Siyata Mobile (SYTA) 9 Apr 242023 Q4 Earnings call transcript

Good morning, ladies and gentlemen, and welcome to the Siyata Mobile Q4 2023 and Full Year 2023 Earnings Call. [Operator Instructions] This call is being recorded on Tuesday, April 9, 2024.

I would now like to turn the conference over to Glenn Kennedy, Vice President of International Sales. Please go ahead.

Thank you for joining the Siyata Mobile Fourth Quarter and Full Year 2023 Earnings Call.

our questions Seelenfreund, the at by be we presentation. joined for available the I'm CEO, and Marc will Today, end of

statements path are other offerings, U.S. During growth and securities belief future laws. Litigation will product management statements deliver for federal reach to, are that the strong to coming revenue on Act within the our rugged include, the those timing strong growth, in forward-looking forward-looking American handsets regarding but Reform year-over-year and the this Securities limited to and the the XXXX and make carriers. of of organic profitability goal These and North Private we quarters international not call, and implied expressed statements sale

on not current regarding company's statements of changes Such forward-looking expectations and to differ future historical based that are forward-looking business, materially subject its relate may conditions. forward-looking are they fact statements assumptions statements future, contemplated other to and from Because results economy the are statements. are the risks those and to inherent by in The actual difficult the circumstances predict. company's and uncertainties, the

therefore, the Form guarantee the or for the Commission. statements forward-looking of on section with relying elsewhere and Exchange XX-F company's The ended company XXXX, this Factors report discussed presentation activity, statements. in Risk contained risks and including other cannot on in and those uncertainties, in the December Securities We any achievements. to annual you, filed future year XX, caution of against levels forward-looking results, these performance The subject are

the turn like I'd to over call to Now Marc.

for Good call. morning, the Glenn. joining you, and thank you Thank

mission-critical the million $X.X handset for quarter and revenues offset our were fourth decreased in XXXX to by same accessories, of increased compared December period. XX, QX the sales of ended mainly due booster For SDX to sales million XXXX $X.X

including multiple international health public more. and Adoption both expanding in U.S. hospitality the and in of our markets care, critical security, communication verticals, in safety, devices is education,

we Given the continue optimistic our throughout that strong performance year throughout pipeline, growth will our sales XXXX. expanding are increasingly sales and momentum

was were in for the in XXXX SDX $X.X accessories. versus total Revenue year $X $X.X from in XXXX. sales of year compared an in XX% million million device the Rugged increase sales of and of due million the U.S. an to the XXXX, in to handset approximately increase revenue XX%

dollars in Gross margin QX percentage was variance, increased $XXX,XXX QX dollars. XX.X% for $XXX,XXX, $XXX,XXX which to gross X.X% margin margin XXXX. increase versus XXX% a XXXX in positive a Gross from is

$X.X million XXXX, XXXX, QX negative million $X QX $X in $X.X million of QX was was in XX, XXXX under December working for decrease negative compared versus were $X.X XXXX a million capital. variance in positive was $X.X of QX million. of $X December million just which $X to versus Working over expenses Adjusted SG&A XXXX; XXXX, XX, a million. as positive just EBITDA as variance capital of million $XXX,XXX in a

variance of is which million in a to positive million million a a increase. positive Gross to compared which XXXX, For $X.X total year margin December $X.X dollars was variance XX, $X.X in the compared is million ended increase. $X.X in were million, revenue or to XXXX, XX% million XXXX, $X.X $X.X XXXX a full XX%

XX.X XX.X% Finally, percentage XXXX; in significant was in points. compared the margin percentage to gross XXXX XX.X% a of improvement

highlights. Turning significant over to business

supports carriers, means called X the pricing largest its the our market, well that is as and FirstNet options carrier and Cellular. stock subsidies we've that Verizon, U.S. now report We States, with to in flagship including SDX achieved Siyata for status, handset AT&T, of United is T-Mobile which sell-through two aggressive customers. carriers, U.S. these With at with what our as the largest the pleased has namely which launched are geographic

addition, been notified third in this U.S. have status as In stock be that well recently wireless QX. getting carrier a we major will with we

Cellular that the radio service handset month by launched service. over transition the out, PR a The they handset customers direct than offered to U.S. Less it its PTT wireless and released X-way ago, Siyata replacement with a called to enables SDX cellular handset push-to-talk its U.S. have has new the only seamlessly to carriers. or device PTT SDX is radio

are it radio X-way it wireless by radio functions looks, is customers used broader handset and carriers and the much cellular X-way works because cost radios like a providing more much a a nationwide on also customers. responders range large enterprise deals than effective X-way radios, cellular but SDX Some and and a it calling network, traditional than first

vertical exciting Siyata and weeks feedback the robust ago, on we and based is announced large-scale expanding the of markets which end selling selectively than sell and internationally, in where Europe, handset also Rugged months. wireless the is Less will logistics list Australia its Siyata in growing Siyata reseller carrier to from announcing Siyata for Middle XG an new be and Middle in X coming is customers our carriers distribution developing Canada, a East. wireless through we the portfolio partners, East. our we a

a our first In addition, is an system management leading enterprise June outstanding camera cases. responder provided and together field we XXXX, real-time units in XXXX, results new fleet customer, first in of the and major control. and installed EMS vehicles a In international called order product better installed system internationally. QX real-time ambulances Siyata announced realtime innovative in of we with in and view This provide a to

vehicles have to and product PTT beyond. Based upon to XXXX ambulances and of sales of in seen the wireless We opportunities. this carriers, great portfolio our continue position our by to products with strength funnel our and roll and we for shown product demand add-on additional out all be a as growing expect this growing EMS our to

grow status in quarters. and on XXXX aggressively is a reach the goal to in Our basis our coming to quarterly revenue breakeven

that core business the who pass update on sales some an to to product our like are line back market our our discuss would will I categories. benefiting Now and Glenn, dynamics activities,

potential Thank units security XX,XXX of are mentioned who more opportunities. utilities list of of SDX stages to purchasing of a multiple Marc companies, trials hospitals, these, of not new customers to and our just of in opportunities; over going that win districts, you, towards sales sales forces, all percentage win handset This throughout various we're school Marc. for handsets. we however, police a continue funnel know will We potential will XXXX. these SDX Siyata new acquire we're confident we plus is

growing. fact conducting a large-scale districts, statewide funnel of is several size opportunity. school a major national also are global we trials the sales that We sporting the a government growing by the Currently, and airline, are of transit with companies is and the large-scale in opportunities also our encouraged entries leading number event, multiple

connections One XXXX million supports agencies; FirstNet, it cellular of the push-to-talk is over carrier from XXX approximately AT&T by a XX,XXX of owned of during partners, public key wireless released now which announced the safety they figures X.X that fourth gain our quarter XX, XXXX, of December to as earlier. X agencies about months

the carriers. quarter over fourth PTT responder FirstNet, sales closely solutions. In XXX,XXX in during mentioned, our shows and the XXXX, the U.S. multiple mission-critical with and the works we're markets. several active and with North Marc focused Verizon. Today, for in We growing in all this well Netherlands customers evidence at also on multiple Wireless to KPN International including growth as over SDX and carriers, in cellular XXXX international Rugged and our we IWCE trade March U.S. connections. further Australia their the after dealers international at handset cellular towards with major are and Siyata as Florida first distributors Expo, that in displayed the shows push-to-talk Telstra During approximately push-to-talk and of American push-to-talk original North American short, quarter, moving added that with Orlando, handset with supports or as is category, wireless handset at and of U.S. partnership are FirstNet Communications product in FirstNet and in

and with providers partnering expand on through revenue remains future. We're we application revenue international application internationally. EMS with our sell announced will additional also launch companies when building in device by their PTT QX additional vehicle channel monthly to North and We who of our for category, subscription in the sell application our international recurring selected carriers we with in-vehicle objective share America a Our devices with XXXX an to customer. devices during customers order end to UVXXX our an customers. In UVXXX our of of continue units the X,XXX

during product our experiencing our in that more solution we of XXXX, buses, kit that increasing are to our this product to kit, responder snowplows vehicles. And used sales category received for our monitoring is are VKX third the the system for into EMS staff some into Real-Time and U.S., vehicles. in vehicles are their also in view in providers Several look in yellow service and school partner VKX for for handset the including vehicles mentioned in XXXX, or their vehicle SDX easily management be a we can integrated began ambulances we Siyata handset. vehicle million the first so order SDX installing transit fleet customers vehicle their We $X.X while install forward the their first vehicles kits quarter to in in and with system which Marc unique advanced from opportunities emergency demand video in-vehicle XXXX.

will saw booster hand demand steady cellular cellular line now Marc throughout closing back we Finally, America. I the for in remarks. our for product to North category, boosters

choose devices PTT accessories. Thanks, from to legacy Glenn. excited number transition a of growing Overall, Siyata to customers handsets we see to and our are LMR

industries international business multiple are geographic to this is grow in vertical believe place pleased in markets. America are North both core that across We across the a variety our markets. and and in wide of We happening fundamentals that

ramp as to this reach possible. entire up And Our soon breakeven team. our is goal to as by then shared Board remains and management profitability focus sales and

search our the to filed with and results We on to them for XXXX our listeners formal access have call that, finally from the concludes urge website, XX-F Thank questions. Mobile. open financial Form remarks. With the our a That you. SEC's operator, Siyata SEC

Neil [Operator at Instructions] Blueprint coming Your Management. from first Capital is question for [ ] today Cataldi

today? that? A recurring difference over little mentioned. you question the time? wondering that is Any scale on a about it bit notable it I if What channel was expand might How revenue margins could on for of in percentage you revenue more. you

for Yes, Thanks question. the Neil, Glenn it's here.

not -- is today. it's say channel financially. revenue recurring it's I material small would yet Our

we XX K able However, can relevant controls, schools way the capabilities, growing to it SOS and what the notified describe and they and through pressed called their I authorities. it's they're in important X-way schools, solution, device -- for the emergency CrisisGo, in or is best it their They're able right when to ,there they're a it's people is have situation our capabilities, especially example application their and emergency follow happens an classroom the a using our is education market, that to application. -- works and offers to the push-to-talk and button notify able is application, it any and local a software in for radio even up are are school they're way specifically us, through essentially of somewhere company our the on

So customer that the that software CrisisGo hardware solution, their portion fee a there's when with our we application, come that to and pays revenue co-sell Siyata. will to of a subscription

one application partnerships we're one It's but of example, example. So not only doing. example that's the that's that

percentage, expect that for its down but road, develop channel the important and that actually for call become over to to it eventually time, us. grow we'll we us material, very it's out terms so in And of to

next is Chris line from Instructions] is Chris, Zebra, a [Operator your private question investor. today for Your live.

seeing products; success? And most which which had your for and the vertical the the markets most use markets the potential you You vertical are and do why? current see you in cases different mentioned upside

I'll for Marc. Chris. take question, that. the is This Thanks

get to verticals after, school So the probably vertical until right going is say, over districts call, And have first our school schools but utilities, various time greenfield I of can sort now. I to were construction, tool a funnel, across are well market that want different actually and us we to lot radios also and really the security as XX for United responders, before. we at they of And they that XX% this guards way working not people in a of in there say, now into, seeing we're mentioned the schools. want emergency is a that We've districts communication actually use ongoing. least largest in very on the States. It's are we're that sold teachers, because cost-effective

school yellow United yellow and So X.X in to the school teachers. that, we going big States. be and over million million teachers us. X very think both vertical that's to buses, a around to There's buses selling for There's we're

selling forward. Having many, other say, the think verticals that, education. largest I out So going that's specific working one But will have schools, we're be that us on going if be to we said we're vertical pick for to have vertical, and into. we that actually many that I would the

college has Is something been been into as good. campus well? Sounds looked that's

Yes, is are for to and management people general, say sold at specifically -- for absolutely. to I college districts. also some why, We've the schools, but us. more college to security colleges schools is sold the We school whereas teachers working us the few selling just security schools. as in we That very interesting colleges a within can't already big that as operations in not campuses. something specifically of and in are

and And again, sell the school yellow both schools buses. that just opportunity. the we we So as to bigger bigger, to a see

full it and both vehicle sell our have handsets to our So devices. allows to a opportunity us

So we question the But the opportunity. K-XX, believe is, going after for to are your answer that, bigger yes, sure. specifically we universities that's

concludes your lines this conference, you participation. Thank disconnect may you your This for time. at today's and