Phunware, Inc. (NASDAQ:PHUN) Q4 2022 Earnings Conference Call March 23, 2023 4:30 PM ET Company Participants Russell Buyse - Chief Executive Officer Randall Crowder - Chief Operating Officer Matt Aune - Chief Financial Officer Conference Call Participants Darren Aftahi - ROTH MKM Scott Buck - H.C. Wainwright Ed Woo - Ascendiant Capital Howard Halpern - Taglich Brothers Operator Good afternoon, ladies and gentlemen. And welcome to Phunware’s Fourth Quarter and Full Year 2022 Investor Conference Call. Current ...

Financial Data and Key Metrics Changes - Net revenues for Q3 2022 totaled $4.8 million, representing a 120% year-over-year growth [31] - Full-year 2022 revenue is expected to exceed $22.5 million, up approximately 225% year-over-year [11][20] - Gross margin was 16.7%, down from 52.5% in Q3 of the previous year [31] - Non-GAAP adjusted EBITDA loss was $6.7 million, compared to a loss of $2.5 million in the previous year [35] - Net loss was $8 million or $0.08 per share, compared to a net income of $0.4 million or $0.01 per share last year [36] Business Line Data and Key Metrics Changes - Platform revenue represented 27% of net revenues, totaling $1.3 million, while hardware revenue accounted for 73% or $3.5 million [31] - Lyte by Phunware gross margin was 6%, impacted by inventory related to strategic purchases during the chip shortage [33] - Backlog and deferred revenue at the end of the quarter totaled $7.9 million, up from $6.1 million in the same quarter last year [36] Market Data and Key Metrics Changes - The company holds over 653 Bitcoins and 753 Ethereum, valued at approximately $13 million [38] - The operational environment remains challenging due to inflation, elevated interest rates, and geopolitical tensions, but business-to-consumer customers show robust demand [12][13] Company Strategy and Development Direction - The company is focused on scaling its MaaS platform and expanding its blockchain ecosystem, including PhunCoin and PhunToken [18][64] - Plans to enhance the margin profile through indirect sales channels and partnerships with Fortune 500 companies [21][51] - The company aims to maintain strong top-line revenue growth while working towards cash neutrality from operations at scale [81] Management's Comments on Operating Environment and Future Outlook - Management anticipates continued operational headwinds but expects a more normalized environment in 2023 [12][13] - There is a focus on mission-critical investments that enhance revenue, reduce costs, and improve customer satisfaction [108] - The company is optimistic about the potential for growth in the hospitality and healthcare sectors [110] Other Important Information - The company is transitioning from a non-recurring low-margin transaction business to a scalable, high-margin SaaS licensing model [15] - The company is actively seeking acquisition opportunities, particularly in international markets, to expand its customer base and distribution [80][119] Q&A Session Summary Question: Dynamics of improved margin profiles and indirect partners - Management discussed the high gross margins associated with software and the potential for improved margins through indirect sales channels [87][92] Question: Integration times for indirect partnerships - Management indicated that integration times can vary, with some partnerships allowing for faster implementation due to existing frameworks [100] Question: Outlook for IT budgets and sales cycles in 2023 - Management expressed concerns about inflation and interest rates but noted that mission-critical investments are still being made [106][108] Question: Acquisition landscape and deal flow - Management highlighted the strong dollar's impact on international acquisitions and the potential for finding accretive deals in foreign markets [116][118]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2022 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number: 001-37862 PHUNWARE, INC. (Exact name of registrant as specified in its charter) | Delaware | 30-1205798 | | | --- | --- | --- | | (State or o ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2022 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number: 001-37862 PHUNWARE, INC. (Exact name of registrant as specified in its charter) | Delaware | 30-1205798 | | | --- | --- | --- | | (State or other ...

Phunware, Inc. (NASDAQ:PHUN) Q2 2022 Earnings Conference Call August 11, 2022 4:30 PM ET Company Participants Alan Knitowski - President, Chief Executive Officer, Co-Founder Randall Crowder - Chief Operating Officer Matt Aune - Chief Financial Officer Conference Call Participants Austin Vetterick - ROTH Capital Partners Howard Halpern - Taglich Brothers, Inc. Lucas Ward - Ascendiant Capital Markets Operator Good afternoon, ladies and gentlemen. Welcome to Phunware's Second Quarter 2022 Investor Conference C ...

Nasdaq: PHUN Everything You Need to Succeed on Mobile Disclaimer and Important Notices This Investor Presentation (the "presentation") is for informational purposes only and does not constitute an offer to sell, a solicitation of an offer to buy, or a recommendation to purchase any equity, debt or other financial instruments of Phunware, Inc. ("Phunware" or the "Company") or any of Phunware's affiliates' securities (as such term is defined under the U.S. federal securities laws). This presentation has been ...

[Form 10-Q Filing Information](index=1&type=section&id=Form%2010-Q%20Filing%20Information) This section presents administrative details of the Form 10-Q, including filing period, registrant, and registered securities - This is a Quarterly Report (Form 10-Q) for the period ended **March 31, 2022**[2](index=2&type=chunk) - The registrant is **PHUNWARE, INC.**, a Delaware corporation headquartered in Austin, Texas[3](index=3&type=chunk)[4](index=4&type=chunk)[25](index=25&type=chunk) Securities Registered | Title of each class | Trading Symbol(s) | Name of each exchange on which registered | | :------------------ | :---------------- | :---------------------------------------- | | Common Stock, par value $0.0001 per share | PHUN | The NASDAQ Capital Market | | Warrants to purchase one share of Common Stock | PHUNW | The NASDAQ Capital Market | - The registrant is classified as a **Non-accelerated filer** and a **Smaller reporting company**[5](index=5&type=chunk) - As of May 9, 2022, **97,834,795 shares of common stock** were issued and outstanding[5](index=5&type=chunk) [Special Note Regarding Forward-Looking Statements](index=3&type=section&id=SPECIAL%20NOTE%20REGARDING%20FORWARD-LOOKING%20STATEMENTS) This section cautions that forward-looking statements are subject to risks and uncertainties, with no obligation to update them - Forward-looking statements are identified by specific terminology (e.g., 'anticipate,' 'expect,' 'plan') and are based on current expectations and beliefs[9](index=9&type=chunk) - These statements involve risks, uncertainties, and assumptions, which may cause actual results or performance to differ materially[10](index=10&type=chunk) - The company undertakes no obligation to update or revise any forward-looking statements, except as required by applicable securities laws[10](index=10&type=chunk) [PART I - FINANCIAL INFORMATION](index=4&type=section&id=PART%20I%20FINANCIAL%20INFORMATION) This part presents the company's unaudited condensed consolidated financial statements and management's discussion [Item 1. Financial Statements](index=5&type=section&id=Item%201.%20Financial%20Statements) This section presents Phunware's unaudited condensed consolidated financial statements and related notes [Condensed Consolidated Balance Sheets](index=5&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets, liabilities, and stockholders' equity decreased, driven by reduced cash and digital assets Condensed Consolidated Balance Sheet Highlights (in thousands) | Metric | March 31, 2022 | December 31, 2021 | Change | | :--------------------------- | :------------- | :---------------- | :----- | | Cash | $10,815 | $23,137 | $(12,322) | | Digital assets | $24,244 | $32,581 | $(8,337) | | Total current assets | $42,271 | $60,007 | $(17,736) | | Total assets | $81,423 | $99,294 | $(17,871) | | Total current liabilities | $26,124 | $30,293 | $(4,169) | | Total liabilities | $29,433 | $34,017 | $(4,584) | | Total stockholders' equity | $51,990 | $65,277 | $(13,287) | [Condensed Consolidated Statements of Operations and Comprehensive Loss](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations%20and%20Comprehensive%20Loss) Net revenues increased significantly, but operating and net losses were impacted by digital asset impairment Condensed Consolidated Statements of Operations Highlights (in thousands, except per share) | Metric | Three Months Ended March 31, 2022 | Three Months Ended March 31, 2021 | Change | | :------------------------------------ | :-------------------------------- | :-------------------------------- | :----- | | Net revenues | $6,778 | $1,646 | $5,132 | | Gross profit | $1,771 | $954 | $817 | | Operating loss | $(5,022) | $(3,412) | $(1,610) | | Impairment of digital assets | $(9,353) | — | $(9,353) | | Net loss | $(14,917) | $(14,307) | $(610) | | Loss per share, basic and diluted | $(0.15) | $(0.22) | $0.07 | [Condensed Consolidated Statements of Changes in Stockholders' Equity (Deficit)](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Changes%20in%20Stockholders%27%20Equity%20(Deficit)) Stockholders' equity decreased due to net loss, partially offset by acquisition capital and stock-based compensation Changes in Stockholders' Equity (in thousands) | Item | Balance - December 31, 2021 | Change (3 months ended March 31, 2022) | Balance - March 31, 2022 | | :------------------------------------------ | :-------------------------- | :------------------------------------- | :----------------------- | | Total Stockholders' Equity | $65,277 | $(13,287) | $51,990 | | Net loss | N/A | $(14,917) | N/A | | Issuance of common stock (Lyte acquisition) | N/A | $1,125 | N/A | | Stock-based compensation expense | N/A | $521 | N/A | [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) The company experienced a net decrease in cash, primarily from operating and financing activities Condensed Consolidated Statements of Cash Flows Highlights (in thousands) | Activity | Three Months Ended March 31, 2022 | Three Months Ended March 31, 2021 | Change | | :------------------------------------ | :-------------------------------- | :-------------------------------- | :----- | | Net cash used in operating activities | $(10,171) | $(7,299) | $(2,872) | | Net cash used in investing activities | $(569) | $(1,098) | $529 | | Net cash (used) provided by financing activities | $(1,550) | $27,916 | $(29,466) | | Net (decrease) increase in cash and restricted cash | $(12,322) | $19,529 | $(31,851) | [Notes to the Unaudited Condensed Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20the%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) This section provides detailed disclosures and explanations for the financial statements [Note 1. The Company and Basis of Presentation](index=9&type=section&id=Note%201.%20The%20Company%20and%20Basis%20of%20Presentation) Phunware offers MaaS, digital assets, and computer systems, with GAAP financials and a corrected warrant error - Phunware, Inc. offers a **Multiscreen-as-a-Service (MaaS) platform**, mobile advertising, and **PhunToken**, an innovative digital asset[25](index=25&type=chunk) - In **October 2021**, the company acquired **Lyte Technology, Inc.**, a provider of high-performance computer systems[25](index=25&type=chunk) - A prior accounting error related to a warrant resulted in an understatement of net loss by **$1,944 thousand** for the three months ended March 31, 2021, which has been corrected[29](index=29&type=chunk)[31](index=31&type=chunk) - Management believes there is no substantial doubt about the company's ability to continue as a **going concern** for one year, based on sufficient cash on-hand[33](index=33&type=chunk) [Note 2. Summary of Significant Accounting Policies](index=10&type=section&id=Note%202.%20Summary%20of%20Significant%20Accounting%20Policies) This note outlines significant accounting policies, including estimates, digital asset risks, and fair value measurements - Financial statement preparation requires management estimates and assumptions for digital asset transactions, stock-based compensation, and fair value measurements[36](index=36&type=chunk) - Regulation governing blockchain technologies, cryptocurrencies, and digital assets is uncertain and evolving, posing potential adverse effects on token value[37](index=37&type=chunk) - Digital assets (primarily **bitcoin** and **ethereum**) are accounted for as **indefinite-lived intangible assets**, recorded at cost and remeasured for impairment losses[43](index=43&type=chunk)[46](index=46&type=chunk) Digital Asset Impairment Loss (Three Months Ended March 31, 2022, in thousands) | Digital Asset | Impairment Losses | | :------------ | :------------------ | | Bitcoin | $7,633 | | Ethereum | $1,658 | | Other | $62 | | **Total** | **$9,353** | Fair Value of Financial Instruments (March 31, 2022, in thousands) | Instrument | Level 1 | Level 2 | Level 3 | Total | | :--------------- | :------ | :------ | :------ | :---- | | Digital assets | $24,244 | $— | $— | $24,244 | | Warrant liability | $— | $3,818 | $— | $3,818 | [Note 3. Business Combination](index=15&type=section&id=Note%203.%20Business%20Combination) Phunware acquired Lyte Technology, Inc. for approximately **$11.0 million**, subject to an earn-out provision - Phunware acquired **Lyte Technology, Inc.** on **October 18, 2021**, for an

Phunware, Inc. (NASDAQ:PHUN) Q1 2022 Earnings Conference Call May 12, 2022 4:30 PM ET Company Participants Alan S. Knitowski - President, Chief Executive Officer and Co-Founder Randall Crowder - Chief Operating Officer Matt Aune - Chief Financial Officer Conference Call Participants Scott Buck - H.C Wainwright and Co., LLC Howard Halpern - Taglich Brothers, Inc. Austin Vetterick - ROTH Capital Partners Lucas Ward - Ascendiant Capital Markets, LLC Operator Good afternoon, ladies and gentlemen. Welcome to Phu ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2021 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from __________ to __________ Commission file number: 001-37862 PHUNWARE, INC. (Exact name of registrant as specified in its charter) | Delaware | 30-1205798 | | --- | --- ...

Phunware, Inc. (NASDAQ:PHUN) Q4 2021 Earnings Conference Call March 23, 2022 5:00 PM ET Company Participants Alan S. Knitowski - President, Chief Executive Officer & Co-Founder Matt Aune - Chief Financial Officer Randall Crowder - Chief Operating Officer Conference Call Participants Darren Aftahi - ROTH Capital Partners Scott Buck - H.C. Wainwright Howard Halpern - Taglich Brothers Ed Woo - Ascendiant Capital Disclaimer*: This transcript is designed to be used alongside the freely available audio recording ...