American Superconductor Corporation

Welcome to the AMSC Second Quarter Fiscal Year 2022 Financial Results Conference Call. All participants will be in listen-only mode. Should you need assistance, please signal a conference specialist by pressing star followed by zero on your telephone keypad. 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 questions, please press star then zero. Please note, this event is being recorded. I would now like to turn the conference over to John Heilshorn from LHA. Please go ahead, sir.

Good morning, Sandra. Good morning, everyone, and welcome to American Superconductor Corporation's second quarter of fiscal 2022 earnings conference call. I am John Heilshorn of LHA Investor Relations, AMSD's investor relations agency of record. With us on today's call are Daniel McGann, Chairman, President, Chief Executive Officer, and John Casipa, Senior Vice President, Chief Financial Officer, and Treasurer. American Superconductor issued its earnings release for the second quarter of fiscal 2022 yesterday after the market closed. For those of you who are not able to see the release, a copy is available on the investor's page of the company's website at www.amst.com. Before starting the call, I'd like to remind you that various remarks that management may make during today's call about American Superconductors' future expectations, including expectations regarding the company's third quarter of fiscal 2022 financial performance, plans and prospects constitute forward-looking statements for purposes of the Safe Harbor provisions under the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those indicated by such forward-looking statements, as a result of various important factors, including those set forth in the risk factors section of American Superconductors' annual report on Form 10-K for the year ending March 31, 2022, which the company filed with the Securities and Exchange Commission on June 1, 2022, and the company's other reports filed with the SEC. These forward-looking statements represent management's expectations only as of today, and should not be relied upon as representing management's views as of any date subsequent to today. While the company anticipates that its subsequent events and developments may cause the company's views to change, the company specifically disclaims any obligation to update these forward-looking statements. Also on today's call, management will refer to non-GAAP net loss a non-GAAP financial measure. The company believes that non-GAAP net loss assists management and investors in comparing the company's performance across reporting periods on a consistent basis by excluding these non-cash, non-recurring, or other charges that it does not believe are indicative of its core operating performance. The reconciliation of GAAP net loss to non-GAAP net loss can be found in the second quarter of the fiscal 22 earnings press release that the company issued and furnished to the FCC last night on Form 8K. All of American Superconductors' press release and SEC filings can be accessed from the investors' page of its website at www.amsd.com. With that, I will now turn the call over to Chairman, President, and Chief Executive Officer Daniel McGann. Daniel.

Thanks, John, and good morning, everyone, and thank you for joining us today. I'll begin today by providing an update and sharing a few remarks on our business. John Kasiba will then provide a detailed review of our financial results for the second fiscal 2022, and will provide guidance for the third fiscal quarter, which will end December 31, 2022. Following our comments, we'll open up the line to questions from our analysts. We started our second quarter of fiscal year 2022 with positive orders, momentum, and strong market demand. Total revenues for the second quarter of fiscal year 2022 exceeded our expectations and came in above our guidance range. Our second quarter revenue of nearly $28 million was driven by strong new energy power system shipment. Our grid segment revenue for the second quarter of fiscal year 2022 accounted for over 90% of AMSC's total revenue and grew versus the year-ago period. We had very strong bookings in the second quarter of fiscal 2022, and our grid visibility now extends well into fiscal 2023. The team is executing and driving progress with both new and existing customers for our products. We announced $30 million of new orders in October and have a solid order book of over $100 million. During our second quarter, we saw a diverse set of shipments to renewable, industrial, semiconductor, mining, and Navy projects. About one-third of our shipments were two renewable projects. Industrial shipments represented about one-fifth. Semiconductor projects were over 15%. Metals, mining, and materials were also over 15%. And the Navy was nearly 10%. We believe we are well-positioned to benefit from the tailwinds created by global decarbonization efforts. Mining, metals, and materials are at the heart of this movement, and that is where we have expanded our momentum and our broader portfolio of acquired products. We also see projected growth in the renewables market and increased investments in semiconductor capacity. We believe AMSE is certainly a more diversified and stronger business than it was a few years ago. We ended the second quarter with more than $37 million in cash. We have a strong balance sheet and order book. We continue to demonstrate our ability to manage our business effectively despite the challenging operating environment. We are executing against our plans of a more diversified and sustainable business. Now I'll turn the call over to John Cassiba to review our financial results. for the second quarter of fiscal year 2022, and provide guidance for the third quarter of fiscal year 2022, which will end December 31, 2022.