Smith Micro Software Inc (SMSI) 2026 Q2 法說會逐字稿

Good day, and welcome to the Smith Micro second quarter of 2026 earnings conference call. (Operator Instructions) Also, please be aware that today's call is being recorded. I would now like to turn the call over to Charles Messman, Vice President. Please go ahead.

大家好，歡迎參加 Smith Micro 2026 年第二季財報電話會議。(接線員指示) 另外，請注意今天的電話會議將被錄音。現在我想把電話交給副總裁 Charles Messman。請開始。

Thank you, operator. We appreciate you joining us today to discuss Smith Micro Software financial results for the second quarter of 2026. By now you should have received a copy of the press release with the financial results. If you do not have a copy and would like one, please visit the Investor Relations section of our website at www.smithmicro.com. On today's call, we have Bill Smith, Executive Chairman of the Board; Tim Huffmyer, our President and CEO; and Bethany Braund, our Chief Financial Officer.

謝謝你，接線員。感謝各位今天加入我們，一同討論 Smith Micro Software 2026 年第二季的財務結果。此時各位應已收到載有財務結果的新聞稿副本。若您尚未取得且希望索取，請造訪我們網站 www.smithmicro.com 的投資人關係專區。今天的電話會議出席者包括：董事會執行董事長 Bill Smith；總裁兼執行長 Tim Huffmyer；以及財務長 Bethany Braund。

Please note that some of the information you will hear during today's discussion consists of forward-looking statements, including without limitation those regarding the company's future revenue and profitability; our plans and expectation; new products, development and availability; new and expanded market opportunities; future product deployments; growth by new and existing customers; operating expenses; and the company's cash reserve.

請注意，您在今天討論中聽到的部分資訊屬於前瞻性陳述，包括但不限於公司未來營收與獲利能力；我們的計畫與預期；新產品、開發與可用性；新的與擴大的市場機會；未來產品部署；來自新客戶與既有客戶的成長；營業費用；以及公司的現金儲備。

Forward-looking statements involve risk and uncertainty, which could cause actual results or trends to differ materially from those expressed or implied by our forward-looking statements. For more information, please refer to the risk factors included in our most recently filed Form 10-K. Smith Micro assumes no obligation to update any forward-looking statements, which speak to the management's beliefs and assumptions only as of the date they are made. I want to point out that in our forthcoming prepared remarks, we will refer to specific non-GAAP financial measures.

前瞻性陳述涉及風險與不確定性，可能導致實際結果或趨勢與我們前瞻性陳述所表達或暗示者出現重大差異。如需更多資訊，請參閱我們最近提交的 Form 10-K 中所載的風險因素。Smith Micro 不承擔更新任何前瞻性陳述之義務；該等陳述僅反映其作出當日管理層的信念與假設。我也要指出，在我們接下來的預先準備發言中，將會提及特定的非 GAAP 財務衡量指標。

Please refer to our press release disseminated earlier today for a reconciliation of these non-GAAP financial measures. With that said, I'll turn the call over to Tim. Tim?

關於這些非 GAAP 財務衡量指標的調節表，請參閱我們今天稍早發布的新聞稿。話不多說，我把電話交給 Tim。Tim？

Thanks, Charlie, and thank you for joining us today for our second quarter 2026 conference call. I see our second quarter performance as a significant step forward on our journey of returning Smith Micro to growth and future profitability. We delivered sequential revenue growth in the second quarter, consistent with the guidance provided on our last call. In fact, we have now delivered sequential revenue growth over two consecutive quarters for the first time in approximately five years. We expect to announce the launch of two new customers by the end of this month.

謝謝你，Charlie，也感謝各位今天加入我們的 2026 年第二季電話會議。我認為第二季的表現，是我們讓 Smith Micro 重回成長並邁向未來獲利之旅的重要一步。我們在第二季實現了連續（季對季）營收成長，符合我們在上次電話會議所提供的指引。事實上，這是我們約五年來首次連續兩個季度實現季對季營收成長。我們預期在本月底前宣布兩位新客戶的上線。

Contracts with both customers are fully executed, and launch plans and products are ready to go. Additionally, we are within days of signing a significant multi-year contract extension with an existing Tier 1 customer. We believe this contract extension will generate significant revenue growth beginning in the third quarter.

兩位客戶的合約均已完整簽署，上線計畫與產品也已準備就緒。此外，我們距離與一位既有的第一級（Tier 1）客戶簽署一份重要的多年期合約展延僅剩數日。我們相信，該合約展延將自第三季起帶來顯著的營收成長。

Both the new customer launches and the contract extension were planned to happen in the second quarter, and their delay has resulted in some of our forecasted second quarter revenue being pushed to the third quarter. We continue to execute on our strategic priorities, and we are encouraged with all of the positive pipeline activity of the last few quarters, which is the strongest we've seen in years.

新客戶上線與合約展延原本都規劃在第二季發生，但其延遲導致我們原先預測的部分第二季營收遞延至第三季。我們持續推進策略重點，並對過去幾季所有正向的管線活動感到鼓舞，這是我們多年來所見最強勁的一次。

This robust pipeline, along with the new revenue opportunities, is driven by expanded interest from current and prospective new customers and aligns with our strategy to expand our SafePath platform. We are offering more flexibility to the market with our new deployment options, including our new SafePath SDKs and APIs, which are opening new channels, aligning Smith Micro with current market trends and increasing the overall addressable market.

這個強勁的管線，加上新的營收機會，來自現有客戶與潛在新客戶擴大的興趣，並與我們擴展 SafePath 平台的策略一致。我們透過新的部署選項為市場提供更高的彈性，包括新的 SafePath SDK 與 API，這些正在開啟新的通路，使 Smith Micro 與當前市場趨勢接軌，並提升整體可服務市場規模。

We believe this activity will drive new revenue streams in the coming quarters as we are in meaningful deployment discussions with multiple parties, both current and new customers and prospects. As we look to the second half of the year, we do so with a high level of confidence. We believe we are building on significant upside potential for a new and exciting phase of financial growth.

我們相信，隨著我們與多方（包括現有客戶、新客戶及潛在客戶）進行具實質進展的部署討論，這些活動將在未來幾季帶動新的營收來源。展望下半年，我們抱持高度信心。我們相信，我們正在為一個全新且令人振奮的財務成長階段建立可觀的上行潛力。

We will discuss more later in the call, but for now, let's hear from Bethany to review our second quarter financial performance. Bethany?

我們稍後會在電話會議中進一步討論，但現在先請 Bethany 為我們回顧第二季的財務表現。Bethany？

Thanks, Tim, and good afternoon, everyone. Initially, I'll note that all of my comments today regarding per share metrics reflect the impact of the one for five reverse stock split that was approved by our shareholders at our annual meeting in May and was effectuated in June 2026. I'd also like to cover the transaction we completed during the quarter.

謝謝你，Tim，各位下午好。首先我要說明，我今天所有關於每股指標的評論，均已反映我們股東在 5 月年度股東會核准、並於 2026 年 6 月生效的 1 股併 5 股反向股票分割（reverse stock split）的影響。我也想說明我們在本季完成的一項交易。

In June 2026, to help fund working capital requirements, we completed a warrant inducement transaction with certain holders of existing common stock purchase warrants whereby warrants for 487,349 shares were exercised at $3.35 per share, with proceeds to the company totaling $1.6 million. As part of that transaction, we issued new five year warrants for the same number of shares.

在 2026 年 6 月，為協助支應營運資金需求，我們與部分既有普通股認股權證持有人完成一項認股權證誘導交易（warrant inducement transaction），使得可購買 487,349 股的認股權證以每股 3.35 美元被行使，公司因此取得合計 160 萬美元的款項。作為該交易的一部分，我們針對相同股數發行了新的五年期認股權證。

As I stated on our last earnings call, we are continuing to see benefits from the strategic cost reductions we announced last October. We are still executing on these changes and will see their longer-term benefits as certain remaining costs will end after the third quarter. Our focus now is to ensure that we have the resources necessary to meet the revenue growth we are targeting. Now let's cover the financial results of the second quarter of 2026.

如同我在上次財報電話會議所提到的，我們持續看到去年 10 月宣布的策略性成本削減所帶來的效益。我們仍在執行這些變革，且由於部分剩餘成本將在第三季後結束，我們將在更長期看到其效益。我們目前的重點是確保具備必要資源，以支撐我們所鎖定的營收成長。現在讓我們來看 2026 年第二季的財務結果。

For this second quarter, we achieved our second consecutive quarter of sequential revenue growth. The last time that was achieved was back in 2021. For the second quarter of 2026, we recognized revenue of $4.3 million compared to $4.4 million for the same quarter of 2025, a decrease of 2%. When compared to the first quarter of 2026, revenue increased by $120,000 or 3%. Year-to-date revenue through June 30, 2026, was $8.6 million versus $9.0 million through the second quarter of last year, a decrease of 5%. During the second quarter of 2026, family safety revenue was $3.5 million, which decreased by $111,000 or 3% compared to the second quarter of last year.

在本第二季，我們達成連續第二個季度的季對季營收成長。上一次達成此一表現是在 2021 年。2026 年第二季，我們認列營收 430 萬美元，較 2025 年同期的 440 萬美元減少 2%。與 2026 年第一季相比，營收增加 12 萬美元（或 3%）。截至 2026 年 6 月 30 日的年初至今營收為 860 萬美元，較去年截至第二季的 900 萬美元減少 5%。2026 年第二季，家庭安全（family safety）營收為 350 萬美元，較去年第二季減少 11.1 萬美元（或 3%）。

Family safety revenue increased by $94,000 or 3% compared to the first quarter of 2026. During the second quarter of 2026, CommSuite revenue was $826,000, which increased by $49,000 compared to the second quarter of 2025. Revenue from CommSuite grew by $26,000 or 3% as compared to the first quarter of 2026. For the third quarter of 2026, we expect to build on our second quarter revenue, and given our near-term view of additional opportunities in progress, we expect total revenue of $5.0 million to $5.4 million for the third quarter.

家庭安全營收較2026年第一季增加94,000美元（3%）。2026年第二季，CommSuite營收為826,000美元，較2025年第二季增加49,000美元。CommSuite營收較2026年第一季增加26,000美元（3%）。對於2026年第三季，我們預期在第二季營收基礎上持續成長，並鑑於我們對短期內正在推進之額外機會的觀察，我們預期第三季總營收為500萬至540萬美元。

For the second quarter of 2026, gross profit was $3.5 million compared to $3.2 million during the same period of the prior year, an increase of $281,000 or 9% due to the period-over-period increase in revenue and the decline in cost of revenues resulting from the strategic cost reduction efforts undertaken.

2026年第二季毛利為350萬美元，較去年同期的320萬美元增加281,000美元（9%），主要由於期間營收增加，以及因所採取之策略性成本削減措施使營收成本下降。

Further, gross margin was at 81.3% for the quarter, in line with prior quarter guidance and at a significant improvement as compared to the 73.5% realized in the second quarter of 2025. We are pleased to see our gross margin back over 80% for the first time in five years. Our gross profit of $3.5 million in the second quarter of 2026 increased by $219,000 compared to the gross profit realized in the first quarter of 2026. In the third quarter of 2026, we expect gross margin to be in the range of 81% to 83%. We believe we are making our way toward our longer-term goal for gross margin at 85%.

此外，本季毛利率為81.3%，符合前一季指引，且相較於2025年第二季的73.5%有顯著改善。我們很高興看到毛利率在五年來首次回到80%以上。2026年第二季毛利350萬美元，較2026年第一季實現的毛利增加219,000美元。2026年第三季，我們預期毛利率將落在81%至83%的區間。我們相信我們正朝向毛利率85%的長期目標邁進。

For the year-to-date period ended June 30, 2026, gross profit was $6.8 million compared to $6.6 million during the corresponding period last year. Gross margin was 80% for the June 30, 2026, year-to-date period. GAAP operating expenses for the second quarter of 2026 were $5.9 million, a decrease of $12.3 million or a 68% decline as compared to the second quarter of 2025.

截至2026年6月30日的年初至今期間，毛利為680萬美元，較去年同期的660萬美元增加。截至2026年6月30日的年初至今期間，毛利率為80%。2026年第二季GAAP營業費用為590萬美元，較2025年第二季減少1,230萬美元，降幅為68%。

Excluding the second quarter 2025 onetime events, including goodwill impairment of $11.1 million and the gain on sale of ViewSpot of $1.3 million, GAAP operating expenses quarter-over-quarter decreased by $2.5 million or 30%. This reduction was a result of our cost optimization activities that we have executed and continue to see the impacts thereof.

若排除2025年第二季一次性事件（包括1,110萬美元的商譽減損以及出售ViewSpot的130萬美元收益），GAAP營業費用較前一季減少250萬美元（30%）。此項降低係我們已執行之成本最佳化活動所致，且我們持續看到其影響。

GAAP operating expenses for the year-to-date period ended June 30, 2026, were $12.6 million compared to $26.8 million in the prior year-to-date period, a decrease of $14.2 million. Non-GAAP operating expenses for the second quarter of 2026 were $4.4 million compared to $5.9 million in the second quarter of 2025, a decrease of approximately $1.6 million or 26%. Sequentially, non-GAAP operating expenses declined by approximately $377,000 or 8% compared to the first quarter of 2026.

截至2026年6月30日的年初至今期間，GAAP營業費用為1,260萬美元，較去年同期的2,680萬美元減少1,420萬美元。2026年第二季非GAAP營業費用為440萬美元，較2025年第二季的590萬美元減少約160萬美元（26%）。依序比較，非GAAP營業費用較2026年第一季約減少377,000美元（8%）。

Non-GAAP operating expenses for the year-to-date period through June 30, 2026, were $9.1 million compared to the $12.1 million for the year-to-date period ended June 30, 2025, a decrease of approximately $3 million, or 25% compared to last year. Although we anticipate a further decline in our core non-GAAP operating expenses, we are planning to add some additional resource capacity to support the pipeline, and therefore you can expect a non-GAAP operating expense increase of up to 6% in the third quarter of 2026 as compared to the second quarter of 2026.

截至2026年6月30日的年初至今期間，非GAAP營業費用為910萬美元，較截至2025年6月30日的年初至今期間之1,210萬美元減少約300萬美元，較去年下降25%。儘管我們預期核心非GAAP營業費用將進一步下降，我們也規劃增加部分額外資源產能以支援商機管線，因此您可預期2026年第三季非GAAP營業費用相較2026年第二季最多增加6%。

The GAAP net loss attributable to common stockholders for the second quarter of 2026 was $2.7 million or $0.52 loss per share compared to the net loss attributable to common stockholders of $15.1 million or $3.88 loss per share in the first quarter of 2026. GAAP net loss attributable to common stockholders for the six months ended June 30, 2026, was $6.6 million or $1.28 loss per share compared to GAAP net loss attributable to common stockholders of $20.2 million or $5.38 loss per share for the 6 months ended June 30, 2025.

2026年第二季歸屬於普通股股東之GAAP淨損為270萬美元，或每股虧損0.52美元；相較之下，2026年第一季歸屬於普通股股東之淨損為1,510萬美元，或每股虧損3.88美元。截至2026年6月30日止六個月，歸屬於普通股股東之GAAP淨損為660萬美元，或每股虧損1.28美元；相較之下，截至2025年6月30日止六個月，歸屬於普通股股東之GAAP淨損為2,020萬美元，或每股虧損5.38美元。

The non-GAAP net loss attributable to common stockholders for the second quarter of 2026 was $989,000 or a $0.19 loss per share compared to the non-GAAP net loss attributable to common stockholders of $2.8 million or a $0.71 loss per share in the first quarter of 2026. Non-GAAP net loss attributable to common stockholders for the six months ended June 30, 2026, was $2.5 million or a $0.48 loss per share compared to non-GAAP net loss attributable to common stockholders of $5.6 million or $1.49 loss per share for the 6 months ended June 30, 2025. Within today's press release, we have provided a reconciliation of our non-GAAP metrics to the closest and most comparable GAAP metric.

2026年第二季歸屬於普通股股東之非GAAP淨損為989,000美元，或每股虧損0.19美元；相較之下，2026年第一季歸屬於普通股股東之非GAAP淨損為280萬美元，或每股虧損0.71美元。截至2026年6月30日止六個月，歸屬於普通股股東之非GAAP淨損為250萬美元，或每股虧損0.48美元；相較之下，截至2025年6月30日止六個月，歸屬於普通股股東之非GAAP淨損為560萬美元，或每股虧損1.49美元。在今日的新聞稿中，我們已提供非GAAP指標與最接近且最具可比性的GAAP指標之調節表。

For the second quarter of 2026, the reconciliation primarily includes adjustments for intangible asset amortization of $1.2 million, stock compensation expense of $171,000, depreciation expense of $120,000, amortization of debt discount and financing issuance cost of $95,000, deemed dividend of $86,000, and cost of approximately $84,000 associated with the shareholder-approved reverse stock split.

就2026年第二季而言，該調節主要包括以下調整項目：無形資產攤銷120萬美元、股份基礎報酬費用171,000美元、折舊費用120,000美元、債務折價及融資發行成本攤銷95,000美元、視同股利86,000美元，以及與股東核准之反向股票分割相關的約84,000美元成本。

Due to our cumulative net losses over the past few years, our GAAP tax expense is primarily due to certain state and foreign income taxes. For non-GAAP purposes, we utilized a 0% tax rate for 2026 and 2025. The resulting non-GAAP tax expense reflects the actual income taxes expensed during each period. On the balance sheet, we reported $2.8 million of cash and cash equivalents as of June 30, 2026.

由於過去幾年累積淨損，我們的GAAP所得稅費用主要來自特定州別及海外所得稅。就非GAAP目的而言，我們對2026年與2025年採用0%的稅率。因此，非GAAP所得稅費用反映各期間實際認列為費用的所得稅。在資產負債表方面，截至2026年6月30日，我們列報現金及約當現金為280萬美元。

This concludes my financial review. Now I'll pass it back over to Tim.

我的財務回顧到此結束。現在我把時間交還給 Tim。

Thanks, Bethany. As we have discussed on past calls, there are new activities and changes happening in the market today that are helping to drive new demand, which aligns well with the go-to-market strategy we have been implementing. This has resulted in several exciting, planned deployments, all to take place in the third quarter and all included in our revenue guidance.

謝謝你，Bethany。如同我們在過去幾次電話會議中討論的，當前市場出現了一些新的活動與變化，正協助帶動新的需求，這也與我們正在推動的上市策略（go-to-market strategy）高度契合。因此，我們已規劃了數項令人振奮的部署計畫，全部將在第三季進行，且皆已納入我們的營收指引。

First, we are in the final stages to increase our feature set with one of the existing family safety applications in the market today with one of our Tier 1 carriers. This new feature set will increase the overall product offering to all current subscribers and increase our realized revenue share once deployed in the next month.

首先，我們正處於最後階段，將與我們的一家一級（Tier 1）電信商合作，針對目前市場上的一款既有家庭安全應用程式擴增我們的功能組合。這套新功能將在下個月部署後，提升對所有現有訂戶的整體產品提供內容，並提高我們已實現的營收分成。

Next, as I mentioned earlier, we are in the final contract phase to expand our SafePath platform capabilities with a Tier 1 carrier, including the introduction of new deployment options, which we believe will result in the delivery over time of our solutions to a significantly larger segment of their overall customer base.

其次，如我先前提到的，我們正處於與一級（Tier 1）電信商擴充 SafePath 平台能力的合約最後階段，其中包含導入新的部署選項；我們相信，這將使我們的解決方案隨時間推進，交付給其整體客戶基礎中顯著更大的一個客群。

Last, we are in the advanced development stages of producing an application with additional functionality to be deployed in the European market with an existing customer. This will enable a larger reach into their addressable market, specifically by allowing kids to use iOS phones in addition to the Android phones currently offered.

最後，我們正處於進階開發階段，為一位既有客戶打造一款具備額外功能的應用程式，並將部署於歐洲市場。這將使其在可服務市場中的觸及範圍更大，特別是讓孩子除了目前提供的 Android 手機外，也能使用 iOS 手機。

Once deployed, we believe this will significantly accelerate our revenue growth with this European customer. This same momentum is building with other current partners, and we believe reinforcing Smith Micro as the go-to strategic partner for family safety features and devices, leveraging our new deployment capabilities and resulting in new initiatives that we expect will drive new revenue opportunities.

一旦部署完成，我們相信這將顯著加速我們與這位歐洲客戶的營收成長。同樣的動能也正在其他現有合作夥伴間形成；我們相信，透過強化 Smith Micro 作為家庭安全功能與裝置的首選策略合作夥伴地位，並運用我們新的部署能力，將帶來我們預期可推動新營收機會的新計畫。

During our last conference call, we discussed the signing of a new agreement for SafePath OS with a US carrier. That launch is ready to go and is one of the two new customers I mentioned earlier. This will be our first SafePath OS deployment, and we believe the use case is so powerful it will attract and accelerate additional customer activity for SafePath OS. We are also making solid progress on our strategic effort to expand our reach beyond the carrier market.

在上一次電話會議中，我們談到與一家美國電信商簽署 SafePath OS 的新協議。該項上線已準備就緒，並且是我先前提到的兩位新客戶之一。這將是我們首次部署 SafePath OS；我們相信其使用情境非常強大，將吸引並加速 SafePath OS 的更多客戶活動。我們也在推動一項策略性工作，穩健地擴大我們在電信商市場之外的觸及範圍。

We're engaging with organizations in other markets that serve large customer bases and want to differentiate themselves by delivering family safety solutions for their customers. Our conversations with prospective new partners have reinforced our belief that the market for family safety services is growing and extends beyond the traditional carrier market.

我們正與其他市場中的組織接洽，這些組織服務龐大的客戶群，並希望透過為其客戶提供家庭安全解決方案來形成差異化。我們與潛在新合作夥伴的對話進一步強化了我們的看法：家庭安全服務市場正在成長，且其範圍已延伸至傳統電信商市場之外。

We expect this new initiative to contribute to the company's revenue growth in the coming quarters. Another new growth driver for Smith Micro is the launch of SafePath Connect, announced earlier today, which represents an important expansion of our family safety strategy. For many years, our family safety solutions have been delivered as white-label solutions through wireless carriers.

我們預期這項新計畫將在未來幾季為公司營收成長帶來貢獻。Smith Micro 的另一項新成長動能，是我們今天稍早宣布推出的 SafePath Connect，這代表我們家庭安全策略的一項重要擴張。多年來，我們的家庭安全解決方案主要透過無線電信商以白牌（white-label）方式提供。

This distribution model takes months of effort to launch and typically requires meaningful investment by the carrier. As we've discussed previously, organizations worldwide are looking for trusted digital experiences that strengthen customer engagement and create long-term value. SafePath Connect extends the same trusted family safety capabilities to carrier audiences in a fraction of the time when compared to the white-label approach. SafePath Connect is distributed as a Smith Micro-branded product promoted and paid for by the carrier or other partners.

這種通路模式需要數月的投入才能上線，且通常需要電信商進行相當程度的投資。如同我們先前討論的，全球各地的組織都在尋求值得信賴的數位體驗，以強化客戶互動並創造長期價值。相較於白牌方式，SafePath Connect 能在更短的時間內，將同樣值得信賴的家庭安全能力延伸至電信商受眾。SafePath Connect 以 Smith Micro 品牌產品形式發行，由電信商或其他合作夥伴推廣並付費。

By leveraging Smith Micro App Store distribution, a broader range of partners can have the flexibility to quickly and easily offer a family safety solution to their customers. Since our last conference call, we have signed a new agreement with the second new customer I mentioned earlier to provide SafePath Connect to their customer base, which is located in Europe. Before month end, we will be releasing more information about this relationship, all in coordination with our customers' marketing activity. We are encouraged by the level of interest we're seeing from our new partner.

透過運用 Smith Micro 的 App Store 發行能力，更廣泛的合作夥伴可具備彈性，快速且容易地向其客戶提供家庭安全解決方案。自上次電話會議以來，我們已與我先前提到的第二位新客戶簽署新協議，將 SafePath Connect 提供給其位於歐洲的客戶群。在本月底之前，我們將配合客戶的行銷活動，發布更多關於此合作關係的資訊。我們對新合作夥伴所展現的興趣程度感到鼓舞。

More importantly, SafePath Connect reflects the strategic market expansion underway at Smith Micro. We are evolving from serving a defined carrier market to participating in a much larger family safety opportunity across multiple channels, customer segments and business models. We believe this positions us to drive sustainable growth while creating additional value for both our partners and shareholders. We look forward to launching SafePath Connect in the US in the coming months.

更重要的是，SafePath Connect 反映了 Smith Micro 正在進行的策略性市場擴張。我們正從服務一個明確界定的電信商市場，演進為在多元通路、客戶區隔與商業模式中，參與更大規模的家庭安全機會。我們相信，這使我們能在推動可持續成長的同時，為合作夥伴與股東創造額外價值。我們期待在未來幾個月於美國推出 SafePath Connect。

We see significant potential across the business, and our objective is clear: execute efficiently, support customer successes and position Smith Micro to capitalize on the opportunities we've worked hard to create. As I look ahead, I believe we are better positioned than we have been in quite some time. We have expanded our platform capabilities, strengthened relationships with existing customers, opened new channels to market and built a pipeline that continues to grow.

我們看見公司各項業務具備顯著潛力，而我們的目標很明確：高效率執行、支持客戶成功，並讓 Smith Micro 能把握我們辛勤打造出的機會。展望未來，我相信我們的定位比相當長一段時間以來都更為有利。我們已擴充平台能力、強化與既有客戶的關係、開拓新的市場通路，並建立一個持續成長的商機管線。

The opportunity in front of us is substantial. Our focus now is on execution, delivering for our customers, bringing new opportunities to market and converting the momentum we are seeing today into sustained revenue growth. We are committed to accelerate deliveries to meet customer timelines, so we can maximize our revenue opportunities going forward.

眼前的機會相當可觀。我們目前的重點在於執行力：為客戶交付成果、將新機會推向市場，並把我們今天看到的動能轉化為持續的營收成長。我們承諾加速交付以符合客戶時程，從而在未來最大化我們的營收機會。

We believe the foundation we've built over the past several quarters positions us well for a strong second half of 2026 and will carry us well into 2027 and beyond. We have a lot of work ahead of us, and we are excited about where we are, confident in our direction and optimistic about what Smith Micro can achieve as we continue to execute on our strategy.

我們相信，過去幾季所建立的基礎，使我們有利於在 2026 年下半年展現強勁表現，並將動能延續至 2027 年及更長遠的未來。我們前方仍有大量工作要做；我們對目前所處位置感到振奮，對方向充滿信心，並對 Smith Micro 在持續落實策略執行下所能達成的成果抱持樂觀。

With all that, operator, let's open the call for questions.

以上，接線員，請開放提問。

(Operator Instructions)

(接線員指示)

Scott Searle, ROTH Capital.

Scott Searle，ROTH Capital。

Hey, good afternoon. Thanks for taking the questions. Nice job on starting to see sequential growth following through into the second half of this year. Tim, maybe to start on that front, I just want to clarify, with the two new customers, I'm wondering if you could rearticulate again the timing of those two new customers and the specific applications that they're going to be deploying. Is this kid phones? Or is this elder phones? And then with the existing Tier 1, the expansion of that relationship, when do we start to see the impact of that from a pricing or other standpoint start to kick in?

嗨，午安。謝謝讓我提問。很高興看到在今年下半年開始出現連續性的成長。Tim，或許先從這點開始，我想再釐清一下：關於兩位新客戶，我想請你再說明一次這兩位新客戶的時程，以及他們將部署的具體應用程式。這是兒童手機嗎？還是長者手機？另外，針對既有的一級（Tier 1）客戶，雙方關係的擴張，我們何時會開始看到在定價或其他面向的影響開始顯現？

Yeah, hey, Scott, thanks for the questions. First off, the two new customers, one, both of them are expected to launch in the coming month or so. One of them is a SafePath OS device, and we're refraining from disclosing if it's senior or kids related. We're waiting for the marketing activity to kick in from our customer.

是的，嗨，Scott，謝謝你的提問。首先，兩個新客戶，其中一個——其實兩個都預計在接下來一個月左右上線。其中一個是 SafePath OS 裝置，我們暫時不透露它是與長者或兒童相關。我們在等待客戶的行銷活動啟動。

But once that launches, we'll put a release out with that, and you'll see that in the market. Secondly, the other one is the SafePath Connect platform in Europe, and we're also aligning up marketing activities with that, and that's also scheduled to go within the next month or so very near-term launch, one, SafePath OS. One is the new product, the SafePath Connect. Really excited about both of those and getting those products in market.

但一旦上線，我們會發布新聞稿，你也會在市場上看到。第二個則是歐洲的 SafePath Connect 平台，我們也正在配合其行銷活動，並且同樣預計在接下來一個月左右上線，屬於非常近期的發布：一個是 SafePath OS。另一個是新產品 SafePath Connect。我們對這兩項都非常興奮，也期待把這些產品推向市場。

And we think both of those products in market is going to drive some nice positive activity from a customer perspective and drive our pipeline even larger. The second part -- or the second question, Scott, was around the Tier 1. So the Tier 1 that we're working with, we are expanding our product offering, trying to leverage the broader categories of features and functionalities that we provide. And we do expect the revenue from that to start in the third quarter, Scott, so pretty near-term type activity.

我們認為這兩項產品進入市場後，將從客戶角度帶來不錯的正向動能，並進一步擴大我們的銷售管線。第二部分——或第二個問題，Scott，是關於 Tier 1。我們正在合作的 Tier 1 客戶方面，我們正在擴展產品供應，嘗試運用我們所提供更廣泛類別的功能與特性。我們確實預期相關營收會在第三季開始貢獻，Scott，所以是相當近期的進展。

Got you. Very helpful. And if I could, just to follow up on that, you've given guidance for the third quarter with OPEX up kicking a little bit. It looks like your breakeven is $5.5 million to $6 million. Should we expect to see continued sequential growth then into the fourth quarter given the timing of these launches?

了解。非常有幫助。如果可以的話，我想就此追問一下：你們對第三季的指引提到 OPEX 會略為上升。看起來你們的損益兩平點在 550 萬到 600 萬美元。考量這些上線時點，我們是否應該預期第四季也會延續逐季成長？

And are you looking for break-even results by the end of the year? And then just to follow up as well, the SDK seems like a very intriguing opportunity. I'm wondering if you could address that in a little bit more detail in terms of opportunity, magnitude, what kind of interest you're seeing, or SDK downloads or otherwise. Give us some idea of where that's going.

另外，你們是否以年底前達到損益兩平為目標？再補充追問一下，SDK 看起來是個非常吸引人的機會。我想請你們更詳細說明一下：就機會、規模、你們看到的興趣程度，或 SDK 下載量等。請給我們一些方向，看看這會往哪裡發展。

Yeah, so from a P&L perspective, we've been consistently calling out sequential revenue growth, and we would expect that to continue here into the third quarter and even into the fourth quarter. So very positive pipeline buildup. We believe we have deliveries tied down from a date standpoint, and we believe that our new deliveries will drive and our new launches will drive that sequential growth. So we're real pleased about that, and the team is doing an excellent job around that.

是的，從損益表角度來看，我們一直在強調營收逐季成長，而我們預期這個趨勢會延續到第三季，甚至第四季。因此銷售管線的累積非常正向。我們相信在交付時程上已經鎖定，並且我們相信新的交付與新的上線將推動這種逐季成長。所以我們對此非常滿意，團隊在這方面做得非常出色。

From a cost perspective, we are looking at increasing those non-GAAP operating expenses, just adding some headcount there, shoring up after our strategic changes last October. We're just making some changes with that, all positive and all related to supporting that pipeline at the end of the day. The SDKs and the API activity, yes, we're seeing great traction with that in the marketplace, so that opens up outside of the carrier market greatly.

從成本角度來看，我們計畫提高這些 non-GAAP 營業費用，主要是增加一些人力編制，並在去年十月的策略調整後補強組織。我們正在做一些調整，全部都是正向的，最終都是為了支援這條銷售管線。至於 SDK 與 API 的進展，是的，我們在市場上看到很好的動能，這也讓我們能大幅拓展到電信營運商市場之外。

So anybody that has a membership organization that wants to provide additional value-added services to them, that they are interested in retention around those customers, providing a family safety-type feature and functionality, we're seeing great traction in the marketplace around that. That started a couple months ago, us starting to market that, and the pipeline buildup is exciting. It's something that we haven't seen in a number of years, we believe.

因此，任何擁有會員型組織、希望為其會員提供更多加值服務、並且關注客戶留存的單位，若想提供家庭安全類的功能與服務，我們都在市場上看到很好的反應。我們在幾個月前開始推廣這項服務，而銷售管線的累積令人振奮。我們認為這是多年來未曾見過的情況。

Tim, maybe I can add to what you just said. When we think about the SDK opportunity, we're really looking at the super apps that are being built by the large Tier 1s, and now even larger MVNOs are also expressing interest in building their own app. What's really important here is that this is their app. And instead of having a multitude of different offerings, they're collecting all their service within their core marketed offering. They are willing to spend enormous amounts of money to market these super apps, and they are reaching tens of millions of subscribers.

Tim，我或許可以補充你剛才說的。當我們思考 SDK 的機會時，我們主要聚焦在大型 Tier 1 正在打造的超級 App，而現在甚至更大型的 MVNO 也表達了想要打造自家 App 的興趣。這裡真正重要的是：這是他們的 App。他們不再提供一堆不同的方案，而是把所有服務整合在其核心主打的產品中。他們願意投入巨額資金來行銷這些超級 App，並觸及數千萬訂戶。

This is an opportunity that we could have only wished for on the direct -- on the over-the-top offerings that we have historically done. This is an opportunity that is really has a multiplier effect. And the number of opportunities we're currently focused on is really impressive. And so you have this one contract that's next -- near to signing, and there's plenty more right behind it with extreme interest and excitement around them. So we think this opportunity with the SDKs is a future growth driver that really we've not been able to talk about for a number of years. It's very exciting.

這是我們過去在直接面向消費者——也就是我們歷來做的 OTT 方案——時只能夢想的機會。這個機會確實具有乘數效應。我們目前聚焦的機會數量非常令人印象深刻。而且你會看到有一份合約已經接近簽署，後面還有更多機會緊跟其後，市場對此有極高的興趣與期待。因此我們認為 SDK 的這個機會，是未來的成長驅動力，而這也是我們多年來一直無法談太多的部分。非常令人振奮。

Hey, Bill, just to follow up on that, from a pricing standpoint, in the past, it was rev share with the carriers. Is this a similar type model where you'd be paid per subscriber given that they've got more control over it? So I mean, how are you thinking about on a pricing per sub, onetime fixed fee? How does that work?

嗨，Bill，我想就此再追問一下：從定價角度來看，過去是與電信業者做營收分成。這次是否是類似的模式——考量他們對 App 有更多掌控權，你們會按每位訂戶收費嗎？也就是說，你們如何看待定價：按每位訂戶計價、一次性固定費用？這是怎麼運作的？

Yeah, that's a great question. It's still a SaaS model. Obviously, because the volumes are higher, the carriers have the ability to earn better pricing as they reach the multimillions of sub-levels. But because the number of subscribers is so huge, the net effect is it just generates enormous revenue with very high margin. It's just, I think, the most exciting thing we've seen in a number of years.

是的，這是個很好的問題。它仍然是 SaaS 模式。顯然，因為量體更大，當電信業者的訂戶規模達到數百萬等級時，他們有能力取得更好的價格條件。但由於訂戶數量非常龐大，淨效果就是能以非常高的毛利帶來巨額營收。我認為這是我們多年來看到最令人興奮的事情。

You add to what we're doing there with the phones. We even now have an offering for smaller carriers and operators that is branded to us, but it still gives them a strong answer for their customer base in the area of family safety. After all, carriers are really interested in attracting the family sub. Family subs are the highest quality sub a carrier can sign up, and offering family safety is one of the best ways to get them over to their side. It's a great time.

再加上我們在手機端所做的事情。我們現在甚至也有一個面向較小型電信業者與營運商的方案，品牌是我們自己的，但仍能在家庭安全領域為他們的客戶群提供強而有力的解決方案。畢竟，電信業者非常有興趣吸引家庭型訂戶。家庭型訂戶是電信業者能簽下的最高品質訂戶，而提供家庭安全服務是把他們拉到自己陣營的最佳方式之一。這是一個很好的時機。

Great. Thanks so much. I'll get back in the queue.

太好了。非常感謝。我會回到隊列中。

(Operator Instructions)

(接線員指示)

Matthew Harrigan, StoneX.

Matthew Harrigan，StoneX。

Thank you. You already addressed a number of the points I was going to query about. But when you look at the super app domain, if you will, it feels like there's just a clear default now to your new SDK and APIs. I know you had one large carrier that tried to do everything or is doing everything in-house. Are you seeing any new competition? Or do you -- it feels like everyone's pretty much you talked about the pipeline, so it sounds like most of the MNOs and even other logical customers are pretty much rallying to use your kit that you have in place or about to have in place. And I have one follow-up.

謝謝。你已經回應了我原本要詢問的幾個重點。不過，當你看「超級 App」這個領域時，如果可以這麼說，現在似乎很明顯地預設都會採用你們新的 SDK 和 API。我知道你們曾有一家大型電信業者嘗試把所有事情都自己做，或正在完全內製。你們有看到任何新的競爭嗎？或者你們——感覺大家基本上……你剛才談到管線，所以聽起來大多數 MNO，甚至其他合理的客戶，幾乎都在集結採用你們已經就位或即將就位的工具套件。我還有一個追問。

Hi, Matthew. Thanks for the question. From a competition standpoint, there's definitely competition out there, but for years, we have been the premier provider of these services. And the SDK and API type activity allows access to those services in a lightweight type way. And so we believe that we're still a premier provider of that. So that's how we're competitively separating ourselves from our competition.

嗨，Matthew。謝謝你的問題。就競爭而言，外面確實有競爭者，但多年來我們一直是這些服務的首要供應商。而 SDK 與 API 這類型的活動，讓客戶能以更輕量的方式存取這些服務。因此我們相信，我們仍然是這方面的領先供應商。這就是我們在競爭上與對手拉開差距的方式。

We may not be the cheapest out there. We don't expect to be the cheapest. We don't necessarily want to be the cheapest. We want to provide a high-quality service. Carrier grade is something that's embedded in the company for decades, and we're going to continue down that path and help to separate ourselves from that -- from our competition in doing that.

我們可能不是市場上最便宜的。我們也不預期會是最便宜的。我們也不一定想成為最便宜的。我們希望提供高品質的服務。「電信級」能力已在公司內深植數十年，我們會持續走這條路，並藉此與——與競爭對手做出區隔。

And you've maintained on earlier calls that the senior opportunity's commensurate or larger with the youth opportunity. Are you still seeing that? And is that partly a -- part of the function of why you're seeing so much interest coming in almost over the transom even from non-MNOs?

而你們在先前的電話會議中一直提到，銀髮族的機會與青少年族群的機會相當，甚至更大。你們現在仍然看到這樣的情況嗎？而這是否也部分解釋了為什麼你們會看到這麼多興趣，幾乎是「不請自來」，甚至來自非 MNO 的客戶？

Yeah, the senior side of things is very active. We're absolutely seeing a lot of interest in that. And when you start thinking about the capabilities that we can provide in our different deployment, including our OS platform, we do continue to see a strong pipeline related to seniors. I'd say it's stronger than the kids OS side of things right now.

是的，銀髮族這一端非常活躍。我們確實看到很多相關的興趣。當你開始思考我們在不同部署中（包括我們的 OS 平台）能提供的能力時，我們確實持續看到與銀髮族相關的強勁管線。我會說目前它比兒童 OS 這一端還要更強。

So after that massive deployment, no more --

所以在那次大規模部署之後，就不再--

Matthew, maybe I can add something on top of that. When you think about our SDK offering, it's built on the same code base as all SafePath products. And that code base has been built over a number of years through internal development as well as external acquisitions, where we acquired some of our major competitors in the past. As a result, the feature set and breadth of offering that is provided by SafePath is fairly unparalleled. Even when you look at some of the major players that market direct to consumer, our feature set is broader.

Matthew，我也許可以在此補充一下。談到我們的 SDK 產品，它是建立在與所有 SafePath 產品相同的程式碼基礎之上。而這個程式碼基礎是多年來透過內部開發以及外部併購所建立的，我們過去也收購過一些主要競爭對手。因此，SafePath 所提供的功能集合與產品廣度幾乎無可匹敵。即使你看一些直接面向消費者市場的主要玩家，我們的功能集也更廣。

So when you start talking about an SDK offering, we're providing a vehicle for a carrier to build family safety into their branded app that they are going to invest heavily in as far as from a marketing standpoint to attract a large percentage of their possible user base. So yes, there may be competition, but when you're way out in front, it's really hard for the competition to catch up on a feature-by-feature basis.

因此當你開始談 SDK 方案時，我們提供的是一個載體，讓電信業者能把家庭安全功能整合到他們的品牌 App 中；而他們會在行銷層面投入大量資源，以吸引其潛在用戶基礎中的很大比例。所以是的，可能會有競爭，但當你遠遠領先時，競爭對手要在逐項功能的層面追上來是非常困難的。

And I think you mentioned a fairly nominal sequential up to 6% increase in operating expenses. Is that really pretty much entirely on the sales side? Or are you wiggling around a few technical things as well given all the enhancements that you've introduced? I know you've got a really nice bedrock, but I mean, the market's moving so fast that I felt like you might want to do some new things on the engineering side as well.

另外，我想你提到營業費用環比僅小幅上升，最高到 6% 的增幅。那是否幾乎完全是在銷售端？還是你們也在技術面做了一些調整，畢竟你們推出了這麼多增強功能？我知道你們有很好的基礎，但市場變化很快，我覺得你們可能也會想在工程端做一些新的事情。

Yes, it's mostly focused on the engineering side, Matthew. Between people and maybe AI, at the end of the day, that's what's going to take care of those -- that's what we have identified for those costs, so just trying to enhance the team and making sure we're prepared to handle the pipeline ahead of us.

是的，主要是聚焦在工程端，Matthew。在人員以及可能的 AI 方面，歸根結底，這些就是能處理那些——我們已經為這些成本所辨識的項目；因此我們只是想強化團隊，並確保我們已準備好應對接下來的管線。

And this concludes our question-and-answer session. I would like to turn the conference back over to Charles Messman for any closing remarks.

我們的問答環節到此結束。我想把電話會議交回給 Charles Messman，請他做結語。

I want to thank everyone for joining us today. As always, please feel free to reach out to us directly, and we look forward to talking to you on our next call. Thanks, and have a great day.

感謝各位今天加入我們。一如往常，歡迎隨時直接與我們聯繫，我們期待在下一次電話會議再與各位交流。謝謝，祝各位有美好的一天。

The conference has now concluded. Thank you again for attending today's presentation. You may now disconnect your lines.

本次電話會議到此結束。再次感謝各位參加今天的簡報。您現在可以掛線。