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CFO Anna Bryson confirmed visibility is better than ever, crediting stable client budgets and internal initiatives. Key steps include moving clients to longer-term, multi-module integrated programs with immediate start dates and leveraging the client portal for better upsell cycle insights. She expects visibility to improve further as more clients adopt these 12-month integrated offerings.

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CFO Anna Bryson clarified that while the initial percentage was higher last year, strong upsells throughout the year meant the starting contracted amount was closer to 60% of the final total revenue. Therefore, starting FY2026 at 'just under 70%' is a prudent position. She added that the current guidance is more heavily weighted towards renewals, reflecting caution about the variability of upsells in the current environment.

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CFO Anna Bryson highlighted the rapid growth in deal size, noting the first $10 million-plus brand was only two years ago. While stating there seems to be 'no limit yet' to brand investment, she cautioned that it is 'too soon to tell' how these large upfront commitments will impact the mid-year upsell season, as the focus has been on the annual buying cycle.

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CEO Jeff Tangney acknowledged that the portal addresses a past weakness of not being the 'easiest to buy' despite having the best product. CFO Anna Bryson commented on the market outlook, stating that while pharma remains under-indexed digitally, near-term budget growth is expected to stay in the mid-single digits following a post-pandemic 'digital detox.'

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CEO Peter Anevski clarified that 'demographics' referred to the industry mix of early client wins, which have higher utilization rates, thus yielding comparable expected revenue despite slightly lower committed lives so far. He also stated that the company is not seeing any change in utilization patterns related to tech industry layoffs.

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CFO Mark Livingston clarified that underlying revenue growth is in the teens when excluding the departed client, and margins would be expanding if not for specific P&L investments in platform integration. CEO Peter Anevski explained that since member engagement is clinical, the company lacks deep insight into personal decisions that cause short-term timing variability.

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CEO Pete Anevski confirmed the 300,000 federal lives remain on a benefit that does not include the full medical services. He and President Michael Sturmer described the new client cohort as diverse, spanning nearly two dozen industries and having a size distribution that closely mirrors Progyny's existing client base, with a particularly strong season for 'jumbo' accounts.

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CFO Richie Jain stated that demand remains strong, with constructive renewal and scale-up conversations ongoing with large pharma customers, most of which occur in Q4. He acknowledged the biotech segment remains challenging. He clarified that the year-over-year decline in on-prem revenue was due to the timing of multi-year deals, while hosted revenue experienced strong growth.

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CFO Geoffrey Porges clarified that a large contract had elements renewed in both Q4 and Q1, contributing to on-prem revenue, and separately noted the Novartis deal boosted drug discovery revenue. CEO Ramy Farid stated that interest in their tox solution has increased from biotech companies, while discussions with large pharma were already deeply engaged prior to the FDA's announcement.

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CEO Oran Holtzman confirmed the significant opportunity, stating the initial launch will focus on acne and hyperpigmentation, where they have strong offerings. While products for eczema are ready, the initial push will be smaller. He highlighted that a large portion of Oddity's existing 60 million users suffer from these conditions and were used as design partners, providing a strong foundation for the launch and future category expansions.

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Global CFO Lindsay Drucker Mann explained that Brand 3's lower gross margin is due to the prescription component, which has higher costs like doctor networks, but affirmed the overall unit economics are expected to be very strong. CEO Oran Holtzman added that for Oddity Labs, the company uses a dual approach: pursuing M&A for strong pharma teams and partnering with external platforms to accelerate discovery and supplement internal capacity.

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CEO Dave Guilmette clarified that the delayed deals impacting 2025 revenue were primarily smaller, mid-market opportunities in areas like leaves, navigation, and retiree health, where delayed start dates push revenue into 2026. He attributed the issue to a mix of slower decision-making and execution challenges. On the sales team, Guilmette stated that his direct market involvement revealed a need for deep domain expertise to win deals on the margins, especially in complex specialty areas like leaves and navigation, to better articulate Alight's value proposition.

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CEO David Guilmette explained that Q1 project revenue performed as expected and that Q2 is crucial for visibility into the second half of the year. He also clarified that the 30% pipeline growth is broad-based across core admin, leave, and navigation solutions. CFO Jeremy Heaton added that first-half project work is typically more discretionary, and they expect an improving profile in the back half of the year.

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Randall Lipps, Founder, Chairman, President & CEO, stated that while the recurring revenue mix is growing slowly, new product cycles like Amplify and a growing consumables business will continue to drive product revenue. He estimated that only about 10% of business goes through Omnicell's own leasing facilities. He noted that higher interest rates could potentially shift behavior toward leasing, but it's a slow movement.

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Executive Kathleen Nemeth clarified that the strong 2024 bookings created a robust backlog, ensuring a "rich mix of XT revenue throughout 2025." CFO Nchacha Etta confirmed that gross margins are expected to improve. He cited two key drivers: the continued scaling of higher-margin SaaS and Expert Services, and the growing revenue contribution from the new XT Amplify and XTExtend products, which carry "even better margins."

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CEO Randall Lipps confirmed they are 'substantially through' the G-Series to XT upgrade cycle from a bookings standpoint and that Amplify provides access to both new hardware and software. CFO Nchacha Etta stated that Advanced Services is expected to grow around 14% for the full year and will contribute more to overall margins as it scales. Lipps added that double-digit growth is expected next year, highlighting the strategic shift to reporting ARR.

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CEO Shawn O’Connor explained that the Q4 margin pressure is primarily due to a top-line revenue step-down, as cost savings from the recent reorganization will not fully impact results until later. He attributed the lower renewal rates to specific client consolidations affecting GastroPlus and Monolix, but stated he expects the long-term rate to return to the historical 90-95% range.

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Executive Shawn O'Connor clarified that the Pro-ficiency (ALI) software business is tied to clinical trial starts, which were slow in Q2. The MC unit, however, won a significant contract with an existing client, expanding support to a new drug. He highlighted cross-selling as a key strategy to increase average revenue per customer. O'Connor explained the shift in seasonality, with a stronger Q4, is driven by the more continuous revenue from the acquired ALI/MC businesses and the back-half loading of service project starts.

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Executive Shawn O'Connor clarified that the commentary was meant to manage expectations for Q2 consensus, not to signal a major shift in seasonality. He noted that guiding to 24% of full-year revenue in Q2 is not a significant deviation from historical norms (e.g., 26% in the past). He explained that while some project activity will naturally push to the back half of the year as budgets are finalized, it does not represent a major change in their outlook.

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Executive Shawn O'Connor explained that the fiscal 2025 guidance is conservatively based on current market conditions and does not assume a significant reacceleration in the biotech market, though the company is poised to benefit from any improvement. He clarified that the GastroPlus renewal 'slips' were primarily timing issues related to paperwork and not non-renewals. However, he did note one instance where a client's M&A activity and site closure led to a change in their license needs.

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President and CEO Scott Cutler and CFO James Lucania clarified that the $3 million represents direct reimbursements to members, down from $11 million in Q4, and that there is no update on insurance recovery, nor is any included in the guidance. Cutler detailed that new investments are successfully targeting account takeovers, fraudulent fund transfers, and card-not-present transactions, resulting in sequential monthly declines in fraud.

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EVP and CFO James Lucania confirmed the improvement assumes both factors: stemming the event-driven fraud costs and continuing the underlying progress in reducing unit service costs. President and CEO Scott Cutler added that strategic investments in a secure mobile experience and service modernization to automate member interactions are key to driving down costs while improving the member experience.

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President and CEO Jon Kessler attributed investment growth to the BenefitWallet transition offering new options, refined year-round digital outreach strategies, and market gains. On the job market, he noted guidance is macro-neutral. Vice Chair Dr. Steve Neeleman added that the sales team remains enthusiastic, as economic softening often drives employers toward cost-efficient consumer-directed plans like HSAs, providing a partial hedge.

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CFO Balaji Gandhi confirmed the metric's strength is a reflection of several factors: adoption of new products, expansion within the existing client base, and a focus on landing larger new clients. He noted that the growth is broad-based across recently launched products rather than being driven by a single module.

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Executive Balaji Gandhi clarified that the acquisitions have been contributing to growth as expected. He also stated that while the company values flexibility, its priority for capital deployment remains on driving profitable, durable growth, rather than share repurchases.

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Executive Balaji Gandhi stated that while it's too early to claim full monetization, Phreesia is pleased with the progress. He emphasized focusing on total revenue per client, which is expected to increase, rather than isolating the subscription revenue component.

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Executive Balaji Gandhi indicated that Network Solutions will continue to grow as a percentage of total revenue over time but declined to provide specific line-item forecasts. He also clarified that comments about free cash flow generation were about strengthening the company and investing internally, not signaling specific inorganic M&A plans.

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CEO William Feehery confirmed that interest in animal model alternatives is broad, citing a recent webinar with over 800 registrants from biotech, large pharma, and government agencies. On tariffs, CFO John Gallagher noted some existing slowness in Tier 1 decision-making but no new customer behavior specifically linked to tariff concerns. Feehery added that Certara is insulated from direct tariff impacts, as any effect on R&D budgets would be indirect.

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CEO Wendy Barnes stated that 8 of the top 10 pharmacies are now on direct or hybrid contracts, based on each pharmacy's preference. CFO Chris McGinnis added that the specific mix is 'somewhat irrelevant' to GoodRx, as its multi-channel capability allows it to optimize transaction routing to benefit the patient and pharmacy, which ultimately drives the company's economics.

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Interim CEO Scott Wagner stated that over 30% of total volume now flows through direct or hybrid contracts. He explained that GoodRx follows each retailer's lead on contracting structure and that direct relationships allow for more latitude in helping retailers manage their categories, merchandise, and promote offerings.

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