TechTarget, Inc.

year 2023 financial results conference call. My name is Matt and I'll be your moderator for today's call. All lines will be muted during the presentation portion of the call for an opportunity for questions and answers at the end. If you would like to ask a question, please press star 1 on your telephone keypad. I will now have to pass the conference over to our host, Charles Renick with TechTarget. Charles, please go ahead.

Thank you, Matt, and good afternoon, everyone. The speakers joining us here today are Greg Straykosch, our Executive Chairman, Mike Gattoglia, our Chief Executive Officer, and Dan Norick, our Chief Financial Officer. Before turning the call over to Greg, we would like to remind everyone on the call of our earnings release process. As previously announced, in order to provide you with an update on our business in advance of the call, we've posted our shareholder letter on the investor relations section of our website and furnished it on an 8K. You can also find these materials with SEC free of charge at the SEC's website at www.sec.gov. A corresponding webcast as well as a replay of this conference call will be made available on the investor relations section of our website. Following Greg's introductory remarks, the management team will be available to answer questions. Any statements made today by tech targets that are not factual, including during the Q&A, may be considered forward-looking statements. These forward-looking statements, which are subject to risks and uncertainties, are based on assumptions and are not guarantees of our future performance. Actual results may differ materially from our forecast and from these forward-looking statements. Forward-looking statements involve a number of risks and uncertainties, including those discussed in the risk factors section of our most recent periodic reports on Forms 10-Q and 10-K. These statements speak only as of the date of this call, and TechTarget undertakes no obligation to revise or update forward-looking statements in order to reflect events that may arise after this conference call, except as required by law. Finally, we may also refer to certain financial measures not prepared in accordance with GAAP. The reconciliation of certain of these non-GAAP financial measures to the most comparable GAAP measures To the extent available without unreasonable effort, the company's our shareholder letter. And with that, I'll turn the call over to Greg.

Great. Thank you, Charlie. Well, the big news since our last earnings call was the announcement we made on January 10th. We entered into a definitive agreement with Informa, the combined tech target with Informa's tech digital business. The combined company will have increased scale with over 8,000 customers in over 20 countries. First-party purchase intent data from over 220 leading digital brands and a permissioned audience of over 50 million people. The combination increases our TAM by over 10 times as we will enter 18 new vertical markets with a unique end-to-end solution across the go-to market. The combination creates a company with a strong financial profile. We expect 2024 pro forma revenues to be over $500 million. Within five years, we expect revenue to grow to over $1 billion in revenue and at least 35% EBITDA margins. We structured the deal so our shareholders will get some immediate benefit by receiving an $11.79 per share in cash and long-term benefit for providing the opportunity for shareholders to participate in the value creation through a 43% stake going forward. In regards to the current environment, we came in slightly ahead of the high end of our Q4 guidance. This reflects a macro technology environment which customers remain cautious regarding their sales and market investment levels. We expect this dynamic to continue throughout 2024 because of uncertainty surrounding inflation, interest rates, the presidential election, and geopolitical issues internationally. I will now open the call to questions.