(CSPI) 2023 Q1 法說會逐字稿

Good day, and welcome to the CSPi's First Quarter and Fiscal Year 2023 Conference Call. (Operator Instructions) It is now my pleasure to turn the floor over to your host, Michael Polyviou. The floor is yours.

美好的一天，歡迎來到 CSPi 的第一季度和 2023 財年電話會議。 （操作員說明）現在我很高興將發言權交給主持人 Michael Polyviou。地板是你的。

Terrific. Thank you, Kelly. Hello, everyone, and thank you for joining us to review CSPi's fiscal 2023 first quarter results, which ended December 31, 2022. With me on the call today is Victor Dellovo, CSPi's Chief Executive Officer; and Gary Levine, CSPi's Chief Financial Officer. After Victor and Gary conclude their opening remarks, we'll then open the call for questions.

了不起。謝謝你，凱利。大家好，感謝您加入我們回顧 CSPi 截至 2022 年 12 月 31 日的 2023 財年第一季度業績。今天與我通話的是 CSPi 的首席執行官 Victor Dellovo；和 CSPi 的首席財務官 Gary Levine。在 Victor 和 Gary 結束他們的開場白之後，我們將開始提問。

Statements made by CSPi's management on today's call regarding the company's business that are not historical facts may be forward-looking statements as the term is identified in federal securities laws. The words may, will, expect, believe, anticipate, project, plan, intend, estimate and continue as well as similar expressions are intended to identify forward-looking statements.

CSPi 管理層在今天的電話會議上發表的關於公司業務的非歷史事實的聲明可能是前瞻性聲明，因為該術語在聯邦證券法中被確定。可能、將、期望、相信、預計、項目、計劃、打算、估計和繼續以及類似的表達方式旨在識別前瞻性陳述。

Forward-looking statements should not be read as a guarantee of future performance or results. The company cautions you that these statements reflect current expectations about the company's future performance or events and are subject to several uncertainties, risks and other influences, many of which are beyond the company's control, that may influence the accuracy of the statements and projections upon which the segment and statements are based. Factors that may affect the company's results but are not limited to the risks and uncertainties discussed in the Risk Factors section of the annual report on Form 10-K and the quarterly reports on Form 10-Q filed with the Securities and Exchange Commission.

前瞻性陳述不應被解讀為對未來業績或結果的保證。公司提醒您，這些陳述反映了當前對公司未來業績或事件的預期，並受到多種不確定性、風險和其他影響的影響，其中許多因素超出了公司的控制範圍，可能會影響陳述和預測的準確性段和報表是基於。可能影響公司業績的因素但不限於在向美國證券交易委員會提交的 10-K 表格年度報告和 10-Q 表格季度報告的風險因素部分中討論的風險和不確定性。

Forward-looking statements are based on the information available at the time those statements are made and management's good faith belief as of the time with respect to future events. All forward-looking statements are qualified in their entirety by this cautionary statement, and CSPi undertakes no obligation to publicly revise or update any forward-looking statements, whether as a result of new information, future events or otherwise after the date thereof.

前瞻性陳述基於作出這些陳述時可用的信息以及管理層當時對未來事件的真誠信念。所有前瞻性陳述均符合本警示性聲明的全部條件，CSPi 不承擔公開修改或更新任何前瞻性陳述的義務，無論是由於新信息、未來事件還是發布日期之後的其他原因。

With that, I'll turn the call over to Victor Dellovo, Chief Executive Officer. Victor, please go ahead.

有了這個，我將把電話轉給首席執行官 Victor Dellovo。維克多，請繼續。

Thanks, Michael, and good morning, everyone. This morning, we reported a very strong start to the fiscal year 2023. We grew product sales 63%, service sales 13% and overall total sales 48% over the first quarter of prior fiscal year. When we last talked with you back in December, we noted that each of the business segments were hitting on all cylinders. We continue to execute with similar fashion during the first quarter and increased our overall gross margins by 2.5 percentage points over last year to 31.7%. The revenue and gross margin led to generating $0.21 in earnings per share, while last year, we lost $0.09 a share during the last year's fiscal first quarter.

謝謝，邁克爾，大家早上好。今天上午，我們報告了 2023 財年的強勁開局。與上一財年第一季度相比，我們的產品銷售額增長了 63%，服務銷售額增長了 13%，總銷售額增長了 48%。當我們在去年 12 月與您交談時，我們注意到每個業務部門都在全力以赴。我們在第一季度繼續以類似的方式執行，我們的整體毛利率比去年增加了 2.5 個百分點，達到 31.7%。收入和毛利率導致每股收益為 0.21 美元，而去年第一財季每股虧損 0.09 美元。

All in all, we are quite proud of our performance to start fiscal 2023. During the past several years, we've stayed the course as we migrated our business to offer higher value cybersecurity, wireless and managed service offerings. It was easy -- it wasn't easy, especially with the onset of COVID-19 pandemic and its related challenges, but our business model is beginning to show both its value to our customers as well as its potential to our shareholders. The demand for our award-winning products and services is building. We are increasing business with our existing customers, while at the same time gaining new customers.

總而言之，我們為我們在 2023 財年開始的表現感到非常自豪。在過去的幾年裡，我們一直堅持我們的業務遷移以提供更高價值的網絡安全、無線和託管服務產品。這很容易——這並不容易，尤其是在 COVID-19 大流行及其相關挑戰的開始時，但我們的商業模式開始向我們的客戶展示它的價值以及它對我們股東的潛力。對我們屢獲殊榮的產品和服務的需求正在增加。我們正在增加與現有客戶的業務，同時贏得新客戶。

Our Technology Solutions business continues to grow during the first quarter. At the same time, our High-Performance Product business revenue more than doubled compared to a year-old first quarter. It was primarily due to sizable customer engagements, but they fully recognized during the quarter. While the timing of potential orders is subject to movement from 1 quarter to another, our business pipeline is robust, and we are cautiously optimistic that our HPP business will be growing contributor as the fiscal year progresses.

我們的技術解決方案業務在第一季度繼續增長。與此同時，與一年前的第一季度相比，我們的高性能產品業務收入增長了一倍多。這主要是由於大量的客戶參與，但他們在本季度充分認識到這一點。雖然潛在訂單的時間可能會從一個季度轉移到另一個季度，但我們的業務管道很強勁，我們對我們的 HPP 業務將隨著財政年度的進展而增長持謹慎樂觀態度。

In this morning's news release, I noted our business -- and the opportunity pipeline we have in front of us is stronger today than any time in our company's history. Our strategy combined with our unique solutions and top-notch engineers are some of the leading factors.

在今天上午的新聞發布會上，我提到了我們的業務——今天我們面前的機會管道比我們公司歷史上的任何時候都要強大。我們的戰略與我們獨特的解決方案和一流的工程師相結合是一些主要因素。

We are continuing to fund R&D so that our product continues to provide these unique solutions to our expanding base of customers. The early market reception to these prior capabilities is opening doors for us with companies that have never talked to CSPi before, and we hope to have some positive news over the coming months.

我們將繼續資助研發，以便我們的產品繼續為我們不斷擴大的客戶群提供這些獨特的解決方案。市場對這些先前功能的早期接受為我們與以前從未與 CSPi 交談過的公司打開了大門，我們希望在未來幾個月內能聽到一些積極的消息。

While we have a strong momentum and our opportunities in the marketplace continue to expand, we do have hurdles to overcome to realize our full potential. One of the highest such hurdles is the continued supply chain constraints we are experiencing over a few of our suppliers. The problem has gone a lot better since the height of last summer. However, the historic 6-week delivery time frame on orders is still being realized. However, the good news is that our customers continue to stay loyal to us.

雖然我們勢頭強勁，市場機會不斷擴大，但要充分發揮我們的潛力，我們確實需要克服障礙。最大的障礙之一是我們在一些供應商身上遇到的持續供應鏈限制。自去年夏天的高峰期以來，這個問題已經好多了。然而，訂單的歷史性 6 週交貨時間框架仍在實現中。然而，好消息是我們的客戶繼續對我們保持忠誠。

We believe the supply chain issues continue to exist because China is locked down until mid-December, and they are still enforcing very severe COVID-19 quarantines in certain areas. While some of our suppliers have moved their sourcing out of China, they can't ramp up overnight. So we remain hopeful that China will relax its regulations which will reduce supply chain constraints over time.

我們認為供應鏈問題仍然存在，因為中國在 12 月中旬之前一直處於封鎖狀態，並且他們仍在某些地區實施非常嚴格的 COVID-19 隔離。雖然我們的一些供應商已將採購移出中國，但他們無法在一夜之間實現增長。因此，我們仍然希望中國能夠放鬆監管，隨著時間的推移減少供應鏈的限制。

Our revenue growth during the fiscal quarter was driven by a Technology Solution, or TS, business in managed service practice. We generated revenue of $15.9 million, a 40% increase over a year ago TS revenue, and we are winning new customers while earning increased business from existing customers. During the beginning of the pandemic, we quickly shifted to this segment because it was shorter sales cycles and sales were not being impacted by restrictions. And we have continued to focus on this segment as it's become a growth engine over the past couple of years. The managed service practice revenue grew 24.4% from prior year and was driven by customers increase -- customers' increasing use of the implementation, installation and training capabilities.

我們在本財政季度的收入增長是由託管服務實踐中的技術解決方案 (TS) 業務推動的。我們產生了 1590 萬美元的收入，比一年前的 TS 收入增長了 40%，我們正在贏得新客戶，同時從現有客戶那裡獲得更多業務。在大流行開始時，我們迅速轉移到這個細分市場，因為它的銷售週期較短，而且銷售不受限制影響。我們繼續關注這一領域，因為它在過去幾年中已成為增長引擎。託管服務業務收入較上年增長 24.4%，這主要受客戶增長的推動——客戶越來越多地使用實施、安裝和培訓能力。

Our High-Performance Products, or HPP, business, had one of its strongest quarters in quite some time and reinforces the settlement that we have been sharing with you over the past year. We reported revenue of $2.5 million, a significant increase compared to a year ago level of $1.1 million. The primary contributor was from a government contract, which had been expected for some time, and we were just waiting for some critical components to finalize and ship the order. The quarter also included revenue contributions from royalty revenue related to E-2D program as well as Myricom.

我們的高性能產品 (HPP) 業務是相當長一段時間以來最強勁的季度之一，並加強了我們在過去一年中與您分享的解決方案。我們報告的收入為 250 萬美元，與一年前的 110 萬美元相比有了顯著增長。主要貢獻者來自一份政府合同，這已經預料了一段時間，我們只是在等待一些關鍵部件完成訂單並發貨。該季度還包括來自與 E-2D 計劃以及 Myricom 相關的特許權使用費收入的收入貢獻。

To summarize, we had a great start to the fiscal year. Our strategy of focusing on higher-margin products and services that meet customer demand is yielding solid progress each quarter, and we have reported 2 consecutive quarters of 40% plus revenue growth. Despite converting some of the older backlog to revenue, we also booked nearly an equal number of order -- new orders. This demonstrates the strength of our offering. Yet it also highlights our continued engagement in customer loyalty during this period since we had not lost a single order from the backlog. We have successfully transitioned our business during this unprecedented period. And today, we are an active player in the high-growth and margin business. And we believe that we have the resources and wherewithal and strategy to realize our potential.

總而言之，我們本財年開局良好。我們專注於滿足客戶需求的高利潤產品和服務的戰略每個季度都取得了穩步進展，我們已經連續兩個季度實現了 40% 以上的收入增長。儘管將一些較舊的積壓訂單轉化為收入，但我們也預訂了幾乎相同數量的訂單——新訂單。這證明了我們產品的實力。然而，這也凸顯了我們在此期間對客戶忠誠度的持續參與，因為我們沒有因積壓訂單而丟失任何訂單。在這個前所未有的時期，我們成功地完成了業務轉型。今天，我們是高增長和高利潤業務的積極參與者。我們相信我們擁有實現我們潛力的資源、資金和戰略。

With that, I will now ask Gary to provide a brief overview of our fiscal first quarter financial performance.

有了這個，我現在請加里簡要概述我們第一季度的財務業績。

Thanks, Vic. As Victor mentioned in his opening remarks, we had a solid fiscal first quarter with revenue of $18.3 million, a sizable improvement over the year ago fiscal first quarter. We reported gross profit of $5.8 million or 31.7% of sales compared with $3.6 million or 29.2% of sales in the year ago fiscal first quarter. And with each of the revenue sources, we experienced a significant increase in product gross margin compared to the year ago fiscal first quarter level while service gross margin again surpassed 50%.

謝謝，維克。正如 Victor 在開場白中提到的那樣，我們的第一財季收入穩健，收入為 1830 萬美元，與去年同期相比有了相當大的改善。我們報告的毛利潤為 580 萬美元，佔銷售額的 31.7%，而去年同期第一季度的毛利潤為 360 萬美元，佔銷售額的 29.2%。對於每個收入來源，與去年同期第一財季水平相比，我們的產品毛利率顯著增加，而服務毛利率再次超過 50%。

Our engineering and development expenses for the first fiscal quarter were $836,000 compared to approximately $627,000 in the year ago period. As we have disclosed previously, the increase is primarily due to higher personnel costs, which include outside consultants. Our SG&A expenses in Q1 were $3.6 million, up slightly compared to the year ago fiscal first quarter due to increased variable compensation based on higher gross margin profit.

我們在第一財季的工程和開發費用為 836,000 美元，而去年同期約為 627,000 美元。正如我們之前披露的那樣，增加的主要原因是人員成本增加，其中包括外部顧問。我們在第一季度的 SG&A 費用為 360 萬美元，與去年同期相比略有增加，這是由於基於較高的毛利率利潤增加了可變薪酬。

We reported net income of $1 million in the first fiscal quarter or $0.21 per diluted share compared with a loss of $366,000 or $0.09 per common share for fiscal 2022's first quarter. The company had cash and cash equivalents of $19.6 million as of December 31, 2022, which is approximately $4.4 million lower as compared to the September 30, 2022 level, primarily due to a previously referenced large financing customer sale recognized in revenue in the fourth quarter of fiscal year 2022, but the cost was paid in the first quarter of fiscal year 2023 during the fiscal '23 first quarter.

我們報告第一財季淨收入為 100 萬美元或每股攤薄收益 0.21 美元，而 2022 財年第一季度虧損 366,000 美元或每股普通股 0.09 美元。截至 2022 年 12 月 31 日，公司擁有現金和現金等價物 1,960 萬美元，比 2022 年 9 月 30 日的水平低約 440 萬美元，這主要是由於先前提到的大額融資客戶銷售在第四季度確認為收入2022 財年，但成本是在 2023 財年第一季度的 23 財年第一季度支付的。

We have authorized to issue an additional 300,000 shares of common stock as part of our CSPi 2014 employee stock purchase plan. I also want to highlight that the Board of Directors approved a quarterly dividend of $0.03 per share payable on March 14, 2023, to shareholders of record on the close of business on February 24, 2023. The vigilance we have employed over the past couple of years have ensured that we have the resources to execute the multiyear growth strategy of transforming to a cybersecurity, wireless and managed service company.

作為 CSPi 2014 員工股票購買計劃的一部分，我們已授權額外發行 300,000 股普通股。我還想強調的是，董事會批准於 2023 年 3 月 14 日向在 2023 年 2 月 24 日營業結束時登記在冊的股東派發每股 0.03 美元的季度股息。我們在過去的幾年中一直保持警惕多年的經驗確保我們有足夠的資源來執行轉型為網絡安全、無線和託管服務公司的多年增長戰略。

With that, I will turn it over to the operator to take your questions.

有了這個，我會把它交給接線員來回答你的問題。

(Operator Instructions) Your first question is coming from Joseph Nerges at Sergen Investments.

（操作員說明）您的第一個問題來自 Sergen Investments 的 Joseph Nerges。

Okay. A couple of quick questions. You mentioned in the press release about HPP having a sizable customer engagement in the first quarter. I'm assuming you don't want to name that sizable engagement. Is that -- am I correct in that? These customers -- you don't want to name the customer itself.

好的。幾個簡單的問題。您在新聞稿中提到 HPP 在第一季度有相當大的客戶參與度。我假設你不想說出那個相當大的參與度。那是——我說得對嗎？這些客戶——您不想自己說出客戶的名字。

Right. The customer per se. Right.

正確的。客戶本身。正確的。

And you said the supply chain issues are still a little better than they were last year, but still not up to snuff at this point in time. What you experienced, say, 2, 3 years ago?

你說供應鏈問題仍然比去年好一點，但在這個時間點還沒有達到標準。你在 2、3 年前經歷了什麼？

That's correct. It's gotten a little better, but in certain vendors that we happen to do quite a bit of business. It's not that much better.

這是正確的。它變得更好了，但在某些供應商中，我們碰巧做了很多生意。它並沒有那麼好。

Okay. Another one would be on a previous call, you've mentioned about the issues of obtaining new personnel or hiring new people. I assume with the latest amount of announcements on high-tech layouts, is that lessening to any extent? In other words, are you able to find people a little easier than you were, let's say, 6 months ago?

好的。另一個是在之前的電話會議上，您提到了獲得新人員或僱用新人員的問題。我認為隨著最新的高科技佈局公告數量的增加，這種情況會有所減少嗎？換句話說，您是否能夠比 6 個月前更容易找到人？

Well, we haven't really hired anyone else that we're looking for. But I can tell you it's slowed down from people leaving looking for other opportunities. The environment here at CSPi has been really stable, both on engineering, sales and internal support, which is good. I think people are respecting the job positions they currently have. It may be nervous to be the new person at any other organization in case there are layoffs.

好吧，我們還沒有真正僱用我們正在尋找的其他人。但我可以告訴你，這是因為人們離開尋找其他機會而放慢了速度。 CSPi 的環境非常穩定，無論是在工程、銷售還是內部支持方面，這都很好。我認為人們尊重他們目前的工作職位。萬一裁員，成為任何其他組織的新人可能會感到緊張。

Well, again, like I said, with the numerous announcements in the last month or so in the high-tech industry, I assume that's helping, let's put it that way. A couple of quick things. From your letter, your newsletter -- or your year-end letter, you talked about Unified-Communications-as-a-Service growing. And I was just wondering, is that something that you're finding a solid potential down the road here with or?

好吧，就像我說的那樣，在過去一個月左右的時間裡，高科技行業發布了大量公告，我認為這會有所幫助，讓我們這樣說吧。一些快速的事情。在您的信件、時事通訊或年終信件中，您談到了統一通信即服務的發展。我只是想知道，您是否在這裡找到了堅實的潛力？

Yes. The pipeline has been real strong. We closed multiple deals in the quarter, and the pipeline is as strong as it's been. And we're hopeful that there's some large opportunities -- multiyear opportunities that we're trying to close now that will definitely help because all these deals that we are signing are 3-year deals [billed] on a monthly basis.

是的。管道一直很強大。我們在本季度完成了多筆交易，而且管道一如既往地強大。我們希望有一些巨大的機會——我們現在正試圖關閉的多年期機會肯定會有所幫助，因為我們簽署的所有這些交易都是 3 年期交易 [按月計費]。

Okay. That sounds good. How about the cruise industry? Has that opened up a little bit in the last, let's say, a couple of months?

好的。聽起來很好。郵輪行業如何？在過去，比方說，幾個月，這是否有所開放？

Conversations have opened up, which are good, and we are doing some planning right now to roll out either software -- security software on the ships or some wireless, but the talks and the engagements are happening on a more frequent basis. Nothing confirmed of exactly when we're going to start doing the work on the ships or with the cruise lines, but the conversational piece has been active lately.

對話已經開始，這是好的，我們現在正在做一些計劃來推出軟件——船上的安全軟件或一些無線軟件，但會談和接觸正在更頻繁地進行。我們什麼時候開始在船上或遊輪上開展工作尚無定論，但對話最近很活躍。

Right. Well, just for my information, what were you actually doing prior? Is it WiFi? What were you putting in the cruise ships in past years?

正確的。好吧，僅供參考，您之前實際上在做什麼？是無線網絡嗎？過去幾年你在遊輪上放了什麼？

Yes. It was the WiFi and it was -- it was not only doing the configuration of the wireless, but we were also doing the preconfiguration and we are all doing the site maps. So we'd go on the ship first, and we would do the site maps of where all the APs would be placed or need to be placed. And then we were also doing the NAC solution, which is called ClearPass, and that's made by HP Aruba.

是的。是 WiFi，它不僅進行了無線配置，而且我們還進行了預配置，我們都在做站點地圖。所以我們會先上船，我們會繪製所有 AP 將放置或需要放置的位置的站點地圖。然後我們還在做 NAC 解決方案，稱為 ClearPass，由 HP Aruba 製造。

So some of the ships have this capability and some ships are still awaiting this capability. Is that correct? Otherwise, you have...

所以有些船有這種能力，有些船還在等待這種能力。那是對的嗎？否則，你有...

No. They all have them, but it's just they were upgrading to a better quality of product. Some of those ships have older products, more older APs and being on a vessel where there's a lot of steel and these APs were a lot more efficient.

不，他們都有，但他們只是升級到更好的產品質量。其中一些船有較舊的產品，更多的舊 AP，並且在一艘有大量鋼鐵的船上，這些 AP 的效率要高得多。

Okay. One other point here, and that is you didn't mention -- how did the exchange rate -- the currency exchange rate affect this quarter versus -- previously, we've had some benefits of the currency exchange rate in previous quarters. Was there a negative to this quarter with the currency exchange?

好的。這裡還有一點，那就是你沒有提到 - 匯率如何影響本季度 - 之前，我們在前幾個季度的貨幣匯率中獲得了一些好處。貨幣兌換對本季度有負面影響嗎？

Yes. Yes, we did. We had it was negative this quarter. The dollar weakened against the...

是的。是的我們做了。我們這個季度是負的。美元兌...

Yes. It was negative of almost $500,000.

是的。這是近 500,000 美元的負數。

Okay. So again, if it was equal, that would be $500,000 more than we would have had down the -- on the...

好的。所以再一次，如果它是平等的，那將比我們在...上多付 500,000 美元。

Correct.

正確的。

Correct. Yes, it was 400 and -- I forgot exactly the number. It was $460,000, $470,000. Yes.

正確的。是的，是 400，我忘了確切的數字。這是460,000美元，470,000美元。是的。

And one other point I want to make just basically a statement. There's a great deal of current hype around artificial intelligence between Microsoft buying into it, Google buying into it. And I just want to make the point that have we not incorporated artificial intelligence in our area platform 2 to 3 years ago?

還有一點我想簡單地做一個聲明。在微軟購買它和谷歌購買它之間，當前有大量關於人工智能的炒作。我只想說明一點，我們在 2 到 3 年前沒有將人工智能納入我們的區域平台嗎？

Yes, we did. Absolutely. Yes.

是的我們做了。絕對地。是的。

So somewhere I lag. I'm just trying to say, we're not behind the game in that particular aspect, let's say. But again...

所以在某個地方我落後了。我只是想說，我們在那個特定方面並不落後於遊戲，比方說。但是又...

No. Yes. Thank you, Joe.

不，是的。謝謝你，喬。

Your next question is coming from Brett Davidson with Investletter.

你的下一個問題來自 Investletter 的 Brett Davidson。

I'm not much of a morning person, but let's just say that helps. I just got one quick question. Well, Joe already touched on the cruise business, which I was going to get an update on and I had that. The High-Performance Product, I know you indicated that the supply chain is still an issue. If you could have gotten your hands on everything you needed, what -- if you could give me an estimate of what the additional sales volume would look like over there?

我不是一個早起的人，但我們只是說這有幫助。我剛收到一個簡短的問題。好吧，喬已經談到了郵輪業務，我將要了解最新情況，我已經知道了。高性能產品，我知道您表示供應鏈仍然是一個問題。如果你能得到你需要的一切，如果你能給我估計一下那邊的額外銷量會怎樣？

On the HPP or the total company?

在 HPP 還是整個公司？

No, the HPP. I mean, with the product sales, what the Myricom stuff, what would it have looked like if you guys could have gotten your hands on all the parts that you needed to ship, what you have orders for?

不，HPP。我的意思是，對於產品銷售，Myricom 的東西，如果你們能拿到需要運送的所有部件，會是什麼樣子，你們有什麼訂單？

The backlog is about $4.4 million. Now some of that is related to the ARIA contracts because they've deferred over time. So you keep them in backlog. So that's a portion of it as well as some -- we've got product, but the customer doesn't want it. They've got a spread over time. So it isn't that we would get the entire amount at one [lump sum]. Because that are...

積壓的訂單約為 440 萬美元。現在，其中一些與 ARIA 合同有關，因為它們已經隨著時間的推移而推遲。所以你讓他們積壓。所以這是它的一部分以及一些 - 我們有產品，但客戶不想要它。隨著時間的推移，它們已經擴散開來。因此，我們並不是一次性獲得全部金額 [一次性付款]。因為那是...

I mean the supply issue -- the supply chain, did that impact your ability to deliver product or not really?

我的意思是供應問題——供應鏈，這是否真的影響了您交付產品的能力？

Yes...

是的...

I would say I would say about $2 million -- around $2 million, maybe just shy of $2 million would have been able to go in if we had the components to build the systems. Yes, I would say about half and that's at a very high profit margin. (inaudible) considerably.

我會說我會說大約 200 萬美元——大約 200 萬美元，如果我們有構建系統的組件，可能只需要不到 200 萬美元。是的，我會說大約一半，這是一個非常高的利潤率。 （聽不清）相當大。

And I would imagine that the -- since the end of the quarter, I got to imagine that pressure is continuing to ease. Getting your hands on the parts.

而且我可以想像 - 自本季度末以來，我可以想像壓力會繼續緩解。讓你的手在零件上。

No. Not.

不，不。

Not really. No, not at all. To be honest with you, in some cases, it's getting worse, yes.

並不真地。一點都不。老實說，在某些情況下，情況會變得更糟，是的。

[No].

[不]。

Oh my God. Well, I hope that swings the other way because, yes, $2 million today sounds better than $2 million next quarter.

我的天啊。好吧，我希望情況正好相反，因為是的，今天的 200 萬美元聽起來比下個季度的 200 萬美元要好。

Yes. As soon as we can get it shipped out, we do. Because we're at the mercy of some of these larger organizations.

是的。只要我們能把它運出去，我們就會這樣做。因為我們受其中一些較大組織的擺佈。

Your next question is coming from Mike Price.

你的下一個問題來自 Mike Price。

Congratulations on a good quarter. Can you tell us what the ARIA revenues were for the quarter? And how much of the backlog is ARIA related?

祝賀一個好的季度。您能告訴我們該季度 ARIA 的收入是多少嗎？有多少積壓工作與 ARIA 相關？

The ARIA revenue was about, I think, about $140,000 and then the backlog is probably $0.5 million.

我認為 ARIA 的收入大約是 140,000 美元，然後積壓的訂單可能是 50 萬美元。

Is this not a big growth area? I mean it seems like there's huge upside with ARIA. Is that not the case?

這不是一個很大的增長領域嗎？我的意思是 ARIA 似乎有巨大的優勢。不是這樣嗎？

There is. Yes, it is. It's what we're focusing on and moving forward with it. But as I mentioned on previous calls, the technology once we get in we have a really good chance of winning it. But we've had some name recognition problems. It's just -- we're not in the Gartner, you don't get there until you have revenue. And it's sometimes they go with the larger company, even if they're not if our product outperforms them, they still kind of go with a company that's a multibillion dollar organization. We've seen that quite a bit actually.

有。是的。這就是我們關注的重點，並以此向前邁進。但正如我在之前的電話會議上提到的那樣，一旦我們進入這項技術，我們就有很大的機會贏得它。但是我們遇到了一些名稱識別問題。只是 - 我們不在 Gartner 中，只有獲得收入才能到達那裡。有時他們會選擇更大的公司，即使他們不是，如果我們的產品表現優於他們，他們仍然會選擇一家價值數十億美元的公司。我們實際上已經看到了很多。

So we have over a dozen accounts now. So it's getting a little easier, but we're still not on that Magic Quadrant. And when you get into a SIM product. They do a lot of -- some of the organizations are looking for their Magic Quadrant, and we're not on yet. And we're talking to Gartner, but there's a lot to go through, and there's a revenue requirement. So it's a chicken and the egg effect how do you get on there unless you have revenue and how do you get the revenue if you're not on it. So -- but it's our focus area its just taking time.

所以我們現在有十幾個賬戶。所以它變得更容易了，但我們仍然沒有進入魔力像限。當您使用 SIM 產品時。他們做了很多——一些組織正在尋找他們的魔力像限，而我們還沒有。我們正在與 Gartner 交談，但還有很多事情要做，而且有收入要求。所以這是先有雞還是先有蛋的效應，除非你有收入，否則你如何進入那裡，如果你沒有收入，你又如何獲得收入。所以 - 但這是我們的重點領域，只是需要時間。

Is the industry aware of the technology and as good as you think it is?

業界是否了解這項技術並像您認為的那樣好？

We're providing as much information as we can to as many people that will listen.

我們正在向盡可能多的願意傾聽的人提供盡可能多的信息。

Okay. The question is, can somebody larger do more with ARIA than what if you can't get in the door is the question.

好的。問題是，如果你不能進門怎麼辦，更大的人可以用 ARIA 做更多的事情嗎？

Yes, absolutely.

是的，一點沒錯。

Okay. A couple of other quick questions. I didn't see anything about the share repurchase, the original 194,000 shares I think only something on the order of 20,000 or 22,000 has been repurchased. Is that correct?

好的。其他幾個快速問題。我沒有看到任何關於股票回購的信息，我認為最初的 194,000 股股票只回購了大約 20,000 或 22,000 股。那是對的嗎？

Yes. We didn't purchase any stock in there -- in the quarter.

是的。我們沒有在那裡購買任何股票 - 在本季度。

In the quarter. Anything since the end of the quarter that you can discuss?

在這個季度。自本季度末以來，您有什麼可以討論的嗎？

No. Well, we're in a period where we can't -- we couldn't buy.

不，嗯，我們正處在一個我們不能——我們不能買的時期。

Well, again, it seems like with what you've outlined as far as the prospects and everything going forward, it seems like if you don't buy it now, you're not going to be able to buy it. Is that not the case? I know you want to keep the powder dry, but at the same time, it looks like there's huge upside for what you're doing.

好吧，再一次，看起來你所概述的前景和未來的一切，似乎如果你現在不買它，你將無法購買它。不是這樣嗎？我知道您想保持粉末乾燥，但與此同時，看起來您正在做的事情有很大的好處。

Yes. Absolutely.

是的。絕對地。

Okay. Last question has to do with the dividend. You've never been in a better position, good cash position. Interest rates are up. So you hopefully are earning some -- have interest income on the cash. And the dividend is 20% of what it was pre-COVID, pre-PPP. Any prospects there for raising the dividend?

好的。最後一個問題與股息有關。你從未處於更好的位置，良好的現金狀況。利率上升。所以你希望能賺到一些錢——有現金利息收入。股息是 COVID 之前、PPP 之前的 20%。有提高股息的前景嗎？

We talked about it at our last meeting, right? We decided right at this stage with some of the financing deals we've been doing with our customers to keep that sticky, we will -- we're looking at keeping the cash at hand right at this particular point. Things may change in the near future.

我們在上次會議上討論過，對吧？我們在這個階段決定通過我們一直在與客戶進行的一些融資交易來保持這種粘性，我們將 - 我們正在考慮在這個特定時刻保持手頭的現金。事情可能會在不久的將來發生變化。

(Operator Instructions) There appear to be no further questions in queue. At this time, I would like to turn the floor back over to the CEO, Victor Dellovo, for any closing remarks.

（操作員說明）隊列中似乎沒有其他問題。現在，我想把發言權轉回給首席執行官 Victor Dellovo，讓他發表任何結束語。

Thank you. As always, I want to thank our shareholders for continued interest and support. We have now reported consecutive quarters of significant growth and momentum we are to experience in the current quarter excites us for the remainder of the year. We have solid revenue conversion, strong pipeline in a product and service portfolio are generating favorable gross margins. Gary and I look forward to sharing our progress in fiscal 2023 second quarter operating results in May. Until then, be well and stay safe.

謝謝。一如既往，我要感謝我們的股東一直以來的興趣和支持。我們現在已經報告了連續幾個季度的顯著增長，我們將在本季度經歷的勢頭讓我們在今年餘下的時間裡感到興奮。我們擁有穩定的收入轉換、強大的產品和服務組合管道正在產生可觀的毛利率。加里和我期待在 5 月份分享我們在 2023 財年第二季度經營業績方面取得的進展。在那之前，請保持健康並保持安全。

Thank you.

謝謝。

Thank you. This does conclude today's conference call. You may disconnect your phone lines at this time, and have a wonderful day. Thank you for your participation.

謝謝。這確實結束了今天的電話會議。此時您可以斷開電話線，度過美好的一天。感謝您的參與。