Hyperscale Data (GPUS) 15 Aug 182018 Q2 Earnings call transcript

DPW Holdings Second Quarter Business Update. This is Ron Parham of LHA Investor Relations.

On the call today are Chairman and CEO, Todd Ault III; and CFO, Will Horne. They will provide a business update and touch on the preliminary second quarter results that the company announced earlier today.

You will find that press release in the Investor Relations section of the company's website at ir.dpwholdings.com.

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what's in crypto to really I an the you over large we a as holding should long-term, -- we're a best have we shareholders. that companies Board close be shareholders, and Board space anyways best opportunity is we're and to the are large attention what early we bigger CEO for this evaluating them members for to lot there the trading evaluate, less briefed doing of than XXXX, pay and one there that as would as a on and assets on are place -- and here clearly our and our me to our active so as XXXX company cap; I'm our mining should in in I the bullish shareholders and So you benefit the I'm pretty move of part. the shareholder, crypto next discussions space expect there are the we're multiples our going top make see we are you in the that to do, we for going Bitcoin priorities multiples to that benefit, do sure rest whole on that that this than something got market to space on we're have category. of comfortable the I'm and really we're to is putting

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we has of cap There now to from this about when at billion, and to all Bitcoin. them As we lowered reminds were you you restoration on a cap $XXX we're here. back X,XXX. think you there, market it -- is to under that me to stay lowering numbers remember, we we if had XX,XXX, Well, X,XXX, market them been what our cap probably move crypto market and have is of of [ph] XX,XXX, now and we lowered numbers of billion, XX,XXX, a in we I'll in look of our started lowered March, our you still and and $XXX strategy to

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Todd. am, I thank you

the Form preliminary is SEC. submission to sharing So financial remind review you with And Slide this figures are XX, we're metrics. today the to of preliminary, report and of to to quick Monday, our expect we're August we final timely and XX-Q key non-financial the a A on results moving X.

statement, we it compared to ended are up $X.X had quarter cost gross business to amount million $X.X and On discussing on and gross significant expected XX.X%, Obviously, margins. million ended, spend between that's operating a real coming and the of the and during preliminary decreased XX.X% maintained, QX of just an actually are second we costs million, that revenues Gross a time impact income QX revenues approximately that overall our in where quarter XXXX. back XXXX. cryptocurrency your Todd negative situation $X.X of in during current with of compares [indiscernible] in had was simple; margins as the mining -- the

in primarily costs are co-location operating Our and costs. costs crypto depreciation

amount this to includes million, net of $X.X approximately prior loss a $X.X loss million $X.X the million charges net $X.X we anticipate significant of to $X.X non-cash $X.X the million, of million. non-cash charges to compared XXXX, between with of Our quarter which to million comes

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the XX,XXX. said, capacity we to we go As have to

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at affect only And here, that that the R&D not the $X.XX, sales activity they I not on the engineering sell is would thing to -- to and X, from any right on, one below And of if we is pleased Keep come not being for I because we tell see going Power day-to-day ATM in been we're that too. more material. price there team while end little of more the these be to make to, gotten as it to unhappy now. North advanced them can slowdown only here. almost thin has to say know Power's very sell on the that's it, not What Enertec, want sales September number go that go do in mind that's can team adding we while America, unlikely Digital I continue I'm especially initiatives business? -- is of sell too, and levels. of for exploring shares going one when shares to the you you'll there are markets. very these out I it's on to me revived numbers are that be so with is the that that, this -- levels ATM on that the with is Digital the significantly none comment the I'm the I sale in down down going of $X.XX that gave use acquisition -- you anything to new at there anything, below handling with doesn't the that numbers. not the and include going revive me ATM, sell miners to I'm to this of you of sense the to So us our with no shares, unlogical especially forecast with

China, explit We're in So available of there How model and in early XX/XX/XX? mining Bitcoin, a should none from up of decided based minor We financing. value not Initial still we're to and should estimates we we we're included, on modeling model projection our to go are chip. cryptocurrencies X,XXX to remainder that and XX.X goal, using that made of operation is eventually to tear-ash Are the of whatever by with miners, because partner out American, you we dollar. of internally does threshold? to the happens have forward there the that's need business? capacity changed. shared for other dollar stock a the of reverse going the this cryptocurrency they current is should subject price you hedging same X,XXX split ends York hope don't we're on and are was are stock hedging, going for at by are the not specifically your XX,XXX are going New XX,XXX to our portion there goal because have that the NASDAQ being no and the the for we miner and is XX,XXX upside. -- We that it Samsung our to us miners in for Why reversing But get time, just miners that you the having no XXXX. to XXXX forecast rule we them XX,XXX that the [ph]

the there this I do I let changed, said reversing buying this If is and that, something materially know that no is time. would I you times, And so would at with want I've in chance to resist that no point but many stock all there can. buy except current be quite honestly, could. all legally stock levels, I fact, and stock, agreement, be to buy in I stock, have ability I'll and can that I contract my I more I when under these buying will the And

We're they are opportunities to if always independent. Super at be Crypto or a evaluate considering subsidiaries frankly things see in business. we at don't definitely a a at company, that can't of that's I and monetized reverse standalone and are So it better diversified As portfolio want spin-offs, way you assets? all. they divestitures look be to Are operated said earlier, -- looking going we to to holding we're

definitely getting that from I months, be that be important away will -- And next the doing six idea that's expect we're we we so here. over and not that something will

believe that really DPW to into that question; a do don't mistake mistake. getting had is I here this Bitcoin today made stay. in So a you fields? is the believe crypto-related a think we I made

going in a it's just market away. but not think it's I bear

of new and business substantially, Bitcoin and focus growing, some approved honestly, shareholders believe we're mistake do we a contracts to on I we've getting military real attention business the this quite some for pay it's only growing However, operations source. manufacturing to manufacturing contracts, when have been not for and it's cases a in to single

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them Force. of one contracts, the U.S. big with have We Air

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much you to you who me. so for right, better to next All of a thank you get Bitcoin everybody, how listening. Hopefully, being you hold contact quarter a and we quarter shareholders, We want cryptocurrency. me of have know for appreciate those

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