Alarum Technologies Ltd (ALAR) 2024 Q4 法說會逐字稿

Good day, ladies and gentlemen. Thank you for standing by. Welcome to the Alarum Technologies fourth quarter and full year 2024 corporate update conference call. (Operator Instructions) This conference is being recorded today, March 20, 2025.

女士們、先生們，大家好。感謝您的支持。歡迎參加 Alarum Technologies 2024 年第四季和全年公司更新電話會議。（操作員指示）本次會議將於今天（2025 年 3 月 20 日）進行錄製。

Before we get started, I will read a forward-looking statements disclaimer. This conference call may contain, in addition to historical information, forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. Forward-looking statements include statements about plans, objectives, goals, strategies, future events of performance and underlying assumptions, and other statements that are different than historical facts. For example, when we discussed our first quarter or 2025 -- first quarter of 2025 guidance, our future strategy and long-term vision, our potential for continued sustainable future growth, the potential of long-term collaborations, future opportunities, and success, we are using forward-looking statements. These forward-looking statements are based on current management expectations and are subject to risks and uncertainties that may result in expectations, not being realized and may cause actual outcomes to differ materially from expectations reflected in these forward-looking statements. Potential risks and uncertainties include those discussed under the heading, Risk Factors and Alarum's annual report on Form 20-F filed with the Securities and Exchange Commission, SEC, earlier today, March 20, 2025, and in subsequent filings with the SEC.

在我們開始之前，我將閱讀一份前瞻性聲明免責聲明。除歷史資訊外，本次電話會議可能包含《1995 年私人證券訴訟改革法案》和其他聯邦證券法的安全港條款所定義的前瞻性聲明。前瞻性陳述包括關於計劃、目的、目標、策略、未來績效事件和基本假設的陳述以及其他與歷史事實不同的陳述。例如，當我們討論 2025 年第一季——2025 年第一季的指導、我們的未來策略和長期願景、我們未來持續可持續成長的潛力、長期合作的潛力、未來的機會和成功時，我們正在使用前瞻性陳述。這些前瞻性陳述是基於目前管理階層的預期，並受風險和不確定性的影響，可能導致預期無法實現，並可能導致實際結果與這些前瞻性陳述中反映的預期有重大差異。潛在風險和不確定性包括在「風險因素」標題下討論的風險和不確定性，以及 Alarum 於今天（2025 年 3 月 20 日）早些時候向美國證券交易委員會 (SEC) 提交的 20-F 表年度報告以及隨後向 SEC 提交的文件中討論的風險和不確定性。

All such forward-looking statements, whether written or oral, made on behalf of the company are expressly qualified by these cautionary statements, and such forward-looking statements are subject to risks and uncertainties, and we caution you not to place undue reliance on these. On the call, the company will also present non-IFRS key business metrics. The non-IFRS key business metrics the company uses are EBITDA and adjusted EBITDA, non-IFRS gross margin, non-IFRS net profit or loss, and non-IFRS basic earnings or loss per share or ADS. The exact definitions and reconciliations of these non-IFRS key business metrics are described in the company's fourth quarter and full year 2024 financial results press release, which is available on the investor's lobby on our website, alarum.io/alarum-investors-lobby/.

所有此類前瞻性陳述，無論是書面的還是口頭的，只要是以公司名義做出的，均明確受到這些警示性聲明的限制，並且此類前瞻性陳述受風險和不確定性的影響，我們提醒您不要過分依賴這些陳述。在電話會議上，該公司也將介紹非國際財務報告準則的關鍵業務指標。該公司使用的非國際財務報告準則關鍵業務指標包括EBITDA和調整後EBITDA、非國際財務報告準則毛利率、非國際財務報告準則淨利潤或虧損、以及非國際財務報告準則每股或美國存託憑證基本收益或虧損。這些非國際財務報告準則 (IFRS) 關鍵業務指標的確切定義和對帳在公司 2024 年第四季度和全年財務業績新聞稿中有描述，該新聞稿可在我們網站 alarum.io/alarum-investors-lobby/ 的投資者大廳查閱。

I will now turn the call over to Shachar Daniel, Alarum Technologies Chief Executive Officer. Mr. Daniel, the floor is yours.

現在我將電話轉給 Alarum Technologies 執行長 Shachar Daniel。丹尼爾先生，請您發言。

Thank you. Good day, everyone, and welcome to Alarum Technologies fourth quarter and full year 2024 results conference call. I'm joined today by Shai Avnit, our Chief Financial Officer. I will cover our progress, the trends we are seeing in the data collection market, our strategy, and longer-term vision. Shai will review the financials and provide our quarter one 2025 guidance. I will then come back for a short summary of our prepared remarks, and we will open the call for your questions.

謝謝。大家好，歡迎參加 Alarum Technologies 2024 年第四季和全年業績電話會議。今天和我一起參加的是我們的財務長 Shai Avnit。我將介紹我們的進展、我們在數據收集市場看到的趨勢、我們的策略和長期願景。Shai 將審查財務狀況並提供 2025 年第一季的指導。然後，我將回來簡要總結我們準備好的發言，然後開始回答大家的提問。

2024 has been the most pivotal year for our company and which we believe will be one of the most transformative for the future of technology as the AI revolution is reshaping our role at an unparalleled pace. Despite market fluctuations, we continue to demonstrate financial resilience. In 2024, we fully executed the strategic vision introduced less than two years ago to focus solely on data collection while phasing out from other activities Alarum was engaged in. We launched cutting-edge products in the data collection domain and recognized initial revenues from those new products.

2024 年是我們公司最重要的一年，我們相信，隨著人工智慧革命以前所未有的速度重塑我們的角色，這一年將成為未來科技最具變革性的一年。儘管市場波動，我們仍然表現出財務韌性。2024 年，我們全面實施了不到兩年前提出的策略願景，專注於資料收集，同時逐步退出 Alarum 所從事的其他活動。我們在資料收集領域推出了尖端產品，並從這些新產品中獲得了初始收入。

We further solidified our financial position through operational profitability and cash flow generation. Annual revenue reached a record of high $31.8 million, of which 97% was attributed to data collection, and adjusted EBITDA reached to a record of $9.4 million. 2024 marked our shift to redefine our business with data collection. But more than anything, it was the year in which we began realizing the true impact of the AI revolution and our critical role in this exchange era.

我們透過營運獲利能力和現金流產生進一步鞏固了我們的財務狀況。年度收入達到創紀錄的 3,180 萬美元，其中 97% 歸功於數據收集，調整後的 EBITDA 達到創紀錄的 940 萬美元。 2024 年標誌著我們開始透過資料收集重新定義我們的業務。但最重要的是，這一年我們開始意識到人工智慧革命的真正影響以及我們在這個交流時代的關鍵作用。

In today's world, data is the new oil. It's a key driver of innovation, decision-making, and gaining a competitive advantage. As data fuels AI, the companies that will lead this transformation are those that anticipate change, build the right foundation, and position themselves for a longer-term relationship. This is exactly what we are aiming for at Alarum step by step. With the foundation of information access being redefined, websites, data sources, and access restrictions are constantly being modified. We are witnessing a fundamental shift and intense battle between traditional websites, which have long served as the world's primary source of information and AI-driven platforms that now are threatened to replace them.

在當今世界，數據就是新的石油。它是創新、決策和獲得競爭優勢的關鍵驅動力。隨著數據推動人工智慧的發展，引領這一轉變的公司是那些預測變化、建立正確基礎並為長期關係做好準備的公司。這正是我們在 Alarum 一步步追求的目標。隨著資訊存取基礎被重新定義，網站、資料來源、存取限制都在不斷被修改。我們正在目睹傳統網站與人工智慧平台之間的根本性轉變和激烈競爭，傳統網站長期以來一直是世界主要的資訊來源，而現在人工智慧驅動的平台卻有可能取代它們。

In this new reality, data is increasingly becoming the most valuable asset in the competition between AI platforms and between AI and traditional web-based information sources. With that said, this evolving landscape is leading to a dynamic environment, higher volatility, and revenue fluctuation across the industry. Alarum, too, is impacted by these trends at end benefiting, at times, challenged. Our strong financial position and strategic initiatives position us well for continued sustainable future growth. That said, we extremely believe we are at the once in a generation inflection point.

在這種新現實下，數據越來越成為人工智慧平台之間以及人工智慧與傳統網路資訊來源之間的競爭中最寶貴的資產。話雖如此，這種不斷變化的情況正在導致整個行業的環境更加動態、波動性更大、收入波動更大。Alarum 也受到這些趨勢的影響，最終受益，有時也面臨挑戰。我們強大的財務狀況和策略舉措為我們未來持續可持續的成長奠定了良好的基礎。儘管如此，我們堅信我們正處於一代人中獨一無二的轉折點。

Looking ahead and preparing the company for its next steps, we substantially expanded coverage of our IP network in 2024, power and critical data access for our customers worldwide. We enhanced infrastructure and capacity, building a scalable global network, which is essential to handle massive data traffic. We are reaping the fruits of our investment in our introducing high-performance innovative products, with initial modest sales already recorded and growing interest underway. We continue to make inroads to data collection and labeling market. The website and blocker drives entry into the multibillion-dollar data collection market, enhancing access and efficiency.

展望未來，為公司下一步的發展做好準備，我們在 2024 年大幅擴展了 IP 網路的覆蓋範圍，為全球客戶提供電力和關鍵數據存取。我們增強了基礎設施和容量，建立了可擴展的全球網絡，這對於處理大量資料流量至關重要。我們正在收穫我們在推出高性能創新產品方面的投資成果，初期已經取得了適度的銷售業績，並且人們的興趣也在不斷增長。我們繼續進軍資料收集和標籤市場。該網站和攔截器推動了數十億美元的數據收集市場的進入，增強了訪問量和效率。

Our AI data collection ensures continuous data flow with a no-growth setup and the real-time AI adoption. Exiting 2024, we saw a spike in demand from AI-driven companies for high-quality, large-scale data extraction solutions. I'm very excited to share that in Q4 2024 and Q1 2025, we started initial AI model training and analysis trial projects, including data and video by new customers, including one of the world's largest corporations, a global online marketplace cooperation. We believe that this initial project could pave the way for a long-term collaboration with immense potential.

我們的 AI 資料收集透過無成長設定和即時 AI 採用確保持續的資料流。到 2024 年，我們看到人工智慧驅動型公司對高品質、大規模資料擷取解決方案的需求激增。我很高興地告訴大家，在2024年第四季度和2025年第一季度，我們啟動了初步的AI模型訓練和分析試驗項目，其中包括新客戶的數據和視頻，其中包括世界上最大的公司之一、一家全球在線市場合作。我們相信，這個初始項目可以為具有巨大潛力的長期合作鋪平道路。

As I've emphasized previously, our investment over the past years in growing our IP network was designed to prepare us for this moment, and the demand from AI-driven customers validates our decisions. As we enter 2025 in prime position to serve as an enabler in today's evolving landscape. Yet, I would like to emphasize that capitalizing on massive long-standing potential requires patience in the long-term forward-looking approach. Fortunately, our profitability and operational efficiency have enabled us to build a strong cash-generating business that allows us to pursue relevant opportunities.

正如我之前強調的那樣，過去幾年我們在發展 IP 網路方面的投資是為了迎接這一刻，而來自人工智慧驅動的客戶的需求證實了我們的決定。當我們進入 2025 年時，我們將處於有利位置，成為當今不斷變化的環境中的推動者。然而，我想強調的是，要發揮巨大的長期潛力，需要長期的前瞻性耐心。幸運的是，我們的獲利能力和營運效率使我們能夠建立強大的現金產生業務，使我們能夠尋求相關機會。

At Alarum, we believe that success in a fast-moving market comes from vision, adaptability, and strategic positioning. We have flexibility to focus on bold strategic moves that drive sustainable growth. With that, I will now turn the call over to Shai for a review of the financial highlights.

在 Alarum，我們相信在快速發展的市場中取得成功源於遠見、適應性和策略定位。我們可以靈活地專注於推動永續成長的大膽策略舉措。現在，我將把電話交給 Shai，讓他回顧一下財務亮點。

Thank you, Shachar. Hello, everyone. I'll begin with a summary of our key financial results for the fourth quarter and full year of 2024, comparing them to the corresponding periods in 2023 unless stated otherwise. After that, I will share our guidance for the first quarter of 2025. As noted at the beginning, the exact definitions and reconciliations of non-IFRS key business metrics are described in the company's fourth quarter and full year 2024 financial results press release. And the last housekeeping item before we dive in, the figures I will be presenting are rounded for simplicity.

謝謝你，Shachar。大家好。我將首先總結我們 2024 年第四季和全年的主要財務業績，並將其與 2023 年同期進行比較，除非另有說明。之後，我將分享我們對 2025 年第一季的指導。如開頭所述，非國際財務報告準則關鍵業務指標的確切定義和對帳在公司第四季和2024年全年財務業績新聞稿中有描述。在我們深入討論之前的最後一項是，為了簡單起見，我將展示的數字都是四捨五入的。

Now, let's go to the results. Revenues in the fourth quarter of 2023 -- 2024 reached $7.4 million, up 3.7% from $7.1 million in the fourth quarter of 2023. The data collection portion increased to $7.2 million in the fourth quarter of 2024, 6.8% higher than the $6.7 million recorded in the fourth quarter of 2023. Full year 2024 revenues increased to a record of $31.8 million, 20% up from 2023.

現在，我們來看看結果。2023-2024 年第四季營收達到 740 萬美元，較 2023 年第四季的 710 萬美元成長 3.7%。2024 年第四季度，資料收集部分增加至 720 萬美元，比 2023 年第四季的 670 萬美元高出 6.8%。2024 年全年營收將增至創紀錄的 3,180 萬美元，比 2023 年成長 20%。

The data collection portion reached a record of $30.9 million in 2024, up 45.2% from $21.3 million in 2023. The data collection portion was 97% of the total revenues both on quarterly and annual basis, up from 80% in 2023 and about 45% only in 2022, clearly representing our business shift in a short period of time since announcing our strategic shift to focusing on data collection. Non-IFRS gross margin for the fourth quarter of 2024 was 74.3% compared to 77.2% in the fourth quarter of 2023. Non-IFRS gross margin for the full year 2024 grew to 77% from 74.3% in 2023. The change in these gross margin metrics is related to our strategic decision to enhance our IT network so we can address our customers' demand for stability, responsiveness, and speed.

資料收集部分在 2024 年達到了創紀錄的 3,090 萬美元，比 2023 年的 2,130 萬美元增長 45.2%。數據收集部分佔季度和年度總收入的 97%，高於 2023 年的 80% 和 2022 年的 45% 左右，這清楚地表明了我們自宣布戰略轉向以數據收集為重點以來在短時間內實現了業務轉變。2024 年第四季非國際財務報告準則毛利率為 74.3%，而 2023 年第四季為 77.2%。2024 年全年非國際財務報告準則毛利率從 2023 年的 74.3% 成長至 77%。這些毛利率指標的變化與我們加強 IT 網路的策略決策有關，這樣我們就可以滿足客戶對穩定性、回應能力和速度的需求。

Operating expenses in the fourth quarter of 2024 were $5 million compared to $3.6 million in the fourth quarter of 2023. The quarterly change was driven mainly by the increase in operations, primarily employee salary-related costs. On an annual basis, 2024 operating expenses were down to $17.2 million from $24.3 million in 2023. This was mainly due to last year's impairment costs of goodwill and intangible assets and the strategic decision to scale down of the company's consumer internet access business operations.

2024 年第四季的營運費用為 500 萬美元，而 2023 年第四季的營運費用為 360 萬美元。季度變化主要由營運成本增加（主要是員工薪酬相關成本）所致。以年度計算，2024 年營運費用從 2023 年的 2,430 萬美元降至 1,720 萬美元。這主要是由於去年商譽和無形資產的減損成本以及公司縮減消費者網路存取業務營運的策略決策。

In the fourth quarter of 2024, we recorded financial income of $200,000 compared to an expense of $100,000 in the fourth quarter of 2023. For the full year 2024, we recorded financial income of $300,000 compared to a financial expense of $300,000 last year. The shift to financial income in the fourth quarter and full year 2024 was mainly driven by the higher interest income from cash deposits and lower financial expenses related to short and long-term loans. IFRS net profit was $400,000 for the fourth quarter of 2024 compared to a net profit of $1.7 million in the fourth quarter of 2023, mainly correlated to the increase in operating expenses. 2024 IFRS net profit increased to a record of $5.8 million from a net loss of $5.6 million in 2023, mainly the result of revenue growth and last year's impairment costs of goodwill and intangible assets, partially offset by the increase in operating expenses.

2024 年第四季度，我們的財務收入為 20 萬美元，而 2023 年第四季的支出為 10 萬美元。2024 年全年，我們的財務收入為 30 萬美元，而去年的財務支出為 30 萬美元。2024年第四季和全年向金融收入的轉變主要得益於現金存款的利息收入增加以及與短期和長期貸款相關的財務支出減少。2024 年第四季的 IFRS 淨利潤為 40 萬美元，而 2023 年第四季的淨利潤為 170 萬美元，這主要與營運費用的增加有關。2024 年 IFRS 淨利潤從 2023 年的 560 萬美元淨虧損增至創紀錄的 580 萬美元，這主要得益於收入增長以及去年商譽和無形資產的減值成本，但部分被運營費用的增加所抵消。

Adjusted EBITDA in the fourth quarter of 2024 was $1.5 million compared to $2.2 million in the corresponding quarter last year. 2024 annual adjusted EBITDA was a record $9.4 million, up from $5.2 million in 2023. Our current share count is 69.3 million ordinary shares or 6.9 million ADSs. On a fully diluted basis, the count is 80 million ordinary shares or 8 million ADSs. The fourth quarter of 2024 basic earnings per share were $0.20 per ADS on non-IFRS basis compared to $0.38 in the fourth quarter of 2023. On an annual basis, the 2024 basic earnings per ADS rose to $1.26 on non-IFRS basis, up from a loss of $1.14 in 2023.

2024 年第四季調整後 EBITDA 為 150 萬美元，去年同期為 220 萬美元。 2024 年度調整後 EBITDA 達到創紀錄的 940 萬美元，高於 2023 年的 520 萬美元。我們目前的股份總數為 6,930 萬股普通股或 690 萬股 A​​DS。以完全稀釋後計算，普通股數量為 8,000 萬股，即 800 萬股 A​​DS。2024 年第四季非國際財務報告準則每股基本收益為每股 ADS 0.20 美元，而 2023 年第四季為 0.38 美元。以年度計算，2024 年非國際財務報告準則每股美國存託憑證基本收益從 2023 年的 1.14 美元虧損增至 1.26 美元。

As of December 31, 2024, the company's shareholders' equity doubled to a record of $26.4 million from $13.2 million on December 31, 2023. The annual net profit, together with warrants and auctions exercises, contributed to the $13.2 million increase. The company's cash, cash equivalents, and cash investments balance, including accrued interest at the end of December 2024, were up to $25 million from $10.9 million on December 31, 2023. Our solid cash position allows us to sustain strategic investments and drive responsible business growth.

截至 2024 年 12 月 31 日，該公司股東權益從 2023 年 12 月 31 日的 1,320 萬美元翻了一番，達到創紀錄的 2,640 萬美元。年度淨利潤加上認股權證和拍賣活動促成了 1,320 萬美元的成長。該公司的現金、現金等價物及現金投資餘額（包括截至2024年12月底的應計利息）從2023年12月31日的1,090萬美元增至2,500萬美元。我們穩固的現金狀況使我們能夠維持策略性投資並推動負責任的業務成長。

Now to our guidance for the first quarter of 2025. As we look ahead, our revenue guidance reflects the ongoing shift in our market. We anticipate that the first quarter of 2025 revenue to range at $7.3 million, plus, minus 3%. The first quarter of 2025 adjusted EBITDA is expected to range from $0.8 million to $1.2 million.

現在來看看我們對 2025 年第一季的預測。展望未來，我們的收入預期反映了市場正在發生的轉變。我們預計 2025 年第一季的營收將在 730 萬美元左右，上下浮動 3%。預計 2025 年第一季調整後 EBITDA 將在 80 萬美元至 120 萬美元之間。

We are navigating a period of adjustment as the industry evolves. And while short-term revenue growth may be lower than in previous quarters, we remain focused on the bigger picture and on generating long-term and sustainable value for the company's stakeholders.

隨著產業的發展，我們正在經歷一段調整期。儘管短期收入成長可能低於前幾季度，但我們仍然專注於大局，並致力於為公司利害關係人創造長期和可持續的價值。

With that, I'll hand the call back over to Shachar.

說完這些，我會把電話轉回給 Shachar。

Thank you, Shai. Opportunity is unfolding, and we are strategically positioning Alarum to be at the heart of this new world. As demand for data and scale increases and as AI continues to evolve, those who choose the right path, those who look beyond the immediate horizon will emerge the industry's true leaders, and we are determined to be among them. Success will require bold long-term strategic decisions, and we are channeling our resources toward the development of cutting-edge solutions as we aim to analyze and anticipate the industry's needs. With a clear vision, stamina, solid execution, and a talented driving team, we are building a company poised for a long-term success.

謝謝你，Shai。機會正在展開，我們正在策略性地將 Alarum 定位為這個新世界的中心。隨著對數據和規模的需求不斷增加以及人工智慧的不斷發展，那些選擇正確道路、放眼長遠的人將成為行業真正的領導者，而我們決心成為其中的一員。成功需要大膽的長期策略決策，我們正將資源用於開發尖端解決方案，因為我們的目標是分析和預測產業的需求。憑藉著清晰的願景、毅力、堅實的執行力和才華橫溢的團隊，我們正在打造一家有望長期成功的公司。

We will now open the call for the Q&A session. Operator?

我們現在開始問答環節。操作員？

(Operator Instructions) Brian Kinstlinger, Alliance Global Partners.

（操作員指示）Brian Kinstlinger，Alliance Global Partners。

You mentioned you are navigating a period of adjustment as the industry evolves, and so revenue growth may be slower. Can you describe what you're referring to? And I guess, I'm trying to reconcile that with comments such as once in a generation opportunity and a spike in demand that we've seen in the fourth quarter for large-scale data extraction.

您提到，隨著行業的發展，您正在經歷一段調整期，因此收入成長可能會放緩。你能描述一下你所指的是什麼嗎？我想，我正試圖將其與諸如千載難逢的機會以及我們在第四季度看到的大規模數據提取需求激增等評論相協調。

Okay. So I will divide -- thank you. So I will divide my answer for two parts. The first -- and by the way, both are connected. As I said, we're now seeing or starting now at the stage where companies or huge companies that are getting into the AI game, approaching us in order to cooperate because as you know, our solution is basically -- can be a data enabler and can solve these challenges.

好的。所以我會分開——謝謝。因此我將把我的答案分為兩部分。第一個——順便說一下，兩者是相互關聯的。正如我所說，我們現在看到或開始進入這樣的階段：一些公司或大公司正在進入人工智慧領域，它們正在與我們接洽以尋求合作，因為如你所知，我們的解決方案基本上是——可以成為數據推動者並解決這些挑戰。

Now as I mentioned also, I talked a lot about it in the past, in the last few quarters, it becomes -- we see a kind of huge, let's call it, competition between the AI platforms and the websites. Why? Because basically, the AI platform can replace the traffic that is coming into the website instead of it to stay in the AI to get all the customer needs. So for this reason, there is a kind of a technology war, let's call it, a war, just as a metaphor, between the websites and the AI platforms. And for this reason, we see a spike, and we see -- we feel a volatility due to the fact that websites are implementing kind of products that's supposed to stop or to halt AI engines from coming in. Websites are increasingly changed their structure in order to make the life of the AI platforms more challenging.

正如我之前提到的，我過去經常談論這個問題，在過去的幾個季度裡，我們看到了人工智慧平台和網站之間的巨大競爭。為什麼？因為基本上，AI 平台可以取代進入網站的流量，而不是讓流量留在 AI 滿足所有客戶需求。因此，網站和人工智慧平台之間存在著一種技術戰爭，我們稱之為戰爭，只是一個比喻。出於這個原因，我們看到了峰值，我們看到了——我們感受到了波動，因為網站正在實施一些旨在阻止或阻止人工智慧引擎進入的產品。網站的結構不斷改變，以使人工智慧平台的生存更具挑戰性。

And for this, now, companies and the AI platforms and websites are basically now restructuring their paths in this new world. And this is the reason why the market and also us as part of it for the short term, experiencing a volatility and fluctuation in the demand. And the main reason is that we see that for the long term, when I talked about data and scale, these huge players need data in huge scale in order to train their AI models in order to stay up to date. So we see that for the short term, it might be spiked -- by the way here and there, as I mentioned, sometimes, it can come in favor of revenues. Sometimes, it can take the revenues a little bit down. But for the long term, we see that this trend basically is something that is in the favor of us because we are the data enabler, and our purpose and our target and the usage of our product is exactly for this need.

為此，現在，公司、人工智慧平台和網站基本上正在重組他們在這個新世界中的道路。這就是為什麼市場以及我們作為其中的一部分在短期內經歷需求波動的原因。主要原因是我們看到，從長遠來看，當我談到資料和規模時，這些大型企業需要大規模的資料來訓練他們的人工智慧模型，以保持最新狀態。因此，我們看到，在短期內，它可能會出現飆升——順便說一下，正如我所提到的，有時，它可能有利於收入。有時，這可能會稍微降低收入。但從長遠來看，我們認為這種趨勢基本上對我們有利，因為我們是數據推動者，我們的目的、目標和產品的用途正是滿足這種需求。

So if I say it another way, your customer set is essentially in a period of determining their strategy, given these changes with websites. And so they're not necessarily purchasing your product as quickly because they have to figure out where the landscape is headed. Is that right?

所以，如果我換句話說，考慮到網站的這些變化，您的客戶群基本上正處於確定其策略的時期。因此，他們不一定會很快購買你的產品，因為他們必須弄清楚情況的發展方向。是嗎？

Yes. Yes. Sorry to interrupt you. It's not -- it's sometimes that -- it's not that they are not purchasing our kind of product. It's sometimes, they are going down for a limited period in order to restructure the business opportunity, to restructure the direction that they are going to. So we see that they might decrease usage, might stop, or others might increase because they find their paths and direction. And with our products, they can basically go over these challenges. So it goes here and there.

是的。是的。抱歉打擾您。這並不是說——有時候——並不是說他們不購買我們的產品。有時，他們會暫停一段時間，以重組商業機會，調整前進的方向。因此我們看到，它們可能會減少使用量，可能會停止使用，或者其他使用量可能會增加，因為它們找到了自己的路徑和方向。有了我們的產品，他們基本上可以克服這些挑戰。事情就這樣發生了。

Got it. And so the net retention rate declined for the third straight quarter. Is that a function of your customers, like you're saying here, may have some less usage essentially?

知道了。因此淨留存率連續第三個季度下降。正如您在這裡所說的那樣，這是您的客戶的一項功能，本質上可能用途較少嗎？

Absolutely. It's still, by the way, still think that it's a very good NRR. But yes, you see also the volatility in the NRR, but basically, it comes direct from what we discuss now.

絕對地。順便說一句，我仍然認為這是一個非常好的 NRR。但是的，您也看到了 NRR 的波動，但基本上，它直接來自我們現在討論的內容。

Okay. And then in December, you highlighted a Fortune 200 company began to use your Website Unblocker for almost six months, maybe more. I can't remember from that announcement. Can you tell us the evolution of the volume of that?

好的。然後在 12 月，您強調財富 200 強公司開始使用您的網站解鎖器近六個月，甚至更長。我不記得那則是公告了。您能告訴我們其體積的演變過程嗎？

I'm curious, did it start small? Did it get bigger? Has it remained small? Just kind of want to understand how a big customer is thinking about using this.

我很好奇，它是從小事開始的嗎？它變大了嗎？它仍然很小嗎？只是想了解大客戶是如何考慮使用這個的。

Okay. So basically, they are very satisfied. They increased usage. And small or big, it's an individual. I don't know how you see it, but it's -- at this point of time, it's in -- let's say, it's in six digits in US dollars, and ARR, meaning the run rate, the annual run rate, it comes to more than $500,000 a year, the run rate of these customers -- of this customer so at this point.

好的。所以基本上，他們非常滿意。他們增加了使用量。無論大小，它都是一個個體。我不知道您怎麼看，但是目前，它是——比方說，以美元計算，是六位數，而 ARR，即運行率，年度運行率，每年超過 50 萬美元，這些客戶的運行率——目前這個客戶的運行率。

I guess, where do you see the opportunity 18, 24 months out with a large customer like this? Is this -- can you get twice that? Can you get 5 times that? I mean, what is the opportunity for a large customer like that?

我想，對於這樣的大客戶，您認為 18、24 個月後的機會在哪裡？這是——你能得到兩倍嗎？你能得到 5 倍嗎？我的意思是，對於這樣的大客戶來說，機會是什麼？

Okay. So also here, I will define the opportunity for two parts. One is a regular. Regular, it can be huge, but still a regular customer that is using our product exactly for the needs that I just described. And of course, we can get much more than this, and it can come also to express in revenues and also in retention and sustainability because these customers are long-term customers. And here, it's a huge opportunity for us.

好的。因此，在這裡，我將為兩個部分定義機會。一個是常客。常規，它可能很大，但仍然是常規客戶，他們使用我們的產品正是滿足我剛才所描述的需求。當然，我們可以獲得的遠不止這些，它還可以體現在收入、保留率和永續性上，因為這些客戶都是長期客戶。這對我們來說是一個巨大的機會。

The second part, which is -- I don't know if it's more interesting, but it's more strategic is the cooperation with those payers or giants that aiming to become a significant player in the AI game. And for this, they need a kind of strategic cooperation with a company with our products for the long term and to become basically part of their product, meaning to be the data enabler in this funnel of the AI solutions and platforms that will provide to their customers.

第二部分——我不知道它是否更有趣，但它更具策略性，即與那些旨在成為人工智慧遊戲中重要參與者的付款人或巨頭的合作。為此，他們需要與一家擁有我們產品的公司建立長期的策略合作關係，並成為其產品的一部分，即成為向客戶提供人工智慧解決方案和平台管道中的數據推動者。

So this can be huge. This also can be big, but both of these two opportunities are the most exciting opportunities in this stage. But of course, as I mentioned, Brian, just to add also something related to the previous question, as you know, these customers take more time than regular customers, although it goes faster than expected.

所以這可能是件大事。這也可能很大，但這兩個機會都是現階段最令人興奮的機會。但當然，正如我所提到的，布萊恩，我還要補充一些與上一個問題相關的內容，如你所知，這些客戶比普通客戶花費的時間更多，儘管速度比預期的要快。

And second, it's the focus. So in my eyes, and not only my eyes, the management of the company, of course, we allocate most of the resources, the talent of the company, and the focus of the company in this future amazing, may be really once-in-a-lifetime opportunity for us.

第二，是重點。所以在我看來，不僅僅是在我看來，公司的管理層，當然，我們分配了大部分資源，公司的人才，以及公司對這個令人驚嘆的未來的關注，這對我們來說可能真的是千載難逢的機會。

Great. Last question I have is if you can update us on any planned product launches as you built up the balance sheet. How do you think about M&A versus developing your own new products?

偉大的。我的最後一個問題是，在建立資產負債表時，您是否可以向我們更新任何計劃推出的產品。您如何看待併購與開發自己的新產品？

Okay. So the first part of your question is about -- can you repeat for the second. You talked about M&A?

好的。所以你的問題的第一部分是關於——你能重複第二部分嗎？您談到併購了嗎？

Yes, I'm curious about planned new products and then how are you going to develop your own? Or how do you think about that versus acquiring companies that have complementary products?

是的，我對計劃中的新產品很好奇，那麼您將如何開發自己的產品？或者您如何看待這一點與收購擁有互補產品的公司相比？

Okay. So I will -- new products in the space of data collection, the AI scrapers, the unblockers, all these very unique products at this point of time, the plan, as we do it just in these days is internal development. We hired really talents from the Israeli ecosystem tech companies and intelligence units, and we build our own products. And by the way, the react that we are getting from the market is amazing after they test our product.

好的。因此，我將在資料收集領域推出新產品，包括人工智慧抓取工具、解鎖器，所有這些目前都非常獨特的產品，我們的計劃就是內部開發。我們從以色列生態系統科技公司和情報部門聘請了真正的人才，並打造了我們自己的產品。順便說一句，在市場測試我們的產品後，給予的回饋是驚人的。

Here, if we see a unique opportunity, you know that we can buy or acquire an asset or a small company that can take us further, we will do it. But at this point of time, it's not the main plan. The main plan in the other side is to add the additional layer of the analysis, the AI, the analysis, the data insights, which here, we are still considering in these days, what is the right direction we meet -- by the way, we met in the last one year with a lot of companies, and there are many opportunities now in the market. But we still consider if we go this or that direction.

在這裡，如果我們看到一個獨特的機會，你知道我們可以購買或收購一項資產或一家可以讓我們走得更遠的小公司，我們就會這樣做。但目前，這還不是主要計劃。另一方面的主要計劃是增加額外的分析層、人工智慧、分析和數據洞察，我們現在仍在考慮，我們面臨的正確方向是什麼——順便說一句，我們在過去一年與許多公司會面，現在市場上有很多機會。但我們還是會考慮是否朝這個方向或那個方向發展。

So at this point of time, and nothing specific that is on the table, meaning there is not any specific company that we see as an immediate opportunity. But I still think that the preferred direction in the insights and AI is to acquire a company that basically can take us further very fast and to help us close the loop of data collection and data scraping and then data analysis, all in one big solution.

因此，目前還沒有任何具體的事情可以談，這意味著我們還沒有看到任何特定的公司可以為我們帶來直接的機會。但我仍然認為，洞察和人工智慧的首選方向是收購一家能夠讓我們快速取得進展的公司，並幫助我們完成資料收集、資料抓取和資料分析的閉環，所有這些都包含在一個大解決方案中。

Kingsley Crane, Canaccord Genuity.

金斯利·克蘭（Kingsley Crane），Canaccord Genuity。

A couple of questions. So big picture, on paper, it makes sense that data collection should become more important, lower-cost model services, more models are using domain-specific data. It also seems that a lot of the new growth in data collection and labeling could be indexed to data types like audio and video. So I just wanted to dive a bit deeper in what you're hearing from these AI-driven customer conversations. How important are alternative data types to their model building strategy? And how do you feel like you're positioned there?

有幾個問題。因此，從總體上看，資料收集變得更加重要，模型服務成本更低，更多模型正在使用特定領域的資料。資料收集和標記方面的許多新增長似乎都可以歸入音訊和視訊等資料類型。所以我只是想更深入地了解您從這些人工智慧驅動的客戶對話中聽到的內容。替代資料類型對他們的模型建立策略有多重要？您覺得自己在那裡處於什麼位置？

Okay. So basically, a very good question because it's -- that's just -- as I said, that we feel that we are now in the period that everybody now are restructuring and -- restructuring their path in this AI world. And so we see that these especially big players that coming all into the AI and basically, instead of being, for example, a huge retail or marketplace company, in few years wants to call an AI company, so they need data and scale, video, audio, and other kind of data. And they cannot do it -- maybe they can do it by themselves with internal developments, but they must have solutions like our scrapers, like unblocker and of course, like our IP proxy network in order not to be blocked, in order to get them qualified and transparent data, and in order to train their models in huge scales of data. They need a huge scale of data in order to stay up to date.

好的。所以基本上，這是一個非常好的問題，因為——正如我所說的，我們覺得我們現在正處於一個每個人都在重組和——重組他們在人工智慧世界中的道路的時期。因此，我們看到這些特別大的參與者都進入了人工智慧領域，基本上，他們不再是一家大型零售或市場公司，而是在幾年內想要成為一家人工智慧公司，所以他們需要數據和規模、視訊、音訊和其他類型的數據。他們無法做到這一點——也許他們可以透過內部開發自己做到這一點，但他們必須有像我們的抓取工具、解鎖器，當然還有我們的 IP 代理網絡這樣的解決方案，這樣才能不被屏蔽，才能獲得合格、透明的數據，才能在海量數據中訓練他們的模型。他們需要大量的數據才能保持最新狀態。

And we see our industry or our sector and ourselves, of course, as a significant player, as the one that's enabling them to collect the data and to focus on their business or on their technology or their intellectual property, which is the intelligence itself, the insights and the algorithm that can analyze data and provide insights or others.

當然，我們將我們的行業或部門以及我們自己視為重要的參與者，使他們能夠收集數據並專注於他們的業務或技術或智慧財產權，即情報本身、洞察力和可以分析數據並提供洞察力或其他的演算法。

That's really helpful. So just to dive a bit deeper on that, just regarding some of the fluctuations in demand in the near term, so it seems like if websites are making it more difficult to gather data based on some of the tactics they're employing and customers need more data, it seems like that would actually -- and then you're better at circumventing those tactics than your competitors. It seems like that would give you better positioning and potentially bring more customers.

這真的很有幫助。因此，為了更深入地探討這一點，僅就短期內需求的一些波動而言，如果網站根據他們所採用的一些策略使收集數據變得更加困難，而客戶需要更多數據，那麼這似乎實際上會——然後你比你的競爭對手更善於規避這些策略。這似乎會給你更好的定位並可能帶來更多的客戶。

So I guess I'm just trying to get more clarity on what customers are saying when they're pulling back in the near term and reevaluating their strategy.

所以我想我只是想更清楚地了解客戶在短期內撤退並重新評估他們的策略時在說什麼。

Okay. So here, when we're talking about the short term, let's defer for a second from the AI players, and let's go back to the regular customers, those that are scraping and need to scrap data, to collect data for many, many purposes. So if a website investing much more these days in order to block or in order to sort those that are coming in. So for these websites, sometimes it becomes more challenging than in the past, and they need to halt in order to understand how they are going to do it now. Of course, that with our product, for us, it's a dream. Yes, that's what we need because we are a solution that can help this.

好的。因此，在這裡，當我們談論短期時，讓我們暫時不要談論人工智慧參與者，讓我們回到普通客戶，那些正在抓取和需要抓取資料的人，為了各種各樣的目的收集資料。因此，如果一個網站現在投入更多資金來阻止或分類進入的網站。因此對於這些網站來說，有時它比過去更具挑戰性，他們需要停下來，以便了解現在該怎麼做。當然，對我們來說，擁有我們的產品是一個夢想。是的，這正是我們所需要的，因為我們是一個可以幫助解決這個問題的解決方案。

You need -- if you don't have a problem, you don't need a solution. So if the problem is increasing, of course, that for us, it's great. But for the short term, we see that customers are basically getting, for example, from a website that is -- their popular website for scrapping come a massive or huge change. So they need to stop, and now, they need to redesign their product and need to redesign their business opportunity because it's also a question from their side, of course, of profitability because if they needed till now to invest that amount in IP proxy or in other solutions in order to enable them to collect the data, now, they need to spend more. So they need to stop and rethink and restructure the business plan, their prices.

你需要——如果你沒有問題，你就不需要解決方案。因此，如果問題日益嚴重，那麼對我們來說，這當然是件好事。但就短期而言，我們看到客戶基本上從一個網站上獲得了他們流行的廢棄網站，並發生了巨大的變化。所以他們需要停下來，現在，他們需要重新設計他們的產品，需要重新設計他們的商業機會，因為從他們的角度來看，這當然也是一個盈利問題，因為如果他們到現在需要在 IP 代理或其他解決方案上投資那麼多資金，以便他們能夠收集數據，那麼現在，他們需要花更多的錢。所以他們需要停下來重新思考並重組商業計劃和價格。

So we see that this period, when I'm saying a fluctuation, it can go up and down. But it's a period that companies don't know exactly what will happen tomorrow. And they are trying to path and to find the best direction for them in order to stay a player in this huge game because the world is going there definitely that if we see it all over. And the data is really the new oil. Everybody needs the data. Without data, you're worth nothing in this world. That's the issue.

因此我們看到，這個時期，當我說波動時，它可能會上升或下降。但這是一個企業並不知道明天會發生什麼事的時期。他們正在努力尋找最佳方向，以便在這場巨大的遊戲中保持競爭力，因為世界正在朝著這個方向發展，如果我們看一看的話，就會明白這一點。數據確實就是新的石油。每個人都需要數據。沒有數據，你在這個世界上就一文不值。這就是問題所在。

That helps. I appreciate that. And so last, I just want to confirm. So the AI-related customer engagement, that was largely conversations in Q4, right? That was not materially impacting Q4 revenue? Or how much did that impact Q4?

這有幫助。我很感激。最後，我只想確認一下。那麼與人工智慧相關的客戶參與主要是第四季的對話，對嗎？這對第四季的收入沒有產生重大影響嗎？或者這對第四季有多大影響？

No. Okay. So materially impacted Q4 revenue, no. But it's not just discussions, meaning we are working together. And it's something that is progressing quite well, okay? I want to keep it -- for this call, I want to keep it at this stage, but it's more than discussions.

不。好的。因此對第四季度收入產生了重大影響，沒有。但這不僅僅是討論，這意味著我們正在共同努力。而且事情進展得相當順利，好嗎？我想保留它——對於這次通話，我想在這個階段保留它，但它不僅僅是討論。

Thank you. We have reached the end of the question-and-answer session. And therefore, I will now turn the call back over to Shachar Daniel for closing comments.

謝謝。問答環節已結束。因此，我現在將電話轉回給 Shachar Daniel 進行最後發言。

Okay. So thank you for your time today. We look forward to hosting you on Alarum Technologies first quarter of 2025 results call. Thanks.

好的。非常感謝您今天抽出時間。我們期待您參加 Alarum Technologies 2025 年第一季業績電話會議。謝謝。

And ladies and gentlemen, this concludes today's conference. You may disconnect your lines at this time. Thank you for your participation.

女士們、先生們，今天的會議到此結束。現在您可以斷開線路。感謝您的參與。