Sapiens International Corporation NV (SPNS) 2025 Q1 法說會逐字稿

Welcome to Sapiens International Corporation's 2025 first-quarter financial results call.

歡迎參加 Sapiens International Corporation 2025 年第一季財務業績電話會議。

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.

現在我很高興介紹您的主持人、首席行銷長兼投資者關係主管 Yaffa Cohen-Ifrah。謝謝。雅法，現在你可以開始了。

Thank you, operator. I want to welcome you to the Sapiens conference call to review our first quarter of 2025 results. With me on the call today are Mr. Roni Al-Dor, President and CEO; Mr. Roni Giladi, CFO; and Mr. Alex Zukerman, Chief Strategy Officer. Following the summary of the results, we will all be available to answer any questions.

謝謝您，接線生。歡迎您參加 Sapiens 電話會議，回顧我們 2025 年第一季的表現。今天與我一起參加電話會議的還有總裁兼執行長 Roni Al-Dor 先生；財務長 Roni Giladi 先生；以及首席策略長 Alex Zukerman 先生。在總結結果之後，我們將隨時回答您的任何問題。

Before we start, I would like to remind everyone that this conference call may contain projections or other forward-looking statements. The safe harbor provision in the press release issued today also apply to the content of the call. Sapiens expressly disclaims any obligation to update or revise any of these forward-looking statements, whether because of future events, new information, a change in its view or expectations or otherwise.

在我們開始之前，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。今天發布的新聞稿中的安全港條款也適用於通話內容。Sapiens 明確表示不承擔更新或修改任何前瞻性陳述的義務，無論是由於未來事件、新資訊、觀點或預期的變化或其他原因。

On today's call, we will refer to the non-GAAP financial measures. The reconciliation of GAAP to non-GAAP results has been provided in our press release, which was issued before the market opened this morning. A replay of this call will be available after the call on our Investor Relations section of the company website or via the website link, which is available in the earnings release we published today.

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。我們在今天上午市場開盤前發布的新聞稿中提供了 GAAP 與非 GAAP 結果的對帳。電話會議結束後，您可以在公司網站的「投資者關係」部分或透過網站連結重播該電話會議的錄音，該網站連結可在我們今天發布的收益報告中找到。

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

現在我將電話轉給 Sapiens 總裁兼執行長 Roni Al-Dor。羅尼？

Good morning, everyone, and thank you for joining us today for Sapiens' first-quarter 2025 earnings call.

大家早安，感謝您今天參加 Sapiens 2025 年第一季財報電話會議。

This quarter showcased solid operational execution across our key regions, led by continued momentum in our Life business with notable strength in North America. Demand is building for our solution, and we believe we are well positioned with robust portfolio to meet the evolving needs of our clients and capture new opportunity in the market.

本季度，我們主要地區的營運執行表現穩健，其中人壽業務持續保持強勁勢頭，北美地區表現尤為突出。我們的解決方案的需求正在不斷增長，我們相信，我們擁有強大的產品組合，可以滿足客戶不斷變化的需求並抓住市場的新機會。

I would like to begin by discussing two exciting strategic M&A transaction that Sapiens recently announced. Sapiens has implemented a growth strategy that includes several levers to accelerate our businesses, an important one of which is acquisitions. Our approach is to explore strategic M&A opportunity and target that would assist Sapiens to reach its strategic objectives, typically around the following areas: adding complementary solution to our portfolio that strengthen our value proposition and adding new capabilities to our platform offering, accelerate customer acquisition, attract top insurance talent and drive scalable geographic expansion.

首先，我想討論 Sapiens 最近宣布的兩項令人興奮的策略併購交易。Sapiens 實施了一項成長策略，其中包括幾個加速我們業務發展的槓桿，其中一個重要槓桿就是收購。我們的方法是探索策略併購機會和目標，以幫助 Sapiens 實現其策略目標，通常圍繞以下領域：為我們的產品組合添加補充解決方案，以加強我們的價值主張並為我們的平台產品添加新功能，加速客戶獲取，吸引頂尖保險人才並推動可擴展的地理擴張。

On April 22, we announced the acquisition of Candela, a leading intelligent automation company serving blue-chip life insurance client in APAC market. This acquisition enhances the capabilities of our life platform and expands our footprint in APAC. Candela offers an end-to-end smart insurance automation platform along with digital services and solutions.

4月22日，我們宣布收購Candela，一家服務亞太市場藍籌人壽保險客戶的領先智慧自動化公司。此次收購增強了我們生活平台的能力，擴大了我們在亞太地區的影響力。Candela 提供端到端智慧保險自動化平台以及數位服務和解決方案。

The company brings 23 customers to Sapiens, primarily in the rapidly growing markets of Singapore, Malaysia, Thailand and Hong Kong and South Africa. With an expanded physical presence in the region, we are better positioned to accelerate penetration gains in the APAC market. With nearly 30 years of deep industry expertise and teams of over 100 employees, Candela's strong track record will serve as an important catalyst to support Sapiens strategy in APAC while providing innovating new capabilities to Sapiens' global customer base.

該公司為 Sapiens 帶來了 23 位客戶，主要分佈在新加坡、馬來西亞、泰國、香港和南非等快速成長的市場。隨著我們在該地區實體業務的擴大，我們能夠更好地加速在亞太市場的滲透。Candela 擁有近 30 年的深厚行業專業知識和超過 100 名員工的團隊，其良好的業績記錄將成為支持 Sapiens 在亞太地區戰略的重要催化劑，同時為 Sapiens 的全球客戶群提供創新的新能力。

Candela solutions are complementary to Sapiens Life Insurance platform which we intend to leverage to enhance our life offering globally. In addition to Candela, on April 28, we announced the acquisition of AdvantageGo, a leading commercial insurance software provider specializing in underwriting warven solutions for both London market and broader global specialty and commercial markets.

Candela 解決方案是 Sapiens 人壽保險平台的補充，我們打算利用該平台來增強我們在全球範圍內的人壽保險服務。除了 Candela，4 月 28 日，我們還宣布收購 AdvantageGo，這是一家領先的商業保險軟體提供商，專門為倫敦市場以及更廣泛的全球專業和商業市場承保保險解決方案。

This strategic acquisition significantly enhanced Sapiens global P&C proposition, adding cutting-edge underwriting warven capabilities that address one of the most critical challenges in the P&C industry today, managing, assessing and writing risk more effectively.

此次策略性收購顯著增強了 Sapiens 的全球 P&C 業務，增加了尖端的承保能力，解決了當今 P&C 行業最關鍵的挑戰之一，即更有效地管理、評估和承保風險。

Our analysis shows that this market segment is rapidly growing across both North America and EMEA in correlation with insurers need to improve their risk management. With AdvantageGo, Sapiens will expand across the London specialty market and other specialty hubs such as Bermuda and Singapore and in the specialty and commercial market across EMEA, APAC and North America.

我們的分析表明，這個細分市場在北美和歐洲、中東和非洲地區正在快速成長，而保險公司也需要改善其風險管理。借助 AdvantageGo，Sapiens 將擴展到倫敦專業市場和百慕達、新加坡等其他專業樞紐以及歐洲、中東和非洲、亞太地區和北美的專業和商業市場。

Our vision is to integrate AdvantageGo solution into Sapiens insurance platform for P&C while also offering them as a stand-alone product. This approach enables us to address both new prospects and existing customers, enhancing our value proposition across multiple markets. This acquisition aligned with Sapiens strategy to accelerate penetration to the London specialty market enhance its value proposition to the P&C insurers and strengthen its support for the reinsurance market.

我們的願景是將 AdvantageGo 解決方案整合到 Sapiens 的財產和意外險保險平台中，同時將其作為獨立產品提供。這種方法使我們能夠同時滿足新客戶和現有客戶的需求，從而增強我們在多個市場的價值主張。此次收購符合 Sapiens 的策略，旨在加速滲透倫敦專業市場，增強其對財產和意外傷害保險公司的價值主張，並加強其對再保險市場的支持。

The London specialty market is a global hub for complex and high-risk insurance and reinsurers, where brokers and underwriters negotiate bespoke coverage primarily through Lloyd's London and London company market. The London specialty market is one of the largest in the world and represent a significant opportunity for Sapiens to expand its footprint. The underwriting growth segment is growing significantly as insurers recognize the value of sophisticated decision support tools.

倫敦專業市場是複雜和高風險保險和再保險公司的全球中心，經紀人和承保人主要透過勞合社倫敦和倫敦公司市場協商客製化保險。倫敦專業市場是世界上最大的專業市場之一，為 Sapiens 擴大其影響力提供了重要機會。隨著保險公司認識到複雜決策支援工具的價值，承保成長部分正在顯著成長。

The demand for underwriting growth bench is growing. And according to the research firm (inaudible), the number of workbench deals is expected to rise in 2025 and 2026. AdvantageGo will also strengthen Sapiens' value proposition in North America P&C market by enhancing its capability for insurers operating in the complex specialty and commercial lines.

承保成長平台的需求正在成長。據研究公司 (聽不清楚) 稱，預計 2025 年和 2026 年工作台交易數量將會上升。AdvantageGo 也將增強 Sapiens 為在複雜的專業和商業領域運營的保險公司提供的能力，從而加強 Sapiens 在北美 P&C 市場的價值主張。

Now moving to discuss the first quarter of 2025. Revenue in the first quarter of 2025 totaled $136 million compared to $134 million in the first quarter of 2024. In quarter one 2025, we had a negative currency impact compared to quarter one 2024. On a constant currency basis, our revenue would have been $2 million higher. In Q1, we continue to sign new deals and expand relationships with existing customers across both Life and P&C segments.

現在討論 2025 年第一季。2025 年第一季的營收總計 1.36 億美元，而 2024 年第一季的營收為 1.34 億美元。與 2024 年第一季相比，2025 年第一季我們受到了負面貨幣影響。以固定匯率計算，我們的收入將增加 200 萬美元。在第一季度，我們繼續簽署新協議並擴大與人壽和財產及意外保險領域現有客戶的關係。

Less than one year since the launch of our insurance platform, we are already seeing promising customer adoption, a clear indication that our strategic investments are resonating with the market and delivering results. We are continuing with transition of existing customers to the cloud while also onboarding all new customers to Sapiens Cloud.

我們的保險平台推出不到一年，我們已經看到客戶採用率的提高，這清楚地表明我們的策略投資與市場產生了共鳴並取得了成果。我們將繼續協助現有客戶過渡到雲端，同時也將所有新客戶引入 Sapiens Cloud。

Let's drill down into our regional performance. First, our North America businesses continue its growth trajectory this quarter with accelerating demand for life and annuity solutions. Our life and annuity business has benefited from strategic investments we have made to drive growth and our new business wins reflect the success of these initiatives. In the first quarter, we have multiple wins with new and existing customers, which underscore insurers confidence in Sapiens to innovate, support businesses transformation and help solidify their competitive position.

讓我們深入了解一下我們的區域表現。首先，本季我們的北美業務持續保持成長軌跡，對人壽和年金解決方案的需求不斷增長。我們的人壽和年金業務受益於我們為推動成長而進行的策略性投資，而我們的新業務勝利反映了這些舉措的成功。在第一季度，我們贏得了多個新舊客戶，這突顯了保險公司對 Sapiens 創新、支持業務轉型和鞏固競爭地位的信心。

During the first quarter, we signed a new life platform deals in North America, which incremental to the two life platform deals signed in North America last year. As we reported this quarter, a major US multiline insurer expanded its partnership with us by selecting Sapiens insurance platform for life and annuities, which includes Sapiens CoreSuite for Life annuities, Sapiens DataSuite and Sapiens Cloud Services.

第一季度，我們在北美簽署了新的生活平台協議，與去年在北美簽署的兩項生活平台協議相比有所增加。正如我們本季報告所示，一家美國大型多險種保險公司透過選擇 Sapiens 人壽和年金保險平台擴大了與我們的合作夥伴關係，該平台包括 Sapiens CoreSuite 人壽年金、Sapiens DataSuite 和 Sapiens 雲端服務。

For nearly a decade, this existing customer has successfully utilized Sapiens UnderwritingPro and the implementation of Sapiens insurance platform will further accelerate its digital transformation. In addition, this quarter, we had several go-lives across our Life solution, CoreSuite, IllustrationPro and UnderwritingPro, while also making innovative progress with several important product upgrades. During the first quarter of 2025, we announced the release of Sapiens UnderwritingPro version 14, which is our award-winning most advanced automated underwriting and new business case management system for life and annuities insurer.

近十年來，該現有客戶已成功利用 Sapiens UnderwritingPro，而 Sapiens 保險平台的實施將進一步加速其數位轉型。此外，本季度，我們的人壽解決方案、CoreSuite、IllustrationPro 和 UnderwritingPro 進行了多次上線，同時在幾項重要的產品升級中取得了創新進展。2025 年第一季度，我們宣布發布 Sapiens UnderwritingPro 14 版，這是我們屢獲殊榮的最先進的人壽和年金保險公司自動核保和新業務案例管理系統。

The release delivers significant technical enhancement, accelerates greater operational efficiency, seamless communication and advanced AI-driven capabilities. Also during this quarter, we announced the latest release of Sapiens IllustrationPro and Sapiens ApplicationPro, featuring enhanced automation, risk intelligence and operational efficiency, empowering agents and advisers to illustrate policies, manage users and integrate seamlessly with underwriting and sales platform.

此版本提供了顯著的技術增強，提高了營運效率、實現了無縫通訊和先進的人工智慧驅動功能。本季度，我們也發布了最新版本的 Sapiens IllustrationPro 和 Sapiens ApplicationPro，其特點是自動化、風險智慧和營運效率得到增強，使代理商和顧問能夠闡明政策、管理用戶並與承保和銷售平台無縫整合。

Turning to worker compensation. This market continued to hold strong potential for Sapiens throughout the US and Canada over the coming years. Over the course of the first quarter, our workers' compensation team has demonstrated the progress in the implementation of several key projects as evidenced by the completion of 2 go-lives within CoreSuite for critical worker compensation upgrades.

談到工人賠償。未來幾年，這個市場將繼續為 Sapiens 在美國和加拿大的市場帶來強大的潛力。在第一季度，我們的工人賠償團隊展示了幾個關鍵項目實施的進展，證據是 CoreSuite 內完成了 2 次關鍵工人賠償升級的上線。

Let me switch to discussing the performance of our CoreSuite P&C in North America. Sapiens continues to invest in North America P&C platform with data suite integration set for 2025, which enables AI automation and advanced analytics. I'm happy to share that we signed a new P&C deal for claims processing with North America-based customer in this quarter. With continued diligent investment in our platform, we are seeing initial positive trend in 2025. And as I mentioned before, the acquisition of AdvantageGo will enhance our P&C platform for North America market.

讓我轉而討論我們的 CoreSuite P&C 在北美的表現。Sapiens 繼續投資北美 P&C 平台，並計劃於 2025 年實現資料套件集成，從而實現人工智慧自動化和高級分析。我很高興地告訴大家，我們在本季與北美客戶簽署了一項新的索賠處理 P&C 協議。透過對我們平台的持續努力投資，我們將在 2025 年看到初步的正面趨勢。正如我之前提到的，收購 AdvantageGo 將增強我們面向北美市場的 P&C 平台。

Moving to Europe and the rest of the world. In European market and rest of the world, which includes APAC and South Africa, demand for Sapiens solution remains solid. In quarter one, we secured multiple deals across Life and P&C with new logos as well as existing customers in the region. We had numerous successful go-live project for customers with our IDITSuite, CoreSuite for Life, SCIPSuite and Reinsurance master upgrades.

移居歐洲和世界其他地方。在歐洲市場和包括亞太地區和南非在內的世界其他地區，對 Sapiens 解決方案的需求仍然強勁。在第一季度，我們與該地區的新客戶以及現有客戶達成了多項人壽和財產險交易。我們透過 IDITSuite、CoreSuite for Life、SCIPSuite 和再保險主升級為客戶成功上線了許多專案。

A significant highlight in the quarter is the go-live with our existing P&C customer, Hiscox, as a leading insurer in the UK and Sapiens partner for over a decade. Hiscox provides tailored solutions for businesses and high net worth private clients. This important step forward indicative of Hiscox's commitment to enhancing business performance, resilience and customer satisfaction.

本季的一個重要亮點是與我們的現有 P&C 客戶 Hiscox 正式上線，Hiscox 是英國領先的保險公司，也是 Sapiens 十多年的合作夥伴。Hiscox 為企業和高淨值私人客戶提供量身訂製的解決方案。這項重要進展顯示 Hiscox 致力於提高業務績效、彈性和客戶滿意度。

I want to highlight that Hiscox UK migration to Sapiens' latest cloud-native architecture delivered an immediate average improvement of 30% in application spend along with improved operational productivity and more consistent services delivery. P&C expansion is a top priority for Sapiens and the recent acquisition of AdvantageGo strengthened our value proposition in specialty and commercial P&C market, while providing immediate access to the London specialty market.

我想強調的是，Hiscox UK 遷移到 Sapiens 最新的雲端原生架構後，應用程式支出立即平均改善了 30%，同時營運效率也得到了提高，服務交付也更加一致。財產和意外保險的擴張是 Sapiens 的首要任務，最近對 AdvantageGo 的收購加強了我們在專業和商業財產和意外傷害保險市場的價值主張，同時可以立即進入倫敦專業市場。

Moving to the Life and Pension segments. This quarter, we signed a new deal with Universal Life, a leading life and health insurance based in Cyprus. As part of the conditional agreement, Unilife will leverage Sapiens CoreSuite for Life and Pension to modernize its core insurance process and drive strategic growth initiatives. Following an extensive evaluation process, Unilife chose Sapiens, which validate our superior digital SaaS solution for both individual and group life pension projects.

轉向人壽和退休金部分。本季度，我們與總部位於塞浦路斯的領先人壽和健康保險公司 Universal Life 簽署了一項新協議。作為有條件協議的一部分，Unilife 將利用 Sapiens CoreSuite for Life 和 Pension 來實現其核心保險流程的現代化並推動策略性成長計劃。經過廣泛的評估過程，Unilife 選擇了 Sapiens，證明了我們為個人和團體人壽退休金計畫提供卓越的數位 SaaS 解決方案。

Also this quarter, one of the largest global life insurers has selected Sapiens insurance platform for Life and Pension to drive digital transformation for its Czech Republic business, modernize its core insurance process and accelerate its growth strategy. The insurer was looking to replace its legacy platform with innovating core system that would empower the company to integrate new technologies and expand functionalities as it scales.

本季度，全球最大的人壽保險公司之一也選擇了 Sapiens 人壽和退休金保險平台，以推動其捷克共和國業務的數位轉型，實現核心保險流程的現代化並加速其成長策略。該保險公司希望用創新的核心系統取代其傳統平台，使公司能夠整合新技術並在擴大規模的同時擴展功能。

Sapiens' robust cloud-based digital platform will optimize efficiency, simplify policy and claims management and improve digital engagement for both customers and brokers. This collaboration expands Sapiens' presence in Central and Eastern Europe, reinforcing our commitment to delivering innovative insurance solutions worldwide. Moving to reinsurance.

Sapiens 強大的基於雲端的數位平台將優化效率、簡化政策和索賠管理並提高客戶和經紀人的數位參與度。此次合作擴大了 Sapiens 在中歐和東歐的業務，加強了我們在全球範圍內提供創新保險解決方案的承諾。轉向再保險。

We are seeing growing demand for insurers across all tiers, high, medium and low as they look to modernize and streamline their insurance operation. We continue to expand across North America, Europe and APAC with our ReinsuranceMaster and ReinsurancePro solutions.

我們看到，各級保險公司（高、中、低）的需求都在不斷增長，因為它們希望實現保險業務的現代化和簡化。我們繼續利用 ReinsuranceMaster 和 ReinsurancePro 解決方案在北美、歐洲和亞太地區擴張。

Moving to APAC region. The momentum at the end of last year has continued into the first quarter of 2025. The region remains a priority for us, and we continue to focus on accelerating growth, which the Candela acquisition supports. In the quarter, we secured a new APAC win for P&C with Pioneer Insurance and Surety Corporation. The leading insurance provider in Philippines, Pioneer chose Sapiens insurance platform to drive its digital transformation and new X enhancement.

移至亞太地區。去年年底的勢頭一直延續到2025年第一季。該地區仍然是我們的重點，我們將繼續致力於加速成長，而 Candela 的收購將支持這一成長。本季度，我們與先鋒保險和保證公司 (Pioneer Insurance and Surety Corporation) 合作，贏得了亞太地區財產和意外保險業務的新勝利。作為菲律賓領先的保險提供者，Pioneer 選擇 Sapiens 保險平台來推動其數位轉型和新 X 增強。

This is an important new win in the region that reinforce our strategy to improving core processing throughout our advanced technology, enabling our customers to navigate evolving market trends with precision. Innovation remain a cornerstone of our playbook. Our AI-based Sapiens insurance platform continued to evolve with specializations in addressing the unique requirements of each business vertical or domain.

這是我們在該地區取得的一項重要新勝利，它強化了我們透過先進技術改進核心處理的策略，使我們的客戶能夠精準地應對不斷變化的市場趨勢。創新仍然是我們劇本的基石。我們基於人工智慧的 Sapiens 保險平台不斷發展，專門滿足每個業務垂直領域或領域的獨特需求。

We are integrating AI across our core data digital solution to enhance automation, improve decision-making and drive greater efficiencies for insurers. By embedding AI-driven capability into our core system, we enable smarter underwriting, more accurate risk assessments and streamline claims processing. Our road map is robust as we continue to develop a holistic GenAI-based Copilot experience across the entire platform, further enhancing the value we deliver to our customers. Before I wrap up, I would like to reiterate our focus for 2025.

我們正在將人工智慧融入我們的核心數據數位解決方案中，以增強自動化、改善決策並提高保險公司的效率。透過將人工智慧驅動的功能嵌入到我們的核心系統中，我們可以實現更聰明的承保、更準確的風險評估並簡化索賠處理。我們的路線圖非常穩健，因為我們將繼續在整個平台上開發基於 GenAI 的整體 Copilot 體驗，進一步提升我們為客戶提供的價值。在結束之前，我想重申我們對 2025 年的重點。

We are committed to building a robust pipeline and expanding our client base across all key markets. To support this commitment and achieve our goals, we are focusing our teams and resource on first, platform innovation and advanced AI capabilities. We will continue investing in Sapiens' Intelligent insurance platform to drive sustainable growth globally and improving our competitive position.

我們致力於建立強大的通路並擴大所有主要市場的客戶群。為了支持這項承諾並實現我們的目標，我們將團隊和資源集中在首先的平台創新和先進的人工智慧能力上。我們將繼續投資 Sapiens 的智慧保險平台，以推動全球永續成長並提高我們的競爭地位。

Second, increased cross-sell to expand relationship with existing customers, cross-selling to existing customers represent a significant opportunity for growth.

其次，增加交叉銷售以擴大與現有客戶的關係，並對現有客戶進行交叉銷售代表著一個重要的成長機會。

Third, accelerating cloud adoption for our existing customers through a scalable, efficient SaaS model. Our advanced solutions are experiencing strong momentum in customer utilization, and we remain on pace to achieve our target penetration rate over 60% within the next 5 years.

第三，透過可擴展、高效的 SaaS 模型加速現有客戶採用雲端運算。我們的先進解決方案在客戶利用方面正呈現強勁勢頭，我們將繼續努力在未來 5 年內實現超過 60% 的目標滲透率。

Four, enhanced growth in our life businesses globally. The demand for life system transformation is strong as insurers seek to modernize legacy infrastructure, the market shift presents a significant opportunity for our life offerings.

四是促進全球壽險業務成長。由於保險公司尋求對傳統基礎設施進行現代化改造，對人壽保險系統轉型的需求十分強烈，市場轉變為我們的人壽保險產品提供了重大機會。

Fifth, we will continue building out our system integration partnership globally. Our pipeline is strong standing, and we are enthusiastic about the new opportunity resulting from our collaboration with system integrators throughout the global markets we are operating in.

第五，我們將繼續在全球建立系統整合合作夥伴關係。我們的產品線非常強大，我們對與全球市場中的系統整合商合作所帶來的新機會充滿熱情。

And lastly, following AdvantageGo acquisition, we see an opportunity to expand our global P&C platform with underwriting broad bench and risk management capability and strengthen Sapiens value proposition across global commercial specialty and London market segments.

最後，在收購 AdvantageGo 之後，我們看到了擴展我們的全球 P&C 平台的機會，透過承保廣泛的基礎和風險管理能力，並加強 Sapiens 在全球商業專業和倫敦市場領域的價值主張。

I will turn the call over to our CFO to provide more detail on our financial performance. Roni?

我將把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。羅尼？

Thank you, Roni. I will begin my commentary by reviewing the first quarter 2025 non-GAAP results, followed by comments on the balance sheet and cash flow. I will wrap up with our updated guidance for 2025.

謝謝你，羅尼。我首先會回顧 2025 年第一季的非 GAAP 業績，然後再評論資產負債表和現金流。我將總結我們對 2025 年的最新指導。

Revenue in the first quarter of 2025 totaled $136 million, an increase of 1.4% compared to $134 million in the first quarter of 2024. In Q1 2025, we had a negative currency impact compared to Q1 of 2024. On a constant currency basis, our revenue would have been $2 million higher. Looking at our revenue by geography. Revenue in North America totaled $57 million, an increase of 3.1% compared to last year. Revenue in Europe totaled $67 million, a decrease of 1.8% compared to last year.

2025 年第一季的營收總計 1.36 億美元，與 2024 年第一季的 1.34 億美元相比成長 1.4%。2025 年第一季度，與 2024 年第一季相比，我們受到了負面貨幣影響。以固定匯率計算，我們的收入將增加 200 萬美元。按地域查看我們的收入。北美地區營收總計5,700萬美元，較去年同期成長3.1%。歐洲地區收入總計6,700萬美元，較去年同期下降1.8%。

On a constant currency basis, our revenue in Europe would have been 0.6% higher. Revenue in Rest of World that includes South Africa and APAC totaled $12 million, a 13.4% increase compared to last year. For Q1 2025, our annualized recurring revenue, ARR totaled $187 million, reflecting 11.8% increase from Q1 of 2024, coming mainly due to new logo we signed last quarter.

以固定匯率計算，我們在歐洲的營收將成長 0.6%。包括南非和亞太地區在內的世界其他地區的收入總計 1,200 萬美元，比去年增長 13.4%。2025 年第一季度，我們的年度經常性收入 ARR 總計 1.87 億美元，比 2024 年第一季成長 11.8%，這主要歸功於我們上個季度簽署的新標誌。

Our revenue mix showed that revenue from recurring software product and reoccurring postproduction services increased year-over-year by 14.7% to $108 million compared to $94 million in Q1 of 2024. Recurring and reoccurring revenue in Q1 2025 represent 79% of total revenue. Revenue from implementation totaled $28 million compared to $40 million in Q1 of 2024. This reflects the completion of several go-live projects and the extension of existing implementation projects over a longer time frame. Additionally, revenue from deal we signed in Q4 of last year is expected to materialize and ramp up starting Q2 of this year.

我們的收入結構顯示，來自經常性軟體產品和經常性後製服務的收入年增 14.7%，達到 1.08 億美元，而 2024 年第一季為 9,400 萬美元。2025 年第一季的經常性收入和經常性收入佔總收入的 79%。實施收入總計 2,800 萬美元，而 2024 年第一季為 4,000 萬美元。這反映了幾個上線項目的完成以及現有實施項目在較長時間內的延長。此外，我們去年第四季簽署的交易收入預計將從今年第二季開始實現並增加。

Moving on to profitability. Gross profit in the quarter was $63 million compared to $61 million in Q1 of 2024. The gross margin in the quarter was 46.3% compared to 45.4% in Q1 of 2024, representing an increase of 90 basis points. The increase in gross margin was primarily due to higher recurring and reoccurring revenue ratio. Operating profit in the first quarter of 2025 was $25 million compared to $24 million in Q1 of 2024. Operating margin was 18%, slightly lower than the 18.1% margin in Q1 2024 and in line with our target. Net income attributable to Sapiens shareholders for the first quarter of 2025 was $21 million, an increase of 1.3% compared to Q1 of 2024.

邁向盈利。本季毛利為 6,300 萬美元，而 2024 年第一季為 6,100 萬美元。本季毛利率為 46.3%，而 2024 年第一季為 45.4%，成長了 90 個基點。毛利率的增加主要是由於經常性收入和經常性收入比率的增加。2025 年第一季的營業利潤為 2,500 萬美元，而 2024 年第一季的營業利潤為 2,400 萬美元。營業利益率為 18%，略低於 2024 年第一季的 18.1%，符合我們的目標。2025 年第一季歸屬於 Sapiens 股東的淨收入為 2,100 萬美元，較 2024 年第一季成長 1.3%。

Earnings per diluted share was $0.37 for the first quarter of 2025 compared to $0.36 for the comparable period. Turning to our balance sheet. As of March 31, 2025, we had cash and cash equivalents and short-term deposits totaling $206 million and debt of $20 million. In April 2025, we paid a cash dividend of $16.8 million or $0.30 per share for the second half of 2024. The dividend is in line with the company policy of distributing on a semiannual basis up to 40% of its annual non-GAAP net income.

2025 年第一季每股攤薄收益為 0.37 美元，去年同期為 0.36 美元。轉向我們的資產負債表。截至 2025 年 3 月 31 日，我們的現金、現金等價物及短期存款總額為 2.06 億美元，債務為 2,000 萬美元。2025 年 4 月，我們為 2024 年下半年支付了 1,680 萬美元或每股 0.30 美元的現金股利。此次股利符合公司每半年派發一次股利政策，最高可達年度非公認會計準則淨收入的 40%。

In addition, the Board of Directors has approved distribution of a special cash dividend of $0.36 per share or $20.1 million in total. In declaring the special dividend, the Board of Directors evaluated Sapiens financial stability and determined that issuing the special dividend was both prudent and an appropriate way to reward our long-standing shareholders. Adjusted free cash flow for the first quarter of 2025 was $23 million compared to $17 million in Q1 of 2024.

此外，董事會已批准派發每股 0.36 美元或總計 2,010 萬美元的特別現金股利。在宣布特別股息時，董事會評估了 Sapiens 的財務穩定性，並確定發放特別股息是審慎之舉，也是獎勵長期股東的適當方式。2025 年第一季的調整後自由現金流為 2,300 萬美元，而 2024 年第一季為 1,700 萬美元。

Let me now review our revised guidance for 2025. Revenues. Today, we are raising our non-GAAP revenue guidance to a range of $574 million to $578 million from previous range of $553 million to $558 million, representing growth of 6% at the midpoint. Profit. We are also revising our non-GAAP operating profit to a range of $94 million to $96 million with operating margin of 16.5% at the midpoint from a range of $98 million to $102 million with operating margin of 18% at the midpoint.

現在讓我回顧一下我們對 2025 年的修訂指引。收入。今天，我們將非公認會計準則收入預期從先前的 5.53 億美元至 5.58 億美元上調至 5.74 億美元至 5.78 億美元，中間值成長 6%。利潤。我們也將非公認會計準則營業利潤從 9,800 萬美元至 1.02 億美元（中間值為 18%）修訂為 9,400 萬美元至 9,600 萬美元（中間值為 16.5%）。

We expect Q2 2025 operating profit to be in the range of $20 million to $21 million. The revised revenue and operating profit guidance assume the following: Revenues. Currency fluctuations are expected to impact our revenue going forward, primarily driven by the strengthening of euro and British pound against the US dollar. In addition, in April, we signed agreement to acquire Candela in APAC and AdvantageGo in the UK, and we expect both transactions to close towards the end of the second quarter. We currently anticipate the aggregate impact on revenue to be approximately $21 million at the midpoint.

我們預計 2025 年第二季的營業利潤將在 2,000 萬美元至 2,100 萬美元之間。修訂後的收入和營業利潤指引假設如下：收入。預期貨幣波動將影響我們未來的收入，主要原因是歐元和英鎊兌美元走強。此外，4月我們簽署了收購亞太地區Candela和英國AdvantageGo的協議，預計這兩筆交易都將在第二季末完成。我們目前預計對收入的整體影響約為 2,100 萬美元。

Profit. (inaudible) exchange movements are expected to have positive effect on our profitability, offset by the impact of recent acquisition. While Candela is expected to contribute positively to profit in Q4, AdvantageGo will remain loss-making throughout the year. Please also note that Candela and AdvantageGo were a subsidiary of a larger organization and not all their assets and functions were consolidated under single legal entity. This adds complexity to the integration process, including areas such as cloud migration, legal entity closure and employee transfer.

利潤。 （聽不清楚）匯率變動預計將對我們的獲利能力產生正面影響，但會被最近的收購的影響所抵銷。雖然 Candela 預計將對第四季的利潤做出積極貢獻，但 AdvantageGo 全年仍將保持虧損。另請注意，Candela 和 AdvantageGo 是一家較大組織的子公司，並非所有資產和職能都合併到單一法人實體下。這增加了整合過程的複雜性，包括雲端遷移、法人實體關閉和員工轉移等領域。

We anticipate that the aggregate impact on profit to be approximately negative of $5 million at the midpoint. In summary, while we see a short-term dip in our profit and margin due to acquisition, the strategic value and recurring revenue stream from this acquisition position us for robust growth and enhanced profitability in the future.

我們預計，對利潤的整體影響按中間值計算約為負 500 萬美元。總而言之，雖然我們的利潤和利潤率因收購而出現短期下降，但此次收購的策略價值和經常性收入流使我們在未來實現強勁成長和增強獲利能力。

Looking ahead to 2026, we expect our revenue growth to be in the mid- to high single-digit range. And we are also looking to improve profitability as we have proven successfully in past years. Please note that the recent proposed tariff changes currently do not have direct impact on Sapiens.

展望 2026 年，我們預期營收成長將達到中高個位數。正如我們在過去幾年成功證明的那樣，我們也在尋求提高獲利能力。請注意，最近提出的關稅變化目前對 Sapiens 沒有直接影響。

However, they may pose a risk if they affect our customer, which could in turn impact our results. We did not include tariff impact on our current guidance. Before I turn the call back to Roni Al-Dor, I would like to reiterate that we remain fully committed to disciplined execution of our strategy, driven growth and long-term profitability.

然而，如果它們影響到我們的客戶，可能會帶來風險，進而影響我們的業績。我們目前的指導中沒有包括關稅影響。在我將電話轉回給羅尼·阿爾多爾 (Roni Al-Dor) 之前，我想重申，我們仍然完全致力於嚴格執行我們的策略、推動成長和長期盈利。

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

謝謝。現在我將電話轉回給羅尼·阿爾多爾。羅尼？

Thank you, Roni. We delivered a solid first quarter, reflecting the progress across our key markets. Our continued investment in our insurance platform remains a critical driver of growth. In summary, Q1 2025 marked another quarter of operational progress.

謝謝你，羅尼。我們第一季的業績表現穩健，反映出我們主要市場的進展。我們對保險平台的持續投資仍然是成長的關鍵動力。總而言之，2025 年第一季標誌著營運取得另一個進展。

We remain committed to deliver long-term growth across all our key territories, we are continuously exploring M&A opportunity and our most recent acquisition of AdvantageGo and Candela will serve as a channel to enhance our go-to-market strategy in key region we are targeting in order to accelerate our growth trajectory.

我們始終致力於在所有關鍵地區實現長期成長，不斷探索併購機會，我們最近收購的 AdvantageGo 和 Candela 將成為我們加強在目標關鍵地區的行銷策略的管道，從而加速我們的成長軌跡。

I will now ask the operator to please open the call for questions.

現在我請接線生打開電話，回答問題。

(Operator Instructions) Dylan Becker, William Blair.

（操作員指示）迪倫貝克爾、威廉布萊爾。

Maybe Roni Al or Alex, starting with you. On the underwriting workbench side, this is an area we continue to hear kind of positive momentum around in the P&C space. You kind of touched on it in the prepared remarks, but wondering how you think about that acquisition, in particular, the opportunity to kind of accelerate some of the traction and momentum you're pushing forward on in North America as well as globally.

也許是 Roni Al 或 Alex，從你開始。在核保工作台方面，我們繼續聽到財產和意外險領域的積極勢頭。您在準備好的演講中提到了這一點，但想知道您如何看待這次收購，特別是這個可以加速您在北美和全球推動的一些牽引力和勢頭的機會。

And then for Roni G, how you think about the benefits to the model from that transaction as well, too, as it relates to kind of the growth profile of that business, the gross margin component, the recurring mix as a part of this kind of ongoing model evolution?

然後對於 Roni G，您如何看待該交易對模型的好處，因為它與該業務的成長概況、毛利率成分、經常性組合有關，作為這種持續模型演變的一部分？

Dylan, this is Alex speaking. So first, spot on, on the market acceleration point. We've seen the underwriting space rising very substantially over the past year, a lot of traction in the market, the need of the P&C industry to run better risk assessment and to connect to its processes. We saw great traction on this. And this is very much in line with our strategic approach to the market and with our platform offering. We see the AdvantageGo acquisition serve us across multiple aspects of our business.

迪倫，我是亞歷克斯。首先，確定市場加速點。我們看到承保領域在過去一年中大幅增長，市場吸引力巨大，財產和意外行業需要進行更好的風險評估並與其流程相連接。我們看到了這方面的巨大吸引力。這非常符合我們的市場策略方針和平台產品。我們看到 AdvantageGo 的收購為我們業務的多個方面帶來了益處。

When we look -- we can speak about the support that it's going to bring us in the US market. We see many, many deals of underwriting in the US market and connecting it to our platform is definitely answering the market needs. Similar approach in Europe, on the P&C side. I'd like to uniquely add also the London market, which is close to $60 billion GWP market that we today are not active in and AdvantageGo allows us to go straight into this market with a strong product.

當我們看時——我們可以談論它將為我們在美國市場帶來的支持。我們在美國市場上看到很多承銷交易，將其連接到我們的平台肯定能滿足市場需求。歐洲在財產和意外保險方面也採取了類似的做法。我還想特別補充倫敦市場，該市場 GWP 接近 600 億美元，而我們目前尚未涉足其中，AdvantageGo 讓我們能夠憑藉強大的產品直接進入這個市場。

And this is also helping us, we expect it to help us on the cross-sell because we can take it back to all our existing customer base on the P&C side globally, both US and Europe and enhance our offering to them.

這也對我們有幫助，我們希望它能幫助我們進行交叉銷售，因為我們可以把它帶回給我們全球（包括美國和歐洲）的 P&C 方面的所有現有客戶群，並增強我們向他們提供的服務。

Dylan, regarding the metrics or the model implication of this acquisition. So obviously, as we mentioned, we expect with this transaction that overall Sapiens grow next year from mid-single digit to mid- to high single digits. Specifically, if I'm going to AdvantageGo, they are expecting to grow next year, double-digit growth.

迪倫，關於這次收購的指標或模型意義。因此，顯然，正如我們所提到的，透過這筆交易，我們預計 Sapiens 的整體銷售額將在明年將從中等個位數成長到中等至高個位數。具體來說，如果我選擇 AdvantageGo，他們預計明年將會達到兩位數的成長。

And in terms of metrics, their gross margin is higher than Sapiens today, about 60%. If we look at Sapiens overall, we have about 33% of our revenues coming from ARR, and they are slightly above 50%. Obviously, from a profit perspective, they are today losing money. But as we mentioned, we expect to move gradually over this year and 2026 and be profitable in 2027. So a lot of upside in terms of growth, gross margin and ARR. And as we've been able to successfully do transition of other companies to profit, we expect to do this also with AdvantageGo.

從指標來看，他們的毛利率比現在的 Sapiens 還要高，約 60%。如果我們從整體上看 Sapiens，我們大約有 33% 的收入來自 ARR，略高於 50%。顯然，從利潤角度來看，他們今天是虧損的。但正如我們所提到的，我們預計今年和 2026 年將逐步實現盈利，並在 2027 年實現盈利。因此，從成長、毛利率和 ARR 方面來看，有很大的上升空間。由於我們已經成功幫助其他公司獲利，因此我們希望 AdvantageGo 也能做到這一點。

Also, it seems like the life side is continuing to see healthy kind of broad-based momentum. We've talked about kind of the competitive dynamics there in the past. But how should we think about that kind of step-up in the L&A business today, kind of the share of the mix that it currently represents, maybe its growth profile and how you think about kind of the evolution on the L&A side of the house as well?

此外，人壽保險領域似乎繼續呈現廣泛的健康發展勢頭。我們過去曾討論過那裡的競爭動態。但是，我們今天應該如何看待 L&A 業務的這種提升，它目前所佔的組合份額，也許是它的成長概況，以及您如何看待 L&A 方面的演變？

It's Alex again. From the business perspective, definitely, we see continuation of the trend that we reported over the last couple of quarters, strong demand on the life side across, again, North America and Europe. In North America, we see the platform proposition combining our CoreSuite together with the Underwriting, Illustration and Application connected to digital and data as a whole, it makes a huge market differentiation. It brings a lot of traction in the market.

又是亞歷克斯。從業務角度來看，我們確實看到了過去幾個季度報告的趨勢的延續，北美和歐洲的人壽保險需求強勁。在北美，我們看到將我們的 CoreSuite 與與數位和數據整體相關的承保、說明和應用程式相結合的平台主張，這帶來了巨大的市場差異化。它給市場帶來了很大的吸引力。

The pipeline keeps on growing and the business keeps on growing. We expect to continue this trend. Similar trend in Europe and UK, where we also start to enter into sales processes on pension and retirement that if we focus most of our business in Europe on protection and risk, we are also stepping into the wealth and the investment management and the pension. So both sides, we see and expect to continue the growth.

管道不斷延伸，業務也不斷成長。我們預計這一趨勢將持續下去。歐洲和英國也存在類似的趨勢，我們也開始進入退休金和退休金的銷售流程，如果我們將歐洲的大部分業務重點放在保護和風險上，那麼我們也會涉足財富和投資管理和退休金領域。因此，我們看到並期待雙方繼續增長。

This is Roni G. Also from a metrics perspective, we see a gradual increase of overall life on overall revenue of Sapiens. So if we ended the -- usually, we are providing this metric by the end of the year, life was 25%. This quarter, already at 26%. And if we compare to Q1 of 2024, we are almost 300 basis points more. So from 33% to 26%.

這是 Roni G。同樣從指標角度來看，我們看到 Sapiens 的整體壽命對整體收入的影響逐漸增加。因此，如果我們結束了——通常，我們會在年底提供這個指標，壽命是 25%。本季已達26%。如果與 2024 年第一季相比，我們幾乎高出了 300 個基點。所以從 33% 到 26%。

Chris Reimer, Barclays.

巴克萊銀行的克里斯雷默 (Chris Reimer)。

Congratulations on a strong quarter. I was wondering if you could talk about how you see the revenues progressing playing out through the rest of the year, if there'll be any kind of heaviness towards the end of the year or if it will be evenly dispersed? And then if you could just talk about some of the drivers contributing to your outlook?

恭喜本季業績強勁。我想知道您是否可以談談您如何看待今年剩餘時間的收入增長，年底是否會出現任何沉重的負擔，還是會均勻分散？那麼，您能否談談影響您觀點的一些驅動因素？

Yes, I will answer. I think I heard the first section. So if we look at the revenue stream going forward this year 2025, we didn't close the two acquisitions that we mentioned, neither the AdvantageGo or Candela, but we expect them to close during the end of this quarter. So we see gradual increase in Q2 but then jumped into Q3 and Q4 between them slightly higher in Q4 versus Q3. So gradual increase in Q2 depending on the closing date and then higher in Q3 and Q4 higher than Q3.

是的，我會回答。我想我聽到了第一部分。因此，如果我們看一下 2025 年的收入流，我們並沒有完成我們提到的兩項收購，無論是 AdvantageGo 還是 Candela，但我們預計它們將在本季末完成。因此，我們看到第二季度逐漸增加，但隨後在第三季和第四季之間躍升，第四季比第三季略高。因此，根據截止日期，第二季將逐漸增加，然後第三季將增加，第四季將高於第三季。

And then could you just mention any of the drivers you are seeing behind the outlook?

那麼，您能否談談您所看到的前景背後的任何驅動因素？

In terms of overall growth of the company, nothing has changed from the previous outlook that we gave. The growth is the continuation of the organic growth that we mentioned, plus some currency tailwind that affect our revenue and of course, the acquisition. We are not sure about the exact consolidation date. So this is the reason that this number that we provided, but mainly continue the organic growth, currency tailwind and the M&A.

就公司的整體成長而言，與我們之前給出的展望相比沒有任何變化。這種成長是我們提到的有機成長的延續，加上一些影響我們收入的貨幣順風，當然還有收購。我們不確定具體的合併日期。這就是我們提供這個數字的原因，但主要是繼續有機成長、貨幣順風和併購。

Alexei Gogolev, JPMorgan.

摩根大通的 Alexei Gogolev。

This is Elyse Kanner on for Alexei Gogolev. Thank you for clarifying the guide. Is there any further detail you can provide on how much exactly is a currency tailwind versus how much you contribute to inorganic growth?

我是艾莉絲‧坎納 (Elyse Kanner)，為阿列克謝‧戈戈列夫 (Alexei Gogolev) 發言。感謝您澄清該指南。您能否提供更多細節，說明貨幣順風究竟有多大，以及您對無機成長的貢獻有多大？

This is Roni G. As we mentioned, we do not know the closing date. And therefore, we are not providing the split of the currency and versus the M&A impact. We will provide this by the end of the year, the exact amount as we are doing all the time in terms of currency and M&A. Currently, the blended is the amount that we are providing, $21 million incremental. What I can say, the vast majority is coming from the M&A and slightly on the currency tailwind.

我是 Roni G。正如我們所提到的，我們不知道截止日期。因此，我們沒有提供貨幣和併購影響的分割。我們將在年底前提供這筆款項，金額與我們一直以來在貨幣和併購方面提供的金額完全相同。目前，我們提供的混合金額為 2,100 萬美元增量。我可以說的是，絕大多數來自併購，並且略微受到貨幣順風的影響。

And then in terms of getting the 60% of customers to the cloud, should we expect that to look like a bell curve? And are we still kind of on the left side, maybe approaching the peak where you'll see the most transition to cloud?

那麼，就讓 60% 的客戶使用雲端而言，我們是否應該預期它看起來像一條鐘形曲線？我們是否仍然處於左側，可能正在接近頂峰，屆時您將看到向雲的最多轉變？

We are seeing the trend that we mentioned last quarter and prior to that, we are continuing moving to the cloud, existing and new. As we mentioned all the time, almost 100% of the deals, if not 100 are on the cloud, the new logo. And every quarter, we are shifting some existing customer to the cloud. We'll provide the exact percentage by the end of this year.

我們看到了上個季度提到的趨勢，在此之前，我們正在繼續向現有的和新的雲端遷移。正如我們一直提到的那樣，幾乎 100% 的交易（如果不是 100 筆的話）都與雲端和新標誌有關。每個季度，我們都會將一些現有客戶轉移到雲端。我們將在今年年底前提供準確的百分比。

There are no further questions at this time. Before I ask Ms. 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, please call 1 (888)-269-005. In Israel, please call 03-9255-938 and internationally, please call (9723-9255-938). Ms. Cohen-Ifrah, please go ahead.

目前沒有其他問題。在我請科恩·伊夫拉女士繼續她的結束發言之前，我想提醒與會者，本次通話的重播將在兩小時後開始。在美國，請撥打1 (888)-269-005。在以色列，請撥打 03-9255-938；在國際，請撥打 03-9255-938；（9723-9255-938）。科恩·伊弗拉女士，請繼續。

Thank you, Joni, and thank you, everyone, for joining our call today. We really look forward to discussing our second quarter results on our next earnings call. And of course, as usual, we welcome you to contact us if you have any further questions. Thank you all for joining.

謝謝喬尼，也謝謝大家今天參加我們的電話會議。我們非常期待在下次財報電話會議上討論我們的第二季業績。當然，像往常一樣，如果您有任何其他問題，我們歡迎您與我們聯繫。感謝大家的加入。

Thank you. This concludes the Sapiens International Corporation first-quarter 2025 results conference call. Thank you for your participation. You may go ahead and disconnect.

謝謝。Sapiens International Corporation 2025 年第一季業績電話會議到此結束。感謝您的參與。您可以繼續並斷開連線。