Paya Holdings Inc.

Good morning, ladies and gentlemen, and welcome to Paya Holdings, Inc. Third Quarter Earnings Conference Call. At this time, all participants are on a listen-only mode. If anyone should require operator assistance, please press star and then zero on your telephone. A question and answer session will follow the formal presentation. As a reminder, this conference call is being recorded, and today's discussion will contain forward-looking statements based on our current assumptions, expectations, and beliefs, including financial guidance, the growth of Paya's business, our objectives, and business strategies, as well as other forward-looking statements. Please refer to disclosure at the end of the company's earnings press release and form 8K filed with the SEC for information about forward-looking statements that will be made or discussed on the call. All statements made today reflect our current expectations only, and we undertake no obligation to update any statements to reflect the events that will occur after this call. You can learn more about the specific risk factors that could Calls are actual results of different material from today's discussion in the risk factor session in the company's form 10-K filed with the SEC March 2022. And in subsequent periodic reports that the company's filed with the SEC. Also during the call, we discussed certain non-GAAP measures of our performance, GAAP to non-GAAP financial reconciliation, and supplemental financial information are provided in the earnings press release and the 8-K file with SEC. This call is also available via webcast. You can find all information I have just described in the investor relations section of Paya's webcast. Please note we'll also post a supplemental third quarter 2022 presentation to the investor relations section of the Paya webcast. Now joining us on the call today are Paya CEO Jeff Hack and CFO Glenn Rizzoli. Following the prepared remarks, we will open the call to your questions. With that, I will now turn the call over to Jeff.

Thank you, Operator, and good morning, everyone.

Thanks for joining us today as we review PIA's third quarter 2022 financial results and the efforts underway to further accelerate our growth. At the conclusion of my remarks, Glenn will cover our detailed financial results, and then we'll take questions. PIA reported another quarter of strong financial results led by our integrated solution segment and our proprietary ACH offerings. These two growth engines, which continue to capitalize on the secular shift in our markets towards payment agnostic software-led commerce, represented nearly 80% of total PIA revenue. In the third quarter, payment volume grew 14% to $12.6 billion. Total revenue grew 13% to $71.4 million, and adjusted EBITDA grew 14% to $18.6 million. Our third quarter results reflect the momentum we continue to see in our high growth under-penetrated and less cyclical end markets, coupled with our continued investments in the business. As a reminder, in any given quarter, the vast majority of our revenue growth comes from the continued penetration of our exceptional partners in durable end markets, principally B2B, not-for-profit, healthcare, and government. This quarter was no exception, with growth primarily driven by partners in each of these verticals and bolstered by continued strong retention, which itself is a testament to the value of powerful integrated solutions and Paya's great customer support in high quality end markets. I'm also pleased to highlight selected new customer wins in the quarter, each of which contributes to Paya's future growth trajectory. We are proud to now include Feeding America as a PIA customer. Feeding America is the nation's largest domestic hunger relief organization, serving 40 million people, including 12 million children and 7 million seniors. Feeding America chose PIA due to integrations with Feeding America's business platform, as well as PIA's differentiated features, support, and reporting capabilities. Paya is proud to support Feeding America's phenomenal mission to advance change in America by ensuring equitable access to food. Another great example is our recent win of California-based international shoe and apparel company K-Swiss Global Brands. Paya was chosen for our robust ACH payment solutions that integrates into their existing ERP systems enabling a seamless experience for their B2B corporate customers to pay invoices online while also providing lower cost ACH, which is often appropriate for larger transactions. Innovation continues to be a key growth lever at Paya, and we remain on track to deliver on our 2022 technology investments, enriching our B2B AR solutions continued enhancement of our partner portal and reporting UX UI, as well as key enhancements to our proprietary ECH platform. These investments help accelerate growth in key areas, which allow us to continue to capture a strong share of a multi-trillion dollar fast growing TAM. Specifically in the quarter, we launched our new citizen portal, which is the next innovation for Pai is offering in the municipal government sector. The launch of this portal geared towards bill paying citizens and employees at Pius Municipal clients was created to make it easier for citizens to view bills and make payments, as well as improving the transactional relationships between municipalities and their citizens through next generation citizen engagement functionality. This new software will help drive electronic adoption, including auto pay recurrence, increase the win rate of our direct sales force, and help drive engagement with ISV partners in this vertical. In PayaGov, we are also seeing implementation times continue to trend down and Paya's ability to implement quickly is an increasingly important decision factor in our new wins in the government vertical. This trend is expected to continue to accelerate with the launch of the new citizen portal. More broadly, the pace of innovation at Paya has never been faster and is complemented by past and present investments in technology infrastructure, as well as Pai's well-tuned technical and operational support. I would also like to take a moment to update you on an exciting change we recently made. As Pai has continued to grow and thrive, we've been increasingly dedicating and aligning resources to three of the fastest-growing end markets within our integrated solutions business, which are B2B, government, and strategic verticals. which includes nonprofit, healthcare, and insurance. Each of these end markets now have dedicated leadership and teams working across sales, marketing, product, and customer success. To a large extent, this simply formalizes our commercial operating model by ensuring that Paya Talent is organized around our client end markets for innovation, domain depth, quality, and speed of execution, all of which help maximize Paya's growth potential. We, of course, continue to gain terrific operating leverage across PIA in areas such as technology, infrastructure, back office, finance, and people operations. On capital allocation, our priorities haven't changed. We remain focused on organic growth through the continued and ongoing investment in our people and solutions in order to extend our market leadership while expanding our addressable market. M&A also remains a key focus area for us, and complements the organic growth profile of the business. We continue to work an active pipeline of M&A opportunities and remain both disciplined and enthusiastic to execute strategic and accretive acquisitions. Before turning it over to Glenn, a few words about driving a great growth company amid heightened uncertain macro. The combination of Pi's exceptional and more durable end markets along with strong profitability, cash flow duration, and balance sheet, provide excellent conditions to remain laser focused on quality top and bottom line growth for the medium term, while also delivering solid short-term results along the way. With that, I'll turn it over to Glenn to walk you through the financials in a bit more detail. Glenn?