Sequans Communications SA (SQNS) 2025 Q3 法說會逐字稿

Welcome to the 3rd quarter of 2025 sequence earnings conference call. My name is Jonathan, and I will be your operator for today's call. (Operator Instructions). I would now like to turn the program over to David Hanover, investor relations. David, you may begin.

歡迎參加 2025 年第三季業績電話會議。我叫喬納森，我將擔任您今天通話的接線生。（操作說明）現在我將把節目交給投資者關係負責人大衛漢諾威。大衛，你可以開始了。

And thank you to everyone participating in today's call. Joining me on the call from Sequans Communications are Georges Karam, CEO and Chairman, and Deborah Choate, CFO. Before turning the call over to Georges, I would like to remind our participants of the following important information on behalf of Sequans. First, Sequans issued an earnings press release this morning, and you'll find a copy of the release on the company's website at www.sequans.com under the newsroom section.

感謝今天所有參加電話會議的人員。與我一同參加此次電話會議的還有 Sequans Communications 的執行長兼董事長 Georges Karam 和財務長 Deborah Choate。在將電話轉交給喬治之前，我謹代表 Sequans 提醒各位參與者以下重要訊息。首先，Sequans 今天早上發布了盈利新聞稿，您可以在公司網站 www.sequans.com 的新聞中心部分找到該新聞稿的副本。

Second, this conference call contains projections and other forward-looking statements regarding future events or our future financial performance and potential financial financing sources.

其次，本次電話會議包含有關未來事件或我們未來財務表現和潛在融資來源的預測和其他前瞻性陳述。

All statements other than present historical facts and conditions contained in this release, including any statements regarding our business strategy, cost optimization, strategic plans, the ability to enter into new strategic agreements, expectations for sales, our ability to convert our pipeline to revenue and our objectives for future operations, our forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1,999, Section 27A in the Securities Act of 1,933 as amended, and Section 21 of the Securities Exchange Act of 1,934 as amended.

本新聞稿中除當前歷史事實和情況外的所有陳述，包括任何關於我們業務戰略、成本優化、戰略計劃、簽訂新戰略協議的能力、銷售預期、將項目轉化為收入的能力以及未來運營目標的陳述，均屬於 1999 年《私人證券訴訟改革法案》、1933 年《證券法》第 27A 條（經修訂）和證券交易第 194 年經修訂的第 194 年《經修訂）27A 條（經修訂）1934 年《233》第 27A 條（經修訂）1934 年《234 年》

These statements are only predictions and reflect our current beliefs and expectations with respect to future events and are based on assumptions and subject to risk and uncertainties and subject to change at any time.

這些聲明僅為預測，反映了我們目前對未來事件的看法和預期，基於假設，存在風險和不確定性，隨時可能發生變化。

We operate in a very competitive and rapidly changing environment. New risks emerge from time to time. Given these risks and uncertainties, you should not rely on or place undue reliance on these forward-looking statements. Actual events or results may differ materially from those contained in the projections of forward-looking statements. More information on factors that could affect our business and financial results are included in our public filings made with the Securities and Exchange Commission.

我們身處競爭非常激烈且瞬息萬變的環境。新的風險會不時出現。鑑於這些風險和不確定性，您不應依賴或過度依賴這些前瞻性陳述。實際事件或結果可能與前瞻性聲明中的預測有重大差異。有關可能影響我們業務和財務業績的因素的更多信息，請參閱我們向美國證券交易委員會提交的公開文件。

And now I'd like to hand the call over to George Caron. Please go ahead, George.

現在我想把電話交給喬治·卡倫。請繼續，喬治。

Thank you, David. Good morning to everyone. We announced this morning that Sequans has taken a proactive approach to reduce its debt by 50% through its strategic asset reallocation of its Bitcoin treasury.

謝謝你，大衛。大家早安。我們今天早上宣布，Sequans 已採取積極主動的方式，透過對其比特幣金庫進行戰略性資產重新配置，將其債務減少 50%。

We remain fully committed to our Bitcoin treasury strategy, which we continue to believe will deliver meaningful long-term value for our shareholders. This is why we executed our major financing deal in July as the starting foundation of our Bitcoin strategy.

我們仍然完全致力於我們的比特幣國庫戰略，我們仍然相信該戰略將為我們的股東帶來有意義的長期價值。這就是為什麼我們在7月完成了這筆重大融資交易，作為我們比特幣策略的起點。

As the financing deal included both equity and convertible debt components that introduced approximately 50% leverage into our treasury structure. Initially, we thought the shares would appreciate following the deal announcement and the debt would convert due to share price appreciation.

由於融資交易包括股權和可轉換債券兩部分，使我們的財務結構引入了約 50% 的槓桿。最初，我們認為交易宣布後股價會上漲，債務會因股價上漲而轉換。

While there is no urgency for us as we are not paying interest on the debt for the 1st 12 months.

由於前 12 個月我們不支付債務利息，所以對我們來說並不著急。

We have chosen to act proactively Given current digital asset treasury market conditions. With many of our peers currently trading significantly below an MA of one, we find ourselves constrained by the lack of available options to meaningfully advance our treasury strategy at this time. Thus, we have opted to move forward and negotiate with our debt holder to reduce our debt exposure and provide us with a greater flexibility moving forward.

鑑於當前數位資產資金市場狀況，我們選擇採取積極主動的行動。由於我們許多同業目前的交易價格遠低於 1 的移動平均線，我們發現自己目前缺乏有效的選擇來推進我們的財務策略。因此，我們選擇繼續推動與債權人的談判，以減少我們的債務風險敞口，並為我們未來的發展提供更大的靈活性。

As a result, we announced today that we are reducing by 50% our convertible debt via a technical sale of a portion of our Bitcoin holdings. We undertook this action for the following reasons.

因此，我們今天宣布，我們將透過技術性出售部分比特幣持有量，將可轉換債務減少 50%。我們採取這項行動的原因如下。

First, it has lowered our debt to NAV ratio closer to the 35% range, a more appropriate level, while still maintaining decent leverage on the remaining portion of the convertible debt. This puts us in a better position for issuing preferred shares in the future.

首先，它將我們的債務與淨資產值比率降低到更接近 35% 的水平，這是一個更合適的水平，同時仍保持了剩餘可轉換債務的合理槓桿率。這將使我們在未來發行優先股時處於更有利的地位。

Second, we have reduced some of the debt covenant constraints, increasing our ability to use all of the treasury tools at our disposal. Including buying back ADS and executing on the ATM based on market conditions. With respect to our ADS buyback program.

其次，我們減少了一些債務契約限制，提高了我們運用所有可用財政工具的能力。包括根據市場狀況回購 ADS 和在 ATM 上執行操作。關於我們的ADS回購計劃。

Factoring in the factoring in the current valuation, selling Bitcoin on a technical basis makes sense in this environment to fund the repurchase of our ADS which are trading at a significant discount to our Bitcoin net value plus our net cash. Note that our current valuation does not reflect the value creating opportunities we believe are available to us through our IoT business, which I will discuss shortly.

考慮到當前的估值，從技術角度來看，在這種環境下出售比特幣是合理的，這樣可以為回購我們的美國存託憑證 (ADS) 提供資金，因為 ADS 的交易價格比我們的比特幣淨值加上淨現金值低得多。請注意，我們目前的估值並未反映我們認為透過物聯網業務可以獲得的價值創造機會，我稍後將對此進行討論。

And lastly, we have freed up some of the Bitcoin we hold, enabling us to generate some yield with minimum risk. Such yields can be deployed to buy Bitcoin. So, to summarize this move, to summarize, this move was undertaken to unlock shareholder value and put us in a better position to execute on our treasury strategy.

最後，我們釋放了部分持有的比特幣，使我們能夠以最小的風險獲得一些收益。這些收益可以用來購買比特幣。綜上所述，此次措施旨在釋放股東價值，並使我們更有能力執行我們的財務策略。

We intend to continue to follow a disciplined and opportunistic approach to Bitcoin accumulation. We will be patient with market condition, but we remain proactive. Ongoing Bitcoin purchases could be funded by issuance of debt, equity or preferred, as well as IoT business monetization and operating cash flow.

我們打算繼續採取有紀律、有機會的比特幣累積方式。我們將耐心觀察市場狀況，但同時也會保持積極主動的態度。持續的比特幣購買可以透過發行債務、股權或優先股來籌集資金，也可以透過物聯網業務貨幣化和營運現金流來籌集資金。

We have the tools or options in place to execute the strategy. An ATM which provides us with the option that when our share price is much higher than where it is today, we'll be able to execute opportunistically on our Bitcoin accumulation strategy in an active manner.

我們擁有執行該策略所需的工具或方案。這台 ATM 讓我們能夠在股價遠高於目前水準時，積極主動地把握機會，執行我們的比特幣累積策略。

We have also an ADS buyback program in place, which has been approved by the board and given the current share price, we'll execute on this as soon as we are able to.

我們還制定了一項美國存託股份回購計劃，該計劃已獲得董事會批准，鑑於目前的股價，我們將盡快執行該計劃。

We have reduced our debt exposure, which affords us the option to consider other new instruments like preferred shares in the future. Returning to my earlier point about the large valuation discrepancy in our shares, I wanted to stress that our current net equivalent cash position that includes equivalent cash of Bitcoin net asset value.

我們降低了債務敞口，這使我們未來可以選擇考慮其他新的金融工具，例如優先股。回到我之前提到的我們股票估值存在巨大差異的問題，我想強調的是，我們目前的淨等值現金頭寸包括等值的比特幣淨資產價值現金。

Minus that is above $170 million. This is approximately $12 per outstanding ADS. You can see the deep discount our shares are trading. And on this basis alone. This ignores any IoT business value we are creating and expect to create in the future. It also ignores the leverage we can create with our Bitcoin treasury strategy.

減去這部分金額，超過1.7億美元。每份未發行的ADS大約需要12美元。你可以看到我們股票的交易價格大幅折讓。僅憑這一點。這忽略了我們正在創造和預期將來創造的任何物聯網商業價值。它也忽略了我們利用比特幣資金管理策略所能創造的槓桿作用。

While Bitcoin treasury companies as a whole may be in a transition phase that has affected current equity valuations, we continue to be fully committed to the Bitcoin treasury strategy we have initiated and are exploring all opportunities to unlock shareholder value through our Bitcoin treasury alongside our IoT operations.

雖然比特幣資金管理公司整體上可能正處於轉型階段，這影響了當前的股權估值，但我們仍然完全致力於我們已經啟動的比特幣資金管理策略，並且正在探索所有機會，透過我們的比特幣資金管理以及物聯網營運來釋放股東價值。

Our goal remains to create long-term value for our shareholders. As for our IoT business itself, it's moving in the right direction. Our pipeline remains healthy, representing about $550 million in potential 3 year product revenue across our 4G and RF product lines.

我們的目標始終是為股東創造長期價值。至於我們的物聯網業務本身，它正朝著正確的方向發展。我們的產品線依然健康，在 4G 和射頻產品線方面，未來三年潛在產品收入約為 5.5 億美元。

In Q3, we want 60 new projects and I'm pleased to announce that around $300 million of this pipeline are design win projects. A 20% increase versus our last reported figure. Some of the design wind projects are in mass production phase currently generating revenue, and others are under development by our customers with revenue potential in 2026 and beyond.

第三季度，我們希望啟動 60 個新項目，我很高興地宣布，其中約 3 億美元是設計得標項目。比我們上次公佈的數據成長了20%。部分風電專案設計目前已進入批量生產階段並產生收益，而其他專案則由我們的客戶開發，預計在 2026 年及以後產生收益。

Our execution remains focused on increasing the design wind pipeline, but more importantly, on helping our customers with projects not yet in production, finishing the development and certification of their products, and turning them to revenue generating designers. In 33 design wind projects transition to production.

我們的執行重點仍然是增加設計風電項目儲備，但更重要的是，幫助我們的客戶完成尚未投入生產的項目，完成產品的開發和認證，並將它們轉變為能夠產生收入的設計方案。33個設計風電工程過渡到生產階段。

In 4, we expect to add 5 more, positioning us to enter 2026 with over 45% of our design wind projects in production and generating revenue. This aligns with the target we set at the beginning of 2025 and represents a more than 2 X improvement of the of this key business metric.

預計到 2026 年，我們將新增 5 個風電項目，屆時我們將有超過 45% 的設計風電項目投入生產並產生收入。這與我們2025年初設定的目標一致，並代表這項關鍵業務指標提高了2倍以上。

We anticipate this positive trend to continue into the first half of 2026, supporting our revenue growth in the second half of 2026. Our design wind projects span multiple verticals. Tracking, fleet management, and smart metering remain the strongest verticals for us with good presence and security, and e-health and medical.

我們預計這一積極趨勢將持續到 2026 年上半年，從而支持我們在 2026 年下半年的營收成長。我們的風電設計專案涵蓋多個垂直領域。追蹤、車隊管理和智慧計量仍然是我們最強大的垂直領域，擁有良好的市場佔有率和安全性，以及電子健康和醫療領域。

Looking at smart metering, we are now shipping product for three projects of Honeywell and two of Itron, and should have two new metering customers ramping early 2026. In fleet-management, Geotab is ramping and we will have another customer ramping in early 2026. We continue to have strong business with AsiaTel, a channel partner addressing auto tracking and other vertical applications.

就智慧計量而言，我們目前正在為霍尼韋爾的三個專案和艾創的兩個專案交付產品，並且應該會在 2026 年初迎來兩個新的計量客戶。在車隊管理領域，Geotab 正在快速發展，我們將在 2026 年初迎來另一位客戶。我們與 AsiaTel 保持著強勁的業務往來，AsiaTel 是我們的通路合作夥伴，主要業務是汽車追蹤和其他垂直應用。

Now, I will briefly review the 3rd quarter business and discuss our 4th quarter outlook. Let me start by highlighting that Q3 was the first quarter without any remaining revenue recognition tailwind from the Qualcomm deal closed last year.

現在，我將簡要回顧第三季的業務狀況，並討論我們對第四季的展望。首先我要強調的是，第三季是第一個沒有去年高通收購案帶來的任何收入確認利好因素的季度。

While this has an optical impact on the licensing and services revenue component, it does not affect cash flow. Q3 product revenue was impacted by minor delays as some customer projects shifted the ramp-up schedule to Q4.

雖然這會對許可證和服務收入部分產生表面上的影響，但不會影響現金流。第三季產品收入受到輕微延誤的影響，因為一些客戶專案將產能提升計畫推遲到了第四季。

While this has postponed our expected Q3 revenue growth, we remain confident that the ramp will materialize in Q4 as planned. In addition, We face some late production challenges with our OSA partner, and revenue fell short of our target due to substrate availability issue.

雖然這推遲了我們預期的第三季營收成長，但我們仍然相信第四季將以計畫成長。此外，由於 OSA 合作夥伴的生產進度出現一些問題，加上基材供應問題，導致收入未能達到預期目標。

The impact was around $1 million in substrate lead times became extended last quarter due to industry demand from AI leaders. We mitigated this by working with suppliers and anticipating orders. However, our execution timing was right on the edge of the quarter end. This ended up delaying some of our shipments by a couple of weeks.

上個季度，由於人工智慧產業領導者的需求，導致基材交付週期延長，影響約 100 萬美元。我們透過與供應商合作和預測訂單來緩解這個問題。然而，我們的執行時間恰好在季度末。這導致我們的一些貨物運輸延遲了幾個星期。

However, this issue is now under control for our 4th quarter shipments. Given our Q4 visibility. Our current Q4 view is that product revenue will exceed $6 million. With around $1 million dollar incremental services, incremental revenue of services and IP license.

但是，這個問題目前已受到控制，第四季的出貨量將得到保障。鑑於我們對第四季的預期。我們目前對第四季產品收入的預期是，產品收入將超過 600 萬美元。新增服務收入約 100 萬美元，新增服務收入和 IP 授權收入。

We aim to finish the Q4 with revenue above $7 million by adding the two component. On the product development front, we launched our 4G cat one this worldwide SKU module. And have made very good progress on our 5G IoT. In this regard, I'm pleased to announce that we have just tapped out our 5G Ered cap test chip as planned.

我們的目標是透過增加這兩個組成部分，使第四季度營收超過 700 萬美元。在產品開發方面，我們推出了面向全球市場的 4G 一類 SKU 模組。我們在 5G 物聯網方面取得了非常好的進展。在這方面，我很高興地宣布，我們已經按計劃完成了 5G Ered 容量測試晶片的製造。

This is a major milestone in our 5G IoT project. This program will enable us to sample our third generation of IoT chips supporting 5G redcap late 2026. This is an extremely advanced technology that we believe has significant value.

這是我們5G物聯網專案的一個重要里程碑。該計劃將使我們能夠在 2026 年底之前對支援 5G 的第三代物聯網晶片進行樣品測試。這是一項極其先進的技術，我們認為它具有巨大的價值。

In summary, Our 4G IoT business will grow and generate positive cash flow in 2026, becoming a profitable business line for us with the potential to grow further in 2027 by around 50% year over year. This business is helping to fund our ongoing investment in 5G R&D which can start generating product revenue in 2027 and licensing revenue in 2026.

總而言之，我們的 4G 物聯網業務將在 2026 年實現成長並產生正現金流，成為我們的獲利業務線，並有可能在 2027 年實現同比增長約 50%。這項業務有助於為我們對 5G 研發的持續投資提供資金，該研發項目預計在 2027 年開始產生產品收入，並在 2026 年開始產生授權收入。

We expect the IP created with this 5G investment could result in a strategic deals with significant near term value creation as we have successfully demonstrated in the past with 4G.

我們預計，透過這項 5G 投資所創造的智慧財產權可以帶來具有重大近期價值創造的策略交易，正如我們過去在 4G 領域成功證明的那樣。

More generally, we have launched a new IP initiatives and announced a portfolio of IP that we are willing to license. We have done a few licensing deals in the past. But here we are shifting from an opportunistic approach to a proactive go to market strategy, maximizing our customer reach and accelerating the monetization of our IP portfolio, all without additional investment.

更廣泛地說，我們已經啟動了一項新的智慧財產權計劃，並公佈了我們願意授權的智慧財產權組合。我們過去曾達成一些授權協議。但在這裡，我們正在從機會主義方法轉向積極主動的市場進入策略，最大限度地擴大客戶覆蓋範圍，加速知識產權組合的貨幣化，所有這一切都無需額外投資。

Currently we have several opportunities under discussion. And we hope to conclude a few of them in the coming quarters. We believe services and IP licensing should contribute high margin revenue in 2026. We further expect longer-term product revenue trend based on current design wins and order backlog of 4G chips and module and radio transceivers.

目前我們正在探討幾個合作機會。我們希望在接下來的幾個季度完成其中一些項目。我們認為，到 2026 年，服務和 IP 授權將貢獻高利潤收入。我們預計，基於目前4G晶片、模組和無線收發器的設計訂單和積壓訂單，產品收入將呈現長期成長趨勢。

Considering the $300 million dollar product design wind pipeline we currently have in hand. And factoring that we will enter 2026 with 45% of the design wind projects generating revenue. This could generate $45 million dollar average annual product revenue over the coming 3 years. This doesn't include the growing number of projects that are expected to enter into production in 2026. The new projects we are working on to win or IP licensing and services contribution.

考慮到我們目前手頭上有價值 3 億美元的產品設計風能專案儲備。考慮到 2026 年，我們將有 45% 的設計風電專案產生收入。未來三年，該產品平均每年可帶來 4,500 萬美元的產品收入。這還不包括預計 2026 年投入生產的日益增加的項目。我們正在努力爭取贏得知識產權許可和服務貢獻的新項目。

On the operating expense front, our goal is to limit cash burn in 2026 in order to reach break even in Q4. To support this, we are implementing a 20% cost reduction program across functions. While safeguarding Korea which. This approach provides downside protection and preserves flexibility to scale up if upside revenue opportunities materialize.

在營運支出方面，我們的目標是在 2026 年限制現金消耗，以便在第四季度實現收支平衡。為了支持這一目標，我們正在各個職能部門實施一項成本削減 20% 的計畫。在保衛韓國的同時。這種方法既能提供下行保護，又能保持彈性，以便在出現上行收入機會時擴大規模。

I will now take a moment to discuss some of the IoT related strategic alternatives we are currently evaluating.

接下來，我將花一點時間討論我們目前正在評估的一些與物聯網相關的策略選擇。

Since launching our Bitcoin treasury, we have been actively reassessing how best to position our IoT business to ensure shareholders benefit from its full value potential. Our board is currently evaluating a range of strategic alternatives we have.

自從推出比特幣金庫以來，我們一直在積極重新評估如何最好地定位我們的物聯網業務，以確保股東能夠從其全部價值潛力中受益。董事會目前正在評估我們擁有的一系列策略選擇。

While several options being explored, I can share that we are in serious discussions regarding a few strategic partnership opportunities for our IoT business. The objective is to accelerate the path to break even, enhance the business overall value, and strengthen its cash flow generating capability.

雖然我們正在探索多種方案，但我可以透露的是，我們正在就物聯網業務的一些策略合作機會進行認真討論。目標是加快實現損益平衡的步伐，提升企業整體價值，並增強其現金流生成能力。

I will now turn the call over to Deborah to review the third quarter, 2025 preliminary financial results in greater detail. Deborah.

現在我將把電話交給黛博拉，讓她更詳細地回顧一下 2025 年第三季的初步財務表現。黛博拉。

Thank you, George, and good morning, everyone. I'll cover our third quarter financial results and then speak more about our Bitcoin holdings.

謝謝你，喬治，大家早安。我將介紹我們第三季的財務業績，然後詳細談談我們持有的比特幣。

Total revenues in Q3 2025 were $4.3 million a decrease of 47.3% compared to the second quarter of 2025, as the as the last license revenues from Qualcomm finished in Q2 2025. Gross margin was 40.9% compared to 64.4% in Q2, again reflecting much lower high margin license revenue in the mix in Q3.

2025 年第三季總營收為 430 萬美元，比 2025 年第二季下降了 47.3%，因為高通的最後一筆授權收入在 2025 年第二季結束。第三季毛利率為 40.9%，而第二季為 64.4%，這再次反映出第三季高利潤率的授權收入佔比大幅下降。

Operating expenses in Q3 2025, excluding the unrealized loss on the mark to market of the Bitcoin treasury asset, were $14 million stable compared with Q2 2025.

2025 年第三季的營運費用（不包括比特幣國庫資產按市值計價的未實現損失）與 2025 年第二季相比保持穩定，為 1,400 萬美元。

Both quarters included a number of non-recurring expenses related to various legal and advisory fees related to our strategic transactions. Operating expenses in Q3 included nearly $800,000 in non-cash stock compensation expense, and $1.6 million in amortization and depreciation expense.

這兩個季度都包含一些與我們的策略交易相關的非經常性支出，包括各種法律和諮詢費用。第三季的營運費用包括近 80 萬美元的非現金股票補償費用，以及 160 萬美元的攤提和折舊費用。

As George mentioned, we are putting in place cost reduction measures to reduce cash operating expenses, meaning excluding stock comp and depreciation expense, to be below $10 million per quarter in 2026.

正如喬治所提到的，我們正在採取成本削減措施，以降低現金營運支出（不包括股票補償和折舊費用），目標是到 2026 年每季低於 1,000 萬美元。

Operating loss was $20.4 million in Q3 compared to an operating loss of $8.7 million in the second quarter of 2025. The operating loss in the third quarter of 2025 included an $8.2 million unrealized loss on impairment of the value of our Bitcoin assets.

第三季營業虧損為 2,040 萬美元，而 2025 年第二季營業虧損為 870 萬美元。2025 年第三季的營業虧損包括因比特幣資產價值減損而產生的 820 萬美元未實現虧損。

Which was marked to market. For the third quarter of 2025, our net loss was $6.7 million or $0.48 cents per diluted ADS compared to a net loss of $9.1 million or a loss of $3.59 per diluted ADS in Q2 2025.

按市價計價。2025 年第三季度，我們的淨虧損為 670 萬美元，即每股攤薄 ADS 虧損 0.48 美分，而 2025 年第二季的淨虧損為 910 萬美元，即每股攤薄 ADS 虧損 3.59 美元。

Net loss in the third quarter of 2025 included a non-cash 20.6% gain on the change in value of the embedded derivative related to the convertible debt issued in July and included net interest expense of $6.9 million that was also primarily non-cash and related to the IFRS accounting for the convertible debt issued in July.

2025 年第三季淨虧損包括 7 月發行的可轉換債券相關的嵌入式衍生性商品價值變動產生的 20.6% 非現金收益，以及 690 萬美元淨利息支出，該支出也主要為非現金支出，與 7 月發行的可轉換債券的 IFRS 會計處理有關。

Our non-IFRS loss in Q3 2025 was $11 million compared to a non-IFRS net loss of $8.1 million in Q2 2025. Cash and cash equivalents at September 30th, 2025, total of $13.4 million compared to $41.6 million at June 30, 2025.

2025 年第三季度，我們的非 IFRS 虧損為 1,100 萬美元，而 2025 年第二季的非 IFRS 淨虧損為 810 萬美元。截至 2025 年 9 月 30 日，現金及現金等價物總額為 1,340 萬美元，截至 2025 年 6 月 30 日為 4,160 萬美元。

The September 30th balance does not include the $10 million final payment from the 2024 Qualcomm transaction that was released from Escrow in October 2025, giving us a pro forma and in cash of $23.4 million.

9 月 30 日的餘額不包括 2024 年高通交易的 1000 萬美元最終付款，該款項已於 2025 年 10 月從託管帳戶中釋放，因此我們的模擬和現金餘額為 2340 萬美元。

At September 30, 2025, the company held 3,234 Bitcoins with a market value of $365.6 million of which was pledged as security for the $189 million of convertible debt issued in July.

截至 2025 年 9 月 30 日，該公司持有 3,234 枚比特幣，市值 3.656 億美元，其中一部分被質押為 7 月發行的 1.89 億美元可轉換債券的擔保。

Following the recently announced amendment of the debt agreement, 1,617 Bitcoin are being released from the pledge, and the company has sold 970 Bitcoin in order to reimburse half of the debt.

根據最近宣布的債務協議修訂，1617 個比特幣將從質押中解除，該公司已出售 970 個比特幣以償還一半債務。

The remaining 647 unfledged Bitcoin remain in our treasury, but are able to, that are available for the previously announced ADS repurchase program if needed. I'd also like to refer you to our Bitcoin dashboard on our website at sequences.com/bitcoin-treasury, where investors can find our Bitcoin-related statistics in one location.

剩餘的 647 個未孵化的比特幣仍留在我們的金庫中，但如果需要，它們可以用於先前宣布的 ADS 回購計劃。我還想向您推薦我們網站上的比特幣儀錶板，網址是 sequences.com/bitcoin-treasury，投資者可以在那裡找到我們與比特幣相關的統計數據。

We now have many tools in place to pursue our Bitcoin treasury strategy and strategic options for our IoT business. We will use these to maximize shareholder value based on our own specific circumstances.

我們現在擁有許多工具來推行我們的比特幣金庫策略和物聯網業務的策略性選擇。我們將根據自身俱體情況，利用這些資源來實現股東價值最大化。

And then I'll turn the call back to George before we begin Q&A.

然後，在開始問答環節之前，我會把電話轉回給喬治。

Thank you, Deborah. So to conclude this call before the Q&A, I would like to stress like the two points on the Bitcoin. We continue to be committed to the Bitcoin treasury strategy we've launched. Given the current digital asset treasury market condition, we decided to adjust our treasury structure and redeem half of the debt in order to be in a better shape to execute on our Bitcoin treasury strategy.

謝謝你，黛博拉。在問答環節之前，我想在通話結束前強調一下關於比特幣的兩點。我們將繼續致力於我們已推出的比特幣資金儲備策略。鑑於當前數位資產資金市場狀況，我們決定調整資金結構並贖回一半債務，以便更好地執行我們的比特幣資金策略。

With this move, we have now a more appropriate debt to ratio while still maintaining decent leverage. Also, we put ourselves in a stronger position to execute on the ADS buyback program as well as other financial instruments.

透過這項舉措，我們現在擁有了更合適的債務比率，同時仍保持了合理的槓桿率。此外，我們也讓自己處於更有利的地位，以執行 ADS 回購計畫以及其他金融工具。

On the IoT business, our design win pipeline is growing well and we remain on track to have by the end of this year more than 45% of the projects of the customer projects moving to mass production and generating graph.

在物聯網業務方面，我們的設計中標專案進展順利，我們仍有望在今年年底前實現超過 45% 的客戶專案進入量產階段並產生圖表。

In parallel, we are taking all action needed to control our OpEx and limit cash burn with the target to reach break even in Q4 2026. And finally, we are seriously considering a few strategic alternatives to ensure shareholders benefit from the full value potential of our IoT business.

同時，我們正在採取一切必要措施來控制營運支出並限制現金消耗，目標是在 2026 年第四季實現收支平衡。最後，我們正在認真考慮一些策略選擇，以確保股東能夠從我們物聯網業務的全部價值潛力中受益。

With that Let's now begin the Q&A sessions.

那麼，現在讓我們開始問答環節。

Scott Searle, Roth

史考特·塞爾，羅斯

Hey, good morning, good afternoon. Thanks for taking the questions. Hey, Deborah, maybe just to dive in quickly, in the third quarter, were there any licensing or service revenues a part of the $4.3 million to understand if there's a sequential uptick, in the product revenues. Also, I just want to clarify the timing on the OpEx going below 10 million and George from a high level, kind of looking at where the net asset value of the company is relative to the current stock price. How aggressive will you be on the buyback if you've got another 600, Bitcoin available to pursue that strategy, given the stock is trading at $7 versus net asset value around 12, it would seem like it's a pretty good arbitration, move to do that. So, how quickly and how aggressively do you plan to tackle that?

嘿，早上好，下午好。謝謝您回答問題。嘿，黛博拉，我們不妨快速切入正題，在第三季度，430萬美元的收入中是否有任何許可或服務收入？這樣可以了解產品收入是否有環比成長。另外，我還想澄清一下營運支出低於 1000 萬美元的時間點，以及喬治從宏觀角度來看，公司淨資產價值相對於當前股價的情況。如果你還有 600 個比特幣可用於執行該策略，考慮到股票交易價格為 7 美元，而淨資產值約為 12 美元，那麼回購的力度會有多大？這似乎是一個相當不錯的套利機會，應該採取行動。那麼，你們打算以多快的速度和多大的力道來解決這個問題呢？

Yes, I mean, it's got the high first of all, and, just to take your last point, as aggressive as needed and as the rationale makes sense, right? I mean, our Bitcoin value, the Bitcoin get acquired with a share at $14. So, technically, if the share is at $7 you will be making 50% gain by selling a Bitcoin that you purchased at 14 and you recover the price you paid for it at 7, right?

是的，我的意思是，首先它具有很高的效率，而且，就你最後一點而言，它會根據需要採取盡可能激進的策略，只要理由合理，對吧？我的意思是，我們的比特幣價值，比特幣是以每股 14 美元的價格被收購的。所以，從技術上講，如果股票價格是 7 美元，那麼你賣掉以 14 美元買入的比特幣，就能獲得 50% 的收益，並且收回你以 7 美元買入它的價格，對嗎？

I mean, which is your share. So we have all in place. Border resolution is there. We were not able to execute on it, in this period because as we were on the, the window, I mean, we were restricted and we could not act on this. But then, I don't know that in one or two days we'll be free and we'll be moving on this. And, obviously, depending where the stock is, but it makes full sense for shareholder today to buy back the shares of the company if it's trading low, and for the people staying with the company we'll get the value of the NAV we have there. So we are completely committed to be aggressive on this if needed.

我的意思是，你該分到哪一份？一切準備就緒。邊界分辨率已經存在。在此期間，我們未能執行該計劃，因為當時我們正處於…窗口期，我的意思是，我們受到了限制，無法採取行動。但是，我不知道一兩天後我們是否就能獲得自由，繼續推進這件事。當然，這取決於股票的價格，但如果股票價格低迷，那麼對於今天的股東來說，回購公司股票是完全有意義的，而對於那些繼續持有公司股票的人來說，我們將獲得我們現有的淨資產價值。因此，如有必要，我們將全力以赴，採取積極主動的措施。

It's got on the revenue side, we're about 2/3 products, 1/3, licensing and services. In Q3 and in terms of the OpEx reduction, the, this is being put in place now, we expect it will be, mostly realized in Q1 and We're looking at and fully in place by Q2 but with an overall for the year being below $10 million a quarter and that includes the yes and that includes the new cost of managing the Bitcoin treasury.

從收入方面來看，我們大約 2/3 來自產品，1/3 來自授權和服務。在第三季度，就營運支出削減而言，目前正在實施的措施預計將在第一季基本實現，並預計在第二季度全面落實，但全年整體成本將低於每季 1000 萬美元，這包括管理比特幣金庫的新成本。

Okay, very helpful. And then George, maybe to follow-up in terms of the pipeline building for the IoT business, it's a lot of momentum in one quarter where you're going about 20% in terms of your design wins. I guess you'll kind of enter 2026, at almost double-digit, revenues, right? Somewhere in that $10million to $11 million I guess is the run rate off of that 45% that go into production. I think in the past you've talked about what you might be exiting 2026. Is there a figure that you're thinking about right now, because it sounds like that gets you to break even, particularly given the OpEx reductions that you have ongoing, so we should see that by the fourth quarter of 206.

好的，很有幫助。然後，喬治，或許可以就物聯網業務的管道建設方面繼續跟進，你們在一個季度內取得了很大的進展，設計訂單的成交量增長了約 20%。我猜你們到 2026 年的時候，營收應該會接近兩位數，對吧？我猜想，這 1000 萬到 1100 萬美元中，應該包含投入生產的 45% 的資金的運行率。我認為你過去曾談到你可能會在 2026 年退出市場的情況。您目前考慮的金額是多少？因為聽起來這個數字能讓您實現收支平衡，特別是考慮到您正在進行的營運支出削減，所以我們應該能在 206 年第四季看到這一點。

I mean, Scott, and, the business, the IoT businesses, is, many projects and each project is not huge. So that makes, if you want, like at the beginning when you're ramping, it's a little bit slow and frustrating to some extent. But once the products are in shipment, our customer shipping is there for 7 years, on average, like if you take meters, sometimes even more than this. So, and give us very good visibility for the future.

我的意思是，斯科特，還有物聯網業務，有很多項目，但每個項目都不大。所以，如果你願意的話，就像在剛開始的時候，當你加速前進的時候，速度會有點慢，在某種程度上也會令人沮喪。但一旦產品開始出貨，我們的客戶運輸平均可以持續 7 年，以公尺為單位計算，有時甚至更長。因此，也讓我們對未來有了非常清楚的了解。

We are, I am very happy as we are exiting this year close to our range of 50%. But this will continue because as the Designing project. I don't qualify them like 100% secure, but we could have, the risk on what we have a win in hand is very minimum, more than 90% based on the history of the project continue. I mean, except really some small projects or small companies, that you could have over the execution of projects some surprises, but we are dealing with tier one players that are there when you decide to land. Project they are in, it may take them longer than what we thought to be ready for production, but they get it there.

我很高興，因為我們今年的業績接近預期的 50%。但這種情況還會持續，因為這是設計專案的一部分。我不能說它們 100% 安全，但我們本來可以做到，我們手中的成功風險非常小，根據專案的歷史，成功的可能性超過 90%。我的意思是，除了少數小型專案或小型公司之外，在專案執行過程中可能會出現一些意想不到的情況，但我們面對的是一流的參與者，當你決定進入這個領域時，他們就在那裡。他們參與的項目可能需要比我們預想的更長的時間才能準備好投入生產，但他們最終會完成的。

So we, I believe 2026 will continue ramping, and we should be, because the pipeline will continue. I could not say what we have in hand today, maybe close to 90% plus will be in production, but obviously in the meantime we'll be adding new projects. So when we exit, the pipeline should be more than 300, exit 26. And obviously the percentage will be less than 90%, but this is what will be funding the growth we will have in 2027, which I predict to be at minimum 40% to 50% year over year thanks to this.

所以我相信，到 2026 年，產能將繼續提升，我們也應該如此，因為管道建設將繼續進行。我現在還不能透露我們手頭上的具體情況，可能接近 90% 以上的項目會投入生產，但顯然同時，我們還會推出新的項目。所以當我們退出時，管道應該超過 300，出口 26。顯然，這個比例會低於 90%，但這正是我們將在 2027 年實現成長的資金來源，我預測，得益於此，我們的年增長率至少將達到 40% 到 50%。

Okay. That's one point on 21 we do tend to have a little bit of seasonality in.

好的。關於第 21 點，我們確實會稍微受到一些季節性因素的影響。

The in the I mean any cases the average, your number, you're right. I mean just to talk about the digital, I'm giving you the $45 million and 3 years average, right? I mean, all this is ramping, you are.

我的意思是，在任何情況下，平均值，你的數字，你是對的。我的意思是，就數字領域而言，我給你的平均值是 4500 萬美元，三年平均，對吧？我的意思是，這一切都在加速發展，你也是。

Imagine the ship because the new project starting today is not going to yield that full revenue in the first quarter. It takes like 2 quarters or 3 quarters to go to the full revenue. So there is a ramp up phase obviously with every project adding up.

想像這艘船，因為今天啟動的新專案在第一季不會產生全部收入。大概需要兩到三個季度才能達到全部收入。所以很明顯，每個專案都會有一個啟動階段。

And a couple of follow-ups if I could then congrats on getting the tape out on the red cap front. I know that's a big milestone for the company.

如果可以的話，我還想問幾個後續問題：恭喜你們在紅色帽子事件上取得了進展。我知道這對公司來說是一個重要的里程碑。

I think you've talked about licensing opportunities for redcap. I'm wondering if you could elaborate on that in terms of what might be in the pipeline, kind of frame it in terms of size and opportunities. And Iris has been ramping up as well, I think in terms of the potential opportunities. I'm wondering where that fits into the overall design when pipeline that you've talked about, the magnitude of those opportunities, particularly ramping into 2026.

我想你們已經談到紅帽的授權機會了。我想請您詳細說明一下，有哪些項目正在籌備中，並從規模和機會的角度進行闡述。我認為，就潛在機會而言，Iris 的發展勢頭也越來越強勁。我想知道，在您談到的管道建設中，這些機會的規模，特別是到 2026 年的成長，在整體設計中處於什麼位置。

Yes, I mean, obviously in IPL licensing, we have some piece of this which is established even in our revenue next year. We have already in the backlog revenue, of royalty that we are collecting from a couple of customers to whom we did licensing with them and we'll have, in other words, all design when with licensing and now we're collecting royalty in 2026. We collect even with one a little bit this year, as well. But, since we launched, this IP, strategy, we realized like at least, we had more than a dozen of leads, talking with us. It doesn't mean that they need the full red cap or red cap solution, from us. As we have a very advanced radio transceiver technology.

是的，我的意思是，很明顯，在IPL授權方面，我們已經獲得了一部分收入，這甚至會影響到我們明年的收入。我們已經在積壓的收入中收到了一些版稅，這些版稅是我們從幾個與我們簽訂了許可協議的客戶那裡收取的。換句話說，我們將擁有所有透過授權協議獲得的設計版稅，現在我們正在收取 2026 年的版稅。今年我們也稍微收了一些。但是，自從我們推出這項智慧財產權策略以來，我們意識到至少有十幾個潛在客戶在與我們洽談。這並不意味著他們需要我們提供的整套紅色瓶蓋產品或紅色瓶蓋解決方案。我們擁有非常先進的無線電收發器技術。

We have a layer 2, layer 3 protocol that no one have it. And obviously we have a lot of IP in the modem and as well we have the full solution. So, you could have customers whether they're looking for a full solution of modem, mainly to adapt to move from a cellular to something else if you want like to satellite or defense application other radio environment and some other they want just only a piece of the technology that we have. So we're talking about licensing deal that could be, I would say $3million to $5 million license. I'm not talking about the royalty like upfront. Up to this, they could be equal to 15million to $20 million. And all those under discussion and we have really nice number in discussion. And for sure, next year we'll have something converging and helping to feed our, IP licensing, revenue next year.

我們擁有別人都沒有的第二層、第三層協定。顯然，我們的數據機中有很多 IP 位址，而且我們還有完整的解決方案。因此，客戶可能會尋求完整的調製解調器解決方案，主要是為了適應從蜂窩網絡遷移到其他網絡，例如衛星或國防應用或其他無線電環境，或者他們可能只是想要我們擁有的技術的一部分。所以我們討論的是一份授權協議，我估計金額可能在 300 萬到 500 萬美元之間。我說的不是預付的版稅。到此為止，它們可能相當於 1500 萬至 2000 萬美元。所有這些問題都在討論之中，而且我們討論的議題數量相當可觀。可以肯定的是，明年我們將迎來一些融合發展，並有助於提升我們的智慧財產權授權收入。

Got it. And lastly, if I could, George, just to follow-up on the strategic comments, could you frame that a little bit more? Are you talking about more partnerships, or are you talking about potential outright sale of the IoT business at the current time? Thanks.

知道了。最後，喬治，如果可以的話，我想就你剛才的策略性評論再補充一點，你能否再詳細闡述一下？您指的是拓展合作關係，還是指目前可能直接出售物聯網業務？謝謝。

Yes, it's got, I don't want to comment much on this, obviously, the question, take the problem like this, like, okay, the company has a serious IoT business which is extremely valuable in my opinion. It has as well a nice Bitcoin holding which is extremely valuable as well.

是的，它有，我不想對此多加評論，顯然，這個問題，可以這樣理解，比如，好吧，這家公司擁有一個非常重要的物聯網業務，在我看來，這非常有價值。它還持有相當數量的比特幣，這同樣極具價值。

And from there we're moving as a company to hopefully succeed on both front, building more Bitcoin and building the treasury and buying more, accumulating more Bitcoin. And on the other side. Scale the revenue and the IP potential of the IoT. For the time being, they are not conflicting to each other. They are manageable, but if you project down the road, you could say maybe for shareholder you can give more value by separating the tool by doing something different. I would say that. And obviously, this take the factor as well discussing with other partners on the business front to do, some strategic, partnership and maybe more, together.

然後，我們公司將朝著這兩個方向努力，希望能夠取得成功：一方面是製造更多的比特幣，另一方面是擴充我們的比特幣儲備，購買和累積更多的比特幣。另一邊也是如此。擴大物聯網的收入和智慧財產權潛力。目前來看，它們之間並不衝突。它們雖然可控，但從長遠來看，你可能會說，採取不同的措施來拆分該工具，或許可以為股東創造更大的價值。我會這麼說。顯然，這也需要考慮與業務方面的其他合作夥伴進行討論，以便共同進行一些策略合作，甚至更多。

I cannot say more, Scott, I mean, allow me, but we have serious discussion there and hopefully, when things will be, close to sign or signed, we'll be able to announce it to market.

斯科特，我不能透露更多，我的意思是，請允許我這麼說，但我們正在認真討論此事，希望當事情接近完成、或者已經簽署時，我們能夠向市場宣布。

Thanks so much.

非常感謝。

Mike Grondahl, Northland.

麥克·格倫達爾，北地。

Hey, thank you, George, and Deborah. George, talk a little bit about your confidence in $7 million of revenue and 4Q and this $45 million kind of annual run rate you're striving to.

嘿，謝謝你們，喬治和黛博拉。喬治，請談談你對第四季 700 萬美元營收以及你正在努力實現的 4500 萬美元年化營收目標的信心。

Yes. I like, obviously, for Q4, I mean, you never say I'm 100% sure, right? I mean, we are, we're giving a number that we believe, it's in the backlog if you want and secure out of, I would say, extraordinary accident, we are very confident about it. If we talk about the annual revenue, I want just Again, to stress the math I did is I took 45% of the $300 million dollar, which will be in production divided by 3, give you $45 over 3 years. So this is the average.

是的。當然，我更喜歡第四季度，我的意思是，你永遠不會說我100%確定，對吧？我的意思是，我們給出的數字是我們相信的，如果你願意，它還在積壓工作中，而且可以確保安全，我不會說，這是一次非常罕見的意外，我們對此非常有信心。如果我們談論年度收入，我想再次強調我的計算方法：我將 3 億美元生產成本的 45% 除以 3，得出 3 年 45 美元。這是平均值。

Obviously this doesn't mean necessarily that it's flat 1st year, flat 2nd year, flat 2, 3rd year. It's the reverse. It will start lower and it will go up over 3 years because you have the ramp of those products. And obviously it's quite, I'm quite comfortable with the number even if the projection here you're talking about, a longer program, you need to know that in our design when today when I look, for example, to product shipping, I spoke for example about Honeywell. I can name even a smaller guy like we thinks like Coyote, like customer like this that they are smaller but very steady because they ship. Since more than one year. So we have history about the RAM. We know that they are, how much they do, and we have extreme confidence in their future projection, forecast, and so on.

顯然，這並不意味著第一年是平的，第二年是平的，第三年也是平的。正好相反。起初價格會比較低，但會在 3 年內逐步上漲，因為這些產品需要一定的銷售成長期。顯然，我對這個數字相當滿意，即使你在這裡談論的是一個更長遠的計劃，你需要知道，在我們的設計中，當我今天查看產品運輸時，例如，我談到了霍尼韋爾。我什至可以舉出一個像 Coyote 這樣規模較小的客戶的例子，他們規模雖小但非常穩定，因為他們會發貨。已經超過一年了。所以我們有一些關於記憶體的歷史資料。我們知道他們是什麼，他們做了多少，我們對他們的未來預測等等都充滿信心。

Obviously, we can, we take our, I would say optimization there. We may, cut 10% for the risk of things, but we are very confident. When you have a new project coming in, like, even a tier one customer saying, okay, now my product is shipping. And I'm planning to ship like per year, let's say to do half a million units. Obviously you are going to compute the ramp 1st year maybe 200, the second 350, and then we ramp up to 500. There is still some risk, not factored in, which is related to the fact that this customer we have if you want experience about. His previous shipment, previous forecasts, and so on. So, in other words, in this number, already more than half of those 45% are already in production. I'm extremely confident about them. The other half are ramping now like Q3 and Q4. There will be a little bit of risk, but, measurable risk. That's why we are, we're presenting this one.

顯然，我們可以，我們可以進行最佳化。為了規避風險，我們可能會削減 10% 的預算，但我們非常有信心。當你接到一個新項目時，例如，即使是頂級客戶說，好的，現在我的產品可以發貨了。我計劃每年出貨約 50 萬台。顯然，你們會計算出第一年的增幅可能是 200，第二年 350，然後逐步增加到 500。仍有一些未被考慮的風險，這與我們所擁有的這位客戶有關，如果您想了解相關經驗。他之前的貨運狀況、先前的預測等等。換句話說，這 45% 中，已經超過一半投入生產。我對他們非常有信心。另一半產品現在正像第三季和第四季一樣逐步上市。會有一點風險，但這種風險是可以衡量的。這就是我們推出這個節目的原因。

Got it. In the cost reduction efforts, have you started those or do those start later this year?

知道了。在降低成本方面，你們已經開始實施了嗎？還是要等到今年稍後才會開始？

We started many things and again, cost reduction, we have a lot of stuff. We have, even I can tell you, for example, our offices, we shave like, we had the chance to renegotiate the pieces of the OpEx start the party, and so on, and obviously some reduction here and there when it's needed. We started a little bit, and some of it, not everything is implemented, but some is defined. As I'm speaking, I know what you are going to do if you want. In Q4 and Q1, and all this is set without impacting if you want our innovation and investment into the 5G R&D, a lot of this as well, like our 4G if you want product line is becoming, fully, I would say mature because we were still working on some development during the year we finish it.

我們啟動了很多項目，再次強調降低成本，我們有很多事情要做。即使是我可以告訴你，例如，我們的辦公室，我們刮鬍子，我們有機會重新談判營運支出計劃的各個部分，等等，顯然在需要的時候也會進行一些削減。我們已經做了一些工作，其中一些已經制定好，但並非全部都已實施。就在我說話的時候，我知道如果你想的話，你會怎麼做。在第四季度和第一季度，所有這些都已確定，不會影響我們對 5G 研發的創新和投資，很多方面也是如此，例如我們的 4G 產品線正在變得完全成熟，因為在我們完成它的這一年裡，我們仍在進行一些開發工作。

So, we have even some reduction of effort there and more general I would say on the G&A and so on controlling this.

所以，我們在這方面甚至減少了一些工作量，更普遍地說，我認為在一般管理費用等方面也減少了控制工作量。

Got it. And then have you disclosed what you, what price you got per Bitcoin for the 970 you sold?

知道了。那麼，你是否透露過你賣出的970個比特幣，每個比特幣的價格是多少？

We didn't. It will be on our, it will be showing up on our website, but I can give it to you. It will be $108.6000.

我們沒有。它會在我們的網站上，它會顯示在我們的網站上，但我也可以把它給你。售價為 108.6000 美元。

Okay, unfortunately we didn't have the best period to sell, started selling at 115 and ended by selling at 106.

好吧，很遺憾，我們的銷售時機並不好，開始銷售時價格是 115，結束銷售時價格是 106。

Got it. Okay. Hey, thank you.

知道了。好的。嘿，謝謝。

Good luck. Thank you.

祝你好運。謝謝。

Fedor Shabaan, B Riley Securities

Fedor Shabaan，B Riley Securities

Thank you very much, operator, and good morning. Good afternoon, everyone. George and Deborah, I completely understand the rationale behind the Bitcoin sale. You mentioned that this transaction enables a company to pursue a wider set of strategic initiatives to develop and grow the treasury. So could you provide more details on what additional initiatives you're you you're considering beyond the ATM program and share buybacks. And any color on your strategic priorities here would be helpful thank you.

非常感謝接線員，早安。大家下午好。喬治和黛博拉，我完全理解你們出售比特幣的理由。您提到，這項交易使公司能夠推行更廣泛的策略舉措，以發展和壯大資金實力。那麼，除了 ATM 計劃和股票回購之外，您能否提供更多關於您正在考慮的其他舉措的細節？如果您能就此處的戰略重點提供一些具體信息，那就太好了，謝謝。

Thank you. Hi, Fedor. Thanks for the question. I mean, essentially, and again, I want to stress one point. The company, when one of the issues, if you want or the structure of the debt, there is, it was not there is even some people, I don't know, people were, because the collateral was fixed, we didn't have to readjust the price of the Bitcoin. It was just only the collateral is all the Bitcoin that we have and they are sitting there. We cannot do anything with them. If you cannot do anything with your Bitcoin.

謝謝。你好，費多爾。謝謝你的提問。我的意思是，本質上，而且我再次強調一點。公司，當其中一個問題出現時，如果你想了解債務結構，確實存在問題，甚至有些人，我不知道，有些人，因為抵押品是固定的，我們不必重新調整比特幣的價格。抵押品就是我們所有的比特幣，它們就放在那裡。我們無法對它們做任何事。如果你無法使用你的比特幣。

Obviously you, the original plan was like the conversion the debt will convert at least over the 1st 6 months, and so, and then by definition, some of those Bitcoin will be free and from there we can use them. So we took this initiative really not under the pressure because we have interest rate to pay or because we are afraid of. Having the Bitcoin at $100 and have to face any issue. The company will not face any issue even if we stay on this Bitcoin longer. However, the company was stuck. In other words, I could not do anything. I cannot buy Bitcoin. I cannot generate yields on the Bitcoin. I cannot be aggressive on buyback because you can do a buyback, but at the end of the day I have cash, but this cash needs as well to serve the operational business and the G&A.

顯然，最初的計劃就像債務轉換一樣，至少在前 6 個月內完成轉換，因此，根據定義，其中一些比特幣將是免費的，我們可以從那時開始使用它們。所以，我們採取這項措施並非出於壓力，也不是因為我們要支付利息或因為我們害怕。比特幣價格達到 100 美元，但還要面對任何問題。即使我們繼續持有比特幣更長時間，公司也不會面臨任何問題。然而，該公司陷入了困境。換句話說，我什麼都做不了。我無法購買比特幣。我無法透過比特幣獲得收益。我不能在股票回購方面過於激進，因為你可以進行股票回購，但最終我手頭上會有現金，而這些現金也需要用於業務運營和一般及行政費用。

Even to manage the treasury from this situation, we felt like even if it's not, I will say we maybe we are the first treasury doing this, and we took the decision to act, to be proactive and maybe some people, they don't like it because no one sells Bitcoin in principle in the treasury. I mean, this is our aim was as well, but we felt it makes absolute sense now. To change the ratio of debt, this often obviously preferred other structure of debt, which is today, I mean, it's not unusual topic for the company, but now they are possible because if your debt is around 30%, it's easy to have 10% preferred next to it, and if you reduce the debt further, you can do more. So this is one option. If we have free Bitcoin, those can be generating yield depending on the risk you want to take there. But if you want to take a very low risk, you can generate like 4% yield, and this will be nice cash that you can use to buy Bitcoin or to fund the G&A of the serving the treasury.

即使是為了管理這種情況下的國庫，我們也覺得，即使不是這樣，我也可以說我們可能是第一個這樣做的國庫，我們決定採取行動，積極主動，也許有些人不喜歡這樣，因為原則上沒有人會在國庫出售比特幣。我的意思是，這原本也是我們的目標，但我們覺得現在這樣做完全合理。為了改變債務比例，這通常顯然更傾向於其他債務結構，我的意思是，如今這對公司來說並不是一個不尋常的話題，但現在這樣做是可能的，因為如果你的債務在 30% 左右，那麼很容易就有 10% 的優先股與之相鄰，如果你進一步減少債務，你還可以做更多的事情。這是其中一種選擇。如果我們有免費的比特幣，它們可以產生收益，這取決於你願意承擔的風險。但如果你想承擔非常低的風險，你可以獲得大約 4% 的收益，這將是一筆不錯的現金，你可以用它來購買比特幣或支付財政部的一般和行政費用。

And obviously, the buyback that gives us, that boost the program because we don't need. To sacrifice anything on the operation. If really the shares stays low, the rational means sell Bitcoin and buy shares, and support the shareholders staying with us.

顯然，回購為我們帶來了好處，也促進了該計劃的發展，因為我們不需要它。為了這次行動可以犧牲一切。如果股價真的持續走低，理性的做法是賣出比特幣買進股票，以支持留住我們的股東。

So, that's the whole logic around it. This is really all the topic that we have. Now I know that there are other topics if maybe you're raising for this, which is, like, consolidating and something with other treasury. I know that 11 happened in the market today and everybody, saw this, I don't believe there is urgency on this. For me, honestly, there is, not a clear idea currently, what's the issue of, the. Treasury strategy in general, why all this is trading below NAV, which is not logical at the level where it is, and this is not for us, for all our peers. So we're trying to unlock it from where we are by taking it, put ourselves in a position where we are much stronger, and from there we'll see how things will develop in the coming 6 months or so.

這就是它背後的全部邏輯。這就是我們全部的討論主題了。我知道，如果你要籌集資金，還有其他一些主題，例如合併以及與其他財政部相關的事宜。我知道今天市場上發生了11起事件，大家都看到了，但我認為這件事並不緊急。說實話，就我個人而言，目前還沒有明確的想法，問題到底是什麼。總體而言，國債策略導致所有這些股票的交易價格低於淨值，這在目前的水平上是不合邏輯的，而且這種情況不適用於我們，也不適用於我們所有的同業。所以，我們正努力從現在的位置入手，讓自己處於更強大的位置，然後看看未來六個月左右事情會如何發展。

Thank thanks there this is helpful and you already partially answered my follow-up question on depth to NAV ratio, but I just want to understand, what will be different in the treasury approach going forward. I heard you plan to issue preferred, but if you can just throw some timeline on this would be helpful.

非常感謝，這很有幫助，您已經部分回答了我關於資產淨值比率的後續問題，但我只是想了解，未來國庫管理方法會有哪些不同。我聽說您計劃發行優先股，但如果您能給出一個時間表，那就太好了。

Thank you.

謝謝。

Yes, I mean, so, obviously, I mean, the first priority now is really, the buyback program. This is what I have on my table if you want to execute on this and see how things will develop there. And obviously, the second one will be the preferred and the yield on the Bitcoin. These are the three options. No timeline. Honestly, the auction is there, but, I don't want to give more timeline when we'll do something like this because, depends on negotiation and so on.

是的，我的意思是，很顯然，現在的首要任務確實是回購計畫。如果你想嘗試一下，看看事情會如何發展，這就是我桌上現有的東西。顯然，第二種方式更受歡迎，並且能帶來比特幣的收益。這是三種選擇。沒有時間表。說實話，拍賣已經安排好了，但是，我不想給出具體的時間表，因為這取決於談判等等。

Thank you very much. This is helpful. Charges and the team continue the best of Luck Thank you.

非常感謝。這很有幫助。祝福球隊和隊員們好運，謝謝。

Thank you. This does conclude the question-and-answer session of today's program. I'd like to hand the program back to George Karam for any further remarks.

謝謝。今天的問答環節到此結束。我謹將發言權交還給喬治·卡拉姆，請他再作補充說明。

Thank you, Jonathan for helping us with this.

謝謝喬納森在這件事上幫助我們。

Thank you, everybody, staying on the call and for your questions and looking forward to see you in the next opportunity. Thank you very much.

謝謝大家繼續參與電話會議，謝謝大家的提問，期待下次有機會再見到大家。非常感謝。

Thank you, ladies and gentlemen, for your participation in today's conference. This does conclude the program. You may now disconnect. Good day.

感謝各位女士、先生參加今天的會議。節目到此結束。您現在可以斷開連線了。再會。