Kaleyra, Inc.

Good afternoon. Welcome to Calera's first quarter 2023 earnings conference call. After the market close, Calera released unaudited results for the first quarter ended on March 31st, 2023. The press release as well as a replay of today's call can be found on the company's investor relations website at investors.calera.com. Please view the release for additional information on what will be discussed today. At this time, all participants are in listen-only mode. After the speaker's presentation, there will be a question-and-answer session. Joining us today are Calera's founder and chief executive officer, Dario Calegero, and chief financial officer, Giacomo Dallalio. Following their remarks, we will open the call for your questions. I would now like to turn the call over to investor relations, Shannon Devine. Please go ahead.

Thank you. Before we begin, we'd like to remind everyone that during today's call, management will be making forward-looking statements. Please refer to the company's SEC filings, including the company's quarterly report on Form 10-Q for a summary of the forward-looking statements, the risks, uncertainties, and other factors that could cause actual results to differ materially from those forward-looking statements. Polara cautions investors not to place undue reliance on any forward-looking statements. The company does not undertake and specifically disclaims any obligation to update or revise the statement to reflect new circumstances or unanticipated events that occur, except as required by law. Throughout today's press release and on the call, we'll refer to adjusted gross profit, adjusted gross margin, adjusted EBITDA, and adjusted earnings per share. These metrics are not determined in accordance with GAAP, a definition, calculation, and reconciliation to the financial statements of these non-GAAP measures can be found in the tables included in our press release. We believe these non-GAAP measures of Calera's financial results provide useful information regarding certain financial and business trends and the results of operations. Now, I'd like to turn the call over to Dario for an overview of Calera's first quarter. Dario?

Thank you, Shannon, and thank you to everyone for joining us here today. Before we get into the quarterly results, I want to take a minute and update our investment community with some very unfortunate news. You likely noticed our vice president of investor relations is not with us on this call today. Unfortunately, a few weeks ago, we lost Colin Gillis, who joined us last June as our head of investor relations. He died after a brief illness. and we ask that you keep his family in your thoughts and prayers. While only with the company for a brief period, Colin was an impactful contributor to Calera, and we will miss him deeply. The first quarter, which has historically been softer due to seasonality, produced growth of 4%, resulting in revenue of $83.6 million. exceeding the upper end of our previously stated guidance range of $81 million. On a constant currency basis, Q1 2023 revenue was $85.7 million, an increase of 6% over Q1 2022. We continue to show resilience, consistently growing our top line year over year, with a focus on our higher margin businesses, and importantly, generating positive EBDA and adjusted EBDA. As I stated during our fourth quarter earnings call, we are very focused on improving gross margin through reducing costs, driving efficiency, and balancing our product needs toward higher margin delivery channels. As a result, gross margin grew 19% in the first quarter to a record 25.2%. As we have emphasized in the past, We are a communication platform as a service. As our customers' needs change, we change with them in the most cost-effective manner, given our ability to be agile. This is very much a fragmented market with only a few global players, which is why our partnership with over 1,600 operators and direct connectivity in over 100 countries is an advantage to our enterprise customers that can use Calera as a single source to leverage their global needs. To this point, and notably during the quarter, we launched our Global Messaging Service on Oracle Cloud Infrastructure, or CI. This launch accelerated innovation in our space and further capitalized on our strong partnership with Oracle, driving the future of business communications and customer engagement. Together, we have powered billions of interactions serving thousands of customers serving a critical function of timely customer engagement. We continue to grow and solidify our leadership role in the CPaaS ecosystem, extending beyond traditional SMS messaging, enhancing our engagement with our customer base across various industry verticals, creating value for all of our constituents. For the first quarter, we delivered 11.7 billion billable messages, connected over 2.2 billion voice calls, and the dollar-based net expansion rate was 99%. But looking at the Calera top 30 customers, who contribute almost 70% of our total revenue, the dollar-based net expansion rate was 138% in the quarter. At Calera, we are committed to providing high-quality, trusted, and transparent service with a focus on customer satisfaction. This is evident in our low customer churn and long average tenure of our customer base. To finish this portion of the call, I'm very proud of our first quarter performance. Our value creation project efforts are producing solid results, as reflected in the gross margin and the EBDA improvement in the quarter, and we continue to grow our revenue in line with expectations. Customer satisfaction remains high, and we are proud of the trust and confidence our many existing and new customers place in us for their communication needs. I will now turn the call over to Giacomo to detail our financial results. Thank you, Dario.