Celebrus Technologies plc (CLBS) Earnings Call Transcript & Summary

Good afternoon, and welcome to The Celebrus Technologies plc investor presentation. [Operator Instructions] Before we begin, I'd like to submit the following poll. I'd now like to hand you over to Bill Bruno, CEO. Good afternoon, sir.

Thank you, Charlie, and thank you, everybody, for taking the time today. Both Ash and myself here, we'll spend time walking you through the final results for the period ended at the end of March of this year. We've got a bit of an agenda here squared away for you guys to cover off some of the standard stuff that we always do. So I'll cover off on the operational highlights and some of the adjustments we've made as a business. I'm going to talk through some of the innovation and functionality in the product and the direction that we're heading with the product. And then I'll walk -- I'll turn things over to Ash to give a financial review and review our outlook as well before we open up the floor to questions. Again, don't forget to use the Q&A panel. Thank you to those that presubmitted some questions. We always tend to leave a lot of time here to try to get through as many of those as possible as we want to make sure that you all are comfortable and kind of understand where we are, where we're going and the investments that we're making as a business. So please don't be shy. From an operational standpoint, I think the -- if you've read the annual report, if you've read the RNS and my statement, you kind of -- you've already got a flavor for this. But I think from a perspective of looking at the year in review, it's a mix of some really good things and some things that I wish were better, to be quite honest. I think the first thing, first and foremost, is we retained all of our customers. That was a fantastic job by the team. Our platform has always proven to be quite sticky, but retaining all of our customers in this market, I think, is a big win. Obviously, within that was some unfortunate situations where we had a couple of our customers divest some elements of their business, which meant that we were collecting less data for them, which is one of the 3 main sort of levers, if you will, for how we price our software, the 3 levers being the amount of data that we collect, the features required to deliver the use cases and the integrations, where and how we're sending the data and how often. The good news, despite that walk back, which equated to about $0.6 million in ARR, was that it would have been more than that had our customer success team not upsold both of those customers in different manners to -- in different features, functionality in some of our cloud services for one of the customers in particular. So again, it's a bit of good and bad. retained them all, had that $0.6 million walk back through the divestitures, but that $0.6 million would have been more had the team not been successful at upselling them and making sure that they were getting value from other features. From an overall business perspective, when we look at what matters, which is ultimately our Celebrus ARR growth, you'll also know that from an ARR growth perspective, we've talked about this in the past. In the past, our goal was 20% year-on-year for that growth. We finished just north of 10% when you factor in that $0.6 million walk back that I previously mentioned. If that had not happened, we would have been around 15-ish percent, but it's still not good enough. The new logo side of the business, while growing and while we had a good strong first half last year, as we highlighted in the trading update and I'll highlight further here, the second half was not as strong as it pertains to new logo generation despite being strong with renewals and upsells. So ultimately, that left us with some decisions to make as we went through the end of last year. And some of those decisions were to frankly start making some adjustments to learn from past mistakes, learn from the data that we had collected and try to, again, continue to evolve our go-to-market structure to bring more consistency for new logos. So as part of that, we've moved all sort of qualification and lead generation into our marketing team headed up by our CMO, Malini. We moved all renewals and upsells over to customer success formally, headed up by Maigari on our team internally globally. And we focused our sales team purely on new logos. The reason that we outlined some of those changes is there was a bit of overlap. And this is just from the business having been structured the way it was even before Ash and I stepped in, but where some of the existing accounts, once a salesperson closed it, they would manage parts of those accounts and kind of drive that forward. We wanted to build purely a new logo sales team incentivized purely on closing new business and move all of the incentivization for upsells and renewals into customer success to make that clean, make the targets and structure more clean and ultimately keep everybody focused on the right areas of the business that they needed to be focused on. Behind that has been quite a bit of process change in terms of how we're qualifying deals, how we're engaging deals, how we're demoing the platform and how we're selling. And if you've dug in at all to the annual report, you'll see some of this kind of coming out. It's hard to kind of put all of this into the RNS. So there's some really nice figures and sort of designs and walk-throughs of this in the annual report if you haven't reviewed that yet. But ultimately, there's sort of 3, I'll call them, set plays in light of the World Cup, but the 3 set plays that we're running in new business. The first is what we're calling Audience Accelerator, which is ultimately all of our identity and profile capabilities that sort of relies on the strong IP that we've built in the platform over the years. The second is what we're calling Insight Recovery, which encompasses all of our analytics features as well as our new AI capabilities that I'll touch on here in a moment. And the third is what we're calling sort of Real-Time Automation. Think of this as where we become a data pipeline to really any of the other technology vendors that we integrate with or that we've talked about historically, things like Salesforce, Pega, Databricks, [ Teradata, Braze ], et cetera, et cetera. And it's ultimately our system just landing data in those platforms for business users to get value from that. From an Insight Recovery perspective, the Celebrus platform, going all the way back to when it first entered the market under a different name in 1999, has always been a very technical platform. It's a platform that I've worked with to varying degrees going all the way back to about 2003. And it was always very tech-focused. What we've done over the last 4 years is bring additional business interfaces to the platform to bring the platform closer to business value to make it to where the main stakeholders happen to be the same people who are owning all of the marketing, media and advertising budgets in organizations because that's where ultimately, the money and the funding sits. And so we launched digital analytics a few years ago. We launched some BI platforms. We launched some churn models and things like that if you've been following our stories. And what that's now culminated in is quite a large launch that we just did a couple of weeks ago, which is the launch of our Celebrus AI platform. And what comes with that is our data model that's been the bread and butter of our platform for quite some time in helping make digital data make sense and giving it a structure. And we've now optimized that for LLMs and bring all of this into the market, all underneath the banner of our Celebrus Cloud hosted model for our customers in a way that is open, and I'll cover some additional detail about that here shortly. From FY '26, as I mentioned, it was kind of a tale of 2 halves. The first half was quite strong with new logos. The second half was quite strong with upsells. What we're obviously looking to do is maintain our customer retention, but also bring additional consistency to new business. At the end of the year, we talked about 4 deals that were intended to sign in Q4 that did not. I'm pleased to report that one of them, the first one there under FY '27, the U.S. leisure group has signed on. There's another one lingering behind that, and the other two, we're still working through. But in addition, we added in a new logo for an EMEA lottery website. We secured one of our big 3 renewals. There's about 15 renewals, I think, if I remember correctly, from our plan throughout the year, but there's 3 that add up to the lion's share of the ARR contribution. I'm pleased to report that one of those signed right in April with a decent size upsell of about 20%. And one of the other ones just signed last week and signed on for an extension. And the other large one is in procurement with some numbers already pre-agreed. So all things considered, looking across the renewal landscape, things are looking quite good. We also, throughout -- in the first quarter of this current fiscal year, launched 2 additional POCs. We try to avoid POCs where possible, but if it can speed up the sales process or if it's a process requirement in the brands, we're not really going to waste time. We're just going to dig right into that. So we've launched a streaming service for fraud -- or a POC, excuse me, for fraud with an EMEA insurance company. And we launched a marketing POC for a U.S.-based and somewhat global streaming service. Everybody always asks about the pipeline. I mentioned that we've gotten a lot stricter in the processes and how we're qualifying that pipeline, but we also have some strong stable pipeline building in the background, not only in the form of named deals that are moving through the various stages of our pipeline, such as an online sort of share trading fintech platform. We have a healthcare company and a couple of U.K. retailers as well and a few others that come top of mind to me that are currently being worked. But what we've also seen as a result of the structure changes and some of the investments that we made last year that have started to show quite a bit of promise is a lot of really strong top of funnel metrics improvement as well from last year to this year. So all things considered, we're happy with the success that we're seeing thus far, but there's obviously a long way to go in us bringing confidence to the market and confidence in all of you that we can deliver. And that's what we're focused on right now as a business and what we continue to optimize around. I covered most of this already, but the ARR growth, as I mentioned, was 10.3%. Our revenue retention, had that walk back of those 2 financial institutions not happened, would have been north of 100%. But from a customer success perspective, we are seeing quite a bit of benefits from having that function in place. The renewed focus of the sales team focused purely on new logos has allowed them to spend all of their time out in the market prospecting and adapting and moving deals through the pipeline. And marketing, the marketing team has done a fantastic job with the brand with evaluating where our investments should be. And we've got a lot of things that we're trialing this year that are new to us because we've built the functions in place to be able to support that, be able to measure the output and ensure that we're spending our money in the right places, but some things around lead generation, some newer events and also some agency support for things like business development, prospecting efforts, et cetera. We talked a bit about the sales plays already in go-to-market structure. So I'll leave this up here just as a reminder, but those 3 on the right, there are the sales plays that I mentioned, the set plays that we're calling at the line and that we're actually using to have clients just self-select. So we've built some really great storyboards and ways of presenting the Celebrus value in each one of those sales plays. And we have a very specific way now that we're testing, presenting that to brands. And we've got an AI behind that, that's helping us analyze what's working, what isn't and identifying where we might need to adjust our messaging, where we might need to make additional enhancements and improvements, et cetera. But it's been really interesting in the field seeing customers sort of raise their hand and self-select into these, which gives us good confidence at least early on that we've selected the right 3 lanes and that, that will lead to ideally a shortening of the sales cycles and a much more focused sales cycle at that. And then finally, I mentioned AI and some of the platform innovation. Nothing's really changed in terms of our cadence for product updates. We still do 2 updates a year. Those updates have a mix of security and just core enhancements to the platform and as well as feature enhancements. And this is -- the feature enhancement side is really where we focused our efforts heading in with this recent launch that we just announced in June. And the main part of that is the launch of our Celebrus AI capabilities. We've taken a really, I think, unique approach to this. The marketing slogan that they've come up with is that we're built for the moment. And the reason we use that slogan is because there's things that as a platform, we focused on going all the way back to 1999. I mentioned that we've always been very technically focused. And what that means is that our data, our ability to establish digital identities, our ability to make sense of digital and capture all of that data in a frictionless way really presents brands with a powerful opportunity to better leverage AI. If you read any articles these days when they talk about the failures of AI or stop starts or the loss in momentum, it's because the data quality is alarmingly bad. Well, that just so happens to be something that we've been focused on for a long time up until these last 2 years where we started to build these business interfaces. So for us, the addition of AI, while it was a monumental fantastic effort by our product team to bring this to market, in the end, it was quite easy in comparison to the other challenges that we've been solving for as it pertains to digital data. So what this ultimately is for brands, just as a final point here before I throw things over to Ash, is we've built an MCP server. Think of that as like an appendix or a glossary for a model. It basically build a road map for how to interrogate the data that Celebrus collects and stores in our data model. And we've built one for marketing and one for fraud. And so brands on launch now can either use Copilot, ChatGPT or Claude as the initial launch allows to plug directly into our AI environment and have a conversation and get data back, get reports back, get insights back, build customer lists and really drive a ton of business value without having to know Celebrus, without having to understand the tech, just speaking in plain English and just having a conversation. We built this in the background with several customers providing input. We selected Copilot, ChatGPT and Claude because it encompassed about 95% of our customer base in terms of the platforms that they were using and probably are the same platforms you all might be using as well in your own lives. And all 3 of those support MCP server connections like the ones that we've built. So this is a really exciting time for us as a platform. It's a huge leap for our business sort of capabilities. And it's been met really well here in the first couple of weeks of launch. We've got some early adopter clients that are going through upsell processes to get paperwork in place and get their hands on this capability. And this is just the beginning. We have a really strong road map for this and some interesting things planned for later this year when our second release comes out, which was always kind of around the holidays in the December time frame. So stay tuned to this space. Follow us on LinkedIn if you're not already because that's where we're putting a bunch of information out on a daily basis. And we're really excited to bring this to market. And we think this will not only help us grow our existing relationships with customers by solving for a lot of the key issues that they have, but it will also ultimately give us and has given us a really interesting story in the market from a new logo perspective, particularly around that Insight Recovery sales play that I mentioned on the previous slide. So again, I'll remind you, any questions on anything I've said, please submit it in the panel there on the right. And I'm going to throw things over to Ash here to walk through some of the financials and balance sheet elements. Ash?

Super. Thanks, Bill.

Thank you.

So before I get into the numbers, let me just remind you of some of the changes we announced this time last year in terms of our accounting and reporting. The most important one of those was the change to our customer contracts. So to remind you, historically, what we had done was recognize the whole of the license revenue on a customer contract in the month of signing for the full first year and then subsequently for year 2 at the anniversary in year 3 and so on. That gave a degree of lumpiness in our reporting. So you'll have seen historically, we had a first half, second half bias in revenues towards the second half and also sort of just confused the income statement because we make a profit in the second half but not necessarily in the first half. So a number of reasons why we changed, but that change has been put in place. And of course, it does have an effect of effectively dampening our revenue for this current financial year in the first instance. And the reason for that is if I give you an example, for some of the renewals that came up last December, historically, we would have recognized the whole of the year's revenue in December, i.e., 12 months' worth. But under the new revised contracts, what we're doing is recognizing 3 months of revenue because we're recognizing it on a month-by-month basis. We then recognize revenue for January, February and March. So just the 3 months. So that does have an effect on the FY '26 revenues. And because all of our contracts are generally 3-year contracts and coming up for renewal at different times, that impact will continue into this current financial year FY '27 and it will also continue into FY '28. So for the time being, the income statement probably isn't that representative of our performance. And so probably a more useful thing to look at would be the Celebrus ARR. That's the overriding metric that we regard as being important. And then the other metric to look at would also be the cash and the cash generation and the cash flow because for the time being, the software revenues are impacted by a few million dollars per year. And of course, that impact then flows through to the bottom line as well. The cost we incur for our customers haven't changed. They're exactly the same, phased month by month. It's simply the revenues that are changing. What also doesn't change is the cash flow. So the contracts don't change in that respect, although we recognize revenue on a month-by-month basis. We still continue to bill customers on signing and then every anniversary, and we receive the cash a couple of months after that. So we always get the cash upfront, and that will be always a reason for our deferred revenue increasing over a period of time as well. One other change we introduced last year with our cost of sales. So historically, when Bill and I took on our roles some years ago, this has been essentially a services business. And to that end, some of the services people costs were charged from OpEx into the cost of sales line, and that typically gave us a gross margin of somewhere around 55% or thereabouts. Obviously, with the transition that we've put in place over the last few years, this is essentially a software business now, and so we feel that it was important to change the way we report our cost of sales. We do not charge people up from OpEx into cost of sales. So when you look at the cost of sales line, it's effectively the cost of our AWS services for our customers, and it's also some third-party costs in relation to delivery of the Celebrus platform. And that's why you see a margin now which is this year, 95.3% for software revenues, and we've restated last year's numbers also as a like-for-like. This number, you should expect to be somewhere in the high 90s, somewhere, 92%, 93%, 94%, thereabouts. And that's important to pull out because this gives you a sense of the operational gearing within the business in that as we grow revenues, a large part of those revenues flow through to the bottom line and certainly to the gross margin line, but we see economies of scale in our OpEx. And I'll talk about that in a few moments in terms of what this means for modeling the business going forward as we increase revenues and ARR. So in terms of the financial highlights, I think I've spoken about a number of these. I suppose the other point to draw to your attention is the full year dividend. So that has gone up 3.7%. I'll talk a little bit later about capital allocation and what we do at our healthy cash balances of $32 million. But for the time being, we continue to grow our dividend by somewhere between 3% to 4% per annum. Let's go there. Slide 11. So let's start off with annual recurring revenue. As Bill said, we grew our Celebrus ARR by 10.3%. This waterfall should be quite useful. It shows you how we went from $13.6 million at the start of the year to $15 million at the end of the year. And what you see here is a number of columns. The first column is the new logos. So the new logos we have announced during the year, and we've signed added $2 million to our ARR. We had some upsell of $0.3 million. And then in the next column, you see the kind of the downsell, let's call it. We didn't really lose any customers, but those 2 customers that Bill referred to led to $0.6 million of that $0.7 million downsell. And there was a little bit of sort of other and FX and all of that. Obviously, most of our contracts are in USD. We report in USD, so there's no FX impact there, but we do have contracts in GBP and in euros primarily. So they do have an impact in terms of our FX. The interesting point here is although the net growth was 10.3%, if you strip out the downsell, the underlying gross growth was 16.9%, and that's more in line with the target that we've set ourselves at 20% per annum. So moving on to the income statement. As I said at the start, the income statement is probably not representative particularly of how we're operating because of the dampening effect on revenues of this change in revenue recognition. But I think the key points to draw out here are that the gross margin, obviously, is very healthy. The software gross margin is healthy. The other key point to draw out here, two points. Firstly, our OpEx. So we had put in place at this time last year, a cost reduction program. We felt that was the right thing to do in light of some of the changes we were going through and some of the challenges at that time. We've also utilized AI over the course of the last 12 months and also other operating efficiencies, and that enabled us to get our OpEx down from $22.9 million in the year before to $21.2 million in the year just gone. That OpEx will increase in the coming year. We continue to invest in key roles. So whilst we look for further efficiencies, those efficiencies will lead to redeployment of certain people to be more customer-facing primarily. So OpEx will increase during the year. Another important point here is the finance income. So yes, we have a very healthy cash balance. We pay a dividend. We've done a share buyback, and I'll talk about that in a few moments. But the cash we do have, we managed to put to work quite hard. And so during the course of the year, we received around $850,000 of interest income from our cash balances. An important point on the cash is that whilst we had $32.5 million at the end of the year, that is really kind of the peak balance during the course of the year. And the reason for that is that historically, a lot of our contracts were signed in December or January, around that time frame because they're linked in with our partners' year-end and our end customers' year-end. What that means is that when those invoices are raised in December and January, we received the cash around February-March. And so December is always the peak cash month. So you can deduce kind of what happens going forward through the course of the year. A typical low point in cash will be around sort of August-September, then we get back into a billing cycle through the kind of the -- our sort of Q3 and Q4, and then the cash balance comes up again towards the end of our financial year. So go. Sorry, to do 2 things at once. Not very good. Here we go. Right. So we made an adjusted profit of $0.2 million. And if we look below the line, there are some noncash items. So this is amortization, it's share-based payments. We also included in here some of the restructuring we did. So some of the one-off costs from some of the restructuring we did in some of our departments. And that leads down to a loss before tax of just under $1 million. And then we move to the tax line. And so last year, we had a relatively low tax rate of around sort of 12%, 13%, 14%. That was driven by a number of things. Firstly, the fact that we are well structured geographically with our 3 primary countries of operation, so India, the U.K. and the U.S., and we have effective transfer pricing agreements in place to manage our tax for those jurisdictions. But on top of that, we utilize very effectively, the R&D tax credit system in the U.K. and also the Patent Box system as well. So that's why our tax charge was so low last year. And this year, whilst we made a loss, we have a tax credit of around $0.5 million. And that's as a result of those 2 initiatives that I mentioned in the U.K. That brings us down to a loss for equity shareholders just under $0.5 million, and that equates to an adjusted diluted EPS of $1.04 per share. And we quote this in cents, of course, because we report in U.S. dollars. You can easily kind of translate that if you wanted to compare to the dividend or the share price if you want to convert it into pence. Okay. So moving on to the balance sheet. Nothing particularly dramatic here. I think you'll see if you look in the second row, the other tangibles, and that has gone up during the course of the year. That's as a result of our capitalization of R&D. So we capitalize R&D during the course of the year, we put in place a new process and system to capture data at a very granular level in terms of what's qualifying and what isn't. This is beneficial in 2 ways. Firstly, it enables us to have our R&D tax credit and our Patent Box applications very defensible by the time we spent and hence, the amount we can claim back through very granular hour-by-hour time collection of each of our employees and the tasks that they're doing. The other advantage here is that we were getting pressure from our auditors to capitalize more. We had historically been capitalizing as little as we could. But basically, we are now in the process of capitalizing based on this new methodology and system, and that increases our capitalization from historically around $0.6 million a year to around sort of just under $1 million a year. So this balance goes up, it will continue to go up. And of course, it will then have an impact on our amortization of those balances as well in due course. The item just below that, property, plant and equipment and other, that's gone down. That's comprised of 2 things. One is literally the physical assets that we have, which aren't that many because it's mainly sort of hardware, laptops in service and those sorts of things. The other item in here is the IFRS 16 property charges. And so as we wind down the leases that we have primarily in India and in the U.K., then this balance will come down. Trade and other receivables was $3.2 million. An important point within that was that our trade receivables were down to $1.1 million. We put in place tighter measures in terms of our cash control. We don't have any bad debts. We work through partners. We have blue chip end customers. Sometimes partner payments can be delayed. So we tightened those up. We are typically receiving funds somewhere around sort of 50 days or so after the invoice goes out. Moving down the balance sheet. I suppose the other point to draw to your attention is the deferred revenue. That's gone up from $7.1 million to $8.8 million. The reason why this is important is that it's kind of a sub metric, if you like, in terms of our growth. So because the more customers we win, the more we bill upfront and hence, the more deferred revenue we have, especially if we sign up a customer, say, in the last few months of the year, we'll obviously build the whole amount, as I said, the first 12 months, and we will recognize 1, 2, 3 months perhaps. The remainder will go into deferred revenue. So if you're looking at sort of underlying indicators of growth, this is quite a useful one to look at as well. On the bottom line, the net assets went down from $42.6 million to $38.9 million. Ordinarily, you think that's a bad thing. But in this case, it's very clear why that is. And there are 2 main reasons. That's a drop of about $3.7 million. $1.8 million of that was the dividend that we paid through the year, the interim and the final. And $1.8 million was the funds used on the share buyback. So moving to the cash flow. I think I've actually talked through a lot of the items on this already. What would I draw to your attention, I think you can see there the development cost capitalized, as I said, gone up from $0.6 million to just under $1 million. The dividend is $1.8 million, the share buyback, $1.8 million. And so that leaves us at the end of the period with a closing cash balance of $32.5 million. You'll see that the operating cash inflows were $4.9 million. As I said, that's also another good kind of sub indicator of our performance in terms of how much cash we're generating from billing customers, existing customers, but also billing new customers as well. And back to you, Bill.

Yes. So I think from an outlook perspective, we kind of touched on this already. We're very comfortable with the advancements we've made in the technology and what we're seeing in the conversations that we're having in the market. The pipeline, you always want more pipeline, but comfortable with what's in there now and some of the progress that we're seeing off the back of the changes that we've made. And our focus at this point in time is just continuing to execute and build on some of the wins and upsells that we've secured in Q1 and take that further here through the fiscal year that we're now in. And from there, we hope to bring more communication to the market. But again, I'll urge you -- as this comes up quite a bit and just something I want to call attention to again -- is if you are on LinkedIn, give Celebrus a follow on LinkedIn because we are extremely active there. And there's actually a lot of messaging that wouldn't find its way into an RNS that you'll find across LinkedIn, content that we're building, stories that we're publishing from partners and clients, et cetera. So if you're not doing that, please give that a follow if that's of interest to you because I think there's quite a bit there throughout the year that you might find interesting.

And then with that, we're going to go ahead and throw things over to questions. So Ash, I suggest we just roll through them. That's quite...

Take your pick.

All right. Quite a few. Let's see. I think you already touched on this one, but I think it's important.

Yes. Let me say one more thing about that, if I may then.

Well, let me read the question for the question. I'll summarize the question. It's a bit long. But in essence, given the business financial changes that we've made at the start of his section there, with our focus on ARR, there is -- the question is, what are 2 or 3 sort of operating metrics that shareholders should be looking at, irrespective of the fact that revenue is always going to lag behind ARR? So, Ash?

Yes. Thanks, Bill. So I think I mentioned during my guess calls, ARR clearly is a very important metric. If you're looking at others, operating cash flow, the cash balance is a key one. And you might like to look at the deferred revenue as well. I think those are the key sort of metrics and sub metrics. I will just reiterate again, and I think Bill touched on it also, is that for the time being, the revenue is not representative of what we're actually doing because of the subdued nature. As we go forward, even when we're past the 3-year transition phase, which will end at the end of FY '28, you will still find the revenue lagging behind because, of course, we signed something in the last quarter of a financial year. The ARR will go up, but we won't have the whole of that year's revenue. So revenue is important. But what it also means that as when you look at the future year's growth, there's already, if you like, an implicit in-built growth because if we signed a deal this year and we recognized 3 months of revenue, let's say, well, there's already sort of a further 9 months growth into next year's numbers. So when you're looking at sort of potential and forecast, that obviously is a factor. If you're looking at percentage growth of revenue, it's accentuated a little bit by that sort of full year impact.

Thank you, Ash. We've got another, it's a fun one. So the share price has plummeted in the past 4 months. Do you care to give your thoughts? I mean, I'll do it. I can give a summary, I suppose. I mean, I think from my perspective, I'm sure there's a lot of factors out there. I think from our perspective, when we talk about it as a management team and as a Board, we have to build consistency in our ability to achieve that 20% growth in ARR. I do think seeing some of the messaging in the space, I think that there's still -- whenever you transition like the one that we did with revenue recognition that Ash has so eloquently outlined today, this is the first time that we presented those full year's numbers under that. And I think whenever you do that, there's still confusion that will happen as we do the rounds. And I suspect some of that confusion will go away as we're better and better at explaining it. But I don't know, Ash, if there's anything else you want to add on that?

Yes. I think an important thing to add is that kind of what's under the surface in terms of what's happening within the company. And for us, our focus is to kind of just keep knuckling down and delivering ARR growth. That's the most important thing. And we believe that over time, the share price will find its level as to where it should be. Of course, at the same time, we have the challenge like all U.K. listed companies have of a flight of capital out of London into other markets. That obviously has an impact on share price and liquidity. But there's nothing we can do about that. We focus on what we can influence, and that's primarily driving ARR growth.

Ash, should we take this question here?

Sure.

So the question is around the holding of Mission Trail being at 29.5% and whether that is affecting our existing share buyback program. So I don't know, Ash, do you want to address that?

Yes, sure. We have a buyback program in place right now. We can complete that without any adverse effect on Mission Trail capital, which is this person said they're holding 29.5%. So that will not tip them above the 30%. So we're fine for the timing with the buyback program. Of course, we have an ongoing discussion at the Board meetings about sort of capital allocation. That will continue. I think the overriding factor for us as a Board is that we will do what we think is right for the business and for the general shareholder base, and that will drive our decisions as to what we do. But right now, Mission Trail's holding has not impacted on what we feel is the right thing to do.

All right. Thank you, Ash. So who do you see as your current and emerging competitors? Emerging is an interesting one. I think in terms of current competitors, on the marketing side, it continues to be Adobe and Tealium. And I'd say, the wider CDP confusion or customer data platform confusion, emerging competitors are going to be interesting because we continue to evolve the platform. And with the launch of -- the new launch of our Celebrus AI capabilities, I suspect that we'll run into some other competitors as a result of us building these additional business interfaces. And I think the key thing for us, and we have a lot of -- we've put a lot of process around this and a lot of thought into this is just making sure that we have our differentiators understood and that we're telling a very simple story. Hopefully, you've kind of picked up on that and just how we speak to all of you and how that's evolved over the years. We try to be as frank and with candor and try to make it as straightforward as possible to the best of our abilities. We're not always -- I'm sure we fall short in some areas, and we've exceeded in others in that regard. But this same type of approach and demeanor we take in the sales process as well. And that hopefully is how we continue to stay out in front of our competitors and help brands understand the value we would bring versus them depending on the use cases that we're discussing with those particular customers. Let's see. The next question. Can you give some color on the sales team? Given the level of the product, it feels like it should be flying off the shelves. I would agree. I think there's an element, though, that is quite interesting here, right? And this isn't meant by any means as an excuse, but we didn't have a direct sales team 4 years ago, right? And so in many ways, we've been building this from scratch, trying different personas, hiring different people with different backgrounds in the sales cycle. And all while doing that, we've been evolving and changing how we think about ourselves and talk about ourselves as a platform. It's been a bit of a moving target. I think the maturity that we've achieved, though, particularly in the last couple of years as we get at bats in the field and the sales team gets those at bats has allowed us to make some changes. It's made changes to how we actually qualify deals, changes to how we present the platform, the sales plays that I mentioned previously. There are things that we've built based upon our own data analysis of every call, every meeting and every deal that we've worked in the pipeline over the last few years. So we're practicing what we preach. We're measuring everything, and we're using that to change the talent that we're recruiting. We brought on a new Head of Sales for EMEA. We're recruiting another role in the U.S. to help us with the influx of leads and initial discovery conversations that are coming in and as part of the early-stage investment efforts of marketing that we're starting to see pay off. So again, we're going to constantly change. I'm a firm believer that you need to give things time to work. But if you see that something is not working, and this is the attitude we take everywhere across the business, then you need to make changes. You can't keep doing the same thing and expecting a different result. Let's see.

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