Lantronix, Inc.

And welcome to the Landtronics Inc. 2026 First Quarter Results Conference Call. All participants will be in a listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then one on a touch-tone phone. To withdraw your question, please press star then two. Please note this event is being recorded. I would now like to turn the conference over to Brent Stringham, CFO. Please go ahead.

Good afternoon, and thank you for joining our fiscal first quarter earnings call. Joining me today is our President and Chief Executive Officer, Salil Al-Saray. A live and archived webcast of today's call will be available on the company's website. In addition, you can find the call-in details for the phone replay in today's earnings release. During this call, management may make forward-looking statements which involve risks and uncertainties that could cause our results to differ materially from management's current expectations. We encourage you to review the cautionary statements and risk factors contained in the earnings release, which was furnished to the SEC today and is available on our website. and in the company's SEC filings, such as its 10-K and 10-Qs. Lantronics undertakes no obligation to revise or update publicly any forward-looking statements to reflect future events or circumstances. Please refer to the news release and the financial information in the investor relations section of our website for additional details that will supplement management's commentary. Furthermore, during the call, the company will discuss non-GAAP financial measures, Today's earnings release, which is posted in the investor relations section of our website, describes the differences between our non-GAAP and GAAP reporting and presents reconciliations for the non-GAAP financial measures that we use. With that, I will now turn the call over to Saleel.

Thanks, Brent, and thank you, everyone, for joining today's call. We entered fiscal 2026 from a position of strength, and our first quarter results reflect that momentum. We delivered revenue of 29.8 million and non-GAAP EPS of 4 cents, both at the high end of our guidance range. Revenues grew 3% sequentially and 3% year-over-year, excluding grids for teas, underscoring the progress we have made in positioning Lantronics for profitable growth. Importantly, non-GAAP EPS improved from 1 cent in Q4 to $0.04 in Q1, driven by gross margin expansion and the operating leverage created by last year's cost optimization initiatives. Turning to the overall market environment, industry dynamics remain favorable for Landtronics. We continue to see record defense funding and supportive regulatory momentum driving long-term opportunities across our three verticals. At the same time, demand for networking and connectivity solutions remains strong, creating continued tailwinds for our network infrastructure business, and reinforcing our role as a trusted partner in government and smart city applications. Starting with unmanned aerial systems, commonly known as drones, we are benefiting from broad-based demand across multiple customers. The AUSA event in Washington, D.C. was highly productive as we met with several strong existing and new partners, further strengthening our position in the market. We made good progress in fiscal Q1 as we expanded our presence and scaled production with Red Cat Steel Drones, where we've already secured meaningful follow-on orders, a clear sign of customer confidence in our capabilities. We are also partnering with Red Cat on next generation platforms designed to further enhance the drone's performance and mission readiness. At the end of Q1, our OEM engagements grew from 10 last quarter to 17 today, highlighting accelerating customer adoption and market momentum. This activity is supported by few recent developments. We introduced our Edge AI Drone solution, which integrates payloads from Gremsi and Teledyne FLIR. Working with these partners, we completed a reference design that validates the solution's performance and simplifies integration for OEM customers. The solution enables longer flight times, real-time edge data processing, and up to 80% faster integration for developers. Just as important, it meets stringent NDAA and TAA requirements for defense and government programs. More recently, Sightline Intelligence selected our Edge AI technology for integration into its new high-performance video processing solution for defense and commercial drone applications, further expanding our reach within the UAS ecosystem. Together, these advancements underscore our ability to deliver secure, AI-enabled flight systems at scale. While still early in the fiscal year, we are encouraged by our momentum in our drone business. This is a growing contributor to Lantronics and positions us for potential upside to our initial expectations as these programs scale to the remainder of fiscal 2026. Building on this momentum, we recently introduced EdgeFabric.ai, our new visual orchestration platform for Edge AI deployment, which debuted at Qualcomm's Imagine conference in September. Purpose-built for our OpenCUE system and module, or SOM solutions, EdgeFabric.ai enables customers to design and deploy AI applications in minutes instead of months. without needing a team of AI experts. Whether configuring smart cameras, industrial IoT monitors, or other Edge AI-enabled devices, customers can now visually design their AI workflows and deploy them instantly, all without writing a single line of code. By simplifying development and automating deployment, Edge Fabric.ai strengthens customer engagement accelerates time to market, and creates a foundation for recurring software and services revenue over time. In asset monitoring, a key long-term component of our industrial IoT strategy, we partner with Vodafone IoT to launch Compress.ai by Lantronics, a subscription-based SaaS platform targeting the $27 billion global industrial air compressor market. While still in the early stages, we view this as a significant long-term opportunity, one that expands our reach, enhances our edge-to-cloud capabilities, and creates incremental high-margin recurring revenue potential over time. Together with our progress in drones and edgefabric.ai, Compress.ai reinforces our execution of the long-term strategy to build scalable platforms that expand recurring revenue and strengthen a diversified model. Our strategy is clear. Scale high-growth verticals, expand software-enabled recurring revenue, and drive operating leverage from a leaner cost structure. This quarter marked another important step forward with increased engagement with aerospace and defense customers, the launch of EdgeFabric.ai, and continued expansion in targeted platforms. At the same time, our core network infrastructure business delivered solid growth and margins and focus areas, demonstrating consistent execution and strengthening our diversified model. I'll now pass it on to Brent to cover the financial results. Brent.