Terran Orbital Corp (LLAP) 2024 Q1 法說會逐字稿

Welcome to the Terran Orbital Q1 2024 earnings call. My name is Carla, and I'll be coordinating your call today. (Operator Instructions)

歡迎參加 Terran Orbital 2024 年第一季財報電話會議。我叫卡拉，今天我將協調您的電話。（操作員說明）

I turn the call over to John Siegmann, Senior Vice President of Corporate Development in Terran Orbital to begin, please go ahead.

我將電話轉給 Terran Orbital 企業發展資深副總裁約翰‧西格曼 (John Siegmann)，請繼續。

Thank you, Carla. Good morning, everyone, and thank you for joining Terran Orbital's first-quarter 2024 earnings call. With me this morning are Marc Bell, Co-Founder, Chairman and Chief Executive Officer of Terran Orbital Corporation; Mathieu Riffel, Acting Chief Financial Officer, Corporate Controller, Terran Orbital

謝謝你，卡拉。大家早安，感謝您參加 Terran Orbital 的 2024 年第一季財報電話會議。今天早上和我在一起的有 Terran Orbital Corporation 共同創辦人、董事長兼執行長 Marc Bell； Mathieu Riffel，Terran Orbital 代理財務長、公司財務長

Marc will provide a business update and highlights for the past quarter, and then Mat will review the quarterly results. Terran Orbitals Executive team then will be available to answer your questions.

馬克將提供上一季的業務更新和亮點，然後馬特將審查季度業績。Terran Orbitals 執行團隊隨後將回答您的問題。

During today's call, we will make certain forward-looking statements. These statements are based on our current expectations and assumptions and as a result are subject to risks and uncertainties. Many factors could cause actual events to differ materially from forward-looking statements made on this call. For more information about these risks and uncertainties, please refer to the company's filings with the Securities and Exchange Commission, each of which can be found on our website, www.terranorbital.com.

在今天的電話會議中，我們將做出某些前瞻性聲明。這些陳述是基於我們目前的預期和假設，因此存在風險和不確定性。許多因素可能導致實際事件與本次電話會議中所做的前瞻性陳述有重大差異。有關這些風險和不確定性的更多信息，請參閱公司向美國證券交易委員會提交的文件，每份文件均可在我們的網站 www.terranorbital.com 上找到。

Readers are cautioned not to put any undue reliance on forward-looking statements and the company specifically disclaims any obligation to update the forward-looking statements that may be discussed during this call.

請讀者不要過度依賴前瞻性陳述，且該公司明確表示不承擔更新本次電話會議期間可能討論的前瞻性陳述的義務。

Please also note that we will refer to certain non-GAAP financial information on today's call you can find reconciliations of these non-GAAP financial measures with the most comparable GAAP measures in our earnings press release.

另請注意，我們將在今天的電話會議上參考某些非 GAAP 財務訊息，您可以在我們的收益新聞稿中找到這些非 GAAP 財務指標與最具可比性 GAAP 指標的調整表。

With that, I will turn it over to Marc.

這樣，我就把它交給馬克了。

I just realized there's a thing called the mute button. So I'm going to start totally from scratch again. Apologies. Thank you, Jon, and welcome and thank you, everyone, for joining our first-quarter 2024 our earnings call. In light of the company's strategic review, management decided to cancel the previously scheduled fourth quarter and full year 2023 earnings conference call.

我剛剛意識到有一個東西叫做靜音按鈕。所以我將再次從頭開始。抱歉。謝謝喬恩，歡迎並感謝大家參加我們的 2024 年第一季財報電話會議。根據公司的策略評估，管理層決定取消原定的第四季和 2023 年全年財報電話會議。

Although the strategic review is still ongoing, we are hosting today's conference call to keep our stakeholders up to date on recent events and first quarter results. I'm going to go a little off-script here for a minute if you don't mind.

儘管策略審查仍在進行中，但我們將舉辦今天的電話會議，以使我們的利害關係人了解最新事件和第一季業績。如果你不介意的話，我會稍微脫離劇本一下。

I don't think people are realizing we have [robotic], which is amazing program that we won last year, but people are realizing we have $400 million of signed backlog, which becomes revenue and it becomes revenue over the course of the next 18 to 24 months.

我認為人們沒有意識到我們有[機器人]，這是我們去年贏得的一項令人驚嘆的項目，但人們意識到我們有4 億美元的已簽約積壓訂單，這將成為收入，並在接下來的18 年中成為收入至 24 個月。

So that's money that will bill the bulk of it is from Lockheed Martin, and we're very appreciative of our relationship with Lockheed Martin that continues to grow stronger every day. We are rapidly we're changing our workforce here a little bit until we've gone from only 675 to 695 people, yet our throughput has gone up dramatically and we're able to reduce and our workforce is changing it now just under 20% of our workforce is now cleared, as we're going to be moving more and more into do more classified work, more work for the government and the DoD.

因此，大部分資金將來自洛克希德馬丁公司，我們非常感謝我們與洛克希德馬丁公司的關係日益密切。我們正在快速地對這裡的勞動力進行一些調整，直到我們從 675 人增加到 695 人，但我們的吞吐量已大幅上升，我們能夠減少人員數量，現在我們的勞動力正在改變不到 20%我們的勞動力現在已經清理完畢，因為我們將越來越多地從事更多的機密工作，為政府和國防部做更多的工作。

And I think these are important metrics to see how that $400 million because revenue and I don't think people are quite grass with that, because we realize it looks like revenues were down this quarter, but we have just under 50 space vehicles that will be delivered in 2024 alone. With that, I'm going to get back to the script but I just want to make some quick points upfront, so hopefully give you some context to the rest of the conversation.

我認為這些都是重要的指標，可以看出這4 億美元的收入如何，我認為人們對此不太滿意，因為我們意識到本季的收入似乎有所下降，但我們有不到50 架太空飛行器將僅 2024 年即可交付。說到這裡，我將回到劇本，但我只想預先提出一些要點，所以希望能為您提供一些有關對話其餘部分的背景資訊。

Let me remind you that the critical mission of 10 team is pursuing historically space with domain of which we all known but few Nation states with the covalent time to build bespoke billion-dollar satellites that took 5 to 10 years to manufacture. Today turnover, strategic investing in manufacturing capacity to enable production at a mass scale with the efficiencies and significant improvement in speed and that efficiency comes without significant headcount expansion.

讓我提醒您，10 團隊的關鍵任務是追求歷史上的太空，其領域是我們都知道的，但很少有國家有時間建造價值數十億美元的定制衛星，這些衛星的製造需要5 到10年的時間。今天的營業額是對製造能力的策略性投資，以實現大規模生產，同時提高效率和速度的顯著提高，而這種效率是在不大幅擴張員工人數的情況下實現的。

So we could dramatically increase the amount we can manufacture with only increasing our headcount just only just 20 people over the course of the past three months. We are utilizing modular design, automation component standardization to drive synchronized improvements in speed, cost, and quality. Our automation is extended beyond satellite components to satellite assembly and integration.

因此，在過去三個月中，我們只需增加 20 名員工，就可以大幅增加我們的生產量。我們正在利用模組化設計、自動化組件標準化來推動速度、成本和品質的同步改進。我們的自動化已從衛星組件擴展到衛星組裝和整合。

We are realizing both cost savings and quality improvement from our recent investments in production out of capacity and automation. Approval of our success was clearly our early delivery of the 10 satellites for transport layer, trans zero to our customer and partner, Lockheed Martin and supported the Space Development Agency.

透過最近對產能和自動化生產的投資，我們正在實現成本節約和品質提高。我們的成功顯然是對我們成功的認可，因為我們提前向我們的客戶和合作夥伴洛克希德馬丁公司交付了 10 顆用於傳輸層、跨零的衛星，並為太空發展局提供了支持。

It took only 26 months from contract to work to delivery of our space vehicles from our facility in California. While 26 months is a significant improvement relative to the years of traditional would take to complete a new satellite program where it's not stopping here.

從簽訂合約到開始工作，再到從我們位於加州的工廠交付航天器，僅用了 26 個月的時間。與完成新衛星計畫所需的傳統時間相比，26 個月是一個顯著的進步，但它不止於此。

We have plans to further reduce manufacturing time to just weeks and have announced plans to be able to accommodate, 30-D lead time for standard space vehicles. The successful collaboration with Terran Orbital and Lockheed Martin has blossomed into significant relation.

我們計劃進一步將製造時間縮短至幾週，並宣布計劃能夠適應標準太空船的 30 天交貨時間。與 Terran Orbital 和洛克希德馬丁公司的成功合作已經發展成為重要的關係。

We are proud to announce additional contracts following our initial success, including the award contract we announced last night this is just the beginning as we see a vast opportunity set as department of event increasingly relies on commercial stage companies for national security missions.

在取得初步成功後，我們很自豪地宣布更多合同，包括我們昨晚宣布的授予合同，這只是一個開始，因為隨著活動部門越來越依賴商業舞台公司執行國家安全任務，我們看到了巨大的機會。

As of March 31, we have over $25 billion of identified pipeline over 140 programs across a globally diverse customer set and use markets include defense, intelligence, remote sensing, broadband communications, 5G, direct to handset and on-orbits from (inaudible) and beyond. Our current capacity, we are positioned to execute on multiple mega constellations of space vehicles such as the SCA and Rivada and many others.

截至3 月31 日，我們已確定的管道超過250 億美元，有超過140 個項目，涵蓋全球多樣化的客戶群和使用市場，包括國防、情報、遙感、寬頻通訊、5G、直接到手機和在軌（聽不清楚）和超過。我們目前的能力定位於在 SCA 和 Rivada 等多個巨型太空船星座上執行任務。

I maintain the ability to flex our resources to rapidly match customer demand. Equally important, our design and manufacturing capabilities uniquely position Terran Orbital to deliver highly engineered space vehicles and high volumes within compressed time frames to meet each other's mission needs. And we do this at a fraction of historical costs.

我保持靈活運用資源以快速滿足顧客需求的能力。同樣重要的是，我們的設計和製造能力使 Terran Orbital 能夠在壓縮的時間內大量交付精心設計的太空船，以滿足彼此的任務需求。我們以歷史成本的一小部分來做到這一點。

Disrupting an industry has its challenges. A key pillar of our strategic vision has been vertical integration. As I've always said, if you control your supply chain, you control your destiny. The benefits of vertical integration are best evidenced by our recent replacement of a propulsion subcontractor to protect that program schedule.

顛覆一個產業是有挑戰的。我們策略願景的一個關鍵支柱是垂直整合。正如我一直說的，如果你控制了你的供應鏈，你就控制了你的命運。我們最近更換了推進分包商以保護專案進度，這最好地證明了垂直整合的好處。

I am proud of our team's proactive decision to pivot to alternative propulsion solution Mat will provide further detail on the accounting impact of the first quarter, but I want none of provided shareholder to doubt our long-term consequences of this decision.

我為我們團隊主動決定轉向替代推進解決方案感到自豪。

At the end of the day, our goal is deliver customers' missions on time and on budget. And unfortunately, with the supply chain as today, 85% of our supply chain we manufacture in-house, [it represents one of] the modules are manufactured in house. We don't have around CSC, just printed board circuit assembly facilities or testing facilities, shaker table, T-vax, we have our own torque water assembly on harnessing shop. But the reality is anything of the outsource we're at the mercy of subcontractors.

歸根究底，我們的目標是按時、按預算交付客戶的任務。不幸的是，就目前的供應鏈而言，我們供應鏈的 85% 是我們內部製造的，[它代表其中之一]模組是內部製造的。我們周圍沒有CSC，只有印刷板電路組裝設施或測試設施、振動台、T-vax，我們在線束車間有自己的扭矩水組件。但現實情況是，我們的任何外包工作都受到分包商的擺佈。

And that unfortunately is getting more and more difficult in this environment, which is why we continue to bring things in house. We realized over the past few years, we've invested hundreds of millions of dollars in building and designing our own components and modules, bring things in house, but the future over the next $400 million of orders that we're delivering.

不幸的是，在這種環境下，這變得越來越困難，這就是我們繼續將東西帶入內部的原因。我們意識到，在過去的幾年裡，我們已經投資了數億美元來建造和設計我們自己的組件和模組，並將產品引入內部，但未來我們將交付接下來的 4 億美元訂單。

And beyond the impact of that will be significant on our financial statements as we drive to become EBITDA positive. But other challenges have been the timing of orders in pivotal capital markets, which have constrained available capital for our customers constellation plans. Our customers have to raise money on the commercial space, not the DoD space and we're very cognizant of that.

除此之外，隨著我們努力實現 EBITDA 為正值，這一影響將對我們的財務報表產生重大影響。但其他挑戰是關鍵資本市場的訂單時間，這限制了我們客戶星座計畫的可用資本。我們的客戶必須在商業領域籌集資金，而不是國防部領域，我們非常清楚這一點。

We share our shareholders' frustration with some delays on company and industry have experienced. With that we are steadfast in our confidence and long-term prospects for the industry and our company's positioning.

我們和股東一樣對公司和行業的一些延誤感到沮喪。因此，我們對產業和公司的定位充滿信心和長期前景。

As a result of these delays, our team responsibly throttled back capital expenditures, tightened discretionary expenditures, the intent was to flex appropriately to the delays while preserving the option to ramp capacity demands of these pending mega constellations may acquire.

由於這些延誤，我們的團隊負責任地限制了資本支出，收緊了可自由支配的支出，目的是適當地靈活應對延誤，同時保留增加這些待定巨型星座可能獲得的容量需求的選擇。

Would like to talk about the specific operational highlights. We did make substantial investments in our design manufacturing capabilities over the past few years. We just completed our 60,000 square foot addition to our original manufacturing facility. As we speak, we have well over 40 space vehicles in the final stages of assembly on manufacturing floor. And we expect to launch just under 53 vehicles this year, that would be a result is a record for us.

想談談具體的操作亮點。在過去的幾年裡，我們確實在設計製造能力方面進行了大量投資。我們剛剛完成了原製造工廠 60,000 平方英尺的擴建。就在我們說話的時候，我們的製造車間有 40 多輛太空船處於組裝的最後階段。我們預計今年將推出不到 53 輛汽車，這對我們來說將是一個記錄。

Late last year, we opened our advanced printed circuit board assembly lines. We now have the capacity to assemble over 5,000 printed circuit boards per month. Yields have exceeded our original optimistic expectations, and we are thrilled with the progress we are making. We are seeing estimated 30% reduction to certain elements of our centers, satellite bus costs and PCBA lines alone are yielding almost 100% every time.

去年年底，我們開設了先進的印刷電路板組裝線。我們現在每月有能力組裝 5,000 多塊印刷電路板。產量超出了我們最初的樂觀預期，我們對所取得的進展感到非常興奮。我們看到我們中心的某些部分估計減少了 30%，僅衛星總線成本和 PCBA 線每次的收益率就幾乎達到 100%。

Our next capacity addition, which we truly announced is our new 94,000 square foot facility here in Irvine, which we expect to be handed over to us in the coming months as [pivotal] construction is nearly complete. The facility offers us the ability to scale and add capacity on the frequency and magnitude of new customer awards.

我們真正宣布的下一個產能增加是我們在爾灣新建的 94,000 平方英尺的設施，我們預計將在未來幾個月內將其移交給我們，因為[關鍵]建設已接近完成。該設施使我們能夠根據新客戶獎勵的頻率和規模來擴展和增加容量。

We are actively pursuing other constellation opportunities that would depend on this capacity, and we expect to open this facility no later than Q1 2025. I am proud of the progress Terran Orbital has made in building the infrastructure to supply space vehicles at mass scale with the speed, quality, and pricing that our customers desire.

我們正在積極尋求依賴此產能的其他星座機會，我們預計不遲於 2025 年第一季開設該設施。我為 Terran Orbital 在建設基礎設施方面取得的進展感到自豪，該基礎設施以客戶期望的速度、品質和價格大規模供應航天器。

I am also happy to update you the progress in support of the Space Development Agency programs. Yesterday, we announced our selection by our partner, Lockheed Martin, to build 18 space vehicles offer transport layer tranche to -- tracking layer tranche to the SLE proliferated Warfighter architect (inaudible) sorry, 16 of these satellites are planned to be wide field of view, missile warning, missile tracking space vehicles with infrared sensors and the remaining two three vehicles will carry missile defense infrared sensors.

我也很高興向您通報支持太空發展局計畫的最新進展。昨天，我們宣布我們的合作夥伴洛克希德馬丁公司選擇建造18 顆太空飛行器，為SLE 擴散的戰鬥機建築師提供傳輸層部分和跟踪層部分（聽不清）抱歉，其中16 顆衛星計劃廣泛應用於太空領域。

This award expands our participation to an entirely new layer of the STA's mission architecture. Our team, near term priority is completed in the 4G space vehicles of the Tranche 1 trans layer, which aim to deliver as many vehicles this month then key 10 vehicles per month thereafter. I am proud of our nimble supply chain management to protect our customers' schedule by being able to pivot quickly to replaced our contractors who were unable to deliver.

該獎項將我們的參與範圍擴大到了 STA 任務架構的全新層面。我們團隊的近期優先任務是完成第 1 階段跨層的 4G 太空飛行器，目標是本月交付盡可能多的車輛，然後每月交付 10 輛車。我為我們靈活的供應鏈管理感到自豪，能夠快速更換無法交付的承包商，從而保護客戶的日程安排。

Regarding the company's program with Rivada, we continue to execute on the program, although it was a modest contributor to our first quarter revenue. We have agreed in principle on a payment schedule that we will believe will keep the program on track and make the launch timetable. For further information, we please contact Rivada directly at the customer's request.

關於公司與 Rivada 的計劃，我們繼續執行該計劃，儘管它對我們第一季收入的貢獻不大。我們已原則上就付款時間表達成一致，我們相信這將使該計劃保持在正軌上並製定啟動時間表。如需了解更多信息，請根據客戶要求直接聯繫 Rivada。

Now I'd like to provide an update on our strategic review process. On March 1, we received an all-cash proposal from Lockheed Martin, one of our largest stakeholders and partners, Lockheed, who already owns -- has the right to acquire approximately 27.7% of Terran shares proposed buying all to Terran shares that pricing up $1 a share, which represented a 6.5% discount to the then current market price of $1.7.

現在我想提供有關我們策略審查流程的最新資訊。3 月1 日，我們收到了洛克希德馬丁公司（我們最大的利益相關者和合作夥伴之一）的全現金提案，洛克希德公司已經擁有——有權收購大約27.7% 的Terran 股票，提議購買全部給定價上漲的Terran 股票。

In response Terran Orbital adopted a shareholder rights plan or the shareholders' rights plan was intended to encourage anyone seeking to acquire the company, including Lockheed Martin, to negotiating the Board prior to attempt to close the transaction it's not in the best interest of stakeholders.

作為回應，Terran Orbital 採取了一項股東權利計劃，或者該股東權利計劃旨在鼓勵任何尋求收購該公司（包括洛克希德馬丁公司）的人在嘗試完成交易之前與董事會進行談判，但這不符合利害關係人的最佳利益。

A special committee of the board was diligently evaluating the [lucky] modern proposal as part of the company's ongoing strategic review alternatives, including direct engagement with Lockheed Martin. On April 30 Lockheed Martin was drew the proposal. However, the strategic review is still ongoing and allows us to explore all options. There is no guarantee, however, this will result in any transaction or strategic alternative.

董事會的一個特別委員會正在認真評估[幸運的]現代提案，作為公司正在進行的戰略審查替代方案的一部分，包括與洛克希德·馬丁公司的直接接觸。4 月 30 日，洛克希德馬丁公司收到了該提案。然而，戰略審查仍在進行中，使我們能夠探索所有選擇。然而，不能保證這會導致任何交易或戰略選擇。

The special committee does not provide -- does not intend to provide any updates on the review unless and until it deems further disclosure is appropriate. We value a lot of our Lockheed Martin as a customer, investor, and strategic partner and look forward to continued collaborate -- continued our collaboration under a strategic cooperation agreement, which runs through 2035.

特別委員會不會提供——也不打算提供有關審查的任何最新情況，除非且直到其認為進一步披露是適當的。我們非常重視洛克希德馬丁公司作為客戶、投資者和戰略合作夥伴的地位，並期待繼續合作——根據戰略合作協議繼續合作，該協議將持續到 2035 年。

I wouldn't believe this continuing partnership was reinforced by this week's Tranche 2 tracking award, which shows that we are still working together on programs across the board. Overall, I am proud of what we've accomplished and where we're heading.

我不相信本週的第 2 期追蹤獎強化了這種持續的夥伴關係，這表明我們仍在全面合作開展專案。總的來說，我對我們所取得的成就和前進的方向感到自豪。

With that, I'll hand the call over to Mat to review our financial performance in the quarter and the year-end. Mat?

接下來，我會將電話轉交給馬特，以審查我們本季和年底的財務表現。墊？

Thank you, Marc, and good morning, everyone. Now onto the financial result for the quarter, revenue for the first quarter of 2024, was $27.2 million, down 3% relative to the same quarter in 2023. The decrease in revenue was primarily driven by unfavorable EAC adjustments on a single program due to challenges with a subcontractor, partially offset by an increase in revenue due to the continued and increased level of progress made in satisfying our customer contracts.

謝謝你，馬克，大家早安。現在來看本季的財務業績，2024 年第一季的營收為 2,720 萬美元，較 2023 年同一季度下降 3%。收入下降主要是由於分包商面臨的挑戰而對單一專案進行不利的 EAC 調整，但由於滿足客戶合約方面取得的進展持續增加而導致收入增加，部分抵消了收入的下降。

As a reminder, EAC adjustments represent net changes during the period in our aggregate program contract values, estimated cost at completion, program estimates and changes and include the cost overruns and recognition of loss reserves.

需要提醒的是，EAC 調整代表了該期間我們的專案合約總價值、預計完成成本、專案估計和變化的淨變化，包括成本超支和損失準備金的確認。

As disclosed in our third quarter 2023 earnings call, our team made a strategic decision to arrange for an alternative subcontractor as a contingency plan. Unfortunately, our intuition proved correct as evidenced by ongoing challenges by the subcontractor in 2024, the majority of our $13.1 million negative EAC adjustments to the first quarter revenue reflects our complete pivot away from the initial subcontractors.

正如我們在 2023 年第三季財報電話會議中所揭露的，我們的團隊做出了一項策略決定，即安排替代分包商作為應急計畫。不幸的是，我們的直覺被證明是正確的，分包商在2024 年面臨的持續挑戰證明了這一點，我們對第一季收入1310 萬美元的負EAC 調整中的大部分反映了我們完全放棄了最初的分包商。

This event ultimately added a significant amount of estimated cost to the program negatively impacting our cumulative revenue recognized on a percent completion basis to the program, though this revenue will be recognized in future reporting periods.

該事件最終增加了該計劃的大量估計成本，對我們按完成百分比確認的累積收入產生了負面影響，儘管該收入將在未來的報告期間確認。

While we are disappointed with the negative impact on this quarter's results. The proactive decision last year has at least helped mitigate this program schedule and financial impact from being worse.

雖然我們對本季業績的負面影響感到失望。去年的主動決定至少有助於減輕該計劃時間表和財務影響的惡化。

Gross loss for the first quarter of '24 was $6.2 million compared to $1.4 million in the prior year. Excluding share-based compensation and depreciation and amortization included in cost of sales. Our adjusted gross loss was $3.4 million for the first quarter compared to adjusted gross profit of $2.3 million in the same period in 2023.

2024 年第一季的毛虧損為 620 萬美元，而去年同期為 140 萬美元。不包括股權激勵以及銷售成本中包含的折舊和攤提。第一季調整後毛虧損為 340 萬美元，而 2023 年同期調整後毛利為 230 萬美元。

EAC adjustments, primarily related to the subcontractor discussed earlier, negatively impacted gross loss, and adjusted gross profit by an estimated $13.6 million during the period. Selling, general and administrative expenses were $28.3 million in the first quarter of 2024 compared to $32.5 million in the same period in the prior year.

EAC 調整主要與前​​面討論的分包商有關，對總損失產生了負面影響，並在此期間調整了毛利約 1,360 萬美元。2024 年第一季的銷售、一般及管理費用為 2,830 萬美元，而去年同期為 3,250 萬美元。

The decrease in selling, general and administrative expenses was primarily due to a decrease in share-based compensation expense and a decrease in research and development activities. These decreases were partially offset by an increase in administrative labor and benefits due to the increase in headcount on a comparative basis. Overall we're at a point where our selling, general and administrative expenses should be materially stabilized compared to our historical growth trends.

銷售、一般和管理費用的減少主要是由於股權激勵費用的減少以及研發活動的減少。這些減少被由於員工人數相對增加而導致的行政勞動力和福利的增加部分抵消。整體而言，與我們的歷史成長趨勢相比，我們的銷售、一般和管理費用應該會大幅穩定。

Adjusted EBITDA was negative $28.2 million for the first quarter of 2024 compared to $22.6 million in the same quarter of 2023. The decrease in adjusted EBITDA was primarily due to a decrease in our adjusted gross profit.

2024 年第一季調整後 EBITDA 為負 2,820 萬美元，而 2023 年同一季度為 2,260 萬美元。調整後 EBITDA 的下降主要是由於調整後毛利的下降。

Our backlog at the end of the quarter was $2.7 billion, of which $2.4 billion was related to our contract with Rivada, and approximately $300 million was related to non-Rivada program. As of today, backlog is estimated to be over $2.8 billion, inclusive of approximately $400 million of non-Rivada programs due to our second quarter awards, which have exceeded $100 million so far.

截至本季末，我們的積壓訂單為 27 億美元，其中 24 億美元與我們與 Rivada 的合約有關，約 3 億美元與非 Rivada 項目有關。截至今天，積壓訂單估計超過 28 億美元，其中包括由於我們第二季度獎勵而產生的約 4 億美元的非 Rivada 項目，迄今為止該金額已超過 1 億美元。

So far, our programs generally take 18 to 24 months to complete, and our backlog is expected to be fully recognized as revenue by the end of 2026. Capital expenditures were slightly down during the first quarter of 2024 and primarily related to our finishing touches on 50 tech.

到目前為止，我們的專案通常需要 18 至 24 個月才能完成，我們的積壓預計將在 2026 年底完全確認為收入。2024 年第一季資本支出略有下降，主要與我們對 50 項技術的收尾工作有關。

Our capital expenditures going forward will largely be related to our new facility. And the timing and extent of our capital expenditures is flexible in relation to the addition of new awards that require the level of increased capacity that facility can offer. Finally, as of March 31, we had approximately $43.7 million of cash on hand and approximately $316.7 million of gross debt obligations.

我們未來的資本支出將主要與我們的新設施有關。我們的資本支出的時間和範圍相對於增加新獎項而言是靈活的，這些新獎項需要設施可以提供的能力增加水準。最後，截至 3 月 31 日，我們手頭現金約為 4,370 萬美元，債務總額約 3.167 億美元。

We remain excited about building on our success from 2023 into a strong 2024. As we have numerous large opportunities, we are actively working on or waiting to hear back on. Efficient and successful execution of our new and existing contracts and becoming adjusted EBITDA positive in 2024 are our top priorities for our team.

我們仍然對在 2023 年的成功基礎上再接再厲，邁向強勁的 2024 年感到興奮。由於我們有許多巨大的機會，我們正在積極努力或等待回應。有效率、成功地執行我們的新合約和現有合同，並在 2024 年實現調整後的 EBITDA 為正值是我們團隊的首要任務。

As highlighted in our previous calls, the exact timing of execution of our new contracts is an important variable impacting near-term results. Given this timing uncertainty as well as our ongoing strategic review, we are withholding from providing guidance for the current year.

正如我們先前的電話會議中所強調的，新合約的確切執行時間是影響近期業績的一個重要變數。鑑於這種時間上的不確定性以及我們正在進行的策略審查，我們暫不提供本年度的指導。

I will now turn the call back over to Marc for his concluding remarks. Thank you.

現在，我將把電話轉回給馬克，讓他作總結發言。謝謝。

Thank you, Mat, and thank you, everyone, on the call for your continued support of Terran Orbital, the future space as responsive and Terran Orbital at the forefront, we are not just driving growth, we plan on shaping the future of the space economy. We are committed to becoming the undisputed leader in responsive space solutions.

謝謝你，Mat，謝謝大家，謝謝你們對 Terran Orbital 的持續支持，未來的太空反應迅速，Terran Orbital 走在最前沿，我們不僅在推動成長，我們還計劃塑造太空的未來經濟。我們致力於成為響應式空間解決方案無可爭議的領導者。

I now look forward to taking your questions, and I'll turn it over to the operator.

我現在期待回答您的問題，並將其轉交給接線員。

(Operator Instructions) Erik Rasmussen, Stifel.

（操作說明）Erik Rasmussen，Stifel。

Yeah, thanks for taking the questions. And I just see the step up it in the backlog. Maybe on the moderate -- maybe on the new contract with -- you signed with Lockheed for the 18 satellites, the value per satellite for Lockheed when we looked at it was almost three times what it was awarded per satellite for the transport layer. How should we think about your value on this latest award, given you are at roughly $3.5 million per satellite on the previous awards?

是的，感謝您提出問題。我只是在待辦事項清單中看到了它的進展。也許在溫和的情況下——也許在新合約上——你與洛克希德公司簽署了18 顆衛星的合同，當我們看到洛克希德公司每顆衛星的價值幾乎是其傳輸層每顆衛星的價值的三倍。鑑於您在先前的獎項中每顆衛星的價值約為 350 萬美元，我們應該如何看待您在最新獎項中的價值？

Sure, tracking layer of the translator -- the tracking layers of far more sophisticated solution than what you would see on the transfer layer, they're different kinds of satellites. The buses that we provide has some similar components and some unique components on that. So we're not allowed to go into the detail on price for bus was hired for.

當然，翻譯器的追蹤層——比您在傳輸層上看到的更複雜解決方案的追蹤層，它們是不同類型的衛星。我們提供的總線有一些相似的組件和一些獨特的組件。因此，我們不被允許詳細了解租用巴士的價格。

Okay. So you'd say it would be higher than, than what we've said previously, just because of the content and the data more sophisticated?

好的。所以你會說它會比我們之前所說的更高，只是因為內容和數據更複雜？

Yeah, it's higher that's more sophisticated as you have more stability needed for the payloads that are on board further to do their mission.

是的，它越高，就越複雜，因為船上的有效載荷需要更高的穩定性來進一步執行其任務。

Okay. And I appreciate on, it's probably difficulty in complexity around Rivada and given sort of guidance. But is there any color you can provide to help sort of structure the revenue ramp this year, we know the backlog was $2.7 billion. I think the disclosures in the queue suggests 80% realized by the end of next year and then the remainder in 2026. But not really sure how this will layer into sort of this year and next. So any sort of commentary you could give would be helpful.

好的。我很欣賞，Rivada 周圍的複雜性可能存在困難，並提供了某種指導。但是您可以提供任何顏色來幫助安排今年的收入成長嗎？我認為隊列中的披露表明 80% 將於明年年底實現，其餘部分將在 2026 年實現。但不太確定今年和明年這將如何分層。因此，您可以提供的任何評論都會有所幫助。

Well, think about it, we have all just under 50 space vehicles being delivered this year alone. So you probably see the revenue ramp Q2 is it going to you'll see a little bit, but really Q3 and Q4, especially is really see the big revenue ramp will start to hit. Because we're delivering solid through the end of the year.

想想看，光是今年我們就交付了不到 50 架太空飛行器。所以你可能會看到第二季度的收入成長，你會看到一點點，但實際上第三和第四季度，尤其是真正看到收入大幅成長將開始出現。因為我們將在今年年底前交付穩定的產品。

Okay. And then part of that is also the T1 that's sort of been pushed out if you were to think about the delays you talked about?

好的。如果你考慮一下你所說的延誤，那麼其中一部分也是 T1 被推遲了？

We expect all the T1 to be delivered by August of this year, the absolute latest. If we can make sub-contract and faster will move faster, but the August and that's 42 space vehicles right there alone.

我們預計所有 T1 將於今年 8 月交付，這絕對是最晚的。如果我們能夠進行分包，速度就會更快，但 8 月就有 42 架太空飛行器。

Okay, great. And then maybe just on Rivada, you received several milestone payments I think a lot of smaller amounts are thus far. Are you still in the PDR stage? And then maybe what's holding things up for Rivada entirely this point? And then maybe just with that, what sort of payment would you need from Rivada begin the next steps and what is the next step is at the beginning of the design phase?

好的，太好了。然後也許就在 Rivada 上，您收到了幾筆具有里程碑意義的付款，我認為到目前為止，金額較小。您還處於PDR階段嗎？那麼，也許是什麼阻礙了 Rivada 的發展呢？然後也許就這樣，您需要 Rivada 支付什麼樣的付款才能開始接下來的步驟，以及在設計階段開始時下一步是什麼？

Prefer and foremost we finish PDR was still in the PDR stage. And once we complete PDR then that will trigger them in the next payments we expect PDR to be done by the end of this quarter.

最重要的是，我們完成 PDR 仍處於 PDR 階段。一旦我們完成 PDR，就會在下一次付款中觸發它們，我們預計 PDR 將在本季結束時完成。

Okay. Great.

好的。偉大的。

(inaudible) Payments made over time in order to make sure they keep schedule.

（聽不清楚）隨著時間的推移付款，以確保他們按計劃進行。

Okay. I'll jump back in the queue. Thank you.

好的。我會跳回到隊列中。謝謝。

Scott Buck, H C Wainwright.

斯科特·巴克，H·C·溫賴特。

Hey, good morning, guys. Thanks for taking my question. Marc, since it's been a minute or two since we've had a call like this, I was hoping you might be able to kind of update us on your thoughts around path to profitability it sounds like with the ramp in the second half, maybe even by Q4, we could see something on a quarterly basis. Is that fair?

嘿，早上好，夥計們。感謝您提出我的問題。馬克，自從我們接到這樣的電話以來已經有一兩分鐘了，我希望您能夠向我們介紹一下您對盈利之路的最新想法，聽起來可能是下半年的增長即使到了第四季度，我們也可以按季度看到一些情況。這樣公平嗎？

I think it's fair. I think you'll get -- within your Q4, we're looking at maybe a little bit beyond it all depends on when these other programs coming in. So the goal is Q4 to be there we are seeing as our headcount ramp has slowed dramatically, but our yield is increasing dramatically.

我認為這是公平的。我想你會得到——在第四季度，我們正在考慮的可能會超出這一切，這一切都取決於這些其他計劃何時推出。因此，我們的目標是在第四季度實現這一目標，因為我們的員工人數成長速度已大幅放緩，但我們的產量卻在大幅增加。

And this has to do with all the automation, we still have to deal with some subcontractor issues, as we've talked about earlier. But once the but as we bring new subcontractors on board and we bring some more components and modules in-house, we see no reason why we wouldn't be the goal to get EBITDA positive before the end of the year. That is the goal.

這與所有自動化有關，我們仍然需要處理一些分包商問題，正如我們之前討論的那樣。但是，一旦我們引入新的分包商，並引入更多的內部組件和模組，我們就沒有理由不實現在年底前實現 EBITDA 為正值的目標。這就是目標。

Great. I appreciate that. And then I just want to double check the delayed revenue, you're expecting to receive 100% of that, right? There's not any kind of loss there,

偉大的。我很欣賞這一點。然後我只想仔細檢查一下延遲的收入，您希望收到 100% 的收入，對嗎？那裡沒有任何損失，

Correct. There is $40 million of backlog is for the Rivada is fully funded backlog that is almost all Lockheed Martin or for DoD work.

正確的。Rivada 有 4000 萬美元的積壓資金，幾乎全部都是洛克希德馬丁公司或國防部的工作。

I was referencing the EAC adjustments in the late this quarter that you're expected to kind of recoup here in the third quarter?

我指的是本季末的 EAC 調整，您預計會在第三季收回成本？

No, Mat, you want to talk about?

不，馬特，你想談談嗎？

Yeah, sure. So it's just a timing issues in our accounting model. It's effectively percentage completion and so the percentage just change because we now have additional cost of the program. So we just had to have a claw back of revenue, which will be recognized in future periods but fortunately, the total contract value that we are getting paid on is fixed. So we will eventually re recognize that revenue.

是的，當然。所以這只是我們會計模型中的一個時間問題。它實際上是完成百分比，因此百分比只是發生變化，因為我們現在有該計劃的額外成本。因此，我們只需要收回收入，這將在未來的時期內得到確認，但幸運的是，我們獲得的總合約價值是固定的。因此，我們最終將重新確認該收入。

Okay, perfect. And then last one for me, given it's an election year. I'm sure you guys have kind of handicap the potential outcomes. Any programs you're working on or bidding on that could potentially be at risk given election outcome?

好的，完美。鑑於今年是選舉年，對我來說最後一個。我確信你們對潛在的結果有一定的障礙。鑑於選舉結果，您正在進行或競標的任何項目可能面臨風險？

We were lucky to be in that space I mean, that, of course, is always at risk as it's putting a lot of money on virtue things that put a lot of their eggs in one basket and we have bid on a number of NASA programs. But our core DoD work we think is pretty solid and safe this stuff is necessary and it's very low cost compared to other programs that are out there.

我們很幸運能夠進入這個領域，我的意思是，當然，這總是面臨風險，因為它在美德事物上投入了大量資金，將很多雞蛋放在一個籃子裡，而且我們已經競標了許多美國宇航局專案.但我們認為我們國防部的核心工作是相當可靠和安全的，這些東西是必要的，而且與現有的其他項目相比，它的成本非常低。

So with the proliferator warfighter architecture is something the duties committed to -- we are working on ways to diversify our pipeline going forward. We have a very diverse pipeline. We historically have done it, but now we are reorganizing ourselves to help that pipeline convert into revenue. We haven't done a very good job historically of converting pipeline into revenue, and we are making some adjustments internally to ensure that pipeline starts to convert into revenue.

因此，對於擴散戰鬥機架構來說，這是我們的職責所在——我們正在研究如何使我們的管道多樣化。我們有非常多樣化的管道。我們過去已經做到了這一點，但現在我們正在重組自己，以幫助該管道轉化為收入。歷史上，我們在將通路轉化為收入方面做得併不好，我們正在內部進行一些調整，以確保通路開始轉化為收入。

Great. I appreciate the color, guys. Thank you.

偉大的。我很欣賞這個顏色，夥計們。謝謝。

Thank you.

謝謝。

Josh Sullivan, Benchmark.

喬許·沙利文，基準。

Hey good morning. Just to follow up on the $400 million of non-Riv -- yeah just a on that $400 million of non-Rivada backlog, to covert over the next 18 to 24 months, what do you think the cash flow conversion of that looks like?

嘿早安。只是為了跟進 4 億美元的非 Rivada 積壓訂單，在未來 18 到 24 個月內進行隱蔽，您認為其現金流轉換是什麼樣的？

It's all milestone-based. It is very lumpy as cash converts on these programs. Some programs have front-loaded some of the back-loaded, for example, like a transfer layer Tranche 1 is a very back-loaded program, really upon delivery. Actually 30 days net after delivery versus other programs are very have a lot of cash up front. So it's lumpy per program, depending on the type of satellite that we're building.

這都是基於里程碑的。這些項目的現金兌換非常不穩定。有些程序已經前加載了一些後加載的程序，例如，像傳輸層 Tranche 1 是一個非常後加載的程序，實際上是在交付時。實際上，與其他計劃相比，交付後 30 天的淨額需要大量預付現金。因此，每個程序都是不穩定的，這取決於我們正在建造的衛星類型。

And then just a question on headcount. You mentioned some progress on the cleared personnel, do you have enough clear personnel to execute on that $400 million of non-Rivada backlog at this point? Or is there a number you still need to get to?

然後是關於人數的問題。您提到清理人員方面取得了一些進展，目前您是否有足夠的清理人員來執行價值 4 億美元的非 Rivada 積壓訂單？或者您還需要撥打某個號碼嗎？

Well, if you ask my guys, we never have enough. As I had said, we are -- we have enough more than enough to complete those programs work that are going after now, we're going after more and more clear -- more and more classified programs. We feel we can be hyper-competitive in the classified marketplace.

好吧，如果你問我的伙伴們，我們永遠都不夠。正如我所說，我們——我們有足夠的資源來完成現在正在進行的那些專案工作，我們正在追求越來越明確的專案——越來越多的機密專案。我們認為我們可以在分類市場中具有超強的競爭力。

Got it. Thank you for the time.

知道了。謝謝你的時間。

Thank you.

謝謝。

Robert Spingarn, Melius Research.

羅伯特‧斯賓加恩 (Robert Spingarn)，Melius 研究中心。

Hey, good morning, everybody. I don't know, Marc, if this is for you or for Matt, but it's sort of follow-on to the prior question on free cash cadence. And I understand why it was asked before. We don't know a lot of visibility to Rivada. So ex-Rivada, what should be the free cash flow cadence as we look out maybe over the rest of this year and into next year?

嘿，大家早安。馬克，我不知道這是給你的還是給馬特的，但這有點像之前關於免費現金節奏的問題的後續。我明白為什麼之前有人問這個問題。我們對里瓦達的知名度了解不多。那麼，前 Rivada 的情況是，我們預計今年剩餘時間和明年的自由現金流節奏應該是怎麼樣的呢？

I'm going to turn it over to Mat. how's that?

我要把它交給馬特。怎麼樣？

Fair enough.

很公平。

Yeah, no fair question. So our liquidity and cash flow, it's really dependent on customer programs, us managing our expenses and then to the extent necessary to make up the difference, we have capital transactions. So our path to profitability and free cash flow is dependent on having these larger programs coming online. So that's the best way to think about it.

是的，沒有公平的問題。因此，我們的流動性和現金流實際上取決於客戶計劃，我們管理我們的支出，然後在必要的範圍內彌補差額，我們進行資本交易。因此，我們的獲利和自由現金流之路取決於這些大型專案的上線。所以這是最好的思考方式。

Okay. So, moving away from that, but related, you've got a debt covenant that requires you to be EBITDA positive on an LTM basis by the end of this year. But if that doesn't happen, it sounds like you might inflect in at the end of the year. So how do you deal with that particular covenant? Can you get a waiver?

好的。因此，遠離這一點，但相關的是，你有一個債務契約，要求你在今年年底之前在 LTM 的基礎上實現 EBITDA 為正值。但如果這沒有發生，聽起來你可能會在年底出現。那麼你要如何處理這個特定的盟約呢？你能獲得豁免嗎？

Yeah. So in our disclosures in our in our SEC filings, there's a couple of mechanisms that we could explore to you, how to get waivers or extend the deadline for when we have to be EBITDA-positive. Unfortunately, we can't make any guarantees that any of those solutions are achievable, but we do have several options.

是的。因此，在我們向 SEC 提交的文件中揭露的內容中，我們可以向您探討幾種機制，如何獲得豁免或延長我們必須實現 EBITDA 為正值的截止日期。不幸的是，我們不能保證這些解決方案中的任何一個都是可以實現的，但我們確實有幾個選擇。

Okay. And then just going back to this program, the fixed price program the one that's delayed. Is that strictly due to just or changing the propulsion supplier? Or are there any other issues trying to ask before whether are there any other issues popping up during testing that might have contributed to delay.

好的。然後回到這個計劃，固定價格計劃被推遲了。這完全是因為或改變了推進供應商嗎？或者是否有任何其他問題試圖在測試期間出現任何其他可能導致延遲的問題之前詢問。

So the proposal has been the number one problem out here. It's been an unfortunately we think about fortunate manufacturer who was unable to deliver the products that caused us to do some redesign to accommodate a new production process and manufacture, and we are well on our way. So we'll receive the first eight units by the end of this month.

因此，該提案一直是這裡的首要問題。不幸的是，我們想到幸運的製造商無法交付產品，導致我們進行了一些重新設計以適應新的生產流程和製造，我們正在順利進行中。因此，我們將在本月底收到前八個單位。

And then we should have steady cadence from them going forward. We obviously are pushing them to move faster as we will be done with our space vehicles long before the propulsion guys are done. But there was no issue of testing of the vehicles.

然後我們應該從他們那裡得到穩定的節奏。顯然，我們正在推動他們加快速度，因為我們的太空飛行器將在推進器完成之前很久就完成。但車輛測試不存在問題。

Okay, great. Thank you, Marc, and Mat.

好的，太好了。謝謝馬克和馬特。

(inaudible), Sofia Investments LLC.

（聽不清楚），索菲亞投資有限公司。

Yes, good morning. Congratulations on the track Tranche 2 Tracking layer contract. Just wondering in the past when you announced some of these contracts, sometimes they come with down payments of cash or maybe an upfront cash payment. Just wondering if you believe that will come with an upfront cash payment and perhaps if you can talk about maybe what your cash levels are as of today or anticipated around this time this week.

是的，早安。恭喜Tranche 2追蹤層合約成功上市。只是想知道過去當您宣布其中一些合約時，有時它們會附帶現金預付款或預付款。只是想知道您是否相信這會帶來預付款，也許您可以談論您今天的現金水平或本週預計的現金水平。

I mean, we don't normally disclose payments that you'll every program comes of those called an ATP authorization to proceed, usually we get an ATP payment within the first 30 days of getting a contract. And then those payments can vary dramatically depending on the program and long-lead items that we purchase for the program versus things that we manufacture in-house.

我的意思是，我們通常不會透露每個項目都來自所謂的 ATP 授權進行的付款，通常我們會在獲得合約後的前 30 天內收到 ATP 付款。然後，這些付款可能會根據項目以及我們為該項目購買的長期項目與我們內部製造的項目的不同而有很大差異。

So in terms of your looking at your cash balances at the end of the quarter and then maybe doing some math on what they might be around now, it would be safe to assume that you're comfortable with your liquidity position in part due to the ATP.

因此，就您在季度末查看現金餘額，然後可能會對它們現在可能存在的情況進行一些數學計算而言，可以安全地假設您對自己的流動性頭寸感到滿意，部分原因是ATP。

Yeah, we feel very comfortable with our liquidity position as it stand today.

是的，我們對目前的流動性狀況感到非常滿意。

And then just a question on Rivada. So understanding that there's a small number of satellites that Rivada needs to launch by the end of this year to kind of stay on track on their program. Just wondering if you're actively working on those or if there's a that Rivada, would do those without parent or if everything's on track with that?

然後是關於 Rivada 的問題。因此，我們知道 Rivada 需要在今年年底前發射少量衛星，才能讓他們的計畫保持在正軌上。只是想知道你是否正在積極致力於這些工作，或者是否有一個 Rivada，會在沒有父母的情況下做這些工作，或者一切是否都在正軌上？

No, as of right now, everything is on track what we were calling the precursor satellites with Rivada. They have asked all detailed questions, Rivada go to them, they want to build to control their own narrative on this. But right now we're tracking based on the schedule we have.

不，截至目前，一切都步入正軌，我們稱之為 Rivada 的先驅衛星。他們問了所有詳細的問題，里瓦達去找他們，他們想建立自己的敘事來控制這件事。但現在我們正在根據現有的時間表進行追蹤。

And then with regard to the pipeline and commercial customers, is there anything that you can share with regard to any visibility, any near term opportunities that you're working on --

然後，關於管道和商業客戶，您是否可以分享有關您正在從事的任何可見性、任何近期機會的信息--

So I can say -- I will say that we have a number of commercial customers. We've made it to the final rounds. So our commercial customers are not like DoD customers where DoD get their budget every year, commercial customers tend to move much slower call, believe it or not that's even possible than the DoD. But that said, when they move -- when they start to move there's a lot of inertia.

所以我可以說——我會說我們有很多商業客戶。我們已經進入了最後幾輪。因此，我們的商業客戶不像國防部客戶，國防部每年都會收到預算，商業客戶往往會移動更慢的呼叫，無論你相信與否，這甚至比國防部可能。但話雖如此，當他們移動時——當他們開始移動時，就會有很大的慣性。

We have a number of commercial programs, we've been working on for over a year starting with the RFIs and RFPs, then we go to full engineering phases, which are right now with some which means we're in the final round. And we continue to aggressively work on those customers to get them from co-engineering to a contract.

我們有許多商業項目，從 RFI 和 RFP 開始，我們已經工作了一年多，然後我們進入了完整的工程階段，目前有一些項目正在進行，這意味著我們已經進入了最後一輪。我們繼續積極與這些客戶合作，讓他們從共同設計到簽約。

And it is a competitive marketplace on a global basis. But we feel we are very much price competitive and we're very much schedule competitive, which are two very big deals out there. Especially all these people who are looking at 5G, direct to handset, internet of things, there's a lot of [plates] companies around we're talking to -- our customer base is getting geographically immensely diverse in terms of fine telephone companies, fine internet providers, everybody people used to buy geo from other people are not talking to us, may be one customer, for example, we've been buying their entire time buying satellite from China are now looking to pivot to United States to buy satellites for a small set geo offering.

這是一個全球性的競爭市場。但我們覺得我們在價格上非常有競爭力，而且在時間安排上也非常有競爭力，這是兩個非常大的交易。尤其是所有這些關注5G、直接手機、物聯網的人，我們周圍有很多[板塊]公司正在與之交談——我們的客戶群在地理上變得非常多樣化，就優秀的電話公司而言，很好互聯網供應商，過去從其他人那裡購買地理資訊的每個人都沒有與我們交談，可能是一個客戶，例如，我們一直在從中國購買衛星，現在正尋求轉向美國購買衛星一小部分地理產品。

So we're very -- we know we have the right products at the right time and people are finally -- they come over to Irvine to we're doing to develop a huge amount of comfort in what we've built here in our manufacturing capabilities, which hopefully will lead to contracts later this year and beyond.

所以我們非常——我們知道我們在正確的時間擁有正確的產品，人們最終——他們來到爾灣，我們正在努力為我們在這裡建造的產品提供巨大的舒適度。有些時候及以後簽訂合約。

And final question so I appreciate all that color, thank you. I just the final question would be so if Lockheed Martin offered $1 a share, the company essentially rejected that offer based on presumably those belief that intrinsic value is higher than the offer that was made?

最後一個問題，所以我很欣賞所有的顏色，謝謝。我的最後一個問題是，如果洛克希德馬丁公司提出每股 1 美元的報價，該公司基本上會拒絕該報價，因為大概是因為相信內在價值高於所提出的報價？

I'm just kind of wondering if you could talk a little bit about your views on intrinsic value or value of the company is clearly you didn't believe the dollar properly reflected the value of the company. So just kind of wondering where the Board believes a fair value would reside. How are you think about that?

我只是想知道您是否可以談談您對公司內在價值或價值的看法，顯然您不認為美元正確反映了公司的價值。所以只是想知道董事會認為公允價值在哪裡。你對此有何看法？

So I mean, there's a special committee of the Board that does this. It's a great question. I am out of the process, myself and my partner recused ourselves from the process. So I made -- the committee is made up only of independent directors in order to maximize shareholder value initiatives, make sure there's a fair decision to be made.

所以我的意思是，董事會有一個特別委員會來做這件事。這是一個很好的問題。我退出了這個過程，我自己和我的伴侶也迴避了這個過程。所以我提出——該委員會僅由獨立董事組成，以最大限度地提高股東價值，確保做出公平的決定。

That said, we are looking in our comments we made earlier. We said you have the social committees can be ones talking about it and I have been told that the social community is the only ones who will talk about. So I have no comment unfortunately and whatever my personal opinion is it relevant it's all by the social community.

也就是說，我們正在查看之前發表的評論。我們說過，社會委員會可以討論這個問題，我被告知，社會社區是唯一會討論這個問題的人。因此，不幸的是，我沒有任何評論，無論我個人的觀點是否相關，這都是社交社群的觀點。

All right. Thank you.

好的。謝謝。

Well, thank you very much. Appreciate it.

嗯，非常感謝。欣賞它。

(Operator Instructions)

（操作員說明）

Phil Boswell, Private Investor.

菲爾·博斯韋爾，私人投資者。

I have a question about the recurring income. Is there any like SaaS type income or any other income that you'll be receiving as each satellite is deployed over the next several years?

我有一個關於經常性收入的問題。隨著每顆衛星在未來幾年的部署，您是否會收到類似 SaaS 類型的收入或任何其他收入？

I mean the only recurrent income we get from satellite is we do the mission operations for the satellite. We have six satellites currently in orbit that we do mission operations for. The real, thing that people miss and you -- actually that's a great question here.

我的意思是，我們從衛星獲得的唯一經常性收入是我們為衛星執行任務作業。目前，我們有六顆衛星在軌道上運行，並為其執行任務操作。人們和你所懷念的真實的東西——實際上這是一個很好的問題。

But the real thing that people miss is we're in the recurring revenue business. So every satellite that we build and launch has to get replaced in approximately five years on average. That is a huge opportunity for us. So if we have code $400 million of backlog today that we're fulfilling five years from now, we're going to have that same $400 million plus more coming from new customers. So everything we build gets replaced over and over again.

但人們真正錯過的是我們從事經常性收入業務。因此，我們建造和發射的每顆衛星平均需要在大約五年內更換。這對我們來說是一個巨大的機會。因此，如果我們今天有 4 億美元的積壓訂單，並且將在五年後完成，那麼我們將獲得相同的 4 億美元以及更多來自新客戶的收入。所以我們建造的所有東西都會一遍又一遍地被替換。

So our revenues will continue to climb as the solids we builds will get replaced, things and the other -- the beauty of low earth orbit and on one hand, the very low cost. And but they have a very short lifespan, but it means always current technology is being used versus the big geos because billions to build that were functionally obsolete the day they were launched that take 10 years to build, they last 25 years in space, they were around when the rotary telephone was around is when they were built.

因此，隨著我們建造的固體、物體和其他東西的替代，我們的收入將繼續攀升——一方面是近地軌道的美麗，另一方面是非常低的成本。但它們的壽命很短，但這意味著總是使用當前的技術來對抗大型地球，因為數十億的建造費用在它們發射之日就在功能上過時了，需要10 年的時間才能建造，它們在太空中可以持續25 年，它們當旋轉電話出現的時候，就是它們被製造出來的時候。

So it is band -- the new SEC regs are talking about now news every five years to deliver to low-our orbit. So we're in the recurring revenue business, and that's where we will get lots of recurring revenue down the road. That's the great question. Thank you.

因此，新的 SEC 法規每五年都會討論一次新聞，以將其傳送到我們的低軌道上。因此，我們從事經常性收入業務，這就是我們未來將獲得大量經常性收入的地方。這是一個很好的問題。謝謝。

So as more satellites are put in orbit, the more of the route revenue increase as time goes on.

因此，隨著越來越多的衛星進入軌道，隨著時間的推移，航線收入也會增加更多。

That's right, sir.

是的，先生。

Fantastic. Thank you.

極好的。謝謝。

Thank you Phil. Appreciate, thank you for supporting interest.

謝謝菲爾。感謝您的關注，也感謝您的支持。

Shawn Hollander, Private Investor.

肖恩·霍蘭德，私人投資者。

Hi, Marc, thanks for taking the call here. Congratulations on the performance of Q1. Can you throw some light on the required cash balance at the end of quarter two, that is part of the requirement under SCA agreement.

嗨，馬克，感謝您接聽電話。恭喜 Q1 的表現。您能否透露一下第二季末所需的現金餘額，這是 SCA 協議要求的一部分。

Mat?

墊？

I'm sorry. What's the question again?

對不起。又問什麼問題？

Can you throw some light on the required minimum cash balance?

能透露一下所需的最低現金餘額嗎？

Minimum cash balance does not -- so we have financial covenants that require minimum cash balances from our debt arrangements, which is $20 million effectively as of quarter end.

最低現金餘額沒有——因此我們有財務契約，要求債務安排中的最低現金餘額，截至季度末有效為 2000 萬美元。

And you think Terran will be okay to meet that requirement?

你認為人族可以滿足這個要求嗎？

We do not have any concerns about that covenant at this time.

目前我們對該盟約沒有任何擔憂。

The answer is yes, we'll meet that remarks, (inaudible)

答案是肯定的，我們會滿足這個言論，（聽不清楚）

Perfect. Awesome. It's good to know.

完美的。驚人的。很高興知道。

Thank you for your time.

感謝您抽出時間。

Robert [Minisman], Personal Wealth Management.

羅伯特[Minisman]，個人財富管理。

Thanks. Good morning, everyone. This is a related question. Evidently, they do not have all their financing in place to build the 600 satellite array that you will be constructing. That's my understanding. So therefore, are there concerns that this whole thing could fall apart and have a major impact on your business operations in the future because the capital is not available to pay for the build-out of the satellites for which you have contracts.

謝謝。大家早安。這是一個相關的問題。顯然，他們沒有足夠的資金來建造您將要建造的 600 顆衛星陣列。這是我的理解。因此，是否有人擔心這整件事可能會崩潰，並對您未來的業務運營產生重大影響，因為您沒有資金來支付您簽訂合約的衛星的建造費用。

All right, so they're really two different questions there. As far as Rivada goes I can't comment on what they have. I don't have that's a question for Rivada. But I can't comment on to the fact us to know, it doesn't have any impact on us going forward. We have lots of other customers as you could see with this way, Rivada with the 300 space vehicles with us, Lockheed alone has already placed orders for over 100 space vehicles with us. So it's just upside for us at the end of the day.

好吧，所以它們實際上是兩個不同的問題。就 Rivada 而言，我無法評論他們擁有什麼。我沒有這個問題要問 Rivada。但我無法對我們知道的事實發表評論，這對我們未來的發展沒有任何影響。我們還有很多其他客戶，正如您透過這種方式看到的，Rivada 與我們合作了 300 架太空飛行器，僅洛克希德公司就已經向我們下了 100 多架太空飛行器的訂單。所以最終這對我們來說是有好處的。

Thank you.

謝謝。

Thank you. Thank you very much. I think we don't have any other -- oh okay.

謝謝。非常感謝。我想我們沒有其他的——哦，好吧。

We currently have any further questions; I'll hand back over to Marc Bell.

目前我們還有任何其他問題；我將把任務交還給馬克貝爾。

I want to thank everybody coming today. I'd like to thank some of the new people asking questions today. I really appreciate more of the interaction. I encourage people on the call to ask as many questions as they like and participate. We think it is wonderful to have more participation, and we appreciate everybody's support and we look forward to the quarter ahead. Thank you very much.

我要感謝今天到來的所有人。我要感謝今天提出問題的一些新人。我真的很欣賞更多的互動。我鼓勵參加電話會議的人們盡可能多地提出問題並參與。我們認為有更多的參與真是太好了，我們感謝大家的支持，我們期待下一個季度。非常感謝。

And this concludes today's call and thank you for joining. You may now disconnect your lines.

今天的電話會議到此結束，感謝您的加入。現在您可以斷開線路。