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Operator: Good morning. My name is Tiffany, and I'll be your conference operator today. At this time, I'd like to welcome everyone to the Organigram Global Fourth quarter Fiscal 2025 Earnings Conference Call. [Operator Instructions] I'll now turn the call over to Max Schwartz, Director of Investor Relations. Max Schwartz: Thank you, Tiffany. Good morning, and thank you very much for joining us today. As a reminder, this call is being recorded, and a replay will be available on our website within 24 hours. Today's call will include forward-looking statements. Actual results could differ materially due to a number of risk factors outlined in our filings and the cautionary statements included in our Q4 fiscal 2025 press release and MD&A. We'll also reference certain non-IFRS measures such as adjusted EBITDA, adjusted gross margin and free cash flow. Definitions and reconciliations are available in our disclosure material. Unless otherwise noted, market share data is sourced from Hifyre, Weedcrawler, provincial boards and retailers and our own internal sales tracking. Discussing results today are Tim Emberg, President of Organigram Canada; and Greg Guyatt, Chief Financial Officer; and we're also joined by our Executive Chair, Peter Amirault for closing remarks. As a reminder, investor inquiries not addressed on today's call can be directed to investors at organogram.ca. With that, I'll now turn the call over to Tim. Timothy Emberg: Thanks, Max, and good morning, everyone. We are really excited to share our Q4 and full fiscal year '25 results with you. Fiscal '25 was a busy and redefining year for Organigram. We strengthened our Canadian market share leadership, achieving the #1 market share position. We advanced our operational capabilities and significantly accelerated our international business. In Q4, we delivered record quarterly gross and net revenue, along with our highest adjusted gross margin and adjusted EBITDA since the end of 2019. In fiscal '25, we achieved record gross and net revenue, adjusted EBITDA, adjusted gross profit and record international sales. A key driver of this growth was our acquisition of Motif Labs, which unlike many transactions in the sector did not result in market share dilution in fiscal '25. This was a really big win for us and a true reflection of a full team effort. With Motif, we added a centralized distribution hub in Ontario, along with advanced extraction and production facility for vapes and pre-rolls. Today, with our 5 facilities operated across the country, we have greater control over our supply chain and are well positioned to address evolving consumer needs in Canada and abroad. In fiscal '25, we materially increased our overall yields and annual capacity at our Moncton facility without expanding our physical footprint. We achieved this by implementing more advanced cultivation practices, improved plant care methods and seed-based cultivation. We also continued to advance research and cultivation programs that support better quality and lower cost. A good example of this is the identification of genetic markers for powdery mildew that is now being bred into certain cultivars. Our investments in cultivation and plant care allow us to deliver the largest capacity output in company history, and we expect to increase flower output further into fiscal '26. We are also grateful to Opportunities New Brunswick for supporting our facility enhancements with a recent $2 million grant and by extension, supporting the economy of New Brunswick, where we currently employ roughly 700 Organigram staff. If we look at the Canadian market, in Canada, we currently hold the #1 market position with 11.9% market share in fiscal '25. Nationally, 3 of our brands, SHRED, BOXHOT and Big Bag O'Buds were among the top 10 cannabis brands in fiscal '25 by retail sales. For the 3 months ending September 2025, we held strong share in Canada's 4 largest markets: Ontario, Quebec, British Columbia and Alberta. We are #1 in all these markets with the exception of Quebec, where we ranked fourth in fiscal '25, but to continue to grow. We saw even higher market share across almost every other province, notably 34.2% in New Brunswick, 23.7% in Newfoundland, 14.9% in Saskatchewan and 12.2% in Nova Scotia. Category performance varied throughout the year. We saw gains in whole flower, edibles, beverages, non-hash concentrates and infused pre-rolls, while competition increased in vapes, milled flower and overall pre-rolls. Looking ahead to fiscal '26, we have several opportunities to grow in Canada. In Quebec, we recently launched our vape portfolio with very positive indicators to date and are extremely excited about other opportunities in the province, such as expanding our infused pre-roll line offerings and launching beverages. In line with our consumer-centric approach and dedication to innovation, we also have several compelling products launching this year that we know consumers will absolutely love. We are preparing to launch a new family of coated infused pre-rolls, new all-in-one vape hardware and in beverages, consumers can expect new formats and flavors, including the exciting launch of SHRED Soda. To support our beverage business, our manufacturing line in Winnipeg is now ramping up and expected to begin production over the coming months. The key focal point for us really in the Canadian business this year is increasing the margin profile of our domestic product mix and continue to optimize our operational footprint for capacity, throughput and streamlined logistics, work that also directly supports our international growth objectives. It's worth noting though that in Q1 of this fiscal year, we experienced a temporary market share impact as a result of the 8-week BC General Employees' Union strike, which ended on October 26. During the strike, only small-scale local growers were able to ship products directly to retail stores into the province, which affected the market share of most large LPs. We are already seeing a strong rebound towards a historical share in the province though. From an international front perspective, earlier this year, we formalized an international business unit focused on expanding our global footprint. The team's focus in fiscal '25 was on accelerating our international wholesale business and exporting our brands -- expanding our brands into new markets. We achieved 3 major international milestones in fiscal '25. First, we delivered the highest international sales in the company's history, reaching $26.3 million, up 171% from $9.7 million in fiscal '24. This growth was supported by our partnership with Sanity Group in Germany, along with flower shipments to customers in the U.K. and Australia. Second, we commenced sales in the United States with hemp-derived THC beverages under our Collective Project and Fetch brands. These products are now available in multiple bricks-and-mortar locations in 12 states and online in 24 states through our DTC platform. Third, we expanded our U.S. portfolio with the launch of happly, a functional edibles lifestyle brand. These products combined cannabinoids of functional ingredients, leveraging our FAST technology for faster onset and predictable effects. Given the recent provision in the U.S. Federal Funding Act that would effectively ban hemp-derived THC by November 13, 2026, we are monitoring efforts to repeal, replace or delay the amendment though the outcome remains uncertain at this time. Our U.S. business does not currently represent a significant share of our revenue. If the provision stands, we do not expect a material adverse economic impact to Organigram. We are also monitoring recent media reports regarding cannabis rescheduling in the U.S. While no regulatory decisions have been finalized, Organigram is encouraged by the direction of these discussions and recognizes that meaningful federal reform could positively impact the operating and investment environment for the global cannabis sector by reducing regulatory friction and supporting more sustainable industry growth long term. As the global cannabis trend continues, we see strong growth potential for our flower, our brands and innovation products in international markets outside of the U.S. In the near term, investors can expect to see us launch branded vapes and gummies in Australia and expanded flower exports. Our pending EU-GMP application. In October 2025, we submitted additional clarifying information as requested by the regulator, and we await the determination on our application. Regarding our Jupiter fund, which currently has $59 million available for deployment, we have identified several compelling opportunities. The fund allows us to deploy capital strategically to leverage opportunities in markets outside of Canada. Overall, we believe Organigram is exceptionally well positioned to benefit from the continued global shift towards regulated cannabis markets. From an advocacy perspective, we've seen meaningful progress in our industry advocacy this year. Provinces like New Brunswick and Ontario have demonstrated a clear understanding of both the opportunities and the challenges in the sector. They have shown support for advancing discussions with the federal government on critical issues such as excise reform and strategies to strengthen the legal cannabis market. While there's still a lot of work ahead, this growing alignment is an encouraging sign of constructive dialogue and a shared commitment to finding practical forward-looking solutions. In closing, we've made some strong progress in fiscal '25 across cultivation, market execution and international expansion, which translated into record financial performance for Organigram. As we move into fiscal '26, we will continue to build off that success and focus our efforts on disciplined execution and fundamentals with a clear emphasis on sustainable growth, margin expansion and continued leadership in the markets where we operate. With that, I'll turn the call over to Greg to walk us through the financials in more detail. Greg? Greg Guyatt: Thank you, Tim. We are pleased to once again report record results, and we're very excited to build upon our fiscal 2025 success in the coming year. In Q4, net revenue increased 79% to $80.1 million from $44.7 million in the same prior year period. Similarly, full year fiscal 2025 net revenue increased 62% to $259.2 million from $159.8 million in the prior year. These results were driven by contributions from our Motif and collective project acquisitions, which were completed on December 6, 2024, and April 1, 2025, respectively. We maintained our #1 position in Canada's growing market through broad portfolio coverage and coast-to-coast distribution and the scale-up of our international business, which in Q4 grew 31% sequentially over Q3 and 137% year-over-year to reach $9.7 million. For the full year fiscal 2025, international sales hit a record $26.3 million, a 171% increase versus the prior year. As Tim mentioned, we are anticipating continued growth in both our domestic and international businesses in fiscal 2026, supported by increasing distribution of vapes and pre-rolls, exciting renovations in our product portfolios and increasing international demand. Given the maturing dynamics in Canada and single-digit growth rate, we anticipate international sales to grow at a significantly higher rate in the coming year. Adjusted gross profit for the quarter increased 85% to $30.6 million versus $16.5 million in Q4 last year due to our significantly higher revenue base, international sales growth, incremental efficiency gains, partially offset by higher biomass costs. On a full year basis, adjusted gross margin was 35%, in line with our fiscal 2025 guidance and a 100 basis point increase from last year. This translated into record adjusted gross profit of $91 million versus $53.9 million last year. Adjusted gross margin in Q4 rose by 400 basis points over Q3 to 38%. While we are pleased with this progress, we see further margin improvement in fiscal 2026, driven by several key factors. First, we are realizing synergies from the Motif acquisition. In fiscal 2025, we achieved approximately $7.1 million in cost savings, which on an annualized basis reflects more than $15 million in savings, in line with our previously disclosed target. We did see some offsets during the year, including higher biomass costs, a temporary disruption to our OTIF performance related to the Motif ERP integration, which we discussed last quarter and higher benefits costs for legacy Motif employees. In addition, a portion of these savings relates to lower consumables and production costs, which will only flow through earnings as the associated inventory is sold. With the majority of the integration now complete, we expect operational leverage from the Motif acquisition to continue building through fiscal 2026. Second, we continue to optimize our cultivation methods to increase output per square foot in Moncton, benefit from our recent LED lighting upgrades and reduced labor costs associated with plant care. Third, we anticipate incremental margin lift from the continued international growth. These drivers support our expectation that adjusted gross margin will continue to improve in fiscal 2026 with full year margins higher than fiscal 2025, in line with previous guidance. In Q4, G&A costs were $17.6 million versus $9.5 million in the prior year period. The year-over-year increase in G&A of approximately $8.1 million was primarily associated with the consolidation of Motif's costs, incremental ERP and professional fees, partially offset by some cost savings initiatives. As a proportion of net revenue, G&A costs represented roughly 22% of net revenue in Q4, which was flat sequentially and up approximately 100 basis points from the same prior year period. In fiscal 2025, G&A costs of $59.5 million represented 23% of net revenue, down from 28% of net revenue last year. Selling costs for the quarter, including marketing, were $8.9 million versus [Technical Difficulty]. As a percentage of net revenue, selling and marketing expenses remained flat sequentially and year-over-year at approximately 12%. In fiscal 2025, these expenses of $31.1 million represented 12% of net revenue, approximately 400 basis points lower than in fiscal 2024. Overall, SG&A has declined year-over-year as a proportion of net revenue as we continue to scale the business and realize the benefits of greater operational leverage. Total operating expenses for the quarter increased 8.5% to $30.6 million from $28.3 million in the prior -- than the prior quarter, representing approximately 38% of net revenue, down approximately 200 basis points sequentially. Compared to the prior year period, total operating expenses as a percentage of net revenue were effectively flat. Adjusted EBITDA set a company record in fiscal 2025. In Q4, we reported adjusted EBITDA of $9.8 million, an increase of 72% sequentially and 69% year-over-year. In fiscal 2025, adjusted EBITDA was $21.9 million, up 160% from $8.4 million in 2024. We're very pleased with this performance, which we expect to build upon in the future. An interesting fact is that Q4 adjusted EBITDA exceeded the entire year of fiscal 2024. The increase in adjusted EBITDA, both in the quarter and for fiscal 2025 is attributable to our larger scale, increased international sales and proportionately lower operating expenses. Our net loss for the quarter was $38 million compared to a net loss of $5.4 million in the same prior year period. The increase in net loss of roughly $32.5 million year-over-year was primarily due to a higher noncash mark-to-market adjustments in the fair value of derivative liabilities, preferred shares and other financial assets. This change was partially offset by higher sales and improving gross margins in Q4 fiscal 2025, reflecting operational efficiencies, product mix optimization and ongoing cost management initiatives. For the fiscal 2025, net loss decreased 46% to $24.8 million from $45.4 million in the prior year period. The decrease in net loss from fiscal 2024 is primarily due to higher sales at higher adjusted gross margins and a deferred tax recovery that was reported in fiscal 2025. From a cash flow perspective, in Q4, cash provided by operating activities before working capital changes was $3.1 million compared to $1.2 million in the prior year period. In fiscal 2025, cash used by operating activities before working capital changes was $5.5 million compared to cash used of $11.1 million in the prior year period. This improvement in both periods was attributable to our higher adjusted EBITDA. We previously estimated free cash flow to be positive for Q4 fiscal of 2025. The company had free cash flow just shy of positive at negative $0.7 million in Q4 fiscal of 2025, which was lower than projected, primarily due to higher investment in working capital than previously planned. Finally, as of year-end, we had total cash and short-term investments of $84.4 million, of which $28.2 million was unrestricted. While we believe our near- to medium-term capital position is healthy, we regularly evaluate our capital structure to ensure we're maintaining appropriate long-term financial flexibility. We feel very confident in our outlook for fiscal 2026. This is supported by our record financial performance in fiscal 2025, our margin improvements and the continued expansion of our international business. We expect to deliver very strong year-over-year growth in Q1, while noting that consistent with prior years, we anticipate a seasonal sequential reduction versus our typically strong Q4 results. For fiscal 2026, we are projecting continued strong net revenue growth expected to exceed $300 million, along with further improvements in adjusted gross margin and adjusted EBITDA compared to fiscal 2025. We also expect to generate free cash flow in fiscal 2026 with capital expenditures expected to be less than $10 million. To conclude our prepared comments, I'd like to turn the call over to our Executive Chair, Peter Amirault. Peter, over to you. Peter Amirault: Thank you, Greg, and thank you, everyone, for joining us today. Look, I just want to close by acknowledging a couple of things. First of all, I want to talk about the strong momentum that Organigram has built this year. We delivered record revenue. We delivered our highest gross margin and adjusted EBITDA since 2019, and we continue to be the #1 position in the Canadian marketplace, while accelerating our international growth and shipments. I'd also like to talk just quickly about the Motif Labs acquisition. As many of you know, M&A transactions are difficult. Data would suggest that up to 75% of these transactions never achieve their financial targets. Well, Motif has been a clear outlier. The integration strengthened our capabilities, contributed meaningfully to our financial performance and importantly, we did so without losing any market share. So as we look ahead, we also expect continued growth as Greg has said, supported by a stronger platform, expanding international opportunities and the operational discipline that has driven our recent success will help drive our margin. And one other point, we'll also be fairly focused on our SG&A expense as well. Before closing, I want to do 2 things. I want to extend our sincere thanks to Beena Goldenberg, Beena and her leadership and steady hand through a dynamic period for both Organigram and the industry. Her contributions have positioned us very well for the next phase. Finally, we're also very pleased to welcome our new CEO, James Yamanaka, who will be coming in early January. James brings a wealth of experience. He has a deep global strategy experience with BAT and a proven record of scaling international businesses, and we believe his leadership is timely and will be invaluable as we advance our domestic priorities and clearly look to work to expand our global footprint. With that, I'll now open the call for questions. Operator: [Operator Instructions] Your first question comes from the line of Aaron Grey with Alliance Global Partners. Aaron Grey: Congrats on the strong quarter to finish the fiscal year. First question for me, I want to talk about international. Strong quarter here. I want to talk about how good of a base this might be to build off of. I know you talked about significant growth in fiscal year 2026. How much -- and then also more color in terms of how much of that enhanced cultivation, I believe you said 14,000 kilograms last quarter. Have you started to realize that? Or is that still to come? Because I know that was pegged for international. So any commentary on international growth expectations you expect going forward and then maybe some of the supply-demand dynamics you're seeing within those markets? Timothy Emberg: Yes. Maybe -- thanks for the question, Aaron. Maybe I'll kick that off. So yes, we're starting to realize this increased capacity already. We recently increased -- we're looking at about a 14,000 kilograms annual capacity increase with the changes that we just made. That includes our LED light switchover to high-density LED lights turnover time lines on our rooms and some nutrient programs that we've been rolling out along with our seed-based growth. So we have 14,000. We expect to grow further capacity in fiscal '26. I think from a supply and demand perspective, we're well positioned for fiscal '26. Obviously, Germany is growing exponentially right now. We feel very comfortable in our supply growth that we have right now to be able to shift that into Germany and other international markets. And we are seeing more capacity come online even from a competitive landscape. So we are seeing more volume that's going into these markets and more capacity that's coming online from a competitive perspective. But overall, we are taking a disciplined approach to capacity expansion, and we do believe that our planned increase in fiscal '26 is appropriate in the near term. We are evaluating other options to expand flower capacity further though. So if we need it, we will move as the market continues to grow. Peter Amirault: Tim, is it also fair to add that we've also got some derivative products that will be shipped internationally in fiscal '26? Timothy Emberg: Yes. That's a whole other -- we are looking at other categories to expand out as well. Australia, for example, like Germany is really flower right now in oil. So -- but with countries like Australia and other international markets, they're opening different categories up. Vapes, for example, and gummies. So we are -- we've lined up with very strong strategic partners in Australia, and we will be launching branded vapes into the Australian market along with gummies into the Australian market in the coming months. So we're excited about that as well. So it's not just flower as more categories open up, that also gives us other opportunities to grow the business internationally. Aaron Grey: Appreciate that color. That's helpful. Second question for me, just on the gross margin. I know you talked about the expectation for it to be better than 2025, 35%. So just want to get some more color given the strong 4Q of 38%. Were there some one-offs in 4Q that could moderate during 2026? Or is it fair to say that there might be some conservatism maybe within the gross margin improvements going forward? And I just want to clarify that does not include any further enhancement once you receive the EU-GMP. Greg Guyatt: Thanks, Aaron. Yes, the 38% that we had in Q4 was obviously something we're very happy with. It is a 100 basis point improvement over the same period last year. So going into fiscal 2026, we're expecting that to continue improving. I would say Q1 is traditionally not our strongest quarter from a seasonality perspective. So we expect less scale to benefit from in Q1. But over the course of the year, we expect a positive trend in gross margin, really driven by the operational improvements that Tim talked about. We've been able to pretty significantly increase our capacity without making major capital investments and physical changes to the facility. And all of that is really bringing down our cost per gram, which is driving those margin improvements. Also, we mentioned the Motif acquisition. We're starting to realize the synergies from that. That's a further improvement to adjusted gross margin. And then finally, when we do eventually get our EU-GMP, which we're waiting on patiently, that's going to have another positive as well because that will drive further margin on our international business. So overall, I think last year or last quarter, I guided towards margins approaching the 40% range, and that still holds. We're expecting margins to continue to grow over the course of the next year. Peter Amirault: And just one quick comment. It's Peter. I would say the 38%, we're happy with, but we're not satisfied. We think there's more. Timothy Emberg: Yes. Another lever that we have is from the commercial side of the business. Obviously, we're looking at SKU rationalization and emphasizing more on our high-margin categories, which is a big focus for us, but also taking price when earned. We took 2 different price points -- price increases in fiscal '25, and we just took another one early fiscal '26. Now if you look at the overall category from a pricing perspective, price compression is only really impacting AIOs or all-in-one vapes over the past year. We've seen an increase in the ASP pricing on flower over the past year as there's this balance between supply and demand in the Canadian market and LPs have taken price, and we're one of them. So I think that definitely helps to drive margins as well. Aaron Grey: Okay. That's great to hear. I appreciate the color. I'll go and get back in the queue. Operator: Your next question comes from the line of Brenna Cunnington with ATB Capital Markets. Brenna Cunnington: Congrats on the quarter. Just continuing on the line of thought with the Motif synergies materializing and approaching 40% margins next year, roughly how much of this margin improvement do you think would be from further synergies from Motif versus cultivation improvements and other improvements in just general fundamentals? Greg Guyatt: Yes. I think when you look at the scale of our Moncton facility and the cultivation, that's going to drive the majority of the margin improvement that we're seeing. I mean, look, we've already recognized a fairly significant amount of Motif synergies in the back half of last year. We do expect it to continue. But I'd say more of the synergies are going to come from operational improvements in Moncton independent from the acquisition. Just the cost per gram itself is coming down, and that just drives a significant amount of margin improvement. Brenna Cunnington: Got you. And then, yes, we also noticed that the yield per plant improved in the last quarter as well. So that's good to see. And then our second question is just regarding CapEx plans. You're sitting on a decent amount of cash, specifically with the restricted cash that's preserved for investment. Could you just run us through again some of the plans for investments in the next year? Greg Guyatt: Yes. So last year, we spent -- invested a pretty significant amount into the business of around $17 million. For fiscal 2026, we expect that to be significantly lower, less than $10 million. We're obviously always evaluating new opportunities for investment in the facilities. But right [Technical Difficulty] foundation of what we have today, along with just sort of sustaining capital expenditures to keep advancing the business. Last year, we did look at doing an expansion in Moncton. We ultimately put that on hold because we were able to achieve those objectives through process improvement and through the LED light project. So I'd say CapEx plans are modest for the next year, but it's something we'll continue to evaluate as opportunities come up. Brenna Cunnington: Okay. Perfect. Those are my questions. I'll hand it back. Operator: That concludes our question-and-answer session. I will now turn the call back over to Tim Emberg for closing remarks. Timothy Emberg: Thank you. Well, listen, I just want to thank everybody for your time today. Obviously, we're extremely excited of the quarter that we just had in the year we just had. We're pumped for fiscal '26 as we feel we're going to continue to take that momentum to drive growth, both from a domestic side and the international side. I'd like to take a moment to wish you all a very happy holiday season as we're getting close to the holidays now. And we look forward to relooping in February for our Q1 results. So thank you. Operator: Ladies and gentlemen, this concludes today's call. Thank you all for joining. You may now disconnect.
Operator: Good morning, ladies and gentlemen, and welcome to Enghouse's Q4 2025 Conference Call. [Operator Instructions] This call is being recorded on Tuesday, December 16, 2025. I would now like to turn the conference over to Mr. Sadler, Chairman and CEO. Please go ahead. Stephen Sadler: Good morning, everybody. I'm here today with Rob Medved, Chief Financial Officer; and Todd May, VP, Legal Counsel. Before we begin, I will have Todd read our forward disclaimer. Todd May: Certain statements made may be forward-looking. By their nature, such forward-looking statements are subject to various risks and uncertainties, including those in Enghouse's continuous disclosure filings such as its AIF, which could cause the company's actual results and experience to differ materially from anticipated results or other expectations. Undue reliance should not be placed on forward-looking information, and the company has no obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Stephen Sadler: Thanks, Todd. Rob will now give an overview of the financial and business results. Rob Medved: Thank you, Steve. Good morning, everybody. Thank you for joining us today to discuss our results for the fourth quarter and fiscal year ended October 31, 2025. Fiscal '25 was shaped by considerable economic, technological and geopolitical changes from the fast-paced evolution of AI to increase global uncertainty caused by tariffs and international events. Many organizations contended with negative operating margins escalating costs and unpredictable demand. Amidst these challenges, Enghouse remained resilient, delivering steady results and advancing our strategic objectives. Thanks to our diversified business model and disciplined execution, we sustained stability and profitability in a market where many others have struggled. In the fourth quarter, revenue reached $124.5 million compared to $125.7 million in Q4 last year. For the full year, revenue totaled $498.9 million just slightly down from $502.5 million in fiscal '24. Our recurring revenue, comprised of SaaS and maintenance streams, made up over 69% of total revenue for both Q4 and the year, ensuring greater predictability and a buffer against wider market fluctuations. Adjusted EBITDA for Q4 was $33.7 million, representing a margin of 27%. For the year, adjusted EBITDA stood at $127.6 million with a margin of 25.6%. Net income for Q4 was $21.1 million, while for the full year, net income was $73.7 million or $1.34 per diluted share. We closed the year with $269.1 million in cash and no external debt, preserving the financial flexibility that defines Enghouse. Our Asset Management Group, or AMG, which includes our transportation business was a particular highlight this year. Q4 AMG revenue reached $55.7 million, a 9.3% increase from $51 million in Q4 last year and nearly matched Q3's $56 million. For the year, AMG revenue grew to $213.1 million, up more than 10% year-over-year. This growth was largely fueled by our acquisitions of Margento and Trafi, both completed in 2025, which expanded our offerings with scalable mobility-as-a-service platforms, advanced transit fare collection and account-based ticketing solutions. With these additions, our Transport division now provides a complete suite for transit agencies and operators from e-ticketing and automated fare collection to fleet routing and MaaS platforms. Turning to our Interactive Management Group, or IMG. Q4 revenue was $68.8 million, compared to $74.7 million in Q4 last year and $69.6 million in Q3 just passed. For the full year, IMG revenue totaled $285.8 million. While this was a year-over-year decline, it reflects expected churn in maintenance and SaaS streams as well as our ongoing transition to SaaS-based licensing models. The acquisition of Aculab this year has strengthened IMG introducing advanced communications and AI-driven technologies, such as voice and face biometrics and high-performance media processing. A key driver of our performance this year, particularly in Q4 was our proactive approach to cost management. In the second half of the year, we undertook a series of restructuring and cost-cutting initiatives across the organization, including streamlining operations, aligning our cost structure with current revenues and reducing operating costs, especially in areas affected by acquisition, integration and market shifts. Though these decisions were challenging, they were essential to keeping Enghouse agile and profitable. The benefits of these initiatives began to show in Q4, driving improvements in both adjusted EBITDA and net income. We anticipate these efficiency gains will continue into fiscal '26. We continue to look for opportunities to strengthen and diversify our business. Shortly after year-end, we acquired the Telecommunications division of Sixbell, expanding our presence in the Latin American market. This acquisition aligns with our strategy of disciplined, accretive growth and positions us to serve new customers and markets. At the same time, we remain committed to returning value to our shareholders. In 2025, we returned $61.8 million through dividends and a 16% increase over last year and repurchased $14.7 million of our shares. Yesterday, our Board approved an eligible quarterly dividend of $0.30 per common share payable on February 27, 2026 to shareholders of record at the close of business on February 13, 2026. These actions reflect our confidence in Enghouse's long-term prospects and our commitment to steady, reliable returns for our investors. In closing, I want to thank our employees for their dedication, our customers for their trust and our shareholders for their continued support. I will now hand the call over to Mr. Sadler. Stephen Sadler: Thanks, Rob. We continue to make progress with our new 2025 business unit structure. As Rob indicated, we maintain our strong financial position with a reasonable and improving adjusted EBITDA percentage to revenue. This was achieved in difficult enterprise business markets as customers attempt to understand how to best implement AI to monetize such -- their investment. We have found most of our customers are struggling to implement AI effectively to improve their return on investment. As we have been implementing in a practical manner using a small language model, SLM concept, we're setting up a group of our R&D and service staff in both our IMG and AMG segments to focus on AI professional services to our customers current and new. This is a new area that we are getting into, but we have done a lot in AI, much of which are being called AI now, but which is really being things we've done to improve our efficiencies over the years. And we believe taking this to our customers is a viable business opportunity. With respect to capital deployment, we are purchasing Enghouse stock using our NCBI, Normal Course Issuer Bid, and continuing our acquisition strategy with Sixbell's Telco division being acquired just after our fiscal year-end. As noted last quarter, we continue to see substantial acquisition opportunities, which will provide a return on our investment. We're looking to increase our acquisition team to increase our focus on capital deployment. I would now like to open the call for questions. Operator: [Operator Instructions] with that, our first question comes from Erin Kyle with CIBC. Erin Kyle: Maybe I can start with whether you can give us an update on the progress of the LifeSci solution from a go-to-market perspective. Now that, that solution has been revamped. So how have new bookings been trending there? Stephen Sadler: It just has gotten revamped, we're now taking it out, let's say, January 1. We had to eliminate some third-party products, which are making the cost too high. You'll see that as people go to SaaS sometimes the cost, especially if you're using the Magnificent Six and then plus NVIDIA because they do charge a fair bit for their services, and you got to be careful what products you put in there. So we just finished that now and look like we're going to be taking that forward starting in January. So that hasn't started yet, but we're optimistic on what improvements can be made with that system. Erin Kyle: Okay. That's helpful context there. And then I just wanted to ask -- so I recognizing the challenging environment for organic growth over the past several quarters. I was wondering if you could discuss how you're evaluating for future growth here and whether divestitures of any noncore assets or old acquisitions have ever been considered as a potential lever to enhance focus and improve the organic growth profile of the business here? Stephen Sadler: Sure about improving organic growth by divesting of assets because all our assets are pretty much similar type businesses, but we do see the opportunity in this environment for greater capital allocation and some of the things we're looking at doing with the new IMG software that we just talked about, we're hoping that will improve internal growth a little bit. But again, it's basically -- we're basically a capital allocator. We're basically not trying to get a lot of growth in a market that isn't growing, that would just cost us a lot of money. We emphasize the bottom line a lot, and we don't do things that detract from our bottom line. Erin Kyle: Fair enough. Maybe I'll just squeeze one more in here. Just on the Sixbell acquisition that you closed post quarter end. Maybe you can just give us any additional color on the size of that acquisition and any progress on integration so far. Stephen Sadler: It's a small acquisition. It's in an area where we're already in, in South America, and the integration is ongoing right now. Again, we just started it in early November. So we're continuing to make progress. We think it'll be like our acquisitions of the past and add to a little bit to revenue and certainly to EBITDA to give us the return that we expect. Operator: And the next question comes from David Kwan with TD. Salman Zia Rana: This is Salman Rana on behalf of David Kwan. So the commentary on your results, it mentions that you expect further efficiency gains going forward. So without making in any additional M&A, could this imply that margins could be higher versus the 27% you delivered this quarter? Stephen Sadler: Yes. Salman Zia Rana: Okay. And on the restructuring that you undertook last quarter, did you realize the full $2 million, $2.5 million benefit in Q4 from that? Was that fully baked in? Stephen Sadler: No. I don't know what extra color you need, but I just -- sorry to be brief. Salman Zia Rana: That's fine. And as a follow-up to that, on the subsequent restructuring that you also announced on the call and in your results, how much of that was reflected in Q4? And how much of that is expected to save you guys going forward? Stephen Sadler: A lot was in Q4, but in some countries, you've got to give a lot of notice and you've got to go through procedures. And so there were several -- some of the expenses have -- weren't even in Q4, okay? So they're still coming a little bit. And we're also reassessing some of our areas and there could be future reductions as well to streamline operations, especially in the IMG group. We match cost to revenue. We do it all every day. So we're still looking at that to see if we can improve the bottom line further. Salman Zia Rana: That's great color. And on M&A, again, you mentioned there are substantial M&A opportunities out there. Where -- in your pipeline, do you think you still have a lot of transformational assets because you've spoken about them over the last couple of years. So curious to get some color on that. Stephen Sadler: Yes. I mean it's a good pipeline. Of course, you've got to get deals done. We want to make sure that they're going to add to our EBITDA profitability. So we're very careful. There's a lot of companies struggling, as Tom -- as Rob said, I get all the names mixed up. As Rob said, based on the environment out there today, they don't know where tariffs are going. It doesn't impact us, but it impacts our customers, which impacts us. So that's still an issue. And I think, it will continue for a while. Salman Zia Rana: Understood. And if I could just squeeze one more in. As part of your M&A pipeline, would AI acquisitions be something you'd be interested in? I think that would also augment what you're doing internally. So any thoughts on that? What kind of multiples you could potentially pay out there for those assets? Stephen Sadler: So the answer is that would be a potential acquisition. Aculab was basically doing acquisitions. The trouble is we can't really find any that make money. They actually can't monetize their AI investments. That's a real struggle for a lot of companies. That's why we're setting up these 2 professional services groups because we've done a lot of it ourselves for ourselves. So we think we can take some of that expertise through the professional services area to take it to our customers, because it doesn't tie in general sense to everybody. Everything has to tie into their models or their data and that's why we set up a small language model because we're generally in that mid-market. We don't do the real big guys who go to large language models. So we've done that. We've got the expertise in-house we thought, why not see if we can monetize it in a different way. So we are starting that in January. We've got the group set up. The Aculab person, who is running Aculab, she teaches AI at the University in the U.K. So we've got some good expertise in the area. Let's see if we can monetize it in a slightly different way. Operator: And the next question comes from Kevin McVeigh with UBS. Kevin McVeigh: Great. Congratulations on the continued execution. I wonder, could you give us a sense of, I guess, a couple of things, could you continue to execute really well. Any sense of -- and it may be a little hard to dimensionalize, but how should we think about inorganic versus organic contribution over the course of '26? And any sense of when you would expect an inflection point in the revenue? And just tied into that, are you seeing a little bit more certainty amongst clients, as they're reacting to kind of Gen AI or any shift at the margin just given Obviously, it feels like some of the euphoria is coming out of the broader Gen AI. Just are clients seeing any bit of just more certainty that allows you to react to that? Stephen Sadler: First of all, we have several areas, and it's interesting. Everyone talks about contact center and AI, but our networks business and revenue is just about the same as our contact center now, okay? So that's not discussed very much. They're bigger customers, and we can do some Gen AI there. And that's why we also set up a group separately for them versus our contact center as of in January for AI, that's first of all. Second of all, in our customers why we're doing that is because none of them seem to be successful in using AI at this stage. You've got to learn it. It's early innings, but we've learned a lot doing it for ourselves, so we want to bring some of that expertise to our customers. Remember, they're not the real large customers who are spending tons of money in some ways, bleeding themselves to that. We have middle-range customers who are more careful with their spending. So we think we can bring a practical approach to it. That's why we're setting up these 2 groups with the expertise that we have and we use ourselves. So we have people who could do it. So why not use it to help our customers do a little bit better. So that's how we see it as for the internal growth side, we're in tough markets. There's no doubt about it. I would think 2026 fiscal year will be a good, stable year. It should be a better year because we got a two-pronged approach. So with this tough markets with limited internal growth, it's good markets for acquisition growth. So we intend to get back to redeployment of our cash on acquisitions to a greater degree, and we're hiring some extra staff to do that, which we're in the process of doing now, but are not hired yet, expect also in January to expand that group a little bit to handle some of the many opportunities that are out there right now, again, because of the same markets. I just talked about where it's really what Rob mentioned, which is very difficult right now in many ways, people are uncertain to spend because of all those rates. It's not because of any particular, but tariffs what's going to happen down the road and they're quite uncertain in the market, all that does is freeze spending a little bit. So I'm not really pushing very hard on the internal growth for fiscal '26. We'll take what we have. We've got good products. Our new product is ready to go. It's been developed. We've taken out a lot of the third-party costs, which makes it great to sell, but if the third-party costs are high, you don't make money. So we want to make money. So we had to do that first before we go out there and put in a lot of places to lose money. So that's what we virtually have finished. And again, January should be interesting because there's a lot of things starting from the work that was done this year. Kevin McVeigh: It's very, very helpful. And then just one quick one, and I'll get back in the queue. In terms of terrific pacing of the dividend, should we expect the same percentage or absolute dollar amount, well, not the dollar amount, but cents increase in the dividend in '26? And how are we thinking about that just relative to the capital allocation on the M&A? Stephen Sadler: So it's an interesting question. Of course, it's up to the Board of Directors to decide, and we usually look at that at the AGM in -- yes, in March. My guess would be and what I was considering and recommending to the Board is to still increase the dividend, but very slightly and spend more on buying back our own stock. We think that is a better opportunity for our capital deployment, doing acquisitions and repurchasing our stock. So we're in a normal course issuer bid. We'll continue in a very organized manner to protect our stock in any way because the environment is uncertain, and it could get worse, not necessarily for us, but in general. So I would think you should expect less of an increase in the dividend, and more of our capital allocation going to acquisitions and our current stock, which we think is a reasonable investment right now. Operator: [Operator Instructions] The next question comes from Paul Treiber with RBC Capital Markets. Paul Treiber: Just a question on the 2 groups, the professional services groups you're setting up. Is that primarily to generate professional services revenue? Or do you expect that there will be a longer-term attach in addition to professional services with potentially higher software revenue, both in IMG and AMG? Stephen Sadler: So what we are going to do, and again, it's a bit of a new area, we are going to use it even with new sales to offer new customers, who purchased our software that we will give them some AI expertise, probably at a very good price. As we learn more, what all our customers are looking at. And from that, we could develop software that we might sell. But I don't think you'll see that in 2026. I think that's a setup year to go forward from there and depends on how that works out. As you probably know, a lot of people are trying AI. It isn't -- it's hard to monetize people are having difficulty. They understand it personally to get some productivity, but how do you do it into software has been a very challenging event for -- especially for enterprises. Enterprises have a hard time doing AI. And there's a lot -- let's just say, we believe there's a lot more promotion of AI into the actual results being achieved from it in enterprises. But we think the professional services will help our customers with the expertise we have and will also lead us to believe which are the best applications that we can monetize going forward. Because right now, it's difficult to see it in all our business units, transportation, networks and contact center. So we want to get a little bit more on what everyone is thinking about and a little bit, let's say, getting paid for trying out some different things for our customers to help them and also to give us a bit more knowledge on proof of concepts, et cetera, which might be able to work. Right now, it's hard to see how you can make it work other than selling the services in the markets we're in. Remember, we're in a small business, smaller-sized contact centers. The large telcos are doing their own thing, and we see how we can help them. And transportation, again, we're finishing off our major projects we had in the Netherlands. And so we're going to see some additional profitability from those going forward in '26. So we're pretty well positioned, but as slow as she goes, it's no home runs there. There's just as steady she goes, continuous progress, and we see the same in '26. Paul Treiber: And then what do you see is that the gap or the challenge with enterprises deploying AI? And then how do you hope to help your customers address that? Stephen Sadler: That's a tough one. That's what I'm trying to find out. All I know is it isn't working anywhere. I don't see -- if you look at any real studies, not promotional studies, they'll tell you, I think 95% of CEOs see no return from the AI work they're doing. There's something there. We've got to figure it out. The best way to do it is, let's do it with our customers, and see if we can monetize it a little bit as we go forward with that. Set up a group to do it. We have many solutions internally that we use. They're very exciting, but they're all based on, let's say, the SLM, small language model, like you only have your data for a week or two and to analyze an agent, for example, to analyze who you think customers might leave. There's a lot of stuff that we've done that we think others can use. They call it AI. Some of it is using the AI software. Some of it is just things that we've been doing for a while, but people are now calling AI anyway. It's like they say translation of voice from one language to another really now for 10 years, but now that's AI. So we're trying to sort it out, and we're going to try and sort out with our customers, and we believe this is a way to do it to help them, help us understand and maybe -- if I understand, I'll be able to answer your question better in the future. But right now, it's very difficult to see enterprises monetizing AI, although the potential to do so in the future is there. Operator: And I'm showing no further questions at this time. I would like to turn it back to Mr. Sadler for closing remarks. Stephen Sadler: [indiscernible] is well positioned for the future to add shareholder value. Thank you for attending the call and your continued support. Have a Merry Christmas and a happy holiday season. Operator: Ladies and gentlemen, this concludes today's conference call. Thank you all for joining. You may now disconnect.
Operator: Good morning, ladies and gentlemen, and welcome to Enghouse's Q4 2025 Conference Call. [Operator Instructions] This call is being recorded on Tuesday, December 16, 2025. I would now like to turn the conference over to Mr. Sadler, Chairman and CEO. Please go ahead. Stephen Sadler: Good morning, everybody. I'm here today with Rob Medved, Chief Financial Officer; and Todd May, VP, Legal Counsel. Before we begin, I will have Todd read our forward disclaimer. Todd May: Certain statements made may be forward-looking. By their nature, such forward-looking statements are subject to various risks and uncertainties, including those in Enghouse's continuous disclosure filings such as its AIF, which could cause the company's actual results and experience to differ materially from anticipated results or other expectations. Undue reliance should not be placed on forward-looking information, and the company has no obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Stephen Sadler: Thanks, Todd. Rob will now give an overview of the financial and business results. Rob Medved: Thank you, Steve. Good morning, everybody. Thank you for joining us today to discuss our results for the fourth quarter and fiscal year ended October 31, 2025. Fiscal '25 was shaped by considerable economic, technological and geopolitical changes from the fast-paced evolution of AI to increase global uncertainty caused by tariffs and international events. Many organizations contended with negative operating margins escalating costs and unpredictable demand. Amidst these challenges, Enghouse remained resilient, delivering steady results and advancing our strategic objectives. Thanks to our diversified business model and disciplined execution, we sustained stability and profitability in a market where many others have struggled. In the fourth quarter, revenue reached $124.5 million compared to $125.7 million in Q4 last year. For the full year, revenue totaled $498.9 million just slightly down from $502.5 million in fiscal '24. Our recurring revenue, comprised of SaaS and maintenance streams, made up over 69% of total revenue for both Q4 and the year, ensuring greater predictability and a buffer against wider market fluctuations. Adjusted EBITDA for Q4 was $33.7 million, representing a margin of 27%. For the year, adjusted EBITDA stood at $127.6 million with a margin of 25.6%. Net income for Q4 was $21.1 million, while for the full year, net income was $73.7 million or $1.34 per diluted share. We closed the year with $269.1 million in cash and no external debt, preserving the financial flexibility that defines Enghouse. Our Asset Management Group, or AMG, which includes our transportation business was a particular highlight this year. Q4 AMG revenue reached $55.7 million, a 9.3% increase from $51 million in Q4 last year and nearly matched Q3's $56 million. For the year, AMG revenue grew to $213.1 million, up more than 10% year-over-year. This growth was largely fueled by our acquisitions of Margento and Trafi, both completed in 2025, which expanded our offerings with scalable mobility-as-a-service platforms, advanced transit fare collection and account-based ticketing solutions. With these additions, our Transport division now provides a complete suite for transit agencies and operators from e-ticketing and automated fare collection to fleet routing and MaaS platforms. Turning to our Interactive Management Group, or IMG. Q4 revenue was $68.8 million, compared to $74.7 million in Q4 last year and $69.6 million in Q3 just passed. For the full year, IMG revenue totaled $285.8 million. While this was a year-over-year decline, it reflects expected churn in maintenance and SaaS streams as well as our ongoing transition to SaaS-based licensing models. The acquisition of Aculab this year has strengthened IMG introducing advanced communications and AI-driven technologies, such as voice and face biometrics and high-performance media processing. A key driver of our performance this year, particularly in Q4 was our proactive approach to cost management. In the second half of the year, we undertook a series of restructuring and cost-cutting initiatives across the organization, including streamlining operations, aligning our cost structure with current revenues and reducing operating costs, especially in areas affected by acquisition, integration and market shifts. Though these decisions were challenging, they were essential to keeping Enghouse agile and profitable. The benefits of these initiatives began to show in Q4, driving improvements in both adjusted EBITDA and net income. We anticipate these efficiency gains will continue into fiscal '26. We continue to look for opportunities to strengthen and diversify our business. Shortly after year-end, we acquired the Telecommunications division of Sixbell, expanding our presence in the Latin American market. This acquisition aligns with our strategy of disciplined, accretive growth and positions us to serve new customers and markets. At the same time, we remain committed to returning value to our shareholders. In 2025, we returned $61.8 million through dividends and a 16% increase over last year and repurchased $14.7 million of our shares. Yesterday, our Board approved an eligible quarterly dividend of $0.30 per common share payable on February 27, 2026 to shareholders of record at the close of business on February 13, 2026. These actions reflect our confidence in Enghouse's long-term prospects and our commitment to steady, reliable returns for our investors. In closing, I want to thank our employees for their dedication, our customers for their trust and our shareholders for their continued support. I will now hand the call over to Mr. Sadler. Stephen Sadler: Thanks, Rob. We continue to make progress with our new 2025 business unit structure. As Rob indicated, we maintain our strong financial position with a reasonable and improving adjusted EBITDA percentage to revenue. This was achieved in difficult enterprise business markets as customers attempt to understand how to best implement AI to monetize such -- their investment. We have found most of our customers are struggling to implement AI effectively to improve their return on investment. As we have been implementing in a practical manner using a small language model, SLM concept, we're setting up a group of our R&D and service staff in both our IMG and AMG segments to focus on AI professional services to our customers current and new. This is a new area that we are getting into, but we have done a lot in AI, much of which are being called AI now, but which is really being things we've done to improve our efficiencies over the years. And we believe taking this to our customers is a viable business opportunity. With respect to capital deployment, we are purchasing Enghouse stock using our NCBI, Normal Course Issuer Bid, and continuing our acquisition strategy with Sixbell's Telco division being acquired just after our fiscal year-end. As noted last quarter, we continue to see substantial acquisition opportunities, which will provide a return on our investment. We're looking to increase our acquisition team to increase our focus on capital deployment. I would now like to open the call for questions. Operator: [Operator Instructions] with that, our first question comes from Erin Kyle with CIBC. Erin Kyle: Maybe I can start with whether you can give us an update on the progress of the LifeSci solution from a go-to-market perspective. Now that, that solution has been revamped. So how have new bookings been trending there? Stephen Sadler: It just has gotten revamped, we're now taking it out, let's say, January 1. We had to eliminate some third-party products, which are making the cost too high. You'll see that as people go to SaaS sometimes the cost, especially if you're using the Magnificent Six and then plus NVIDIA because they do charge a fair bit for their services, and you got to be careful what products you put in there. So we just finished that now and look like we're going to be taking that forward starting in January. So that hasn't started yet, but we're optimistic on what improvements can be made with that system. Erin Kyle: Okay. That's helpful context there. And then I just wanted to ask -- so I recognizing the challenging environment for organic growth over the past several quarters. I was wondering if you could discuss how you're evaluating for future growth here and whether divestitures of any noncore assets or old acquisitions have ever been considered as a potential lever to enhance focus and improve the organic growth profile of the business here? Stephen Sadler: Sure about improving organic growth by divesting of assets because all our assets are pretty much similar type businesses, but we do see the opportunity in this environment for greater capital allocation and some of the things we're looking at doing with the new IMG software that we just talked about, we're hoping that will improve internal growth a little bit. But again, it's basically -- we're basically a capital allocator. We're basically not trying to get a lot of growth in a market that isn't growing, that would just cost us a lot of money. We emphasize the bottom line a lot, and we don't do things that detract from our bottom line. Erin Kyle: Fair enough. Maybe I'll just squeeze one more in here. Just on the Sixbell acquisition that you closed post quarter end. Maybe you can just give us any additional color on the size of that acquisition and any progress on integration so far. Stephen Sadler: It's a small acquisition. It's in an area where we're already in, in South America, and the integration is ongoing right now. Again, we just started it in early November. So we're continuing to make progress. We think it'll be like our acquisitions of the past and add to a little bit to revenue and certainly to EBITDA to give us the return that we expect. Operator: And the next question comes from David Kwan with TD. Salman Zia Rana: This is Salman Rana on behalf of David Kwan. So the commentary on your results, it mentions that you expect further efficiency gains going forward. So without making in any additional M&A, could this imply that margins could be higher versus the 27% you delivered this quarter? Stephen Sadler: Yes. Salman Zia Rana: Okay. And on the restructuring that you undertook last quarter, did you realize the full $2 million, $2.5 million benefit in Q4 from that? Was that fully baked in? Stephen Sadler: No. I don't know what extra color you need, but I just -- sorry to be brief. Salman Zia Rana: That's fine. And as a follow-up to that, on the subsequent restructuring that you also announced on the call and in your results, how much of that was reflected in Q4? And how much of that is expected to save you guys going forward? Stephen Sadler: A lot was in Q4, but in some countries, you've got to give a lot of notice and you've got to go through procedures. And so there were several -- some of the expenses have -- weren't even in Q4, okay? So they're still coming a little bit. And we're also reassessing some of our areas and there could be future reductions as well to streamline operations, especially in the IMG group. We match cost to revenue. We do it all every day. So we're still looking at that to see if we can improve the bottom line further. Salman Zia Rana: That's great color. And on M&A, again, you mentioned there are substantial M&A opportunities out there. Where -- in your pipeline, do you think you still have a lot of transformational assets because you've spoken about them over the last couple of years. So curious to get some color on that. Stephen Sadler: Yes. I mean it's a good pipeline. Of course, you've got to get deals done. We want to make sure that they're going to add to our EBITDA profitability. So we're very careful. There's a lot of companies struggling, as Tom -- as Rob said, I get all the names mixed up. As Rob said, based on the environment out there today, they don't know where tariffs are going. It doesn't impact us, but it impacts our customers, which impacts us. So that's still an issue. And I think, it will continue for a while. Salman Zia Rana: Understood. And if I could just squeeze one more in. As part of your M&A pipeline, would AI acquisitions be something you'd be interested in? I think that would also augment what you're doing internally. So any thoughts on that? What kind of multiples you could potentially pay out there for those assets? Stephen Sadler: So the answer is that would be a potential acquisition. Aculab was basically doing acquisitions. The trouble is we can't really find any that make money. They actually can't monetize their AI investments. That's a real struggle for a lot of companies. That's why we're setting up these 2 professional services groups because we've done a lot of it ourselves for ourselves. So we think we can take some of that expertise through the professional services area to take it to our customers, because it doesn't tie in general sense to everybody. Everything has to tie into their models or their data and that's why we set up a small language model because we're generally in that mid-market. We don't do the real big guys who go to large language models. So we've done that. We've got the expertise in-house we thought, why not see if we can monetize it in a different way. So we are starting that in January. We've got the group set up. The Aculab person, who is running Aculab, she teaches AI at the University in the U.K. So we've got some good expertise in the area. Let's see if we can monetize it in a slightly different way. Operator: And the next question comes from Kevin McVeigh with UBS. Kevin McVeigh: Great. Congratulations on the continued execution. I wonder, could you give us a sense of, I guess, a couple of things, could you continue to execute really well. Any sense of -- and it may be a little hard to dimensionalize, but how should we think about inorganic versus organic contribution over the course of '26? And any sense of when you would expect an inflection point in the revenue? And just tied into that, are you seeing a little bit more certainty amongst clients, as they're reacting to kind of Gen AI or any shift at the margin just given Obviously, it feels like some of the euphoria is coming out of the broader Gen AI. Just are clients seeing any bit of just more certainty that allows you to react to that? Stephen Sadler: First of all, we have several areas, and it's interesting. Everyone talks about contact center and AI, but our networks business and revenue is just about the same as our contact center now, okay? So that's not discussed very much. They're bigger customers, and we can do some Gen AI there. And that's why we also set up a group separately for them versus our contact center as of in January for AI, that's first of all. Second of all, in our customers why we're doing that is because none of them seem to be successful in using AI at this stage. You've got to learn it. It's early innings, but we've learned a lot doing it for ourselves, so we want to bring some of that expertise to our customers. Remember, they're not the real large customers who are spending tons of money in some ways, bleeding themselves to that. We have middle-range customers who are more careful with their spending. So we think we can bring a practical approach to it. That's why we're setting up these 2 groups with the expertise that we have and we use ourselves. So we have people who could do it. So why not use it to help our customers do a little bit better. So that's how we see it as for the internal growth side, we're in tough markets. There's no doubt about it. I would think 2026 fiscal year will be a good, stable year. It should be a better year because we got a two-pronged approach. So with this tough markets with limited internal growth, it's good markets for acquisition growth. So we intend to get back to redeployment of our cash on acquisitions to a greater degree, and we're hiring some extra staff to do that, which we're in the process of doing now, but are not hired yet, expect also in January to expand that group a little bit to handle some of the many opportunities that are out there right now, again, because of the same markets. I just talked about where it's really what Rob mentioned, which is very difficult right now in many ways, people are uncertain to spend because of all those rates. It's not because of any particular, but tariffs what's going to happen down the road and they're quite uncertain in the market, all that does is freeze spending a little bit. So I'm not really pushing very hard on the internal growth for fiscal '26. We'll take what we have. We've got good products. Our new product is ready to go. It's been developed. We've taken out a lot of the third-party costs, which makes it great to sell, but if the third-party costs are high, you don't make money. So we want to make money. So we had to do that first before we go out there and put in a lot of places to lose money. So that's what we virtually have finished. And again, January should be interesting because there's a lot of things starting from the work that was done this year. Kevin McVeigh: It's very, very helpful. And then just one quick one, and I'll get back in the queue. In terms of terrific pacing of the dividend, should we expect the same percentage or absolute dollar amount, well, not the dollar amount, but cents increase in the dividend in '26? And how are we thinking about that just relative to the capital allocation on the M&A? Stephen Sadler: So it's an interesting question. Of course, it's up to the Board of Directors to decide, and we usually look at that at the AGM in -- yes, in March. My guess would be and what I was considering and recommending to the Board is to still increase the dividend, but very slightly and spend more on buying back our own stock. We think that is a better opportunity for our capital deployment, doing acquisitions and repurchasing our stock. So we're in a normal course issuer bid. We'll continue in a very organized manner to protect our stock in any way because the environment is uncertain, and it could get worse, not necessarily for us, but in general. So I would think you should expect less of an increase in the dividend, and more of our capital allocation going to acquisitions and our current stock, which we think is a reasonable investment right now. Operator: [Operator Instructions] The next question comes from Paul Treiber with RBC Capital Markets. Paul Treiber: Just a question on the 2 groups, the professional services groups you're setting up. Is that primarily to generate professional services revenue? Or do you expect that there will be a longer-term attach in addition to professional services with potentially higher software revenue, both in IMG and AMG? Stephen Sadler: So what we are going to do, and again, it's a bit of a new area, we are going to use it even with new sales to offer new customers, who purchased our software that we will give them some AI expertise, probably at a very good price. As we learn more, what all our customers are looking at. And from that, we could develop software that we might sell. But I don't think you'll see that in 2026. I think that's a setup year to go forward from there and depends on how that works out. As you probably know, a lot of people are trying AI. It isn't -- it's hard to monetize people are having difficulty. They understand it personally to get some productivity, but how do you do it into software has been a very challenging event for -- especially for enterprises. Enterprises have a hard time doing AI. And there's a lot -- let's just say, we believe there's a lot more promotion of AI into the actual results being achieved from it in enterprises. But we think the professional services will help our customers with the expertise we have and will also lead us to believe which are the best applications that we can monetize going forward. Because right now, it's difficult to see it in all our business units, transportation, networks and contact center. So we want to get a little bit more on what everyone is thinking about and a little bit, let's say, getting paid for trying out some different things for our customers to help them and also to give us a bit more knowledge on proof of concepts, et cetera, which might be able to work. Right now, it's hard to see how you can make it work other than selling the services in the markets we're in. Remember, we're in a small business, smaller-sized contact centers. The large telcos are doing their own thing, and we see how we can help them. And transportation, again, we're finishing off our major projects we had in the Netherlands. And so we're going to see some additional profitability from those going forward in '26. So we're pretty well positioned, but as slow as she goes, it's no home runs there. There's just as steady she goes, continuous progress, and we see the same in '26. Paul Treiber: And then what do you see is that the gap or the challenge with enterprises deploying AI? And then how do you hope to help your customers address that? Stephen Sadler: That's a tough one. That's what I'm trying to find out. All I know is it isn't working anywhere. I don't see -- if you look at any real studies, not promotional studies, they'll tell you, I think 95% of CEOs see no return from the AI work they're doing. There's something there. We've got to figure it out. The best way to do it is, let's do it with our customers, and see if we can monetize it a little bit as we go forward with that. Set up a group to do it. We have many solutions internally that we use. They're very exciting, but they're all based on, let's say, the SLM, small language model, like you only have your data for a week or two and to analyze an agent, for example, to analyze who you think customers might leave. There's a lot of stuff that we've done that we think others can use. They call it AI. Some of it is using the AI software. Some of it is just things that we've been doing for a while, but people are now calling AI anyway. It's like they say translation of voice from one language to another really now for 10 years, but now that's AI. So we're trying to sort it out, and we're going to try and sort out with our customers, and we believe this is a way to do it to help them, help us understand and maybe -- if I understand, I'll be able to answer your question better in the future. But right now, it's very difficult to see enterprises monetizing AI, although the potential to do so in the future is there. Operator: And I'm showing no further questions at this time. I would like to turn it back to Mr. Sadler for closing remarks. Stephen Sadler: [indiscernible] is well positioned for the future to add shareholder value. Thank you for attending the call and your continued support. Have a Merry Christmas and a happy holiday season. Operator: Ladies and gentlemen, this concludes today's conference call. Thank you all for joining. You may now disconnect.