BTN - Earnings call transcript Q1 2021

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Operator

Ladies and gentlemen, thank you for standing by, and welcome to the Ballantyne Strong, Incorporation First Quarter 2021 Earnings Conference Call. [Operator Instructions] As a reminder, this conference is being recorded. I would now like to turn the call over to John Nesbett of IMS Investor Relations. Thank you.

You may begin.

John Nesbett

to ended earnings March welcome the call and quarter first XXst, afternoon, Ballantyne conference Strong's for Good XXXX.

Officer. Todd On Strong the Chief and are Ballantyne Financial Major, Mark Roberson, call Chief Executive today from Officer

any SEC uncertainties statements and in Investor non-GAAP Before references terms we differ begin, measures. based to measures nature. required Risks filings. this materially and the of like and obligation discussion of today's to to on to are in GAAP is the The available expressly also call. definition release management's will forward-looking Relations no statements results and company to made on and expectations section statements on today, statements, that cause earnings be as may risks from forward-looking remind uncertainties call These except on non-GAAP law. those company's described everyone financial by I'd Today's and also disclaims actual the are some obligation presentation website. are contain to current subject posted described under are the also update of reconciliations the view and and as These in

Mark. by measures all I to will be to non-GAAP decisions. other time, this reporting turn investment encourage At our comparable Our before also now companies, call financial review those not we of used and understand to over may you and making the any

Mark. Go Okay. ahead,

Mark Roberson

screens Products, owned non-control services joining business, managed start three Group is brief is investments: for Strong entertainment had Thanks Firefly overview. few Systems. Financial we'll a wholly and in and GreenFirst industry on of leader which afternoon. Good with and busy operating our Forest cinema an comprised us. X FG and We've a first Slide months, Ballantyne

year next with visibility time, COVID months. last But this If at operating beginning very the three XX X, little into at we're the pandemic of the to businesses. Slide you turn very

for worst the for and and we've We and successfully two park past closures. our the of and debt. navigated sold a assumption theme Outdoor cinema conversion the Over of year, equity Strong Firefly global and businesses, note cash signage

an increasing and further QX million end equity during now balance to the million equity as stockholders' over cash capital of completed also $XX XX% of We $XX strengthening sheet, March. raise, the with

Moving on X. Slide to

As major bullishness increased second agreement cinema of aggressively announcing customer optimistic expanding seeing we SPAC and and increasingly improving for and past next Products we're our about business investment rates more entertainment acquire portfolio GreenFirst easing the US the definitive look now itself the excitement operating the Firefly vaccination forward businesses markets outlook and into reinsurance reopening to our continuing seeing sponsor in and FG half the dramatically and XXXX base. business positions. in growth over months restrictions, momentum position and year, to its we're Forest With in with our of for Rayonier, several investment also COVID. We're Financial positive its into post

in premium In and multi-year Now for signing managed exclusive Slide starting as Marcus half format a position, Strong in leader of strengthened large we X. is on to new and turning agreements services. Entertainment Cinemark business, services. market Theatres screens second for cinema XXXX, as well screens with that X the the with

point from to XX% of the year, COVID. business but below entertainment remain in low screens applications relationship have levels. which normalized despite recovered Revenues simulator and great immersive theme is to worldwide our they supply Eclipse, overall basis. for an to IMAX perform continue a designed with their have continue over We QX last in XX% and exclusive on pre-COVID all also of park

year drive blockbuster positioned in competitively the with off July been a during for very period starting movie and over of positive a the with to this in able be the breakeven of earnest. people to pace catalyst for kicking we're COVID. manage reduced expect Top industry relatively things Gun releases revenues, to the content we to we've to cinema, little our better exhibitors Fortunately, After release of business the post

in expect also post Financial X at in movies. and the space. our investor impressed the of Firefly sale Slides currently Ventures comprised in shareholders taxi equity major advertising our and group business, our met guys advertising largest doing of what Google backed became we Firefly as for is to rideshare investments, are a an ago, Firefly, positions: NFX to years through three advertising we'd which like venture of believe with couple Firefly We in technology provide shares. well really through managed and GreenFirst. outdoor along and preferred deploy we hold and the outdoor COVID, We million digital were rely the and to we us. review particularly our XX, again and on were exhibitors We company with approximately exhibitors a services Strong prepare media heavily being very return equity more On to support interesting they their is positioned ability outsourcing the adopt with that FG to market, $XX

join a as than was together and As competitors. decided go-to-market forces we to result, it better rather

Sally their is be like it's launch their through doing Firefly a partnership see, this companies technology cutting-edge innovative some to can very true quarter. leader, development, things Drive or of with whether like Street.IQ you As

capital reinsurance gone is additional and X. experienced and XX% in at shares its and own a reinsurer, of led first increased reinsurance of on business rates, FGF nimble of its to seeing strengthening FG SPAC businesses. management by sector. the model Slide has sector XXXX. business and contract carefully outstanding wrote they're has that an SPAC to an as attractive capital Financial. We approximately sponsor through looking And FGF reinsurance in repositioning related team, The allocating Turning deploying focused

The CEO by close this Aldel and FGNA America Aldel fintech FG warrants warrants former and announced a FG FGF $XX.XX. million summer. approximately of acquisition per at Fortress. approximately backed has is Opportunity an On $XX platform. led America the agreement shares Aldel definitive of Chairman OppFi Financial. Kauffman, to founder at founder Financial founder an and recent New holds is of TD XXX,XXX XXX,XXX by Ameritrade former and two had Financial. and the exercise expected New XXX,XXX was holds SPAC side, a approximately is exercise acquire to Rob the of share. Moglia, FGF investments, SPAC X.X price leading price approximately shares Joe FG

our investable believe GreenFirst. there to The Slide separate leased And information likely on the financing XX% the transaction will with announced offering, to XX. of well currently three value But C$X.XX issued investments evaluating the will the offering to increasing of GreenFirst, those of for has we sell positive rights a increasing to rights agreement our by participant in could aware, of offering distinct the driven current representing Because well it at transaction everyone of rights. also coming value to paper announcement of and also weeks be cash ownership approximately our top in and rights the recently to increase is based in will in to million diversify planned in and Strong meaningful listening has We're some a market performance the rights currently the C$X.XX today. think Itasca Ltd., signing C$XXX XX under share share rights, or XX closing and GreenFirst Canada. Capital QX. the million with anticipate unrealized be and rights operating at lumber anticipated assets of and shares a C$XX million. additional the June. million, roughly of an shares, million received, market probably been which from $XX GreenFirst over representing could million, our over every We of GreenFirst. has would call Ballantyne in GreenFirst investment in regards the we the rights Turning generate time, balance held. value just $XX one rights are products shareholders this to I On definitive to of over is GreenFirst which currently make that be three action over hold receiving as the X approximately cap purchase holdings. current part to and Rayonier, that of GreenFirst increased producers options we evaluate all C$X with well XX, the all on our of receiving the announced intrinsic $XX Slide to the potentially million forest We'll be the formerly proceed over acquire and is has an gain a a from anticipated of market our for sheet the course at transaction, investments. conducting as price that in already additional

I their course, I'll and caution Of and review. With is financial Todd proceeds FGF as and will for unrealized fluctuate just as gain that, the these continue a strategies. would over up Firefly execute unrealized and down with now it to transactions to continue it's call GreenFirst to that on turn that, the

Todd Major

Mark. Thanks

feel listening, Outdoor discontinued everyone have of do the XXXX classified QX summary our our effect to QX and not as reminder now the results the late Convergent next COVID the they and a results. operations a operating to prior operating in year. that will Slide revenue As continuing contains of Strong to XX the and slides began of few include and to XXXX We comparison negatively impact continued been present pandemic operations.

year, in XXXX lower XXXX, to result during on relatively expense. compared SG&A were as XXXX down expenses we both Overall to profit XX% continue QX profitability focus improved versus to flat compared gross revenue a cost and prior of as period QX same the gross due management Although primarily margins a and debt bad to during in XXXX. decline were

Slide to XX now. Turning

which first partially in Canada of of quarter weeks a from for on our revenue the as Our a MDI impacted sequential production basis result mandate, shut four a QX XXXX during government down was negatively XXXX. facility

offset line loss the of year. and over strong screens both QX Our EBITDA has Eclipse screens declines services. and improved generate that helped after prior significant during continues the XXXX product COVID, Even impact adjusted of in to operations some the performance from

the the in XXXX. end cash of during has the Slide previously mentioned near In company. snapshot cost basis million Entertainment held the in since to the is Strong of The and efforts issuance stock trailing XXXX. This $XX sale increase nearly XX-month on contributors testament addition, is February across a Convergent March the the operated and balance primary a compared of to were end as has the breakeven occurring the of sheet XX to the our of the period. management pandemic of a the steady business end throughout

result significantly Convergent also a the and these obligations obligations lease the of sale, assumed our As as we were debt by reduced purchaser.

health As of Mark well our earlier, values excess negative in value. of the year balance our the COVID has the our past over sheet so. carrying improved performance investments has of the impacts Overall, recent of despite mentioned resulted or market in

put Mark call me remarks. our back let the to Now conclude to prepared

Mark Roberson

Todd. increasingly COVID the wrap business on entertainment our bullish as Thanks, operating up, for post To investments. as we're well opportunities both our

the shape in quite is a been sheet best balance while. in it's Our

customers the While accelerate. side. a well studio SG&A cinema be COVID, We're the business, our think levels effectively the impacted as in releases services well on attendance entertainment our expecting maintained through that in bodes decreased resurgence our particularly significant And that to continue for down revenues for we entertainment manage margins as have to we by US as business and cycle.

any Our now investments may We'll itself. up have. you speaks with questions GreenFirst progress the open growth strategies, their impact and think the of are to for making call I

Operator

the comes Instructions] Reiss [Operator Montgomery of And first line Janney the Scott. Brett from question with

Brett Reiss

seen not any yet? you've from orders cinema the Entertainment, Strong customers concrete

Mark Roberson

rate certainly lower to pre-COVID. Yes. our it's We're been have customers, orders receive continuing than it albeit cinema would from at a

content large revenues to jurisdictions line their Our still of exhibitors, and levels probably at business still the pre-COVID or running from into open if to But the in most to more primarily people at overall you XX% down for to US Obviously, operate revenues levels most a point, major look from continuing of reported remove lack are cinema show restrictions cinema cinemas. them XX% the is pre-COVID them allow there's at effectively. of the because of drive for just release to standpoint. around top to cinemas this are XX% a are

to begin into lot Top other and second to reverse the cinemas. expect particularly be We released we excitement starting get with blockbusters and that of Gun by the as to creating half, of studios a

lack to one with operating still back content. of their they're behind now, hand right of tied As due

the So content is are are more the given And are we're getting ramp about orders. COVID as I able the feel pretty out We good today. that out. industry post revenue really coming optimistic looking where becoming we're up more we cinema to exactly receiving with definitely cinemas

We provide basis service again, a at have on side for the than to to exhibitors, we're screen we lower basis continuing time both have others. a and contract normally. for materials just some would on and rate And a our

Brett Reiss

Now anticipate some opening do that up, you kind benefit that pent-up the theme Eclipse? are orders parks demand of will

Mark Roberson

I'm not sure product. Eclipse that, I would is longer-term a type of say that more project

it rise turnaround. on dramatically So dramatically short doesn't doesn't a drop it and

service expect lot in service see see need pent-up is through the the it in they'll Europe but would long-term in, project. help, year. I would coming lot really coming in a a little coming side of demand more through people cinema to reopen to on the we more they So lot second earnest to cinemas more steady a a and expect once some have more half demand

Brett Reiss

Okay.

more then queue. Just drop back and me in two I'll for

You levels. did able Are reduce Are you that your of breakeven? at break at SG&A. You're even capacity? to pre-COVID at you XX%

Mark Roberson

I entertainment levels, QX. It basis. breakeven in current - pretty business slightly was negative negative an $XX,XXX EBITDA think the revenue in QX at close our EBITDA running to was So it on is by

corporate EBITDA operating due overhead million was to almost top the $X consolidated of unit. Our negative on

ago down We So the down at to or a on these overhead two our overhead basically operating have XX% almost ago. unit at unit. three XX% close of years year breakeven and corporate That corporate is from from levels. is operating top do

actions that during taken period. we costs. I I we've to burn to that we've corporate COVID we taken of the guess minimize look the this at felt a and streamline lot is, So overhead corporate the way needed would currently, actions that

back streamlined up, As ramp up. structure maintain would our overhead begins to the entertainment business be we'll

to rebounds line as it more of pre-COVID able be the hopefully dropped business the from see we'll So would entertainment EBITDA to levels. the bottom to back

Brett Reiss

Yes. X-K I on shared so management the that noted you the salary took sacrifice. cuts,

for Last Uber continue the get with applaud cars platforms. you that. Firefly, question, their the And key so you to the digital to is add of on and I metrics Do us the Lyft can reports digital increasing? ability monthly the that what - as reports you share have to how many so ad those see you with hopefully, platforms and show? trajectory And cars pace can is that with one

Mark Roberson

so any a public Yes. I mean in of they those release Firefly is metrics a private fashion. don't company,

we're installed to in So not data really specific share able Firefly about their base.

Brett Reiss

Thank Okay, thank you for answering my questions. I'll drop you. back.

Operator

Old Please next the line question with of your with And Jon Long Meadow Investors. proceed comes from question. the

JonOld

you're on the it I'm how change owning go forward. as to you you transaction on just sort first last transition GreenFirst Congrats curious is calculus the believe, of businesses. discussed I as transformational. operating the - trying obviously, your call, really might more And into

had for you So $XX million acquisition. an looking

or making increased doing acquisitions of set different at looking businesses you potentially your what be of that respect scale? have circumstances with given completely windfall. operating you this change Now How might does with to

Mark Roberson

the agreed with very certainly rights still management line event we're We base and closing we're in up to excited they offering to with transaction going we're significant it the market it. forward. increase reaction transaction. been time, certainly for get of And versus the the pleased to this significantly be Ballantyne couple At months transaction. a equally place. will about think through Well, put it able and that capital have our does pleased through that But

time, continuing but it change at in look this burden we're time and it is At capital really on So have in to proceed opportunities order evaluate with much get how might is that strategies. company does takes bank not and the evaluate to today, them, this cash to deals year knowing that to later the the calculus certainly done deals.

best position. evaluate at might to opportunities So And over next evaluate continuing or GreenFirst we're the its play we're so, to exactly we'll with look transaction as regards those to out well the let with and and what's GreenFirst continuing and deal shareholders as and rights, the with opportunities. Ballantyne month we for the

like the this GreenFirst. that anticipation Board in closer real He's transaction. question Now our a Q&A Chairman, or participate I'll well, of the of as to Kyle ask in the given to question on this, Cerminara, he's

if want you answer. So to to I want add see Kyle, anything that there's to

Kyle Cerminara

No, thanks. Yes.

shouldn't too we rights that think I speaking separately. probably say actual about much be GreenFirst the GreenFirst will about offering. that

I of in on, Ballantyne think position we'll So putting valuable. with a million million so my have And some rights. hat be out and But nice X very their XX looks going to Ballantyne at XX as I be rights are million we're that in really going think position to shares communications GreenFirst. those GreenFirst,

as heard will market there for I've those be rights a working those Chairman hard as very Ballantyne questions they be to So make And I about that we for you be Strong of that Strong Ballantyne some rights? the can a shareholders. think either for, I sure will advocate tradable? will tell And a value liquid? value like and get as GreenFirst, we're

probably and gave couldn't Strong, Doman their But our Ballantyne that rights, which Rick at You shareholders. on was think Rivett that very do felt I behalf we Larry of Paul and we that Swets saw up admirable.

up exchange. whether monetizing do we shareholder of think, to believe going exercising I valuable, rights those be end market way. rights. them, for I So becoming Ballantyne that some the through there'll a make They're through an that being rights in that hard and up, GreenFirst whether or brokers to a sure maintained those very we worked is or end larger And

Board what there. of ourselves to a So going Strong commit And of Ballantyne we've to as trade that. think will make the to of a And until premature going be going because that that I in committed other to rights to how be it'll exactly transaction. very part don't that, there's happens. terms know for want we portion But The are we're speak Board is ahead the wanted behalf and on exercising sure me like a Board, be of commit hard to like seller board value discussion. of where to rights that the the parties the collaborative to do to to get working of I much the portion and to

less and position. committed we rights are whether to we'll valuable, the it. If that, So will we increase the we evaluate increase

probably You've is the out, XX even of are strong. XX priced And GreenFirst It's since go seen if months then. prices, price price this increased much the you of at lower lumber attractive. transaction lower lumber lumber the out very We months future prices. lumber, quite for

generally a that So hold prices. Ballantyne particularly attractive is GreenFirst for at position I very these continue to think to and

the stock and we'll and are where where trading, on be buyer likely owner potentially depending So a more rights is the stock. of an trading

hopefully So helpful. that's

JonOld

think you one on And see just there? the of in its an years, five do we Firefly. then do playing you Where three How that exit? quick years? is do sort Firefly it continuum question think out? journey Where in you towards Is are

Kyle Cerminara

hold not that position can SPACs Crunchbase things. member position, to a terms position available of would made impair our a looking Firefly. to capital to holding our bringing company obviously public greater. Crunchbase least say lot Firefly value good additional that at a So board recently. value can didn't that in fact in also where at Board of capital so least I Firefly I or greater. expertise assume want in we apparently, bring was impair see the a That's that's that we other didn't some additional of that our We you it publicly on since they're guess, in the raised information, and a we it I'm And we're boardroom in you I anything the But where shouldn't. outside at that at at

They're So Deloitte, from some ahead come we're we of for that in point, curve a very point. PCAOB there's think a and public terms the offering to helping them some financials of ready opportunity good audited sort at at and having of them. for they're public

more love if if is, make our sure not perhaps I'm it or hopefully. for - that's event that be sheet could $XX XXXX $XX And it not, that and be. but million, worth a to on liquid than would that million we'd So balance

that So ideal for would Ballantyne. an be outcome

JonOld

much. so Thanks

Operator

Jim And the comes question. the with [ph], Please your next of Private line from proceed Merrick question Investor.

Unidentified Analyst

stock Mark, what's book the Ballantyne now? current value of

Mark Roberson

to [Technical be difficulty] precise.

Unidentified Analyst

book The Yes. value.

Mark Roberson

about The is at currently a sitting share. book value $X.XX

Unidentified Analyst

$X.XX? Okay.

Mark Roberson

- not a proxy But necessarily not that's it books is today. certify great - in significant certainly, I the reflected necessarily given the I'm what for in depreciation is it the GAAP. in unrealized assets It's won't on anything investments. under the

require much of So so a. that doesn't

Unidentified Analyst

about Okay. Have the meeting to shareholder you bringing ever Omaha? thought back

Mark Roberson

at We is hadn't company this headquartered in that. really Charlotte point. The thought about

in So anticipate shareholders our having in you we meeting would Charlotte. based Are Omaha?

Unidentified Analyst

What am. would I Yes, you tell?

Mark Roberson

frequently. quite up get I to Omaha

company to time, meet anyone I'd and If you'd that with a to with meet you'd well. to else, have like meeting be update as like some you the happy

Unidentified Analyst

do often get you How up here?

Mark Roberson

at Well, month it's obviously recently, a a been two It COVID. lot month. that less this to ago been year times but less three once was a time. during than a least It's

Unidentified Analyst

Okay, okay. shareholders I would had been tell for retired now shareholders friends on tell the you losses. some like like sitting years? that them? What are are and have would XX that you What

Mark Roberson

their company their through business some with and mean COVID. the And and entertainment long company that support the I definitely obviously is we struggles had cinema I company. patience tell downs. it The and has the we them think Yes. ups over time, of would appreciate its had evolved

release it make and we're in what think investment back by the yes, and on year And forward. services content going happenings half for we're the going call our cinemas future what's think you're operations, a space coming in impacted got about going of more products it. and the like hearing cinema in excited we've those we forward. shutdowns, we to even XXXX, probably about about, the other well which this second excited that's and more Just of positioned And obviously, business our this every studios saving in support portfolio, and the begin demand to ahead really in will into we're bright up about really on filings

we So the support. appreciate

Unidentified Analyst

Berkshire I Warren with time a I work. Last didn't that the listened sounds limit SPAC really the that like to put was because Hathway get week. to was have he impression thing just that meeting you And big there is on there to money Buffett last

so SPAC? makes this confident you in particular what So

Mark Roberson

first are transaction. Joe backed you're as [ph], of in FG It's OppFi, in created SPACs all, New America's directly equal. two familiar We is an Ballantyne is investor all and investment proceeding we are believe they the Financial high company Financial sponsor that Its backed SPACs very a Well, founder not quality that is we which probably sponsors. sponsored, FG sponsoring believe, that Fortress. SPACs quality of and in target SPAC Yes, that's New super by SPAC quality not high is SPACs FG FG Moglia, that identified. a SPAC. that, by with Aldel owe a an America already and towards the Aldel, high Omaha.

confident Financial pretty strategy want to some I the on you SPAC go than know that's way question it. I the don't any if wondering we're did? FG so will provide And the that and that Kyle, in color more and about

Kyle Cerminara

am and highly heard I think Charlie's fan Munger them. big well. as SPACs and on And and Buffett Warren of Yes. comments Warren Charlie I very of

structure. deals they the like can that But was I that like see in value looked for them a additional at. of by have differently, going one created for them SPAC after we of of lot And have lot we heard say M&A the our things shareholders a it think doing SPACs add SPAC. terms teams think we that competition we I of

and SPACs people out there's SPACs lot think a cautionary of some I SPACs. it's Warren So language management high doing be. there's quality shouldn't probably of that there's be. IPO. there many for We doing think the that, doing for too that's many celebrities But think there we I our view. And - lot and that that teams a SPACs from out everybody. maybe think And Charlie you of an great SPACs are that There's that shouldn't alternative and there's was that too a I SPACs think sponsors, people to heard don't

Unidentified Analyst

taking for questions. my you thank Okay,

Operator

Asset is question Rebotsky Please the And SER question. proceed next with from of Management. Sam with line your the

Sam Rebotsky

job. a has and you've Mark, firm a done done job, super your IR good

Now here. you have pieces three

Firefly, you of Forest anything have value. cinema, money. You potential this basically may increase And a have the you've that the the the or SPAC And SPAC will a by you else I'm for the and good and selling raised be have a time.

to the Good You is the I'm is any And and just that? the which sexy have purchaser. you cents. thoughts Do sure and luck. not first. dollars the have find Firefly The Forest comes piece right on

Mark Roberson

Yes. I appreciate the question.

with strategies. of with value different. well. future think First there's and of insurance actually thanks particularly like that given of here has of lot We driving all Financial, teams. GreenFirst for about the we're supportive Firefly of who's the we're have some and Financial. all, equally management GreenFirst, But excited prospects different excited FG gotten comments. them stages. attention and FG the actually investments. models, They We a deserve SPAC of same all most Firefly, be their But they're all really And event like pretty transaction for those our all new different They're like hopefully, in investments. to We transformative like the as major business about created we pretty And recently we in there's all and them. three all at

running point And of future we'll see back, lot We is have times of a a right get that business million time we believe entertained really of the back business if in business business the begin EBITDA. if Our half give we upside believe business. XX% offers million business the the terms go think do of COVID of we to post business will, numbers then back probably doing right get sell to is price. we and play. to believe to again, to now at or to mentioned, actually And terms don't currently pre-COVID. point as be continue at business probably cinema for year, that the of business, $X for marketability. it we that at in we the evaluate you $XX cinema we proper that look it we entertainment as I at over to sale a COVID, forward forward. and $XX And COVID and some a the of about But for that take the the know that market right low It's well. Certainly while business, cinema bounce right some has should we'll give us as in next business. going it middle to million time that its the revenue as able you But support $X to that that. as think to in valuation a million pre may

Sam Rebotsky

good Well luck.

Operator

line next Please the question. proceed with the your of Michael question And comes from [ph], Conan Private Investor.

Unidentified Analyst

you flow? the status cash discuss incubator? the of to Could does contribute And that technology

Mark Roberson

Yes.

the half the incubator a actually of down little That based with half shared the Convergent Ignition from Digital or and line So is about basically Convergent. building our less building our Alpharetta technology in than originated incubator business Alpharetta. in

longer in Quite of the no revenue. the to incubator. we've occupant a building Convergent of up from part revenue million today, and of a we're expand opening $X an building, Ignition we sold they're that it's rest can terms so generation, that that Now Digital the business of small frankly, the business

down in that of top a or line And line companies are grow. somewhere may that opportunities companies us gives interesting a view but the the the have some material bottom opportunity provide in the it to to So contributor are investment that it also it's incoming road. yet, an based the technology does incubator area not into

So entertainment building now the the contributor the from of fact through rest we that not nearly can bottom we business. line, as it's business in to it Convergent. the business. We we free of But of the expand like like line, that top have much certainly a terms

Unidentified Analyst

that aren't to the not then any bad? to looking I'm And debt outside good of on plans or website, Understand. in follow be have there is way there fan through any you debt. don't you. Do Is I a future? the noticed analysts that any - I know. free

Mark Roberson

Yes.

eliminate with As debt we Convergent, when that fair amount we our far as of at a transaction. did debt, the time sold

have sheet balance sheet. current balance debt the subsidiary, on of who debt of on our $X million, Canadian $X.X debt the So MDI, primarily roughly the was million

very So leverage. low we have

debt. We there. that have terms, pretty do little have interest favorable X%, up It's debt X% We very rate.

So most we of a in the big debt to quarter. really haven't been in off to hurry pay rush that

Unidentified Analyst

And Any what outside that? on the thoughts about analysts?

Mark Roberson

have say $XXX in microcap has million all the population analyst or least companies. mean has I so. the analysts been who The few covering market small and challenging over lower Yes. caps past coverage declined the the of certainly companies sub to for years industry;

It certainly look As and entertained. that may entertainment we we've at investment and it's and is who talked coverage our the us we've base look about on strong continue business, operating to something analysts and us. that want expand our down at we to road, something and we there consider adopt maybe

in but changing not something and have certainly don't coverage, probably that to going may of As forward. we that's couple months, as we of the grow continue change next today,

Unidentified Analyst

you. Thank

Operator

back the management for And remarks. over closing now to I will turn conference

Mark Roberson

questions, happy thanks, and a on if chat are today at everyone, and to one-on-one you, and the reach for attention. to other Thanks. joining a all us out. Thank have you'd good there or be some like a to today. Okay. well. evening. as appreciate basis We'd feel We If Have point, follow-up free the time questions

Operator

your conference. and that you We disconnect for And ask line. your please does today's conclude participation you thank that

FG (FGH) 9 May 212021 Q1 Earnings call transcript