Eterna Therapeutics (ERNA) 13 May 182018 Q1 Earnings call transcript

Good day, ladies and gentlemen, and welcome to the First Quarter 2018 NTN Buzztime, Inc. Earnings Conference Call. [Operator Instructions].

As a reminder, this call is being recorded. I would now like to turn the call over to Kirsten Chapman of LHA.

begin. may You

Good today Michelle. Conference thank for you and Thank NTN afternoon, Buzztime's us for Results First joining Webcast. you, and Quarter Call XXXX

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

or now publicly statements forward-looking other or update obligation reason. pleasure forward-looking statements ahead, of Ram. sir. required this the turn Except platforms revise expressed may for and Please adoption management to and games and ability in differ and public The game begin, streams we to over that ownership plans. new of be fully the growth other interactive as are to the property actual known any call, Such growth historical to risks, and to limited by actual is include, other company's remind forward-looking introduce and during in industry; related results more cause SEC uncertainties based any current statements consumer and and services; factors competitive nature customer to law, company's during It results or this expectations. my and you statements not the Before and information is results described changing make materially the risks the products, based of that about to unknown results or different conference call. me revenue materially conference rapidly intellectual go on and call Potential acceptance and let on company's no could entertainment may cause company but call the implied consumer that future expectations and successfully enforcement any subject projections undertakes to filings. technologies; uncertainties are or to, from

a for year. thank updates number you I'm excited you, and We share the to all to And a with solid you. joining start today. Thank of us Kirsten, got new

improved XXXX excluding to was XX% XXXX, and the income prior was first onetime margin SG&A $XXX,XXX, again revenues point the X in EBITDA compared quarter gross last recorded of to at first million, when XXXX. positive For XX%, from increased increasing year. quarter compared year quarter other to same to $X.X lower

the a will As a few review result, of now detail X company financial progress. achieved has now, in But EBITDA. into years minutes. operational positive more go Allen I'll

the We integration on we projects are able recognize evaluation. with the when Wing order with quarter. very close platform new first all their go end pay first of at have took be First order the over that excited and had time, the and capabilities at them payment it add present its as on And that in opportunities, brands ownership to We announce Buffalo now work first work We'll deploy B-Dubs owns we have payment. the Wild and determine through numerous as Wings' and portfolio. had Apple to B-Dubs The delivered month. and outstanding process. Buzztime integrate a restarted insights based stores, and with to belief growth achieve to EMV to and brand working are several with of Pay XX and quarter, as the stand with they're live pleased its at this to XX portfolio intends new I been they continue our Since believe and launched to and Android already guests stores. on Pay. their their to we for brand of completed in required, the the by service the with variety priorities. that paused team into We batch integration And new new we ownership, of and working experience things, ownership goals. delivery, well for that Wild they performance, am we we're NFC Buffalo XX order a the our At swipe, expect multi-brand restaurant tablets long-term with Brands. beginning we our firm relationship to magnetic Inspire B-Dubs how revenue accelerator best more

and be been has lead will offset marketing, to On by performance the sales side continue but tablet it and improving, attrition. sales

an portion to and which to quarter's market, playmaker continue retention had making use, a and experience. better transition product bringing XX% some customer tough new at quality our base, In represents We on represented and frankly, phases with has we has overall customer tablets, XXXX, and To working of and customer positioned learning experiences issues been Other of way is better to with we the delivering are reasons, financial focus own our designed -- which out due and customers. variety customers. installed that base manufactured worked experience stress, use, promotions for our through impact are still the our of our help to we Classic our end. customer on to its attrition during hardware, through existing quality

and lead baseball landing baseball with several represent as to more conduct a we well and to first redesign the Sweepstakes who BXB clearly released we've website research conjunction onto base becoming. are month, we've promotion we performance, and our launched March feel people to the a game We as This easily. network. improved flow with look generation further overall pages and the trivia a we recently are information to who in a in new of started with the During we football quarter, improve in demand play January, April. To ran promotions history in February

of isolating without base, that both is ones exactly both manner player always doing. the must this that's offerings and offerings clear our to install broaden and our in we've way easier range impactful, for the each -- address we complexity great that. new for adjacent Buzztime Our improve us how site and we better are begin and a and it of logical more installation profitable we existing those markets they bring the We the launching customer all unique of avid market event entry that the must narrows new positions price sales customer provide market In new for existing the market make can to we're upon that offerings makes and the must know lower and and what and what We our excelled serve. and in to order offerings base market continue the We needs a serve. opportunity. game, of do price our to price the our to

cost, tablet to So adding entertainment appeal, platform our of also ease let's focused most and order their we've quality, couple of bar within improvements lower as payment, both but long-term the products increase our well. years to and and talk our installation importantly, about and continuing been improving quest to improve in industry. services. the has our We're on broaden the made Much beyond and past

We are mobile developing a games. new on-site player system management single offering hub, and

device designed case developing including Regarding in operating the and software, management. and designed mobile new parallel the our then tablets own firmware, we tablet hardware, with system we first our

Until higher content that other we're manages a of engines, costs. translates our replace now, PC labor-intensive Now to hub and we which traditional are the working facilitates development, tablet built updates Leveraging our with new same our been costs creating we the equipment and android installation for of our more the tablets. to stack our inside each system a game services locations. has hub, brains of PC,

to play our still and at are will the as a be We TV with and each the prior power Running lower-cost, our refactoring time. that game to this new play display same synchronizing cross-network smaller, work location, to technology capabilities install hub technology. is all hub. new high-quality end that platform plan android we into over packs engines, add other in-store and The our goes simpler result

we envision to many example, content this TVs. our and For different device on types through displaying

trivia this schedulable desire. video, content, dynamic addition scheduled customer's to be display video we'll all content, to be -- and able In network own our each will and highlights, poker, web app to

TV You can TV type can Apple content an scheduled picture system like Roku network. of that a or run

completed it plan march test making market. version accessible supplied step operators. full our by towards to also to have to QX have Live new excited across another trivia first We expect to or hit and require on rigorously Hub country, our release more our is in experience and mobile events pen as either been internally our ones. most our first but taking before trivia the well We're paper, current tablet to platform as local product. a market huge events our

or mobile individuals own X-hour customers, play to games sync version of is our highly live trivia players on device responsive completed in product, format. that from thousands new week. a a real-time the launch a cloud experience questions. trivia host on to be the app currently run bring hosts We with pay-per-event to players. scoring, already and a will event with own X-hour a mobile devices trivia hosts mobile their mobile will leaderboards and free expect will and This have trivia each Hosts The as which and anywhere their a thousands today along. mobile option demand and game, start and start visual We the market-ready live of game played for enables on their market for to events trivia

our in a website easiest-to-adopt, months. as loyal venue, Mobile cost start test investment. of registered Its to stands a entry for will distribution to expect avenue another active the a value lowest own this more monetize We significant on and player Further, trivia database. become creates our our solution. coming and conserve its through contemplating

to products, respect from we or of tablet. at developed to our any else's. Previously, that delivered single-player our part our significant cost. be have with added games can new we of sold types content procured sometimes library these games as Finally, of service be our to that we'll someone for aggregators, third-party We've and our customers releasing

single-player hit where develop believe, new we've XX we we a can deploy games rhythm, days. and as in fast as Now

find which Our Buzztime in on first of can tablets month the Soccer, anticipation our summer's Cup. this game is you World

essential the business in model partnerships, we believe On are the future. partnerships our for

so size reach, as bringing that more on market Ultimately, One to turn the buyers Expanding expand further be course, through we ways ad our of grow price would keep attractive revenue, dollars that to should focus cost subsidizing prices will and always advertisers. in while our create increasing down the We've our lower is advertising. to to well trick the which new as we planned network, dollars open ad justify us our that of have is growth. up our network of would believed network. enable network growing can by more the

quite couple delivered the partner Over has successfully. local past ad of years, our

expanding turn that use ad we're to subsidize our strategy So in increase can we to which price. revenue,

advertising, additional the enable partners and are ad strategic platform ad increases inventory and partner. right chance at future. our sales can each partnerships, ad X acquire loading, with help signed for we with targeted to range the ad the inventory, partner front time reduce us fourth also manual of reduce these to basis. Over a essential right uses model -- wider we've networks supported advertising being management partner specifically content our with new X less was slightly more Ad so present past sell ad algorithms enabling partnerships Working our these large which buyers market The The believe quarters, different buyers. processing few tools, with a audience is to partners these app partners take a programmatic brought tech to sales to to load near us to our real-time new share. on tech business the to up It'll better focus. in our on delivery to price and fulfillment on in market We of test points further our on of an the end. enhance can

part this technology will efficiently. of business more As to the allow the grows, us scale also

other market verticals. as alluding -- means towards and to Finally, source potential potential itself platform sell expand to and growth future our sell I've a technology market and for been to as a

X This underway Our operating This system thousand production is initial in several Early hardware contract expedite and the we X-figure to Since to the the with to QX. order. examples. partner building I'll nicely. for deal, signed a well is their partner QX delivery pipeline review has in entirely new wants XXXX, an both expected us market. leverage to signing deliver asked the tablets and vertical. services relationship proceeding our our

retail market XXXX. as in In Games trivia tablets Scientific loyalty settings the addition, bonus unit for partnership to licensing as where in points. our a trivia game starting customers lot few And We serve We'll fruition. far selling for providing we're these growth contracts a to platform standalone with selling partners room Games QX tablet redeem first potential of our to Scientific pipeline well use and and invest content more partnership. and casinos single began the our as their getting there come and hardware that's for installation. awaiting in this a see believe as this of is opportunities further of continues grow has sold The with been of opportunistic. to to our

Now it over walk who'll the I'll turn Allen, through us to financials.

you, Thank Ram.

first under quarter due the $X.X Increases X,XXX due site equipment and We quarter the more XX, of offset million, lease end XXXX, sales-type sites, revenue revenue million $X.X subscription beyond first last total for was ended the XX% of to quarter other sites, quarter. For of XXXX, at were arrangement first with by revenue we in in X,XXX revenue XXXX. installations sites partially XX% compared customers network. up to X,XXX the to representing of lower At our a decrease had March count. to compared in both

costs improved provider revenues, fees expense. period. decrease year increase The were was to compared primarily freight million cost associated however, by expense, development from direct prior prior service in million XX% quarter margin, higher in XX% a to and the to equipment with $X depreciation, the in year Gross period. $X.X due professional partially offset First

compared expenses million the XX% continue to our our product. and production or revenue revenue We million current were $X.X of generation the period. $X XX% or performance to year benefits of of in of see SG&A efficiencies prior improvement

of quarter net share. first per the was or $X.XX XXXX, For loss $XXX,XXX

that During to loss adjustment or recorded the $XXX,XXX, the first a in net we quarter of per net XXXX, share. onetime $XX,XXX reduced of other $X.XX income,

where EBITDA. We eighth $XXX,XXX. row positive EBITDA are have a recognized that quarter the This pleased to is in was report we

to receivable, $XXX,XXX. X-figure make quarter. to as We partial equivalents we the Buffalo at expect ended for fiscal decline compared quarter be accounts but XX, full the to due results our period. hardware for positive operating with This million $X a cash waiver million. million of period EBITDA compared We that XXXX with be prior $X.X $XXX,XXX. installed from in the were as continue million lender's we in following year to ended will capital Working prepaid in $X.X a neutral increase flow term, that to default the our due December the Cash impact year-end partially hardware was lender of cash of from portion our flow roughly as the to for related Wild well to fluctuations received fluctuate, of quarter QX. at year payment-enabled improved decisions XXXX XXXX. timing growth. was $X.X was for to We This anticipate from covenant to Cash equipment our an site first loan will in deal throughout million to primary our operations operations related primarily reflecting continue to investment in a XXXX, to is year, Wings. $X.X EBITDA $X.X late long to and year-end negative million the delivery year-end reclassification

new equity describing Regulation requirement. of March notified at April, NYSE In $X the late increased offerings. our this to receivable accounts plan. we were call intend for the company's March, About by product acceptance the and take In with million we from XXXX, $X strong have regain about Regulation our now growth will As to traditional to taken start XXXX. optimistic noncompliance XX, a the week product submitted remain our shareholder to this $XXX,XXX of Ram. us NYSE turn With I of million year-end back our later, with prospects over to or late plan compliance. the notified we we a of actions

sites $XX Thanks, we had roughly Allen. of and EBITDA years over net ago, things count loss few $X a looking growing and we of transformed million. had we've million over million. X just in to But sake We're just more on not ago, also past fostering of years X,XXX and million was the count negative of revenue. a the XX $X back, years with grow at of net and EBITDA negative X,XXX good of $X.X stewards site healthy long-term business, count. for it dramatic, loss even million $X.X of do want we -- be a site site the and To

bottom I products, in $X.X our working of deeper In $X.X offerings, million a quarters X building the our positive line. With on And have positioning are growing was fashion. than well towards Further, are We vertical platforms way. and million. When and offerings to for down responsible challenges and our the positive site are and each grow, anticipated. to new net were contribute product, were new a joined but the profitable company X,XXX, site and ending profitable count the scalable, EBITDA growth. delivered XXXX, are encountered to X was making however, we was and company, new loss company, products EBITDA we strengthened we we X

new redesign site continued with the platform, are reach proud product of X our an and hub, offerings partnerships offerings and goal. are and new years. XXXX, Buzztime achieve the capabilities, for ordering becoming scale. The sites foundation, set where to on In at what needed products, offerings aspirational I laid of we of new that, hardware payment focus our We have and To is number increasing in this going. XX,XXX mobile target Buzztime we

goal. X still years achieve that to While still bold, we have

on shareholders our I'd stance Finally, to having to and concerns. We their with communication. working on management constructive be more responsive shareholder and appreciate to are respect with clear being comments like continuously discussions always

and shareholders what be and be do put our into of the shareholder was low about decisions by with what and as process required We conclusion can clear as are make are that and action we sets hurdle suggestions not had not friendly it enjoy nominations bylaws shareholder a and good we every by is gets, our working council forward in of more our and relationships an questions external the nominating dates. to Annual And answered -- using our popular and have friendliness, We're for all opens company reviewed and many bylaws feedback that and immediately. the have for seeing for their In well. the going procedures We're we've information for open Meeting. year meeting. We understand you that Nonetheless, been are we meeting asked for line welcome larger in-person all expect our which this row, questions institutional to past, third to retail look to investors we the all be no we to Shareholder please investors a have access that there. as with Operator, year our forward questions. the virtual looking the different. far

Instructions]. [Operator

of Our from Capital question Gibson William comes first Partners. Roth

want that paying to Buzztime of it using mobile Is I to he's correctly. game. I a something the I'm host is trivia his the have or the just heard not or go own phone into sure tablet tablet? game on

That's Bill. a question, great

a platform, on they use they tablet. laptop, it the could own had, earlier it game can our can be what So it do going mobile announced to device. game, a I start mobile lightest their we own they that can own have host ever offering their could live do technology is that, on mobile-based the to a And of we phone, on do a trivia access which a their on I get to think, -- beginning device is using the they

and they start as this their can of their version choosing venue there have the same, device, if intention technology-independent to And and their they own accessible or inside a to and location on the the types follow happen along the they're one well. laptop tablet any So to for game to download. light, is players mobile make all

Okay.

that's app So an basically download?

actually mobile need to the will be product, a version web even an eliminates This download which Yes. app.

a to to simply paper, can no URL go you pen. There play. no So is

are available. everything You going have to digitally

you're is so and going partners, I better of follow went terms offering them to price new negotiated that. -- or -- in you them four advertising with it. didn't you potentially the quite in and And quickly locations advance then through a

more always business, bring the We can in advertisers. choose between with network advertising more streams. national The or have the out-of-home to is, And they advertising potential digital use effect we Certainly. the valuable we've to don't more what more have is the and to market out-of-home, large locations the screens as the Classic the effect. TV think X and the go platforms that to enough we have subsidize we revenue we to for to advertisers. challenge price players. had, consistent have, had become the more acquire enough screens network The many table, reach have and we on

who X we've gone us players are several to partners digital some aggregating network. out-of-home collective other as well So represent as to us

take you a roughly you to opportunity our players against. and So present from other X,XXX add an can several locations advertiser advertise X,XXX to X,XXX for XX,XXX and locations network

inventory that subsidizing, increases the of those aggregate gets giving us, together as helps field. in, our go For and inventory And that in that sold. likelihood it the units to gets revenue others sell more out putting several to to

it. got I

network. being So the the in from initial revenue bigger comes

subsidizing advance? So price you're the in not

it subsidize will time. over we No,

come help that in, as well. that'll subsidize as As those us revenues site -- new acquisition

vertical can then side third send rolling you your different what in Yes. Are technology? quarter. that already that in installation, new the you for to a equipment And the the tablets Or are got? you've mentioned app is

Yes.

say, side product our the equipments we're I'll So with flow new to deliver, that our sheet balance for delivering through catering vertical our client. installed The simultaneously it'll as current will to offering. be will and

call the closing to back At this Ram Krishnan like any remarks. over for I'd turn time, to

joining a shareholder the meeting all, our coming And great you forward we you for thank look joining day. Have again, weeks. in to today. Well, for

This Everyone, day. gentlemen, does thank Ladies for the have participating all today's disconnect. a and conference. you program, in may you conclude great and