Getty Images Holdings, Inc.

Good afternoon and welcome to the Getty Images fourth quarter and full year 2022 earnings conference call. Today's call is being recorded. We have allocated one hour for prepared remarks and Q&A. At this time, I'd like to turn the conference over to Stephen Kanner, Vice President of Investor Relations and Treasury at Getty Images. Thank you. You may begin.

Good afternoon. and welcome to the Getty Images fourth quarter and full year 2022 earnings call. Joining me on today's call are Craig Peters, Chief Executive Officer, and Jen Layden, Chief Financial Officer. Before we begin, we would like to remind you that this call will include forward-looking statements within the meaning of the Private Securities Limitation Reform Act of 1995. These statements are subject to various risks, uncertainties, and assumptions, which could cause our actual results to differ materially from these statements. These risks, uncertainties, and assumptions are highlighted in the forward-looking statements section of today's press release and in our filings with the SEC. Links to these filings and today's press release can be found on our investor relations website at investors.gettyimages.com. During our call today, we will also reference certain non-GAAP financial information, including adjusted EBITDA, adjusted EBITDA margin, adjusted EBITDA less capex, and free cash flow. We use non-GAAP measures in some of our financial discussions as we believe they represent our operational performance and underlying results of our business. Reconciliations of GAAP to non-GAAP measures as well as the description, limitations, and rationale for using each measure can be found in our filings for the SEC. After our prepared remarks, we'll open the call for your questions. With that, I will hand the call over to our Chief Executive Officer, Craig Peters.

Craig Peters Thanks, Stephen, and thanks to everyone for joining Getty Images' fourth quarter and full-year 2022 earnings call. I will address the full year business performance and progress before Jen takes you through the full fourth quarter financial results and 2023 outlook. I want to start with context on the evolving macroeconomic environment and its impacts on Getty Images. 2022 was a challenging year, particularly as we moved through the second half of the year. As I said last quarter, like other global businesses, the strengthening U.S. dollar relative to foreign currencies negatively impacted our results. We also experienced a slowdown in some parts of our business during the year as businesses exercised caution given the macroeconomic conditions, this being most pronounced in certain parts of Europe and with our agency customers. For the 2022 fiscal year, Getty Images exceeded $926 million in revenue, representing year-on-year growth of 0.8%, and currency neutral growth of 5.7%. Our adjusted EBITDA finished just shy of $304 million for the full year. This reflects a reported year-on-year decline of 1.7%, and currency neutral growth of 4.8%, as our costs are heavily weighted towards the U.S. dollar, and we took on new costs as a public entity. While we experienced slowing over the year, Genny Images generated year-on-year currency-neutral growth in each quarter of 2022. We grew our purchasing customers by over 5% year-on-year. We grew our annual subscription customers by more than 50,000 to 129,000. our paid downloads grew more than 6% to 95 million. Our revenue retention rates for our annual subscribers continued in excess of 100%. We continue to grow our video attachment rate. That's the number of customers using our video offering within the period. These metrics speak to the strength of Getty Images offering and how we continue to deliver more value to more customers with those customers increasingly committed. At the core of these customer metrics is our high-quality, exclusive, and authentic content that is born from our unique expertise, creativity, and partnerships. It is incredibly difficult to articulate the uniqueness represented in our more than 500 million visual assets. But I believe it is clearly demonstrated by our unparalleled coverage of world events and comprehensive archives enabling context. Events like the World Cup and Pele's passing. Events like the Queen's Platinum Jubilee in passing. Events like the U.S. midterm elections, the Winter Olympics, and the war in Ukraine. It is clearly demonstrated by the organizations that choose to partner with Getty Organizations like the BBC, Penske Media, Kyoto News, and Viacom, all signing or re-signing agreements with us over the past year to represent their amazing content. Organizations like New York Fashion Week, the Grammy Awards, Sundance Film Festival, Toronto International Film Festival, the Met Gala, and the British Academy Film Awards, where we serve as the official photographer with unique access. organizations like the NBA, the NHL, Major League Baseball, FIFA, the IOC, Formula One, NASCAR, and the PGA Tour, who entrust us to work so closely with their events, rights partners, and sponsors. It is clearly demonstrated by the honors bestowed on our team, the Pulitzer Prize and World Press Photo, just to name two awards of the more than 80 received in 2022. Today, is Getty Images' 28th anniversary, and I believe the strength of our content franchise has never been stronger. In 2022, I was also very happy to expand our services to customers. We launched Visual GPS Insights, an interactive tool to help our customers choose the right imagery backed by data and visual guidance. We launched Unsplash Plus, an unlimited subscription providing access to unique release content with expanded legal protections and the first paid subscription offered by Unsplash. We invested in and partnered with Bria to bring state-of-the-art AI editing capabilities to optimize visuals for creative needs with speed and efficiency, reducing technical and budget barriers for customers. At the close of 2022, all iStock annual subscription customers could remove backgrounds from images with the touch of a button as part of their base subscription. We continue to broaden the reach of our custom content offering, leveraging Getty Images' global network of photographers and videographers to create customized, cost-effective, and exclusive project-specific content to meet the specific needs of our customers. IHG and Mars are just a few of the global companies that took advantage of this offering, driving nearly 60% year-on-year currency neutral growth for our custom content business in 2022. In closing, like many companies, we are not immune to macro conditions, but our overall operating metrics remain positive, and we continue to see opportunity as many of our offerings can be counter-cyclical, allowing us to help our customers produce creative more efficiently and enhance their offerings. As a result, we continue to plan for moderate revenue growth in 2023, with the first half more challenged by FX, Compares, and the addition of public company costs. As a company, we are laser focused on expanding the monetization of Unsplash, growing our corporate business, driving further video consumption, and seizing geographic opportunities. Consistent with our track record, we'll be prudent in managing our cost base for efficient delivery across these strategies. I am grateful for our teams and all their work in these important areas, and the company is excited to enter its 29th year of leadership. With that, I'll hand the call over to Jen. We'll take you through the more detailed financials.