SmileDirectClub
gross margin for the quarter was a decline sequentially this is largely attributable to the following areas a decrease in unique aligner orders shipped quarter over quarter while mid course correction and refinement shipments were equal to the average of the prior four quarters refinement shipments are based off demand from months ago when volumes were higher and have no revenue associated with them this had an basis point impact on gross margin in impression kits represented a higher percentage of the business compared to previous quarters which had a basis point impact on gross margin lastly retail represented a higher percentage of the gross margin given the lower initial aligner shipments which had a basis point impact on gross margin we continue to focus on streamlining our manufacturing and we remain on track for the of second generation by initial were of shipped in compared to an average of in the prior three quarters this is because there is a month lag from initial shipment to refinement shipments and we had higher volume in and our long term gross margin target of of revenue remains intact | SmileDirectClub
Company
Deck Type
Sector
Industry
Deck date
August 2020
Slide
14 of 23
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