Maris-Tech sees 2023 revenue $3.7M-$4.2M

CEO Israel Bar, in a letter to shareholders, wrote in part, “During the past year, we have managed to penetrate what we believe to be the largest and most important territories in the world and our products have been sold in the U.S., Australia, Western Europe, China, Turkey, India, South Africa and South Korea. Also, during the past year, we entered into several strategic cooperation agreements with international companies which yielded orders from new customers around the world. Now, we are addressing our marketing efforts mainly towards the defense, HLS, civilian, safe cities and new space markets. We foresee significant business opportunities in the new space market. For example, in June 2023, we entered into an international collaboration agreement with Sidus Space Inc., a U.S. company, to develop video-based edge computing solutions for nanosatellites, and equally as impressive, we received funding from the Israeli Innovation Authority in cooperation with Space Florida for this project. Our products address a wide range of applications such as: unmanned aerial vehicles, aircraft, armored vehicles, indoor and outdoor drones, unmanned ground vehicles, nano satellites, military dogs, autonomous vehicles, sniper sights, infantry soldiers, missiles, and unmanned sea vehicles. Operationally, since day-one, we have been dedicated to the recruitment of qualified and experienced personnel. In addition to our highly experienced management team with extensive knowledge of the field, we announced that Mr. Nir Ben Moshe, a former director of security for the Israel defense establishment and Mr. Leslie G. Litwin, a managing director and founder of Zilica Limited, industry-leading video encoders and decoders and a business partner of the Company for many years, joined the our Advisory Board…Despite the ambition of our management to make timely deliveries of products, delivery dates are determined by a variety of factors, including the volume of orders placed by our customers, and the negotiations with us during the supply period regarding specifications, volume of orders, and other factors. Since in most cases these are large customers with changing needs over time, we do make tremendous effort to address the needs of our customers. Concurrently, we are faced with the challenges that still exist in the market for component parts, despite our efforts to minimize them. This is an important reminder of the lingering effects of the COVID-19 pandemic on the supply chain. These remaining supply chain deficiencies may delay the complete delivery of our pending orders for up to several months. Our revenues for the six-month period ended June 30, 2023 were approximately $474,000. From July 1, 2023 through September 30, 2023, we delivered additional products in the total amount of approximately $1.7 million, resulting in aggregate delivered products from January 1, 2023 to date of approximately $2.1 million. In accordance with our forecast for 2023, based both on orders received from our customers and on anticipated orders, we believe our total revenues for the year ending December 31, 2023 will be in the range of approximately $3.7 to $4.2 million, an increase of approximately 48% to 68% compared to the total revenues for the year ended December 31, 2022. This unaudited preliminary financial information regarding our revenues in the for the year ended December 31, 2023, is based upon our estimates and subject to completion of our year-end financial results. Moreover, this financial information has been prepared solely on the basis of currently available information by, and is the responsibility of, management. Our independent registered public accounting firm has not audited, reviewed or performed any procedures with respect to such preliminary estimates or the accounting treatment thereof and does not express an opinion or any other form of assurance with respect thereto. This preliminary financial information is not a comprehensive statement of our financial results for this period. In addition, our backlog of orders as of September 30, 2023 is approximately $9.4 million, an historic high for us since our inception. We define backlog as the accumulation of all pending orders with a later fulfillment date for which revenue has not been recognized and we consider valid. Part of our backlog is comprised of executed purchase orders from customers with which we have had long-standing relationships and governmental agencies. The increase in backlog and sales is a result of the Company’s products reaching maturity and validation among our customers. Our management estimates that such backlog and sales will continue in the coming years. However, because revenue will not be recognized until we have fulfilled our obligations to a customer, there may be a significant amount of time between executing an agreement or purchase order with a customer and delivery of the product to the customer and revenue recognition. In addition, backlog is not necessarily indicative of future earnings.”