BILL Holdings, Inc.

Good afternoon. My name is Tamia, and I will be your conference operator today. At this time, I would like to welcome everyone to Bill's fiscal fourth quarter and fiscal year 2025 conference call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. Thank you. I will now turn the call over to June Wong, Director, Investor Relations. You may begin your conference.

Thank you. Good afternoon, everyone. Welcome to Bill's fiscal fourth quarter 2025 earnings conference call. We issued our earnings press release a short time ago and filed the related form AK with the SEC. The press release can be found on our investor relations website at investor.bill.com. Joining me on the call today are Rene Lacerte, chairman, CEO, and the founder, John Reddick, president and COO, and Rohini Jain, CFO, Before we begin, please remember that during the course of this call, we may make forward-looking statements about the future business, operations, targets, products, and expectations of the bill that involve many assumptions, risks, and uncertainties. Actual results could differ materially from those expressed or implied by our forward-looking statements. In addition to our prepared remarks, please refer to the information in the company's press release issued today, our Q425 investor deck, and our periodic reports filed with the SEC, including our most recent annual report on Form 10-K and quarterly reports on Form 10-Q. We disclaim any obligation to update any forward-looking statements. On today's call, we will refer to both GAAP and non-GAAP financial measures. Please refer to today's press release for a reconciliation of GAAP to non-GAAP and additional information regarding these matters. With that, let me turn the call over to Rene. Rene.

Thanks, June. Good afternoon, everyone, and thank you for joining us. Fiscal 2025 was a pivotal year for Bill as we executed well against our innovation agenda. We launched new software and payment products, made strategic investments to drive future growth, and drove significant profitability expansion. We have a big opportunity in front of us. The investments we made in fiscal 2025, along with our durable and diversified business model, set the foundation for us to continue to expand profitability and accelerate revenue growth in the years ahead. During the call today, we will share our recent progress and outline our plans to deliver greater value to shareholders. In Q4 and throughout fiscal 2025, Bill strengthened our platform, increased our scale, expanded our market opportunity to serve larger, more complex businesses, and strategically invested in delivering financial operations agents for small and mid-sized businesses to accelerate Bill's growth and category leadership. Three key highlights from our fiscal 2025 include, first, growing total revenue to $1.5 billion, with core revenue growth of 16% year over year. Second, we continued our track record of profitability improvements while also investing in key areas. This resulted in non-GAAP operating income exceeding the high end of our initial fiscal 2025 guidance by over 20%. Third, we built our agentic AI platform that leverages the capabilities, data, and scale acquired over the last 20 years across millions of SMBs and over a trillion dollars in spend so that we can launch intelligent finance agents quickly and safely at scale. We are excited to leverage our platform and we'll start rolling out our suite of financial operations agents to customers in Q2 of fiscal 2026. At Bill, we are not just building software and payments infrastructure, we are redefining the future for how the Fortune 5 million, the millions of small and mid-sized businesses that power the U.S. economy will manage, move, and maximize their money in order to grow and win. Bill serves more SMBs and accounting firms than anyone in our category. We are the trusted platform of choice for nearly half a million small and mid-sized businesses and over 9,000 accounting firms, including nearly 90% of the top 100 accounting firms across the US. Throughout FY25, we continue to strengthen our platform. we launched amazing new products that create new value for our customers and their suppliers, extended our advantage through our powerful two-sided network, drove new monetization, and strategically increased our market opportunity. In Q4, we launched Supplier Payments Plus, previously referred to as Advanced ACH, which streamlines millions of payment transactions from SMBs and simplifies incoming payments at scale for suppliers. Supplier Payments Plus leverages Bill's expertise of unifying software and payments to solve a critical problem for suppliers, managing thousands of disparate weekly payments from millions of SMBs. With Bill, large suppliers can now do reconciliation at scale and convert the thousands of paper checks sent by their small business customers directly into faster digital payments with rich remittance data. This speeds the collection cycle and significantly reduces manual reconciliation efforts, which is much better for suppliers and for SMBs. This product will allow us to move from a flat fee ACH transaction paid by the buyer to an ad valorem fee paid by the supplier. The value proposition resonates across industries, with companies ranging from a national law firm to a global environmental and waste management company. Businesses are using supplier payments plus to optimize their receivables for thousands of SMBs. In Q4, we delivered new products for midsize and complex businesses. Through the launch of bill procurement, we have combined AP, AR, spend and expense procurement and forecasting in a single intelligent platform, giving businesses control of their cash flow in one seamless experience. Our customers gain speed and control through automation, and the power of integrated payments all in one place. We also launched bulk payment capabilities, enhanced our multi-entity workflows, and introduced more solutions for businesses and accountants to embed Bill APIs into their existing systems so they can tailor financial workflows based on their preferences and unique needs. These APIs are part of our Embed 2.0 strategy. Overall, we continue to make strong progress on driving demand for our embedded products which John will cover later. The bill network consisting of our customers and suppliers they pay is the only one of its kind in our category, and it provides an unmatched advantage. We recently hit a new milestone surpassing 8 million members, an increase of 18% from the previous year. As more businesses and suppliers join the bill network, transactions get faster, more secure, and more efficient. As our network has grown, payment volume within the network has also increased. Today, 54% of payments on bill occur seamlessly between the payer and the receiver on our network, providing customers and suppliers with full visibility into both sides of the transaction and more options to choose payment methods that match their needs and preferences. As our network grows, our data advantage grows with it. Not only the scale of our data asset, but also the depth and richness of the intelligence and insights we have into the businesses that make up the SMB economy. It's this unique combination of scale and insights that positions Bill to win the category for intelligent financial operations. Bill is already a leader in delivering predictive and generative AI features to SMBs and accountants. Currently more than 40,000 customers benefit from two or more AI features on our platform. More than 1.3 billion documents have been processed on Bill's platform, including nearly 500 million documents through our AI features and the Bill Intelligent Virtual Assistant. The scale and richness of our data provide a significant advantage in training our models to deliver new strategic finance capabilities and intelligence that SMBs can't access on their own or through other platforms. Bill is saving businesses valuable time. Since the beginning of 2025, Bill's AI solution has increased the number of fully automated bills by 80%. We are also increasing access to capital, which is critical to success of SMBs. In fiscal 2025, our AI features helped us to proactively identify when customers qualified for larger credit limits. enabling us to extend $200 million in proactive line increases for spend and expense customers. And Bill's AI-enabled fraud solutions protect the most important asset SMBs have, their cash. In FY25, our predictive AI solutions helped us stop over 8 million fraudulent attempts. Bill's platform is proactive, predictive, and acts as the intelligence layer that powers financial operations across SMBs. We are investing in agentic AI, building a new generation of intelligent agents that will deliver autonomous finance for SMBs and accelerate the shift from doing it with you to doing it for you. To be clear, we're not just adding agentic AI into workflows. We're eliminating the workflows themselves. Our first agents will transform how SMBs complete critical business tasks, paperwork, documentation, and onboarding of vendors. We're also building new agents that provide additional security to keep money safe and flowing faster. We firmly believe our agentic AI initiatives will further improve customer retention, accelerate multi-product adoption, and fuel customer acquisition as a result of the increased value we deliver. By the end of fiscal 2026, We expect the majority of customers will be using at least one Bill agent in addition to our AI solutions, extending Bill's leadership and delivering AI and strategic financial capabilities to SMBs. At Bill, we are shaping the future across all dimensions of financial operations for SMBs and carrying strong momentum into fiscal 2026 to deliver greater value to our customers, suppliers, partners, and shareholders. Over the past year, we've added exceptional new talent to our executive team. Most recently, we welcomed Rohini Jain as Bill's CFO. She is a standout global finance leader and has a strong track record for enabling growth and scaling top technology in Fortune 500 companies. We also added Michael Cherry as EVP and GM of Software Solutions in the fourth quarter. Mike, combined with Mary Kay Bowman, EVP and GM of Payments and Financial Services, completes our team to align the strategy and execution around software and payments. In closing, we're operating at massive scale. More than 1% of US GDP flows through our platform annually. That's a staggering number, and it's a reflection of the trust our customers and suppliers place in us to move their money, automate their workflows, and give them visibility and control over their financial operations. And with Bill's network, we have built one of the most comprehensive and real-time financial maps of the SMB economy. We continue to leverage our scale and customer interactions to develop groundbreaking innovations. We're excited to simplify the lives of SMBs and accountants by harnessing the power of AI. We see a future where every business, regardless of size, has access to a strategic finance function from anywhere on any device. We believe our focus on serving the Fortune 5 million with our intelligent finance platform will enable them to move at the speed of business. I'll now turn it over to John to share more on our fiscal 2025 performance and our key initiatives for fiscal 2026.