Wix.com Ltd.

Good day, and thank you for standing by. Welcome to the WIX Q3 2022 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during that session, you will need to press star 1-1 on your phone. Please be advised that today's conference is being recorded, and I would now like to hand the conference over to your speaker today, Ms. Emily Liu, Investor Relations Analyst. Please go ahead.

Thanks, and good morning, everyone. Welcome to WICS's third quarter 2022 earnings call. Joining me today to discuss the results are Avishai Abrahami, CEO and co-founder, Nir Zohar, our president and COO, and Lior Shemesh, our CFO. During this call, we may make forward-looking statements, and these statements are based on current expectations and assumptions. Please consider the risk factors included in our press release and most recent Form 20F that could cause our actual results to differ materially from these forward-looking statements. We do not undertake any obligation to update these forward-looking statements. In addition, we will comment on non-GAAP financial results and key operating metrics. You can find all reconciliations between our GAAP and non-GAAP results in the earnings materials and in our Interactive Analyst Center on the Investor Relations web section of our website, investors.wix.com. With that, I'll turn the call over to Avishai.

Thanks, Emily, and good morning, everyone. Thanks for joining us today. I want to start today's call with a few highlights from the quarter and provide an overview of some exciting new products we recently announced. Nir and Leo will then share more details on our operation and financial results. And then we will take some questions. Despite continued uncertainty, the strong fundamentals of our business, along with great execution, led to revenue growth ahead of our expectation and significant improvement in profitability. Revenues in Q3 were $346 million, or 8% growth year over year. On a constant currency basis, revenues were $351 million, or 10% growth year-over-year. We consider our global reach to be one of the key competitive advantages. However, given the recent changes in foreign exchange rates, it has become a meaningful headwind to our financial results. Our free cash flow this year would be more than double if you assume year-over-year constant currency rate. One, there is a great deal of uncertainty and volatility in the macro economy, which we expect will continue into 2023. We are focused on what is under our control. We are already seeing the result of the cost reduction plan we put in place last quarter, with improvements to margins and free cash flow this quarter. A non-GAAP gross profit grew more than 10% year-over-year, resulting in a non-dub gross margins of 63%. We return to positive cash flow, excluding the investment in our new headquarters. Given the successful execution, I'm happy to say that we are on track to achieve our free cash flow margin targets for this year and next year that we outlined in our three years plan. We also continue to focus on building a platform to be the leading destination for creating and managing an online presence for self-creators, professionals, and developers. A platform is built to meet the needs of any type of user and any type of business. And we continue to add products, services, and solutions to the platform to deliver more value to our users and partners and help them succeed online and offline. As part of our strategy in growing partners' revenue, we've built more of a platform for designers and developers. We intend to continue and expand and open up platforms to accelerate more powerful solutions for developers. To highlight our commitment to this community, in September, we hosted our first-ever developer conference with DevCon in New York. Hundreds of developers joined us as we introduced new capabilities and heard of their feedback on how they use Wix. At DevCode, when we announced Wix Blocks, a new high-velocity ecosystem that enables professionals, designers, to build responsive and customizable components. These components are then reusable across multiple websites built in Wix and Editor X. Wix Blocks enables professionals to create an application with the ease of drag and drop and allow them to work concurrently on the same project. All of these features increase developer productivity and efficiency. We've been using Wix blocks internally, and I can say it has created a very positive change in our day velocity here. We believe that this offering will bring more developers and projects to Wix and create a more rich experience for them and others. We also announced our new e-commerce vision, a new platform that provide developers with the freedom and flexibility to build scalable custom e-commerce experiences for any business needs. Wix Blocks and the new Wix e-commerce platform are just two examples of how we are expanding our offering for professionals coming to Wix and growing the value of our platform. We remain committed to delivering the best-in-class products and services to all of our self-creators and partners to allow them to create and succeed Before I hand it over to Nir, I just want to thank the entire team here at Wix for all of their hard work and for their continued focus on our users and their needs. I'll now hand it over to Nir to talk a bit more about Q3 and provide an operational update.