AUVI - Earnings call transcript Q2 2021

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Operator

Good day, ladies and gentlemen, my name is Kat and I will be your conference facilitator today. At this time, I would like to welcome everyone to the Q2 2021 Applied UV Financial Results Conference Call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation.

As a reminder, this conference is being recorded. pleasure your my Mr. now is to host introduce It for Kevin Relations UV. McGrath, Investor Applied may begin. you you, Thank

Kevin McGrath

Thank and you, Kat, good morning everyone.

Speaking Keyo Saeed, CFO; today we'll Officer; call COO Riccio, UV. Doyle, and on Mike Jim Applied Chief our Executive of be

make call, that, financial are that and reflect predictive today's will expectations that Chief with based We uncertainties. to these views During risks over call Executive Saeed, certain certain future on assumptions events Officer. current and about statements like now to subject and will Keyo? we the I performance results. our statements Keyo and And future turn to our

Keyo Saeed

Thank my this review the you, for again, pleasure everyone together quarter to highlights of with morning to our to morning, Kevin. you and second my thanks with once joining us. performance. It's team Good be

net X.X from Systems, asset The for the Second Materially, closed impact reflect X.X from by of million presented transaction Akida sales the in entirely increased our the subsidiary. and XXXX. quarter February to our XXXX. manufacturer were second on in Airocide financial of results XXXX the sales quarter period generated net XX% MunnWorks million net XX, Holding, sales current acquisition the of

with can or of like off variants progress operating vaccination but from slowly we surely an the the new quarter, normal the MunnWorks start with And returning pandemic. second rebounded what the the vaccination given and During setbacks plateauing This from they [indiscernible] COVID-XX the are industry improvement to the in experienced rates. quarter, as demand hospitality the normal economy followed result, at end levels. drop the as revenues seems a

lines shipping our the fulfilling one and of due constraints in container the mostly and and logistics delays orders We in delays, also SteriLumen' some chain in supply to cost availability. experienced environment current from product

share $X.XX the loss of per quarter for was of $X.X XXXX was fulfilled of the orders or future net We second our be to of X,XXX million XXXX in a this loss or to in that net SG&A for expect quarter cents the an second second these of half the in for per share will compared costs XXXX. XXXX. Net inventory loss improve and additional second business And of segment planning primarily infection to in increase operational half. due second expenses, quarter $X.XX

A cash stock, Our we balance offering quarter, At an public million million a raising of offering preferred June $X of Series underwriting, registered closing liquidity announced proceeds on strong, and remained perpetual XX, end deducting, of gross approximately expenses. with underwritten of cumulative the the the other $XX.X XXXX. a of second discounts before

and this is which balance As continue through testing offering, and expected sheet to investing a growing strategy in we and result innovation to acquisitions. strengthen complimentary of cash our support our position,

about to of sales like trends quarter. growth operational highlights see and markets the I'd developing the the Now, we our talk and some for

provided the further quarter, restrictions to the Our vaccinations. second the including and recovery. support increasing and variants economic given for of need globally access broadly the of easing with of at vaccination along domestically markets start The global social

setbacks see to the with we America, MunnWorks of subsidiary steady the improvement minor a in pockets seen for the year. and in we've North of this While and globally, expect delays for variance emergence balance

gain leveraging air Our partnerships purification is measurable portfolio for particularly both and business systems. SteriLumen global Airocide distribution expansion to for commercial traction, initiatives beginning

recently wineries continuing and quarter school two most systems, QX, through and at at hospitals, the military months announced During second base. of U.S. a installations significant first we museums, the

and continuing the to our safety, to and capabilities, self-deployment, technology, innovation, and We're We about standard the growth continuous our also to position, grow. in distribution and capabilities our expect continue tested, in momentum the downstream global globe, and become our this space. science the new control about to investment consequences spread this product education infection invest as health the customers control Across initiatives on and balancing in protocols, continue our are solutions surfaces proven our testing efficacy no growing pathogens practice, in to compromising distribution innovative leverage solutions new better on while leader health air risks. most causing unintended with not of as byproducts with infrastructure increasingly learning people's

reached world pandemic, the in remains air the risk long-term awareness beyond Looking and where solid position has very infection new quality our levels.

proposition, us uniquely in leader surface as these technologies trends. prevention to a as infection value differentiated positions Our growth capture accelerating

air and a in of the all control of leader SARS-CoV-X no competition ahead step killing our We infection by leaving advancing size and purification, other be will a byproducts. continue passages and to superior

with partner to or portfolio VOCs. for market dangerous We supporting our testing and against speed compounds the and other revenue, organizations like-minded most and to continue products of innovation volatile pathogens of organic

the provide line in we'll top among to U.S. and access regaining without validate and labs of products labs as actually the worldwide. support teams relevant efficacy we testing safety addition, safe against labs all certifications from continuously to are our maintaining relevant byproducts. to of as such and sales and and COVID We MRI successfully us all -- The initiatives and to with we've tested expanded allowing In products surface finishing Lumicide UL, in customers standards, to others of efficacy surrogates MRI also stay while or true began Airocide all to with lack But entities, partners testing due across the our EPA. products with qualified any important ETL science-based be we of our the safety now, and access adding to labs information invest FDA SARS-CoV-X being testing and initially the regulatory of virus. the

slowed second is and of and a by Progress the team. our quarter, we're prospects product would XXXX sales great a new business disinfectant for our and excited expand to of growth to are the already remain very for portfolio about of to are the in some enrich of and new current we through has commercial our there, technologies to COVID that and been variant. our Moving continue, complementary pleased other us. or see Airocide based believe tremendous markets highlights it of remainder Airocide people open companies portfolio, lockdown We momentum the pipeline asset opportunities. our addition solutions that on adjacent

thesis quality Inorganic acquisition remains and seeing the to by environment team focus priority that Our some the for pathogens on innovations remains and remove of synergies technologies harmful byproducts. the and high encouraged we're engaged with. candidates management leaving we're the of we've from behind potential work without growth

the for today device continue countertops trap. vanities with hard disinfect progress we we and make Lumicide quarter, SteriLumen's product includes in disinfection disinfection of only Above persistent high drain restrooms automatic above the the plus second inside Lumicide the automatically desks believe our contamination the system and surfaces. to which that pipe lines, During which risk, drain is and

surfaces. this to scientific determine earlier, to in kills SARS-CoV-X pre-IPO Ribbon's top and our mentioned year's actual study data I for confidently independent on designed priority, Lumicide virus. COVID-XX safety hard COVID was CoV-X the confirming the opposed during Lumicide we actual or testing tests both testing announced remain At As available independent lab COVID-XX, the tests. last effectiveness Ribbon the The the best was our time, the virus, tested and surrogate against QX, as that

and We validation we We've conclusion, excited surfaces on and the of validation differentiate in and and product of underway air to us the the SteriLumen about advancements business. technical our for testing and and believe development added our variants continue viral are attributes us will pathogens that in scientific portfolio opportunities activation. to in provide we're SteriLumen additional claims the of support made the from competition. important In safety

deliver our see sustainable started customers SteriLumen a prepared We effective to We continue and believe on positive set concludes Q&A. please of Applied drive shareholders. Kat has and clear for give sales get for both this well increasing Airocide inquiries strategy we'll instructions a value to This improve global our participants remarks Please? is products Lumicide that broad my and revenue, you UV trends and on for our positioned would a and from morning. for basis. any margins,

Operator

now floor And first Thalmann. questions. The Ladenburg you. [Operator for thank comes question open Cohen Certainly, from Go is from Jeffrey our Instructions] ahead.

Jeffrey Cohen

there some about an was average number look places little like? talk winery and average and Greece and the where you Hungary the and then think Firstly, the bit talking units virus it of about market a of I think

Keyo Saeed

first catch the about I of the part which the… didn't part talk

Jeffrey Cohen

of some recent the of wineries. Yes, placements other in some

Keyo Saeed

wineries. Okay, the

actually, But that essentially the Jim, has some please? somebody wineries a, closest We expand we is for just great can you believe there have in book it vertical returned feedback. we here. a NAPA since from Jim, on got us direct been with to

Jim Doyle

absolutely. Yes,

large. for quite units a mold series removal One out task front, our with can some They starting in of or our to of Greece. saw into use of these to the $XXX,XXX of That the GC about and or of announcements, so room wineries be rooms rooms series. think I was and the APS tend the their some HD out which project, tasting Airocide is series larger are you move task just

of the know, have across as growth in world. foundational a Africa, for France then and growth area of wineries, good continued for in seeing and West Airocide us, been in future Lots to growth States. and Europe, South through So you probably Coast the the and the into pre-pandemic in we're obviously grow United

Keyo Saeed

well, part of the had air. finding that visiting to with in tasting of if visiting and less something the previous been the were distancing model as better there, wary spread. experience clean wineries for we're previously, I to big pathogens of people Yes, has rooms well Thanks. makes social big business and the as anxious But visiting a the -- the COVID, both of think the and terms ability any rooms or feel these you smell having

Jeffrey Cohen

it. can far contribution us as from the compositions you some us or as quarter Can got give any two, -- you SteriLumen? for revenue MunnWorks Okay, give

Keyo Saeed

momentum had in a of those specific got U.S. hit, a areas started from up even. say would But were towards the probably closing. probably quarter. around world, episodic and the end fires We lot relatively of a a month shutdown quarter. the instance-by-instance the of your end it question? openings was down of some the happening there's pick were of at July in basis. outside when end we sort that, slower delayed for in of the for there as But that the And starting Africa, later, vaccinations, holders, in mostly hotel, lost. answer also here been rather Did is but orders South of that for then addressing people that thing and slowdown are toward lot has MunnWorks on held with spot either coming to sites, general, the and were so not same re-tasking the opening I

Jeffrey Cohen

half back of us Can year Yes. from the Any give you might an on unroll? as the access? the update as far update quarter, how

Keyo Saeed

access the to to believe of a more in rate be product, specific name designing much Yes, I yet that has and product rooms, going for the product year. is sort QX be they expect elegant hospital that and the of product to sort of on don't actually their is hospitals next which patient out, rolled and it

Jeffrey Cohen

us, sense of commitments what bit Okay, I guess a in and of your out announcements give then Vietnam, for quarter can those about little start? you a Africa and may recent talk lastly us

Keyo Saeed

Vietnam The Those much some distributed believe healthcare very Vietnam. the are it's specific hospitals received the I already vertical. for focused there has on in is unit, orders

their general, initial a totaled. and is distributor, the Africa South healthcare company. hospitality we pharmaceutical order, and a will In serve They space. orders have as their pharma

And XXX,XXX, for being jumped or on on million delivered was under me, our second is believe, hit anyway, can majority books of be the or that has Is a one think, but to, going South its third in to is obviously check, to CFO XXX,XXX first the Africa. total a incorrect dollars and plus probably to which The been already going quarter. about going Mike, the order, me was I way Mike one that is right? almost, close second of I almost to the our

Mike Riccio

Correct. Correct.

Jeffrey Cohen

the XXX? specifically? it that Or South country deal country clarify Africa this with the is for for you can with Okay,

Keyo Saeed

you. Jim, I think that was to directed

Jim Doyle

for lot South to as is of it be but Yes, do Africa. their sorry. focus exclusivity across in all am of have they going obviously African South is A condo. I Oh, the company, a Africa

Operator

it turn Go to for like closing any Keyo. remarks. would I time, management this to back ahead, At

Keyo Saeed

this your closing there again. us quarter to halfway for for remarks heading the Thanks you in quarter and to I'd morning. positive out thank look Actually, year. Thank third coming very this to and like and everyone forward time. Again, through no are say. end much listening We the We're for the very us joining of towards out. closing and closing

Operator

conference. today's conclude thank Thank for you. This We does you your participation.

time day. disconnect your lines have wonderful may and at You this a

Applied UV (AUVIQ) 17 Aug 212021 Q2 Earnings call transcript