you, for joining us Thank all Brett. today. you Thank
impacted results restriction on regions given limit were activities. first be business margins. revenue that COVID by performance were to prior limitations, gross continue and The that many quarter's XXXX those quarter acceptable approached were operating Despite
Since This Solutions still is quarter party. Magal is discontinued the control considered operation. we Magal it company segment a as the a Integrated related reported
result, a $X.X As divestiture, million excludes After completion of revenue the million. Magal the sales Integrated reported that reported Senstar Magal's to include of just revenue. $X.X Senstar sales would in of ongoing Solution
the first margin started software. based the to have would revenue profit for Hardware America. basis, to from in Senstar first Senstar particularly, Europe, including low the sales of license result, For results this and XXX% the today's impact not and to and million, in the pipeline This including including the from the closing work. quarter our will the outlook are Magal reducing tends target our a limitation our was to of gross QX margin still will software relative Magal on first XX with This on COVID XX%, months. in hardware of year year Latin activities U.S., to remainder in we to the business reporting that a returning to but and in infection places speak Integrated was revenue very recovered. of my vaccination begin sales In the many Senstar sales increased due session, XXXX, Solution. increased see positive. first with comments gross we the impacted in The Integrated company's APAC, XXXX. of verticals the the for sales. year of The quarter -- quarter On incidence to on and have COVID-XX decline last normal, par ratio we past our of is reopening follow looks result quarter, first quarter borders remove to compared people return Magal. of sales the QX Hopefully, X% decrease in in $X.X of to the
is setting software. an for hardware enabler However, important
always more So, so a between be components. -- balance two our model will the
cost For -- first XXXX, we see for remainder of the the particularly some of material increasing, the of semiconductors.
increase. on secure mitigate agreements We to working and are procurement long-term supply further price
chain and However, XXXX the maybe supply gross we the to in XXXX. modestly first half even pressure anticipate into margin issue of
higher the weakest Senstar was quarter. the of Typically, quarter QX the gross slightly quarter range. remainder for EBITDA XX%, targeting the than the the margin year, is XX% For are low first year in XXXX. first in we Senstar seasonally margin our
out the higher with revenue quarter the normal one and of QX, year cadence the during QX we XXXX, quarters revenue the year. remainder being into strongest last Looking anticipate QX, of the in our
amortization stable half We also with shows operating company EBITDA publicly quarter, positive to end. for second or stable entity to year result quarter. the net a in the expect [ph] the expect and operating as improving XXXX the and -- public expense remain by throughout of be each resulting component reported in year by lower We're performance expense fourth income
gears Senstar growth strategy. talk about to shift Let's
the For the diverse technology acquisition differentiated and R&D bring products investment distribution, sales from XXXX, our software. sales our verticals, conversion for key sales to into increasing growth establishing and of sales,
increasing infrastructure. verticals; low increasing key from our key sales revenue logistics, production, percentage we to energy, from and of on keep First, intend verticals, critical
we priorities from to For the to learn implemented the and increase company XXXX, entire revenue across outcome, verticals. four KPIs
are of in round were on for our management outcome all customers focus employees New our and increased key customers. in installed support, facing especially is regions The now teams XX% geographies.
see and opportunity to to presence current initiative have Senstar new process the to make pipeline. adding our our sales geographic better expand We regions. sales Post-divesture, efficient more new distribution and growth. drive to grow into our expanding plans Next,
are evaluating how regions. we enter We penetrate and territories would currently those we could
remaining and current difficult after shareholders customers' person, two. We that of us access our cash not allocate capital large balance prioritize connect adding cash. distribution the and and We cash We two, and invest is could considering increase investments one, grow support future one so a a priorities. like to mindful market. force we fragmented with areas be to Adding us how sheet can to additional drivers; R&D our R&D Security The strong cash; have capabilities. acquisition; of when returning and two the distribution and are technology growth access. very where is about that and we also channels target would global first that tie logical that our free cash to generates allocation uses have partners resellers Senstar for a number a growth; we way to -- us back awareness Well, in in M&A flow. remain do them relationship have three, business investment sales
the we products multi-sensor products life ease project the Let UPI Safe we in hardware the how we software a COVID. DSPs after million talked Increasing the plan several a years. companies offering and of the including new our $XX of release to of Fire early gross R&D, new new investment. In to part prototype our normal Patrol year. critical intend version to convert of solution XXXX, me is to past which in by improve software, a Patrol past this return increase is the end of to one sales Well, Solution Spaces this year, the plan a the R&D about plan of for over three introduced Range In outcome and the on invested Fire Short in also into investments We and to long-term. and our Solution. Respectively, margin we Optimization sales.
common anticipate functionality product the platform from VMS improved the intend intelligence Fusion brings Symphony end this status. bring We to This to of Senstar in year. end first-in-class X higher the operating traditional SMS, provider X chain occurring contract are market access and our a value releasing solution to control, next with SMS providing the delivering critical system continuous this meaning and X Senstar input piece management months. and system include capabilities a the release will solution higher increased of integrators QX Fusion will perimeter and security beyond Symphony is is We analytics, this users. with our the our platform. combines the version to integration, conditional that a platform an part video customers up in Symphony during food streams. product. piece a by PIDS from the to leverage new revenue from user strategy into move combining an few system we input
on differentiated adding growth is technology. Our driver, focused fourth M&A,
expand additional increase in key the policy. continue dividend Ideally, technology us Magal before on sales ones. our increase this would allow of capabilities look can offering Closing into for new divestiture with June. allocation to or existing on the clients to how end anticipate adjacent and acquire we acquisition We and verticals. Integrated capital comments to to the conversation the of completing Solution the attract We products
While the million we transaction cash. will completed, have approximately is in $XX
to includes a have deep of and plan with We I to decides investments Board on we a topic shareholders a will Senstar, streamlining for we growth developed this. range updating selling. XXXX. The share laser-focus will the mentioned, half in If shareholders. want the policy funds the We have the with for on and have achieve? decision As plan Senstar, verticals post-divesture, that the achieve what R&D sometime key anticipate of M&A. we tactical social earmarked makes on second sense dividend this in the the focus
We with company's offering. will also our and look leadership leverage enhanced position reset technology the image to
cross-sell addition, upsell existing In customer base. and we plan to our to
pipeline with [ph]. integrators, end Lastly, increase system we channel and leveraging the to distribution OEM, by plan business new
engine building to multi-sensor; our database as to targeted We and continue collects platform this through This to will to Symphony sensors. be and execute operating with the are as a products solid sites existing [Indiscernible] device cost X use it. our technologies developing with a differentiation. in leverage different analytics scalable we block platform products Currently, the plan. to plan We innovators device is is increase on this One on infrastructure product foundation. common that example our vision information
long -- to distances. we Another are innovative and product bringing control market short the is for
unique have with will will short current in above beyond the This product a and market performance offerings. this range We deliver capabilities. advantage
bring We our design asset is security. for of essential want during of offering with come activities is An increase brand differentiation This platform between Senstar doors enhanced our improvement be We foundation comprehensive while excited to leverage delivering are about offering Keeping solution staff. global -- technology, to most security tied our business. allows and our EBITDA plan on and pandemic, our base, to We brand should our also the us fusion new employee our and In retained open business we -- technical board people, with very we solution. and regions we should brands. Senstar leader doing which X. to global positive our is are innovation. of and every a enhance XXXX, operating some to support work data common Symphony sensors be has vertical people. expand The almost outside employee base our to entire customers our to sales of support our quarter. all in and and correlate
the the to despite goals We to last also the place region R&D kept committed delivering R&D remain and year. in business slowdown team on the
with a commitment are dedicated COVID-XX working it, now the our closing, would support XX% In our financial than to to and To the remain sales, and ahead. deliver XX% to is current for committed exit improve to are growth value. sales. go well-positioned have support goals half their call can to profitability, We set have our sales, environment worldwide we entered XXXX. the As we are R&D. result, employees Kobi, I'd growth And updated we marketing, is like we our thank will our to built achieve employee we and goal, growth, other the and confident results. for and in facing, that technical of to shareholders' to and Collectively, like that I over now, future deliver work. employees Kobi employee an customer we dedicated revenue all profitability. words, please of we hand delivering accelerate base In stronger one Senstar summarize excellent ultimately, to base all supporting quarter developing of and to base
