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Here are 1-2 brief analogies for Genasys (GNSS):

• A specialized Motorola Solutions for mass public safety alerts and physical warning systems.
• The Cisco of public safety, building critical communication infrastructure for mass alerts and emergency warnings.

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• Long Range Acoustic Devices (LRAD): Specialized acoustic devices providing highly intelligible, long-range voice communication and deterrent tones for defense, public safety, and security.
• Genasys Protect: A comprehensive software platform delivering unified critical event management and multi-channel mass notification services for organizations and public safety agencies.

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Genasys (symbol: GNSS) primarily sells its critical communications and acoustic hailing products and services to other organizations, specifically government agencies and, to a lesser extent, commercial entities (operating under a B2B/B2G model).

The company's major customers generally fall into the following categories:

1. Government and Defense Agencies: This constitutes a significant portion of Genasys's business. Customers include various branches of the U.S. military (e.g., U.S. Army, U.S. Navy, U.S. Air Force), other U.S. federal agencies (such as the Department of Defense, Department of Homeland Security, and Border Patrol), and numerous foreign militaries and government agencies, particularly those in NATO member countries and U.S. allies.
2. Public Safety and Emergency Management Agencies: This category encompasses state and local government entities, including police departments, fire departments, emergency management services, and other public safety organizations responsible for crisis communication, warning, and evacuation management (including those utilizing Genasys's Zonehaven platform).
3. Commercial Businesses: Genasys also serves commercial sectors, including security firms, industrial facilities, and organizations involved in wildlife preservation. However, specific major commercial customers are not typically highlighted in their public filings as individually significant revenue drivers in the same way that government contracts are mentioned collectively.

Regarding specific customer names and symbols:

Genasys's SEC filings (e.g., the latest 10-K) indicate that major customers account for a significant portion of their revenue (for instance, in fiscal year 2023, two customers accounted for 15% and 13% of consolidated revenues). However, the company does not publicly disclose the names of these specific major customers. This is common practice, particularly when customers are government agencies or when contract details are sensitive. Since their primary major customers are predominantly government agencies, they are not public companies and therefore do not have stock symbols. Consequently, specific named customer companies with corresponding stock symbols cannot be provided.

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Richard S. Danforth, Chief Executive Officer

Richard S. Danforth has over 40 years of defense and aerospace industry experience, including executive leadership positions with major defense contractors like Raytheon Company and DRS Technologies Inc. Prior to joining Genasys in 2016, he served as Group President of DRS Integrated Defense Systems & Service and held various CEO, President, and Executive Vice President roles at DRS Defense Solutions and other DRS divisions. He also served as Vice President and Senior Vice President at Raytheon Aircraft Company. In 2014, he founded RsD Aero, Ltd., a strategic business consulting firm specializing in M&A for the Defense, Aerospace, Space, and Transportation sectors. From 2007 to 2013, he was Chairman of the Board for Advanced Acoustic Concepts, a submarine and mine warfare software solutions company formed as a joint venture between DRS Technologies and the Thales Group.

Cassandra Hernandez-Monteon, Interim Chief Financial Officer

Ms. Hernandez-Monteon brings over 20 years of financial and operational leadership experience. She joined Genasys in August 2018 as Finance Manager and has held roles of increasing responsibility, most recently as Vice President of Finance. Before joining Genasys, she served for 13 years at Teledyne RD Instruments, a subsidiary of Teledyne Technologies Incorporated, where she held progressive leadership roles in finance and accounting.

Brian Alger, Senior Vice President, Investor Relations and Corporate Development

Brian Alger is the Senior Vice President of Investor Relations and Corporate Development at Genasys Inc. He joined Genasys in March 2023. Prior to this, he served as the SVP of Corporate Development & Investor Relations at Veritone, Inc. from April 2019 to March 2023. His career includes extensive experience in investment banking and finance, holding positions such as Managing Director of Investment Banking and Head of Technology Research at ROTH Capital Partners. He also served as a Portfolio Manager at Wedbush Securities and Senior Vice President and Sector Manager at Strata Capital Management, as well as Senior Analyst roles at Pacific Growth Equities and Preferred Capital Markets.

Richard S. Walsh, Chief Revenue Officer

Mr. Walsh was appointed Chief Revenue Officer of Genasys in August 2022 and has over 25 years of senior leadership experience in software business development, sales, and marketing. He was previously the Principal of Walsh Consulting Services, providing management consulting to technology organizations. From 2019 to 2020, he served as Senior Vice President, Americas, for Cognigy, an enterprise software provider. He also held significant leadership roles at Redwood Software from 2001 to 2019, including President, Americas & APJ, where he built the Americas and APJ organization to contribute significantly to the company's global revenues and profits. Mr. Walsh has also served as CEO of CorVent Medical, a privately held portfolio company, and has been involved in six successful medtech exits through his sales and marketing roles at companies such as NeoTract, Acclarent, AtriCure, Stereotaxis, Inc., Intuitive Surgical, Perclose, and US Surgical.

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The key risks to Genasys (GNSS) are:

1. Customer Concentration: Genasys faces a significant risk due to its high concentration of revenues from a limited number of customers. The company's dependency on these few customers means that a reduction or cessation of business from even one could substantially impact its revenues and profitability.
2. Financial Health and Liquidity Constraints: The company exhibits notable financial health concerns, including liquidity constraints with a current ratio of 0.65 and a quick ratio of 0.42. Additionally, Genasys has a high debt-to-equity ratio of 6.52, and its Altman Z-Score of -3.3 places it in a distress zone, indicating a potential risk of bankruptcy within the next two years. The company also acknowledges a need for additional capital to support its growth initiatives.
3. Global Economic Instability, Supply Chain Issues, and International Trade Policies: Genasys's growth and profitability can be adversely affected by global economic instability, including issues such as supply chain disruptions, inflation, and increased labor costs. Furthermore, the company is exposed to international trade policies, including tariffs and sanctions, which could lead to increased costs and reduced customer demand.

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Genasys (GNSS) operates in several key markets with substantial addressable market sizes:

• Acoustic Hailing Devices (AHD) / Long Range Acoustic Devices (LRAD): The global acoustic hailing devices market is projected to reach USD 1.48 billion by 2030, growing from an estimated USD 870 million in 2024. This market is expected to expand at a compound annual growth rate (CAGR) of 9.1% over the forecast period. North America is currently the leading region in this market.
• Mass Notification Systems (MNS): The global mass notification systems market is valued at USD 25.66 billion in 2025 and is forecast to grow to USD 51.84 billion by 2030, at a CAGR of 15.1%.
• Critical Communications Market: The global Critical Communications Market was estimated at USD 15.44 billion in 2024 and is expected to reach USD 16.65 billion in 2025. It is projected to grow at a CAGR of 8.34% to reach USD 29.33 billion by 2032. North America holds the largest share of this market, accounting for 42.21% of the global share in 2024.

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Here are 3-5 expected drivers of future revenue growth for Genasys (GNSS) over the next 2-3 years:

1. Puerto Rico Early Warning System (EWS) Project: This project is anticipated to be a significant driver of hardware revenue. Genasys has indicated substantial future revenue and profit contributions from this multi-year initiative, with the company expecting $15 million to $20 million in total revenues from Puerto Rico for fiscal year 2025. The installation of instrumentation on dams and activation of the software system for the EWS are underway, with the project representing a considerable portion of the company's backlog.
2. Growth in Software Solutions and Recurring Revenue: Genasys is focused on expanding its Protective Communications software offerings, including Genasys Protect, EVAC, and CONNECT. The company has reported a rapidly growing software pipeline and expects to convert increased inquiries into new bookings, particularly following events that highlight the need for such solutions. Software revenue, especially recurring revenue, has shown significant annual growth, with annual recurring revenue (ARR) reaching $8.7 million by June 2025. The company aims to at least double its recurring revenues and ARR in fiscal 2024.
3. U.S. Army Common Remotely Operated Weapon Station - Acoustic Hailing Device (CROWS-AHD) Program of Record: This program is identified as a multi-year and very significant source of hardware revenue. The aggregate hardware business across projects like CROWS-AHD is expected to be well north of $200 million, providing significant revenue visibility for several years.
4. Rebounding International and Law Enforcement Hardware Bookings: Genasys has noted a rebound in international and domestic Long Range Acoustic Device (LRAD) bookings from law enforcement, contributing to a growing 12-month backlog. This indicates an expansion of hardware sales beyond major government projects.

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Share Repurchases

• Genasys initiated a new share buyback program authorized through December 31, 2024, with $3.0 million available for future repurchases as of March 31, 2024.
• No shares were repurchased under the program during the six months ended March 31, 2024, or March 31, 2023.

Share Issuance

• On October 4, 2023, Genasys closed an underwritten public offering of 5,750,000 shares of common stock at $2.00 per share, generating gross proceeds of approximately $11.5 million.
• The net proceeds from this offering are intended for general corporate purposes, including funding organic growth, working capital, capital expenditures, and research and development.
• The company received $46,000 in proceeds from the exercise of stock options for the nine months ended June 30, 2022, and $54,000 for the nine months ended June 30, 2021.

Outbound Investments

• Genasys reported a net change in long-term investments of -$7 million in 2024 and -$3 million in 2020.
• The company's October 2023 public offering proceeds were also allocated for costs related to post-closing integration with the Evertel business.

Capital Expenditures

• Capital expenditures were reported as ($153,000) for a recent fiscal quarter and ($157,000) for the comparable prior quarter in the Q2 2024 10-Q filing.
• For the nine months ended June 30, 2022, capital expenditures amounted to ($171,000), compared to ($148,000) for the same period in 2021.
• The proceeds from the October 2023 public offering are intended, in part, for capital expenditures.