CalAmp Corp. (NASDAQ:CAMP) Q2 2021 Earnings Conference Call - Final Transcript

Sep 24, 2020 • 04:30 pm ET

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CalAmp Corp. (NASDAQ:CAMP) Q2 2021 Earnings Conference Call - Final Transcript

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Q & A
Executive
Jeff Gardner

verification, it gives everybody, fleet managers, parents a lot of peace of mind. So we're feeling good about that segment. It's a very strong SaaS business for us. We are a leader in market share but there is still plenty of market to get and we added a lot of new logos, and double-digit new logos this quarter. So we're very, very pleased with that.

Analyst
Mike Latimore

Great. And then just last on the one-time cost that you said there was a $1.4 million one, did you say there was another one-time cost, I think I might have missed that?

Executive
Jeff Gardner

Yeah, there was a small relocation expense that was in G&A that Kurt mentioned, that was about $300,000 that's -- those are truly one-time. And then I think Kurt mentioned the one-time cost, the $1.4 million was related to a firmware problems that drove some excessive airtime charges. We corrected it immediately. So it's not going to be recurring. It's no longer an issue. It was the right thing to do for one of our very big customers.

Analyst
Mike Latimore

Okay, thanks a lot.

Operator
Operator

Our next question is from Mike Walkley with Canaccord Genuity. Your line is open.

Analyst
Mike Walkley

Great, thanks for taking my question. Jeff, just a clarification on Caterpillar. Did you -- thought I might have heard in the script that you might have expanded some business with them. Can you just maybe clarify that? And then for Caterpillar, any color you can give how far they are into the 3G to 4G upgrade and kind of the run rate opportunity with this key client going forward?

Executive
Jeff Gardner

Yeah, yeah. Well, it wasn't really new business. Basically what we had was affirmation, which is important now. It was a big deal to us to -- you might have seen the press release earlier in the quarter to reaffirm that we're going to be their partner as they upgrade to 4G for their critical devices. So that's really important. As you know, all customers have optionality when it comes to these equipment change-outs. So with our largest customer to get that was very meaningful to us and they are making good progress on their 4G migration, but they've still got plenty to do.

I think Kurt mentioned that we think the outlook for next quarter remains very strong there. And so, we're really focused on doing the best possible job to deliver to them on time, good quality so that they can make as much progress on that in 2021 as possible.

Analyst
Mike Walkley

Great, thanks for clarifying and yeah congrats on keeping them as a partner, that's key. And just the overall 3G to 4G upgrades, anything you can share maybe on number of your 3G devices still out there that you have a good chance to upgrade to 4G as a tailwind as things reopen through the sunset data over the next call it six quarters?

Executive
Jeff Gardner

Yeah, we still -- we still have a big opportunity. We estimate somewhere between 500,000 and 1 million devices