Earnings call transcript Q4 2022

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Operator

Good afternoon and welcome to the Getty Images Fourth Quarter and Full Year 2022 Earnings Conference Call. Today's call is being recorded.

We have allocated 1 hour for prepared remarks and Q&A.

At this time, I'd like to turn the conference over to Steven Kanner, Vice President of Investor Relations and Treasury at Getty Images. Thank you.

begin. may You

Steven Kanner

welcome full and Getty fourth Images Good XXXX to earnings and year call. quarter afternoon the

Joining me on Officer; today's call are Craig Leyden, Financial and Peters, Chief Officer. Jen Chief Executive

that cause within uncertainties the and filings and release statements these risks, are various SEC. from of we highlighted press Investor differ to forward-looking would These materially today's of Before can these Reform to the assumptions Securities risks, section our on our assumptions release meaning to Relations in statements. press will Links are found XXXX. and we filings and statements remind uncertainties with These the begin, website today's be statements you of actual at forward-looking results in include this our Litigation the investors.getimages.com. like could Act Private which call to subject

and we use performance as certain underlying EBITDA, CapEx in During and the description, the also call After our results for questions. GAAP they be rationale the can We each our flow. using measure adjusted limitations remarks, our our operational in as represent financial we measures our as filings margin, believe discussions financial Reconciliations adjusted we'll and adjusted open to EBITDA found of non-GAAP of with prepared well will call SEC. business. for your EBITDA less some of non-GAAP information, cash including our today, reference measures free non-GAAP

Craig will I call With that, Executive to hand the Peters. Chief over our Officer,

Craig Peters

full performance progress you full and and Quarter financial address Images fourth Earnings XXXX takes I Fourth and business through thanks Full joining and the XXXX Steven quarter to Call. Getty Jen the results Thanks, Year will outlook. before for everyone year

environment challenging year. particularly half context on the to and of second a getting we on start macroeconomic want images. as year, move I the XXXX was its through evolving the impacts with

to our currencies I As strengthening negatively U.S. like relative the results. other last businesses, dollar foreign quarter, said impacted global

in being some given business with during slowdown this year exercise parts a experienced as pronounced agency our parts of and our most certain the also We conditions, caution businesses in macroeconomic customers. of the Europe

exceeded X.X%. the revenue, growth of fiscal million $XXX growth of Getty For year-on-year and X.X% year, currency-neutral XXXX representing Images in

finished of reported adjusted decline and public the entity. currency-neutral of took towards the full and reflects Our of our heavily we as costs shy million This on $XXX just year. costs weighted for year-on-year growth EBITDA X.X% dollar as U.S. a new are X.X% a

over Images currency-neutral purchasing While in we our experienced Getty by slowing We $XXX,XXX. We grew more our subscription each annual grew year, customers the X% by growth generated year-on-year XX,XXX of year-on-year. XXXX. over quarter to than customers

paid grew $XX than downloads million. to more X% Our

Our retention subscribers revenue for of excess annual continued in rates our XXX%.

to difficult XXX increasingly unique video our metrics incredibly that committed. metrics the offering to the assets. Getty to exclusive and more from attachment strength grow these our is our value deliver content to high-quality represented These to million offering of Images our of number the customers period. more rate of and authentic uniqueness customers using within in customers video as creativity how with continue partnerships. articulate It those We customer the the and is visual our speak continue than more expertise, At we core born is

the Cup U.S. us Viacom, past is content. their passing. resigning the the choose is like in demonstrated Events it clearly over context. Penske It amazing agreements represent or all Kyodo year enabling believe I and comprehensive to like like our events Events Media, But the Getty passing. of war election, BBC, partner by in with Ukraine. organizations like, Organizations with and Queen's Image. the the archives that and clearly the News to and signing Winter Jubilee Palais Platinum by unparalleled World coverage demonstrated Olympics world midterm the Events

Images so clearly X closely team. our partners content we than Organizations believe rights NBA, York awards NASCAR XX British Photo like, franchise FIFA, And Academy and Week, the more the photographer Met [indiscernible] the Awards, Awards, Major bestowed League the and strength of XXth never with World to Festival, International on Gala to The where test, events, Sundance received by the XXXX. sponsors. PGA Film as NHL, I One, is IOC, their like Baseball, in honors entrust name Press Film Today the the Organizations and unique Formula and is Tour, Film the the work It demonstrated strong. access. the our of New been who serve has Fashion Grammy Toronto official with Getty us anniversary. just

efficiency, a of with in legal XXXX, In Unsplash. We to XXXX, the plus, subscription an with invested offered launched first unlimited budget close Brita base annual remove protections iStock all visual creative subscription subscription, optimize subscription. partnered to a our tool speed bring GPS the launched help customers. state-of-the-art expand right and from I backed technical We and for We needs with was editing by our button barriers AI interactive reducing paid also an data the by with and access visual for customers content Unsplash of expanded to images to services customers as visuals At imagery capabilities unique Insights, touch and their choose guidance. release very to to could part happy backgrounds of and providing customers.

our custom network create We to Getty offering, of of our exclusive and photographers continue to Images customers. of the project-specific videographers' content the leveraging meet to cost-effective broaden and needs global customized, content reach specific

to countercyclical, our operating like to macro the conditions be many just see this neutral growth offerings. their immune are year-on-year can XX% business metrics and currency of our continue creative remain us driving closing, of nearly we took opportunity to companies, content for produce but efficiently as Mars our in more and we enhance of customers our XXXX. many custom offerings In allowing overall help not positive that few and offering, IHG global advantage are a companies

company to in we compares challenged continue revenue moderate more growth result, public of the costs. FX a with for plan first XXXX, addition the half As and by

expanding we the As our monetization driving and company, further on business, video are the Unsplash, consumption corporate a opportunities. growing seizing geographic of laser-focused

track grateful Consistent I to of we'll with of across our be and strategies. teams excited and year important our for the am delivery base in their prudent XXth in efficient cost managing areas leadership. company record, for is our these enter its all work

you hand the through who to that, will more With I'll the take over financials. detailed call Jen,

Jennifer Leyden

quarter XXXX offering. and the our into is Getty to operational in the Our resiliency have of the the Images performance we year and built business fourth the full to testament a strength

reviewing I'll key press metrics Please operating that release KPIs the just underpin today of off on that financial by some information or our start performance. a but highlight contains of all KPIs I'll note today's the further XXXX, ended December PEG's here to All with are comparison KPI December metrics months XX, TTM to expand period few TTM comments. period trailing ended XX, as XXXX. of on the or comparable XX

X call, QX and customer discussed we beginning to our made those with changes go-forward in data our As earnings results, QX reporting.

these changes. changes. subscribers highlight a reporting will our retention point I X KPI the that the on annual by annual changes to impacted these KPIs rate, total QX metrics business, absent will X those note I and impact healthy, resilient even revenue subscriber of active

presence. from We and growth our consistently over increase deliver our is XXXX. to customer authentic and total $XXX,XXX, amplify their to tell to to visual see of quality an the visual growth produce ability This in their customers to engagement our fueled by with highest content purchasing continue need X.X% $XXX,XXX that and customers stories rising demand

annual are company products of subscribers' Absent duration our active subscription. in grew includes which of of impressive XX%. XX% with first annual on over changes, one the This XXXX. We our Unsplash meaningfully $XXX,XXX or subscription this of subscribers increase from reporting which subscription for the and our mix QX customers of XX,XXX, now growing customer history. growth This XX revenue annual helps have increase months business been points would from longer the an time annual to our data approximately metric still plus the surpassed a products XX% to our number and in also an in

For our COVID impact XXXX XXXX, compare at of year-on-year subscription customers in revenue the on with we from those products, in XXXX. from a XXX.X% annual XXX.X% down retained benefiting

reporting I still mentioned our X.X% be earlier, and million, $XX to very growth our increased revenue editorial customer creative. by XX.X%. rate would retention healthy changes with data both We a the across paid approximately Excluding download volume

back Looking to every have XXXX. back consistently at way we seen dating impacted our periods, our history grew pre-COVID at the single all year downloads paid in

QX which This also was And growth, measures XX.X% downloaded who video rising from XX.X% our rate 'XX. video. to attachment next, customers the downloading of our in in percentage

as trajectory to expect key continue As a pillars metric Craig growth is on of move we mentioned, our to growth video see this through XXXX. be one and we

strength performance of now anchored of Turning course, is financial those the KPIs. to which, our by

dollar a currencies, Foreign the U.S. currency significant in neutral reported the meaningful driving euro difference our performance. relative remains stronger headwind the a to a our and quarter between foreign in and pound, fourth currency particular with

as on them headwind hold we the expect is I'll XXXX. foreign more remain year to on a our the the in when to the as see into where steady move in comparisons XXXX, we of today, we'd rates Assuming back half relatively a currency first with guidance. expand we most the impact XXXX on business our touch FX of second of this half half bit pronounced improving

due $XXX.X million, in on a part down to points the foreign XXX basis in was Total of large revenue currency reported year-on-year fourth basis X.X% headwinds. quarter

and Included impact, driven Excluding major all a geographies business, business. in year. for by growth solid in certain growth of the points basis that by of performance fourth quarter, are increased results impacts basis in approximately reduced our in revenue subscription full across of points FX revenue editorial revenue and X.X% our the the XXX quarter the by XX these which timing growth our in recognition

as QX XXXX. revenues from our XX.X% of up a XX.X% QX, revenue to in subscription annual in Our grew total percentage of

in subscription in growth the our up our and driving For revenue XX.X%; growth subscriptions, subscription rose durability games high revenue this business, of in our bolsters retention and of to financial iStock XXXX predictability. better further XXXX recurring annual revenue the finish full continued revenue [indiscernible] to access our XX%, with from premium model, year

we we our delivered Unsplash strong corporate, including As performance, respectively. X.X% XXXX annual XX.X% was subscription X.X% a currency-neutral our Within and subscriptions, in by business video, Creative, content, a by on have $XXX.X iStock The in a and beyond, in plenty expansion we annual plus. of business la growth within that continue annual those recent carte or strength subscription currency-neutral our our geographic of was e-commerce revenue basis, subscription still product newest on X.X% softer results the million, down custom look our offset focus and our led premium access rising offerings. subscription. at to and Creative to as launch grow runway

some business due impact level deceleration revenue macro agency in within largely fits creative. First, our which

term, actively pressure carte. us subscription Second, in higher into as expect some value. greater continued committed our believe the it Longest moved to will a revenue customers term, lifetime the drive contraction longer-term can near more which we see provides stream ARPU products, la healthier, revenue in in with customer long we'd

Our earlier, of custom Craig growth offering which excited we content revenue XX.X% an are XX.X% on generating be continues neutral. to solutions or about, touched very currency

the relatively days the to with calendar offering. in and reported we customers QX, unique up a increasingly as elections. as This basis what or benefited benefits currency the an room even new editorial as custom events, in such this editorial still grew year-on-year driven sports early X.X% strong grow to are major of performance million a impact by from FIFA which to and and up our U.S. was benefited line continue see revenue World a Editorial neutral. drive extraordinary content the XX.X% which year on our verticals coverage $XX.X refer with result midterm and on of top Cup to We

due with percentage neutral in QX slightly less Revenue mix. XX.X% down largely all Americas, year-on-year in of of XX.X% X.X% our QX the the in growth just a was cost geographies XX.X% APAC. X.X% revenue in grew to in as revenue currency major across from on 'XX and basis product a Revenue QX, EMEA of in

incremental million and our with rate by quarter, XX.X% public from offsetting Our lower was to last than expense. return total to increasing costs markets $XX.X the SG&A revenue up of driven this our marketing $X.X related This expense year. occupancy more million is XX.X% to expense of largely

compensation our cloud XX.X% For slightly year, driven incremental XX% company some cloud-based to from tied costs last to $X of million increased with by by offsetting growth, readiness revenues, lower on and the public expenses are primarily in and full year, expense. and up savings spend marketing occupancy SG&A IT which

X.X% down $X.X adjusted Adjusted EBITDA the for currency neutral million or was $XX.X year-over-year. million quarter, EBITDA essentially a basis, was On flat.

down higher top with expense. due FX was a QX EBITDA on to FX of and more the in offset adjusted 'XX impact our from margin limited the primarily SG&A to XX.X% Our XX.X%, line expenses

or of this our of the For EBITDA impact incremental down XXXX, reported X.X%, is adjusted a of adjusted operating revenue, EBITDA comes the highlighting was and FX, XX.X% and $XXX.X the health up year million absent X.X% with business. company, that of expense margin straight stability public north with from Even fourth the XX%. as

CapEx was to year $XX.X X.X% CapEx in year-over-year. was revenue X.X% percentage QX, $XXX,XXX period. a million as compared prior in up the of

For of million or revenue XXXX. revenue, in up $XX.X or from year, was million X.X% the CapEx of full X.X% $XX.X

year-over-year, $X.X or QX, to on We X% Adjusted XX% CapEx of in margin continue EBITDA from 'XX. a EBITDA QX expected of less decrease range of XX.X% basis. million to down less revenue. XX.X% paying a CapEx within down was currency-neutral was in X.X% X% Adjusted CapEx million, representing $XX.X our

EBITDA CapEx recorded an the full of was increase $XXX.X and a For year, neutral. adjusted less decrease X.X% million, currency X.X% of

Free compared capital during flows million cash adjustments to the by is QX million related expense driven was interest cash was cash $XX.X in lower paid of in QX and quarter. of QX and of in XXXX. $X.X cash Free decline flow to EBITDA The in flow time. class million taxes net working stated fourth $XX.X cash million largely and $XX.X

the balance a quarter year, with million full in $XX.X cash, from million We now finished cash million free flow from our $XX $XXX.X to we to And the compared and of $XXX.X sheet the of fourth sheet. $XX of balance million generated turning For [indiscernible]. quarter third up XXXX. million in decrease QX

the in paydown balance debt in pay decrease our million in cash total debt That XX, our debt down XXXX, significant at fourth drove million our of X.X% $XXX.X repayment $X.X That quarter. loan of of course, a XXXX. improvement reflects X.Xx end the earlier of including this down to USD was on year-over-year adjusted as year, leverage December a which EBITDA net to ratio from term

$XX interest XX, As our an included of $XXX.X senior to term loan of with of of term revolver we notes with million X.XX%. X.XX% This XXX have undrawn. exchange applicable December rate million loan USD that using XX, million rates on year converted And $X.XX had million debt of of total outstanding billion. of applicable an continues as rate December $XXX X.XX%. remain we also an

into and As our agreements, the we effects balance consideration cash of XX, taking is exchange in our within interest remain interest foreign rate interest our interest and of estimated environment our to rate said, subject which expense course, applicable the $XXX in December rates debt on at interest expense swap $XXX the annualized time million that filings. annual That of outlined detail SEC rate changes more million. of

and position, our XXXX, solid parts in our financial rooted well although to removed of growth. due into a head of to we a ended sum obligations We the and balance our business, as billion continue in operating market in $X.X that the year public are To returned macroeconomic up in progress from we we positioned we to impact. be We sheet metrics slowdown in experienced strong XXXX.

guidance FX currency-neutral is gears to X% to of and an Embedded on growth We impact guidance. XXXX financial to of year-over-year representing to within continued $XXX revenues results. Switching million, X.X% our X.X%. adverse of that anticipate million growth of $XXX assumption of X% our

FX $X.X heavily the quarter current million. million the with net weighted on half of headwinds hold, estimated the to first for Specifically, approximately the about full we've year $XX top FX of at first XXXX, line of $X in assuming that approximately rates an headwind million

we FX XXXX, bulk that XXXX, impact follow second of in in second the adverse impact fourth benefiting the expect we'd the the the of of FX of tailwind Given a to half to the primarily quarter. half shift

of of impact year, Included X.X% $X first as in expect approximately headwind to currency to foreign the of similar including approximate million, the X.X% for first X.X% to currency, neutral. adverse in and quarter. the $X.X an fiscal million EBITDA $X million cadence up with EBITDA We a half in $XXX expectation adjusted which million is $XXX expected about adjusted XXXX, up X.X% our a in of year-on-year million

Again, the note, benefiting XXXX, fourth Please turning of operating half litigation guidance tailwind costs back macroeconomic company. largely anticipated incremental and the impact into costs a are public pressures, embedded as this the quarter. in a within to of ongoing to related tied

leadership economic to growth, in through will the continue confident feel we our closely While business to monitor drive broader our performance ability we impact. as team navigate

prudent fiscally remain nimble, wisely. deploying our will responsible, We and capital

deleverage. further balance prioritize optimization sheet to continue and will We

the that, with up operator, we'd And open questions. for love to call

Operator

you. Thank

We question Company. Zgutowicz with session. question-and-answer [Operator is a Benchmark from conducting first be our will Instructions] now And Mark

Mark Zgutowicz

is a down about bigger transition that subscription. Jen business I we just Craig. revenue carte quarter, for la micro were perhaps look if as look on carte would we like? modestly get organically trying at we growth, to you're to is one up been year-over-year, seeing Jen, creative fourth picture there X.X% hold la you as your the a in then have your those putting numbers one subscription a that creative how for from 'XX. think weight I and If has a growth to optical much which is decline which organic move static, obviously a here growth I'm sense to what of in

Jennifer Leyden

me want get jump Or your there. you just with to question? to second you want Did do in

Mark Zgutowicz

good. little here. my save bit but question a second It's maybe Sure. I'll more or

Jennifer Leyden

Yes.

correctly. sure to I'm your question understanding So I just want make

I Am I impact So of on la of a quantify the the trying that understanding shifting you're that some performance. to think correctly? creative carte

Mark Zgutowicz

of la growth of to that perhaps an guess yes. level, weight a high maybe your relative in lighter the is sort of carte inflection to just where And when get there's I sense subscription leading trying more business a Yes, growth? your

Jennifer Leyden

Got it.

Okay.

that different me question. and tackle few ways the Let a you for thank

frame the year, a certainly creative, headwind that of more happening things. performance. macro That the driven couple in we'd some some pronounced of of there's things just that So side be as softness up is by in creative softness, as business on well both within seeing I think the with some business. that of in the agency to going is space the That half where we second there e-commerce see creative side our the of are to

Now pointing sitting have and, la some creative I within a Where also given not revenue transition think we bit. When to is quoted We've think within will, decline does that, to subscription that that we that think space. goal going where RF I a be. carte you're what does should if go? se it's -- go for on per a you for

we think subscriptions now. so get to place from up We roughly can where our XX% make of a XX% revenues, up

a RF, So solutions from there's to still from committed happen, some carte or solutions. la migration non-committed right, into

expect through soon of that. think I So we're see so some migration; that going to we should

continues other imagine, can massive The new of customers right? amounts starts subscription. to this this new bigger that coming you as not customer piece into every business, drive So business is a on

there's that apart new from subscription. business and la all the to shift a into pull carte always a be whether going pressure customers, of So push RF from bit little a be with agency

So, la subscription. I still carte have going on shift of think we to from that some a

were question. in few there. different your There answers Hopefully, answered that a

Mark Zgutowicz

AI from Craig, in increasingly to Appreciate you be That's something for. with the news super IP your And I benefit. content AI intend you you from cover your how the Jen. used signed how AI, on just side, both the been to and any of And flip purposing to that on that here a then Thanks, certainly partnership there. has top sort Yes. BRIA. angles wanted models protect the of helpful. thoughts will that of exclusive existing use obviously,

Craig Peters

questions for Mark, the first. AI thanks, poll, the lost And I Well, question. had I the

more You for on I'd I'm to address that. you I bit thought Look, few a holistically. just put come I'm them topic up going dollars. and the a AI after

been months, First, I the Unsplash Getty really about and the is really years an while these models something closely, note both that think think many, for this really many progress quite it's tracking generative generation over of that the across dimensions. models important potential recent X made now. AI to models has Images We have

legal vision dimension, our assets that space. expresses as first to these services, other see the models, Stability for opportunity assets. the action a Images new companies belief license We AI revenue to we that cloud-based valuable those license unique applications, and generative Getty etcetera. that imagery strong represent is extends data far believe need with So our that beyond and computer And

So that's the dimension. first

those responsibly, degree ever-expanding where another improve see is what fee of limitations there. dimension a they have done some general creative against general second an creative images existing are to has and threaten form emergence we've already to will developed which continuing universe yet second. the imagery in real of successfully okay? literally Images is of But there very speak imagery our used source and Models and bit The I'll right? always of more and competed models add business, out when is to what essentially to we models current a of trillions in unlimited that, Getty Since an digital, And the Energy. to

And do just been a that XXth is enabler content. picture. this It done is we contemporary in by response. creates we XX XXth believe always technology focus our authentic. supply anniversary are that to its and that short This It's we years. we've And [indiscernible] and it's still content outcomes is built not an concepts. replacement. successfully corporative understanding has there for on not core continue human this of content believe a the is providing that It's will content a Today at and on that and drive

whole, So models. general how these library we up feel and relative good our stands it about very a content to on

how of the is and and content. The third such offer integrate models whether, question we and when dimension

customers. we to work Images, Getty At value deliver the our to of following points

the all to we company. their to because of probably the will try to this We multiple our hear it try for over future about We in efficiency and quality our in risk. time try improve work. elevate time guys the talk me budget their and I customers calls with You reduce

generative these continue potential risk legal And capabilities value. perspective, actions. decision-making going regulatory is a points to copyright, is with against what from and respect to evaluate of it and XX From images. around random significant a generate takes hand, on distorted X quality carry fingers as seconds to In currently these standpoint, time tax, training X there This outputs random the are We low-resolution such cases, on. anomalies etcetera. data bases, many current a risks

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durable So and customers trusted current we request for short falls solution, form types delivering these imagery of consume. to a reasons our what the customer it be continue of consumer and and

a needs. this it as their removal. seamlessly background and customers the highest as So the refine quality to like AI the the providing our the remarks, been to prepared and focused connects And we've about capabilities to with result, imagery such partnership. talked is exact then producing That's that on in end capabilities audiences BRIA offering we

resolved, models and platform. efficiency. the we enhance choose tools generative other customers their our issues we offer computer-enabled on may evolve to content content to And As our creativity with consistent may and that choose accept generative

it the But customers. landscape as to evolve So we needs our will substantively of meet evolves. the needs

money them elevate mitigate risk. You time, and creative to them needs need to their their It save outcomes. save

new of we about that kind third think dimension offering that's through services. how So

for our imagery. business. needs respect as can Getty our to layer lastly, editorial nefarious This of editorial to And truth source with Images then the fourth respect -- to a with continue stand be And purposes. is technology used

the continuing and focused that to partners, And source. so really in that, trusted us the technology invest we're makes processes a do the to the people, on

standpoint but the a thinking that think a dimensions think grow about about services terms page in our to an AI, it's it it answer how it the from X revenue kind opportunity you long-winded we and streams, about and think of we're So hopefully, how we existing as gives our relative we -- we and for deep how revenue really integrity that technologies. it editorial product how about stream, think to new through of

Operator

with from question Nollen Tim next Macquarie. Our is

Tim Nollen

couple I've questions say. I of your related got interrelated a questions should KPIs questions, about

that. rise, count customer works. that quarter-over-quarter. of customers? the just If revenue takes looks it affected that? up had maybe down a impact nicely have especially then customers some it terms not your that in been that's nice count, are like not like the how fully Unsplash is you very Maybe in macro but into factoring it's -- yet, was it also, to your It maybe you on your of use is could clear looks not might lower get growth looks year-over-year. just it we annual subscriber matter in And attachment maybe that like active the video time those metric also it was build It Can rate. assume ARPU, on if So I'm nice Or layering there some cost? if you revenue you just clarify some help that yet

Craig Peters

you Jen, then top. the and can this anything take I'll over layer Sure. on

macro a there, seeing positive purchasing aggressively. really of trade-off is as certain impact, you're result would of say we we and geographies Tim, we And in side the parts slight But a some are certain on within it's account mentioned, number more of but to kind pushing bigger of off we that drive So business. seeing very the things, video. net pushing do the attachment I thing a and as subside of annual aggressively. trade kind that subscription annual to our respect comments, of subscription launched we are We're the level But doesn't minimal. last With not material this into subs, year. at in not October layer my growth that see to annual of more Unsplash point. that it there. things, to annual business layers of sub is sub its do overall. the into video back rate on We we're only figure growth. the It's overly even in impact that Again,

flow to it solid into what are we there through is while So a seeing bookings really seeing bookings and those takes revenue. you're recognized for

include been side the have the subscriptions, annual. smaller of that transition smaller subscriptions that introducing include e-commerce subscriptions customers things on to smaller We video,

maybe been that to business. but quite next So and the we ARPU front months. it highly XX subscriptions the of isn't some then it's additive And through what the these up it's we of kind historically of flow over book again,

that anything impact you So to expect this coming into of some is that see Jen, add? we year. would the that

Jennifer Leyden

No.

Operator

question next Josey Citi. from with is Our Ron

Ron Josey

content. a a have here the what -- talk far the might the And I question needs of that about off on some implementing little to as beyond licensing about but I'm on maybe, just we're to happen talked X bit And license -- starting base are following more topic and two. things. about need to about the opportunity very that then, new comments or in AI softness model? talk go your seeing assuming start agency days the to little in just dimensions. you that talked us side e-commerce of we companies Where talk for Craig, Jen, revenue you or early you Can

as in the comps we COVID rates retention, year, be I but little of wanted I would think retention hear insights about declined to current bit a side we as the and on relates on And think trends think helpful. quarter the cohort forward heard business. more earlier any I corporate to that revenue going the maybe it

Craig Peters

You got it.

first can and then second. So Jen, you I'll the take the take

systems. or assets again, licensing, search and things have them the as our possess unique. we terms with revenue are pay of people generative that the I on fundamentally believe assets stability into we that think of the other quite think for should we they And litigation AI under apply So we models in side

licensing those for us and been that have approach have have doing that to conversation. some chosen We

flows that vehicles. kind space with But at the have is potential highly simply the up board. it's This vision licensing. The the on moving, at reached And creative creation for the we computer reflect and I metadata. to for has technologies And this than this generative has of platforms and when where agreements. imagery themselves mean, license with train the application to certain need do right? We image look across do of ongoing contemporary and any editing of and the world to relevant significant of broader it's look we the a massive. self-driving much these technology corpus AI, with

think how and things time. time. about So fashion change changes like how Cityscapes over over technology Think landscapes time. over changes Think how simple about about

So our again, been is Ron? a terms data trying what are focused least a activities. around ultimately, the kind the Does that stream much this given for new parameters we then establish historically out of recent applying larger clear to on need make to that of to it's stream and revenue sense, business, or create license field revenue in than at into

Ron Josey

It does. it. Appreciate Craig.

Craig Peters

All right. up Jen, do you want to other? the pick

Jennifer Leyden

Yes, I'll pop in.

an another So continues be of really in to That on had opportunity year-on-year double-digit corporate space. growth actually strong XXXX. We was year for the us corporate, us. in for corporate

we by finished to down exact. definitely mentioning be XXXX one under retention, revenue think We dipped We in that, XXXX drive driven a XX% rate rate XXX%. up it's XXX.X% space impact. to finish So corporate step growth of saw over -- relatively with that but that about year-on-year. COVID harder to levers. think to the strong our just purely the being so jump just we in respect The back can speaking, I With double-digit XXX%, growth you're into even

a XXXX, XXX% around COVID a where we seen plus that jump That off XXX%. that benefit That would That coming that So this plus. the is have of and is to range. to year-on-year this where XXX% of to see to impacted we historically, compare XXXX we be XXXX said, XXXX. rate XX% average finished expect continue is

Ron Josey

corporate Jen. And again answers those on along for or here. the on things lines. helpful, revenue growing insights thanks And That's digits, any percentage double then of

Jennifer Leyden

are You welcome.

of our -- up making agency now makes well our of corporate north revenue XX% we yes, So under revenue. with of our XX% the up

Operator

Feldman Our Brett from next Goldman is question Sachs. with

Brett Feldman

insight one to with getting your guidance first into the little just The for a do has more year.

is think of that one to your the of driven the range? in really year, So I'm create one. the curious, Or high put then range where for low another exclusively EBITDA, range? of would X.X% have the after that between revenue we about you the further And the that thinking on P&L that And down I something then do growth. the would is way the there Or you remainder range revenue? low maybe end of would the be I that the else have question by and we to follow-up end persist the to variability? current swing more conditions the this get were look the and factors for question at about operating How currency-neutral guidance if high a X.X% basis,

Craig Peters

do to that? you want Jen, take

Jennifer Leyden

Yes.

XX%. X% end think based for that through we that When assumption cost stop see business have impact maintain get there of of here some our right? XX% macroeconomic end less good holds The is pressures. sustained macroeconomic, of maintaining but XX%. then entirely margins I assume to point to slightly X%, north minus, continuation off of some really full we and within maintains can or of embedded So product XX%, roll X% what So X% to I macroeconomic of be That we the low think revenue of we worsening business revenue on starting is EBITDA revenue continuing X% in assumed the around EBITDA, higher execute. our would guidance that it this starting plus this mix. to is but can waver that to

holding story EBITDA So line really, for that top it's a in to terms through revenue us margin. of

deliver how watch will spending mean a We Craig we remarks, the prepared right? performance. will, I, it's we needs that history certainly it's to line we that, EBITDA right? We pull on, and what spending and back whole we and team, business have top executive say this performance, this we do In will certainly will our proven when and

line monitor performance. will We top

will with as pretty but ranges. we We spend feel these moderate comfortable needed

Brett Feldman

thinking assets of might delevering. attractive much prices. some how Then other towards it may striving prioritizing year? I there terms excess priority the us to right and be I your now. in profile this color. the you that you're appreciate allocation pretty a just towards leverage Is imagine net got just all of be remind about question is, just really that don't how had I are know what capital available I you're can at

Craig Peters

debt quick terms that's So we're with capital? on pick like of I a targeting bit can it. to where and there's If X.Xx we here We I obviously, we're will play we a down about even the open -- feel evaluate to question downside opportunities at. a where somewhere leverage we are the And point to going any there to reopened opportunities around forward because to in will look pay make of present they one scenarios, Xx get for basis if business, sense that that do we'll look good do them. what themselves, can't that target. are to If in speak to we there offense

-- highly and to operating focused flexibility might but but in ignore on the are ultimately, we over that occur So down create And years. coming debt more paying going in opportunities the not to we're -- additional business. quarters

Operator

for There at comment. are to closing the would this back no further floor I management like time. turn to over questions

Craig Peters

Mila. Thanks, Great.

reiterate the champagne listening out appreciate over it, anniversary do all And taking some you, thank time I employees into to the and pop of days us. really XXth want it. to years. that your We more to to next are in, for this got just spend if And happy so time everybody, just year for the you got we busy with XX

Thanks, So everybody. it. get excited for

Operator

teleconference. today's concludes This

you lines your this You for Thank at may your disconnect time. participation.

Getty Images (GETY) 13 Mar 232022 Q4 Earnings call transcript