FTC Solar, Inc. (NASDAQ:FTCI) Q3 2022 Earnings Conference Call November 9, 2022 8:30 AM ET

Company Participants

Bill Michalek – Vice President-Investor Relations

Sean Hunkler – President and Chief Executive Officer

Phelps Morris – Chief Financial Officer

Patrick Cook – Chief Commercial Officer

Conference Call Participants

Philip Shen – ROTH Capital Partners

Donovan Schafer – Northland Capital Markets

Jeff Osborne – Cowen

Kashy Harrison – Piper Sandler

Maheep Mandloi – Credit Suisse

Julien Dumoulin-Smith – Bank of America

Operator

Hello, thank you standing by, and welcome to the FTC Solar Third Quarter 2022 Earnings Conference Call. At this time all participants are in a listen-only mode. After the speakers’ presentation, there will be a question-and-answer session. [Operator Instructions] Please be advised that today’s conference maybe recorded.

I would now like to hand the conference over to your speaker today, Bill Michalek, Vice President of Investor Relations. Please go ahead.

Bill Michalek

Thank you, and welcome, everyone, to FTC Solar’s third quarter 2022 earnings conference call. Prior to today’s call, you’d likely had an opportunity to review our earnings release, supplemental financial information and slide presentation, which were posted earlier today. If you’ve not yet reviewed these documents, they are available on the Investor Relations section of our website at ftcsolar.com.

I’m joined today by Sean Hunkler, FTC Solar’s President and Chief Executive Officer; Phelps Morris, the company’s Chief Financial Officer; and Patrick Cook, the company’s Chief Commercial Officer.

Before we begin, I remind everyone that today’s discussion contains forward-looking statements based on our assumptions and beliefs in the current environment and speak only as of the current date. As such, these forward-looking statements include risks and uncertainties and actual results and events could differ materially from our current expectations. Please refer to our press release and other SEC filings for more information on the specific risk factors. We assume no obligation to update such information, except as required by law.

As you’d expect, we will be discussing both GAAP and non-GAAP financial measures today. Please note that the earnings release issued this morning includes a full reconciliation of each non-GAAP financial measure to the nearest applicable GAAP measure. In addition, we’ll discuss our executed contract and awarded orders collectively referred to as backlog, and our definition of this metric is also included in our press release.

With that, I’ll turn the call over to Sean.

Sean Hunkler

Thanks, Bill, and good morning everyone. Starting at the market level, the Uyghur Forced Labor Prevention Act, or UFLPA and its rules for module importers and reviews by U.S. Customs and Border continues to prevent solar modules from getting into the country and in turn prevents a large portion of projects in the industry from moving forward. This obviously also delays our ability to convert a large portion of our backlog into revenue. As you’ll see when Phelps discusses our Q4 outlook. While extraordinarily frustrating, we are not sitting idle. We are making great strides in our efforts to improve our near and long-term positioning and remain optimistic about FTC Solar’s future.