Boardwalktech Software Corp.

Ladies and gentlemen, thank you for standing by. And welcome to the Board Walk Tech fourth quarter fiscal year 2022 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 the question during this session, you will need to press star then one on your telephone. Please be advised that today's conference is being recorded. If you require any further assistance, please press star then zero. I will now like to turn the conference over to your speaker for today. Graham Farrell, you may begin.

Thank you, operator. Hello and welcome, everyone, to BoardWalk Tech's inaugural quarterly conference call. This call will cover BoardWalk Tech's financial and operating results for the fiscal fourth quarter ended and full year ended March 31, 2022. Following our prepared remarks, we will open the conference call to a question and answer session. Our call today will be led by Boardwalk Tax President and Chief Executive Officer, Andy Duncan, along with the company's Chief Financial Officer, Charlie Glavin. Before we begin with our formal remarks, I would like to remind everyone that some of the statements on this conference call may be forward-looking statements. Forward-looking statements may include, but are not necessarily limited to, financial projections or other statements of the company's plans, objectives, expectations or intentions. These matters involve certain risks and uncertainties. The company's actual results may differ significantly from those projected or suggested in any forward-looking statement due to a variety of factors which are discussed in detail in our regulatory filings. Today, we issued our fourth quarter and annual financial results, a copy of which is available in the investor relations section of our website, www.boardwalktech.com, and posted on CDAR. I would like to remind everyone that today's call is being recorded on Wednesday, June 29th. I will now turn the call over to President, Chief Executive Officer, BoardWalk Tech, Andy Duncan. Please go ahead, Andy.

Thank you, Graham. Appreciate it. Welcome, everyone, to BoardWalk Tech's inaugural quarterly earnings call to discuss the company's financial results for our fourth quarter and full year of fiscal 2022, ended March 31st, 2022. We appreciate you taking time out of your day to join us, and we're delighted that you are here. Joining me today is Charlie Glavin, our Chief Financial Officer, who will review our financial results, followed by a Q&A. Before I begin, please make note that all dollar figures reported on today's call are in U.S. dollars, unless otherwise noted. We are pleased to report both sequential and year-over-year growth in our financial results for the fourth quarter and fiscal 2022 year. Since we launched our SAS model in 2018, revenue from contracts signed since 2018 have grown at a combined annual growth rate of 46% per year. Revenue from these SAS contracts since 2018 now comprise 95% of our revenue. Thus, we are pleased to note that this means that we should no longer experience the headwinds of legacy contracts from perpetual licenses, and those customers have either migrated to new recurring licenses or stabilized. Please note that we could have taken a large impairment charge when we launched our SAS model, but we opted to enable our older customers to migrate with us rather than just end of life these old products. However, this transition did mask the underlying growth of our SAS model until now. So this high margin software as a service model is much more predictable and provides a solid foundation for the future growth of our business. I am excited to share that our business has already reached a critical inflection point based on our recent contract wins exiting the March quarter. This is not an inflection point based on optimism and potential. It's an inflection point based upon results. I am pleased to say that the company is now able to start issuing financial guidance due to the predictability of both the underlying business as well as new business that we see closing over the coming months. That said, I'd like to take this opportunity to clarify some misconceptions around our sales cycles. These cycles can vary from three to five months for most customers to longer periods for larger enterprise deals. Our recent banking deal could have closed faster, but rather than take a quick deal, this particular contract expanded in breadth and depth, resulting in a multi-year agreement that increases over time and ended up more than 5x of what we originally targeted in our pipeline. This deal is now projected to generate over $4 million of net proceeds in cash over the first three years of the contract. Had we closed a smaller deal last summer, we believe we would have left at least $2 million on the table. Therefore, it was well worth the added time as we now have a very exciting opportunity ahead to not only grow the revenue from this client even further, but to land more similar deals in the financial services market. Before Charlie dives into the numbers, I'd like to provide a high-level summary of our financial performance and key growth drivers for the business. We are pleased to report a 23% increase in year-over-year growth in the fourth quarter revenue of $1.2 million, which also represents a 13% sequential growth rate from the previous quarter. Total revenue for the full 2022 fiscal year was $4.38 million, compared to $4.34 million in the previous year. A good portion of this sequential growth was driven by two new customers in the banking channel who are both large global financial institutions with headquarter offices in New York City and Mumbai, India. Each customer engaged with the company at the end of the quarter, so investors will see the full impact of revenue from these new customers in the immediate quarters ahead, as these organizations fully integrate our platform into their organizations. Half of the remaining revenue growth exiting fiscal 2022 was from new and existing customers adding new applications, epitomizing our land and expand strategy I've talked about a lot. In fact, during the fourth quarter, one consumer company added its third digital ledger application in less than 12 months since it signed its first license. With this latest application targeting better management of finished goods excess inventory, a very exciting application for them and quite valuable and quite an interesting ROI. As a result, Both gross margins and adjusted EBITDA improved due to higher sales volumes and a more favorable revenue mix from a higher contribution of recurring subscription licenses as the company's SaaS business model continues to grow. Charlie will give more details shortly. As I previously mentioned, the company will be providing revenue guidance for the upcoming fiscal year to the investment community. We are providing this guidance for several reasons. First, we believe that both our visibility and progress on contracts already closed and those in our control warrants such guidance. Second, we want to continue to be fully transparent to our investors, our prospective customers, and the financial analyst community. Third and lastly, we are also of the opinion that providing regular guidance will help investors and financial analysts properly model and value our business as we feel that there is a significant disconnect between our market value and the true value of our business. I'm certainly aware that I sound like most other small cap CEOs when I say that, but instead of me doing the talking, we're going to let our numbers do the talking from now on. So to take a deeper dive into the numbers, I'd like to hand the call over to our Chief Financial Officer, Charlie Glavin. Charlie, take it away.