We're going to get started. Good afternoon, everyone. Thank you all for joining. I'm Maria Ripps, Internet Analyst here at Canaccord Genuity, and it's my pleasure to introduce Chance Johnson, newly appointed President, and Billy Eckert, VP of IR and Finance. Chance, congratulations on the. Thank you. Expanded role, and thank you both for joining us today. Maybe just to kick things off, along with your appointment this morning, there were a few other executive appointments. Maybe talk about what this means for the strategic direction of the company, and what are some of the incremental things that you'll be focused on as you take on the presidential? Yeah, it's a great question. We have an incredible leadership team at Nexxen across the board. The seat that I vacated, the Chief Commercial Officer, our former Chief Customer Officer, Kara Puccinelli, will step into that role, and she'll oversee our enterprise business. Former Chief Strategy Officer, Ken Suh, will step into the Chief Business Officer role, and Ken's primary responsibility is to focus on growing the exchange business as well as our CTV partnerships. As we've brought together so many different elements of the advertising ecosystem, the buy side, the sell side, the data side, a lot of what I'm going to be doing day to day is focused on how all of those pieces can work in concert to help our customers. What we've introduced to the market as a full end-to-end tech stack is still relatively new. There's not a lot of companies that have robust capabilities on both sides. I spend a lot of my time propagating not just what we are, but why we are and the value it can bring to our customers, whether they are on the buy side or the sell side, or somewhere in between. Great. You also reported Q2 results this morning. For those in the audience who may not have had a chance to tune in to your earnings, maybe give us a high-level recap of what you reported, what you're seeing in the business, and how are you thinking about the balance of this year? Yeah, absolutely. It was a great quarter for us in Q2. We increased our Contribution ex-TAC by 11% year-over-year, which was a Q2 record for us. Programmatic revenue grew a little bit faster, 12% year-over-year. The standout for us this quarter was CTV, though. It was the best CTV revenue quarter in our company's history. We grew 33% year-over-year there, and really, it's a byproduct of a lot of the things that we've been talking about and working on strategically for the last several years, expanding our enterprise customer mix, getting customers to utilize more solutions within the platform. A lot of that is begetting the success that we're seeing across some of our other growth drivers, like CTV and mobile in-app. In addition to the quarter, this was actually the third time that we were able to raise our top-line guidance this year, where we increased both Contribution ex-TAC and programmatic revenue for the third time. When you think about where we started the year, when we issued initial guidance in March, we guided to 8% net revenue growth, which now we're up into the 12% net revenue growth. It's a really exciting time for our business, and in addition to really seeing the growth engine moving, we're investing around the opportunities ahead in AI and data and go-to-market execution. We're feeling very strongly about the success that we've been seeing in the business, and some of the commercial positioning updates that we've made will help us continue to keep that engine running. Great. That's a great recap. Maybe taking a step back, one of your key strengths is your end-to-end platform with the SSP, DSP, AI, and data assets all operating within one unified ecosystem. Can you talk about some of the benefits of this structure and how this positions you competitively? Yeah. I'm very happy to. If you think of it just logically, it's much easier to work with one company than it is three companies, especially when you think about the amount of logins and the amount of time it takes for an individual or a team of individuals to set up and activate an advertising campaign. It's not just the fact that we're time-saving, we can also provide cost savings and better performance. Rather than pay three different companies, you can work with us. We can give you much more transparency and commercial incentives so that if you're using our DSP, we'll give you an incentive to buy from our supply. We'll give you an incentive to use our data. And we're being very transparent with our customers about where their money is going, and that's something that is relatively new to this market. Advertisers really wonder how much of their working investment is actually getting to the actual advertising. And in a lot of cases, for our industry, it's not as much as they'd like. So for us to be able to shine a light on that, it provides a lot of value. But the most important thing, cost savings is nice, but when these three technologies work in concert the way they do and all integrated into one tech foundation, it just performs better. So they see much better results, they see lower costs, and time efficiency of having to work with just one partner instead of three-plus. Got it. Let's maybe talk about the state of the broader advertising market, given all the volatility out there. Can you just talk about what you're hearing from your clients? Are they a little bit more cautious, or are they just spending more selectively? We joke that the only certainty this year has been macro uncertainty. Unlike previous years, what we are really seeing is advertisers being much more resilient. They have experienced this volatility. Certainly earlier in the year, there was a tremendous amount of it. It has ebbed and flowed, but we are seeing pretty consistent budgets over the year. The one big trend that we are seeing, and I think why Nexxen is very well-positioned, is the decline in open web display traffic. Certainly the advance of LLMs and ChatGPT, you do not need to browser on the web to 20 different pages to find your answer or to find your recipe. You can get it in one stop. While we are seeing open web decline, we are seeing growth in other areas. Thankfully, we have invested for years in CTV, which is a huge growth driver. We are seeing a lot more investment going into the CTV space as well as the native home screen space, which we are well-positioned, but also in mobile in-app. These are areas that are very AI resilient, and it is a big part of the growth that we are seeing. As Billy mentioned, the meaningful year-on-year growth in CTV of 33%+ is an indication that we are positioned to be able to capture more of the money as the ecosystem shifts around. Got it. Maybe let us talk about political spend. There are some third-party projections out there sort of guesstimating that this year is going to be even stronger than spend two years ago. What are you sort of expecting in terms of political, and how are you positioned to capture some of that spend? I think we are positioned really well. Political spending has always been massive, but it is even more so now. Historically, in years past, the majority of that money went to television and more traditional linear television. Now, these political shops and agencies are being much more calculated, and they are reaching people in a CTV environment. Obviously, we have a very significant footprint, so we are in a good position to capture it. The other thing is this money comes in to political investment very quickly. It is not unusual for a political shop to call us and say, "We want to go live in 37 DMAs tomorrow morning, and we are going to run for 12 hours, and we want to spend X amount of dollars." The size of our business, how nimble we are as an organization, and the level of service and support we provide have been able to just really build really strong relationships that these political shops can trust the fact that we can turn things around very quickly, that we can deliver really good results, and their experience will be very positive overall. I think we are in a good spot. Great. Let us maybe shift gears here and talk about enterprise, which has seen a lot of momentum, and I think you said you added more enterprise clients so far this year, and you said that earlier this year. Earlier this year, right. And during the entire 2025. Just talk about what is driving this momentum, and then how should we think about sort of spend from this enterprise, newly added enterprise client sort of ramping as we get through the year and as we get into 2027? It's a great question, and yes, we have added a significant number of enterprise clients more this year than all of last year. There's two reasons for it. The first is just simple. It's commercial execution. There's been a huge area of focus for us as an organization and as a business to drive enterprise growth. We see it as the future of the business because it just gives our clients the ability to do more within the overall Nexxen stack. All of our enterprise customers are using at least two of our solutions, so we're able to capture more market share from each of them. What's driving a lot of the adoption, in addition to the commercial execution, is our nexAI platform. As I mentioned, the last thing that anybody needs is another login. These media traders and campaign managers, they're spending historically hours and hours each day in a campaign, in a UI, optimizing, trafficking tags, really mundane stuff that really somebody who spent four years in college doesn't really need to be doing. Our nexAI platform has simplified all of that. They can interact with the platform the same way they would their ChatGPT interface or whatever LLM they've been using and optimize campaigns that way, set up campaigns. Something that might have taken five, six hours, they can do in five minutes. That ease and simplicity is driving a lot of adoption. We're showing our clients that we're going to save them money, but the really special thing is that it's driving fantastic performance. The optimization that we can see from the AI engine is better than what we've seen from a human, from a manual optimization. Again, we're freeing people up to do more strategic work and improving the P&L for our customers along the way and driving better results. It's a pretty good outcome, and it's resonating because we're seeing the numbers that we're seeing. It's not really qualitative either, Maria. As we mentioned in our earnings call today, in Q2, enterprise spend on our platform grew by over 25% year-over-year, and we activated through enterprise customers. In Q2 2025, we activated less than 400 of those customers to over 750 in this most recent quarter. When you think about it, a lot of the success we're seeing across the board is the result of this better customer mix shift to get more of these customers on platform so that we can cross-sell them across multiple solutions, including data and leveraging our media supply. Right. When you think about the amount of advertisers that we've added over the first half of the year, those are very strong catalysts for the back half of the year, which don't just help us in terms of enterprise spend, but across some of our other growth verticals like CTV and mobile in-app. Great. Let's talk about Nexxen TV home screen, which is an important driver for your CTV offering. Just sort of where are you in terms of rolling out some of the capabilities, partnerships, and sort of what's the adoption curve sort of looks like? Yeah. Nexxen is very bullish on home screen in general. We believe that this is a format that is under-leveraged for a lot of advertisers and maybe one of the most powerful that exists, right? When someone turns on the television, their connected television in their living room, on average, a family, a user is spending 10 - 12 minutes finding what to watch. During that time, there's a giant billboard sitting in your living room that is delivering them an ad message. Historically, that real estate has been really only tapped into by entertainment companies. Right? "Watch our show. This new movie is coming out. Watch it on," whatever your streaming service. But especially what we've seen since the World Cup is non-entertainment advertisers are now seeing the value here. You have this billboard in the living room, and last year we launched the first-ever programmatic home screen activation. Historically, this has been a very clumsy, very time-consuming thing that you have to go out and buy and reach out to the television OEM directly. Now you can come to us. You can activate across multiple OEMs, especially across our exclusive relationship with Hisense and their operating system with VIDAA. It is a very nascent product. Home screen in general has been around for a long time. The programmatic activation is brand new, so we're coming up from a very small baseline, growing very quickly, of course. But we see it potentially impacting Q4, but having a much bigger impact in 2027 as we see more and more investment going into CTV and native home screen specifically. Honestly, I think that was one of the more encouraging things about our Q2 CTV print, is that we grew 33% year-over-year with very minimal contribution from home screen. When you think about the growth trajectory of that solution, it gives us a great catalyst going into Q4 as more of these enterprise customers continue to ramp their spend. Certainly in 2027 and beyond, when more OEM partners adopt the solution, and we're in talks with several of the other major OEMs and more of the DSPs route spend through that, it's something that could become a meaningful contributor for us over time. It's something we're very excited about. I was going to ask you, how meaningful can it be? Can you quantify that? Are there any partnerships that you still kind of working through that you need to sort of add onto the platform to sort of accelerate growth or accelerate this ramp in 2027? I'll start with the quantification side. It's a very hard thing to quantify because, again, we are first to market in the product, so it's something that we're very optimistic about. For us to put out a true number that we think it's going to do would be irresponsible at this time. Just given our CTV footprint, the strength that we're already seeing across that device, and the fact that we have this innovative solution, we're already well positioned there, and this kind of puts gasoline on that fire. In terms of the adoption, Chance, do you want to take the second part of that question? Yeah. We've seen a lot of the larger advertisers come into the space, especially in the CPG vertical. Snacks, especially if you're sitting on the couch. In addition to the Hisense inventory that we have available, we're also going out to other OEMs and having them put their unsold inventory in our native activation point as well. We've announced publicly with TiVo. We've even talked publicly about testing with LG, it's one of the largest OEMs on the planet. We view this as something that is still very much in growth stage, and the more demand that we can bring to these OEMs, the more they'll put on our supply. It's a really beautiful flywheel that's going to help generate much more revenue for us, more revenue for the OEMs, and drive value for our advertisers. To Billy's point, a really difficult thing to monetize from zero. Right. I can tell you we've put a significant amount of money, time, and investment into it, and something we're very bullish on for Q4 and into 2027. Got it. At the Analyst Day in June, you announced new open protocol integrations on the platform through nexAI, which I thought was pretty interesting since you're allowing pretty much advertisers connect external AI agents to nexAI. Yes. Can you just talk about how that's progressing? What does that mean for your AI capabilities and advertisers leveraging more of your AI-enabled tools? Yeah. Great question. Nexxen has made a pretty big bet here that we feel very confident in, right? There's a lot of AI agents that exist, and most of those AI agents, you have to go to the agent. You have to log in, and you have to go find it. Now, if you have 20 different AI agents running, it doesn't really solve your problem because you're logging around different user interfaces. We made the decision that we want our platform, nexAI, to be as interoperable as possible. We want to bring our platform to you. If you're using Claude, for example, as an enterprise, if you've decided if you're GroupM or Omnicom or one of the largest holding companies in the world, chances are there's a dedicated LLM that everybody is using. We want to integrate the core capabilities of our platform into your system, so you never need to leave your company's AI user interface to log into Nexxen. You could do it directly from where you're already sitting. You can optimize your campaigns. You can set up tags. You can run your campaigns and optimize very easily from one system. That's the bet that we're making is we're not trying to create more logins. We're trying to create less, bring our platform to you, and that's something from a time-saving perspective is going to be very, very significant. Especially as you think about all the different agents that exist now, the fact that we can bring them into whatever you're already using is, A, something that's going to make adoption of the platform a lot easier and help us from a competitive standpoint when you have to vet out multiple different solutions. Got it. I want to go back to your sort of channel mix and talk about CTV, just again for a few minutes. Advertisers are increasingly looking at CTV for measurable outcomes, not just reach. Essentially switching, like turning, essentially going from brand to direct response. Can you talk about some of the investments you're making to capture those performance budgets and why it's so important for CTV growth? It's very important for CTV growth, so you're 100% right. At one point in time, advertisers were looking at CTV the same way they looked at linear, which was very difficult to measure, but it was reach. It was high volume reach. CTV still plays to some degree in that world, but advertisers are being much more thoughtful about what are they actually getting for that investment. Performance CTV is something that is a popular term, but it's really about customers wanting to prove that what they're spending their money on is worthwhile and driving an intended outcome. We have a little bit of an advantage here because we do have the exclusive relationship with Hisense VIDAA across all of their ACR data around the world. From a measurement perspective, we're able to do a lot more with that data to be able to validate that what they're spending on is working. In addition, we have a long history of being a performance company. A lot of our investment, a lot of our history, and the way that our algorithms are all built was around driving a specific outcome for performance. Our history combined with the data, combined with the exclusive access that we have to that inventory, has been a really nice story for marketers, and we're able to prove that CTV is working, which is a big part of the reason why you've seen the growth in CTV, because we're validating it as a performance channel in addition to a reach channel. Got it. Let's talk about maybe mobile, and in-app is another channel where you've been pretty strong. You're leaning in. Can you talk about how you position within the mobile in-app ecosystem today, and what's behind this increased focus, and what are some of the investments that you are working on that front? Yeah. Well, mobile in-app is an AI-resilient channel. People are still going to spend time on their phone. You're in the doctor's office, you're waiting around, you're going to pull up your phone, and you're going to spend time. The ability for us to reach consumers in that channel has always been important, but especially now as we've seen some of the decline in desktop. Thankfully, we've made an investment a couple of years ago about working with SDK direct partners, developing relationships with these app manufacturers themselves from a billing perspective, and being able to drive more volume and value to that market. Historically, that space had been largely advertisers selling other apps. We're pulling in now more traditional advertisers into that space as they see value because it is very performative. It does deliver really positive results, and we're telling the story that the experience that you can deliver across that mobile in-app can be a really positive one, and one that, in combination with performance CTV, can be a really nice progression to pull somebody from top end of the funnel, where you're introducing your brand for the first time, to someone that is exposed to the brand and eventually converts. Got it. Billy, maybe a question for you. As we think about the balance of this year and next year, and there are so many tailwinds. You have political, you have enterprise ramping up. You have products also getting more traction. Just talk about how we should think about growth overall, without giving any specific numbers, just how are you thinking about growth trajectory exiting the year and into 2027? Yeah, when you think about the rest of the balance of this year, to your point, there are a number of tailwinds. For me, I think the enterprise spend trajectory that we've seen is probably the thing that excites me most because, again, we're not a one-sided platform, so we wouldn't just be taking sort of a DSP take rate. Because we have the data solutions, because we have the SSP, where we have publishers using it, and also our DSP customers accessing media supply from it gives us a much larger addressable opportunity. That is sort of the fire that helps spark other things like CTV revenue growth and mobile revenue growth. I think CTV is something that continues to perform very strongly for us. That's obviously one of the key growth catalysts for us the rest of this year. Political is something that we think there can be incremental revenue around. It's not something that's going to make or break our year. We're not putting a ton of focus in terms of actual revenue projections on that. It would be a nice to have. It's certainly an upside catalyst, but it's not something that we're banking our year on. I would say those are kind of the big ones. It's enterprise, it's growing end-to-end utilization, it's CTV, and it's really mobile in-app. Those are kind of the core drivers that we see for the rest of this year. Moving forward into late Q4 and into 2027, Nexxen TV home screen becomes a much more important commercial focus for us. Yeah. You had mentioned in the beginning some of the volatility that might exist within the macroeconomic conditions. The beauty of Nexxen in having all of these different solutions that Billy Eckert just talked about is if there is softness in one category, that we have all of these different ways to make up for that softness in other areas. Whereas maybe some of our competitors who are focused on one side, that volatility will have an outsized impact on their business, whereas we can make up for it in other areas. One of your larger competitors is going through some tough times now, so I'm sure you know. Is that helping your enterprise client wins? I'll say a couple of things to that. The first is the sales cycle for enterprise is quite long, so it's not that somebody just decides tomorrow that they want to test out a new platform. I will absolutely say, though, that the interest and momentum that we have on the enterprise side, part of that is because the legacy way of thinking that I'm just going to go with the biggest platform as the best outcome is changing. Marketers are getting a lot smarter. They're being more thoughtful about where their money is going, which is why some of these larger companies are struggling because they have been taking very large take rates. The ability for us to be able to make money in a lot of different ways, share those cost savings with our clients, and really provide value for them is a driver outside of what any other company is doing. Is it helping? Probably, but it's not really our focus. We're focused on providing value for the customers that we have and the prospects we're going after. Got it. At your analyst day, you also talked about evaluating potential M&A opportunities to enhance capabilities and maybe certain channels. Can you touch on where you are in that process, just how you're broadly thinking about M&A and capital allocation framework? Yeah. It's something that we've definitely been thinking about more and more over the last several months and last couple of quarters. We feel like we have all of the core capabilities that we need across our platform to win in market today. We're not necessarily missing anything, but what we are looking for is incremental opportunities and bolt-on, tuck-in acquisition types to really double down on the growth drivers that we've been talking about today. One of the things that we're looking for is a mobile SDK that we can integrate within our platform to get us deeper into the mobile in-app cycle. Something else could be bringing more performance-based CTV capabilities to the platform, anything around monetizable data or accelerating our AI capabilities. Now, to be clear, we're not looking for anything that's a very complex integration. Anything that we do, we would want to add direct shareholder value as opposed to just being kind of an integration into our platform to make the platform stronger. We'd want something that's directly more revenue accretive. On capital allocation, what's nice about our model is we're a very profitable company. We're very cash generative. We have no long-term debt. At the end of Q2, we had around $132 million in cash, a $50 million revolver. We have a new $40 million share repurchase program authorized, and at the same time, we're really slanting into platform investments to continue to grow our leadership within things like CTV, mobile, data, and AI. Again, it's a much more flexible capital allocation strategy than we've had over the last several years, where we focused really purely on buybacks. We've bought around 40% of our shares outstanding back since March 2022. Now we're diversifying a little bit more into doubling down on our growth opportunities and looking at some of these bolt-on M&A opportunities. Got it. Well, great discussion. We'll leave it there. Thank you so much for joining us today. Thank you so much. Thank you so much for having us, Maria. Thanks.