Evertz Technologies Limited (ET) Q2 2026 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good afternoon, ladies and gentlemen, and welcome to the e-verse Q2 of fiscal 2026 conference call. At this time, online is in lesson-only mode. Following the presentation, we will conduct a question and answer session. If at any time during this call you require immediate assistance, please press star zero for the operator. I would now like to turn the conference over to Brian Campbell, Executive Vice President of Business Development. Thank you. Please go ahead. Thank you, Mina. Good afternoon, everyone, and welcome to Ebert's Technologies conference call for our fiscal 2026 second quarter, ended October 31st, 2025, with Doug Moore, Ebert's Chief Financial Officer, and myself, Brian Campbell. Please note that our financial press release and MD&A will be available on CDAR and on the company's investor website. Doug and I will comment on the financial results and then open the call to your questions. Turning now to Ebert's results, I will begin by providing a few highlights, and then Doug and I will provide additional detail. First off, sales for the second quarter totaled $132.7 million, up 18.4% sequentially from the prior quarter, and revenue in the U.S.-Canada region was $98.5 million, up 24% sequentially. reoccurring software services and other software revenue totaled $60.7 million in the quarter, an increase of 17.6% sequentially from the prior quarter. Our sales base is well diversified with the top 10 customers accounting for approximately 53% of sales during the quarter, with no single customer accounting for more than 16% of sales. In fact, we had 98 customer orders of over $200,000 in the quarter. Gross margin in the quarter was 77.8 million, or 58.6%, compared to 59.3% in the second quarter of the prior year. Net earnings were 18.6 million, resulting in ...