Globant S.A.

Good day and welcome to Globin's first quarter 2021 earnings conference call. I'm Amit Singh, Head of Finance and Investor Relations for the US. All participants on this call will be on listen-only mode. After today's presentation, there'll be an opportunity to ask questions. Please note, this event is being recorded and streamed live on YouTube. By now, you should have received a copy of the earnings release. If you have not, a copy is available on our website, investors.globin.com. Our speakers today are Martin Migoya, Co-Founder and Chief Executive Officer, Juan Urtiage, Chief Financial Officer, Patricia Pomies, Chief Operating Officer, and Diego Tartara, Chief Technology Officer. Before we begin, I would like to remind you that some of the comments on our call today may be deemed forward-looking statements. This includes our business and financial outlook and the answers to some of your questions. Such statements are subject to the risks and uncertainties as described in the company's earnings release and other filings with the SEC. Please note that we follow IFRS accounting rules in our financial statements. During our call today, we will report non-IFRS or adjusted measures, which is how we track performance internally and the easiest way to compare Glovin to our peers in the industry. You will find a reconciliation of IFRS and non-IFRS measures at the end of the press release we published on our Investor Relations website, announcing this quarter's results. I would now like to turn the call over to Martin McGuire, our CEO.

Thanks, Amit, and hello, everyone. I'm excited to speak to you today in this new format to present our first quarter earnings for 2021. This quarter, we brought in $270.2 million in revenue, representing a 41% growth over the previous year. It is the highest year-over-year growth since we launched our IPO in 2014. It reflects the opportunities we are taking advantage of as the market keeps evolving. A few updates on our leadership team as we focus ourselves on keep growing sustainably. With them, we want to boost our offerings, regional coverage, talent, and synergies between delivery, performance, and operations. Co-founder Guyver Englevien will become president of GlobanX and Globan Ventures. He will lead our startup accelerator and will work to develop new business and revenue models through initiatives like Augmented Coding and Start Me Up, which are all part of our GlobanX division. Finally, he will also assume as the company's president for Latin America. Co-founder Martin Umaran takes a new role of president of Europe and Asia and chief corporate development officer. He will oversee the successful integration of companies into the family as part of our global expansion strategy. Patricia Pomies has become our new Chief Operating Officer. Her task will be to turn our executive strategy into measurable goals for growth, delivery, and execution. She will consolidate a comprehensive vision between delivery, people, performance, and operations. Diego Tartara will take on the new role as Global Chief Technology Officer, overseeing our studios of expertise and how they deliver technologies that transform companies every day. Each Global Business Region will be led by a respective Chief Business Officer, with Fernando Masking as Chief Business Officer for North America, Nicolás Kaplum as Chief Business Officer for Latin America and Federico Pienovi as Chief Business Officer for Europe and Asia. And finally, I'd like to welcome Maria Pinelli as the newest member of our Board of Directors. Maria brings 34 years of experience in helping companies develop their technology products and to reach their customers. I'm happy to have her strategic advice as we keep growing our business and to serve our clients better all over the world. I'd like to congratulate all of these executives for their new appointments. We have an amazing leadership team that will enable us to achieve our goals and go beyond. We all saw the inflection point of the digital transformation space in 2020. The increased adoption of digital technologies in all processes of our professional and personal lives is opening up exciting opportunities for our sectors, in parallel with increasing optimistic macroeconomic predictions. Industry analysts like IDC have increased their forecasts for the worldwide services market due to a soft landing in 2020 and a strong return to growth in 2021. And this is global opportunity to position itself as the leader and preferred partner in this space, which we aim to reinvent and disrupt. That's why we continue to seek out the best talent and bring them on board as our team continues to expand. Last quarter saw yet another acquisition as we welcomed CloudShift to the family. I'm excited to bring in their deep Salesforce multi-cloud expertise to Globant so that we can take a larger role in the cloud space. At the same time, we announced the acquisition of Abitant, a leading Spanish digital marketing agency. Abitant's experience is fusing digital marketing, digital sales, technology, design, innovation, and data. It is a complementing element so that we can continue developing unique products. and solutions for lasting transformations. Looking forward, there will surely be additional exciting acquisitions that reinforce and expand our many capabilities, as well as our organic growth. Now a few notes on our geographic expansion. As we grow, we continue scaling our business throughout the globe. This quarter, we announced new operations in Malaga, Spain, where we will be opening a new artificial intelligence innovation center. In Latin America, I'm pleased to announce new operations in Monterrey, Mexico, Cali in Colombia, Viña del Mar in Chile, and Bariloche in Argentina. This is in line with our strategy of being the employer of choice for the ambitious talent of the region. We have also announced a greater expansion of our operations in Miami, which will be the hub of our brand new Smart Venues Studio, a new concept to transform how patrons connect with brands. Leveraging our experience working with the entertainment and many other sectors, we're launching this studio focused on creating the best physical experience. Through digitalization, we revolutionize how companies interact with their consumers, patrons, and fans across their physical and digital spaces, allowing them to create a new user experience that is far more engaging. Creating these new ways of interaction serves as an exceptional tool to better understand customers and allows organizations to identify new and unconventional ways to generate new revenue. Now news about a collaboration with Apple. We began working on a project with Apple through our Life Science Studio a year ago that seeks to improve the health and wellness of communities through a highly configurable, wide-level recognition and reward platform using Apple Watch. The aim is to help clients improve the health of their customers, members, or employees. The app encourages a more healthy lifestyle for its users and provides companies an ability to create deeper, more meaningful engagements. And today, I'm pleased to announce that London Drugs, a large drugstore chain in Western Canada, is our first client to roll out this program. They have already launched a pilot rewards program in a number of stores in Vancouver that incentivize customers to complete activity goals tracked by Apple Watch. with an ambition to expand in the coming months. It should be noted that this program adheres to the most stringent privacy guidelines set by all three companies. Let me share more updates in some of our most recent projects. We're working closely with Nissan customer experience team this year to develop a seamless customer journey across physical and digital channels. We're helping to revamp their online vehicle ordering process, enabling their customers with greater choice and intuitive and engaging ways to choose and buy their cars. We have expanded our involvement into market operations with data systems integrations and the development of customer and business applications. Globan continues to expand its footprint in the digital health arena. For example, during Q1, we began our partnership with Boston Scientific to provide implementation consulting services for a CRM strategic rollout. We also started working with the Diagnostic Division of Roche to develop an automated multi-cloud solution for this global pharmaceutical and biotechnology giant. In the retail and consumer goods space, we won a very strategic engagement with Backcountry.com. This is an online specialty retailer that sells clothing and outdoor recreation gear. Globan has been engaged to partner on their digital transformation journey aimed at delivering impactful customer experiences by leveraging our digital and cognitive capabilities and technologies. To go into finer detail about our studios and our technology offering, I'd like to welcome Diego Tardara, our new CTO. Diego, please.

Thanks, Martin. And hello, everyone. It's an honor for me to be with you this afternoon. I had the great experience of leading Globan's diverse and expansive studios for several years. In my new role as global CTO, our aim will be to leverage our global talent and expertise to build a portfolio of solutions that enable our clients to fully embrace the future. To get started, I have a few more new studios to announce, in addition to the smart venues concept. First, the cultural hacking studio. We know that a successful and lasting digital transformation involves not only a technological adoption, but infusing the organization with a culture of flexibility and resilience. We've therefore consolidated this new studio to help businesses achieve their goals through faster and healthier cultures. Our teams work with the client to create cultural strategies, reshape the organization and form new habits and behaviors that are conducive to alignment between business goals and the organization's purpose. This studio works to unleash the talent and potential of the employees, to reskill them, realign, understand cognitive capabilities and position them in the optimal place for embracing change and provide value to the organization's development. There's no way to scale up if you don't have a sustainable culture. We're also improving our value proposition through our new digital sales studio. For digital marketing strategies to be successful, they require more than managing media. There is a great opportunity to be more business-oriented and increase performance of digital channels by using data, AI, and the right technology stack. The Digital Sales Studio comes to address this challenge by orchestrating digital capabilities, increasing digital sales with data and technology. Digital sales acceleration means having business, marketing, and technology working together, a mix to be driven by data under a 360-degree consumer view. Now, many of you might remember the Women That Build edition of the Global Awards in 2020. The turnout and feeling after sharing those inspiring stories was so positive that we are launching a new edition for 2021, Digital Disruptors. Organizations of the future will be led by individuals who embrace reinvention, take risks, and push the limits on what's possible. We call them digital disruptors. We want to recognize those leaders who are going the extra mile to guarantee that their companies stay at the cutting edge of every tech revolution. We've invited a fascinating list of judges. We include Diego Lerner, President of the Walt Disney Company Latin America, Michel Lezama, President of the National Action Council for Minorities in Engineering, Nuria Simo, CIO of the Inter-American Development Bank, Donald Hicks, Airbnb's VP of Trust Policy, Xapo's CEO, Wences Casares, and many more. I invite you all to check out the initiative for yourselves at digitaldisruptors.globan.com. Let me now welcome Patricia Pomis, our new Chief Operating Officer, who will go into details on our activities.