Good morning, ladies and gentlemen, and welcome to the Digital Ally, Inc. 2022 Operating Results Conference Call. At this time all lines are in listen-only mode. Following the presentation, we will conduct a question-and-answer session, [Operator Instructions]. This call is being recorded on Monday April 3, 2023. This conference call may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, and Section 21E of the Securities Exchange Act of 1934. We may use words and other expressions that are predictions indicate future events and trends and do not relate to historical matters. Rather they represent forward-looking statements. These forward-looking statements are based largely on our expectations or forecast of future events can be affected by inaccurate assumptions and are subject to various business risks and known and unknown uncertainties, a number of which are beyond our control. Therefore, actual results could differ materially from the forward-looking statements expressed in this conference call and readers are cautioned not to place undue reliance on such forward-looking statements. We generally do not publicly update or revise any forward-looking statements expressed in this conference call, whether as a result of new information, future events or otherwise. There can be no assurance that forward-looking statements contained in this document will, in fact, transpire or prove to be accurate. I would now like to turn the conference over to Stan Ross. Please go ahead.

Thank you, Julie. Thanks, everybody, for joining us today. I’ve got Brody Green, Company’s President with the CEO, and Brody will be covering the numbers. Just sort of want to make sure and enlighten you a little bit on what we're going to try to accomplish here today, as many of you have heard and have seen us talk about the different segments that we have within the Digital Ally family and the attention to try to go ahead and looks like we may spin off the entertainment side of the business, allowing the Medical Billing and the Video Solutions to remain within Digital Ally. So we'll try to elaborate on that but also want to make sure and cover each of these segments. They are the three pillars right now of Digital Ally, although there are a couple other smaller activities that are going on within the company. So thank you all for joining us and I'll turn this over to Brody.

Yes, thanks, Stan and like it stands out. Thanks, everyone for jumping on this call. I hope everyone had the chance over the weekend to review our Form 10-K that went out Friday the 31st of March, nice to get that went out on time this year. And so I would advise you guys all to review that at your convenience, because it'll go into much greater detail than we'll be covering on this call. So a few corporate matters before we jump into the financials, just to discuss some of the 8-Ks that have gone out since our past discussion back going over Q3. We did regain our NASDAQ compliance on February 6 of 2023. So we've got that behind us and really, that came through this other matter, which was the reverse stock split. We completed that at a similar time back in February, that went effect I believe, February 8, and that was a 2021 split, which we got shareholder approval to do so in our annual meeting back in December. Since then, we've also extinguished all pretty much all of our warrants, through a warrant extinguished back in Q3 as well. I think we discussed that on our last call, which brought our outstanding warrants from $1.3 million down to about $67,000. So it was nice to get those off the books. And you'll see a $3.6 million gain on extinguishment reflected in these financials as well. That's due to derivative accounting that we have to account for, just for our books. Jumping into the financials, video had a year -- did $8.3 million in revenue for the year, was down about 9% of recognized revenue. That has a little bit to do with our subscription model as well as some Shield sales that were larger…

Thanks much, Brody. So you can actually see what we're a little bit excited about going into 2023. When I talk to different parties that show an interest in Digital Ally, sometimes it's hard for them to understand the overall picture that the company has, and it's understandable, I mean, it's no different than if you had multiple panes of glass and had a painting on each one of those, but they were stacked on top of each other, it's very difficult to see through them, to really see what a good clear picture is. This way, when there's doing the spin out, I think that's going to help separate those panes of glass and show that you have a much better story a lot cleaner picture of what each of these entities are. And so when you really get to digging into them, if you look at some of the analyst reports that have been out there, and in some of the valuations of our peer groups, you can see that Digital Ally as a story that has value and potential growth ahead of it in 2023. And I'll just give you a little bit of a recap. Again, I'm not trying to say this is where the stock ought to be at today, but just trying to give you some ideas where these entities fall in their peer group. There was a real nice story, both Aegis Capital, and EF Hutton both did real nice follow ups on this and sat there and looked at the core businesses, the three main ones that Brody really touched on there. And I'll start with TicketSmarter, the ticketing platform, because there's quite a few entities out there and including one that's gotten a lot of press and in live nation's Ticketmaster…

[Operator Instructions] Your first question comes from Rommel Dionisio from Aegis Capital. Please go ahead.

Good morning. Thanks for taking my question. Stan, I wonder if you could delve into the entertainment ticketing side of the business, in terms of the potential going forward, you guys have had a lot of experience with live events, music, sports, NASCAR. I wonder if you could just maybe just give us a feel for what those relationships what that experience could can translate to on the live ticketing side, in terms of opportunities going forward for proprietary events, especially given the new worlds kind of getting back to normal now? Thank you.

Yes, thanks. Thanks for the question. And you really did hit on a very unique question, because a lot of the opportunities that are in front of the customer entertainment division and the ticketing, are an extension of what we've been doing over the past several years. And that is, in providing video solutions for everyone's from entities, obviously, like NASCAR. We do stuff at Arrowhead Stadium, MetLife Stadium, I think there's some 200 colleges that we have relationships with from the ticketing and security side of things. So, if you look at, for instance, just the Country Roots concert that we're doing here in May, it essentially is a minor league ballpark. And because of our capabilities, we're able to literally go out there utilize the ballpark, obviously, there'd be some sweets, there's some seats, but there's also a lot of GA VIP areas. And also we have the capability to build out. So you don't need a massive arena or amphitheater, to sit there and be able to do a very, very nice concert that you can draw 10 12 15,000 people. And, those are very nice, because you also have a good control over your food and beverage, your parking, and even the VIP capability of building unique experiences for them. So that was a great question. Because we really are utilizing the relationships that we have created over the years with NASCAR and Indy and different stadiums. And municipalities the fact that we probably sold to over half the police agencies in the country at some point in time. But even if you take the right relationship that gives you Ally has with these city leaders and chiefs of police and you want to visit with them about being able to utilize their city park to…

I appreciate the feedbacks. Stan, thank you.

Thank you.

[Operator Instructions] Presenters, there are no further questions at this time, please proceed with your closing remarks.

Well, I appreciate everyone on the Digital Ally. I know that with us and doing the reverse when we did it, everything else. Obviously, there's fewer shares out there and the few less shareholders as well. But we're excited about Digital Ally’s future, we're excited about the potential spin off with custom entertainment. We think that we've really positioned both companies in a really good position to maximize the relationships that are already out there and continue to look real strongly on the efforts that we need to do to continue to improve the bottom lines on there. So, thank you all so much for joining us. We look forward to visiting with you again probably in the next 40 days or so as we will be reporting our first quarter numbers. Thank you all.

Ladies and gentlemen, this concludes your conference call for today. We thank you for joining and you may now disconnect your lines. Thank you.