Financial Data and Key Metrics Changes - Revenue for Q1 2025 was $104.2 million, a year-over-year decrease of 2.4% [18] - Annualized recurring revenue was $396.2 million, a year-over-year decrease of 4.7% [18] - Billings for Q1 were $79.4 million, up 7.2% year-over-year [19] - Gross margin for Q1 was 61% of revenue, compared to 59.8% for the prior year [19] - Net income attributable to shareholders for Q1 was $3.4 million, or $0.04 per diluted share, compared to $0.01 per diluted share in the prior year [22] Business Line Data and Key Metrics Changes - Operating expenses as a percentage of revenue declined to 32.9% from 36.7% year-over-year [21] - Professional fees and other costs of litigation were $1.9 million for Q1, down from $2.9 million in the prior year [22] - PeopleSoft revenue was approximately $7 million, or 7% of revenue, down from $8.2 million, or 8% of revenue, in the prior year [26] Market Data and Key Metrics Changes - Clients in the United States represented 48% of total revenue, while international clients represented 52% [18] - The EMEA and Asia Pacific regions led geographically in billings growth [8] Company Strategy and Development Direction - The company is focused on expanding global alliances and partnerships to drive sales leverage [9] - New partnerships with ServiceNow, Workday, and T Systems North America aim to enhance service offerings and market reach [10][11] - The company is committed to optimizing its cost structure while investing in growth opportunities [20] Management's Comments on Operating Environment and Future Outlook - Management believes that deglobalization trends and global trade policy shifts will benefit the business [16] - The company is confident in its ability to achieve positive revenue growth despite the headwinds from the PeopleSoft wind down [39] - Management is cautious about the impact of macroeconomic factors on IT budgets and renewals [50] Other Important Information - The company is continuing to suspend guidance until there is more clarity around the impacts from ongoing litigation with Oracle [26] - The litigation with Oracle has been ongoing for over fifteen years, with recent favorable rulings for the company [12][14] Q&A Session Summary Question: Which of the three partnerships discussed has the largest long-term potential? - Management identified the ServiceNow partnership as having substantial global potential, with significant opportunities in workflow and automation [29] Question: What is the expected timeframe for the ServiceNow partnership to become meaningful? - Management anticipates meaningful revenue impact from the ServiceNow partnership in 2026, with ramping expected in the latter half of 2025 [34] Question: Can you size the maintenance from Oracle and SAP generated from the federal government? - Management estimates the opportunity in the federal government to be in the billions of dollars annually for software support and upgrades [36] Question: Is deferred revenue up for the first time in several years, and what does that indicate? - Management expressed confidence that despite the PeopleSoft wind down, there are opportunities to achieve positive revenue growth [38] Question: What areas are being targeted for continued cost-saving measures? - Management indicated that cost-saving measures are focused on streamlining internal operations and reducing administrative costs [45] Question: Are there any macroeconomic factors that could negatively impact growth? - Management noted that while there are potential pressures on IT budgets, their methodology allows for cost reduction while enabling growth [50]

Financial Data and Key Metrics Changes - Revenue for Q1 2025 was $104.2 million, a year-over-year decrease of 2.4% [18] - Annualized recurring revenue was $396.2 million, a year-over-year decrease of 4.7% [18] - Billings for Q1 were $79.4 million, up 7.2% year-over-year [19] - Gross margin for Q1 was 61% of revenue, compared to 59.8% for the prior year [19] - Net income attributable to shareholders for Q1 was $3.4 million, or $0.04 per diluted share, compared to $0.01 per diluted share in the prior year [22] Business Line Data and Key Metrics Changes - Operating expenses as a percentage of revenue declined by 5.8% year-over-year due to cost optimization efforts [8] - Professional fees and other litigation costs were $1.9 million for Q1, down from $2.9 million in the prior year [22] - PeopleSoft revenue was approximately $7 million, or 7% of revenue, down from $8.2 million, or 8% of revenue, in the prior year [26] Market Data and Key Metrics Changes - Clients in the United States represented 48% of total revenue, while international clients represented 52% [18] - The EMEA and Asia Pacific regions led geographically in billings growth [8] Company Strategy and Development Direction - The company is focused on expanding global alliances and partnerships to drive sales leverage [9] - New partnerships with ServiceNow, Workday, and T Systems North America were announced to enhance service offerings [10][11] - The company is continuing to wind down services for Oracle's PeopleSoft product, with a significant reduction in related clients and revenue [25] Management's Comments on Operating Environment and Future Outlook - Management believes that the current macroeconomic environment, including deglobalization trends, will ultimately benefit the business [16] - The company is confident in its ability to reaccelerate growth and improve profitability despite ongoing litigation with Oracle [17] - Management has suspended guidance until there is more clarity regarding the impacts of current litigation activity [26] Other Important Information - The company ended Q1 2025 with a cash balance and short-term investments of $122.6 million, down from $129 million in the prior year [24] - Deferred revenue as of March 31, 2025, was $256.4 million, compared to $254.3 million in the prior year [24] Q&A Session Summary Question: Which of the three partnerships discussed has the largest long-term potential? - Management indicated that the ServiceNow partnership has substantial global potential and is expected to have a meaningful impact by 2026 [29][32] Question: Can you size the maintenance from Oracle and SAP generated from the federal government? - Management stated that the opportunity in the U.S. Federal Government is significant, potentially in the billions of dollars annually [34][36] Question: Is the company confident in crossing the year-over-year growth mark this year, excluding PeopleSoft impacts? - Management expressed confidence in achieving positive revenue growth despite the headwinds from the PeopleSoft wind down [37][40] Question: What areas will the continued cost-saving measures come from? - Management confirmed that cost-saving measures will focus on streamlining internal operations and reducing administrative costs [44][46] Question: Are there any macroeconomic factors that could negatively impact growth? - Management noted that while there are potential cost pressures, the overall macro environment is seen as a net positive for the business [48][51]

Financial Data and Key Metrics Changes - Revenue for Q1 2025 was $104.2 million, a year-over-year decrease of 2.4% [17] - Annualized recurring revenue was $396.2 million, a year-over-year decrease of 4.7% [17] - Billings for Q1 were $79.4 million, up 7.2% year-over-year [18] - Gross margin for Q1 was 61% of revenue, compared to 59.8% for the prior year [18] - Net income attributable to shareholders for Q1 was $3.4 million, or $0.04 per diluted share, compared to $0.01 per diluted share in the prior year [21] Business Line Data and Key Metrics Changes - Operating expenses and cost of revenue as a percentage of revenue declined by 5.8% year-over-year due to cost optimization [8] - Professional fees and other costs of litigation were $1.9 million for Q1, down from $2.9 million in the prior year [21] - PeopleSoft revenue was approximately $7 million, or 7% of revenue, down from $8.2 million, or 8% of revenue, in the prior year [25] Market Data and Key Metrics Changes - Clients within the United States represented 48% of total revenue, while international clients represented 52% [17] - The EMEA and Asia Pacific regions led geographically in billings growth [8] Company Strategy and Development Direction - The company is focused on expanding global alliances, partnerships, and channels to drive sales leverage [9] - New partnerships with ServiceNow, Workday, and T Systems North America aim to enhance service offerings and market reach [10][11] - The company is continuing to wind down services for Oracle's PeopleSoft product, with a significant reduction in related clients and revenue [24] Management's Comments on Operating Environment and Future Outlook - Management believes that deglobalization trends and global trade policy shifts will ultimately benefit the business [15] - The company is confident in its ability to reaccelerate growth and improve profitability despite ongoing litigation with Oracle [16] - Management expects to incur additional reorganization costs in 2025 as part of cost structure optimization [20] Other Important Information - The company ended Q1 2025 with a cash balance and short-term investments of $122.6 million, down from $129 million in the prior year [22] - Deferred revenue as of March 31, 2025, was $256.4 million, compared to $254.3 million in the prior year [22] Q&A Session Summary Question: Which of the three partnerships discussed has the largest long-term potential? - Management indicated that the ServiceNow partnership has substantial global potential and is expected to yield significant opportunities [28] Question: What is the expected timeframe for the ServiceNow partnership to become meaningful? - Management anticipates meaningful revenue impact from the ServiceNow partnership in 2026, with ramping in the latter half of 2025 [32] Question: Can you size the maintenance from Oracle and SAP generated from the federal government? - Management estimates the opportunity in the federal government to be in the billions of dollars annually for software support and upgrades [36] Question: Is deferred revenue up for the first time in several years, and what does this indicate? - Management expressed confidence that despite the headwinds from the PeopleSoft wind down, there are larger growth opportunities that will lead to positive revenue growth [39] Question: Will continued cost-saving measures come from go-to-market or other areas? - Management confirmed that cost-saving measures include streamlining internal operations and reducing headcount, with a focus on efficiency [44] Question: What are the macroeconomic factors affecting growth? - Management noted that while there are pressures on IT budgets, their methodology allows for cost reduction and innovation funding, positioning the company favorably in the current environment [50]

Financial Data and Key Metrics Changes - Revenue for Q4 2024 was $114.2 million, a year-over-year increase of 1.9%, while full-year revenue was $428.8 million, a decrease of 0.6% [23] - Annualized recurring revenue (ARR) for Q4 was $414.8 million, a year-over-year decrease of 4.1% [24] - Billings for Q4 were $172.1 million, up 7.1% year-over-year, while full-year billings were $423 million, an increase of 1.1% [25] - Gross margin was 63.7% for Q4 and 60.9% for full-year 2024, compared to 61% and 62.3% for the prior year [26] - Net income for Q4 was $6.7 million, or $0.07 per diluted share, compared to $0.10 per diluted share in the prior year [33] Business Line Data and Key Metrics Changes - The company achieved 22 new client sales transactions in Q4 with total contract value (TCV) over $1 million [11] - PeopleSoft revenue was $8 million for Q4 and $32.9 million for full-year 2024, representing 7% and 7.7% of total revenue, respectively [37] Market Data and Key Metrics Changes - Client revenue for Q4 within the United States represented 47%, while international clients represented 53% [23] - The billings improvement was led by the LatAm, EMEA, and Asia-Pacific regions [12] Company Strategy and Development Direction - The company is focusing on a new go-to-market strategy in the Americas, adopting a hunter-farmer sales model to drive growth [13] - Strategic partnerships, such as with ServiceNow, are aimed at providing clients with enterprise application modernization solutions without costly upgrades [17] - The company is expanding its services to more software products, particularly VMware, which is expected to drive significant growth [15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in returning to growth and higher profitability, indicating that the company is on the "upside of the U" in terms of recovery [44][82] - The company is currently suspending guidance until there is more clarity around ongoing litigation with Oracle [38] Other Important Information - The company has been in litigation with Oracle for over 15 years, with recent positive developments in the Rimini II case [19] - The company ended Q4 2024 with a cash balance of $88.8 million, down from $125.3 million in the prior year [35] Q&A Session Summary Question: Can you talk about the changes you've made in sales and the pipeline? - Management indicated that they believe they are on the path to recovery, with metrics showing positive trends in sales and restructuring efforts [44] Question: How has the litigation impacted the pipeline? - Management acknowledged that the litigation had an impact on the pipeline but expressed optimism about future growth following recent court decisions [47] Question: Can you clarify the cost savings mentioned? - Management clarified that the $22 million in net annualized savings is as of the midpoint of Q1 2025, with a net reduction of $18 million by the end of Q4 2024 [51] Question: What areas are driving the strength in billings? - Management noted that the strength in billings is due to improved execution globally, with notable performance outside the U.S. [61] Question: What is the status of the partnership with ServiceNow? - Management stated that the partnership is progressing well, with significant pipeline development and alignment of teams [88] Question: When can guidance be expected again? - Management indicated that guidance may return in 2025, depending on the outcomes of ongoing litigation [80]