AmpliTech Group, Inc. Q4 FY2022 earnings call

• Revenue in fiscal year '22 increased 267% to $19.4 million from $5.3 million in '21.
• Gross profit in '22 was $8.9 million, up from $1.3 million in '21, with a gross margin of 46% (nearly double the prior year's 24.5%).
• Net loss improved to $677,000 in '22 from $4.8 million in '21, partly due to a one-time revenue earnout from Spectrum exceeding sales expectations.
• Achieved success in trade shows like Satellite 2022, IMS 2022, etc., with record customer meetings.
• Customers sampled AGMDC's new MMIC chip products for 5G, Quantum computing, and Satellite applications, receiving positive feedback.

In fiscal year 2022, AmpliTech Group's revenue increased 267% to $19.4 million compared to $5.3 million in fiscal year 2021. Gross profit grew to $8.9 million, up from $1.3 million in fiscal year 2021, with a gross profit margin of 46% (nearly double the 24.5% in 2021). Net loss in fiscal year 2022 was $677,000, compared to a net loss of $4.8 million in 2021. Cash and equivalents totaled $13.3 million and working capital was $20.3 million as of December 31, 2022. Revenue contribution from various segments isn't explicitly broken down beyond the overall financials.

• Will provide revenue guidance and updated backlog numbers for fiscal year 2023 during the Q1 conference call in mid-May.

• Forward-looking statements are subject to various risks that could cause actual results to differ from expectations, as detailed in the company's SEC filings.

Q: How are RFPs and orders coming in from trade shows?

A: Had a large response at meetings, with over 100 meetings at the last satellite show and 80% leading to RFQ activity, especially in satellite market.

Q: Any update on customer backlog?

A: Will provide full revenue guidance in next quarterly call, but currently doesn't have all numbers yet.

Q: Seasonality of business between core and Spectrum?

A: First quarter not indicative of rest of year, as it's about gearing up for future business, and this year has less decline than last but not indicative of future.

Q: Is the revenue earnout continuing into 2023?

A: The earnout was based on 2021 and 2022 revenue for Spectrum and won't continue in 2023 as Spectrum exceeded sales numbers under the purchase agreement.

Q: Will margins be maintained/improved?

A: Focus on high-margin products, in-house supply chain control, and niche inventory through Spectrum; will continue to improve margins by promoting higher-margin products like space, satellite, MMICs, and quantum computing.

Q: What technology sectors provide exciting opportunities?

A: Quantum computing, AI, 5G, and satellite communication industries, as Low Noise Amplifiers are core components in these systems.

Q: Consideration of share buyback or insider purchases?

A: Not an effective use of capital at this time; capital is focused on growing technology and product base to support customer demands.

Q: How has calendar Q1 gone and when will results be seen?

A: Can't comment yet, but Q1 results will be discussed in the mid-May Q1 conference call