Ultralife Corporation

Thank you, Emma, and good morning, everyone, and thank you for joining us this morning for Ultralife Corporation's conference call for the first quarter of fiscal 2021. With us on today's call are Mike Poplic, Ultralife's President and Chief Executive Officer,

and Phil Fain, Ultralife Chief Financial Officer. The earnings press release was issued earlier this morning, and if anyone has not yet received a copy, I invite you to visit the company's website, www.ultralifecore.com, where you'll find the release under Investor News in the Investor Relations section. Before turning the call over to management, I would like to remind everyone that some statements made during this conference call will contain forward-looking statements based on current expectations. actual results could differ materially from those projected as a result of various risks and uncertainties. These include potential reductions in revenue from key customers, uncertain global economic conditions, and acceptance of new products on a global basis. The company cautions investors not to place undue reliance on forward-looking statements which reflect the company's analysis only as of today's date. The company undertakes no obligation to publicly update forward-looking statements to reflect subsequent events or circumstances. Further information on these and other factors that could affect Ultralight's financial results is included in the company's filings with the Securities and Exchange Commission, including the latest annual report on Form 10-K and the latest quarterly report on Form 10-Q. In addition, on today's call, management will refer to certain non-GAAP financial measures that management considers to be useful and differ from GAAP. These non-GAAP measures should be considered as supplemental to corresponding GAAP figures. With that, I would now like to turn the call over to Mike. Good morning.

Good morning, Jody, and thank you everyone for joining the call. Today, I'll start by making some brief overall comments about our Q1 2021 operating performance, after which I'll turn the call over to Phil, who will take you through the detailed financial results. After Phil is finished, I'll provide an update on the progress against our 2021 revenue initiatives before opening it up for questions. For the first quarter of 2021, Our core battery and energy product business hosted its fourth consecutive quarter of solid double-digit year-over-year organic revenue growth. Total B&E first quarter medical sales and B&E government defense sales were once again up strongly, overcoming a year-over-year decline in the oil and gas revenue and leading to a total Q1 B&E sales increase of over 6% year-over-year. Communication Systems Q1 revenues were lower than the previous year with the non-recurrence of the prior year vehicle adapter and modern power amplifier sales under the U.S. Army's network modernization initiatives. For the total company, the strong core B&E revenue growth fully offset both lower oil and gas and communication systems sales to achieve modest Q1 2021 year-over-year revenue growth. Also in Q1, gross margin headwinds impacted earnings, primarily due to mix, new product transition costs, and incremental freight and expediting costs. In a few minutes, I'll give you further updates on our revenue initiatives, but first I'd like to ask Ultralife CFO Phil Fain to take you through additional details of the first quarter 2021 financial performance.