Intrusion Inc (INTZ) 2024 Q4 法說會逐字稿

Welcome to Intrusion Inc 4th quarter 2024 earnings conference call and webcast.

歡迎參加 Inrupt Inc 2024 年第四季財報電話會議和網路廣播。

(Operator Instructions)

（操作員指令）

I would now like to turn the call over to Josh Carl with Investor Relations.

現在我想將電話轉給投資者關係部的喬希·卡爾 (Josh Carl)。

Thank you and welcome.

謝謝您，歡迎您。

Joining me today are Tony Scott, Chief Executive Officer, and Kimberly Penson, Chief Financial Officer.

今天與我一起參加的還有執行長托尼·斯科特 (Tony Scott) 和財務長金伯利·彭森 (Kimberly Penson)。

This call is being webcast and will be archived on the investor relations section of our website.

本次電話會議將透過網路直播，並將存檔於我們網站的投資者關係部分。

Before I turn the call over to Tony, I'd like to remind everyone that the statements made during this conference call relating to the company's expected future performance, future business prospects, future events or plans may include forward-looking statements as defined under the Private Securities Litigation Reform Act of 1995.

在我將電話轉給托尼之前，我想提醒大家，本次電話會議中涉及公司預期未來業績、未來業務前景、未來事件或計劃的陳述可能包括《1995 年私人證券訴訟改革法》定義的前瞻性陳述。

Please refer to our SEC filings for more information on the specific risk factors that could cause our actual results to differ materially from the projections described in today's conference call.

有關可能導致我們的實際結果與今天的電話會議中描述的預測存在重大差異的具體風險因素的更多信息，請參閱我們的美國證券交易委員會 (SEC) 文件。

Any forward-looking statements that we make on this call are based upon information that we believe as of today and we undertake no obligation to update these statements as a result of new information or future events.

我們在本次電話會議上做出的任何前瞻性陳述均基於我們今天所相信的信息，我們不承擔因新信息或未來事件而更新這些陳述的義務。

In addition to US GAAP reporting, we report certain financial measures that do not conform to generally accepted accounting principles.

除了美國公認會計準則報告外，我們還報告某些不符合公認會計原則的財務指標。

During the call, we may use non-GAAP measures if we believe it is useful to investors, or if we believe we will help investors better understand our performance or business trends.

在電話會議中，如果我們認為非公認會計準則指標對投資者有用，或者我們認為可以幫助投資者更了解我們的績效或業務趨勢，我們可能會使用非公認會計準則指標。

With that, let me now turn the call over to Tony for a few opening remarks.

說完這些，現在請容許我把電話轉給東尼，請他講幾句開場白。

Thank you, Josh, and good afternoon and thank you all for joining us today.

謝謝你，喬希，下午好，謝謝大家今天加入我們。

We closed out 2024 with another quarter of sequential growth marking our third consecutive quarter of revenue improvement as our recent efforts to position our business for sustainable growth and profitability continue to come to fruition.

我們以另一個季度的連續成長結束了 2024 年，這是我們連續第三個季度的收入成長，因為我們最近為實現業務可持續成長和盈利所做的努力繼續取得成果。

During the year we signed a total of 20 new Shield logos, and we have continued to experience near zero churn with our Shield customers.

在這一年中，我們總共簽署了 20 個新的 Shield 標誌，而我們的 Shield 客戶流失率一直保持在接近零的水平。

Furthermore, our pipeline has continued to expand with high quality opportunities driven by increasing demand for our products in the US and in the broader Asia Pacific region.

此外，由於美國和亞太地區對我們產品的需求不斷增加，我們的產品線不斷擴大，優質機會不斷湧現。

I'm delighted to report that as a result of a series of events late in December 2024 and early January 2025, we're in the best financial position the company has been in since I joined.

我很高興地報告，由於 2024 年 12 月下旬和 2025 年 1 月初的一系列事件，我們處於我加入以來公司最好的財務狀況。

As we've previously disclosed in a recent 8K filing, we are virtually debt free, have eliminated the Series A preferred stock, and have enough cash in the bank to fund our operations through fiscal year 2025 and beyond.

正如我們之前在最近的 8K 文件中披露的那樣，我們幾乎沒有債務，已經取消了 A 系列優先股，銀行有足夠的現金來資助我們到 2025 財年及以後的運營。

Now this is a significant achievement for intrusion for a few reasons.

這對於入侵來說是一項重大成就，原因如下。

First, and probably most importantly, it eliminates any need for us to further raise capital in 2025, and we have no intention of doing so absent some compelling inorganic opportunity.

首先，也可能是最重要的一點，它消除了我們在 2025 年進一步籌集資本的任何需要，而且如果沒有一些引人注目的無機機會，我們也沒有打算這樣做。

I understand that many shareholders, including myself, have been concerned about continued dilution, but I'm happy to say that with the elimination of the preferred Series A and our improved cast position, this concern should be eliminated.

我知道包括我在內的許多股東都擔心股權繼續稀釋，但我很高興地說，隨著優先股 A 系列的取消和我們股權地位的改善，這種擔憂應該會消除。

Second, the recent activities have eliminated the prior baby shelf limitations on capital raises, and should a compelling inorganic opportunity become available, we will have increased flexibility to engage in such an activity.

其次，最近的活動消除了先前對資本籌集的嬰兒貨架限制，並且如果有引人注目的無機機會出現，我們將更加靈活地參與此類活動。

Now again, currently there is no specific transaction being considered, but we now have options that frankly weren't available to us before.

現在，目前還沒有考慮具體的交易，但我們現在有了以前無法獲得的選擇。

Third, our cash position has eliminated the going concern opinion that has been an issue with our 10K for the last two years.

第三，我們的現金狀況已經消除了過去兩年來一直困擾我們10K的持續經營意見。

And while it may seem a small thing, potential customers do look at such things when considering doing business with us.

雖然這看起來是一件小事，但潛在客戶在考慮與我們做生意時確實會考慮這些事情。

With this sales barrier now gone, we've been having different and better conversations with potential customers.

現在，隨著這個銷售障礙的消失，我們可以與潛在客戶進行不同且更好的對話。

And finally, as many of our management team for the last 3 years has, out of necessity been consumed with raising capital, controlling costs, adding needed capability to our products, and managing various legal issues.

最後，由於需要，我們管理團隊的許多成員過去 3 年來一直忙於籌集資金、控製成本、增加產品所需的功能以及處理各種法律問題。

And while we will continue to manage our costs diligently, we are pleased that many of these prior hurdles are now behind us, and we can now shift our focus entirely towards our main priority of growing our business, which is a welcome opportunity for all of us.

在我們將繼續努力管理成本的同時，我們很高興看到，許多先前的障礙現在都已成為過去，我們現在可以將注意力完全轉移到發展業務的首要任務上，這對我們所有人來說都是一個可喜的機會。

While we've continued to make progress on the sales front, I'm not satisfied with the rate of increase we are currently making, and we are taking some additional measures to help accelerate our growth.

雖然我們在銷售方面不斷取得進展，但我對目前的成長率並不滿意，我們正在採取一些額外措施來幫助加速我們的成長。

We are in the process of making our ShieldCloud product available in the AWS marketplace, which is a high growth engine for many companies like ours.

我們正在將我們的 ShieldCloud 產品引入 AWS 市場，這對許多像我們這樣的公司來說是一個高成長引擎。

We are increasing our digital marketing to include better visibility and engagement on relevant social media platforms.

我們正在加強數位行銷，以提高相關社群媒體平台的知名度和參與度。

Additionally, we've also started revamping of our channel program to refine our messaging, pricing, go to market processes, and various other aspects where we've identified some gaps that have inhibited our growth.

此外，我們也開始修改我們的通路計劃，以改善我們的資訊傳遞、定價、上市流程和其他各個方面，我們發現了一些阻礙我們成長的差距。

I'm confident that the changes we are making will help us accelerate our growth and will provide for better engagement with our partners as well as improve discipline in our sales and marketing processes.

我相信，我們正在進行的變革將有助於我們加速成長，並將提供與合作夥伴更好的互動，並改善我們的銷售和行銷流程的紀律。

And while not always under our control, every quarter we've had significant deals slip into the next quarter, or we've experienced meaningful delays in onboarding, which impacts the timing of revenue and makes it hard to allocate resources properly.

雖然這並不總是在我們的控制範圍內，但每個季度我們都會有一些重大交易推遲到下個季度，或者我們在入職方面經歷了嚴重的延遲，這會影響收入的時間並使得我們難以合理分配資源。

These changes should help accelerate our time to revenue and provide a more reliable and consistent set of bookings and revenue forecasts.

這些變化應該有助於加快我們實現收入的時間，並提供更可靠、更一致的預訂和收入預測。

To ensure that we can continue to attract new customers and meet the needs of our growing customer base, we've continued to invest in R&D at a relatively constant level to improve our portfolio.

為了確保我們能夠繼續吸引新客戶並滿足不斷增長的客戶群的需求，我們一直以相對穩定的水平投資於研發，以改善我們的產品組合。

All with the goal of helping organizations address the constantly changing cybersecurity challenges that they face.

所有這些目標都是為了幫助組織應對其面臨的不斷變化的網路安全挑戰。

One of the 2024 improvements to our portfolio was the launch of the intrusion shield command hub, which is a centralized hub that gives MSPs and network administrators a way to view, manage, and report on an entire fleet of Shield products, including Endpoint, on-prem, and cloud.

我們產品組合 2024 年的一項改進是推出了入侵防護指揮中心，這是一個集中式中心，使 MSP 和網路管理員能夠查看、管理和報告整個 Shield 產品系列，包括 Endpoint、本地和雲端。

The latest features of the command hub is the addition of an AI-driven insights engine that analyses vast quantities of network activity and improves administrators' security posture by providing them with a prioritized list of actionable items based on its analysis.

命令中心的最新功能是增加了一個人工智慧驅動的洞察引擎，該引擎可以分析大量網路活動，並根據分析結果為管理員提供可操作項目的優先列表，從而改善管理員的安全態勢。

In addition to the command hub, we also recently announced the introduction of intrusion shield Sentinel, a high performance 100 gigabit monitoring appliance built for large enterprises and telecom providers, allowing for comprehensive visibility across the largest and most complex of network environments.

除了命令中心之外，我們最近還宣布推出入侵防護 Sentinel，這是一款專為大型企業和電信供應商打造的高效能 100 千兆監控設備，可在最大、最複雜的網路環境中提供全面的可視性。

Shield Sentinel delivers a scalable, data-rich monitoring appliance for our customers that will help simplify threat hunting, streamline compliance, and enhance overall security.

Shield Sentinel 為我們的客戶提供可擴展、資料豐富的監控設備，有助於簡化威脅搜尋、簡化合規性並增強整體安全性。

Early customer feedback has been promising, and we are shipping additional units in the 1st quarter for our initial paying customer.

早期客戶的回饋令人鼓舞，我們將在第一季為我們的初始付費客戶運送額外的產品。

We're also pleased to announce that we've developed and have piloted with a paying customer a new product offering to support the cybersecurity and resilience posture of critical infrastructure assets.

我們也很高興地宣布，我們已經開發並向付費客戶試用了一款新產品，以支援關鍵基礎設施資產的網路安全和彈性態勢。

And this work, while in its early stages of deployment, has great promise and ultimately will be available to critical infrastructure providers which are high value targets for both nation state and criminal enterprises.

這項工作雖然還處於部署的早期階段，但前景廣闊，最終將提供給關鍵基礎設施提供商，這些提供者是民族國家和犯罪企業的高價值目標。

More work is needed before we broadly market this new product, but I wanted to share it as it will be an important addition to our portfolio of products.

在廣泛推銷這款新產品之前，我們還需要做更多的工作，但我想分享它，因為它將成為我們產品組合的重要補充。

Now briefly on to our financials.

現在簡單介紹一下我們的財務狀況。

Total revenues for the fourth quarter were $1.7 million, representing an 11% increase on a sequential basis.

第四季總營收為 170 萬美元，季增 11%。

For fiscal 2024, revenues were $5.8 million, a 3% increase compared to fiscal year 2023.

2024 財年營收為 580 萬美元，比 2023 財年成長 3%。

As for our operating expenses, we've continued to maintain disciplined cost controls to help keep our expenses low, which have remained relatively flat on a sequential basis and are down approximately 21% for 2024 compared to the previous year.

至於我們的營運費用，我們繼續保持嚴格的成本控制，以幫助保持我們的費用處於較低水平，這些費用按季度保持相對平穩，與前一年相比，2024 年下降了約 21%。

Before I turn the call over to Kim, I would like to provide an update on our current share price.

在我將電話轉給 Kim 之前，我想先介紹一下我們目前的股價。

As many of you are aware, we received a written notice from the Nasdaq stock market back in October indicating that intrusion was not in compliance with the $1 minimum bid price requirement for continued listing.

大家可能都知道，早在 10 月份，我們就收到了納斯達克股票市場的書面通知，表明此次入侵行為不符合繼續上市的 1 美元最低出價要求。

However, as a result of the recent improvement in our share price over the past couple of months, we were informed by the listing qualification staff of NASDAQ that intrusion had successfully regained compliance.

但由於我們股價在過去兩個月內有所回升，納斯達克上市資格審查人員告知我們，入侵行為已成功恢復合規。

While we are pleased with this outcome, we are not satisfied with the current share price, and our focus will continue to remain on increasing revenue and achieving profitability, which in turn we hope will drive our stock price higher in a sustainable fashion.

雖然我們對這個結果感到滿意，但我們對目前的股價並不滿意，我們的重點將繼續放在增加收入和實現盈利上，我們希望這反過來能以可持續的方式推動我們的股價走高。

With that, I would now like to turn the call over to Kim for a more detailed review of our 4th quarter financials, Kim.

說到這裡，我現在想把電話轉給 Kim，讓他更詳細地審查我們第四季的財務狀況。

Thanks, Tony.

謝謝，托尼。

In the fourth quarter of 2024, revenues were $1.7 million an increase of 11% sequentially, and 23% when compared to the prior year period.

2024 年第四季，營收為 170 萬美元，季增 11%，比去年同期成長 23%。

Revenue for the full year ended December 31, 2024, was $5.8 million an increase of $0.2 million or 3% compared to 2023.

截至 2024 年 12 月 31 日的全年收入為 580 萬美元，較 2023 年增加 20 萬美元或 3%。

Consulting revenue in the fourth quarter totalled $1.3 million an increase of $0.3 million sequentially, and $0.4 million on a year-over-year basis.

第四季顧問收入總計 130 萬美元，比上季增加 30 萬美元，比去年同期增加 40 萬美元。

For the full year, consulting revenues totalled $4.2 million an increase of $0.2 million from last year.

全年諮詢收入總計 420 萬美元，比去年增加 20 萬美元。

Shield revenue in the fourth quarter was $0.4 million a decrease of $0.1 million both sequentially and year- over-year.

第四季 Shield 營收為 40 萬美元，比上季和去年同期均減少 10 萬美元。

For the full year, shield revenue was $1.6 million a decrease of $0.1 million or 5% from 2023 full year revenue.

全年盾牌收入為 160 萬美元，較 2023 年全年收入減少 10 萬美元或 5%。

The decline in shield revenue was due to the loss of a large early intrusion shield customer that had implemented a highly customized and non-standard configuration of the product.

防護罩收入的下降是由於失去了早期一家大型入侵防護罩客戶，該客戶實施了高度客製化和非標準的產品配置。

The loss of revenues from this customer has now been fully offset by revenues from new customers signed in recent quarters and to a large degree from the recent $2 million contract with the US Department of Défense that was previously announced.

來自該客戶的收入損失現已完全被最近幾季簽約的新客戶的收入所抵消，並且很大程度上抵消了先前宣布的與美國國防部簽訂的價值 200 萬美元的合約的收入。

Gross profit margin was 75% for the fourth quarter of 2024, compared to 79% in the fourth quarter of 2023.

2024 年第四季的毛利率為 75%，而 2023 年第四季為 79%。

Our gross profit margin will continue to vary depending on product mixes, which was the main driver for the decrease during the 4th quarter.

我們的毛利率將繼續根據產品組合而變化，這是第四季毛利率下降的主要原因。

Gross profit margin was 77% for the full fiscal year 2024, compared to 78% in fiscal 2023.

2024 財年全年毛利率為 77%，而 2023 財年為 78%。

Operating expenses in the fourth quarter of 2024 totalled $3.2 million.

2024 年第四季的營運費用總計 320 萬美元。

Flat on a sequential basis and a decrease of $0.3 million when compared to the fourth quarter of 2023.

與 2023 年第四季相比，環比持平，減少 30 萬美元。

The decrease on a year-over-year basis was primarily driven by a one-time settlement with our DNO carrier for reimbursement of legal support costs associated with the SEC investigation, which was settled in 2023.

與去年同期相比，下降的主要原因是我們的 DNO 營運商達成了一次性和解，以補償與 SEC 調查相關的法律支援費用，該和解於 2023 年達成。

Operating expenses totalled $12.9 million in 2024, representing a $3.5 million or 21% decrease from 2023.

2024 年營運費用總計 1,290 萬美元，比 2023 年減少 350 萬美元，即減少 21%。

You may recall in March 2023 we implemented cost reduction measures that resulted in the reduction of 16 permanent positions, reduced our use of contractors, and renegotiated or replaced spending on certain sales support and marketing services with less costly programs.

您可能還記得，2023 年 3 月，我們實施了成本削減措施，減少了 16 個永久職位，減少了承包商的使用，並重新協商或用成本較低的計劃取代了某些銷售支援和行銷服務的支出。

As part of our efforts to retain talent during this period, we granted equity awards to employees in March 2023 with a one year vesting.

作為我們在此期間留住人才的努力的一部分，我們於 2023 年 3 月向員工授予了為期一年的股權獎勵。

The combination of reduced non-cash share based compensation in 2024 alongside one-time negotiated contract savings and the insurance settlement mentioned above has contributed $1.4 million in savings over 2023.

2024 年非現金股權薪酬減少、一次性協商合約節省以及上述保險賠償相結合，為 2023 年帶來了 140 萬美元的節省。

As Tony mentioned earlier, we have also recently initiated several sales and marketing programs to accelerate revenue growth.

正如Tony之前提到的，我們最近也啟動了多個銷售和行銷計劃以加速收入成長。

As we grow our revenue base and increase our revenues, we may choose to increase our investment in sales and marketing and accelerate our product development in future periods.

隨著我們收入基礎的擴大和收入的增加，我們可能會選擇增加對銷售和行銷的投資，並在未來加快產品開發。

Both will increase costs.

兩者都會增加成本。

We will, however, continue to remain vigilant in all spending decisions.

然而，我們將繼續對所有支出決策保持警惕。

The net loss from operating activities for the fourth quarter of 2024 was a loss of $1.9 million $0.1 million improvement from the third quarter, and $0.5 million or 20% improvement on a year-over-year basis.

2024 年第四季的營運活動淨虧損為 190 萬美元，較第三季改善 10 萬美元，較去年同期改善 50 萬美元或 20%。

The improvement over the prior year was driven principally by reduced operating expenses.

與去年相比，業績改善的主要原因是營運費用減少。

The net loss from operating activities for the full year 2024.

2024年全年營業活動淨虧損。

Was a loss of $8.4 million a $3.6 million or 30% improvement from the full year 2023.

虧損 840 萬美元，比 2023 年全年減少 360 萬美元，即 30%。

The net loss for the 4th quarter of 2024 was a loss of $2 million or $0.36 per share.

2024 年第四季的淨虧損為 200 萬美元，即每股虧損 0.36 美元。

On a year-over-year basis, net loss improves by $0.9 million from a loss of $2.8 million in the fourth quarter of 2023.

與去年同期相比，淨虧損較 2023 年第四季的 280 萬美元改善了 90 萬美元。

The improved net loss relates to reduced operating losses resulting principally from lower operating expenses and reduced interest expense as a result of eliminating the majority of the Streeterville debt.

淨虧損的改善與營業虧損的減少有關，這主要由於營業費用的降低以及由於消除了大部分 Streeterville 債務而導致的利息支出的減少。

The net loss for the full year of 2024 was a loss of $7.8 million or $1.63 per share, a $6.1 million or 44% improvement from the prior year.

2024 年全年淨虧損為 780 萬美元，即每股虧損 1.63 美元，較前一年減少 610 萬美元，即 44%。

Turning to the balance sheet from a liquidity perspective, on December 31st, we had cash and cash equivalents of $4.9 million compared to $0.1 million in 2023.

從流動性角度來看資產負債表，截至 12 月 31 日，我們的現金和現金等價物為 490 萬美元，而 2023 年為 10 萬美元。

However, as you are all likely aware, the recent run up in our share price in December and first week of January allowed us to take several financial actions that resulted in $14.5 million in proceeds to the company and the elimination of $10.1 million notional value of all Series A preferred stock.

然而，正如大家可能已經知道的，我們股價在 12 月和 1 月第一周的上漲使我們能夠採取多項財務行動，從而為公司帶來 1,450 萬美元的收益，並消除所有 A 系列優先股 1,010 萬美元的名義價值。

To provide some more colour, these actions included the sale of $0.3 million of the company's common stock from the company's warrant inducement plan on December 27, 2024.

為了提供更多細節，這些行動包括於 2024 年 12 月 27 日根據公司認股權證誘導計畫出售價值 30 萬美元的公司普通股。

The receipt of $1.7 million from draws on the previously announced standby equity agreement with Streeterville Capital.

從先前宣布的與 Streeterville Capital 達成的備用股權協議中提取的 170 萬美元。

The sale of approximately $5 million of common stock pursuant to the ATM program during the fourth quarter of 2024.

2024 年第四季根據 ATM 計劃出售約 500 萬美元的普通股。

The closing of a registered direct offering on January 7, 2025, resulting in gross proceeds of approximately $7.5 million.

註冊直接發行於 2025 年 1 月 7 日結束，總收益約 750 萬美元。

And finally, the execution of a series of transactions exchanging 9,025 shares of Series A preferred stock with a notional value of $9.9 million for $3.5 million shares of common stock.

最後，執行一系列交易，將名義價值 990 萬美元的 9,025 股 A 系列優先股換成價值 350 萬美元的普通股。

These actions helped to strengthen our financial position and ensure that we have sufficient capital to fund operations in calendar year 2025.

這些措施有助於加強我們的財務狀況，並確保我們有足夠的資金來資助 2025 日曆年的營運。

While we do not currently have plans to raise additional capital in 2025, we filed a $100 million replacement S3 shelf registration on January 30, 2025, which went effective on February 10th.

雖然我們目前沒有計劃在 2025 年籌集額外資金，但我們於 2025 年 1 月 30 日提交了 1 億美元的替代 S3 擱置登記，並於 2 月 10 日生效。

Because our public float as calculated in accordance with general instruction 1b1 of Form S3 is above $75 million we are no longer subject to the capital raise limitations imposed by the baby shelf rule.

由於我們的公眾流通股依照 S3 表格的一般說明 1b1 計算高於 7,500 萬美元，因此我們不再受到嬰兒貨架規則所規定的資本籌集限制。

We believe this provides a great degree of financial flexibility to be able to respond to opportunities as they arise or should we have the need for additional capital.

我們相信這提供了很大程度的財務靈活性，使我們能夠在機會出現時或需要額外資本時做出反應。

With that, I'd now like to turn the call back over to Tony for a few closing comments.

說完這些，我現在想把電話轉回給托尼，請他做幾點結束語。

Tony?

托尼？

Thanks, Kim.

謝謝，金。

As we look to 2025 and beyond, we're excited about the opportunities that lie ahead, and our focus continues to remain on improving our financial performance and to drive sustainable growth.

展望 2025 年及以後，我們對未來的機會感到興奮，我們的重點將繼續放在改善財務業績和推動永續成長。

Even despite the challenging environment that we've faced over the past year, we've continued to invest in innovation, as I talked about earlier today, because this is the engine that will help us grow our business globally.

儘管過去一年我們面臨著充滿挑戰的環境，但正如我今天早些時候談到的，我們仍然繼續對創新進行投資，因為這是幫助我們在全球範圍內發展業務的引擎。

It's our belief that we have only scratched the surface of our potential as a customer base and our pipeline continue to grow amid the rising demand for cybersecurity solutions.

我們相信，我們作為客戶群的潛力才剛開始，隨著網路安全解決方案需求的不斷增長，我們的產品線也將持續成長。

It's an exciting time for intrusion, and we look forward to providing all of our stakeholders with additional updates on our first quarter earnings call.

這是一個令人興奮的入侵時刻，我們期待在第一季財報電話會議上為所有利害關係人提供更多更新資訊。

This concludes our prepared remarks, and I'll now turn the call over to the operator for Q&A.

我們的準備好的演講到此結束，現在我將把電話轉給接線員進行問答。

Thank you.

謝謝。

At this time, we'll be conducting a question-and-answer session.

這次，我們將進行問答環節。

(Operator Instructions)

（操作員指令）

And the first question today is coming from

今天第一個問題來自

Scott Buck; H. C. Wainwright.

史考特·巴克； H·C·溫賴特。

Scott, you.

史考特，你。

Hi, good afternoon, guys.

大家下午好。

Congratulations on the balance sheet progress.

祝賀資產負債表取得進展。

First question, Tony, you mentioned, you could potentially raise capital if an interesting inorganic opportunity came about.

第一個問題，東尼，你提到，如果出現有趣的無機機會，你就有可能籌集資金。

What would be compelling to you guys?

什麼對你們來說有吸引力呢？

Well, I mean, there's a whole wide range of things, but primarily it would be either an acquisition or some arrangement that significantly added to our product portfolio that would, make us even more attractive to potential customers.

嗯，我的意思是，有很多種選擇，但最主要的是，要么是收購，要么是某種安排，這些安排可以顯著增強我們的產品組合，使我們對潛在客戶更具吸引力。

As I think we've talked about many times, people often confuse us with other cybersecurity technologies.

我想我們已經談論過很多次了，人們經常將我們與其他網路安全技術混淆。

And the more we round out our capabilities, potentially there's less confusion about what we specifically do.

我們的能力越完善，人們對我們具體做什麼的困惑就可能越少。

Today we fit in a pretty narrow niche of capabilities and when we talk to customers, quite often they ask us about things that they would like to see in cybersecurity products.

今天，我們的能力範圍非常狹窄，當我們與客戶交談時，他們經常問我們他們希望在網路安全產品中看到的東西。

That they just can't find anywhere and so these are all opportunities for us to either develop something or potentially acquire specific technology that might fill some of those gaps, but I want to reiterate we don't have anything specific in mind at this point, but a couple of years ago there would have been.

他們在任何地方都找不到這些東西，所以這些都是我們開發某些東西或可能獲得特定技術的機會，這些技術可能會填補一些空白，但我想重申一下，我們目前還沒有任何具體的想法，但幾年前就會有。

A few things that we might have been interested in.

一些我們可能感興趣的事情。

We didn't have the ability to do anything about it, the world moves on, but we'll keep our eyes open and if the right thing comes along, then we, consider making a move.

我們沒有能力對此做任何事情，世界在繼續前進，但我們會保持警惕，如果有正確的事情出現，那麼我們就會考慮採取行動。

But again, right now there's nothing on the agenda.

但目前議程上還沒有任何內容。

Yeah, not the, no, I get that.

是的，不是，不，我明白。

I appreciate the added colour there.

我很欣賞那裡添加的色彩。

And then second, I was wondering if you just give a little more colour on what you guys are thinking in terms of some of these new promotional programs.

其次，我想知道您是否能更詳細地介紹一下您對於這些新促銷計劃的想法。

What are you kind of looking at here?

你在這裡看什麼呢？

And it sounds like we could see a little bit of increase in the marketing spend to push things along.

聽起來我們可以看到行銷支出略有增加以推動事情的發展。

Yeah, so the biggest problem I think we have is hardly anybody knows about us.

是的，所以我認為我們最大的問題是幾乎沒有人知道我們。

We've just not been able to make much noise in the marketplace, and so you're going to see a pretty significant increase in our visibility in the form of, relevant social media platforms, engagement with influencers and folks like that.

我們只是還沒能在市場上引起太大的轟動，所以你會看到我們在相關社交媒體平台、與有影響力的人和類似人士的互動方面的知名度有相當顯著的提升。

The good news is it doesn't cost a lot of money, but it's money we weren't spending before and now we have a little bit of flexibility to do more.

好消息是它不需要花很多錢，但這是我們以前沒有花的錢，現在我們有一點靈活性來做更多的事情。

So, I'm pretty excited about the potential for that.

所以，我對它的潛力感到非常興奮。

Okay perfect and then last one from me you mentioned the 20 new shield clients signed during the quarter.

好的，非常好，然後我最後一個問題您提到了本季度簽約的 20 個新盾牌客戶。

What is the size of the typical shield contract these days?

目前典型的盾牌合約的規模是多少？

Just trying to understand, what 20 new customers means and understanding that, maybe what that means today is not what it means 12 months from now.

只是想了解 20 個新客戶意味著什麼，並且了解，也許今天的意義與 12 個月後的意義不同。

Right, exactly.

對，確實如此。

Well, this wasn't 20 in the quarter.

嗯，本季的數字還不到 20。

This was 20 for the year, but, yeah, but I just want to be accurate here.

今年已經有 20 個了，但是，是的，我只是想在這裡準確一點。

They're all over the map, Scott, and that's one of the challenges that we've had is, how do we characterize what industries are we in, what's the size of deals.

斯科特，它們遍布各地，我們面臨的一個挑戰是，如何描述我們所處的行業，交易的規模有多大。

They've literally been all over the map and, they go as big as annual a couple $100,000 down to $5000 or $10,000.

他們的足跡遍布各地，金額從每年幾十萬美元到 5,000 美元或 10,000 美元不等。

So, we just don't have enough volume at this particular point to really fully characterize that.

所以，我們目前還沒有足夠的數量來真正全面地描述這一點。

I will say we focus the sales team on exclusively larger deals going forward and our pipeline.

我想說的是，我們將重點放在銷售團隊未來的大型交易和我們的管道。

Now reflects a significant increase in total deal size that's much larger than it historically has been when we were, just trying to find any customer we could on our merger, what I call merger sales efforts and we now have an opportunity to go much bigger and we've also got the products to support it now, so between the two, I think.

現在反映出交易總額的顯著增長，比歷史上任何時候都要大得多，當時我們只是試圖在合併中尋找任何我們能找到的客戶，我稱之為合併銷售工作，現在我們有機會做大，而且我們也有產品來支持它，所以我認為兩者之間是一致的。

I expect a significant improvement.

我期望會有顯著的改善。

Okay, perfect.

好的，完美。

Well, I appreciate the time guys.

好吧，我很感謝大家的時間。

Thank you very much.

非常感謝。

Thanks.

謝謝。

Thank you.

謝謝。

Ed Woo; Ascendiant Capital.

吳艾德升級資本。

Ed, your line is live.

艾德，您的線路正在運行。

Yeah, congratulations on all the progress you're making.

是的，祝賀你所取得的所有進步。

My question is, what are you seeing and what are you hearing out there in terms of, the sales cycle or, cybersecurity software, especially on the federal side we see that there's quite a new administration and making some big changes over there.

我的問題是，就銷售週期或網路安全軟體而言，您看到什麼和聽到什麼，特別是在聯邦方面，我們看到有一個相當新的政府在那裡進行一些重大改變。

Yeah, I think it's a fluid environment at this point is the best word I can use to describe it.

是的，我認為目前的流動環境是我能用來形容它的最佳字眼。

We've heard over and over and over again that cyber is one of the focus areas and isn't going to be subject to the same sort of reductions that you might see in some of the other areas.

我們一再聽說，網路是重點領域之一，不會像其他領域那樣受到同樣的削減。

Fortunately, most of our contracts and good customers are not in a renewal cycle period right at this particular point, so we don't think there's any short term impact.

幸運的是，我們的大多數合約和優質客戶目前還沒有處於續約週期，因此我們認為不會有任何短期影響。

What I will tell you is, and I learned this, during my time in the federal government, whenever there's change, it takes a while for new leadership to make decisions about you know what they're going to prioritize or change in terms of their spend and the career staff that are in those agencies, often wait for direction in terms of initiating any new stuff.

我要告訴你們的是，我在聯邦政府任職期間了解到，每當有變化時，新的領導層都需要一段時間來決定他們要優先考慮什麼或在支出方面做出什麼改變，而這些機構中的職業員工通常會等待指示來啟動任何新的東西。

So I guess for us what that means is, it's steady as she goes for the stuff that we have and there might be a slightly elongated cycle for New stuff, but once that kicks into gear, I suspect that we're going to see an uptrend, and this administration does look like it's moving faster than others may have in the past in terms of the areas they want to focus on.

因此，我想對我們來說，這意味著，當她繼續追求我們已經擁有的東西時，一切都會穩定下來，而新東西的周期可能會稍微延長一些，但一旦開始啟動，我懷疑我們將看到一個上升趨勢，而且就他們想要關注的領域而言，這屆政府似乎比其他政府過去的行動更快。

So overall I read it it's good for our company and but at the end of the day we'll have to wait and see.

所以總的來說，這對我們公司有利，但最終我們還得拭目以待。

That sounds great, but what about the environment for your enterprise customers?

這聽起來很棒，但是您的企業客戶的環境又如何呢？

Do you, has there really been any change in the last three months?

你覺得，過去三個月裡，真的有什麼改變嗎？

Are people a little bit more concerned or about the same as they were?

人們的擔憂是否比以前多了一些，還是和以前一樣？

Well, I think concerns are increasing as they have been for, several years.

嗯，我認為人們的擔憂正在日益增加，就像過去幾年一樣。

I mean, if you look at the rate and the frequency of cyberattacks, it just continues to go up and the core factors that have been impacting that are the imbalance between, the resources available to those who want to launch attacks.

我的意思是，如果你看看網路攻擊的速度和頻率，它只是持續上升，影響這現象的核心因素是發動攻擊的人可用的資源不平衡。

Getting less and less expensive, easier to acquire, and then the cost of defending, there's still a tremendous imbalance it's like fighting with, one arm tied behind your back.

成本越來越低，越來越容易獲得，然後是防禦成本，仍然存在巨大的不平衡，就像打架一樣，一隻手被綁在身後。

So, the attackers have an advantage, and I think most organizations are realizing that they're going to have to continue to improve their efficiency, effectiveness.

因此，攻擊者俱有優勢，我認為大多數組織都意識到他們必須繼續提高效率和效力。

And probably their spend in order to maintain, quality defences.

他們可能為了維持高品質的防禦而花費大量金錢。

So again, I think it portends well for our industry as a whole.

所以，我認為這對我們整個產業來說都是一個好兆頭。

And then lastly, I do see a lot of consolidation that will occur in the space.

最後，我確實看到該領域將會發生很多整合。

I’m in touch with a lot of PE firms and they seem to believe that same thing.

我與很多私募股權公司有聯繫，他們似乎也相信同樣的事情。

Great.

偉大的。

Well, thanks for answering my questions and I wish you guys good luck.

好吧，感謝您回答我的問題，祝你們好運。

Thanks ED

謝謝 ED

Thank you.

謝謝。

And once again, it will be one if you wish to ask a question on today's call.

再說一次，如果您想在今天的電話會議上提問，這將是一個。

Harold Zirkin; HC Investments

哈羅德·齊爾金； HC投資

Harold, your line is live.

哈羅德，您的線路已接通。

Thank you.

謝謝。

Congratulations Tony for striking while the iron is hot and being able to raise the $15 million when it was possible.

恭喜托尼趁熱打鐵，在可能的情況下籌集了 1500 萬美元。

The question is, $15 million in cash is an asset in and of itself.

問題是，1500 萬美元現金本身就是一項資產。

Invested in Treasury bills, could be earning over 4%, $600,000 a year.

投資國庫券，每年的收益可超過4%，即60萬美元。

Could you tell us where that $15 million is today and if it is in fact being productive?

您能告訴我們這 1500 萬美元現在在哪裡以及它是否真的發揮了作用嗎？

It will be productive.

這將是富有成效的。

It's a little less than 15 at this point because we've, paid off some accounts payable and other kinds of things, and we, do have an ongoing deficit, but Kim's hard at work and we're going to invest it wisely, so I think you're desire for us or your advice is spot on and it's exactly what we're going to do.

目前略少於 15，因為我們已經償還了一些應付帳款和其他類型的債務，而且我們確實存在持續的赤字，但 Kim 正在努力工作，我們將明智地進行投資，所以我認為你對我們的期望或你的建議是正確的，這正是我們要做的。

Can you tell us if you're going to use any of that money to hire additional sales people to help us loose up the sales process?

您能告訴我們您是否打算使用其中的部分資金來僱用額外的銷售人員，以幫助我們簡化銷售流程嗎？

Yeah, we have a couple of positions in the budget for this year, so it is likely that we'll do that right now we're working with a team on our whole, as I mentioned on the call, channel sales process, and one of the deliverables for that is helping us find deliverables for that work is helping us find the right person to lead our channel sales efforts.

是的，我們今年的預算中有幾個職位，所以我們很可能會現在就這樣做，我們正在與整個團隊合作，正如我在電話中提到的那樣，通路銷售流程，其中一個可交付成果是幫助我們找到這項工作的可交付成果，幫助我們找到合適的人來領導我們的通路銷售工作。

And then in turn that person will have a big say in terms of additional hiring that we may choose to do to build out that capability and some of it will do with employees and some of it will do with, hire for contract type resources so it won't all be employees.

反過來，這個人會在我們選擇進行額外招聘以構建該能力方面擁有很大的發言權，其中一些將與員工有關，一些將與僱用合約類型的資源有關，所以不會全部是員工。

Okay, good.

好的，很好。

And the last question is, you have 20 shield clients who have many of them have been with you now for over a year.

最後一個問題是，您有 20 個盾牌客戶，其中許多人已經與您合作了一年多。

Can you give us a rough idea of how many of those 20 have increased their participation and revenue obligations over the past year?

您能否大致告訴我們，這 20 家公司中，有多少家在過去一年中增加了參與和收入義務？

Thank you.

謝謝。

Yeah, so what we announced on the call was 20 new shield logos in 2024, so we had a small number before that.

是的，我們在電話會議上宣布，2024 年將有 20 個新的盾牌標誌，所以在此之前我們的盾牌標誌數量很少。

I'd say roughly a third of them have increased their commitment to us, and the others, about a third, it's too early to tell, but we think there's some expansion capability or likelihood.

我想說，其中大約有三分之一增加了對我們的承諾，其餘大約有三分之一，現在說還為時過早，但我們認為他們具有一定的擴張能力或可能性。

And then there's about a third that I think are probably going to stay pretty close to where they are right now, but that'd be my rough guesstimate in terms of A how those how those play out.

還有大約三分之一，我認為可能會保持在與現在相當接近的位置，但這只是我對它們如何發揮作用的粗略估計。

Thank you very much.

非常感謝。

Good luck for the coming quarters.

祝未來幾季好運。

Thanks.

謝謝。

Thank you.

謝謝。

Howard Bruce; Wellington Shields

霍華·布魯斯威靈頓盾牌

Howard, your line is live.

霍華德，您的電話正在通話中。

Thank you, Tony, I appreciate your optimism on the call, certainly is well warranted.

謝謝你，東尼，我很欣賞你在電話中表現出的樂觀態度，這當然是有道理的。

When you talk about opportunities, can you discuss the size of the opportunities you're talking about?

當您談到機會時，您能討論一下您所談論的機會的規模嗎？

1 and 2, the geographic areas.

1和2，地理區域。

Sure, so as I think we've been very active in Asia, Philippines in particular, and then now we're also increasing our focus in the US obviously.

當然，我認為我們在亞洲非常活躍，尤其是菲律賓，現在我們顯然也在加大對美國的關注。

I've refocused the sales team's efforts to be deals that are $100,000 or more.

我已將銷售團隊的努力重點重新調整為 100,000 美元或以上的交易。

Everything else below that should come through our resale partners and so we now have calls every other week with those resale partners on those lesser deals, and our team is focused on 100,000 up and so when I look at our pipeline, what I see is a change in the mix.

以下所有其他產品都應該透過我們的轉售合作夥伴進行，因此，現在我們每隔一周就會與這些轉售合作夥伴就那些較小的交易進行通話，我們的團隊專注於 100,000 以上產品，因此，當我查看我們的管道時，我看到的是組合的變化。

We were spending a lot of time on a lot of small deals prior to this, and obviously that doesn't make sense.

在此之前，我們花了很多時間在許多小交易上，顯然這沒有意義。

So the ones that we're really focused on and putting our energy into are ones that are 100,000 plus and we have several that are multiples of that in the pipeline, so that's kind of where our focus is.

因此，我們真正關注並投入精力的是那些數量超過 100,000 的項目，而且我們還有好幾個項目正在籌備中，這些項目的數量是這個數字的數倍，所以這差不多就是我們的重點。

That's all I have for the moment.

目前我所知道的就是這些。

Thank you.

謝謝。

Great thanks Howard.

非常感謝霍華德。

Thank you.

謝謝。

And there were no other questions in the queue at this time?

此時隊列中沒有其他問題嗎？

I would now like to hand the call back over to your host, Mr. Tony Scott.

現在我想將電話交還給主持人托尼·斯科特先生。

All right, well thanks everyone.

好的，謝謝大家。

I appreciate the support and the questions.

我感謝您的支持與提問。

I really am looking forward to the next few months.

我真的很期待接下來的幾個月。

I think it's a breakout period for us.

我認為這對我們來說是一個突破時期。

We've got way more flexibility and room to maneuver than we've ever had since I've joined the company.

自從我加入公司以來，我們擁有比以前更大的靈活性和迴旋餘地。

I think if you talk to any of our staff, you'll see a renewed.

我想如果你與我們的任何一位員工交談，你會發現一種煥然一新的感覺。

And reinvigorated [esprit de corps] for the work that we can do in the future in front of us.

並重新激發了[團隊精神]以應對我們未來可以開展的工作。

And so, I'm really excited about it.

因此我對此感到非常興奮。

The team's excited and we do think that a lot of the things that we've been working hard on for the last two years in particular.

團隊很興奮，我們確實認為很多事情尤其是過去兩年我們一直在努力完成的。

Now have a chance to blossom and grow.

現在有機會開花結果、茁壯成長。

So looking forward to talking to you all soon and thanks for all of your help.

期待很快與你們交談，並感謝你們所有的幫助。

Take care.

小心。

Thank you.

謝謝。

This does conclude today's conference.

今天的會議到此結束。

You may disconnect your lines at this time and have a wonderful day.

此時您可以斷開您的線路並享受美好的一天。

Thank you for your participation.

感謝您的參與。