Urgent.ly Inc.

Good afternoon, everyone, and welcome to Urgently's third quarter 2025 conference call. As a reminder, today's call is being recorded and your participation implies consent to such recording. At this time, all participants are in a listen-only mode. A brief question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star and zero on your telephone keypads. With that, I would like to turn the floor over to Jenny Mitchell, Vice President of Finance Strategy and Investor Relations. You may begin.

Thank you, Operator. Good afternoon, everyone, and thank you for joining us for Urgently's Financial Results Conference Call for the third quarter ended September 30th, 2025. On the call today, we have Urgently's CEO, Matt Booth, and Urgently's Controller and Principal Accounting Officer, Andy Mackay. Following Matt and Andy's prepared remarks, we will take your questions. Before we begin, I'd like to remind you that some of our comments today may contain forward-looking statements that are subject to risks, uncertainties, and assumptions which could change. Should any of these risks materialize or should our assumptions prove to be incorrect, actual company results could differ materially from these forward-looking statements. A description of these risks, uncertainties, and assumptions and other factors that could affect our financial results is included in our SEC filings, including our most recent annual report on Form 10-K for the year ended December 31, 2024, our quarterly reports on Form 10-Q, and other filings and reports that we may file from time to time with the SEC. Except as required by law, we do not undertake any responsibility to update these forward-looking statements. During today's call, we will also discuss certain non-GAAP financial measures. A reconciliation of GAAP to non-GAAP measures is included in our earnings materials and press release, which are available on our website at investors.geturgently.com. A replay of today's call will also be posted on the website. As you learned from our 8K and press release filed on September 22, 2025, NASDAQ formally notified Urgently that its net income from continuing operations had fallen below the minimum requirement. and that it did not meet the alternative listing criteria for market value of listed securities or stockholders' equity for continued listing on the NASDAQ capital market under NASDAQ Listing Rule 5550B. In response, urgently requested a hearing and presented before the NASDAQ panel on October 23, 2025. At the hearing, urgently presented its plan to regain compliance with the NASDAQ Listing Rules and requested an extension through February 16th, 2026 to achieve and demonstrate long-term compliance. Last week, on November 5th, 2025, the NASDAQ panel granted urgently the continued listing extension through the requested date. With that, I'll now turn the call over to Matt.

Thanks, Jenny, and good afternoon, everyone, and thank you for joining us today. I'm very pleased with our performance during the third quarter. The momentum is building across the business and I'm excited to provide an update on our recent progress. To begin, we're happy to announce that for Q3, we have achieved positive non-GAAP operating income. This is an important milestone. Let me begin with some other important highlights from our financial performance. We delivered $32.9 million in revenue for the third quarter, which was in line with our expectations and notably, our eighth consecutive quarter where we delivered on our revenue guidance commitment. In addition, we delivered our second quarter of modest sequential quarterly revenue improvement, which demonstrates early signs of our return to growth. For the third quarter, we achieved gross margin of 25%, which is again within our midterm outlook of the 25 to 30% range that we continue to reference as our longer term target. And this is a four point improvement over the third quarter last year, Over the last three years, we've improved Q3 gross margin by 13 points from 12% in Q3 22 to 25% in Q3 2025. In all, we reduced the non-GAAP operating expenses by 2.7 million or 25% when compared to the same period last year. And most notably, as I mentioned at the top of the call, we achieved non-GAAP operating income for Q3 25. I am so proud of the team and their hard work for achieving this milestone. The results reinforce our commitment to disciplined execution and long-term value creation, and this signals a profitability inflection point. As we have discussed previously, we are now focused on new account growth and expanding our market share. First, let me talk about revenue starting with renewals. As we've discussed on prior calls, a portion of our annual capacity is dedicated to securing revenue through renewals. and this is a big year for us. We're on pace for a productive renewal cycle with a handful of our OEM and fleet customer partners up for renewal. The specifics vary, but generally we are looking at contracts from two to five years in length. Next, we would like to provide an update on our progress in the insurance markets. Last quarter, we mentioned that we signed a new contract with a premium insurance provider. This contract is now scheduled to launch later this month. We are also currently in red lines with two additional insurance providers in the mid tier space. We are looking forward to providing transparent, high quality service to this previously underserved segment of the insurance market. We still believe that most of the single source roadside contracts will have two providers in the future. And this champion challenger model produced better results for partners. To this end, We have been awarded a pilot with a large-scale insurance provider, which provides us with an excellent opportunity to feature our technology and prove our value. We will provide more details on this in the coming months. We are also gaining momentum and securing revenue from new logos across the fleet, autonomous vehicle, and Affinity brand verticals. We have signed two new contracts and are in red lines with two others. Last quarter, we discussed that we signed a contract with a new EV manufacturer. In October 7th press release, we announced this partnership with Sony Honda Mobility of America to provide its Ophelia owners with reliable nationwide coverage across all 50 states and the District of Columbia. The vehicle and the Urgently logo were proudly displayed in Las Vegas at the InsureTech conference held at the end of September. Beginning with the U.S. delivery of the Ophelia One in 2026, Sony Honda Mobility customers will have access to Urgently's extensive network of mobility assistance providers. Our partnership with Sony Honda Mobility and their Ophelia brand centers on delivering exceptional customer assistance experience that matches their groundbreaking vehicle. We anticipate Ophelia customers to be digitally sophisticated, expecting seamless high-quality service when assistance is needed. which perfectly aligns with our technology-driven approach to roadside assistance. With this agreement, we are already preparing service integration to align to the Ophelia One delivery to ensure that roadside assistance will be ready from day one. Our digitally native platform leveraging AI and machine learning has given us substantial operating scale and credibility in the market by creating predictive models to enhance performance for partners using temporal, spatial, and network data. On that front, we look forward to sharing even more about our capabilities in these areas. Our company website is undergoing a much needed refresh and update. We have transformed this experience to showcase our platform and product features, data analytics, dashboards, products, including our full suite of AI machine learning capabilities and our service and solutions offering. Our website relaunch will be in the next few weeks. As Jenny mentioned earlier, we are actively pursuing strategies to comply with our NASDAQ listing requirements. More specifically, these strategies are focused on recapitalizing our balance sheet. For those that have been following our journey and are familiar with our financials, the recapitalization of our balance sheet is expected. We do believe that this is a key and necessary step to unlocking incremental value for shareholders, especially as we are pivoting to profitability, gaining momentum and new account growth. and producing high customer satisfaction scores, which are currently at 4.6 out of five stars. We are looking forward to providing updates on all of these topics as we are able. As we look ahead to 2025, our growth priorities remain returning to growth by expanding our existing B2B incident business through securing renewals, expanding relationships with existing customer partners, and developing new customer partner opportunities. Continuing to maintain non-gap operating break-even through our operational improvements, margin expansion, and managed growth. Transforming the market for roadside solutions with product innovations that differentiate urgently from our competitors, improve our margin, and provide exceptional experiences for our customer partners and drivers. We plan to enter new and adjacent markets in the future. It's been a fantastic quarter, and I am proud of all the progress we have made. The momentum is exciting, and I look forward to the remainder of the year ahead. Thank you again for your time and continued support. I'll now turn the call over to Andy to discuss our financial results.