NXTD - Earnings call transcript Q2 2018

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Good day, ladies and gentlemen and welcome to the NXT-ID IR Update Webcast Conference Call. [Operations Instructions] I would now like to turn the conference over to Gino Pereira, Chief Executive Officer.

You may begin.

Gino Pereira

Thank you very much. Good afternoon, everyone. and our results to and on for ended XX joining financial NXT-ID's six the for to June operational going business. and the XXXX progress you of call general discuss today unaudited months give our Thank a are update we three months

future required be forecasts, morning's regarding a will results and undertake to no which existing applicable that performance including to actual forward statements in consist such projections, confirmed forward-looking of and any such law, update So from during our duty note discussed and on that statements making be reference reliance any place statements statements. this as including statements beliefs, number by our not expectations, goals, SEC cause our and call we'll underlying recognize you by Please differ factors undue Please should identified assumptions statements that to cannot factors we the the filings. forward-looking materially of except information statements. are there that

Head Washington, division. today Revenue with President is Chief our of Miceli, Officer Michael call and Chief Officer; the and FitPay; Stanley So Vin Financial Orlando, and and Healthcare today Officer our on of me our Operating Chief

of I'll payments review on then our progress with respectively. update financial turn Mike So begin and for Vin a healthcare and an a call results our to the to date the summary of for call stand and over then

calls We from analysts. take will the then a few

in approximately significantly our in the and quarters but of period gross So XXXX. the largely quarter similar same. first our were XXXX, profit to second XXXX Revenues for quarter fairly first same compared was results down the those the of were to second for the

which we exhibited QX profitability of the XXXX quarter about XXXX a XXXX, for so to were quarter QX XX% of up in three substantially over we the Revenues sales have QX on were quarters. turn of up the on in was of growth revenues X% So increased. about sold that products consistent last

in XXXX same And we in and interest compared flow. significantly FitPay QX for with help the a an cash earlier that's and investment previous line for the the merger higher significant future a were the saved year QX term the to of for that conversion expenses so costs most customers the and was future. previously Our this increase loan revolving we but company's notably on of as amount of really products, to expense the R&D largely year because credit announced with of period us should

side payment technology On the is Pay that's pretty the from Garmin two of this these carry and is payment Flip XX make continue we progress in and substantially the business to previous watches from conversion our now and grown up watches Garmin watches crypto the in featured quarters, smart FitPay products.

Our now development through certification. the certification done we're third-party and and networks work other going is with

which expanded penetration about within now looking and LogicMark's wider primary In the ago XXXX. is revenues we bringing two for QX have products since expect acquired as VA. are QX, LogicMark had we base to QX in payment customer increase very the platform our about grown to the early XX% to to at and company to strongly. expect also we years continues through perform late or a as healthcare, we XXXX late our QX a LogicMark Cumulatively launch So distribution product customer launch new well early

security of area product safety We as are as monitoring. also the initiatives in and telehealth individuals well new for launching

technology for of we growth Our combination existing through XXXX our our product increased track new new with in and the that of future. company to forward product new we development a contribute - is believe for pipeline I feel introducing will building to products substantially really with number a on marketing number are strong continue products introductions and a

progress in of a call So I summary we've over Chief that really Officer. Miceli, detail, made level turn our the Financial to last now high Vin will that's the the for quarter more and

Vincent Miceli

Good million some XXXX. I'd if everyone. months both over the like comparable the were respectively favorable and approximately XXXX and the key for Revenues $X.X million was Thank XX, of company's well $XX.X on basis where for both $XX.X that both periods. in of in in months shipment both as LogicMark QX. three in you, by cards a both approximately XXXX the the gross FitPay ended statement The the The profit to both alluded to compared afternoon the of the as Gino quarter gross Gino. and XXXX earlier XXXX. key our the actually The the compared periods of quarter to six $X.X at the $XXX,XXX in months a first three over to was June six sales months balance and On the million the revenues sheet XX decrease million. versus in as June XX. smart XXXX strong ended income primarily for attributable WorldVentures go and and gross on for will three revenues you primarily six sales company three margin XXXX second earned items, as to XX% highlight XX% revenues margin to - period reduction sequential increased the and the and well is in attributable margin the company's period in XXXX six in compared June to to

weeks QX for second of FitPay XXXX the XXX,XXX expenses increase partial the expenses five of in in to R&D the have XXXX. of about actually as the for second of whereas result just it Our was a quarter was layering primarily attributable second as them on second for in on full came primarily of XXXX the a were higher we quarter million week million quarter as $X.X a And operating compared - XXXX. $X to this at which - up about expenses XXXX

For much the the pretty XXXX six same months reasoning.

lower and revolver $X.X refinanced for debt they loan of was to The were six as opposed expenses three much in three full three XXXX. months for in both operating months and the on pretty ago. were $X.X million to One, months QX to June six again layering six both the of the ended decrease just the year XX expense attributable the as to, Interest five of FitPay Our million million the and the approximately compared at the facility. $X.X $X.X 'XX about we factors. million for $XXX,XXX months term six alluded expenses to in primarily to Gino a XXXX. a And it's by compared came weeks higher,

there was savings some QX. So interest in

debt exchange had cost to months XXXX notes deferred the versus lower we had we the of addition, conversion amortization back and that we in XXXX of from six compared discount issue June The and XXXX. in $X.X note the periods. also In $X.X three $X million for and million ended XXXX for and comparable the net $X.X the six loss million months approximately to XX million was lower

June in about the net XX, the charges. million non-cash months company's XXXX During loss $X.X included six ended

the sheet, end Moving capital. from had Cash $X.X We of the some captions. just million approximately over our of $X.X up balance at cash ended of million. with favorable to June, we major working

the savings, the rate June some about very interest rate on from lastly debt. at And prospectively from equity was million have we We discussed refinanced As revolved $XX.X interest the - we nice the savings reduction. already XX. should

So discussion. more with I'll turn to back over that it Gino for

Gino Pereira

Vin. Thanks,

to us Michael will I now to move FitPay. up at on going bring Orlando think date to what's been we on

Michael Orlando

Thanks, Gino. Good afternoon, everyone.

what of business. been highlights So taking terms the Gino provided QX some in place during it's in payments

and market. devices Garmin has foremost the of number First that been it's in launched the new

grew devices to it product XX a As Gino for number really crosses different categories and across mentioned, of two we Garmin. from

is with end vívoactive So mass way touching functionality Pay are anything market, watches we launched touching that released from we're X, one FitPay, the line with early today they timeframe. aviation their just fitness here June all July which we from powered by at the the Garmin of the into that everything

in devices an seeing what anyone activations. benefiting that all we're an new to year-over-year in Garmin so curious and devices have certain Pay result from have those on to increase gain and and those as begin increase share If Garmin's growth market watch new quarter-over-quarter is, So as us XX% is smart rate for they seen a there. we're active the extent sales in feature

footprint In Garmin addition grow Pay to for on we continue platform. our FitPay the

of in today XX are about X banks that's over countries days last over XX so. increase XX an and the countries banks XXX We or and and different

where that and our is momentum business side except quarter. a that other we development be do virtually on to crypto needed we've something and time to R&D are So as and When a of to for other putting and penetration we on geographies Flip - products the create have works look in we look I at we on, to will continent we products. later coming every USD to continents America been spent partnerships you lot that continues Latin and also today activity together that working currency on relationships development that and think the both and of this build will certainly conversion

develop sleek create new hardware with it's with the had the of their partners, into was through completed and an work sponsor wallet then process coin that We of the banking had software network pretty the And exchange all developed very application relationship clean go and And intensive. to so brand USD to integration new We development all and platform, a required. to build on conversion partners that a to experience. development we've user the to experience. getting

and hardware that's is coin done, currently device work So certification first that is out there Flip process. all the the which the will be coins, the in of device inclusive

work globally is the also to of we and the target. insurance addition interoperability first And solution have beginning tokenization weeks by new continuing I process revenue for go have a Gino, expect to and four we And announce to develop platform be back and be then done think. units to in to that through to the and QX I will turn next looking and it the of device shipping be use the certification models ensure XXXX. this and intensive terminals offerings out network. to our then will process some of the with with of partners of business and then across to that, end in five we pretty with We all our that Stan, towards our cases part coming end that And on year we're will

Gino Pereira

Yes. Stan?

Stanley Washington

Gino. and Mike you, Thank

enjoy to the over drive to area continues XX% the is very as the off and profit are our start with margin at our by continues within continued to through been been LogicMark a well. revenue again to performing strongest front, company AA this of a The over majority that LogicMark the to and and operations well. and our product the we shift VA date and on our year. building flat continuing to On scale opportunity year perform strong at of XXXX last maintain Gross much has we've to able is VA headcount to primarily demand. in increase our primarily demand pretty mix we've due is our

LogicMark - has For about $X.X the performing business XXXX at year-to-date. million revenue been of

at X,XXX at in has gross so units particular very again roughly very, XX.X%, and XX% margin sold through are We well our been the over performing market. is this business QX -

by the this maintain within the has new also us overall, and our effort the continue effort position this supplier VA, opportunities really - to have a our strong force sales has to enjoy. of continue offering. product that to primary process allowed we expand the we identify a marketplace, to the within deliver VA and grassroots position been products a a position to which no would to developing in strong very as we no new currently which contract roadmap the strong utilize R&D strengthen very fee, our in We're We

the we As specifically continue four looking we're has LogicMark of government really which forward, that is primary focus servicing VA. to our look to where sector really drive we're areas on both

penetration hospitality to is really a alert are in a marketplace emerging in bit is with industry to group momentum hard of We and the estate of real safety there other key as in categories. DoD other other there. quite well, are amount that continuing gain buttons interesting robust This some From This industry starting of the rest business and business that - drive grow an and includes still moving verticals our lends continue VA which significant market opportunities to with new available emerging and This security, a revenue utility very the categories. panic new within commercial and we're to of current really and really and itself to the acquire a our devices revenue medical are into give business. within types good share. opportunity standpoint to us and the

We believe towards we again no finally business. position having no disruptive an standpoint on as large now connectivity subscription working specifically discussed advantage well. strong being XXXX LogicMark. We really we new in to anticipate and that's a having and retail, a LogicMark a real and are our great of telemedicine. the also looking products in and be and monthly for We time growth we've within contract, think at Home new opportunity with think opportunity solutions it dominant industry, then to move strong percentage this have is for this for solutions us we marketplace fee monitored alliances a a a we data a right previously, that overall Gino, gives having launch to in alternative gives and a And partnerships to into fee. telehealth healthcare as the monthly pay as are, consumers from really

Gino Pereira

Okay, thank you.

as and see are but for progress on is which period not we're the months sides entirely believe numbers forward strong very we about three heard, we So of we've that. the going made excited platform in we amount for actual strongly tremendous that both a growth of reflected that building a we've

from So take some think point I please. this we can at calls analysts

Operator

Thank you. Instructions] Alliance first Our Global of Brian from question comes Partners. [Operator Kinstlinger

now is line Your open.

Brian Kinstlinger

because I there blip a but did Thanks. for appreciate second. there a was LogicMark, Hi, I the good miss on information evening. all

I you guys rate the mentioned revenue LogicMark. think of run

XX%, but I up gave was it the missed think gross you I the margins, revenue.

could you that? repeat just If

Vincent Miceli

XXXX XX. Yes, run in it's is versus - rate currently a growth the reflecting XX%

Brian Kinstlinger

you Right. But mistaken gave a I revenue actually misunderstood? number, and think I am I

Gino Pereira

a Stan today. revenue think number Stanley. I mentioned

Stanley Washington

up at over year is X million. Yeah. to Overall, LogicMark date revenue about

Brian Kinstlinger

helpful. Great. million. X That's Over

Okay.

what's for last Is So has Can you can growth? payments talk terms division, quarters it's the it LogicMark? you two building I'm how driving curious, about recovery great If been in both, occurred? weighting of about talk back up. the business a the the it is that it's

Gino Pereira

I question. will so Yes, that take

fairly both so we initiatives platform where customer that building division one that us demand is we change had But we're quickly. down in blip - the that anything payments to basically off So have. and didn't from or the derail dropped basic really the

that continue with guns have. really have, develop we have the to stuck vision we to kind So just that our and just technologies the we

that the So payments than on healthcare it's more front, drives strong the that highly a unit a within profitable it's of division, it's more mature profitable. the division definitely - and lot so

devices think And so is to and growth to world expanding was very the and are that we're bring the connected that and exactly we we're was fairly on outside. in in within successful going traditional IoT We personal traditional beginning acquired business intention looking our - do segment XXst products century with well are at currently ways that. as business And the we working to response we monetary the there this it of how that. distribution as when of from lot take do into a expand new LogicMark

And slower potential get we large with hopeful we a launched think as markets we are as slow us We these like builds form number Garmin that in should - side, penetration - a well see a it we roll to obviously roll definitely technology and it's would great in. very before. expand strides we in take the out, a leading very alliances then need Flip business and tremendous that So products we but fintech contracts revenue. further are help be position those to in We've terms a as our products when made this has growth have that are a that time more the in with launches and is in of It's one of to as works. said on

until activations the definitely of digital more other platform that's of its devices a platform and like are have as closed of then that revenue, more and penetration Samsung, to like of can't Fitbit Apple products payment we question we more generates companies position build. said and like technology is product. that gives itself really these platform. - payments their and other supplier - like us itself of terms more which in of that because great than Google, to large IoT part its are or FitPay the then we time. But just manufactures With independent people slow other Garmin, other only launches but it's actually is having of would watches announce manufactures Some And access partner roll in get

we this. confident solid large as of slow the go to complicated of It's a so they But and long successful arrangements. that we're are bring roll a we term these say kind are on let's for And for that, very customers it's business. bit

focused how the So really that's developing we're we business. what are on

Brian Kinstlinger

And I seems you've I also months bottom the that. the a six quarterly is, over from grown It to to as that That's the only sequential right, just is in me that's accurate? is understand want that growth is great whole, XX% or look. on quarter forward basis. What appreciate not to if growth, half a LogicMark whereas about contributing business the going the last fourth is the payments half about contribute a XX% growing

Gino Pereira

an second seen more coming just more Mike see the it's a there we customers. with on Garmin payments increased was from basis Well, weekly contribution will new had right, we almost of business, we've activations definitely this. activation growth the of quarter in terms as on mentioned,

Brian Kinstlinger

Right.

was actually. my question next that So

Gino Pereira

Yes.

So we expect continue. that to

Brian Kinstlinger

they what said was is machinations your over have rates watches either they XX% Garmin and have from year in active know growth numbers impact, you what think to is they Can the their by or be of your I have activation Chris in I year actually but quantify on mean, given I revenue activated.

by are contribution the been and cleared activation to maybe has provide that. in what So are able a all rates you if you quarter

Gino Pereira

do the few quarters? Mike, speak grow activation how you last to seen bit little to rates you've over the a want

Michael Orlando

Yeah.

doesn't release product Garmin So specific information.

If for really in that general the entered think grow, been market. about the you seen the I around talk rates activity we've growth have categories as devices it's us in the

and from banks mid-June open and I late during the and that then And market number period second mentioned Chase when first happened. that the XX XX% continued two Germany we is PayCentre going to of to in as we increase ten over to up XX% X a and So those in grow our half saw particularly quarter, about when that's in and to day time. about added so activations in

So a and up continue to on click basis. weekly

So activity we that's really people that just do to starting it customers, growth by enabling for watches, see terms banks new the we're of that our point with it's inflection both the of the activation then global kind it's and when rates. what and encouraged more so in buy happens of

Brian Kinstlinger

at then, we second should contribution of the the Well, of also and seeing holiday June we year? increase in Garmin the in banks have - significant those that December, in see should seeing we a a end season from were that a expect half

Gino Pereira

launched holiday previous for then continues Token, expects we in and devices got devices to we've combination it spoken of also another we two part the one more calls time that again, will season. one other be - expect to to prior will sell of we've holiday. for and that before there I in a first to have footprint. think happen fashion shipments grow will then be on holiday branded of couple continue Garmin a the all our to that QX, about launch to

Brian Kinstlinger

two those new from? are who devices So

Gino Pereira

haven't haven't yet. announced we We names the launched,

QX. part hit market products the the first those when will in We of

Brian Kinstlinger

But OEMs. they are Tier X

Gino Pereira

X Tier They watches. are fashion

Brian Kinstlinger

you. Got

is Okay. sales that card maybe or an can think going on additional it's this we to WorldVentures. you And all update be Do do when sales or closed? then that you at provide expect Flye relationship year forward

Gino Pereira

the they with product next membership channel closely move We're inventory see is, solutions and we what inventory trying in terms through working continue to for on it flat that and will where turn of to be think then I could WorldVenture be down. them. to

there. the this still So is relationship

We dialog get continue do are I things together in to develop help there into the be said, able products we their to them base out around the that the to future. continue then, as might membership and other

Brian Kinstlinger

of for amount modest So revenue them?

Gino Pereira

Yes.

Brian Kinstlinger

make understood. did capital understand And I after sheet, we I said close can't quarter million $X.X per favorable minus in - balance that sure With there million I then was cash burn working finally, $X.X to just you've want I million remember, $X.X $X.XX or maybe is the month? got million adjustment,

Gino Pereira

of statement at was, Vin on that that think from on the the statement was sheet I positive just And June. the working end balance a capital

Brian Kinstlinger

the or by So after million wasn't quarter the anything benefitted $X.X that? any collections like

Gino Pereira

collection. I Correct. Well, course mean, it's of business

Brian Kinstlinger

Right.

you. thank Okay,

Operator

Thanks you.

comes Group. question next Kris Our Tuttle of from Technology SoundView

Your open. line is

Kris Tuttle

have I Okay, thank organize and try start I just few you. to will me let them. payments. a with

- on Flip about some us have the what comment do what sort you actually you in can that or a on shipping kind delivering basis? say of time talked then for preorders product let's and capacity So terms you monthly give you likely quarterly were Can of the Flip frame. its feel for of for

Gino Pereira

Yes.

mode we other ability building social got get I the to closer has of for and been So resources for on of advertising outlets piece media online ton our have been preorders and steady the us preorder relatively then although we've been we've as lot think to spent about four advertise. a well months. limited in shipments It's

ways and product new trying getting at of looking we're there. the out So

terms that category mentioned signed in we the in we to new As strong customer, with us boost a terms artist that that capacity, for a have continue the be us. feel keep issue capacity partners to and we bias to those help will distribution and musical quarter crypto earlier of agreement nice And so very a of in for other we've a look currency towards us in of will gave preorders don't distribution release actually reach any going. a

manufacture that the don't the chip the hardware we has tier a it's provider, of and so side there with chips - Our see of issues are at antennas top them capacity supplier on all. the physical

we've be quantity. preorders the to us In minimum order year. what up through end produce partner the then set has do to orders manufacturing the to what of need already would expect And in we we fact ODM to to of commitments terms the fulfill

think the So terms with we're through in we of fulfilling that the demand stacked I expect XXXX product. Flip

Kris Tuttle

And order on cycle and is when sale? it what's available you the a time when product actually for

Michael Orlando

Yes.

once will So we that there's or no straight we delay go - be anything, shipments regain would to fulfillment.

Our order to is two delivery so ODM time from weeks, our timeframe. about short pretty

Kris Tuttle

And service when start or customers to recognized confirm, one? bitcoin coin will you actually that day receive providers one on Okay. base link be shipping at like those it to like something a you of who the have just products, able least

Michael Orlando

Yes, only bitcoin accepting to they'll It the account and they will be their exchange their is provider do bitcoin wallet their link our whoever link will any wallet, for be current launch. to able USD. provider crypto be bitcoin won't at their to other bitcoin. be able through to from so wallet We that currencies

Kris Tuttle

Okay. And the made a points side. on Pay from could question an just on one if of of a how I progress was has differentiated couple other pay bit FitPay Pay give ODM. us Google is bullet little I noticed you payment wondering for Google and

Michael Orlando

sure. Yes,

OEMs the our proposition the agnostic. we platform think I the to system manufacturers of value are and devices that is So operating and

having device. or smart of of other in context the So operating as Wear part your Google watch in Android the only system works your Play

who around of likes own for proprietary built entire the their And them. that products have Garmin portfolio system for operating their work wouldn't so of

horsepower are capabilities all Pay watch smart add watch looking that are our add not that for card that lot solution they a and not would of Pay we to as fashion element. level of only device different And where Google third their requires to host Google level the build operate advantage them. different that, those part for the that the more encryption platform of in Secondly, the of payments have mode secure that operates operates emulation and capabilities need a with a certification, a new what's called then inside of be to is a and part

and hardware enclave a draw require it's emulation capabilities a host card Google So would power require. system different same memory that Pay payment the or doesn't

and Android we And device system striking to focus think to very manufacturers their puts because they're the so going cost development times advantage Wear and own versus using a model. look and from when have those Pay encryption secure on side reduce perspectives talking also then we a and to Google to off we're to by want operating software that a their element

Kris Tuttle

that the right, mean because - say it's secure I secure? to is it fair more Is element, in hardware, it's it's

Michael Orlando

have That's is debatable. of secure, creating equally believe versus they others that been the tend There's either an think certified that and more our in is enclave secure so the all element software it's market on so that and our a lot in way different on model by opinions encryption to secure. there networks, some folks

can't opinion myself. formulate that I on an So

Kris Tuttle

Okay, all right. Thanks, Chris.

year the VA in additional Moving half? for I in it working VA channels to know, is the X% XX% on revenue the in months a LogicMark XX%, growth LogicMark what a in outside six XX% about curious should and was products the - line? the should in on and How LogicMark it I to of outside product for to think Is channels should been know some a about we we to the think of non-VA you've and retail how LogicMark year?

Michael Orlando

question, That's a Kris. good

That growth when starting think perhaps let states you're as deeply so is lot of being. the legislation we around more all being significantly well and we security have by within we're use category as the VA penetrated me momentum think within mandating particular, we that that the see buttons opportunities, to outside panic more not the cities specifically in happening panic of and - Let as the growth the the opportunities to first a today run a providers. safety for with me capable buttons answer say think we there there's VA hospitality we're said, to room to

continue to to as well. going I other see think that categories are you in

So we these channels amount areas, we is get through these us there for significant think in growth into as XXXX. of that

plus think that's a attack still think I number how firm going those of in XX% rather be it I I'd we're we're on [indiscernible] because now reluctant terms to put question. to our markets. out strategic plan building

partners earlier in But I we products really us products are indicated products think particular benefits are able moving that are as to core best the think which who with and core distribution down be features most push based think enterprise unique have serve we're right but capability made. on bets think channel Gino help - now out are discussions to that certainly we going narrowing that are where our be and the we or now to into will we We very I market. have particular developing and capability that aggressively

Kris Tuttle

things opportunity, and some now. closely of market amount terms of mean, I Okay. pretty the activity I follow mean in you there there that space health out right we staggering opportunity and the talked digital about of is

at you in actively In these to some you of potentially resources, some get guys small terms at looking - you acquisitions are help are areas? looking can sooner of market

Gino Pereira

for Having we've to looking to very acquisitions. doing amount we've product to will suite particular lead - lookout done not acquisitions testing work potential initial to that can time don't ourselves months and strategy a growth not have fair stage line We're developing telehealth to So require market. coming sector the We're doing of products. said in contribute we acquisitions, the acquisitions in along. it's growth. get - development would monitoring on that that be products really partners of our bottom base of early terms we a certainly quicker identified in at in is these some we a of the that talking that with far start and And and rollout also about more this done on

selling benefit So out larger how group actually will - definitely will not It one a really it's necessarily partnership it implemented, of gets going one. these pushing that terms will be acquisition us product with but things it not from it's much be the a out, be based, not by products. in

Kris Tuttle

eager the exciting see. kind to products am market. be That to I exciting. That progress will have sounds these on of very

on a just think my here sheet. the question I housekeeping couple balance of last things

believe good AR. good chunk it some - like was collected older you I making I you're mean, but it AR from looks guys So look flat aged on quarter-over-year, a progress like

think them? I improvement quarter-to-quarter. dropped AR that of a considerably Is from in kind sustainable WorldVentures

Gino Pereira

I think expect the and AR next situation continues we continue to quarters. few improve in it the

Kris Tuttle

long can us an like the of mid-August? sort give stand cash seems update ago Okay, now, you in And June XX year that's balance this where just excellent. a time does

Vincent Miceli

It's flat, pretty Kris.

in right been have X.X, X.X range. We that

Kris Tuttle

a have - to revolver if exactly little working know capital with standpoint? the you you X.X, you it just about, a room some on guys Okay. up little I have a the you from that's you and if you're need? but room to if that operating give do just on Do Vin, don't talking flexibility, what down take as

Vincent Miceli

Facility loan are facility we with a with in revolver been term ExWorks will had the you place out, and if So that only now. has we refinanced

Kris Tuttle

when you - so expect for Okay, make? you payments it's that fixed,

Vincent Miceli

Except or. Exactly. pay future any for downs

Kris Tuttle

excellent. revenue guess. of rate I products. really on we're I get but to know, is all it's on it. have on progress to and these, kind of the say, job, great the interest see reduction have. huge I Okay, going some Well, the know course forthcoming all I it's I that's don't I the great

So to again we soon. you talk will

Vincent Miceli

much, Kris. so Thanks

Operator

question our Michael And Diana you. from Thank Maxim of next Group. comes

Your open. line is now

Michael Diana

of other XXXX, Well, the is the you. you new in products timing - my that most talked imagine, I thank related though was you of products the to some you right? of expect some Okay, of as contribution you about, about sort questions It's questions products. interested asked. in might most new of

Michael Orlando

also these get products start focused product some we're - launches, new XXXX, correct aiming [indiscernible] but XXXX. the of to revenues to yes, from some them expect late really I that's to on going there's we I XXXX they're mean, - as when target in - it's in late so we're for some contribution potentially product but exactly us for to predict think, definitely difficult

Michael Diana

great. Okay,

I Let the you missed second quarter. of signed of bank specific more German more me just ask the one of the name up question. end sort that the at

Gino Pereira

It's PayCentre.

Michael Diana

your watches. that's some And of smart activations what sort okay. in PayCentre, Germany triggered of

Michael Orlando

is in and of wallet the couple in retailers Germany. to Yeah, platforms. so us weeks, in has debit prepaid card Android last card portfolio to and large launch we're across the a PayCentre pay Pay Germany. the launch first were we issued followed but first one fuel

as model So Germany really then distribution a well-developed large they in a are we've from quite an is general uptick contactless group and in well. seen those market in that and activations

Michael Diana

am I Yeah, sure.

you much. Thank great. very Okay,

Operator

a Global follow-up Instructions] [Operator do We from Kinstlingerof have question Alliance you. Partners. Brian Thank

is line open. now Your

Brian Kinstlinger

Great, thanks.

and the could you mentioned What I I was type and now? it, right you fast say FitPay mistaken think I did of couldn't expense enough. be

Gino Pereira

spend expenses future expenses We didn't also We for out prior attributable the most in which to of mentioned the primarily call future product FitPay customers. increase specifically year are expenses and FitPay. R&D over the of that was development just

and So it, little a you a idea. of you back you it'll can probably to might - be do able bit into pretty give do math good

Brian Kinstlinger

Thank you. thought I it. I Okay, missed

Operator

And the like turn to session. over would call remarks. you. Gina any Thank Pereira question-and-answer this does back closing now I conclude our for to

Gino Pereira

very you much. Thank

as So made we hard going we've some another work we've to in fronts. you forward Thank see continue the We're else to forward much. on quarter. at everybody good business hard to can a move push speaking and progress to think and been very number look of to pretty you

Operator

thank This and you ladies program. in concludes Well, today's today's gentlemen, for conference. participating

great a disconnect. all may You have day. Everyone,

LogicMark (LGMK) 15 Aug 182018 Q2 Earnings call transcript