Aura Consolidated Group, Inc.

Ladies and gentlemen, thank you for joining us and welcome to Aura's Q2 2020 Cents earnings call. After today's prepared remarks, we will hold a question and answer session. If you would like to ask a question, please press star one to raise your hand. To withdraw your question, press star one again. I will now hand the conference over to Kane Hannon, head of IR. Please go ahead.

Good morning and good evening, everyone. I'm Cole. Welcome to AURA's second quarter 2026 earnings conference call. All participants will be in a listen-only mode until the question and answer session. As a reminder, we will make certain statements that constitute forward-looking statements regarding future events and potential or assumed financial performance or potential growth of the company during this call, which are subject to material risks and uncertainties that can cause actual results, levels of activity, performance or achievements to differ materially from such statements. We will also present both GAAP and non-GAAP financial measures. These non-GAAP measures should not be considered in isolation or as alternatives to or substitutes for or superior to our GAAP financial data in our financial statements. We encourage you to consider all measures when analysing our performance. Please refer to our results presentation for the applicable reconciliations. We'd like to provide some context on the basis of presentation for today's results. Because the acquisition of Quoria closed after the end of Q2, our statutory financial statements reflect AURA on a standalone basis. To provide context on the company as it will operate going forward, we will reference unordered pro forma summary financial results for the Merge Group. The pro forma income statement information combines AURA's historical financial information with Quoria's historical financial information. The pro forma liquidity and net debt positions are stated as of the July 17 transaction completion, affecting cash and debt amounts as are all transaction expenses and the repayment of the Quoria Ashgrove facility took place at closing. Given the recency of the Quoria acquisition close, we have provided certain or a standalone operational metrics, but we will not provide pro forma operational metrics or certain supplemental financial measures this quarter. We expect to introduce the standardised combined operating KPIs set next quarter. As mentioned, we have posted the second quarter result presentation on our Investor Relations page, which was filed with the ASX this morning. We will begin with an overview of results and a business update from our Chief Executive Officer, Hari Ravichandran. Then our Chief Financial Officer, Brian DiCenzo, will walk through the Q2 2026 financials. Hari will return with final remarks before we open the call for Q&A. With that, I'll turn the call over to Hari.

Good morning. Thank you for joining Aura's first quarterly earnings results call, where we'll be discussing the results of the second quarter of 2026. It has been a momentous few months for Aura. We posted very strong second quarter financial results on a performance basis, achieving 27% year-on-year ARR growth, while driving a 51% year-on-year improvement in adjusted EBITDA, demonstrating continued tangible progress towards our goal of being free cash flow positive annually going forward. We completed the previously announced acquisition of Quoria on July 17th, enhancing our mission to be a global leader in online safety. And on July 20th, Aura Securities began unrestricted trading on the ASX under the ticker symbol AXQ. These milestones align with our mission and strategic priorities and further the vision we have for this company. I could not be more proud of this position we are in and excited about the vision we have as we enter the second half of 2026. At Aura, our core belief is that every person deserves trusted digital protection that understands their needs and works proactively to keep them safe. Our strategic priorities as a company are to provide individuals and families the world's most proactive, intelligent digital safety tools. and integrate these tools across a unique ecosystem comprised of the most important context in their lives, home, school, and work. And to pursue this mission within a business that demonstrates financial excellence. Our acquisition of Quoria enhances our pursuit of E2B strategic priorities. It solidifies our position as a global leader in the online safety market, creating a significantly larger, more diversified business with global reach. It unites Aura's AI power suite of online safety and well-being tools with Coria's global connected schools ecosystem with its particularly extensive reach in the US and UK. And the addition of custodial product and global base of customers further bolsters our scale consumer platform. Combining these products and go-to-market channels will allow us to provide all-in-one protection for individuals, families, and enterprises worldwide, spanning the major aspects of digital lives from home to school to work. The Quoria acquisition also furthers our ambitions around financial performance. It enhances our revenue scale and diversity. And the sales efficiency of the K-12 schools channel and custodio, as well as the school-to-home customer acquisition motion, enhance our structural profit potential. Having completed this transaction, we have a very strong foundation from which to build and tremendous opportunity ahead. Tim, Crispin, the team at Quoria have built an impressive business that fits well together with what we have built at Aura. and we're thrilled to partner with them in this new chapter. We've already begun the process of functionally bringing two organizations together and expect to fully integrate the two companies by Q2 of 2027 across organizational structure, brand architecture unification, and systems integration. Having completed numerous acquisitions in my career, I know that these integration processes are complex and progress is rarely linear. As we complete this work, we are hyper-focused on streamlining the organization and achieving the right cost structure to achieve our ambitions for free cash flow, while not sacrificing our core priority of setting the organization up for durable growth and free cash flow at scale over the medium to long term. We are in the early days as a combined company, but acquiring Coria has accelerated our vision and provides us with a clear roadmap for the future. In addition to the many benefits provided by the query acquisition, we made numerous other important strides across our strategic priorities this quarter, beginning with product. We accelerated our development and implementation of an agentic intelligence layer that uses contextual reasoning to synthesize activity across the user's digital life to identify threats to safety and well-being much more accurately. We're already encouraged by the direction of these investments. We recently introduced several new and enhanced intelligence products, including Aura Intelligence, which is our AI intelligence layer, and new AI-powered family safety capabilities. Aura Intelligence continues to rapidly evolve, providing users with increasingly personalized insights, recaps, and recommendations. We are encouraged by early engagement trends, which suggests that users are finding meaningful value in these capabilities and deepening their interactions with the Aura experience. Our family safety capabilities, including proprietary digital well-being index, and we continue to advance our youth risk detection models, including the release of an updated self-harm detection model in July. These features, the digital well-being index, and our youth risk detection models will be critical in our integration of Custodio with our Aura Parents app, where we've developed a full integration roadmap and are targeted to launch the combined product in the first half of 2027. Product innovation is at the heart of everything we do. You can expect to see other new product offerings later this year as we continue to position Aura at the forefront of digital safety in an AI world. Turning to our unique go-to-market ecosystem, the Cordia acquisition provides us immediate scale in the school's channel, and in April, we enhanced our value to the workplace with the launch of Aura Business. Our business is an enterprise security solution designed to close the identity-based security gap in modern businesses. Enterprise attacks were once driven by software vulnerabilities, device compromise, and system weaknesses. But today, employee identity compromise represents a leading driver of breaches. In 2025, Palo Alto Networks found that 65% of the initial access began with identity-based security compromises such as phishing, social engineering, and credential misuse. Rather than focus solely on enterprise system access, our business aims to protect corporate IT environments by securing first the employee accessing the systems. Delivered through our new managed service provider channel, we're seeing encouraging early interest for this new product offering and look forward to seeing it begin to deliver financial results in 2027. We also made some key strategic hires in Q2 that bolstered critical capabilities across the global organization. Steven Young, formerly the CMO at Poshmark, was hired as Aura's Global Chief Marketing Officer. And Adam Medros, formerly Senior Vice President of Global Product at TripAdvisor, joined us as Chief Product Officer. These additions to Aura's executive team signal a bold investment in global leadership and product excellence combined with our existing investments in advanced AI to scale our platform and fuel growth worldwide. We're excited about the opportunity and vision we have for the business as we enter the second half of 2026. We solve urgent problems across our footprint. Online threats are growing in scale and sophistication, driving record cybercrime losses and increasing concern about digital well-being. In the US, cybercrime losses reached $20.9 billion in 2025, nearly 400% higher than in 2020. AI is accelerating these trends, reshaping how people interact online while enabling threat actors to operate with greater speed, scale, and sophistication than ever before. Attacks by AI-enabled adversaries increased 89% from 2024 to 2025. At the same time, the human impact of digital life is becoming increasingly clear, particularly among children. One in six kids say they've been cyber-bullied, and in the US, 40% of high school students report persistent feelings of sadness or hopelessness. We provide tools to help individuals, families, schools, and workplaces manage against all of these threats. Amidst this backdrop, the world of technology is moving very fast. So we proceed with a real sense of urgency to innovate our product, to keep families and individuals safe and well in a digital world, to win in market, and to streamline our organization to drive compelling financial performance. I'll now turn it over to our Chief Financial Officer, Brian DiCenzo, to outline our financial priorities and take us through the results of the quarter.