CAMP4 Therapeutics Corporation

presentation portion of the call with an opportunity for questions and answers at the end. If you would like to ask a question, please press star one on your telephone keypad. As a reminder, this call is being recorded. I would now like to introduce your host for today's conference call, Logan Lucas, Corporate Strategy and Investor Relations Manager at CalAMP. Logan, you may begin.

Good afternoon and welcome to CalAMP's fiscal second quarter 2024 financial results conference call. I'm Logan Lucas, Corporate Strategy and Investor Relations Manager at CalAMP. With us today are CalAMP's Interim President and Chief Executive Officer, Jason Kohenauer, and Chief Financial Officer, Jikun Kim. During today's call, we will make certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Exchange Act of 1934. Forward-looking statements are predictions, projections, and other statements about future events that are based on current expectations and assumptions, and as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this communication. You should listen to today's call with the understanding that our actual results may be materially different from the plans, intentions, and expectations disclosed in the forward-looking statements we make. For more information about factors that may cause actual results to differ materially from forward-looking statements, please refer to the earnings press release we issued today, as well as the company's filings with the Securities and Exchange Commission. Readers are cautioned not to put undue reliance on forward-looking statements. And the company specifically disclaims any obligation to update the forward-looking statements that may be discussed during this call. Now, Jason will begin today's call with a review of the company's recent operational highlights, and then Jikun will provide a more detailed review of the financial results, followed by a question and answer session. With that, it is my great pleasure to turn the call over to CalAMP's interim president and CEO, Jason Kohenhauer. Jason, please go ahead.

Thank you, Logan, and thanks to all of you for joining us on the call today. I will start by taking a moment to express our heartfelt condolences to the family, friends, and teammates of Jeff Gardner following his passing in late August. Jeff was not only a passionate leader for this organization, but a kind and compassionate friend to many. We appreciate the effort and countless hours he put into CalAMP over these past few years, taking on challenges and opportunities with positivity and resilience. He had a truly remarkable life and career, and the outreach the company has received on his behalf following his unexpected passing is a testament to the positive impact he had on others along the way. The CalAMP team is keeping Jeff and his loved ones in our thoughts and hearts through this difficult time. Moving to our results. The company's second quarter for fiscal year 2024 produced mixed results. While we continue to experience demand softness with TSP customers, we saw strength in other parts of the business, including international connected car and with our large industrial OEM customer. The TSP softness is attributed to continued customer inventory rebalancing following the fulfillment of a large volume of orders in the second half of fiscal year 2023. These orders had been backlogged due to the severe supply chain constraints that we and many others encountered over the past few years. Additionally, competitive pressures experienced by our TSP customers have complicated the inventory rebalancing process. We are continuing to work with each of these customers as they align their inventory levels with demand. Consolidated Q2 revenue was $61.7 million, which was below our guidance range. Revenue from TSPs, which was lower than expected, was the key driver of the revenue miss. Q2 adjusted EBITDA was $5.9 million, which was within our guidance range. The company also delivered strong cash flow from operations of $7.1 million. The strength in adjusted EBITDA and cash flow from operations is primarily the result of cost savings initiatives. Some of these initiatives were carried out during the second quarter, so we expect to see some incremental expense reductions from our previous actions in the back half of the year. We continue to evaluate opportunities to refocus, simplify, and streamline the business. On the product front, our team continues to push forward with several initiatives focused on value creation for our customers. For example, in the second quarter, we launched our electronic logging device, or ELD, to help customers streamline their compliance workflows. Our ELD solution is integrated with the rest of our fleet management product suite and adds to a portfolio that we plan to leverage to drive increased ARPU and gross margins in our fleet segments. We also commenced commercial shipments of our new Vision 2.0 dash cam solution during the quarter and now have our first successful installations. We expect to see additional commercial traction with Vision at our fleet customers in the coming months and quarters. We also secured several new customer wins during the quarter, including with Transportes Castores, one of the largest transportation and logistics companies in Mexico. Transportes Castores is leveraging both CalAMP's in-cab and trailer tracking solutions to pull data from their assets and to integrate the data with their proprietary enterprise applications. The solution provides seamless visibility across the customer's operations and illustrates our unique ability to integrate data from many different asset types into a variety of systems thereby providing highly tailored insights that drive efficiency, safety, and compliance. We are excited to embark on this partnership with Transportes Castores to optimize the management of their fleet. Our international connected car business continued to deliver strong performance during the quarter, driven by expanding relationships with large automotive OEMs and rental customers, particularly in Europe. We expect this segment to continue to deliver consistent, profitable growth as we expand with our customers, secure new B2B customers, and grow new geographical markets such as Spain. With respect to the CalAMP team, you may have seen the news regarding the departure of our Chief Revenue Officer. In response to this departure, we have elevated two highly qualified individuals to lead this critical function. One of these team members now leads new revenue generation while the other leads customer success and sales operations. Both leaders report directly to the CEO and the transition has been seamless. Our CEO search is ongoing and interest in the position is high. And while we have met with some excellent candidates, we have no new additional news to share regarding the search at this time. Similarly, our exploration of strategic alternatives is ongoing, and we have no additional news to report as at this time. As for me, I've been serving as the interim CEO of CalAMP since August 28th, following Jeff's tragic passing. I can report without hesitation that the CalAMP team is talented and passionate, and they believe in the opportunity before us. In addition to having a great team, the company has other tremendous assets, including excellent products and solutions, a blue chip customer base, and a large and growing market opportunity. While I am here, I will be supporting the team. I will be supporting customers. And I will be helping the team to hone focus, to execute operationally, and to capture efficiencies as we strive to deliver profitable growth and positive cash flow. With that, I'll turn the call over to Jakun to discuss our second quarter financial results in more detail. Jakun.