Pluribus Technologies Corp.

Good morning. My name is Lera, and I will be your conference operator today. At this time, I would like to welcome everyone to the Pluribus Technologies Corp conference call to present the financial results for the first quarter ended March 31, 2024. All lines have been placed on mute to prevent any background noise. After management's prepared remarks, there will be a question and answer session. Instructions on how to queue up to ask questions will be given at that time. Forward-looking information is based on a number of assumptions, including the business plans of the company, including the successful completion and pace of future acquisitions, management's expectations and the growth, the company's ability to meet its debt service obligations, the company's ability to align costs to revenues, profitability and performance of its current and future acquisitions, the company's ability to continue acquiring business-to-business software companies at reasonable prices, and the company's ability to grow its portfolio companies into significant organizations. And other assumptions are set out in the risk factor section of the company's first quarter MD&A dated May 30, 2024. Forward-looking information is subject to risks, many of which are beyond the company's control. A comprehensive summary of the risks and uncertainties that may affect the business is set out in the company's filing statement dated January 7, 2022. This forward-looking information represents management's expectations as of today and and accordingly is subject to change. Such information is based on current assumptions that may not materialize and is subject to a number of important risks and uncertainties. Actual results may differ materially, and listeners are cautioned not to place undue reliance on this forward-looking information. Pluribus does not undertake any obligation to update forward-looking information, whether as a result of new information, future events, or otherwise, except as expressly required under applicable securities laws. Pluribus MDNAs and filing statements are available on the corporate website and its filings with the Canadian Securities Administrators and CEDAR at www.cedaplus.ca. With that, I will now turn the call over to Mr. Richard Adair, Chief Executive Officer of Pluribus Technologies. Mr. Adair, you may begin your remarks.

Thank you. Good morning, everyone, and thank you for joining us today. On the call with me today is Nancy Fahey, our CFO. In terms of an agenda, I will review the key highlights for the first quarter before turning the call over to Nancy for a brief financial overview. We'll then open the call to questions. We were pleased to announce the sale of HealthTech Vertical earlier this month as a first step in deleveraging the balance sheet. We determined that the growth opportunities in HealthTech Vertical were limited without additional investment and deemed it to be non-core. Since acquisition of the HealthTech Vertical in December 2019, we were able to more than double the EBITDA and achieve an attractive return on invested capital. The service delivered another quarter of adjusted EBITDA that was positive in this difficult economic environment. with the benefits of the previously announced cost-cutting initiatives we implemented in 2023, fully benefiting adjusted EBITDA. At e-learning, we're starting to see more activity and more slow increases in spending by customers as compared to 2023. During the quarter, Skillshare was approached by a key customer in the UK to acquire a perpetual software license. Skillshare retained its own version of the code to sell to other customers, and the sale generated cash in Q1 to assist in paying the

credit facility.