SPS Commerce, Inc.

Good day and welcome to the SPS Commerce Q4 2025 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 now like to turn the conference over to Ermina Blanchek, Investor Relations for SPS Commerce. Please go ahead.

Thank you, Kim. Good afternoon, everyone, and thank you for joining us on SPS Commerce fourth quarter and full year 2025 conference call. We will make certain statements today, including with respect to our expected financial results go-to-market strategy and efforts designed to increase attraction and penetration with retailers and other customers. These statements are forward-looking and involve a number of risks and uncertainties that could cause actual results to differ materially. Please note that these forward-looking statements reflect our opinions only as of the date of this call, and we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. Please refer to our SEC filings, specifically our Form 10-K, as well as our financial results press release for a more detailed description of the risk factors that may affect our results. These documents are available at our website, sposcommerce.com, and at the SEC's website, sec.gov. In addition, we are providing a historical data sheet for easy reference on the investor relations section of our website, sposcommerce.com. During our call today, we will discuss adjusted EBITDA financial measures and non-GAAP income per share. In our press release and our filings with the SEC, each of which is posted on our website, you will find additional disclosures regarding these non-GAAP financial measures, including reconciliations of these measures with comparable GAAP measures. And with that, I will turn the call over to Chad.

Thanks, Hermina, and good afternoon, everyone. Thank you for joining us today. The fourth quarter of 2025 marks SPS Commerce 100th consecutive quarter of revenue growth, highlighting the company's pivotal role in driving efficient collaboration among trading partners as omni-channel retail has evolved and supply chains have grown increasingly complex. We delivered solid fourth quarter and full year results despite a challenging macroeconomic backdrop and tariff-related uncertainty. which contributed to spend scrutiny and delayed purchase decisions throughout the year and continued to impact our customers in the fourth quarter. For the full year 2025, revenue grew 18% to $751.5 million. Recurring revenue grew 20%, driven by fulfillment growth of 22% year over year. SPS's sustained and profitable growth and ongoing expansion of our network demonstrate our success in delivering the products and services that retailers and suppliers depend on to strengthen their collaboration and drive continuous improvement. In 2025, we acquired Carbon 6 to build on the SPS acquisition of Supply Pike in the prior year and extend the reach of our network with clear leadership in revenue recovery solutions. Revenue recovery represents a $750 million addressable market across 1P U.S. sellers, and a significant cross-selling opportunity within our network, which we have highlighted throughout the year. For example, All Star Innovations offers turnkey solutions for taking products from concept to consumer. They have been an SPS fulfillment customer since 2022 and started using the revenue recovery solution last year for several retailers, including Walmart, Target, Home Depot, and Amazon. CyberPower Systems, a global manufacturer of power protection and management solutions, is a longstanding fulfillment customer. To drive further efficiencies across their supply chain, they leverage revenue recovery for some of their key customers, including Amazon, Walmart, and Home Depot, and recently added Amazon Canada. Other recent examples of customers who are realizing the benefits of revenue recovery include Outdoor Cap, one of the world's leading headwear manufacturing and importing companies. TaylorMade, an American sports equipment manufacturing company, and EOS, a beauty and skin care company, and Bungie, a global agribusiness and food company. Over the years, we expanded our portfolio of solutions through acquisitions and product innovation to support the evolving needs of our growing network, while strengthening longstanding partnerships, many of which have spanned decades. As we're celebrating 100 consecutive quarters of growth, I wanted to highlight a customer who has partnered with us throughout that journey. Wolverine Worldwide is a global marketer of branded footwear, apparel, and accessories. They began as a fulfillment customer with a single connection and grew within our network by connecting to additional retailers and eventually subscribing to analytics. Building on this long-standing relationship, we recently supported Wolverine's expansion into Europe. resulting in a successful go-live on fulfillment with over 300 trading partners. Trader Joe's, a national chain of over 600 neighborhood grocery stores, rolled out EDI requirements across the entire vendor base to reduce manual processes, improve order selection efficiencies, reduce shipping errors, and prepare for future growth. With SPS's fulfillment solution, Trader Joe's is accelerating progress toward 100% vendor compliance. Gemplers, a trusted retail brand for farm and home supply products, recently switched to SPS Commerce in an effort to improve order automation and support omnichannel growth. Gemplers opted for SPS's supply chain performance suite and increased EDI compliance from three to nearly 100 vendors. Petco, a pet retailer who operates in over 1,500 locations in the U.S., Mexico, and Puerto Rico, leveraged SPS's retailer management solution to transition over 700 suppliers to standardized digital supply chain requirements. As a result, the retailer reduced manual data reconciliation, delivered measurable efficiency gains, and improved trading partner performance tracking. SPS is committed to ongoing innovation to support customers on their journey to modernize their supply chains. We recently introduced our new agentic capabilities embedded into the SPS supply chain network called MAX. Offering new AI functionality, MAX draws on hundreds of thousands of trading connections, decades of expertise, proprietary network intelligence, and billions of transactions to help our customers unlock greater value from AI. Put simply, By leveraging the data across our network, SPS is competitively positioned to deliver more meaningful and scalable AI enhancements across our product portfolio to better address the trends that are shaping the future of supply chain collaboration. With that, I'll turn it over to Kim to discuss our financial results.