Mphase Techs Inc

Q1 2022 Earnings Conference Call


spk_0: greetings and welcome to the m phase technologies earnings conference call at this time all participants are now listen only mode a brief question and answer session will fall the formal presentation if anyone should require operator systems during the conference please press start zero on your telephone keypad as a reminder conference is being recorded it is my pleasure to introduce your house prime for nova thank you brian you may begin
spk_1: good afternoon everyone and welcome to emphasize technologies fiscal two thousand and twenty two first quarter earnings conference call as a reminder of fiscal twenty two first quarter and on september thirtieth twenty twenty one two all figures presented for this period for flight that and eight day we issued our fiscal twenty twenty two to one financial results press release which highlighted the number of financial results for the quarter a copy of the press release is available on the investor relations section of our website the completed financials posted on edgar before beginning powerful more marks i'd like to remind listener is that today's discussion may contain forward looking statements the reflect management current views with respect to future events any such statements are subject to risks and uncertainties that could cause actual results to differ materially from those rejected in this forward looking statements and they did not undertake any obligation to update any forward looking statements except as required this point i am pleased turn the call over two and a city oh aren't you panic car please go ahead thanks brian and thank you for joining the call today on today's call i'm moon of cover some of the steps that we have taken to build the first of its kind ecosystem in the space i'm so excited to introduce or new cfl and juliet petition will briefly cover the quarters financials are see
spk_2: oh oh very good good a movie will also join us to talk about a new platform that will be launching even though it's been a short time since our last call we have a lot of updates to cover today we are positioning the company to become a significant and unique player in the be space and twenty twenty two are still prodigy is firmly focused on serving tomorrow's green heavy centric economy we're building a company that leap frog the current thinking in easy to create an ecosystem that serves all of the layers of them merging he the economy as a part of our corporate evolution we will be changing our corporate name from am face to empower the reasons for the change or simple amp is reflected decades of our indie at a company that centered on telecommunications battery and other physics oriented hardware projects after i took over and twenty nine teen we switched the focus to software based solutions that utilize primarily off the shelf hardware with the goal to create high margin recurring revenue streams and power reflects our commitment to build solutions that serve the easy economy which will transform the way people travel and interact with retailers
spk_3: for those of you who are new to this story
spk_2: and power is an ecosystem built on he be charging stations high speed millimeter wave five g and consumer engagements software supplemented by proprietary travel software laird on top of this mobile experience were also offering a marketplace with the rewards and he is she complains programs we will utilize the same oh yeah i'm suppliers as the industry leaders or even charging and five g hardware but a majority of our ecosystem software is built in house we can best be described as a fast easy plus model building services and functions that supplement that charging experience as a result our goal is to be more profitable and to have more revenue streams than any other even play in the market today the changes in the automotive industry go beyond a change from gas to electric it is also a change from solo vehicles to one that functions as a part of an interconnected world a mobile consumers when you think of it that way your car has simply become your newest and most expensive mobile device this transformation represents a multitude of challenges for any company connected to travel in any form and that is where we come in were building our amp our platform to address the needs of every point of contact connected to a the adoption with services that help automotive companies retailer cpg companies and consumers in pursuit of a greener lifestyle the net result is a cohesive customizable ecosystem that can produce multiple revenue streams from a single physical location at this stage and power is not a concept but is based on tested verifiable technology the roll up process guess began in the second half of twenty twenty one with rapid major expansion plans for twenty twenty two last week we announced the signing of fourteen hundred and forty additional locations in addition to the eighteen hundred and twenty five locations announced in the past few weeks in just one month we have tied down three thousand two hundred and sixty five locations in virginia illinois in florida we are moving rapidly towards or goal of having ten thousand locations and multiple states in the very near future with an additional twenty thousand or more sites by the end of plane twenty two in addition to corporate site were working with independent owner operator sites across all types of businesses and major brands this is a very overlooked group that has the most to lose during the easy transition your solution sets are being welcomed with open doors within this subset of store owners a majority of whom are looking to participate in a be charging in some fashion you say this is a highly motivated prospect less would be an understatement our initial strategy is geared towards maximizing this exposure burst were implementing pilot programs with selected high profile retailers particularly in the quick serve restaurant with us our gas station convenience store and similar travel related businesses we'll start with recognizable leaders though in reality nearly all major chains even individual stores are potential future partners in terms of contracts with corporate partners the sky's the limit for us and we have high confidence that we will be able to showcase and power across the top tier a retailers particularly and twenty twenty two after we have multiple sites up and running we believe and power will play a key role in helping to shape the way that consumers shop dine and fuel the give you an idea of the potential scale of this platform a two hundred and forty two store a test of just one consumer engagement portion of the ecosystem resulted in more than seventy thousand app downloads we believe our adoption rate could be significantly higher as we roll out our full stack of incentives and features our newly designed and power app for android and ios should be live by thanksgiving so we are set for the next stage the second part of our strategy is to select early partners that can provide proof of concept across different business categories the we are working to start programs with gas stations convenience stores hotels sports bars restaurants and some surprising chain venues that will be announced in the near future each of these business types will give us valuable use cases that will help us sell into the specific categories the use case path is very important in order to prove not just the viability of our platform but also to highlight the customization potential for specific industry groups for example where currently working on supplemental game if occasion for a chain client that will layer on customer specific features unique to their locations we have the team a software engineers and house to complete these kinds of tasks store of value add in software development differentiates as from many pure he be charging place due to contractual considerations where we are at in our rollout cycle requires a bit more stealth than shareholders me like at this early stage but the names attached to these projects will be revealed as we get closer to installing equipment in the ground in the coming months it is humbling to see the size and quantity of partners that are engage with us to make our ecosystem a reality one area that we're very excited about is a utility sector we're working on partnerships with multiple major regional energy providers in fact in recent weeks we have seen some major he be charging companies add telecommunication and other features to they're offering data and connectivity will go hand in hand as this industry matures the we intend to be perfectly positioned for that future to see industry leaders move forward with the functionality that we already have built into our platform is a strong validation of our strategy as a world transition from gasoline powered to electric power fuel itself will undergo a major consumer change simply put electricity has no branding power with the exception of source with green power such as solar being superior to fossil fuel electricity but regardless the day will come when fuel will lose it's branding potential meaning the brand will have to come from experience of few ruling rather than the fuel itself we are building our ecosystem to fully embrace the benefits of this change at this time i like to introduce or new cfl angela british and who was recently appointed chief financial officer we are thrilled to have angela onboard because of her background is so well suited to the direction our businesses headed not only does she have a great background in real estate management but she also held important roles and consolation one of the largest utilities in the us her experience also include as you see our reading for major corporations at pwc as well as as he see recording we're excited to have an joined the team as we begin our new growth phase now i'll turn to call over to and juliet to provide some detail on our financial for fiscal que one twenty twenty two
spk_4: think that show before i start i want to thank everyone for the opportunity to be a part of the geographic great story and now my eighteenth year and corporate finance i've been lucky enough to hold division that prepared me for a full cross section of corporate finance i'm complex long range planning to the day to day tasks familiar to us vpn css having just started a cfl i have that feeling you sometimes get just the for takeoff excitement and anticipation for the journey ahead the let's get started on the highlights of the choir because the company's core business is under recording contracts or quarters during our initial revenue cycle have remained remarkably steady for nine straight quarters wow the clear highlight of our fiscal twenty twenty two first quarter was growth of eight point four percent as a the eight million quarterly revenue threshold for the first time q one revenue of eight point two million marked an all time record and show progress over the seven point six million we reported in the same quarter last year this is a welcome start to i got caught importantly after being static for many quarter were finally beginning to add new rabbit it to the course that it a trend we expect to continue in future quarter we're lucky to have that capital based business because it gives us the freedom to pursue a greater level of are indeed and development and much larger and faster growing segment and eating we expect further growth in this based business and subsequent quarters though the to the trend that will make our paid revenue even stronger overtime we have tremendous scale and our business model that modest revenue increased contributed to a significant five hundred and seventy six faces point increase in gross margin which reached thirty one point six percent and que one versus the twenty five point nine percent last year our goal is to continue bearing on business that will eventually generate fast margins and excess of sixty percent that this is just found that the matter direction one other key element that it very important in terms of our ability to qualify for future big lines of credit involved are invoicing affected july first twenty twenty one the company was able to begin invoicing third largest consumer us off it therefore on a by a margin customers do i thought it thereby making the you as the primary geographic region this change in invoicing a very important for a company of our side because lenders prefer us down without outdoors with the revenue and receivable it's improves our ability to obtain high quality bank line of credit and some are commercial lines that can significantly lower or the capital one other item of i'm pointing them out because we use a channel partner and our core business this revenue is listed at one hundred percent concentrated and that single customer however that revenue actually come from a more diverse set of a desert customer the beginning in a program ten quarters ago we had a generated approximately sixty nine million in revenue for this has established itself as a consistent revenue stream that will continue to improve about seventy eight percent of our revenue but derived from subscription twelve some services the court and about ten percent from application development and implementation as a layer or new sources of ab revenue it's customer concentration will gradually participate as we expect to have thousands of different paying customers at the same time next year fight some fairly large and on cash charges in the quarter he still managed to be modestly profitable with net income of approximately two hundred and forty thousand the company has been profitable and six for the last seven quarter no small feat during the period of major product development this was despite some very large changes as quarter to business development effort including amortization of debt discount defer to finance a cause and original issued discount totaling slightly more than one million two hundred and twenty four percent higher than to one of the prior fiscal quarter one of the advantages of our operation is that we already have a strong team of engineering talent they were able to assign complete projects as you need them giving us added leverage without ballooning or argued that will be hollering additional professional fast but have thus far been prudent and right sizing our organization to match our girls expectation as a result or salary and benefits were actually fifty eight percent lower and cuban totally just over two hundred and seventeen thousand compared to almost five hundred and twenty thousand the same time last year while some of this improvement what's been special item our current expensive are enabling us to manage your cash wow and we bring our new as we bring on new revenue stream another line item and our financial that would significantly higher than last year writing about three hundred percent with are doing it man which increased from about two hundred and forty six thousand and fifteen or twenty twenty one to just over one million in the most recent quarter the increase is driven by the investments made to support the expected growth the initial previously shared such as growth the marseilles impasse offering he finished the corner with one point eight million in cash and are stockholders' equity set a new record at twelve point two million qualify must wear a mask back up left without the necessary the necessity for an equity raise overall our financial condition continue to improve as their prospect for growth accelerate greatly enhanced seen as bad as with potential partner at good time i'd like the turn a call back and show
spk_2: thanks angela i would like to spend the last part of today's call discussing some of the projects we are working on and what we expect to achieve over the next several quarters one area that i'm excited about his are fully developed plan to manage our ambitious expansion program we have been working on the strategy since last year and during that time we have assembled a tremendous number of external resources to make our expansion a success we now have topped your suppliers engaged to provide or level two and level to equipment along with third party support to fill in some necessary technology we have already placed an order for many and power branded level to chargers and a number of important pilots that represent chain of thousands of potential locations to the and power even charging rollout phases underway in a big way depending upon third party schedules when tend to begin installing as soon as possible as we already have site selected similarly we are involved in a couple of important super sites and level three projects that have done this and necessary equipment and support lined up for when those sites complete engineering age as you can imagine engineering takes longer for these sites due to the high energy usage in terms of sight acquisition we're in talks with many retail customers representing around thirty thousand locations and are also exploring pilots with several major quits or restaurant chains dumb interested providers in the personal services space hotel chain gas station grocery stores if i said to say our ecosystem is resonating at many different levels of mobile commerce along with our own inhouse house technology we also have aligned with other equipment and third party software application companies to complete our technology requirements i renew agreement or contract seems to open new doors for us but we are lucky in the sense that we our beginning our growth curve and a point when the technology in this space is well developed with the ability to choose from a very competitive landscape of only and providers we are able to be nimble in picking suppliers with superior pricing and technology to there's some real advantages to being a late bloomer falling the creation of an industry we spoke last quarter about how forecasting is somewhat complicated at the moment because we don't know which sites will implement our full be five g engagement stack until we complete side surveys as a rule of thumb under the current model every amp our site will carry or engagements off rare and generate an average or of around fifty dollars and recurring revenue about half of those sites will include five g and generate an additional fifty dollars per month we expect about fifteen percent of the locations will qualify for even insulation representing a more variable rate of revenue each site will have an average of about four ports the remodel out or revenue expectations over the next four quarters we expect strong growth and all of our segments beginning with our profitability of course sas business which we expect to grow at a ten percent or better rate on top of it's drilling twelve month revenue of thirty one point three million the rollout of our and power he be centric business segment will add significant revenue and twenty twenty two and become a source of consistent future growth using a conservative six hundred dollar contribution from each site during basic year one development we expect our current law list of sites to generate two point three million in annual recurring revenue a subset of these sites could also generate an additional revenue as we add new features to our platform or upgrade the empower offering at suitable locations using the same metrics or pipeline of higher profitability site not yet announced represent an additional eighteen million in annual and power even revenue counting potential supercharger sites currently in planning stage we model or he be pipeline at more than twenty six million in annual revenue adding to gather all sources including growth of our existing sas business we are modeling a pipeline of about thirty million and targeted recurring annual sales roughly doubled the current revenue it should be noted that these figures do not include any contribution from five g where we still have several several different paths in development in terms of the calendar we expect to begin rolling out our engagement software by the end of twenty twenty one are empowered charging stations by que one twenty twenty two are he be plus five g by two three twenty twenty two are easy plus enhanced platform my cute three twenty twenty two with additional features and are supercharger sites in the second half of twenty twenty two with tens of thousands of sites and our pipeline tracking our progress will be pretty straightforward and the future quarters when modeling against these recurring metrics burst revenue from each and power site is highly predictable as majority of our revenue streams are expected to continue to be recurring in nature as we build out our ecosystem i'm also very excited about a new marketplace platform that were about to launch to talk more about this i would like to introduce our chief operating officer then get good a moody to provide some detail on this exciting marketplace
spk_5: thanks i'm sure we all spend a few minutes unveiling a brand new block chain based like a place that we think blue revolutionize delay green consumers are incentivized for practicing eco friendly habits in their daily lives
spk_6: so i'm excited to give everyone an early look at the camp our token which is a grim token backed by the proven blockchain technology we think this will be a great addition to our and power ecosystem we approach the space with a gold to resolve multiple problems in the eco incentive space test we look at ways for green consumers to participate in helping the world move more quickly to watch an even celtic future regardless of current ab on a ship many individuals want to have a bigger role in this moment
spk_7: so we're giving them a digital path that is easily managed we are any mobile device
spk_5: at the same time
spk_6: we look at how to integrate this noble pursuit into the cockpit need for yes g programs a new ways to offset a company's carbon footprint last but not the least we also considered the needs of green product manufacturers
spk_8: in reaching the target markets
spk_5: our solution
spk_8: what's to design and and power grim token based marketplace
spk_6: into an ecosystem
spk_1: that can bring all of these groups together
spk_6: and promote positive change that benefits different participants in the way that best suits their own needs we are uniquely positioned to create this program because we expect to have a very large footprint of tens of thousands of and power retailers in place relatively quickly over the next year
spk_1: but in our ecosystem businesses can offset that carbon footprint by installing a recharging or buying tokens in the market to promote green practices
spk_6: markets of and policy makers of truly green products
spk_1: can use our ecosystem
spk_9: to promote their products and green consumers can get a little bit greener in a symbolic and a little way by owning tokens that can be redeemed for other products and services
spk_6: under our program
spk_5: we envision the creation of a green token economy
spk_6: let users can redeem these tokens at and power sites for incentives such as recharging that are specific to their needs we are excited by the idea that this type of token can help companies meet their yes g goals which is more difficult than you might imagine for many forms particularly those that are struggling to find on site ways to reduce their carbon footprint
spk_5: we already have companies that have agreed to be on our token marketplace
spk_6: and locations that want to participate in our ecosystem
spk_5: so the supply and demand characteristics of this program is already in place
spk_6: built on top of an eco friendly standards based distributed ledger platform we also intend to enter operate between standards based eco friendly distributorship platforms
spk_5: such as solana polygon and sub state for our green token this is not just a concept at this stage as we have the platform built and will be ready to launch tokens soon
spk_6: block chain is a natural choice for the platform but number of reasons starting with transparency like the farm to table supply chain concept introduced at walmart
spk_5: our solution
spk_6: can extend to rank the eco friendly products sold in on like this so we have a great deal of functionality that the can add after lunch block can also gives us the twin attributes of audit ability as companies participating in the s t are required to be audited and block chain is tamper proof and immutability a key feature where data that cannot be altered for those familiar with the space you might be wondering why this kind of token versus utility coin while utility coins or more appropriate for the type of the use case a good talking about they cannot give us everything we need for our specific okay
spk_10: utility tokens either have no value outside that closed ecosystem
spk_6: what they have a static value this is due to the fact that the supply and demand are both controlled and finite in our ecosystem we haven't even charging platform to not only attract the be conscious customer but also to drive traffic into stores was in normally my god shop addition the markedly place provides us the ability to drive supply and demand creating intrinsic value for the token which will be reflected in place changes over time in that sense this is not a company loyalty program but a green light the program
spk_1: believe that this concept were generated considerable interest
spk_6: and give us some exciting inroads into collaborations that would not otherwise be possible our revenue proposition could be very large as retailers could buy credits or tokens and you cease as part of their own incentive programs top for example and new purchaser of a levy vehicle
spk_5: could be rewarded with the wallet of and power tokens
spk_6: that could be spent at our member retailers simply based on the switch away from a gasoline powered people we have a long list of potential collaborators and collaborations in mind this is just one of several programs that we have under development as part of our strategy to become a company identifying as a leader in green revolution in commerce and top our team is pretty simple make agreement way of life easier happier and more productive this is really the starting point of all our projects and something we believe will distinguish our product offerings as our and power ecosystem expense
spk_11: now i'd like to turn to call over back to on should poised to max
spk_2: thank you think it how exciting does his teacher look are pipeline is full our new revenue streams have already begun and we see acceleration across all parts of our business it took many months to get there
spk_0: but we are finally beginning what we think will be a significant accelerating growth phase in one of the strongest sectors and tech at this time i would like to open the call up for questions thank you we will now be conducting a question and answer session if you would like to ask a question please press star one on your telephone keypad a consummation tom will negate the your line is on the question q he may press or too few would like to remove your question from the queue for participants using speaker equipment them may be necessary to pick up your handset before president sarkies one moment please volleyball for question
spk_12: thank you our first question comes from christian with dunlap equity please proceed with your question the out your observations here as great to see the yeah
spk_2: alfalfa course asked business get back to growth and you select you got a lot more had also knows he added a nice up taking gross margins for the quarter should we expect that margin proven to continue or is it mullah blogger ah i got a great great question that no actually were getting a lot of interest on our existing platforms and in fact we're actually expanding some of that offering so we can actually expect not only this to continue but actually continue to see an increase of may be as much as temper
spk_13: cent per year in terms of growth and or existing business
spk_14: and and the commensurate margin permit and so on the gross margin federal level in the journal that's going to continue i think the way our our platform kind of works as we have a fixed costs so as a revenue increases or margin increases kind of reflected as as you saw that so know our goal is you know to continue to be a fast company and and a target of about sixty percent and gross margin
spk_12: philo watching that stuff that those margins increase to do to those levels okay that's great
spk_13: biden that he gets a job was the first app the be installed as well for starting station so yeah so we we actually have you know historically our apps were inside add a retailer the customers apps right we're kind of built an integrated in there are
spk_2: our own apps are empower branded apps are i should be a minute before thanksgiving they'll be available for download acting iowa is already have it as or your android is already available iowa is taking a little bit longer but before thanksgiving we should have that available and where were just rolling out as we speak in an oldies location so i wouldn't i would say the first you know call it does the next quarter we'll start seeing revenue from from our own app start to start as early as as next quarter and i would say probably the fall quarter we'll we will start seeing level two chargers installed and double searching revenue from that and then when i serve towards the latter half of for point of twenty twenty two probably to level three chargers will be in place we already have projects and interest in that it just takes
spk_12: permitting and everything else and also there's a backwater on some of the equipments all that process takes a little bit little bit longer and levels raised about that topic and i saw my job said something so you got three thousand years locations already signed you mention the press release on the like twenty seven thousand a pipeline mother's downplayed the base bare minimum one of those sites are going to generate is fifty dollars in revenue a month which because it's software she was very high revenue and then from there some will get the
spk_2: five g that a few dollars of by not as i rub you could still high revenue and then charge on top of that so at a bare minimum of fifty hours a month of very high margin software revenue for each site plus whatever else you that they'll pop papa that that's correct answers can be the be sort of at mad bare minimum and we expect as as i mentioned in my prepared remarks that the you know we expect a large chunk of those to about fifty percent to get he be charging on the site is kind of what we're estimating and each each one of those sites to have a lease for port semi summer
spk_12: looking at as as many as eighteen points about which is kind of averaging about for ports for or locations
spk_15: and am i did you say you thought would get the five g
spk_13: at rome and yeah am i mean what we're thinking it's gonna be as high fifty percent are just about everyone we talked to is actually very interested in might be even higher than that but we we were sort of estimating about fifty percent and and you know again this will be building a sort of cbr s network that will be building and because we're the way we're rolling out our strategy in terms of the dense
spk_2: city of a particular location we can actually create a connector privates cbr as network and be able to offer services outside that retail location which again will will make one our app that much more secure where people will not want to delete or up off their phones but more importantly we can offer services to other
spk_12: you know other revenue streams are we can generate by monetizing that network
spk_13: okay
spk_14: it isn't something your for the fall for us are i understand that their by the mean a desperate for some reason why not about the transition but is this up and a focus on your sarge using you can go for something a all retail yeah no no referee focus across all retail i think take us or was this canada the low hanging fruit but there were actually in talks with a full full service restaurants hotels
spk_12: as had gas station communion store we also in talks with grocery stores big box where she stores as well as other retail locations from you know that are you know things that you'd typically one think of but damn so yeah we're we're really excited we think that this opportunity is tremendous i think
spk_0: you know that sort of the total market errors in the billion dollars right just and charging as things are moving so so we're excited to be able to capture a good portion of that is kind of what we're hoping
spk_16: okay that's great thank you can appreciate that updates and up with everything thank you
spk_2: thank you our next question is from grand prize with raymond james please proceed with your question
spk_17: a good afternoon and thank you for taking my questions on the the first one i had with regard to the virginia
spk_13: guys that you announce a couple days ago did you talk about the breakdown or perhaps between convenience stores and gas stations and in restaurants that you mention
spk_16: yeah on those okay locations i don't know how the exact break down in front of me right now but that it is
spk_2: predominantly broken up in in terms of convenience store though i would say i'm a majority of those are convenient stores and gas stations a tape robbie little higher on the on the convenience store side and there's some restaurant chains and hotels as well got it on understood and and when you think about i guess the recurring revenue profile know for each of those types of sight how have you think about that yeah so each site is actually had at minimum looking at our engagement platform and that's something that there you know very interested in were also kind of launching the says as men get kind of brought on this new marketplace which essentially allows
spk_13: you know us to not only connect the the customer with the with the retail location but also incorporate new brands as well and so that's something that that were
spk_16: we're very excited about and i'll bring in sort of additional revenue revenue streams as as that as it continues but and minimum of you know is that engagement platform just about everyone we we had spoken to his interested in five g connectivity as well a lot of that has to do with though you know there's a lot of sight site where thing
spk_12: to get done to make that happen so so we're still estimating maybe about fifty percent is kind of the back of envelope calculation for us
spk_2: that will qualify for that but albion additional recurring revenue stream that will be getting from them about it and understand and then i'm like my power to decide to get your thoughts the longer term but your thoughts around international expansion and and how that might work yeah so we we do get a lot of interest in a sweatshirt a european and asian special in india so that something that we're keeping an eye on it's not something where the were looking do and her immediately just because we want to get our our base which is a us down
spk_13: but we do see a lot of interest there and as much as i mentioned that european and and india
spk_16: just don't just a lot of demand there for free be charging and
spk_18: even like like in china we had conversations with a few companies air and reached out to us because they they like the platform right there like what we're doing here but again that's not an and that's how to market we want know
spk_0: and today but it is something we're keeping an eye on
spk_19: understood thank thank you very much
spk_20: thank you
spk_21: thank you our next question was come from coal wilson private investor please proceed with their quest
spk_13: thank you
spk_22: so on the so expect this to be roughly the first quarter as mainly just gonna be the consumer engage the
spk_13: revenue that
spk_2: party correct on that as far as in
spk_23: yeah i call yeah thought so next quarter you that much but the to do
spk_19: or next year
spk_2: yeah yeah i felt so it's the next quarter you're searching are not only our existing a recurring revenue that we but also in addition to that you'll start seeing revenue around or consumer engagement platform as we rule that out
spk_24: and by next quarter and the falling quarter you'll start seeing more easy
spk_13: revenue from charging as the that three thousand locations that were roughly have right now as that a conservative number to what we didn't expect growth per month or is that a high number a low number average yeah no no no i i think what we should be a least for for some time
spk_19: will will be growing at a pretty we have a huge pipeline as as i mentioned were looking are targeting and about thirty thousand locations and of
spk_25: you know our are sort of first goal is ten thousand which i expect you know some time
spk_2: i was in the air in the near term and then are by and appointee twenty two of my goal is elise to get to twenty thousand locations five besides he misses municipal contract
spk_26: are those still in progress
spk_14: yes sir
spk_13: they're very much and progress and i think you know what's unique about the way we're doing it is
spk_14: is because we already have locations which is which is always tough for someone to come in and out because if they're coming in from the five g's side they would have to either signed leases or use government facilities to set up the private networks because we already have this in place we almost can start offering services to to to go
spk_27: vermont's fairly quickly
spk_28: something we're working we're working on as well
spk_29: but as far as our our current forecasts we haven't really
spk_19: like hundred for that revenue at at this point
spk_28: understand or sense
spk_19: i guess it comes down to earth i guess i see we're on the
spk_21: today's press release as the that years
spk_13: kind of touchdown down on
spk_2: than up list and all that's probably a lot of concern with people as far as how close to the term these that you might be looking at that and others the word with the plans are to possibly get
spk_14: the more brand awareness out there for us
spk_12: yeah absolutely i think that's something we're
spk_0: were definitely mindful of are you know we feel that there's a lot of
spk_2: you know up a lot of when that we still have that we can announce and at the same time you know we qualify for not less but we want to do it does strategically and we want to make sure it makes sense for all shareholders and so that's something where we're kind of looking at were hoping to get you know and was coverage prior to that and said
spk_13: that way you know the story can be be sort of heard a lot a lot more an awfully or or market cap reflects the true value of the company which apparently this spots
spk_2: as so august appreciated sir thank you very much thank you
spk_0: thank you that it all the time we have allotted for questions to the i would like to turn the call back over to honshu botnet are for any closing remarks

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