Red Violet (NASDAQ: RDVT ) stock is up 22% this year and over 150% since my initial write-up in May of last year. The underlying business has demonstrated strong organic revenue growth, tapping into the fast-growing data and analyticsAn individual investor primarily focused on undercovered companies, with up to 100 companies on my watchlist. My areas include technology, software, electronics and the energy transition. I have been investing my personal capital for over 7 years in a broad range of companies g ...

Q1 FY26 Earnings Presentation Aug 6, 2025 Cautionary Statement This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including, without limitation, regarding LiveRamp's (the "Company") future business prospects. These statements involve risks and uncertainties that could cause the Company's actual results to differ materially, including, but not limited to competit ...

Financial Data and Key Metrics Changes - The company reported Q2 revenue of $621 million, bringing the first half total to $1.2 billion, with changes attributed to the ScholarOne divestiture and business disposals, partially offset by organic growth and foreign exchange [23] - The second quarter net loss was $72 million, an improvement over the previous year due to the absence of a non-cash impairment charge recorded last year [24] - Adjusted diluted EPS was $0.18, with changes attributed to divestitures and disposals [24] - Free cash flow was strong at $50 million for Q2 and $161 million for the first half, driven by adjusted EBITDA despite higher one-time costs associated with the value creation plan [28][29] - The mix of organic recurring revenue to total revenue for the first half improved to 88%, an increase of 800 basis points compared to last year [21] Business Line Data and Key Metrics Changes - The A and G business delivered 2% organic ACV and subscription revenue growth, with a 96% renewal rate achieved [7][11] - The IP segment returned to organic growth in patent annuities, with recurring revenue rising by about 1.5% in the first half of 2025 [15] - Life Science and Healthcare segment saw a return to organic ACV growth, supported by investments in the Cortellis suite of products [18][70] Market Data and Key Metrics Changes - The company noted a market-wide surge in AI innovation, which is expected to drive growth in the patent renewal business [15] - The U.S. dollar weakened against foreign currencies, providing a foreign exchange translation tailwind on revenue and adjusted EBITDA [26][28] Company Strategy and Development Direction - The value creation plan (VCP) is on track, with measurable progress across key initiatives and KPIs, including AI-led product innovation and operational efficiency [5][8] - The company is transitioning away from transactional sales to increase recurring revenue, with A and G subscription revenue now constituting 93% of total segment revenue [10][11] - A strategic review is underway to assess alternatives across the business, with results expected to be communicated in February 2026 [19][20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the renewal rates and subscription uptake despite macroeconomic challenges, highlighting the mission-critical nature of their products [61] - The company anticipates continued organic growth in the second half of the year, driven by improvements in the A and G and Life Sciences segments [39] - Management noted that the strategic disposals are expected to lower revenue by approximately $125 million this year, but are part of optimizing the business model [35] Other Important Information - The company announced the appointment of Maroon Murad as President of the IP segment, effective September 8, 2025 [17] - The company has completed refinancing $500 million of its 2026 bonds, extending the maturity by five years [30] Q&A Session Summary Question: Rebound in the IP business and AI opportunities - Management noted that new patent filings take a few years to impact renewals, but the trend of increased AI-related patents is expected to benefit the business globally over the next few years [44][46] Question: Potential changes to the U.S. patent fee structure - Management stated that they are well-positioned to support any changes in the IP ecosystem due to their long-standing presence and collaboration with patent offices and law firms [51][52] Question: University funding cuts and renewal outlook - Management reported strong renewal rates and emphasized the critical nature of their products to universities, indicating confidence in continued renewals [61] Question: Sales momentum and new sales incentive plan - Management highlighted the focus on subscription and recurring revenue, noting positive sales momentum and excitement within the sales organization [66] Question: Market dynamics in Life Sciences and Healthcare - Management indicated stable R&D spending and improvements in the subscription business, attributing growth to investments in the Cortellis suite [71] Question: Delays in disposals - Management explained that one disposal is taking longer due to customer requests for more time to adjust to alternative offerings [76]

Group 1 - Thomson Reuters Corp will be added to the Nasdaq-100 Index and the Nasdaq-100 Equal Weighted™ Index on July 28, 2025, replacing ANSYS, Inc. [1] - ANSYS, Inc. will be removed from multiple Nasdaq indices, including the Nasdaq-100 Tech Sector™ Index and the Nasdaq-100 ESG™ Index, on the same date [2] - Thomson Reuters Corp will also replace ANSYS, Inc. in the Nasdaq-100 Tech Sector™ Index and other related indices on July 28, 2025 [2] Group 2 - Nasdaq is a leading global technology company that provides services to corporate clients, investment managers, banks, brokers, and exchange operators [4] - The company aims to enhance liquidity, transparency, and integrity in the global economy through its diverse offerings, including data, analytics, and software solutions [4]

Core Insights - Health Catalyst, Inc. will release its second quarter 2025 operating results on August 7, 2025, after market close [1] - A conference call to discuss the results will take place at 5:00 pm ET on the same day [1] Company Overview - Health Catalyst is a leading provider of data and analytics technology and services aimed at improving healthcare outcomes [3] - The company serves over 1,000 organizations globally, utilizing its cloud-based technology ecosystem, Health Catalyst Ignite™, and AI-enabled solutions [3] - Health Catalyst has a proven track record of delivering billions of dollars in measurable results, focusing on transforming complex healthcare data into actionable insights [3]

Core Insights - The total number of mental health providers in the U.S. increased by 11.4% from January 2020 to January 2024, with Montana experiencing the highest increase at 209.6% due to recent legislative changes [3][4] - There is significant variation in patient-to-provider ratios across states, impacting access to mental health care [3][4] - Nearly 24% of providers with prescribing privileges had changes in their license or contact information from January 1 to March 31, 2025, which can affect patient access to care [5][6] Provider Density Trends - The analysis utilized data from LexisNexis® Provider Data MasterFile™ and U.S. Census population data to identify states with the greatest changes in mental health provider volume and ratios [2] - Nine states saw a decrease in the number of mental health providers, with Nevada experiencing the largest decline at -45.2% [3][7] - Montana's ratio of mental health providers per capita improved by 65.6%, while Nevada's ratio deteriorated by 96.2% [8] Policy Impact - States with strong mental health policies are witnessing improvements in provider ratios, which can alleviate clinician burnout and enhance patient access [4] - The need for up-to-date provider data is emphasized to reduce inefficiencies and improve patient care, especially in underserved areas [6]

Financial Performance - The company reported strong financial performance in Q4, beating expectations on both revenue and operating income, with a 10% increase in total revenue to $189 million and a 43% growth in operating income [4][27] - For FY 2025, the company achieved a 13% revenue growth, marking the third consecutive year of hitting the 10% to 15% growth target, driven by an 11% increase in subscription revenue and a 21% surge in marketplace and other revenue [5][6] - The operating margin expanded by three percentage points to 12% in Q4 and by two percentage points to 18% for the full year, marking the sixth consecutive year of margin expansion [9][36] Business Lines Performance - Subscription revenue for Q4 was $145 million, up 9%, while marketplace and other revenue increased by 14% to $44 million, with data marketplace growth at 13% [28][32] - The company added 13,100 subscription customers during FY 2025, including two new $1 million plus customers in Q4 from the financial services sector [6][7] - The annual recurring revenue (ARR) increased by $12 million quarter on quarter, with a net retention rate of 104% [29][30] Market Data - The data marketplace, which accounted for 77% of marketplace and other revenue, showed continued strength in U.S. digital ad spending, with no detected change in customer behavior due to macroeconomic conditions [32] - The company noted a significant increase in CTV advertising data bought from its marketplace, up nearly 50% for FY 2025 [101] Company Strategy and Industry Competition - The company aims to achieve the "Rule of 40" by FY 2028, targeting 10% to 15% revenue growth and 25% to 30% operating margin, with a focus on expanding its data collaboration network and enhancing media measurement capabilities [10][24] - The launch of the cross media intelligence solution is expected to drive growth by enabling marketers to measure and optimize advertising campaigns across platforms [24][49] - The company is strategically managing expenses while investing in key growth areas, including the rollout of its cross media intelligence offering and integrating AI functionality into its platform [41][42] Management Commentary on Operating Environment and Future Outlook - Management expressed cautious optimism regarding the sales pipeline, noting strong demand signals but acknowledging some customer hesitancy tied to macroeconomic uncertainty [31][38] - The company anticipates revenue for FY 2026 to be between $787 million and $817 million, reflecting a growth rate of 6% to 10%, with the macro environment being a significant swing factor [38][39] - Management highlighted the importance of ROI for clients, especially in uncertain times, and emphasized the need for effective measurement solutions [74] Other Important Information - The company achieved a record free cash flow of $153 million for FY 2025, a 51% year-over-year increase, and returned $101 million to shareholders through a share repurchase program [9][35] - The company concluded FY 2025 with $421 million in cash and short-term investments, equating to over $6 per diluted share [9] Q&A Session Summary Question: Customer reaction to cross media intelligence and growth acceleration confidence - Management expressed optimism about the cross media intelligence solution, noting strong early feedback and increased customer conversations, which suggest traction [49][52] Question: Key factors impacting revenue guidance range - The primary swing factor between the low and high ends of the revenue guidance is the macro environment, with execution on sales momentum being crucial [56][58] Question: New customer acquisition and mid-market opportunities - The company is focused on improving customer count, particularly in the mid-market, with new clean room use cases and a new pricing model expected to drive growth [63][65] Question: Impact of Google’s cookie announcement on customer sentiment - Management indicated that the announcement was largely a non-event for customers, as the industry has been moving away from cookies for years [68] Question: Sales pipeline and client hesitation - Management noted that client hesitation was observed late in Q4 but indicated that strong ROI models and value propositions helped close deals early in Q1 [75][77] Question: Clean Room solution adoption and customer segmentation - Management believes that clean room adoption is primarily a function of time and execution, with larger companies leading the way, but expects broader adoption over time [85][88] Question: Subscription net retention rate outlook - The company expects subscription net retention to stabilize between 100% and 105% in the near term, with potential for improvement as new strategies are executed [92][93] Question: RPO growth and renewal cycle - The company reported strong growth in RPO driven by successful multi-year deal renewals, indicating a positive renewal cycle [98][99] Question: Contribution from Oracle and CTV partnerships - Management noted that Oracle contributed a few points of growth, while CTV partnerships are expected to support continued strong growth in FY 2026 [101]

Core Insights - The report by LexisNexis Risk Solutions highlights the urgent need for improved identity verification solutions in healthcare portals to enhance user trust and security [1][5] Group 1: Data Security and User Confidence - Data security is a significant factor influencing the adoption of healthcare portals, with a notable difference in confidence levels between portal users and non-users [3][7] - 49% of non-portal users lack confidence in the security of their health data, compared to only 11% of portal users [7] - The findings indicate a disconnect between consumer perceptions of effective identity verification and the reality of compromised usernames and passwords, with estimates suggesting a million passwords are compromised weekly [5][7] Group 2: User Preferences and Barriers - Users prefer usernames and passwords as their primary method of identity verification, with 58% selecting this option, despite the known security risks [7] - 36% of respondents would prefer to interact with a human for identity verification, indicating a preference for personal engagement over digital methods [8] - Awareness is a significant barrier to portal adoption, with 41% of non-portal users aged 18 to 34 unaware of their portal's existence or how to access it [6][7] Group 3: Recommendations for Healthcare Organizations - Healthcare organizations are encouraged to implement stronger data security protocols that balance effective identity verification with a seamless user experience [2][5] - There is a need for greater education on data security practices among users to improve their understanding and confidence in using healthcare portals [2][5]

Financial Data and Key Metrics Changes - Revenue for the quarter increased by 26% to a record $22 million, with adjusted gross profit reaching $18.3 million and an adjusted gross margin of 83% [7][14] - Adjusted EBITDA rose by 47% to a record $8.4 million, resulting in an adjusted EBITDA margin of 38%, up six percentage points [7][15] - Adjusted net income increased by 53% to a record $4.8 million, leading to adjusted earnings of $0.33 per diluted share [7][21] Business Line Data and Key Metrics Changes - The IDI billable customer base grew by over 300 customers sequentially, ending the quarter at 9,241 customers [7][17] - The emerging markets vertical led revenue growth, while the investigative vertical continued to perform well, driven by law enforcement [17][18] - The collections vertical showed mid-single-digit growth, with the highest year-over-year growth rate since 2020 when normalized for prior year impacts [18] - The real estate vertical, excluding FORWARN, declined by low single digits due to affordability issues [19] Market Data and Key Metrics Changes - Over 545 realtor associations are now contracted to use FORWARN, which added more than 20,000 users during the quarter, marking its twentieth consecutive quarter of revenue growth [8][19] - Contractual revenue represented 74% of total revenue for the quarter, down four percentage points from the prior year [19] Company Strategy and Development Direction - The company focuses on increasing productivity, implementing automation, and enhancing proprietary data generation and aggregation, including the use of AI [11][31] - The business model has proven resilient through various economic cycles, ensuring relevance and mission-critical status regardless of market conditions [9][10] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in the business model's durability amid economic volatility, highlighting strong demand across various customer segments [8][10] - The company is optimistic about the opportunity pipeline and expects continued onboarding across customer verticals [25][26] Other Important Information - Cash and cash equivalents were $34.6 million as of March 31, 2025, with a special cash dividend of $0.30 per share paid out [21][22] - The company generated $5 million in cash from operating activities, compared to $4.3 million for the same period in 2024 [21] Q&A Session Summary Question: What is driving the strong growth in IDI customers? - Management noted consistent volume across customer bases and verticals, with no impact from broader economic uncertainty [25][26] Question: Any highlights on larger customers and their trends? - The number of customers generating over $100,000 in revenue annually has grown to approximately 110, indicating strong performance in medium and larger enterprise segments [27][28] Question: What areas of technology investment are being focused on for long-term growth? - The company is investing in enhancing its identity graph and proprietary data generation, with a focus on AI initiatives to provide current risk signals to customers [29][31]

Financial Data and Key Metrics Changes - Revenue for the quarter increased by 26% to a record $22 million, with adjusted gross profit reaching $18.3 million and an adjusted gross margin of 83% [8][16] - Adjusted EBITDA rose by 47% to a record $8.4 million, resulting in an adjusted EBITDA margin of 38%, up six percentage points [8][16] - Adjusted net income increased by 53% to a record $4.8 million, leading to adjusted earnings of $0.33 per diluted share [8][16] Business Line Data and Key Metrics Changes - The IDI billable customer base grew by over 300 customers sequentially, ending the quarter at 9,241 customers [9][19] - The emerging markets vertical led revenue growth, while the investigative vertical continued to perform well, driven by law enforcement [19][20] - The collections vertical showed mid-single-digit growth, with the highest year-over-year growth rate since 2020 when normalized for prior year impacts [20] Market Data and Key Metrics Changes - ForeWarn added 21,918 users during the first quarter, ending with 325,336 users, marking its twentieth consecutive quarter of sequential revenue growth [9][21] - Contractual revenue represented 74% of total revenue for the quarter, down four percentage points from the prior year due to one-time transactional revenue [21] Company Strategy and Development Direction - The company focuses on increasing productivity, implementing automation, and enhancing proprietary data generation and aggregation, including the use of AI [13][35] - The business model has proven resilient through various economic cycles, ensuring relevance and mission-critical status regardless of market conditions [10][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the business's ability to perform through economic fluctuations, highlighting a structural shift in consumer dynamics [12][25] - The company remains focused on sustaining momentum, expanding reach, and creating long-term value for shareholders [25][40] Other Important Information - Cash and cash equivalents were $34.6 million as of March 31, 2025, with a special cash dividend of $0.30 per share paid out [23][24] - The company generated $5 million in cash from operating activities, compared to $4.3 million for the same period in 2024 [23] Q&A Session Summary Question: What is driving the strong growth in IDI customers? - Management noted consistent volume across customer verticals and strong onboarding across various customer sizes, expecting this trend to continue [28][29] Question: Are larger customers slowing down or picking up amid macro uncertainty? - The number of customers generating over $100,000 in revenue annually has increased to around 110, indicating continued growth in medium and larger enterprise customers [30] Question: What areas of technology investment are being focused on for long-term growth? - The company is investing in enhancing its identity graph and proprietary data generation, with a focus on risk signals and automation to improve financial performance [32][35]