American Shared Hospital Services

Good day and welcome to the American Shared Hospital Services fourth quarter and year end 2021 earnings conference call. All participants will be in a listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then one on your telephone keypad. To withdraw your question, please press star then two. Please note, this event is being recorded. I would now like to turn the conference over to Stephanie Prince with PCG Advisory. Please go ahead.

Thank you, Chad, and thank you to everyone joining us today. Before turning the call over to management, I would like to make the following remarks concerning forward-looking statements. Please note that various remarks that may be made on this conference call about future expectations, plans, and prospects for the company constitute forward-looking statements for the purposes of Safe Harbor provisions under the Private Securities Litigation Reform Act of 1995. Actual results may vary materially from those indicated by these forward-looking statements as a result of various important factors, including those discussed in the company's filings with the SEC. This includes the company's annual report on Form 10-K, The year ended December 31, 2020. The quarterly reports on Form 10Q for the quarters ended March 31, June 30, and September 30, fall of 2021, and a definitive proxy statement for the annual meeting of shareholders that was held on June 25, 2021. The company assumes no obligation to update the information contained in this conference call. I would now like to turn the call over to Ray Stachowiak, CEO of AMS. Ray?

Thank you, Stephanie. Good afternoon, everyone. Thank you for joining us today for our fourth quarter and year-end 2021 earnings conference call. I'll begin with some opening remarks and then turn the call over to Alexis Wallace, our Chief Accounting Officer, for a financial review. Craig Tagawa, our President, CEO of and CFO will then provide an operational review of the results. Following the prepared remarks, myself, Craig Alexis, and Ernie Bates, our Senior Vice President, Sales and Business Development and International Operations, will open the call for your questions. AMS finished 2021 on a strong note, reporting the highest revenue of the year in the fourth quarter. Revenue was $4.7 million for the quarter and $17.6 million for the year. Operating income was $723,000, the fourth consecutive positive quarter compared to losses last year, and $1.4 million for the full year. Craig and Alexis will go into the details in a few moments. We accomplished a great deal in 2021. Actions we've taken include strengthening the balance sheet through the impaired asset write-down in December 2020 and refinancing our debt. Our refinancing with Fifth Third Bank last April significantly reduced our principal payments and interest expense. In addition, we established a $7 million line of credit to increase our resources for new business opportunities. We broadened our product lines so we can offer all radiation therapy equipment from all manufacturers. We also expanded our addressable market by signing a business development agreement that provides support in our pursuit of new advanced radiation therapy opportunities in the federal facilities market, such as VA and Department of Defense hospitals. This is in addition to our other marketing initiatives in the United States and international healthcare markets. Late last year, we also lowered our expenses further by subleasing our downtown San Francisco office in addition to our other cost control efforts. Together, these actions resulted in increased profitability and a return to positive net income for both the quarter and the year. We have substantial resources for future opportunities. We have $8.3 million in cash and the new $7 million line of credit. These assets can be even further leveraged to accelerate the growth of our business. I'll now turn the call over to Alexis for the fourth quarter and full year financial review. Alexis?