UiPath, Inc.

Greetings and welcome to the UiPath 3rd Quarter 2025 Earnings Conference Call. At this time, all participants are in a listen-only mode. If anyone should require operator assistance, please press star zero on your telephone keypad. A question and answer session will follow the formal presentation. You may be placed into question queue at any time by pressing star one on your telephone keypad. We ask that you please ask one question and one follow-up, then return to the queue. As a reminder, this conference is being recorded. It's now my pleasure to turn the call over to Monica Gould, Investor Relations for UiPath. Please go ahead, Monica.

Thank you. Good afternoon, and thank you for joining us today to review UiPath's third quarter fiscal 2025 financial results, which we announced in our earnings press release issued after the close of the market today. On the call with me are Daniel Dinas, UiPath founder and chief executive officer, and Ashim Gupta, Chief Financial Officer and Chief Operating Officer, to deliver our prepared comments and answer questions. Our earnings press release and financial supplemental materials are posted on the UiPath Investor Relations website, ir.uipath.com. These materials include gap-to-non-gap reconciliations. We will be discussing non-gap metrics on today's call. This afternoon's call includes forward-looking statements, including regarding our financial guidance for the fourth quarter, fiscal 2025, and our ability to drive and accelerate future growth and operational efficiency and grow our platform, product offerings, and market opportunity. Actual results may differ materially from those expressed in the forward-looking statements due to many factors, and therefore investors should not place undue reliance on these statements. For discussion of the material risks and uncertainties that could affect our actual results, please refer to our annual report on Form 10-K for the year ended January 31, 2024, and our subsequent reports filed with the SEC, including our quarterly report on Form 10-Q for the period ended October 31, 2024 to be filed with the SEC. Forward-looking statements made on this call reflect our views as of today. and we undertake no obligation to update them. I would like to highlight that this webcast is being accompanied by slides. We will post the slides and a copy of our prepared comments to our investor relations website immediately following the conclusion of this call. In addition, please note that all comparisons are year over year, unless otherwise indicated. Now, I would like to hand the call over to Daniel.

Thank you, Monica. Good afternoon, everyone. Thanks for joining us. I want to take a moment to thank our team for their improved execution and our customers and partners for everything they do to make UiPath successful. Our third quarter results exceeded the high end of our guidance across all key financial metrics, a testament to our improving execution and the compelling value that our AI power automation platform delivers to our customers. We ended the quarter with ARR of 1.607 billion, an increase of 17%, driven by net new ARR of 56 million. Third quarter revenue was 355 million, and we delivered non-GAAP operating income of 50 million. As many of you have seen, We unveiled our vision and roadmap for agentic automation at our Forward User Conference in October. In the coming months, the entire UiPath community will be able to build, maintain, and deploy agents, significantly expanding the surface area of automation with their companies. This will mark our most consequential product launch in years. AI agents will be first-class citizens on our platform. They will use UiPath robots to securely access corporate systems and databases to harvest information for agents to act on. Our customers are already embracing the revolutionary potential of UiPath agents with enthusiasm. I'll quote a large global airline customer. who recently told us that this shift toward agentic automation is not just an upgrade, it's a paradigm shift in how we perceive the potential of our operations. Customers are excited about the agility and creativity that our agents bring and are comforted by the security, governance, compliance, and accuracy afforded by our robots and our overall platform. We are excited that AgentBuilder has begun accepting registrations for our private preview, which will begin later this month. We've had the fastest pace and the largest number of registrations in our company history, with over a thousand organizations signed up so far. As an example, two weeks ago, One of the customers we hosted at our headquarters in New York City is the head of AI of a Fortune 50 healthcare and insurance company. Following demos of our new agentic automation capabilities, including agent builder and agentic orchestration, the healthcare company is moving quickly to put our new agentic capabilities to work. I believe that with agentic automation, the long tail of complex unstructured tasks to automate and enhance is now in play. I'm sure you have heard announcements from software companies announcing single agents that will help search data across CRM or submit an expense report. What differentiates UiPath are three things. Our agents and robots work across all applications, both new and legacy, eliminating vendor lock-in for our customers. Business processes today don't run on a single system. We will continue to be the Switzerland of business applications and agents, providing equal access to third-party systems. Second is governance. agentic orchestration will be the conductor or the governor across agents, robots, people, and models. Third, we will democratize access to agents by leveraging our low-code platform that is already known to automation developers. The feedback from industry analysts has also been encouraging. IDC is already forecasting the market for agentic labor automation to grow to $4.1 billion by 2028 from zero last year. This is on the top of an RPA market, inclusive of IDP and test automation, that is growing at a double-digit rate thanks to the tailwinds and disruption of Gen AI. The direction of the market. can be seen in our current customer conversations and deals. I'm really excited that our largest deal in the quarter was for building an agentic use case delivered via our autopilot for everyone, for a healthcare customer who has been with us since 2018. Our solution will enable such use cases to be built easier and faster as we deliver on our product roadmap. AI has always been at the center of our platform. Over the last few years, we have integrated GenAI throughout our platform, including IDP, and we are now seeing the fruits of those efforts. With the support of their CIO, Volkswagen Financial Services will now standardize on the UiPath platform across the company. They will implement our IDP products in the cloud to automate customer communications and complaint management. Autopilot also offers the potential for over 5,000 employees to increase productivity. So far, the company has realized cost savings of well over 10 million euros per year. and increase customer satisfaction through its online portal and financial services business. At Forward, we also announce the general availability of Autopilot for everyone, our agent with the conversational experience that enables any employee, regardless of technical ability, to complete complex tasks ranging from getting answers grounded with their own organization's data, analyzing and extracting information from documents, automating copy-paste into apps, and running automations to improve productivity. Protiviti, a longtime customer and platinum partner, recently expanded its usage of and capabilities in our technology. including autopilot, with the express purpose of enabling their consultants to better use automation to deliver value to their customers, including numerous as-a-service models and putting leading-edge automation technology into the hands of their operations teams. Our agency capabilities will permeate across our platform and continue to differentiate us. A great example of this is our test automation capabilities. In fact, our agentic testing offering is positioning us as the thought leader in the test automation industry. With the addition of Autopilot for testing earlier this year, we greatly enhanced the AI power capabilities of our test suite. With the ability to automatically generate test cases, our offering will unlock a key market for us as we look to build upon our momentum in the agentic automation era. Vibron, one of the world's leading medical technology companies and the customer since 2019, selected TestSuite for test case creation. to aid in testing for their SAP S4 HANA migration. They expect to see significant cost savings from eliminating manual testing with additional improvements in employee engagement and experience. Our platform ability to integrate automation and testing was the key differentiating factor over other competitive vendors. I have become increasingly convinced that manual testing remains a real and sizable roadblock for business agility. I'd like to focus the remainder of my comments again on the launch of agentic automation over the next few months, our partnership with SAP, and our overall partner ecosystem. In February, we plan to unveil Agent Builder in public preview. It will be launched as a core part of UiPath Studio, offering our customers a seamless experience for both robotic and agentic automation. Agent Builder allows users to build agents either from scratch in our local development environment or from a pre-built template in the UiPath agent catalog that works in tandem with our robots. Customers will also be able to include third-party agents in their agentic workflows if they choose. To maximize the value of agentic workflows, we'll also launch agentic orchestration, which empowers organizations to orchestrate their long-running complex enterprise processes across humans, robots, and AI agents, and operate them with governance and that scale across systems of engagement and systems of record. Customers can orchestrate agents built either using the UiPath agent builder platform as well as agents built using other platforms. Using our new agentic orchestration capabilities, customers can design, implement, monitor, operate, and optimize complex business processes through the entire process lifecycle. We are planning a public preview of agentic orchestration in the first quarter of fiscal 2026. As you can see, our focus is on enterprise-grade agentic automation, where security, governance, control, and compliance run throughout everything we do. For our existing community of 3 million users, jumping in and getting started building managing and deploying agents will be straightforward. I expect we will quickly have a large pool of developers building true agentic workflows across business-critical processes. We are also committed to reach customers that are less aware of our platform, particularly in today's sea of agentic AI marketing. To this end, we are investing in driving awareness of our capabilities. And we will have a growing stream of use cases that will quickly underscore our capabilities and differentiation. Partners remain a cornerstone of our go-to-market strategy, enabling us to scale our market reach and elevating our customer success initiatives. And I am excited. about our continued progress with SAP. In October, our platform was integrated into the SAP Build Process Automation solution and is now being sold as one of the SAP Solution Extensions, or SOLEX, delivering a seamless experience for SAP users to create, execute, and monitor automations from a single platform. This integrated solution enables true end-to-end automation across diverse IT landscapes, improved efficiency and productivity across SAP and non-SAP workloads. It also reduces long-term total cost of ownership within a supportable governable approach that moves custom code to the automation layer and faster implementation by leveraged pre-built solution accelerators. While partnerships take time to build pipelines together, our SAP partnership has already helped us to win new logos, such as a leading data storage company based in the U.S., which needed support following the S4 HANA transformation. They will now be implementing UiPath to automate processes within SAP, such as their finance and supply chain functions. In addition to helping secure new logos, our partners also support expansions. One that I would like to highlight is the deal facilitated by SAP with one of the largest US oil and gas companies. The company currently has over 1,000 automations in place with their finance and downstream operations and have now chosen to expand further with UiPath to automate within the S4HANA environment. Our GSI partners also continue to drive our growth in the market with the support of EY, Sonic Automotive, one of the largest car dealership groups in the US, expanded their automation program to additional departments such as customer service, share services, and human resources. They will also be expanding their usage of document understanding for warranty cancellation and factory invoice processes. while adopting new products such as process mining, communication mining, and test suite for automation testing. They have seen an impressive ROI of over $10 million in cost savings per year with expectations for further improvement. And finally, our success is deeply rooted in our ability to serve our customers making a customer-centric mindset more crucial than ever. While customer-centricity and co-innovation remain a core pillar for us today, we are working diligently to infuse it deeper into our culture. To us, being customer-centric means listening, rapidly applying feedback, co-innovating our roadmap, and building a trusted partnership. All of this in the spirit of maximizing the value our customers realize from our offerings, which we believe will translate to growth for UiPath. To summarize, I'm really excited about the enthusiasm from our customers in support of our vision and the products we have on deck to deliver on the vision. We believe that agentic automation will have a major impact on the workplace. And it is clear that it is only going to rapidly become more powerful and sophisticated. We are confident that UiPath is well positioned to bring the transformative force of AI to life in the enterprise throughout automation. With that, I'll turn the call over to Ashim, who will dive more into our operational priorities and financials.