Jack Henry & Associates, Inc.

Good morning and welcome to the Jack Henry Third Quarter 2024 Earnings 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 like now to turn the conference over to Vance Sherrard, Vice President of Investor Relations. Please go ahead.

Thank you, Alan. Good morning, and thank you for joining us for the Jack Henry Third Quarter 2024 Earnings Call. Joining me on the call today is David Foss, Board Chair and CEO, Mimi Carsley, CFO and Treasurer, and Greg Adelson, President and COO. After my opening remarks, I will turn the call over to Dave for his comments on our business and the industry. After Dave concludes his comments, Greg will discuss our recent strategic benchmark survey, recent success metrics for multiple solutions, our strategic focus on AI, plus other key initiatives. Mimi will then provide commentary around the financial results and updated guidance included in the press release issued yesterday that is available from the investor relations section of the Jack Henry website. Concluding our prepared remarks, Dave will add some closing comments. We will then open the lines for Q&A. As a reminder, this call includes certain forward-looking statements, including remarks or responses to questions concerning future expectations, events, objectives, strategies, trends, or results. Like any statement about the future, these are subject to multiple factors that could cause actual results or events to differ materially from those which we anticipate due to multiple risks and uncertainties. The company undertakes no obligation to update or revise these statements. For a summary of these risk factors and additional information, please refer to yesterday's press release and the sections in our 10-K entitled Risk Factors and Forward-Looking Statements. On this call, we will discuss certain non-GAAP financial measures, including non-GAAP revenue and non-GAAP operating income. The reconciliations for non-GAAP financial measures are in yesterday's press release. I will now turn the call over to Dave.

Thank you, Vance. Good morning, everyone. I'd like to begin today's call by remembering Jack Henry board member Laura Kelly, who passed away unexpectedly on March 15th. Laura served on our board for over a decade and was a cherished colleague and friend to all who had the privilege of working with her. With over 30 years of experience in senior leadership roles, she brought invaluable insights, wisdom, and financial expertise to our organization. Beyond her remarkable professional achievements, Laura was known for her kindness, generosity, and unwavering dedication to making a positive impact. Our thoughts and deepest condolences go out to John and Jake and the rest of Laura's family during this incredibly difficult time. Let's now transition to our quarterly results. We're very pleased to report another strong quarter of revenue growth and overall business performance. As always, I'd like to thank our associates for all the hard work and commitment that went into producing those results for the quarter. For the third quarter of fiscal 2024, total revenue increased by 6% for the quarter and increased 7% on an on-gap basis. Operating income increased 3% for the quarter and increased 9% on an on-gap basis. Turning to the segments, we again had a strong quarter in the core segment of our business. Revenue was up by 7% for the quarter and increased 8% on an on-gap basis. Our payment segment performed very well, posting a 5% increase in revenue this quarter, and a 6% increase on an on-gap basis. We also had a solid quarter in our complementary solutions businesses with a 5% increase in revenue this quarter and an 8% increase on an on-gap basis. As I highlighted in the press release, this was our best third quarter ever for sales bookings. During the quarter, we inked 11 competitive core takeaways, with one of them being a multibillion-dollar institution. For the year, we've now assigned six multibillion-dollar institutions, topping last year's full year total of five. Additionally, we signed seven deals to move existing in-house core clients to our private cloud environment. We are seeing strong interest in our new financial crimes defender solution with 11 new contracts in Q3. Additionally, we signed 45 new contracts for our new financial crimes defender fraud module for the Zelle, FedNow, and RTP payments networks that uses artificial intelligence and machine learning to detect fraud and money laundering in real time. We continue to see success with our card processing solution, signing 14 new card processing clients this quarter. Our Bano digital banking platform remains very popular with 69 new signings in Q3, including 37 contracts for Bano business. We now have over 11.6 million users live on Bano, and we're continuing to add approximately 200,000 users per month. Even with our strong sales success in Q3, we continue to replenish our sales pipeline and keep it near an all-time high. As we look toward the end of our fiscal year, we remain very optimistic about the industry, the demand for our solutions, our ability to deliver outstanding service, and our long-term prospects for success. With that, I'll turn it over to Greg for more detail on our solutions and businesses.