Greetings. Welcome to the CXAI third quarter 2025 earnings call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. If you would like to ask a question, please click on the Ask Question box on the left side of your screen, type in your question, and hit Submit. As a reminder, this conference call is being recorded. Now, I would like to turn the call over to your host, Khurram Sheikh, Chairman and CEO of CXAI. Please go ahead. Thank you, Operator. Good afternoon, everyone, and thank you for joining us. I'm Khurram Sheikh, Chairman and CEO of CXApp Inc., trading on NASDAQ under the symbol CXAI, pronounced CXAI. Also joining me on this call is our CFO, Joy Mbanugo, and before we begin, please note our forward-looking statements as outlined in our Safe Harbor statements as outlined in our disclosures. We're also submitting our 10-Q, which will be filed with the SEC, and you'll also see a press release that just got launched out there, so let me talk about CXAI. People ask me the question, "What does CXAI actually do?" At CXAI, we are defining the intelligent experience layer for the modern enterprise. Our platform blends agentic AI, autonomous context-aware agents with spatial intelligence that understands how people actually use the workplace. This combination turns data into decisioning and routine actions into automation. We're not just another AI platform. We're the bridge between billions in corporate AI investment and the actual human experience of work. When people ask, "What does CXAI actually do?" here's my answer. We transform office buildings, campuses, and digital workspaces into living, learning, and adaptive environments, environments that think and act with you. We now operate in 200-plus cities across 50 countries, serving over a million users. And all of those users are using us in a very secure manner across all their campus environments, integrating all the enterprise functions into one application. I'm also proud of the great team we have. We have around 65 fellow CXAI employees who are all based in multiple offices globally in the Bay Area, where our headquarters is, in Toronto, Canada, and in Manila. And more than 70% of them are in R&D. It's a very technology-focused company, and this tells you that our DNA is an innovation company. So let's talk about, technology-wise, what does this entail? And we've been the leader in the first mobile app for this application of workplace experience. We've been cloud-first, and now we're AI-native in terms of this deployment that we're embarking on with CXAI 1.0 going to CXAI 2.0. And I've shared these slides in the past, but I want to just reinforce the fact that we're building this as a platform. It's not a one-off application. The CXAI apps go all the way from your mobile device all the way to a kiosk or even larger. We'll talk about that today. Also, be multi-OS and be able to be adaptive. Our BTS behind the scenes is our rule engine, our brains behind the CXAI system that allows enterprise owners and users to control and manage the content as well as provide access control and create all the great things that will enable productivity at the workplace. I'm going to show you some great examples of that, and then finally, CXAI View is our data analytics and ingestion engine that allows you to create your own dashboard, create your own analytics, and create insights and the outcomes that really matter at the end of the day, and all of this is hosted on the cloud. We're partnered with Google, as you know, but we also enable things on AWS and Azure, so we're multi-cloud, we're multi-application across the board, and we're building this as a platform for scale. I want to talk about the market and what's happening within the market today and the market trends. This is a study done by McKinsey, and it's very enlightening to see that across the Fortune 500, where we participate, 88% of organizations say when they use AI, they only don't scale it to the enterprise level. Although AI is being used by more than a large percentage of enterprises, they're not using it at scale. They have the tools, but not the orchestration. That's where CXAI comes in. CXAI solves that execution gap by unifying workflows, analytics, and human experience into a single agentic layer. It's what we call agentic orchestration, turning disconnected tools into intelligent systems that anticipate and act. Think of a global bank with 40 offices worldwide. They already have Teams, Zoom, ServiceNow, and multiple space management tools, but no unified experience. Our agentic engine stitches those environments together so that when a team lead books a hybrid meeting in New York, the system automatically coordinates rooms, catering, visitor access, and AV support across different time zones. It's invisible, autonomous, and measurable. Along with that, you've seen what's happening in the environment. You see a lot of CEOs are mandating return to office and AI tool adoption, but employees are burned out and disengaged. That's the leadership expectation versus workflow reality divide. As executives everywhere are pushing return to office mandates, employees crave flexibility. The result is policy friction. CXAI bridges that mandate to execution gap. For a major technology client in Silicon Valley, we used our platform to launch the new campus headquarters, right-size their campus designs and footprint, allowing for a colleague booking feature to allow selecting where and who they want to spend their day and providing an automated check-in process for their users via their internal badging system. This improved on-site attendance satisfaction scores as well as created higher employee engagement. That's productivity, collaboration, and sustainability altogether. That's the beauty of CXAI. We enable all of these great capabilities, and the outcomes are coming very clear now with our clients. And this is not us just talking about it. And the world is taking notice. This quarter, Gartner named CXAI as a representative vendor in the 2025 market guide for workplace experience applications. A category we helped define, by the way. We've been working with them for the last two years, educating them on the benefits of AI and the benefits of our capability to enable this transformation. It's a validation that our combination of agentic AI and spatial intelligence isn't just visionary. It's essential to the future of work, and we've been very happy to see this guide come out. There's also more work coming out from Gartner and other analysts. As we said in our first calls with you guys, this is going to be a new category called employee experiences, and I think the market is headed in that direction. This last quarter, we were super busy also with lots of events and lots of things happening in the market. We amplified our ecosystem presence at the San Francisco Tech Week. We'll talk about that in a bit here. We were at Worktech at the Meta headquarters in Menlo Park and Palo Alto area on October 9th, and then we also attended the CoreNet Global Summit in Anaheim. Across these events, one theme was constant. AI in the workplace is no longer a pilot. It is a board-level imperative. So it's super important to recognize that as we talk to our ecosystem partners, our customers, our stakeholders, all of them are pretty clear that the AI bandwagon is everybody's got to be on it, and it's going to change the way we work. So we are super excited about the events we were. There were a lot of great new clients that came to us. Our existing clients were there. We hosted a number of networking events, and we discussed and debated, and the reality is everybody wants our Agentic AI solution, and they want it faster. Another strategic collaboration that we announced this week was our collaboration with a really cool company called Noro. We are thrilled about our collaboration with Noro. It's a pioneer in immersive telepresence. Together, we're merging CXAI's autonomous AI engine with Noro's life-size presence portals. Imagine walking up to a wall in New York and speaking naturally face-to-face with a colleague in London, with CXAI's agentic AI automatically handling context, environment, and collaboration tools behind the scenes. That's how we're turning presence into intelligence. For most of our global customers, this partnership will allow hybrid project teams to occupy, I mean, co-occupy in common shared spaces in real time, seeing body language, maintaining eye contact, and sharing digital work streams, all orchestrated by our agentic AI. That's how CXAI makes distance disappear in hybrid work. And we're super excited about it. We're going to have the first units being installed in our offices. Noro also has locations already deployed in London, and New York, and in Atlanta, and Chicago. And we're going to be taking to our clients. We're putting the roadmap together in terms of the combined offering. It'll be available to clients beginning in Q1, but we're doing a lot of internal testing right now. So super excited by this opportunity, and Tommaso is a great partner, and I've known him for a while and super happy that we're working together now. So let me talk about other highlights on the product side. Innovation continues to define CXAI's edge. Our CXAI 1.0 platform saw major performance gains this quarter, cutting space booking time by over 50%, enhancing colleague visibility through dynamic maps, delivering a cleaner, faster UI. This was really important because a lot of our clients this last quarter were starting their RTO plans again, were re-engaging with their employees, and they wanted something slicker, faster, and our team delivered. For example, one global client used the enhanced booking engine to manage more than 10,000-plus dates across five campuses. They reported a significant% drop in scheduling conflicts in the order of 40% or so, and a double-digit increase in employee satisfaction with hybrid coordination. That's another example where, as our solution, as you can see the colleague booking, where you can see the screens and the people and their images and also look at the visual representation of all the things around them, it's super, super amazing and interesting, and it creates that engagement layer to say, "Yeah, I really want to get back to the office. I really want to interact with these people, and I really want to get my work done faster." Now, to enable that, we also have. We've talked about our BTS, which is our behind-the-scenes. Oh, by the way, before I go there, let me show you a video. I'm jumping ahead of when I talked about this at the conference at the SF Tech Week, where we had Google as our invited guests as partners. But let me share with you something that I said there. Okay. I don't know if the video was accessible or not, but we're going to have it available on the platform. Let me try to play it again, actually, with my volume on. Maybe that'll help. So that feature has become so important. Our customers say, "This is a must-have. You've got to have it." And by the way, V1 Pictures, it's like a scramble screen of all these images. Like, "We want to see them. We want to see who they are," right? It's just human behavior. Desk booking is a self-created feature, meaning that there's no need for it if you're assigned desks. We grew up with assigned desks. It was created because of the pandemic. So you created a new problem that has now made it difficult for an employee to get to the office and find a spot, but it's created this new set of opportunities, which I think Agentic AI makes it more easy and simple because you don't want to go every morning like, "Where do I have to sit? Or what do I have to do?" Whatever. Make it recommendations for me so I can make it better. So that's what we do. Okay. So I think we had some technical glitch earlier, but hopefully, the audience heard the audio and that just tells you what we see as a really killer application, a killer use case, wanting to have this colleague booking feature, knowing what's in the office, where they're sitting, being able to adjust your daily calendar as well as your weekly calendar based on where it is, and I think it's pretty cool to see this live in motion now, and a lot of our clients are using it. It's a great feature. It's a must-have for a lot of our clients, so I'm super excited about that, and what enables all of this stuff is the behind-the-scenes, the brains behind it. Before we go there, let me talk to you a little bit about one of the big deployments that we did this quarter, which was we were live at 30 Rock, which is a marquee place, and it's been pretty amazing to have that deployment be live now. That took a lot of effort from our client as well as us. As you know, it's a high-profile place, so making sure that everything is working well. We had around 6,000 users day one on that system. The system did not implode. It actually worked really well. People were super happy. Actually, the clients made some Instagram posts, as you can see there, and there were some really great activities happening. As we look at the activity logs and we have our CXAIView analytics, it can show you all the things people were doing, and it's interesting. And that client actually does not do any space booking, but they were doing a lot of amenities, a lot of content, a lot of events, and most importantly, dining. Dining was the number one feature across the board. We launched not only that one site in New York. We also launched four sites across the country. One is on the West Coast. The others were on the East Coast. And it's interesting to see that there's a lot of great demand for the capability. A lot of users are using it every single day. And some of the sites that we thought were going to be less using it are actually using it more. Primarily, as I said, the dining feature is a must-have. Everybody loves the dining feature. And then seeing all of the other capabilities in terms of access to all the different amenities at the offices, all the different events that you can go to, really creates that engagement layer. So now all of the ideas we talked about are now in real motion, in real deployment with this client, and they're super happy with the performance. So let's talk a little bit about I mentioned the BTS, which is behind the scenes, and that is actually the key technology platform that is letting enterprise admins manage complex content faster. And now we actually are in beta trials with a full AI plugin for natural language content creation. These migrations are beginning in Q4, and this will be fully compatible with our legacy apps, offering faster administration and granular role controls as well. And what that means is if you're the IT guy, you can get access to all the information related to IT, or if you're an HR manager, you get all the people data, or if you're an operations manager and you want your team data, you can have that access to that. You can provide content, notifications, all the things that are necessary for that. So it's super exciting. And this is an infrastructure player that we really believe will enable supercharge our legacy apps. So I want to go to the future a little bit. So we've talked about our CXAI Digital Assistant and how it works. I'm going to play a little video of how our existing new and enhanced CXAI Digital Assistant is working in our labs in San Ramon. It's kind of like a CXAI Digital Assistant. It's like an intelligent concierge. Employees can now book, plan, and act in real time using natural language, with the system proactively suggesting actions based on calendar, location, and behavior. It's a living example of agentic AI, workplace intelligence that works for you, not the other way around. So I'm going to play the video. Hopefully, you will hear the audio on this, and you'll see our CXAI assistant interacting with one of our engineers. Hi. I'm CXAI of San Ramon. Hi, Hughes. I can book meetings, reserve desks, or order food. How can I help today? I want to book a meeting tomorrow at 2:00 P.M. for one hour. Thanks. How many people, including you, will be attending, and will you need a screen? Oh, yeah. There will be three people. Yes, I need a screen. Yellow again with capacity for five and a screen sounds ideal. Would you like me to check its availability for tomorrow, November 12th, at 2:00 P.M. for one hour? Yes, please. Perfect. Let me check if Diablo Den is available for you. Good news. Diablo Den is available. Booking it now. All done. I've successfully booked Diablo Den for Wednesday, November 12th, from 2:00 P.M. to 3:00 P.M. Would you like to order food for your meeting? Yeah. That actually would be great. Great. What type of food would you prefer? We recommend Bamboo Sushi for sushi, golden callous for vegetarian, or Mixt for healthy bowls. I'll go with Mixt. Perfect choice. I know you love the Dave Taco Bowl for Mixt. Should I order that for all three people? Yes. Great. What time should it arrive? Your meeting starts at 2:00 P.M. 2:30. Perfect. I've ordered three Dave Taco Bowls for Mixt, being delivered to Diablo Den by 2:30 P.M. You're all set, So that's Agentic AI at work. Context-aware, proactive, and human-centered. Hopefully, you see how intuitive it was, how easy it was to use, and how context-aware it was to find the right thing for you and making it happen effectively. I know that if you push the video on the screen, you could see it in real time, so we'll have that available for you after the call. And for the next video, I'll let you know how to do press it, but hopefully, you heard the audio on this. And before I go forward, Q3 was a really good quarter for us. We had a lot of these great customer highlights and deployments, as well as this new advancement with the CXAI platform, so we're super excited about that. I'm now going to turn it to my partner, CFO Joy, to give you the financial updates for Q3. Joy? Thank you, Khurram. It sounds like, or not sounds like, but the digital assistant just reminds me of a theme for this quarter, something I've been thinking about. And the theme or keyword is momentum. So we're seeing momentum in the AI ecosystem. We're seeing momentum in the speed at which companies are implementing return to office or the reboot of return to office, so return to office 2.0. And then, more excitingly, momentum in our product. And I think the digital assistant is super exciting for me. I don't know if I want the whatever bowl I was ordering, but that sounds a lot of great progress there. So if we go to slide 18, we can look at our Q3 financial highlights. This was a solid quarter of execution and operating discipline. We maintained strong margins, controlled OpEx, and delivered measurable improvement in profitability. Starting with ARR expansion, we closed the quarter with two large logo renewals, both in the enterprise segment. These renewals reflect customer confidence in our workplace platform and demonstrate the durability of our recurring revenue base. Our subscription revenue mix reached 99% and increased from 88% in the same quarter last year. That transition toward pure SaaS continues to be one of our key strategic levers. It increases predictability, expands gross margins, and creates multi-year visibility into future cash flows. Next, on gross margin, we delivered 89%, an increase compared to 88% in Q3 of last year and 86% last quarter. The steady improvement reflects the benefits of disciplined cloud cost management and more efficient infrastructure scaling. We're continuing to see leverage in our cost delivery as we optimize across multi-tenant environments and automate provisioning. Turning to cash OpEx, we held steady at $3.2 million, flat compared to both last quarter and the prior period. That stability reflects our ongoing focus on operational efficiency for maintaining a lean structure while still investing in innovation and go-to-market execution. Finally, on profitability and earnings per share, we improved earnings per share this quarter to -$0.13, a substantial gain from -$0.34 the same quarter last year. That's a very clear signal that our cost controls and recurring model are working together to improve the bottom line. We can go to slide 19, which is our quarter-over-quarter comparison. Revenue came in at $1.1 million compared to $1.2 million in Q2. The modest decline reflects a shift in revenue mix. We saw lower hardware-related sales this quarter, consistent with our strategy to phase out non-core components and focus on software-led growth. Cost of revenue decreased from $171,000 to $123,000, which drove an improvement in gross profit to $991,000 and lifted gross margin to 89%. That gain was driven primarily by tighter control over cloud utilization and vendor optimization. Looking at operating expenses, total OpEx declined to $4.8 million from $5.2 million in Q2, an 8% reduction quarter- over- quarter. Most of that was related to savings in other areas, and you will see a slight increase in G&A, but that is primarily due to stock-based comp just because we have a large amount of stock that vests for employees in Q3. So you'll always see that probably quarter- over- quarter. Overall, these shifts demonstrate the flexibility of our operating model. We're able to scale innovation while containing discretionary spend. As a result, loss from operations improved to negative $3.8 million compared to negative $4.1 million in Q2 2025. That's continued progress quarter- over- quarter as we execute against our goal of reaching break-even eventually. I also like to talk about our cash position. We remain very healthy with our cash position. We ended the quarter, or as of right now, today actually, with $9 million in the bank, and with our equity and debt fundraising that we've done throughout the year, we have access to cash that should last us at least for the next two years. In summary, Q3 showcased steady discipline performance, improving gross margins, consistent OpEx, and expanding recurring revenue. We're managing growth and profitability in tandem, ensuring CXAI's position to scale efficiently while driving durable shareholder value. Back over to you, Khurram. Thank you, Joy. So I want to talk a little bit about the future here. At WORKTECH, we hosted a panel moderated by Samrah Khan, who heads up system integrator partnerships at Google Cloud. And she talked about the inclusive and immersive workplaces of the future. It's a very interesting talk. And so I'm going to play a snippet of it. And what I ask the audience is please press on the play button so you can watch the video, but you're going to hear the audio through this as well. So I'm going to start right now. I'm in Foster City. My hologram is going to be sitting here. For those of you who are big Star Trek fans, I grew up as a kid. I was like big into it. I always believed that one day that's going to become reality. If any of you have visited our executive briefing center, we already have a demo of it. I have walked through it. I must say it's amazing and scary all at the same time that the hologram was eating an apple, and I'm like, "Oh my God, this is scary." I believe we're going to, in workspace, we're going to enter the world of metaverse where there's going to be virtual reality. That's how we're going to do meetings. I'm not saying that we're going to replace human interaction. Absolutely not. I think there is a need for that. The need for it is always going to stay there. If COVID has proven one thing, it's proven that human connections are important. We're going to continue to be in the hybrid environment. But I think most importantly, what is going to get even more better in 2030 and beyond is that no matter what part of the globe you are in, your employee experience is going to be inclusive. It's going to be culturally adaptable to somebody who's working out of Alaska versus Silicon Valley. And it's going to be inclusive, which I think is very, very important. That's why I think virtual reality is going to be a big part of it. So I wouldn't be surprised if I'm talking to Khurram five years from now, and he's like, "Hey, I'm beta testing this new app. It has metaverse in it, and it has all this other stuff." And then he just said, "Going to work for you." It's pretty exciting stuff. These conversations and the other conversations we've had with great partners at our events reaffirm that CXAI is the partner choice for the world's most advanced AI ecosystems. We're very proud of our partnership with Google. And it's super interesting how they are aligned with our vision, helping us on the infrastructure side, helping us on the go-to-market side as well, and then being thought leaders with us as we look at defining the future of work. So I want to summarize what you saw today, what you heard from us today. But as we exit Q3 and now in Q4 moving into 2026, our priorities are clear. Three priorities. Number one, expand within our current customer base. Many of our Fortune 500 clients use only two or three or four modules today. Every expansion into either analytics or content management or digital assistant that you saw multiplies ARR potential. Number two, accelerate ecosystem integrations. Partnerships like you heard about Noro and Google Cloud extend CXAI's reach beyond traditional workplace apps into immersive and agentic experiences. And third, maintain cost discipline while investing in AI leadership. We're balancing growth with responsibility, proving that AI companies can scale intelligently. In short, CXAI is the most advanced agentic AI solution for workplace and employee experience markets. We're not just riding the AI wave. We're architecting it. We're building not just another AI company. We're building a category-defining enterprise platform, the most advanced agentic AI solution for workplace experience and hybrid collaboration. I want to thank our employees, an extraordinarily creative, mission-driven team, and our customers and shareholders for believing in this journey. CXAI is more than a ticker symbol. It's a movement to make AI human again. We're super excited about this opportunity. Thank you, everybody, for joining the call. We're going to take a couple of questions that came online. And so, Joy, if you have a list of questions, please go ahead. Yep. There's one from Jack Vander Aarde from Maxim Group. Multiple questions, Khurram. So I'm going to let you decide how you want to answer all of this. But the question is, give me one second. He wants the kiosk update, customer feedback, and usage stats. How many units deployed today versus pipeline growth and expansion progress with largest existing customers? Status of testing before expanding deployments to all locations to a couple of our clients and just status of testing before expanding to large deployments and maybe more information on the 30 Rock deployment and how we did that. Okay. Great. Thank you, Joy. Yeah, that's a lot of great questions all rolled into one. So I'll try to dissect it. So the first one on kiosk, absolutely. That's been a great product launch. We launched it with one client in Silicon Valley. They've deployed it in their campus in San Jose. It's working really well. It's super exciting for them to start using it for their employees as they implement RTO. And that deployment was our first deployment that gained attraction. They want to first make sure San Jose works really well and then deploy it globally around all of their 14-plus campuses. So that's an interesting opportunity. And in parallel, we've got three more clients, existing clients who are already in pilots and that pilot phase to deployment. And a lot of them really like the fact that it's engaging, it's real-time, it's just in time getting actions completed, either it's booking a desk or booking a conference room or just navigating to the right person or universal search. All of those are implemented with that. And I think there's a lot of genuine interest. I can't give you exact numbers on units right now, but I can tell you that for all the deployments on all the campuses that we have with our clients, when they deploy one, it's obvious they're going to deploy in all the different campuses. So we're excited about it. And I think there's a great opportunity coming in Q1 where we're going to launch these other three clients. And then from those three will be the next 10. So I think that's the kind of scaling we see on that product. On the other question in terms of our, I think, Joy, was it about the other expansion opportunities, right? So 30 Rock is an excellent example of a large multinational media company that deployed a marquee site in New York City. It was super, super critical for them to get it absolutely right. And so it was a lot of focus, a lot of hard work. I commend the team, both our team and the customer's team for making it happen. But they not only just launched New York, they actually launched LA and they launched Miami and they launched Connecticut. So they're super excited. Actually, even though they're early customers of the product, they want the kiosk right away. So they're actually in trials with the kiosk. So I think all in all, it just shows that it takes a little effort to get into these big clients. But once you're in there, they see the opportunity. They're super excited about the potential of it. And then the outcomes through CXAIView will be the test of saying, "Is it actually really doing a great job for the employees?" And I've mentioned before, my success criteria is the adoption. And we've been talking about our adoption numbers in terms of number of users. But I think it's going to be number of interactions. If you look at the CXAIView analytics slide I showed you, in those 6,000 day-one users, they were 30,000-plus interactions, right? Which is amazing. The fact that they don't come to the app one time, they actually come to the app five or six times. I think those are the must-have moments that we believe create that affinity for CXAI, create that affinity for the value of CXAI. And then with the agentic, as you can see, everything can be done within a New York minute. And that to us is game-changing. That's why these clients are staying with us because they see the potential of how CXAI 2.0 and with the agentic solution is really going to be transformative to their business and to their clients. I would tell you there was a new study that I just saw that said that people are spending at least 25 minutes or more a day in scheduling conflicts. And what we showed you, we can take that scheduling conflicts out of the way. So you get your 25 minutes back or more, and then you make your life more productive. So I think we're in the phase now of moving into predictable outcomes and showing them the real value of the application, not just the fact that the application functions, the fact that it actually transforms the way they work and the way they are productive in their environment. So I think there's a lot more coming, I would say, Jack, to answer your question. And we believe that all of our clients are destined for scale, so. All right. Any other questions, Joy, that came in, or is that the only question we have? No, that was the only one. Okay. Well, I want to close by saying thank you, everybody, for joining the call, for supporting CXAI. I think we have a great future ahead of us, as you can hear from some of the partners we're working with. We're super excited for our success, and we're looking forward to giving you better and more predictable results in the future here as we start scaling the business. I think the exciting part is now coming with AI now fully being adopted in the enterprise. CIOs are not saying, "This is a nice to have. This is a must-have," and we believe that we have an exciting opportunity to enable them in the future, so we're going to be making a lot more announcements in the coming weeks and months in terms of these opportunities, so stay tuned, and we look forward to having our next earnings call or annual call, hopefully early next year, but until then, thank you, everybody, and have a good evening. Thank you. This does conclude today's conference call and webcast. You may disconnect at this time and have a wonderful day. Thank you once again for your participation.