Claritev Corporation

Ladies and gentlemen, thank you for joining us and welcome to the Clarity Corporation fourth quarter 2025 earnings call. After today's prepared remarks, we will host a question and answer session. If you would like to ask a question, please press star one to raise your hand. To withdraw your question, press star one again. I will now hand the conference over to Todd Friedman, head of investor relations. Todd, please go ahead.

Thank you, operator. Good afternoon, everyone, and welcome to Clarida's fourth quarter 2025 earnings call. Joining me today are Travis Dalton, President and CEO, and Doug Devers, Chief Financial Officer. Jerry Hogg, our Chief Operating Officer, will also join us for the Q&A. During our call, we will refer to the supplemental slide deck that's available in the investor's portion of our website, along with the fourth quarter 2025 earnings press release issued earlier this afternoon. Our remarks and questions for today's audience. These forward-looking statements represent the management's beliefs and expectations only as the date of this call. Actual results may differ materially from these forward-looking statements due to a number of risks. A summary of these risks can be found in the supplemental slide deck, description in our annual report and other documents that will follow the SEC. We'll also be referring to several non-GAAP measures which we believe provide investors with a more complete understanding of clarity of underlying operating results. The explanation of these non-GATT measures and reconciliations to their comparable GATT measures can be found in the supplemental slide deck. With that, I'm going to call over to Travis.

Thank you, Todd. Good afternoon, everyone, and thank you for your time today. I'm excited to share our Q4 results, 20th guidance, and transformation progress. However, first, I would like to reflect for a moment on the state of our journey here at Clarity in the industry. As I near my second anniversary as CEO, have helped reflect on what we've accomplished and what lies ahead. When I joined the company, we faced a set of challenges that require a well-thought-out, long-term strategy plan. We set out very intentionally to create Vision 2030, not Vision and are very committed to that. That is not meant to be dismissive of immediate results and short-term objectives. But to be clear, our goal and the focus of this management team is to build a well-run, disciplined healthcare technology company that deliver sustainable, profitable growth. Abizal's real and pressing problems in healthcare today and the future, specifically with laser focus in the areas of transparency and affordability, which are key to better health outcomes and economic forward. I'm exceedingly proud of the work we have done to lay a foundation, clarify our purpose, align and recruit talent, and focus our company and associates performance metrics. That combination of clarity, alignment, and focus, our digital transformation, and the introduction of horizontal to vertical markets has allowed us to turn to profitable growth sooner than expected. Simply put, our strategy is working. Most importantly, it allowed us to prioritize with urgency to help our clients with their most successful. One comment on my remark that we have returned to profitable growth sooner than expected. One year ago, we stood on this call and provisional guidance of flat to down revenue was significant. I'd be remiss to not take a moment and give recognition to nearly 3,000 associates at Claritiv who have showed up every day aligned to our mission of making healthcare affordable for everyone in line with our Vision 2030 plan. and delivered these results that have far exceeded what we could do entering the year of the term. On that note, let me foundational reasons why Clarity's position keep winning in this market. Great and highly complex and sometimes fragmented and misaligned industry. Our fundamental belief is that increased transparency, better data, and technology providers and employers will lead to more alignment and better decision making. costs continue to rise, high claims are increasing, the regulatory environment is fluid, and we all have real challenges to tackle. As a result, we are well positioned to meet these pressing needs, network innovation, claims intelligence, transparency, and predictive tools that ultimately benefit the healthcare industry. That combination of solutions to cut and augment each other when used together is the real strength of our business. I'm often asked about our true competitive advantage, and I say it centers around one, the comprehensive network that we have developed over many decades. Two, the deep workflow knowledge and substance of our client relationships as it's by renewals and sales growth. Three, proprietary IP, business relationships, ability to analyze data, flexibility to adapt, and technology scale. High provider acceptance. For all the noise around a pattern, we achieve greater than 90% of our solutions, actually reducing it. And five, a long history of regulatory expertise that is invaluable to our clients trying to adapt to a complex state and federal system. Talking about our competitive advantages, let me take this moment to comment about AI. is giving us the opportunity to tackle the biggest fragmentation and sensitivity of data, incentives, complexity of work, and access. AI is reshaping the way we develop in our collective future. These persistent challenges are the opportunity for us. with clients across the ecosystem are a major advantage along with the competitive moat we have created with the UKIP. The competitive I just listed become even more pronounced that are alongside our strategy and losers in this market, and we believe Three core ingredients are going forward. One, embedded domain expertise.