Peraso Inc.

Good afternoon and welcome to Perasso Inc's first quarter 2026 conference call. At this time, all participants are in a listen-only mode. If anyone needs assistance at any time during the conference call, please press the star key followed by the zero on your touchtone phone. As a reminder, this conference call is being recorded today Monday, May 11th, 2026. I would now like to turn the call over to your host for today's conference call, Mr. Jim Sullivan. Please go ahead.

Good afternoon, and thank you for joining today's conference call to discuss Perasso's first quarter 2026 financial results. I'm Jim Sullivan, CFO of Perasso, and joining me today is Ron Glibrey, our CEO. Today, after the market closed, we issued a press release and related form 8K on which was filed with the Securities and Exchange Commission. The press release and Form 8K are available on Perasso's website at www.perassoinc.com under the Investor Relations section. There is also a slide presentation that we will be using in conjunction with today's call that may be accessed through the webcast link on the Investor Relations website. As a reminder, comments made during today's conference call may include forward-looking statements, within the meaning of Section 27A of the Securities Act of 1933 as amended and Section 21E of the Securities Exchange Act of 1934 as amended. All statements other than statements of historical fact could be deemed as forward-looking. Barrasso advises caution and reliance on forward-looking statements. These statements include, without limitation, any projections of revenue, margins, expenses, non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating expenses, adjusted EBITDA, non-GAAP net loss, cash flows, or other financial items, including anticipated cost savings, as well as any statements concerning the expected development, performance, and market share or competitive performance of our products or technologies, any statements regarding the sufficiency of the company's capital resources and its ability to continue as a going concern, any statements regarding customer demand forecasts and concentration risk, and any statements related to prospective future financing arrangements or capital transactions, and the evaluation or pursuit of strategic alternatives. All forward-looking statements are based on information available to PRASO on the date hereof. These statements involve known and unknown risks, uncertainties, and other factors that may cause PRASO's actual results to differ materially from those implied by the forward-looking statements, including unexpected changes in the company's business. More detailed information about these risk factors and additional risk factors are set forth in PRASO's public filings with the SEC. PRASO expressly disclaims any obligation to update or alter its forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by applicable law. Additionally, the company's press release and management statements during this conference call will include discussions of certain measures and financial information in terms of GAAP and non-GAAP. With respect to remarks on today's call involving non-GAAP numbers, unless otherwise indicated, referenced amounts exclude stock-based compensation expense and the change in fair value of warrant liabilities. These non-GAAP financial measures, definitions, and the reconciliation of the differences between them and comparable GAAP measures are presented in our press release and related Form 8K, which provide additional details. For those of you unable to listen to the entire call at this time, a recording will be available on the Investor Relations page of our website. I'll now turn the call over to our CEO, Ron Glibrey, for his prepared remarks. Ron?

Thank you, Jim. Good afternoon, and welcome to everyone joining us on the call and webcast. We appreciate you taking the time to be here today. First quarter results were generally in line with our published revised expectations, with revenue negatively impacted by the anticipated delay of shipment of a sizable order, which represented a significant portion of our first quarter backlog due to material availability from one of our Asia-based suppliers. We shipped this order in the current quarter, and we have since also begun taking steps to reduce our future reliance on any single supplier. While our top-line results reflected this headwind, during the quarter we continued to maintain active customer engagement across all of our target end markets, including advancing multiple new opportunities for our 60 GHz technology in tactical communications and edge AI applications. Turning to slide four, fixed wireless access continues to represent the largest and most mature end market for our 60 gigahertz solutions. Although a combination of current market dynamics, including the shortage and related increase in pricing of memory chips, are contributing to subdued near-term demand and purchase order activity from existing customers, we believe that we remain well-positioned to benefit from a recovery in orders once market conditions improve. As highlighted on our previous conference call, in March, we secured a notable new customer win with MicroTeek's launch of its next generation 60 gigahertz N-ray point-to-point product at Mobile World Congress, incorporating Ferrazzo technology. With MicroTeek's global reach and market share across a broad number of wireless internet service providers, we believe this newly introduced product will result in incremental fixed wireless access deployments using our industry-leading 60 gigahertz technology. More broadly, our fully integrated DUNE platform continues to resonate with operators that are pursuing high performance, but also cost-effective wireless deployments in challenging urban environments. The combination of multi-gigabit throughput, low power, long range, and point-to-multipoint capability remains a compelling alternative to traditional backhaul approaches. As such, we are continuously supporting a range of proof-of-concept evaluations with wireless ISPs worldwide, which we believe have the potential to translate into additional production orders for existing fixed wireless customers. Moving to slide five, the interest level in 60 gigahertz technology for tactical communications continues to gain momentum, and we increasingly see our expansion into this market as potentially significant contributor for Oslo's future growth. Although the timing and magnitude of orders remains uncertain, The opportunity in tactical communication stems from the fundamental attributes of our millimeter wave technology, including narrow beam directional links, dynamic beam steering, oxygen attenuation, and utilizing unlicensed spectrum. Together, these attributes provide for inherently stealthy communications, low probability of detection, low probability of interception, and robust anti-jamming performance. making 60 gigahertz uniquely well-suited for mission-critical application. On today's increasingly modernized battlefield, the need for secure and clandestine communications naturally spawns numerous different send and receive scenarios, including forward operating bases and surveillance, vehicle-to-vehicle, air-to-ground, and ship-to-shore communications. After extensive collaboration to evaluate potential applications for our technology within tactical communications, In March, we achieved a notable milestone with the announcement of Intact as a defense contractor customer. Our initial engagement with this customer began in 2024 and resulted in a jointly developed system solution for enhanced situational awareness on the battlefield. This novel deployable solution continues to generate positive feedback and is scheduled for additional planned field trials in the August timeframe. Separately, as part of our customer announcement in March, we disclosed that Intac selected Perazzo's 60 gigahertz millimeter wave technology for its next generation drone identification friend or foe system. For additional context, this is a purpose-built solution designed for highly contested electronic warfare environments. It enables secure, real-time mutual authentication between friendly drones and ground forces, allowing counter drone systems and operators to quickly distinguish friend or foe. Parasol's integrated beam-forming wireless transceivers provide the low-power, highly directional connectivity that's essential for maintaining stealth and reliable communication in dense battlefield conditions. In mid-April, we delivered initial limited production shipments of our optimized modules in support of Intacct's next-generation drone platform. This expanded engagement with our lead customer further reinforces our view that tactical communication represents a significant long-term market opportunity. Our announced collaboration has also served to increase the visibility and awareness of 60 gigahertz technology and the advantage that it brings to mission-critical tactical defense applications. In recent months, we've been approached by additional prospective customers and partners seeking to explore how Peraza's 60 gigahertz millimeter wave technology could be incorporated into their future product roadmaps. Needless to say, we're excited about our growing momentum in tactical communications. Turning to slide six, in addition to tactical communications, we continue to identify and be actively engaged on prospective growth opportunities in other areas outside of our core fixed wireless access market. We have frequently referred to these areas as adjacent markets because they are seemingly diverse and not easily grouped into a common end markets category. That said, a majority of the adjacent opportunities we are targeting today involve the application of edge AI in areas such as last mile delivery, autonomous vehicles, and drones. One specific example that I highlighted on our previous conference call was our announced collaboration with Fireworks on their BX60 platform for robo-taxis. Regardless of whether it's an autonomous vehicle, drone, or humanoid robot, implementing Edge AI frequently comes with the burden of requiring high bandwidth wireless connectivity to upload massive amounts of captured data from various sensors and cameras, and then also download large blocks with updates to the device's operating system or instructions. While this requirement is relatively easy to address in scenarios with a single vehicle, drone, or robot, A fleet of vehicles parked side by side, a swarm of drones in the air, or a factory floor full of robots could easily pose a significant challenge for traditional wireless technology. Although purely illustrative, this slide provides a clear visual depiction of the challenges, as well as the value proposition delivered by 60 GHz wireless solutions. At the bottom, with a traditional 5 gigahertz Wi-Fi network, signals flood the space like a light bulb, creating widespread co-channel interference that collapses capacity and impairs reliability. Whereas at the top of the slide, 60 gigahertz technology utilizes directional narrow beam links that eliminate interference, enabling numerous simultaneous multi-gigabit connections with low latency in the same density footprint. With 60 gigahertz, you not only overcome the challenge, but you achieve maximum throughput, zero code channel interference, and reliable real-time robot control. Although purely illustrative, the relative outcomes shown here are representative of the real-world challenges associated with implementing Edge AI at scale in close proximity. And I want to briefly emphasize that these exact same dynamics and respective outcomes extend beyond the factory floor to effectively any centralized hub for autonomous edge AI devices. Today, we are working to advance ongoing discussions and have technology evaluations underway with multiple new prospective customers across a series of edge AI and connected autonomous device applications. To the extent we are successful at converting these activities into design wins, and future product ramps, it will represent expansion of our existing served market and also contribute to diversification of our future revenue base. In closing, while near-term visibility, particularly within fixed wireless access, is below where we would like to do a combination of broader market dynamics and irregular customer order patterns, we remain optimistic about the breadth of our customer engagement. We believe there's growing recognition of 60 gigahertz millimeter waves unique value proposition, and we are continuing to pursue expanding opportunities for 60 gigahertz wireless technology within tactical communication, as well as other markets that require high bandwidth and secure connectivity beyond our core fixed wireless access business. Our primary focus over the coming quarters is to secure new purchase orders while also increasing the conversion rate of existing customer engagements into design wins with the goal of achieving renewed top line growth. With that, I'll turn the call over to Jim to review the financial results and share our outlook for the second quarter.