Financial Data and Key Metrics Changes - In Q3 2025, revenues increased to $363.7 million, up nearly 3% from $353.6 million in the prior year [16] - Adjusted EBITDA for Q3 2025 was $124.1 million, a slight decline of less than 1% from $124.7 million year-over-year [17] - Adjusted diluted EPS rose by more than 7% to $1.76 from $1.64 in Q3 2024, aided by share buybacks that reduced the weighted average diluted shares by 7.5% [17][25] Business Line Data and Key Metrics Changes - Tech and shopping revenue fell by 2% in Q3, with adjusted EBITDA down 12%, primarily due to the wind down of game publishing activities [8][19] - Health and wellness segment saw a 13% year-over-year revenue growth and 18% adjusted EBITDA growth, marking high watermarks for the division [10] - Cybersecurity and martech revenue grew by 2% in Q3, driven by strong performance in consumer VPN and cloud backup [12] Market Data and Key Metrics Changes - The connectivity division achieved 2% year-over-year revenue growth, with year-to-date revenues up 7% [11] - Gaming and entertainment revenues were approximately 4% lower year-over-year, but adjusted EBITDA grew nearly 3% [9] - Advertising and performance marketing revenues grew by 5.9% year-over-year, while subscription and licensing revenues increased by 2% [18] Company Strategy and Development Direction - The company is evaluating potential opportunities to unlock shareholder value, having engaged outside advisors for this purpose [4][5] - There is a focus on maximizing value for shareholders while maintaining a profitable and growing business structure [5][26] - The company is committed to a disciplined acquisition strategy, having closed seven acquisitions in the first nine months of 2025 [22][23] Management's Comments on Operating Environment and Future Outlook - Management noted that the disconnect between the current market value and intrinsic value of the company is at its widest [29] - The company anticipates fiscal year 2025 total revenues and adjusted diluted EPS to be within the lower half of its guidance range [24] - Management expressed optimism about the performance of various segments despite broader industry headwinds [39] Other Important Information - The company has significant cash reserves of $503.4 million and long-term investments of $119.6 million, with a gross leverage of 1.7 times trailing 12 months adjusted EBITDA [22] - Free cash flow for Q3 2025 was $108.2 million, representing a 35% increase year-over-year [25] - The company plans to continue its stock repurchase program, having repurchased 3 million shares year-to-date [23] Q&A Session Summary Question: Insights on valuation disconnect - Management acknowledged the valuation disconnect and noted that the recent segment-level disclosures have attracted interest from strategic and private equity investors [28][29] Question: Strategic review and potential divestitures - Management stated that no specific properties are off-limits for divestiture, but exploring opportunities for select units is likely to be more value-accretive [31] Question: Impact of AI on traffic and revenue - Management indicated that the company is well-positioned against fluctuations in search traffic, with only 35% of total revenue dependent on web traffic [32] Question: Future M&A opportunities - Management expressed optimism about acquiring smaller properties that may not have weathered recent market changes as well as continuing to buy back shares [44][45] Question: Philosophical shift in acquisitions - Management clarified that the focus remains on cash-on-cash returns and that there is no change in the overall approach to acquisitions [51]

Core Insights - Zeta Global Holdings Corp. (NYSE:ZETA) experienced a significant stock price increase of 19.40% to close at $19.94, driven by strong earnings and a positive outlook for 2025 [1][3] - The company reported a narrowed net loss of 79% in Q3, reducing it to $3.6 million from $17.37 million year-on-year [2] - Revenue for Zeta Global increased by 25.7% to $337.17 million, surpassing previous guidance [3] - The company raised its revenue guidance for full-year 2025 to a range of $1.273 billion to $1.276 billion, up from the previous outlook [4] - Adjusted EBITDA expectations were also increased to $273.2 million to $274.1 million [5] - Initial guidance for full-year 2026 projects revenues of $1.54 billion, indicating nearly 21% growth from the updated 2025 outlook [5] Financial Performance - Q3 net loss narrowed to $3.6 million, a significant improvement from $17.37 million in the same quarter last year [2] - Revenue growth of 25.7% to $337.17 million compared to $268.29 million year-on-year, exceeding prior guidance of $327 million to $329 million [3] - Adjusted EBITDA is now expected to be between $273.2 million and $274.1 million, an increase from the previous estimate [5] Future Outlook - Revenue guidance for 2025 has been raised to $1.273 billion to $1.276 billion, up from $1.258 billion to $1.268 billion [4] - Initial revenue guidance for 2026 is set at $1.54 billion, reflecting a nearly 21% growth from the updated 2025 forecast [5] - The CEO highlighted the role of artificial intelligence and data products in driving growth, emphasizing their competitive advantage [3][4]

Core Insights - Tealium has been recognized by Snowflake as a "One to Watch" in the Activation and Delivery for Owned Channels category of The Modern Marketing Data Stack 2026 report [1][4] - The report highlights the impact of AI, privacy, and data gravity on martech and adtech, based on insights from over 11,100 Snowflake customers [2] Company Highlights - Tealium's bi-directional connectivity with Snowflake, including the Snowpipe Streaming API, allows for seamless real-time customer engagement data delivery [3] - Tealium's growth with Snowflake positions it as a key technology in the Activation and Delivery category, providing unified, real-time solutions for marketers [4] - Tealium's solutions include a real-time customer data platform (CDP) and support over 1,300 built-in connections, enhancing customer data strategies for more than 850 leading businesses globally [9] Customer Success Stories - Rohrman Auto Group utilized Tealium and Snowflake to unify customer data, resulting in over 2 million customer records transformed into clean, consented data, which improved lead conversions [5] - Spark New Zealand leveraged Tealium and Snowflake to create a real-time, AI-powered data engine, generating millions in incremental revenue [6] - Legal & General integrated Tealium's CDP with Snowflake's AI Data Cloud, achieving a 54% increase in call-to-lead conversions [6] Strategic Initiatives - Tealium will sponsor seven Snowflake World Tour events across various cities to showcase innovations in data and AI [7] - The collaboration between Tealium and Snowflake aims to unlock the full value of customer data, enabling personalized experiences and AI-driven insights at scale [8]

Financial Data and Key Metrics Changes - Total revenue for the first quarter grew 5% year over year to $205.5 million, while subscription revenue increased 4% year over year to $184.1 million [5][22] - Non-GAAP operating income was $36.7 million, resulting in an 18% non-GAAP operating margin for the quarter [5][24] - Free cash flow generation reached a record $81 million for the quarter [5][25] - The subscription revenue base net dollar expansion rate was 102%, reflecting elevated customer churn and down-sell activity [22] Business Line Data and Key Metrics Changes - Professional services revenue was $21.4 million, contributing to the overall revenue growth [22] - Subscription gross margin was 78%, while professional services gross margin was 6%, leading to a total non-GAAP gross margin of 70% [23] Market Data and Key Metrics Changes - As of April 30, the company had 146 customers generating at least $1 million in annual subscription revenue, a 6% increase year over year [17][22] - The total remaining performance obligations (RPO) were $943.2 million, up 2% year over year, while current RPO was $596.8 million, up 5% year over year [27] Company Strategy and Development Direction - The company is focused on transforming its business through a clear ambidextrous strategy, optimizing its cost structure, and strengthening its product delivery roadmaps [7][12] - Project Bearhug aims to engage the top 500 customers, representing approximately 80% of revenue, to drive accelerated ROI [14] - The company is committed to improving customer implementation processes and post-sales support to enhance customer satisfaction and retention [10][20] Management's Comments on Operating Environment and Future Outlook - Management acknowledged macroeconomic uncertainties leading to longer sales cycles and increased scrutiny of enterprise spending [9][28] - The company expects FY 2026 to be a transitional year with ongoing challenges but remains optimistic about future growth opportunities [20][33] - Guidance for Q2 indicates total revenue in the range of $205 million to $206 million, representing 4% growth year over year [31] Other Important Information - The company has authorized a new $150 million stock buyback program, expected to be completed by June 30, 2026 [26] - The company is experiencing higher data and hosting costs due to launching new cloud environments [23] Q&A Session Summary Question: How long until the go-to-market strategy reaches its full potential? - Management indicated that FY 2026 is a transitional year, with expectations for improved sales execution and customer engagement in the latter half of the year [39][41] Question: What differentiates Sprinklr in the CCaaS market? - The company highlighted its AI capabilities and unified platform as key differentiators, enabling a seamless experience for agents and customers [44][46] Question: Is the elongation in sales cycles broad-based across customers? - Management noted that the scrutiny is widespread, affecting all customers, but emphasized that the company is seeing opportunities in its core pipeline [51][53] Question: What is driving logo churn and how to address it? - Management attributed churn to past execution challenges and emphasized the need for improved customer engagement and consistent implementation processes [55][57] Question: What R&D activities are being pursued to help with renewals? - The company is focusing on improving user experience and exploring acquisition opportunities to enhance its core offerings [65][67] Question: What metrics are being used to measure the success of the new pod structure? - Management is implementing a collaborative approach within sales teams, emphasizing accountability and customer engagement to drive success [100][102]

Summary of Zeta Global Conference Call Company Overview - **Company**: Zeta Global - **Industry**: Marketing Technology (MarTech) Core Points and Arguments 1. **Unique Value Proposition**: Zeta Global offers an all-in-one marketing platform that enables brands to acquire, grow, and retain customers using a single dataset, unlike competitors who focus on either customer retention or acquisition [6][12][14] 2. **Data Advantage**: Zeta has data on approximately 240 million U.S. individuals, representing 90-95% of the U.S. adult population, which is leveraged for identity-based marketing [19][20] 3. **Growth in Agency Partnerships**: The company has shifted from direct enterprise sales to working with agencies, which now account for nearly 20% of revenue, marking a significant growth area [30][68] 4. **Channel Expansion**: The average customer is now utilizing three channels, with a focus on expanding use cases to drive higher average revenue per user (ARPU) [40][41] 5. **Generative AI Investments**: Zeta has made significant investments in generative AI to enhance marketing solutions, aiming to provide easier and faster campaign deployment [51][53] 6. **Customer Retention and ROI**: Zeta emphasizes measurable ROI for clients, which leads to increased investment in their platform as clients see better outcomes [8][10][47] Additional Important Insights 1. **Market Trends**: CMOs are increasingly investing in data convergence and identity-based marketing, which aligns with Zeta's offerings [12][14] 2. **Agency Dynamics**: Independent agencies are engaging with Zeta similarly to direct enterprise relationships, creating multi-year contracts and minimum usage agreements [32][34] 3. **Sales Strategy**: Zeta's sales approach is not tied to RFP cycles, allowing flexibility in entering the market through data solutions [45][46] 4. **Financial Performance**: Zeta has maintained mid to high 20% organic growth, with a forecast of 23% growth for the current year [49][56] 5. **Operational Efficiency**: The company has managed to grow while expanding free cash flow margins, indicating a balance between growth investments and margin expansion [61][70] This summary encapsulates the key points discussed during the conference call, highlighting Zeta Global's strategic positioning, growth initiatives, and market dynamics.