VerifyMe (VRME) 10 Nov 222022 Q3 Earnings call transcript

Good morning, and welcome to the VerifyMe Third Quarter 2022 Financial Results Conference Call. All participants will be in listen-only mode. [Operator Instructions] After today's presentation, there will be an opportunity to ask questions. [Operator Instructions] Please note this event is being recorded.

I would now like to turn the conference over to Nancy Meyers, Senior Vice President, Finance and Investor Relations. ahead. go Please

and our everyone, for us joining Good call thank presentation. for earnings today morning, you

On today Curt White, give XXXX CEO; President, the results. Chairman; and you Margaret Executive call Sales our Gezerlis, we an have; update CFO; third Strategy, and Global Kole, on Vice Greenberg, Executive to Scott quarter Patrick

Following presentation, will a have we management our Q&A session.

from X. statements. XX-Q. factors, on to to statements your report those under that could of projected on caption due those should on forward-looking annual Form slide note to questions understood company's Form a XX-K attention factors forward-looking number answers the the risk the forward-looking the I including Today's to bring of and and actual and quarterly would the differ It on like be on materially described reports include presentation statements results

the Scott I over will for remarks. call now some opening turn to Greenberg

welcome conference that and third Good a Nancy. our on quarter a to technology you, making start-up are engagement we outlook earnings XXXX the future company, customer authentication. in to and progress morning, company Thank logistics, focused operating transforming from results The clearly and revenue-generated call. systems, show

update, new Today, a Kole session. an give give follow a operations review, will on with PeriShip. and update will Q&A further Patrick give financial an to will a Curt mix, and our Margaret will introduction Then we

snapshot. The VerifyMe, please. slide outstanding. the [ph] Next and really symbols next The equity currently shows slide, million have just we shares X financial

news debt, though commercial roughly as it relationship $X.X a this been Bank. last detail. will it about has is at and have balance in our the over million, September a the even good and the was we cash to end long-term PNC Margaret debt turned with same quarter, was debt, Our of now our But talk on

and is million, on Our announce approximately did plan. Ownership call Insider under remaining repurchase our a approximately program share revenue billion is XX Beneficial the the months XX%. last trailing and $XX.X is We $X.X

turn being said, now that With I'll to Patrick. it over

morning, for everyone. Good Thank Thank you, us today. joining you Scott.

third review quarter our Let's financial performance.

an of consolidated X,XXX% Our for This, months was of business, in to compared PeriShip September the which was XXXX. million Logistics acquired of attributable $X.X ended primarily revenue the the million, April quarterly increase course, record three all-time to of acquisition an $X.X XXXX. Global we of

record was loss net to profit $X.XX million a compares compared fully $X.X to share net the for September the months or business just ended or million. ended September of legacy in three equates XXXX months XX% overall for ended of Gross September That gross $X.X a an operation $X.X of was in months the ended $X.X XXXX. three XX% our from That XXXX. share XX% three margin million earnings The months also September diluted three of the income for million XXXX. or fully diluted per loss per for to from

this year. quarter a of we Now related of the was the on breakeven loss non-cash we in was Adjusted approximately profit gain or million we small EBITDA SPAC, fair over value wrote included improvement the second as off which last year $XXX,XXX to a report XXXX. recorded $X.X XX% second the XXXX, quarter almost

during Scott for today's positive will key outlook this discuss this metric very presentation.

a off a to paid line we healthy to entered end record Our a note banking it's $X.X that into facility a that million. the note able of from PeriShip Scott we the was important gain were of negotiating $XXX,XXX. cash, as canceling at the in mentioned, And quarter purchase of which also

of to cash credit part position million As we a obtained operations. our of for also $X that line transaction, back revolving

the business to turn highlights. slide of now Let's next

This is also extension multiyear Logistics now strategic of foremost, our PeriShip. through partner, covers a our with largest extension into and which contract relationship First we FedEx, Global customer XXXX. entered our

PeriShip historically, really amortized has Secondly, before. never

So new initiative sign-ups. PeriShip and attract engagement if focused to and campaign increased media new visibility The a customer out is customers. social already proactive on rolled you providing leads

that are revenue important in of I an on-boarding new global to impact also beyond. business customers our immediate we cycle. positively these note will QX PeriShip PeriShip The sales think it's has and

of only For new client your information typical to two to new takes relationship. begin account weeks one a

mature international luxury prospect second who win also company. is our reported in list, This apparel from protection new is this that apparel which that of an prospects We provides VerifyMe pipeline year. contract $X.X division, billion a a signed brand our the industry growing for

X.X in units. our is particular is will was numbers. QX process order one SKU million The order and And in that for for reflected initial be

mentioned, Finally, we very repurchased have common XX,XXX program under price undermanned taken during as quarter. as of the our of the share stock Scott the shares repurchase we stock advantage

walk the Global you PeriShip exciting and Vice introduce Executive floor through is the of the to to of go here. next Let's very will President Curt pleased some highways. slide, Global. & to Kole, I'm Curt Global Strategy PeriShip you Curt, at Sales

Patrick, It's time. thank the and to you, everyone morning. pleasure you be to this for first joining welcome a

the customers well line space We with sight this talk relationship as and going direct in-transit forward. shipments, outlook has straddles customers of management. logistics we we've we're in Let's alignment business in our the with delivery do. occupy been And for about that how XX as years, been purpose-built organization existing bit on reporting business in, with little a our for of that, and directly the our the got what we a here, for

we're in aligned. of relationship. I in XX month-to-month big active been XX partnered of from XXX basis. that well of for that and we're We're We're that been and the business, believers for have We've We're those customers, about We well those the in varies XX%. said, have a FedEx proud relationship. proud exclusively those folks, north place over as that currently years years. is with very customers with But retention

partnering our it And little talks in with most about I customers. think their that a critical business. in relationship the also our bit that speaks them from to have we support

fortunate And say to and distributors able be reduce metric of that vaccine production experiences. year-over-year help States company a on managers which a in the been happy United the customer largest outbound direct we're how of to the We're basis, of reshifts, successful them we've for the their to is flu.

addition this the have experience of who with currently we services approach and from in we dedication. becomes busiest the the VerifyMe is discussions as basis, business. in with the fourth the we That serialization add-on of ourselves to and align peak with align ability customers were VerifyMe engaged As of services parcel time quarter, the enhanced in with several those to natural of suite our year, has folks customer which been perspective, suite a how an in the the

of We we we also of help our and stool. the can and have believe we is them. satisfy one to can customers, the each four-legged time, use our market, expanded four in expression If that and approach those value elements, that criticality, which we the nonperishable temperature are of

we which terms relationship on much to result so. results process as We're going a related It's to at working attract in third-party yield of engage to and believe expenditure, sales, allow to than FedEx downturn those is an the will expenses a a forward adjustment to themselves capital e-commerce, outsourced customers, those as do going cost PeriShip considerable in customers to of of of with small that constitute strategies less aligning the currently fax's the can now in approach to purpose-built address the medium we're and segment. they a XX% something which which development address of are highly the customers, program address. SAN that underserved market, FedEx the our It's opportunities

the turn That's going a summary and back of Thank Scott highlights. And PeriShip the to Patrick. speaker that, with to I'm you.

I that slide the PeriShip's Curt. like market clients would market sectors turn you, PeriShip now by to are Thank categorized. sales slide. sector various to This shows our

PeriShip's As provide food you of from and beverage revenue XXX-plus can the see, XX% industry. clients

industry, The at segment logs largest which pharmaceutical is second in the XX%.

and strategic care goals is X% health XX% growth of our One the pharma segments. of the

We targeted for and they focusing conditions, have team government need this their have those view they as large periodic on values, our successful technologies. chart backing building very from you a of have is transition. us in all segments, and those built of economic gives strategically protections segments a Curt's

turn the the through I presentation over back you Scott walk to who'll Now, outlook. want to

Patrick. Thank you,

can and in QX approaching the strong adjusted of quarter. this breakeven. see mentioned, Curt EBITDA typically the a $XXX,XXX of Patrick is And the as As loss you results, our fourth from quarter is

significant for the statement, And that to we that the now and business both new EBITDA. show in and and customers add revenue of of improvement we say is seasonality to next due expected addition to in QX adjusted the is

from do should not be some believe as customers So well. that seasonality. the to us beneficial as the we we're onboard new mentioned, only gaining of Curt But

least at in traction is VerifyMe addition, XXXX In is gain to in business of per the now XXXX. it projected grow starting legacy and annum to XX%

get the this report prior need As estimates our less, after VerifyMe of in review XXXX numbers revenue is quarter, we'll if completion order fourth these while opposed you to will to strong for fourth positive upon XXXX, the technology. a developments, XX% the very quarter from our company the Based review we back forecast shareholders. XXX%, of in and the to of

back it that, to like with I'd Margaret. to And turn

you good and for everyone. Scott, Thank joining. morning, Thanks,

As positive improved you and showing have for quarter. results continue first we the a Patrick, from next heard and have outlook Scott

on line. had an a and of bottom showed improvement we XX% when to revenue QX compared Our QX improvement XXXX, significant the

that improved we're EBITDA breakeven. adjusted by Our and approaching said, as Scott loss XX%,

Our adjusted have seasonal quarter positive to year with business a be as to in is a the strongest EBITDA expected this our QX. fourth and quarter result

in of not $XX related in the that an I'd primarily Stack here significant like XXXX business in time to note Stack, which we loss resulted loss combination. million a can initial complete QX the to to extend when which the the decided

and a accounts The $XX nine year. illustrates the gross months growth million our and Revenue margin shows for please. tremendous and company. the only Next next slide, years revenue of as out in four slide is last profit near

streams decreased the one due of gross our new of nature profit revenue margin to that revenue. Our has the constitutes majority of our

over $X However, increased the XXX%, XXXX. gross months or that's comparing of full by nine and XXXX year the of when profit has million to

Next slide, please.

we highlights that of cash have our cash The relates are not XXth. since December are XX, XXXX, equivalents to our June position burning steady PeriShip. here decrease Our and cash remained and key since

a a been approximately installments payoff, four-year the able payable term which to period of monthly XXXX. in on promissory in from in by Originally, extinguishment Bank $X.X off were that would had holder notes it of promissory a gain We we with negotiate were the QX proceeds of loan Additionally, is new full refinance have October XXXX. the million, its we over to on we that September were that with note due and with acquisition. in pay debt PNC resulted starting with to able in the connection PeriShip able the issued

million of $X a have debt revolving funds. we PNC facility not any have we yet Furthermore, withdrawn with which

continue cash. we starts We value. believe business our cash operations sufficient to organically, for to grow future to our opportunities increase that plan We are have business looking generate but always cover the the foreseeable for to as shareholders' our to

like with the open thank and participation you to any to Now have. you that, for your I'd questions might floor

We question-and-answer Barrington Mike first Instructions] [Operator with will come session begin Research. Our will from Petusky now the question

You may go now ahead.

Hi. Good morning, guys.

and obviously, curious -- seasonality to generally fourth just to better, I also may full this if and and of a the around sort of it? then how of recessionary year second expectation just business but somebody recession So was -- plays the could how part sort understand do mitigate sort I Thanks. to guess new concerns possibly in margin acts I expectation things this revenue you business, is want intuitive, that out? quarter a the And

answering recession. start So by the let me

one Healthcare. from revenues claim is I XX% that of overall of an revenue While recession XX% pharmaceutical our any Pharmaceutical and our proof, business can't from and is

currently that we with as a do money second on typically to in-house. doing the money, they we this that type cheap bucks look save Curt save company for an services economy are ways typically The [ph] outsourcing by thing to for, internally. When they service companies that touched do is which is outsourcing difficult of hope way are could today, and

is into goal a to stream. a add of get if that So percentage offset downturn. medium Curt mentioned of as higher is any small accounts and or revenue that products well any And the there mix our our downturn, recession is their and

of due is could using based wanting like doing to company economic which perform instead save a outsourced sometimes, conditions well customers money internally. an the So company despite to our and it us ours,

gross As far revenue to the in percentages as hand let me margin, section and Margaret that the over

Scott. Thanks,

strong as we to move expect it's So we into that going be QX, business. a

to difficult profit for we to margin don't of Now have what expect to It's because business understand for so has yet. -- profit Gross been analysis XX% to quarter, Historically, exact this XX% it that have around internally. percentages, consistent margin, to we in that to us. it's terms very our gross do new XX%. stay around a it -- was

So, will is we that is while good increasing percentage. to correct. able is But XX% the have say, the I been have in fourth goal margin our really, our margin in the least shape model, the generated PeriShip And build revenue start revenue mix that typically for the we of in to where think we stream. over said that I first few the in our revenue now Margaret quarters, the gross increase, up, quarter stream gross about historic at percentage is

overall my the in growth XX% said on Now we get presentation side, that the heard should for that year. you VerifyMe

run So up -- expecting from if business. based you numbers, the VerifyMe strong a PeriShip that, from -- the very we're from the upon the quarter

the has do that one could and going we're the a And a sector industry, right with lot be the of the in a now getting that, industry in is the hope lot fast-growing cannabis changes regulations of And that to the that for forward cannabis the orders with rules from. which of company.

QX? Can QX the any and step from folks maybe call, of ask, the what on and of down revs in from of down terms and PeriShip going Okay. step typical kind of I margins is what just – -- to -- kind

much pretty a basis. on quarterly we As see far -- margin we don’t the stable as see margin goes,

on. So we the that are great on have roughly on revenue we at a of the -- haven't there quarter. QX, margin as in percentage But you take think, I the in least seasonality ownership, the our the variations quarters XX XX% the again, less seen, side, if rest out

Okay.

of is gift is Let me then energized And just returns. QX, giving. holiday interject that course, with the here by energized QX

historically as So But said, mix. all their PeriShip they're in has far a pretty across consistent strong pretty Scott first as as quarters. quarter four margins,

Okay.

new the on And Sorry. new company. brand idea, this to I'm I'm and

modeling So each next if roughly two is the Is on are fair? other is you're equivalent that other. strongest, a and basis, quarterly QX QX to strongest

color have do Curt, fair. on any That's you that?

No, Patrick.

versus much the think in when -- deal don't January. will, that obviously activity in pretty less. I you hit We quarters the in We is great see you from head. shutdown, have of restrict it if demand a to summer QX December softer the

QX being a So equal relatively your QX, on assessment target. relative is to

Really, Thank you Okay. so it. much, guys. appreciate

you, Thank Mike.

Thanks, Mike.

Thanks, Mike.

Shield Our next question [ph]. will come from Dan Orlow [ph] Street with

You may now go ahead.

a of Congrats, Hey. here. questions Good strategic shift quarter. the carry some of Obviously, Hoping in morning. business. nice the sort huge focus to

what In I criticality, of element, sorry? four-part was temperature, one, the the got sorry only terms I'm and time, fourth

that be would I value. think

been scalable a described So, for as how business the solution, of the in projections. from you given think flow over of you the is sake is set guys market about course not have you through market technology opportunity operations as you model -- that you, the How does the as that could give sort large of it's a of and are sort that fact how sense addressable credible.

of get is to sense market that trying large opportunity? Just a how

focusing I one on in we're that's potential, revenue Well, over total the you now, what The customers And currently I'll then and at right Curt been will total that. has and we the hand that's are a medium-sized then and area to if been multiple area the thing, say ignored. doing. of And it of main look small and Patrick.

day-to-day, on Curt significant and opportunity the I him in that. And So with that since is dealing is large. that think expand let regard, very

Scott. Thanks,

the go-forward what The basis markets. in criticality, our call, experience come encompasses in and from, in, would the we perishable traditional I are business. we value of take temperature place what's side stated, our a big we’ve certainly, we As and on going healthcare the think both time, market. to believers that is the driver But

COVID the took that e-commerce our you that place the if normalized, It's swell now belief during will. has

a the mentioned through at new existing then as covered earlier, built the services. VerifyMe that we're The terms we're just so share that gaining with get And scalability. for are outset. greater opportunities of business. to it We're, is conjunction that in of again, And I onboarding costs the looking in purpose opportunities

growth the that's additional to The to We adding SAM and we're perishable at a cost continue of considerable the we believe to on see XX% market as medium going of we're expect set the -- to our ability market, to our accommodate I market, to market. lower additional without what's strategic should go-forward a the basis on on QX our will an CapEx. take we're one existing And in growth long-term. XX% service customer very that and we But of healthcare perfectly business grow QX be and partners. place think biggest than small bullish going drivers

That's really, really interesting.

saying So are alluded the --I'm VerifyMe between guess, I talk please sorry, to... which legacy, Scott implicitly that go to you or there's ahead, to opportunities, Patrick cross-sell

now. and seeing believe actually We that we're

look having trace tool at engagement and service the and another complete the another is you PeriShip and track to their portfolio customer deliverables, of If and the the anti-counterfeiting deliverables.

the how shipments we help while company. the are PeriShip's help acquisition food that we could VerifyMe believe the PeriShip. meat -- and on. in now. this, or the We there large that perishable their with based add acquisition looking right do, supplier was long-term customers to are this they of them that a them how at addition in they them is beverage the one technology, business, the particularly didn't opportunity And is So, based upon matters this some did of another Right -- standalone of now, was upon base

it PeriShip that good they before. has that didn't it have are now So, a complementary differentiator is and

you're VerifyMe translate costs of in piece. point trying just guess, as additional are of going a the understand terms what resources, term internal reallocating finish How sort I towards to the potentially of sort how obviously, terms I'm let versus unfold in that pipeline, couple the longer for across company of cost next thing certain quarters. this curves legacy in me over identifying -- does of the

three cost look company. which two, company how is transform you cost One to direct then and you are PeriShip line. public When have have regardless product for there's the there you have at direct costs, the of the you we elements And of then for the cost, the VerifyMe, for cost. that

management solution. on working I think is the upper overall obviously

force differentiated a the force. don't between right sales We -- now, sales the is And two. but have combined

So the the other and really the vision team, we're executive to the workflow cost it than to able pertains to. track that

When -- I'll higher if But you much more. now. percentage. VerifyMe the gross is legacy you look at could the they it, XX% look be at margin technology, call a or VerifyMe, everything have It

revenue covering the a hit of the technology. expenses incremental from has So overall dramatic --

legacy So new to it expectations, flows be of that to in when VerifyMe just probability how understand of say there's I'm trying I in -- VerifyMe what the sort through of understand on this down terms legacy of guess trying you side closing if expectations terms XX% overall will like just I'm is, business.

Well, are could I we report on where only today.

anti last with the of revenue roughly as we VerifyMe technology, the Again, So, this technology. I'll [indiscernible] define did the $XXX,XXX technology. year, VerifyMe

we year, going the you which by grow Originally XXX%, it to $X.X million, we roughly. take into could would thought

that the a strong grow But year expecting by the quarter, strong it three yet, which entire the for overall should the quarter. upon XX-Q, we numbers approached and If XX% at the for haven't based we're fourth year, very the doubling. you in look quarters means the fourth

anticipated, terrible not originally in XXX% so So, while we at a not is neither. year XX% growth

So--

still not XX%, just expect XXXX, XQ you're there's willing reported discuss We for that you and maybe numbers. timing until differential to but pipeline yet opportunity the but

projecting pipeline, and the in to discuss once I would a see very well, we'll project QX we we're at We're strong Yes. year-end, then willing year say QX. And next QX the year. in

on you the discuss up, in a it the Can term go before term floating? more here, variable rate do One consolidated housekeeping facility just you're in was guys, note rate on PNC and Okay. of or on I'll rates back backed in you or terms locked queue.

I'll do let that. Margaret

So the. why don't have we

Sure.

locked X.XX%. It's in the we rate the yes, loan. PNC So for at

lock We have a it swap to agreement in.

Okay. All right.

wanted a our cost we We involved. or like anything size money, for private position, do our our the deal of to company make and that a and not equity course, to of debt having knew in sure

the ours a like X.X% We company doing at company was diligence, well. really And confidence if four-year great. felt shows, they're the the they that a for it lock-in in due as really have

to XQ have and it September, you the from I a nice if original we XQ point. QX, based what at expecting really like are in mean, And adjust very guys PeriShip I really were terms from you this looks back upon the deal numbers

like sound it So doesn't there's any variation.

sounds issues terms any it regards market of fact, some it haven't like FedEx of -- well as the in opportunity to the In pulled your so as in at pipelines continue expectations. into strengthen

correct. That's

revenue numbers few first are the company the initial compare quarters less was you our While those it if to honestly numbers And before. of of than anticipated. the

The building. customers. We're is new pipeline winning

below was So feel comfortable start a expectations still slight business revenue, that we should again. the growing would that have had. this We quarter's

back the Thanks Yeah. time. queue. I'll in a for jump

Thank you.

next will Group. from with Jack Vander come Our question Maxim

You may ahead. go now

I the housekeeping guys. taking appreciate I'll Thanks questions. start great. with questions. couple update. Thanks my of the for Okay,

revenue. I is And out not quite is tendency question quarter third on that the think the First yet.

XQ did quarter? So like just organic out PeriShip revenue between could you revenue you versus last parse

Sure.

the for $X and quarter, for third the we have sorry, we PeriShip have VerifyMe. for million -- So million $XXX

was compare really slipped relates that $XXX you timing year the it last QX. if to to for that VerifyMe, Now into

some of we why newer part are aside as from there into because reason slipped that strong So QX. well, we opportunities, QX a expect the sales our expect that

Got you.

PeriShip's revenue about makes sense. you PeriShip, then terms year-over-year. Okay. in of can That And talk

million the you is fourth it's Are a year-over-year PeriShip? And growth be quarter. then to the obviously, quarter. revenue big in in at going PeriShip third in So in $X expecting jump

of we account are PeriShip. growth When were in first year-over-year We business. some not from took over expecting losses PeriShip, there

been and going type Alaska, now and in and cautiously in, expect everything on that we place, will revenues... past -- the One in the also published, trend transition losses sale feel disruption are we some transition now two we of always quarters in that have But was of is we that the on there's and coming on. other things. the in is the the that team But that optimistic the But start the Montana moving has direction. own new the areas customers

you. Got my followed with obviously, companies then guys been Okay. And dealing I okay? sorry, of an Can on a lot hear have echo me line. have you

Yes.

companies of global been And I've lot outlook material chain the the A following at supply expect citing impact been business have FX XXXX headwinds Okay. quarter? FX fourth company. it to headwinds a your all? recently, PeriShip your you do baked in is into But

exposure, domestic Yes. is primarily all a FX in Currently, currently – outside majority outside while do of of Canada, don't our we some we the have lot but revenue domestic.

earlier we was -- about we So when discussed in have don't is other were on think margin to far companies an up so our we just your we revenue had a is the percentage thing the although profile little The see we’re year. being parallel been the was from bit don't discuss, add while exposure actually question talking of I will so -- the prior down, from just wanted we margin that have increase have that revenue. -- that that currency we didn't I happen. –but one

much as Okay. And positive margin or really positive– then good FX because good, domestic no mostly. that you're No, expansion there's good not impact from

to from there's employees, us the pass-through clients. a Any

Okay.

then to some inflationary raising of mitigate prices been have your you pressure... So the

In the mark-ups, right?

then update you going Hewlett-Packard and this provide And actually, and update momentum because them think relationship change Patrick, -- for help last with you're the your with you anything they're get on Okay, on your about the maybe fantastic. sales. to I an talking can asked quarter, move I VerifyMe give can but an relationship some

realizing force It worldwide higher-end concluded ink Legal a that governments selling the their finally getting these We do be their their in to are commissions and and clients. are more five-year renewal of counterfeiting These such finishing need the agreement. guys for really document and It's is a of waiting compensated just on like and a touches for for intakes. walk a of Yes. HP been of sheet They world. products UV will technology the the the term pharma our we're signature. them to It's yellow feature. sales in throughout billions that as counterfeit not for is form decoy are a at units just real new our they've some

yes, So imminent. is contract that the is forthcoming and

Fantastic.

Okay. then for And more one me. just follow-up

adjusted mouth, it at guidance, million believe the words XXXX, positive least I like conservative, call of any in won't -- I would Looking I maybe put on and doesn't in -- synergies, from it is you're very expecting at your which your cross revenue, but sounds EBITDA. that still bake $XX

customer it? deals. -- like cycle for winning new verified like leverage Given that core a and customers, Are seems winning your you're you're sales quick sounds don't is it for room guidance? it mentioned upside there's -- you winning to parish my And know, -- raising new which there pretty I have a without you're upside

and fourth indications are is growth This areas, that And new have all come we're Scott. after a guidance Harris both out we'll to in VerifyMe. the But quarter. with going

to at look update as guidance wanted flow fourth guidance when as revenue we major EBITDA adjusted to the at the will to quarter that think dramatic Yeah. very wanted It's we numbers and update we we But the quarter development will compared see how we positive the And year-end. we our for the be big I came the with positive of for revenue, end cash company mentioned year. well. the But our first to a and be to, could hit a we out. our loss whole end, XX% earlier, improvement plus the at say, minimal

Thanks That’s Okay. me. for Makes guys. Fair enough. it sense.

Jack. Thanks,

Investor. a Matas [Operator [ph] will Instructions] Private come Dixon Joel Our next from question

You may now go ahead.

sir? hear you all right, me Can

Yeah.

Yes.

got them is number a how and go one have have for shares, we through remaining much we of from Okay. How I'll purchased since the… just one. I've questions, buyback by money VerifyMe do much

million. $X.X

$X.X have million We left...

Yes. Yes.

stock? back So we've on $XXX,XXX buying only spent

buyback announced then or come last was the your obviously, in period blackout when out a earnings Well, with and you in a period. --

only was announced last quarter. buyback the So

Okay.

So order work shares? to we have the in buy need back if million $X.X we to put to,

That's correct.

the it next more ballpark as kind PeriShip value figure, a The it? you yesterday, be had would Okay. question it be than you when because it bought got of to what standalone, sell if would worse of

is, this the it leave does to that for up will company, answer million in I customer accomplished. large in we with didn't which we supplier we and When bought $XX.X I'll analysts The bought have $XX say revenue. million. the it the extension It the market.

it's think obviously, our with today outlook, lot think going here part of because our long-term worth think worth what it's we be What of we accomplished value a can say increased future company. worth plan, positive bring to it's -- growth to that and being what I value. So been it's it's is it's the we in

we think has a it I company. it. already lot value of brought glad to have Well, I'm the

what? question. or with it to strategy, or bigger or Is this sell partner Next there names an to thing exit you grow try or going

and potential new and growth we value. want So today, I the our are hopefully growth bring a shareholders market that we in employed But about by overall believe player acquisitions. and highest a to becoming technology strategy have talked organic we with the we our shareholders,

grow to is have But right different to shareholder always business. to value. now, operating we or value So alternatives the look best at the this plan the give

Good. Okay.

business new kind like And Hewlett Packard relations I of are there on light new we've there that customers? there progress of to our question, Is two. been our or year closing new can areas you anything ratio, in development… think for talking terms Next with or any

Yes. that? Yes, you Patrick, take why don't

one-year then, we're extension, ramped been Well, under since the to and Packard, that approved just this say up. terms going at I a expired August, are original and we've talking The been it's was our in and Hewlett point. contract it's paperwork just made

or product, selling to We to company will too planning during are This safety in there are the useless. technology It's a -- there shipping pay let show so put begin the But to food we many, of a technology have and clients. days. -here PeriShip with companies beverage and we in the many a food revenue was the it out pharmaceutical you, for PeriShip. play to the regards VerifyMe to need their generate making low these growth the a therefore, temperature knows meteorologists, is or There's has very on I cost. software hot that beverage - plans, can rendering tell food

the that they building There's can intelligence. so do cross-selling as from of clients of VerifyMe a their to clients to enhance engagement PeriShip a strong interest data our offerings and as from consumer technologies lot well the

beyond and temperature just PeriShip So as into non-perishable into they can criticality, play, a can software items. and get time things get many in

and there's very there there's some a opportunities weather So exploring. there a and profitable. tail, software is focus that we're It's tighter

with customers You specific at look specific.

big at technology, and them. up project first signed with doing a VerifyMe our we recently, Just apparel company, we're

in a increase major those fourth a business projected of cannabis scope of got the strong we Secondly, with two of quarter the of that are VerifyMe the company. And drivers technology.

in business, fish sea in then the of the both both new side, an well. company addition, their And PeriShip Florida as food customers in On and and Hawaii. in alcohol are expansions in -- some

customers coming beverage So and and food the new their a expansions in are industry. lot of

reason good? That's in very where sure, good. so I'm at pretty any Is correct Last there primarily are or things Texas. PeriShip doing I'm because keep expand those to just locations they Connecticut and based or question. expectation this, they're

now, we any are but expansion, we're Based add business need to locations, the upon fine. at not looking the changes. might people at geographical locations Right

the have we New something, office have you in be creating areas, those on and or is York, any I United last we in have people Okay. overhead that VerifyMe, just and places The Do Kingdom, China, in question, overhead think do web India page because or Switzerland. an the ground on revenue? those the brick-and-mortar or that boots service would physical States that United UK,

are the These outside brick-and-mortar contractors outside remotely. There is no working US.

other remotely a office which have is than brick-and-mortar. all corporate Rochester, that, in York, New it's We But worked.

pronounce something it or in a they long something? in are end. customer like -- was or that that's called it Good. Okay. play, or still there action Any was Is -- a [ph] might dead Switzerland just miss a ago, DKSSH time I there

in flexo prevalent very they waiting so we No, technology utilize reseller a DKSSH printing, And can is and that press for into that new is printing seller had products -- large ink which web of China. been a label those do HP your is I they traditional packaging. market. and mean, big mean, the areas, of I like numbers. These which packaging and the are digital non-digital. press. I more is mean the XX% a label

now So International. technology ink place have in we the with strategic our INX partner,

have working speak. prospects we're that DKSSH, We with are we they them working several and as with

glad hear to that. Well, I'm

like new something didn't what that mentioned ink ink? It's have we I – You catch. now that something

is industry. to the continuous industry have printed -- able We that in technology web inkjet now inkjet and for products be

Did you say weapons?

it's It’s of high-speed. Web, a press. rolls paper, web of lot a W-E-B,

They Well, DK the they correct, parts me whoever forgive East globe, – are of distribute throughout the name. Middle please or on Switzerland, all they right? up their based or -- for are, and scrambling

Rim. their They're the That's huge in Pacific real.

Hey, hate Patrick, to I interrupt.

running after off think at of additional we the the for I have are time, out cut we But questions point. think so we are questions this I to available call.

everybody we we So, again, updating next call. And the we along as are being the releases go I'd press on available. quarter the like look other on forward to thank and for you And quarter. to

So thanks the joining for call today. on us

now you has Thank attending for conference concluded. presentation. today's The

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