VERI - Earnings call transcript Q1 2024

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Operator

Good day, and welcome to the Veritone Inc.

First Quarter 2024 Financial Results Call. [Operator Instructions] Please note, this event is being recorded.

I would now like to turn the conference over to Stefan Norbom, Investor Relations. Please go ahead. .

Stefan Norbom

release afternoon. announcing close quarter Investors results XX, The good a Veritone ended section and information XXXX. release supplemental press for press of you, Veritone's After on today, market issued March are website. Thank available other the and the first

Please live Chief up forward-looking note and Officer, session. on us who statements call Mike question-and-answer Joining includes, and that and will today's for certain information then Steelberg; the Ryan provide are call Officer, for remarks your limitation, open performance. Zemetra, strategy today, discussed to answers future questions, including call the operating financial about and without a statements. certain our business Chairman prepared will and Veritone's Executive Chief include Financial This

risks, assumptions Form are on stated. Veritone's from filings, XX-K. discussed materially and uncertainties no assumptions statements SEC to actual and that report those or statements obligation the X, forward-looking subject to as update risks Veritone today, may are results assumptions are these XXXX, undertakes and cause revise including These May forward-looking differ in These of them. its annual Certain of on to based

measures we the Also, when year the of we reference During Veritone forecasted this presented during release XXXX. owned treating by forma measures. today. a issued are are such Broadbean press on forma we GAAP basis, fiscal will actual be included non-GAAP financial measures these call, include measures corresponding combined discussing to and as Reconciliations measures in pro measures, the pro

www.veritone.com. link the recorded and website Veritone's the that for Investors Finally, being section will is replay remind of I available would everyone to today like be on made via call at

to turn our call Ryan Now Steelberg. Chairman and I to Chief Executive Officer, would over like the

Ryan Steelberg

you, joining for thank Stefan, you, us. and Thank everyone,

before more on quarter sharing our our I are excited results update provide update performance. company and first by will a over start reviewing with and to first to you details speak performance. and our operations Zemetra quarter turning XXXX it for financial on today an We broader financial Mike

Veritone and delivered against demonstrated We XXXX. had last healthy business momentum wins new our a strong quarter commitments quarter. start of announced to strong a

make our operating and our rightsizing technical our continue resources investments within fundamentals, to industry. growth our leadership aligning and AI services and to structure bolstering progress accelerate the We and technological AI revenue software

outperforming Annual versus $XX.X our first of of quarter For Veritone of operating consumption-based of ARR. total subscription non-GAAP revenue and QX was the million, $XX.X representing million delivered or recurring from the customers, from an including million, end guidance. XXXX, loss of $XX.X subscription-based improvement million revenue high $X.X XXXX X%

First of have quarter which strategy growth. underscore the long-term shifted last and sustainable both to and results our strength profitable year, our the of back over focus execution operating

go-to-market the that are signs clear gaining to align seeing are Veritone's traction. We strategy taken steps

efforts of and efforts realize expect restructuring the first throughout quarter full these XXXX. second to Our continued we of in the the quarter beginning of benefits XXXX,

also of revenue-related in year. this expect costs synergies materialize future to part the We and later

on profitability a earnings sector quarter first as public in As the are saw XXXX for of non-GAAP milestones a enterprises. now early momentum and several Notably, achieved and evidenced increased XXXX. achieve qualified and on the of targeting our last QX we to as Veritone discussed commercial pipeline by technological call, basis entirety robust

to and and us ecosystem of solutions, allowing operations, needs remain AI of cornerstone AI data of Our and tools unique customers. aiWARE adapt alongside the powered best-in-class models workflow lake models of the which technology intelligent the provide our meet a to development our

sectors technological suite providers their positions innovation the stands complementary Generative into us focus all in Coupled comprehensive existing early solutions. preeminent AI solution capabilities in with Augmented stages as our AI our progress hardware a to of ecosystem. of incorporating the in next-generation the LLMs Generation, Retrieval hyperscalers of product and and AI with as companies AI

semiconductor in to grow the generative to The ease capacity are worldwide services ramping by raised to a AI and forecast, are firms expenditure chip new new projected use XXXX. from XXXX adoption. experiencing According is $XX.X staggering IDC billion widespread models applications. cloud escalating rapid AI launching billion total for and of demand Concurrently, and on $XXX has providers prospect the and of data accessibility for and center AI

remain. still barriers However,

generative using technological short-term goods is X factors Survey services, produce cited lack maturity. most Census barriers although privacy and early The such as and than the professional Xx Bureau's of firms services are X% indicates and to as AI business of that concerns AI firms. less financial knowledge, among commonly to information, formerly share to are high adoption

and their group. offering, to the providers trusted value we the was and of our better of for and than before. the AI and customers allowing as end Veritone of AI Earlier expertise to and gap demand full with to barriers of for enterprise our to integrated service advance market these the the deployment democratize capabilities Through mission major partner a bridge in our serve down even address AI. us launch between partners with in ultimate the empower offerings our and to technologies created AI, break organizations we a journey AI to a expanded hope customer go-to-market growing services customers in AI realize do consulting expansion announced today, in the

as AWS safety. our within Veritone services differentiated Partner and Partner level in on launch with complements offerings AWS Services the learning the numerous historical status areas AWS Network validated Partner at Path the public Tier Software Advanced such machine key

Our role technology. use Group from recognizes of customers empowering Services in play pivotal AI, Veritone's Services will elevation and the to level the and Advanced Consulting most the effectively advancement Partner benefit to AI derive Tier the the

to media architected with solutions software the licensing platform and Specifically, empower to soccer. our partnership will for and innovative develop services, deploy AWS Veritone similar further management AI Veritone U.S.

will AI solutions strategy innovation well and to group our reliability activation formed partnering AI-driven empower Through for human AI Services Group, AI performance workshops. combining Consulting enhanced benefit and initiatives. and from businesses path an their through with will AI expertise journey as expedited their By transformation newly scalability, on workflow development, technology, customers Veritone's digital as with custom aiWARE

net revenue accretive bookings services new and margins and in this growth expect from expanded attractive at offering. new starting XXXX We

let me markets. our vertical to Now turn

First, QX. engagements, Veritone's subscription-based XX% Hire Veritone and in platform. a Veritone Hire strategy near strong continued well, contribute to on perform its subscription capitalizing to or increase on ARR in commercial multiyear again, focus helping

software Beginning of as expect the well just on for in budgets second but the advertising see into expand material from our to distribution clients. global half not EMEA ability basis XXXX, to we by a Broadbean, controlling driven growth the budget, job

We organizational XXXX expect to in the the realize and and the further first half and marketing, full to later in the finalize of from integrations year. technological sales integration integration the half synergies of begin

in expanding One and the and further European Continental to and the by notable synergy Australia France we're offering programmatic big markets, the update, U.K. QX in year. we launched Germany of end

landed in on a EMEA basis recently $X XX media an win contribute Fortune Hire a RFP X,XXX will will over clients, in starting annual with mid-May million facilitate XXXX. hires that new Veritone gross revenues, and in

Brenntag, Laval, key Rhenus, wins Hospitality Sevita, Davidson Queensland, quarter the Additional Care Uniting Alfa include others. American in Water and Group,

campaigns individual Hire improvement self-serve predictive accuracy on to solutions. expand front, previously capabilities cookieless of On XX% introduced and the performance base QX, the led features Veritone third-party tracking an in market-leading tracked and of cookies customer basis, core technology ad job product programmatic by to that tracking

Ask marking at of honored solution, in in by software but Shifting the to momentum technological machine media our category. media significant products media the to fifth the within win business intelligence our entertainment. NAB, generative headlined this achievement tool prestigious start language Across a robust entertainment, Notably, year uptick time Award, our with Product services new and AI natural and NAB customer Veri Year and and in we of AI the the new milestones. and and had learning and renewals was

At a to data creation, exploration the activation most one generative AI's Veri is from enables content democratization Ask which and value use provide time of prominent content in cases investments. of

actual platform. Veri dynamic Hub, and quickly insights Veritone integrated from Veritone's media Digital their Media and users or is DMH Ask execute on workflows extract empowers aiWARE solution to an archive

across are applications. Veritone's of be announce We will majority to Veri available thrilled and sector that public soon commercial Ask the

with we on business Veritone. wins rely as quarter a Grabyo, highlights reaching other partner-driven the our showcasing approach and servicing quarter, Summit and contract first we the with need the channel media media both partnerships inked with companies and secured in that in Media, such we prominent $X.X new and million and deals QX, new the industry, Within both executed deals of Dalet Among $X.XX U.S. media In XX million. entertainment, bookings and organizations, of entertainment over total the value

Universal. NBC and Federation Soccer

deals Beasley closed Group, renewal in Our renewals almost and of contract $XXX,XXX. Crawford Broadcasting, client satisfaction reflected QX, commitment Entertainment, substantial and value Sony totaling is metrics Magazine bring Media we to $X we've with the over total XX partnerships million underscoring and customer include Furthermore, Pictures to with our the customers. executed with bookings in Golf Notable our upsells in strong and QX, Augusta tangible including National. several retention partnerships value

search to We benchmarks, achieved customer language. support now and product several using updates technology and query lake their introduced significantly achievements, Adobe, capabilities, Bigquery, suite, including recall archives Within other clients with natural we insights and provided outperforms amortizing enhancement of advertising augmenting adding empowering our media media depth partners. and which the industry effortlessly intelligence notable data of and the Google to our for milestones Veritone's in pixels website QX

monetization, name analytics QX, and a The customers our feature enhancements privacy. reporting empowers media announced optimization, designed cognitive around suite few. analytics, launch intelligence engine data of advertising media our and to with analytics DMH In embrace to to content platform on we comprehensive ingestion

our of customers security. revenues providing safeguarding the granularity, ad support and solutions privacy for data Our by

licensing partner continues by buyers. of base and thrive and Our customers growth, business a AI-assisted content supported to demonstrate significant diverse content

Clark the in and content documentaries. driven creators by rather record-breaking special we Notably, phenomenon global during professional sports owners Basketball real-time advertisements, Championship. and and during unique created both to unique drive to witnessed QX, Madness than news largely content Caitlin women's or briefings Women's moments opportunity ratings meteoric events This for the of March sports near a the leverage rise

Invesco, had as near real-time pivotal QX, moments Fighters companies more. facilitating as Nike, Studios and a role Farm, State and new various such many Veritone In in client played the League wins, such Apple for Professional

challenging year opportunities our from to seized for track agency previous and bookings rebounds remain expand market records. strong group for a are advertising clients. the to campaigns Annual XXXX, surpass customer our As advertising on our the

our While saw margin. growth endeavor sector considerable XXXX, the of rates overall surpassed a and X% in groups by agency these digital numbers streaming around podcasting significant Internet

Boll new XXXX, National & Branch, to exciting launches additional X signed with the Gabb, QX Nordace, X In advertising and we subsequent end. customers, Debt, quarter's

discussions, positioning throughout and with for Our pipeline strong numerous various continued year. in customers success stages us contracting remains advertisers advertising new of the

of direct-to-consumer recently most signed notable customers new the the is One company. Chewy, advertising supplies largest pet

of existing Across we across see opportunities significant with media new continue entertainment, and customers. validated to $XX strong pipeline both million and a

newly Services their positioned their for Our AI launched Consulting drive organizations and Group media leveraging to help and value well these business entertainment by AI. goals titans immediate accelerate and stands

comment substantial solutions strides in I sector Building the Finally, we've in Veritone's unique public the previous the on milestones the XXXX. in quarters, business. delivering public to QX AI-powered would address like made achieved made that significant needs on of sector progress and

first the now XX,XXX application over reach released utilizing set updated the to customers of and forth enforcement we public expand Justice With by cutting-edge California the for support new sector collection. police Veritone we quarter, requirements solutions the law supervisors to meet Contact, providing to to officers our we agencies. Notably, RIPA new XX in and continue portfolio. In Department contact our welcomed data

already encouraging Our collaboration a produced has with Opexus, integration results. partner technical

federal new U.S. X with well each QX, in clients, X a expanding the we opportunities During SLED. we sector and U.S. is already established funnel created with North closed America, in and QX, pipeline as Canada onboarded Furthermore, deals and for our promising has new steadily public particularly growth. meetings and in federal with resellers as government customer

organizations. Veritone new of pressures highlighting in our operations X agencies revenue-generating are facing law budgetary services their time constraints, gained pressure to the customers, which modernize value sector traction managed offering with Redact and coupled At with a mounting fluctuating the the efficiency public enforcement of to

Our redaction use public will The for significant lengthy public automate audio request the FOIA partnership agency our with enforcement internal the conserve to resources a reducing law primary Technologies Act, enforcement Redact tool request law and ever-increasing manual automate AI-powered marks record for address Freedom backlog. WSI video agency sector. and its of our milestone Information to state processes, statewide workflows,

and video the protecting alleviate communities. Veritone laborious process of like what significantly and get can solution most, serving these to redaction agencies a matters manual With Redact, audio and their and back

usage new deployed funnel and technology public and continue enhanced secure LLM iDEMS international launched suite In the markets, applications gained our iDEMS Veritone shared a and a with growth multiple we the model by entities. applications our the is outside secure U.K. to that quarter, customer-by-customer in traction QX, resonate wins Ireland. adding including ensures their Canada, addition sector iDEMS organization. This of remains large on newly Veritone of The our language not global With during basis.

Our realized in globally. opportunity in sector partner dedication our countries, our footprint as trusted achievements public already ahead and broaden municipalities demonstrate serving to to cities, XXXX immense across and agencies the the a

made quarter by of am our on possible dedicated talented first Reflecting the I team. substantial the of progress and Veritone XXXX, proud

aligning enact Veritone's plan to for in our agility, long-term with year, delivering and We will and enhancements model the cost solutions customer operating to AI secure our disciplined savings demand lead continue measures throughout serve customers position advanced efficient partners. our operational and to to take true

seen AI in phases the that it an adoption experimental of Sachs. experienced is generative largely enterprises generative in companies pilot according we AI fewer recognize rapidly, Goldman with than modest While market of the in Many remain are growth early has thus far production still has X% is the to only AI and innings. to reporting the in explosion and important regular and maturing using

am the this of As positioned strong immense our August. new momentum QX, emerged and adoption that business on more maintain harness AI financial I quarters and Veritone transition opportunities in continued and in has our stronger mainstream look confident ability progress in and better the to come. technological evidenced forward to by years XXXX to an performance, lie to enterprise-wide throughout our from in update providing wins milestones

off results detail. CFO, to Now I'd financial go to through and our to in the guidance call hand Zemetra, Mike our more Mike? like

Michael Zemetra

level you, execute managed at contributions services. and in and with I'm to a customer Thank happy we continue products XXXX software Ryan. high services our metrics across to report solid that QX made and

profitability, basis More QX cost cash to with significant QX changes line and target early structure importantly, operating keeping us as flow, on neutrality results towards we ended costs XXXX. our executed on on non-GAAP in as on better-than-expected revenue a

XXXX initiatives focused revenue and the my prepared on and year-over-year cost remarks, QX the QX into and will guidance of During our highlighting heading and year I XXXX and performance near-term scalability including reduction risks discuss KPIs, XXXX, projected profitability our results. fiscal QX fiscal business, full

legacy offset $X.X of QX improved revenue in same to including QX which Hire, as Amazon. decline of from Starting generated by with QX services XXXX revenue QX XXXX, Veritone largely Hire Veritone an by XXXX largely performance. Revenue compared was period, $XX.X acquisition million, XXXX from up $X.X in software driven the X.X% and driven the or QX increase increase Broadbean, which million million in over the $X.X XXXX, products The driven expected services. services was products software million million managed from in and million $X.X by and by $X.X

represented consolidated XXXX compared revenue XXXX. QX of as approximately than XX% QX less to X% comparison, Amazon in in By

over would increased the products QX Excluding QX Amazon, versus in of and impact revenue XX% software QX have services XXXX. XXXX to

revenue pipeline Our strong. outlook long-term remains and

As continues to our to diversify fiscal base deliver partner-driven we our continue results. customer strategy channel XXXX, throughout

million metrics ARR X% from consumption-based of we basis. of ARR. on $XX.X In $XX.X including XX% of an over delivered improvement our customers, million key XXXX QX, and a represents which QX total pro performance forma strong versus from subscription

consumption XX-month customers, ARR from the subscription-based Amazon. our including trailing ARR overall principally year-over-year, grew decline pullback in our spending, While given

as of trailing dependencies XX-month we to decline We the over Amazon exit expect first continue consumption-based period. half XXXX the in ARR to

down year-over-year revenue services spend. ACV extent, to $XX and Amazon's were software due and accounts transition Gross from XXXX. bookings principally Hire reductions in of lesser million, high QX retention post reduced our in legacy in to ACV to down smaller to Hire Broadbean we renewals Builder and continued of off Total larger a Accounts, as and, largely were Veritone prioritize be customers Career XXth due year-over-year, across acquisition X,XXX customers percentile the new total products slightly which platform the

decline managed XXXX. overall gross over from from year-over-year from service and client active improving QX QX per was minimal The from QX overall a sequentially customers $XXX,XXX, XX% as advertising were subscription-based ARR and QX slightly relatively flat impact had improved XXXX sequentially XXXX.

XXXX performance and through of QX remainder throughout or QX non-GAAP XX.X% as year-over-year. the Keeping compared XXXX, gross our QX were to due to versus in non-GAAP improvements looking expected improve XXXX anticipate as flat XXXX Overall, QX profit the improving today $X.X in XXXX. XXXX X.X% we XXXX, and $XX.X gross advertising margins of macroeconomic relatively largely reached in XXXX million increase to from second of early half revenue. the QX million as

remainder We expect fiscal margins XX% consolidated approximate XXXX. throughout non-GAAP the to to XX% gross of

reductions which or gross to net million over non-GAAP in in will non-GAAP of loss coupled months, an This mid- significant $X.X compared of was improvement improvements XXXX, with part by I QX the in our cost latter was to non-GAAP of trailing in QX reductions over XXXX. which structure explain the driven million, the million QX detail later. in XX $X largely net profit, the as loss $X.X cost XX% included

December of March of driven QX compared million, of cash in cash Turning the reflects held and inflows cash and XX, timing to XX, XXXX, increase XXXX, XXXX. to sheet. balance $XX.X by restricted operations $XX.X of payments million million our services we $XX.X managed principally At from net million at the $XX.X

Our transition associated non-GAAP our of severance $X.X net with and QX restructuring. expenses XXXX million loss and onetime approximately

fiscal million $X.X debt of was paid in was was by million. Offsetting earned acquisitions. by expenditures deferred investing interest income million $X.X purchase activities from from which net hand XXXX, cash $X.X $X.X of cash of offset outflows our on interest from QX and Total consideration this XXXX capital driven on million,

is At million debt our debt the amortizing remaining XXXX. a term convertible March principal, of rate $XX X.X% of XX, which XXXX, Beginning we and XXXX, at $XXX.X we debt to begin million of balance due will million $XX.X the November per had principal consolidated in term June debt of quarter.

As our progressing a pathway near-term basis. remain last our we are position to liquidity a improve call, on nondilutive we vastly on and on discussed

We on announce update in you earnings progress will when on QX we further to this August XXXX. continue initiative

reported for million cash, $XX.X December from the held cash total our XXXX. essentially from Of million of at services, million our parties to approximately up managed is in $XX.X $XX.X XX, third payment

initiatives. to over $XX have Turning XX, our XXXX. the since beginning of cost XXXX, savings executed of savings Including March annualized we million

QX year During full over reductions XXXX, included we is million completed QX of guidance. which $XX cost XXXX financial our in annualized

of top of both we services On acquisitions XXXX, materialize expect of of software cost to this past revenue from phase largely latter synergies, reorganization, fiscal the and integration products across part future and our lines. in

sales, which to of approximately in fiscal engineering with included result severance $X.X XX% paid QX XXXX, $X $X.X The million, was were and workforce. approximately paid the costs a corporate, our was of the restructuring transition be which of and a million million of within realignments global remainder XXXX. QX reduction organizational onetime of Total throughout

global March at outstanding to debt a X.X under on XXXX, million of $X over December approximately ended XXXX $X.XX. we XXXX, a strike XX.X XX, total price our our and We workforce. reduction of million our warrants savings April cost in outstanding Additionally, XX% late X-year bringing shares with little million facility of executed annualized

shares XXX,XXX exchange net for shares of in settled warrant XXX,XXX we During common QX stock. XXXX,

of with want with of $X.X with million term associated out and our cash $X.X our debt associated term to ahead sale payments payments of Cash point convertible investment debt, up of items. interest and the QX our Looking April cash proceeds $X.X XXXX. to XXXX. onetime of amortization million certain in million energy associated to cash I

guidance to fiscal for financial QX XXXX. Turning and

we our any with As a and around approached a towards approach very backdrop to fiscal planning costs conservative revenue revenue, march XXXX, profitability. particularly heightened on we as with discipline on consumption-based

to executed included of in any future is from initiatives, XXXX QX we XXXX cost in revenue but intentionally the are second guidance which $XX cost until realized. our XXXX, annualized our have over mentioned, guide, half million expected previously and As synergies in of savings they omitted

advertising. are the be between our of Driving representing growth Broadbean and that year-over-year With this revenue at including a the backdrop, Veritone we improvement to managed million guiding midpoint. growth in QX addition from XX% $XX million, Hire, services, $XX and is including

with coming Our growth accelerating expected more to services customers. significant macro existing QX began continue as exit XXXX is to begin challenging a and bookings and grow new to more with we managed XXXX in our

strong compared QX of legacy pacing XX% to Amazon Veritone with be drivers less bookings Hire advertising these as be growth our of Offsetting assumes specifically, QX XX% XXXX. our consolidated We will applications. QX of than revenue year-over-year. More continue in see consolidated across excess services X% revenue XXXX our in will to

include Risks consumption-based to deliverables, our be extent, lesser enterprise and a public revenue our revenue hire unpredictable which and upside QX managed namely can and services. sector, across on execution new guidance to across our

to Driving quarterly midpoint between which improvement the $X.X are XXXX. cost non-GAAP begin line QX will loss reductions, XXXX. $X.X bottom versus and QX, million million, in be at fully in of QX improvement XX% In this net realizing legacy we an the

quarters one fixed a performing our payroll-driven. QX costs are reminder, majority lowest seasonally As and the of our of and is

range and $XXX increase increasing flat XXXX, our to at of end be revenue bottom full XXXX. million the For and are million $XXX year midpoint pro X% of a versus between year-over-year relatively the forma we representing

run and and economic from sector, services acquisition, public XXXX is are rate. we to XX% which As XXXX, products Driving our between QX current year-over-year over coming software forecasting to we from XX% grow conservatively. a of exit our that projected the outlook, the expect to growth XX% reminder, of given XXXX is revenue our benefit which Broadbean

stages could projection in accelerate half growth larger further. agencies enterprise-level executed remain has first the federal this various XXXX arrangements late on in we which with Moreover, agreement even of

Offsetting revenue, expect onetime million $X and by QX advertising year-over-year, not in certain recurring over XXXX. improve software in this managed XXXX, decline sales is our a to led including of our XX% services, year-over-year including XXXX. We consumption-based in advertising and Amazon to starting licensing

X% XX% impact Amazon we guidance our consolidated If of than include represent to revenue in XXXX. Risks over midpoint the as less to our XXXX. revenue annual conservatively is XX% macro at guidance to improvement XXXX these, the our be revenue of in compared would projected exclude versus the on and customers, continue expect deliverables, economy XXXX, across least rates inflation half we sector continued of software interest our products which result to at the metrics execution our the services. retention continued growth public from enterprise through and and namely new higher first and our of customer and on

We expect full XXXX. be net $XX or beginning year $XX.X and XXXX the profitability substantial towards the to half compared a midpoint, non-GAAP non-GAAP when net XX% million to improvement progress represents in loss. fiscal loss second with At between million million, over $XX of this

we entirety non-GAAP cash on for basis QX be a in the should our flow a on will be revenue positive higher expect which Further, flow we the early as assuming reach end of basis cash guidance, in non-GAAP modest fiscal of XXXX. positive fiscal Assuming we as XXXX, XXXX. growth

to updates. Turning a few

following conferences EF the at XXXX. May City, May May Annual XX Consumer and York May in presenting in New the and be will York XX through Annual Global Technology, investor in Media Needham City, Hutton Conference We XX. Conference New The XXth

prepared up Operator, to call my now like the we remarks. for would concludes That questions. open

Operator

Steve Banta The first from Instructions] Asset with [Operator Banta Management. comes question

Stephen Banta

quarter. solid a on congrats And

looking maybe then or you material 'XX to anything want bit you flow a today's on in target little on if little whether Just a bit more to expect on 'XX? profitability your QX. comment announcement again And for can see in cash

Ryan Steelberg

All right. Thanks Thank joining call. you. for the

on of year-end different touched a on we kind guide on we're why think the I points our towards of few profitability. bullish

initiatives. As on we we effectively mentioned, the continue savings execute cost to very

savings the Just million to you achieved really going QX. total to the out if and million right? $XX identify we've able part pull $XX that is of the we perspective. give to in realized XXXX, That annualized And back some almost beginning in business of include you of been of savings that

those So have very the very, the of changed It's beneficial. radically profile efforts business. been

than cost cost Amazon on the revenue potentially we you despite synergies revenues savings. bookings you the touched of in for additional our both our of very improving savings paints if the future, less a sort which based of improvement with X% that the you just as those and of for bit, And our combination into with, move confidence XXXX. guide but in picture little bullish conservative we not take a the for contributing can for our positioning, even our understand combine XXXX, So and and in opportunity and further upon year, I'd why quarter, solid we're it sort say,

our a software-based question, you when ISV, the second AI-based about The this consulting release just I eyes and was, touched and from being group. Veritone think, an in on about full-fledged to hyperscalers morning expanding partners but press AWS, a vendor services of like

I applications who their mean, We -- critical development. but of sort across need only and our it's customers AI they component view need board, of like software market-leading for workshop for definitive the workflow to will very and -- this as the guidance, a many not continue buy at high services platform our development margins,

them table back think in of we've for and migration, to so revenue a some cloud of help this demand, a I lot goes looking the on opportunities. There's AI prepare And of their can data lot left rears. we

of this entirely great of of this provide. So introducing kind the who's very about offering. it's a advanced excited testament been we're sort kind about AWS, new and think excited new will we're of endeavor service what with And tier level starting sort that this I at a we're partner,

going do this contributions and and and be services business been for beyond. very, forward we The expect to expect a only conservative arm we we've comment would this our this consulting is major But of XXXX. year with I of very on bookings new XXXX, do part in thing XXXX in calendar

Operator

Alec The Sharps with ] Stifel. next [ question comes from

Robert Sharps

on I if mentioned agreement any with blanket million last DOJ you you the was had purchase updates surrounding the the guys $XX curious that guys call?

Ryan Steelberg

several We actively to and that and go quarters. that We're we're against but we won't under task that next paid be able over share specific BPA. prosecuting that. -- deals, servicing are exhaust hopeful to So the we orders hope executing aim against and

opportunity. various board that be clear, But say, us, preapproved the the DoD. of vehicle agencies, is and $XX an doing budget. accounts end a important the and already against to again, the Fed at work business And Fed not, across lot servicing million for that's both in with of I'd BPA We're and executing we and are Civ

Operator

over no to concludes would questions, closing any turn Seeing question-and-answer back Steelberg like further Instructions] Ryan the I remarks. for [Operator session. our this conference to

Ryan Steelberg

very itself for of forward. in excited applications AI talented and in driving the our a award-winning prospects very with pleased and technologies and leader market, the quarter as the first very, I'm and and base, very you. our Thank strong of with a market-leading year. clearly team about customer professionals diverse a established has performance us XXXX enterprise Veritone

AI to is well charge this workflows to as a critical efficiencies and and business. every deployed and look at foundational and lead for driving being nearly really integrated its And possible. on accelerate we is what to Veritone technology humanly way continue

time your and speaking for look today, we you in few Thank to forward months. a with you

Operator

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

now disconnect. You may

Veritone (VERI) 7 May 242024 Q1 Earnings call transcript