Q4 2024 Senstar Technologies Corp Earnings Call
Operator: Ladies and gentlemen, thank you for standing by. Welcome to Senstar Technologies' fourth quarter and full year 2024 results conference call. All participants are at present in a listen-only mode following management's formal presentation.
Ladies and gentlemen, thank you for standing by and welcome to Offend Star technologies fourth quarter and full year 'twenty 'twenty four results conference call. All participants are at present in a listen only mode. Following management's formal presentation, we will have.
Operator: We will have a question and answer session. Instructions will be given at that time. As a reminder, this conference is being recorded.
A question and answer session and instructions will be given at that time.
Speaker Change: A reminder, this conference is being recorded I would now like to her hand, the call over to Kim Rogers of Pete and I are thank you you may begin.
Kimberly Rogers: I would now like to hand the call over to Kim Rogers of Hayden IR. Thank you. You may begin. Thank you, Sherry. Welcome and thank you for joining us today.
Kim Rogers: Thank you Sherry welcome and thank you for joining us today I want to thank the management of sensor technologies for hosting today's call with us on the call today from the company I missed your Fabian Auber, CEO and MS. Alicia Kelly CFO before we start I'd like to point out.
Kimberly Rogers: I want to thank the management of Senstar Technologies for hosting today's call.
Kimberly Rogers: With us on the call today from the company are Mr. Fabien Haubert, CEO, and Ms. Alicia Kelly, CFO. Before we start, I'd like to point out that this conference call may contain projections or other forward-looking statements regarding future events or the company's future performance. These statements are only predictions, and Senstar cannot guarantee that they will, in fact, occur. Senstar does not assume any obligation to update that information. Actual events or results may differ materially from those projected.
Kim Rogers: This conference call may contain projections or other forward looking statements regarding future events or the company's future performance. These statements are only predictions and send star cannot guarantee that they will in fact occur since started does not assume any obligation to update that information actual events.
Kim Rogers: Our results may differ materially from those projected.
Fabien Haubert: Included as a result of changing market trends, reduced demand, and the competitive nature of the security systems industry, as well as other risks identified in the documents filed by the company with the Securities and Exchange Commission.
Kim Rogers: Including as a result of changing market trends reduced demand and the competitive nature of the security systems industry as well as other risks identified in the documents filed by the company with the Securities and Exchange Commission.
Kimberly Rogers: In addition, during the course of the conference call, we will describe certain non-GAAP financial measures, which should be considered in addition to, and not in lieu of, comparable GAAP financial measures. Please note that in our press release, we have reconciled our non-GAAP financial measures to the most directly comparable GAAP measures, in accordance with Reg G required. You can also refer to our website at www.senstartechnologies.com for the most directly comparable financial measures and related reconciliations.
Kim Rogers: In addition, during the course of the conference call, we will describe certain non-GAAP financial measures, which should be considered in addition to and not in lieu of comparable GAAP financial measures. Please note that in our press release, we have reconciled our non-GAAP financial measures to the most directly comparable GAAP.
Speaker Change: Measures in accordance with Reg G requirements. You can also refer to our website at Www Sunstar technologies Dot com for the most directly comparable financial measures and related reconciliations with that I will now hand, the call over to send Star technologies C E O.
Fabien Haubert: With that, I will now hand the call over to Senstar Technologies CEO, Fabien Haubert. Fabien, please go ahead. Thank you, Ken. Thank you for joining us today to review our fourth quarter and full year 2024 financial results. Starting with an overview of this quarter's performance, our revenue increased by 14.5% compared to Q4 2023, driven by solid growth across our core geographies, with the USA and the EMEA markets expanding by 43% and 44% respectively. During the quarter, we also achieved major wins across the telecom data centers, airports, and correction verticals, which served as important tailwinds for the business heading into 2025.
Fabian Howbehr: Fabian how behr Fabian. Please go ahead.
Speaker Change: Thank you Ken.
Speaker Change: For joining us today to review, our fourth quarter and full year 2024 financial results.
Starting with an overview of this quarter's performance our revenue increased by 14, 5% compared to for Q4 2023 <unk>.
Driven by solid growth across our core geographies with the USA and EMEA markets, expanding by 43% and 44% respectively.
Speaker Change: During the quarter, we also achieved major wins across the telecom data centers airports and.
Speaker Change: And correction verticals, which serves as an important tailwind for the business heading into 2025.
Fabien Haubert: Similar to the prior quarter, growth margin was strong at 64.5% representing a 7.9% points increase versus Q4 2023. The improvement in the quarter was primarily driven by the combination of a balanced solution mix, pricing adjustments, our continued streamlining of cost-saving initiatives, and normalization supply chain of the components market. As previously communicated, our growth margin levels are aligned with our expectation to deliver a growth margin of 60% or better. While we remain focused on diligent expense management, operating expenses increased by 7% compared to Q4 2023, primarily due to higher cost driven by recent headcount additions in both the general and administratives and sales and marketing functions.
Speaker Change: Similar to the prior quarter gross margin was strong at 64, 5%.
Speaker Change: Representing a seven nine percentage points increase versus Q4 2023.
Speaker Change: The improvement in the quarter was primarily driven by the combination of a balanced solution mixed pricing adjustment.
Speaker Change: Continued streamlining of cost saving initiatives.
Speaker Change: And normalization of the supply chain of the company's markets.
Speaker Change: As previously communicated with gross margin levels are in line with our expectation to deliver a gross margin of 60% or better.
Speaker Change: While we remain focused on diligent expense management operating.
Speaker Change: <unk> expenses increased by 7% compared to Q4 2023, primarily due to higher costs driven by recently head count additions in both the general administrative and sales and marketing functions.
Fabien Haubert: The combination of revenue growth and growth margin expansions, in tandem with diligent investments to drive sales, led to a significant increase in our profit to build. Accordingly, EBITDA in the quarter reached 1.6 million versus the 0.5 million in the year ago quarter, while net income improved from 0.4 million to 1.6 million. We continue to experience strong growth in the US and EMEA, and our core verticals have remained a significant growth contributors on the company overall. Our performance this quarter reflects both the 6-6-4 execution of our strategic focus on high potential sectors and the continued customer adoptions of our tailored solution.
Speaker Change: The combination of revenue growth and gross margin expansions in tandem with diligent investments to drive sales led to a significant increase in our profitability.
Speaker Change: Accordingly, EBITDA in the quarter reached $1 6 million versus the older two 5 million in the year ago quarter.
Speaker Change: While net income improved from <unk> 4 million to $1 6 million.
Speaker Change: We continued to experience strong growth in the U S and EMEA and cold verticals have remained a significant growth contributors on the company overall.
Speaker Change: Our performance this quarter reflects both the six six full execution of our strategic focus on high potential sectors and the continued customer adoption of our tailored solutions.
Fabien Haubert: Turning to our fiscal year of 2024 results, total revenue increased by 9% to $35.8 million, driven by strong performance in our USA, EMEA and APEC markets. we experience a healthy growth rate from our targeted vertical. with notable strengths in the corrections, utility and transportation verticals, along with a great performance in data centers and renewable energy. We continue to focus our efforts on data centers among globally recognized names, which supported an over 30% growth in the UWP verticals in 2024. Growth margin for 2024 expanded for 6.6 percentage points to 64.1% from 57.5% in 2022. The increasing gross margin was driven by price adjustment, streamlining initiatives, and the stabilization of supply chain following a period of constraints related to COVID.
Tony: Turning to our fiscal year of 2024 results Tony.
Tony: Total revenue increased by 9% to 35 8 million driven by strong performance in our USA EMEA and APAC markets.
Tony: We experienced healthy growth rates from our targeted vertical.
Tony: With notable strength in the corrections utility and transportation verticals, along with the great performance in data centers and renewable energy.
Tony: We continue to focus our efforts on data centers among globally recognized names, which supported an over 30% growth in the utility vertical in 'twenty wonderful.
Tony: Gross margin for 2024 expanded for $6 six percentage points to 64 to the one person.
Tony: 57, 5% in 2023.
Tony: The increase in gross margin was driven by price adjustment streamlining initiatives and the stabilization of supply chain following and periodic constraints related to COVID-19.
Fabien Haubert: Based on streamlining initiatives that we began in 2023, we're continuing to optimize our cost structure and deliver the 5% decline in the parading expenses for the year of 2024. As a result of this powerful combination of revenue growth, growth margin expansion, and lower operating expenses, our profit trajectory shows a meaningful improvement. For the full year of 2024 EBITDA reached $4.6 million compared to EBITDA loss of $0.3 million in 2023 and net income improved by $3.9 million to $2.6 million versus net loss of $1.3 million in 2023. Our capital structure remains healthy, with a cash balance of $20.5 million, along with no debt as of December 31, 2024.
Tony: Based on streamlining initiatives that we began in 2023, whereas continuing to optimize our cost structure and delivered a 5% decline in the operating expenses for the euro of 'twenty 'twenty four.
Tony: As a result of this powerful combination of revenue growth gross margin expansion and lower operating expenses.
Tony: Our profit.
Tony: Victory shows a meaningful improvement.
Tony: For the full year of 2024, EBITDA reached $4 6 million compared to EBITDA loss of $1 3 million in 2023.
Tony: Net income improved by $3 9 million to $2 6 million versus net loss of $1 million to $3 million in 2023.
Tony: Our capital structure remains healthy with a cash balance of $20 5 million along with no debt as of December 31, 'twenty 'twenty four.
Fabien Haubert: Not turning to vertical sail.
Tony: Now turning to vertical sales.
Fabien Haubert: Correctional Facility. We achieved important wins in the correction verticals driven by steady demand for our advanced security technologies that ensure public safety, mainly in the U.S. Our customer and the broader market see value in reliable, intelligent threat detections that adapts to complex environments. Leveraging on the power of AI, our multi-sensor product is an example of our advanced perimeter solutions and is uniquely suited to address the modern needs of complex facilities such as correctional institutions. Our, our offering have helped strengthen our competitive position in a trusted partner. leading to an increase in contract wins, particularly in the US market.
Tony: Correctional facilities, we have.
Tony: Important wins in the corrections verticals driven by steady demand for advanced security technologies that ensure the safety mainly in the USA.
Tony: Our customer and the broader market value and reliable intelligent threat detection that adapts to complex environments.
Tony: Leveraging the power of AI, our multi sensor product is an example of our advanced <unk> solutions as you know emmis uniquely suited to address the modern needs of complex facilities, such as Correctional institution.
Tony: Our offering have helped strengthen our competitive position in a trusted partner.
Tony: Leading to an increase in contract wins, particularly in the U S market.
Fabien Haubert: Utilities. The growth trajectory of these verticals remains one of our strongest. And we experienced a significant breakthrough with data centers across all our core markets in 2020.
Tony: Utilities the growth trajectory of these verticals remains one of our strongest and we experienced a significant breakthrough with data centers across all our core markets in 2024.
Fabien Haubert: The EMEA, US, and APAC regions showed notable strengths with broad-based demand across data centers, telecom infrastructure, solar farms, and energy generation. As the utility sector accelerates investments in securing critical infrastructures, we are strategically positioned to capture a growing share of the markets. Our technology is showing increased adoption by operators of these high-value assets, which demonstrates the scalability and ingenuity of our solution.
Tony: The EMEA U S and APAC region showed notable strength with broad based demand across data centers telecom infrastructure solar farms in energy generation.
Tony: As the utility sector accelerate investments in securing critical infrastructure, we are strategically positioned to capture a growing share of the markets.
Tony: Our technology is showing increased adoption by operators.
Tony: Of these high value assets, which demonstrates the scalability and ingenuity of our solutions.
Fabien Haubert: Transport. In Q4 2024, we accomplished major wins in the transport sector, with a steady flow of demand for upgraded airport infrastructure across a variety of our core markets. The EMEA and APAC region in particular are expanding rapid development in transport infrastructure, and our technology is uniquely positioned to address these markets, increasing needs for securing monitoring systems. In addition to EMEA and AIPAC, we're continuing to prioritize a broad base of geographies where modern transportation security initiatives are aligned with our innovative and secure solutions.
Tony: Transport in Q4, 'twenty 'twenty four we accomplished major wins in the trunk of sector with a steady flow of demand for upgraded airport infrastructure across a variety of our core markets. The EMEA and APAC region. In particular are expanding a rapid development in transport infra.
Tony: Structure and know what technology is uniquely positioned to address the market's increasing need for securing monitoring systems.
Tony: In addition to EMEA and APAC, we're continuing to prioritize our broad base of geographies, where modern transportation security initiatives are aligned with our innovative and secure assumption.
Fabien Haubert: Energy, the vertical was pressured on the 2024 with revenue declining versus 2023. However, our energy offering remains in a competitive position, and it enables companies to unlock operational efficiencies while protecting critical assets.
Tony: Energy the vertical was pressured on the 'twenty 'twenty four with revenue declining versus the 2023, however, our energy offering remains in a competitive position that enables companies to unlock operational efficiencies, we're protecting critical assets.
Fabien Haubert: The EMEA market was the strongest performing region with its vertical in 2024, while North America showed encouraging trends as well. We're optimistic about the trend in the energy industry and remain focused on capturing opportunities that will have a positive contribution in the quarters ahead.
Tony: EMEA markets were the strongest performing region with this vertical in 2024, while North America showed encouraging trends as well we're optimistic about the trend in the energy industry and remain focused on capturing opportunities definitely has a positive contribution in the quarters ahead.
Fabien Haubert: In terms of product updates, I'm pleased to share that Multisensor is experiencing positive initial indicators with continued sales in Q4 2024. This has become the cornerstone of our perimeter technology solution. And initial customer feedback has been overwhelmingly positive. particularly for those in critical infrastructure and high security sectors. As demand grows for comprehensive real-time situational awareness, multi-sensor positions us well for continued growth in both domestic and international markets. Our strategy remains focused on business development to expand global market share across key verticals. We're pleased to report a growing share of our sales is being driven by new customers, reflecting successful outreach and acquisition efforts.
Tony: In terms of product updates I'm pleased to share that most of the sensors is experiencing positive initial indicators with continued sales in Q4 'twenty 'twenty four.
Tony: This has become the cornerstone of our perimeter technology solution and initial customer feedback has been overwhelmingly positive.
Tony: Particularly for those critical infrastructure and high security sectors.
Tony: As demand grows for comprehensive real time, situational awareness multi sensor positions us well for continued growth both domestic and international markets.
Tony: Our strategy remains focused on business development to expand global market share across key verticals. We're pleased to report the growing share of our sales is being driven by new customers, reflecting successful outreach and acquisition efforts.
Fabien Haubert: We recently hired a new business development team that is already well established on three major continents to sustain this progression. The business development team has a proven track record and their incentives are in full alignment with the company to improve the revenue ratio of new customers. We aim to bring a new end user in existing markets, while also acquiring customers in new regions. Likewise, our investments in key territories are coming to fruition, as evidenced by the double-digit growth in the USA and EMEA markets.
Tony: We recently hired a new business development team that is already well. It's finished on three major continents to sustain this progression the business development team has a proven track record and their incentives are in full alignment with the company to improve the revenue ratio of new customer sales.
Tony: We aim to bring a new end user is in existing markets, while also acquiring customers in new regions.
Tony: Likewise, our investments in key territories are coming to fruition as evidenced by the double digit growth in the USA and EMEA markets.
Fabien Haubert: In conclusion, we're encouraged by our performance in 2024, marked by strong revenue growth, material improvement in profitability, and market share gains across our keywords. The Senstar team remains dedicated to successfully executing our growth strategy, capturing market share and delivering value to our customers. We're committed to expanding upon these wins as we continue delivering value for our shareholders and generating sustainable long term growth.
Tony: In conclusion, we're encouraged by our performance in 2024.
Tony: <unk> by strong revenue growth material improvement in profitability and.
Tony: And market share gains across our key verticals.
Tony: The sensor team remains dedicated to successfully executing our growth strategy.
Tony: Capturing market share and delivering value to our customers. We're committed to expanding upon these wins as we continued delivering value for shareholders in generating sustainable long term growth.
Alicia Kelly: Now I will pass the call to our CFO, Alicia Kelly. Alicia, please go ahead and review the financial results. Thank you, Fabien. I'll begin with the results for the quarter. Our revenue for the fourth quarter of 2024 was $10.2 million, an increase of 14.5% compared with $8.9 million in the fourth quarter of 2023. We saw robust sales growth in the US of 43%. Growth was experienced in all four of our key verticals. But the most significant growth was from was reported from utility sales driven by a large breakthrough in data centers across all and Mia also reported an increase in sales of 44% in Q4 versus the same period last year.
Tony: Now I will pass the call to our CFO Elisha Kelly.
Speaker Change: Alicia. Please go ahead and review the financial results. Thank.
Elisha Kelly: Thank you Fabian I'll begin with the results for the quarter our revenue for the fourth quarter of 2024 was $10 2 million an increase of 14, 5% compared with $8 9 million in the fourth quarter of 2023, we.
Elisha Kelly: We saw robust sales growth in the U S. A 43% growth was experienced in all four of our key vertical but the most significant lifestyle was reported from utility sales driven by a large breakthrough and data centers across all regions.
Elisha Kelly: EMEA also reported an increase in sales of 44% in Q4 versus the same period last year.
Alicia Kelly: Incremental sales were reported in the correction, renewable energy and the transportation. The geographical breakdown as a percentage of revenue for the fourth quarter of 2024 compared to the year ago quarter is as follows. North America, 42% versus 36%. and the 46% versus 30 APAC 11% versus 14%. Latin America 2% versus 11% and all other regions were immaterial for Q4 of 2024 and less than 3% in Q4 of 2024. fourth quarter growth margin was 64.5% up compared to 56.6% in a year go quarter. The increase in growth margin was primarily due to product mix and price increase.
Elisha Kelly: Incremental sales were reported in the correction renewable energy and the transportation segment.
Elisha Kelly: The geographical breakdown as a percentage of revenue for the fourth quarter of 2024 compared to the year ago quarter is as follows.
Elisha Kelly: North America, 42% versus 36%.
Elisha Kelly: EMEA up 46% versus 36%.
Elisha Kelly: APAC, 11% versus 14%.
Elisha Kelly: Latin America, 2% versus 11% and all other regions were immaterial for Q4 of 2024 and less than 3% in Q4 of 2023.
Elisha Kelly: Fourth quarter gross margin was 64, 5% compared to 56, 6% a year ago quarter. The increase in gross margin was primarily due to product mix and price increases.
Alicia Kelly: Our operating expenses were $5.1 million, up 7% compared to $4.8 million in the prior year fourth quarter. The increase was driven by headcount investments in G&A, marketing, as well as sales. Strong revenue and a sizable increase in growth margin drove an increase in our operating income for the fourth quarter to $1.5 million, a significant increase compared to $262,000 in a year ago. Financial income was $463,000 in the fourth quarter of the year compared to $34,000 in the fourth quarter of last year. This is mainly a non-cash accounting effect. We regularly report due to the adjustment.
Elisha Kelly: Our operating expenses were $5 $1 million up 7% compared to $4 8 million in the prior year fourth quarter.
The increase was driven by head count investments in G&A marketing as well as stout.
Elisha Kelly: Strong revenue and a sizable increase in gross margin drove the increase in our operating income for the fourth quarter to $1 5 million, a significant increase compared to 262000 and a year ago period.
Speaker Change: Angela can come with 463000 in the fourth quarter of the year compared to 34000 in the fourth quarter of last year.
Elisha Kelly: This is mainly noncash accounting effect regularly report due to the adjustment.
Alicia Kelly: to the evaluation of our monetary assets and liabilities denominated in currencies other than the functional currency of our operating entities in the group in accordance with GAAP. Net income attributable to Senstar Technology shareholders in the fourth quarter was $1.6 million. for seven cents per share compared to $433,000 or two cents per share in the fourth quarter of last The company's EBITDA for the fourth quarter was $1.6 million compared to $450,000 in the fourth quarter of last Added to Senstar's operational contribution are the public platform expenses and amortization of intangible assets from historical acquisition.
Elisha Kelly: To the valuation of our monetary assets and liabilities denominated in currencies other than the functional currency operating entities in the group.
Elisha Kelly: In accordance with GAAP.
Elisha Kelly: Net income attributable to censor technology shareholders in the fourth quarter was $1 $6 million.
Elisha Kelly: Or seven cents per share compared to $433000 or two cents per share in the fourth quarter of last year.
Elisha Kelly: The company's EBITDA for the fourth quarter was $1 6 million compared to 450000 in the fourth quarter of last year.
Elisha Kelly: Added to some stars operational contribution or the public platform and center and amortization of intangible assets from historical acquisition.
Alicia Kelly: The corporate expenses for the fourth quarter were approximately $700,000.
Elisha Kelly: The corporate expenses for the fourth quarter were approximately $700000.
Alicia Kelly: Turning now to the results for the full year. Revenue for the full year 2024 was $35.8 million, an increase of 9% compared with $32.8 million in 2020. Sales grew 15% in the US compared to 2023.
Elisha Kelly: Turning now to the results for the full year revenue for the full year 2024 was $35 8 million, an increase of 9% compared with $32 $8 million in 2023.
Elisha Kelly: Sales grew 15% in the U S compared to 2023.
Alicia Kelly: And EMEA also reported an increase in sales of 11% in 2024 compared to last The geographical breakdown of the percentage of revenue for 2024 compared to 2023 is a North America, 45% in each period. Amia 36% versus 35% APAC 15% versus 12% Latin America 3% versus 7% and all other regions less than 1% in both periods.
Elisha Kelly: EMEA also reported an increase in sales of 11% in 2024 compared to last year.
Elisha Kelly: Geographically breakdown as a percentage of revenue for 2024 compared to 2023 is as follows.
Elisha Kelly: North America, 45% in each period.
Speaker Change: 36% versus 35%.
Speaker Change: APAC, 15% versus 12% Latin America, 3% versus 7% and all other region less than 1% in both periods.
Alicia Kelly: 2024 gross margin was 64.1% up compared with 57.5% in 2020. an improvement in gross margin was largely attributed to balanced product mix, the positive impact of organizational streamlining initiatives, and carefully implemented pricing adjustments. Our operating expenses were $19 million, down 5% compared to 2023. The decrease is the result of streamlining our corporate structure and realigning of resources that we implemented in The top line growth, strong growth margin and reduced operating expenses collectively drove an increase in our operating income for 2024 to $3.9 million. compared to an operating loss of $1.3 million in 2020.
Speaker Change: 2024, gross margin was 64, 1% compared with 57, 5% in 2023.
Speaker Change: An improvement in gross margin largely attributed to balanced product mix the positive impact of organizational streamlining initiatives and careful carefully implemented pricing adjustments.
Speaker Change: Our operating expenses were $19 million down 5% compared to 2023.
Speaker Change: The decrease is the result of streamlining our corporate structure.
Speaker Change: Realigning our resources that we implemented in 2023.
Speaker Change: The top line growth strong gross margin and reduced operating expenses.
Speaker Change: Collectively drove the increase in our operating income for 2024 to $3 9 million compared to an operating loss of $1 $3 million in 2023.
Alicia Kelly: Financial income was $731,000 in 2024 compared to financial expense of $64,020. Net income attributable to Senstar Technology shareholders in 2024 was $2.6 million or $0.11 cents per share compared to a net loss attributable to Senstar Technology shareholders of $1.3 million or negative $0.06 cents per share in 2021. The company's EBITDA for 2024 was $4.6 million, compared to a negative $348,000 in 2023. Added to Senstar's operational contribution are the public platform expenses and amortization of intangible assets from historical acquisitions.
Speaker Change: Financial income was 731000 in 2024 compared to financial expense of 64000 in 2023.
Speaker Change: Net income attributable to censor technology shareholder in 2024 or was $2 6 million or <unk> 11 per share compared to a net loss attributable to censor technology shareholders of $1 3 million or negative six cents per share in 2023.
Speaker Change: The company's EBITDA for 2024 was $4 6 million compared to a negative 348000 in 2023.
Speaker Change: Hi, this is sensors operational contribution or the public platform expenses and amortization of intangible assets from historical acquisition.
Alicia Kelly: The corporate expenses for 2024 were $2.2 million.
Speaker Change: Corporate expenses for 2024 with $2 $2 million.
Alicia Kelly: Cash and Cash Equivalents and Short-Term Bank Deposits as of December 31, 2024, or $20.6 million or $0.88 per share.
Speaker Change: Cash and cash equivalents and short term bank deposits as of December 31, 2024 or $26 million.
Speaker Change: For 88 cents per share.
Alicia Kelly: That concludes my prepared remarks.
Speaker Change: That concludes my prepared remarks, operator, we'd like to open the call to questions now.
Operator: Operator, we'd like to open the call. Thank you.
Speaker Change: Thank you we will now be conducting a question and answer session. If he would like to ask a question. Please press star one on your telephone keypad, a confirmation tone will indicate your line is in the question queue. You May press star two if he would like to remove your question from the queue and for participants using speaker equipment it may be necessary.
Operator: We will now be conducting a question and answer session. If you would like to ask a question, please press star 1 on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star 2 if you would like to remove your question from the queue. And for participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys. One moment while we poll for questions. Once again, it is star one on your telephone keypad. If you would like to ask a question.
Speaker Change: Sorry to pick up your handset before pressing the star keys, one moment, while we poll for questions.
Speaker Change: Once again it is star one on your telephone keypad, if you would like to ask a question.
Speaker Change: Yeah.
Operator: There are no questions at this time.
Speaker Change: There are no questions at this time I would like to turn the call back over to Mr. Hulburt.
Operator: I would like to turn the call back over to Mr. Haubert. Oh, we do have a question.
Speaker Change: We do have a question I'm, sorry from Ken Liddy with Oppenheimer and company. Please proceed.
Kenneth Liddy: I'm sorry from Ken Liddy with Oppenheimer and Company. Please proceed.
Speaker Change: Okay.
Fabien Haubert: Mr. Liddy, your line is live. Hi, just wanted to know what growth drivers for 2024 look positive for 2025. Unknown Speaker, Unknown Speaker, Unknown So, unfortunately, we're not providing forward-looking statements, but we only can report that we've been showing growth on three of the fourth quarter last year, we believe to be based on something structural and not basically accidental. So basically, the global trend in needs for security and to secure critical infrastructure, the complexity of those operations and of the requirements on security make us believe that we're in a very positive trend, which is to be continuous, but it's only an assumption that we're striving at most to keep on the safe side.
Speaker Change: Mr. Liddy your line is live.
Speaker Change: Hi, just wanted to know what.
Speaker Change: Growth drivers for 2024 look positive for 2025.
Speaker Change: Yeah.
Speaker Change: Sorry, I didn't get.
Speaker Change: Growth drivers this is positive for ton.
Speaker Change: Uh huh.
Speaker Change: So unfortunately, we're not providing forward looking statements, but we are we only can reported that we've been showing growth.
Speaker Change: Uh huh.
Speaker Change: Three of the fourth quarter last year as we believed to be based on something structural and enough basically I'd say Danville, so basically the truly.
Speaker Change: The global branded needs for security and to secure critical infrastructure the complexity.
Speaker Change: All of those operation and all the requirements and security.
Speaker Change: Make us believe that we're in a very positive trend.
Speaker Change: Which used to be continuous but it's all in the assumption that would drive the most of the keep on the same trend.
Fabien Haubert: Is there any region that you're any more encouraged than not encouraged? about potential growth. So I speak only...
Speaker Change: Is there any region that you're any more encouraged than not encourage.
Speaker Change: About one one times to grasp.
Fabien Haubert: We're going to say what we have experienced in 2024. We're very happy to have seen the growth in our three main regions, which are basically North America, EMEA, and APAC. And we hope and strive that the growth will remain in the three main regions.
Speaker Change: I was going to say, what we have experienced in 2024.
Speaker Change: We're very happy to have seen a growth in our three main regions, which are basically in North America, EMEA and APAC and we hope and strikes that the the growth will remain in the three main regions.
Speaker Change: Yeah.
Fabien Haubert: Can you comment on anything in the future, as far as, you know, optimism, anything to that effect? I fully I totally understand.
Speaker Change: Can you comment on anything in the future.
Speaker Change: As far as.
Speaker Change: Optimism anything to that effect.
Speaker Change: I fully until I totally understand unfortunately, we're not providing forward looking statements.
Fabien Haubert: Unfortunately, we're not providing forward looking statements. We just we'll keep doing our very best to make sure we can keep on the same trend we're currently are and we will work hard to even do better than that.
Speaker Change: We just will keep doing our very best to make sure. We can keep on the same.
Speaker Change: Trend with your own C R.
Speaker Change: We work hard to even do better than that.
Unknown Attendee: I guess one last question.
Speaker Change: I guess one last question is there any new opportunities in the United States that did not exist in 2020 for that could possibly.
Fabien Haubert: Is there any new opportunities in the United States that did not exist in 2024 that could possibly be a future pipeline. So, I'm trying to understand the background of your question, in the sense that... With the political turmoil in the United States regarding immigration, does that present any opportunity for your company? So the race of, okay, I understand the question. The race of insecurity in worldwide and in the United States as well, in terms to, is a strong driver to securing better. I'm not in a position to make any link between basically the insecurity and immigration is not what we're aiming forward.
Speaker Change: Be a future pipeline.
Speaker Change: So I'm trying to understand the background of your question in the sense of well with them.
Speaker Change: Medical.
Speaker Change: The political.
Speaker Change: Turmoil in the United States regarding immigration does that present.
Speaker Change: Any opportunity.
Speaker Change: For your company.
Speaker Change: So the raise the case is I understand the question the raise of insecurity in worldwide and indeed.
Speaker Change: In the United States as well and tends to is there is a.
Speaker Change: A strong driver to securing better.
Speaker Change: I have nothing the person, making the Lynch basically and basically the unsecured and immigration there's not a.
Speaker Change: What we're aiming for which we know that the need for security has remained high and we're putting all our effort to keep securing basically the oh, we're trying to get to the verticals again distilling of insecurity.
Fabien Haubert: We know that the need for security has remained high and we're putting all our effort to keep securing basically our targeted verticals against this feeling of insecurity.
Speaker Change: Understood. Thanks for taking my questions.
Unknown Attendee: Understood.
Unknown Attendee: Thanks for taking my question.
Speaker Change: Thank you.
Fabien Haubert: With no further questions, I would like to turn the conference back over to Mr. Haubert for closing remarks. So on behalf of Management of Senstar, I would like to thank you for your continued interest and long-term support of our business. We look forward to sharing more updates with you in the coming quarters.
Mr. Hubbard: With no further questions I would like to turn the conference back over Mr. Hubbard for closing remarks.
Mr. Hubbard: So on behalf of management of sensor I would like to thank you for your continued interest and long term support of our business. We look forward to sharing more updates with you in the coming quarters have a good day.
Operator: Have a good day. Thank you.
Speaker Change: Thank you. This does conclude today's conference you may disconnect. Your lines at this time and thank you for your participation.
Operator: This will conclude today's conference. You may disconnect your lines at this time and thank you for your participation.
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Mr. Hubbard: Hum.
Mr. Hubbard: [music].
Mr. Hubbard: Uh huh.
Mr. Hubbard: Yes.
Mr. Hubbard: Okay.
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Mr. Hubbard: [music].
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Mr. Hubbard: Yeah.
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Mr. Hubbard: Yes.
Mr. Hubbard: Thanks.
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Mr. Hubbard: Yes.
Mr. Hubbard: Sure.
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Mr. Hubbard: Sure.
Mr. Hubbard: [music].