Financial Data and Key Metrics Changes - In Q4, the company generated over $1.4 billion in revenues, a year-over-year increase of 12.8% on a reported basis, exceeding the high end of the Q4 revenue outlook [24] - Organic constant currency revenues grew 5.6% compared to Q4 of 2024 [24] - For the full year 2025, revenues were $5.46 billion, up 15.4% on a reported basis year-over-year, and up 4.9% on an organic constant currency basis [32] Business Line Data and Key Metrics Changes - In Q4, five out of six industry verticals posted year-over-year growth, with financial services growing 19.8% year-over-year and software and high tech growing 18.1% [25] - Emerging verticals delivered strong year-over-year growth of 19.1%, with organic constant currency growth of 9.7% [26] - Business information and media delivered flat year-over-year revenue performance [26] Market Data and Key Metrics Changes - The Americas, representing 58% of Q4 revenues, grew 7.6% year-over-year, while EMEA, comprising 40% of revenues, grew 21.8% year-over-year [26] - APAC, making up 2% of revenues, grew 0.6% year-over-year but declined 4.3% in organic constant currency [26] Company Strategy and Development Direction - The company is focused on building AI-native services and expects to scale these revenues to exceed $600 million in 2026 [9] - A shift towards AI investments and strategic deployments is anticipated, with a focus on verticalized AI-native business offerings [6][7] - The company aims to enhance its industry capabilities and vertical accelerators while prioritizing investments in business development [48] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term strategy and growth trajectory, supported by healthy client sentiment and a solid pipeline [34] - There is an expectation of a stable client budget environment in 2026, with a continued shift towards scaled AI deployment [14] - The decision-making process is expected to be slower at the start of 2026 due to clients finalizing budgets and establishing priorities [34] Other Important Information - The company received several key leadership distinctions in 2025, including recognition as a leader in generative AI consulting and implementation services by Gartner [21][22] - The company ended Q4 with approximately $1.3 billion in cash and cash equivalents, and cash flow from operations for Q4 was $283 million [30] Q&A Session Summary Question: About the first quarter guidance and visibility on larger deals - Management noted that NEORIS's largest customer is expected to ramp down business between Q4 and Q1, impacting growth [44] - There is a strong pipeline and good traction in European and Middle Eastern markets [46] Question: Investments needed for vertical industry expertise - Current guidance reflects planned investments in business development and industry capabilities [48] Question: Reconciliation of 2026 organic growth expectations - The decline from NEORIS's largest client is expected to negatively impact growth by 100 basis points [51] Question: Impact of elongated sales cycles on guidance - The decision-making process is slower due to larger AI transformation programs, but this is seen as a natural shift [57][59] Question: Pricing environment and revenue growth dynamics - There has been some price improvement, with low single-digit rate increases from clients in Europe and North America [73]

Core Insights - Neural Concept has raised $100 million in Series C funding led by Goldman Sachs Alternatives, highlighting the growing demand for enterprise AI in engineering [1][3][6] - The company is focused on redefining engineering workflows through CAD-native AI, enabling faster product development and reducing costly late-stage changes [2][5] - Neural Concept's technology is positioned as a leader in AI-native engineering, with significant growth across various industries including automotive, aerospace, and energy [3][4][9] Company Overview - Founded in 2019, Neural Concept provides an AI-first engineering platform that integrates AI into design and simulation workflows, significantly compressing development cycles [7][8] - The platform has demonstrated the ability to save customers $50 million annually, reduce late-stage redesigns by 30-50%, and accelerate time to market by up to two years [9] - The company has experienced a fourfold increase in enterprise revenue over the past 18 months and serves over 50 global companies, including major players like General Motors and General Electric [9] Future Plans - The new funding will be utilized to accelerate product development, including the launch of a generative CAD capability in early 2026, and to expand global go-to-market teams [5][6] - Neural Concept aims to deepen partnerships with industry leaders such as Nvidia, Siemens, and Microsoft, reinforcing its position as the intelligence layer across engineering systems [5][6]