Zeta Global Holdings Corp.

Greetings and welcome to the Zeta first quarter 2024 earnings conference call. At this time, all participants are in a listen-only mode. A question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce Scott Schmitz, Senior Vice President of Investor Relations. Thank you. You may begin.

Thank you, operator. Hello, everyone, and thank you for joining us for Zeta's first quarter 2024 conference call. Today's presentation and earnings release are available on Zeta's investor relations website at investors.zetaglobal.com, where you will also find links to our SEC filings, along with other information about Zeta. Joining me on the call today are David Steinberg, Zeta's co-founder, chairman, and chief executive officer, and Chris Greiner, Zeta's chief financial officer. Before we begin, I'd like to remind everyone that statements made on this call as well as in the presentation and earnings release contain forward-looking statements regarding our financial outlook, business plans and objectives, and other future events and developments, including statements about the market potential of our products, potential competition, revenues of our products, and our goals and strategies. These statements are subject to risks and uncertainties that may cause actual results to differ materially from those projected. These risks and uncertainties include those described in the company's earnings release and other filings with the SEC and speak only as of today's date. In addition, our discussion today will include references to certain supplemental non-GAAP financial measures, which should be considered in addition to and not as a substitute for our GAAP results. We use these non-GAAP measures in managing our business and believe they provide useful information for our investors. Reconciliations of the non-GAAP measures to the corresponding GAAP measures, where appropriate, can be found in the earnings presentation available on our website, as well as our earnings release and other filings with the SEC. With that, I will now turn the call over to David.

Thank you, Scott. Good afternoon, everyone, and thank you for joining us today. 2024 is off to a great start. In the first quarter of 2024, we delivered revenue of $195 million, up 24% year over year, with adjusted EBITDA of $30.5 million, up 27% year over year. Our adjusted EBITDA margin of 15.6% expanded 40 basis points year over year. Our strong competitive position combined with the structural forces propelling our momentum give us the confidence to raise our 2024 full-year guidance by $25 million to $900 million at the midpoint. This translates into 24% year-over-year revenue growth, an acceleration from the 23% growth we achieved last year. This accelerated full-year growth rate is the result of strong visibility into key revenue drivers, including the marketing cloud replacement cycle, the rebound of automotive and insurance sectors, the ramp of our agency business, and the hyper-growth of our artificial intelligence platform. Behind each of these drivers is the need to make AI more actionable with more relevant personalization, more impactful marketing programs, and more measurable return on investment. Our AI-powered marketing cloud, the Zeta Marketing Platform, or ZMP, delivers actionable intelligence, by seamlessly integrating Zeta's proprietary data cloud with an enterprise's first-party data to uncover consumer attitudes and activities to determine intent and unlock better consumer experiences and therefore better results. More importantly, enterprises can transform their data assets into a competitive advantage while protecting their customers' privacy and the integrity of their ecosystems. Our value proposition is resonating with chief marketing officers as they seek new tools to capitalize on the power of AI and replace legacy marketing clouds with first-generation CDPs that are not delivering on their promises. Marketers are looking for modern marketing technology platforms like the ZMP that leverage Gen AI to drive top-line growth and improve operational efficiency without sharing their data back to the collectives. We are also seeing accelerated growth as we gain greater traction in the broader ecosystem, including our expansion with agencies, systems integrators, and technology alliances. Each of these provide an incremental source of high-quality demand generation with deals that enter the pipeline pre-qualified and closer to the decision stage. For example, we recently won a seven-figure partner-sourced platform deal with a large financial services company that closed in only four months. We were quickly able to prove that the ZMP will modernize their marketing technology stack, unifying their customer data and enabling rich segmentation and engagement in one single platform. Whether a deal is sourced through a partner or directly by our sellers, we are winning because the ZMP delivers marketers more predictable, profitable, and measurable growth. For instance, last year we implemented a pilot program at a large specialty retailer of high-quality products for the home. to help them acquire new customers. We delivered performance 20% above the required KPIs driven by actionable intelligence in the ZMP, which helped identify new customers with in-market intent signals. Our performance was validated by the brand's internal analytics team, which in turn should open additional budget for 2024 with expansion across multiple channels. Let me transition to product updates from our last call. In Q1, we launched our generative intelligent agent composer store. This allows customers to easily build and share agents within the platform across a variety of use cases. In a short amount of time, over 300 virtual agents have already been built and created. In Q2, we're adding more advanced automation, making agents configurable with clear and actionable outcomes. This automation translates agent conversations to platform actions like onboarding data, building audiences, campaigns, reports, and more. One early example is an agent created by an internal team that reduced the campaign workload by 70%, saving our team 400 hours of work per month. Our intelligent agents are becoming an enterprise's virtual data scientist, providing better information and driving a better ROI. Security and governance are at the core of these agents, ensuring that customer data is never shared outside of Zeta. Switching to mobile, where our vision is to connect the mobile channel to intelligence within our CDP and data cloud. This is where the Zeta ID gives us a strong competitive advantage by allowing us to identify people across the ecosystems. In the near term, we are working to deliver native push and SMS capabilities with a longer-term goal of creating conversational capabilities powered by our Gen AI engine, Zoe. We believe our mobile capabilities will allow enterprises to take advantage of our master orchestration to enhance their omni-channel strategies. We are continuously working to strengthen our competitive position through internal development and remain opportunistic regarding accretive transactions that can enhance our platform or accelerate our time to market. We look forward to showcasing all our AI and mobile capabilities at our Zeta Live conference scheduled to be held on September 26th later this year. In Q1, I was also incredibly proud that Zeta was certified as a great place to work in both the United States and India. This is the highest form of recognition an employer can achieve globally, and it demonstrates the impact that our investment in our people and our culture has made over the past several years. In summary, we are off to a very strong start in 2024 as we continue to capitalize on the need for more efficient and effective marketing programs and more modern marketing technology that empowers enterprises to capitalize on the transformative power of AI. As always, I would sincerely like to thank our customers, our partners, Team Zeta, and all our shareholders for the ongoing support of our vision. Now let me turn it over to Chris to discuss our results in greater detail.