Zoomd Technologies Ltd.

Good morning and welcome to the Zoom Technologies Report Second Quarter 2026 Financial Results Conference Call. All participants will be in a listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star and then one on a touch-tone telephone. To withdraw your questions, you may press star and two. Please also note today's event is being recorded. At this time, I would like to turn the floor over to Ben Shamsian, Lithum Partners. Please go ahead.

Thank you. Good morning and welcome to this morning's Zoom second quarter 2026 conference call. With us on the call for representing the company is Amit Bohensky, Zoom's Founder and Chairman, Ido Almany, Zoom's Chief Executive Officer, and Tsvika Adler, Zoom's Chief Financial Officer. At the conclusion of today's prepared remarks, we will open the call to questions. Please follow the operator's instructions to ask questions. Before we begin with prepared remarks, just a couple of comments. Today's call will contain forward-looking statements that are based on current assumptions and subjects to risks and uncertainties that could cause actual results to differ materially from those projected, and the company undertakes no obligation to update these statements except as required by law. Information about these risks and uncertainties is included in the company's filings, as well as periodic filings with regulators in Canada and the United States, which you can find on CDAR and Zoom's website. Today's discussion will include non-IFRS measures. These should be considered as a supplement to and not a substitute for IFRS financial measures. Note that all figures on this call are represented in U.S. dollars, as are Zoom's financial statements. Finally, today's event is being recorded and will be available for replay through the webcast information provided in the press release. With that said, let me now turn the call over to Amit Bohensky, founder and chairman of Zoom. Amit, please proceed.

Thank you, Ben, and good morning to all of you. We are pleased to speak with you today regarding our second quarter 2026 results. In Q2, we delivered a broad-based improvement across our key financial metrics compared with the first quarter. Revenues increased by over 10% quarter over quarter and together with an additional 8% reduction in salaries and related costs resulted in opening income and EBITDA turning positive. Net income also improved by approximately $1.7 million compared with the previous quarter. With more than $22 million in cash and cash equivalent and no bank debt, we believe that we are in strong position to navigate the current transition period while continuing to invest in long-term growth, initiatives, business development, strategic partnerships, and our technological capabilities. As discussed previously, two major customers implemented changes to their operating models reflecting ongoing adjustments in customer acquisition strategies and KPI measurements as part of broader shifts in the digital marketing landscape. We continue to actively work with both customers following these changes, maintaining our position as a trusted partner, supporting their long-term growth objectives. With one of these customers, as time progressed, We have become increasingly cautious regarding the likelihood of a meaningful recovery in activity levels. With the second customer, we continue to see a meaningful increase in activity levels alongside continued expansion into additional geographies and remain optimistic that the trend will continue. This period of transition reflects an ongoing shift in customer activity mixed rather than a fundamental change in our long-term growth strategy. We also continue to expand and diversify our customer base. Over the past several quarters, we expanded our presence across North America and Europe, adding more than 20 new clients across the iGaming, Pintec, and eCommerce Vertical, including Silver Social, Sportybet, and Kraken. Based on the typical revenue ramp-up cycle, management expects these customers' wins to contribute more meaningfully during 2026. These newly onboarded customers contributed over 20% of the company's revenues during the quarter. supporting the company's transition towards a broader and more diversified revenue profile. We believe these developments support the creation of the healthier, more diversified and resilient long-term revenue base. As part of our growth strategy, we continue to advance strategic partnerships that should accelerate revenue growth. Alongside the collaboration with E2, We initiated an additional partnership during the year, currently in POC stages, focusing on expanding capabilities across a broad range of digital and multimedia distribution channels. We are expanding the resources dedicated to these initiatives, and we believe they will contribute over the coming quarters. At the same time, We implemented a series of operational efficiency and cost optimization measures designed to better align our cost structure with current activity levels. These sections are now increasingly reflected in our results, contributing to a leaner cost base and improved operating efficiency with dedicated AI tools and internally developed capabilities supporting a growing share of our operational workload. We are therefore entering the coming quarters with an improving revenue trajectory, a more efficient cost structure, and a stronger foundation for renewed growth. I would like to turn to our product and service offering as it's important for investors to understand our competitive advantage and why clients are coming to us. Our competitive edge stems from our comprehensive 360 degree approach to digital performance with a mobile first focus all designed to help our clients achieve their goals. We offer a wide range of solutions are tailored to digital and mobile performance, enabling us to deliver a holistic suite of products and services that drive measurable results against our clients' digital performance KPI. Zoom utilizes a combination of research and development, acquisitions, and methodologies to improve its offerings. One of our strengths is our transparent, direct, and Intensive Client Communication. Unlike many of our industry peers, we don't operate through agencies. We work directly with our clients, engaging with the chief revenue officer side at the organization. This relationship positions us not just as a vendor, but as a trusted advisor. The depth of this engagement path of long-term partnerships significantly reduces churn and create strong opportunities for revenue growth within our existing client base. This approach enables real-time campaign management without delays, even while simultaneously having multiple campaigns across various geographies. The unique approach positions us as a semi-human, semi-automated command and control platform Effectively combining advanced technology and strategic insights, we closely monitor and respond not only to the shifts in client strategy, but also broader macroeconomic changes beyond the client direct control. And as a result, we empower our clients to swiftly adapt to market fluctuations, maximizing their impact and driving significant customers globally. Our main platform? is integrated with hundreds of media sources, allowing us to promote our customers' digital assets on multiple channels under one system. We use a DSP, or a Programmatic Media Bank. The DSP is integrated into the biggest mobile media exchanges, providing our customers full range and reach for the mobile web and app performance needs. We optimize advertisers' resources and maximize their advertising budget and efficiency. There is no dependency on any specific media supplier or traffic channel. This not only saves valuable time and resources for our advertisers, but also provides enhanced clarity and consolidated insights. Beyond the walled gardens like Google, Meta, and etc., the open marketing landscape