Consensus Cloud Solutions, Inc.

Good day, ladies and gentlemen, and welcome to Consensus Q1 2026 Earnings Call. My name is Paul, and I will be the operator assisting you today. At this time, all participants are in a listen-only mode. A question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. On this call from Consensus will be Scott Tariki, CEO, Kip Kilpack, Vice President of Finance, Johnny Hecker, CRO and Executive Vice President of Operations, and Adam Varan, CFO. I will now turn the call over to Kip Kilpack, Vice President of Finance at ConsenSys. Thank you. You may begin.

Good afternoon, and welcome to the ConsenSys Investor Call to discuss our Q1 2026 financial results, other key information, and our Q2 2026 quarterly guidance. Joining me today are Scott Tariki, CEO, Johnny Hecker, CRO and EDP Operations, and Adam Ferron, CFO. The earnings call will begin with Scott providing opening remarks. Johnny will give an update on operational progress since our Q4 2024 investor call. Then Adam will provide Q1 2026 financial results in our Q2 2026 guidance range. After we finish our prepared remarks, we will conduct a Q&A session. At that time, the operator will instruct you on the procedures for asking a question. Before we begin our prepared remarks, allow me to direct you to our forward-looking statements and risk factors on slide two of our investor presentation. As you know, this call and the webcast will include forward-looking statements. Such statements may involve risks and uncertainties that would cause actual results to differ materially from the anticipated results. Some of those risks and uncertainties include but are not limited to the risk factors that we have disclosed in our regulatory filings, including our annual 10K and quarterly 10Q SEC filings. Now let me turn the call over to Scott for his opening remarks.

Thank you, Kip. I'd also like to welcome Adam on his first earnings call as our chief financial officer. I'm very proud of the momentum that our team carried into 2026. and the results that we posted to begin the fiscal year. As I stated last quarter, the next phase of consensus has begun. While we did post three consecutive quarters last year of revenue growth, it was minimal. However, in Q1, 2026, we exceeded our expectations in both our corporate and SOHO channels of revenue and had a one and a half percent consolidated revenue growth compared to Q1 of 2025. In fact, this is now the second consecutive quarter that we have demonstrated year-over-year growth in all four of our key financial metrics, revenue, adjusted EBITDA, non-GAAP EPS, and free cash flow. Before turning the call over to Johnny, who will provide you with more detail regarding the quarter, I would like to note a few items. Our Q1 financial results were driven by an 8.2% revenue growth in our corporate channel, driven by record usage, as well as a continuation of customer acquisition across our continuum. This is the highest growth rate for our corporate channel since Q4 of 2022. The Soho channel also beat our forecast as we saw improvement in customer acquisition during the quarter and had a significant improvement in the year-over-year rate of decline experienced in Q4 2025. Our adjusted EBITDA margins remain consistent with Q1 of 2025 and above the midpoint of our range of 50% to 55%. This is due in part to the timing of hiring relative to our budget expectations. We plan to close the hiring gap throughout the year and would expect our adjusted EBITDA margins to track more to the midpoint of our range for the remainder of the year. We started the year with a strong Q1 free cash flow of $38.5 million, which allowed us to repurchase approximately 600,000 shares of our stock during the quarter while maintaining cash balances such that we can fully borrow under our credit facility and term line. We do not have any substantial maturities on our debt until late 2028. However, we are monitoring both the bank and debt markets to see if an opportunistic refinancing can be achieved before late 2027. We expect free cash flow to approximate the record level of 2025 and look to continue to be buyers of our stock given the free cash flow yield on our stock is approximately three times that of our debt costs. I'll now turn the call over to Johnny.