MIND Technology, Inc.

If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Ken Dennard. Thank you, sir. You may begin.

Thank you, operator. Good morning, and welcome to the MIND Technology Fiscal 2025 First Quarter Earnings Conference Call. We appreciate everyone joining us today. With me are Rob Capps, President and Chief Executive Officer, and Mark Cox, Vice President and Chief Financial Officer. Before I turn the call over to Rob, I have a few items to cover. If you'd like to listen to a replay of today's call, it'll be available for 90 days via webcast by going to the investor relations section of the company's website, and that's mind-technology.com, or via telephonic... instant replay recorded until June 18th. Information on how to access these replays features was provided in yesterday's earnings release. Information reported on this call speaks only as of today, Tuesday, June 11th, 2024, and therefore you're advised that time sensitive information may no longer be accurate as of the time of any replay listing or transcript reading. And before we begin, let me remind you that certain statements made by management during this call may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on management's current expectations and include known and unknown risks, uncertainties, and other factors, many of which the company is unable to predict or control, that may cause the company's actual or future results or performance to materially differ from any future results of performance expressed or implied by these statements. These risks, uncertainties include the risk factors disclosed by the company from time to time in its filings with the SEC, including its annual report on Form 10-K for the year ended January 31st, 2024. Furthermore, as we start this call, Please also refer to the statement regarding forward-looking statements incorporated in our press release issued yesterday, and please note that the contents of our conference call this morning are covered by these statements. Now with that behind me, I'd like to turn the call over to Rob Capps. Rob.

Okay, thanks, Ken, and thank you all for joining us today. I'll start by discussing some highlights from the quarter. Mark will then provide a more detailed update on the financials, and I'll wrap things up with some remarks about our outlook. Now, it's only been six weeks since our fourth quarter and year-end call, so you can expect that many things haven't changed much since then. We're pleased to again report positive results. We continue to operate efficiently while converting our backlog into sustainably higher-level revenue. We've been able to build on the momentum that we generated last year, and this resulted in another quarter of positive adjusted EBITDA and overall profitability for mines. We remain well positioned to achieve positive adjusted EBITDA and favorable results in future periods. We maintain our belief that mine is strategically positioned for growth. Our gun link source controllers, buoy link positioning systems, and ceiling streamer systems are all contributing to our strong backlog, and we're optimistic that we'll generate additional orders for these products as the year progresses. A favorable macro environment, a narrowed focus, strong customer relationships, Ever-increasing capabilities and valuable partnerships have boosted our order flow in recent quarters. I remain confident that we're the partner of choice for companies looking to acquire high-quality and versatile marine technology products. We entered the second quarter with a strong backlog of approximately $31 million. Our backlog is down a bit sequentially. This is to be expected at times as we execute and make deliveries. New orders don't necessarily arrive at a constant rate throughout the year. We still maintain a meaningful book of business that is significantly above where it stood a year ago. In fact, the backlog at the end of the quarter was over 70% higher than at the end of last year's first quarter. We believe this robust backlog and the many other opportunities that we are pursuing bode well for favorable future financial results. As always the case, the timing of certain orders is subject to variability due to any number of challenges, unforeseen circumstances, or customer delivery requirements. I continue to believe that this order flow is indicative of our specialized capabilities and differentiated product lines, and I'm encouraged by the implications of this for future results. Our marine technology product revenues for the first quarter of fiscal 2025 were $9.7 million. Our ability to sustain higher revenue levels despite the challenges of shifting order and delivery schedules is a direct representation of the strength of customer engagement, macro tailwinds, and resulting order flow that we're experiencing. We've also taken necessary steps to improve our cost structure, which has enhanced our profitability in recent quarters. While supply chain issues are much improved, they're still with us to varying degrees and can impact results in particular periods. These challenges are simply a component of doing business and we will almost certainly encounter them again in the future. The magnitude of our backlog and expected orders does give us better visibility. and therefore a better ability to manage your procurement process and improve margins. However, as evidenced this quarter, the increased level of activity also means increased capital requirements. As you'll note, in this quarter we did utilize liquidity to fund working capital requirements consisting of increased accounts receivable and inventories. We continue to believe that the current market environment is advantageous for MIND. Each of our key markets remain loaded with opportunity. In addition to now operating a more streamlined and focused suite of products, our team continues to develop new and innovative ways to adapt and implement our technologies to meet the evolving needs of our customers. We're confident that we have the best-in-class technology to differentiate mind from its competitors and address the growing demand surrounding recent developments within the marine technology industry. Included in our backlog are orders for ultra-high resolution survey systems, some of which we expect to deliver in the second quarter. These systems are often used to detect subsea boulders and other geo-hazards to assist in de-risking offshore installations such as wind farms and carbon capture facilities. These are new markets for us and ones that we continue to think bring great promise as we're pursuing other opportunities for these systems. It also is a growing opportunity for MIND to provide seismic streamer repair services, not only for seedling streamers, but also for products manufactured by others. We continue to see traction for our spectral AI software suite through our collaboration agreement with General Oceans. This software is now being used by two NATO navies with several other promising prospects. While the contribution has been minimal to date, we are optimistic about its prospects, hope to find further applications for this technology. Now, I'll let Mark walk you through our first quarter financials and the results in a bit more detail.