Core Viewpoint - Zeta Global Holdings reported quarterly earnings of $0.07 per share, missing the consensus estimate of $0.12 per share, representing an earnings surprise of -41.67% [1]. Financial Performance - The company posted revenues of $264.42 million for the quarter ended March 2025, exceeding the Zacks Consensus Estimate by 4.31%, and showing a year-over-year increase from $194.95 million [2]. - Over the last four quarters, Zeta has surpassed consensus revenue estimates four times, but has only exceeded EPS estimates once [2]. Stock Performance - Zeta shares have declined approximately 27.4% since the beginning of the year, compared to a decline of -5.3% for the S&P 500 [3]. - The current consensus EPS estimate for the upcoming quarter is $0.14 on revenues of $291.87 million, and for the current fiscal year, it is $0.75 on revenues of $1.23 billion [7]. Industry Outlook - The Technology Services industry, to which Zeta belongs, is currently ranked in the top 27% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8]. Future Expectations - The sustainability of Zeta's stock price movement will largely depend on management's commentary during the earnings call and the revisions of earnings estimates in the near future [3][4]. - The current status of estimate revisions is mixed, resulting in a Zacks Rank 3 (Hold) for the stock, suggesting it is expected to perform in line with the market [6].

Financial Data and Key Metrics Changes - In Q1 2025, the company generated revenue of $264 million, up 36% year over year, with adjusted EBITDA of $47 million, up 53% year over year, both exceeding guidance [8][18][20] - The GAAP net loss for Q1 was $22 million, an improvement from $40 million in Q1 2024 [20] - Free cash flow was $28.2 million, up 87% year over year, representing a margin of 10.7% [21] Business Line Data and Key Metrics Changes - Total scaled customer count grew to 548, up 19% year over year, with 159 superscaled customers, an increase of 10% year over year [18][19] - Scaled customer quarterly ARPU was $467,000, up 12% year over year, while superscaled customer quarterly ARPU was $1.4 million, up 23% year over year [19] Market Data and Key Metrics Changes - Six of the company's top ten verticals grew faster than 20% year over year on a trailing twelve-month basis [19] - The direct revenue mix in Q1 was 73%, up from 67% a year ago, resulting in direct revenue growth of 48% year over year [19] Company Strategy and Development Direction - The company is focusing on performance-based outcomes and has seen strong customer commitments, including a two-year agreement with a telecommunications customer that more than doubles their annual investment [9][10] - The launch of AI Agent Studio aims to enhance marketing efficiency and productivity through generative AI tools [11][12] Management's Comments on Operating Environment and Future Outlook - Management noted macro uncertainty but emphasized the company's resilience and strong value proposition, particularly in delivering measurable results for marketers [7][8] - The company is adopting a conservative approach to guidance for the second half of 2025, despite strong first-quarter performance [25][27] Other Important Information - The company is taking significant steps to reduce dilution and stock-based compensation expenses, with a new guidance item for stock-based compensation expected to be $190 million for 2025 [29][30] - The company plans to initiate a new share repurchase authorization after completing the current one, with approximately $38 million remaining under the current authorization [21][30] Q&A Session Summary Question: Progress on OneZeta and cross-sell opportunities - Management indicated that the OneZeta strategy is ahead of schedule, with significant growth in customer commitments and use cases [34][36] Question: Thoughts on macro uncertainty and customer behavior - Management reported no client pauses or exits, maintaining strong demand and confidence in the business [42][44] Question: Independent agency opportunities and market approach - Management noted that independent agencies are onboarded with long-term contracts, providing more visibility and stability compared to agency holdcos [46][49] Question: Vertical market performance and areas of concern - Management expressed initial concerns about the automotive sector but noted unexpected growth, with no disruptions in retail observed [55][58] Question: Generative AI adoption trends - Management reported increased adoption of AI tools, with no signs of pausing initiatives, indicating a positive trend in customer engagement [84][86]

Zeta Global (ZETA) Q1 2025 Earnings Call May 01, 2025 04:30 PM ET Speaker0 Greetings, and welcome to the ZETA First Quarter twenty twenty five Earnings Conference Call. At this time, all participants are in a listen only mode. A brief question and answer session will follow the formal presentation. It is now my pleasure to introduce your host, Matt Vaugh, Senior Vice President of Investor Relations. Thank you, sir. You may begin. Speaker1 Thank you, operator. Hello, everyone, and thank you for joining us fo ...

Q1 2025 Results and Key Themes - Zeta's Q1 2025 revenue reached $264 million, representing a 36% year-over-year growth[8] - Adjusted EBITDA for Q1 2025 was $47 million, a 53% increase year-over-year, with a margin of 177%, a 200 bps improvement[8] - The company repurchased 16 million shares, equivalent to $25 million, in Q1, and an additional 18 million shares, or $21 million, between April 1st and April 25th[7] Customer Growth and ARPU - Total scaled customers increased to 548, a 19% year-over-year increase[10] - Super-scaled customers reached 159, a 10% year-over-year increase[10] - Scaled customer ARPU was $467K, while super-scaled customer ARPU was $14 million[10] Guidance and Targets - The company is thoughtfully conservative, increasing Q2 revenue guidance by $2 million to $297 million, up 30% Y/Y, and FY revenue guidance by $2 million to $1242 million, up 23% Y/Y[7] - Q2 Adjusted EBITDA guidance increased by $05 million to $549 million, up 42% Y/Y, and FY Adjusted EBITDA guidance increased by $2 million to $2585 million, up 34% Y/Y[7] - The company is guiding for stock-based compensation expense to be $190 million in 2025, an improvement from $195 million in 2024[7] Zeta 2028 Targets - Zeta is tracking towards its 2028 revenue target of $21 billion+ with an implied 20% CAGR[33] - The 2028 Adjusted EBITDA target is $525 million+ with an implied 25% margin[33] - The 2028 Free Cash Flow target is $340 million+ with an implied 65% conversion FCF Margin[33]

Exhibit 99.1 May 1, 2025 Zeta Global Reports 15 th Straight "Beat and Raise" Quarter NEW YORK – Zeta Global (NYSE: ZETA), the AI Marketing Cloud, today announced financial results for the first quarter ended March 31, 2025. "Our commitment to delivering predictable, profitable and measurable ROI is driving continued market share gains and has contributed to our 15 th consecutive "beat and raise" quarter," said David A. Steinberg, Co-Founder, Chairman, and CEO of Zeta. "Our focus on AI innovation, highlighte ...

Core Insights - The stock market is currently experiencing elevated volatility, with heightened emotions and tensions as the critical Q1 earnings season approaches [1] - So far, companies that have reported earnings have managed to navigate the situation relatively unscathed, but investor caution remains [1] Industry Analysis - Gary Alexander, with extensive experience in covering technology companies and advising startups, provides insights into the themes shaping the industry today [1] - His contributions to Seeking Alpha since 2017 and presence in popular trading apps like Robinhood highlight the relevance of his analysis in the current market context [1]

Core Insights - Edge Total Intelligence Inc. has appointed Eric Slater to its Board of Directors effective April 23, 2025, following the resignation of Brett Paulson, who will continue in an advisory role [2][6][7] Company Overview - EdgeTI is focused on enhancing situational awareness and accelerating action through its real-time digital operations software, edgeCore™, which integrates multiple software applications and data sources [8][9] - The company aims to improve profitability and agility for global enterprises, service providers, and governments by transforming siloed systems and data [9] Eric Slater's Background - Eric Slater is a seasoned technology executive with a strong background in artificial intelligence and asset management, having held senior roles at Bridgewater Associates, Citadel, and Instinet [3][4][6] - He currently serves as Senior Vice President of Zeta Labs, leading the development of advanced AI capabilities for Zeta Global's marketing cloud platform [4][6] - Slater co-founded UrgentIQ, an electronic medical records platform, successfully raising $4.5 million and achieving a strategic exit [5] Strategic Fit - The CEO of EdgeTI, Jim Barrett, emphasized that Slater's technical depth and strategic insight align well with the company's target market, which seeks to leverage emerging technologies for sustainable growth [7]

Core Viewpoint - ZetaDisplay AB has successfully issued new senior secured bonds amounting to SEK 500 million, with strong demand from institutional investors, and plans to redeem existing bonds while applying for a listing on Nasdaq Stockholm [1][2][8]. Group 1: Bond Issue Details - The bond issue amounts to SEK 500 million with a tenor of three years, carrying a floating interest rate of 3m STIBOR plus a margin of 6.50%, and was placed at par [1]. - Settlement of the bond issue is expected around April 4, 2025, and the company intends to list the bonds on Nasdaq Stockholm [2]. Group 2: Tender Offer for Existing Bonds - The company conducted a tender offer for its existing senior secured bonds (ISIN SE0018742488), offering to purchase them at 102.325% plus accrued interest [3]. - The tender offer expired with valid tenders amounting to SEK 166.25 million, and all valid tenders were accepted [4]. Group 3: Redemption of Existing Bonds - The company intends to exercise its right for early redemption of existing bonds, with a redemption date set for April 17, 2025, at a price of 102.325% of the nominal amount plus accrued interest [5][6]. - The redemption is conditional upon the successful issuance of the new bonds and satisfaction of conditions for disbursement of net proceeds [7]. Group 4: Additional Information - The existing bonds will be de-listed from Nasdaq Stockholm in connection with the redemption date [8]. - Pareto Securities and Nordea Bank acted as bookrunners for the bond issue [8].

Core Points - ZetaDisplay AB announced a tender offer for holders of its existing senior secured bonds, offering to purchase them for cash at a price of 102.325% plus accrued but unpaid interest [1][2] - The tender offer will expire on 21 March 2025, coinciding with the close of the book building process for the new SEK denominated senior secured bonds [2] - Settlement of the tender offer is expected to occur on 4 April 2025, contingent upon the successful issuance of the new bonds [2] Company Information - The tender offer is part of the company's strategy to issue new senior secured bonds [1] - The company has provided contact information for its Dealer Managers and key executives for further inquiries [3]

Core Viewpoint - ZetaDisplay AB is planning to issue new senior secured floating rate bonds amounting to SEK 500,000,000 to refinance existing debt, fund potential acquisitions, and finance general corporate purposes [1][2]. Group 1: Bond Issuance - The company has mandated Pareto Securities and Nordea to arrange investor meetings starting March 17, 2025, to explore the issuance of new bonds [1]. - The new bonds will have a tenor of 3 years and are subject to market conditions [1]. Group 2: Tender Offer - ZetaDisplay is offering holders of its existing bonds to tender their bonds for purchase at a price of 102.325% plus accrued and unpaid interest [3]. - The tender offer will expire upon the close of the book building process for the new bonds unless extended or terminated by the company [3][4]. Group 3: Settlement and Redemption - Settlement of the tender offer is expected to occur approximately ten business days after the expiration date, potentially on the same day as the settlement of the new bonds [4]. - The company will issue a notice of voluntary early redemption for any existing bonds not repurchased in the tender offer at the prevailing call price of 102.325% plus accrued and unpaid interest [4].