LMP Automotive Holdings, Inc. (NASDAQ:LMPX) Q2 2020 Earnings Conference Call - Preliminary Transcript

Aug 14, 2020 • 05:30 pm ET


LMP Automotive Holdings, Inc. (NASDAQ:LMPX) Q2 2020 Earnings Conference Call - Preliminary Transcript


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Thank you for standing by. This is the conference operator. Welcome to the LMP Automotive Holdings Inc. Second Quarter 2020 Conference Call. As a reminder, all participants are in listen-only mode and the conference is being recorded. After the presentation, there will be an opportunity to ask questions. [Operator Instructions]

I would now like to turn the conference over to John Mattio, Investor Relations for LMP Automotive Holdings. Please go ahead.

John Mattio

Thank you, operator. Welcome everyone to LMP Automotive Holding's second quarter 2020 earnings call. Joining us from the company is Mr. Sam Tawfik, President and Chief Executive Officer. After the company's prepared comments, we have allocated time for questions in the Q&A session.

Before we begin, I'd like to remind everyone that some of the statements in this conference call including statements regarding expected future financial results and industry growth may contains forward-looking statements.

Forward-looking statements are based on management's current expectations and are subject to risks and uncertainties that could negatively affect its business, operating results, financial condition, and stock value.

Factors that could cause actual results to differ materially from those currently anticipated includes the company's dependence upon external sources for the financing of its operations; its ability to effectively execute its business plan; its ability to maintain and grow its reputation and to achieve and maintain the market acceptance of its services and platform; its ability to manage the growth of its operations over time; its ability to maintain adequate protection of its intellectual property and to avoid violation of the intellectual property rights of others; its ability to maintain relationships with existing customers and automotive suppliers and develop relationships; and also its ability to compete and succeed in the highly competitive and evolving industry; as well as other risks and uncertainties described in the company's SEC filings.

There is no assurance that any forward-looking statements will materialize. You are cautioned not to place undue reliance on forward-looking statements, which reflect expectations only as of this date. The company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in its expectations or any changes in the events, conditions or circumstances on which any such statement is based, except as required by law.

I would now like to turn the call over to Mr. Sam Tawfik, LMP Automotive Holding's Chairman and Chief Executive Officer. Sam?

Sam Tawfik

Thank you, John and thank you operator and welcome everybody to LMP Automotive second quarter earnings call. I'm pleased to announce a record quarter. It's a pivotal point in the company's short time being public. We've officially turned profitable and we've had record numbers on practically every metric in our financial statements, and we're very pleased with that.

Our revenue increased 44% quarter-over-quarter to $7.7 million. Gross profit increased 85% to $1.5 million. What's also impressive is our EBITDA margins. It was an increase of $1.4 million, quarter-over-quarter and adjusted net income increased approximately $1.3 million.

I want to