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ET Contents: Prepared Remarks Questions and Answers Call Participants Prepared Remarks: Kelcey McKinley -- Event Consultant Hello, everyone, and welcome to Zoom's Q3 FY '25 earnings release webinar. Kelcey McKinley -- Event Consultant Thank you so much, Michelle. As a reminder, today's webinar is being recorded. Thank you very much.
In under two years, we have paid down over $8 billion of debt off our peak and significantly reduced interest expense, which, coupled with our improving EBITDA, has improved our leverage metrics tremendously. times net debt to EBITDA, closing in on our expectation to reach investment-grade leverage metrics in 2026. We achieved a 4.3
We had strong performance in software and infrastructure above our model as investment in innovation is yielding organic growth, while consulting remained below model. As we stated last quarter, factors such as interest rates and inflation impacted timing of decision making and discretionary spend in consulting.
With a consulting partner in the quarter, we identified several favorable shrink opportunities and have implemented specific administrative and process actions that enable us to better monitor and manage both internal and external factors. And as Ken noted, we are addressing other opportunities called out by a consulting partner.
For those that don't know him, Samir joined CareScout in the second half of 2023, bringing a wealth of experience from financial services and strategy consulting roles at Goldman Sachs, JPMorgan, and McKinsey. who can leverage that access to optimize quality care, affordable pricing, and personalized service. Turning to Slide 17.
We had good performance in software, at the high end of our model; continued strength in infrastructure, above our model; while consulting was below model. On a relative basis, consulting outperformed the market. We are well-positioned to drive growth for HashiCorp by leveraging IBM's enterprise incumbency and global reach.
First, we committed to leveraging our distinctive risk capital and human capital structure to unlock new solutions that address the evolving client demand discussed earlier. billion of debt in 2024 and coupled with earnings growth, lowered our debt-to-EBITDA leverage from 4.1 Third, we paid down $2.1 billion in debt and returned $1.6
In 2025, we plan to leverage and enhance data-driven media mix model to make real-time optimizations. The deleverage from marketing was offset by disciplined expense management and leverage in corporate expenses as non-marketing adjusted SG&A declined as a percent of revenue from 43.9% million or 12.5% of revenue to $24.6
However, advisors with industry experience can leverage proprietary data from comparable companies and closed transactions. Legal: Buyers will review leases, any current or past litigation, stock and asset titles, and company paperwork to assess potential liabilities or business changes. Conducting these analyses is complex.
Work is underway to edit our assortment, leverage our scale, and deliver newness and trend-right high-quality product at an amazing value, while at the same time improving your store experience and optimizing our cost structure. We have any consultant who leads the team there. versus last year's third quarter. Kenneth R.
We entered the year intent on enhancing our Software portfolio and strengthening our Consulting position. Consulting has delivered durable revenue growth through the year despite an uneven macro environment. Consulting has delivered durable revenue growth through the year despite an uneven macro environment. We have done both.
times net leverage ratio on a comparable basis in the third quarter, still slightly below our three times target. This strong cash flow generation has enabled us to reach and maintain a net leverage ratio below our stated target, return over $1.2 We maintained a 2.9 Shifting to the balance of the P&L.
With platform-specific domain consultants and architects, we are able to bring tremendous focus to our go-to-market efforts. The customer was facing rising costs in their SOC with little automation and adequate visibility into the rising number of tailored attacks that leveraged AI. We have hundreds of customers leveraging AI access.
Nearly every business we talk to wants to leverage technology to offer better services, scale more quickly, and fuel growth without increasing their footprint. In this past quarter, we saw good revenue growth in software and consulting. These consultants also provide valuable real-time feedback to other product teams.
Our AWS customers are also quite excited about leveraging GenAI to change the customer experiences and businesses. And today, we announced the general availability of Amazon Q, the most capable generative AI-powered assistant for software development and leveraging company's internal data. Worldwide operating income was $15.3
By leveraging the distinct strengths of our businesses, we are positioned to drive innovation, increase demand for our technology-advantaged products, and deliver sustainable and profitable growth while increasing returns to our shareholders. So, we've got good optionality, especially with where our leverage is right now. and Europe.
At Zeta, our goal is to make marketers the heroes of their stories by helping them to acquire, grow, and retain customers, substantially more efficiently and effectively than ever before by leveraging our data, implementing our software, and utilizing the superpower of our AI. And third, we're raising guidance. in the second quarter of 2023.
Looking forward, we expect to continue to actively repurchase our shares in the fourth quarter, further leveraging our remaining repurchase capacity, which stands at $5.6 We will leverage Dr. Carlton's study as we continue to engage in fact-based discussions about these critical issues. So as we noted, GLP-1s remain front and center.
Our unwavering focus on increasing operating leverage while investing in future growth is allowing us to raise our 2024 outlook for both revenue and adjusted EBITDA. We are committed to continuing to grow operating leverage into 2025 and beyond. Erica will share details on these plans in a few minutes.
And we will continue to leverage East Buy to propel knowledge sharing, product dissemination, and culture promotion to our valued customers in the long term. The overseas study consulting business recorded a revenue increase of about 17% in dollar terms, or 23% in RMB terms year over year for the first fiscal quarter of 2024.
Consulting leaders like Accenture and Deloitte are taking NVIDIA AI to the world's enterprises. Additionally, Accenture, with over 707,000 employees, is leveraging NVIDIA-powered agentic AI applications internally, including one case that cuts manual steps in marketing campaigns for 25% to 35%. We are launching the same in the U.S.
Workers' compensation decreased mid-single digits while financial and professional liability rates were down 7%, and cyber pricing decreased 6%. Revenue grew 9% on an underlying basis with 9% growth in both RIS and in consulting. In the consulting segment, first quarter revenue was $2.2 billion, up 9% on an underlying basis.
In addition, it also enables us to acquire Bitcoin through the use of excess cash or proceeds from equity capital raises or corporate debt capital raises, and to pursue software innovations that leverage the Bitcoin blockchain. As an operating company, we can make use of intelligent leverage. One, cash flow from software operations.
We again had strength in our growth vectors of software and consulting and solid cash generation, consistent with our financial model. Our consultants use their technical and business knowledge to speed up clients' digital transformation journeys and help drive adoption of our technology platforms. Our path is clear.
Our AA rated financial strength represents a strong capital position, including approximately $48 billion of unrealized insurance margins over $4 billion in highly liquid assets at the end of the first quarter, a high-quality, well-diversified investment portfolio and a disciplined approach to asset liability management.
We're also leveraging our Dabir's partnership to advance jewelry consultant training, natural diamond marketing and several new branded natural diamond merchandise collections launching in the third quarter. In marketing, we're increasingly leveraging data and AI to personalize our messaging. Turning now to our balance sheet.
One consideration of executing this strategy is how to cover the tax liability on this conversion. Drawbacks: It is recommended that the tax liability generated by the conversion be paid with funds outside of the converted amount. This will make the converted amount taxable in the year that you transfer the assets into a Roth IRA.
By leveraging ERNIE Speed and our ModelBuilder, we helped a healthcare automation solution provider to train and finetune an industry-specific model that enables automatically generated medical records for doctors. And since then, we kept leveraging our self-developed four-layer AI architecture for model upgrade.
In the quarter, we generated 5% underlying revenue growth following 10% in the third quarter of last year, reflecting solid execution in RIS and Consulting. Global financial and professional liability rates were down 7%, while cyber decreased 6%. Underlying revenue grew 6% in RIS and 4% in Consulting. Mercer's revenue was $1.5
percentage points sequentially to 41.6%, slightly ahead of our guidance, mainly due to operating leverage on higher revenue. On the liabilities side, current liabilities decreased by 56 billion NT, mainly due to the decrease in accounts payable. Gross margin decreased 1.3 Operating margin decreased 0.1 NT, and ROE was 28.1%.
Our teams, in consultation with the relevant Turkish authorities, have been diligently working on finding the missing individuals and will continue to do so. So no real impact to the business, and we're looking to leverage on reducing it even further. All recovery activities are currently focused in the Sabirli Valley.
in consultative discussions, demonstrating the added clinical utility to be gained by adding the Nanox.ARC to their practices. It offers life science companies the ability to leverage Nanox.AI million, which was offset by a decrease in the cost of our D&O liability insurance premium in the amount of $0.3 The increase of $0.7
We expect to be able to leverage the A&D investments happening today at SkyWater to support numerous commercial use cases that require reliable CMOS performance and applications, like advanced computing and medical diagnostics, which are our next two fastest-growing end markets. million of management consulting fees in the quarter.
To counteract this challenge, we are adjusting and taking action to rightsize our business based on what we believe sales volumes will be in the near term while maintaining operating leverage to capture increased -- increases in sales and market share without significantly rescaling overhead. Our focus is clear.
First, we're expanding in payments by continuing to win deals with a diverse set of customers, powering growth and acceptance, capturing a prioritized set of new payment flows, and exploring new ways to ensure payment choice by leveraging multiple alternatives, including card rails, ACH, blockchain, and open banking.
We are continuing to leverage our data on 17 million individuals in a dating relationship to do targeted marketing at the right time to win the bridal recovery. We leverage our scale to innovate at attractive price points, delivering strong value for our customers. increase 5% to 10% for fiscal 2025. Traffic was down low single digits.
In particular, I would like to highlight the solid recovery has been valid in the growth of our overseas test prep and overseas study consulting businesses, which have recorded steady increments in revenues and enrollments. But I think we do have the operating leverage in hand.
Our pipeline has expanded nicely, largely driven by new deal inflows in Consulting and Engineering Services, which is our largest segment. Last quarter, we consolidated our Analytics, Engineering, and Applications business and now call it Consulting and Engineering Services under industry veteran, Howard Boville.
We expect gross margins will improve over time as we realize the benefits from lab automation, leverage investments in a lab infrastructure, and see an increased mix of rescreened patients. We continue to expect leverage across the P&L this year, especially within G&A. You get a ton of leverage by adding these reps.
We will also, for the first time, have the ability to leverage advanced player tracking data to refine and enhance our leading AI enabling betting and streaming products and services. The sports rights impact in the quarter was mostly offset by the operating leverage we delivered across the rest of our call space.
Third, we will democratize access to agents by leveraging our low-code platform that is already known to automation developers. It also reduces long-term total cost of ownership within a supportable governable approach that moves custom code to the automation layer and faster implementation by leveraging a prebuilt solution accelerators.
The combination of Cisco and Splunk and our team's great execution are both driving our strong operating leverage. In Q1, we had a marquee win for over 75,000 cloud security seats with a multinational IT services and consultancy company. Non-GAAP EPS of $0.91 We see a lot of focus on that on understanding purchasing trends.
I'm with Western Avenue Advisors LLC, which was hired in April as an investor relations consultant to the company following Sara Buda's recent departure. As we entered this year, we did so as a leaner, more focused organization with a relentless commitment to leveraging our decade-long investment in artificial intelligence.
In our keynote address, we highlighted how some of the biggest brands in the world, including organizations like Hilton Hotels, Amica Insurance, and Sony Interactive Entertainment leverage the power and unified capabilities of MicroStrategy to transform how they operate and succeed amid fierce competition.
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