Hello everyone and a warm welcome to the Informa Tech Target Second Quarter 2025 Financial Results Conference Call and Webcast. My name is Emily and I'll be coordinating your call today. After the presentation you will have the opportunity to ask any questions which you can do so by pressing start followed by the number one on your telephone keypad. I would now like to turn the call over to our host Charles Rennick to begin. Please go ahead Charles.

Thank you, Emily, and good morning, everyone. The speaker is joining us here today are Gary Nugent, our Chief Executive Officer, and Dan Norg, our Chief Financial Officer. Before turning the call over to Gary, we would like to remind everyone on the call of our earnings release process. As previously announced, in order to provide you with an update on our business in advance of the call, we have posted a press release to the Investor Relations section of our website and furnished it on an 8K. You can also find these materials with the SEC, free of charge at the SEC's website, www.sec.gov. A corresponding webcast, as well as a replay of this conference call will be made available on the investor relations section of our website. Following Gary's remarks, the management team will be available to answer questions. Any statements made today by Informatec target that are not factual, including during the Q&A, may be because these forward-looking statements, which are subject to risks and uncertainties, are based on assumptions and are not guarantees of our future performance. Actual results may differ materially from our forecast and from these forward-looking statements. Forward-looking statements involve a number of risks and uncertainties, including those discussed in the risk factor section of our most recent periodic report. These statements speak only as of the date of this call, and Informatec target undertakes no obligation to revise or update. Finally, we may also refer to certain financial measures, not certain of these non-GAAP financial measures to the most comparable GAAP measures.

Thank you, Charlie. and welcome all. If I turn to the Q2 results, revenues were posted as $120 million of its own balance sheet, a market. The point I wanted to make really was about AI.

Thank you. We will now begin the question and answer session. As a reminder, if you would like to ask a question today, please do so now by pressing start followed by the number one on your telephone keypad.

If you change your mind or you feel like your question has already been answered you can press start followed by two to withdraw yourself from the queue our first question today comes from joshua reilly with needham joshua please go ahead your line is now open all right thanks for taking my questions uh maybe just starting off in terms of uh brand consolidation can you just discuss the trends you're seeing in intelligence and advisory as a large public competitor uh just put up guidance below expectations and curious what you're seeing there in terms of turn in customer retention for ambia hi josh um yeah thanks for the question um generally speaking uh i would say the kind of

momentum and the trend continues we're seeing our intelligence and advisory business perform to our expectations um we are uh we're seeing i think strong and continually it's always a business it's a strong customer renewal rate both at a volume and a value level and we're seeing that continue there's really no change to that pattern um i think it's certainly fair to say that um new business is probably where the market is the most competitive and challenging um it's all but i think that has always been true of this market as well because the your intelligence and advisory proposition is one which is relatively sticky with customers because you really get deep into their workflows and into their strategic planning cycles so i mean obviously our outlook for the year is as you know as expected got it that's helpful and then as we think about the implied second half guidance how much of the uh sequential improvement in revenue in q3 is from any type of market recovery that you're assuming relative to the operational improvements that you've already highlighted on the call here uh well we're certainly not we're not making assumptions around market recovery in any way shape or form in our guidance um really this is based upon uh the booking momentum that we have the revenue pacing and momentum that we have i think as i mentioned earlier before one of the things that we moved really quickly to do is to get our management

information combined such that we had a kind of transparent and real-time view not any assumptions excellent and then last question for me is can you just review what did you do exactly to the product for NetLine to drive growth in the lower and more cost-conscious end of the market? Thank you.

Yes, certainly, Josh. Actually, the product itself, really there wasn't a lot of change to the product itself. There was a lot of change to the go-to-market strategy for the product, and we have built a dedicated go-to for the product and then positioned it in that sort of volume. income and it is there for the actual product.

Understood. Thank you.

Thank you, Josh.

Thank you. Our next question comes from Jason Crier with Craig Hallam. Jason, please go ahead.

Great. Thank you guys for taking my questions. Just wondering, as you look at the guide and the implied return to growth in the back half of the year, can you give any either qualitative or quantitative commentary on on bookings or on the pipeline that give you confidence in that return to growth?

I mean the best I can I would say is that our bookings momentum and our revenue pacing all support you know the guidance that we've given you and the confidence and sort of really we've mentioned this in the past actually Jason if you think about the revenues in three categories uh we have what you would do the project really appreciate that commentary um just going back to

the AI topic, as you look across your business today, what segments or what products are seeing near-term fundamental benefits from the AI category?

I think really in the audience land.

Just one more for me. So as we get into the second half of the year, you know, we're forecasting uptick in profitability and cash flow. Just wondering what your balance sheet priorities are across, you know, like, deleveraging, buybacks, M&A, any key objectives from you?

Dan, do you want to? Sure. I mean, as we think about the second half of the year, it's really going to be about identifying opportunities and then also just...

Thanks, Dan. Thank you very much, Jason.

Thank you. Our next question comes from Eric Martinizzi with Lake Street. Please go ahead, Eric.

Yeah, I saw you called out the Canales business as part of the uptick in the back half. I'm not familiar with that. Are we talking about, you know, on the order of a million or two or three to five million? What does that conference business kind of kick in when it does show up in Q4?

Hi, Eric. Yeah, good question. So there is a series at the tail end of the year of what's called the Canales forums. The Canalys Forums are a prestigious series of conferences. There's one in Europe, one in Asia, and one in... It's really the kind of, you know, the gathering of... It's really where the distribution titans like TD Cynics and Arrow and where the giant resellers like SHI and Computer Center and others come together with the vendors.

As far as macro demand, it looks like the brand and intent business you characterized it as the most volatile are you seeing that across your markets or is there a difference between say North America and the rest of the world and I know I don't I don't think I don't think there's any kind of material geographical there I think the pattern and I would say I think I've mentioned that certainly within the kind of the APAC red we are one of the areas

where we've been seeing decline year-on-year. I mentioned earlier on that we've got growth year-on-year.

You had talked about wanting to be the, you know, work with your customers, platforms of choice. I'm familiar with, you know, marketing automation platforms that would be users of Informatec target data, things, you know, HubSpot, for instance. Can you give me other examples of platforms that you're talking about integrating with yes i mean typically the industry sort of calls them crms uh maps and sd senses you you you're pretty well there and you'll have it by

the end of the year as far as being able to plug in with all of these i think i think certainly by you know at the time of of the fall launch uh we were adding speed i think well i said that would be set coverage of all the major platforms that's on getting back on a normal reporting cadence. Thank you.

Those are all the questions we have for today and so this concludes our call. Thank you all for your participation and you may now disconnect your line.