Matthew Flake: Thanks, Josh. I'll start today's call by sharing our fourth quarter and full year results and highlights from across the business. I'll then hand the call over to Jonathan to discuss our financial results in more detail and provide guidance for the first quarter and full year before I conclude with a look ahead to 2025. In the fourth quarter, we delivered results above the high end of our guidance, generating non-GAAP revenue of $183 million, up 13% year-over-year and up 5% sequentially. We a ...

Financial Data and Key Metrics Changes - In Q4 2024, the company reported non-GAAP revenue of $183 million, a 13% increase year-over-year and a 5% increase sequentially [6][18] - Adjusted EBITDA for Q4 was $37.6 million, representing 20.6% of non-GAAP revenue, an improvement of approximately 630 basis points year-over-year [6][26] - Total non-GAAP revenue for the full year was $696.5 million, up 11% from the prior year [18] - Subscription revenue for the full year grew by 16%, accounting for 79% of total revenue [18][20] - Total annualized recurring revenue (ARR) grew to $824 million, up 12% year-over-year [20] - The ending backlog increased to over $2.2 billion, representing a 21% growth year-over-year [21][22] Business Line Data and Key Metrics Changes - The company achieved a record year for renewals, with renewal bookings increasing by 80% year-over-year [22][23] - In Q4, the company renewed 10% of its entire digital banking customer base [22] - Subscription net revenue retention rate ended the year at approximately 114%, up from 112% in 2023 [23] Market Data and Key Metrics Changes - The company signed 25 Tier one and enterprise deals in 2024, the most in a single year [8] - The company signed nearly twice the number of digital banking deals in Tier two and three segments compared to the previous year [9] - The fraud solutions segment was highlighted as one of the fastest-growing areas, driven by increased demand for fraud mitigation [12] Company Strategy and Development Direction - The company is optimistic about the demand environment in 2025, with a focus on expanding its subscription revenue and operational efficiencies [11][29] - The company aims to achieve a subscription revenue rule of 40 as a long-term objective [28] - The addition of Andre Mintz to the Board of Directors is expected to enhance the company's expertise in global privacy and cybersecurity [16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to capitalize on a favorable demand environment and strong sales momentum [31] - The company anticipates continued healthy demand for its fraud solutions and expects expansion opportunities with existing customers [12][29] - Management noted that the deregulation in the banking sector could provide tailwinds for the company's growth [60] Other Important Information - The company ended the year with cash and investments totaling $447 million, up from $408 million in the previous quarter [26] - Free cash flow for the year was $107 million, representing an 85% conversion rate as a percentage of adjusted EBITDA [26] Q&A Session Summary Question: Can you discuss the relationship pricing with Wells Fargo and its significance? - Management highlighted the success of the relationship pricing model and its deployment with major banks, indicating strong potential for future growth [34][36] Question: How does the company view the reliance on large Tier one enterprise deals versus Tier two and three? - Management indicated a balanced pipeline for 2025, expecting continued success in both Tier one and Tier two/three deals [40][42] Question: What are the biggest drivers behind the increased Total Addressable Market (TAM)? - Management pointed to growth in fraud products and the Helix business as key drivers for the TAM increase [48][51] Question: How does deregulation impact the company's strategy? - Management noted that deregulation could enhance operational efficiency for clients, providing a positive environment for the company's offerings [60][61] Question: What are the expectations for professional services revenue? - Management indicated that they do not expect a rebound in professional services revenue in the near term, citing ongoing pressures in discretionary spending [100][102]