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Phreesia, Inc.
9/4/2025
Good morning, ladies and gentlemen, and welcome to the 3DS second quarter fiscal 2026 earnings conference call. At this time, all participants are in a listen-only mode. We will provide instructions for the question and answer session to follow. First, I would like to introduce Balaji Gandhi, 3DS chief financial officer. Mr. Gandhi, you may begin.
Thank you, operator. Good morning and welcome to Freesia's earnings conference call for the second quarter of fiscal 2026, which ended on July 31st of 2025. Joining me on today's call is Haim Indig, our chief executive officer. A more complete discussion of our results can be found in our earnings press release and in our related form 8K submission to the SEC, including our quarterly stakeholder letter, both issued after the markets closed today. These documents are available on the investor relations section of our website at ir.freesia.com. As a reminder, today's call is being recorded, and a replay will be available on our investor relations website at ir.freesia.com following the conclusion of the call. During today's call, we may make forward-looking statements, including statements regarding trends, our anticipated growth, our strategies, predictions about our industry, and the anticipated performance of our business, including our outlook regarding future financial results and acquisitions. Forward-looking statements are subject to various risks, uncertainties, and other factors that may cause our actual results, performance, or achievements to differ materially from those described in our forward-looking statements. Such risks are described more fully in our earnings press release, our stakeholder letter, and our risk factors included in our SEC filings, including in our quarterly report on Form 10-Q that will be filed with the SEC tomorrow. The forward-looking statements made on this call will be based on our current views and expectations and speak only as of the date on which the statements are made. We undertake no obligation to update and expressly disclaim the obligation to update these forward-looking statements to reflect events or circumstances after the date of this call or to reflect new information or the occurrence of unanticipated events. We may also refer to certain financial measures not in accordance with generally accepted accounting principles, such as adjusted EBITDA and free cash flows, in order to provide additional information to investors. These non-GAAP measures should be considered in addition to and not as a substitute for or in isolation from our GAAP results. A reconciliation of GAAP to non-GAAP results may be found in our earnings release and stakeholder letter, which were furnished with our Form 8-K filed after the markets closed today with the SEC, and may also be found on our investor relations website at ir.freesia.com. I will now turn the call over to our CEO, Ayman Dink.
Thank you, Balaji, and good evening, everyone. Thank you for joining our second quarter of fiscal year 2026 earnings call. I'd like to begin with some exciting news. Earlier today, Brescia announced a definitive agreement to acquire Access One for $160 million. Access One is a market leader in healthcare provider financing, serving many of the nation's largest health systems. We have followed Access One's progress over many years and admired its approach to addressing a critical gap in care that is consistent with our mission of making care easier every day. Access One We'll expand our addressable market by roughly $6 billion and strengthen our ability to help providers improve collections while preserving patient trust. We believe this acquisition is a natural extension of our payment strategy and will complement Frisia's existing products. Olaji will provide some details on the transaction. We look forward to welcoming the AccessOne team to Frisia following the close of the transaction. I am also proud to share that Brescia achieved an important milestone in the second quarter. For the first time in our history, we were net income positive. As with all of our milestones, achieving positive net income does not represent a finish line. However, this milestone does give us all a great sense of pride and accomplishment in that it captures the power of our unique business and financial model and our team's ongoing commitment to being good stewards of capital. Before turning the call over to Balaji, I would like to congratulate my co-founder Evan Roberts and David Lineski on being named President of Provider Solutions and Network Solutions, respectively. These titles reflect their leadership of the provider and network solutions teams, meeting the needs of our clients, and executing on our mission, vision, and values. Evan and David are also invaluable thought partners to me, and I am pleased to share their titles with you. I'll now turn it over to Balaji to provide some additional details on the Access One transaction and provide a review of our results and updated outlook. Thank you, Han.
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