Anterix(US:ATEX)2024-02-15 16:32Financial Data and Key Metrics Changes - Anterix reported a total of $190 million received from contracts out of a total of $270 million, with $80 million remaining to be received [29] - No additional cash receipts are scheduled from contracts for the current fiscal year, with approximately $15 million contracted for FY 2025 and the remainder expected between FY 2026 and FY 2028 [29] Business Line Data and Key Metrics Changes - The company welcomed its sixth utility customer, Tampa Electric, and achieved 3GPP standards approval, which provides a clear path to 5G for 900 megahertz spectrum users [5][9] - The demonstrated intent scorecard showed that four utilities crossed the threshold since the last report, representing approximately $200 million in additional potential contracts, bringing the total to 18 utilities in the highest category, representing about $1.1 billion in potential contract proceeds [7][8] Market Data and Key Metrics Changes - Anterix is actively participating in key industry events such as DISTRIBUTECH, NARUC, and Mobile World Congress to showcase the benefits of 900 megahertz private wireless broadband and engage with stakeholders [10][11][12] - The company is also supporting multiple filings to the US Department of Energy for funding under the bipartisan infrastructure law, aiming to modernize the electric grid and improve grid resilience [13] Company Strategy and Development Direction - Anterix aims to establish 900 megahertz Utility Broadband as the standard for a secure and resilient energy future, focusing on long-term growth and capturing additional opportunities [16] - The company is building industry-wide support for utility private wireless broadband networks and engaging with policymakers to address challenges such as renewable energy integration and cybersecurity [10][11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ongoing movement towards private wireless broadband networks and highlighted the importance of collaboration with utilities and stakeholders [5][16] - The company is focused on advancing contracts and believes its sector-specific strategy positions it well for long-term growth [16] Other Important Information - Tom Kuhn, a notable leader in the electric power industry, was welcomed as Vice Chairman of the Board, bringing extensive experience and policy expertise [14][15] Q&A Session Summary Question: What utilities in the highest level of demonstrating intent are pursuing rate cases involving spectrum and wireless investments? - Management explained that utilities typically build a business case internally before rolling it into a rate case, which varies by state regulations [19][20] Question: Is there traction in helping utilities access supplemental funding from the government? - Management confirmed strong interest in funding opportunities, assisting utilities with applications, and noted that funding can free up capital for private LTE initiatives [23][24][27] Question: What are the expected milestone cash payment timelines? - Management indicated that $190 million has been received from contracts, with no additional cash receipts scheduled for the current fiscal year, and revenue recognition for LCRA and Tego expected within the next 12 months [28][29] Question: Updates on DISTRIBUTECH and buyback expectations? - Management provided insights into the focus areas for DISTRIBUTECH, including security and resiliency, and noted that buyback activity would continue actively within the announced program [31][37]