Ladies and gentlemen, thank you for standing by. All participants are at present in listen-only mode. Welcome to today's conference call to discuss Nano Dimension's Second Quarter 2021 Financial Results. On the call with us today are Yoav Stern, CEO and Chairman; and Yael Sandler, CFO. Before we begin, may I remind our listeners that certain information provided on this call may contain forward-looking statements. And the Safe Harbor statement outlined in today's earnings press release also pertains to this call. If you have not received a copy of the press release, please view it in the Investor Relations section of the company's Web site. Yoav will begin the call with a business update, followed by a question-and-answer session, at which time Yael will answer questions regarding the second quarter 2021 financial results. As a reminder, this conference is being recorded, August 18, 2021. I would now like to hand over the call to Mr. Yoav Stern. Mr. Stern, would you like to begin?

Sure. Thanks, Michelle. Hi, everybody. Welcome to the call, and good morning, I assume North America, good afternoon in Israel and Europe, and good evening in the West -- in the East, where we have shareholders all over. So, I will not refer to the numbers other than mentioning it. I will basically go along the message to the shareholder, which I wrote, which is long. But I recommend to everybody, other than if they are going to listen today, which will be great, to read it very carefully. I incorporated there a lot of information and read, which is all, by the way, subject, of course, to all the regulations of what can be published and whatnot. So, read the lines and read between the lines. There's a lot of information there, and it's very, very important. I will try to summarize it, but I don't want to take too much of your time. The market is opening soon, and it's morning. So - and I want to let you ask questions, so I will refer the things that are of interest for you. So, I will go along this letter or message to shareholders. Start with mentioning numbers, can't go around without it. Yes, our revenue did grow 68% comparing to the first-half of last year, and our gross margins went up 40% compared to the same period in 2020. But it’s - this is not necessarily a comprehensive indication, a, because 2021 was a very weird – sorry, 2020 was a very weird year with the corona, and the numbers there were low. And even if it wasn't, 68% growth in revenue and 40% for numbers that are small are not impressive enough, at least, not for me. I am not impressed. I am looking for exponential…

Thank you, sir. Ladies and gentlemen, at this time, we will begin the question-and-answer session. [Operator Instructions] The first question is from [indiscernible]. Please go ahead.

Hi, good morning. This is Puneet [Ph] here. And first of all, congratulations on building a strong team and setting up for the long-term success. I am a shareholder - an individual shareholder from last 18 months, and I have a couple of questions. Like other 3D printing companies, if you can update us on the material development on number of material qualifiers and just -- and what your progress -- on different materials, what is your progress? And what we are -- and broad applications or key applications of those materials, that will be really helpful in understanding what are the broad applications and total addressable market for us. And another question I have is like, last call, you were -- you mentioned like you were very close to a big acquisition where the due diligence is almost over. So what happened to that? Was it because of price negotiation or something else? Thank you.

Okay. First question - two very good questions. On the first one, material development, we are totally focused and have certain achievements in material development. I will give you some indication on the material development on the side of the electronics, which is dielectric and conductive. When we spoke last, material was still only operating between 0 to 50 degrees, 45 degrees Celsius. We then expanded it, we reached -- we will reach a milestone of 0 to 70 degrees Celsius, it's extremely important because one of the biggest guidelines for material is at how hot environments can it operate and once it's in the product. We are by now better than that. We are, by now, getting close to minus 30 or 40 degrees Celsius up to 80, 85 degrees Celsius. So even one step further, the mill spec just to give you an indication, is minus 40, if I remember right, don't catch my word, I may be missing by a few percent to plus 135 or 145. Commercial spec and industrial specs are lower than that, so we see advancement in that. We see advancements in the quality of the dielectric material as it's printed in maintaining sizes and measurements much more accurately and steadily. All this will be projected, described, and announced once we come up with the next product which, as I told you, is coming up within the next 60 to 70 days. So, I gave you just a little bit. It's not formal, but I mentioned you the direction. It will be formal once it will be announced, as I just told you. The second question, the acquisition. Yes, all the acquisitions we've been looking at are too expensive. The price in the market is completely -- prices are unreasonable. We have looked…

[Operator Instructions] The next question is from [Rich Brun] [Ph]. Please go ahead.

Hello. Good morning, Yoav.

Hi.

Hi. I want to thank you first of all, for taking your time for the acquisitions and making sure you do your due diligence. I just want to know if we can have any updates on the potential number of target acquisitions.

No.

No.

The range is dozens.

Okay. And also just a final question. I know on the previous call we talked about your satisfaction. Based on the product development and on the R&D, are you satisfied with the progress so far?

Sorry, I'm really -- I apologize. Am I satisfied with what?

Are you satisfied with the product development in the R&D so far?

No. Oh, thank you. Well, I was not happy because the existing release was postponed from where it was originally planned for a better product in June -- June/July, and now it's postponed by two months, so I'm not happy with that. But this is the nature of the beast, especially when you're at the forefront of technology, both in materials and in the printing side of two materials at once to produce high-performance electronic device that works with electricity. So, yes, we're on the forefront, and it was delayed. But a delay of two months for a product that was developed over a year is not unreasonable. And this happens to software product, and we're not developing software, we're developing both software and firmware and hardware, and what do you call it, process and integration with processes and materials. So, bottom line, today, with the team that we have built over the last half-a-year, which actually took this product development to where it's going to manifest itself in a couple of months, I'm very satisfied.

Okay, Yoav. And just one additional question, if you don't mind.

Sure.

Okay. So, when we talk about the inflection point, how important is it that we get to that inflection point through acquisition, or can we reach there organically?

Well, by definition, inflection point organically, if it's gradual, it's not an inflection point. Yet, it can happen organically as well, if you are releasing a product that is a total revolution. So, my answer to that is the natural inflection points are going to happen in acquisitions. That's very natural. It's inflection because it's binary. You work, you work, you work, and overnight, suddenly you have the acquisition. Now you have to start with integration and merger, but it's an inflection point. And we are planning two new generations of products that are already on the drawing boards and in the R&D facilities, that each one of them when it comes out, it's such an unique and advanced, we'll have an inflection -- will be an inflection point, but we'll get there when we'll get there.

All right. Thank you for your time, Yoav.

Thank you very much.

The next question is from [Gil Greenwald] [Ph]. Please go ahead.

Hi, all. Thank you for the update. You said that you have enough money to make acquisitions, but at the same time, the share price is very low. Will you consider raising more money from institutions to get an even larger purchase, to have a larger inflection point, right? So, is that option on the table?

At this point, no.

Okay. Thank you.

There are no further questions at this time. Mr. Stern, would you like to make your concluding statement?

I'll just give our friends or investors another 30 seconds, maybe somebody will come up, and I don't want to take away the opportunity to speak. So, just 30 to 40 seconds and then…

[Operator Instructions] Please stand by while we pull for more questions.

Okay, well, it seems there's some person there.

The next question is from Bob [Severino] [Ph], please go ahead.

Do you have any plans for getting certified for military SPEC materials?

We are already.

Okay, thank you.

Thank you. And I'll add to that, 50% of our customers in the United States are defense industry. Many of them need military SPEC, military certification. And we have -- it's already announced I can speak about it; military defense manufacturer, large one in Germany that is a main customer of ours. Not only that, he invested with us million dollars in a joint venture, where we are 50-50 in a new company called James, which is just an additive manufacturing electronic sources. It's in Munich. And it's a defense industry joining none of them mentioned in investment in companies that will change the industry on the side of design to manufacturing and design to 3D additive manufacturing. So, we're very, very involved with the defense industry, as much as we are involved with the academic and research institutions as well. Okay. It seems like we have no more questions. So, at this point it's 40 minutes, and the market is already open, so I want to let all of you guys start your day, and wish you a happy and successful day in the market, and a healthy -- next foreseeable future until we meet again. Wear your mask, and keep your social distance, guys. Look forward to speaking again.

Thank you. This concludes the Nano Dimension's second quarter 2021 financial results call. Thank you for your participation. You may go ahead and disconnect.