Micro-X Limited (MX1) Earnings Call Transcript & Summary

Good morning, everyone. So thank you, everyone, for attending our Investor Day. I'm going to -- this morning, I'm going to start with a presentation. The presentation is largely what we put on the ASX. It's reformatted a little bit because rather than being read, I'm going to talk about the pieces in there that I really want to emphasize. When we're done, we will walk over to Micro-X, and we will do a tour of the facility. And when we are done with the tour, there will be some tea available. At any point during my presentation or during the tour, please feel free to interrupt and ask questions. I don't -- this doesn't need to be wait till the end. If there's something that I'm talking about that you want more information on, please feel free to ask questions. We are recording this presentation, just so you are aware. If anyone has any concern, when they ask a question, let me know, we'll protect any sense of privacy, but we wanted to have a record of the presentation. So I will get started. So all of you know Micro-X clearly, but what I feel is really important about the company is that we always start with who we are and what we're about as a company because if we don't know who we are and we don't know where we're going, we're never going to get there. Micro-X has a purpose. Our purpose is creating revolutionary X-ray imaging to better lives. And we actually spent a lot of time thinking about what that means. It's not saving lives. It's making lives better. Why? Because you could have your life saved and have a pretty sh** life. We want to improve life. We want to find cancer early and make sure that you have a longer, better life. We want to find a stroke, deal with the stroke so that you can go back to full norm. We just don't want to save your life. We want to make sure that we catch it early enough that a tPA can be given and now you have full recovery. You will have no long-term disability. But we also care about the people using the equipment. We want to make sure that the person who uses our equipment has a better experience of it, can do more with it and has an easier thing that they can do with their job, whether it's positioning the patient or a TSA agent having a better experience with passengers. So bettering lives is very encompassing. And then we looked at what's the vision? What are we going to do? How are we going to make lives better? And what we really focused on is bringing advanced imaging where patients require care. Right now, you bring the patient to the imaging. The imaging, especially advanced imaging that is CT, you have to bring the patient to the imaging. It has to be in a dedicated room. It's got lead and shielding. It's got power and air control. It generally is on the basement because of the weight of the system. You have to bring the patient through exposing them to more infection or bring them to the hospital even. We want to take imaging where it's needed rather than limiting it by the technology. And so our mission is to expand advanced imaging beyond the boundaries of today's care. That is who Micro-X is, and that is what we are about, and we're doing it with our core technology. Now what's important clearly is Micro-X hasn't been as successful as we need to be. I think that our share price demonstrates that. I think that there is a reasonable amount of disappointment by our shareholders and where we've been. And I think that, that's fair. And so to that end, there's been a strategic reset of the company. First, there's been new leadership. Kingsley Hall has moved on, and I have been appointed CEO of the company. The second thing is that we're refining our focus to medical CT. In the past, we've done lots of things. We've developed lots of core technology. And as you will see, as we look at our core technology and as we look at how we manufacture it in the tour, this broad focus enabled us to develop a really powerful foundation. But by being focused on so many different things at the same time, it prevented us from really focusing on what is important, not what we'd like to do, but what do we need to do so that we can start making money so that we can get there faster. And what we believe is that the best way to do that is to focus on medical imaging, specifically CT. And -- as I said, with the commercial side, we've also restructured our sales, our Rover sales. Our sales process, Rover has always been a good product, but we haven't put the discipline and the focus into that part of the business. We've also improved our financial rigor and accountability. Recently, Peter Dickman joined as CFO. He has tremendous experience as a CFO. And he is bringing far more discipline, looking to automate processes, looking to streamline processes and quite frankly, holding people to account. He's holding me to account. He's holding Anthony to account. He's saying, do we really need to be spending money that way? Or should we be spending money more wisely and making sure that, yes, we have a plan, we have a budget, but that's something that's changing consistently because plans change. So making sure that we're staying on top of that. And to that end, we've identified cost savings. We've worked hard to limit where those cost savings are people because our people are our value, but we've tried to be very strategic in our cost savings. We have reduced some staff, but we've also chosen not to hire additional staff where we could make do with what we have. We're also looking at where there are other operational overheads and benefits. And I'll get into a little bit more detail of these. And what that's done is enabled us to secure runway into next financial year with an $8 million convertible note, which gives us the opportunity of implementing this reset. The reset is great, but without the funding to do it, we wouldn't have been able to do it. So we're very grateful. I'm very grateful personally to the investors who contributed to that, particularly, Bindella, who really anchored that and enabled us to make this work. So we are very fortunate in that. Just by way of introduction to myself a little bit, I have met many of you, and I know many of you, but I may not have been visible to everyone. So I've been working on the carbon nanotube technology for over 20 years. I did my PhD in it at the University of North Carolina. I followed it into a small company called XinRay. XinRay and Micro-X came together, had a bumpy marriage for a long time and a brutal divorce. But I came out of XinRay and joined Micro-X because I saw that Micro-X had the thinking and the mindset that wasn't just, hey, our technology is cool, but we're really trying to say, what can we do with this technology to make lives better and how can we turn it into real products. That's what Micro-X has always been trying to do. And so I came and I joined Micro-X and I helped lead and drive our own version of the technology and then perfect it here, helped set up the tube manufacturing facility here, helped architect all of our core CT systems. And then as that was happening, I was able to start building and scaling our U.S. subsidiary. During the COVID time period in 2020, I started engaging very closely with the U.S. Department of Homeland Security. The U.S. Department of Homeland Security had always been interested in the technology. And for a while, I worked with them when I was at XinRay, and they were funding XinRay. But then XinRay made some decisions that they didn't agree with and the DHS refused to work with XinRay. Well, I was still a part of the community. And in 2019, right when we made our first ever X-ray tube here in Tonsley, I happened to be at DHS a few weeks later, and I gave a -- I was invited to give a presentation on some work we were doing with the U.K. Department of Transit. And I said, oh, and by the way, we're making our own technology. And oh, by the way, we've got some really interesting ideas for how you might be able to look -- think differently about an airport checkpoint. And oh, yes, nod, nod. And then I go home next Monday. That was on a Thursday. Next Monday, I get called up, hey, can you come to TSA and give a briefing? Gave a briefing on the technology. They're very interested. And they then showed me their ideas for passenger self-screening, but they didn't know how to do the CT. They didn't know how to do the X-ray. They knew how to do the millimeter wave. They knew how to do the booth. They didn't know how to do the CT. So we came together and we came up with a new idea. And that created the first seed funding of USD 3.5 million that has since grown to USD 20 million over time. And that allowed us to build the U.S. subsidiary. And the U.S. team and the Australian team have worked closely together, too. And that underlying DHS work and then the head CT work coming on almost at the same time, allowed us to take our technology and push it forward. And as you guys will see when we go through it, we now have a technology platform that was funded by these programs that can be -- that is quite flexible and is giving us opportunities to go further. And then I was able to win the ARPA-H award 2 years ago, which really pushes us toward medical imaging. In addition to that stuff, I've spent a lot of time helping and working with our sales team in the U.S. And I've been on the ground with them off and on over time, spending time with them, being in front of customers, listening to our customers. And one of the things that you will see is we have our new Rover. The biggest differences between that old Rover and the new Rover are things that we've heard customers say, we really like it if, could you add these things? Some of them really important like in-bin charging. Some of them almost seem trivial, but makes a big difference to our customers, things like a hook where you can put your lead apron. Very simple things, but it makes their life better. They appreciate it. It means that we thought about them. Those feedback come from engaging with our customers. So I'm very honored and very excited to be able to lead the company now. And I feel like, especially with the support that I have across the company, but with Anthony Skeats here, making sure that we are delivering what we need to be delivering and Peter Dickman, making sure that we can afford it, we have a strong team to actually deliver what we're setting out to deliver. Very quick. As I run through, I kind of want to spend a little bit of time talking about where I see us going with the technology and the opportunity that I really see there. And it starts with our core technology. At its heart, we've changed how you deliver X-ray. X-ray has always been hot, inefficient, analog control. It really hasn't changed since over 100 years ago. The first rotating anode tube, which was the pinnacle of what all other technology is, was 1932. There really hasn't been anything substantial. Yes, there has been things that make it better, a little bit of inefficiencies, but it's still that analog technology. It's still imprecise. And what we have is the first digitally controlled, electronically controlled, precise cold cathode X-ray tube. It allows us to do all sorts of things. Now everyone has been trying to do this. When I got into this 20 years ago, everyone was trying to do that. And I've been. I've seen where GE tried to do it, where Canon tried to do it, where Siemens tried to do it. We have people like Nanox who've come and made a big spill. They raised -- they got an initial valuation of almost $1 billion on the NASDAQ several years ago when they said, we're the only ones who could do it. No one else can do it. And we have a device and their predicate happened to be our device. So it wasn't quite honest that they couldn't, but they -- and going back to lights, it's like watts on the light bulb. And they said, we've got everything. We've got the first digital X-ray, and it's equivalent to a 2-watt light bulb and it's going to light your room. And what we said is, no, you can't use watts. You kind of have to use Lumen just like digital to analog, but we're equivalent to 120-watt light bulb. We're bright enough. You can use this for everything. And that's the difference. But everyone has been trying to do this, and we're the only ones who can do it. And where we've done that to date has been Rover, our mobile X-ray. And Rover has struggled to sell, but it's not because of the technology, it's because we haven't put it forward enough. We haven't been loud enough that the technology is amazing. And our customers care about that. They care about the fact that this is new technology. They care about the fact that you actually get better imaging quality gets people excited. And I have confidence that we will begin selling Rover in higher and higher volumes as we've restructured our sales team. But right behind that is our head CT scanner, which you will see and which has started clinical trials, and I'll get into that. And of course, our airport security screening and then our future stuff as well. All of this is enabled by this technology. It's flexible, and it's the same platform. But we could do a lot of things with our technology. And we have done a lot of things with our technology. But to date, most of them have been proof of concept. And what we need to be driving to is the products and where and how we think about those products needs to be informed by where the need is in the market. And the need in the market is there is a growing need for advanced imaging in this world that isn't being satisfied. There are emerging nations that want and demand the same level of health care that we get here. And that's only fair that they should have it. And they are more cost conscious than we can be, but they still want high-quality care. A perfect example of that was our sale into Malaysia. We're seeing tremendous interest in places like the Philippines and Taiwan and Indonesia. These are emerging economies with highly educated people and growing workforces who need imaging. Equally, rural health care. There's a real divide across the world between what you have access to in a rural community and what you have access to in a major metropolitan community. And the rural communities are actually reducing in quality in the U.S. and in Europe, but they deserve the same level of imaging and the same level of health care that we have here. So -- but even in conventional hospitals, there's a need for more. As I said, even in a conventional hospital, you bring the patient to the imaging suite. There's a whole department just for imaging. But patients need it outside of that. They need it in the OR. And yes, there are ORs with imaging, but they're very expensive. So you might have 1 or 2, you might have an angio suite in a big hospital where you do cardiac imaging. But you don't always have that CT that you can bring into an OR. You don't have it in intensive care because the radiation is so high, the system is so heavy. You don't have it in the ER. When you first come into the ER, you've got to bring them to imaging. In some hospitals, especially the big ones, I was in the Royal Melbourne this on Monday with our ASA colleagues, and they have a small radiology department right in the ER because they've recognized that need. Many hospitals can't afford to do that, but that need is there. And as the population ages, this need is only going to increase. And emergency medicine in general, when patients need emergency medicine, they have to come to the hospital, not to them. And this is the whole premise of the stroke imaging system, but it's not just stroke, it's sports medicine. It's other examples where people need health care and they may not be able to get to the ambulance. The military is a perfect example of emergency medicine, where you don't have time. Lives are lost because of the time it takes to get them from where they are injured to where they can be imaged. And without imaging, you don't fully know what's wrong with them. So if we just look at the CT element of this, which I think is the most important, you actually realize that not only is there a need, a personal need, a need that matters, there's also a financial opportunity. That financial opportunity says conventional CT is a big market. It's the anchor of every major medical imaging company. If you don't have medical CT, you're not really a big imaging company, but it's still a relatively small market. It's about AUD 12 billion a year, and it's growing. It's growing steadily. It's growing, but it's only growing by upgrades. You had a 64-slice CT, it's come to end of life. Wouldn't you like 120 slice CT? Well, there's a price difference there. It's not more CTs, it's more expensive CTs. But it's also growing with new hospitals. So the whole infrastructure, tens of millions of dollars to build a hospital, 2 new CTs to the market. So it's packed at very, very confined market, even more so than Rover is, even more so than imaging. So if we were to say we're going after conventional CT, it's who are these guys, but we don't have to. And what we're trying to meet doesn't have to. If you look at just the emergency stroke imaging, we see conservatively a $9 billion opportunity. Why? Because there are tens of thousands of ambulances that could have a CT in it. The numbers that we show here are just a fraction. We're saying not every ambulance is going to have one. If even a fraction of the ambulances had a CT in it at a cost-effective way. It's a massive market. It's almost as big as the entire CT market is a conservative estimate of what the head CT is. The same is true if you look at what if I made CTs and every hospital said I want 1 or 2 mobile CTs that I could take to the OR. Well, now you've almost doubled the conventional hospital size. Emerging markets, this is where they're building hospitals. This is where that they care about cost. So in reality, by thinking about making CT more accessible, you can more than double the size of the current CT. And my belief is that this is where Micro-X needs to be, and this is where Micro-X needs to lead. Head CT is the launch into that. We're not going to go from 0 to 100 right away, but we have to be focused on medical CT. I want us to capture this market. I want us to capture the delta between the $11 million conventional and the $24 million, not million, $24 billion accessible because no one else has the technology to do that. Why? Because all the other systems are functionally the same. They're all based on 100-year-old technology. They're all focused on incremental imaging improvements. I'm going to add a little bit more to the imaging. I'm going to squeeze a little bit more out of what it can do diagnostically. They have called innovation workflow improvements. I've made your life better. I've got a new button here. I've made the system quieter. They are focused on major research hospitals. Every one of our competitors launches their products in the top-tier hospitals. We have a brand-new product. It's only $5 million. It's not accessible. It starts with the top and their strategy is start at the top, filter down. As you filter down, you push what used to be the top broader and what used to be the top broader. That's their strategy. And everyone is selling the exact same thing. You go to RSNA and it's the exact same CT. Yes, it might look a little different because it's been styled differently, but you pull the hood off, it's the same thing. It's like cars. Everyone is selling the same type of car until somebody changed it. And that's what needs to happen. Somebody needs to change how you deliver the system, and that's what we need to do, and that's what we're aiming to do. It's a new category of imaging system. I want it to make a change to the market itself because it's something that no one else can do. And that is just reinforcing that. When you look at conventional CT, the market is pretty well saturated by the names that everyone knows. It's Siemens, it's GE, it's Canon and it's Philips. They own that market. And if we went into there, we'd be best case, 5%, that would be really good for us. That would be phenomenal for us, but it's not enough. It's not enough for what we put into this technology. It's not enough for what this technology can be. The other side shows, there's a trade-off between the size of a system and the image quality of a system and the capability of that system. And Micro-X is fundamentally different. We are massively lighter and more accessible than conventional systems, but it's not just weight. The old systems are -- yes, they're heavy and they're complex and they're large and ours are lightweight and small. But it's not just the size that limits the accessibility. It's the cost of maintaining it. A conventional CT is spending 20% of its acquisition cost a year just to maintain it. If you want to replace the X-ray tube in a conventional CT, which, oh, by the way, if you're using it regularly, you're going to be doing it every other year, best case. Here in China, where you're using it, you're going to be doing it every year. How much is that tube? It's $100,000 to replace that tube if you buy it direct, generally speaking. Our systems because they're lighter, because they're simple, because they're more consistent, are much more cost effective to maintain. We can make them much more rugged. We have systems that have been at battlefront hospitals in the Ukraine for almost 4 years going, and we're supporting them from the U.S. because of the simplicity. So it brings down the cost of maintenance. And yes, we may not make as much money by charging massive service contracts, but they expect service contracts. So we can still give them a cost-effective service contract, make some money and grow the market and the opportunity. And the infrastructure, as I said, a CT requires a whole imaging suite, lead-lined walls, shielded walls, air conditioning, floor to support the weight, space, a dedicated operator space, we can remove that infrastructure. When we go over there, you'll see an ambulance that we're working and fitting out, just Mercedes-Benz, fitting the CT into that space. And then finally, and this is one of the things that I hope and you will hear me talk about more in the coming years. Advanced imaging is reliant on highly trained operators. If you want to take a CT, you need somebody whose only job it is to take a CT. And what that means is it limits where you can bring the imaging. Even if it was light, even if it was small, unless you have someone who's paid to take the imaging, you can't use it. And that person can't help you in any other way. Our technology, the simplicity, the repeatability gives us an opportunity to start saying, how can we automate the process? And by focusing where the need is, starting just in stroke, just for stroke, the only thing you can use this for is stroke. Can we -- and we are beginning to work with, can we let the EMT, the person who's already there push the button because the system is simple enough and repeatable enough that we can ensure the head positioning is right because they aren't changing the configurations and they could overexpose the patient. Can we enable them to? And by doing so, mean that more people -- you don't -- you're not limited. You don't have to have a dedicated, highly trained $100,000 a year person who just sits there to press the button. And as we do that, think about how we can take that level of automation and expand it to more products, begin to. And it won't be general. It won't be -- it does everything. You still need the radiographers for the specialized things, but what can we do that are repeatable? Can we do this so that it allows us to bring imaging into a nursing home for a couple of cases that are really high value so that the nurse who's there can take it. How can we do that? And ARPA-H -- in our ARPA-H program, this is something they're explicitly asking us to think about. They want the clinician who's on the little vehicle to be able to take the X-ray imaging, zap it to someone else who will read it because that already exists so that they don't have to have another person who's just there to take X-rays. These are the differentiators in our technology that allow us to change the market and allow us to open up the market. And the reason for that is all based on the core technology that we've developed over the last 5 years. And that core technology, 5 years ago, we were saying we have carbon nanotube x-rays, we are great, and we did. Now we have lots of carbon nanotube x-ray tubes in different configurations. We're learning how to do it more repeatably, more -- and now our focus is beginning to turn to how can we do it more cost effectively? How can we pull cost out of these tubes because we're beginning to understand them at the level. But it was -- 5 years ago, it was just the carbon nanotube X-rays, but now it's a whole wealth of technology. And that's something that when you come over, I really want you to be able to see and experience. Our core technology is not just the X-ray tube. It's how you turn the X-ray tube on, it's the generator. Every generator is based on 1990s technology. It's analog. It's imprecise because it doesn't need not to be. But ours is precise. It's based on the same sort of technology that goes into a Tesla. It's precise. That electronics, that high-voltage electronics, because guess what, everyone cares about high voltage now with the rise in electronic vehicles because you need high voltage to get the value out of the batteries. So now there's emerging technology that we're able to bring into our generators, silicon carbide diodes. That sort of technology gives us more precision, smaller, lighter, more efficiently. And then we've developed the whole potting infrastructure, and we'll show you that. It sounds simple, but it's quite complex, has nanoparticles in there, has a specific proprietary mixture. By mixing that, it gives -- it allows us to shrink down the high voltage and do really amazing things where we can connect multiple tubes together to turn them off, on and off for our CT. We can make new types of connectors. We can save money and do more things with this core technology. And then our imaging is another piece of that as we develop our own imaging so that we can get the image quality we need out of these advanced configurations. And what's exciting is that this technology, this is a lot of complex technology, and we would not have gotten there without significant investment across multiple partnerships. As I said, the DHS partnership and the ARPA-H partnership allowed us to build the U.S., but it also allowed us to develop a lot of this technology. We wouldn't have done it without that money. Likewise, the Australian Stroke Alliance, the IGP and our commercial partners, Varex and Billion Prima, along with a whole host of technology partners, research partners, that money -- and this money, that's the $90 million that's gone into it, but that's just development money. We've also been fortunate to get the Australian government in tax R&D. And so there's been a massive investment into this technology. And so it's a weird place that we're in. On one sense, we're only worth $0.025 and people are frustrated with us, and that's fair. On the other sense, well over $150 million of money have come into this from the development money and the R&D money that's given us a technology that can change imaging and can get to that delta between the $11 billion and $24 billion because of the power of what we've been invested in. And that's a reasonable thing to think about when you think $150 million to invest in a multibillion-dollar opportunity. So it's on us to make the changes necessary to really begin to drive that commercial success. And so that's the key element that we're doing now. The technology is great, but we're only going to get there if we start to focus. And that's where the focus on medical CT is and the focus on being strategic in our sales. In the past, we've done multiple development programs that built the platform but had lots of distractions. We weren't delivering on time and on budget as much as we should have. And our sales was very reactive. We didn't have a strategic sales focus. By focusing on those 2 things and leveraging what we learned, I believe we can turn the corner and begin opening up these new opportunities. We're not going to get to that $24 billion market without getting today right. And getting today right means selling our Rover right. It means delivering on our Head CT program and through the process. It means making the right decisions through that process and staying focused on it. And it means letting go of things that we have invested in and not being as focused. We're not going to not do checkpoints. We're not going to not do TSA. It's an important thing, and it continues to bring funding. But we're going to put less focus there. And if we have to be a little bit late there to make sure that we deliver Rover, to make sure that we deliver head CT, we're going to have to balance that as a small company. And we will continue to, and we are working to establish partnerships in our security so that other people can do the heavy lifting and we still benefit from what we put into it. Billion Prima is the first of that. And we have ongoing discussions with other people whether to step back from taking the lead there to let other people do, but we're still benefiting from that. And so that brings our focus into the medical CT, really on Rover and Head CT and then into full body CT. So the plan is really to transition from a funded development and the objectives for this year are very clear for us on our development side. We want to finish head CT. We want to bring it through the clinical trial and be in a position to submit to the FDA so that we can launch it as a product because it opens the door. It's the first step into that CT world. We want to complete the ambulance trial. We want to show people you really can put something that's creating that image level at a hospital and put it in ambulance. And guess what, it still works. And it's -- you can do the accelerations on. We want to continue our ARPA-H and really grow that. And it's important that we do continue to develop and deliver on our funded programs. We still have funded development. That's critical to the funding. It's critical to our development. We need to continue doing that. And in that, we have opportunities. Our biggest opportunities are looking at who we can partner with, with both head CT and full body and our security CT. And as these things become more real, the opportunity to partner increases because as other people gain confidence that what we're doing, we know it's real, but it's on us to prove to people that it's real. And the only way to prove that it's real is with real patients and real systems. And so that's what the pathway looks like. The first thing is clinical validation. We have to move through the clinical validation, which means finishing the pilot trial that we're in now successfully and it means moving forward into the ambulance trials. The regulatory pathway is clear as well. One of the things -- a lot of things -- and I think we know how to get through a regulatory process. We've already done this with Rover. This isn't new. I'm not sitting here saying, hey, we're going to engage the FDA. We know the FDA. And the FDA knows about head CT. So getting through that regulatory process is important and then expanding it into the TGA into Australia because as soon as we get on the FDA, we want it to be here. This is where head CT should really start from. We want to get it into ambulances and aircraft in partnership with the Australian Stroke Alliance. Equally important is making sure that the way that the reimbursement works, making sure that we are working with the hospital infrastructure to make sure that when they take that image, they get paid for it. Otherwise, they're not going to take the image. It's just practical. Making sure -- and ultimately making sure that the right people, the EMT can take the image again, because that makes it more accessible. And all of that driving toward our launch -- commercial launch of the product. That's the goal. And we're not there. We still have -- as this point out, there's still work that's quite a bit of important work that needs to be done. But this is our #1 focus is driving toward that commercial launch of head CT because it opens up opportunity for us in a way that transforms what is the company from one product in head, in Rover, which is a valuable product, but it opens up this new CT opportunity ahead of us. But to that end, the second thing that we're focused on, and these are our top 2 priorities, Head CT and Rover is Rover. At the beginning of this year, I felt very frustrated. I have gone on many demos in the United States. I've never been to a demo where some people didn't like Rover. They might have little things, what about in-bin charging? We'd love a place to put the lead apron. The screen could be a little bit bigger. But fundamentally, people loved Rover. And over the years, people have been more and more impressed with the image quality of Rover, but we weren't converting on sales, not really. We have successful demos, but we weren't converting. And I was frustrated. So I reached out and I found a consultancy group called Altus Alliance. And they specifically work with small technology companies. They're a small consulting firm, kind of like a big Boston consulting, the big -- but more tailored. And they're a small group of ex-CEOs and ex sales consultants who help small technology companies. And we engage them. They're based out of Seattle and San Francisco. They did a 10-week deep dive of us. They talked across the business within the business to people. They talked to our customers. They talked to customers that we had and customers that we lost. They talked to potential customers through their networks, hospitals. They mapped out. And what they really found is that we weren't structured. This is a company with tremendous discipline, focus and structure when it comes to engineering. You can't start something without and saying, where's the plan? But on the sales side, that wasn't the plan. There wasn't structure. We were doing it haphazard and each new person came on had a new idea of how to do it. We weren't tracking the data. We weren't tracking through the process. Have we engaged. Now we have a 7-step process from, hey, we made first contact that we've closed the sale with definitions between those steps. I know it's -- to anyone who's been in business, not technology. They're like, well, duh. But okay, setting up that process is important. It's really important. And that was the first half of it. The second half was our customer success and support and really being more focused on ensuring that we treat the customers that we do have is the most important asset that we ensure their success, that we stay connected to them, that we understand what's working for them and communicate that on and what's not. And then what that -- what we're now able to do is build a growing pipeline in -- across several different markets in the U.S., in Southeast Asia and in Europe, ideally in the Middle East, but we have to wait for the war to end there because you can't get systems into the Middle East very easily. And then the key to that is really converting the opportunities. And again, nothing sounds extraordinary. It's not. We just haven't had the discipline and the focus to put it there, and we need to. That's the change that has to happen within the company. The company has to be sales-focused, disciplined to be successful. And in that process, there's a large number of really exciting opportunities ahead of us. I don't want to go into the full detail, but there's some real big opportunities for. There's smaller opportunities with some interesting markets, as I was saying, across Asia, there's big opportunities. There's opportunities with governments who are looking because Rover is really well positioned. It's a high-end system at a reasonable price. It's a system that gives high-resolution imaging. And it gives you imaging that is substantially better at a dose comparison. And that's what -- we're not saying that's what our customers are saying. They're saying, well, you should take a look at this. And it took a long time for us to be convinced that our -- we just said it's an X-ray. And they're like, well, there's something really special about this X-ray. And now we're communicating that to our customers, and it is making a difference. But we're not going to get there as well without the financial discipline. And so the discipline across the business is really trying to build that rigor and that automation. And when I share this, it's very similar to like our sales. Anybody who hasn't been in technology is going to say, well, have some process in place, have some discipline. And we had been so focused on just getting there. Sometimes we forgot the importance of the discipline that was necessary, and that came at a cost. So we've worked to be far more disciplined and structured in how we go. There's a lot that we -- there's a reasonable amount of savings that we can make in overheads that are based on using fewer consultants and trying to put in more process and automation in reducing waste, there's employment costs that we're able to reduce, whether it's people that we don't hire that we were planning on hiring, people we don't replace or some employees that we had to let go of and make redundant. And that was to ensure that we're able to meet the target that we did with the $8 million that we have because we're not -- it's going to be challenging for us to get more money. So we have to earn that money and we have to preserve the money that we do have until we get there. To do all of this, we have a phenomenal leadership team. We have really great people across Micro-X. We have Anthony Skeats, who's been with us almost from the beginning, although he'll tell you he wasn't really a part of Micro-X at the beginning, but he was. We have Peter Dickman, who brings in a tremendous amount of new experience. We have Bree, who's based out of the U.S., who is our legal counsel, phenomenal lawyer, really is the key to -- both regulatory compliance, we have a lot of legal requirements as a company, whether they're regulatory compliance or partnership agreements. Shixin Sun has taken over our Head of Sales. I will tell you, Shixin Sun is the best salesperson that this company has ever had hands down. Shixin was the reason that we got the Malaysia deal. Shixin was the reason that we got the Billion Prima agreement done. Shixin has been the reason that we've gotten some sales. And as he steps up, he's helping the team come together with Altus' support to drive more discipline and success. And then we have a whole -- a number of leaders, Alex, Chris, strong technical leadership. Daniel Pini runs our manufacturing and is ex-Holden has done a phenomenal job with a very small team to ensure quality manufacturing. We recently brought on Tiffany as Head of People and Culture, and that's been key because our people are our highest value. And then quality is super important. And in the past, we haven't spent the effort or put quality at the top level, the quality needs to be there. Partially as our FDA regulations, but also because the quality of our products is key to our customers. So [ Yolanda ] is also part of our leadership team. So as I see Micro-X now, I see a company with proven technology. We know the technology works. It has worked in the Ukraine. It has worked in hospitals. It is validated by millions of -- tens of millions of government money. We have large, high-value market opportunities ahead of us. We have growing commercial momentum. And we have a disciplined and refreshed company. And we're headed toward a launch of head CT. So I'm very excited about what this company is and where we can go. I want to show you what it looks like as we're building it. One thing that may stand out to you is how small it is, and it is for what we're trying to do. But everything that we're doing, we're thinking about how does it scale. We're thinking about what does it mean. And a lot of scale is repetition of what's there. You'll see in our tube manufacturing that there are stations and we scale by replicating those stations. So I see our scale as a space problem, not a process problem. And everything that we're learning now and doing now is building more efficiency in the process, more cost effectiveness of the process so that we can scale. So we're at this interesting inflection point where the technology is coming together, and we're thinking about that. And we are thinking about scale, but we can't scale until we have the customer demand. So right now, the focus is go grab that customer demand and begin scaling on the back of it for Rover and then begin thinking about what that looks like for Head CT. Thank you, and we can move to the tour, unless there are any questions before we do that.