Summary of Articore Group (RDBB.F) Extraordinary General Meeting Company Overview - **Company**: Articore Group Limited - **Meeting Date**: August 21, 2025 - **Context**: The meeting was called following a notice from shareholders holding at least 5% of the issued capital, seeking to replace four nonexecutive directors with their own candidates [2][4] Key Points Discussed 1. **Board Composition and Shareholder Actions**: - Shareholders are seeking to replace four nonexecutive directors [2] - The meeting was held virtually, allowing shareholders to ask questions and vote electronically [2][8] 2. **Financial Performance**: - The company reported its best fourth quarter in five years, with underlying cash flow of $2,500,000, an improvement of $6,000,000 compared to the previous year [4] - A 430 basis point improvement in gross profit margin and a 16% reduction in operating expenses were noted [5] - For fiscal year 2026, the company is guiding EBIT between $2,000,000 and $8,000,000 and underlying cash flow between $5,000,000 and $12,000,000, marking a significant turnaround as the company has not achieved positive EBIT in five years [5] 3. **Strategic Focus**: - The board is focused on unlocking shareholder value through revenue growth and profit margin expansion [6] - A strategic review is underway to assess capital structure and value creation pathways [6][24] 4. **Governance and Accountability**: - The board plans to recruit an additional director to strengthen Australian governance [6] - There is a commitment to increased shareholder visibility and accountability, including performance communication against milestones [6] 5. **Voting and Resolutions**: - Eight resolutions were presented, all of which the board recommended shareholders vote against [7][12] - The first resolution involved the removal of the chair, Robin Mendelson, with the board recommending against this resolution [13] 6. **Shareholder Questions**: - Questions from shareholders included inquiries about the strategic review timeline and the EGM process, with the chair expressing disappointment over the necessity of the EGM [24][26] - The chair confirmed that the materials submitted by requisitioning shareholders were included in the notice of meeting without edits [31] Additional Important Information - The meeting emphasized the board's commitment to a collaborative approach with shareholders and the importance of focusing on delivering results amidst the ongoing governance challenges [26][30] - The results of the voting on resolutions will be announced via the ASX platform shortly after the meeting [36]

Core Viewpoint - The performance of First REIT has been negatively impacted by fluctuations in the Indonesian Rupiah exchange rate, leading to a downgrade in its rating from "Buy" to "Hold" by OCBC Bank, while maintaining a target price of SGD 0.27 [1] Group 1: Financial Performance - First REIT's DPU for the first half of 2025 was SGD 0.0113, a decrease of 5.8% year-on-year, falling short of analyst expectations primarily due to exchange rate fluctuations [2] - Rental income and net property income (NPI) for the first half of 2025 declined by 2.9% and 2.7% year-on-year, amounting to SGD 50.5 million and SGD 48.9 million respectively; excluding currency effects, the property portfolio in Indonesia and Japan would have seen a rental growth of 5.5% [2] - The total distributable amount decreased by 4.8% year-on-year to SGD 23.8 million [2] Group 2: Analyst Predictions - Analysts at OCBC Bank have lowered their DPU forecasts for FY2025 and FY2026 by 3.8% and 3.2% respectively, citing ongoing currency headwinds [3] - Despite the downgrade, the fair value estimate remains at SGD 0.27 due to lower risk-free rate assumptions partially offsetting the rise in risk premiums [3] - The current closing price of SGD 0.280 indicates a tight valuation [3] Group 3: Strategic Review and Market Outlook - First REIT is undergoing a strategic review of its Indonesian hospital asset portfolio, having received an initial acquisition interest from PT Siloam International Hospitals [4] - Analysts recommend a "wait-and-see" approach for investors until the results of the strategic review are clearer [4] - The trust benefits from a weighted average lease expiry (WALE) of 10.1 years, providing stable cash flow, alongside structural trends such as aging population and increasing demand for quality healthcare services [4] - As of June 30, 2025, the trust's leverage ratio has slightly increased to 41.2%, with outstanding rent from tenant PT Metropolis Propertindo Utama accumulating to SGD 7 million [4]

Financial Data and Key Metrics Changes - The company reported significant earnings and cash flow growth year over year, with an adjusted leverage ratio now below 3x, allowing for aggressive share repurchases [8][9][10] - Revenue guidance was reduced by $50 million, while EBIT margin guidance was tightened, and EPS guidance was increased by $0.10, primarily due to prior management's decisions regarding customer retention [9][10] Business Line Data and Key Metrics Changes - The shipping segment saw a 2.5% year-over-year decline, largely due to non-core business losses, but core shipping revenue grew by 6% [29][30] - The SaaS segment within shipping experienced a 17% year-over-year growth, indicating strong performance in that area [30] Market Data and Key Metrics Changes - The company is focused on regaining lost customers in the Presort business, with expectations of reversing losses in the near future [31][85] - The management emphasized the importance of being the low-cost provider in the industry to regain market share [86] Company Strategy and Development Direction - The company initiated a strategic review focused on internal improvements, identifying numerous opportunities for value creation [9][10] - Management is actively scanning for acquisition opportunities, particularly in the Presort business, which could be accretive to overall profitability [32] Management's Comments on Operating Environment and Future Outlook - Management expressed frustration over previous customer losses, attributing them to unforced errors, and emphasized the need for operational efficiency [10][85] - The CEO highlighted the commitment to returning capital to shareholders through share repurchases and dividends, reflecting confidence in the company's financial position [8][9] Other Important Information - The board increased the share repurchase authorization from $150 million to $400 million, reflecting strong free cash flow and financial flexibility [9][70] - The management team is committed to driving growth and change within the company, with a focus on employee dedication and operational efficiency [92] Q&A Session Summary Question: Future share buyback plans - The CEO indicated that while future share buyback activities cannot be commented on, the historical purchasing rate reflects the company's perceived value [13][14] Question: Strategic review timing - The CEO stated that the strategic review is a two-step process, with the internal review expected to continue throughout 2025 [17] Question: Presort business strategy - The CEO clarified that the focus is on increasing EBIT dollars rather than maintaining percentage margins, indicating a shift in strategy [20][21] Question: Update on SendTech shipping segment - The CEO provided an update that core shipping revenue grew by 6%, while the SaaS segment grew by 17% year over year [29][30] Question: Customer loss reversal - The CEO mentioned that while they are close to reversing customer losses, no reversals have occurred yet [31] Question: Acquisition strategy - The CEO expressed a strong interest in pursuing acquisitions, noting their potential to significantly enhance profitability [32] Question: EPS guidance assumptions - The CEO refrained from providing specific assumptions regarding diluted share count for the back half of the year [33] Question: Structural weakness in Presort business - The CEO confirmed that the majority of revenue reduction is tied to competitive losses, emphasizing the strength of the Presort and SendTech businesses [85][86] Question: Potential value unlocking in Pitney Bowes Bank - The CFO acknowledged the undervalued nature of the Pitney Bowes Bank and indicated that they are exploring opportunities to unlock value [89]

Financial Data and Key Metrics Changes - The company reported significant earnings and cash flow growth year over year, with an adjusted leverage ratio now below 3x, allowing for aggressive share repurchases [7][8][10] - Revenue guidance was reduced by $50 million, while EBIT margin guidance was tightened, and EPS guidance was increased by $0.10, primarily due to prior management's decisions leading to customer losses [9][10] Business Line Data and Key Metrics Changes - The shipping segment saw a 2.5% year-over-year decline in overall revenue, but core shipping revenue grew by 6% when excluding a non-core customer relationship [28][29] - The SaaS shipping business experienced a 17% year-over-year growth for the quarter, indicating strong performance in that area [29] Market Data and Key Metrics Changes - The company is focused on regaining lost customers in the Presort business, with management expressing optimism about reversing losses in the near future [30][85] - The company is recognized as a low-cost provider in the industry, which positions it well for aggressive sales strategies to gain market share [87] Company Strategy and Development Direction - The company initiated a strategic review focused on internal improvements, identifying numerous opportunities for value creation [8][16] - Management emphasized the importance of operational efficiency and effective decision-making to enhance competitiveness in the logistics space [17][20] Management's Comments on Operating Environment and Future Outlook - Management expressed frustration over past customer losses, attributing them to unforced errors and emphasizing the need for improved execution [10][85] - The company is optimistic about future growth, with plans to enhance research coverage and attract more investors [81] Other Important Information - The share repurchase authorization was increased from $150 million to $400 million, reflecting confidence in the company's financial flexibility [8][70] - Management changes were made to enhance operational efficiency and drive value creation, with a focus on maintaining stability moving forward [40][46] Q&A Session Summary Question: Will the company continue share buybacks in 2025? - Management indicated that while they cannot comment on future purchases, the historical rate of share buybacks reflects their view of the company's value [13] Question: How is the strategic review progressing with the new CFO? - Management believes the new CFO will accelerate the strategic review process, which is currently in its first internal review phase [15][16] Question: What is the outlook for the SaaS shipping business? - The SaaS shipping business is expected to continue performing well, with a 17% year-over-year growth reported [29] Question: Are there plans for acquisitions in the Presort business? - Management is actively scanning for acquisition opportunities, viewing them as attractive due to low multiples and potential for increased profitability [32] Question: Is there any structural weakness in the Presort business? - Management confirmed that the majority of the revenue reduction is tied to competitive losses, not structural weaknesses, and expressed confidence in the business's strength [85]

Financial Data and Key Metrics Changes - Revenue reached almost EUR 9 billion in the quarter, growing 1.5% organically [14] - EBITDA was nearly EUR 3 billion, up 1.2% [14] - Free cash flow turned positive to EUR 5 million in the second quarter, an improvement of EUR 718 million versus Q1 [14] - Net financial debt decreased 5.5% year on year to EUR 27.6 billion as of June [15] - Earnings per share from continued operations amounted to EUR 0.07 in the second quarter [15] Business Line Data and Key Metrics Changes - In Spain, the company achieved its best Q2 net adds since Q3 2018, with a convergence churn rate of 0.8%, the lowest in over 11 years [23][24] - Brazil saw a 6% increase in contract accesses and a 42% increase in revenue from cloud services [30] - Telefonica Deutschland reported a decline in EBITDA by 6% year on year, primarily due to the migration of the one on one customer base [34] Market Data and Key Metrics Changes - Spain and Brazil together represent 70% of group EBITDA, showing improving trends this quarter [15] - The UK market remained competitive, with Virgin Media O2 focusing on customer loyalty and protecting value [36] - In Germany, the mobile service revenue declined year on year, reflecting the impact of the one on one customer migration [34] Company Strategy and Development Direction - The company is focused on customer-centric strategies, operational excellence, and creating value under strict financial discipline [8] - Strategic choices are aimed at strengthening the competitive position in the European telecom industry [8] - The company is concentrating resources in select markets where it has competitive advantages, as evidenced by the sales of operations in Argentina, Peru, and other Latin American countries [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ongoing transformation at Telefonica, which is expected to create value for shareholders [8] - The company reiterated its full-year 2025 guidance across metrics, expecting revenue and EBITDA to continue growing [17] - Management acknowledged the variable macro environment but emphasized the focus on managing controllable factors [8] Other Important Information - The completion of the copper shutdown in Spain marks a significant milestone, freeing up resources for other endeavors [10] - The company aims to achieve a simplified organization that can move faster and compete more effectively [13] - Telefonica has been recognized for its sustainability efforts, being named the second most sustainable company in the world by Time Magazine [46] Q&A Session Summary Question: Expectations for growth in Spain and the UK - Management aims for revenue growth in Spain to exceed 2024 levels, driven by improved customer experience and B2B momentum [53] - In the UK, management acknowledged the competitive market and emphasized ongoing efforts to manage retention and prevent churn [68] Question: Strategic review and balance sheet considerations - Management stated that leverage is relevant but not strategically limiting, emphasizing the importance of maintaining investment-grade ratings [79] - The company is looking to take calculated risks to achieve larger economies of scale [81] Question: Cybersecurity and technology investments - Management highlighted the changing conditions in the cybersecurity market driven by European political will and defense investments [65] - The company is exploring opportunities in technology but does not see a need for significant CapEx in cybersecurity at this time [106] Question: Updates on fiber path stake sale and infrastructure ownership - The fiber path sale process is ongoing and not part of the strategic review [106] - Management believes that owning core infrastructure is essential for operational efficiency and service offerings [115]

Financial Data and Key Metrics Changes - In Q1 2025, revenue was $77.3 million, representing a decrease of 4% year over year [22] - Reported gross profit declined by 5% year over year, with consumer payment segment gross profit also down by 5%, while business payment segment gross profit increased by 77% year over year [22] - Adjusted EBITDA for Q1 was $33.2 million, maintaining an adjusted EBITDA margin of approximately 43% [23] - Reported free cash flow was negative $8 million, impacted by client losses and working capital changes, but excluding these impacts, free cash flow conversion would have been similar to 38% in Q1 2024 [24] Business Line Data and Key Metrics Changes - Consumer payments showed core growth with contributions from existing clients and new client wins, despite client losses impacting reported growth [8][12] - Business payments reported a gross profit increase of approximately 7% year over year, with a normalized growth of about 12% when excluding political media contributions from the previous year [13][22] - Instant funding product in value-added services saw transaction volumes rise approximately 19% year over year [11] Market Data and Key Metrics Changes - Non-discretionary consumer spending remained resilient year to date, with no major impacts observed from macroeconomic factors [9][52] - The company signed two new software partnerships in consumer payments, increasing total software partners to 182 [10] Company Strategy and Development Direction - The company concluded its strategic review process, focusing on organic growth investments rather than M&A, believing this will yield the best results for shareholders [16][17] - Key operational priorities include enhancing the direct sales model, capitalizing on monetization opportunities, and building indirect partnership channels [17] - The company aims for sequential quarterly normalized gross profit growth, projecting high single-digit to low double-digit growth by Q4 2025 [18] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to invest organically and produce results that generate shareholder value, with expectations for growth acceleration in the second half of 2025 [18][19] - The macroeconomic environment has changed, but the company remains focused on profitable growth and cash flow generation [16][19] Other Important Information - The Board of Directors increased the share repurchase program authorization to $75 million, maintaining a strong balance sheet with ample liquidity [19][25] - Tim Murphy, the CFO, will be stepping down, with Thomas Sullivan appointed as interim CFO [20][19] Q&A Session Summary Question: Can you provide additional color on the consumer spending environment? - Management noted resiliency in non-discretionary consumer spending, with no major impacts from overall payment processing related to macroeconomic factors [29] Question: Given the increased buyback authorization, do you plan to continue leaning into this rather than M&A? - Management confirmed that they will opportunistically repurchase shares when the share price is disconnected from intrinsic value, while focusing on organic growth [30][31] Question: How far did you go down the strategic review process? - The company assessed various strategic alternatives but concluded that additional investment in organic growth would yield the best results for shareholders [34] Question: Can you help us think about the EBITDA growth trajectory over 2025? - Management indicated that adjusted EBITDA growth would follow a similar path as gross profit growth, with no incremental spend beyond what has been forecasted [38] Question: What are you seeing in terms of repayment volume health in the auto vertical? - Management reported strength in nondiscretionary spending in the auto sector, with no specific issues observed [77]

Financial Data and Key Metrics Changes - In Q1 2025, total revenue was $121 million, a decrease of 30% year over year, with subscription services revenue at $108 million, reflecting a 31% decline in subscribers to 3.2 million [20][21] - Adjusted EBITDA for Q1 was $19 million, representing a margin of 16%, while gross margin was 56%, negatively impacted by a one-time charge of $16.2 million [21][22] - Free cash flow generated in Q1 was approximately $16 million, despite incurring about $8 million in cash outlays related to employee severance from restructurings [22] Business Line Data and Key Metrics Changes - The Chegg Study platform continues to innovate with features like Solution Scout and AI-powered content generation, which are attracting interest from potential acquirers [10][12] - Busuu, the language learning service, saw a 7% year-over-year revenue increase in Q1, with the B2B segment achieving a 29% year-over-year revenue growth [11] - Skills product is expected to achieve profitability and positive revenue growth by 2026, with pilot programs initiated in India [12][13] Market Data and Key Metrics Changes - The company is experiencing ongoing industry headwinds, with a notable decline in traffic and subscriber acquisitions impacting financial performance [26] - The restructuring plan aims to align costs with revenue amidst these challenges, with expected savings of $45 million to $55 million in 2025 and $100 million to $110 million in 2026 [16][24] Company Strategy and Development Direction - The strategic review process is ongoing, exploring options to maximize shareholder value, including potential acquisition or remaining a standalone public company [9][10] - The company is diversifying revenue through content licensing agreements, having signed two deals generating $4 million in Q1, with expectations for further growth [20][21] Management's Comments on Operating Environment and Future Outlook - Management acknowledges that macroeconomic trends will continue to exert pressure on the business, with expectations that conditions may worsen before improving [13][14] - The company is taking proactive measures to align costs with business outlook, including further restructuring and expense reductions [14][15] Other Important Information - The company repurchased $65 million of its 2026 convertible notes at a discount, enhancing its capital structure [20] - The restructuring will impact approximately 22% of the workforce, primarily affecting Chegg Study and Corporate Services [15][24] Q&A Session Summary Question: Can you provide more details on the licensing deals signed during the quarter? - Management highlighted that the licensing involves 125 million question and answer pairs, with current agreements being a small pilot phase with major tech companies [30][31] Question: What feedback have you received from university partners regarding the pilot programs? - Positive feedback has been received, with schools showing willingness to invest in seat-based licenses to improve student success rates [34][36]

Financial Data and Key Metrics Changes - Total revenues for Q1 2025 were $63.2 million, down 8% from the prior year, with professional services down 4.2% and property management down 14.9% year-over-year [7][15] - Adjusted EBITDA was $2.4 million with an EBITDA margin of 3.8%, showing improvement from $1.4 million or 2.2% in the previous quarter [17] - The company reported a GAAP loss of $0.07 per diluted share and adjusted EPS of $0.05 [17] Business Line Data and Key Metrics Changes - Professional segment revenues increased sequentially by 5.6% compared to the previous quarter, although organic sales declined 4.2% year-over-year [15][16] - Property management revenues declined over 14% on both a sequential and year-over-year basis, but there are signs of improvement with revenues per billing day increasing steadily [16][12] Market Data and Key Metrics Changes - The U.S. apartment rental rates are starting to elevate again, which is expected to improve the economics for property management companies [13] - The labor market remains solid with 177,000 jobs added in April and a steady jobless rate of 4.2%, indicating a positive development despite macroeconomic uncertainties [21] Company Strategy and Development Direction - The company is focused on strategic alternatives and restructuring initiatives to recalibrate costs, including headcount reductions [6] - There is a commitment to growth initiatives and managing controllable factors while remaining cautious about the ongoing business disruptions from trade policy changes [20] - The company aims to leverage prior investments in technology and processes to drive long-term shareholder value [21] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism about consulting projects and business spending moving forward, despite uncertainties in trade policies [8][19] - The company is seeing measurable progress in revenue per billing and is optimistic about the business momentum in the professional segment [11][21] - Management acknowledged the mixed environment for clients, with some sectors showing pent-up demand while others remain in a wait-and-see mode [27][46] Other Important Information - The company generated $1.1 million in cash from operating activities, with minimal capital expenditures of $23,000 primarily for IT investments [18] - The company entered into waivers and amendments with lenders due to non-compliance with financial covenants at the end of 2024 [18] Q&A Session Summary Question: Could you provide context around the new logos and average deal size? - Management noted that several contracts were signed in March, and they would follow up with specific data [24][25] Question: Are there discussions regarding tariff uncertainties and potential pent-up demand? - Management believes there is pent-up demand, but clients are currently cautious and in a wait-and-see mode [26][27] Question: Update on the technology platform rollout? - The technology platform is fully rolled out, with ongoing improvements being made to enhance efficiency [28][29] Question: How much of the expense reductions are reflected in Q1 results? - Approximately 65% to 70% of the benefits from expense reductions were realized in Q1, with full benefits expected in Q2 [30] Question: Update on competitive dynamics within property management? - The competitive environment remains unchanged, and the team is effectively adjusting to it [31][32] Question: When might property management return to year-over-year stability? - Management is working towards regaining growth trajectory and is seeing positive signs [33] Question: How comfortable is management with street estimates? - Management beat estimates for Q1 but has not yet reviewed Q2 estimates [39] Question: How is the company tracking against its plan? - Management feels they are tracking positively and both divisions have momentum [40][41] Question: Clarification on the wait-and-see mindset versus new logos? - Management indicated that it varies by sector, with some areas moving forward while others remain cautious [46] Question: Insights on professional services revenue trends? - Professional segment revenues increased sequentially, indicating a positive shift [47][48] Question: Historical behavior in spending post-recession? - Management noted that the industry typically rebounds quickly, but current conditions are unusual [56][58]

Financial Data and Key Metrics Changes - Revenue for Q4 2024 was $12.7 million, a year-over-year increase from $12.5 million, and a sequential increase of 10% from $11.6 million in Q3 2024 [27] - Gross profit for Q4 2024 was $5.6 million, representing a gross margin of 44.0%, up from $4.9 million and a 39.2% gross margin in the prior year [29] - Net loss for Q4 2024 was $0.8 million or $0.05 per share, compared to a net loss of $3.0 million or $0.18 per share in the same period of the prior year [30] - Total adjusted EBITDA for Q4 2024 was $0.4 million, an improvement of $2.4 million compared to negative $2.0 million in the prior year [30] Business Line Data and Key Metrics Changes - Total product revenue from the Cyclo G6 glaucoma product family was $3.3 million, a 9% increase compared to Q4 2023, with sales of 13,300 probes, up from 12,700 [28] - Retina product revenue was $7.3 million, a decrease of 3% compared to the prior year, attributed to deferral of capital purchases internationally [29] - Other revenue, including royalties and services, was $2.1 million, up from $2.0 million in the prior year, driven by higher service revenue [29] Market Data and Key Metrics Changes - The company noted an improving macroeconomic environment contributing to good sales momentum entering 2025 [27] - The implementation of the LCD in November 2024 has significantly altered the landscape for physicians, limiting the use cases for mixed devices, which is expected to drive increased utilization for IRIDEX [22] Company Strategy and Development Direction - The company is focusing on modernizing its manufacturing process to decrease costs and increase product supply capacity [21] - The strategic investment by Novel Innovations is seen as a recommitment to extend IRIDEX's leadership in ophthalmology, with plans to leverage this investment for business improvement and strategic goals [23][24] - The company aims to capitalize on opportunities created by the LCD and is not planning to return to aggressive spending patterns of the past [22] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about stabilization and a positive outlook for the business, particularly in the glaucoma segment [8] - The successful implementation of the cost-reduction program has positioned the company to generate positive cash flow from operations [14] - Management indicated that the strategic review process has been well-timed with increased activity in the ophthalmology sector [12] Other Important Information - The company plans to pre-announce Q1 2025 results in April to address insider trading concerns and highlight the undervaluation of the business [35] - The strategic investment by Novel Innovations was made at a price of $2 per share, reflecting a significant premium to the public market pricing [15] Summary of Q&A Session - There was no question-and-answer session during this call [8]

Financial Data and Key Metrics Changes - In Q4 2024, revenue was $78.3 million, representing a 3% year-over-year increase, while full-year revenue increased by 6% [35] - Gross profit grew by 2% year-over-year in Q4, with the consumer payments segment gross profit declining approximately 5% during Q4 and growing 3% for the full year [35] - Adjusted EBITDA for Q4 was $36.5 million, reflecting a 9% growth, with full-year adjusted EBITDA growth at 11% [37] - Free cash flow conversion improved to 64% in Q4 and 75% for the full year, benefiting from strong cash generation and management of operating expenses [38][39] Business Line Data and Key Metrics Changes - The consumer payments segment saw growth from existing clients and new client signings, with 16 new credit unions added in Q4, bringing the total to 329 [10] - The business payments segment gross profit grew 60% year-over-year in Q4, driven by strength in the core AP business and contributions from new clients [16] - Core AP business increased in the low teens in Q4 when excluding client attrition and strategic migrations [22] Market Data and Key Metrics Changes - The consumer payments segment faced challenges due to client losses and macroeconomic factors affecting the auto and ARM sectors [14][49] - The business payments segment benefited from strong ad spending during the 2024 presidential election cycle, positively impacting revenue [19] Company Strategy and Development Direction - The company is undergoing a comprehensive strategic review to assess alternatives for enhancing shareholder value, including potential M&A opportunities [30][31] - Focus on vertical-specific growth opportunities, particularly in accounts receivable management and credit card servicing [12] - Plans to reinvest in organic growth opportunities and strengthen market position through targeted sales and relationship management [32] Management's Comments on Operating Environment and Future Outlook - Management noted that client losses were primarily due to acquisitions and in-house transitions, with no significant changes in market dynamics [46][47] - The company remains confident in its sales pipeline and is focused on improving client experiences to enhance retention and growth [15] - Management refrained from providing a 2025 outlook due to the ongoing strategic review [40][41] Other Important Information - The company has made eight acquisitions since going public in 2019, expanding its consumer payment segment and diversifying its business payment platform [27][28] - The company has approximately $190 million in cash and $250 million in undrawn revolver capacity, totaling $440 million in liquidity [39] Q&A Session Summary Question: What changes are being seen in client attrition drivers? - Management indicated that client losses were due to acquisitions and in-house transitions, with no major trends suggesting increased attrition [46][47] Question: Can you elaborate on consumer softness mentioned in Q4? - Management noted ongoing challenges in the auto sector and ARM recovery, leading to depressed volumes [49] Question: What is the expected growth trend for 2025? - Management refrained from providing specific guidance but indicated that growth rates could normalize to mid to high single digits, excluding client losses [52] Question: What is the focus regarding the mortgage vertical? - The mortgage vertical is viewed as a multi-year organic opportunity, with ongoing progress expected [66] Question: What are the strategic review goals? - The strategic review aims to evaluate all aspects of the company to enhance shareholder value, including go-to-market strategies and potential M&A [58][59] Question: How is the competitive landscape evolving? - Management believes they are well-positioned in the market, with strong sales pipelines and ongoing investments in enterprise sales and product technology [65] Question: What are the trends in personal lending? - Positive momentum is noted in personal lending, with indications of loosening underwriting standards [72] Question: What is the rationale behind the total pay volume migration? - The migration aims to monetize total payment volume more effectively, despite some initial volume loss [75] Question: What are the hurdles to achieving double-digit top-line growth? - Timing of client losses and macro impacts in specific sectors have hindered growth, but strong bookings indicate potential for recovery [124][126]