Thryv Holdings, Inc.

Ladies and gentlemen, good afternoon. My name is Abby and I will be your conference operator today. At this time, I would like to welcome everyone to the Thrive First Quarter 2022 Earnings Conference Call. Today's conference is being recorded and all lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, simply press the star key followed by the number one on your telephone keypad. If you would like to withdraw your question, press star one once again. Thank you. And at this time, I would like to turn the conference over to Cameron Lessard, Director of Investor Relations and Capital Markets. Mr. Lessard, you may begin your conference.

Good morning, and thank you for joining us on today's conference call to discuss Thrive's first quarter 2022 financial results. With me on today's call are Joe Walsh, Chairman, and Chief Executive Officer, and Paul Rouse, Chief Financial Officer. Before we begin, I'd like to remind you that shortly before today's call, we issued a press release announcing our first quarter 2022 financial results. We also published an investor presentation on our website at investor.thrive.com. Please note that information regarding our quarterly performance and guidance can be found towards the back of the presentation. I would like to remind listeners that some of the comments made on today's call and some of the responses to your questions may contain forward-looking statements about the operations and future results of the company. These statements are subject to the risks and uncertainties described in the company's earnings release and other filings with the SEC. Thrive has no obligation to update the information presented on the call. Also on today's call, our speakers will reference certain non-GAAP financial measures, which we believe will provide useful information for investors Reconciliation of those measures to GAAP will be posted on the Investor Relations website. With that introduction, I would like to turn the call over to Joe Walsh.

Thank you, Cameron, and thank you all for joining us on today's call. Q1 was yet another strong quarter for Thrive, with revenue and EBITDA all beating, so we're raising it. Let's jump into the headlines. Total SaaS revenue grew 29% in the first quarter. SAS subscribers are growing nicely now at 47,000 subscribers, so we're on track for double-digit subscriber growth. We had previously said that we thought we could achieve a little better balance between subscriber growth and ARPU growth, and that's beginning to play out and I think being demonstrated by these numbers. Engagement is still really good and increasing. Monthly active users are up 16% year over year. our daily and weekly cohorts growing even faster at 21%. So people really engaging and using the software, which has been our North Star driving to that engaged user. Retention remains solid. Season churn is steady in the mid ones, which is world-class when you're dealing with very small businesses as we are. And season net dollar retention is now 93%. We had an investor day about a month ago in New York City, and it was really exciting for us to get a chance to meet a lot of our investors who have gotten behind the story and meet them in person, which was great. We outlined the way we see this decade playing out, the mega trend of small businesses adopting the cloud tools following enterprises from last decade. We talked about the platform role that we believe Thrive can play within this greater ecosystem. We outlined a goal of getting to $1 billion in SaaS revenue in 2027. $4 billion in 2032. And we still are really confident that that's a very realistic type of goal. And we laid out the measurements by which you can kind of keep an eye on our progress, the levers we're going to use to get there, and the signposts along the way. So if you missed that investor day, you can go to our website and you can dig in, see the presentations, see some video on it, learn more about us there. We believe that this year is off to a terrific start. So with that,