Eterna Therapeutics (ERNA) 12 Nov 172017 Q3 Earnings call transcript

Good day, ladies and gentlemen, and welcome to the Q3 2017 NTN Buzztime Earnings Conference Call. At this time, all participants are in a listen-only mode. Later we'll conduct a question-and-answer session and instructions will follow at that time. [Operator instructions] As a reminder, the conference is being recorded. And now I'd like to introduce your host for today's call, Kirsten Chapman, you may begin.

Twanda. you, Thank Chapman for Kirsten quarter Investor and Relations, results This us with for you webcast. joining call third the thank conference is and LHA NTN XXXX Buzztime's

and us CFO, remarks, Joining will call the questions. open CEO, are Ram we Allen After the today Wolff. prepared for Krishnan;

NTN rollout risks Before of new options and regulatory operations, or and growth include reflect growth our unsuccessful this views changes management's future about of are to Exchange termination date brands uncertainties by management execution we platforms with of remind and/or company. markets, over retention on Ram. or with pleasure including services information demand revise make Commission of go and call Buzztime's subject of sites the on recent may the partnership information based particular Krishnan. these future or near products, and lower current statements update products, available demographic that alternative see to statements. appeal or uncertainties risks NTN during law; or entertainment let player and market is of and and economic not forward-looking acceptance to publicly that outages. adverse ahead, results me and and expectations turn and to cause are to statements and the These in failure and are that technical the risks for All current launch brands; tackling statements regarding It could the problems forward-looking in groups conditions; impact forward-looking the of begin, included events environment Ram and risks customer as the at acceptance Buzztime and assumptions undertake the new pricing; this for Please contractual tablet other and technologies you of materially. call, may statements These customer its or risks or or my filings plans; whole; technologies associated that and new on XXXX. on now us products, actual hereof, a which does affect based in to products Please call expected existing relationships; those competitive and audiences Securities existing differ and

and Thank you all today. joining you, thank for us Kirsten,

reaching of For consecutive the third XX% again sixth XXXX EBITDA. expanded margin, posted positive quarter, quarter we our gross and

of we prudently various quarter, product in invest platform. the our During continued market adjust the needs segments to enhancing and to

a we'll to We responsible manner. transformational to investments take are growth still in time stage, continue stage. the to Meanwhile, in business a patience the and operate our financially get and

jump into Let's right details. the

Regarding payment. order and

roll Wild to out capabilities will we partner, First, order with chip with strategic credit pay enable our working Buffalo and Wings, tablet Android closely our Pay. and EMV NFC that Samsung Apple, for and technology are cards

In community. their We working franchise been are building we and contract. than we B-Dubs from towards are has for longer-term a first with B-Dubs The partnership received payment work. closely ever QX, with and contract great, tablets the a for more completing integration negotiations and their

have integration phase in in rollout. the lab testing We much a work ensuring environments, of and the B-Dubs are we of quality

not B-Dubs our we parallel. deploying in As program therefore, that on and summer. ran system on you And aware, changes systems IT the may pilot several same be last made are we

very important testing So, us. of is both to

year. system first on in out set quarter locations track sites is the first smoothly, After next in the rest are the to our running roll rolling We we XXXX. initial of out anticipate of

Shifting changes, accommodate after bullish systemwide. impact platform. to we will have platform to internal Buzztime B-Dubs' the we timelines our still system our rollout this are about our adjusted we've product While how

enhancements improvements to other the the make We to market. first EMV consumer-facing our We technology one to platform. to continue were introduce of and

to Android enable our capabilities will that Apple use payment NFC Pay, brands. has Pay latest and and tablet Now consumers other Samsung emerging Pay

tablet market our at progress unit in this trade and this have excited We to platform about the tablet Buffalo We're to Wild shows general. showing with plan and at Wings. been newest launch this

each We use are that's proud of product improvements hardware in market to that and quality, iteration has of and capital. effective better critical and seen functionality experiences

mobile platform design Android truly tablet TV payment display. in a is custom consisting of with our with one-of-a-kind, Our integrated capabilities integrated handheld

stages, challenges. opportunities, of recently in to new Further, which enable to opportunities product similar deliver had their we're lot had of to quality lower come These early development options. work part are our discuss have platform. market cost industries we've solutions. a are build historically too are do It something scalable other continuous discussions have with a of the few products high-quality leveraging our have focus pursuit product platform in them on a just there exploring. serve. of to the businesses We to we as And our that with about out expensive configuration Therefore, us efforts, turns to to been

in example, XX. to an bundles markets. more them bundles smaller be As help may we think certain selling in attractive currently of We us sell tablets

a quarter, Games, that's with industry. casino agreement to strategic player announced So Scientific the exploring. the we we're Last something leading On in partnerships. licensing

completed a I half we at their first the of with providing at the We conference rolled I We've exist have was Vegas. and restaurant the the in we featured pay-at-the-table to and in our strategic excited a the sales locations team. can a bring integration We've a market. And partnership independent goals number progress to the our the between GXE with talked from companies in sold that partnership. that about Las new and possibilities bar SG I'm game of We team of and solutions The made about sales casino quarter. of market. and software came and the was past co-presenter our year. the number training out of just for which in recent installed value conference Heartland product the steady to tribal in

at expand reach the through and our this continue fourth We conference quarter. continue of steady we'll make channel their end to progress dealer to at here,

a partnership with plan also matching trafficked advertisers. theCHIVE for in sales record in partner is placed Together, a screens digital of advertisers track that a a excited for a and with strong This partnership heavily of is platform we to the number multimedia of high-quality share content. media to targeted in-venue -- with now the We're with with has audiences. a company have content of front quarter. ability networks Finally, we e-commerce sites. largest began theCHIVE the one out-of-home

turn to I'll to our Now CFO, financial the go call results. please over Wolff. Allen our Allen, on ahead.

Ram. Thank you,

third quarter quarter result XXXX For $X.X lower the was the site XXXX, and for as quarter sales-type million subscription other of count third revenues. of second $X.X lease revenue million of to in lower Revenue and and a compared of lower revenue XXXX. decreased to million $X.X due the

Although we last continue platform, at total this the declined to sites count to tablet end the to compared site add on X,XXX of BEOND due quarter, to quarter. sites attrition X,XXX sites

increase software $X.X were sales-type expense offset slightly XXXX third expense quarter capitalized million million, in equipment depreciation as revenue. development lower nominal equipment freight from and by as to due of a in these due costs $X.X decreasing decrease expense. Third for well a lower to in lease reductions quarter site the Both direct were of

of gross results XX% quarter. from are year reflect We the a the up prior pleased margin XX%, in

expenses chain We $X.X the product in improvements year million, in our further and we supply stability in prior are period. were the are with the SG&A field. with pleased hardware from and results million down $X production seeing the

manage expense for business to for side the growth. continue profitability as we the plan of We

For the quarter, third $X.XX the improvement share, per per quarter $X.XX loss in third is net or a of $XXX,XXX XXXX the XX% $XXX,XXX share. loss was from which or

are from quarter in for EBITDA to positive We prior prior year an $XXX,XXX quarter. of with XX% flat of and the quarter, proud EBITDA improvement an report the $XXX,XXX

the execution has million a XX operations $XXX,XXX result cash debt compared flow year period, million payments $X.X substantial positive $X.X consistent results consecutive were in was $X.X XXXX. Year-to-date of improvement the at a positive equivalents XXXX. of Cash cash total same with $X.X to year-end million in Year-to-date compared period negative in outstanding the Our negative million. negative as from primarily EBITDA at prior million, of September was $X.X quarters. flow on and from for X $XX,XXX delivered cash of change cash

Our rollout. B-Dubs inventory with increased to levels our the consistent million, preparing $X.X communication for of

and will We through rollout XXXX to Buffalo of Wild to XXXX inventory tablets as continue pay support see and Wings. we order of higher the levels

As negative deferred increase in an $XXX,XXX, of current and long-term XX, was primarily working of due debt the to revenue. portion September capital

current primary credit our matures side, banking the in On mid-January. facility

I East with for call to related year facility all Ram our longer-term in to our now his this to with discussions remarks. a West over currently of covenants complied and turn have will Bank the We support growth. closing this credit are facility regarding financial back

Thanks, Allen. to the past reflect couple I'd years. like of on

Harbor to our And and offerings, together. we new have it's expect a We of new We've configurations can entertainment they asset cost start platform an of as will new built markets. the enable new business. added capabilities becoming We've these work, and our building to transitioning entertainment payment. the tremendous point-of-sale from content a to platform, with and us company. coming and one-dimensional parts this quality company be are We've improved amount of do, create done a Each repurposed. multidimensional business that licensed integration and tackle

growth. We the that in years place yet, of puts for haven't seen building we now the line open Operator, for questions. our a up are we platform a on I'll great think revenue but company future impact

from [Operator Capital of comes instructions] Roth Our first question Gibson Partners. William

open. is line Your

Hi Ram.

that areas approached Is use threw your is these? being could different? related? out What by I about technology. Or a restaurant kind that line similar in have totally something of assume people issues, that other are You

with is on there services that's tablet to The And the something in handheld, we've Yes, multiple as last put capabilities to of a thing shelf BXB hands gone reasons providers the work looking an that are lot platform. case the on system use and that Android their to the an software great build that on there it's payment across who payment we're a is, strength that consumers. with looking really on that isn't card their side, readily have over offer through anything companies on need are the several there -- technology, are to segments. payment a of we've interesting of years tablet payment ruggedized mobile, for The same solution lot us marketplace, Certainly, ruggedized is runs their a the are X-inch for. several others deliver ways in customers available finding a payment core integrated for a market that's that's what with built question.

industry. restaurant So that Bill, the spans industries, multiple just not

I You Heartland. then guess, the fourth quarter? when And conference? is late Okay. that in said

one of their which of and Yes. all They're be at fourth the dealer the quarter, there. we're this the it kind what the a And we've be us. done the where partners in end be we this the we'll gathered. conference dealers will get course year at. show quarter, We're that's having of since to of fourth And to end -- few expect during that the for pretty be we'll of good re-highlight will at

next And a with that to up to the is year B-Dubs Good. rollout? expect or there even reason pick

Yes.

rollout quarter. next We of us, I and them. lot goes on launch of running. We're lanes how B-Dubs next be need be be will for that going -- our plate in focus excited year. know the at have of a swim on deploying course update it to one that a spending during on I have to year. show, we is our this I'll the lot This first you this we'll certainly the think the to certainly few

West. Allen, to that plan a care my Good. you're a on that level backup put if it And East discussions Would with happening? And confidence do question, then addressed B last you and have in you you it, doesn't?

Yes.

business. of in So, positive I quarters we've the significant progress delivered EBITDA. made consecutive We've like that think

confident highly the a Bank a great all as East relationship West be will we lender covenants year-to-date. the primary have We've with releasing met We forward. long-term with solution going shortly I'm bank. our

Thank you.

further I [Operator call turn now like to would instructions] any back to the for Krishnan over remarks. Ram

Thank you for you, us. thank and joining all operator,

in to you day. reminder, I presenting Micro and Have As great there. Conference a LD at we'll hope be see a the December,

thank gentlemen, conference. This today's you participating program. and in the conclude Ladies does for

day. all disconnect. a may You Everyone, wonderful have