Evertz Technologies Limited (ET) Q3 2026 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good afternoon, ladies and gentlemen, and welcome to the Everts Q3 Investor Conference Call. At this time, all lines are in a listen-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. This call is being recorded on Wednesday, March 4, 2026. I would now like to turn the conference over to Brian Campbell, Executive VP of Business Development. Please go ahead, sir. Thank you, John. Good afternoon, everyone, and welcome to Ebert's Technologies conference call for our fiscal 2026 third quarter and January 31st, 2026. 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 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'll begin by providing a few highlights and then Doug will provide additional detail. First off, sales for the third quarter totaled a record $139.3 million, up 5% sequentially from the prior quarter. This includes revenue in the international region of 43.7 million, up 27.7% sequentially. Recurring software services and other software revenue increased 12.3% year-over-year, totaling 62.5 million in the quarter. Our sales base is well diversified, with the top 10 customers accounting for approximately 44% of sales during the quarter. with no single customer accounting for more than 16% of sales. In fact, we had 107 customer orders of over $200,000. Gross margin in the quarter was 81.2 million, or 58.3%, compared to 57.8% in the third quarter of the prior year. Net earnings were 18.7 million, resulting in fu...