today. us joining everyone to afternoon Good Mike. Thanks,
During about I'd I call with this. lot our efforts to business. a due rebuild today, to of conviction in the our hear like that results reported our future. our minute XXXX conflicts to in recognize confidence and a to fundamentals required for Owlet's the to our take our you're upfront financial going vision business address
novo made milestone positioning Throughout progress both operating XXXX, for brand health, in We our channel we our into profitable and progress and tremendous the approval sustainable, regulatory years expenses, growth applications. Owlet towards for rebuilding de and medical product focused rebuilt made our health rebased on XXXX future. device
investors with million execute balance positioned, underlying ago, few the from ensuring raised that investors, with in fundamental discuss have strategy sheet on properly weeks XXXX business we a and capital we provided $XX both us to Owlet's their with and A of strength. who improvements position from base the capital today. insiders you additional confidence new of new to going I'm this The
confidence that Owlet few Our There on the and that this. in give growth underlying deliver Owlet plan profitable clear, to positive, products. is to trends our flow me cash XXXX category-defining through is for sustainable are pathway positioning long-term business a track on
of has health XX% not NPS levels and at CPA spend highs to returned brand Our the at has is all-time seen all-time since since XXXX. marketing start highs, declined XXXX.
normalizing, Our the QX. and sell-in in million of QX. channel and expect QX quarter-over-quarter in improvement of sell-through Inventory growth match sell-through to $XX revenue nearly by gross end sell-through in reaching with we is channel
stock-based the and compensation. Our adjusted QX operating expenses and expenses with operating in this $XX QX no our expenses, rightsized demonstrate more than spend XXXX to will million plan rebased are in excluding
to targeting profitability year and continue half improve breakeven and to working capital. of working aggressively to improving EBITDA We're see are the back capital We be in each achieving on quarter. focused the
XXXX. to in way Owlet results market change on is a a Today, build the each the execution, to understand now weathered best with to lot in deliver and trust is of focus quarter. we position Owlet
an As to what future for profitable numerous we is progress internally, that through including and on that portfolio. the regulatory nursery new growth, year, we with organization be marketplace expect that and results growing to track connected avenues clearances opportunities, see we deliver for our organic products demonstrate
year Turning CAM XX%. monitoring transitioning revenues portfolio X by to XXXX, the targeted since while that flagship X strong After achieved acquisition January January range, re-launching stock our in spend, of it's CAM in in and our July, XXXX to product our media our notable retaining our cost reduced of business results. satisfaction, from within product $XX.X we we've U.S. CPA million full the
the is marketing of products year-to-date The brand Sock and one Dream product re-launched NPS NPS advertising consumer early improve transition. levels. product After CAM in and our with XXXX is portfolio selling now and satisfaction now year of our the effectively is the across on our XXXX, strong. and portfolio Dream at Amazon continues we XXXX. above course Owlet belief of our believe number in in Owlet to throughout our introduction monitor the or X successful trust of
distribution sell-through represent reported sell-through market products. business. and of our as stocked QX we That not all the Our our of with first sell-in Dream materially the is current channels retail was does greater initially re-entered XXXX, half and because revenue than the
health the sell-through confidence products us and from brand consumers. XX% improve, our that to of through and continued half nearly rebuild second we giving resonate with growing half brand As first XXXX the XXXX, to
inventory than QX. XX targeted in However, resulted channel weeks, sell-in XX in our greater substantially less which and to is materially
does revenue current As a result, channels. the reported sell-through our not represent across our
similar effect channel as inventory normalizes. XXXX and QX in a expect We
to sell-in align begin expect we QX, with to sell-through. to Looking
managing maintaining are better inventory retailers, results. focused on sell-through consistent channel essential In in health, recognize delivering we and partnership highly and with margins brand our to the is strong
warning inventory write-off deemed retrospect, prior supply be margins return promotions the our were our company a to believe circumstances. in the program and PPV our related XXXX to our to were year. factors cleanup. to Dream year which an retailers was shortages for present to FDA inventory difficult not we due size to operational In gross and gross all result Headwinds XXXX, best and letter, within launch we were of the will portfolio, multiple affected support for reconciliations substantial the in elevated vendor margins and that did range adjustments generation additional for the under chain challenge primarily in XXXX There a costs of incurred targeted this obsolete, and offer XX% unprecedented costly of XXXX. domestic adversely margins we as very last of execute,
XX% manufacturing working future in the back management has our supply in not note biggest that increased, gross to spend future. levels our operating us through to margin towards to return margin confidence to and cost getting gives the which chain to is XX% Moving important forward, gross one of of our periods in tighter these ability It's promotional product priorities costs. of contract prior
million, in XXXX, to For in million focus the Dream reposition declining total spent back operating market, expenses the first year. we our compensation, marketing quarter and effectively is getting excluding into $XX half the stock-based build and through and the marketplace. product In $XX.X were each promotions of heavily portfolio - sequentially XXXX, our
able portfolio while key our the position products two satisfaction were for submissions one to position FDA customer back previous Dream our levels number two putting able with medical mid-year and submissions in by European device We improve successfully to retailers also and into together to experience been and clearance. have
masked clearances not including two in improvements, spending. of QX The yet prior reductions, headcount made last these rate controls somewhat as statements. finishing multiple were to the fully financial reduce due spend effects and Over our other quarters, we've bad cleanup the and expense to improvements programs such, and run and incurred reflected to steps significantly regulatory taken in in are debt adjustments such QX day-to-day as related operational reserves we've items the periods, variable
$XX.X a expenses, exited activities, $XX.X marking expenses, excluding to the with operating regulatory was company bad million, debt improvement and expenses severance, to clearances compensation operate spend onetime fourth of our such We from costs factoring out periods. the financing significant the stock-based reserves when as and out-of-period million prior underlying quarter
shared business last to market, operating in We've call, from we EBITDA XXXX. structure in last conditions changing our the today. macroeconomic XXX under the adjusted adjusted year organizational plan the to XXX employees our breakeven As our due in to streamlined drive to we employees
under in excluding We million and rate QX, expenses operational $XX compensation and adjustments are financing targeting run stock-based transaction costs.
excluding will maintain million costs XXXX We reduce in and costs. under in to compensation find QX $XX stock-based to the continue financing of opportunities XXXX, operating half first expenses to transaction
and $XX to resilience Over our health. Owlet In be million months, capital previously impacting lending the mentioned, has our the balance support we long-term capital. for sheet, we are as I access February, and with to working past to shown raised commitments pediatric leader to working XX operational the in restructure commitment vision
we million and to planning will XXXX Our as of in positive strive $XX limit for burn be profitability year. cash back cash the half the flow under
set we FDA opportunity. profitability healthy has gain the for As we believe high-growth clearances, and foundation a very Owlet
Owlet's accomplishments pursue products clearances is digital we've future care for XXXX. health towards regulatory The work most to in critical the our done
to every As care by access stated clinical been limited available technology democratizing making and that in believe quality to information to in prior previously baby settings. has the calls, highest we
for unlock completed us Owlet. submissions cleared, monitoring and which opportunity platforms, FDA has which further enabled team for our will Our to file significant growth is work, long-term
BabySat, oximetry monitoring FDA, the clear physicians technology frequent with device Over for filed In the greatly care. and call intended of we've for to two maintaining assist we prescription developing babies XXXX, paths a meetings our under of The XXX(k) prescribed we a monitoring with October conversations be pulse for FDA device, in-home and uses to physician's internally premarket communication notification distinct the the past which new is forward and infants. by our to submission. year, increased a
or parents monitoring advantages device level for provides ranges. factor integration fall designed saturation wearable prescribed to their BabySat significant cloud-connected with or form wireless – represents heart the data home large not technologies The today hospital within on and wired its alerts SpOX fall oxygen to when rate market use. baby's the does
Sock as filed conjunction the and application notifications both existing novo the over-the-counter The display monitoring In Dream Sock a second a as that heart product in notification de to for software as oxygen additional heart of includes and sleep December, device capabilities. features software-as-a-medical device. and the we in offers oxygen Dream medical an rate submission the a currently rate FDA with
promptly XXXX. any maintain with We are up. our We've to certifications U.K. questions are MDSAP that our and Medical currently to FDA substantial towards progress clarifications several made and come audits in process also passing applications or review working CE XXXX the continue the ISO in and respond to and
hospital updates authorizations better increase and the We believe Owlet share. tool sharing to have more I FDA a our help these look and between forward for to the on parents critical use the navigate pediatric large to news position when and growing we ability home care. to as data gap our submissions will set
we determined for this focused milestones best remain potential to best healthy, macroeconomic position business. near-term strongest long-term through and are We uncertainty that as can profitable a us on will for execute the the
continued for over of Thank support Kate, your you you. Owlet. to
