Ocean Power Technologies, Inc.

Good morning and welcome to the Ocean Power Technologies second quarter of fiscal year 2025 earnings conference call. A webcast of this call is also available and can be accessed by a link on the company's website at www.oceanpowertechnologies.com. This conference call is being recorded and will be available for replay shortly after its completion. On the call today are Dr. Philip Stratman, President and Chief Executive Officer, and Bob Powers, Senior Vice President and Chief Financial Officer. Following prepared remarks, there will be a question and answer session. I'm now pleased to introduce Bob Powers.

Thank you and good morning. After the market closed yesterday, we issued our earnings press release and filed our quarterly report on Form 10-Q for the period ended October 31st, 2024. Our public filings are available on the SEC website and within the Investor Relations section of the OPT website. During this call, we will make forward-looking statements that are within the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may include financial projections or other statements of the company's plans, objectives, expectations, or intentions. These statements are based on assumptions made by management regarding future circumstances over which the company may have little or no control and involve risks, uncertainties, and other factors that may cause actual results to be materially different from any future results expressed or implied by such forward-looking statements. Additional information about these risks and uncertainties can be found in the company's Form 10-K and subsequent filings with the SEC. The company disclaims any obligation or intention to update the forward-looking statements made on this call. Finally, we posted an updated investor presentation on our IR website. Please take a moment to review it as it provides a nice overview of our company and strategy. Now, I am pleased to introduce Dr. Philip Stratman.

Good morning, and thank you for joining us today. I'm thrilled to share that the second quarter of fiscal 2025 was another transformational period for OPT. Our business remains on track toward achieving positive cash flow by the end of calendar year 2025 and this quarter we delivered outstanding results across key financial and operational metrics. We achieved remarkable revenue growth, significantly reduced operating expenses and advanced our strategic partnerships and technological innovations. These milestones reinforce our current trajectory and position us for continued leadership in the rapidly evolving maritime and renewable energy sectors. I'll highlight the quarter's most notable achievements, the momentum they create, and the exciting opportunities ahead as we pursue our strategic goals for fiscal 2025. To start, I'm excited to share that we achieved record quarterly revenue of $2.4 million, our highest ever. This represents a 170% increase compared to the same period last year, a testament to the effectiveness of our focused strategy and the growing demand for our solutions. Our strategic emphasis on national security, critical infrastructure, and international market expansion continues to deliver results. This reflects not just broader macroeconomic trends, but our ability to penetrate diverse markets and execute for new customers. We are successfully converting our expanding pipeline into revenue, driven by increasing domestic and international demand. Our ability to scale and deliver on large contracts positions us for sustained growth, and we're confident in our ability to capitalize and build on this momentum. On the cost side, we're maintaining a disciplined approach to operational efficiency. Through strategic headcount optimization and rigorous management of third-party spending, we reduced year-over-year operating expenses by 41% and operating cash burn by 39%. These results underscore our proven ability to manage resources effectively while scaling the business for long-term growth. As a result, we remain on track to achieve profitability in the fourth quarter of calendar 2025, a pivotal milestone that we approach with firm resolve and confidence. Strategic partnerships remain central to our growth strategy. This quarter, we made significant progress in expanding our market presence. In Latin America, we announced a partnership that includes $3 million in purchase order commitments over 36 months. This highlights the growing demand for our WAM-V USVs and reinforces our leadership in cutting-edge maritime technology. In the Middle East, OPT partnered with Unique Group to exhibit our WAM-V at ADAPEC and to provide services to commercial customers. We also signed a distributor agreement with REMA International Group in the UAE to focus on defense and security applications. Finally, we entered into a partnership with 3B General Trading and Contracting Co., to explore offshore energy and maritime projects in Kuwait. Our innovative solutions, such as power buoys and AI-powered WAMVI-USVs equipped with MEROS systems, are uniquely positioned to meet the region's need for sustainable, efficient offshore energy across commercial and defence industries. Domestically, we remain steadfast in our commitment to support national defence. This quarter, we successfully completed the second set of exercises under our follow-on contract with EpiSci as part of Project Overmatch. These exercises showcase the power of our 1V technology in military applications, validating its operational reliability and further solidifying our position in the defense sector. We are encouraged by the broader trends in defense procurement, which are increasingly shifting towards non-traditional and dual-use technology providers like OPT. This shift aligns with our strengths in delivering innovative, adaptable solutions for military and commercial applications. Importantly, we believe these changes represent significant upside as governments prioritize agility and innovation in their procurement strategies. Our advancements and partnerships demonstrate our continuing leadership in the maritime, AI, and autonomous vehicle space. With sectors such as national security, offshore energy, and marine intelligence poised for significant growth, we are well positioned to make the most of these opportunities and drive innovation forward. In conclusion, I am incredibly proud of the progress we've made this quarter. Our strategic execution, cost discipline, and innovative partnerships are driving us toward our goal of profitability by the end of calendar 2025. The momentum we have built gives us confidence in an even brighter and promising future. Thank you for your continued support. I will now hand it over to Bob, who will provide a detailed review of our financial performance.