Financial Performance - Revenues for Q1 2024 were $5.8 million, a 5.5% increase from $5.5 million in Q1 2023[2] - Operating income was $1.2 million, representing 22% of total revenues, compared to $1.3 million or 24% in Q1 2023[2] - Net income remained stable at $1.3 million, or $0.07 per share, consistent with Q1 2023[2] - Cash flow from operating activities increased to $0.9 million from $0.6 million in Q1 2023[2] - The cash position was $17.4 million as of March 31, 2024, prior to a dividend distribution of $4.9 million in April 2024[2] Revenue Breakdown - Revenues from customer care and billing software were $2.9 million, accounting for 51% of total revenues[4] - Revenues in Europe represented 60% of total revenues, with Germany contributing 41% from the messaging segment[4] Dividend Information - A gross dividend of $0.24 per share was declared, totaling approximately $4.9 million[5] Strategic Investments - The messaging segment was positively impacted by larger customer campaigns, and new technologies were invested in to support 5G and IoT[3] - The company released the first version of its SIM OTA provisioning platform to enhance remote management capabilities for customers[3]

Market Competition and Challenges - The company operates in a highly competitive and fragmented market, facing challenges from larger competitors with greater resources and established customer relationships [21]. - Future competition is expected to intensify due to new product introductions and market entrants, potentially leading to pricing pressures and reduced revenue [23]. - The company has experienced significant fluctuations in revenues and operating results from quarter to quarter, making future revenue predictions difficult [25]. - The company is actively pursuing acquisitions to enhance its market position, which may divert resources and involve integration risks [28]. - There are potential risks associated with the integration of acquisitions, including retaining key personnel and maintaining corporate culture [33]. - A significant part of the company's revenues comes from existing customers, and losing one or more billing customers could lead to decreased revenues and profitability [65]. - The customer base for the company's billing and customer care products is characterized by small to medium-sized communication service providers, and if this market segment fails to grow, demand for its software could diminish substantially [64]. - The company expects challenges in maintaining revenue and profitability levels due to market consolidation and strong competition [142]. - The company anticipates continued negative impacts on revenues and profitability in 2024 due to market consolidation and competition [192]. Financial Performance and Revenue - Total revenues increased from $21.5 million in 2022 to $21.6 million in 2023, a growth of 0.3% [156]. - Revenues from the messaging segment rose from $7.7 million in 2022 to $8.0 million in 2023 [156]. - In 2023, 53% of total revenues were derived from billing and customer care software, 37% from enterprise messaging and payment solutions, and 10% from enterprise software [141]. - The cost of revenues increased to 49.7% of total revenues in 2023, compared to 46.6% in 2022 [155]. - Operating income decreased to 22.0% of total revenues in 2023 from 25.6% in 2022 [155]. - One customer accounted for approximately 12% of total revenues in 2023, indicating a reliance on a small number of customers [142]. - Revenues from enterprise products decreased from $2.3 million in 2022 to $2.1 million in 2023, with expectations of continued market decline [159]. - Total revenues in the Americas decreased from $8.5 million in 2022 to $7.9 million in 2023, primarily due to customer loss [161]. - Revenues in Europe increased from $11.3 million in 2022 to $11.6 million in 2023, with Europe accounting for 53.8% of total revenues in 2023 [162]. - Total cost of revenues increased by $0.7 million, or 7%, from 2022 to 2023, mainly due to increased messaging segment revenues and personnel expenses [163]. - Gross profit as a percentage of total revenues decreased from 53.4% in 2022 to 50.3% in 2023, attributed to lower margins in the messaging segment [164]. Compliance and Regulatory Risks - Compliance with evolving privacy and data protection laws, such as GDPR, is essential to avoid penalties that could adversely impact the business [40]. - The company faces challenges related to data localization laws, which may restrict market expansion and increase compliance costs [42]. - Non-compliance with privacy and data security laws could result in governmental investigations, fines, and loss of business [47]. - The company may face additional tax liabilities due to audits in various jurisdictions, which could materially affect its financial condition [51]. - The company is subject to ongoing costs and risks associated with being a public company, including compliance with U.S. federal securities laws, which may divert management resources [60]. Product Development and Innovation - The company emphasizes the need to continually enhance its products and services to retain existing customers and attract new ones [34]. - The company has enhanced its billing platform with optional modules, including e-commerce and self-service features, to improve customer service [102]. - The enterprise messaging platform allows businesses to communicate with clients via SMS and instant messaging, integrating with CRM systems for improved customer engagement [107]. - The global messaging market is growing, with A2P messaging being the most effective way for businesses to engage with consumers, indicating a strong market opportunity for the company's messaging services [112]. - The company plans to expand its presence in mobile messaging through acquisitions and by providing multi-channel messaging solutions, including SMS, WhatsApp, and RCS [115]. - The PhonEX ONE product is designed for telecom expense management and call accounting, providing real-time reporting and fraud detection capabilities [117]. Operational Risks and Costs - Security measures for the company's products and services are critical, as breaches could lead to loss of customer confidence and increased expenses [35]. - The use of open-source software may expose the company to intellectual property infringement claims, potentially disrupting operations and impacting revenues [56][57]. - The company relies heavily on network service providers for messaging services, which has reduced operational flexibility and control over service quality [73]. - Fees charged by network service providers can change frequently, impacting the company's pricing strategy and potentially leading to increased costs that may not be passed on to customers [75]. - The company may need to adjust its pricing model due to competitive pressures and changes in the mix of products sold, which could adversely affect financial performance [76]. - Errors or defects in messaging products could harm customer businesses and damage the company's reputation, potentially leading to loss of customers [77]. - System disruptions could lead to customer dissatisfaction and loss, adversely affecting the company's reputation and business [80]. - Changes in regulations or technology vendor rules may materially impact the company's ability to deliver services and grow [81]. Executive Compensation and Governance - The total direct remuneration paid to all directors and executive officers in 2023 was $1.5 million, including $0.08 million set aside for pension and retirement benefits [209]. - The company granted options to purchase 28,000 ordinary shares at an exercise price of $0.003 per share to executive officers, with all options expiring in 2028 [210]. - Monica Iancu, the President and CEO, received a total compensation of $533,853, which includes a salary of $240,000 and a bonus of $240,000 [210]. - Arie Abramovich, the CFO, received total compensation of $149,598, including a salary of $76,981 and a bonus of $4,337 [210]. - Gilad Parness, the Vice President of Sales, had total compensation of $176,598, with a salary of $105,025 and a bonus of $26,023 [210]. - Shoval Cohen Nissan, the Vice President of IT, received total compensation of $180,687, including a salary of $105,116 and a bonus of $26,023 [210]. - Oren Tanhum, the Vice President of Professional Services, had total compensation of $157,461, with a salary of $92,105 and a bonus of $22,770 [210]. - The company’s board of directors is divided into three classes, with terms expiring in 2024, 2025, and 2026 [213]. - The company opted out of certain provisions of the Companies Law regarding external directors, complying instead with SEC regulations and Nasdaq listing rules [214].

Revenue Performance - Q4 2023 revenues were $5.6 million, a 4.5% increase from $5.4 million in Q4 2022[6] - Full year 2023 revenues totaled $21.6 million, slightly up from $21.5 million in 2022[6] - Revenues from customer care and billing software were $2.9 million, accounting for 52% of total revenues in Q4 2023[8] - Revenues in Europe represented 62% of total revenues in Q4 2023, with Germany contributing 39% from the messaging segment[7] Income and Profitability - Operating income for Q4 2023 was $1.2 million, representing 21% of total revenue, down from 23% in Q4 2022[6] - Net income for Q4 2023 was $1.4 million, or $0.06 per share, compared to $1.3 million, or $0.06 per share in Q4 2022[6] - Net income for Q4 2023 was $1,434,000, an increase from $1,332,000 in Q4 2022, representing a growth of 7.7%[25] Cash Flow and Position - Cash flow from operating activities in Q4 2023 decreased to $0.7 million from $1.4 million in Q4 2022[6] - Operating cash flow for the year ended December 31, 2023, was $4,100,000, down from $4,558,000 in 2022, reflecting a decrease of 10%[25] - Cash position as of December 31, 2023, was approximately $16.6 million[6] - Cash and cash equivalents at the end of Q4 2023 stood at $2,958,000, a decrease from $5,265,000 at the end of Q4 2022[25] - The balance of cash and cash equivalents at the beginning of the period was $5,265,000, down from $4,182,000 at the beginning of the previous year[25] Investments and Dividends - The company reported a net cash used in investing activities of $1,541,000 for the year, compared to a net cash provided of $1,829,000 in the previous year[25] - The company paid dividends totaling $4,839,000 for the year, compared to $5,227,000 in the previous year, indicating a reduction of 7.4%[25] - A gross dividend of $0.24 per share was declared, with a record date of March 20, 2024[13] Expenses and Financial Adjustments - Depreciation and amortization expenses for the year were $196,000, slightly up from $193,000 in 2022[25] - The increase in accounts receivable for Q4 2023 was $412,000, compared to an increase of $103,000 in Q4 2022, indicating a significant rise in receivables[25] - Unrealized losses from marketable securities for the year amounted to $8,000, a decrease from a gain of $34,000 in the previous year[25] - The company experienced a decrease in deferred revenues of $476,000 for the year, compared to a decrease of $216,000 in the previous year[25] Strategic Initiatives - The company continues to pursue M&A opportunities and invest in new technologies to support 5G and cloud solutions[6]

Financial Performance - Q3 2023 revenues were $5.3 million, unchanged from Q3 2022[1] - Operating income for Q3 2023 was $1.2 million, down from $1.4 million in Q3 2022[1] - Net income for Q3 2023 was $1.3 million, or $0.06 per share, consistent with Q3 2022[1] - For the first nine months of 2023, revenues totaled $16.0 million, compared to $16.2 million in the same period of 2022[2] - Net income for the three months ended September 30, 2023, was $1,250 thousand, a decrease from $1,290 thousand in the same period last year[11] Cash Position - Cash position as of September 30, 2023, was $15.9 million[2] - Cash flow from operating activities in the first nine months of 2023 was $3.4 million, up from $3.1 million in the same period of 2022[2] - Net cash provided by operating activities for the nine months ended September 30, 2023, was $3,389 thousand, compared to $3,119 thousand for the same period in 2022[11] - The company reported a decrease in cash and cash equivalents of $3,549 thousand for the three months ended September 30, 2023, compared to a decrease of $1,260 thousand in the same period last year[11] - The balance of cash and cash equivalents at the end of the period was $2,576 thousand, down from $3,658 thousand at the end of the previous period[11] Assets and Equity - Total assets as of September 30, 2023, were $30.4 million, down from $31.7 million at the end of 2022[9] - Total shareholders' equity was $22.9 million as of September 30, 2023, compared to $23.8 million at the end of 2022[9] Revenue Sources - Customer care and billing software accounted for $2.9 million, or 55% of total Q3 2023 revenues[4] - Europe represented 49% of total revenues in Q3 2023, with Germany contributing 35% from the messaging segment[3] Expenses - Depreciation and amortization expenses for the nine months ended September 30, 2023, were $147 thousand, an increase from $132 thousand in the same period last year[11] - Employees share-based compensation expenses for the three months ended September 30, 2023, were $72 thousand, compared to $74 thousand in the same period last year[11] Cash Flows - Cash flows from investing activities showed a net outflow of $4,504 thousand for the three months ended September 30, 2023, compared to an outflow of $2,221 thousand in the same period last year[11] - The company experienced a decrease in accounts receivable of $2 thousand for the three months ended September 30, 2023, compared to an increase of $241 thousand in the same period last year[11] - The company reported a realized gain on the sale of marketable securities of $9 thousand for the nine months ended September 30, 2023[11] - The company paid dividends totaling $4,839 thousand in the nine months ended September 30, 2023[11]

Financial Performance - Revenues for Q2 2023 were $5.3 million, a slight increase from $5.2 million in Q2 2022, while revenues for the first six months of 2023 totaled $10.7 million, down from $10.9 million in the same period of 2022[8] - Operating income for Q2 2023 was $1.1 million, representing 20% of total revenues, compared to $1.3 million or 25% in Q2 2022; for the first six months, operating income was $2.4 million, or 22% of total revenues, down from $2.9 million or 27% in the same period of 2022[8] - Net income for Q2 2023 was $1.1 million, or $0.06 per share, compared to $1.2 million, or $0.06 per share in Q2 2022; net income for the first six months was $2.5 million, or $0.12 per share, down from $2.7 million, or $0.14 per share in the same period of 2022[8] Cash Flow and Position - Cash flow from operating activities in Q2 2023 was $1.9 million, an increase from $1.6 million in Q2 2022; for the first six months, cash flow was $2.4 million, compared to $2.1 million in the same period of 2022[8] - The cash position, including short-term deposits and marketable securities, was $15 million as of June 30, 2023, compared to $15.1 million as of June 30, 2022[9] - Total cash and cash equivalents at the end of Q2 2023 were $6,125,000, compared to $4,918,000 at the end of Q2 2022, reflecting a year-over-year increase of 24.5%[22] - The balance of cash and cash equivalents at the beginning of Q2 2023 was $6,835,000, compared to $5,403,000 at the beginning of Q2 2022, an increase of 26.4%[22] Revenue Sources - Europe accounted for 50% of total revenues in Q2 2023, with the messaging segment in Germany contributing 35%; the Americas represented 38%, and the rest of the world 12%[10] - Customer care and billing software generated $2.9 million, or 54% of total revenues in Q2 2023, while enterprise messaging and payment solutions accounted for $1.8 million, or 35%[10] Contracts and Investments - A new contract was secured after the quarter end to supply billing and customer care solutions to a telecommunications customer in Europe, with implementation revenues expected in the next three quarters[6] - The company continues to invest in its product suite and promote its e-commerce platform to existing and potential customers, indicating a modest increase in demand for billing solutions from telecom operators[7] Assets and Liabilities - Total assets as of June 30, 2023, were $29.49 million, down from $31.74 million as of December 31, 2022[20] - The company reported a decrease in accounts receivable by $383,000 in Q2 2023, compared to an increase of $326,000 in Q2 2022[22] - Deferred revenues increased by $795,000 in Q2 2023, compared to $993,000 in Q2 2022, indicating a decrease of 19.9%[22] - The company experienced a decrease in other current liabilities and accruals by $(628,000) in Q2 2023, compared to a decrease of $(154,000) in Q2 2022[22] Dividends and Marketable Securities - The company paid dividends of $4,839,000 in both Q2 2023 and Q2 2022, indicating no change year-over-year[22] - The unrealized loss from marketable securities was $(16,000) in Q2 2023, compared to a gain of $18,000 in Q2 2022[22] - Cash flows from investing activities totaled $2,269,000 in Q2 2023, down from $3,225,000 in Q2 2022, representing a decline of 29.6%[22]

Financial Performance - Revenue for Q1 2023 was $5.5 million, a decrease of 3.5% from $5.7 million in Q1 2022[8] - Operating income was $1.3 million, representing 24% of total revenues, down from 29% in Q1 2022[8] - Net income was $1.3 million, or $0.07 per share, compared to $1.5 million, or $0.07 per share in Q1 2022[8] Revenue Breakdown - Customer care and billing software generated $2.8 million, accounting for 52% of total revenues, while enterprise messaging and payment solutions contributed $2.1 million, or 38%[5] - Europe accounted for 54% of total revenues, with the Americas at 37% and the rest of the world at 9%[5] Cash and Dividends - Cash position was $17.9 million as of March 31, 2023, prior to a dividend distribution of $4.8 million in April 2023[8] - The company declared a gross dividend of $0.24 per share, with a withholding tax rate of 22%[7] Strategic Initiatives - The company is actively seeking suitable acquisitions to enhance its market position[4] - The company secured a second customer for its online store/e-commerce module in Q1 2023[4] Asset Management - Total current assets increased to $21.5 million from $20.3 million as of December 31, 2022[17]

Competition and Market Dynamics - The company faces significant competition in a fragmented market, with competitors having greater resources and established customer relationships [22]. - Pricing pressures from competitors may lead to reduced revenue and margins, impacting overall financial performance [24]. - The company is actively pursuing acquisitions to enhance market position and product offerings, which may divert resources and involve integration risks [30]. - The customer base for the company's billing and customer care products is characterized by small to medium-sized communication service providers, and if this market segment fails to grow, demand for its software could diminish substantially [68]. - The messaging business depends on increasing customer usage of its products, and any loss of customers could materially affect financial results [71]. - The company must attract new messaging customers in a cost-effective manner, and failure to do so could adversely affect its financial condition [72]. - The decision to adopt the company's messaging products by enterprise customers may require approval from multiple stakeholders, leading to longer sales cycles and higher costs [74]. - The company expects trends in the telecommunications market to negatively impact revenues and profitability in 2023 due to increased competition and customer loss [197]. Financial Performance - Total revenue for 2022 was $21.55 million, a decrease of 18% from $26.33 million in 2021 [128]. - Service revenue accounted for $20.94 million in 2022, down from $24.78 million in 2021, representing a decline of approximately 15% [128]. - The Americas generated $8.54 million in revenue in 2022, a decrease of 9% from $9.42 million in 2021 [128]. - Europe contributed $11.38 million in revenue for 2022, down 22% from $14.70 million in 2021 [128]. - In 2022, total revenues decreased by 18.1% to $21.5 million from $26.3 million in 2021, primarily due to a decline in the messaging segment revenues from $12.0 million to $7.7 million [157]. - Revenues from billing and customer care solutions decreased from $12.1 million in 2021 to $11.5 million in 2022, attributed to the loss of a large customer and lower revenues from new customers [158]. - In 2022, 54% of total revenues were from billing and customer care software, 35% from enterprise messaging and payment solutions, and 11% from enterprise software [143]. - The Americas accounted for 39.6% of revenues in 2022, down from 35.8% in 2021, with revenues decreasing from $9.4 million to $8.5 million [161]. - Revenues in Europe decreased significantly from $14.7 million in 2021 to $11.3 million in 2022, with the percentage of total revenues dropping from 55.8% to 52.8% [162]. - The company expects challenges in maintaining revenue and profitability levels in the near term due to market decline and strong competition [144]. Operational Challenges - Fluctuations in quarterly revenues and operating results may occur, making it difficult to predict future performance accurately [27]. - Compliance with privacy and data protection regulations, such as GDPR, is critical, with potential fines impacting financial condition [43]. - The company may face increased costs and operational challenges due to evolving data localization laws in various jurisdictions [44]. - Cybersecurity incidents could undermine customer confidence and lead to financial liabilities, affecting business operations [39]. - Retaining qualified personnel is essential for implementing business strategies, with competition for talent impacting operational effectiveness [25]. - The company faces risks related to system disruptions and failures, which could result in customer dissatisfaction and harm its reputation [66]. - System disruptions could lead to customer dissatisfaction and loss, adversely affecting the company's reputation and business [83]. - Changes in regulations or technology vendor rules may block the company's ability to grow its services, materially affecting business operations [84]. Financial Management and Costs - A significant portion of the company's expenses, approximately 69%, is incurred in Euro or linked to the Euro, which could adversely affect dollar-measured results if the Euro depreciates [55]. - The company benefits from Israeli tax programs, but these benefits may be discontinued or reduced, potentially increasing income taxes [52][53]. - Total cost of revenues decreased by $2.4 million, or 19.3%, from 2021 to 2022, primarily due to a decline in the messaging segment [164]. - Gross profit as a percentage of total revenues increased from 52.7% in 2021 to 53.4% in 2022, attributed to the decrease in the lower-margin messaging segment [165]. - Total operating expenses decreased by $1.2 million, or 15.1%, from 2021 to 2022, with research and development expenses down by 13.6% [167]. - Research and development expenses were $3.4 million in 2022, representing 16.2% of total revenues, compared to $4.1 million or 15% in 2021 [193]. - Net cash provided by operating activities in 2022 was $4.6 million, a decrease of $2.3 million from $6.9 million in 2021 [183]. - As of December 31, 2022, the company had $5.2 million in cash and cash equivalents and $12.0 million in short-term bank deposits [180]. - Capital expenditures increased to $130 thousand in 2022 from $82 thousand in 2021, primarily for equipment upgrades [189]. Leadership and Governance - Monica Iancu has been the President and CEO since the company's inception, holding a B.Sc. in Computer Science and a Master's in Telecommunications [205]. - Arie Abramovich rejoined as CFO in December 2022, previously serving as Corporate Assistant Controller at Albaad Massuot Yitzhak Ltd. [206]. - Gilad Parness has been Vice President of Sales since June 2020, with a history at MIND dating back to 2004 [207]. - Oren Tanhum has served as Vice President of Professional Services since 2016, contributing to the development of all versions of the billing platform [208]. - Victor Balteanu has been VP Engineering since November 2020, with a career at MIND starting in 2002 [210]. - Marian Scurtu was promoted to VP Customer Success in January 2022, having delivered over 40 projects globally [211]. - Liviu Serea has been General Manager of the Romania office since January 2001, with a background in hardware assembly and distribution [212]. - Meir Nissensohn has served as Chairman of the Board since 2020, previously holding leadership roles at IBM Israel [213]. - Joseph Tenne has been a director since August 2014, with extensive experience in finance and directorships across multiple companies [214]. - Itay Barzilay has been a director since May 2020, previously serving as CFO of MIND and holding various finance leadership positions at Amdocs [215]. Shareholder and Market Considerations - The company's share price has experienced significant fluctuations, influenced by broader market and industry factors [85]. - The company may be characterized as a passive foreign investment company (PFIC), which could result in adverse tax consequences for U.S. shareholders [89]. - The company's articles of association include provisions that may limit shareholders' ability to initiate litigation and could discourage potential acquisition proposals [99]. - The company has distributed aggregate cash dividends of $5.54 per share since 2003, including a dividend of $0.24 per share declared in March 2023 [190].

Revenue Performance - Q4 2022 revenues were $5.4 million, a decrease of 10.2% from $6.0 million in Q4 2021, primarily due to the messaging segment[6] - Full year 2022 revenues totaled $21.5 million, down 18.5% from $26.3 million in 2021, with the messaging segment being the main contributor to the decline[6] - Revenues from customer care and billing software were $2.9 million, representing 54% of total revenues in Q4 2022[7] Income and Profitability - Operating income for Q4 2022 was $1.2 million, or 23% of total revenue, compared to $1.6 million, or 27% of revenue in Q4 2021[6] - Net income for Q4 2022 was $1.3 million, or $0.06 per share, down from $1.5 million, or $0.08 per share in Q4 2021[6] - Net income for Q4 2022 was $1,332,000, a decrease of 12.7% from $1,525,000 in Q4 2021[27] Cash Flow and Financial Position - Cash flow from operating activities in Q4 2022 was $1.4 million, a decrease from $2.5 million in Q4 2021[6] - Total net cash provided by operating activities for the year ended December 31, 2022, was $4,558,000, down 33.9% from $6,898,000 in 2021[27] - Cash and cash equivalents at the end of Q4 2022 increased to $5,265,000 from $4,182,000 at the end of Q4 2021, representing a 25.9% increase[27] - The cash position as of December 31, 2022, was approximately $17.5 million[6] Market Outlook and Strategic Initiatives - The company expects continued unfavorable trends in the telecom market, including lower prices and strong competition, which may lead to further revenue declines[4] - MIND CTI is pursuing M&A opportunities and investing in new technologies to support 5G and cloud solutions[5] Expenses and Other Financial Metrics - The company reported a depreciation and amortization expense of $61,000 for Q4 2022, up 29.8% from $47,000 in Q4 2021[27] - The unrealized loss from marketable securities for the year was $34,000, compared to a gain of $1,000 in 2021[27] - The company experienced a decrease in trade receivables of $103,000 in Q4 2022, contrasting with an increase of $420,000 in Q4 2021[27] - Net cash used in financing activities for the year was $5,227,000, consistent with the previous year's figure of $5,197,000[27] - The company reported a significant decrease in proceeds from the sale of marketable securities, totaling $11,000 in 2022 compared to $1,370,000 in 2021[27] - Cash flows from investing activities showed a net inflow of $65,000 in Q4 2022, a recovery from a net outflow of $4,800,000 in Q4 2021[27] - The balance of cash and cash equivalents at the beginning of Q4 2022 was $3,658,000, down from $6,520,000 at the beginning of Q4 2021[27] Dividend Declaration - A gross dividend of $0.24 per share was declared, with a record date of March 22, 2023, and a payment date of April 6, 2023[15]

Financial Performance - Q3 2022 revenues were $5.3 million, a decrease of 24% from $7.0 million in Q3 2021 and a slight increase from $5.2 million in Q2 2022[7] - Operating income for Q3 2022 was $1.4 million, down from $1.7 million in Q3 2021, and slightly up from $1.3 million in Q2 2022[7] - Net income for Q3 2022 was $1.3 million, or $0.06 per share, compared to $1.4 million, or $0.07 per share in Q3 2021[7] - For the first nine months of 2022, revenues totaled $16.2 million, down from $20.4 million in the same period of 2021, primarily due to the messaging segment[7] - Net income for the three months ended September 30, 2022, was $1,290,000, a decrease of 9.6% compared to $1,427,000 in the same period of 2021[18] Cash Flow and Position - Cash flow from operating activities in Q3 2022 was $1.0 million, an increase from $0.6 million in Q3 2021 but down from $1.6 million in Q2 2022[7] - As of September 30, 2022, the cash position was $16.0 million[7] - Net cash provided by operating activities for the three months ended September 30, 2022, was $1,024,000, an increase of 69.6% from $603,000 in the same period of 2021[18] - Total cash and cash equivalents at the end of the period was $3,658,000, down from $6,520,000 at the end of the same period in 2021[18] - The balance of cash and cash equivalents at the beginning of the period was $4,918,000, down from $6,966,000 in the same period of 2021[18] Investments and Expenses - The company continues to invest in new technologies, particularly cloud-related solutions, to support customer 5G deployments and digital transformations[6] - The ongoing investment in technology and infrastructure aims to enhance security for customers using the company's platforms[6] - Net cash used in investing activities for the three months ended September 30, 2022, was $(2,221,000), compared to $(1,060,000) in the same period of 2021[18] - The company incurred $74,000 in share-based compensation expenses for the three months ended September 30, 2022, an increase from $49,000 in the same period of 2021[18] Revenue Breakdown - Customer care and billing software accounted for $2.9 million, or 56% of total Q3 2022 revenues, while enterprise messaging and payment solutions contributed $1.8 million, or 33%[8] - Europe represented 55% of total revenues in Q3 2022, with the Americas contributing 38% and the rest of the world 7%[8] Other Financial Metrics - The company reported a decrease in accounts receivable for trade by $241,000 in the three months ended September 30, 2022[18] - The company experienced a decrease in deferred revenues of $938,000 for the three months ended September 30, 2022[18] - The company paid dividends totaling $5,227,000 during the nine months ended September 30, 2022[18] - The unrealized gain from marketable securities was $1,000 for the three months ended September 30, 2022, compared to a loss of $(4,000) in the same period of 2021[18]

MIND Financial Presentation Q2/2022 2 Safe Harbor This presentation may contain statements that are forward looking. These statements are based on management's beliefs and assumptions and on information currently available to management. Forward- looking statements are not guarantees of future performance, and actual results may materially differ. The forward-looking statements involve risks, uncertainties, and assumptions, including the risks discussed in the Company's filings with the United States Securi ...