Udemy, Inc.

Good day and welcome to the Udemy fourth quarter and full year 2022 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 touch-tone phone. To withdraw your question, please press star then two. Please note this event is being recorded. I would like to turn the conference over to Dennis Walsh, Udemy's Vice President of Investor Relations. Please go ahead.

Thank you, and welcome to Udemy's fourth quarter and full year 2022 earnings conference call. Joining me today are Udemy's Chairman and Chief Executive Officer, Greg Kukari, President of Udemy Business and incoming CEO, Greg Brown, and Chief Financial Officer, Sarah Blanchard. During this conference call, we will make forward-looking statements within the meaning of federal securities laws. These statements involve assumptions and are subject to known and unknown risks and uncertainties that could cause actual results to differ materially from those discussed or anticipated. For a complete discussion of risks associated with these forward-looking statements, we encourage you to refer to our most recent Form 10-K and Form 10-Q filings with the Securities and Exchange Commission. Our forward-looking statements are based upon information currently available to us. We caution you to not place undue reliance on forward-looking statements, and we do not undertake and expressly disclaim any duty or obligation to update or alter our forward-looking statements except as required by applicable law. In addition, during this call, certain financial performance measures may be discussed that differ from comparable measures contained in our financial statements prepared in accordance with U.S. generally accepted accounting principles referred to by the Securities and Exchange Commission as non-GAAP financial measures. We believe that these non-GAAP financial measures assist management and investors in evaluating our performance and comparing period-to-period results of operation in a more meaningful and consistent manner as discussed in greater detail in the supplemental schedules to our earning release. A reconciliation of these non-GAAP measures to the most comparable GAAP financial measures is included in our earnings press release. These reconciliations together with additional supplemental information are available on the investor relations section of our website. A replay of today's call will also be posted on the website. With that, I will now turn the call over to Greg.

Thank you, Dennis, and good afternoon to everyone on the call. Udemy completed its first full year as a public company with results that met expectations on the top line and exceeded the high end of our range for adjusted EBITDA margin. I am proud of these results and our overall performance despite a very challenging macroeconomic environment and unfavorable FX headwinds. As you know, after four years as Udemy CEO, I will retire at the end of the month. This has been an exciting opportunity and the most rewarding role of my career. I am thrilled to pass the baton to Greg Brown, who has served alongside me as president of Udemy Business for the past two years. Greg's deep executive leadership and enterprise sales experience has been an invaluable asset from the start. He has quickly scaled our enterprise business and built a powerful go-to-market engine that has more than doubled our ARR in two years. Greg is passionate about learning and our mission, and I am confident that he is the best executive to lead Udemy through the next stage of growth. It is a bittersweet moment, however, since we shared with our employees yesterday that we are reducing our global workforce by 10%. We are taking steps to better align our cost structure with our expectations for revenue, demand, and profitability. This decision was extremely difficult, since the talented team members that were impacted all contributed to Udemy's success. It is with a heavy heart that we wish our departing colleagues all the best. We are committed to supporting them as they transition to their next opportunity. Looking ahead, we believe this action positions us well to balance growth and margin expansion in a challenging environment. Going forward, the company is in good hands with Greg and the rest of the Udemy leadership team. as I plan to stay on for a year as an advisor to support a seamless transition. Since this is my last call, I want to send a warm thank you to the analysts and investor community that supported me, Udemy, and our entire team as we took the company public, our customers and learners around the world for choosing Udemy as their learning platform, our instructors for creating the impactful content that sets our company apart, and finally, to my colleagues at Udemy. for your hard work in advancing our mission in building this great business. With that, I'll now turn the call over to Udemy's next CEO, Greg Brown.