Company Overview - Banzai International, Inc. is a leading marketing technology company that provides AI-enabled marketing and sales solutions for businesses of all sizes [4] - The company has over 90,000 customers, including notable names such as RBC, Dell Technologies, and Thermo Fisher Scientific [4] Leadership Appointment - Matt McCurdy has been appointed as Vice President of Sales to lead strategic growth and enterprise customer adoption of Banzai's AI-enabled solutions, including Demio, CreateStudio, and OpenReel [1][3] - McCurdy brings over 20 years of experience in driving growth in the software, healthcare, and technology industries, having previously overseen revenue growth from $1 million to over $60 million [2] Strategic Focus - In his new role, McCurdy will concentrate on sales strategy and enterprise account development, leveraging his expertise in navigating strategic accounts [3] - The company aims to empower its sales teams, strengthen partnerships, and ensure clients realize the full potential of its products [3]

Summary of Banzai International (BNZI) Conference Call - July 16, 2025 Company Overview - **Company Name**: Banzai International Inc. - **Ticker Symbol**: BNZI - **Industry**: Marketing Technology - **Business Model**: Provides AI-enabled marketing and sales solutions for businesses of all sizes [1][4] Key Developments - **Recent Updates**: Significant developments occurred in the last 30 to 45 days, indicating a proactive approach to growth and innovation [2] - **Product Suite**: Offers a variety of AI-powered tools including demand generation, social sharing, video creation, and an AI-powered webinar platform called Demio [5][6] Financial Performance - **Q1 2025 Results**: - Revenue increased by **213% year-over-year** [8] - Gross margin improved by **1,700 basis points**, rising from **64.7% to 82%** [9] - Paid off **$20.3 million** in liabilities ahead of schedule, indicating strong balance sheet management [9] - Secured an **$11 million** debt facility to support acquisitions and operations, enhancing financial flexibility [10] Strategic Initiatives - **Net Income Improvement Program**: Implemented a **$13.6 million** program leading to substantial improvements in net income during Q1 [11] - **Customer Growth**: Expanded customer base to over **90,000 customers** across the product suite [11] - **Executive Hires**: Added key executives, including Dean Ditto as CFO and Michael Kurtzman as Chief Revenue Officer, both with extensive experience in scaling businesses [12][13] Product Highlights - **Demio Platform**: Recognized as the number one webinar platform for marketers, featuring AI capabilities such as an AI moderator for real-time audience engagement [16][17] - **Subscription Model**: Approximately two-thirds of annual recurring revenue (ARR) comes from contracts of one year or longer, focusing on mid-market to enterprise segments [18][19] Acquisition Strategy - **Act On Update**: The company decided against pursuing the Act On acquisition due to unfavorable market conditions and potential shareholder dilution, but remains open to future acquisitions supported by the new debt facility [20][21] Conclusion - **Future Outlook**: Banzai International is positioned for growth with a strong financial foundation, innovative product offerings, and a strategic focus on acquisitions that align with shareholder interests [21][22]

Company Overview - Banzai International, Inc. is a leading marketing technology company that provides essential marketing and sales solutions, focusing on AI-enabled video engagement, production, and webinar solutions [1][5] - The company aims to help businesses of all sizes target, engage, and measure both new and existing customers more effectively [5] Leadership Appointment - Michael Kurtzman has been appointed as Chief Revenue Officer, effective June 16, 2025, to lead operations and customer-facing functions [1][4] - Kurtzman brings over 20 years of global experience in driving growth across startups, growth-stage ventures, and Fortune 50 companies, with a proven track record of expanding revenue from $10 million to over $100 million [2][3] Strategic Goals - The primary objective of Kurtzman's role is to increase revenue in the Video business unit to $50 million over the next three years [4] - Responsibilities include accelerating self-service subscriber growth, enterprise and mid-market expansion, and customer retention, while ensuring continuous evolution of product offerings [4] Product and Market Focus - Banzai's product suite includes Demio, CreateStudio, and OpenReel, which are designed to drive engagement, retention, and revenue [5] - The company serves a diverse range of customers, including notable names like Autodesk, Dell Technologies, and New York Life [5]

Financial Performance - Q1 2025 revenue reached $3.4 million, a 213% increase year-over-year compared to $1.1 million in Q1 2024[20] - Gross profit for Q1 2025 was $2.8 million, representing a 297% increase compared to $0.7 million in Q1 2024[20] - Gross margin expanded to 82.1% in Q1 2025, a 17% increase from 64.7% in Q1 2024[20] - Annual Recurring Revenue (ARR) reached $14.9 million, reflecting a 268% annualized growth rate compared to Q4 2024[21] - The company repaid $20.3 million of outstanding liabilities ahead of schedule[21] Strategic Initiatives - Banzai acquired Vidello, a video hosting and marketing suite provider[21] - A definitive agreement was signed to acquire Act-On, projected to increase FY 2025 revenue by $27 million on a pro-forma basis[21] - The company expanded its customer base to over 90,000 total customers[21] Future Outlook - The acquisition of Act-On is projected to grow Banzai's pro-forma consolidated 2024 revenue to $44 million[28] - The company is implementing a $13.6 million annualized net income improvement program[42] - Forecasted gross profit percentage is 82%[39]

Financial Data and Key Metrics Changes - The company achieved gross profit of $2,800,000 in the quarter, an increase of 297% year over year, with gross margin expanding from 64.7% to 82.1% [1][13] - Annual recurring revenue (ARR) reached $14,900,000, representing a 268% annualized growth rate compared to Q4 2024 [2][12] - Adjusted EBITDA was a loss of $1,700,000, compared to a loss of $1,500,000 in Q1 2024 [2][14] - Net loss improved by $4,000,000 compared to Q4 2024, with a net loss of $3,600,000 in Q1 2025 [2][14] - Total revenue for the quarter was $3,400,000, compared to $1,100,000 in the same quarter last year [12] Business Line Data and Key Metrics Changes - The consolidated business delivered revenue of $3,400,000 in Q1 2025, a 213% increase compared to 2024 [5] - The company expanded its customer base to over 90,000, including notable clients such as Cisco, Adobe, and Microsoft [6] Market Data and Key Metrics Changes - The company serves customers in over 90 countries across various industries, including healthcare, financial services, e-commerce, technology, and media [6] Company Strategy and Development Direction - The company is focused on targeting the mid-market and enterprise segments while supporting small business customers, emphasizing a disciplined approach to acquiring high-value customers [7] - The strategy includes building integrations and AI enablement to simplify customer workflows and enhance product offerings [8][9] - The acquisition of Acton Software is projected to increase revenue by $27,000,000 in FY 2025 on a pro forma basis [3] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the acquisition pipeline for 2025, despite macroeconomic uncertainties, indicating a strong supply of attractive companies [21] - There is a positive demand environment, with many customers expanding or renewing contracts for longer terms, indicating strong demand for the company's services [23] - The company aims for cash breakeven operations in 2025, with a focus on improving the balance sheet and advancing towards profitability [16][28] Other Important Information - The company completed a $20,300,000 debt repayment ahead of schedule, improving stockholders' equity by $5,700,000 in Q1 [4] - The company is building a suite of synergistic products that drive value for its customer base, with a scalable and asset-light business model [16] Q&A Session Summary Question: Updates on the expected timeline for the Acton acquisition and acquisition pipeline for 2025 - The company is actively working on the Acton acquisition and sees a strong pipeline of interesting acquisition opportunities for 2025 [20][21] Question: Signs of caution from the customer base regarding marketing or demand generation budgets - The company is experiencing the opposite, with customers renewing on longer contracts and showing strong demand [23] Question: Changes in the sales cycle due to macro and tariff concerns - The sales cycle has not changed significantly, with larger customers moving to longer contract terms, providing guaranteed revenue [24][25] Question: Plans to become breakeven or cash flow positive in Q2 - There are no liquidity concerns, and the company is looking to reach cash flow breakeven in 2025, with significant improvements in net income [26][28] Question: Conditions precedent to close the Acton deal - The main condition is a financing contingency, and updates will be provided as progress is made [29] Question: AI strategy and R&D investments for AI products - The company is focused on integrating AI features into its products, enhancing customer capabilities and efficiency [36][40] Question: Thoughts on share price - Management believes the share price is currently detached from the company's reality, but they are focused on delivering better financial results to improve market perception [52][54][56]

Financial Data and Key Metrics Changes - Gross profit for Q1 2025 was $2,800,000, an increase of 297% year-over-year, with gross margin expanding from 64.7% to 82.1% [1][12] - Annual recurring revenue (ARR) reached $14,900,000, representing a 268% annualized growth rate compared to Q4 2024 [2][12] - Adjusted EBITDA showed a loss of $1,700,000, compared to a loss of $1,500,000 in Q1 2024 [2][13] - Net loss improved by $4,000,000 compared to Q4 2024, totaling $3,600,000 for Q1 2025 [2][13] Business Line Data and Key Metrics Changes - Consolidated revenue from video-related products was $3,400,000 in Q1 2025, a 213% increase compared to Q1 2024 [5][11] - The company launched Create Studio 4.0, enhancing its video creation capabilities [3][5] Market Data and Key Metrics Changes - The customer base expanded to over 90,000, including notable clients such as Cisco, Adobe, and Microsoft [6][12] - The company serves various industries, including healthcare, financial services, e-commerce, technology, and media, with customers in over 90 countries [6] Company Strategy and Development Direction - The company is focused on targeting mid-market and enterprise segments while supporting small business customers, emphasizing a disciplined approach to acquiring high-value customers [7][8] - The strategy includes building integrations and AI enablement to simplify customer workflows and enhance product offerings [8][9] - The acquisition of Acton Software is projected to increase FY 2025 revenue by $27,000,000 on a pro forma basis [3][6] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the acquisition pipeline for 2025, indicating strong interest from potential acquisition targets despite macroeconomic uncertainties [19][20] - There is a positive demand environment, with many customers opting for longer contract terms, indicating confidence in the company's offerings [21][22] - The company aims for cash breakeven operations in 2025, with a focus on improving financial health and profitability [15][24] Other Important Information - The company completed a $20,300,000 debt repayment ahead of schedule, improving its balance sheet and stockholders' equity by $5,700,000 in Q1 2025 [3][4] - The company is actively pursuing AI integration in its products, with significant investments in R&D to enhance capabilities [35][44] Q&A Session Summary Question: Updates on the expected timeline for the Acton acquisition and acquisition pipeline for 2025 - The company is actively working on the Acton acquisition and sees a strong pipeline of attractive acquisition opportunities for 2025 [17][19] Question: Signs of caution from customers regarding marketing or demand generation budgets - Management noted the opposite trend, with customers expanding or renewing on longer contracts, indicating strong demand [20][21] Question: Changes in the sales cycle due to macro and tariff concerns - There has been no significant change in the sales cycle, with larger customers moving to longer contract terms [22][23] Question: Plans to become breakeven or cash flow positive in Q2 - The company is not facing liquidity concerns and aims for cash flow breakeven in 2025, with Q1 expenses primarily being one-time costs [24][25] Question: Conditions precedent for closing the Acton deal - The main condition is a financing contingency, and updates will be provided as progress is made [27] Question: Consideration of AI acquisitions in EMEA - The company is open to AI acquisitions in EMEA, having already made an acquisition in London [28][29] Question: AI strategy and R&D investments - The company is focused on integrating AI into its products, enhancing user capabilities and efficiency [35][44] Question: Thoughts on share price - Management believes the share price is currently detached from the company's reality and hopes improved financial results will be reflected in the share price [52][56]