MicroVision, Inc.

Good day and welcome to the Microvision Second Quarter 2022 Financial and Operating Results Conference Call. If you need assistance, please signal a conference specialist by pressing star then zero. At this time, all participants are in a listen-only mode. At the end of today's presentation, there will be an opportunity to ask questions via a chat line. Investors can submit their questions within the meeting webcast by typing them into the Q&A button on the right side of your viewing screen. Analysts who public publish research, may ask questions on the phone line. For analysts to ask a question on the phone line, please press star then one. Please note this event is being recorded. I would now like to turn the conference over to Drew Markham. Please go ahead.

Thank you, Matt. I'm pleased to be joined today by our CEO, Sumit Sharma, and our CFO, Anubhav Verma. Following their prepared remarks, we will open the call to questions. Please note that some of the information you'll hear today will include forward-looking statements such as, but not limited to, statements regarding our product development, testing, and performance, comparisons to our competitors, market opportunity, potential product sales and future demand, business and strategic opportunities, customer and partner engagement, projections of future operations and financial results, availability of funds, as well as statements containing words like potential, believe, expect, plans, and other similar expressions. These statements are not guarantees of future performance. Actual results could differ materially from the future results implied or expressed in the forward-looking statements. We encourage you to review our SEC filings, including our most recently filed annual report on Form 10-K and quarterly reports on Form 10-Q. These filings describe risk factors that could cause our actual results to differ materially from those implied or expressed in our forward-looking statements. All forward-looking statements are made as of the date of this call and, except as required by law, we undertake no obligation to update this information. In addition, we will present certain financial measures on this call that will be considered non-GAAP under the SEC's Regulation G. For reconciliations of each non-GAAP financial measure to the most directly comparable GAAP financial measure, as well as for all the financial data presented on this call, please refer to the information included in our press release and in our Form 8K dated and submitted to the SEC today, both of which can be found on our corporate website at ir.microvision.com under the SEC Filings tab. This conference call will be available for auto replay on the investor relations section of our website at www.microvision.com. Now, I'd like to turn the call over to Sumit Sharma. Sumit?

Thank you, Drew. Good afternoon, everyone, and welcome to our update on progress made during Q2 and into July. I would like to cover this in three areas. First, I will discuss all that we accomplished through the second quarter and into July. Second, an update on how our progress is being received by OEMs and tier ones. And finally, I will talk about what our 2023 may look like. Let's dive right in. This quarter was one of the most eventful in our company's history. Our team completed our Maven Dynamic Range LiDAR product, delivered automated line, pilot line, that would support serial production in the future and supported OEM engagements. In our design, not only were we able to successfully include all of our target features, but we were also able to incorporate additional enhanced features tailored to the particular needs of OEM. This last point is an important one, as it allows OEMs to tailor our base product for their specific use case. Furthermore, This level of flexibility was previously viewed by OEMs as unachievable based on the limitations of competitor solutions. This is a big win for Microvision. The hard work of our team has put the company in a great place as our potential customer engagements start heating up. Our dynamic range LiDAR, Maven DR, is a game changer. It allows high resolution at all ranges and delivers this at low latency. Respective customers have given us feedback that this represents significantly higher performance than the current LIDAR solutions OEMs have been working with. I will elaborate a bit more about this later in my remarks. Our team also achieved success in completing automation for our pilot production line. This paved the way for supporting serial production in the future. This is an important achievement. While some agreements for LiDAR hardware have been announced by other manufacturers over the past two to four years, they are still not arrived in market. This is because OEMs are being forced to choose between low quality products that can be produced at scale, serial production, or adequate quantity, but in low volumes. With our automation and pilot line being set up for 2023, OEMs are providing very positive feedback on our strategy to position Microvision as a leader, not only on design, but also our capability to deliver serial production orders in the future. With these important points in place, our team remains on track to meet our second half objectives of achieving Class 1 certification and starting sample sales by Q4. This again puts us in line with OEM expectations on timing. We have a product that exceeds OEM expectations combined with the best company pedigree to complete individual OEM customizations and a solid history of demonstrated reliability. We remain on track to complete our fifth generation A6 and have automation that will go from pilot line to serial production. The second area I would like to provide an update on is the feedback we're receiving from OEMs. Throughout the last quarter, we have continued to invest time and resources in helping OEMs understand the strengths of our technology and how it can be customized to meet their individual program needs. These OEMs have indicated they are pleased with the maturity and capability of our solution. We have received positive feedback, including a comment that Maven is, and I quote, the best LiDAR product they have seen to date. As anticipated, OEMs are responding to the quality of the point cloud data that we provide and they witness during live demos. They see the opportunity it provides to build new high-speed safety features on their domain controllers. They're also very interested in our future software solution that could seamlessly enable their L3 features. OEMs are also complementing the low profile design that enables more flexible deployment options, such as behind the windshield, behind the grill, or beyond. This speaks to our business model and strategy of partnering with OEMs, not just selling to them. Looking ahead to the back half of 2022, we are on track to achieve Class One certification. Given our 20 plus years of expertise developing products centered on laser beam scanning technology, The Class 1 certification process is not new to Microvision Team. We have navigated this process before. We developed our LiDAR sensor with safety in mind, incorporating our proprietary technologies like virtual protective housing that ensure safe operation to Class 1 standards. For the third quarter, we are focused on meeting the requirements of OEMs and Tier 1s to support sample sales. We believe this objective is well in hand. We've also started sample sales in Q3 to OEMs and Tier 1s for Q4 deliveries. Our engineering pilot line in Redmond will support sales to OEMs and Tier 1s. I am excited about what Maven DR means for our future. Once implemented in serial production with a strong intellectual property supporting it, I expect this product to be the centerpiece of ADAS L3 and L2 solutions for more than a decade. I am very excited about where we are and how we're positioned for the future. As we move into 2023, we will continue to invest in product execution and innovation. We intend to demonstrate a drive-by-wire demo system based on our LiDAR hardware and our high-speed highway pilot ADAS software. We expect this will fully integrate up to two microvision LiDAR sensors, radar, camera, and ultrasonics on the Microvision Edge computing platform together with our proprietary software running on our demo car. Finally, I would like to summarize how we are positioning Microvision as a high-tech, high-growth company. LiDAR technology will be the centerpiece sensor required to enable ADAS safety and autonomous driving for decades to come. The limitations of camera module and radar technologies is apparent in current products, and a mass adoption of LiDAR is expected. With my meetings with OEMs, I feel confident in this future. We are far ahead of the competition with our LiDAR hardware, as seen in the videos we're publishing. With the help of our advanced LiDAR technology, we expect to expand our software offerings to enable ADAS safety and autonomous driving. Our 2023 demonstrations will expand our company to a full software and hardware solutions company. Before I invite Anubhav to review the second quarter results and projections, I want to acknowledge and thank the Microvision team for their hard work. We continue to set and achieve aggressive objectives on the path towards OEM partnerships. I'm proud of the progress we continue to make, and I'm excited about what is next in 2022 and 2023. Thank you. Over to you, Anubhav.