Amdocs Limited

good day and thank you for standing by welcome to the third quarter 2023 amdocs earnings conference call at this time all participants are in a listen-only mode after the speaker's presentation there will be a question and answer session to ask a question during the session you'll need to press star 1 1 on your telephone you will then hear an automated message advising your hand is raised to withdraw your question please press star 1 1 again Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker today, Matt Smith, Head of Investor Relations. Please go ahead.

Thank you, Liz. Before we begin, I need to call your attention to our disclaimer statement on slide two of the presentation. It notes that some of our comments today may be forward-looking statements and are subject to risks. and uncertainties, including as described in Amdocs' SEC filings, and that we will discuss certain financial information that is not prepared in accordance with GAAP. For more information regarding our use of non-GAAP financial measures, including reconciliations of these measures, we refer you to today's earnings release, which will also be finished with the SEC on Form 6-K. Participating on the call with me today are Shuki Sheffer, President and Chief Executive Officer of Amdocs Management Limited, and Tamar Rapoport de Guim, Chief Financial and Operating Officer. To support today's earnings call, we are providing a presentation which can be found on the investor relations section of our website. And as always, a copy of today's prepared remarks will also be posted immediately following the conclusion of this call. On today's agenda, Shuki will recap our business and financial achievements for the third quarter of fiscal 2023, and we'll update you on the continued progress we've made, executing against our strategic growth framework including the vast opportunity of the rapidly emerging field of generative AI. Shiki will finish by commenting on our financial outlook for the full fiscal year 2023, after which Tamar will provide additional details on our third quarter financial performance and forward-looking guidance, and also elaborate on our continued commitment to ESG. And so with that, I'll turn it over to Shiki.

Thanks, Matt, and good afternoon to everyone joining us on the call today. I'd like to begin thanking our global base of talent and employees for their hard work and incredible contribution towards another solid financial and operation performance in our third fiscal quarter, as we continue to execute against our core growth pillars of digital modernization, 5G monetization, cloud, and network automation. As you can see, the financial highlights on slide six reckon revenue 1.24 billion was slightly above the midpoint of our guidance on a reported basis, and was up 6.9% for a year ago in constant currency. Non-GAAP operating margin increased by 20 basis points from a year ago as we continue to realize the benefits of operational efficiency initiatives in our business. On the bottom line, non-GAAP diluted earnings per share of $1.57 was above the guidance range, mainly due to lower than anticipated non-GAAP effective test rate in the quarter. Transline backlog was a record high, 4.14 billion, roughly 5% from a year ago, despite some impact from a challenging macro and industry environment. Amongst the third quarter operational highlights, I'm encouraged to report continued cloud-related sales momentum. As shown on slide seven, following last quarter wins with PLDT in two leading European operators, Amdocs was recently selected to support the cloud strategies of Bell and Telus in Canada and Claro in Brazil. Additionally, we won new awards and deepened relationships with Verizon and Dish in North America, M1 and TelcomSum in Southeast Asia, and many others around the world as we focus on driving greater adoption of our broad product offering and capturing more share of wallet at our customers. Significant long-term growth potential also exists in managed services. which will deliver another record quarter, driven by expanded activities with long-standing customers like Globe in the Philippines, and contribution from new first-time logos signed earlier. Additionally, I am pleased to report growing sign of demand for our next-gen cloud operations as the latest future-ready component of our managed services offering. I'd also like to highlight media, where Amdocs' ubiquity extended its position as a trusted provider toward the world's leading streaming services during Q3. We continue to work closely with Disney to execute on their content strategy globally as we expand our engagement with them. Amdocs' ubiquity has also been selected by Lionsgate to support the technical enhancement of its iconic 18,000 plus film and TV title library by performing quality assessment and content editing using industry-leading automation In addition to which, Vibicative Content and Catalog Services was recently chosen to support streaming services for Watch Brazil and Vida in the US. Superb execution was another highlight of Q3 as we achieved a very high number of project milestones in support of digital transformation journeys as customers like AT&T, T-Mobile, Vodafone, and 3UK. Demonstrating Amdo's capabilities, we recently surpassed the migration of more than 18 million pre-paid subscribers to our newest highly robust and scalable system for Excelcom Asiata in Indonesia. Moving to slide eight, I would like to highlight a very important strategic priority to establish Amdocs as the Telkom industry's leader in the rapidly emerging field of generative AI. Earlier at 3.3, we announced the launch of Amdocs Amaze, a cutting-edge enterprise-grade generative AI framework which creates a foundation for global service providers to benefit from the immense potential of the Gen AI area. Amdocs Amaze combines our carrier-grade architecture and telco-specific expertise with OpenAI and the industry's most advanced open-source technology and large language models. The framework also empowers service providers to deploy generative AI use cases across the telecom ecosystem, from customer experience to network provisioning for consumer and enterprise customer. The Andox-MA's framework follows the expansion of our strategic partnership with Microsoft earlier this year, and marks an important step towards capitalization of market-leading generative AI capabilities, such as those resulting from this partnership. Andox has also launched a company-wide program to accelerate the way in which generative AI can be harnessed internally to derive organizational agility, operational efficiency, and cost reduction. Spanning the software development cycle, our many services activities, and many corporate functions, the program has so far identified more than 80 GenAI use cases, many of which are already in progress. Now, let me provide you with a progress update in respect to our strategic growth pillars, which have driven a major expansion of our addressable market by ensuring we bring market-leading innovation to help our customers. Accelerate the journey to the cloud, create seamless digital experiences by transforming IT system and operations for consumer and B2B, launch and monetize new 5G services, and deliver dynamic connected experiences with real-time automated networks. Starting on Slice 9 with cloud, the value of potential of which service providers are still in the early stages of maximizing. For most, the cloud will be a multi-year journey that will require the proven capabilities of Amdocs, including our cloud native product suite and our ability to simplify complexity by delivering an end-to-end fully accountable migration path. As highlighted earlier, we signed cloud deals with multiple tier one operators in the Americas this quarter. First, Amdocs is supporting Bell Canada's digital transformation by moving on-premise essential applications to the cloud. Second, Amdos is collaborating with Telus in Canada to move on-premise applications to Google Cloud, helping Telus to be more flexible and cost-efficient and unlock new business models. Third, at Claro Brazil, we are moving on-premise infrastructure to the cloud, unlocking new opportunities in the customer and enterprise markets and improving cost effectiveness. Overall, we are pleased with the recent sales momentum in our cloud business, which we believe reflects the combination of our unique industry expertise and our strategic cloud partnerships. Moving to slide 10, survey providers continue down the path of digital modernization to grow revenue, reduce cost, and improve experiences for consumer and B2B customers. Making a significant milestone in Vodafone Spain's multi-digital transformation journey, mDocs recently completed a successful modernization of a customer engagement software for this operator, providing it with improved system stability, security, and performance, while enabling the delivery of new and exciting services to Vodafone Space customers. Among other highlights this quarter, Andoc signed an agreement with DISH for a new software-as-a-service-based billing presentment for Boost Infinite subscribers, providing an enhanced experience. We successfully upgraded Swiss operators' Sunrise modernization capabilities, enabling them to sell and deliver a wide range of innovative products to their customers. In South Africa, we started our partnership with Melon Digital, a digital-led mobile virtual network enabler, which has selected MDoc's eSIM cloud platform to provide its customers worldwide with eSIM capabilities on their primary and secondary devices. In Southeast Asia, Amdocs successfully implemented an IoT connectivity management platform, a Telkomsel in Indonesia, thereby enabling this operator to increase business agility and quickly launch new IoT services for consumer and enterprise customers. Turning to 5G monetization on slide 11. Amdocs continue to provide global service provider with the next generation solution that will need to monetize and unlock the future market potential of a true 5G standalone network as they roll out over the next few years. 5G fixed wireless is one of the most powerful use cases to emerge from 5G. And we can now say that T-Mobile selected Amdoc's home operating system to simplify internet and device management and to automate consumer customer support for its 5G home internet customers. Additionally, We recently delivered a 5G-ready next-generation charging solution for a major European operator to enable enhanced agility and time-to-market for innovative new product and services. One of the early adopters of the true 5G standalone networks is Singapore, where we are delighted to continue working with M1 Limited, a leading digital network operator which has selected Amdoc's monetization engine to power its prepaid platform. By leveraging our monetization platform to launch their prepaid and MVNO offering, M1 will be able to bring cutting edge experiences to enterprise and consumers and drive new revenue streams while increasing agility and efficiency. Turning to network automation on slide 12. I'm happy to say that we closed the previously announced acquisition of Tioco, the service assurance business, on June 30. Thereby, Equipment Amdos will deliver a unique end-to-end service orchestration offering, assuring the quality of the service and enabling the modernization of next-generation dynamic customer experiences. Amdoc's expertise in network domain continues to be recognized by the market. Among recent examples, Dish implemented Amdoc's network services to expand its 5G services on the public cloud, which include 5G run, call, and voice services, culminating in the successful rollout of a comprehensive 5G network that now reaches over 70% of the U.S. population. Additionally, in Verizon, we went live with the 5G orchestration platform, enabling service and network automation, in addition to which we have expanded our engagement in operation engineering to include continued platform support in network function, onboarding, and improved automation. I would like to make a few points about our business within the current operating environment as presented on slide 13. To begin, we remain of the view that Amsox is sitting at the heart of a multi-year technology-driven investment cycle centered around the major long-term trends of 5G, network automation, digital modernization, and cloud. we strongly believe global service provider must continue to participate in this investment cycle to ensure their long-term competitive position in their respective markets. Therefore, as a key technology enabler and trusted partner to the communication industry, we continue to see high level of customer engagement and large pipeline of opportunity, which we believe Amdocs is well positioned to monetize. The current economic uncertainty Industry pressure is, however, beginning to weigh on the spending decision of some customers, which are now prioritizing multi-year strategic modernization programs in lieu of further investment to enhance legacy systems. Amdocs is already at the heart of this modernization journey with many customers, and we are ideally placed to expand our future scope of activity in these programs. Given we are also the incumbent provider of the legacy application for this customer, these business dynamics are nevertheless presenting some headwind to revenue growth. To adjust to these business dynamics, we are taking proactive and appropriate measures to optimize our expenditure and resource allocation and to ensure continued long-term growth together with continued gradual improvement of our operating margins. These measures include even greater emphasis on the operational excellence and cost leadership, primarily led by efficiency gain resulting from our growing adoption of automation, sophisticated tools, and the future expected benefits of the Gen-AI related capabilities, while maintaining investment in our strategic growth areas. Wrapping everything together, Revenue growth for the full year fiscal 23 is now tracking slightly below the 8% midpoint of our original guidance range of 6 to 10% in constant currency. On the bottom line, we are raising the midpoint of our outlook for non-GAAP diluted earnings per share growth in fiscal 23 for the second time this fiscal year. Additionally, we are reiterating our free cash flow outlook of approximately $700 million for the full fiscal year equating to a conversion rate roughly on par with expected non-GAAP net income. Overall, we are well on track to deliver double-digit expected total shareholder return for the third year running, including our dividend yield. With that, let me turn the call over to Tamar for her remarks.