Veritone, Inc. (NASDAQ:VERI) Q4 2019 Earnings Conference Call - Final Transcript

Mar 04, 2020 • 04:30 pm ET

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Veritone, Inc. (NASDAQ:VERI) Q4 2019 Earnings Conference Call - Final Transcript

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Presentation
Operator
Operator

Thank you for standing by, and welcome to the Veritone Fourth Quarter and Full Year 2019 Conference Call. [Operator Instructions]

I'd now like to hand the conference over to your speaker today, Brian Alger. Thank you. Please go ahead.

Executive
Brian Alger

Good afternoon, and welcome to Veritone's fourth quarter and year end 2019 conference call. I'm Brian Alger, Senior Vice President of Corporate Development and Investor Relations. After the market close today, Veritone issued a press release announcing the results for the fourth quarter and year ended December 31, 2019. The press release is available in the Investors section of our website.

Joining me for today's call are Veritone's Chairman and CEO, Chad Steelberg; President, Ryan Steelberg; and CFO, Pete Collins. Following their remarks, we'll open up the call for questions. Please note that certain information discussed on the call today will include forward-looking statements about future events and Veritone's business strategy and future financial and operating performance, including its expected net revenues and non-GAAP net loss for the first quarter of 2020.

These forward-looking statements are subject to risks, uncertainties and assumptions that may cause the actual results to differ materially from those stated or implied by those statements. Certain of these risks and assumptions are discussed in Veritone's SEC filings, including its annual report on Form 10-K. These forward-looking statements are based upon assumptions as of today, March 4, 2020, and Veritone undertakes no obligation to revise or update them.

During this call, we will present and discuss actual and forecasted non-GAAP financial measures, including non-GAAP operating expenses, non-GAAP net loss and adjusted EBITDAS. Reconciliations of these measures to the corresponding GAAP measures are included in the press release we issued today.

Also, in 2019, we adopted ASC 606, the new revenue recognition accounting standard. We determined that the impact of the adoption of ASC 606 was immaterial, so we did not record an adjustment to our opening balance sheet at the beginning of 2019. Because we are an emerging growth company, we reported our quarterly results in 2019 using the prior revenue recognition standard, ASC 605. Our 2019 annual financial statements are prepared using ASC 606. As the impact of adopting ASC 606 was immaterial, the combined net revenues from our fourth quarter and 2019 equal our annual net revenues.

Finally, I would like to remind everyone that this call is being recorded and will be made available for replay via link available on our Investors section of the company's website at www.veritone.com.

Now I'd like to turn the call over to our Chairman and CEO, Chad Steelberg. Chad?

Executive
Chad E. Steelberg

Thank you, Brian. Welcome, everyone, and thank you for joining us today. I'm pleased to report that in 2019, Veritone grew revenues 84% year-over-year to $49.6 million, reflecting both strong organic growth and the contributions from the three businesses we acquired in Q3 of 2018.

During 2019, we launched multiple new products, established critical new channel partnerships and invested significantly in product development. In November, we discussed that with the development