Zeta Global Holdings Corp.

Greetings and welcome to the Zeta second quarter 2024 earnings conference call. At this time, all participants are in a listen-only mode. A brief 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 your host, Scott Schmidt, Senior Vice President of Investor Relations. Thank you. Scott, you may begin.

Thank you, Operator. Hello, everyone, and thank you for joining us for Zeta's second 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. Three years ago, we went public with the promise of bringing data and AI together to modernize marketing technology. Over the course of these three years, we have delivered on this promise and consistently produced beat and raise results. This quarter was no different. In the second quarter of 2024, we generated revenue of $228 million, up 33% year over year, with adjusted EBITDA of $38.5 million, up 44% year over year. Our adjusted EBITDA margin of 16.9% expanded 130 basis points year over year. This accelerated revenue growth combined with strong margin performance means we have achieved the rule of 50 for the first time as a public company. And once again, we are raising our full year 2024 outlook by another $25 million to $925 million at the midpoint. This translates into 27% year-over-year revenue growth. This is driven by the AI revolution, which is accelerating the replacement cycle of marketing technology. Artificial intelligence is disrupting legacy marketing clouds, which in some cases are even shutting down parts of their business, creating a large opportunity for more innovative, agile, and AI-powered marketing technology companies like Zeta. As I have stated before, AI has moved from science fiction to a boardroom conversation. Boards are asking CEOs what is their AI strategy. In turn, CEOs are asking their CTOs, CMOs, and CIOs for their plans. And they are turning to us because we turn AI into real-world results for marketers. Enterprises are looking to Zeta to improve productivity, deliver personalization at scale, and develop marketing programs with a measurable and superior return on investment. This is core to our value proposition. We have been focused on AI for many years, not many months, with AI, natural language processing, and data at the core of our platform. As the use of GenAI tools has grown, there has been greater acknowledgement that marketing is among the first functions to be transformed by AI. Realizing the full potential of GenAI requires proprietary data. Over the last 15 years, we have invested and innovated to assemble one of the largest proprietary opted-in data clouds. Our flexible and scalable data platform enhances and extends investments that enterprises have made in modern data warehouses, such as Snowflake and Databricks, and has a robust identity resolution capability built right in. Taken together, these modules make it easier for marketers to target the right customers at the right time. while keeping the security of their data and the privacy of their consumers within the enterprise's ecosystem. There is no data exhaust from Zeta's LLMs like there are with others. While our AI-powered intelligence delivers value from day one, we are not standing still. We are seeking new ways to expand our AI advantage. We recently announced an advancement in Gen AI functionality by partnering with Amazon's Bedrock platform. This collaboration enhances and extends our longstanding partnership with AWS and gives Zeta greater access to AWS customers with tools to create intelligent AI assistance with personalized workflows that can handle all of their marketing tasks. An emerging example of the power of Zeta's intelligence is the launch of the Zeta Economic Index or ZEI, which we announced earlier this month. The ZEI is a next generation barometer of the U.S. economy. Leveraging Zeta's proprietary data cloud, which captures the behavior of 240 million Americans, it predicts the trajectory of the macroeconomy and highlights microeconomic levers. Zeta's ability to produce a sophisticated tool like this underscores our commitment to providing unique, actionable business intelligence to enterprises. And with strong initial media coverage by CNBC, Bloomberg, Forbes, CNN, and others, the ZEI is also an incremental source of brand awareness. Our ability to provide AI-driven intelligence to the world's leading enterprises enables them to understand the drivers of consumer behavior and intent. For example, a leading national furniture retailer is leveraging the ZMP, including Zeta's proprietary identity graph and intent signals to predict in-market intent, target prospects, and customers in their preferred channel, optimize the customer journey touchpoints, and deterministically measure their return on investment. Our AI capabilities will also be on full display at our fourth annual Zeta Live event, taking place on September 26th in New York City. This year, our featured speakers include Shaquille O'Neal, Dr. Deepak Chopra, and Michael Milken. In addition, we will have CMOs from many Fortune 500 companies. In total, there will be over $100 billion of annual marketing spend controlled by the people in that room. DataLive provides unique opportunity to gain deep insights, discover practical strategies, and take advantage of invaluable networking connections that will help brands harness the transformative power of artificial intelligence. Zeta Live 2023 has been a key driver of our growing pipelines and market awareness, with customers in attendance accounting for over a quarter of our pipeline and one-third of new scaled customers this past year. Our increasing brand exposure is giving us a broader vantage point of where the market is going. This strengthens our ability to improve our competitive position through internal development while remaining opportunistic for creative transactions that can enhance our platform, accelerate our speed to market, and deliver outside value to our customers. In closing, I am extremely excited about our growing market awareness and the competitive position of our platform. we remain hyper-focused on executing on the huge opportunity in front of us. While we have come a long way as a public company over the last three years, we truly believe we are just getting started. As always, I would like to sincerely thank our customers, our partners, Team Zeta, and all of our shareholders for the ongoing support of our vision. Now, let me turn it over to Chris to discuss our results in greater detail.