Georges KaramThank you, Rosanne. Ladies and gentlemen, good morning. This is Georges speaking with Deborah Choate, our CFO. We are pleased to welcome you to our second quarter 2012 results conference call. First let me start by saying that we are very pleased with our progress during the second quarter. We reported sequential revenue growth at the high end of our guidance and with careful control of our operating expenses we limited our quarterly loss to the low-end of the range. We had a number of positive developments during the second quarter, one of the most significant was at the end of June we began volume shipments of all three chips belonging to our second generation LTE platform. I am very proud of our team’s ability to execute and achieve this important milestone according to our plan. In addition to the increase in LTE revenues, the second quarter benefitted from WiMAX shipment to HTC which we believe are to supply operators in Japan and Taiwan, as well as Sprint’s prepaid market in the US through Boost and Virgin mobile. The fact that HTC has placed new orders is certainly a positive sign but we continue to assume that WiMAX revenue will be lumpy going forward. Looking at our position in LTE, we continue to focus on a combination of near term and longer term strategic objectives and initiatives. We are very pleased with our progress on the technology side, as well as on the business front in penetrating customers and cultivating operators. On the technology side, we are continuously working on retaining our technology edge, which is fundamental to our competitive positioning. During the second quarter we had several important technology developments. First, we announced that we achieved a through sustained 150 Mbps throughput, or category 4 over a 20 MHz FDD channel with H-ARQ and encryption enabled, which are complex function that quite often competitors disable them to make similar demo. This shows that our currently shipping platform provides that highest possible LTE performance in a real world scenario. Thanks to our advanced 4G architecture and signal processing algorithm.
Second, at (inaudible), we announced Sequans AIR, which expands for Active Interference Rejection, an innovative feature that will be offered by all our 4G chips. This interference mitigation algorithm can double network capacity and extend its coverage by tripling the throughput of users at cell edge. We will be demonstrating this technology later this year and expect this to be an important differentiator with operators dealing with the growing interference problem as network traffic grows in a spectrum limited environment.Finally, at another event in Asia, we announced the collaboration and demo of 4G voice-over-LTE. This capability will be coming increasingly important to operators as they will complete their LTE network build outs. Our advanced technology is being very well received by customers and we have now several design wins so far. We have now more than a dozen device manufacturers as customers, addressing the three market segments where we are putting most of our focus. Each customer is planning to introduce multiple devices which means at least 30 data devices with our second generation LTE chips should be coming to market. Let me now give you some updates on our progress on the business side according to each of the main segment we are focusing on. As said on our last call, the first segment we are focusing on is the broadband wireless access and Greenfield operator segment. Here we are making very good progress. Our main customers addressing this segment have their LTE product ready and sampling to carriers for testing and trials. They are introducing a variety of device form factors, indoor CPE, outdoor CPE kind of fixed devices, and more portable devices such as USB dongle and portable routers supporting all frequency bands required. The results of testing are very encouraging and reflect the performance and maturity of Sequans’ 4G technology powering these devices. The operators of this segment in India, Russia, Middle East and other countries are doing good progress and we expect to see revenues from this segment ramping with large network launches early next year. This may be a bit slower than originally expected, but we believe that the allotment of this market is still moving in the right direction. Read the rest of this transcript for free on seekingalpha.com