CETX - Earnings call transcript Q3 2022

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Operator

Greetings and welcome to the Cemtrex Third Quarter 2022 Financial Results Conference Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation.

As a reminder, this conference is being recorded.

Before we begin the formal presentation, I would like to remind everyone that statements made on the call and webcast may include predictions, estimates or other information that might be considered forward-looking.

differ represent are judgment uncertainties subject cause results statements future what that forward-looking actual we holds, to to these our on current the could While materially. risks and

place Throughout not information You are which our today's revise obligating in these this ourselves to only opinions we mind forward-looking reliance in or revision of future present publicly the of any date Please new forward-looking to reflect events. the undue that as may to relating presentation. cautioned of results attempt statements, affect on released factors our that to to discussion, not keep we or business light will statements important predictions. of some our are

form and a these of wires X:XX A cross should website Time, discussion on this risks, complete other press section XX-Q results at company's for the investor heading our also release XX-K You review Risk factors more the centrex.com. relations afternoon our under most and in particularly the recent these Factors. is available Eastern detailing and PM form

Govil, time, Executive the over Your quarter Saagar Govil. Saagar for to June Chief ahead. third Chief At results of Chief will turn today, Officer, operations the Wyckoff, and ended XXXX. Executive Officer, XX, Financial I host will Officer this Paul present Centrex's call Please go

Saagar Govil

call. to to today's you I'm third welcome operator, financial you, pleased afternoon, XXXX results good Thank conference everyone. and quarter

services increased for demand in as services market advanced our industrial highlighted as quarter technologies third our the quarter increased products with year-over-year improvement in due improving by was pricing. straight our to segment, well The and of continued along quarterly third and revenues, and

behind from the video environment. were and solution. the capture a a system maximize accomplished dynamic centralized $X welcome advanced security highly elevated this efforts Vicon implementation video in is surveillance of today's businesses, innovation will at We significant growth we and role, strategy toward years demand management will trend. believe continue term the focus In and to teams validating recurring for our and can surveillance portfolio industry Haim video our leader We businesses, three oversee winning of expanding as in President for safeguard major seeing security towards near and Valerus. security experience recurring and to Vicon and enabled analytic to new technologies, including customers, platforms line rapidly Vicon dynamic to global to its leader its Vicon $XX roughnecks shareholder for value shifting next his core the significant control further drive product the over million million on revenue is SaaS in hospitals from reaffirming Vicon continues shifting years. shift AI demand progress Vice award move industry. to will this leadership technology access upward access AIS. Haim several quarter, surveillance to Under management solutions its Vicon's Product in control the Vicon, cameras During make strategic and leveraging growing revenues cloud and product Recently, five video technology Management based its world. to Vicon municipalities, opportunities next and and Vax Senior in Shain, the the we cities to an across Cloud believe as AI a schools, delighted technologies refocusing

untapped believe this manufacturing comparing the inventory services contractor single we our balance potential rise increasing to source We an have in strong industrial demand services predictive also AIF demand offer company ability of equipment. due of comprehensive the more enormous for has industrial for by increasing to the sheet recently maintenance market. services equipment, in driven the seen With and complexity the

Our known flow cash a with industrial repeat higher source to business well continues and of strong reputation. services a segment be

to expect continues strategic management see the our services, more to one manufacturing continue a our the this non-core contracting of we segment units. the economy by industrial financial in company's of as growth After to industrial of in board the review predictive We and in driven directors, business evaluate sale by of units range thrive. a including continued and maintenance an thorough and operational demand business or and alternatives for of increase U.S.

second XX% a margins goal we the for fiscal costs During by wherever third XXXX. increasing to to quarter, possible. XX% year XXXX improve and addressed These overhead from the rising to return positive in reducing to prices gross the quarter in help with steps quarter, EBITDA

in sequentially we increased down call came quarter loss Paul Paul? over operating cash sales second $XX the to financial. million will quarter of our remain CFO to at I position due comfortable discuss interim Our to with now the end. turn Wyckoff, and

Paul Wyckoff

due the increases June the products revenues profit $X.X respectively, was revenues months to months the the gross response of XX, XXXX increased implemented XXXX compared of income segments in of June three a compared XX% compared XXXX first million primarily quarter XXXX. The the months to the XX, cash XXXX, $XX.X the to rising Increases at an for the increased period prior year. Operating XX, increase of for compared and the XXXX both prior $XX and in XX, net of same the three million ended and three costs. by operating loss the $X.X for Cash and revenues $XX.X due as was million continued million in year as were to $X.X as in XX, of quarter last September demand for were million of $X.X million to $XX.X increased to million XX, XX%. the XXXX for equivalents nine activities and operating Gross closing June back throughout service to Gross segment compared profits now in million cash period the months XX% costs cost company $XX.X for or or revenues services. of same an to to respectively, XXXX June quarter million of to for was XX, million you Total XX, and Revenue due ended an Net Saagar ended million loss increase $X.X million XXXX and thoughts. $X.X call of quarter. for Net totaled transportation industrial the using $X.X the goods at expenses third $X.X and million Saagar? was compared to XX%. XX% operations quarter revenues used million $X and segment million ended advanced primarily XXXX technology to for I months expenses. XXXX. as increase XX, $XX.X Revenue profit June June June Thank turn XXXX. for ended ended increased by for for Saagar. million. months ended will XXXX XX% nine the to $XX.X year nine the for price June

Saagar Govil

value Thank Paul. you In to our term well-positioned are create for summary, shareholders. we long

on positioning from to the quarter strength, company growth. During a efforts refocusing continue of we core and our position operate businesses the for third

early launch and on analytics software improvements as R&D focused sales remain Valerus which Vicon drive ahead, next proprietary marketing advancing growth solution fiscal our program, major our well investments Looking a we track and top partnerships. AI disciplined platform expected is as with ongoing its based to in year, to we technology line on further core growth.

We technology forward. to that moves industry consumers are building and market committed leading and is impactful

move I attending. in answer all fiscal And to profitability are look updates focused term. the we'd strategy highly like that in our question. in in with you forward shift ongoing 'XX providing now us return to on for enable to near We shareholders believe I Operator? our thank to your direction. and further will

Operator

Thank you.

Please We ahead. a question answer the session. first will private Steven now question from our begin investor, [indiscernible]. [Operator And Instructions] and go is

Unidentified Analyst

Yes, you since can on just you've promising light the you VR comment of Saagar, the game your efforts been your XXXX? refocusing, of could and Smartdesk future in

Saagar Govil

Sure.

if efforts of see we amount long want resources. company strategic we most where we term time. makes So can nearest opportunity has that sense those on drive in it to the value our as its the focus recognize finite And reevaluated shareholders, have the ultimately, we to priority, for

other And company the in have efforts our discussions on focus board to management, within and the decided AIS. we so with of Vicon and businesses core

other other sense company where cash value front that the operations to business look company smaller priorities units. really focusing requirements And other its of drive of can strategic are within be the different going like alternatives as more forward. to units Ultimately, for have so going forward. the amount startups business that's I to the going and it us, efforts more we of These is probably company is we options some of evaluate for So the be some for that going think, the those most in we can think find and that tremendous. makes strategic

Unidentified Analyst

So that game for launch as for that nothing date the and or VR your specific of now? shelf

Saagar Govil

reduced project. effort the operating with closer associated we've to get profitability, some of an In to that expenses

I that to company is we've is to So ways say investment exploring reap would what that that some for the date. of made of benefit the its shareholders

units in where And the in most so on refocus to we get those may to but our some in business. the to positive other take where ultimately, bit it areas cash upside expected, a longer business flow than effort of reduced little closer an core spend see we've

Unidentified Analyst

you. thank Okay,

Operator

you. Instructions] over closing like Govil remarks. the our Thank Ladies session. and [Operator for conference I answer would to to this Mr. concludes turn and question back any gentlemen,

Saagar Govil

our any and you, call update assist. questions would today our to like would IR ongoing answer our firm joining look on I We Please and of unable group operator. were the growth. continuing you, thank to be than Thank conference Thank happy to each you progress and your more earnings to you today. of for everyone. I to out to reach forward

Operator

And thank now attending today's presentation. concluded. has conference for you, Thank you The sir.

You disconnect. may now

Cemtrex (CETX) 15 Aug 222022 Q3 Earnings call transcript