ShotSpotter Inc. (NASDAQ:SSTI) Q1 2022 Earnings Conference Call May 10, 2022 4:30 PM ET

Company Participants

Ralph Clark - CEO

Alan Stewart - CFO

Conference Call Participants

Brian Ruttenbur - Imperial Capital

Richard Baldry - ROTH Capital

Matt Pfau - William Blair

Charles Erlikh - Robert W. Baird

Operator

Good afternoon, and welcome to ShotSpotter's First Quarter 2022 Earnings Conference Call. My name is Tom, and I will be your operator for today's call. Joining us are ShotSpotter's CEO, Ralph Clark; and CFO, Alan Stewart.

Please note that certain information discussed on the call today will include forward-looking statements about future events and ShotSpotter's business strategy and future financial and operating performance. These forward-looking statements are only predictions and are subject to risks, uncertainties and assumptions that are difficult to predict and may cause the actual results to differ materially from those stated or implied by those statements. Certain of these risks and assumptions are discussed in ShotSpotter's SEC filings included in its registration statement on Form S-1. These forward-looking statements reflect management's beliefs, estimates and predictions as of the date of this live broadcast, May 10, 2022. And ShotSpotter undertakes no obligation to revise or update any forward-looking statements to reflect events or circumstances after the date of this call.

Finally, I would like to remind everybody that this call is being recorded and will be made available for playback via replay, a link available on the Investor Relations section of the company's website at ir.shotspotter.com.

And now I would like to turn the conference over to ShotSpotter's CEO, Ralph Clark. Sir, please proceed.

Ralph Clark

Good afternoon, and thanks for joining us today. I hope everyone out there is doing well. As usual, I'll start with a quick overview of the quarter and our operational outlook before Alan details the quarterly results. We will then take your questions.

After a strong 2021, we continue to build on our growing success with a fast and positive start to 2022. We reported record revenues of $21.2 million, up 41% from Q1 of 2021, and had a quarterly adjusted EBITDA of $4.5 million, up 35% year-over-year. Our adjusted EBITDA profitability once again demonstrates the unique operating leverage of our business model even at the sub-$100 million revenue run rate.

We are pleased to go live in 4 new cities with ShotSpotter Respond, including Houston, Macon-Bibb County, Pasadena and Virginia Beach. We also expanded Respond coverage in Albuquerque, Syracuse and Louisville and went live with 2 new security customers, including a commercial manufacturing campus.