B.O.S. Better Online Solutions

are subject to risks and uncertainties, which could cause actual results to differ materially from those contemplated. Such forward-looking statements include but are not limited to product demand, pricing, market acceptance, changing economic conditions, risks and product and technology development, and the effect of the company's accounting policies, as well as certain other risk factors which are detailed. held from time to time in the company's filings with the various securities authorities. I would now like to turn the call over to Mr. Eyal Cohen, CEO.

Thank you. Thank you for joining our call today. On the call with me today, Mr. Zeb Duncan, Chairman, and Moshe Zeltseri, CFO. I'm excited to launch our new conference call for March through Zoom, which is aligned with the management presentation. The result of the first half of year 23 were above our expectation. Compared to the first half of 22, revenues grew by 11%, EBITDA by 56%, and net income by 168%, and the EPS by 144%. In three years perspective, our performance has been improved consistently. Compared to year 20, our last 12 months revenue grew by 31% to $44 million. Our EBITDA increased by 342% to $3.1 million and net loss of $1 million in year 20 it turned into an income of $2.5 million in the last 12 months and the June. Our balance sheet has significant strengths over those years. Our shareholders' equity increased from $12 million at the end of year 20 to $18 million on June 23. Our bank loans remain roughly the same, around $2 million. The business trend that impacted our business result in the first half of this year were intense demands from the Israeli defense market that has had a positively affected the growth of our supply chain division. Those demands are attributed to the military conflict in Europe and in the Middle East. Those demands will probably continue to support our supply chain division growth in this year. Our robotic division is in transitioning toward the Israeli defense market. And currently, most of our project in process are attributed to one of the major defense companies in Israel. There are signs of slowdown in the Israeli civil market, which negatively impacted the RFID division revenues in the second quarter of this year. Our growth strategy is based on both organic growth and M&A. The key elements of our organic growth plan are strengthening our competitiveness by adding more brands to our existing offerings, Uriel Navarrete Jr.: : and developing new markets by expanding our offering with the complementary technologies and keeping the high market presence through a trade shows digital market. Uriel Navarrete Jr.: : At this stage, I want to return the call to Mr Zipdecker, our chairman, who will elaborate on our M&A strategy. Uriel Navarrete Jr.: : Thank you.

Zipdecker, Thank you Uriel and good morning and afternoon to everybody. The second dimension of our growth planning is, as Eyal mentioned, the M&A strategy. Within this framework, the typical profile of the target acquisition is of five criteria. The first criteria will be that the company, the acquisition company, has a strong competitive position with last three years of profitable results track record. The second one, the second criteria is that in terms of the company's business model, it will be of a significant high portion of recurrent revenues and not crud. Market dynamics should reflect an attractive market conditions, such as growth, level of innovation, fundamentally high margins, and so on and so forth. The fourth and fifth elementary are off. One will be the size of the target company, of which we wish it would exceed $5 million of annual revenues. And our planned investment is up to $5 million with target equity share of around 51%. Thus, we're also hedging our forward-looking risk. To define the scope of our research, we first need to categorize bosses, our business scope, as it will be the basis for leveraging hard, soft, and high-level synergies. This element is very important due to, you know, comparing or keeping our risk profile in tangents. RFIDs are a traditional hardcore business. Automation comes next, supply chain. and high above is the improved technologies of innovation process representing the highest, the broadest scope of our capabilities, know-how and fine expertise. This slide is describe our BOSSES specific scope of M&A in which we are going to focus. The scope is defined by the derivation of BOSSES around business, about our scope of business and scope of client. Our strategy is to include targets around our core business. Also, we will look for targets adjacent to the core, and it may be that we'll find some opportunities in the high level, in the next quarter, Arieh Iserles- area these. Arieh Iserles- targets will require are required to be very, very attractive. Arieh Iserles- We run a structured for a structured process with the comprises of six phases, I will now take you along of each phase in order that you could be all aligned. The first phase is engage with an agent. This is done. We are currently engaged with two or three agents that are doing the search intensive and comprehensive search for us along the criteria that I elaborated further. The second phase is defining the scope of M&A. We're doing it currently together. Third phase is to have and to acquire a list of target companies. Phase four are the most attractive one. We will do meetings and then of course due diligence and raising the equity. Sixth phase also is of course the closing phase. To look on a broader view, I trust all bosses team led by Yael, to win this challenging, this very challenging process, actually, and with the broader perspective, actually, of the overall, to run and manage the overall company strategy and operational plan. Thank you all for your attention. I will now hand over back the presentation to Ian.