Airspan Networks Holdings Inc.

Greetings and welcome to Airspan Network Holdings' second quarter 2022 earnings conference. At this time, all participants are on a listen-only mode. A question and answer session will follow the formal presentation. If you would like to ask a question, please press star 1 on your telephone keypad. If anyone should require operator assistance during the conference, please press star 0 on your telephone keypad. Please be aware that the slides for today's event are available for download through the webcast. As a reminder, this conference is being recorded. I will now turn the call over to Airspan CFO, Mr. David Brandt. Thank you, sir. Please go ahead.

Thank you very much. The following discussion will include forward-looking statements. Comments that are not statement of fact, including projections of future financial results and other items, are considered forward-looking and involve risks and uncertainties. The risks and uncertainties that could cause our actual financial and operating results to differ significantly from our forward-looking statements are detailed in our SEC filings, available on our investor relations website at ir.airspan.com. We encourage you to review our earnings release and our quarterly report on Form 10-Q for the quarterly period ended June 30th, 2022, which are available on our website. On this call, we will discuss certain non-GAAP financial measures. For the identification of non-GAAP financial measures, the most directly comparable financial measure and the reconciliation between the two, see our earnings release and our quarterly report on Form 10Q. The Q2 2022 investor presentation is available for reference on our website and will be referred to at points during this call. I will now turn the call over to Airspan Chairman and CEO, Eric Stonestrom.

Thank you, David. Good morning, and thank you for joining us for Airspan's second quarter earnings call. Before we begin, I'd like to extend a warm welcome to our shareholders joining us today. I would also like to thank the analysts on the call for following the progress in our business. Our plan for today is to update you on the general market trend and explain what makes Airspan so well positioned to monetize these trends and opportunities. I will start with a review of our progress in the last month and with some general comments on the 5G worldwide rollout cycle. Glenn Laxall and David Brandt will add color on market, operations, and financials. Then we will take your questions in a Q&A session. As you can see from our results issued yesterday, AirSpan's progress in the second quarter reflected significant top-line growth compared to 1Q22 and the year-ago second quarter, as well as significant gross margin growth compared with 1Q22. Revenue increased 25% versus 1Q, and gross margin improved 8 percentage points to 40.2%. CAS usage decreased as supply chain linearity in the quarter improved from 1Q, with less back-end loading in the quarter, improving the collection cycle, and reducing extra charges for expediting. While operating conditions remained challenging, it was heartening to have improved quarterly revenue and smoother functioning on the supply chain. Customer momentum continued in 2Q with the receipt of additional purchase orders from our four largest customers and signing two substantial hyperscaler deals supporting our growth in private networks. We specialized in building the wireless technology that connects users to the cloud. New use cases like neutral host microcells to be used instead of a distributed antenna system continue to expand our addressable market. Our largest in-building customer for neutral host microcells ordered a record volume of products in the quarter to more than double the number of buildings covered. Glenn will go into more detail on the progress of some of our other significant projects and accounts. The RAN infrastructure market has been relatively flat to low growth prior to the 5G deployment, with MNO operators buying closed systems from a handful of large equipment manufacturers. The broad-based rollout of 5G is changing this model. Macrocell deployments for coverage are giving way to microcell for lower-cost coverage density, and capacity. Cost-effective coverage and capacity in the new hyper-connected 5G age are two challenges that our products are optimized to solve through innovative harnessing of differentiated product design, leveraging a breakthrough silicon, and our substantial software code base. Our software-defined approach also enables the cost-effective management of millions of network elements and endpoints. Geopolitical concerns are also increasing the range of potential opportunities. The recently enacted CHIPS Act puts a substantial financial commitment of $1.5 billion into the network equipment industry, furthering the design of Open RAN products. AirSpan, as a US-based company with a leading Open RAN track record, is well positioned to assist in this vital mission. In addition, The UK government has hastened plans to release 250 million sterling for a large-scale Open RAN deployment. Today, our technologies are key components of some of the largest and most innovative Open RAN networks in the world, and our portfolio is recognized for its unique attributes and innovations by friendly governments looking to strengthen the national security aspects of communications infrastructure. Let me turn the call over to Glenn Laxtal, our President and Chief Operating Officer, to provide additional perspectives on our progress.