Innodata Inc. (NASDAQ:INOD) Q1 2020 Earnings Conference Call - Final Transcript
May 14, 2020 • 11:00 am ET
I will now turn the call over to Jack.
Jack S. Abuhoff
Thank you, Amy. Good morning, and thank you for joining our call. Today, I'm going to talk about our COVID-19 response, the very exciting momentum we were seeing in our business in January and February, and why we believe we can regain this momentum if everything normalizes.
In mid January, as news about COVID-19 began to circulate, Doug Kemp, our Senior Vice President, suggested we create a comprehensive COVID-19 response plan. We did that. And in early March, A.K. Mishra, our COO, and I agreed to enable our business continuity plan and our COVID response plan. In doing so, our priorities were; first, to safeguard the health and safety of our team members; second, to provide continuity of service to our valued customers; and third, to maintain in fact, all of our new AI capabilities, so that as things normalized, we can capitalize on the momentum we have enjoyed in our business.
Thanks to Doug's initial insights, our well tested protocols for business continuity and the around the clock tireless efforts of our global operations teams led by A.K., we successfully enabled our BCP on March 11th. We positioned our team members with laptops and encrypted desktops. We increased security protocols to enable people to utilize personal equipment. We increased Internet bandwidth. And we increased cloud-based processing and storage following close coordination with our customers. As a result, we now have 94% of our global workforce of close to 4,000 people successfully working remotely, and we have customers, who continue to express their gratitude. I expect we will get to 96% by the end of this week.
We started the quarter with significant positive business momentum. Last year, as you recall, we pivoted the Company from a publishing services provider to a data engineering company, rolling out new products and solutions to help companies in wider markets, prepare data for AI and put AI to work in their businesses. In Q1, we've started to see the fruits of our labor in the form of significant increases in the dollar value of new business won, increases in the number of new customers acquired, as well as a growing pipeline of prospective customer engagements.
In the quarter, we signed $6.6 million of net new business and expansions. This was close to double the new business and expansions we've signed in the first quarter of 2019. And we brought in 88 new customers, which was 14% more new customers than we brought in during the same period last year. What was most exciting about this repositioning was that it leveraged our core competency, the efficient creation of large scale, perfect quality data, which is always relevant to large publishing and information companies, but which was now becoming relevant to virtually any company that had an AI strategy.
With our AI focus, our pipeline soon grew to include banks, hedge funds, online trading platforms and financial services firms as well as drug companies, drone