Rimini Street, Inc.

Good day and thank you for standing by. Welcome to the Remini Street First Quarter 2024 Earnings 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. Should you have a question, please press star followed by the number one on your touchtone phone. You will hear a prompt that your hand has been raised. Please be advised that today's conference call is being recorded. I would now like to hand the conference over to your speaker today, Dean Paul, Vice President, Treasurer, and Investor Relations. Please go ahead.

Thank you, Operator. I'd like to welcome everyone to Rimini Street's first quarter 2024 earnings conference call. On the call with me today is Seth Raven, our CEO and President, and Michael Parika, Today we issued our earnings press release for the first quarter and fiscal year ended March 31, 2024, a copy of which can be found on our website under investor relations. A reconciliation of GAAP to non-GAAP financial measures has been provided in the table following the financial statements in the press release. An explanation of these measures and why we believe they are meaningful is also included in the press release under the heading about non-GAAP financial measures and certain key metrics. As a reminder, today's discussion will include forward-looking statements that reflect our current outlook. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from statements made today. We encourage you to review our most recent SEC filings, including our Form 10Q filed today, for a discussion of risks that may affect our future results or stock price. Now, before taking questions, we'll begin with prepared remarks. With that, I'd like to turn the call over to Seth.

Thank you, Dean, and thank you, everyone, for joining us today. Rumini Street helps our clients achieve better business outcomes, such as significant IT operating cost savings, improved profitability, new competitive advantages, and accelerated growth. We achieved these goals by significantly lowering the costs, resources, and time needed to support and manage mission-critical transaction systems, such as ERP, financials, HCM, and CRM, while also assisting clients with innovative projects that include cloud, open source, automation, workflow, data, analytics, AI, reporting, application modernization, migrations, integrations, security, license management, and global IT governance. To date, we believe we have already delivered over $8 billion of savings and reinvestment opportunity to thousands of clients operating in nearly 150 countries. Rimini Street serves its growing client base with global operations across 21 countries and more than 2,100 employees. Our award-winning software support delivers an average engineer response time of less than two minutes, 24 by 7 by 365 days, and earns an average client satisfaction score of 4.9 out of 5, where 5 is excellent. 2024 Q1 activity and results. Although recurring revenue renewal and extension sales were in line with the first quarter plan, new client sales were more challenging. A number of new client sales deals failed to develop and close in the quarter, resulting in some deals slipping into future periods. In fact, several of the slipped deals have already closed in the second quarter. Significant wins in the first quarter include sales from Rimini Street's entire portfolio of solutions to leading global and regional brands across a variety of industries and geographies. To address the challenges, we continued our focus on hiring, training, and building out new solution sales capabilities globally. This includes sellers, sales management, sales support, regional marketing, and senior revenue executives. In January, we held a comprehensive sales kickoff to further develop the skills of more than 400 global revenue team members. The event was a week of rigorous training on the full Rimini Street portfolio solutions and how to successfully sell Rimini Street solutions to diverse industries and help clients achieve their strategic, financial, and operational goals. During the quarter, we continued the launch and rollout of our full portfolio of solutions globally, including our end-to-end ERP outsourcing solution, ReminiOne, for Oracle and SAP products, and our managed service solutions for Salesforce. Subsequent to the quarter, we announced the hiring of a new general manager for the EMEA theater, Martin Hugegger. who joined us from Adobe with a successful career in sales and regional management, and the hiring of our new Chief Revenue Officer, Stephen Hershkowitz, who joined us following extensive and successful sales strategy and leadership experience with HP, Cisco, and other companies. The biography of both executives can be found on our leadership webpage and in press releases that can also be found on our website. demand environment, and competitive advantage. We continue to see strong demand for a proven, reliable, trusted partner for mission-critical transaction system services that can significantly reduce IT spending and allow organizations to consolidate their preferred IT service providers for streamlined vendor management, increased aggregated purchasing power, and better business outcomes. Rumini Street has the broader portfolio of solutions needed to be recognized as a key IT service partner, and Rumini Street has a strong win rate on proposals.