Marchex Inc (MCHX) 2024 Q2 法說會逐字稿

Hello, everyone.

大家好。

Thank you for attending today's Marchex second quarter 2024 earnings call.

感謝您參加今天的 Marchex 2024 年第二季財報電話會議。

My name is Sierra, and I'll be your moderator for today.

我的名字是 Sierra，我將擔任今天的主持人。

(Operator Instructions) I would now like to pass the conference over to our host, Trevor Caldwell, Senior Vice President of Strategic Initiatives and Investor Relations.

（操作員指示）我現在想將會議轉交給我們的東道主、戰略計劃和投資者關係高級副總裁特雷弗·考德威爾（Trevor Caldwell）。

Please proceed.

請繼續。

Thanks, Sierra.

謝謝，塞拉。

Good afternoon, everyone, and welcome to Marchex's business update and second quarter 2024 conference call.

大家下午好，歡迎來到 Marchex 的業務更新和 2024 年第二季電話會議。

Joining us today are Edwin Miller, our CEO; and Holly Aglio, our Chief Financial Officer.

今天加入我們的是我們的執行長 Edwin Miller；以及我們的財務長 Holly Aglio。

Before we get started, I'd like to take this opportunity to remind you that our remarks today will include forward-looking statements, including references to our financial and operational performance and actual results may differ materially from those contemplated by these forward-looking statements.

在我們開始之前，我想藉此機會提醒您，我們今天的言論將包括前瞻性陳述，包括對我們的財務和營運業績的提及，實際結果可能與這些前瞻性陳述中預期的結果有重大差異。

Risks and uncertainties that could cause these results to differ materially are set forth in today's earnings press release and in our most recent annual and quarterly report filed with the SEC.

今天的收益新聞稿以及我們向美國證券交易委員會提交的最新年度和季度報告中闡述了可能導致這些結果出現重大差異的風險和不確定性。

Any forward-looking statements that we make on this call are based on assumptions as of today and we will undertake no obligation to update these statements for subsequent events.

我們在本次電話會議中所做的任何前瞻性陳述均基於截至今天的假設，我們不承擔針對後續事件更新這些陳述的義務。

During this call, we will present both GAAP and non-GAAP financial measures.

在本次電話會議中，我們將介紹 GAAP 和非 GAAP 財務指標。

Reconciliation of GAAP to non-GAAP measures is included in today's earnings press release.

今天的收益新聞稿中包含了 GAAP 與非 GAAP 指標的調整。

Earnings press release is available in the Investor Relations section of our website.

收益新聞稿可在我們網站的投資者關係部分取得。

At this time, I'd like to turn the call over to Edwin.

這時，我想把電話轉給艾德溫。

Thank you, Trevor, and good afternoon, everyone, and thank you for joining us today.

謝謝特雷弗，大家下午好，謝謝您今天加入我們。

Today, I will provide you an update on our progress in the second quarter, and on the initiatives that are forming the foundation for the future of Marchex.

今天，我將向您介紹第二季的最新進展以及為 Marchex 的未來奠定基礎的舉措。

Marchex is transforming into a market-leading prescriptive analytics SaaS company, that harnesses the power of generative AI.

Marchex 正在轉型為一家市場領先的規範性分析 SaaS 公司，利用生成式人工智慧的力量。

We are focused on enabling our customers to achieve operational excellence by using our AI-powered products, to analyze and make business decisions leveraging their direct first-party conversational data.

我們致力於幫助客戶透過使用我們的人工智慧產品實現卓越運營，利用他們的直接第一方對話數據進行分析和做出業務決策。

We aid multiple functions within a business, navigate risk and uncertainty, understand the performance of their distributed retail networks and demonstrate how to drive revenue.

我們幫助企業內的多個職能部門、應對風險和不確定性、了解其分散式零售網路的績效並演示如何增加收入。

We are able to solve these complex problems for businesses by leveraging the vast amount of data we analyze on their behalf every day.

透過利用我們每天代表企業分析的大量數據，我們能夠為企業解決這些複雜的問題。

This is achieved by our emerging SaaS data analytics platform.

這是透過我們新興的 SaaS 數據分析平台實現的。

We have deep relationships with some of the largest Fortune 500 companies in our current vertical markets.

我們與目前垂直市場中一些最大的財富 500 強公司有著深厚的關係。

These companies rely on Marchex to deliver critical, rich data analytic insights to drive positive business outcomes for their respective retail outlets.

這些公司依靠 Marchex 提供關鍵、豐富的數據分析見解，為各自的零售店帶來正面的業務成果。

We believe the best is still to come as we accelerate product innovation, continue deepening our relationships, and expand market opportunity.

我們相信，隨著我們加速產品創新、持續深化我們的關係並擴大市場機會，最好的未來仍將到來。

This includes continued expansion of our sales pipeline and positive execution of our gross margin and profitability goals.

這包括繼續擴大我們的銷售管道以及積極執行我們的毛利率和獲利目標。

Our strategic vision is clear.

我們的戰略願景很明確。

We aim to be at the forefront of prescriptive analytics to drive operational excellence for Fortune 500 businesses, as a SaaS platform.

我們的目標是成為規範分析的前沿，以 SaaS 平台的形式推動財富 500 強企業實現卓越營運。

This is why we have been transforming the company's technical foundation.

這就是我們一直在改造公司技術基礎的原因。

One of the key pillars of our strategy is uniting our product platform and AI signals into OneStack.

我們策略的關鍵支柱之一是將我們的產品平台和人工智慧訊號整合到 OneStack 中。

OneStack is fundamental to our innovation, and is a key step in allowing us to bring all of our conversational data into the cloud, and one centralized platform.

OneStack 是我們創新的基礎，也是我們將所有對話資料引入雲端和一個集中式平台的關鍵一步。

This accelerates our leveraging generative AI to unlock powerful insights and develop new growth opportunities from our expanding data sets.

這加速了我們利用生成式人工智慧來釋放強大的洞察力，並從不斷擴大的資料集中開發新的成長機會。

We are on track with OneStack goals we laid out for 2024.

我們正在穩步實現 2024 年制定的 OneStack 目標。

I would like to take a minute to highlight our exceptional team.

我想花一點時間來強調我們傑出的團隊。

Their commitment to customer excellence and innovation, recently earned us the AI Breakthrough Award for Best Text Generative AI Solution, for our call summaries and sentiment suite.

他們對客戶卓越和創新的承諾最近為我們的通話摘要和情緒套件贏得了最佳文字生成人工智慧解決方案的人工智慧突破獎。

This award is a testament to our team's dedication with developing AI-powered solutions.

該獎項證明了我們團隊致力於開發人工智慧驅動的解決方案。

I would also like to lift up our go-to-market teams, both for new business and the team supporting our current clients.

我還想提升我們的行銷團隊，包括新業務和支援現有客戶的團隊。

We have tremendous leadership in these areas.

我們在這些領域擁有巨大的領導力。

Thank you to One Marchex for constantly improving our talent, as this has a direct impact on our client success, which then benefits our shareholders.

感謝 One Marchex 持續提升我們的人才，因為這對我們客戶的成功有直接影響，進而使我們的股東受益。

As you can hopefully see, we are clearly both in strategic evolution and execution modes, and this is being reflected in our expanding sales pipeline.

正如您希望看到的那樣，我們顯然處於策略演變和執行模式中，這反映在我們不斷擴大的銷售管道中。

We continue to make progress adding new OEM and auto service customers during the quarter.

本季我們在增加新的 OEM 和汽車服務客戶方面繼續取得進展。

In addition, the home services vertical is a bright spot for Marchex and is another area where we're expanding key relationships.

此外，家庭服務垂直領域是 Marchex 的一個亮點，也是我們擴大關鍵關係的另一個領域。

There is significant untapped potential in our vertical markets and within our existing customer base.

我們的垂直市場和現有客戶群中還有巨大的未開發潛力。

Additionally, we are winning more new customers.

此外，我們正在贏得更多新客戶。

The combination of these factors is accelerating our business and growth opportunity.

這些因素的結合正在加速我們的業務和成長機會。

With that, I'll hand the call to Holly.

這樣，我就把電話轉給霍莉。

Thank you, Edwin.

謝謝你，埃德溫。

For the second quarter of 2024, revenue was $12.1 million versus $12.5 million for the same quarter last year, and up from first quarter 2024 revenue of $11.6 million.

2024 年第二季的營收為 1,210 萬美元，去年同期為 1,250 萬美元，高於 2024 年第一季的 1,160 萬美元。

Revenue in the second quarter was up from the first quarter, in part, due to slightly improved conversation volumes and in part, from a developing pipeline of opportunities.

第二季的營收較第一季有所成長，部分原因是對話量略有改善，部分原因是機會管道不斷發展。

We are seeing traction in the auto, auto services, and home services verticals so far this year.

今年到目前為止，我們看到汽車、汽車服務和家庭服務垂直產業的發展勢頭。

On a year-over-year basis, we saw continued headwinds from certain customer segments like our small business resellers, though that seems a bit improved on a sequential basis.

與去年同期相比，我們看到來自某些客戶群（例如我們的小型企業經銷商）的持續阻力，儘管這種情況似乎比去年有所改善。

Turning to the P&L for the second quarter.

轉向第二季的損益表。

Excluding stock-based compensation, amortization of intangible assets and acquisition and disposition-related costs, total operating costs for the second quarter of 2024 were $12.2 million compared to $14 million for the second quarter of 2023.

不包括股票薪酬、無形資產攤銷以及收購和處置相關成本，2024 年第二季的總營運成本為 1,220 萬美元，而 2023 年第二季為 1,400 萬美元。

Service costs were $4.2 million for the second quarter.

第二季的服務成本為 420 萬美元。

We've seen significant progress on our service costs as a percentage of revenue so far this year.

今年到目前為止，我們的服務成本佔收入的比例已經取得了重大進展。

As we continue to make progress on our infrastructure initiatives and see increased sales of our conversational intelligence products and features, we believe we are well-positioned for the second half of 2024 and beyond.

隨著我們的基礎設施計劃不斷取得進展，並看到我們的對話智慧產品和功能的銷售增加，我們相信我們在 2024 年下半年及以後處於有利地位。

Sales and marketing costs were approximately $2.7 million for the second quarter.

第二季的銷售和行銷成本約為 270 萬美元。

This was up slightly from the second quarter of 2023.

這比 2023 年第二季略有上升。

Product development costs were $3.2 million for the second quarter as we continue to invest in leveraging AI to expand our product suite with new conversational intelligence capabilities.

第二季的產品開發成本為 320 萬美元，因為我們繼續投資利用人工智慧來透過新的對話智慧功能擴展我們的產品套件。

Moving to profitability measures.

轉向獲利能力指標。

Adjusted EBITDA was approximately $300,000 for the second quarter of 2024, which is a significant improvement over the adjusted EBITDA loss of $1 million for the second quarter of 2023.

2024 年第二季調整後 EBITDA 約為 30 萬美元，比 2023 年第二季調整後 EBITDA 損失 100 萬美元有了顯著改善。

GAAP net loss was $800,000 for the second quarter of 2024 or $0.02 per diluted share.

2024 年第二季 GAAP 淨虧損為 80 萬美元，即稀釋後每股虧損 0.02 美元。

This compares to a loss of $2.7 million or $0.06 per diluted share for the second quarter of 2023.

相比之下，2023 年第二季虧損 270 萬美元，即稀釋後每股虧損 0.06 美元。

Adjusted non-GAAP loss was $0.01 per share for the second quarter of 2024 compared to a loss of $0.03 per share for the second quarter of 2023.

2024 年第二季調整後的非 GAAP 虧損為每股 0.01 美元，而 2023 年第二季每股虧損為 0.03 美元。

Additionally, we ended the second quarter with approximately $12 million in cash on hand.

此外，第二季末我們手頭現金約為 1200 萬美元。

Now turning to our outlook for the third quarter of 2024.

現在轉向我們對 2024 年第三季的展望。

First, let's discuss revenue.

首先，我們來討論收入。

We anticipate third quarter 2024 revenue will increase to be in the range of $12.6 million or more.

我們預計 2024 年第三季營收將增至 1,260 萬美元或更多。

For adjusted EBITDA, in the third quarter, we anticipate adjusted EBITDA will be in the range of or better than our second quarter 2024 results.

對於調整後 EBITDA，我們預計第三季調整後 EBITDA 將在 2024 年第二季業績範圍內或更好。

Two fundamental factors are driving our expectations for sequential growth.

有兩個基本因素推動了我們對環比成長的預期。

First, there is some improvement in overall conversation volume trends.

首先，整體對話量趨勢有所改善。

Our verticals remain in a relatively steady state, and that is reflected in a more normalized seasonal pattern for verticals like home services.

我們的垂直產業仍處於相對穩定的狀態，這反映在家庭服務等垂直產業更正常化的季節性模式中。

Second, we are pleased to see a developing pipeline of opportunities.

其次，我們很高興看到機會不斷湧現。

As we onboard some of our recent new wins, we expect that to contribute to sequential growth, although most of the growth from those wins will happen in future months, as those customers ramp up.

隨著我們最近取得的一些新勝利，我們預計這將有助於連續成長，儘管隨著這些客戶的增加，這些勝利帶來的大部分成長將在未來幾個月發生。

This progress, along with our progress on our infrastructure initiatives, I believe, puts us in a strong position to meet or exceed our original target for gross margin improvement and our profitability profile for 2024.

我相信，這一進展，加上我們在基礎設施計劃方面取得的進展，使我們處於有利地位，能夠達到或超過我們毛利率改善和 2024 年盈利能力的最初目標。

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

這樣，我會將電話轉回埃德溫。

Thank you, Holly.

謝謝你，霍莉。

We are making meaningful progress in the business.

我們正在業務上取得有意義的進展。

To summarize and wrap things up, we are achieving many of this year's goals.

總而言之，我們正在實現今年的許多目標。

We are on track with OneStack and progress with technical innovation.

我們在 OneStack 上走上了正軌，並在技術創新方面取得了進展。

We are seeing growth with existing and new customers, and validation of our vertical market strategy.

我們看到現有和新客戶的成長，以及我們垂直市場策略的驗證。

We continue to see sequential revenue growth with acceleration.

我們繼續看到收入連續加速成長。

We are delivering meaningful gross margin expansion.

我們正在實現顯著的毛利率擴張。

Adjusted EBITDA continues to trend positively.

調整後 EBITDA 持續呈現正向趨勢。

The commitment and talent level of our team continues to grow.

我們團隊的承諾和人才水準不斷提高。

I want to thank our employees for their continued dedication, and also our clients for their engagement and partnership with Marchex.

我要感謝我們的員工的持續奉獻，以及我們的客戶與 Marchex 的參與和合作。

We look forward to updating you again in the coming months.

我們期待在未來幾個月內再次為您提供最新消息。

Operator, we are ready for questions.

接線員，我們準備好回答問題了。

(Operator Instructions) Darren Aftahi, Roth Capital Partners.

（操作員指令）Darren Aftahi，Roth Capital Partners。

Hey, this is Dillon for Darren.

嘿，這是達倫的狄龍。

Thanks for taking my questions.

感謝您回答我的問題。

If I could start with OneStack.

如果我可以從 OneStack 開始的話。

Like when you roll that out, like is there any adjustments you need to make, as you look across different customers?

就像當你推出這個產品時，當你審視不同的客戶時，你需要做出任何調整嗎？

And then how do you sort of modulate that into some of the adjacent verticals you're talking about expanding to, beyond some of the core three years in now?

然後，你如何將其調整到你正在談論的一些相鄰垂直領域，超越現在的一些核心領域？

Okay.

好的。

So I'll do adjustments first.

所以我先做調整。

Dillon, thanks for the question.

狄龍，謝謝你的提問。

I know we've met in person, but good to hear your voice.

我知道我們見過面，但很高興聽到你的聲音。

I think the adjustments we have to make, obviously, would be, we're moving clients into a single cloud instance, that's much more scalable with all of our signals, and a single sign-on and a single interface, et cetera, which is going to be awesome.

我認為我們必須做出的調整顯然是，我們將客戶端轉移到單一雲端實例中，這對於我們所有的訊號、單點登入和單一介面等來說更具可擴展性，這將會非常棒。

And in that progress, the clients are excited about it.

在這項進展中，客戶對此感到興奮。

They get to consume more of their data, prescriptive analytics.

他們可以消耗更多的數據和規範分析。

They get to see things in a single place.

他們可以在一個地方看到事物。

So we've had nothing but really good conversations with clients.

所以我們除了與客戶進行了非常好的對話之外什麼都沒有。

Now is there a change management that has to happen in terms of that with clients that need to move from different stacks?

現在，對於需要從不同堆疊遷移的客戶來說，是否必須進行變更管理？

Yeah.

是的。

But we're partnering well with them.

但我們與他們合作良好。

We've got a great customer success team that's lined up with our clients.

我們擁有一支優秀的客戶成功團隊，與我們的客戶保持一致。

Again, I probably -- I don't know how many times I've been with our top 25 clients, a lot.

再說一次，我可能 - 我不知道我和我們的 25 位頂級客戶見過多少次。

And so I think we're a good fit there.

所以我認為我們很適合那裡。

Your second part of the question was, will it help us enter new verticals?

你的問題的第二部分是，它會幫助我們進入新的垂直領域嗎？

It's kind of how I took that question, Dillon.

我就是這樣回答這個問題的，狄龍。

The answer is, yes.

答案是，是的。

It would be simpler for us to go into verticals.

對我們來說，進入垂直領域會更簡單。

The signals and the business problems and the operational problems are the same, and a few other verticals, and we've got a few of those targeted.

訊號、業務問題和營運問題是相同的，還有一些其他垂直領域，我們已經找到了其中的一些目標。

Got it.

知道了。

Thank you.

謝謝。

Could you sort of comment at all on the feedback you're getting from customers sort of on a macro trend basis, as to sort of, what they're seeing in terms of call volumes and maybe why there's still a bit of a headwind in certain industries compared to others?

您能否從宏觀趨勢的角度對您從客戶那裡得到的回饋進行評論，例如他們在呼叫量方面看到的情況，以及為什麼仍然存在一些阻力。

The large clients, I've got great feedback from.

大客戶，我得到了很好的回饋。

They're positive.

他們是積極的。

Their companies are growing.

他們的公司正在成長。

We're exposing data that -- out of our platform in a new way, they hadn't seen before, which is fantastic.

我們正在以一種新的方式從我們的平台公開數據，這是他們以前從未見過的，這太棒了。

They're excited about that.

他們對此感到興奮。

And that's where I spent the bulk of my time is on those top 25.

我大部分時間都花在了前 25 名。

So I don't see any headwinds from them.

所以我沒有看到他們有任何阻力。

And I will say, it's about enabling the conversation, it's not just about the call.

我想說的是，這是為了進行對話，而不僅僅是通話。

It could be data off the web.

它可能是來自網路的數據。

It could be data from an e-mail.

它可能是電子郵件中的資料。

It could be data from a text on a number.

它可能是來自數位文字的數據。

And everyone that I'm talking to is trying to bring that omni-channel approach, that conversational data together.

與我交談的每個人都在嘗試將全通路方法、對話數據整合在一起。

So I'm enjoying being with their clients.

所以我很享受和他們的客戶在一起。

Got it.

知道了。

If I could ask one more, just you're seeing the positive trends in adjusted EBITDA with sort of the rollout of OneStack?

如果我可以再問一個問題，您是否看到隨著 OneStack 的推出，調整後的 EBITDA 出現了正面的趨勢？

Is there anything in particular you need to invest in, or you think you have sort of the right mix of sales in R&D at the rate to go after those markets?

您有什麼特別需要投資的地方，或者您認為您在研發方面擁有適當的銷售組合，能夠滿足這些市場的需求？

Well, we talked about gross margin lift.

好吧，我們討論了毛利率的提升。

So as we move to OneStack, there will be more opportunity for more investment innovation and sales and marketing without having to use our cash, which is exciting for me, to kind of turn that corner.

因此，當我們轉向 OneStack 時，將有更多機會進行更多投資創新以及銷售和行銷，而無需使用我們的現金，這對我來說是令人興奮的，可以扭轉這一局面。

I'm going to go back and say, one of the things you asked and the last one is, because we get OneStack, we get to add more signals, we get deeper and deeper and deeper with our clients, which is awesome.

我要回過頭來說，你問的一件事和最後一件事是，因為我們有了 OneStack，我們可以添加更多訊號，我們與客戶的關係越來越深入，這太棒了。

So we are a prescriptive data analytics SaaS platform.

所以我們是一個規範性資料分析 SaaS 平台。

They are seeing us that way.

他們就是這樣看我們的。

It's not just about the number, which is awesome.

這不僅僅是數字的問題，這真是太棒了。

Because that's really sticky and it's powerful to control that conversation and how -- and deliver value on top of that.

因為這確實具有黏性，並且能夠有效地控制對話及其方式，並在此基礎上交付價值。

But what they can see in their data is going to make the difference for them and their business outcomes, which will make the difference for my shareholders.

但他們在數據中看到的內容將對他們及其業務成果產生影響，這也會對我的股東產生影響。

Thank you for your questions.

謝謝您的提問。

There are no longer questions in queue.

隊列中不再有問題。

So I would like to turn the call back to the management team for any further or closing remarks.

因此，我想將電話轉回給管理團隊，以徵求進一步的意見或結束語。

Okay.

好的。

Thank you, everyone, for dialing in.

謝謝大家撥通電話。

We're excited about the future of the company, and we look forward to the next check-in.

我們對公司的未來感到興奮，並期待下一次的入住。

Thank you.

謝謝。

That will conclude today's conference call.

今天的電話會議到此結束。

Thank you all for your participation.

感謝大家的參與。

You may now disconnect your line.

現在您可以斷開線路。