You're listening to Bloomberg Business Week with Carol Messer and Tim Stenavic on Bloomberg Radio. All right, everybody, as we've said before, chachypt is the AI world's new egg girl, and we're going to talk about how it applies to feeling good, maybe in the medical world. William Blair Analysts.
By the way, Ryan Daniels weighing in today, saying he believes chat chypt applications are bounding across all industries, including healthcare, and he specifically said that Doxymity is an early adopter of chat chpt via dos chpt uh and talks about monetization efforts, though he says that it's too nascent to have concrete use cases yet. So we'll see what our next guest has to say. Because lucky for us, we are back with us. Anna Bryson, CFO at doc Simity.
It's about a six point three billion dollar market cap online healthcare resource platform, and she joins us once again on the phone in San Francisco. Anna, nice to have you here with Gina and myself. So let's talk about the business. Tell us how things UH faired in the last quarter and how it looks in the current quarter. Sure, well, thanks so much for having me again, Caroline Tina. It's
really nice to be here at Doxtimity. We're proud to be the leading digital platform for US medical professionals, and across the board, business is performing really well. We had a record quarter in Q three in many ways. Firstly, we had a record number of EVADN margins, so we continue to run a profitable and very high cast generating business.
And then secondly, we had record usage across our platform, so we had a record number of quarterly active users amongst our core membership, and a lot of that is due the fact that we continue to innovate despite this economic downturn. We're continuing to innovate for our customers, and
we're also continuing to innovate for our physician members. And like you just said before, we're very very excited about docs GPT and all that could bring to help physicians really quote unquote cut the scut we call it, which is a lot of the work that they have to do that you know, isn't as a fighting right, and we're trying to make sure we can make their lives easier and more efficient. So we're really excited about bringing
further text to medicine. There Anna staying on the earning story, congratulations on a great quarter and especially those Evadam margins forty percent. You don't hear a lot of great news on margins these days. Considering the inflation pressures, maybe talk to us a little bit about how you are managing costs, what kind of inflation pressures you are seeing, UM, and where you see that sort of input cost pressure maybe
easing over the course of sure. And we continue to run a very, very highly profitable business mainly because of the fact that we're able to scale our vertical sales model very efficiently. We focus on one vertical, which is in that verticals, healthcare, and so we find that by focusing in on a single vertical and really focusing all our attention on both our customers and our physician members,
were able to scale our business very efficiently. We're really fortunate that we're actually one of the companies out there that's we're still hiring and we're still able to invest in future growth, and we think that that will only reap dividends long term for both our shareholders and our
our customers. So, having said that, UM, the outlook for your company was definitely um overshadowing the past quarter and the numbers that you guys posted because we did see the stock sell off as a result, and you had a lot of analysts coming in and weighing in. If you will so talk to us about the delayed launches of these new media formats and how long it will be a drag. Absolutely. Yeah, we did launch two large new products for our customers, which we are really proud
of our new product launch. We always focus on continuing to innovate for our customers. However, that said, we did run into some delays in getting these products live. The good news is is that the revenue is not lost lost, it's just delayed. But we did see some delays and that did have some some impact on our our new term revenue. But that as we look ahead to next year, we're really encouraged that we're guiding to a year of growth and greater than evenson margins. So we're maintaining our
commitment to being a rule of sixty plus company. Okay, and one of these one of these new promising ap I integrations that you've got going on, dux GPT, maybe you could talk to us about this do you talk about as being cutting the scut, which maybe we can get down to what that means. How are you going to really change your customers lives with this technology? Sure? Yeah, I mean the truth of the matter is is that doctors still handle a lot of actual paperwork, and much
of that is sent by facts. So that's where they call it the scut work, right, And by integrating chat GPT with our free fact service, we hope to help medical professionals do what we just said and cut the scut with dox GPT. We're really excited about this launch.
You know, it is still in our earlier phases here, too often physicians aren't given a seat at the table and technology development, and for us, we really focus on working side by side with physicians and in many cases our best ideas actually come directly from our physician members. So we look forward to continuing to iterate on docs GPT with the feedback that we get from our physicians. Well tell us how it would work on it, because
you know, it's interesting. I feel like a lot of my doctors, um increasingly they're on a computer when I'm in the office with them, and I've kind of gotten used to it. Right there writing stuff down as I say it. Um, So I'm just wondering you still say a lot of paperwork? Is that the stuff that happens after we leave the office, or or what a lot
of it happens after we leave the office. Yeah, So when the physician is with a patient, you know, they're focusing obviously in on on the conversation with the patient, but then afterwards there is a lot of follow up, a lot of prior authorizations that need to happen if they're going to be sending a referral, for example. A lot of this is still sent by facts, and a
lot of it is really time consuming for doctors. So our aim is to just be another input in their efficiency process and allow them to not have to spend as much time on these these facts is and prioriphs, et cetera. Can you tell us how AI plays into that though? I mean, I think of effects and the replacement for effects is the email. We're moving from facts, which seems so antiquated right to AI, which seems so new, new, you know, futuristic. Where where how does AI play into
this story? Sure? So, as you know there's that buzzy new AI tool chat chat GPT that I'm sure you've played around with. We're all playing around with that that here in different aspects of our our day to day and we're integrating with with chat GPT. So for us, you know, the admin burden that we're seeing, it's a leading contributor to burnout amongst physicians. And what this is allowing physicians to do is it's allowing them to be much more productive and much more efficient in how they
are able to handle a lot of this paperwork. So can you give us an example of how it would work? And just got about a minute left. Um, sure. So, say, for example, there is a you know doctor that needs to send a prior authorization to a you know, say you say it's a pharmacy for example, it can be a simple as you to help me write a prior off and it can literally write that for for for the for the doctor in the same way if I go to chat GPT and say, you know, help me
help me write this email for example. So it really just makes it much much more efficient in terms of having to write that that prior off or paperwork or whatever it may be. Well, as long as we're making the doctor's lives better my life maybe there as well. So I'm going to be all for it if we can, if we can move beyond the facts, we're all better off, right well, and I do think about write more time for the patients. Um, do you have one last question
or yeah? I mean I'm curious that you also mentioned that you're collaborating with Kelly Lee. Can you tell us a little bit about what you're doing with them, how that's different from what you're doing with your Ducks GPT program. Yeah. Absolutely,
we're really excited to collaborate with Callie as well. So each year, doctors attend millions of events to stay up to date with the latest treatments, and by integrating with Callie scheduling software, by integrating that into our platform, doctors will now be able to easily schedule appointments with colleagues and with the members of industry without having to navigate the multiple platforms or waste all that time with the kind of back and forth scheduling emails. So we're trying
to bring ease of use to physicians scheduling. Alright, Gonna leave it on that note. Anna Bryson, thanks so much for a time once again here at Bloomberg, chief financial officer of Doximity, joining us on the phone from San Francisco. You're listening and watching Bloomberg Business Week