Welcome to the BOS conference call. All participants are at present in listen-only mode. As a reminder, this conference call is being recorded and will be available on the BOS website as of tomorrow. Before I turn the call over to Mr. Cohen, I would like to remind everyone that forward-looking statements with respect to company's business, financial condition, and results of its operations are subject to risks and uncertainties, which could cause actual results to differ materially from those contemplated. Such forward-looking statements include, but are not limited to, product demand, pricing, market acceptance, changing economic conditions, risks and product and technology development, and the effect of the company's accounting policies, as well as certain other risk factors, which are detailed from time to time in the company's filings with the various securities authorities. I would now like to turn the call over to Mr. Eyal Cohen, CEO. Mr.
Cohen, please go ahead.
Thank you. Thank you for joining our call. On the call with me today is Ziv Dekel, in the remote site, Chairman, and Moshe Zeltzer, CFO. We are excited to meet you again at our quarterly video meeting. During this call, we will review our financial results, business trends, and the growth strategy. After that, we will have a Q&A session.
Li-
The financial results for the first nine months of the year 2023 show the significant improvement compared to the comparable nine months of the year 2022. Revenues grew by 11%, EBITDA by 60%, and net income by 128%, and the EPS, it was doubled. From a two-years perspective, our trailing twelve months' revenues grew by 38% to $44.6 million, compared to $32.2 million in year 2021. Our trailing twelve months EBITDA increased by 312% to $3.3 million, compared to $0.8 million in the year 2021. Our trailing twelve months net income amounted to $2.1 million, compared to $1 million in year 2021.
Our trailing twelve months earnings per share amounted to $0.37, compared to only $0.09 in the year 2021. Our balance sheet has significantly strengthened over those years. Our shareholders' equity increased from $14.3 million in December 2021 to $18.4 million in September 2023. Our bank loans remain roughly the same, around $2 million, and currently most of it attributed to a long-term loan underlying the real estate that we acquired for our internal use. Our working capital, as of September 2023, amounted to $10.2 million, and we believe that it is sufficient for our ongoing operation. Business trends. Our Supply Chain Division faced intense demands from the Israeli defense market. Those demands are attributed to the military conflict in Europe and the Middle East.
Our Robotic Division has shown a consecutive improvement year by year and reached a break-even point in the last two quarters. In addition, this division is in transitioning toward the Israeli defense market, and currently, most of our projects in process are for the defense segment in Israel. Our RFID Division has faced a decrease in revenues in the first nine months of the year, compared to the first nine months of the year 2022. In the past several years, intense investments in new logistics centers in Israel have positively affected the RFID Division's financial results. However, this trend was adversely affected during the year 2023 by a sharp increase in the interest rate and by the political tension underlying the Israeli government's attempt to pursue extensive reform to the Israeli judicial system.
On October 7, 2023, a war started between Israel and the terror organization, Hamas. The war has not affected our workforce and production facilities, and there has been no significant interruption to our operation. I'm very proud of our team that has come together to work through this situation. We operate through three business divisions: the Supply Chain Division and the Robotic Divisions, which account for 70% of those revenues during the first nine months of the year, have significant exposure to the Israeli defense industry. We therefore anticipate the growing demand for these, their products and services due to the current situation in Israel. The BOS-Dimex Division operates many logistics centers and retail chains in Israel. Therefore, it has suffered from a slowdown in sales processes. This division might be entitled to compensation from the Israeli government.
Our customers and suppliers are resilient and experienced in working during challenging times, and there are signs of getting back to routine. Regarding outlook, our outlook for year 2023. During the first nine months of the year, we reached our annual target of net income. Still, because of the current external circumstances, we keep our outlook for year 2023 unchanged, which is revenues of over $40 million and net income above $1.5 million. I want to turn the call to Mr. Ziv Dekel, Chairman, who will elaborate on our growth strategy. Please, Ziv. Okay. So we have a technical problem here to connect Ziv from remote. So I will say and give few words on the growth strategy. Can you see?
Yeah.
The growth we are facing is due to implementation of various operative changes and business development that the company is implementing, especially and mainly strengthening our competitiveness by adding more brands to our existing offering, developing new markets by expanding our offering with the complementary technologies and merger and acquisition. Those, therefore, have not been fully reflected in the result of 2023, but they will gradually yield to growth. So at this stage, gentlemen, we will take questions. Just a moment. Okay, so at this time we'll start the Q&A session, and if you have a question, please unmute and present yourself while all other participants remain mute. Thank you. If you have a problem to connect, you can use the chat.
Hi, can you hear me?
Yes, we hear you, Todd.
Okay, I just had a question. I know in the past you've had several contracts with Israeli Defense Forces regarding your Supply Chain Division. Obviously, the IDF has been using a lot of products and equipment. What is the standard lead time between them using some of the components and equipment you provide them between them giving you another order?
It's a good question. Usually the normal lead time could be a few months. But I think they are not waiting to the last minute, and we feel that, in this day, that they are urging their orders to the Supply Chain Division, a lot of bids. And, because the coronavirus issue with other logistic issues are behind us, I think, there are no ways. The lead time is shorter than we had in the previous years. So it could be a matter of a month or two in the normal cases. Of course, there can be outstanding cases, but this is normal.
Okay. Do you anticipate announcing any significant orders that are received?
As you can see, we are selling like $44 million a year, so we can assume that we are getting significant orders from time to time. Actually, we don't use to announce on each significant order that we get, unless there is something dramatic, a game changer in that order. For example, new component, new segment, new client. Otherwise, it's ongoing orders.
Okay. And regarding the slowdown in the RFID Division and possible compensation from the Israeli government, when do we expect to hear more on that? Is there laws or litigation through to be passed to approve maybe a stimulus or a boost to companies affected? Can you give us some more color on that?
Yeah. First, as I mentioned, October was a tough month. But in November, we are getting back to the time as were before the war. Even the unit that counts fashion retail stores come to return to work in full boost. So all the malls are back to normal, and it's a good indication for the Israeli economy that 90.7% of the retail market come back to normal. The regulation regarding the compensation were announced, and we are checking the implementation in our case. I don't think it will be a huge amount, but we will take as much as we're allowed.
Okay, that helps. And, finally, historically, the fourth quarter has always been your strongest quarter. And I know you have already reached your net income guidance given for the year. Given the fact that you're not willing to boost that, are you anticipating any problems in Q4, or are you expecting another strong quarter, given that, you know, the fourth quarter is normally the quarter that has the most revenues and earnings per share?
Yes. The fourth quarter usually is the strongest quarter in the year, and also the first quarter of the year. We have not changed the outlook for now. We keep it on the $1.5 million because of the current circumstances in Israel. So I think it's better. This, I think this is the best way to keep the outlook. You know, it's in the current circumstances, from legal point of aspect, it's not smart to do.
Okay. That's all for me. I, I appreciate your time in taking my questions.
Thank you, Todd. Any further questions? If you have a problem to connect or to the audio, you can use the chat. We see it. Let's wait another few seconds. Okay. Okay. Okay, so, thank you for being with us today, and we are looking forward to meeting you again on BOS's fourth quarter call, which will be on March tenth, 2024. On that call, we will also provide our outlook for year 2024. Thank you.
Thank you, bye.