Information Services Group, Inc. (NASDAQ:III) Q2 2020 Earnings Conference Call - Final Transcript
Aug 10, 2020 • 09:00 am ET
Good day and welcome to the Information Services Group's second quarter results conference call. [Operator Instructions]
At this time, for opening remarks and introductions, I would like to turn the conference over to Mr. Barry Holt. Mr. Holt, please go ahead, sir.
Thank you, operator. Hello and good morning. My name is Barry Holt. I'm a Senior Communications Executive at ISG. I'd like to welcome everyone to ISG's second quarter conference call. I'm joined today by Michael Connors, Chairman and Chief Executive Officer; and David Berger, Executive Vice President and Chief Financial Officer.
Before we begin, I would like to read a forward-looking statement. It is important to note that the communication may contain certain forward-looking statements, which represent the current expectations and beliefs of the management of ISG concerning future events and their potential effects. These statements are not guarantees of future results and are subject to certain risks and uncertainties that could cause actual results to differ materially from those anticipated.
For a more detailed listing of the risks and other factors that could affect future results, please refer to the forward-looking statement contained in our Form 8-K that was furnished this morning to the SEC and the Risk Factors section in ISG's Form 10-K covering full year results. You should also read ISG's annual report on Form 10-K and any other relevant documents, including any amendments or supplements to these documents filed with the SEC. You will be able to obtain free copies of any of ISG's SEC filings on either ISG's website at www.isg-one.com or the SEC's website at www.sec.gov.
ISG undertakes no obligation to update or revise any forward-looking statements to reflect subsequent events or circumstances. During this call, we will discuss certain non-GAAP financial measures, which ISG believes improves comparability of the Company's financial results between periods and provides for greater transparency of key measures used to evaluate the Company's performance. The non-GAAP measures, which we will touch on today, include adjusted EBITDA, adjusted net earnings and the presentation of selected financial data on a constant currency basis. Non-GAAP measures are provided as additional information and should not be considered in isolation or as a substitute for financial results prepared in accordance with GAAP. For the reconciliation of all non-GAAP measures presented and the most closely applicable GAAP measure, please refer to our current report on Form 8-K, which was filed this morning with the SEC.
And now I'd like to turn the call over to Michael Connors, who will be followed by David Berger. Mike?
Michael P. Connors
Thank you, Barry, and good morning, everyone. Let me start by saying ISG delivered a very solid second quarter in spite of the pandemic. Although revenues were down, they exceeded our expectations. And we more than doubled our EBITDA from the first quarter, thanks to our aggressive cost actions and client demand for our higher-margin, pandemic-ready services.
Our balance sheet is very strong, with our debt leverage ratio down to 2.6 times EBITDA and with cash sitting at $32