Q1 2020 Earnings Call
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Greetings and welcome to the Synchronoss technologies Inc. first quarter 2020 earnings conference call.
This time, all participants are in a listen only mode.
A question and answer session will follow the formal presentation.
Anyone should require operator assistance during the conference. Please press star zero on the telephone keypad.
As a reminder, this conference is being recorded I'd now like to turn the conference over to your host Mr., Joe Crivelli VP of Investor Relations. Please go ahead Sir.
Like sector. Good morning, everyone. Welcome to Synchronoss technologies first quarter 2020 earnings call, well, I'm, sorry, President CEO and David Clark CFO, joining us on the call.
During the call, we'll make statements about expectations for 2020 M. beyond its maybe considered forward looking statements within the meaning of federal Securities laws and include statements about financial trends future results of operations and financial position the market opportunities generally forward looking statements are identified by words, such as expects believes anticipates plans.
There are indications of future expectations.
Looking statements are based on the business environment as we currently see and include risks and uncertainties.
Further I see filings for more information on the risk factors that may cause actual results to differ forward looking statements on this call. It based on assumptions as of today and we undertake no obligation to update these statements as a result, no information or future events.
In addition to U.S. GAAP reporting we report certain financial measures that not conform to GAAP we.
We believe these non-GAAP measures and have to be understanding of our performance reconciliation of GAAP measures that are non-GAAP measures. In addition to the description of the non-GAAP measures can be found in today's earnings release, I'll now turn the call or with one more.
Thanks, Joe and thank you everybody for joining us this morning.
The first quarter of 2020 wasn't incredible test for the synchronous in our ability to rise above the global health and economic crisis, and the adversity it cost throughout the world.
When it became clear that Kobin 19 had the potential to cause dramatic changes to our business, we acted swiftly to adjust our daily business practices.
No new ways to serve our customers and prospects, while most importantly, keeping our employee shakes.
I'm incredibly proud of the hard work continued sense of purpose and determination of the synchronous team.
We delivered a strong first quarter with 77.1 million of revenue at 1.8 million EBITDA.
Okay. So let's start to the year that was ahead of our internal expectations for the first quarter. In addition, we ended the quarter with 31 million of cash and our liquidity has grown to 41 million as David will discuss in a moment.
It is important to note our recurring revenue business and revenue from new deals we bought over the past few years puts us in great shape to weather the economic downturn.
Here's why we enjoy the long term relationships with some of the most stable solid TMT companies in the World. This includes Verizon 18 piece sprint British Telecom Comcast the three Japanese curious Vodafone and others.
Approximately 70 plus percent of our revenue from these relationships is recurring in nature, which provides a solid base of revenue even an uncertain times I've no. We have seen a little indication of cancellations or deferrals of deals.
And our business.
We worked hard over the past few years to renew several long term customers to multi year deals expand our customer base and win new business. This in turn supports our long term growth objectives.
Related to several major new deals in the past year, including de GMP cloud Tracfone cloud. She she got MBI advance messaging joint venture for 18 T T mobile Verizon and others, which are expected to contribute in 2020 to revenue and accelerate in 2021 and beyond.
That said, we're cognizant that cobot 19 is a major headwind for all companies and we're carefully monitoring our customers and talking with them daily to stay abreast of any changes they might be seeing in their businesses.
When we spoke last March Kobin 19 was on the radar screen for companies worldwide.
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But in Claire.
Oh, absolutely is that Okay. You gave me those two time, that's fine for Lisa I saw you prefer to conference call, let's do sell if everything is I mean, if there's any issue that you need to me a person just let me now.