Granted it's over 100%, but it still ticked down from prior quarters, at least according to what I have here. I was wondering if you could just address that.
Yeah. Good question. We're now full year into our payments solution. As you compare year-over-year, the kinda greenfield we have to implement payments is more limited just because we've sold some. I think that's the chief element of it. With some of the new products that we have introduced as well as continued emphasis and new methods of selling our payments product, I think that we can maintain that or improve it.
Okay. Great. Churn. Was customer churn in the quarter within the normal range?
It was. Yeah, it was.
Roy, switching over to you. You know, Dental Service Organizations have been a recent focus of the company. I was wondering if you'd just give us some color around what you're seeing in your DSO pipeline.
Yeah. We continue to see activity in the continued consolidation of offices, and that is in perfect harmony with our roadmap as we continue to enhance our platform to support the complexity of that. We're basically gonna continue to, you know, adjust and take advantage of that consolidation that we're seeing in the market. We still have a lot of sales resources focused on that, and we remain very bullish about our position as being a leader in being able to support the DSO market.
Great. Thank you. That's all for me.
Next up, we have Mauro Molina from Piper Sandler. Your line is open. Please go ahead.
Great. Thank you. Just jumping on for Brent. Thanks for taking our questions. First off, just on the go-to-market, you know, you've talked a lot this year about improvements being made in that, you know, sales and marketing organization kind of expected to materialize in the back half of the year. I'm just wondering kind of if the macro environment or anything that you're seeing in terms of sales process elongation has kind of changed in that timeline or if you're still kind of where you expected. I just have one follow-up.
Yeah. No, that's a great question. Well, certainly, what was going on in the macro environment wasn't expected, and we're quite frankly still waiting to see what impact that may or may not have. At this point, we're thinking that right now everything is going according to plan, but we still have, some, you know, some doubts or uncertainties about what impact that might have going forward. For now, we're continuing to be very bullish and optimistic about what we anticipate will happen in the back half of the year with respect to our, the go-to-market.
Okay. Okay, great. Thank you. That's helpful. Then just on the price increase front, I know in the past you talked about a quarterly rollout, this year. Just wondering if there's been any change in customer response to that, you know, kind of the price sensitivity you've been seeing. Or maybe, you know, you might be changing the timeline for rolling that out, as a result. Just wondering kind of what the status is around that. Thank you.
Yeah. We're two quarters into it. The rollout has gone well. We track that cohort very carefully to ensure that we're not seeing any, you know, negative churn metrics associated with price increase. I think that the market is very understanding in this inflationary environment of these increases. So we've done our first two quarterly cohorts, and we anticipate doing the same thing in Q3 and Q4.
Great. Thank you very much.
Next up, we have Matt Stotler from William Blair. Your line is open. Please go ahead.
Hey, this is Haley Moak on for Matt Stotler. Thanks for taking the questions and best wishes to you, Roy. Maybe just on profitability, how are you thinking about Weave's path to profitability from here, and how do you plan to balance future growth and consistent profitability going forward?
Obviously, the market dynamics have shifted over the last several months, so we've always had a very clear path to profitability. We are definitely looking at accelerating that. We have all that we need to be able to get there from a balance sheet perspective while still maintaining some optionality for acquisition. I would just say that we're on target and probably will be accelerating that path.
Got it. That's helpful. Thank you. Maybe just a quick follow-up from me. Could you share any updates on the adjacent product adoption, such as for the Forms, Analytics, and Web Assistant products or anything else in that pipeline that you can share?
Sure. All of these upsell products are continuing to be refined. We are matching them with the customer needs that our product team evaluates consistently through each quarter. I think that the adoption rate as we combine them, as we mix and match them, will be improving as we go forward. The combination of these upsell products into our overall product platform puts us in a very unique and powerful position to really make the best of this.
Yeah. I'll just add to that. If you look at what we did over the quarter, we added Insurance Verification, Buy Now, Pay Later. Adding additional products and features to our platform to create a better and a much richer platform experience continues to be an important part of our go-to-market effort. You know, bolstering the platform value to our customers is a big part of making those products available.
Got it. Thank you.
Next up, we have Brian Peterson from Raymond James. Your line is open. Please go ahead.
Hi, gentlemen. Thanks for taking the question. Roy, best of luck. I really enjoyed working with you. Just one for me. You know, as you think about the comment that was just made on kind of the path to profitability, we're seeing the innovation kinda added on top of the existing products. You know, how should we think about the cadence of attacking potential new verticals? Does that slow a bit and you're kind of focusing more on the expansion opportunities with the existing markets? Or how do we think about that balance? Thanks, guys.
Yeah. Yeah, no, that's a great, fantastic question. Thanks for asking it. You know, we continue to see significant opportunity in our core markets of Dental, Optometry, and Veterinary. As we've stated over the past couple of quarters, we continue to remain very focused on continuing to harvest in those particular verticals. We are always proactive in evaluating new vertical markets, and we'll continue to do that. At this time, right now, we feel, especially with the current macro environment, we really need to pay close attention and serve the needs of those customers that are in those key markets that we're already focused on. We'll continue to expand, but right now we're gonna stay where we are and continue to focus on those core markets.
Great, Roy. Thank you.
We'll take the next question from Ivan Feinseth from Tigress Financial Partners. Your line is open. Please go ahead.
Thank you. Thank you for taking my questions. Also, Roy, I wanna say I really enjoyed your enthusiasm about the company, and wish you well. Congratulations on the progress and on the good quarter and the ongoing progress. On the adoption of the Buy Now, Pay Later, what type of market penetration have you been seeing so far? What percentage of customers are using that, and how has it been received? Would that also enable you to somehow create marketing campaigns when you get an understanding of the customer base that's participating in this? Then my other question is, what type of other features have you been thinking about adding and your customers been asking you for adding?
Fantastic question. Well, right now, Buy Now, Pay Later is still very new, so we're really early on into the introduction of that into our customer base. I can tell you that based on survey data and our understanding of our customer needs, it's a product that is being well received and something that has been viewed as incredibly valuable to helping our customers accommodate their patients and the way that they need to pay in cases where there's a financial burden. We remain very optimistic that the product market fit with respect to our ability to deliver that product is really going to resonate with our customers and their clients. In terms of like marketing campaigns, absolutely. We're excited about this product.
We believe that, you know, helping to facilitate the capture of payments, and processing of payments, whether they're through pay over time or through credit card or other, payment modalities, is an important part of the communication and customer engagement experience. We believe that this is a very important part of what we offer to our customers, and we're very excited about our partnership with Sunbit and the ability that we have to deliver this capability to our customers.
Now compared to some of your competitors who may not be offering, Buy Now, Pay Later, do you think this is also, have you started to use this as a tool to market to new potential customers? Has that helped to gain new customers?
Yeah. This is a differentiating product for us, especially in the way that our platform works. You know, we've always talked about the advantage that we have at managing the points of interaction between our customers and their clients. We believe that being able to offer this in the stream of our platform solution and the fact that it works within the existing Weave platform and the business experience of our customers gives us a tremendous advantage, and I think that this is going to allow us to capture new customers and segments of customers that we have not been able to attract, and being able to use this as an attractant to acquire new customers.
Your customer base has been saying that this is real. What has been their feedback? They're really saying this is great, especially in areas where it's more patient paid, such as Optometry and Pet Care. Would those be the strong areas?
Yeah, exactly. Yeah, especially high-cost procedures. You know, procedures that tend to be very expensive and somewhat inhibiting or prohibiting in terms of someone being able to afford it up front. Yeah, the reception has been very, very positive and the partner that we've chosen to deliver this product is very well steeped in this particular segment of the market as well and has great understanding, and the partnership has proven to be very valuable in terms of our ability to extract a great opportunity here.
All right. Thanks for the questions. Roy, again, I wish you well and, congratulations on the quarter.
Thank you very much. Really appreciate it.
Ladies and gentlemen, once again, if you would like to ask a question, please press star one on your telephone keypad. It looks like there are no more questions at this time. I would like to turn the call back to Mr. Roy Banks for any additional or closing remarks.
Awesome. Well, I'd like to thank the investor community for the partnership and for your interest in Weave and your support for me. It has been an absolute professional joy and pleasure to work with all of you. It's been a tremendous honor for me to be the CEO of Weave. As I hope you all know, I'm not leaving at the greatest of times because the company is doing fantastic, and but I really appreciate everyone's understanding, and I wish the company nothing but the best going forward. I will continue to be a huge supporter and advocate and believer in the business. I want to thank you all and encourage you all to continue to watch and pay attention very closely to this fantastic company. I leave it in tremendous hands.
I'm very excited about the team that has been assembled here. I love the people, I love what we do, and I love solving problems for our customers. I wanna thank everyone personally and professionally for all that you've done for me and the support that you've given me. With that, we'll close the call, and I want to wish you all a wonderful afternoon and thank you once again for all that you've done for me and for Weave.
This concludes today's call. Thank you for your participation. You may now disconnect.