zSpace, Inc.

Hello, and thank you for participating in today's conference call to discuss ZSpace's financial results for the third quarter ended September 30th, 2025. Joining us today are ZSpace CEO, Paul Kallenberger, and CFO, Eric de Oliveira, and Greg Robles from Investillations. Following their remarks, we'll open the call for analyst questions. Before we go further, I would like to turn the call over to Mr. Robles as he reads the company's safe harbor statement Greg, please go ahead.

Thanks, operator. Good afternoon, and thank you for joining our conference call to discuss our third quarter 2025 financial results. Before we begin, I'd like to remind everyone that certain statements made on this call may be considered forward-looking statements. These statements are based on our current expectations and beliefs and are subject to risks and uncertainties that could cause actual results to differ materially. Additionally, we may discuss certain key business metrics, which are non-GAAP financial measures. A description of these non-GAAP measures and any comparison to the most directly comparable GAAP measures can be found in our earnings release on the investor relations section of our website. Now, I would like to turn the call over to the CEO of ZSpace, Paul Kallenberger. Paul?

Thank you, and good afternoon, everyone. Thank you for joining us for our third quarter earnings call. I am Paul Kallenberger, CEO of ZSpace, and with me is Eric de Oliveira, our Chief Financial Officer. We're excited to share ZSpace's Q3 performance and the progress we've made advancing our strategic priorities. Our third quarter results reflect our focus on advancing our strategy and controlling what we can control. During the quarter, our software and services revenue comprised over 50% of total revenue. contributing to gross margin expansion of over 640 basis points. This performance was driven by strong customer renewals and the continued adoption of our software offerings, which is a key part of our strategy. In addition, we grew revenue 18% sequentially, which is a testament to our execution and discipline focus on delivering value to our customers despite ongoing macroeconomic and funding uncertainties. We've made meaningful internal progress across our products and innovation. As announced last quarter, we completed the integration of Second Avenue Learning, leading to the launch and delivery of our career exploration application. We're pleased with our team's dedication to excellence and their ability to deliver innovative AI-powered education products with speed and impact. In addition, to support our global expansion and ensure accessibility across various educational geographies, we're strategically leveraging artificial intelligence to eliminate language barriers. AI is enabling quick and efficient translation across our platform, including website content and application interfaces, and providing tools that can understand and interact in over 50 languages. This initiative not only expands our global reach, but ensures students and educators, regardless of their native language, can fully utilize zSpace's award-winning educational experiences, significantly broadening our global reach. Building on this, we began deploying our solutions with GEMS Education at their flagship school of research and innovation in Dubai. This partnership represents a regional first in ARVR learning integration across K-12 education in the UAE and allows students to explore complex STEM concepts through interactive three-dimensional simulations. Beyond Dubai, we've secured deployments in Italy, Bulgaria, Poland, and additional locations across the Middle East, continuing to build momentum in international markets. While funding uncertainty persists in the U.S., we've also achieved meaningful customer wins. Union Interactive, a key partner in Bulgaria, expanded its use of zSpace as part of the national STEM project for K-12, which was funded by the European Union. In Florida, Dixie County Schools made a significant investment in robotics and health applications for high school students, which was funded by the Workforce Development Incentive Grant. Lastly, in Alabama, the Challenger Learning Center deployed zSpace to enhance elementary STEM education to foster STEAM and STEM interest in learning. In closing, we remain confident in the long-term growth potential of zSpace and our ability to deliver on our vision. That said, we approach the fourth quarter with cautious optimism given the ongoing uncertainty related to tariff impacts in the education funding environment in the US. Importantly, this caution is not a reflection of customer demand. Recent wins and ongoing engagement demonstrate that both existing customers and prospects continue to express interest in our solutions and a desire to expand usage. We believe that as federal education policy continues to take shape and funding mechanisms become more predictable, the longer-term outlook for our business will strengthen. With that, I will turn the call over to Eric to walk through our financial results in more detail. Eric?