Ultralife Corporation

Good day and thank you for standing by. Welcome to the Ultralife Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, you will need to press star 1 1 on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press star 1 1 again. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker today, Jody Burfening. Please go ahead.

Thank you, Jada, and good morning, everyone. Thank you for joining us this morning for Ultralife Corporation's earnings conference call for the second quarter of fiscal 2023. With us on today's call are Mike Manna, Ultralife's president and CEO, and Phil Fain, Ultralife's 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 contain forward-looking statements based on current expectations. Actual results could differ materially, from those projected as a result of various risks and uncertainties. The potential risks and uncertainties that could cause actual results to differ materially include supply chain disruptions, potential reductions in revenue from key customers, acceptance of our new products on a global basis, and uncertain global economic conditions. The company cautions investors not to place undue reliance on forward-looking statements, which reflects 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 factors and other factors that could affect Ultralife'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. In addition, on today's call, management will refer to certain non-GAAP financial measures that management considers to be useful metrics and differ from GAAP. These non-GAAP measures should be considered supplemental to corresponding GAAP figures. With that, I would now like to turn the call over to Mike. Good morning, Mike.

Good morning. Welcome to the call on Ultralife's Q2 2023 operating results. Let me first say I'm very proud of our internal team and valued supplier network, which after a slow start to the quarter due to the lingering impact of the previously reported Q1 cyber attack, the teams rallied. Both businesses delivered strong Q2 performance with revenue up 33% and operating profit increasing over 360% year over year, highlighting the leverage of our business model. We increased gross margin for the total business over Q1, even with a slow start to the period. I am pleased that even with the strong revenue, our total backlog was not only replenished, but increased to the highest in company's history exiting Q2. I will now turn it over to Phil to talk through the Q2 financial results.