I3 Verticals, Inc. (IIIV) 2026 Q2 法說會逐字稿

Good day, everyone, and welcome to the I3 Verticals second quarter 2026 earnings conference call. Today's call is being recorded, and a replay will be available starting today through May 14. The number for the replay is (412) 317-0088 or (855) 669-9658 and the code is 6088860. The replay may also be accessed for 30 days at the company's website.

各位好，歡迎參加 I3 Verticals 2026 年第二季財報電話會議。今天的電話會議將被錄音，並將自今日起至 5 月 14 日提供重播。重播電話為 (412) 317-0088 或 (855) 669-9658，代碼為 6088860。重播亦可於公司網站上存取 30 天。

At this time, for opening remarks, I would like to turn the call over to Clay Whitson, Chief Strategy Officer. Please go ahead, sir.

此刻，進行開場致詞，我想把電話交給首席策略長 Clay Whitson。先生，請開始。

Good morning, and welcome to the second fiscal quarter 2026 conference call for i3 Verticals. Joining me on this call are Greg Daily, our Chairman and CEO; Rick Stanford, our President; Geoff Smith, our CFO; and Paul Christians, our Chief Revenue Officer.

各位早安，歡迎參加 i3 Verticals 2026 會計年度第二季電話會議。與我一同出席本次電話會議的有：董事長兼執行長 Greg Daily、總裁 Rick Stanford、財務長 Geoff Smith，以及首席營收長 Paul Christians。

To the extent any non-GAAP financial measure is discussed in today's call, you will also find a reconciliation to the most directly comparable GAAP financial measure by reviewing yesterday's earnings release. It is the company's intent to provide non-GAAP financial information to enhance understanding of its consolidated GAAP financial information.

若今天的電話會議中討論任何非 GAAP 財務衡量指標，您也可透過查閱昨日的財報新聞稿，找到與最直接可比的 GAAP 財務衡量指標之調節表。公司提供非 GAAP 財務資訊，旨在增進對其合併 GAAP 財務資訊的理解。

This non-GAAP financial information should be considered by each individual in addition to, but not instead of, the GAAP financial statements. This conference call may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements, among others, regarding the company's expected financial and operating performance.

此非 GAAP 財務資訊應由各位在 GAAP 財務報表之外一併考量，但不應取代 GAAP 財務報表。本次電話會議可能包含《1995 年私人證券訴訟改革法》所定義的前瞻性陳述，其中包括（但不限於）關於公司預期的財務與營運表現之陳述。

For this purpose, any statements made during this call that are not statements of historical fact may be deemed to be forward-looking statements. You are hereby cautioned that these forward-looking statements may be affected by important factors, among others, set forth in the company's earnings release and in reports that are filed or furnished to the SEC.

就此而言，本次電話會議中任何非歷史事實的陳述，均可能被視為前瞻性陳述。特此提醒您，這些前瞻性陳述可能受到多項重要因素影響（其中包括）公司財報新聞稿以及向美國證券交易委員會（SEC）提交或提供之報告中所載因素。

Consequently, actual operations and results may differ materially from those discussed in the forward-looking statements. Finally, the information shared on this call is valid as of today's date, and the company undertakes no obligation to update it, except as may be required under applicable law.

因此，實際營運與結果可能與前瞻性陳述中討論者有重大差異。最後，本次電話會議所分享之資訊以今日為準，除非適用法律另有要求，公司不承擔更新該等資訊之義務。

I'll now turn the call over to the company's Chairman and CEO, Greg Daily.

接下來我將把電話交給公司董事長兼執行長 Greg Daily。

Thanks, Clay, and good morning to everyone on the call. We are pleased with our performance in the second quarter as we continue to execute against our strategy and further improve the quality of our business. Revenue from continuing operations grew 6% year-over-year and annualized recurring revenue increased 12%, which we continue to believe is the best indicator of our long-term growth opportunity.

謝謝你，Clay，也向各位與會者道早安。我們對第二季的表現感到滿意，因為我們持續落實策略並進一步提升業務品質。持續營運的營收年增 6%，年化經常性收入增加 12%；我們仍認為這是衡量長期成長機會的最佳指標。

Across each of our public sector markets, we are investing thoughtfully in products and capabilities where we see opportunities. For example, we continue to find compelling opportunities to invest in JusticeTech® market to help courts modernize and capitalize on their own revenue opportunities.

在我們各個公共部門市場中，我們正審慎地在看見機會之處投資產品與能力。例如，我們持續在 JusticeTech® 市場中發現具吸引力的投資機會，以協助法院現代化，並掌握其自身的營收機會。

However, we are seeing opportunities for cost control and margin expansion amongst many of our highly durable products. Importantly, the process improvements and the efficiency initiatives we've been driving through the organization are beginning to show up in our operating model.

然而，我們也在許多高度耐久的產品中看見成本控管與利潤率擴張的機會。重要的是，我們在組織內推動的流程改善與效率提升措施，正開始反映在我們的營運模式中。

While we continue to invest for growth, we believe these efforts position us well for margin improvement as we move through the remainder of fiscal year '26. We remain well positioned from a balance sheet perspective, which gives us the flexibility to pursue all manner of capital allocation opportunities.

在我們持續為成長投資的同時，我們相信這些努力使我們在 26 會計年度剩餘期間具備提升利潤率的良好條件。從資產負債表角度來看，我們仍處於有利位置，這使我們能靈活追求各種資本配置機會。

Overall, we're encouraged by the momentum we're seeing across the business and remain confident in our ability to create long-term value for our shareholders.

整體而言，我們對業務各面向所見的動能感到鼓舞，並對為股東創造長期價值的能力保持信心。

With that, I'll turn it over to Geoff to walk through the financial results in more detail.

接下來，我把時間交給 Geoff，請他更詳細說明財務結果。

Thanks, Greg. The following pertains to the second quarter of fiscal year 2026, which is the quarter ended March 31, 2026. Please refer to the slide presentation titled Supplemental Information on our website for reference with this discussion.

謝謝你，Greg。以下內容與 2026 會計年度第二季相關，即截至 2026 年 3 月 31 日止之季度。請參考我們網站上的投影片簡報《Supplemental Information》，以配合本段討論。

You will see we have retooled our presentation of revenue. We believe this clarifies our recurring revenue and simplifies the categories investors track while maintaining visibility in the important trends in the business.

您將看到我們已重新調整營收呈現方式。我們相信這能更清楚呈現經常性收入，並在維持對業務重要趨勢可視性的同時，簡化投資人追蹤的分類。

Revenues for the second quarter of fiscal 2026 increased 6% to $57.5 million from $54.1 million for Q2 2025, principally reflecting revenues from two acquisitions, which have not yet annualized.

2026 會計年度第二季營收較 2025 年第二季的 5,410 萬美元增加 6% 至 5,750 萬美元，主要反映兩項尚未完成年化的併購所帶來的營收。

Organic revenue was flat in the quarter, hampered by a $2.2 million decrease in professional services. The ongoing weakness in professional services continues to be concentrated in our utilities market, and we expect this to continue through the remainder of the fiscal year.

本季有機營收持平，主要受專業服務營收減少 220 萬美元所拖累。專業服務的持續疲弱仍集中在我們的公用事業市場，我們預期此情況將延續至本會計年度剩餘期間。

Overall, nonrecurring revenue sources decreased 11% compared to the prior year. Annual recurring revenues increased 12% to $183.5 million for Q2 2026 compared to $164.5 million for Q2 2025.

整體而言，非經常性營收來源較去年同期下降 11%。2026 年第二季年化經常性收入增加 12% 至 1.835 億美元，較 2025 年第二季的 1.645 億美元成長。

SaaS revenues grew 37% and transaction-based revenue grew 7%. We expect elevated levels of SaaS growth for the remainder of the fiscal year and accelerating transaction-based revenue growth.

SaaS 營收成長 37%，以交易為基礎的營收成長 7%。我們預期在本會計年度剩餘期間，SaaS 將維持較高的成長水準，且以交易為基礎的營收成長將加速。

Overall, 80% of our revenues in the quarter came from recurring sources. Most of our expected software license sales for fiscal 2026 have been, and we expect lower levels for the remainder of the year.

整體而言，本季 80% 的營收來自經常性來源。我們在 2026 會計年度預期的大部分軟體授權銷售已經完成，且我們預期今年剩餘期間的水準將較低。

Adjusted EBITDA increased 5% to $16.6 million for Q2 2026 from $15.8 million for Q2 2025. Adjusted EBITDA as a percentage of revenues was 28.8%, a decrease from 29.3% similar to last quarter, the percentage decline was driven by the previously mentioned investments in our JusticeTech® market, higher hosting costs and lower professional services revenues.

2026 年第二季調整後 EBITDA 較 2025 年第二季的 1,580 萬美元增加 5% 至 1,660 萬美元。調整後 EBITDA 佔營收比重為 28.8%，較 29.3% 下降；與上季類似，此比例下滑主要由前述對 JusticeTech® 市場的投資、較高的託管成本以及較低的專業服務營收所致。

While professional services margins are relatively lower, the associated costs can revenue fluctuations. We expect the adjusted EBITDA as a percentage of revenue to improve for the remainder of the year, and our long-term expectation remains 50 basis points to 100 basis points improvements per year.

雖然專業服務的利潤率相對較低，但相關成本可以隨營收波動。我們預期今年剩餘期間調整後 EBITDA 佔營收比重將改善，而我們的長期預期仍為每年改善 50 個基點至 100 個基點。

Corporate expenses as a percentage of revenues were 9.3% for Q2 2026. Adjusted diluted earnings per share from continuing operations for the second quarter of fiscal 2026 increased 10% to $0.32 from $0.29 for Q2 2025. Again, please refer to the press release for a full description and reconciliation. Balance sheet, at quarter end, debt stood at $81 million, and our cash balance was $7.1 million. We still have $319 million of borrowing capacity under our revolving credit facility with a 5 times leverage constraint.

2026 年第二季公司費用佔營收比重為 9.3%。2026 會計年度第二季持續營運的調整後稀釋每股盈餘年增 10% 至 0.32 美元，較 2025 年第二季的 0.29 美元提高。再次提醒，完整說明與調節請參閱新聞稿。資產負債表方面，截至季末，負債為 8,100 萬美元，現金餘額為 710 萬美元。在槓桿倍數上限為 5 倍的限制下，我們在循環信用額度項下仍有 3.19 億美元的借款額度。

The expectation remains that we will use any borrowings for opportunistic acquisitions and stock repurchases.

我們的預期仍然是，將任何借款用於把握機會的收購與股票回購。

The following updates our guidance for continuing operations for FY 2026, which was previously set forth in our first quarter fiscal 2026 press release dated February 5. The outlook does not include acquisitions that have not been announced or transaction-related costs.

以下更新我們對 2026 財年的持續營運指引，該指引先前已於 2 月 5 日發布的 2026 財年第一季新聞稿中說明。本展望不包含尚未公告的收購案或交易相關成本。

Revenue, $221 million to $229 million; adjusted EBITDA, $61 million to $65 million; adjusted diluted earnings per share, $1.09 to $1.15. We expect recurring revenues to continue to grow at a double-digit rate through the remainder of FY 2026.

營收：2.21 億美元至 2.29 億美元；調整後 EBITDA：6,100 萬美元至 6,500 萬美元；調整後稀釋每股盈餘：1.09 美元至 1.15 美元。我們預期經常性收入在 2026 財年剩餘期間將持續以兩位數成長。

However, our view of nonrecurring professional services has deteriorated further, leading us to guiding down the midpoint of our revenue range. Greg and I have alluded to margin strength in the back half of the fiscal year. You can see that in our guide as we expect to hold closer to our previous guide on EBITDA despite the lower revenue expectations.

然而，我們對非經常性專業服務的看法進一步轉弱，導致我們下調營收區間中點的指引。Greg 和我曾提到本財年下半年毛利率的強勁表現。你可以在我們的指引中看到這一點：儘管營收預期較低，我們仍預期 EBITDA 將更接近先前的指引水準。

Looking past 2026, we expect better growth in 2027 and beyond. To highlight several discrete items that will compound with our normal growth algorithm, ongoing boarding of courts in West Virginia and other states on our CMS platforms and other transaction-based revenues will continue to feed excellent ARR growth in our JusticeTech® market.

展望 2026 年之後，我們預期 2027 年及其後將有更佳成長。為了凸顯幾項將與我們正常成長算法相互疊加的具體事項：西維吉尼亞州及其他州的法院持續導入我們的 CMS 平台，以及其他以交易為基礎的收入，將持續推動我們 JusticeTech® 市場的優異 ARR 成長。

In our Transportation market, near the end of fiscal 2026, we will turn on two long-delayed transaction-based revenue opportunities, the impact of which will be felt in 2027.

在我們的交通運輸市場方面，接近 2026 財年末，我們將啟用兩項延宕已久、以交易為基礎的收入機會，其影響將在 2027 年顯現。

In addition, the insurance verification acquisition we made on January 1 continues to accelerate, and we will add multiple new state contracts in this fiscal year and the next. While professional services is not our preferred revenue source, we always pursue ARR when given the chance, we expect the professional services line to be far more stable than it has been in 2026. Our long-term expectation of organic revenue growth remains high single digit. From a seasonality standpoint, we currently expect our revenue distribution for the remaining two quarters to approximate the following: Q,3, 48%; Q4, 52%.

此外，我們於 1 月 1 日完成的保險驗證收購案持續加速成長，我們也將在本財年及下一財年新增多項州政府合約。雖然專業服務並非我們偏好的收入來源，但只要有機會我們一向追求 ARR；我們預期專業服務業務線將比 2026 年更為穩定。我們對有機營收成長的長期預期仍為高個位數。就季節性而言，我們目前預期剩餘兩季的營收分布約為：Q3，48%；Q4，52%。

I will now turn the call over to Rick for additional business-related comments.

接下來我將把電話會議交給 Rick，請他補充更多業務相關評論。

Thank you, Geoff. Good morning, everyone. This past quarter, we continued our focus on AI-powered capabilities that create measurable value for our government clients we serve by strengthening the core platforms they rely on every day. Our core platforms serve as systems of record containing critical IP sensitive data and are designed with deep domain knowledge and experience.

謝謝你，Geoff。各位早安。本季我們持續聚焦於 AI 驅動的能力，透過強化政府客戶每日仰賴的核心平台，為我們所服務的政府客戶創造可衡量的價值。我們的核心平台作為系統記錄（systems of record），包含關鍵且具智慧財產敏感性的資料，並以深厚的領域知識與經驗為基礎進行設計。

An example of our AI-powered capabilities is our newly released Ad Hoc query and reporting tool, which allows users to extract meaningful insights from their existing data using natural language without requiring lengthy custom report development or IT involvement.

我們 AI 驅動能力的一個例子，是我們新發布的 Ad Hoc 查詢與報表工具；該工具讓使用者可透過自然語言，從既有資料中擷取有意義的洞見，而無需冗長的客製報表開發或 IT 介入。

At last month's IUCX conference, which is the leading utility customer experience conference for electric, gas, water and wastewater utilities, the response to this new set of tools was immediate with clients requesting access on the spot and citing the ability to compress what had been a multi-day reporting cycle down to minutes.

在上個月的 IUCX 會議（電力、天然氣、自來水與污水處理公用事業的領先客戶體驗會議）上，客戶對這套新工具的反應立刻顯現：客戶當場要求取得使用權，並指出其可將原本需要數天的報表週期壓縮到數分鐘。

In addition, our AI-assisted document analysis and management platform brings the same philosophy to unstructured content, enabling clients to ingest, separate, extract, redact and search documents throughout their entire life cycle, providing our customer workforce with the tools to improve the value of their existing data and documents with an auditable AI-assisted workflow.

此外，我們的 AI 輔助文件分析與管理平台，將相同理念延伸至非結構化內容，使客戶能在文件全生命週期中完成匯入、分離、擷取、遮蔽（redact）與搜尋，並以可稽核的 AI 輔助工作流程，為客戶的工作人員提供工具，以提升既有資料與文件的價值。

In both cases, human review remains at the center of the process, ensuring accuracy, traceability and compliance in the regulated environments our government clients operate in. What makes these capabilities particularly valuable is that they are designed as a platform architecture, not isolated point solutions.

在這兩種情況下，人工審核仍是流程的核心，以確保我們政府客戶所處之受監管環境中的準確性、可追溯性與合規性。這些能力特別有價值之處在於：它們是以平台架構設計，而非孤立的單點解決方案。

That distinction matters in an AI-driven market. Both tools are architected to layer on top of any product within the i3 enterprise, which means the value compounds as adoption grows. For example, a client using our Transportation or JusticeTech® solutions today can extend these AI capabilities across their existing workflows without disruption to their data models or existing integrations.

在 AI 驅動的市場中，這項差異至關重要。兩項工具皆被設計為可疊加於 i3 企業內的任何產品之上，意味著隨著採用率提升，其價值將持續累積放大。例如，現今使用我們交通運輸或 JusticeTech® 解決方案的客戶，可在不干擾其資料模型或既有整合的情況下，將這些 AI 能力延伸至其既有工作流程。

This positions i3 to expand the value of existing relationships within our installed base while simultaneously making our platform more compelling to net new clients who are prioritizing durability, depth and long-term efficiency in their technology decisions.

這使 i3 能夠在既有客戶基礎中擴大現有關係的價值，同時也讓我們的平台對於重視耐用性、深度與長期效率、並以此作為技術決策優先考量的新客戶更具吸引力。

Beyond our client-facing products, we are seeing meaningful gains in how we build software today versus a year ago. We began with AI assistance across the enterprise, which in layman's terms simply suggests snippets of code to enhance overall code development, debugging testing among other uses and now have moved to AI agent tools that plan, write, test and modify code with minimal human intervention and increased our product development capabilities, allowing us to pursue opportunities that would have previously required difficult trade-offs and prioritization, such as new feature development and product releases.

除了面向客戶的產品之外，我們也看到相較一年前，我們今日在軟體建置方式上取得顯著進展。我們起初在全企業導入 AI 輔助；用白話來說，就是提供程式碼片段建議，以提升整體程式開發、除錯、測試等用途。如今我們已進一步採用 AI 代理（agent）工具，在極少人工介入下規劃、撰寫、測試並修改程式碼，提升了我們的產品開發能力，使我們得以追求過去需要艱難取捨與優先排序的機會，例如新功能開發與產品發布。

Both AI assistant and AI agent design tooling is elevating the user experience of existing applications and automated testing through Playwright is improving our reliability and quality of our releases. Playwright allows us to create a library of automated testing scripts that would run on the cadence of our choosing without human intervention or action.

AI 助理與 AI 代理設計工具同時提升了既有應用程式的使用者體驗，而透過 Playwright 進行自動化測試則提升了我們發布版本的可靠性與品質。Playwright 讓我們能建立一套自動化測試腳本庫，並依我們選定的節奏執行，而無需人工介入或操作。

Taken together, these investments are expanding what our teams can accomplish within a given sprint, letting us do more across our product portfolio without compromising on quality or execution discipline.

綜合而言，這些投資正在擴大我們團隊在每個 sprint 內可完成的工作量，使我們能在不犧牲品質或執行紀律的前提下，於整體產品組合上完成更多工作。

We believe the work we're doing today in AI-powered product development will compound in value over time. but it is deeply embedded in mission-critical systems and workflows our clients depend on, strengthening our capabilities and our long-term customer relationships.

我們相信，我們今日在 AI 驅動產品開發上的工作，將隨時間推移而累積放大其價值；因為它深度嵌入客戶所依賴的關鍵任務系統與工作流程中，強化了我們的能力以及長期客戶關係。

I'll now turn the call over to Paul for revenue updates.

接下來我將把電話會議交給 Paul，請他更新營收相關內容。

Thank you, Rick. Demand across our core markets remained healthy in Q2 as government agencies continue to prioritize modernization, improved constituent experience and platforms that reduce long-term operational complexity.

謝謝你，Rick。第二季我們核心市場的需求仍然健康，因為政府機關持續將現代化、提升民眾（服務對象）體驗，以及降低長期營運複雜度的平台列為優先事項。

Across procurement and active opportunities, we continue to see three consistent buying patterns, broader solution scope beyond a single core system, preference for platforms that support integrated analytics, payments, transactional services and AI platform architecture that layer on top of existing features and benefits, seeking vendors that can scale and also seeking vendors that can scale from local agencies to statewide deployments.

在採購案與進行中的商機方面，我們持續看到三種一致的採購模式：解決方案範疇擴大、超越單一核心系統；偏好支援整合式分析、支付、交易型服務，以及可疊加於既有功能與效益之上的 AI 平台架構的平台；尋找能夠擴展規模的供應商，同時也尋找能從地方機關擴展到全州部署的供應商。

These trends continue to favor i3's market-centric model and our ability to provide integrated platform solutions. From a commercial execution standpoint, we continue to see sustained interest across JusticeTech®, Transportation, Education and Licensing & Permitting, increased multi-module evaluations rather than single solution procurements, all with integrated analytics, payments, transactional services and AI-enabled workflows.

這些趨勢持續有利於 i3 的以市場為中心的模式，以及我們提供整合式平台解決方案的能力。就商務執行而言，我們持續看到 JusticeTech®、交通運輸、教育，以及授權與許可（Licensing & Permitting）等領域的興趣維持強勁；多模組評估增加、而非單一解決方案採購，且皆包含整合式分析、支付、交易型服務與 AI 賦能的工作流程。

JusticeTech® remained one of our most active markets this quarter, supported by continued court modernization demand and strong alignment of our CourtOne Case Management System, Jury Solutions and transactional services.

JusticeTech® 本季仍是我們最活躍的市場之一，受惠於法院現代化需求持續，以及我們 CourtOne 案件管理系統、陪審團解決方案與交易型服務之間的高度契合。

We saw increased customer engagement, reflecting agencies urgency to reduce workload, modernize workflows and improve customer outcomes at both the state and local levels. creating increased interest in offerings that include payments, analytics, transactional services and citizen access.

我們看到客戶參與度提升，反映出各機關迫切希望降低工作負荷、現代化工作流程，並在州與地方層級改善民眾服務成果，進而提高了對包含支付、分析、交易型服務與民眾存取等解決方案的興趣。

As i3 continues to expand and deploy our case management system footprint, we are seeing growing market awareness of the transactional services embedded in that ecosystem.

隨著 i3 持續擴張並部署我們的案件管理系統版圖，我們看到市場對該生態系中內嵌的交易型服務之認知度正在提升。

Historically, Case Management System deployments served as the primary entry point with transactional service adoption following as customers became operational and more educated on their value. Over time, this created strong demand, but with long sales and implementation cycles typical of public sector system replacements.

過去，案件管理系統的部署通常是主要的切入點；待客戶上線運作並更了解其價值後，才會進一步採用交易型服務。隨著時間推移，這帶來了強勁需求，但也伴隨公共部門系統汰換常見的冗長銷售與導入週期。

We are entering the next phase of this strategy. With the ability to offer transactional services independently of a full Case Management System deployment, we have introduced another commercial motion that accelerates time to revenue recognition.

我們正進入此策略的下一階段。透過能在不需完整部署案件管理系統的情況下獨立提供交易型服務，我們引入了另一種商業推進模式，加速收入認列的時間。

This approach allows agencies to engage with transactional services first, which drives revenue for the agency, generating pull-through demand for broader software adoption. As transactional services adoption grows, it strengthens our customer relationships and enables faster and more natural expansion into additional products and platform capabilities without requiring a full system replacement upfront.

此作法讓機關可先導入交易型服務，為機關帶來收入，並帶動對更廣泛軟體採用的拉動需求。隨著交易型服務採用增加，將強化我們的客戶關係，並使我們能更快、更自然地擴展至其他產品與平台能力，而無需一開始就進行完整的系統汰換。

In Transportation, market momentum continues to be supported by AI-enabled verification and enforcement workflows, proven deployments that validate scale and reliability and cross-sell opportunities, expanding our platform reach.

在交通領域，市場動能持續受到 AI 驅動的驗證與稽核執法工作流程、已驗證可擴展性與可靠性的成功部署，以及交叉銷售機會的支持，進一步擴大我們的平台觸及範圍。

Transportation continues to execute strongly within our platform-first strategy, delivering durable recurring revenue while deepening our role as a long-term modernization partner for motor vehicle, driver services and motor carrier agencies.

交通業務持續在我們的平台優先策略下強勁執行，在深化我們作為車輛管理、駕駛服務與運輸業者主管機關長期現代化合作夥伴角色的同時，帶來穩健的經常性收入。

We further strengthened strategically important customer relationships by securing multiyear support and maintenance agreements and delivering multiple large renewals with disciplined pricing, reinforcing platform stickiness and long-term pricing durability.

我們透過取得多年期支援與維護合約，並以嚴謹的定價完成多筆大型續約，進一步強化具策略重要性的客戶關係，鞏固平台黏著度與長期定價韌性。

Operationally, we remain focused on core platform execution and supporting future modernization efforts. As recent acquisitions have expanded or excuse me, our recent acquisition has expanded our footprint as the market-leading insurance verification provider while enabling tighter integration with payments and shared data services in the broader i3 platform.

在營運面，我們仍聚焦於核心平台的執行並支援未來的現代化工作。隨著近期收購擴大了我們作為市場領先保險驗證供應商的版圖（更正一下，是我們近期的收購擴大了版圖），同時也讓我們能在更廣泛的 i3 平台中，與支付與共享資料服務進行更緊密的整合。

Across Licensing & Permitting in our Public Administration area, agencies continue to expand platform scope, building on core implementations. Commercial trends include broader adoption of licensing and permitting and compliance modules and an increased focus on citizen engagement and digital services delivery.

在公共行政領域的「許可與核准」方面，各機關持續在既有核心導入基礎上擴大平台範疇。商業趨勢包括更廣泛採用許可與核准及法遵模組，並更加聚焦於民眾互動與數位服務交付。

These dynamics reinforce higher deal values and longer-term customer relationships and introduce AI as an accelerator. In the second quarter, we expanded adoption of AI indexing across new client agencies, demonstrating clear willingness among public sector customers to invest in practical embedded AI that delivers immediate operational value.

這些動態強化了更高的交易金額與更長期的客戶關係，並引入 AI 作為加速器。在第二季，我們在新的客戶機關中擴大 AI 索引的採用，清楚展現公共部門客戶願意投資於可立即帶來營運價值的實用型內嵌 AI。

These wins are also accelerating our broader sales actions, and we are compressing engagement time lines and driving significant pipeline expansion.

這些勝利也正在加速我們更廣泛的銷售行動，我們正縮短接洽時程並推動顯著的銷售管線擴張。

In Utilities, we continue to expand our platform capabilities with our i3 Unify 360 Customer Information System and our Unify 5.0 Portal systems into a platform cloud offering. These capabilities, including real-time analytics, help agencies streamline operations, improve customer experience and reduce friction across billing, payments and service interactions.

在公用事業方面，我們持續將 i3 Unify 360 客戶資訊系統與 Unify 5.0 入口網站系統擴展為平台雲端方案，以提升平台能力。這些能力（包含即時分析）可協助機關精簡作業、改善客戶體驗，並降低在帳單、支付與服務互動上的摩擦。

As adoption grows, we are seeing increased opportunities to extend these solutions through embedded payments and data services, reinforcing our platform approach and expanding long-term value within the utility market.

隨著採用增加，我們看到更多機會透過內嵌支付與資料服務延伸這些解決方案，強化我們的平台方法，並在公用事業市場中擴大長期價值。

Education continues to be a strong perennial performer for i3. This quarter, we opened up another state with the addition of Utah. We are also pleased to report that close to half of our new sales for fiscal '26 so far are net new customers.

教育領域持續是 i3 長期穩健的表現者。本季，我們新增猶他州，等於再開拓一個州。我們也很高興報告，截至目前為止，我們 2026 會計年度的新銷售中，接近一半來自全新客戶。

In addition, we have operationalized AI and development, operations and product with near-term plans to augment our customer-facing AI-powered reporting tools. While deal timing remains product-driven, overall bookings activity reflects healthy deal flow across core markets, increased average solution scope for each opportunity, continued customer preference for SaaS delivery models augmented by integrated transactional services.

此外，我們已將 AI 以及研發、營運與產品團隊的相關工作流程制度化，近期計畫將 AI 驅動的報表工具擴充至面向客戶的應用。雖然成交時點仍受產品驅動影響，但整體訂單活動反映出核心市場的健康成交流量、每個機會的平均解決方案範疇提升，以及客戶持續偏好 SaaS 交付模式並搭配整合式交易型服務。

Looking ahead, our commercial priorities remain centered on sustained pipeline and RFP growth with both new from new and new from existing clients, expanding solution scope within existing accounts and leveraging platform architecture AI capabilities as part of our sales and service delivery.

展望未來，我們的商業優先事項仍聚焦於持續推動銷售管線與 RFP 成長（包含來自新客戶的新增，以及既有客戶的新增）、在既有帳戶中擴大解決方案範疇，並在銷售與服務交付中運用平台架構的 AI 能力。

This concludes my comments, Cindy. At this point, we will open the call for Q&A, please.

Cindy，我的評論到此結束。接下來我們將開放問答，謝謝。

(Operator Instructions)

（接線員指示）

Madison Suhr, Raymond James.

Madison Suhr，Raymond James。

Hey, good morning, guys. Appreciate you taking the questions here. I wanted to start just on the nonrecurring side. I know there's some headwinds this year, but you did call out high single digits is still the right way to think about the business. Just what gives you confidence that, that's the right longer-term growth rate?

嗨，大家早安。感謝你們在這裡回答問題。我想先從非經常性（收入）這一塊開始。我知道今年有一些逆風，但你們也提到以高個位數成長來看待這項業務仍然合理。你們對於這是正確的長期成長率，信心來自哪裡？

And if you can also maybe just touch on what the key verticals are that you think can drive an acceleration back into that range over the medium term?

另外，如果可以的話，也請談談你們認為哪些關鍵垂直領域，能在中期推動成長加速回到那個區間？

Thanks for the question, Madison. So you touched on this a little bit in the script. If you think about 2027, we started to kind of give a little bit of breadcrumbs on that.

謝謝你的問題，Madison。你在講稿中也稍微提到這點。如果你把時間拉到 2027 年來看，我們已開始提供一些線索。

Specifically, the justice market is going to continue to be a really strong ARR grower through that period. That business, with the West Virginia win, will really start to keep scaling and has really good prospects as they land and expand those courts. Our Resolve product, which is where we're assisting with revenue generation for these courts, is absolutely kind of the right product for the right time with a very deep pipeline right now and a lot of implementation in front of us.

具體而言，司法市場在那段期間將持續是 ARR 的強勁成長動能。隨著西維吉尼亞州的得標，該業務將真正開始持續擴張；在落地並擴展這些法院方面也有很好的前景。我們的 Resolve 產品（協助這些法院創造收入）可說是「對的時間、對的產品」，目前管線非常深，而且前方還有大量導入工作要做。

We're really excited about that. Transportation market also has a couple of really solid things going for it. A couple of long-term ARR things that have been years in the works and have been long delayed are finally going live, that will be nice additive items.

我們對此非常興奮。交通市場也有幾個非常扎實的利多。有幾項多年來推進、且長期延宕的長期 ARR 專案終於要上線，將成為不錯的增量貢獻。

And then the most recent acquisition, we touched on this, but just to hit it a little bit more, they currently have five states in implementation and several more that are kind of near-term line of sight. Just an incredible market position that they have there as kind of the right-to-win status, you might say, as these states implement this kind of no-brainer solution to preemptively monitor for insurance on their registered vehicles.

再來，關於最近的收購，我們提過這點，但再多補充一些：他們目前有五個州正在導入，還有好幾個州在短期內也看得到落地的可能。他們在那裡擁有極其出色的市場地位，可說具備「最有勝算」的優勢；因為各州正在導入這種幾乎不需多想的解決方案，用於主動監測其登記車輛的保險狀態。

They're in a great market position. It's going to be a great growth driver for the company. There's a couple of things that layer on top of our already existing growth algorithms.

他們的市場地位非常好。這將成為公司很重要的成長驅動力。有幾項因素會疊加在我們既有的成長演算法之上。

And then outside of the net dollar retention growth algorithm, which we expect to kind of remain in that sort of 103 to 105, hopefully push a little higher kind of level, we were 104 this last year, not expecting any significant changes there.

此外，除了淨美元留存率（NDR）的成長演算法之外，我們預期它大致會維持在 103 到 105 的區間，希望能再往上推一些；去年我們是 104，並不預期那裡會有任何顯著變化。

The story this year and why the growth isn't still up in that high single-digits is the non-recurring stuff. Our professional services specifically has gone from about $39 million to the current guide, which expects somewhere more in the high 20s on an organic basis. We'll have a little bit of inorganic in there, and that's what has been revised down from the initial guide.

今年的重點，以及為什麼成長率沒有仍維持在高個位數，原因在於一次性（非經常性）因素。我們的專業服務收入，特別是已從約3,900萬美元降至目前的指引；以有機基礎來看，預期大約落在2,000多萬美元的高段。其中會有一點無機成分，而這正是相較於最初指引被下修的部分。

This coming year, as you look out to 2027, you don't have to expect that that revenue line rebounds back up to nearly $40 million. To see us getting back to a much better growth number that's in the high single-digits in line with our longer guidance, even if that kind of maintains at the already depleted level as it's at, you're already kind of there. And we have some things in the hopper that give or take on that number is decently wide as always because it's non-recurring, but we have some opportunities in front of us that are still really attractive.

展望明年、看向2027年，你不需要預期那條收入線會反彈回接近4,000萬美元。要看到我們回到更好的成長數字、也就是與我們較長期指引一致的高個位數，即使它維持在目前已被壓低的水準，你其實已經差不多達到了。而且我們手上還有一些正在醞釀的事項；一如既往，因為屬於非經常性，該數字上下浮動的區間會相當寬，但我們眼前仍有一些非常具吸引力的機會。

Utilities, in particular, has been kind of where some of the pain has been felt this particular year. That's a project that's still very much moving forward, and we still remain very excited about it and convicted about the market opportunity. We've had to be a lot more patient than we would prefer, but that is what it is, and we're still going to get this thing done ultimately.

公用事業（Utilities）尤其是今年感受到部分壓力的地方。那是一個仍在持續推進的專案，我們依然對此感到非常興奮，並且對市場機會深具信心。我們不得不比理想中更有耐心，但現況就是如此；最終我們仍會把這件事完成。

Okay, no, that's all very helpful color, appreciate it. And then just a follow-up on the 2026 outlook, you did touch on this a little bit as well in your prepared remarks, but you took revenue down by about $3.5 million and EBITDA only down $750,000, so call it about a 20% decremental margin. So just as we think about expenses here, to the extent some of these non-recurring headwinds persist, do you feel like you can continue to manage expenses to partially offset a big portion of those headwinds? And do you think. Some of these efforts you're doing now set you up well to be in that 50 to 100 basis points of normalized margin expansion in FY '27, assuming the revenue also is more in the normalized range. Thanks, guys.

好的，不，這些補充說明很有幫助，謝謝。接著針對2026年的展望再追問一下：你在事先準備的講稿中也稍微提到，你把營收下修約350萬美元，但EBITDA只下修75萬美元，換算約20%的遞減利潤率（decremental margin）。所以從費用角度來看，若這些非經常性逆風有部分持續，你覺得是否能繼續管理費用，以部分抵銷相當一部分的逆風？以及你是否認為，你們現在做的這些努力，能讓你們在27財年（FY '27）達到50到100個基點的常態化利潤率擴張，前提是營收也回到較常態的區間。謝謝各位。

Yes, absolutely. On margins specifically, as always, there's a mix of things going on within that, but we've highlighted this on the last couple of calls. As our professional services draws down.

是的，絕對可以。就利潤率而言，一如既往，裡面有多種因素交織，但我們在過去幾次電話會議已經強調過。隨著我們的專業服務規模下滑。

Those costs lag a little bit on the revenue drawdown, especially in our utilities market. We've had a lot of third-party contractors and things like that that we're engaged in projects that we're able to kind of manage and mitigate. And then the same trends that we've been talking about for a little while are still present.

這些成本相對於營收下滑會有些滯後，特別是在我們的公用事業市場。我們在專案中使用了許多第三方承包商等資源，這些是我們能夠加以管理並降低影響的。此外，我們談了一段時間的相同趨勢仍然存在。

We have been doing fewer acquisitions and as a result, we have been continually tidying up and improving efficiency in processes all over the business in multiple different pockets. We have been benefiting greatly from AI, and I think there's still more room to kind of benefit and enhance there, and that goes for a lot of different processes and pockets within the company. I mean, obviously, DevOps.

我們進行的併購變少了，因此我們持續在業務各處、不同領域整理流程並提升效率。我們從AI中獲益良多，我認為在這方面仍有更多空間可以持續受益並加以強化；這適用於公司內許多不同流程與領域。我的意思是，當然也包括DevOps。

But there's probably not a single person within the business who isn't benefiting from this stuff in some form or fashion. So you're able to do more with less when you have attrition, you're able to consider, do we really need to backfill roles, things like that. Importantly, that's all adding up to a pretty attractive margin expansion situation.

但公司裡可能沒有任何一個人不是以某種形式從這些工具中受益。因此當有人員自然流失時，你就能以更少資源做更多事，也能評估我們是否真的需要補人、是否要回補職缺等。重要的是，這些因素加總起來，形成相當具吸引力的利潤率擴張態勢。

We expect margins to be stronger in the back half of this fiscal year. We still are making sure we invest in opportunities when we see those to run right through them, the justice market being an example of that. So it's not all kind of reduction in cost, there are some pockets where we're really accelerating and pouring fuel on the fire.

我們預期本財年下半年利潤率會更強。我們也仍會確保在看到機會時持續投資、全力推進；司法（justice）市場就是一個例子。所以不完全是削減成本；有些領域我們其實是在加速、加大投入。

But the net picture is still one of a pretty attractive margin expansion scenario for us.

但整體而言，對我們來說仍是一個相當具吸引力的利潤率擴張情境。

Okay. Thanks again for taking the questions.

好的。再次感謝回答問題。

Peter Heckman, DA Davidson.

Peter Heckman，DA Davidson。

As regards to the recent acquisition in auto insurance verification, when you win a state there, do you automatically get 100% share of the state's business? Or is that something where potentially maybe like a hunting license or you're one of several suppliers and so you have to compete for share?

關於近期在汽車保險驗證方面的收購案，當你們拿下一個州時，是否會自動取得該州業務的100%市占？還是說可能比較像取得一張「狩獵執照」，你只是多家供應商之一，仍需要競爭市占？

So the short answer is we would get 100% of their insurance verification. There's no scenario that we're aware of, and I think it's extremely unlikely that the state would ever try to bifurcate that. There needs to be kind of a single system of record of these -- what it is, is basically civil penalties proactively being sent out when there's an uninsured motorist.

簡短回答是：我們會取得他們保險驗證的100%。就我們所知沒有那種情況，而且我認為州政府幾乎不可能嘗試把它拆分成兩套。因為需要有一個單一的主系統（system of record）來記錄這些——本質上是當出現未投保駕駛人時，主動寄發民事罰款通知。

There needs to be a single system of record for that, and that's our software. there's not really a scenario where you would bifurcate that. Now that being said, this is sold into the Department of Transportation. There's a lot of other software that the Department of Transportation needs, a lot of which we provide.

這需要一個單一的主系統，而那就是我們的軟體；基本上不存在你會把它拆成兩套的情境。不過話說回來，這是銷售給交通運輸部（Department of Transportation）。交通運輸部還需要很多其他軟體，其中有不少也是我們提供的。

So the added footprint we have here on the insurance verification improves our market position to provide other features, motor vehicle, driver's license, some of the fuel tax solutions, truck routing, all the different things that the Department of Transportation needs to provide services to its constituents. So that's where the competitive landscape is.

因此，我們在保險驗證上的新增據點（footprint）會強化我們提供其他功能的市場地位，例如機動車管理、駕照、部分燃油稅解決方案、卡車路線規劃，以及交通運輸部為其民眾提供服務所需的各種不同事項。競爭態勢主要就在那裡。

Got it. Okay. And if I remember correctly, that acquisition already had something like 18 to 20 states. So just, I didn't write down whether you said you had three or five implementation. But can you talk a little bit about the number of states that, that company has live, how many are in implementation?

了解。好的。如果我沒記錯，那個被收購的公司原本就已經有大概18到20個州。所以我只是沒有記下來你剛才說是三個還是五個正在導入（implementation）。你能否談談那家公司目前有多少州已上線（live）、多少州正在導入？

And then does the revenue model is it geared towards the underlying population of the state?

另外，營收模式是否是依該州的基礎人口規模來設計？

So we'll just speak in broad numbers, we'll be in the, we're in the low 20s at this point. We'll be in the high 20s, I think, when you look back in two years. Revenue model is like a lot of our software, I'll say, flexible. We -- this is generally SaaS.

我們就用概略數字來說：目前我們大約在20出頭個州。我想兩年後回頭看，會在接近30個州的高段。營收模式跟我們很多軟體一樣，我會說是有彈性的。我們——這一般是SaaS。

There's some implementation revenues on the front end and SaaS, and that would be sized based off of the size of the state generally, maybe not quite like it's probably the type of thing where like a larger state is definitely going to pay more, but a smaller state isn't going to get like proportionately lower cost necessarily.

前端與SaaS會有一些導入（implementation）收入，而其規模通常會依州的規模來衡量；可能不完全是那種「州越大就一定付越多」的線性關係，但大州確實會付更多；而小州不一定會按比例拿到更低的成本。

And then we also have the transactional revenue here. This is another classic situation for i3 where this company could monetize payments and wasn't monetizing payments. It absolutely will go forward. We've already got two states lined up for that. They have a state that is a very small state that they monetize on a per transaction basis.

然後我們這裡也有交易型收入。這是 i3 另一個典型情境：這家公司本來可以把支付（payments）變現，但之前沒有變現。這絕對會往前推進。我們已經有兩個州排定要做這件事。他們有一個州，是非常小的州，他們是按每筆交易來變現。

And that model has worked out really well for them. That state punches way above its weight relative to population. That model will -- that won't be the only state on that model long run. And then we can also charge for the presentment of these. There's a lot of different levers we can pull.

而那個模式對他們來說運作得非常好。那個州相對於人口規模，表現遠超其量級。長期來看，不會只有那一個州採用那個模式。此外，我們也可以就這些項目的呈現（presentment）收費。我們有很多不同的槓桿可以運用。

So we can be flexible and work with the state for what works with them in their budget situation.

所以我們可以保持彈性，並依各州的預算狀況，與州政府合作找出對他們可行的方式。

Great. Great. So that one looks like it should be as that falls into the organic calculation, that one also looks like it should be additive to organic growth.

很好。很好。所以那個看起來應該會納入有機（organic）計算中，而且也看起來會對有機成長有正向貢獻。

Yeah, absolutely.

是的，絕對是。

(Operator Instructions)

（接線員指示）

Alex Markgraff of KeyBanc Capital Markets.

KeyBanc Capital Markets 的 Alex Markgraff。

A couple of questions. Maybe one for Paul and Geoff, just around some of the AI comments. I'm curious, it sounds like you all are doing quite a bit. Would just be curious to kind of understand where you expect this to show up most materially in the model in the near to midterm, thinking about things like growth in existing relationships, new customer relationships, pricing retention, maybe implementation time lines.

我有幾個問題。也許一個給 Paul 和 Geoff，關於你們提到的一些 AI 評論。我很好奇，聽起來你們做了不少。想請你們談談，在近期到中期，你們預期這會在模型中最具實質影響的地方會出現在哪裡？例如既有客戶關係的成長、新客戶關係、定價與續約留存、也許還有導入時程等。

Just help us think about how that sort of materializes from a model standpoint based on what you're hearing on the ground?

能否幫我們從模型角度思考，根據你們在第一線聽到的情況，這類影響會如何具體呈現？

This is Paul. I'll get started on it. We see it really early in the sales process, and we see the ability because we've got a lot of domain expertise organized by market to really hit the trigger points for where they're creating issues for our customers. And so it typically will start with the pain point reduction, and that may manifest itself in increased maintenance fees as we annualize on those conversations.

我是 Paul。我先開始回答。我們在銷售流程非常早期就看到了它，而且因為我們按市場把大量的產業領域專業（domain expertise）組織起來，我們能夠精準切中那些正在為客戶造成問題的觸發點。因此通常會先從降低痛點開始，而當我們把這些對話年化後，可能會反映在維護費（maintenance fees）的提升上。

It may manifest itself in specific pricing related to an AI deployment on that. It just depends on the customer and the particular process for how that's working. It also allows us, since it's the architecture is sitting on top of the AI component and it's architected on top of our existing positions. It also allows us to affect those more quickly than we would if we were just doing that on a pure stand-alone basis and having to do deep integrations because it's already our stuff, and we're enhancing that program.

也可能會反映在針對某個 AI 部署的特定定價上。這取決於客戶以及該流程實際運作方式。此外，由於這個架構是建立在 AI 元件之上，並且是架構在我們既有的產品/部署之上。因此，相較於純粹獨立（stand-alone）去做、還得做深度整合，我們能更快產生影響，因為本來就是我們自己的東西，我們是在既有基礎上強化這個方案。

I do think we're in early innings of that conversation. And it does appear to me that as we have customers who look at it and say, Hey, we're excited and they want AI exposure. In many cases, they don't know what that means or how to go about it.

我確實認為我們還在這段對話的早期階段。而且在我看來，當客戶看到它並說「嘿，我們很興奮，我們想要 AI 曝險/導入」時，很多情況下，他們其實不知道那代表什麼，或該如何著手。

And so we're trying to focus on tangible value add that can improve their operational efficiency or enhance their constituent experience much more naturally, which then tends to open up yet another opportunity and yet another opportunity.

所以我們試著聚焦在可量化的加值上，能更自然地提升他們的營運效率，或改善其服務對象（constituent）的體驗；而這往往會再打開另一個機會、又一個機會。

So as we run down the road, I think we'll have more opportunities, but it also puts a little bit of pressure on us to continue to evolve in that fashion on a consistent basis, and we're structured to accommodate that. So we're excited about it.

因此隨著我們往前走，我認為會有更多機會，但同時也會對我們形成一些壓力，要求我們持續、穩定地以這種方式演進，而我們的組織架構也能支撐這點。所以我們對此感到很興奮。

Just to the financial model, Alex, we obviously, we're experiencing benefits in the margin area already, but also absolutely in revenue. Rick in his script highlighted a couple of discrete items where you're talking direct revenue that's a result of functionality that's been added to the software that would not have been possible kind of in the pre-AI area, features and things like that, that are directly taking advantage of the capabilities now.

就財務模型而言，Alex，我們顯然已經在毛利/利潤率（margin）面看到效益，但在營收上也絕對有。Rick 在他的講稿中提到幾個明確項目，你談的是直接營收，這些營收來自於新增到軟體中的功能；在 AI 之前的時代，這些功能與特性基本上是不可能做到的，而現在是直接利用了這些能力。

And the opportunities there are very large, I think, over the next several years. There's a lot of the pie of what can be delivered and the range of things that can be delivered to our customers, the functionality of the software has just expanded greatly.

我認為未來幾年那裡的機會非常大。在可交付內容的「餅」以及可提供給客戶的範圍上，軟體功能已經大幅擴張。

But then it's honestly, it touches a lot of other revenue, too, just when you think about like how the software is built now. in terms of like what revenue is enabled by AI is going to be in the not so far future. It's like kind of everything.

但老實說，它也會觸及很多其他營收，因為當你想到現在軟體的建置方式時，就會發現：就「AI 促成了哪些營收」而言，在不久的將來，幾乎是所有東西。

Got it. That's helpful. And then maybe just one follow-up on the sales front. I think I heard 50% or about half of sales this year from new customers. If I heard that correctly, maybe just a reminder how that sort of compares to the last couple of years?

了解。這很有幫助。然後在銷售端再追問一個問題。我想我聽到今年有 50% 或大約一半的銷售來自新客戶。如果我沒聽錯的話，能否提醒一下，這和過去幾年相比大概如何？

Yeah. That was for Education, particularly. And it's probably close to 2 times what their average would have been five years ago.

是的。那是特別針對教育（Education）業務而言。而且大概接近他們五年前平均水準的兩倍。

Education..

教育……

(Operator Instructions)

（接線員指示）

This concludes our question-and-answer session. I would like to turn the conference back over to Greg Daily for any closing remarks.

我們的問答環節到此結束。我想把電話會議交回給 Greg Daily，請他做結語。

Thank you for your continued interest in the company. Stay tuned. We're excited about our pipeline, our team that we've put together. And thanks again, call us if you need anything.

感謝各位持續關注本公司。敬請期待。我們對我們的案源/商機管線（pipeline）以及我們組建的團隊感到很振奮。再次感謝，如有需要請隨時聯絡我們。

The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.

本次電話會議到此結束。感謝各位參加今天的簡報。您現在可以掛線。