Sapiens International Corporation NV (SPNS) 2024 Q3 法說會逐字稿

Welcome to Sapiens International Corporation's 2024 third-quarter financial results call. (Operator Instructions)

歡迎參加 Sapiens International Corporation 的 2024 年第三季財務業績電話會議。（操作員說明）

It is now my pleasure to introduce your host, Yaffa Cohen-Ifrah, Chief Marketing Officer and Head of Investor Relations. Thank you. Yaffa, you may now begin.

現在我很高興向您介紹主持人，首席行銷長兼投資者關係主管 Yaffa Cohen-Ifrah。謝謝。雅法，你現在可以開始了。

Thank you operator. I want to welcome you to Sapiens' conference call to review our third-quarter results for 2024, with me on the call today are Mr. Roni Al-Dor, President and CEO; Mr. Roni Giladi, CFO; and Mr. Alex Zuckerman, Chief Strategy Officer. Following the summary of the results, we will be available to answer any questions before we start. I would like to remind everyone that this conference call may contain projections or other forward-looking statements.

謝謝運營商。我歡迎您參加 Sapiens 電話會議，回顧我們 2024 年第三季業績，今天與我一起參加電話會議的是總裁兼執行長 Roni Al-Dor 先生； Roni Giladi 先生，財務長；以及首席策略長 Alex Zuckerman 先生。在總結結果後，我們將在開始之前回答任何問題。我想提醒大家，本次電話會議可能包含預測或其他前瞻性陳述。

The safe harbor provision in the press release issued today also apply to the content of the call. They expressly disclaim any obligation to update or revise any of these forward-looking statements, whether because of future events, new information, a change in its views or expectations or otherwise.

今天發布的新聞稿中的安全港條款也適用於通話內容。他們明確表示不承擔更新或修改任何這些前瞻性陳述的義務，無論是由於未來事件、新資訊、觀點或期望的變化或其他原因。

On today's call, we will refer to the non-GAAP financial measures. A reconciliation of GAAP to non-GAAP results has been provided in our press release which was issued before the market opened this morning.

在今天的電話會議上，我們將參考非公認會計準則財務指標。今天早上開盤前發布的新聞稿中提供了 GAAP 與非 GAAP 業績的調整表。

A replay of this call will be available after the call on our investor relations section of the company's website or via the website link which is available in the earnings release we published today.

本次電話會議的重播將在電話會議結束後透過公司網站的投資者關係部分或透過我們今天發布的收益報告中提供的網站連結進行重播。

I will now turn the call over to Roni Al-Dor, President and CEO. Roni.

我現在將把電話轉給總裁兼執行長 Roni Al-Dor。羅尼。

Good morning everyone and thank you for joining us today for Sapiens' third-quarter 2024 earnings call. Our revenue in third quarter was $137 million. A 4.8% increase compared to last year. This quarter continue to showcase solid execution across all of our key regions.

大家早安，感謝您今天參加我們 Sapiens 的 2024 年第三季財報電話會議。我們第三季的營收為 1.37 億美元。與去年相比成長4.8%。本季我們所有關鍵地區持續展現紮實的執行力。

Let's start with North America where we secure new business wins during the quarter. I want to highlight a few, Continental General chose the cloud based Sapiens insurance platform for lacking annuity to improve its capabilities and modernize its platform to future insurance product. These improvements will enhance its ability to scale a new market and streamline implementation of its long term care insurance specialty. While expanding third party administrator TPA services through its affiliate.

讓我們從北美開始，我們在本季度獲得了新的業務勝利。我想強調幾點，Continental General 由於缺乏年金而選擇了基於雲端的 Sapiens 保險平台，以提高其能力並使其平台現代化以適應未來的保險產品。這些改進將增強其擴大新市場的能力並簡化其長期照護保險專業的實施。同時透過其附屬公司擴展第三方管理員 TPA 服務。

Another win in the life space was the leading Canadian Life and health insurance carrier which selected the cloud based Sapiens insurance platform to enhance its operational performance, boost efficiency, elevate the client and adviser, experience and drive digital transformation and growth in the life and health market offer mutual insurance company selected a cloud based Sapiens insurance pool to automate insurance management process, improve efficiencies and profitability and mitigate costly claims leakage settings. Automated solution eliminates complexities within treaties by balancing the appropriate coverage with the rising coverage cost enabling Rockford Mutual to track bill, recover the insurance and capture valuable data.

人壽領域的另一個勝利是領先的加拿大人壽和健康保險公司選擇基於雲端的 Sapiens 保險平台來增強其營運績效、提高效率、提升客戶和顧問的水平、體驗並推動人壽和健康領域的數位轉型和成長市場報價互助保險公司選擇了基於雲端的Sapiens 保險池來自動化保險管理流程，提高效率和獲利能力，並減少成本高昂的索賠洩漏設定。自動化解決方案透過平衡適當的承保範圍與不斷上漲的承保成本，消除了條約中的複雜性，使 Rockford Mutual 能夠追蹤帳單、追回保險並捕獲有價值的數據。

And lastly society insurance chose Sapiens to automate and transform its reinsurance processes. Our cloud based reinsurance system met society need for an automated out of the box solution. Society can now manage its entire insurance program to centralize data in a consolidated repository that quickly runs queries and access reports.

最後，社會保險選擇 Sapiens 來自動化和改造其再保險流程。我們基於雲端的再保險系統滿足了社會對自動化開箱即用解決方案的需求。社會現在可以管理其整個保險計劃，將資料集中在一個統一的儲存庫中，以便快速運行查詢和存取報告。

Sapiens stood out for its broad range of capabilities in reinsurance, accounting and cash management, compliance with auditing and security requirements.

Sapiens 因其在再保險、會計和現金管理、遵守審計和安全要求方面的廣泛能力而脫穎而出。

Let me highlight few successful North America go live and upgrade with existing customer in quarter three in July, Pan American Life Insurance Group. Peleg successful went live with Sapiens illustration for such solution on the Microsoft cloud. A longtime seps customer pig wanted to transform its current system to see digital web based solution to integrate across multiple platforms.

讓我重點介紹一下北美在 7 月第三季與現有客戶進行上線和升級的成功案例：泛美人壽保險集團 (Pan American Life Insurance Group)。Peleg 在 Microsoft 雲端上成功上線了此類解決方案的 Sapiens 插圖。一位長期的 seps 客戶豬想要改造其當前的系統，以看到基於數位網路的解決方案，以跨多個平台進行整合。

Illustration four will enable to consolidate illustrations on a single platform, ensuring fast time to market robust new comparisons, client management and self-sufficient feature will allow them to manage multiple product launches more efficiency while improving the agent experience with scalable flexible solution.

插圖四將能夠在單一平台上整合插圖，確保快速上市，強大的新比較、客戶管理和自給自足的功能將使他們能夠更有效地管理多個產品發布，同時透過可擴展的靈活解決方案改善代理體驗。

Worker compensation is a market where Sapiens is building a momentum in North America and remains a substantial growth opportunity for Sapiens in the year ahead.

工人薪酬是 Sapiens 在北美建立勢頭的市場，並且在未來一年仍然是 Sapiens 的巨大成長機會。

In the third quarter, we completed the worker compensation customer upgrade with our latest functionally reached call suite for worker compensation version.

在第三季度，我們使用最新功能達到的工人補償版本呼叫套件完成了工人補償客戶升級。

Also, our North America team continues focusing on three major worker compensation projects which we expected to go live in 2025.

此外，我們的北美團隊繼續關註三個主要工人薪酬項目，預計將於 2025 年投入使用。

The win this quarter reinforced the value and the trust that insurance plays in Sapiens to innovate and drive business transformation. And we are always working to ensure we can deliver the most value to the market.

本季的勝利增強了保險在 Sapiens 創新和推動業務轉型方面所發揮的價值和信任。我們始終致力於確保能為市場提供最大價值。

In course with property and casualty, several North American project went live this quarter and we are working on several customer upgrades.

當然，在財產和傷亡方面，幾個北美項目在本季投入使用，我們正在對幾個客戶進行升級。

We also launch our latest version of Sapiens call suite for property and casualty for North America insurance market. The new release delivers ensures many functionality and performance improvement and enhanced security features.

我們也針對北美保險市場的財產和傷亡推出了最新版本的 Sapiens 呼叫套件。新版本確保了許多功能和性能改進以及增強的安全功能。

The release introduce an integrated AI based open platform to strengthen the second insurance platform, digital layer and expanding its core business capabilities, ensure it remains future proof.

該版本引入了基於人工智慧的整合開放平台，以加強第二保險平台、數位層並擴展其核心業務能力，確保其面向未來。

We have improved the consistency of our data to help the insurance overcome the challenges of data migration and ensure that data is consistent and AI ready. Moving to system integrator Sapiens is making progress in collaboration with system integrators which has resulted in promising opportunity in our pipeline that would have been otherwise unattainable.

我們提高了資料的一致性，幫助保險克服資料遷移的挑戰，確保資料一致、AI就緒。轉向系統整合商 Sapiens 正在與系統整合商的合作中取得進展，這為我們的管道帶來了原本無法實現的充滿希望的機會。

These partnerships have unlocked new avenues for growth and development demonstrating the strategic value and the potential of our [SaaS] in expanding our market reach. We are excited about the opportunity and beneficial outcome. This relationship could deliver, before we move to the rest of the world. I want to share some highlights from our annual North America customer summit.

這些合作關係開啟了新的成長和發展途徑，展示了我們的 [SaaS] 在擴大市場範圍方面的策略價值和潛力。我們對這個機會和有益的成果感到興奮。在我們搬到世界其他地方之前，這種關係可以實現。我想分享我們年度北美客戶高峰會的一些亮點。

In September, we held our customer summit in Austin, Texas. Austin is the wildlife music capital was the perfect backdrop for an event focused in innovation, collaboration, and transformative solution in the insurance industry. The themes of our summit compose your future express second mission to lead the future of insurance technology.

九月，我們在德州奧斯汀舉行了客戶高峰會。奧斯汀是野生動物音樂之都，是舉辦專注於保險業創新、協作和變革解決方案的活動的完美背景。我們高峰會的主題構成了您未來明確的第二個使命：引領保險科技的未來。

This year we hosted 545 participants from 135 insurance companies and partners organization, industry leaders like Microsoft, Deloitte, Celent and data contribute value perspective. We also had 22 partners companies present. The summit provide tremendous value with the opportunity to develop deeper customer relationships, meet prospects and generate leads with our partners, companies and our customers. We identify emerging market trends and gain valuable insight into our customer needs and concern. From this event, we create foundation for growth and success and reinforce our commitment to driving transformative journeys for savings clients.

今年，我們接待了來自 135 家保險公司和合作夥伴組織的 545 名參與者，微軟、德勤、Celent 等行業領導者和數據貢獻了價值觀點。我們還有 22 家合作夥伴公司出席。此次高峰會提供了巨大的價值，讓我們有機會與我們的合作夥伴、公司和客戶發展更深入的客戶關係、會見潛在客戶並產生潛在客戶。我們識別新興市場趨勢並獲得對客戶需求和關注點的寶貴見解。透過這次活動，我們為成長和成功奠定了基礎，並強化了我們推動儲蓄客戶變革之旅的承諾。

Moving to the rest of the world. We are progressing with customer upgrades and go live with our edit suite Tia suite insurance master and go suit life solutions. And we have had several successful go live this quarter.

搬到世界其他地方。我們正在推進客戶升級，並啟用我們的編輯套件 Tia suite Insurance Master 和 Gosuit Life 解決方案。本季我們已經成功上線了幾次。

I want to highlight the Hollard Group go live in this quarter. Hollard went live, recipients data and analytics solution. Complementing its cost suite for life and pension DataSuite will accelerate the complex migration of whole of businesses and align its process as the company transformation from its core and legacy system to s call suit for life and pension. This will reduce operational costs and deliver automated seamless user experience for customers. And all our staff integrated data suites significantly reduce the complexity of whole migration process which require the complicated development of tailored reports emerging them across the legacy and [call] suite systems.

我想強調的是 Hollard Group 在本季上線。Hollard 上線，接收者資料和分析解決方案。補充其壽險和退休金成本套件 DataSuite 將加速整個業務的複雜遷移，並隨著公司從核心和遺留系統向壽險和退休金呼叫套件的轉型而調整其流程。這將降低營運成本並為客戶提供自動化的無縫用戶體驗。我們所有員工整合的資料套件顯著降低了整個遷移過程的複雜性，整個遷移過程需要複雜的開發客製化報告，以便在遺留和[呼叫]套件系統中出現它們。

Among its many benefits, DataSuite empowers Hollard to manage its data and reporting needs while seamlessly operating its business during the migration, demand for seven product remains solid in email and APAC particularly for our live platform and P&C platform solution. It decent here there is continued demand for platform across all solution lies and tiers we are also experiencing growing demand for AI driven solution. As clients increasingly want to leverage AI to enhance operational efficiency and elevate customer experience.

DataSuite 具有眾多優勢，其中包括使Hollard 能夠管理其數據和報告需求，同時在遷移期間無縫運營其業務，電子郵件和亞太地區對七種產品的需求仍然強勁，尤其是我們的即時平台和P&C 平台解決方案。值得一提的是，對所有解決方案和層級的平台都有持續的需求，我們也遇到了對人工智慧驅動解決方案不斷增長的需求。隨著客戶越來越希望利用人工智慧來提高營運效率並提升客戶體驗。

With regulatory agencies. Starting to issue guidance on AI, Sapiens with its local presence in key markets and deep regulatory knowledge is positioned to enable our clients to stay ahead of industry trends and meet regulatory requirements.

與監管機構。Sapiens 開始發佈人工智慧指南，憑藉其在關鍵市場的本地影響力和深厚的監管知識，能夠幫助我們的客戶領先於行業趨勢並滿足監管要求。

Our digital transformation capabilities tailor for medium to smaller carriers enable crucial digital strategy over legacy strategies. These tiers of insurers can innovate quickly with our digital front end solution while gradually replacing legacy systems. In the European market demand for second solution remains robust. Despite the delay in signing new deals, these delays are primarily due to the regulatory approval process for S based model extend contract timeline due to compliance and security reviews and protected business case approval factor outside of our control.

我們為中小型營運商量身定制的數位轉型能力可實現比傳統策略更重要的數位化策略。這些等級的保險公司可以利用我們的數位前端解決方案快速創新，同時逐步取代舊系統。在歐洲市場，對第二種解決方案的需求仍然強勁。儘管簽署新交易有所延遲，但這些延遲主要是由於基於 S 模型的監管審批流程由於合規性和安全審查以及我們無法控制的受保護業務案例審批因素而延長了合約時間。

As a result, the average contracting period year-to-date has extended. We are confident we will close these deals in the coming quarters.

因此，年初至今的平均合約期間有所延長。我們有信心在未來幾季完成這些交易。

Our strategic partner with Microsoft has been instrumental in driving innovation, leveraging their cutting edge technology and collaborative support to enhance our market present and deliver exceptional value to our customers.

我們與微軟的策略合作夥伴在推動創新方面發揮了重要作用，利用他們的尖端技術和協作支援來增強我們的市場表現並為我們的客戶提供卓越的價值。

Before I wrap up, I would like to share our 2024 annual guidance and outlook for 2025, Roni Giladi will provide the full details, but in brief, we are reducing our full year 2024 revenue guidance. This revision reflects trends that impact our results this quarter and which we expect to proceed in the fourth quarter and into 2025. Despite the revenue guidance adjustment, our strong emphasis on expense management enabled us to leave our non-GAAP operating margin guidance unchanged for 2024 let me provide some contents on the external and internal factor influencing revenue.

在結束之前，我想分享一下我們的 2024 年年度指導和 2025 年展望，Roni Giladi 將提供完整的詳細信息，但簡而言之，我們正在降低 2024 年全年收入指導。此次修訂反映了影響我們本季業績的趨勢，我們預計這一趨勢將在第四季度和 2025 年繼續進行。儘管調整了收入指引，但我們對費用管理的高度重視使我們能夠保持 2024 年非 GAAP 營業利潤率指引不變，讓我提供一些有關影響收入的外部和內部因素的內容。

One of the key contributors is our strategic shift to s based model, position us to future sustainable high margin growth. While we anticipate some impact on 2024 revenue from this transition, the actual impact has been greater this shift to SaaS is also lead extense sale cycle particularly in Europe where many insurance carriers are new to SaaS and carefully evaluate the benefit before committing. As a result, we are experiencing a slightly longer time to close deals in certain regions as they evaluate the SaaS model advantage.

關鍵貢獻者之一是我們向基於模型的策略轉變，使我們能夠實現未來可持續的高利潤成長。雖然我們預計這一轉變會對2024 年收入產生一些影響，但實際影響更大，這種向SaaS 的轉變也是領先的擴展銷售週期，特別是在歐洲，那裡的許多保險公司是SaaS 的新手，在承諾之前會仔細評估收益。因此，在某些地區，當他們評估 SaaS 模式的優勢時，我們完成交易的時間稍長。

Additionally, our North America course with P&C business is facing headwinds with the sector specific challenges and increased competition.

此外，我們的北美財產與意外傷害業務課程正面臨著行業特定挑戰和競爭加劇的阻力。

Let me emphasize that our worker compensation on reinsured business is progressing as planned. And lastly, the border microeconomic involvement is leading insurance carriers to take more time in making investment decisions and finalizing deals.

我要強調的是，我們在再保險業務上的工人賠償正在按計劃進行。最後，邊境微​​觀經濟的參與導致保險公司需要更多時間來做出投資決策並完成交易。

We expect this factor to continue to influence growth as we enter to 2025. With that in mind, we anticipate next year's growth will be a low single digit. I want to reiterate that our commitment to building a robust pipeline and expanding our client base across all key markets remain unwavering as the business landscape continue to evolve.

我們預計，進入 2025 年，這一因素將繼續影響成長。考慮到這一點，我們預計明年的成長將是低個位數。我想重申，隨著業務格局的不斷發展，我們對在所有主要市場建立強大的管道和擴大客戶群的承諾仍然堅定不移。

Second, stands determined to execute our strategy to empower insurance carriers with small competitive platform to further enhance our competitive position in the P&C North America market. We are directly invest in a few areas, platform innovation and advanced AI capabilities.

二是堅定不移地實施小競爭平台賦能保險公司的策略，進一步提升我們在北美財產險市場的競爭地位。我們直接投資於幾個領域，平台創新和先進的人工智慧能力。

We continue to investing in Sapiens intelligent insurance platform for P&C which integrated DataSuite, digital portals and call processing to provide cohesive end to end advanced business experience and streamlined operation building on the success of the approach used with our life and Annuity platform, a few back which is accelerate. Second goal in this market, we are confident and applying a similar strategy to our co-P&C solutions.

我們繼續投資用於財產和意外傷害的Sapiens 智慧保險平台，該平台整合了DataSuite、數位入口網站和呼叫處理，以我們的人壽和年金平台使用的方法的成功為基礎，提供一致的端到端先進業務體驗和簡化的運營，一些回來這就是加速。我們對這個市場的第二個目標充滿信心，並將類似的策略應用於我們的共同財產保險解決方案。

We are also refining our go to market strategy and strengthening our certain marketing teams to pursue new opportunities. While addressing challenges in the market.

我們也正在完善我們的市場策略並加強我們的某些行銷團隊以尋求新的機會。同時應對​​市場挑戰。

We are confident that Sapiens focus on innovation and client successful will drive sustainability growth globally and strengthen our position as a trusted partner in the insurance industry. To drive return to higher growth. We'll focus on accelerating the expansion of our gross product with a strong establishment customer base. We also see significant opportunity for our data, digital and decision solution including our AI driven offering.

我們相信，Sapiens 對創新和客戶成功的關注將推動全球永續發展，並鞏固我們作為保險業值得信賴的合作夥伴的地位。推動恢復更高成長。我們將專注於透過強大的現有客戶群加速擴大我們的總產品。我們也看到了我們的數據、數位和決策解決方案（包括人工智慧驅動的產品）的巨大機會。

We also continue transition our existing customer to our cloud offering. Additionally, we will deepen our penetration in the North America market with our live platform where we hold a leading position and we are gaining momentum while continue to reinforce our presence in this key market.

我們也繼續將現有客戶過渡到我們的雲端產品。此外，我們將透過我們的直播平台加深對北美市場的滲透，我們在該平台上處於領先地位，並且我們正在獲得動力，同時繼續加強我們在這個關鍵市場的存在。

In summary third-quarter, 2024 marked another quarter of growth and operational progress. We are executing our 2024 priorities including accelerating the shift to such model which is better position us for the long term and delivering solid performance across all of our key regions.

總而言之，2024 年第三季標誌著又一個成長和營運進展的季度。我們正在執行 2024 年的優先事項，包括加速向這種模式的轉變，這對我們的長期發展有更好的定位，並在我們所有的關鍵地區提供穩定的績效。

Now, I would like to turn the call over to our CFO to provide more detail on our financial performance.

現在，我想將電話轉給我們的財務官，以提供有關我們財務業績的更多詳細資訊。

Thank you, Roni. I will begin my commentary by reviewing the third-quarter of 2024 non-GAAP results followed by comments on the balance sheet and cash flow. I will wrap up with our guidance for 2024 revenue in the third quarter of 2024 was $137 million. An increase of 4.8% compared to $131 million in the third quarter of 2023.

謝謝你，羅尼。我將首先回顧 2024 年第三季非 GAAP 業績，然後對資產負債表和現金流進行評論。最後，我將介紹我們對 2024 年的指導，2024 年第三季的營收為 1.37 億美元。與 2023 年第三季的 1.31 億美元相比成長 4.8%。

Currency impact on revenue was minimal. This quarter. As Roni mentioned in his remarks, we are experiencing delay in closing new deals which resulted in low revenue compared to our internal expectations for Q3 of 2024 our annually recurring revenue. ARL reached $173 million reflecting 10% increase from Q3 of 2023, higher than the reported revenue growth during the same period of 4.8%.

貨幣對收入的影響很小。本季。正如 Roni 在演講中提到的那樣，我們在完成新交易方面遇到了延遲，這導致與我們對 2024 年第三季年度經常性收入的內部預期相比，收入較低。ARL 達到 1.73 億美元，較 2023 年第三季成長 10%，高於同期報告的 4.8% 的營收成長。

Looking at the revenue mix revenue from recurring software product and reoccurring post production services increased year over year by 15.3% to $101 million compared to $87 million in Q3 of 2023.

從營收組合來看，經常性軟體產品和經常性後製服務的營收年增 15.3%，達到 1.01 億美元，而 2023 年第三季為 8,700 萬美元。

We are pleased with the double digit goal. Revenue from preproduction implementation services totaled $36 million compared to $43 million last year.

我們對這兩位數的目標感到滿意。預生產實施服務的收入總計 3,600 萬美元，而去年為 4,300 萬美元。

The decline in preproduction implementation revenue was mainly due to delay in signing new deals and the shift to SaaS as I mentioned in the previous quarter, switching now to get graphic breakdown revenue in North America was $56 million compared to $55 million in the year ago quarter. An increase of 1.7% revenue in Europe was $69 million a year of the increase of 7.1% revenue in the rest of the world which includes South Africa and APAC was $12 million in case of 6.6% compared to pioneer quarter.

預生產實施收入的下降主要是由於簽署新協議的延遲以及向SaaS 的轉變，正如我在上一季度提到的那樣，現在轉向獲得北美的圖形細分收入為5600 萬美元，而去年同期為5500萬美元。歐洲地區的收入每年增長 1.7%，達到 6,900 萬美元，而世界其他地區（包括南非和亞太地區）的收入增長 7.1%，每年增長 1,200 萬美元，與第一季相比增長 6.6%。

Moving to profitability gross profit. This quarter was $63 million compared to $59 million in Q3 of 2023. Gross margin, this quarter was 45.8% compared to 45.3%. An increase of 50 basis points compared to Q3 of 2023.

轉向獲利能力毛利。本季為 6,300 萬美元，而 2023 年第三季為 5,900 萬美元。本季毛利率為 45.8%，去年同期為 45.3%。與 2023 年第三季相比增加 50 個基點。

This increase is mainly due to higher ratio of recurring revenue versus onetime revenue from implementation, operating profit and margin. In the third quarter of 2024 was $25 million and 18.3% of total revenue compared to $24 million and 18.4%. In the third quarter of 2023 operating profit in Q3 grew by 4.3% or by $1 million.

這一增長主要是由於經常性收入與實施、營業利潤和利潤率的一次性收入的比率較高。2024 年第三季的營收為 2,500 萬美元，佔總營收的 18.3%，而去年同期為 2,400 萬美元，佔總營收的 18.4%。2023 年第三季營業利潤成長 4.3%，即成長 100 萬美元。

We maintained an operating margin within our target range of 18.3% despite the increased investment in sales and marketing in the third quarter, net income attributed to SAPIEN shareholder was $21 million or 10% increase from $19 million of Q3 of 2023, earnings per diluted share was $0.37 up 8.8% from 34% in Q3 of 2023.

儘管第三季銷售和行銷投資增加，但我們的營業利潤率仍維持在18.3% 的目標範圍內，歸屬於SAPIEN 股東的淨利潤為2,100 萬美元，較2023 年第三季的1,900 萬美元增長10 %，攤薄每股收益為 0.37 美元，較 2023 年第三季的 34% 成長 8.8%。

Turning to our balance sheet as of September 30, 2024, we had cash and cash equivalents and short term deposit totaling $186 million and debt of $40 million.

截至 2024 年 9 月 30 日，我們的資產負債表顯示，我們的現金和現金等價物以及短期存款總額為 1.86 億美元，債務為 4,000 萬美元。

During the quarter, we distributed dividend in the amount of $16.2 million or $0.29 per share to our shareholders. The dividend represents 39% of net income for the first half of 2024.

本季度，我們向股東派發股息 1,620 萬美元，即每股 0.29 美元。該股利佔 2024 年上半年淨利的 39%。

Turning to our adjusted free cash flow in the third quarter of 2024 we generated $10 million in free cash flow compared to $2 million in Q3 of 2023 for the first nine months of 2024. We generated a just a free cash flow of $33 million loan similar to the first nine months of 2023.

談到2024 年第三季調整後的自由現金流，我們產生了1000 萬美元的自由現金流，而2023 年第三季的自由現金流為200 萬美元，2024 年前9 個月的自由現金流為200 萬美元。我們僅產生了 3,300 萬美元貸款的自由現金流，與 2023 年前 9 個月的情況類似。

In the third quarter. Maalot S&P global. A part of the global rating firm standard on the pool's financial services confirmed the long term issue rating for SES is AA minus with stable outlook while also confirming the rating for Sapiens Series [] venture is AA minus.

在第三季。Maalot 標準普爾全球。全球評等公司的金融服務池標準的一部分確認了 SES 的長期發行評等為 AA 減，展望穩定，同時也確認了 Sapiens Series [] 創投公司的評等為 AA 減。

Let me switch gears to discuss our guidance for the remainder of 2024. In our preliminary look at 2025.

讓我換個話題來討論一下我們對 2024 年剩餘時間的指導。我們對 2025 年的初步展望。

Today, we are revising our 2024 annual non-GAAP revenue guidance to $541 million to $546 million from a previous range of $550 million to $555 million.

今天，我們將 2024 年年度非 GAAP 收入指引從先前的 5.5 億美元至 5.55 億美元調整為 5.41 億美元至 5.46 億美元。

A reduction of about 1.6% while it's too early to discuss our 2025 expectation in detail, we expect revenue growth to be in the low single digits. The reason for the 2024 reduced guidance and the low growth rate for 2025 compared to previous year are similar and are as follows.

減少約 1.6%，雖然現在詳細討論我們 2025 年的預期還為時過早，但我們預計收入成長將處於較低的個位數。2024 年指引下調和 2025 年成長率較前一年較低的原因類似，如下。

One, at the beginning of the year, we took a strategic decision to transition to SaaS all our product across all territories.

第一，今年年初，我們做出了一項策略決策，將所有地區的所有產品過渡到 SaaS。

Initially, we estimated this transition would have revenue cognition impact of approximately 1% headwind on our revenue. However, the actual has been greater totaling between 2% to 3%. We anticipate this trend we see in 2024 will carry over into 2025.

最初，我們估計這項轉變將對我們的收入產生約 1% 的收入認知影響。然而，實際情況更高，總計在 2% 到 3% 之間。我們預計 2024 年看到的趨勢將延續到 2025 年。

Additionally, another factor of this transition to SASS is the extended decision making process among insurance car mainly in Europe.

此外，向 SASS 過渡的另一個因素是主要在歐洲的保險公司決策過程的延長。

This delay has affected new deal signing and therefore our revenue two, our North American coast property and casualty business is facing headwinds with the sector specific challenges and heightened competition as a result, revenue from new deals has decreased. In addition, following the go live of certain projects, we are experiencing overall decline in revenue.

這種延遲影響了新交易的簽署，因此我們的收入二，我們的北美海岸財產和傷亡業務面臨著行業特定挑戰和競爭加劇的逆風，因此，新交易的收入減少了。此外，隨著某些項目的上線，我們的收入正在經歷整體下降。

Three, we are witnessing the same macroeconomic uncertainty that impacted many global enterprise software companies in our market. This is materializing as longer decision cycle or in some cases, delayed decision by our insurance carrier.

第三，我們正在目睹同樣影響我們市場上許多全球企業軟體公司的宏觀經濟不確定性。這表現為更長的決策週期，或者在某些情況下，我們的保險公司延遲做出決定。

As a result, fewer new deals were signed in 2024 which negatively impact our 2024 revenues. This effect is expected to be more pronounced in 2025. When this new deal that we anticipated to be signed in 2024 we are supposed to generate higher revenue in 2025 particularly due to the full year of implementation and recurring revenue.

因此，2024 年簽署的新交易減少，這對我們 2024 年的收入產生了負面影響。預計這種影響在 2025 年將更加明顯。當我們預計在 2024 年簽署這項新協議時，我們預計在 2025 年產生更高的收入，特別是由於全年的實施和經常性收入。

On a positive note, we expect an annual 2025 non-GAAP operating margin of 18.2% which is within our range.

從正面的角度來看，我們預期 2025 年非 GAAP 營業利潤率為 18.2%，在我們的範圍內。

While these challenges will impact the next several quarters, the market opportunity ahead of us continue to remain strong as we are still in the mindset of multidecade replacement cycle across the P&C and life markets.

雖然這些挑戰將影響未來幾個季度，但我們面前的市場機會仍然強勁，因為我們仍處於財產險和壽險市場數十年更換週期的心態中。

Looking at the past 10 years, Sapiens organic growth has high single digits growing globally, both in P&C and life and together with M&A we reported double digit growth also in the past two years. Revenue from recurrence of the product and reoccurring post production services represented between 65% to 73% of total revenue, highlighting the stability, visibility and stickiness of revenue from existing customers.

回顧過去 10 年，Sapiens 的自然成長在全球範圍內實現了高個位數成長，無論是在財產險和壽險領域，加上併購，我們在過去兩年中也實現了兩位數成長。來自產品重複性和重複性後製服務的收入佔總收入的65%至73%，凸顯了現有客戶收入的穩定性、可見性和黏性。

Sapiens has a solid foundation of 600 customers, any comprehensive sort of product including call business application data and digital solution, both for P&C and Life.

Sapiens 擁有 600 家客戶的堅實基礎，提供各種全面的產品，包括呼叫業務應用數據和數位解決方案，適用於財產險和人壽險。

With the broad geographic reach across North America, Europe and APAC, we believe in our ability to return to similar growth level as we continue executing our long term growth strategy, keeping investing in our solution and offer competitive platform to insurance carrier.

憑藉橫跨北美、歐洲和亞太地區的廣泛地理覆蓋，我們相信，隨著我們繼續執行長期成長策略、繼續投資我們的解決方案並為保險公司提供有競爭力的平台，我們有能力恢復到類似的增長水平。

I will now turn the call back to Roni Al-Dor. Roni.

現在我將把電話轉回羅尼·阿爾多爾。羅尼。

Thank you, Roni. We delivered a solid third quarter, reflecting continued progress across our key markets. Our continued investment in our insurance platform remains a critical delivery for growth. Most importantly, we are committed to delivering long term growth across all of our key territories and reinforce our position as a trusted provider for the intelligent insurance solution.

謝謝你，羅尼。我們第三季的業績表現強勁，反映出我們主要市場的持續進步。我們對保險平台的持續投資仍然是成長的關鍵。最重要的是，我們致力於在所有關鍵領域實現長期成長，並鞏固我們作為智慧保險解決方案值得信賴的提供者的地位。

I want to thank our global team for their commitment to excellence and goals and our investor for their ongoing support of Sapiens. I will now ask the operator to please open the call for questions.

我要感謝我們的全球團隊對卓越和目標的承諾，以及我們的投資者對 Sapiens 的持續支持。我現在請接線生打開電話詢問問題。

(Operator Instructions)

（操作員說明）

Sam Salvas, Needham & Company.

薩姆·薩爾瓦斯，李約瑟公司。

Great, thanks. Hey guys, thanks for taking the questions today. I'm just hopping on for my first off, I wanted to touch more on the competitive pressures you guys called out. Could you talk more about what exactly you're seeing which market products these are in and maybe the steps you guys are taking to mitigate some of these impacts.

太好了，謝謝。大家好，感謝您今天提出問題。我只是第一次開始，我想多談談你們所說的競爭壓力。您能否多談談您所看到的這些市場產品到底是什麼，以及您們正在採取哪些措施來減輕其中一些影響。

Yes, sure. This is Alex speaking. So when we look at the competitive landscape, I think we feel that the highest pressure on the competitive side is on the P&C operation in North America. This is where we feel the strongest pressure. This is a, this is not new in terms of the, the crowds of the market. You know, it's a very, very competitive landscape for a few years now on the P&C side.

是的，當然。這是亞歷克斯的講話。因此，當我們審視競爭格局時，我認為我們認為競爭方面壓力最大的是北美的財產保險業務。這是我們感受到壓力最大的地方。對於市場人群而言，這並不新鮮。你知道，財產保險方面的競爭已經持續了幾年。

But the combination of that together with a bit of the point market conditions we see in the North America market on the P&C side, which is a combination, the geographical catastrophes that happened in '24 the reinsurance rates that are spiking high the inflation.

但是，結合我們在北美市場的財產和意外險方面看到的一些關鍵市場狀況，這是一個組合，24 年發生的地理災難導致再保險費率飆升。

So the combination of those specifically for this year, economic situation plus the high competition over the deals, the combination of them creates a very competitive landscape for us. Now, our plan and to, you know, to mitigate this and our offering to the market is the ins it is based on our platform proposition. We talked about it in our previous boards, we launched in the middle of this year.

因此，今年的具體情況、經濟狀況以及交易的激烈競爭相結合，為我們創造了一個非常競爭的格局。現在，我們的計劃和減輕這種情況的計劃以及我們向市場提供的產品是基於我們的平台主張的。我們在今年年中推出的之前的董事會中討論過這一點。

In '24. our platform proposition, we see a great feedback from the market and this is both for P&C and Life. And but when we started to focus our efforts of the platform and launched it substantially. It's more on the life side and on the European side, our plan to launch the platform for North America, of course, with P&C is planned for 2025 and this will provide us very strong capabilities and differentiation to cope with competition. And that's our plan for the market.

24 年。我們的平台主張，我們看到市場的良好回饋，這對於財產和人壽險都是如此。但是當我們開始集中精力開發該平台並大幅推出它時。更多的是在生活方面，在歐洲方面，我們計劃在2025年推出北美平台，當然，P&C計劃在2025年推出，這將為我們提供非常強大的能力和差異化來應對競爭。這就是我們的市場計劃。

This is the only year just I would like to emphasize when Alex talk about P&C, North America, you say only to the coast system, not including the insurance or work compensation there, we feel strong.

這是我唯一想強調的一年，當Alex談到北美的P&C時，你說只有海岸系統，不包括那裡的保險或工作補償，我們感覺很強大。

Got it. Okay. That's helpful. Makes sense. And then just a quick follow up just on the preliminary '25 guide you guys gave. Could you guys talk about some of the macro assumptions you have as you, you know, got to that revenue target.

知道了。好的。這很有幫助。有道理。然後對你們提供的 25 年初步指南進行快速跟進。你們能談談你們在實現收入目標時的一些宏觀假設嗎？

Hi Sam, this is Roni. Basically the assumption or the reason for this is coming from M&A in 2024 and continue with us into 2023 to 2025. I will not repeat what Alex mentioned about the macroeconomics that we feel right now and continue to 2025. By the way, we see the demand but the market is cautious. So this is important to say we do not see this is for long term but the specific period.

嗨，山姆，我是羅尼。基本上，這種情況的假設或原因來自 2024 年的併購，並持續到 2023 年至 2025 年。我不會重複 Alex 提到的關於我們現在和持續到 2025 年的宏觀經濟感受。順便說一句，我們看到了需求，但市場持謹慎態度。因此，重要的是我們認為這不是長期的，而是特定時期的。

The second item is transition to s early in the year. We took a strategic decision to move all Sapiens products. A globally North America annual pay-pal to the cloud. We did it before the year before only North America specific product.

第二項是在今年年初過渡到 s。我們做出了一項策略決策，遷移所有 Sapiens 產品。全球北美年度雲端支付寶。我們前年只做過北美特定產品。

What we see is the transition have impact on two level. The first one is the delay of decision making from the insurance carrier mainly in the European side. The reason for that the deal became longer and embedded into an additional factor that wasn't in the past. Therefore, the decision process and the approval taken us more time and obviously delay on the revenue. So this is one factor.

我們看到的是轉型在兩個層面上產生影響。第一個是保險公司決策延遲，主要是歐洲方面。這筆交易的原因變得更長，並且嵌入了一個過去不存在的額外因素。因此，決策過程和審批花費了我們更多的時間，並且明顯延遲了收入。所以這是一個因素。

The second factor is the implication on the revenue recognition earlier we mentioned or estimated this to be a 1% impact on the revenue growth. And now as we revisit this, we see this as two items on top or different. One is [estimate] in the first year and the second one is the transition of existing customer post production to the cloud. Also take some hit on the revenue cognition because it's further spread the revenue for longer period.

第二個因素是對收入確認的影響，我們之前提到或估計這對收入成長有 1% 的影響。現在，當我們重新審視這一點時，我們將其視為頂部或不同的兩個項目。第一個是第一年的[估計]，第二個是現有客戶後製向雲端的過渡。收入認知也會受到一些打擊，因為它進一步將收入分散到更長的時期。

So all of the items here implication have revenue impact of between 2% to 3% versus the 1% that we mentioned earlier. And the P&C cost with North America Alex mentioned, I will just emphasize only on the insurance and not in the insurance and over compensation have also impact into 2025. One factor to take in when we see the new deals in 2024. Slowing down, there is impact into 2025 because the revenue recognized in 2024 is only partial of the year in 2025 is full year.

因此，這裡暗示的所有項目對收入的影響在 2% 到 3% 之間，而我們之前提到的只有 1%。Alex 提到北美 P&C 的成本，我只強調保險而非保險，超額賠償也會影響 2025 年。當我們看到 2024 年的新交易時，這是需要考慮的因素。放緩，到2025年都有影響，因為2024年確認的收入只是全年的一部分，2025年是全年。

So we are basically fill the less revenue in 2025. It fall into 2025. All of this came as to conclusion that based on what we see today and the of the revenue will come at low single digit growth.

所以我們基本上就填補了2025年較少的收入。進入2025年。所有這些得出的結論是，根據我們今天所看到的情況，收入將以較低的個位數成長。

Yeah. Okay. Alright. Thanks guys. I'll jump back in the queue.

是的。好的。好吧。謝謝你們。我會跳回到隊列中。

Dylan Becker, William Blair.

迪倫貝克爾、威廉布萊爾。

Hey guys, I appreciate the question. Maybe Ronnie G, with you sticking on that last point because you could argue that that accelerated head went from the, the SaaS transition is a net positive and maybe some, some partner components within that. But if you talk about elongation, I guess, can you give us a general sense in, in your confidence around that? It's more kind of timing in nature versus anything falling out of the pipeline. I'd assume a lot of these customers are already having a Sapiens' relationship and it's just kind of a matter of contract timing and getting the resources allocated, but a general sense and kind of the confidence here and what you're seeing from a pipeline perspective.

嘿夥計們，我很欣賞這個問題。也許 Ronnie G，你堅持最後一點，因為你可能會說，SaaS 轉型的加速發展是一個淨積極的因素，也許其中還有一些合作夥伴的因素。但如果你談論伸長率，我想，你能否給我們一個整體的感覺，你對此的信心？這更像是一種自然的時機，而不是任何從管道中掉出來的東西。我假設很多這樣的客戶已經建立了 Sapiens 的關係，這只是合約時間和資源分配的問題，但這裡有一個普遍的感覺和信心以及你從管道視角。

Hi, Dylan, thank you. So, first of all, this is on top in the right spot. We took the decision in the beginning of the strategic decision because we see the long term value of it and not one time hit. So for sure, we see the impact in the long term where we see more repeatable business coming and much more visibility ARR revenue going forward the European market, as I mentioned, they came a little bit behind the North America. Therefore, we see the delay in the revenue.

嗨，迪倫，謝謝你。所以，首先，它位於頂部的正確位置。我們在戰略決策之初就做出了這個決定，因為我們看到了它的長期價值，而不是一次性的。因此，可以肯定的是，我們看到了長期的影響，我們看到更多的可重複業務即將到來，歐洲市場的 ARR 收入可見度更高，正如我所提到的，它們稍微落後於北美。因此，我們看到收入的延遲。

We do not see any avoiding doing deal just prolongation of time in the macroeconomic as we mentioned, Alex earlier, this is one time period that will disappear in, let's say in the year form or something like that. But this is not something which will stay because we see the demand. So moving to the SaaS for sure, will give us a upside year number 23 and going forward from the recurring revenue after the implementation.

我們沒有看到任何避免做交易的事情，只是延長了宏觀經濟的時間，正如我們之前提到的，亞歷克斯，這是一個將會消失的時間段，比如說以一年的形式或類似的形式。但這不會因為我們看到需求而保留下來。因此，轉向 SaaS 肯定會為我們帶來第 23 年的成長，並且從實施後的經常性收入來看。

Okay, great. And then maybe kind of a segue with that to the initial '25 outlook of low single digits. Maybe give us a sense kind of breaking down if we look at obviously the post production piece and some of the ARR components still growing nicely kind of in that double digit clip. Assuming that moving to the cloud has some services impact as well too.

好的，太好了。然後可能會延續到 25 年最初的低個位數前景。如果我們明顯地看到後製片段，而一些 ARR 組件在那個兩位數的剪輯中仍然增長良好，也許會給我們一種崩潰的感覺。假設遷移到雲端也會對服務產生一些影響。

So maybe if we could kind of dissect within those components, given the fact that again, you called out some incremental visibility on the on the subscription front. Once those customers are implemented in live, thanks.

因此，也許我們可以在這些元件中進行剖析，因為您再次在訂閱方面提出了一些增量可見性。一旦這些客戶得到實施，謝謝。

I will try to answer this from a different but very similar angle. If we look at the revenue reported between two sector, the first one is the revenue which is recurring and reoccurring versus the one time we see the ratio of the recurring, recurring growing today is more than 70% of the revenue of the company. We see the growth margin which is significantly higher than the implementation.

我將嘗試從一個不同但非常相似的角度來回答這個問題。如果我們看一下兩個部門之間報告的收入，第一個是經常性和經常性的收入，而我們一次看到經常性、經常性增長的收入占公司收入的 70% 以上。我們看到成長幅度明顯高於實施情形。

All of this is the good trend. We saw the growth rate which is much higher than the revenue growth of the company. This quarter was 15% versus [five]. So I'm not sure that will be the exact number for sure that this type of nature will continue with us going forward into 2025.

這一切都是好的趨勢。我們看到的成長率遠高於公司的營收成長率。本季為 15%[五]。因此，我不確定這個確切數字是否能確定這種性質將持續到 2025 年。

Okay. Thanks, Roni.

好的。謝謝，羅尼。

Surinder Singh, Jefferies.

蘇林德·辛格，傑弗里斯。

Thank you. Just another follow up on the on the transition of clients to this model here is the idea that most of these headwinds should be done through 2025 or are we talking about an extended time frame to get everybody into the cloud at this point?

謝謝。關於客戶向此模型過渡的另一個後續行動是，大多數逆風應該在 2025 年之前完成，還是我們正在討論延長時間框架，讓每個人此時都進入雲端？

Not sure I got the question clearly, the impact of transition to SaaS is not only for 2024 and 2025 remember that we are doing two steps. First of all, we are any new deal is on the SaaS and usually the implication of the new deals is between two to three years, the period of the implementation.

不確定我是否清楚地理解了這個問題，向 SaaS 過渡的影響不僅限於 2024 年和 2025 年，請記住我們正在做兩步。首先，我們的任何新交易都是關於SaaS的，通常新交易的含義是在兩到三年之間，即實施期。

And there is another factor which is transferring existing customer that we sold several years ago. Also the a and this time period is around five years because it takes time to convert existing customer that we sold several years ago to the cloud. So it's between two to five years. This is the time frame of the impact again with different percentage of impact, but this is the time frame.

還有一個因素是我們幾年前出售的現有客戶的轉移。此外，這個時間段大約是五年，因為將我們幾年前出售的現有客戶轉換到雲端需要時間。所以這是兩到五年之間。這是再次影響的時間範圍，具有不同的影響百分比，但這就是時間範圍。

So understood on the time. So I guess my question to clarify that is, is the actual revenue headwind impact? Is that going to be consuming for the next two to five years. That was the question.

當時就這麼明白了。所以我想我要澄清的問題是，實際收入是否受到逆風影響？這是否會在未來兩到五年內消耗？這就是問題所在。

Yes, but not at the same ratio. Meaning is that we see more impact in 2025 and potentially '26 but lower in going forward.

是的，但比例不同。這意味著我們預計 2025 年和 26 年的影響會更大，但未來的影響會較小。

Understood. And then in terms of just it sounds like the margins are going to be relatively intact at this point. In light of the lighter revenues, has there been an adjustment in terms of your spend, your willingness to spend and maybe some of the projects that you're working on or how should we think about that?

明白了。就目前而言，聽起來利潤率將相對完好。鑑於收入減少，您的支出、支出意願以及您正在從事的一些項目是否有所調整，或者我們應該如何考慮？

Can you please repeat the question in terms of --

您能否重複一下這個問題--

Internal investment.

內部投資。

The investment in the -- okay. So until now has been able to grow revenue and profit over the year over year. And if we look at our competitor, the profitability level is lower than us. We took a strategic decision to stop the increase of the percentage but to go on the profit level and with the additional profit, we'd like to increase investment in sales and marketing.

投資——好吧。所以到目前為止，收入和利潤都在逐年增加。如果我們看看我們的競爭對手，獲利水準比我們低。我們做出了策略決定，停止增加百分比，但為了保持利潤水平，隨著額外利潤的增加，我們希望增加對銷售和行銷的投資。

And also in R&D, for example, what Alex mentioned about the platform and you can see from the report, the investment in sales and marketing grew very significantly over the last year, I think $2 million quarter compared to quarter. And we maintain the profit margin. What we mentioned beginning of the year between 18.1% to 18.5% we see right now 18.3% in Q3 of 2025. So we'd like to remain with the same percentage but grow the perfect level.

在研發方面，例如，Alex 提到的有關該平台的內容，您可以從報告中看到，去年銷售和行銷方面的投資成長非常顯著，我認為季度環比增長了 200 萬美元。我們維持利潤率。我們在年初提到的 18.1% 至 18.5% 之間，我們現在預計 2025 年第三季將達到 18.3%。因此，我們希望保持相同的百分比，但提高完美水平。

Alexei Gogolev, JPMorgan.

阿列克謝‧戈戈列夫，摩根大通。

Hi, this is (inaudible) on for Alexei Gogolev. Maybe this is in the press release. But what is the constant currency growth or did you break that out this quarter?

大家好，這是阿列克謝·戈戈列夫（Alexei Gogolev）的節目（聽不清楚）。也許這是在新聞稿中。但是，貨幣的持續增長是多少，或者您在本季度是否對此進行了統計？

The impact of the currency exchange was very minimal and we do not see additional impact in terms of positive or downside from this revenue reported.

貨幣兌換的影響非常小，我們沒有看到報告的收入產生額外的正面或負面影響。

Okay, great. And then for a follow up, we've talked about some of the initiatives you're undertaking to better compete in P&C in North America. What's the timeline on those investments and could growth potentially accelerate here come 2026 or when do you think that re acceleration could take effect?

好的，太好了。接下來，我們討論了您為更好地在北美財產與意外險領域競爭而採取的一些舉措。這些投資的時間表是什麼？

So this is Alex here. We look we invest in the in the platform concept globally at Sapiens. So it's an approach and a technology framework that allows us to promote a multiple products and bring value to multiple offerings. As I said, we chose to focus, first of all, the spearhead of this investment in realization is in our life solution that grows very rapidly and on, on our P&C in EMEA and APAC, which also we see the growth there. The second stage of taking this investment and implementing it into the offering it for our call with P&C in North America.

這是亞歷克斯。我們認為，我們在 Sapiens 的全球範圍內投資了平台概念。因此，這是一種方法和技術框架，使我們能夠推廣多種產品並為多種產品帶來價值。正如我所說，我們選擇首先將重點放在我們的生活解決方案上，該解決方案增長非常迅速，其次是我們在歐洲、中東和非洲和亞太地區的財產和意外險，我們也看到了那裡的增長。第二階段是接受這項投資並將其實施到我們與北美 P&C 的電話會議中。

And we intend to do it through the first half of the year in 2025. And we do foresee that this will bring us additional competitive power and differentiation in the market. We already launched this proposition. We got a very strong market feed, positive market feedback from customers and prospects on the ocean. And the plan is to implement it in North America in the first half of '25.

我們打算在 2025 年上半年完成這項任務。我們確實預見到這將為我們帶來額外的競爭力和市場差異化。我們已經發起這個提議了。我們獲得了非常強勁的市場回饋，以及海洋客戶和潛在客戶的正面市場回饋。計劃25年上半年在北美實施。

Got it. Thank you very much.

知道了。非常感謝。

Tavy Rosner, Barclays.

泰維·羅斯納，巴克萊銀行。

Hi, good afternoon. Most of my questions have been asked already. I just wanted to follow up on one of your comments for me in the prepared remarks. We talked about investment decisions being delayed due to regulatory impact. And I just wanted to get a little further is that at the company level or the regulatory level, any type of geography, specifically any customer size and any color would be helpful here.

嗨，下午好。我的大部分問題已經被問到了。我只是想跟進您在準備好的評論中對我的評論之一。我們談到了由於監管影響而導致投資決策被推遲的問題。我只是想進一步說明的是，在公司層面或監管層面，任何類型的地理位置，特別是任何客戶規模和任何顏色都會有幫助。

This is again, Alex here. I think the main costs that we see and the maybe the extended effort that our customers are doing on the due diligence and checking in all the details before signature is mainly around. First of all, the cloud in Europe and the main thing is that we provide the SaaS offering and which is very common in the us, it's also common in Europe but not in the same pace. And there is a lot of cautiousness around embracing a full size proposition in Europe because actually the company transfer their full management of the business as usual into a vendor into us.

亞歷克斯又來了。我認為我們看到的主要成本以及我們的客戶在簽字前進行盡職調查和檢查所有細節方面可能付出的額外努力主要是圍繞的。首先，雲在歐洲，最主要的是我們提供SaaS產品，這在美國很常見，在歐洲也很常見，但步伐不同。在歐洲，人們對接受全規模的提議非常謹慎，因為實際上該公司將其對業務的全面管理照常轉移給我們的供應商。

So for many of them, it's the first time ever that they do it and it takes them higher level of checks, they need to get the confidence. And this is one major thing that we see around the SaaS and this is mainly a European thing. What we see is these companies who already experienced that before. It's much easier. But a lot of them is the first time that they move to SaaS.

因此，對於他們中的許多人來說，這是他們第一次這樣做，這需要他們進行更高水平的檢查，他們需要獲得信心。這是我們在 SaaS 領域看到的一件大事，而且主要是歐洲的事情。我們看到的是這些公司以前已經經歷過這種情況。這容易多了。但他們中的許多人都是第一次轉向 SaaS。

And the second part that we see on delays in decision is because we provide now the platform proposition which intends not only call but also digital front end, digital processes, data warehouse reporting AI. So the bundle, the scope of the deals is larger and the complexity is larger.

我們看到決策延遲的第二部分是因為我們現在提供的平台主張不僅包括呼叫，還包括數位前端、數位流程、資料倉儲報告人工智慧。所以捆綁後，交易的範圍更大，複雜性也更大。

So it takes a bit more time for the customers to analyse all their due diligence of why contract et cetera. Of course, because this is a substantially different size of the deal. So that would be the two main aspect that we see in delays.

因此，客戶需要更多的時間來分析他們對合約原因等的所有盡職調查。當然，因為這是一筆截然不同的交易規模。這將是我們在延誤中看到的兩個主要方面。

(Operator Instructions)

（操作員說明）

There are no further questions at this time. Before I ask Ms. Yaffa Cohen-Ifrah to go ahead with her closing statement. I would like to remind participants that a replay of this call is scheduled to begin in two hours in the US. (Operator Instructions)

目前沒有其他問題。在我請 Yaffa Cohen-Ifrah 女士繼續她的結案陳詞之前。我想提醒與會者，這次電話會議定於兩小時後在美國開始重播。（操作員說明）

Ms. Yaffa, please make your concluding statement.

請Yaffa女士作總結發言。

Thank you for joining our call today. We look forward to discussing our Q4 results on our next earning call. As always, we welcome you to contact us if you have any further questions. Thank you again.

感謝您今天加入我們的電話會議。我們期待在下一次財報電話會議上討論我們第四季的業績。一如既往，如果您有任何其他問題，我們歡迎您與我們聯繫。再次感謝您。

Thank you. This concludes the Sapiens International Corporation third-quarter, 2024 results conference call. Thank you for your participation. You may go ahead and disconnect.

謝謝。Sapiens International Corporation 2024 年第三季業績電話會議至此結束。感謝您的參與。您可以繼續並斷開連線。