Financial Data and Key Metrics Changes - Total revenue in Q1 2020 was $17.7 million, down from $22.2 million in Q1 2019, reflecting a decrease of $2.5 million in the performance improvement segment and $2 million in the Nuclear Industry Training & Consulting (NITC) segment [10][25] - Adjusted EBITDA was negative $0.6 million in Q1 2020 compared to positive $0.2 million in Q1 2019, with an impairment charge of $4.3 million recorded for intangible assets [10][29] - Cash position at the end of Q1 2020 was $11.4 million, with total debt of $16.8 million, a decrease of $1.7 million from Q4 2019 [13][30] Business Line Data and Key Metrics Changes - Performance solution segment orders totaled $5.3 million, up from $4.6 million in the prior year quarter, indicating a steady flow of business [15] - NITC segment orders increased to $14.3 million from $8.5 million in the prior year quarter, driven by continued services to primary nuclear utility customers [17] - Total backlog at the end of Q1 stood at $54 million, exceeding the year-end 2019 backlog of $52.7 million, indicating a solid start to the year [18] Market Data and Key Metrics Changes - New orders during Q1 increased approximately 36% year-over-year to $19.6 million, exceeding internal plans despite COVID-19 challenges [14] - The long-term demand outlook for industry staffing and training services remains strong due to the unique needs of the nuclear power industry [18][23] Company Strategy and Development Direction - The company emphasizes protecting employee and client health during the COVID-19 pandemic while focusing on organic growth, streamlining operations, and maximizing cash flow [22] - A strategic collaboration with ABB Bailey Japan was established to provide thermal simulation services to the Japanese power market, indicating a focus on expanding service offerings [16] Management Comments on Operating Environment and Future Outlook - Management noted that customer behavior is shifting towards delaying non-essential work, but essential services for operational safety and efficiency will continue [11][12] - The company expects pent-up demand for services to eventually translate into higher backlog figures as nuclear facilities require reliable power delivery [19][20] - Management anticipates another challenging period in Q2 2020 due to conservative client approaches to new projects [21] Other Important Information - The company received $10 million from the Federal Payroll Protection Program, which bolstered its cash position [30] - The company plans to aggressively pay down debt and expects to refinance remaining debt by year-end [13] Q&A Session Summary - The Q&A session was not detailed in the provided content, and no specific questions or answers were recorded [31][35]
GSE Systems(GVP) - 2020 Q1 - Earnings Call Transcript