Maris-Tech Ltd. Q4 FY2023 earnings call

• Israel Bar introduced Maris-Tech's AI-based edge computing technology, which enables autonomous decision making at the edge for various remote platforms like drones, robots, vehicles. It relies on video sensors and provides low-latency video streaming with a 100 milliseconds end-to-end latency. - Applications include defense (drones, armored vehicle situational awareness, missiles, intelligence agencies), homeland security, space (Beresheet 1 and 2 projects), smart city, and commercial applications. - Cooperation with Renesas was highlighted as recognition of Maris's technology. - Nir Bussy discussed financial highlights such as revenue growth, backlog increase, and key financial figures like net loss and cash positions.

Revenue has increased from $1 million in 2020 to $4 million in 2023. For the year ended December 31, 2023, revenue totaled $4 million compared to $2.5 million in the previous year. The second half of 2023 had approximately $3.6 million in revenue. Projections for 2024 are approximately $7 million in revenue based on backlog. Backlog increased from $600,000 to approximately $10.8 million as of March 20, 2024. Net loss for the year ended December 31, 2023 was approximately $2.7 million compared to $3.7 million in 2022. Cash, cash equivalents, and bank deposits as of December 31, 2023 were approximately $5.2 million, and as of March 21, 2024, were approximately $4.75 million. Revenue contribution details per segment not explicitly broken down beyond overall financials.

• Projections for 2024 revenue are approximately $7 million based on backlog. - Backlog has increased from $600,000 to approximately $10.8 million as of March 20, 2024.

Q: Could you talk a little more about the importance of real-time edge AI video analysis for your customers, and the challenges of doing that analysis with other technologies of video processing, which means on the cloud?

A: The main reason for edge computing and AI at the edge is that remote platforms often can't communicate high-quality raw video via wireless for cloud processing, so edge AI is needed for autonomous decision-making. For example, drones need to detect and classify objects at the edge.

Q: Do you think that edge AI devices will be complement to other AI video processing solutions or an alternative to those systems?

A: Edge AI devices are needed as platforms at the edge for computing capabilities; they are not an alternative but rather a necessary complement for processing at the edge.

Q: Can you discuss the use of AI in use case markets?

A: We are developing AI capabilities in space with a U.S. partner for situational awareness using Uranus platforms, including detecting threats, avoiding collisions, and enabling accurate landing.

Q: If we are able to announce all the major deals given sensitive political situation about Gaza War?

A: We can announce deals without going into much detail, and significant announcements will be made if there is one.

Q: Do you have end gross margin guidance now?

A: As a project company with different products, gross profit is determined by product mix and fixed overhead; an increase in sales may positively affect gross profit profitability.