Omniq Corp

Good morning, ladies and gentlemen. Thank you for your patience. This morning's conference call will begin soon. Please stand by. Once again, thank you for your patience. This morning's conference call will begin shortly. Thank you.

Good morning, and thank you for joining us for the OmniQ Corporate Update Call for the first quarter ending March 31, 2022. Joining us today, we have Shai Luskarden, CEO of OmniQ, who will provide an operational overview, and Neve Neesonsen, Chief Financial Officer, who will discuss financial results. I will now take a brief moment to read the Safe Harbor Statement. During the course of this conference call, we will make certain forward-looking statements. All statements that address expectations, opinions, or predictions about the future are forward-looking statements. Although they reflect our current expectations and are based on our best view of the industry and our current expectations and our business as we see them today, they are not guarantees for future performance. These statements involve a number of risks and uncertainties, and since these elements can change and in certain cases are not within our control, we would ask that you consider and interpret them in that light. We urge you to review the company's Form 10-K and other SEC filings for a discussion of the principal risks and uncertainties that affect the company's business and performance and the factors that could cause actual results to differ materially. OmniQ undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, unless required by law. I will now turn the floor over to Shai Lesgarden. Please go ahead.

Thank you, operator, and thanks to everyone joining us on the call today. We're very pleased to share with you our Q1 2022 financial results combined with some recent achievements. Here is what we defined as the OmniQ momentum. 33% growth in Q1 revenue compared to Q1 of 2021. 132% increase in gross profit compared to Q1 2021. 6% sequential revenue increase over previous revenue record on Q4 of 2021. Gross margin of 23.3% compared to 13.3% in Q1 2021. Along with improvement of gross profit, the company is taking measures to further improve profitability in the near future. Trailing six months' revenue exceeds $51 million, an annual run rate of over $100 million. On April 5, 2022, the company completed the acquisition of 100% of Dengod's computers. The synergy with Dengod generated immediate joint projects with OmniQ's AI solutions for the U.S. market. OmniQ's QShields AI-based law enforcement solution offered to municipalities is experiencing positive momentum as seven cities in the U.S. have already contracted and more are in the pipeline. Revenue model is based on recurring revenue sharing. The company signed an agreement with a reputable reseller aiming to accelerate sales of GeoShield to many more cities. OmniQ's AI solutions that operate in critical spots in the Middle East and South America are contributing significant impact on public safety and terror prevention. OmniQ's cutting-edge AI technology performance results in recognition such as the Uber Award to OmniQ with a coveted Innovator Award for contributing to traffic flow in the Philadelphia International Airport. We're experiencing a great start of 2022. Our focus remains on QShield's deployments in the public safety sector, growing sales of OmniQ's AI parking solutions, increasing sales of OmniQ's supply chain automation products, and in parallel, making our financial infrastructure stronger. We're facing increased demand for our products in multiple verticals and markets. Our mission is to improve efficiencies, help to secure public safety, and enable better quality of life for people using our systems. Our customer base includes some of the most demanding customers in the world, including governments, hospitals, major supermarket chains, security agencies, and municipalities, among others. Following the success of the first installations of our QShield turnkey AI-based systems, we continued our focus on indirect sales channels, partnering with VAR's value-added resellers, and we recently signed agreement with a reputable VAR whom we believe will accelerate the sales of QShield that we consider as an important growth engine with an endless market potential. In addition to the strong revenue and gross profit in our Q1 results, we note improvement in all financial parameters, These efforts will continue to be in our focus for further improvements in the near future. Achieving trailing six-month sales of over $51 million, resulting into annual revenue run rate of $102 million, we feel stronger and confident while fulfilling our plan to elevate Omnicube to new spheres. Before I go further, let me now turn this over to Niamh to take a deeper look at our financial results. Niamh?