PresentationThanks, everyone, for joining us today. My name is Scott Berg. I lead the enterprise software and SaaS research efforts here at Needham. Thanks for joining us for our 20th Annual Growth Conference here. Today, with us right now, we have UiPath. We have the company's CFO and COO, Ashim Gupta. Thanks for joining us so much, Ashim. Appreciate the time. Yes, got lots of stuff to talk about here. But I guess, for those that are less familiar, how about an overview of UiPath?Ashim GuptaCFO & COO That' ...

Summary of UiPath FY Conference Call (January 13, 2026) Company Overview - **Company**: UiPath (NYSE: PATH) - **Founded**: By Daniel Dines in Romania, initially with eight people - **Current Status**: $1.5 billion to $1.8 billion in Annual Recurring Revenue (ARR) [3][4] - **Revenue Distribution**: 50% international and 50% domestic [4] Core Business and Product Development - **Core Offering**: Robotic Process Automation (RPA) with recent expansions into AI, including advanced intelligent document processing and process intelligence [4][5] - **Agentic Automation**: Introduced as a new approach to automation, emphasizing the integration of natural language processing [5] - **Financial Health**: $1.5 billion in cash, no debt, and strong buyback performance with over $800 million in stock repurchased [5] Market Position and Growth Strategy - **Market Dynamics**: UiPath is positioned as a leader in the RPA market, with a focus on efficiency and process transformation [9] - **Partnerships**: Collaborations with major tech companies like NVIDIA, Google, Microsoft, Snowflake, and OpenAI to enhance product offerings and customer choice [11][14] - **Verticalization**: Emphasized as a strategy to accelerate time to value for customers, allowing for tailored solutions that meet specific industry needs [17][18] Customer Engagement and Sales Performance - **Sales Improvement**: Reported first quarter of net new ARR growth in two years, attributed to improved execution and customer engagement [26][28] - **Customer Demand**: Increased interest in agentic automation and process orchestration, with a shift from traditional RPA discussions to broader automation solutions [34][35] - **Federal Business**: Noted strong performance in federal contracts, indicating a complex but stable opportunity landscape [40][41] Financial Outlook and Margin Management - **Gross Margin Headwinds**: Anticipated continued SaaS headwinds due to cloud adoption, but overall operating margins expected to remain strong [46][48] - **GAAP Profitability**: Achieved first GAAP profitability in the third quarter, indicating improved financial health and capital efficiency [50][51] Competitive Landscape - **Differentiation**: UiPath's combination of deterministic and probabilistic capabilities in its agentic platform is seen as a competitive advantage [56] - **Observability**: Focus on process observability as a key differentiator, allowing for real-time monitoring and governance of automated processes [58][59] Key Takeaways - **Execution Focus**: The company emphasizes the importance of execution and customer engagement in driving growth and stability [27][28] - **Continuous Improvement**: Commitment to not becoming complacent and continuously seeking improvement in operations and customer relationships [31][32] - **Future Opportunities**: Anticipation of further growth through enhanced partnerships and the development of tailored solutions for specific industries [54][55]

Core Insights - Enterprises are under pressure to innovate and adapt quickly, necessitating the use of intelligent systems like Agentic AI for independent decision-making and action [1][2] - Agentic AI represents a new category of intelligent systems that combines contextual awareness, autonomous decision-making, and continuous learning, differentiating it from traditional narrow AI [2] - Global Business Services (GBS) is evolving from a back-office function to a central role in enterprise decision-making, enabling businesses to respond to market changes and operational risks [3][4] GBS Evolution - GBS has expanded its role beyond cost efficiency to become a key player in business intelligence, integrating finance, HR, procurement, and customer operations [4] - The cross-functional nature of GBS, along with standardized processes and centralized governance, positions it uniquely to implement Agentic AI effectively [4] - AI is becoming embedded in daily operations within GBS, rather than being treated as an additional feature [4] Industry Trends - According to Deloitte's 'Global Shared Services Survey 2023', AI, ML, and GenAI are now top priorities for GBS leaders, focusing on decision orchestration rather than mere task automation [5] - Everest Group's 'The Future of Work 2024' indicates that GBS will evolve into the nerve center of enterprise operations, integrating AI agents, people, and processes into adaptive systems [5]

Core Insights - Kearny Financial Corp. has announced a strategic partnership with The Lab Consulting to enhance operational efficiency and client experience while delivering value to shareholders through cost optimization and scalable growth [1][2]. Company Overview - Kearny Financial Corp. operates Kearny Bank with approximately $7.7 billion in total assets as of June 30, 2025, and has 43 retail branch offices in northern and central New Jersey, as well as Brooklyn and Staten Island, New York [6]. Partnership Objectives - The partnership aims to streamline operations, empower teams, and improve returns for stakeholders through a multi-phase innovation methodology tailored for financial institutions [3][4]. - The program is expected to yield operational improvements within the first year, including reduced operating expenses and increased capacity for revenue-generating opportunities [4]. Implementation Strategies - Key strategies include implementing Robotic Process Automation (RPA) and AI-enabled document processing to eliminate manual tasks, integrating processes across departments, and redesigning client-facing processes for better satisfaction [8]. - The Lab Consulting will provide knowledge transfer and best practices to ensure long-term adoption and continuous improvement [8].

Core Insights - DevOps is a significant challenge for CIOs, as the transition from automated processes in development to full operational status often conflicts with executive directives that overlook the complexities of IT modernization [1] - A well-functioning DevOps can lead to substantial cost reductions, increased productivity, and streamlined workflows through new automation processes [2] Industry Challenges - Despite advancements in intelligent process automation (IPA), enterprises face difficulties in defining, creating, and managing the modernization of IT infrastructure and applications [3] - Business transformations remain costly, slow, and labor-intensive due to issues such as lack of executive support, internal expertise, and access to qualified consultants [4] - Maintaining legacy IT systems is becoming increasingly expensive and poses regulatory and operational risks, making modernization essential [5] Technological Advancements - AI agents are seen as a promising technology for enterprise developers, enhancing the capabilities of intelligent process automation [5] - IPA focuses on automating repetitive, rule-based processes, while AI agents are designed for goal-driven applications that can adapt and reason autonomously [6] - The adoption of Generative AI (GenAI) by application platform providers has made machine learning and natural language processing more accessible, facilitating the development of agentic AI [6] - Customization of GenAI-injected code and integration with development environments like GitHub enhances intelligent workflows through autonomous capabilities [7] - Agentic AI aims to automate complex tasks and improve business processes with minimal human input, learning to become more effective over time [7]