ZoomInfo Technologies Inc.

financial results 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 will need to press star 11 on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press star 11 again. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker today, Jerry Szczesinski, VP of Investor Relations. Please go ahead.

Thanks, Daniel. Welcome to ZoomInfo's financial results conference call for the fourth quarter and full year 2025. With me on the call today are Henry Schuch, founder and CEO of ZoomInfo, and Graham O'Brien, our chief financial officer. During this call, any forward-looking statements are made pursuant to the safe harbor provisions of U.S. securities laws. Expressions of future goals, including business outlook, expectations for future financial performance, and similar items, including without limitation, expressions using the terminology may, will, expect, anticipate, and believe, and expressions which reflect something other than historical facts, are intended to identify forward-looking statements. Forward-looking statements involve a number of risks and uncertainties, including those discussed in the risk factor section of our SEC filings. Actual results may differ materially from any forward-looking statements. The company undertakes no obligation to revise or update any forward-looking statements in order to reflect events that may arise after this conference call, except as required by law. For more information, please refer to the forward-looking statements in the slides posted to our investor relations website at ir.zoominfo.com. All metrics on this call are non-GAAP, unless otherwise noted. A reconciliation can be found in the financial results press release or in the slides posted to our IR website. And with that, I'll turn the call over to Henry.

Thank you, Jerry, and welcome, everyone. We entered the year strong with record quarterly revenue and results that beat the top end of our guidance. In the fourth quarter, we delivered revenue of $319 million, up 3% year over year, and adjusted operating income of $123 million, representing a margin of 38%, once again returning to Rule of 40 performance. In 2025, we delivered $1.25 billion in revenue with an AOI margin of 36%, and we grew free cash flow per share by more than 10% for the year. We also returned more than $400 million in capital to shareholders through share repurchases. all while investing in the business to drive innovation and build the GTM intelligence platform of the future. Our upmarket strategy is working. Upmarket again grew 6% in our seasonally largest upmarket quarter, triple the upmarket growth rate from a year ago. We now have 1,921 customers with more than $100,000 in ACV, the seventh consecutive quarter of adding logos to this cohort, And $100,000 customers now represent more than 50% of total company ACV. We also have a record number of million-dollar-plus customers. And in a quarter, we delivered a double-digit increase in logos year over year, accompanied by an even larger increase to the ACV within that million-dollar customer cohort. And more than half of our total ACV is now on long-term contracts. And that mix increased five points in 2025 alone. Customers are increasingly making long-term investments with ZoomInfo as they realize the clearly differentiated value of our platform. The migration to Copilot continues as planned, and as Copilot scales, we are pleased to see continued strong uplift as we renew customers at higher rates on the Copilot platform. Over 20% of our total ACV is coming from Copilot after it more than doubled in 2025. Success in our operations business continues to be driven by demand for actionable, high-quality data, a key foundation to power AI use cases. And operations, again, grew more than 20% year over year in the quarter. Our comprehensive data universe is the data advantage that organizations need to bring agents and workflows to life. ACV from operations is now nearly a fifth of our total ACV. 2025 was a year of fast-paced innovation as we rebuilt our product and engineering motions to be AI first and leverage AI and LLMs to improve our data quality and build out the broader ZoomInfo platform. Our data moat has always been the foundation. Over a decade of innovation and expanding patent portfolio and technology for aggregating and unifying B2B data that is nearly impossible to replicate. AI development tools have lowered the cost of building software. but they don't erode our advantage at the data layer. They accelerate what we can build on top of it. We are more than a horizontal software company, and AI has been an accelerant, expanding the use cases we power and the workflows where ZoomInfo shows up. Historically, our data powered specific prospecting and enrichment workflows, with AI expanding that surface area into two clear directions. demand for entirely new categories of data. We launched nine vertical data sets this year, franchise ownership, restaurant operations, commercial fleet intelligence, addressing specialized markets that generic B2B data never served. Second, new go-to-market use cases. Customers are using our data to power AI agents, build audiences programmatically, and run end-to-end campaigns that didn't exist two years ago. Operations, our data as a service platform, grew more than 20% year over year as we invested in data quality alongside that growth, adding over 10 million contacts and expanding coverage across six European markets. Because our customers' AI agents and workflows are only as good as the data powering them. That expanding surface area is why we built GTM Studios. an orchestration layer where revenue operations teams unify CRM data, warehouse data, and Zoom info intelligence in one workspace to build audiences, enrich with AI agents, and activate directly into downstream systems. We've seen strong traction, particularly from companies using AI tools like Cloud and ChatGPT alongside our platform. No other vendor in Dota market controls both the data layer and the application layer with end-to-end orchestration and execution. That's our structural advantage. But orchestration without execution is incomplete. Revenue teams still operate across six or more separate tools, CRM, contact databases, conversation intelligence, research platforms, AI assistance, and spreadsheets. That fragmentation wastes the intelligence we deliver. Most sellers today have no AI-native interface. GTM Workspace is our answer, a fully AI-native command center where sellers get full GTM context with natural language AI synthesizing CRM data, signals, and conversation history. Customers can go from idea to campaign to execution to ROI measurement in one system. Over 20% of our total ACV is now on our first AI platform co-pilot after it more than doubled in 2025. And as we expand Workspace to existing Copilot customers, we're seeing strong renewal uplift and opportunity to consolidate tool budgets. This is an enterprise-grade Workspace that deploys in weeks, not months. And we've made Zoom Info available where go-to-market work happens, beyond our own application. We integrated our data directly into Cloud through MCP server technology, allowing our customers to use AI agents for audience building, meeting prep, and email drafting, all powered by our data. We deepened integrations with Salesforce, HubSpot, and Microsoft Dynamics. Whether customers access our intelligence through our application, through an AI agent, or through something they built themselves, the data flows to where work happens. Positioning Zoom Info as the only platform that delivers intelligence, orchestration, and execution for modern go-to-market teams. As you consider the product innovation that has taken place in 2025, I would also emphasize that we deliberately took our time to get it right, and we've worked closely with customers to refine these products. We have not and will not optimize for any single quarter's results, but rather for the multi-decade opportunity we see in front of us. We are now ready to go on the offense with these new products commercially available in 2026, and those efforts are underway now with extraordinarily encouraging early signals, including with Monday.com's enterprise demand generation team, who used GTM Studio to unify data across internal and external sources, helping them build sophisticated audiences with enriched signals and activating them directly in their marketing campaigns, reducing campaign build time and enabling them to launch more targeted initiatives each quarter. They have described GTM Studio as a game changer. During the quarter, we closed up market opportunities with Hilton Hotel, Edward Jones, a leading financial services firm with more than 20,000 financial advisors, Kaseya, a fast-growing IT management and cybersecurity software provider for MSPs, and Ronstadt, a global provider of staffing, recruitment, and workforce solutions. We want a competitive RFP to transform a Fortune 500 company's contact data management across their $20 billion business after we analyzed 25 million contacts and demonstrated best-in-class contact management, including identifying new buying committee members to support their pivot to service-based solutions. The consultant they hired concluded that no other competitor came even close. Proving Zoom Info is the right strategic partner for go-to-market business transformation. We migrated a $30 billion global IT company to CoPilot by consolidating fragmented contracts across teams and subsidiaries into a single enterprise agreement with global data access and developer capabilities. These customer success examples and thousands more continue to illustrate why we are a critical piece of the go-to-market tech stack for some of the largest and most successful companies in the world. We are data and software used in concert. Whether you're working in cloud, using a bespoke vibe-coded app, or using a battle-tested, scalable, and secure piece of enterprise software, in every instance, whenever go-to-market is happening at scale, our data will continue to be critical to powering users and agents. No amount of AI makes that need for data go away. It only enhances the value that we create for these companies. AI multiplies the surface areas where go-to-market work happens and gives us new opportunities to monetize our go-to-market context graph and go-to-market data. Turning to capital allocation, I would first reiterate our commitment to using the majority of the cash we generate to repurchase ZoomInfo shares for as long as that is the best and highest return use of our free cash flow. Given the unprecedented negative sentiment of public markets toward anything software related, we believe our share price is completely disconnected from economic reality. As such, today we announced an additional $1 billion authorization for share repurchases, representing roughly 50% of our market capitalization. We have already retired nearly one quarter of our shares since the start of 2023, and we intend to opportunistically deploy this additional $1 billion while continuing to double down on execution. We have been presented with a generational opportunity to create value. While we can't control market forces, we do control our execution and our capital allocation. Our strong free cash flow generation and efficient operating model enable us to uniquely take advantage of the prevailing negativity. Equipped with our best products and our best leadership team ever, in 2026, we will rev our distribution engine and bring the go-to-market AI platform to all go-to-market professionals. We are confident in our path ahead and in our ability to sustainably deliver revenue growth and industry-leading profitability. We will continue to grow free cash flow per share while defining the future of go-to-market with solutions that help our customers win in increasingly competitive markets. With that, I'll turn the call over to Graham.