Kontrol Technologies Corp (KNRLF) Q4 2022 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good afternoon and welcome to the Control Technologies year-end and fourth quarter 2022 earnings conference call. I am joined by the CEO of Control Technologies, Paul Gassi, and CFO, Claudio Del Vasto. Before we begin, please be reminded that certain statements and information included in the management discussion and analysis and financial statements and presentations, including information related to future financial or operating performance, and other statements that express expectations of management or estimates of future performance constitute forward-looking statements. For more information on the company's forward-looking statements and risk factors, please reference the management discussion and analysis in our financial statements. For all public information filings, please visit the www.cdar.com. Thank you. I would now like to turn the conference call over to Mr. Paul Gazi, CEO of Control Technologies. Mr. Gazi, you may begin. Thank you. Hello, everyone, and welcome to the Control Technologies year-end 2022 earnings conference call. I'm joined on the call today by our CFO, Claudio Del Vasto. 2022 was a challenging and disappointing year for Control with the underperformance of operating subsidiary global HVAC and Automation. While our commercial and industrial service and solutions business performed in line with expectations, the poor performance of Global HVAC led to the non-compliance of a covenant with our secured lender in Q3, which placed the overall company in the short-term position of financial strain. We were faced with a choice of operating Global HVAC with continued losses in the current environment or attempting to limit those losses by discontinuing operations. After careful consideration and in the context of managing our debt and covenants,...