Aviat Networks, Inc. (NASDAQ:AVNW) Q4 2020 Earnings Conference Call - Final Transcript

Aug 27, 2020 • 04:30 pm ET

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Aviat Networks, Inc. (NASDAQ:AVNW) Q4 2020 Earnings Conference Call - Final Transcript

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Presentation
Operator
Operator

Ladies and gentlemen, thank you for standing by, and welcome to the Aviat Networks Fiscal 2020 Fourth Quarter Conference Call. [Operator Instructions]

I would now like to hand the conference over to Keith Fanneron. Please go ahead.

Executive
Keith Fanneron

Thank you and welcome to Aviat Networks fiscal 2020 fourth quarter and full year results conference call and webcast. You can find our Form 10-K, press release and updated investor presentations in the IR section of our website at www.aviatnetworks.com, along with a replay of today's call in roughly one hour.

As for today, Pete Smith, Aviat's President and CEO, will begin with opening remarks on the company's fourth quarter and fiscal year 2020, followed by Eric Chang, our CFO, who will review the finance results. Pete will then provide closing remarks on Aviat's strategy and outlook, followed by Q&A.

As per Safe Harbor, during today's call and webcast, the management may make forward-looking statements regarding Aviat's business, including, but not limited to, statements relating to financial projections, business drivers, new products and expansion, the impact of COVID-19 and economic activity in different regions. These and other forward-looking statements reflect the company's opinions only as of the date of this call and involves assumptions, risks and uncertainties that could cause actual results to differ materially from those statements. The company undertakes no obligation to revise or make public any revision of these forward-looking statements in light of new information or future events.

Additionally, during today's call and webcast, management will reference both GAAP and non-GAAP financial measures. Please refer to our press release available in the IR section of our website at www.aviatnetworks.com and financial tables therein, which include a GAAP to non-GAAP reconciliation and other supplemental financial information.

At this time, I would like to turn the call over to Pete. Pete?

Executive
Pete Smith

Good afternoon everyone. Aviat Networks continues to navigate the global pandemic. We wish our employees, customers, partners, shareholders and their family health and safety.

Before we get into the results, I would like to remind our investors, we are focused and focused on execution, our key areas: One, increasing revenue. From our press releases, since the last earnings call, we have announced partnership expansion and new customer wins. We have an excellent plan that will materialize as we navigate through the COVID-19 challenge. Two, capturing Aviat's differentiation. We have announced multi-band wins, demonstrated the viability of our frequency assurance software and received our first purchase order. Three, driving out costs. We are on track with the previously announced restructuring plan with annualized savings of $3.5 million, of which approximately $2 million will benefit fiscal year 2021.

Now, let's focus on our results. Adjusted EBITDA was up $1.6 million versus Q4 of fiscal year 2019. Our balance sheet remains strong. Our cash position is up over $9.7 million, since the year began and $2.4 million sequentially, compared to last quarter. Fiscal year 2020 adjusted EBITDA was $13.5 million, which improved $4.8 million from fiscal year 2019 and exceeded the top end of