STAAR Surgical Company

good morning everyone and good morning everyone and welcome to sabio holdings q2 2025 earnings call the financial statements and mdna have been filed and can be accessed through the cdar website today is wednesday august the 27th 2025 and joining us are aziz rahim tula founder and ceo and sajid premji cfo of sabio holdings They will be presenting the company's Q2 2025 results and developments, followed by a Q&A session. Analysts can ask questions live by pressing the raise hand button to unmute. Investors are encouraged to submit their questions via the Q&A box, and we will address them at the end of the session with any questions. along with any questions submitted in advance. Before we begin, I would like to remind everyone that certain statements made today may contain forward-looking statements that are subject to known and unknown risks, uncertainties, and other factors. For a complete description of the risks and uncertainties facing the company, please refer to the MD&A and other continuous disclosure filings, which are also available on the CDAR website. Also note that all figures discussed today are in US dollars, unless stated otherwise. With that, I'll turn it over to Aziz.

Thank you, Martin, and good morning, everyone. In a year without election tailwinds and terror pressures, this quarter highlights Sabia's ability to deliver strong results through consistency, innovation, and diversification, positioning us well for even greater success ahead. This quarter also reflects both the resiliency of our business and the rapid adoption of our new products, going into what promises to be a very lucrative 2026 US election cycle. We continue to maintain a 92% recurring revenue model, powerful validation of how our AppSign's data-driven approach drives positive client outcomes. In today's environment, ROI and return on ad spend matter more than ever. Our propriety 80 million cross-screen household graph delivers measurable value to both brands and agencies through better insights and outcomes. Now talking about innovation, growth at Sabio has always been fueled by anticipated shifts and executing ahead of the curve. From the building and execution of our propriety app science household graph in 2016, when mobile apps were not as prevalent and streaming apps really didn't exist, Sabio was there. Today, where our ad-supported streaming business now accounts for 60% of revenue and our largest contributor to annual growth. To our international expansion, launched in 2023, already generating meaningful revenue, where revenues are up four times year over year with tangible growth ahead and geographic diversification becoming a reality. to the explosive growth of our new programmatic product launched in 2025. In the first half of this year alone, sales grew an average of 94% month over month. and most recently, the launch of Creator Television in January of 2025. Now, one of the fastest growing creator-driven streaming channels in the streaming space today. Viewership has surged more than 300% across streaming partners, including Comcast's Zumo, Plex, Sling, Amazon Fire TV networks, with more added monthly. The creator economy is real. Category where spending is estimated to be $52 billion. Yes, I mean billion by 2030. Taken all together, our consistent revenue, rapidly adopted new products, and geography expansion are providing both predictable growth and revenue diversification. We already built one of the best ad serving technologies in Sabio, one of the best analytics engines in app science, and now have tremendous momentum building one of the fastest growing creator-inspired television networks in creative television. We are beyond excited about all we have accomplished and what more there is to come. I'm now going to hand it over to Sajid Premji to dig into the details a little bit more. Sajid.

Thanks Aziz. We are pleased to report a record second quarter revenues in our fifth consecutive quarter of double digit revenue growth. Our shift to a streaming sales model from a mobile display dependent model continued to deliver a robust compound annual growth rate, increased customer retention, and has captured substantial cost efficiencies. For the three months ended June 30th, 2025, Savio generated 11.2 million US in sales, up 25% from the prior year, or 29% excluding political sales. The increase in sales was once again fully organic and driven by strong advertising demand, broader client adoption and key verticals, and expansion into new geographies in combination with new product offerings and previous investments made. Double-digit growth rates were realized across several geographies within Savio's footprint, including from the companies New York, Los Angeles, and Detroit offices. Meanwhile, the company's advocacy business and international business out of the United Kingdom continue to demonstrate robust strength, compounding at triple-digit growth rates. By segment. ad-supported streaming sales grew 8% to a record 7.4 million U.S. compared to 6.9 million U.S. in the same period last year. Excluding political campaigns, ad-supported streaming grew 13%, marking our sixth consecutive quarter of double-digit growth in our core ad-supported streaming business. Included in second quarter ad-supported streaming sales were approximately 342,000 and programmatic ad sales recognized net immediate costs. The increase in revenues was spread across several verticals, including automotive, finance, lottery, legal and professional services, and advocacy. For the first half of 2025, Sabio's 21% growth in asset-supported streaming sales once again outpaced the estimate of 13% growth rate for the U.S. asset-supported streaming market at large as we continue to take market share. Isabio's dominant sales category, accounting for 70% of our overall sales mix in the first half, our ad-supported streaming sales feature predictable and sustained growth through very high customer retention rates. 92% of our first half sales, normalized for political sales, came from repeat customers. Additionally, second quarter mobile ad sales increased 88% to 3.5 million US from 1.9 million US in a prior year, reflecting strong adoption of Savio's new performance marketing offering and increased use of non-OTT mobile video. Savio's end-to-end technology stack. powered by a proprietary AppSci's cross-screen graph and featuring several direct supply integrations, continues to yield strong gross margins, with second quarter margins remaining consistently strong at 61%. Furthermore, programmatic ad sales recognized into consolidated revenues net immediate costs benefited gross margins by approximately 1.2%. Savio's programmatic sales typically feature lower gross margins compared to its managed service offerings, but also feature a lower OpEx profile. If the company's programmatic sales continue to make up a great proportion of Savio's overall sales mix, we expect downward pressure on margin to be gradually offset to greater OpEx efficiencies. With approximately 60 to 70% of our sales taking place in the second half of the year, the company has historically incurred first half losses followed by second half profitability. Our second quarter adjusted EBITDA loss was 1.2 million compared to a loss of 300K in a prior year's period. The loss was driven by investments in our new Creator TV, programmatic and performance marketing offerings, international expansion, which we'll also soon discuss further. Also contributing to the loss was a $532K increase in cloud computing costs over the prior second quarter as usage began to normalize from fourth quarter investments that will enhance the company's data security, capture AI-driven efficiencies, and facilitate a robust data platform for continued growth. With the heaviest investments undertaken in the first quarter, Savio saw a 15% sequential reduction from the previous quarter, despite increased business activities. Going forward, management remains intently focused on unlocking further efficiency gains within the platform. Savio ended the quarter with $2.2 million in cash. Delving deeper into Savio's newest product offerings and geographical expansion, it is clear that our investments are already paying off, with substantial benefits still to be realized over the coming quarters. Creator TV continued to expand its distribution during the second quarter. Since its launch, the channel's average viewership has grown by over 300% across several platforms, including Comcast Sumo Play, Plex, Sling, and Amazon Fire TV. Our new programmatic CTVLTT offering has seen a 94% month-over-month revenue growth in the first half of the year. Meanwhile, sales from our international business have quadrupled over the prior years, with triple-digit growth rates continuing on into the third quarter. It is also worth reiterating that our new performance marketing offering helped underpin a robust 88% surge in second quarter mobile ad sales. Finally, Sabio's sales force has grown nearly 40% in 2025 with most hires being made within the last six months. The company has already realized early returns from these investments with new logos to Sabio representing 33% of our first half brand mix. Historically, it takes close to six months before a new seller starts to contribute with a meaningful ramp up thereafter. Therefore, While we have already reached early returns through diversifying client base, the substantial benefits of our investments are expected to be realized in the second half of 2025 and into the 2026 election year is our newest sellers ramp up. Savio's debt load consists of 1.7 million in short and long-term debt instruments and 6.4 million outstanding under a three-year revolving credit facility backed by Savio sales. This facility is used to borrow against eligible accounts receivable of the company, effectively bringing the collection of receivables forward to the draw date, similar to a factoring arrangement. Savio's receivables have historically experienced a nominal loss rates due to a customer base that is largely composed of the most significant US brands in the advertising agencies. When the cash receivables are collected on, the amounts received are first directly paid towards the outstanding loan balance, which the company can then use for working capital purposes through subsequent withdrawals. As a result, the facility is continuously being repaid as AR on sales is collected upon. At quarter end, we had 50.6 million shares outstanding 3.4 million options in RSU's outstanding, and subsequent to quarter end, Sabio retired all 1.7 million Canadian of convertible notes, or approximately 1.3 million in U.S. dollar terms, through a new 1.8 million Canadian debenture financing, described in part by Sabio's CEO. The financing reduced Sabio's fully diluted share count by approximately 1.7 million. Our acquisition of Vidillion in 2022 remains our only material dilutive event since going public in 2021. Insiders own 54% of the company, with high alignment between our management team and the interests of our shareholders. Looking ahead, macroeconomic certainties continue to weigh on current advertising budgets, presenting near-term challenges across the industry. That said, Savio's high repeat revenue rates, rapid programmatic adoption, and ongoing international expansion positions the company well as we approach a traditionally strong fourth quarter in the 2026 midterm election year, where our compound annual growth rate has historically exceeded 60% in election year periods. I will now turn it over to Aziz, who will provide a quick recap.