Skillsoft Corp.

Thank you for standing by and welcome to Skillsoft's fourth quarter fiscal 2026 results conference call. At this time, all participants are in a listen only mode. After the speakers present, there will be a question and answer session. Please note that today's call is being recorded and a replay of the call and webcast will be available shortly after the call concludes for a period of 12 months. I would now like to hand the conference over to your first speaker today, Nick Teves, Investor Relations. Thank you. Please go ahead.

Thank you, Operator. Good day, and thank you for joining us to discuss our results for the fourth quarter ended January 31st, 2026. Before we jump in, I want to remind you that today's call will contain forward-looking statements about the company's business outlook and our expectations that constitute forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, including statements concerning financial and business trends, our expected future business and financial performance, financial condition, and market outlook. These forward-looking statements and all statements that are not historical facts reflect management's current beliefs, expectations, and assumptions, and therefore are subject to risks and uncertainties that could cause actual results to differ materially from the conclusions, forecasts, estimates, or projections in the forward-looking statements made today. For discussion on the material risks and other important factors that could affect our actual results, we refer you to our most recent Form 10-K and other documents that we file with the Securities and Exchange Commission. We assume no obligation to update any forward-looking statements or information which speak as of their respective dates. During the call, unless otherwise noted, all financial metrics we discuss, other than revenue, will be non-GAAP financial measures, which accepted accounting principles. For example, listeners should be cautioned that references to phrases such as adjusted EBITDA and free cash flow denote non-GAAP financial measures. Non-GAAP financial measures should not be considered in isolation or as substitute for GAAP financial measures. Presentation of the most directly comparable financial measures determined in accordance with GAAP, as well as the definitions, uses, and reconciliations of non-GAAP financial measures included in today's commentary to the most directly comparable GAAP. financial measures is included in our earnings press release, which has been furnished to the SEC on Form 8K. It is available at www.sec.gov. It is also available on our website at www.skillsoft.com. Following today's prepared remarks, Ron Hovsepian, Skillsoft's Executive Chair and Chief Executive Officer, and John Frederick, Skillsoft's Chief Financial Officer, will be available for Q&A. That is my pleasure to turn the call over to Ron.

Thanks, Nick, and good afternoon. Thank you to everyone for joining us today. Over the past 18 months, we have worked through two important and related efforts at Skillsoft. First, we undertook a strategic transformation to reposition the company for where the market is going. Second, During FY2026, we made meaningful operational progress against that strategy while navigating a very challenging external environment. Let me start with the strategic transformation. We began with a comprehensive assessment of the market, where the customer demand was heading and where Skillsoft could differentiate in a durable way. That work confirmed three foundational assets in the business. our content, our platform, and our data. Those assets give us a credible foundation to evolve from a traditional learning company into an AI native skills platform built for the enterprise needs. From there, we put in place a clear transformation plan and applied sharper prioritization with greater discipline to capital allocation. Using that same discipline, we reduced gross costs by approximately $45 million and reinvested roughly half of that into areas that we believed would matter most for long-term value creation, primarily go-to-market capabilities and AI-driven product innovation. FY2026 was about turning that strategy into execution. And I want to be clear on the context. we made progress while operating against a backdrop of significant macro and geopolitical uncertainty. Earlier in this year, bookings were affected by executive orders, Doge-related actions, and broader disruption in parts of the government market. As the year progressed, that uncertainty was compounded by additional global geopolitical instability and a more cautious enterprise spending environment. Despite that, we made substantial operational progress. We advanced our product roadmap, including the release of an upgraded version of KC, our AI simulation offering. We announced our new AI native platform in September, and we brought it to general availability in February. Since launch, we've secured 15 paying customers, and we are also using the platform internally in our own operations, which is helping us refine the experience and accelerate learning from the market while becoming more efficient as a company. At the same time, we continue to simplify and focus on the business. We further streamlined the cost structure, improved efficiency, and maintained prioritization and disciplined capital allocation with the outcome of generating positive free cash flow. Just as important, FY2026 demonstrated the financial durability of the business as we operated with discipline and continued to fund our transformation in a highly uncertain environment. That same discipline also led us to initiate a strategic review of global knowledge, which remains underway. as we continue to focus capital and management attention on the areas of the portfolio with the strongest growth, margin, and cash flow characteristics, particularly TDS. As we sit here today, I think there are three things that matter most. First, the strategic transformation was necessary with the AI disruption. And that transformation is well underway as we reposition the company around AI native and AI enabled skills platform model. And that positioning is increasingly resonating with customers. Second, FY2026, we represented substantial operational progress. We improved focus, advanced the platform, made the cost base leaner and more directed, strengthened execution discipline, and delivered positive free cash flow, all while continuing to manage through a meaningful market disruption. Third, we're beginning to see evidence that this work is gaining traction. Our platform is winning customers, our AI capabilities are seeing strong engagement, and we believe our TDS enterprise business has reached a revenue inflection point. When we look at the market, many companies are talking about skills and many of them are talking about AI. What we believe differentiates Skillsoft is our ability to bring together content, platform, data, and AI in a way that is usable, governed, and scalable for the enterprise. Our differentiation comes down to three things. First, our skills intelligence. We have a deep and structured body of enterprise learning data mapped to roles, domains, and job-relevant use cases, which gives us a meaningful foundation for skills-based development. Second, the integration of content, platform, and data. We are not offering a narrow point solution. we are delivering an integrated system that can help customers move from learning activity to workforce capability and measurable outcomes. Third, our ability to operationalize AI in the enterprise environments Customers are not looking for AI as a feature by itself. They are looking for trusted partners that can help them apply AI securely, responsibly, and in ways that improve workforce readiness in a measurable way. All of this is delivered through our AI native Skills Percipio platform, which brings together learning content, skills data, and measurement into a unified system. It can serve as the front end of a learner relationship or as the back end of the skills management process, giving customers flexibility in how they deploy it in their enterprise environments. That is exactly how we are seeing it in the market. One concern we sometimes hear is whether AI could reduce the relevance of categories like ours. What we're seeing suggests the opposite. AI is increasing the urgency of workforce readiness. It is widening the skills gap faster than many organizations can close it and driving demand for solutions that can translate into AI true role-based execution. This is not just conceptual, it is showing up in customer behavior, in platform usage, and in buying decisions. For example, one of Singapore's largest telecommunications providers selected Skillsoft through a competitive RFP process to support an AI-led workforce transformation mandate. not simply to extend a content relationship. Across the organization's entire user base, Skillsoft is helping support role redesign, develop AI capabilities, and embed learning into the flow of work. Early activation includes persona-based learning for an internal AI academy and pilots around AI augmented job redesign. We saw something similar with a large global healthcare organization, which entered into a multi-year partnership with Skillsoft to help operationalize an AI first operating model. They are using Skillsoft to translate AI advancements into role specific capabilities and move from fragmented learning approaches toward a more centralized and business aligned skills model. We're also seeing a strong signals in our own engagement data. AI skill benchmark completions increased 994% year over year. AI content completions increased 261% year over year. AI journey completions increased 222% year over year. KC learners increased 146% year-over-year, and KC launches or engagement increased by 341% year-over-year. To us, that matters because it reflects active, scaled behavior tied directly to workforce transformation. It suggests that AI is not displacing the need for skills development. It is increasing it. And as enterprise move faster on AI, they're also becoming more aware of the risks of moving without verified workforce capability. AI without demonstrable skills can create a real business risk, including poor decision-making, compliance exposure, and lower productivity. That is the one reason buyers are becoming more focused on ROI, measurable outcomes, and trusted platforms that can support enterprise execution at scale. So when I step back, I would frame FY26 this way. It was a year of significant strategic and operational progress in a highly uncertain environment. We continued transforming the company. We advanced our AI native platform and broader AI capabilities. We sharpened the operating model. We demonstrated financial durability. We improved execution discipline. And we began to see clearer evidence of attraction in the market. There's still work ahead, but the direction is increasingly clear. We are building a more focused company, a more differentiated AI native platform, and a market where the need for skills-based workforce transformation is growing. And that demand continues to build. We believe Skillsoft is increasingly well positioned to translate that market shift into durable growth. With that, Let me turn the call over to John to cover our financial results in more detail. John?