KULR Technology Group, Inc.

All right, everybody, thanks so much for your patience and waiting on the line. We will now begin the Cooler Technology Group fourth quarter and full year 2021 earnings call for today, Thursday, March 17th, 2022. Let me give you an overview of the phone call. The call is going to consist of opening statements from Michael Moe, CEO, Keith Cochran, President and COO, and Simon Westbrook, CFO. The company will then answer questions from a group of analysts that have joined us today. But before we get this call started, I'm going to read the safe harbor statements. Many of you know these safe harbor statements can be found at the bottom of every press release as well as on the filings for the company. Now, statements on this call do not constitute an offer to sell or a solicitation of offers to buy any securities of any entity. This call may contain certain forward-looking statements based on the company's current expectations, forecasts, and assumptions that involve risks and uncertainties. Forward-looking statements made on this call are based on the information available to the company as of the date hereof. Actual results may differ materially from those stated or implied. on this call. Now, if you want to learn more, again, find the filings for the company on the SEC, as well as at the bottom of the press releases for the company. At this time, I would like to introduce Michael Moe to the call. Michael, the call is yours.

Yeah. Hey, thank you, Stuart. I appreciate all of you for joining us today on our Q4 and full year 2021 earnings press release call. I'm happy to report that 2021 was a pivotal and significant year for Cooler in our growth path. We continued our strong expansion in the fourth quarter. Revenue increased by 267% year-over-year to $766,000. For the whole year of 2021, we achieved a total revenue of over $2.4 million, which is 287% growth over 2020. We also had approximately $14.9 million of cash on the balance sheet at the end of 2021 compared to approximately $8.9 million of 2020. These financial results have put Cooler in its strongest financial position in its history and has built a solid foundation to continue our growth in 2022 and beyond. During 2021, we made significant investments in our people, our infrastructure, and product development. We expanded our executive management team. We grew our workforce by over fourfold, and we moved into a new facility that's three times larger. Additionally, we launched a number of new product development efforts, including cooler tech safe case, cell check, cell screening automation system, and a new battery architecture development. All these product launches and developments are progressing well. The Safecase product is gaining significant traction in the marketplace through our partnership with Retrieve Technologies. With the recent acquisition of Battery Solutions, they're the largest end-to-end battery recycler in the United States. We believe Safecase will drive significant business growth for Cooler in 2022, supporting the battery recycling, battery storage, and transportation markets. We're very excited about the growth opportunities in 2022. We see energy storage and battery recycling as the key growth drivers for us in the commercial market segments. Our partnership with Volta Energy Products positions us to deliver significant growth in the commercial energy storage market. Continuing that theme, Cooler will support products and services in support of Lockheed Martin's advanced energy systems for the DoD customers. In addition, we expect to see customer launches, which incorporate Cooler's proprietary PPR design in electric aviation and micro mobility. In the battery recycling and transportation market, We're expanding our safe case product line to facilitate the storage and transportation of new and used batteries for e-mobility, power tools, micro mobility, such as e-bikes, and consumer electronics. As companies and governments around the world pledge to meet net zero emissions over the next few decades. Cooler products and technologies are uniquely positioned to accelerate the adoption of clean and sustainable energy products that propel the migration to a global circular economy. In 2022, we expect to see continued growth in our thermal management business with government agencies and DOD customers. Our long-term strategy has been to co-develop cutting-edge thermal management technologies alongside NASA, the U.S. Department of Energy, the U.S. DOD, and while working in close collaboration with regulatory agencies and international testing organizations. Our goal is to incorporate these technologies into regulatory roadmaps that can serve multiple mass market applications. As we deploy these technologies into markets such as energy storage and electric transportation, we look to leverage our IP across multiple verticals and capitalize on multiple revenue streams to accelerate our revenue growth. We expect this flywheel effect to continue and possibly accelerate in 2022. All in all, we are very excited about this year and expect our growth to continue into 2023. Next, Cooler President COO Keith Cochran will give an update on our business operations. Keith, please.

Thanks, Michael, and thanks all for attending today's call. We appreciate that. As Michael said, we relocated in October of 2021 to a new facility located at 4863 Shawline Street, San Diego, California. The facility is three times larger than our previous facility with adequate room to support our forecasted personnel growth and new automated battery cell testing capabilities that will launch in Q3 of 22. Additionally, we installed independently enclosed areas to support the machine shop, testing lab, battery lab, and FTI flocking lab. We have implemented a 5S standard for the entire facility and will seek ISO 9001 certification in June of 22. With regards to the automated battery cell testing mentioned earlier, Kuhler began working in Q2 of 21 to support the stringent requirements of battery cell testing for NASA and the Department of Defense. This platform has been designed to meet the entire specification of NASA Work Instruction 037 battery testing requirements. Automated equipment is modular, and the initial processing capability is 500,000 cells annually. Based on the current commitments for the equipment, we intend to have the system installed and validated in Q3 of 22. I also mentioned earlier about employee growth. In January of 21, Cooler had 10 full-time employees. As of March 1st, 22, the organization has grown to 55 permanent employees with an additional 44 people working on cooler projects via contract. Cooler has many open requisitions today to support our growth outlook, primarily in sales, engineering, and technicians. We are pleased that we've been able to hire top talent to continue accelerating the growth of cooler platforms. Some of our recent hires include Dr. William Will Walker, as Director of Engineering, and Peter Hughes as Technical Marketing Engineer, Battery Applications. Both individuals have already had distinguished careers with NASA and now bring their collective knowledge to Cooler to support our renewable energy platforms. Cooler will continue to add additional permanent employees as needed while using outsourced leverage where it's appropriate. An example of outsourced leverage for Cooler is in cybersecurity. In Q1 of 21, Kuhler engaged with management solutions to enhance our IT infrastructure and improve all aspects of cybersecurity. As a subcontractor for Department of Defense programs, it is vital that Kuhler has state-of-the-art IT systems and controls. We believe the best path based on our current scale is to outsource this activity to a professional IT services organization. The result of this activity has been an estimated improvement of our NIST score of over 140 points. This critical improvement opens additional opportunities for Cooler in support of those DoD programs. Next, Cooler's CFO, Simon Westbrook, will give an update on our financial highlights. Simon? Thanks, Keith.