Nano Dimension Ltd.

Ladies and gentlemen, thank you for standing by. All participants are at present in listen-only mode. Welcome to today's conference call to discuss Nano Dimension's third quarter 2021 results. On the call with us today are Yoav Stern, Chairman and CEO, and Yael Sandler, CFO. Before we begin, may I remind our listeners that certain information provided on this call may contain forward-looking statements. and the Safe Harbor statement outlined in today's earnings press release also pertains to this call. If you have not received a copy of the press release, please view it in the investor relations section of the company's website. You also begin the call with a business update, followed by a question and answer session, at which time Yale will answer questions regarding the third quarter 2021 financial results. As a reminder, this conference is being recorded November 24th, 2021. I would now like to hand the call over to Mr. Yoav Stern. Mr. Stern, would you like to begin?

Sure, thank you very much. Hi, everybody. Thanks for participating. I'll speak as focusing on subjects that are interesting, or I think they're interesting, and of course, let you ask questions where you want to direct me to other subjects. So first of all, This quarter and this nine months, the best quarter and nine months since I came into this company, which was a little bit more than a year and a half ago. But when I came to this company within two months, Corona started. So yes, we have a great advancement. Things are moving forward. But it compares to last year, which was a lousy year. More importantly than that, though, and that's where the real and many other companies, but specifically ours, you don't necessarily see everything in the numbers yet. We announced Dragonfly 4 at a half a year delay, but in a very successful release. We participated in a productronica show in Germany last week, which was in El Al for two years because there was no shows. And even last week when all Germany started to struggle with the new wave, half of the people didn't arrive. We still had Dragonfly 4 released and immediately two purchase orders already achieved within a few days. Great excitement about the performance of the new machine. And we were the talk of the show. And we had and a relatively very big amount of leads, so we're very excited about it. Importantly, a few weeks before the show, we announced and we completed an acquisition of Essentek, which was on the show as well, with our name combined with theirs. Essentek we purchased for 15 to 19 million dollars, Depends on the certain performance later, can go a little bit higher, but no more than $2-4 million higher. And it's close to $25 million business profitable and growing, which is what we like to pay. We're not, in our M&A, going to allow ourselves to glide into what we believe are overpayment resulting from many things in the market, which we can discuss if you ask me. We are picking and choosing, we are buying and building and we'll continue to do so and we're very proud and very fortunate to have SMTech team from Switzerland joined us. They're going to continue to grow we expect and we're going to merge their technologies with ours with synergies which will become a major component of breakthrough in printing three-dimensional electronic devices with mounting Components in the process of printing in a clean, non-intrusive way to the environment. So we continue with M&A along these lines, similar lines, and you will probably hear quite a lot of news in the coming months about this subject. on issues that I think you would be asking about. And I'm going to preempt your questions so the people who intend to ask those questions can get the answer now or ask follow-on questions. But I'll try to be helpful as possible. The price of the share, you can have lots of theories about why the price of the share went down when the news was so good. But my experience shows that when you have a year when people made money in many investments in the public markets and one of your shares went down, when you get toward the end of the year, people sell the shares that are on the way or were down compared to what they purchased them for in order to take the tax losses, bounce it off against the money they made in other shares, and not paying taxes at the end of the year. They have to do it in order to evade wash sales, what's called. They have to sell and wait 30 days at least before they re-buy them. So even people that want to hold our shares and have smaller amount of shares are maybe doing that, which is causing certain price pressure. Based on volumes that I see as the share went down, they are very low volumes. So I don't see, or I can't guess about any other reason other than that, but my guess is as good as anybody else. I've seen these things happening before in very similar situations. To people of you, and we have many, many loyal shareholders which we admire and work for, we have some other shareholders that are obviously A bit frustrated because of the price of the share. As I said earlier and repeat in every call and every newsletter, our investment in us is a long term investment and people who expect quarterly results to have an effect or major effect in the short term are going to be disappointed. That's how I originally had the shareholders that joined us in investing in the company. So for people sending emails all over the place claiming that there's buyout options and buyout offers, there's no buyout offer for the company by any company. And we're not going to buy shares from the market with money that was invested in the company by shareholders who I met personally who invested in order for us as a team to perform the upside, which will be three or four times their investment But over a few years, not over a few quarters. So we don't intend to buy shares from the market with money given to us by investors. When we'll be profitable in the future and we'll be accumulating profit, from the profit we may choose to buy shares from the company, but it's not going to happen anytime soon. So if there were going to be questions about it, I answered them. Other than that, I'm going to refer to you guys to ask us questions that will be directing us to your specific interests. Please.

Thank you, sir. Ladies and gentlemen, at this time we'll begin the question and answer session. If you have a question, please press star 1. If you wish to cancel your request, please press star 2. If you are using speaker equipment, kindly lift the handset before pressing the numbers. Your questions will be pulled in the order they are received. Please stand by while we pull for your questions. The first question is from Bunit Maheshwari of Zenkai Capital. Please go ahead.