Financial Data and Key Metrics Changes - The company reported a revenue of $17.5 million for Q2 2020, representing a 75% year-over-year growth and a 60% quarter-over-quarter growth [29][33] - Gross margins remained stable at approximately 36% [5][34] - Operating income was $634,000, compared to an operating loss of $843,000 in Q2 2019 [35] - Adjusted EBITDA was $1.7 million, which is 10% of revenues, compared to a negative EBITDA of $268,000 in Q2 2019 [36] - Net income attributable to shareholders was $707,000, or $0.02 per share, compared to a net loss of $564,000 or $0.01 per share in Q2 2019 [36] Business Line Data and Key Metrics Changes - The company has increased its revenue guidance for 2020 from $65 million to over $70 million, indicating a growth of over 58% year-over-year [9] - The company has significantly increased its inventory to $26.5 million from $17.2 million at the end of 2019 to support future growth [37] Market Data and Key Metrics Changes - The addressable market for the company is estimated at about $5 billion over the next decade, with a strong interest in their solutions globally [12][13] - The company noted that defense spending is generally less exposed to macroeconomic downturns, and they have not seen cancellations of existing orders [17][30] Company Strategy and Development Direction - The company is focused on maintaining its leadership in the radar technology market and is investing in R&D for next-generation tactical radars [31][54] - The company is optimistic about its growth trajectory, expecting to benefit from long-term acquisition programs and a strong backlog [14][19] Management's Comments on Operating Environment and Future Outlook - Management indicated that the pandemic has not had a material financial impact on the company, and they expect continued growth into 2021 [6][10] - The company believes that defense spending will remain resilient, particularly in the niches they focus on [19][30] - Management expressed confidence in their ability to navigate potential challenges posed by the pandemic and changing economic conditions [11][22] Other Important Information - The company is involved in several major programs, including the APF for fighting vehicles and the U.S. Army Bradley program, with production expected to commence in 2022 [23][24] - The company has a strong balance sheet with $30 million in net cash, which supports their growth and working capital needs [10] Q&A Session Summary Question: Has the revenue mix changed with more than 50% coming from the U.S.? - Management expects the U.S. to account for over 50% of revenue in the near term, especially next year [39][40] Question: Will inventory levels continue to increase? - The company plans to maintain inventory levels to address emergent needs while transitioning to serial production [41][42] Question: Any changes in the competitive landscape? - Management has not observed significant changes in competition, maintaining a lead over competitors [44] Question: What are the assumptions for SHORAD orders? - The company expects to receive orders for the first battalion this year, with additional battalions ordered next year [46][47] Question: How is R&D spending expected to change? - R&D spending is expected to stabilize, with ongoing development of three radars [50] Question: What is the status of the C-RAM opportunity? - The C-RAM program is under initial testing, with more details not yet available [69] Question: Is the new revenue guidance too conservative? - Management believes the guidance is realistic, considering uncertainties in the market [72]

RADA Electronic Industries Ltd (RADA) Q1 2020 Earnings Conference Call May 19, 2020 10:00 AM ET Company Participants Ehud Helft - GK Investor Relations Dov Sella - Chief Executive Officer Avi Israel - Chief Financial Officer Conference Call Participants Ken Herbert - Canaccord Brian Kinstlinger - Alliance Global Partners Austin Moeller - Canaccord Operator Ladies and gentlemen, thank you for standing by. Welcome to the RADA Electronic Industries First Quarter 2020 Results Conference Call. All participants a ...

Financial Data and Key Metrics Changes - Q4 2019 revenues reached $14 million, marking a 71% increase compared to Q4 2018, the highest in the company's history [4] - Full year revenues were $44.3 million, up 68% year-over-year, exceeding initial targets [5] - Gross margin remained stable at 36% for both the quarter and the full year [19] - Operating loss for Q4 was $209,000, compared to $102,000 in Q4 2018, while the full year operating loss was $2.1 million [20][22] - Net loss attributable to shareholders for Q4 was $295,000, compared to $86,000 in the same quarter last year [20] Business Line Data and Key Metrics Changes - The company is focusing on radar technology, particularly in counter-drone and point defense solutions, which are gaining traction in the market [6][9] - The Bradley Active Protection Program is a key focus, with qualification ongoing and production expected to follow [10][11] - Short-range air defense solutions for the Marine Corps and US Army are also significant, with a projected market of $2 billion over the next decade [13] Market Data and Key Metrics Changes - The addressable market for Active Protection Systems (APS) is estimated at $3 billion over the next decade, split evenly between the US and the rest of the world [12] - The company is seeing increased interest in its solutions globally, particularly in the US and Israel [9] Company Strategy and Development Direction - The company plans to exceed $65 million in revenues for 2020, representing over 47% growth [6] - Investment in production infrastructure in both the US and Israel is aimed at supporting future growth [16] - The company is positioned for significant growth due to its advanced radar technology and evolving market demands [16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's growth trajectory, citing strong market demand and a robust pipeline [6][16] - The impact of the coronavirus on business development is acknowledged, but current sales and deliveries remain unaffected [14][15] Other Important Information - The company raised approximately $23.5 million from investors in a secondary offering, strengthening its balance sheet [22] - As of year-end 2019, the company had $13.8 million in cash and no financial debt [22] Q&A Session Summary Question: 2020 outlook and revenue acceleration - Management indicated that they have enough pipeline and backlog to support continuous growth in Q1 and throughout 2020 [24] Question: Details on the Bradley Active Protection Program - Qualification is set to begin soon, with key milestones dependent on successful customer tests [26][27] Question: Update on the Germantown facility - The facility is expected to deliver over 200 radars to the US market, with deliveries starting soon [29] Question: Impact of the Bradley program delay - Management confirmed that the delay is unique to the Bradley vehicle and does not affect other programs [32] Question: Revenue breakdown by geography - The US accounts for about 50% of revenue, with gradual increases in other international markets [35] Question: Expectations for Q1 revenue - The fourth quarter of 2019 serves as a baseline for expected sequential growth throughout 2020 [37]

Financial Data and Key Metrics Changes - Q3 2019 revenues reached $11.3 million, representing a 60% increase year-over-year, marking the highest revenue in the company's history [4][9] - Gross margin remained stable at 36%, consistent with the previous year and recent quarters [9] - The company expects 2019 revenues to exceed $43 million, indicating a sequential growth of at least 15% in Q4 [5][12] Business Line Data and Key Metrics Changes - Significant investments in R&D were made, with expenses increasing to $1.9 million from $0.8 million in Q3 2018 [10] - Sales and marketing expenses were $0.9 million, slightly below the previous quarter [11] - General and administrative expenses rose to $1.8 million, reflecting the establishment of a U.S. presence [11] Market Data and Key Metrics Changes - The market for radar technology is shifting towards long-term programs, particularly in the U.S. and Israel, which is expected to establish a backlog for future orders [6][7] - The total addressable market for the company's products is estimated to be at least $5 billion, indicating substantial growth potential [19] Company Strategy and Development Direction - The company is focusing on counter-drone technology and the development of Active Protection systems, anticipating a sustained growth period [6][8] - Investments are being made in production infrastructure in both the U.S. and Israel to support future growth [8] - The company aims to stabilize operating expenses and reach profitability in 2020 [8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth trajectory, citing a strong pipeline of potential orders, particularly in the U.S. market [7][19] - The company is preparing for significant growth, with expectations of revenue contributions from various contracts materializing mainly in 2021 [14][16] Other Important Information - As of September 30, 2019, the company had $16.7 million in cash and no financial debt, with inventory increasing to $17.3 million to support expected product deliveries [12] - The U.S. production facility is set to begin operations by the end of December 2019 [36] Q&A Session Summary Question: Impact of BAE contract with Dutch Army - Management expects the contract to be awarded in the first half of 2020, with no revenue impact anticipated for 2019 [14][15] Question: Timeline for U.S. Bradley contract - Revenue from this contract is expected to materialize mainly in 2021, with testing and validation occurring in 2020 [16] Question: Pipeline of contracts - The pipeline includes several large opportunities, but specific quantification was not provided [17] Question: Sustainability of growth rates - Management believes the market's total addressable size supports continued growth, despite potential tough comparisons [18][19] Question: Competitive landscape - The company acknowledges competition but maintains a performance-over-price advantage [20] Question: IM-SHORAD program timeline - Revenue from the IM-SHORAD program is expected to start in 2021, with significant testing and validation required [23][24] Question: Cash usage and future cash balance - The company is comfortable with its cash position and does not foresee issues supporting growth [29] Question: Inventory management - Inventory levels are expected to increase gradually to meet demand, but not significantly [31][32] Question: CAPEX and infrastructure expansion - CAPEX investments will be adjusted based on market growth and production needs [33] Question: Readiness of U.S. production facility - The facility is nearly ready, with the first assembled radar expected by the end of December [36][37]

Rada Electronic Industries Limited (RADA) Q2 2019 Earnings Conference Call August 21, 2019 9:00 AM ET Company Participants Dov Sella - Chief Executive Officer Avi Israel - Chief Financial Officer Ehud Helft - GK Investor Relations Conference Call Participants Brian Kinstlinger - Alliance Global Partners Isaac Videmlansky - private investor Michael Brcic - National Securities Jeff Bernstein - Cowen Scott Huntington - Bodell, Overcash, Anderson & Co. Nahum Moschitz - private investor Austin Moeller - Canaccor ...

RADA Electronic Industries Ltd. (RADA) Q1 2019 Earnings Conference Call May 21, 2019 9:00 AM ET Company Participants Ehud Helft - IR Dov Sella - CEO Avi Israel - CFO Conference Call Participants Michael Brcic - National Securities Kevin Dede - H.C. Wainwright Jeff Bernstein - Cowen Operator Ladies and gentlemen, thank you for standing by. Welcome to the RADA Electronic Industries First Quarter 2019 Results Conference Call. All participants are at present in a listen-only mode. Following management's formal ...

Financial Data and Key Metrics Changes - In 2018, the company achieved revenues of $28 million, an increase from $26 million in 2017, marking the highest revenue in about 25 years [6][13] - The gross margin for 2018 was stable at 36%, compared to 32% in 2017, which showed more volatility [16] - The company reported a net loss attributed to shareholders of $0.2 million for the year, a significant improvement from a profit of $2.3 million in the previous year [17] Business Line Data and Key Metrics Changes - The revenue growth in 2018 was primarily driven by diversified orders in both avionics and radar segments, with a focus on tactical radars [6][8] - R&D expenses increased to $3.1 million in 2018 from $1.6 million in 2017, reflecting the company's commitment to innovation [16] - Sales and marketing expenses rose to $2.9 million in 2018 from $2.1 million in 2017, indicating increased efforts in market penetration [16] Market Data and Key Metrics Changes - The U.S. market is identified as the most promising for future orders, with expectations of growth in traditional allies like NATO and some Far East countries [22][11] - The company has a strong pipeline of potential orders, particularly in the U.S., which is expected to lead to significant follow-on orders [11][12] Company Strategy and Development Direction - The company is positioning itself for significant growth in 2019 and beyond, with a revenue growth expectation of 43% in 2019, targeting approximately $40 million [9][13] - Investments in R&D and sales and marketing are prioritized to support future growth and maintain gross margins [8][9] - The company is focused on active protection and mobile short-range air defense markets, with a strong emphasis on counter-drone solutions [10][11] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, citing a strong cash position of over $20 million and no financial debt, which allows for continued investment in growth [12][18] - The company anticipates that 2019 will be a record year, with significant revenue growth and a strong balance sheet to capitalize on opportunities [13][18] Other Important Information - The company is in the process of obtaining a Special Security Agreement (SSA) for engagement with U.S. military programs, with expectations for completion by the end of 2019 [39] - The company is developing new radar technologies, with several products expected to mature by the end of 2019 or early 2020 [36][40] Q&A Session Summary Question: Breakdown of increased demand for 2019 - The growth is mainly from radars, particularly in short-range defense and counter-drone solutions, while avionics remains stable [20] Question: Contribution of backlog to $40 million revenue guidance - Specific numbers on backlog contributions were not disclosed [21] Question: Success in other regions outside the U.S. - Growth is expected in NATO countries and some Far East nations, driven by drone protection needs [22] Question: Update on ATP testing and radar deliveries - Deliveries will include a few dozen radars, with testing expected to start in fall 2019 [23] Question: Status of U.S. government programs of record - Three main programs are anticipated to be included in the 2020 budget [24][25] Question: CapEx costs for U.S. production line - Estimated CapEx costs for 2019 are expected to be a few million dollars [26] Question: Timeline for U.S. production line build-out - The new production line is located in Germantown, Maryland, with production expected to start in Q4 2019 [27] Question: Current diluted share count - As of December 31, 2018, the diluted share count was approximately 37.5 million [28] Question: Infrastructure build-out and profitability expectations - The company is focused on growth investments, with expectations to be breakeven or better [30] Question: Visibility into deal stages with federal government - The company relies on integrators for monitoring deal stages and has general visibility through them [32] Question: Geographic and commercial performance mix expectations - Detailed geographical revenue spread will be included in the upcoming financial statements [33] Question: Timeline for new product development - New products are expected to mature by the end of 2019 or early 2020 [36]