Perceptron, Inc. (NASDAQ:PRCP) Q4 2020 Earnings Conference Call - Final Transcript

Greetings. Welcome to Perceptron's Fiscal Fourth Quarter and Full Year 2020 Conference Call. [Operator Instructions] A question-and-answer session will follow the formal presentation. [Operator Instructions]

At this time, I will turn the conference over to Bill Roeschlein, Interim CFO. Mr. Roeschlein, you may begin.

Thank you. Good morning and welcome to Perceptron's investor call and webcast to discuss the company's financial results for the fourth quarter of fiscal 2020. My name is Bill Roeschlein and I'm Perceptron's Interim Chief Financial Officer. Joining me on the call today is Jay Freeland, Chairman of the Board and Interim Chief Executive Officer.

Before the market opened today, Perceptron issued its fourth quarter earnings release which is available on its website at investors.perceptron.com. We will begin the call with our prepared remarks and then open the call up for questions. However, before we begin today's call, it's my responsibility to inform you that some of the material that we will be discussing today constitutes forward-looking information under the meaning of the Private Securities Litigation Reform Act.

Any forward-looking statements that are based upon information believed to be true as of today. Actual results may differ materially. For a discussion of some of the factors that could cause actual results to differ, please refer to the Risk Factors section of our latest annual and quarterly filings with the SEC. Additionally, please note that you can find the reconciliations of the historical non-GAAP financial measures discussed during our call in the press release issued today. Unless otherwise noted, comments are in US dollars, and references to years will be fiscal years, which end on June 30.

I will now turn the call over to Jay.

Thanks, Bill and good morning, everybody. Before the market opened this morning, we issued two press releases, one announcing our fiscal fourth quarter results and the other announcing that Perceptron has entered into a definite agreement to be acquired by Atlas Copco for $7 a share. The offer from Atlas represents a 71% premium to our closing price on Friday, September 25 and 192% premium from our low point during this calendar year.

Since our inception nearly 40 years ago, Perceptron has grown to become a leading metrology brand, one recognized for its ability to provide advanced flexible automation and quality control solutions to a diverse mix of global customers. After being appointed interim CEO in November of 2019, I along with our interim CFO, Bill Roeschlein and our Board of Directors invested significant time and resources to determine the best strategic path forward for Perceptron, whether as a standalone company or alternatively as part of a larger organization. As we assessed the business landscape, a couple of critical issues became clear. First, while Perceptron has a strong position in automated metrology and robot guidance, we knew that we needed to grow over time to compete effectively versus better capitalized, more efficient global competitors. While the company has been highly successful historically, our smaller size had become a visible hurdle for long-term