AmpliTech Group, Inc. (NASDAQ:AMPG) Q3 2022 Earnings Call Transcript

Fawad Maqbool: Yes, in general, it usually is slower due to the holidays. We really have two big holidays and, and you lose two weeks or so from that. And not just that, there are a lot of people that take the vacations at this time, even customers. So even though we would normally pick up orders or they’re in line, they wouldn’t be placed until next year. Also, because a lot of people hold back on the budgets, they wait till next year and then they put the budget in place because they run out of funds for this year. So usually it always is a little bit lower.

Jack Vander Aarde: Okay, got you. That makes sense. And then just you mentioned, and you’ve mentioned this in the past and I’ve been aware of it, you, you’ve had, you’ve been having success and experiencing strong demand at these recent trade show events. Are you receiving — are you actively receiving customer orders after these trade shows? And just, wondering just what the cadence is there, are you seeing orders come in? Are you seeing more orders come in than normal? Are you in discussions with these customers, just an update from following the trade test?

Fawad Maqbool: Yes, actually we are. We have actually, we, as mentioned before, we implemented the CRM tool, that we are using now. And it’s really generated a lot of inquiries and a lot of a large funnel for inquiries and then which will be converted a large, a large percentage of that. I don’t know. Jorge, what percentage are we looking at forecast somehow?

Jorge Flores: Well, right now, like our CRM model, though have source of doing at least converting 25% of the opportunities that are in the funnel. And just to add to the success that we’re getting at the trade shows, we’re generating a lot of requests for information that before we have, which eventually, as you’re aware of it will turn into RFQ and then solidly purchase orders from different new people.

Jack Vander Aarde: Okay, that’s helpful. And then, I just want to get your thoughts on the backlog because when you acquired Spectrum at the beginning, or earlier, I guess like a year ago now you had quite a sizable backlog from that acquisition. Do you, when you’re looking at, I don’t want to get ahead of my skis here, but when you’re looking at 2023, obviously you’re expecting a huge demand influx here. Do you, but obviously you need customer orders to, to generate sales. So what’s your just level of confidence and outlook visibility into, customer orders coming in that could set you up for growth in 2023?

Jorge Flores: Well, it, I, can tell you that we have five, at least five very large customers that we are discussing these products in quantum computers, quantum computing as well as the 5G applications. We’re very close to receiving orders. I can’t say anything right now, but in general, the only limitations right now for us getting purchase orders are just logistics and current conditions, economy conditions that we’ve been in experiencing there. There’s a lot involved in the, that causes these delays. But again, my estimate is as early as Q4, we could see some of the results of all these efforts as early as Q4 and it could be not in revenue, but in bookings.