Full Year 2020 Inpixon Earnings Call

[music].

Good afternoon, and welcome to this and Pixar business update call all participants will be in listen only mode should you need assistance. Please signal of a conference specialist by pressing the star key followed by zero participants of this call are advised that the audio of this conference call is being broadcast live.

Live over the Internet and is also being recorded for playback purposes of telephone replay of the call will be available approximately one hour. After the end of the call through April 1st 2021 I would now like to turn the conference over to David Waldman, President and CEO of Crescendo Communications LLC, the company's Investor relations firm.

Please go ahead Sir.

Good afternoon, and thank you for joining today's conference call to discuss <unk> corporate developments and financial results for the 2020 fiscal year ended December 31, 2020, with us today or not or Ali the company's CEO and when do you underpin the company's Chief Financial Officer today, and patient released financial results for the fiscal year ended December.

<unk> 31, 2020, if you have not received the <unk> earnings release. Please visit the company's Investor Relations page at IR Dot <unk> Dot com. During the course of this conference call of the company will be making forward looking statements. The company cautions you that any statement that is not a statement of historical fact is a forward looking statement. This includes any projections of.

Earnings revenues cash or other statements relating to the Companys future financial results any statements about plans strategies or objectives of the management for future operations any statements regarding completed our planned acquisitions or strategic partnerships and the anticipated impact of those transactions on our business any statements concern.

The proposed new products or solutions any statements regarding anticipated new customers relationships or agreements any statements regarding expectations for the success of the company's products in the U S and international markets any statements regarding future economic conditions, the performance, including but not limited to the impact of COVID-19 out of our operations any statements of the.

<unk> for any statements of assumptions underlying any of the foregoing. These statements are based on expectations and assumptions as of the date of this conference call and are subject to numerous risks and uncertainties that could cause actual results to differ materially from those described in the forward looking statements. Some of these risks are described in the Safe Harbor section of today's press release and in the public.

In the public periodic reports the company files of the Securities and Exchange Commission investors or potential investors should read these risks and <unk> assumes no obligation to update these forward looking statements to reflect the future events or actual outcomes and does not intend to do so in addition to supplement the GAAP numbers. The company has provided non-GAAP adjusted net loss and net loss per share info.

<unk> in addition to non-GAAP adjusted EBITDA information the company believes that these non-GAAP numbers provide meaningful supplemental information and are helpful. In assessing our historical and future performance of table reconciling the GAAP information for the non-GAAP information is included in the company's financial release, I will now turn the call over to non or Ali <unk>.

CEO. Please go ahead.

Thanks, David.

Hello, everyone and thank you for joining us.

Got a lot to cover today, so I'm going to jump right in.

Despite the pandemic related challenges that practically every business has faced around the world 2020 of continued to be a year of growth and expansion for infection.

We grew revenue by 71% in the fourth quarter and 48% for the year compared to the previous year periods, even sequentially from Q3 to Q4 and 2020, we saw approximately 50% growth.

We've acquired new technologies to expand our product offerings and market opportunities we have.

<unk>, new customers and one of our new customers uses our technologies to help visualize the tracking of COVID-19 vaccine production and something we're very proud of to perhaps to be a part of and I'll talk about some other customers in a bit.

We also expanded our customer base and operations in Europe with new offices in the UK in Germany, and with the amount of trial and acquisition in Q4, we enter new verticals like industrial mining transportation and even smart farming.

In addition from the growth and expansion. We've also continued to innovate and improve on our products I wanted to touch on a few of those points.

We launched a new version of our infection mapping platform.

And really what we're trying to do there was to support large enterprise organizations.

And to do that we simplified integration with third party data and apps. We added the single sign on to manage multiple accounts, which of the key timetable for our larger partners, who administer of maps for several clients for tenants.

We added uwp detection in ITV <unk> support for our infection of wear sensors that detect known and unknown devices and enforce new phones zones.

We've also been adapting our infection analytics to ingest data from our RTL product line and to address new use cases and verticals as customers think about safety and security in the new hybrid work environment for the world facing today.

These analytics provide insights into the space utilization to help plan staffing levels or two metro cloud density by zone.

So some specific to you on the analytics side Theres, new calendar of views, which allow users to quickly examine.

Gates of interest.

Maybe analyze specific zones with heat maps to scan for crowding and bottlenecks.

Additional features we've added include loyalty metrics event analysis.

We've integrated the weather data boy.

Voice recognition and chatbot functionality has also been out of it so lots of interesting developments on the analytics front.

And let's go to the RTL less products we have.

<unk> been improving expanding and expanding our capabilities there for more verticals that increase productivity and safety at work I will get into some very interesting and real life customer examples that we're working with later in the evening.

Discussion here and there.

And as you saw in the recent press release, we also introduced the new <unk> sensor for use in measuring indoor air quality and important indicator of Covid and other pathogen transmission risk.

So the total impact of all of these capabilities gives us a significant technical and unique advantage unique because I think we're the only company that I know that's integrating all of these key components of indoor intelligence into one platform, which moving saves our customers time of money and can deliver a better ROI and I'd say the market is taking note.

Of this these accomplishments and what we're putting together here, we've been recognized and profiled by Gartner, which I'm sort of as many of you know is trusted by large enterprise executives in several key areas.

Two years ago of Gartner recognized us for the first time only of the niche player.

Since then in 2020, we advanced firmly into the visionary quadrant and then in this years 2021 magic Quadrant report, we saw advancements again, both on our ability to execute and completeness of vision, which of the two measurements of things they look at.

Also this year, we were rated by Gartner for our ability to offer of critical capabilities across the various indoor location services sort.

The use cases, including zone asset tracking people tracking or Tls for.

For indoor location services, so pretty excited about the.

The recognition and the support we're getting there.

I don't know if you saw that earlier this year, we released our inaugural state of the indoor Intelligence survey, which analyzed the results of the 143 responses across a range of industry and company sizes regarding the rate of adoption of indoor intelligence technologies during and following the pandemic.

From our perspective of the study confirms that the adoption curve associated with indoor intelligence technologies is accelerating.

We're seeing that from other sources and I'll touch on that in a minute.

The intelligence solutions are being used for multiple purposes, including organizational and operational improvements customer facing solutions and employee facing solutions. The top use cases deployed through 2020 of them.

Covered job site worker safety building energy efficiency asset tracking and indoor navigation of the wavelength and you'll see that that correlates with some of the use cases and customers that we're working with.

So that the tracks very nicely with what we're seeing.

Given these and other findings from our research it's evidence of workplace transformation and the digital workplace solutions are going to play a huge role in 2021.

Going to dig into that a bit here as well.

And in fact, if you take a look at some of the outside research beyond just ours, you'll find that the pandemic has also accelerated real estate Digitization program. So I essentially mapping hybrid working models and space rationalization of lots of companies are thinking about how do we work the spaces, how much space of the need in this new hybrid.

The working environment.

The corporate enterprise organizations.

Here in the U S and in most parts of the World still haven't opened of you guys know, but they are eager to get started right.

The new to reinvent what that office environment will look like and the need to prepare now because there's lots of talks about.

Vaccination, Rollouts and timings and.

People are all starting to think about the similar timeframe.

Of reopening so where we're seeing a lot of interest and demand starting to heat up now because everyone is thinking about the same time of each of the <unk>.

For a certain geographies are a little bit lagging behind but there is definitely momentum in that.

At the movement.

The adoption of technologies and solutions that facilitated multiple of.

Capabilities for necessity over the last years.

I'm sure you've seen.

With zoom and other solutions out there.

While many businesses find that they can be reasonably productive of employees working remotely.

Of the employees also found that it was difficult to work from home right. So there's a there's a mix of results there about working from home and that's what's really driving this hybrid model, so not surprisingly employers of planning and anticipating.

Our hybrid workforce model thats going to continue.

To be here and to be able to offer flexible work locations to their employees.

<unk> increased safety and to a piece of what workers want of what employees want.

Not everyone is looking for a five day work week in the office right. So.

Some folks when it completely stay at home some folks want to be in the office of all the time, but theres going to be a mix of these things and that's here to stay even after.

The pandemic disappears.

In addition, there's also been of high emphasis on ensuring safety and security of employees in the work environment.

All of that looks and what that will entail in light of the most recent challenges is going to be a lot different than what it was in the past when we thought of safety and security right. So.

Whether it's COVID-19, or gobs of the future pandemic or other safety issues. This is now starting to play a bigger role.

And how.

Businesses are thinking about safety in the workplace.

So we're actually seeing the timing come together as I mentioned and we're anticipating that the traditional back to school season will also get back to work season, if you will.

So we're talking to a lot of <unk>.

Enterprise large enterprise organizations are looking to reopen their businesses safely during the summer in the fall. So then they need to start thinking and planning and putting in solutions now to make that happen. So responsiveness adaptability flexibility. These are the important attributes of the new normal the businesses are thinking about that.

You can be smarter safer and secure.

The infection is ready to serve these customers.

So let me tell you about one of our customers.

Going through this right now and how were helping them to address these new challenges.

Sorry, My voice is a little hoarse, I'm, just getting over something but.

Bear with me.

So this customer this is the model, where we're implementing actually with this customer but also several other customers and what we expect will be what's expanding in the coming months.

Many of clients and while we are limited by confidentiality.

Meaning this customer I can tell you that one of the largest companies in their industry for more than 10000 employees and numerous locations around the globe.

So here's the problem the shared with us and it's the same problem again that we are seeing countless of other large companies.

On the facing so they said look we're planning to reopen our offices soon some of our employees don't feel safe coming back in and they'd like a flexible work location set up so.

So how do we and the customer how do we practically speaking provide a environment that both reduces the chance of infection and helps our employees feel safe how do we transition to a hybrid workplace with flexible work locations and scheduling.

How do your employees collaborate while some people in the office and the others are at home how do we keep remote workers engaged.

And how can we responded for notified of infected workers that are location.

So to work through some of these challenges for this customer we've now mapped over one five square million feet of space, If theyre headquarter campus with more than 15 separate buildings 30 floors.

The implementation of requires complex and detailed mapping of the campus ground and by the way of many of our competitors will likely struggle of managing the implementation of this magnitude the platforms just aren't responsive enough.

And we'll probably slow to of call doing the scale that we're talking about here, we've plotted and labeled the location of interest is in exits and valid pathways destinations amenities, such as restaurants and other points of interest and this work enabled the app user the employee.

And out to search for and navigate to the desired destination and even offers turn by turn directions as they work using our own device positioning.

So you can start seeing how our core technologies of not being a non device positioning et cetera are really driving this new.

Return to work right and this hybrid model because of these fix desks and offices are going to transform into.

No.

Generic ones that you will book and use as and when you come into a particular location.

Next we needed to allow for flexible work location moderate so to allow employees to book to us to work in wounds. The collaborate right. So we plotted nearly 5000 individual desks and meeting rooms for this client has the level of detail that you will not see most of corporate nothing deliverables are maps combined with our.

<unk> App features.

<unk> allows employees not only to reserve the workspace, but also to help ensure social distancing because of the administrator for instance, turn off the availability of every other day so.

<unk>.

We're still kind of.

Facing and living with certain rules and conditions of social distancing and and.

Pandemic restrictions so that still has to be.

In the background here, while companies are reopening and bringing employees back in.

So we can help facilitate that.

And for the employees when they when they open their employer provided up.

They'll get information like the company news feed and events listing and most importantly from my perspective, you'll see available spaces and they can now plan out their workday. The employee can find an appropriately socially distance task that's available. They can book the conference room or maybe the book.

Desks from your other folks that they're collaborating with.

Searched for particular amenities.

Whiteboard display monitors right other assets that the business may have because you can integrate the appetite into all of this as well.

Really allowing business owners and facility executives.

To invest in the workplace and leverage technologies and solutions that will help them deliver on this hybrid.

Work location right and that's what's going to attract and also help retain.

The employees and to keep the remote workers engage and feel safe when they're coming back. So we're definitely seeing really strong demand for this new smarter safer and secure workplace and I'm really excited that we've got the ability to drive this transformation of our teams have been working hard too.

Adjusted pivot our solutions to help customers as they are.

Opening our offices.

So let me switch gears, a little bit because there's a whole another area that we are anticipating significant growth with an <unk>.

The opportunities for indoor location, and that's with <unk> technologies real time location services. So our acquisition of <unk> at the end of last year has given us the strong foothold in this arena.

Ultra wide band, which we've talked about on several calls.

And CSS technology.

Technology of the Chirp technology, those oculus tagged the bankers are critical to helping employees employers keep their workers safe and inherently.

The inherently dangerous environments, such as mining industry.

The industrial or even factory settings, and I'm going to talk about a couple of examples there.

These environments require of real time positioning of people and assets with physicians and different measurements that need to be calculated in milliseconds.

For worker safety.

Actions, such as collision avoidance and proximity.

Historically, our <unk> solutions have been offered in the sectors.

The modules are components of the third party tag or solution. So we are extending our capabilities investing in this area too.

To deliver solutions to meet the needs of customers in the sectors with our own tags that incorporate both AWP and the CSS chirp technologies.

So let's talk about a few examples of how our customers are using these RTL assumptions.

In the mining industrial factory settings, and I'll share also share. Some examples of how the technology is being applied into new areas as well and if you look at the Gartner reports etcetera Youll see that this is <unk> is one of the biggest segments in indoor location and generates a lot of dollar. So this is why we did this acquisition in the first.

Place and why we're continuing to invest so in my mind I'm thinking of the office returned to office space as one the category of factories as you know have been running for the most part.

Even during Covid and so this is another area that we think is.

It was really a growth potential for us and we're excited to be part of.

<unk>.

Alright, so of mining.

Is one sector.

That we think is definitely of.

Have some tough challenges.

As of dangerous environments and expensive to operate employers.

I have to keep their workers safe, but they also need to comply with stringent government imposed safety regulations. It requires real time positioning of people and assets not near real time. This is real time, because knowing for instance that a person and a truck one of the collision of course.

10 seconds ago is not good enough positions in distant measurements off the meeting calculated in milliseconds of as I was saying and we can deliver to these requirements with our solutions. So we have of customer in the mining is true we actually of several of them that has integrated our transceivers in to the light Assembly that goes on the miners helmet the call them Cath labs.

They've also of integrated our technology into units attached to mining trucks vigorous and horlicks, the attach them to ceilings and portals in key locations throughout the mines tunnel system.

And the result is one they can quickly locate workers vehicles and equipment. They don't waste time right. If they need trucks 72. They can go right to level 12 section five day and sign trucks 72.

Two we enable their collision of awareness system. So specifically of two vehicles of our personal vehicles are getting to near one another of yellow light provides the warning and it gets progressive alarms going from yellow to Red and then to inaudible buzzer as they get closer and closer.

Three.

Ventilation is really important as you can imagine and these mines eventually on demand. So mining ventilation that includes heating cooling and the Eric change is a significant cost contributor for underground mines. So knowing the position in counts of your miners and the strength machinery allows you trigger of ventilation activation.

In the optimum volumes, depending on where the activity taking place.

First of a number of other intriguing applications of automation. So for instance of vehicles location can trigger of the opening of the door as it approaches.

They can even change traffic light signals to give priority to a heavier weighted vehicle.

So we're not only providing ROI in terms of of safety for these customers, but also in terms of productivity and efficiencies that definitely impact dollars.

We also have another customer that were talked we're working with to provide.

Tags of our CSS and ultra wideband technology for use in the factories setting in order to really enable real time visibility of the equipment and other critical assets within their facility to increase operational workflow efficiencies right. So this is.

I'm pretty standard across most industrial and manufacturing type of factories and and what you would see in the production line.

For the worker safety and things like that so.

For work safety to debt Tech worker movement within and around specific sensitive areas and zones. So automatically inform safety personnel of their status and location of things like that to drivers and in the scenario, where we're extending our historical our pls product line.

For modules and chips.

Being included as components of of third party product to really moving into our own complete solutions for the industrial manufacturing sector. So we're able to do this because we can leverage and fictions broad set of technologies capabilities and experience with finished sensors anchors tags et cetera, and combine it with also our front end capabilities with you.

<unk> interfaces, our analytics platform our maps, so we're a man of Tron.

And we will continue to.

Move forward on the sprint wood chips and modules, we're now taking it up the stack with.

Complete solutions in the industrial manufacturing space this not only helps.

US compete with some of the Rts leaders, but also significantly increases our increases our ASP or average selling price.

These kinds of use cases cannot only increased safety and lower cost. They can ultimately result in more.

And the.

The industrial use cases for tons of halt.

No.

The equivalent of et cetera to the surface.

And provide other key metrics for these customers.

So as I mentioned some of these technologies are being applied to solve problems with the new use cases, and new industries and.

So let me touch on a couple of new use cases that are kind of interesting and wouldn't have come to my mind right away, but.

We have of customer for example in the country, where large public pools are very popular and very crowded so many of the visitors.

Arent great swimmers in the pool mandates each swimmer, where a rubber cap with the locator. So in this case uwp transceiver tags are attached to the swimmers caps and they communicate with our AWP anchors and location engine.

If it's one of those radio signal strength drops below a certain level for too long, which will happen. If this when it goes in the water for too long the lifeguard has alerted us to their location and not only that the parents of a child can monitor the well being of the location.

The well being and location of their child in the pool through an app on their phone so.

Very.

Diverse use cases, where our tos can can have an impact.

And safety and security is what drives.

Many of the solutions solutions, so we talked about.

Collision avoidance I'm talking about swim for case here and there.

Yes.

The types of what we set out in our vision with infection, which is to do good with indoor data. So I love the use cases, where we are really helping.

<unk> provides safety and security for people that are involved and engaged with our solutions.

But we're just scratching the surface of the many many applications for our Ngls and range of solutions and as we've discussed in the past GWB is an important technology.

And we will continue to be so in the future of indoor intelligence, we've talked about apple incorporating their phones and Samsung and others.

Also during this and so.

In particular with our Tos.

We will continue to play a big role.

Along with that.

It's made us think about partners and.

The opportunities in the space and seeking advice on how to how to grow this business. So I am pleased to share with you guys that Rick Clemmer who's.

The former CEO of NXP semiconductors, a leading provider of embedded controllers for the industrial internet of things.

Mobile and communications communications infrastructure is going to be joining in fiction as a member of its advisory board.

Ricks expertise and experience with <unk> and related technologies and of course as general business acumen will be invaluable to infection and we are lucky to have someone of the rig stature.

Involved in working with us.

We are also co investing with Rick and an App based sports performance analytics firm called game of game game is currently focused on the golf industry, where the suite of products that leverage Iot sensors maps and location technologies to serve golfers and golf facilities with products that are designed to help players improve their scores.

And to enable of course managers greenkeeper as an architecture of lower cost and improve the pace of play. So this is just one example of how the sports industry is also leveraging location based technologies, including the Iot sensors.

Mapping and <unk> technologies, and the data that can be derived for them to help understand enhance player and team performance to increase fan engagement to increase safety and improvement improve operational efficiencies and sports venues.

This information can be leveraged by the players coaches sports broadcasters fans teams venue owners and managers, we're seeing that across the sports industry from the NFL and others too.

Start using this type of technology. So this is another.

Interesting use case, an opportunity that I think we can.

<unk>.

Look at growth potential for infection in the future and we started with this.

Co investment with Rick, but I think that's another area that we'll continue to be an opportunity for us.

So to summarize we are growing revenue, we're innovating our products and expanding our solutions and our tls and experiencing incredible demand and that's returned to office space that I've talked about which we are investing more and more of our time and resources into.

And I believe that trend will continue and I'm very bullish on where that could lead in the coming quarters as companies across the globe tried to figure out how to get back to work in this new normal that we're all living in in terms of hybrid work models.

So suffice it to say, we're looking forward to a great 2021, I think companies are going to have to start moving now to be able to reopen any of the summer and fall and so we're definitely seeing that top of the funnel of interest and demand and looking for it to converting that as we are.

Execute and grow in 'twenty, one so in a bit I will come back and answer some of the questions that you've submitted to our IR firm, but first I'd like to turn it over to Wendy Wunderman, our CFO for a discussion on the 2020 financial results Monday.

Thank you Donna.

Revenue for the year ended December 31, 2021 of $9 $3 million as compared to $6 $3 million for the comparable period in the prior year for an increase of three point about $3 million of approximately 48%.

Revenue increased approximately $1 $2 million from the Sis that licensing agreement approximately $900000 from the name of John acquisition, and approximately $900 from $900000 I apologize for.

For the existing product line over the prior comparable period.

Gross profit for the year ended December 31, 2020 was $6 $7 million compared to $4 $7 million for the comparable period in the prior year for an increase of 42 per cent.

The gross margin for the year ended December 31, 2020, with 72 per cent compared to 74% for the year ended December 31 2019.

This decrease in margin is primarily due to lower growth pathmark lower gross profit margins from the name of trying to acquisition.

Loss from operations for the year ended December 31, 2020 was $23 $8 million as compared to $28 million for the comparable period in the prior year.

This increase in loss of approximately $3 million was primarily attributed to the higher operating expenses offset by the increase in gross profit for the year ended December 31 2020.

Net loss of truly just the stockholders of infection and for the year ended December 31, 2020, with $29 $2 million compared to $34 million for the comparable period in the prior year.

This decrease in loss of approximately $4 $8 million was primarily attributed to the increase in operating expenses offset by the increase in gross margin and the decrease in the evaluation allowance of Jasmine.

Non-GAAP adjusted EBITDA for the year end of December 31, 2020, with the loss of about $17 $1 million compared to the loss of $11 $1 million for the prior year period.

Non-GAAP adjusted EBITDA is defined as net income or loss before interest provision for income taxes, depreciation and amortization plus adjustments for other income or expense items nonrecurring items and non cash items, including stock based compensation.

The form of non-GAAP net loss per basic and diluted common share for the year ended December 31, 2021 of the loss of 71 cents per share compared to the loss of $18 75 per share for the prior year period.

Non-GAAP net loss per share is defined as net loss per basic and diluted share.

Adjusted for stock based compensation amortization of intangible assets.

The provision of doubtful accounts severance costs acquisition costs cost associated with public offering and onetime charges, including the loss of an exchange of cat for equity and valuation allowance of Catherine.

Cash on hand at December 31, 2020 was approximately $18 million.

However, we raised approximately $78 million in net proceeds.

January one 2021 from sales of our security and cleaning the exercise of warrants.

This concludes my comments and I'd now like to turn the call back over Snyder.

Great. Thanks, Randy.

David would you please lead us for the Q&A discussion.

Yes, Thanks, Nadir and like last quarter in our earnings data announcement press release, we suggested interested parties submit their questions in advance we would like to address those questions for you know some of them were duplicative. So we get our best to reconcile those where possible if you have any.

The further questions. After the call. Please feel free to follow up with the Investor Relations and we'll be sure to respond as quickly as possible.

So our first question you recently raised a good amount of money and state of the use of proceeds may include future acquisitions or other strategic activities can you elaborate on this line.

Sure Yeah as I discuss over the course of the call. We are definitely in a solid financial position to execute on our growth strategy. This may include acquisitions that complement our of further enhance our overall platform.

And ideally the accretive to earnings that's for.

What we're typically looking for the bottom line is that we intend to put this capital to work to deliver growth in terms of topline bottomline.

As long as our stock price and market cap. So that's that's that's.

That's the focus of of how we're going to invest this capital in and.

Where we're headed with it.

Great. Thank you. Our next question you mentioned Youre working with Fortune 500 companies and large pharmaceutical companies, but have not released any names can you give a better sense of the types of companies and some examples of the work youre doing for them.

Yeah. So you know most of our.

Customers as you've heard me say in the past don't allow us to name them.

And these are typically larger.

Household name type companies that debt.

For security of are the reasons decided not to share that information. So we've talked about some of our customers today, but I can share a few.

Descriptions of the types of companies that we engage with and work with.

And even some of the examples of that you've heard me mentioned tens of thousands of employees of millions of square feet. So I hope you understand that the we are dealing with larger companies but.

Some clients are for example of a major technology company that is looking at.

Managing employees and visitors for security purposes.

And then also thinking about contact tracing and now is going to have to think about the.

Return to work stuff that we've talked about today.

We've got a major pharmaceutical company for our mapping and asset tracking capabilities.

And then the international hardware manufacturer for both of our mapping and the way finding solutions on their campus.

And there with our partner of implementing guest booking in the hotel them for their office space.

I would probably add that our pipeline is growing significantly as companies look to reopen the offices as I alluded to in the call. So we're engaged with a variety of companies, including multibillion dollars of financial services companies.

The technology companies manufacturing online marketplace companies.

And of course government agencies that we've traditionally worked with and I've been listening to some of these customer calls and it's clear.

The customers have some real pain points that we can help solve for them as.

As the reopening so.

It's.

I would say.

It's an opportunity for us to see that we've got real product market fit as we move forward with the solution. So we're excited about that.

Great. Thank you. Our next question is we see that you have continued to hire can you expand on if and how these hires are helping to generate additional revenue.

Yeah.

Sure Yeah, I mean, we are hiring primarily in sales marketing and customer success to drive and support the expected growth in revenue.

We're focused on scaling this business and that does require some upfront investment in these areas.

Great. Thank you. Our next question is what are the future projections for the company.

[laughter] well, so we don't provide guidance haven't provided guidance historically or projections related to company.

As I stated before we do believe our solid financial position combined with the increased interest in the solutions and the acceleration in the market that we're going after.

Do.

We feel optimistic about our growth as well as our ability to execute on these new markets and verticals.

Great. Thank you. Our next question is outside of the pandemic tracing efforts what are the top industries or uses where infection products will be leveraged.

So the biggest demand again that we're seeing is around this whole return.

Two of the office of the new hybrid work from home or office model and that's across different industries.

Verticals, if you will and so I believe that'll drive definitely a lot of growth for us.

And the best thing about it is its global rates. So we're seeing opportunities not only here in the U S but the.

Across the.

The growth and then second would be the <unk> market I mentioned that that's also one of the biggest segments in the indoor location and space.

And sometimes through older technology solutions with RFID and so we've got an opportunity to grow that business with our ultra wideband solutions. So we've got a lot of untapped potential with our products.

And how we apply them to these industrial and manufacturing sectors.

And then finally I'd say.

Our one of our core swim lanes and really of the foundation of where infection got its start of isn't the security and safety space with our <unk>.

Sensors are device detection sensors, and so those are typically larger dollar value of projects upfront.

And there is interest from government agencies, and certainly the large commercial customers alike.

So that's that continues to be a potential growth opportunity for us.

Great. Thank you and our last question is are there any plans to get the platform into hospitals or if you're already working with hospitals to get impact in pitching mapping integrated if so are there any prime areas of our hospitals. The company is already working with.

Yes, absolutely. So we are currently deployed and active at a number of hospitals, including muscle locations of the national chain hospitals.

Hospitals are of great fit for us right, one because they're usually complex facilities.

The probably gotten confused trying to find a of lab or the patient's room.

So they use the slot for way finding intelligent navigation, but we're also working with health care focused solution providers to integrate with systems, such as asset tracking too fine.

IV pumps of other equipment that you typically see in the hospital.

And also for patient experience App so.

For instance of innovate maps with the appointment scheduling systems and visualized way tons of mob and of course of them for.

The way finding.

Yes.

Had good success in hospitals, and we'll continue pursuing strongly because we think we can help improve patient experiences.

Reduced costs in and generally enhance the safety and the hospitals.

Great. Thank you that concludes the Q&A and I'll turn it back over to you for the close.

Alright. Thanks.

Thanks, David So in closing I guess I want to highlight just.

Now our goals and objectives for success before I leave you so.

One I would say, it's our goal is to really establish ourselves of the leader in the indoor intelligence market, you've heard me say before that it's fairly fragmented.

There is no 800 pound gorilla. If you will right. There is there is some legacy players on the RTL side with older technologies, there is the Cisco and Aruba that hard.

Some of indoor location of analytics.

As a byproduct of their access points, but not the main focus so we intend to become the premier provider for indoor intelligence delivering the power of mapping location and actionable intelligence for smarter safer and more secure environment and really tap into.

The growing industry demand in the space.

Organizations are increasingly realizing the value of indoor intelligence and how it can be leveraged and we talked last time about how.

The pandemic actually created more awareness around the value and the use of indoor data and so we're continuing to see that as people return to make plans to return to the office.

We're targeting industries.

With the highest rate of adoption and looking at.

Income areas like commercial real estate or corporate enterprises.

Manufacturing industrial health care, if you just talked about.

As well as financial services.

In terms of growth, we're also looking at acquisitions and collaborations.

We continue value of very strategic transactions.

Including.

The companies with technologies and intellectual property that will complement our goals by adding technology differentiation customers.

The other fees that we made out of a presence in and certainly revenue.

And were also primarily looking for accretive acquisitions that have the.

Business value and operational synergies.

But that can offer as cross sell and up sell opportunities.

And certainly we have you know.

A solid balance sheet debt, we're going to leverage we have $50 million of cash.

And as you heard when you say, we raised net proceeds of approximately $78 million. This castle help us not only meet our operational requirements more than sufficient for that but also to invest in the growth in an M&A. The part of that debt. We're also looking to grow this.

Business organically and so we're looking forward to.

Showing those results in 'twenty, one so I'm very optimistic about the possibilities and opportunities for infection in 2021, and our growth trajectory.

Sectary and what I'm seeing here and so with that I'd like to thank you all for joining us today and shout out to our customers and partners and our amazing employees across the globe for your continued support.

Thank you everyone take care.

Thank you ladies and gentlemen, this does conclude today's event.

The disconnect at this time and have a wonderful day. Thank you for your participation.