BK Technologies Corporation · AMEX:BKTI
BK Technologies — Q2 2023 Earnings Presentation
11 slides from BK Technologies's earnings presentation, Aug 10, 2023
Slide 1: BK Technologies Second Quarter 2023 Earnings Results
BK TECHNOLOGIES SECOND QUARTER 2023 EARNINGS RESULTS August 10, 2023 NYSE American: BKTI
Slide 2: Disclosures
DISCLOSURES Forward-Looking Statements This presentation contains certain forward-looking statements that are made pursuant to the “Safe Harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements concern the Company’s operations, economic performance
Slide 3: Second Quarter Highlights
SECOND QUARTER HIGHLIGHTS IMPROVED SHIPMENT VOLUMES DRIVE REVENUE GROWTH • 8,938 radios shipped in Q2 • 57% increase in revenue compared to Q2 2022 • At June 30, 2023 backlog was $24.0 million LAUNCHED BKR 9000 MULTIBAND RADIO • Received FCC certification and P25 Compliance Assessment Program (CAP)
Slide 4: Strong Customer Demand
STRONG CUSTOMER DEMAND ORDERS RECEIVED IN 2Q23 INCLUDE: • Two USDA Forest Service purchase orders for 2,438 BKR 5000 radios and 2,700 BKR 5000 radios, respectively • $924,000 purchase order for BKR 5000 from Washington State Department of Natural Resources DELIVERIES COMPLETED IN 2Q23 INCLUDE: • Fir
Slide 5: Radio Shipments Expected to Increase in 2H23
RADIO SHIPMENTS EXPECTED TO INCREASE IN 2H23 RADIO UNITS SHIPPED QUARTERLY First Half Shipped 11,200 10,001 18,939 Revenue per Radio 8,938 $1,998 6,100 5,350 2,500 Q1’22 Q2’22 Q3’22 Q4’22 Q1’23 Q2’23 Shipped 8,938 Radios in Q2 With Improved Gross Margins Compared to 2Q22 5 NYSE American: BKTI
Slide 6: Gross Margin Performance Is Improving
GROSS MARGIN PERFORMANCE IS IMPROVING Global Supply Chain Targeting Incremental Margin Disruption Impacted 2022 Improvement in 2H23 40.0% 35.0% 30.0% 25.0% 20.0% 15.0% 10.0% 5.0% 0.0% Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2021 2022 2023 Positioned for Sustained Gross Margin Improvement 6 NYSE American: BKTI
Slide 7: BKR 9000 Launched
BKR 9000 LAUNCHED • Received FCC Certification • P25 CAP Approval • Commenced Shipments; 1st Shipment to U.S. Army in June The BKR 9000 Team – July 2023 7 7 NYSE American: BKTI
Slide 8: Financial Results
FINANCIAL RESULTS 6 months 6 months (in thousands) 2Q’23 2Q’22 ended ended 6/30/23 6/30/22 • Revenue increased 57% to $19.0 million driven Sales $18,996 $12,111 $37,717 $18,696 primarily by significantly increased radio shipments compared to 2Q22 as new and existing Gross Margin 27.4% 14.2% 27% 17%
Slide 9: 2023 Strategic Focus
2023 STRATEGIC FOCUS 1. Level Load Production • Production capacity of 10,000 radios per quarter, 40,000 for full year 2023 • Targeting production of 8,000 to 10,000 radios per quarter • Anticipated shipments of 32,000 to 36,000 radios for full year 2023 2. Targeting Incremental Gross Margin Improve
Slide 10: The Future of BK Technologies: Targeting $100M in Revenues by 2025
THE FUTURE OF BK TECHNOLOGIES: TARGETING $100M IN REVENUES BY 2025 • Create a leader in the public safety industry specializing in personal communications devices that maximize safety and efficiency for first responders • BKR 5000 continues to gain traction in the market; BKR 9000 positioned to sign
Slide 11: Q&A
Q&A 11 NYSE American: BKTI 11