Good afternoon everyone and thank you for joining OptimizeRx's Second Quarter Fiscal 2025 Earnings Conference Call. We have with us today Chief Executive Officer Steve Silvestro. He is joined by Chief Financial Officer Ed Stelmakh, Chief Legal Officer Marion Odens Ford, and Senior Vice President of Corporate Finance Andrew Bosova. At the conclusion of today's call, I will provide some important cautions regarding the forward-looking statements made by management. During today's call, the company will also be discussing certain non-GAAP financial measures which it believes are useful in evaluating the company's operating results. A reconciliation of such non-GAAP financial measures is included in the earnings release the company issued this afternoon as well as in the Investor Relations section of the ompany's website. I would like to remind everyone that today's call is being recorded and will be made available for replay as an audio recording of this conference call on the Investor Relations section of the company's website. Now I would like to turn the call over to OptimizeRx CEO Steve Silvestro. Mr. Silvestro, please go ahead. Thank you, Operator, and good afternoon to everyone joining today's Second Quarter 2025 Call. Overall, we had a strong second quarter of 2025 with results ahead of both consensus estimates and our internal expectations. Recent momentum has continued with Q2 revenues increasing 55% year-over-year to $29.2 million, with adjusted EBITDA coming in at $5.8 million, an improvement of over $5 million year-over-year. Moreover, our contracted revenue continues to increase to more than 30% year-over-year, which positions us favorably in the second half of 2025. I believe this is a clear indicator that our focus on operational excellence, while ensuring we delight our customers and forge stronger relationships with valued business partners, is bearing fruit. Before moving on, I want to take a moment and thank our market-leading team. We deeply appreciate the dedication and hard work of everyone at OptimizeRx as we navigate an increasingly complex, dynamic, and still emerging digital pharma marketplace. The industry is undergoing a significant shift, and our products and services are poised to fundamentally reshape how pharmaceutical manufacturers, patients, and prescribers engage. Our mission-driven culture not only fuels this transformation, but also positions us to attract, retain, and strengthen the critical relationships a leading technology company needs to be a trusted and enduring partner. With that said, I'm happy to say we are increasing our guidance for the y ear and are looking for revenue to Come in between $104 million and $108 million with adjusted EBITDA to be between $14.5 million and $17.5 million. Moreover, while it's still very early, initial indications for 2026 appear promising. As a result, we feel comfortable with consensus current revenue and adjusted EBITDA projections for 2026, and we will give formal guidance as we get deeper into the 2026 RFP process. In addition, we paid down $4.5 million of principal during the second quarter, which was $4 million above our debt payment schedule at this time. Given the free cash flow we're seeing in our business, we intend on paying down our debt at an accelerated rate and don't believe we'll need to access the equity capital markets for the foreseeable future. As you can see, we certainly believe that we're hitting our stride. Our disciplined cost management and sharp cross-selling strategies rooted in helping customers optimize budget allocation to drive script lift are fueling strong momentum heading into the second half of 2025 and beyond. Our strong second quarter and first half results clearly show that the Rule of 40 performance is no longer a distant goal, it's firmly within our sights. Perhaps most notably, average revenue over the l ast 12 months for our largest five c ustomers now stands at over 11 million average. We believe OptimizeRx is uniquely positioned to drive meaningful value creation and deliver sustainable Long-term shareholder growth. Powered by one of the nation's largest point of care networks, we enable pharmaceutical manufacturers to reach healthcare providers directly when it matters most. Building on this powerful foundation, we've integrated a purpose-built omni-channel technology platform featuring advanced patient-finding tools like DAP Micro Neighborhood Targeting that are redefining how pharmaceutical manufacturers, physicians, and patients connect, communicate, and act. This innovative approach is not only transforming engagement across the healthcare ecosystem, but also helping to improve patient outcomes. These advantages provide us with a durable and defensible competitive moat with unmatched access to both the point of care and direct-to-consumer channels. We believe we are uniquely positioned in the market as the only player capable of engaging providers and patients at scale. This strategic positioning has enabled us to build the industry's most comprehensive and integrated solution set, allowing us to serve a broad range of customer needs across the full product life cycle, drive deeper customer relationships, and capture greater share of long-term value. As mentioned on previous calls, as our business continues to evolve, a key focus for the company will be drawing greater attention to our reach and scalability while positioning ourselves as a strategic partner in addressing some of the most critical commercialization challenges facing pharma today. These include improving brand visibility, reducing script abandonment, enhancing interoperability, and supporting the growing shift toward more complex and costly specialty medications. I'm confident that success in these areas, combined with the strong performance we are already delivering through the solutions that deliver high ROIs and strong script lift, will drive significant shareholder value over time. Moreover, this momentum will position us to capture greater market share while also expanding the overall size of pharma's multi-billion dollar digital spend. Our customers remain deeply embedded within our ecosystem of offerings and it remains our goal to help them stay present through the patient care journey across the integrated HCP and DTC business. With that, I'd like to turn the call over to our CFO, Ed Stelmakh, who will walk us through the financial details. Ed. Thanks Steve, and good afternoon everyone. A press release was issued with the financial results of our second quarter ended June 30, 2025. A copy is available for viewing and may be downloaded from the Investor Relations section of our website, and additional information can be obtained through our forthcoming 10-Q. Second quarter revenue was $29.2 million, an increase of 55% from the $18.8 million we recognized during the same period in 2024. Gross margin for the quarter increased from 62.2% in the quarter ended June 30, 2024 to 63.8% in the quarter ended June 30, 2025. Year on year, gross margin expansion is tied to a favorable product mix, economies of scale, as well as a favorable channel partner mix. Our operating expenses for the quarter ended June 30, 2025 were essentially flat year-over-year at $15.4 million. Despite the significant revenue growth, we showed we had a net income of $1.5 million or $0.08 per basic and fully diluted share for the three months ended June 30th, 2025 as compared to a net loss of $4 million or $0.22 per basic and fully diluted share for the same three month period in 2024. On a non-GAAP basis, our net income for the second quarter of 2025 was $4.5 million or $0.24 per fully diluted share outstanding as compared to a non-GAAP net income of $0.3 million or $0.02 per fully diluted share outstanding in the same year ago period. Our adjusted EBITDA came in at $5.8 million for the second quarter of 2025 compared to $0.5 million during the second quarter 2024. Operating cash flow was $8.4 million for the first half of 2025, and we ended the quarter with a $16.6 million cash balance as compared to $13.4 million on December 31st, 2024. The remaining principal on our debt financing currently stands at $29.3 million, and we paid $4.5 million in principal during the quarter, which was $4 million ahead of our payment schedule. At this time, we intend to deploy at least a portion of our free cash flow to pay down the principal on our loan faster as we look to continuously lower our cost of capital. With that said, we continue to believe that our healthy balance sheet will help us execute against our operational goals. Now let's turn to our KPIs f or the second quarter of 2025, average revenue per top 20 pharmaceutical manufacturer now stands at $3.1 million. Net revenue retention rate remained strong at 121%. Meanwhile, revenue per FCE came in at $767,000, topping the $658,000 we posted in Q2 2024. We are encouraged by the continuing improvement in our KPIs as we continue to e xecute against our strategy of driving profitable g rowth as a leader in our space. With that, I'll turn the call back over to Steve. Steve. Thanks, Ed. Operator, n ow let's move to Q&A. Certainly. We will now begin the question- and- answer session. To ask a question, you may press Star then one on your telephone keypad. If you are using a speakerphone, please pick up your handset before pressing the keys. If at any time your question has been addressed and you would like to withdraw your question, please press Star then two. At this time, we will pause momentarily to assemble our roster. Our first question comes from Richard Baldry with ROTH Capital. Please go ahead. Thanks. Congrats on an incredible quarter. So many things to ask. I'll try to narrow it, but last quarter you talked about your typical revenue cadence being 15%- 20% in Q1, 20%- 23% in Q2. If we look at what you've now done in the first half and use those cadences, you know revenues will come in sharply above even your increased guidance. Be closer to $128 million if you use the midpoints. Can you talk about whether there's anything one time in Q2, any outliers there that we need to pull away to make that cadence sort of more normalized? Or how do we think about that, given the extraordinary upside you just did on the revenue number and earnings for that matter? Hey Rich, thanks for the question. Great to hear your voice. We did have in the first half Of 2025, a little bit of managed service revenue still in the revenues. What we're guiding to on the full year we think is, you know, again, conservative, but achievable. We're going to continue to hit that drumbeat of conservatism, not sandbagging, but being conservative. Second half, I think we feel comfortable with our updated guidance. Ed, Andy, anything you'd add? Yeah, I'll add a little bit to that. Sure. Yeah. As Steve said, the first half definitely had a little bit of managed service revenue that was above our expectation. Just so you know, managed service revenue typically is contracted for three to six months in duration. It is something that comes a little bit as a surprise to us in terms of any upside or any extensions to existing contracts. We typically don't forecast it in our numbers. What you saw in Q2 is kind of exactly that phenomenon where we were surprised by a little bit higher managed service revenue than we had in Q1. Currently, we don't expect that to continue into the second half. Got it. On the cost side, OpEx is basically flat despite revenues up 33% sequentially. At some point that can't be sustainable. How do we think about OpEx in the second half? Yeah, thanks. I think what we're trying to show in the model there, what we are showing in the model is operating leverage, Rich. We made some pretty significant investments in the back half of last year and really in Q1 of this year to operationalize more of our technology. Part of what you're seeing on the OpEx there is a lack of need to add more revenue. I think we are, right now we've got the team that we well above what we're currently looking at for 2025. I don't expect that you'll see OpEx growing going into the back half of the year, although a need may come up. We feel pretty good about the OpEx number. Just to add a little bit more cover. Basically, we are accruing for our current forecasted range as far as bonuses and variable comp, so there's no kind of throw up in the back end of the year. I would agree with Steve that you can expect roughly the same run rate in the second half as in the first half. Okay, I'm trying to make this mean, but the ARPU of your top 20 grew pretty strongly, but at the same time they're a smaller percentage of total revenue, so fell from 66%- 59%. It argues that, you know, the rest of your non-top 20 revenues are growing faster. You know, is that a function of faster logo add, do you think? Or is it a function of the ARPU for those non-top 20 growing at an even faster pace? Thanks. Yeah, it's really a function of those under the top 20 starting to grow a little bit faster. I mean, we had, I think we shared broadly on the last call, we had a couple of sort of mid-size or smaller accounts start to join the ranks of some of the bigger, larger top 10 that we've been mentioning, which we think we've been very encouraged by that. The growth in the mid-cap and small businesses is accelerating and we think that's going to continue to happen. It's not that the top 10 is doing worse. In fact, the average revenue per top 10 continues to improve off of what we shared last time. We're feeling pretty confident going into the back half. Great, great question. Thank you. I always think I'm last, but let's do one last one. If I did a Rule of 40. 40 on the quarter, I get 20% adjusted EBITDA and 55% growth for 75% and at some point that's almost a ludicrous number. Again, do you feel like the OpEx side needs to kind of grow all quicker to keep up to this pace? I know it's a digital and scalable business, but it's sort of hard to grow this fast sometimes without having to. Invest in the business. Ed, I'll let you comment on that one again. Sure. Look, as we said, it's a one quarter phenomenon right now. We're not projecting anything near that growth rate for the year. I can tell you internally we don't feel overly stretched or stressed by this kind of growth rate at all. If it continues to grow even at half that rate, we feel like we're well staffed and equipped to handle the growth rate up to a certain point. Obviously it's not going to last forever, but certainly in the foreseeable future. All right, I'll leave it there. Congrats on. Congrats on amazing quarter. Thank you. Appreciate all the support. Our next question comes from Eric Martinuzzi with Lake Street. Please go ahead. Yeah, I wanted to dive in on the contracted revenue being up 30% year on year. What can you tell us about the types of revenues that are contracted here? Are these pointed at the DTC? Are they at practitioners? The length of the campaigns, are we talking, you know, 60 days spend, a six- month spend. Hey Eric, great, great to hear from you. I'll give it a little bit of voiceover and then have Ed and Andy chime in too. Contracted revenue right now is following the exact same product mix that it has in the past. It's a blend of HCP and DTC business, both businesses growing at really solid rates I think at this point. In terms of revenue lines, we are seeing, you know, good growth in our audiences. Our DAPs, our DAP business continues to grow at probably an outsized pace, which is good for us. We're not breaking apart. As you know, DTC and HCP revenue be treated as one business now. Not going to break that apart. In terms of the quality of revenues, quality of contracted revenue, specifically it's as good as it's been and we're feeling strong going into the back half. In terms of length of contracts, it's the same as it's been in the past. Nothing to report there in terms of multi year yet, although we're working on trying to lengthen those contract terms. Ed, anything you'd add? Yeah, no, I would just add that it's a broad-based ramp up in contracted revenues faster than I've seen since I've been here. Certainly to me it's a nice signal of adoption and appetite for what we bring to the market, certainly in the current year. When you say broad based, you're talking about both top 20 and below top 20, is that what you mean? Yeah, yeah. As you can see, you got top five growing nicely, top 20, and then beyond that. Since we don't disclose the actual mix underneath the hood, both HCP and you can see that the business are performing really well. Got it. Thanks for taking my question. Sure. Good to hear from you. Our next question comes from Anderson Schock with B. Riley. Please go ahead. Hi. Thank you for taking the questions, and congrats on a really impressive quarter. Could we just talk a bout the reduction in top 20 pharma revenue concentration? Are there better contract economics with mid-tier pharma companies, and maybe do you have a target mix for this? Yeah. Andy, why don't we have you take that question? I think it's just a function of efficiencies being taken place at smaller cap companies. They're looking to save wallet and increase the ability to market efficiently since they have less dollars to be able to spend. Our technology is starting to be more proven, and we're just seeing them start to adopt at a faster rate. Keep in mind there's a lot more logos from the 20- 100 mark than there are in the top 20. While the dollars are less per logo t ypically, they are growing at a fast rate and starting off at a smaller base, if that makes sense. Okay, that's helpful. On the last call, you reported 5% of projected annual revenue converted to the DAP subscription contracts. I guess what percentage of your revenue is now subscription based? How should we think about the gross margin trajectory for the back half of the year as that subscription revenue continues to scale? Ed, why don't you take that one? Yeah. We don't break it out, but the 5% number currently still is valid. Right now we have kind of a pipeline line of sight to about 10% for the year, assuming the pipeline closes and converts. Okay, got it. Thank you for taking the questions and congrats again on the quarter. Thank you. Thanks, Anderson. The next question comes from David Grossman with Stifel Financial. Please go ahead. Thank you. Good afternoon, guys. Just a couple of quick follow-up questions here to maybe some things that were asked, I think last quarter. Steve, you gave us a metric in terms of your visibility on the year. Compare at the end of March compared to end of March last year. Can you do the same for us, you know, for the end of the June quarter? Yeah, thanks, David. It's good to hear from you. You know, we're not going to, we're not going to give a number on contracted revenue other than to say at this point we're 30% or better than we were s ame time last year. I think we're pretty confident in being able to share that if we're going to stop sharing an actual contracted revenue number and that we're not sharing, we haven't been sharing a pipeline number throughout. What we shared with you last time is still valid. Just think of that growing at a 30% clip or better, and that's kind of where things are. Got it. In terms of your year always being so back and weighted in the fourth quarter, does that improved visibility reflect the outperformance in the second quarter or does it give us better visibility on the fourth quarter? That's a great question. It gives us better visibility on the fourth quarter. I think we feel more comfortable, which is why we've increased guidance and given a better view into what we t hink the full year is going to. What we don't have currently baked into our visibility is really the buy up seasonality that we've seen in this business year-over-year in the fourth quarter, David. We've not included that in the forecast or the guidance. I think that's in line with our general sort of conservatism that we're going with here. If you're, and I know you know this business intimately, we've not added any number for the fourth quarter into anything that we've shared, nor will we. I think you and Ed mentioned managed services, and we all know the episodic nature of that and unpredictability. As you look at the outperformance in revenue in the quarter, how much of that was managed services versus other areas of the business? We don't break it out. I wouldn't look at as in the quarter, I would look at it as in the first half. There's still some opportunistic managed service revenue coming in. We've taken that into account and what we've shared for the second half in terms of our restating and projection on the guidance, the increase, and what's reflected in our increased guidance takes that into account. Ed, I don't know if there's anything else you'd want to say on that. I mean it's clearly material. Right. Material to an extent of changing the phasing or skewing the phasing of our revenue burn through the year, but certainly not material enough to be, you know, the vast majority or even the majority of our business. It's certainly a number that's meaningful, but I would look at it as the key driver of Q2 performance. Got it. Just one other follow up on the operating expenses. I know you said flat in dollars, the balance of the year. Is there anything you can help us to understand as we think about, I mean, you did say you were comfortable with the revenue. I think I heard you right. You said revenue and margin for next year in consensus. How do you want us to think about the leverage in the business going forward? Any kind of signpost you can give us be helpful. Sure, sure. Ed, why don't you take that? Yeah, yeah. I would say, you know, this year from an OpEx perspective is relatively big. I would kind of utilize what you're seeing right now as a run rate going into next year. I would apply the typical, you know, merit increases, variable comp increases that come along with a growing business. As far as, you know, major investments are concerned, I think we can run this business with roughly the same headcount, probably to $150 million in top line or thereabouts. Any additional investments would be more strategically oriented. That probably have to do with either investments in additional channels or technology expansion to continue to expand their portfolio of solutions, and those will be capitalized. Got it. All right, great. I guess the only other question really is a higher level one on just what you're seeing out of pharma. It's been all over the board in terms of their results this quarter. They've got some regulatory headwinds they're dealing with. Is there any kind of flow through that you're seeing one way or another as you kind of talk to some of your larger pharma clients, or is this all just kind of business as usual for the most part? Thanks, David. I mean, we're definitely seeing that pharma is more focused on efficient ways of driving revenue. I think they're still digesting what's going on in the general regulatory environment also with the White House and some of the fundamental changes there. The focus we're seeing there is looking for efficient ways to continue to communicate with patients and physicians and drive revenue and script, and we're lucky that we're in a good strategic position in terms of driving revenue in a very efficient and cost effective way at scale with reach. What we're also seeing is as they're evaluating other players that are in the marketplace, when those players have a lower reach, less reach than we might or are less accurate, can't prove out revenue, they don't have the ability to provide reporting or insights. Pharma is very quickly moving past those businesses and moving on to businesses that can provide them the data and the analytics that they need to continue to invest. That's kind of a macro trend we're seeing across the board in digital. You can kind of see it in all the businesses that you guys follow. You'll start to see it more and more prominently. Right. All right, guys, good luck. Thanks again. Thank you. Thanks, David. Our next question comes from Jeff Garro with Stephens Inc. Please go ahead. Yeah, good afternoon. Thanks for taking the questions. Maybe follow up on the last one on the macro environment and those trends that you discuss. Curious how much that's, you know, potentially leading to any pull forward of spend given the potential uncertainty looming around some of those topics, and then how those different trends that you discuss are impacting the early feel that you're getting on the selling season. It sounds like there's still a bit of energy and positive trend and indication at least towards OptimizeRx, but would love to hear more on kind of how the environment impacted Q2 and the first half in terms of pull forward and then how it's impacting the go f orward view for your customers. Thanks, Jeff. Yeah, we're not seeing any pull forward right now in terms of revenue that's coming in. We are seeing a willingness to engage in conversations a little bit earlier and make plans for the back half earlier, which I think is good. Our contracted revenue is very smooth i n terms of what we would anticipate for the year. Not a traditional kind of spend the money now because we don't know what's going to be there in the back half. We're not seeing any signs of that o ur commercial team continues to report b ack that second half. They feel as steady as we've shared, as you've heard from Ed, myself and Andy. Nothing on the pull forward regarding the second part of your question around investment or looking at companies like OptimizeRx. I think the most important thing they're looking for is the ability to continue to connect with doctors and with patients in a digital way that's efficient, and we are still one of the only players out there that can do it. We are arguably the only player that can really do it at scale across DTC and HCP. I think they're starting to realize the economies of scale sit within this business, and that's why you're seeing a longer term investment being made, I think, in the business. Andy, you're tracking this very closely too. Let me put it over to you and have you add any color that you'd like. I think you really hit the nail on the head there, Steve. I don't think there's much of a pull forward at this point in time. I think pharma is really engaged with the digital channels, and I really think what's going on right now, you're seeing them move to ROI, more efficient channels, and there is some risk with general trends from the new administration. I think that's more affecting legacy ways of commercializing the business and is actually resulting in companies leaning forward more into digital. Excellent. Thanks for taking the questions, guys. Appreciate it. Congrats again. Yeah, thank you. Thanks, Jeff. Thank you. Thank you. This concludes our question- and- answer session. I would like to turn the conference back over to Steve Silvestro for any closing remarks. Thank you, operator, and thank you all for joining us today. We're excited to be building our strong operational and financial momentum. Our foundation at OptimizeRx is solid w e're confident in the path ahead. What you heard today makes us confident. In our abilities to hit our short t erm and long term targets, and I remain very enthusiastic about the future of our business. We look forward to speaking with you again on our next call and in meeting many of you in the upcoming investor conferences and one on ones prior to the next earnings call. Have a wonderful evening, everybody. Thank you. Thank you, Mr. Silvestro. Before we conclude today's call, I would like to provide the company's Safe Harbor statement that includes important cautions regarding forward-looking statements made during today's call. Statements made by management during today's call may contain forward-looking statements within the definition of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements should not be used to make investment decisions. The words anticipate, estimate, expect, possible, and seeking, and similar expressions identify forward-looking statements. They may speak only to the date that such statements are made. Forward-looking statements in this call include statements regarding our growth plans, plans for shareholder value creation, becoming a Rule of 40 company, transitioning to a subscription-based model, achieving our goal to help patients stay present throughout the patient care journey across our integrated HCP and DTC business initiatives being implemented by new administration, cost management, targeted upselling, estimated 2025 revenue and adjusted EBITDA ranges, estimation of total addressable market size, market penetration, technology investments, growth opportunities, acquisitions, and upcoming announcements. Forward-looking statements also include management's expectations for the rest of the year. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether because of new information, future events, or otherwise. Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified. Future events and actual results could differ materially from those set forth in, contemplated by, or underlying these forward-looking statements. The risks and uncertainties to which forward-looking statements are subject include, but are not limited to, the effects of government regulation, competition, dependence on a concentrated group of customers, cybersecurity incidents that could disrupt operations, the ability to keep pace with growing and evolving technology, the ability to maintain contracts with electronic prescription platforms and electronic health records networks, and other material risks. Risks and uncertainties to which forward-looking statements are subject that could affect business and financial results are included in the company's annual report on Form 10-K for the year ended December 31, 2024, and in other filings the company has made and may make with the SEC in the future. These filings, when made, are available on the company's website and on the SEC website at sec.gov. Before we attend today's conference, I would like to remind everyone that an audio recording of this conference call will be available for replay starting later this evening, running for a year on the Investors section of the company's website. Thank you for joining us today. This concludes today's conference call. You may now disconnect your lines.