Ivan Feinseth

Ivan Feinseth asked about the uptake and production projections for the new Blaze Equine Wellness System, its target marketing strategy, and the percentage of fēnix 8 Pro and Bounce 2 buyers signing up for connectivity plans. He also sought Garmin's vision for how inReach and Messenger services contribute to the Garmin ecosystem.

Answer

Cliff Pemble, President and CEO, noted that Blaze has garnered attention in an underserved but traditional market, expecting it to take time to build momentum, with plans for roadmap enhancements. He explained that horse owners' dedication to animal welfare creates many opportunities for new tools. For fēnix 8 Pro and Bounce 2, he confirmed that buyers are indeed signing up for connectivity services as these products are designed around those features. He reiterated that inReach and Messenger are core to Garmin's strategy for off-the-grid communication and rescue services, a unique differentiator they will continue to expand.

Ivan Feinseth inquired about the opportunity for Garmin's wearables to become an integral part of personal health management, referencing public discourse on the topic. He also asked for the company's perspective on the potential market for smart glasses.

Answer

President and CEO Clifton Pemble expressed excitement about the role of wearables in health, stating that Garmin's diverse product line and advanced sensor technology create a significant opportunity. Regarding smart glasses, he adopted a 'wait and see' approach, noting past challenges with utility and public acceptance, and reiterated the company's belief in the strong utility of wrist-worn wearables.

Ivan Feinseth inquired at what point Garmin might begin reporting subscription revenue as a separate line item. He also asked about the potential for the zumo radar to become an OEM product for motorcycles and whether new products are the primary driver of the updated 2025 guidance.

Answer

CEO Cliff Pemble stated that subscription revenue would be reported as a separate line item once it reaches 10% of consolidated revenue. He noted that the zumo radar is a new product category invented by Garmin and expects it to be embraced by both OEMs and aftermarket users over time. Pemble confirmed that the impact of a full slate of new product releases for 2025 is factored into the company's overall outlook.

Ivan Feinseth from Tigress Financial Partners asked about the target customers for the new high-end Approach golf simulator and Descent dive computer, and whether they were attracting professional users. He also inquired about the market feedback on the 'unified cabin' concept showcased at CES.

Answer

CEO Clifton Pemble described the customer base for both new products as a 'broad range' of serious enthusiasts, not limited to a specific professional segment. He noted the golf product's unique dual-use for home and on-course play. On the unified cabin, he reported 'really good feedback,' positioning it as a futuristic demonstration of Garmin's capabilities that will influence the design of future cars, with its underlying technologies being integrated into upcoming vehicles.

Ivan Feinseth of Tigress Financial Partners asked about the customer uptake on paid apps via the Connect IQ store and new inReach subscription features. He also inquired about the market reception and growth potential for Garmin's new dash cam products.

Answer

President and CEO Clifton Pemble described paid apps and expanded inReach features as incremental enhancers to revenue and margin, noting it's still early for the new satellite messaging capabilities. Regarding dash cams, he stated that while the market is mature, Garmin's new products, which focus on superior optics and quality, have been very well received by the market.

Ivan Feinseth inquired about how USANA's product line and advisor channel address consumer confusion regarding supplements, using magnesium as an example, and how the company is capitalizing on initiatives like RFK's 'Make America Healthy' to drive sales opportunities.

Answer

Chief Scientific Officer Kathryn Armstrong stated that USANA prioritizes science, objectively vets research, and continuously evaluates formulations to provide the best options, acknowledging the complexity of magnesium data. CEO Jim Brown expressed appreciation for initiatives promoting the importance of vitamins and supplements, noting they educate consumers and benefit the entire industry, reinforcing USANA's commitment to high-quality products and adapting offerings to customer needs.

Ivan Feinseth asked how USANA's product line and advisor channel can address consumer confusion regarding supplements like magnesium, specifically different formulations and timing. He also questioned how RFK's 'Make America Healthy' initiative is creating sales opportunities and how USANA is capitalizing on this for both direct-to-consumer and direct sales channels.

Answer

Kathryn Armstrong, Chief Scientific Officer, addressed the confusing data on magnesium, emphasizing USANA's science-first approach and continuous objective evaluation of different blends and elements for human health. Jim Brown, CEO, expressed appreciation for any initiatives that highlight the importance of vitamins and supplements, noting that government or agency support helps the entire industry by educating people on the need for supplements due due to dietary gaps. He reiterated USANA's 30-year commitment to providing high-quality products and adapting offerings to customer needs.

Ivan Feinseth of Tigress Financial Partners LLP asked about the competitive advantages and opportunities arising from health-focused trends, particularly for children's products. He also inquired about the technology, CRM, and social media tools being developed to support the new 'brand partners' and help them build successful careers.

Answer

CFO Doug Hekking and CCO Brent Neidig emphasized that USANA's foundational product quality and new organizational agility position it well to capitalize on health trends. COO Walter Noot specifically cited the HYA acquisition as being perfectly aligned with the demand for clean children's health products. Regarding tools, Brent Neidig described new data-driven predictive tools being rolled out to help partners identify business opportunities, with a social media tool also in trial. CEO Jim Brown added that the company is actively exploring AI to enhance these support tools for brand partners in the future.

Ivan Feinseth asked about the competitive advantages and opportunities presented by the growing focus on healthy ingredients, particularly for children, and inquired about the specific technology tools being developed to support the new 'Brand Partners' in growing their businesses.

Answer

COO Walter Noot highlighted that the Hiya acquisition is perfectly positioned to capitalize on the demand for clean children's health products. CCO Brent Neidig added that the company has become more agile in responding to market trends and is rolling out new data-driven predictive tools for its Brand Partners, with social media tools also being trialed. CEO Jim Brown noted that USANA is increasingly leveraging AI to enhance these business-building tools for the future. CFO Doug Hekking affirmed that the company's foundational approach to product development aligns well with this health-conscious trend.

Ivan Feinseth asked about the reception of new products launched in China, future product categories, and the potential market opportunity from a consumer shift towards cleaner, more natural ingredients.

Answer

Chief Commercial Officer Brent Neidig detailed the successful Q2 launch of a children's calcium product in China, noting that a larger wave of new products is slated for the second half of the year. CEO Jim Brown added that the company's August international convention is a key venue for these launches. Regarding the market trend towards cleaner ingredients, CFO Doug Hekking affirmed that USANA is well-positioned to capitalize on this, emphasizing the company's focus on communicating its product differentiation. Jim Brown also highlighted the alignment of this trend with the Hiya brand.

Ivan Feinseth inquired about the performance of the Hiya acquisition relative to expectations, including potential operational synergies and margin expansion. He also asked about the 2025 new product pipeline and current top-performing product categories.

Answer

COO Walter Noot and CEO Jim Brown stated the Hiya acquisition is going very well and that they are carefully exploring operational synergies in supply chain and manufacturing to avoid disrupting Hiya's business plan. CFO Doug Hekking noted short-term integration costs and inventory step-up will affect Hiya's P&L in 2025. Regarding new products, CEO Jim Brown declined to give specifics to maintain excitement for associate events, while CFO Doug Hekking added that skincare and flagship nutritional supplements are key focus areas.

Ivan Feinseth of Tigress Financial Partners asked about the industries or business types showing the biggest growth in new customers and whether new clients are using the self-service portal, and its impact on margins.

Answer

COO Chris Innes identified small franchises, like Orangetheory, and local 'mom and pop' businesses as key growth areas, a trend fueled by the recent launch of radius targeting. He confirmed the company expanded its self-signup efforts in Q2. CFO Patrick Pohlen added that the self-signup feature has been popular with mid-sized customers as well, improving efficiency across all customer types.

Ivan Feinseth of Tigress Financial Partners asked about the potential for co-R&D development partnerships with companies in biotech, pharmaceuticals, or semiconductors following the Atomic Alchemy acquisition, and what Oklo's value proposition would be in such collaborations.

Answer

CEO Jake Dewitte confirmed that R&D partnerships are a possibility, noting that a reliable supply of radioisotopes is a major constraint on pharmaceutical development. He explained that by increasing supply, Oklo and Atomic Alchemy can unlock new research and attract partners from big pharma. Dewitte also highlighted the significant, underappreciated opportunity in semiconductor manufacturing through neutron transportation doping, calling it a 'gold standard' process. He anticipates that as the business matures, offtake agreements and strategic partnerships will develop over the next year.

Ivan Feinseth asked about the potential for co-R&D development partnerships with companies in biotech, pharmaceuticals, or semiconductors following the Atomic Alchemy acquisition, and what Oklo's value proposition would be to these new partners.

Answer

CEO Jacob Dewitte confirmed the potential for such partnerships, stating that a reliable domestic supply of radioisotopes could unlock significant R&D in those fields. He highlighted the underappreciated opportunity in using neutron transportation doping for high-quality semiconductor manufacturing as a key value proposition, in addition to supplying the radiopharmaceutical industry.

Ivan Feinseth from Tigress Financial Partners asked for more detail on the drivers of the significant year-over-year revenue growth and the specific product functionalities attracting customer interest.

Answer

Executive Mark Zediker attributed the revenue growth to the release of new products and the fulfillment of contracts with customers like Essentium and GE Additive. He emphasized that a key driver for new customer interest is the new product line's compatibility with scanners, a critical feature for modern manufacturing operations that was a limitation in the previous AO product line and a direct response to market feedback.