Siyata Mobile Inc. (SYTA) on Q3 2024 Results - Earnings Call Transcript
Operator: Good morning, ladies and gentlemen, and welcome to the Siyata Mobile Third Quarter 2024 Conference Call. All lines are in a listen-only mode and this call is being recorded on Friday, November 15, 2024. I would now like to turn the conference over to Glenn Kennedy, Vice President of International Sales. Sir, please go ahead. Glenn Kennedy: Thank you for joining the Siyata Mobile third quarter 2024 conference call. Today, I'm joined by our CEO, Marc Seelenfreund. During this call, management will make expressed and implied forward-looking statements within the Private Securities Litigation Reform Act of 1995 and other U.S. federal securities laws. These forward-looking statements include, but are not limited to, those statements regarding future product offerings, the belief that we are on the path for strong organic growth, the goal to deliver strong year-over-year revenue growth and reach profitability in the coming quarters; the belief that we will continue to see strong sales in all of our product lines and across our various markets; and the timing and sale of our rugged handsets to North American and international carriers. Such forward-looking statements are based on the company's current expectations and assumptions regarding its business, the economy and other future conditions. Because forward-looking statements relate to the future, they are not statements of historical fact and are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. The company's actual results may differ materially from those contemplated by the forward-looking statements. We caution you, therefore, against relying on any of these forward-looking statements. The company cannot guarantee future results, levels of activity, performance or achievements. The forward-looking statements contained in this presentation are subject to other risks and uncertainties, including those discussed in the Risk Factors section and elsewhere in the company's annual report on Form 20-F for the year ended December 31, 2023, filed with the Securities and Exchange Commission. Now, I'd like to turn the call over to Marc. Marc Seelenfreund: Thank you, Glenn. Good morning and thank you for joining the call. We're pleased to announce that in the third quarter of 2024 ended September 30, revenue was $5.9 million, which is a 218% or $4 million increase, compared to $1.8 million in Q3 2023, and a 210% or $4 million increase, compared to $1.9 million in Q2 2024. Revenue from the U.S. market was $4.8 million or 81% of total revenue, compared to $1.3 million or 69% of total revenue for Q3 2023. This was the strongest revenue quarter ever in the history of our company. This increase was primarily due to the increased demand for our SD7 handset and accessories and having the inventory to fulfill this demand. We are also extremely excited with our sales outlook going forward as we are now seeing tangible rapid adoption of our unique PTT product portfolio across our various sales channels. We believe that we have a very exciting 5G product portfolio planned to launch in 2025, which will position us as the leading PTT handset provider on a global level. We announced recently that T-Mobile is the first wireless carrier that will be launching part of this portfolio and will be releasing details of the innovative devices over the coming months. We are optimistic that more wireless carriers will follow suit. For the remaining Q3 2024 financial metrics, gross margin percentage for Q3 2024 was 29% versus 26.6% in Q3 2023. Gross margin dollars increased from $500,000 to $1.7 million, a $1.2 million positive variance. SG&A expenses are $4.7 million in Q3 2024, versus $2.7 million in Q3 2023, an increase of $2 million. This increase in SG&A was primarily due to marketing expenses related to investor awareness. Adjusted EBITDA for Q3 2024 was negative $3.3 million, compared to negative $1.6 million in Q3 2023, a $1.8 million negative variance in EBITDA, mostly related to the increased marketing expenses related to investor awareness. Working capital as of September 30, 2024 was $200,000 versus $1.3 million as of December 31, 2023, a $1.1 million decrease in working capital. Removing both the non-cash warrants and preferred share liabilities classified as current liabilities, the working capital at September 30, 2024 would have been $1.3 million, and at December 31, 2023, would have been $1.4 million. For the nine months ended September 30 2024, total revenue was $10.1 million, compared to $6.3 million in the same period of 2023, which is a positive variance of $3.8 million. Gross margin dollars were $2.8 million in 2024, compared to $1.8 million in the same period of 2023, which is a positive variance of $1 million. Finally, the gross margin percentage was 27.3% in 2024, compared to 28.2% in the same period of 2023, a decrease of 0.9%. We continue to see the rapid adoption of our disruptive solutions and as the displacement of land mobile radio by push to talk over cellular continues to progress, this should drive meaningful growth for our innovative products. We stand by our previously stated goal of strong revenue growth with a goal of profitability in the coming quarters. We will file our third quarter 2024 financial results for the SEC on a Form 6-K and urge our listeners to access them from the SEC's website, search for Siyata Mobile. That concludes our remarks. If you have any questions, please email them to SYTA@Haydenir.com. Thank you. Operator: Thank you, ladies and gentlemen. This does conclude today's call and you may disconnect your lines at this time. And we thank you for your participation. Q -:
Siyata Mobile's Upcoming Earnings and Strategic Partnerships
- Siyata Mobile (NASDAQ:SYTA) is set to release its quarterly earnings with an anticipated EPS loss of $3.47 and projected revenue of $2.8 million.
- The company has entered into strategic partnerships, including one with T-Mobile, and secured a deal with a Fortune 100 telecom company, aiming to enhance its market presence.
- Despite financial challenges indicated by a negative P/E ratio of -0.04 and a debt-to-equity ratio of 1.12, Siyata's innovative strategies and growth plans, such as a $160 million merger with Core Gaming, highlight its potential for future stability and growth.
Siyata Mobile, trading as NASDAQ:SYTA, is a prominent player in the telecommunications industry, specializing in Push-to-Talk over Cellular (PoC) devices and cellular signal booster systems. The company is set to release its quarterly earnings on Tuesday, May 13, 2025, at 4:00 PM Eastern Daylight Time. Analysts predict an earnings per share loss of $3.47, with projected revenue of approximately $2.8 million.
Siyata has recently made significant strides, including a strategic partnership with T-Mobile through the T-Priority program. This collaboration is expected to boost its market presence. Additionally, Siyata has secured a deal with a Fortune 100 telecom company, further strengthening its industry position. These developments are crucial as the company navigates its financial challenges.
Despite a negative price-to-earnings (P/E) ratio of -0.04, Siyata's recent achievements, such as becoming the smallest manufacturer to secure stocking agreements with major U.S. carriers, highlight its innovative approach. The company's price-to-sales ratio of 0.36 suggests that the market values it at about 36 cents for every dollar of sales, reflecting investor caution.
Siyata's ambitious growth plans include a $160 million merger with Core Gaming, showcasing its commitment to expansion. However, the enterprise value to sales ratio of 0.73 and a negative enterprise value to operating cash flow ratio of -0.56 indicate financial hurdles. The earnings yield is notably negative at -22.91%, underscoring a lack of profitability.
The company's debt-to-equity ratio of 1.12 suggests it has more debt than equity, which could pose risks. Additionally, a current ratio of 0.53 indicates potential liquidity challenges in covering short-term liabilities. Despite these financial metrics, Siyata's strategic moves and partnerships may pave the way for future growth and stability.
Siyata Mobile's Upcoming Earnings and Strategic Partnerships
- Siyata Mobile (NASDAQ:SYTA) is set to release its quarterly earnings with an anticipated EPS loss of $3.47 and projected revenue of $2.8 million.
- The company has entered into strategic partnerships, including one with T-Mobile, and secured a deal with a Fortune 100 telecom company, aiming to enhance its market presence.
- Despite financial challenges indicated by a negative P/E ratio of -0.04 and a debt-to-equity ratio of 1.12, Siyata's innovative strategies and growth plans, such as a $160 million merger with Core Gaming, highlight its potential for future stability and growth.
Siyata Mobile, trading as NASDAQ:SYTA, is a prominent player in the telecommunications industry, specializing in Push-to-Talk over Cellular (PoC) devices and cellular signal booster systems. The company is set to release its quarterly earnings on Tuesday, May 13, 2025, at 4:00 PM Eastern Daylight Time. Analysts predict an earnings per share loss of $3.47, with projected revenue of approximately $2.8 million.
Siyata has recently made significant strides, including a strategic partnership with T-Mobile through the T-Priority program. This collaboration is expected to boost its market presence. Additionally, Siyata has secured a deal with a Fortune 100 telecom company, further strengthening its industry position. These developments are crucial as the company navigates its financial challenges.
Despite a negative price-to-earnings (P/E) ratio of -0.04, Siyata's recent achievements, such as becoming the smallest manufacturer to secure stocking agreements with major U.S. carriers, highlight its innovative approach. The company's price-to-sales ratio of 0.36 suggests that the market values it at about 36 cents for every dollar of sales, reflecting investor caution.
Siyata's ambitious growth plans include a $160 million merger with Core Gaming, showcasing its commitment to expansion. However, the enterprise value to sales ratio of 0.73 and a negative enterprise value to operating cash flow ratio of -0.56 indicate financial hurdles. The earnings yield is notably negative at -22.91%, underscoring a lack of profitability.
The company's debt-to-equity ratio of 1.12 suggests it has more debt than equity, which could pose risks. Additionally, a current ratio of 0.53 indicates potential liquidity challenges in covering short-term liabilities. Despite these financial metrics, Siyata's strategic moves and partnerships may pave the way for future growth and stability.
Siyata Mobile Inc. (NASDAQ:SYTA) Faces Financial Challenges but Looks Towards Growth with Core Gaming Merger
- Earnings per share (EPS) of -$18.55, significantly lower than the estimated -$6.99, indicating larger-than-expected losses.
- Actual revenue of approximately $1.52 million, falling short of the estimated $5.76 million, highlighting market expectation challenges.
- Despite financial difficulties, the definitive merger agreement with Core Gaming, Inc. presents new growth opportunities.
Siyata Mobile Inc. (NASDAQ:SYTA) is a global developer and vendor of Push-to-Talk over Cellular (PoC) handsets and accessories. The company recently reported its financial results for the fourth quarter and full year ending December 31, 2024. On March 31, 2025, SYTA announced an earnings per share (EPS) of -$18.55, which was significantly lower than the estimated EPS of -$6.99. This indicates a larger-than-expected loss per share, reflecting the company's current financial challenges.
The company's actual revenue was approximately $1.52 million, falling short of the estimated $5.76 million. This shortfall in revenue highlights the difficulties SYTA faces in meeting market expectations. Despite these challenges, the company is moving forward with a significant development—a definitive merger agreement with Core Gaming, Inc. This merger is expected to bring new growth opportunities, as highlighted by the upcoming presentation by Aitan Zacharin, CEO of Core Gaming, at the AI & Technology Virtual Investor Conference on April 3, 2025.
SYTA's financial metrics further illustrate its current challenges. The company has a negative price-to-earnings (P/E) ratio of approximately -2.99, indicating it is not profitable at the moment. The price-to-sales ratio stands at 0.18, suggesting that the stock is valued at 18 cents for every dollar of sales. This low valuation reflects investor concerns about the company's ability to generate revenue.
The enterprise value to sales ratio is 0.49, implying that the company's total valuation is about 49 cents for every dollar of sales. Additionally, the enterprise value to operating cash flow ratio is negative at -0.37, indicating difficulties in generating positive cash flow from operations. The earnings yield is also negative at -33.48%, further highlighting the company's current unprofitability.
Despite these financial challenges, SYTA maintains a debt-to-equity ratio of 0.40, indicating a moderate level of debt relative to equity. The current ratio is 1.03, suggesting that the company has slightly more current assets than current liabilities, which indicates a marginally stable liquidity position. As the company moves closer to finalizing the merger with Core Gaming, CEO Marc Seelenfreund remains optimistic about the future prospects.
Siyata Mobile Inc. (NASDAQ:SYTA) Faces Financial Challenges but Looks Towards Growth with Core Gaming Merger
- Earnings per share (EPS) of -$18.55, significantly lower than the estimated -$6.99, indicating larger-than-expected losses.
- Actual revenue of approximately $1.52 million, falling short of the estimated $5.76 million, highlighting market expectation challenges.
- Despite financial difficulties, the definitive merger agreement with Core Gaming, Inc. presents new growth opportunities.
Siyata Mobile Inc. (NASDAQ:SYTA) is a global developer and vendor of Push-to-Talk over Cellular (PoC) handsets and accessories. The company recently reported its financial results for the fourth quarter and full year ending December 31, 2024. On March 31, 2025, SYTA announced an earnings per share (EPS) of -$18.55, which was significantly lower than the estimated EPS of -$6.99. This indicates a larger-than-expected loss per share, reflecting the company's current financial challenges.
The company's actual revenue was approximately $1.52 million, falling short of the estimated $5.76 million. This shortfall in revenue highlights the difficulties SYTA faces in meeting market expectations. Despite these challenges, the company is moving forward with a significant development—a definitive merger agreement with Core Gaming, Inc. This merger is expected to bring new growth opportunities, as highlighted by the upcoming presentation by Aitan Zacharin, CEO of Core Gaming, at the AI & Technology Virtual Investor Conference on April 3, 2025.
SYTA's financial metrics further illustrate its current challenges. The company has a negative price-to-earnings (P/E) ratio of approximately -2.99, indicating it is not profitable at the moment. The price-to-sales ratio stands at 0.18, suggesting that the stock is valued at 18 cents for every dollar of sales. This low valuation reflects investor concerns about the company's ability to generate revenue.
The enterprise value to sales ratio is 0.49, implying that the company's total valuation is about 49 cents for every dollar of sales. Additionally, the enterprise value to operating cash flow ratio is negative at -0.37, indicating difficulties in generating positive cash flow from operations. The earnings yield is also negative at -33.48%, further highlighting the company's current unprofitability.
Despite these financial challenges, SYTA maintains a debt-to-equity ratio of 0.40, indicating a moderate level of debt relative to equity. The current ratio is 1.03, suggesting that the company has slightly more current assets than current liabilities, which indicates a marginally stable liquidity position. As the company moves closer to finalizing the merger with Core Gaming, CEO Marc Seelenfreund remains optimistic about the future prospects.
Siyata Mobile Inc. (NASDAQ:SYTA) Quarterly Earnings Preview
Siyata Mobile Inc. (NASDAQ:SYTA) is on the brink of releasing its quarterly earnings on March 31, 2025. The company, a renowned manufacturer of mobile communication devices, is anticipated to unveil an earnings per share (EPS) of -$6.99, alongside projected revenue of $5.76 million.
Following the announcement of a merger with Core Gaming, Inc., there's a buzz around its potential financial trajectory. The firm has opted out of hosting a traditional conference call for its financial disclosures. Instead, stakeholders are directed towards the AI & Technology Virtual Investor Conference scheduled for April 3, 2025.
Here, Aitan Zacharin, CEO of Core Gaming, will shed light on the merged entity's growth strategies, as reported by PR Newswire. A deep dive into Siyata's financials uncovers some hurdles. The negative P/E ratio of -2.76 paints a picture of unprofitability, while a price-to-sales ratio of 0.16 implies the stock is trading at 16 cents for every dollar of sales.
The enterprise value to sales ratio standing at 0.48 suggests the company's market valuation is less than half of its sales figures. Moreover, the enterprise value to operating cash flow ratio at -0.36 signals challenges in cash flow generation. The stark negative earnings yield of -36.18% further highlights the company's struggle with profitability.
On a brighter note, a debt-to-equity ratio of 0.40 indicates a relatively moderate debt level in comparison to equity. The current ratio of 1.03 portrays a company with a slightly higher volume of current assets than liabilities, hinting at short-term financial resilience. Despite the financial adversities, the merger with Core Gaming could pave the way for new growth avenues and potentially enhance Siyata's financial standing.
Siyata Mobile Inc. (NASDAQ:SYTA) Quarterly Earnings Preview
Siyata Mobile Inc. (NASDAQ:SYTA) is on the brink of releasing its quarterly earnings on March 31, 2025. The company, a renowned manufacturer of mobile communication devices, is anticipated to unveil an earnings per share (EPS) of -$6.99, alongside projected revenue of $5.76 million.
Following the announcement of a merger with Core Gaming, Inc., there's a buzz around its potential financial trajectory. The firm has opted out of hosting a traditional conference call for its financial disclosures. Instead, stakeholders are directed towards the AI & Technology Virtual Investor Conference scheduled for April 3, 2025.
Here, Aitan Zacharin, CEO of Core Gaming, will shed light on the merged entity's growth strategies, as reported by PR Newswire. A deep dive into Siyata's financials uncovers some hurdles. The negative P/E ratio of -2.76 paints a picture of unprofitability, while a price-to-sales ratio of 0.16 implies the stock is trading at 16 cents for every dollar of sales.
The enterprise value to sales ratio standing at 0.48 suggests the company's market valuation is less than half of its sales figures. Moreover, the enterprise value to operating cash flow ratio at -0.36 signals challenges in cash flow generation. The stark negative earnings yield of -36.18% further highlights the company's struggle with profitability.
On a brighter note, a debt-to-equity ratio of 0.40 indicates a relatively moderate debt level in comparison to equity. The current ratio of 1.03 portrays a company with a slightly higher volume of current assets than liabilities, hinting at short-term financial resilience. Despite the financial adversities, the merger with Core Gaming could pave the way for new growth avenues and potentially enhance Siyata's financial standing.
