WYY - Earnings call transcript Q2 2024

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Operator

Good afternoon. Welcome to WidePoint's Second Quarter 2021 Earnings Conference Call. My name is Matthew, and I will be your operator for today's call.

Joining us for today's presentation are WidePoint's President and CEO, Jin Kang; Chief Revenue Officer, Jason Holloway; and Chief Financial Officer, Robert George.

Following their remarks, we will open up the call for questions from WidePoint's publishing analysts and major investors.

not WidePoint's and wyy@gateway-grp.com. Investor were information, like questions contact please Relations your taken you today additional If team at

These we Corporation could include materially cautions I'd harbor call, the matters the discussed of during begin WidePoint provide conference XX-Q The that regarding and anticipated. cause Before from results safe call future performance this WidePoint's and and may this Form like call. that statement involve described future statements forward-looking uncertainties Securities are regarding differ to actual to those includes in company's Commission. statements forward-looking made that in the risks uncertainties risks and the Exchange with filed events

will the available link www.widepoint.com. I via a Relations replay Investor be made company's Finally, to this like would website in for of remind section the everyone at call that

to I and Kang. Mr. Jin President would call Now WidePoint's proceed. like over to CEO, please turn Sir, the

Jin Kang

Thank you, operator, and everyone. good afternoon to

joining time continued review XXXX. free I for today momentum year-over-year cash the ahead XX, to that share of finished you to pleased and having in build EBITDA significant consecutive June forecast results have on quarters, adjusted we our for second second from the ended am and us QX Thank seeing to the quarter previous improvements for financial revenue, flow.

$XXX,XXX increase the year. strategy. of adjusted XXth quarter last ability from ended Our to our positive XXX% We revenue increase and for period and XXXX, our same XX, from June revenue $XX with achieved concluding and to was was both $XX team's X-month our second a XX% the period quarter marketing execute in our million, a million, testament sales same XXXX EBITDA, consecutive or

increase ended June the EBITDA XXXX, from is the same XXX% a was approximately X adjusted last period $X.X million, which year. For our months XX,

and second $XXX,XXX quarter to free to markets the first were quarter capital flow year, significantly, we in We third Compared to executing has from $XXX,XXX XXXX and and a our sequentially also strategy. organic respectively. in in improved QX where cash dedication improving our positive achieved growth last of position team's the consecutive $XXX,XXX our XXXX, thanks

Our and us potential per positive that for high-margin to contracts share marketing deliver sales team positioned and well for new earnings have capture XXXX. continues

of all investments have results, our been our future for, our projections. costs supporting to capital we paid aggressively Additionally, continue margin fixed and profitability improvements costs, line bottom and and manage

As figures, evidenced direction. by consecutively in we're the cash flow our improving right free heading

sales efforts, to our and incremental significantly our and along diverse our several offerings and over target in recently different driving as superior in investments, our Digital and strategic role be played MobileAnchor Our particularly growth contributed our have These an the able suite partnerships solutions, successfully well to Credential certification quarters. accreditation, well past business as us have to with performance solutions of business. competitors' positioned have topline announced

over is made valued the are ago building we upward shareholders. now excited profitable position where continue shift The are were strategic few when years to towards significant and WidePoint work have our and us, this for investments we the out a off, them. momentum we return paying pursuing from a us to our want partners seek in years with ones strong a efforts and on

and territories. telecommunication wireless Spiral Moving X X quarter the X this highlights to wireless including to were the a provide our within of Big personnel and X military of award, The contract to the was stationed on range and second standout we federal some carriers, developments. full operational companies, where U.S. and civilian services country quarter U.S. contract billion employees $X.X

$XXX adding X.X ceiling the with DHS. contract received contract to of the the modification, also We million CWMS

with arrangements the in started X, and vendor we up Spiral as services the as U.S. well receiving process equipment. Navy initial RFQs are with and of have agreements administrative Specifically establishing setting for

be we sharing our differentiated that more set with successfully offerings you and on good front able news Navy previous this calls. to a have this the believe for of We compete future to on We forward on with contract. will look incumbents

contract since an an IDIQ as Quantity of value. our begun increased. from these call, Our topline a should ceiling with XX% to Indefinite see which order increase We CWMS we DHS the from task quotes original million, the results. $XXX And X.X Indefinite for $XXX receive line bottom DHS have new and order at our in that is additional will announced million, earnings valued previous task Delivery, improve the nearly contract reflecting contract requests or from increase results represents contract awards

and release, of many the DHS Michelle community we press invaluable of bringing Michelle X Michelle's extensive now a telecommunication decades mobile of seen made our on an for have experience. for and and WidePoint CWMS within industry expertise the as by federal presence preparing background be stature hire you help in brings who significant the federal program. our X contracting government Richards, industry and will lead in contract. WidePoint our working capturing has and our commercial will enhance over XX years in of over Spiral is to impact, strategic experience Additionally, and portions

providing. the and aligned forward will to her her We with on and she are with perfectly vision value have WidePoint, immense excited be we to look mission board

In milestone these works. X we have deals exciting contracts, more currently addition the to IDIQ in X

billion $X RFI, CWMS XX-year and the First approximately is contract. to X.X $X.X billion a

We will rewin are further that accreditations FedRAMP our strengthen our spot closely strong status authorized and this Our the cannot with pending track our edge. contract. systems processes record competitive DHS competitors match positions and and performance our systems for certification past best and in hold integrated to us

believe or pursuing we winner the contract's to utilized We services. $XX contract. by of manners that is scope IT we government on products be all work opportunity are can the NASA. have and a This that agency. billion Additionally, this contract GWAC, the VI every SEWP qualification, accreditations contract XX-year certifications with government-wide acquisition of and includes a be This

will contract. this We of capture of significant products well a with a to differentiated be work and also under positioned set amount services

PMO work other ability under model our have aid IDIQ competitors these is model a contracts. a model programs, maximize point to project work outperforming these there in significant of implemented well under management to IDIQ our has marquee contracts, team approach in WidePoint office single will The capturing no a worked model recently in To This we that our takes managing failure or large PMO. outstanding and programs. ensuring capture that

our excited top will We continue leverage line see to team additional work to bottom to model and growth. drive are our capture PMO and this further

could our such a X Spiral Even ensure $XX opportunity are trajectory. percentage to strategy. contracts. aims from so we proactive crucial the elevate PMO we for environment, have SEWP a and work but IDIQ sales With unique the pursue capturing ecosystem, ability the as a company's these advantage a contracts opportunity. the in partnerships, to provides billion-dollar to our and the lucrative $X accreditations portion billion very Many These billion strategic These This to the place. invest ourselves substantially contracts competitive even certifications marketing team. offering do maximize importantly, target-rich of growth WidePoint opportunity companies continue marketing more position our that model, these $X.X aspire WidePoint's contracts meaningful long-term small target-rich aggressively growth of capture and contracts alone efforts VI the of and to and few approach to in and a investments, sales to first operate to our such billion recent secures our in X application

consummated partnership opportunities. In and the systems are we which in are commercial seeing sector, strategic resulting projects with pilot integrators, launched new

are year. news contract and forward to pursuing later this with XXX Fortune We look opportunities sizable you awards providing with of companies

interactive quarter new bottom contractual including we are SaaS the billing access contribute is mobility which as expected WidePoint solution greatly performance. a actions our aggressively IT team second our and services, alone, service identity the saw and analytics. These In are sales marketing high-margin all pursuing, management, line to to our opportunities contracts, managed and across lines, and

contract $XXX backlog. third in the began approximately quarter We with federal million

pipeline mic current our to To who recent and proprietary our you technological I efforts will qualified specifically than and developments, pipeline, Jason? sales is into ever deeper healthier dive our has additional some it new over our sales sales marketing solution. Jason, will the Additionally, hand color on MobileAnchor provide Credential been. now Digital

Jason Holloway

everyone. good afternoon, Jin, and Thanks,

market smart just solutions solution mentioned, we available use MobileAnchor most proprietary and successfully for Jin developed, longer no providing card, of secure to security mobile devices, highest authenticated management but As credentials the credential smart that mobile on our the new deployed interactions the cyber digital identity ensuring on digital while tested Credential. directly today. a This instead is level requires Digital

the in technology cyber world. breakthrough places and is of a ahead WidePoint competition our identity This

other We currently marketing credentials. successfully are have federal agencies and agency card-based use that commercial smart MobileAnchor deployed federal to already and actively the a in traditional it

continue to they new We competitors from edge, win do our similar competitive as not and business product will offer enable our us establish this solutions. to

currently competitors to win of new works. product sector. with We're within this the from the away our continue deals coincides in strategy This forward to pipeline our marketing in look to IdM excited it our work potentially and implementing

note, related Education. has traction Department MobileAnchor On the within a of

been As level. at pursuing you aware, aggressively K-XX district we've are the

since been address forefront identity the though seeing funding are of customer to solution the time K-XX. inception of a the as we such Even management our to and forward. shift securing move to market closer getting necessary PKI, to Now initiative in takes has it access a this WidePoint at reconfigure

as We gains the will Department of keep you posted traction within Education. MobileAnchor

its authorized billion gain our be Managed status, technology the share been ceiling, system. as a SEWP earlier, to WidePoint well will proprietary capitalize positioned to uniquely mentioned Services VI awarded. Along once very additional with provide WidePoint. for intelligent cautiously Jinn management is are market to the impending $XX platform, SEWP for as WidePoint we XX-year, Mobility VI optimistic that has FedRAMP exciting As Due is opportunity our positioned

many As opportunities. additional strategic hiring contract in sales we regarding our these are working. are I've pipeline, proactively previously, optimistic are we as and opportunities anticipation That there we that are well as said, of additional aggressively resources awards being stated pursuing

We offices both for program management X.X X contract. have the recompete PMO DHS the or and Spiral established effort our

be also utilizing will for We model PMO SEWP VI. the same

competitive expand advancing aim position. needs WidePoint's overall significantly capabilities. and our technology in maintaining The to capabilities, Lastly, new contracts plan we enhance and and to better By focus to strategic technological the solutions improving ability of strengthening secure continue offer enhance efforts for our presence critical innovation to ongoing our we This for the our is capabilities meet our technological clients. QX marketing on our and future. our will in onwards, more

role play We our arise. in and relevant efforts success, that driving as we look forward are and to will confident they growth a these announcing vital long-term developments

our second discuss I financial that, turn to results. call the quarter Bob? over With will now Bob to

Robert George

and Jason, you, joining everyone Thank for today. us thanks to

to increase I'm XXXX for and of the the XX% and $X.X million, results year. of of details and of Revenues period million XXXX. financial the pleased of we year. $XX million period same trending were quarter higher an X share first the million, on strong the results, last to in $XX the half $XX.X or I'm XX% We last 'XX million the same range. months happy our $XX.X for report of half increase were million end revenues first for or the second reported X from $XX.X guidance an for Total delivered are our towards quarter

our Now of half breakdown I'll first second and revenues. provide XXXX quarter further a

$X.X was quarter the Carrier million million, $XX.X same 'XX million compared in Our to million, for an half $XX.X the of carrier compared period the of of first to revenue period last increase XXXX. an the $XX.X was services increase services for same year. revenue

quarter $X.X the compared $X.X of increase an in Our managed the for was services XX% with XXXX. million million, period or revenue same

period of half in 'XX, of million, XX% first year. $X.X increase services managed were same million revenues last the For an or $XX.X our the

a comparison are The the both is reflected services of commercial managed the customers to and and the quarter period XXXX, due to also customers. federal period services signed carrier $X.X federal million, due fees in Billable decrease third not the in in and several which increase principally to were same year of revenue for within $XXX,XXX quarter compared last in growth existing XXXX. new fourth and

fees For the were decrease the $XXX,XXX of period year. XXXX, last in first services billable a million, half $X.X same of

U.S. decrease to a the was XXXX, less second work of comparatively the first at and quarter The project due government customer. half

from services increase Reselling the other $X.X quarter period year. million, were the an last $X.X in million and second of same

and due and XXXX, and the other same federal timing to For transactional for our amount first an half $X.X million vary demand to and sales and to period. of last sell increased customers. other we of year. periods nature increase was may that services period revenue $XX.X commercial and are A were items services reselling both for from of The significantly activity from the reminder, million, increase period the reselling in

million the profit The XX% or for $X.X of profit for revenues compared million revenue second of of XXXX. Gross same of in XXXX. revenues quarter, XXXX XX% metric the profit in in Gross more million carrier period excluding revenues quarter gross or to to $X.X percentage compared XX% year. or the last XX% was $X.X in services, from was same of million half is or first $X.X of XX% period consistent which the significant the second was

excluding margin to XXXX, gross in our first XX% mix the our excluding period services amortization year. is and related services, lower percentage depreciation by impacted increased last revenue gross delivery was compared to the of XX% completed platforms. same percentage, and For half profit carrier carrier Slightly

percentage mix. will period period to revenue vary our profit based gross from on Our

revenues and X% compared year. to and last X% to marketing same and the $XXX,XXX X% revenue Sales the also $X.X XXXX, were first period million marketing $XXX,XXX revenues the or of In second same year. quarter period and million half expenses in in of were the last of of expenses $X.X of or sales revenues compared X% in

as further we sales see marketing expect we slightly revenue. in of be and expenses lower efforts, to constant to percentage and to to marketing expect in dollar invest We a and sales sales as increases marketing though continue

first XX% an of share-based XX% XX% expenses. quarter in of of increase General $X.X period million expenses in are of to and compared in of in or to XXXX. expenses to XXXX. or are million same second XXXX increase administrative absolute primarily half or million revenue the administrative The compared dollars revenue of in million $X.X in compensation relates revenues $X.X revenues $X.X XX% or the and General the

half for per with quarter $X.X of Net last period a a $X.X $X.XX $XXX,XXX or of or by of to in $XXX,XXX, $X.XX a loss loss for net Net loss to the the of $X.XX a net second loss of loss compared per loss same for $XXX,XXX the $XXX,XXX of of or first of $X.XX to million loss share million share a loss of year. a by decreased net XXXX year. net the a per decreased share a loss compared share period per or loss same last

and $X.X balance the decrease cash particularly is considering to our This million $X We XXXX. was cash, our at view, cash due impacted ended primarily over metrics in sheet. in December with to which our billings customer quarters. the have strong the a quarter implementations, significant, position. last X in which, free Moving new accordingly, cash is temporarily decrease significant million flow compared to XX, the The

rely We resolve and position Further, with we persist working having don't $X to issues are we facility line improve want our expect available anticipate although that on that to we additional with the do these liquidity actively of credit highlight to have million quarters. to them options potential to borrowing in cash capacity, coming our of not revolving facility.

summary. This completes financial my

For financial analysis a please to was to call. results, detailed XX-Q, our refer prior our more which Form this filed of

that, the With back I'll to turn Jin. over call

Jin Kang

Thank you, Jason. Bob and

status. we'd to ongoing on like is One update our certification FedRAMP initiative you

currently questions, have GSA's responses We to submitted review. they are and under of all

stage, and of enhancing from authorized achieve Jason in-process key capture one in the competitive XXXX. we and the which WidePoint's in FedRAMP still the that are by is technological offerings we will of the position market. competitors status our investments end While edge while diversify expect business mentioned, certification to This

A which presidency. election center stage are change take in cycle, delays administration to federal expected in the regardless to lead wins upcoming budget the budgets federal again. party could of discussions once With

will administration We we future. demand services we will closely critical high of remain foreseeable that minimal as essential are sector anticipate management. given Currently, areas the monitor or the mobility situation cybersecurity the no in unfolds. it from operate that These for impact in the change, and

million $X.X where and like million to revenues to million, expect range EBITDA between our $X.X million. I'd adjusted reiterate range guidance and between Lastly, we $XXX $XXX

cash range we Additionally, free $X.X million expect between and million. $X flow to

been towards forecast year. and the are report for we ahead to our our full quarters the have the happy guidance I'm past for trending end higher of that of X

Our strong advancements efforts, are bottom sales pipeline for the the in indicators the technological currently and improvements and marketing upcoming in our and quarters. margin deals of line

we XXXX. per Our anticipate profitable achieving share fourth team for in the continues earnings quarter, to and in aggressively push positive operations

Our positive board growth executive strong shareholders. valued acquiring to returns a in sustainable dedicated remain our and shares executives our the evidenced by maintains market. members outlook unlocking for future open additional on team We and delivering as several

our major questions. will shareholders. prepared remarks, concludes our we'll please Operator, questions you open and take from for That now analysts call the and

Operator

is [Operator Research. Barry Instructions] question Litchfield from from coming Your Hills Sine first

Barry Sine

was don't get all the First question I CWMS. is on writing to hand details think my down. fast enough

visibility letting sounds it So there's out like X.X. on

just you sense just the And some obviously, then on of put the If X.X. that? perspective, give that any could to won us timing amount, dollar repeat in you

had then recently on in I vividly, remember very get took that. a the ceiling And significant X.X forever You to extended. just increase

pretty So works the government slowly.

we guess I a be X.X? fast on expecting So decision shouldn't

Jin Kang

hear to Barry, Jin. again. you It's this is from good

The upping and and X.X X.X to the on now, going than the the have the awarded timeline anticipated. between under will can because I from them the take that dollars answer also that And they the X.X. the Right overlap reason -- so provide orders X.X. It want that reached already the I ceiling smoothly an X.X award believe X.X were the the on transition contract also additional probably mean, already of cap it And they the task XXXX for to is contract yes. by get with will longer done sorry. is -- the XXXX, is they end for

X-year believe a this so And And to ceiling. from the to go extrapolation sort XX-year up going we contract mathematical with now of $X.X is that to billion contract. we did $X.X contract billion to a a come

today, And at so where million million. are $XXX we we're upon or so based

by multiply authority. X delegated like that a will you at for in if So period, XX-year a procurement $X.X billion that put you

seeing. And what we're so that's

of we software matter our our Again, DHS. subject like ahead our we in are and platform, expertise feel competition past performance with our

and for match. all when like DHS's processes systems certifications we and systems, that the cannot are and have integrated others competed Just X.X, and we with security the our accreditations workflows

prospect winning on X.X. not the about hands. we're pretty So we feel of good But our sitting our

constantly for looking are improvements, to We offer be DHS for we come constantly looking so the that for when can award. award the X.X, services ones receiving the value-add we will time that it

Barry Sine

And clarification it points a but end they the that just few then is of contract were whole ended, whole official What last happens, made more X.X? CWMS. when for time. the time, didn't And on you date renew,

was that. there a know investor I time whole you period that to they an took while angst So made the extended were whole renew

So on the happen happen give if indication previously. that's issuing And they're And us remind could you late just what may what X.X. did expiration us then hopefully, of an date?

Jin Kang

Sure, sure.

So believe, the official CWMS end or of I date for XXXX. is November, XXth X.X the XXth

November be 'XX? XXXX XXXX and a Yes. end extended so and -- X-year contract, The XXth up of a again? year. was to contract last back. the and may anyway, being ended it is X. I'm for XXXX. have looking up say bridge date, it XXth been in so And the the was government a But it what contract happened time likely, put and they came to supposed -- I or Did

another they bridge an a like that, it then X.X in to put contract contract. the another making So They with they X-year X-year had another a extended X months for contract. for exercised option contract beyond go contract And years. XX-month

that with it months did official orders So could to so task But is they of the contract be CWMS what extended. option X.X can the beyond they is -- XX that the in date. contract may end actually an it have be award that they put

modify XX if the November also XXXX, November extensions, date issue the actually XXXX. contract contract XX, contract So can to additional further. that And they until They of the official they need orders ended put extend task bridge go so contract can a they in. can

able on So they have the if extend tool contract to acquisition fall schedule. behind their belt in a they their lot be of to do tools

left during that going the be bills holding we like through anything any is the recompete. So won't the unpaid or time contract

Barry Sine

What for -- your is submit CWMS the been has for for X.X. given to you deadline that bid

Jin Kang

is we Not information. yet. released And But of for this competitors. publicize The that -- is, And so information the a was contract. for had we request the expired. will put information we deadline because release this was a around get sometime. looking the didn't press request believe intentionally what out bidders qualified at end to I for what want they're for didn't was the more for that July

that so the going the now our And proposals in was street the out in. RFP or did recompete have released when it the the process send they're letting process. sent we award that and of and receive put all RFI but of will back it in out we're prepared government as and responses, And the gets proposals. the They the be to know through schedule the we people on due out are not for there

Barry Sine

How also product the certification. And for FedRAMP on the is basis, context ITMS delays basis. you're seeing ITMS FedRAMP? certification. product-by-product X.X you is without that not a FedRAMP and That's applying with believe company-wide that for I mean I the we're And a won does on

but nice have have to to X.X. needed it's not So assume win -- to for the I

Jin Kang

Right.

the answer is that's is question. process. The that FedRAMP So going great certification the under product a is ITMS

pretty were questions on we've mail think list questions. said, of things. most the GSA of we for had the As an answered questions, all of answered all and I they And those superficial of but extensive them I

the system that to they did certification status. Security had meet not that But weren't FedRAMP say is met there what can we many around, that a time DHS operate. authorization is that we ATOs, requirements the None that authorized means of for requirement And that what specifically Department had cybersecurity Essentially, that make the last FedRAMP I vendors will all of competitors requires. the of tell is Homeland that the you because our the that.

additional so to be to And FedRAMP our time the need company the certification, to they up if same the around, do only probably open certification Even we because that get that this we be it's going thing. might has what section capability. will some But extra bidding that have in technical they us having get point competitors. us for do status authorized FedRAMP for that that will a so we points higher give is the

Barry Sine

Okay. SEWP then to to switching Got I not just S-E-W-P, And it. gears that's the clarify, contract want vehicle. soup?

Jin Kang

Correct.

Barry Sine

Okay. acronyms. These

enterprise-wide procurement. Solutions quite don't a call. why a for that's TSA, not government-wide is contract NASA for understand another I topic ahead for but and

us on Are also, SEWP some So if you the there deadline the believe give you award? to bidding VI? prime could I for then the be don't were And you is a that. previously. contract prime What specifics for

Jin Kang

Yes.

subcontractors as But Carahsoft partners We think contractors other like one SEWP we and we we differentiated VI. set, now to too. was there were other prime are product this prime I pursuing be contractor. that because a were We bidding a with on are where have

been the sixth and this iteration. years. process for VI many This SEWP for through so And NASA NASA, has now SEWP acquisition is going

to decided go can get only acquisition for it's successful themselves using agencies their is other the well, own So they've forego contract this they for doing And SEWP vehicle and have to after contract purchase. because a NASA, a been government for and time. services not cycle this products been because long very managed

it we'll waterfront There in that it entire contracts bit the are of work, contract and services. that and talk technology, we pursuing, products and future again, a our large on other goes more that also scope a SEWP information about but and has the is calls, products services little are -- covers fairly

very contract contract the why That's procurement it's So authority general vehicles. use to a billion. they for and to come increased anybody $XX delegated the

Barry Sine

What was it previously?

Jin Kang

previous was billion. believe I the one $XX like

Barry Sine

gears X. switching Okay. Navy to Spiral And

time task Navy You are had we win on How Spiral X? announced doing orders the some ago. with

Jin Kang

contracts. out, are initial a them the for and we're of of in and now, RFQs where small lot them coming renewal a Right are are lot stages

all services process of And so our out. and get and pricing, resellers, products, right our now, items of all getting nailed the we're our all up with in our relationship setting of them

when So specific out on them. set, be our differentiated will RFP comes the product we bidding for

Barry Sine

lot not then MobileAnchor, Spiral that's associated with But elaborate, which Could engine not for cell understanding be computer security you've it the -- is allows processing rather like way. announced you product there's MobileAnchor. essentially, a separate of Navy, the And for Okay. having I sounds intended would jargon the phone but that card. it X, my perfect card the a a it's called to than be guess the

Jin Kang

Right.

So that a under MobileAnchor asset was the product that offering be will differentiated we that is SEWP.

of Spiral or to under that. -- There's end We one like for will XX September that this something Spiral out September be thing listeners doesn't officially I'd offering it the that until point X year, X. every all the like here is today

orders roll with and hopefully, to the task in. And that we'll so actually service starting set. our specialized meet And are product some see

traditional how competitors. yes, bit is Jason more the a we're our to MobileAnchor, and that back MobileAnchor the And smartphones. form little tell our our from that -- factor the Getting to smart from going you can away about differentiated card

Jason Holloway

into is, smart using that with technical is derived some or been chip that what secure MobileAnchor, a typically, what mobile so all they've their mentioned, and And the without which allows transmission a authentication Jin over does called do you credential using is is to means have device it historically, have people As everybody But the it. called mobile stick they what's it on what's get a happening device communications that doing the to That's people credential management card been airways. Historically the of doing what sled mobile to that they're been on is itself. have from getting container. their too connected side device they that is credentials. your the that's has laptop

there's essentially, So happening. authenticating no that's real actually security or

so credential and So device game-changing. what makes WidePoint how new net is to digital out it do a the to that's itself, on figured generate how has what

able of we've And on taken that all the of sign are signed. then allows will been to person, the itself be so things you information we've right, and the mobile derive identity securely device all be So that and happening the very it of to the able and to put then cardholder, that vetting, that on data that device itself. then of e-mail the transmissions

in call, it's airways like over MDMs of has -- that There's understand I enough, big-time federal it's enough all So containers good the agencies very solutions, -- and clearly to the listeners that going our anymore. -- know a on -- those good interested been good we will game that this just be not the changer. one MDM are because said enough a lot using not it's think of it's agree I of they

So be we're happy to well in as the as very the position timing. that in we're

we'll tuned, and you. So good stay then have more for stuff

Barry Sine

questions. then filed. I'd at hot put for I'm It's Okay. a first, to it. on the looking to like Bob already already lastly, that of seat And Q, couple Bob And with compliment getting

lot analyzing you. life makes That a easier the company. for us thank So

receivable? will So we decline DSOs? -- The you terms Are ramp-ups. you are not Are is up? in in yet going are bills, the And those does balance DSOs first Or have question, up Bob, that you issued cash those bills? of come? issued mentioned having at government in that accounts receivables show the so calculated due what looking have still to

Robert George

the essentially customers and the where pre-agree the invoice, And they pay DSOs And and billing we with of bill ramp-ups, it the detail with course very in we ordinary in then explain we have we're approve these send them they business, existing customer. our quickly. gone we it, it, up.

on around With there's minutia discussion bills. the lots these customers, of new these

One officers. them different contract X of has

of happened. So democracy it's a process kind has

and week. then a improved But steady We state. the get by how now. of just hard been very do state. bills, into We've of a paid they're normal excruciating, quickly end or last once And year, the So been the I we that it's think maybe was a looked than these little very think bills we get to just been it's we'd be approve kind off an week paid. peeling a in they over less bill it one paid, we in the at

other sense counts funding the of different customers contracts in different causing line moved within -- agencies difficulties. are DHS. It's between ones same situation couple the a that A some and

and with it's out sort so And longer you to of And out. the promptly. pay once they it sort bill very some that

Barry Sine

sounds it like pieces. -- there's moving kind of X moving related So

First of up. all, accounts receivable balance is

are correct? unbilled Second, work have that overall on DSOs Is line taking the yet. like still And then there it is is not you sounds that that out longer. receivables third,

Robert George

line. Well, it's the on unbilled receivable

part, problems. accrued costs the almost So carrier an accrue which asset and most revenue, we we because do also invoices all causing the for are the are book these and

so have expenses increase and And billed an we in an accrued in and unbilled AR. the increase

Barry Sine

Okay.

unbilled accounts see $XX.X So receivable. million I in that

Robert George

Yes.

Barry Sine

got it. I Okay.

in you And to Okay. this, backlog always revenue? good a explanation. not not ask number, expect give to and That's I backlog did the turn that's but again? the me down the then how Q. backlog number remind long jot Could that me I And to

Robert George

million. $XXX is backlog The number

of backlog ending recompete a life X that said off, that maybe we -- when the kind call. the terms backlog And over years. think I in the on that I in next is of because CWMS an of X of or years But is average XX. the lot it say peels of the

Jin Kang

Homeland on before just beyond Department can a I'm of order on task that want official front, date. And Barry, October that issue that task make the orders in issue In issue of cannot until sure other is out go end, Security Yes. they contract words, can XXXX. to I that this, but task the to orders they November clear

Barry Sine

the would out, the stop if working. mean, DHS's to thing run phones hypothetically I whole were But

they last So to if X.X. they time. extended let And to a did haven't way they're find that get going

Jin Kang

have to They do plenty yes. that. avenues of Yes,

about So get not they concerned losing contract. not we're -- us is cost that any holding pretty confident in extend I'm And bag And we're place too they them will the reimbursed. coverage that will or contract for not the in time. the

Barry Sine

Okay.

note. right. optimistic on All man. end an You're that questions Will my

Operator

question-and-answer session. our concludes this time, this At

question taken, please was wyy@gateway-grp.com. IR contact not If WidePoint's team your at

his now Kang I'd the closing turn Jin remarks. call to to back like for Mr. over

Jin Kang

you, Great. operator. Thank

taking appreciate today. the join time to We us everyone

operator our the questions did address there please that we As if IR contact today, mentioned, any were team. not

their the of today's information find release. earnings contact bottom full can at You

evening. a have and again, you Thank great

Operator

us WidePoint's you for today Thank joining Second Quarter Call. XXXX for Conference

may now disconnect. You

WidePoint (WYY) 14 Aug 242024 Q2 Earnings call transcript