eGain Corporation

Good afternoon, and welcome to the eGain Fiscal 2025 Third Quarter Financial Results Conference Call. All participants will be in listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star, then one on your telephone keypad. To withdraw your question, please press star, then two. Please note, this event is being recorded. I would now like to turn the conference over to Jim Byers, Pondell Investor Relations. Please go ahead.

Thank you, Operator, and good afternoon, everyone. Welcome to EGAIN's Fiscal 2025 Third Quarter Financial Results Conference Call. On the call today are EGAIN's Chief Executive Officer, Ashu Roy, and Chief Financial Officer, Eric Smith. Before we begin, I would like to remind everyone that during this conference call, management will make forward-looking statements which convey management's expectations, beliefs, plans, and objectives regarding future financial and operational performance. Forward-looking statements are generally preceded by words such as believe, plan, intend, expect, anticipate, or similar expressions. Forward-looking statements are protected by safe harbor provisions contained in the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to a wide range of risks and uncertainties that could cause actual results to differ in materials respects. Information on various factors that could affect EGAIN's results are detailed on the company's reports filed with the Securities and Exchange Commission. EGAIN is making these statements as of today, May 14, 2025, and assumes no obligation to publicly update or revise any of the forward-looking information in this conference call. In addition to GAAP results, we will also discuss certain non-GAAP financial measures, such as non-GAAP operating income. The tables included with the earnings press release include reconciliation of the historical non-GAAP financial measures to the most directly comparable GAAP financial measures. eGain's earnings press release can be found by clicking the press releases link on the investor relations page of eGain's website at eGain.com. And along with the earnings release, we will post an updated investor presentation to the investor relations page of eGain's website. And lastly, a phone replay of this conference call will be available for one week. And now with that said, I'd like to turn the call over to eGain's CEO, Ashu Roy.

Ashu Roy Thank you, Jim, and good afternoon, everyone. In our third quarter, we exceeded our profitability projections and delivered solid operating cash flow. Bookings for the quarter, however, were impacted by the extended sales cycles we had mentioned last quarter. Despite this, we continue to grow our pipeline as demand for our AI knowledge offering continues to gather momentum. Having said that, we're very excited to report that we secured one of our largest deals ever soon after the quarter closed. This deal is with the U.S. consumer group of a U.S. mega bank. one of the big four. Like most innovative businesses, they have concluded that they needed an enterprise knowledge foundation to deliver trusted content to customers, employees, and AI. We started out in this account by establishing a beachhead with the client over a year ago in one of their fast-growing international divisions. Shortly thereafter, we replaced their homegrown knowledge solution in one of the U.S. subsidiaries. And now, with this third win, which is in the U.S. Consumer Banking Group, which, by the way, is the largest business unit, we are going to have our AI knowledge platform used across more than half the bank, over 100,000 users. And that's very exciting to us because it exemplifies the vision that we have been pursuing, and that is establishing a single source of truth which delivers trusted content across the business in the AI era. Turning to our products, in March, we launched the eGain AI Agent for Contact Center. This is the second of the offerings of our AI agent product capability. The first one was the eGain AI agent for customer self-service. Now, this contact center solution is a breakthrough conversational assistant that guides contact center agents to resolve customer issues across all touchpoints, so phone, chat, email. Unlike other solutions, the eGain AI agent delivers proactive real-time guidance beyond simple FAQs or narrow pre-programmed domain interactions. And it does so by using the trusted answers from our eGain Knowledge Hub. The solution connects out of the box with Amazon Connect, Genesis Cloud, and Salesforce. Plus, it has APIs to integrate with other CRM and CCaaS platforms. Now, we are seeing very good interest in the solution, particularly from businesses who in the past have struggled to get value out of the first wave of AI solutions in the market. One of our banking clients, existing ones, is already rolling out the solution for their contact centers. They are keen to reduce the variability of agent performance and improve compliance in the flow of service rather than policing for compliance and performance after the fact. Interestingly, they had tried out a couple of AI assistant solutions from their CCaaS provider and another vendor, but they could never scale it beyond the prototype. We are very excited about these AI agent offerings. We have two of them now. One, as I mentioned, for customer self-service, and now for the contact center agents. The easy try and use models that we have created we believe will accelerate new logo acquisition and innovation consumption among our clients. I'm also excited to note that during the quarter Gartner published their first emerging market quadrant for generative AI knowledge management apps. It's a mouthful, but this is a category that they have created. In this category, they rated eGain a leader, so in the upper right quadrant. This emerging category, as they call it, is defined by Gartner as technologies that enable companies to better retrieve and contextualize information and insight from their knowledge bases, including search and insight engines, conversational AI, and productivity tools, all toward communication and content development. In the AI era, as Gartner states, knowledge management is no longer a nice-to-have capability. It is a must-have infrastructure. An enterprise-wide system of record for trusted answers that power AI and empower all employees and customers. In this emerging market opportunity, we are focused. We are investing in it, and we are capitalizing on it. To conclude, while macro uncertainty impacted the timing of closing new deals during the third quarter, we are seeing good deal closure in the current quarter, starting with a mega bank deal that I mentioned. We launched our breakthrough AI agent for contact center offering during the quarter, and we are seeing very good customer interest. And finally, our strategic efforts and increased R&D investments over the past year are starting to show results. And we are starting to establish eGain as the trusted knowledge foundation for the AI enterprise. With that, I'll ask Eric Smith, our Chief Financial Officer, to add more color around our financial operations. Eric?