Evolus, Inc. Price & Performance (EOLS)

As a reminder, our earnings release and S filings are available on the SEC's website and on our Investor Relations website.

Following the conclusion of today's call, a replay will be available on our website at investors.evolus.com. With that, I'll turn the call over to our CEO, David Modizzeni. Thank you, Nard, and good afternoon, everyone. 2024 was a transformative year for Evolus. Marked by several key achievements that set the stage for 2025. Starting with our objective, of achieving profitability in Q4, I'm proud to say that not only did we achieve meaningful profitability in the fourth but we also delivered profitability for the full year one year ahead of our stated goal. This profitability was enabled by revenue growth above 30% for the fifth consecutive year. Further solidifying our position as the fastest growing brand in our category. We ended 2024 with a U. S. Market share of approaching 14% resulting in revenue above the top end of our original guidance. The combination of Jeuveau, and now Evolus brings together the fastest growing toxin in The U. S. With the first innovation in technology in over a decade. In Q4, we obtained CE Mark approval for the same line of injectable gels. Followed by FDA approval in February 2025 for Evolus Form Evelyn Smooth. This Approval Expands Our Total Addressable Market In The U. S. By 78% and supports our 2025 revenue guidance of $345,000,000 to $355,000,000 marking our sixth consecutive year of over 30% growth.

We continue to prioritize execution In 2024, we added over 2,900 new accounts. Bringing our total to more than 15,000 purchasing accounts. Which represents half of the toxin market that is used to be. On the consumer side, Everest Rewards surpassed 1,100,000 users growing 40% over the prior year. Our international business also took a significant step forward. Our UK team celebrated two years on the market achieving market share levels comparable to our second year in The U. S. Reinforcing our confidence that our Performance Beauty strategy extends beyond The United States We also expanded our direct presence in Australia and Spain, where both markets are experiencing strong uptake. We now have a footprint in all of the key markets that will drive our path to $100,000,000 in international revenue by 2028. Lastly, 2024 marks the third consecutive year we provided revenue and expense guidance. I'm proud of the team for their continued focus on execution exceeding our top line revenue guidance while demonstrating prudent expense management resulting in operating expenses coming in, at the low end of our range. We take pride in our track record of meeting or exceeding our guidance each year. Knowing that credibility is built over time.

Looking ahead, the launch of Evelisse is a top priority. Since last year, we have strengthened our expertise in the category made key strategic hires and conducted over a dozen advisory meetings with key opinion leaders and customers. We captured insights on the current usage of products their experience from prior product launches, and the value of our innovative ColDes technology brings to our customers and the patients. These insights combined with additional market research and we are prepared to commercialize Evelleech early in Q2. The R and D team did an outstanding job delivering a differentiated clinical package and a first in class label with the mention of weight loss as a cause of facial wrinkles. Rui will provide more details later in the call. Our digital strategy has already begun. With the Evolese website and social media pages now live, we have also communicated the approval to our customer base Our founding faculty and scientific advisors some of whom were investigators in the Evolus trials will begin receiving shipments in the coming weeks to start using the product ahead of our broader Q2 rollout. At the March, will host our national sales meeting to prepare our field organization for the launch of Evolus.

In early Q2, our focus will be on sampling and training providers to build confidence in the unique properties of Evolus form and Evolese smooth. As a result, expect minimal revenue from Evolus in Q2 with the majority of revenue expected in the back half of the year. Top of mind for our customers beyond the crop is about our portfolio strategy. While we are not disclosing pricing specifics at this time, for competitive reasons, I would like to share more about how we are integrating Evelisse into our portfolio. Our Caspi model enables us to offer a unique approach and during launch, Evolise will be seamlessly integrated into our existing portfolio of benefits. Including co branded media, and consumer rewards. This will enable customers to earn branded media benefits on purchases of Evolus in addition to Jeuveau. Our portfolio benefits is a differentiated offering in the space.

Additionally, our advisors and investigators view Evolise as a premium HHL with innovative technology and unique advantages, over existing market leading fillers. Our pricing strategy reflects this differentiation while keeping Evolite in line with leading products. Importantly, in our research, 99% of existing Jeuveau customers have expressed interest in trialing Evolise Evolus. And half of accounts that have not previously worked with Evolus are also interested. Not only for Evolise, but also for Jeuveau. By leveraging Jeuveau's existing momentum, we are building a synergistic portfolio that provides a comprehensive solution for both customers and consumers and benefits from our existing platform. Beyond 2025, our long term growth outlook remains strong. We are confident in our ability to achieve at least $700,000,000 in revenue by 2028. With a non GAAP operating income margin of at least 20%. Driven by our efficient cash paid business model a relentless focus on digital and product innovation I want to express my gratitude to our team customers and shareholders for their continued trust and support. With a record year behind us, and an even more exciting future ahead, We look forward to the imminent launch of Evolus and delivering another year of exceptional growth in 2025.

Now I'd like to turn the call over to Rui to share more insights on our injectable gel line, Evolus. The FDA approval of Evelisse Form and Evelisse Smooth injectable hyaluronic acid gels is a pivotal milestone for us officially transforming us into a portfolio company The Evolus Joes are formulated with proprietary ColdX technology, utilizing near freezing as compared to other gels that use heat.

This serves as the foundation for our platform of gels, which offers a wide range of capabilities. Heavyly Smooth is a soft forgiving gel with low inflammatory profile. Allowing injectors greater flexibility in treatment In Europe, it's approved for very superficial applications including treating thin lines around the mouth and lips also known as perioral fine lines, Evolus Form is our most versatile ACH injectable. On one end, Evelisse sculpt which provides structure and high tissue lifting capacity On the other end, Evolus Smooth, a very soft more liquid like gel. Right in the middle of the spectrum, we have Evelisse form with both properties of structure and suppleness. Both Evolise Form and Evolise Smooth are approved for the correction of moderate to severe dynamic facial wrinkles and folds.

Notably, the indication is broader than just nasolabial Evolus. So label states that it can be used in wrinkles and folds such as nasolivium pools, which allows for the treatment in other areas. For example, the Marionette lines. The pivotal studies used a split based design with Looking at the results over the twelve month study period, Atlas Farm demonstrated statistical significance at all follow-up time points and Evelisse smooth at six and nine months compared to the control. In the FDA approved label, it states that the study met the primary endpoint of nonferiority and includes the 95% confidence intervals along with the corresponding P value of less than 0.001. Demonstrating statistical superiority over the control for both Evelisse Born and Evelisse Smooth. The typical patient labeling states that facial wrinkles may develop over time through natural aging. What's unique to our FDA approved patient labeling for both at least STORM and Evelisse Smooth is the language that facial wrinkles may develop after weight loss. To our knowledge, we're the first and only company to include weight loss as a cause of wrinkles in patient labeling. We believe this additional language positions us well to address the needs of the anticipated GLP-one patient.

With that, I'll turn it over to Sandra for the financials.

Thank you, Ruiy. Would like to begin by congratulating the Evolus team delivering an outstanding fourth quarter and close to 2024. Our above market sales growth, competitive position enabled us to achieve profitability in the fourth quarter as expected and reach the significant milestone of full year profitability. One year ahead of expectations. This accomplishment sets a strong foundation as we enter 2025. Positioning us to drive sustainable revenue growth and profitability. In our fifth year of commercial operation, we have continued to demonstrate the capacity that our cash pay model has to deliver top line results and operating leverage. Over the five year period, we have achieved nearly five times operating leverage with a revenue compounded annual growth rate of 50%. As compared to non GAAP operating expense compounded annual growth rate of 11%, The commercial launch of Evolus starting in Q2 of this year enabled further operating leverage as we continue to make meaningful progress towards our 2028 guidance.

Of at least $700,000,000 of revenue and at least 20% non GAAP operating income margin. Turning to our 2024 financial results. As previously reported in our January announcement, global net revenue for the fourth quarter was $79,000,000 a 30% increase over the fourth quarter of twenty twenty three.

For the full year, global net revenues was $2,266,300,000 representing a 32% increase over 2023 and at the top of our guidance range of $260,000,000 to $266,000,000 U. S. Product revenues accounted for approximately 95% with a customer reorder rate at approximately 70%. Notably, international revenue contribution is expected to continue to increase reflecting the strong growth trajectory of our toxin business outside The U. S. Sales growth in the fourth quarter and full year were driven while pricing remained stable.

Our reported gross margin for the fourth quarter was 66.7% while our adjusted gross margin, which excludes the amortization of intangible, was 67.5% consistent with Q4 twenty twenty three. For the full year, reported gross margin was 68.5%, with adjusted gross margin at 69.6% aligned with our guidance range of 68% to 71%. Operating expense management was disciplined while supporting strategic growth initiatives.

GAAP operating expenses for the fourth quarter were 54,900,000.0 down from $57,600,000 in the third quarter Non GAAP operating expenses for the fourth quarter was 46,000,000 compared to $49,600,000 in the third quarter. The full year 2024, GAAP operating expenses totaled hundred and $16,700,000 compared to $186,800,000 in 2023.

Non GAAP operating expenses were $185,000,000 in 2024, compared to $163,900,000 for 2023.

And at the low end of our expected expense guidance range of $185,000,000 to 190,000,000 Operating expenses grew at less than half the rate of revenue, 13% growth at compared to 32% revenue growth. Demonstrating continued operating leverage Operating expenses will increase in 2025. Beginning to ramp in the first quarter to support the Q2 launch of Evolus. As a reminder, non GAAP operating expenses exclude stock based compensation expense, revaluation of the contingent royalty obligation, and depreciation and amortization. Within operating expenses, selling, and administrative expenses for the fourth quarter were 50,200,000.0 down from $52,500,000 in the third quarter.

This included $6,100,000 of non cash stock based compensation, compared to $5,200,000 in the prior quarter. For the full year 2024, SG and A expenses were $198,000,000 up from $165,000,000 in 2023. Reflecting investments in growth and commercial expansion. [indiscernible] With our disciplined approach, we achieved a significant milestone in profit Non GAAP operating income in the fourth quarter was $6,700,000 dollars marking a meaningful improvement from the non GAAP operating loss of $3,700,000 in Q4 of twenty twenty three and non GAAP operating income of $1,100,000 in Q2 of twenty twenty four. This significant achievement also enabled us to deliver full year profitability for 2024.

One year earlier than expected. Both non GAAP operating expenses and non GAAP operating income exclude stock based compensation expense, revaluation of the contingent royalty obligations, and depreciation amortization. Turning to the balance sheet. We ended the fourth quarter with $87,000,000 in cash, up from $85,000,000 at the end of the third quarter. This increase reflects strong sales growth, efficient cash collections and prudent expense management We continue to make steady progress towards sustainable positive cash flow. Worthy of note, we anticipate a use of cash in Q1 twenty twenty five. Due to the seasonality of revenue, coupled with the timing of our annual bonus payments, and inventory stocking to support the launch of MLETE. Looking ahead, we remain confident that our existing liquidity will fully fund our operations to positive cash generation and support the repayment of our $125,000,000 debt facility in twenty twenty six twenty twenty seven.

As we look beyond 2025, we remain on track to achieve total net revenues of at least $700,000,000 by 2028. This growth will be driven by continued performance in our Neurotoxin business both in The U. S. And internationally. Along with increasing contributions from our novel line of injectable hyaluronic acid gel, which will begin launching in early Q2 twenty twenty five. Achieving this revenue milestone equates to compounded annual growth rate of 27% from 2024, with a total addressable market that stands at approximately $6,200,000,000 today, and is expected to grow to approximately $10,000,000,000 by 2028.

Additionally, by leveraging our highly synergistic infrastructure, we expect to expand operating margins and target at least 20% by 2028. With that context in mind, I'd like to summarize our 2025 Total net revenues are expected to be between $345,000,000 and $355,000,000 which represents 30% to 33% growth from our 2024 results.

We anticipate that Evolise injectable Evolus. A. Jones Non GAAP operating expenses are expected to be between $230,000,000 and $240,000,000 driven primarily by continued investments in expanding Jeuveau in The U. S. Scaling NICEVA internationally, and supporting the launch of Evolift Form and Evolift Smooth inject [indiscernible] We expect to achieve profitability positive non GAAP operating income on a consolidated basis for the full year 2025. Non GAAP operating income is anticipated to be achieved after the launch of Evolise Form and Evolise Smooth With investments ramping in Q1 twenty twenty five and revenue contribution weighted toward the second half of the year which will result in our non GAAP operating income being concentrated in Q4 twenty twenty five.

As a point of note, other modeling assumptions for 2025 include quarterly interest expense of $4,500,000 dollars and full year weighted average shares outstanding of approximately 63,000,000 With that, I will now turn the call back to the operator to begin Q and A. Thank you. We'll now be conducting a question and answer session. Thank you. Our first question comes from the line of Annabel Sami with Stifel. Please proceed.

Hi, everyone. Thanks for taking my questions. And congratulations on a good quarter and the progress with Evolus. So I had a couple here. I guess first, just thinking about the challenging market conditions for U. S. Facial injectables that AbbVie talked about. I guess how do you think about the environment you're launching into? And it's great that you got label for facial wrinkles related to GLP-one's I know this is asked every quarter, but have you noticed a change in behaviors and flow into practices based on patients who are looking to get their wrinkles six because of the GLP-1s. So I guess that's the first question I have.

Our first two questions rather. Yes. It sort of dovetails one another. Thanks for the question, Annabel.

We continue to hear the backdrop of challenging market conditions, but we don't see that in the data that we see on the toxin market. I'll start there. The first is the toxin market has been growing in this call it, high single digit range now for multiple consecutive years following COVID. And we continue to see really good strength in terms of consumer interest in entering this market and adding on a toxin. That influx of this younger generation is happening now and we've of course been beneficiary of that as our business over indexes on this younger generation with Jubo. Interestingly, we've talked about a basket of consumers that we track our loyalty program. To assess whether they're stretching the intervals between treatments and we're not seeing any changes in their behavior despite what we hear in the backdrop. So I'd say we have a very market from that standpoint. And I'd say largely speaking that the category is also a relatively healthy market. I know the last eighteen to twenty four months has been a bit slower than it has historically. It's worth recognizing that the filler market had an outsized benefit post COVID and to some degree maybe some of these patients had received more filler volume per treatment than they had historically.

We're starting to see that number of syringes per treatment start to normalize. And that normalization is creating a backdrop that gives it the appearance of a market that has stabilized or flattened out. But we do believe that that filler market will have growth going forward. We anticipate [indiscernible] And we also believe that we have a couple of reasons to be excited because we have a new technology. It's very different in the way that this is made. From other 's on the market. We have the ability now to tell the story a bit differently especially with this unique label that we have speaks to weight loss. And we of course know that that is the single largest tailwind in this category when you look forward. Those GLP patients when they enter a set of clinics, facial injectable hyaluronic acid gels are the number one procedure that would add on for that facial volume loss. So I think having that mentioned in our patient label is a really important part of starting that dialogue. I was in New York last week and with a couple of doctors at dinner when I mentioned that label difference, they thought that was really powerful.

That that's something they would want to advertise to their patients when they talk about Evolite and it gives them the ability to attract new patients into the category.

Okay. That's great to know. And I could just ask you about how your subscription model is performing. I know launched it recently. And are you going to be sharing any metrics on enrollments in the club? I guess the way you talk about the enrollments and the similar to the way you talk about the consumer loyalty So you asked about Club Evelyn's subscription program. As you know, we launched that program in the back half of last year. To a limited group of customers. We extended that to about roughly 100 customers around The U. S. That had access to Club Evolus. We've seen really good results. I think we want to see a full year cycle before we share some of those results and compare them against our pilot. But we continue to see results that are in line with what you would expect at the phase of that initial introductory 100 accounts. We since opened it up more broadly to more customers and we continue to have a high amount of interest in both enrolling into our club program with existing accounts but also once they enroll getting them to start putting patients that are on a regular treatment interval into the subscription That being said, I don't think comparing it to our loyalty program is the right competitor because this is an entirely new platform that these practices have not had in the past.

So we're introducing a different way of selling us. We're collecting obviously a payment from the consumer in this program. So there's a learning curve for all these clinics that they need to go through whereas when we launched Our loyalty program, they had existing loyalty programs from some of the bigger players in the space. So they were used to offering a loyalty program here We're first in class and we're creating a new market around subscription. But I'm really pleased with the early results we're seeing. I think we'll give you a better feel for it. Once we wrap around right around the year on those early performance metrics.

Okay, great. Thank you. Thank you. Our next question comes from the line of Mark Goodman with Leerink. Hi, thanks. This is Madhu on the line for Mark. Just a quick clarification on your last comments. So just your growth expectations for The U. S. Toxin market in 2025, it seems like you're you were saying that you're seeing something different from your competitors and in terms of the fourth quarter. So just curious on your expectations for this year, do you see the market growing maybe in the 6% to 7% range? Regarding the, fillers, can you talk about how the in vitro data you've shared versus restolane in terms of the thermal and shear stress could translate to potentially different mechanical properties in the body. Maybe you can relate it to clinical trial data or potential differentiation in the real world setting?

Great. Okay. Thanks for the questions. Amit, just one comment and then turn it over to Sandra to talk a little bit about our guidance on market for both talk and filler and then Rui to answer your question on the on the gel properties. I'll just start by saying look, I think we recognize that as a business that's grown over 30% for five consecutive years, We're over indexing against this younger generation of consumers and we're benefiting from the this new patient growth coming in the category, we have an outsized benefit on that. So I think from that standpoint, obviously, we have a really great seat at the table. We don't always have a clear view on the market. But we do see a very healthy market and we can tell you how we're thinking about this year.

Yes. I think David elaborated on a lot of the different factors that we see driving the market. But if you look historically at the health of these markets, historically, the combined filler and toxin markets have been growing in the low since low double digits, so around 13% over the last number of years.

The talk to market in particular over the last two years has been high single and that's played out in 2023 and in 2024.

So we continue to see that very healthy growth rate and we project overall for the long term at 10% -ish, so high single to low double digit growing market. Over both categories, right? And we see a lot of great tailwinds that can entrance of the millennial. Having said that, we are very responsible in the way we think about our guidance and the way we think about setting the market for 2025. And then market that we have in 2025 does expect a relatively flat pillar market. So if we do see some of those tailwinds materialize in 2025, that would be some upside for us. As of now, we're being prudent in the way we think about the market shape and the timing of when it will start to impact.

And then just to take your last question, in terms of the basic premise is using this freezing technology or near freezing when you cross link we seem to do is a better job of preserving that natural structure of And if you think about it, I wonder if that would mean it would resist the forces and stresses may be applied to these gels. And that's what the bench top data said. One way of looking at it is to thermally stress it. It's a way of of seeing how stable your gel is. And what we found was these gels seem to stand up the competitors we went up to. Probably a more relevant metric when we look at testing these gels kind of on the bench top is that compression and shear if we think about laying on one's face or moving one's lips or gestational movement, that also translated really well. What we found was that these Evolus gels seem to withstand that compression and shear force way better than the competitors. Then ultimately, your question is how does that translate in clinical and And that's what was nice to see. In the European study, when we put these gels into the nasal labial folds and they were controlled.

So you had a control on one side. We found that despite the same amount of gel being used there always seem to be more correction with the Evolus technology. And in The U. S. Study, it was a bigger study. Once again, both gels were tested split base and what we found in the case of form despite fact that the same amount of gel is used the time points Certainly statistically, we saw a statistical difference at every one of those time points. And then when we look at smooth, the interesting thing was the control actually used 20% more volume And despite that, there always seems to be more correction at least on an absolute basis and it still hit statistical significance at six months to nine months. So in other words, we do a better job of preserving that It seems to withstand kind of rigor testing on the bench top and in human data, we seem to see really good performance against the control and seems to last longer.

Thank you. Our next question comes from the line of Navantay with BNP Paribas. Please proceed. Hi. Thanks for taking my questions. I had one on the weight loss label. Interested how was how are you able to add that claim versus peers and do you expect competitors to follow? And then a second question more generally on the Q4 market shares. How did they move across the category? And did you maybe benefit from AbbVie redesigning their loyalty program? Thank you.

Sure. On the patient labeling, obviously, there's negotiation that goes on with the with the agency. So tip our hats to our R and D group. And in terms of others to follow, obviously I can't speak for others, but guess it's a form of flattery if people copy what we did. Yes. And on the share gains, I really we have consistently looked at it over a full year period. And over the last several years, you've seen we've continued to gain two share points each year. And of course, in 2024, we didn't expect to gain two points, and we did. So this brand just continues to perform and I'd give a lot of credit to the team. I think we have an excellent sales organization, great leadership throughout And a marketing team that's delivered some very unique marketing programs to drive the growth in the cash I Here we are six years into the category in May and I think we're the stable hand in this space. The value proposition we brought in focused on cash pay and reinvesting back into these practices is resonating with clinics And as they're finding out from their peers that there's value we bring back when you partner with us, I think there's a greater interest in us becoming that partner.

Now all fairness, we've had limited ability to extend that partnership with one product. And now with Evolise Evolus opens up another opportunity for us have a deeper partnership with these practices around the same cash pay platform that's differentiated versus the market. So look, we certainly gained share in the fourth quarter. There's no doubt about that. On the full year, we're now approaching 14% share which sits above the share we had guided for in 2028, just as a point of reference. We're just really pleased with the way we're exiting. But we see a lot of momentum going forward. We're only in half the clinics today. And despite that we have a 14% overall share approaching 14% We still have another 50% of the market that is not working with EVOLIS today. And we think EVOLIS gives us the ability to go wider over time into the rest of the market, but also deeper within our existing customers that want to partner with us to a greater degree. So this is a really important inflection point in the year for the company to deliver.

Okay. That's great to hear. Thank you. Thank you. Our next question comes from the line of Uviir Mizuho Securities. Please proceed.

Hey, thanks for taking our question. This is Charles on for OI. So I guess kind of outside of The U. S, we saw that I guess, in 2025, should we expect service revenues to be around $2,000,000 to $3,000,000 And then also, can you why we saw negative service revenues in the fourth quarter of twenty twenty four?

And then also the comments about new CVR revenues growing. In 2025. Is that kind of a proportional growth or is that just kind of a year over year growth comment?

Thanks for the question, Charles. As it relates to service revenue, it's generally a relatively stable revenue stream for us. I wouldn't expect it to grow meaningfully compared to prior period. It is isolated to one account and one contract in Canada. The remainder of our revenue is all booked as product revenue. So I wouldn't expect material changes there. We do see just some timing of when we have those revenue hit. Yes. As it relates to Nucyva, really you're looking at the international market for all of that Nucyva growth. And as we stated few times, we expect that market to meaningfully outpace our growth in The U. S. It's still coming over a relatively small base given that we've only recently completed the launches in the countries we need to deliver our long term guidance with Nucyva.

So we do have that opportunity to continue to lap around those launches. We launched in Australia and Spain and we've been continuing to see the contribution of the international revenue streams grow. And we expect it to continue to grow. So this year we were approximately 5% of our revenue coming from international and that percentage should continue to increase. So it will grow from a small base meaningfully faster than The U. S. Grows, but still relatively small contributor to the overall portfolio.

Thanks for taking my questions.

Thank you. Our next question comes from the line of Doug Tsao with H. C. Wainwright.

Please proceed with your question.

Hi, good afternoon. Thanks for taking the questions. Just a couple for me. I'm just curious in terms of the launch of Smooth [indiscernible] I'm just curious to understand a little bit about the process for accounts to start using it Is it just sort of a question of expressing interest or you sort of prioritizing certain accounts And then was just curious, now that you are adding the Evolus fillers, Do you anticipate making changes to any of your customer loyalty programs in any way?

Great. Thanks for the question, Doug. I think a couple of things on the Evelisse launch. The first is, we're going to disclose the details of our launch plans our National Sales Meeting at the March. And at that time, the specifics will become clear to the market. However, as you know, we've built up an entirely new educational platform called Evolus Academy last year and the individual who's heading that up has built out not only our Executive Counsel, but founding faculty that are going to be trained and will be training accounts in the second quarter. It's a sizable group. That will complement a very large medical affairs clinician team that last year conducted nearly 10,000 trainings. So when you couple those two ideas together, you think about our training capabilities, for the full year of 2025, We're well over 12,000, 13,000 of capital we'll be able to train over the course of the year. So that gives us a significant amount of training power which to answer your question, doesn't require us to prioritize just our top tier accounts, allows us to go broad fast with these customers. So I think we're going to start in the second quarter doing the training, but we anticipate that in a very short period of time we can get to the majority of our customer base that is actively using both toxins and fillers in a very quick period of time.

So we're really pleased with that. And then lastly on the loyalty program, the Evolus Rewards, the co branded media benefits begin immediately in the second quarter as account buy up, they'll earn their dollars on both Jeuveau And Evolus. We Plan On Introducing Consumer Rewards Shortly Thereafter That Consumers That Earn Jeuveau Can Also Earn Savings On Evolus And Potentially Considering An Option Of Offering Benefits If You Get Both Products During The Same Treatment. So That Will Be Following Shortly After We Launch In The U. S. The consumer rewards benefit. We want to prioritize the first few months in the launch to education and training and experience with the product We want to have the rewards program for the consumer up and live before we enter the third quarter.

Okay, great. Thank you so much.

Thank you. Our next question comes from the line of Serge Belanger Needham and Company.

Please proceed.

Hi, good afternoon. First question is regarding new accounts.

Think you added just a shade under 3,000 new accounts this year. Similar to last year, now that you're over 50% of the overall U. S. Total accounts, just curious how you think that number could look like for 2025, given that you're over 50% and you're launching Evolus? And then secondly, on Evolex, sounds like the Coldex technology lend some differentiation to Evolize versus other fillers, but just curious terms of the training and the injection procedures, is there anything different on that front? Thanks. I'll take the first part and I'll turn it over to Rui to take the second.

I think historically, Serge, as you know, we said we expect to add roughly 500 new accounts per quarter. Been doing that consistently now for multiple years. With the launch of 500 new accounts a quarter. This year for that reason. Then once we transition into 2026, we'll revisit that. But we've asked our team to prioritize ensuring that our existing accounts have the opportunity to try Abilene, but at the same time, we're getting a lot of interest from non users of Evolus Evolus to get trained on Jeuveau and Evolus. And so are also trying to support them at the same time. It's It's a great problem to have, but we need to continue to ensure that we support our existing customer base. A little bit less because the gel is going to swell over time. What we have found is these gels are really well balanced. And so the training is really to correct to the optimal correction. So when you correct that patient, bring them to where you want them, you do not to accommodate for gel going away or for swelling. So that's one basic element. The other big element is it's a very forgiving gel.

So we have a lot of latitude. The profile that that's been really described to us repeatedly from all the investigators is has a very low inflammation profile. So you can go much more superficial [indiscernible] again, if anything, it's much more forgiving. And then probably the third basic element is and we may attribute to just preserving mother nature's work, if you will, structure it's a very efficient gel. So one thing that we've seen in the data and then certainly heard clinically is when you use the gel, it's very efficient in terms of the amount of lift and correction that you have. So you learn your way through that and you don't have to use as much to get kind of those optimal corrections. I think those are really the three key elements Thank you. Thank you for all your questions.

At this time, I'd like to turn the call back over to David Motesazied, President and Chief Executive Officer for closing remarks. David?

Great. Thank you. Evolus is at an inflection point. Clearly, we're poised for this next phase of transformative growth Our relentless execution, market leadership in Cashpay aesthetics, and ability to disrupt the status quo have propelled us to this moment. We Jeuveau continuing to outperform the market and our deep customer engagement driving unparalleled loyalty We are stronger than ever heading into 2025 and beyond. Our expanding global footprint and upcoming launch of Evolus Form and Evelisse Smooth in early Q2 marks defining moment for our company further solidifying our position as the most innovative and fastest growing aesthetics brand. The FDA approval of our first two Evolus products is the most significant advancement in dermal fillers in a decade. This expansion of our portfolio not only diversifies our revenue streams, but also reinforces our commitment to delivering cutting edge solutions that redefine the aesthetics industry. No company is better positioned to lead this next chapter with a fully integrated digital strategy an unrelenting focus on millennial consumers and a business model built for I could not be more proud of the culture we've built at Evolift and the unwavering commitment of our team to push boundaries and drive results with our proven ability to execute we remain focused on delivering industry leading growth and reaching our long term goal at least $700,000,000 in revenue by 2028.

Finally, we look forward to continuing the conversation next week at the Leerink and Barclays Conferences in Miami we hope to see many of you there. Thank you for joining us today.