Marchex, Inc. (NASDAQ:MCHX) Q1 2022 Earnings Conference Call May 12, 2022 5:00 PM ET

Company Participants

Trevor Caldwell – Senior Vice President-Strategic Initiatives and Investor Relations

Michael Arends – Co-Chief Executive Officer

Russell Horowitz – Executive Chairman and Office of the Chief Executive Officer

Conference Call Participants

Operator

Good afternoon. And thank you for attending today's Marchex First Quarter 2022 Earnings Call. My name is Jayson, and I will be your moderator for the call today. [Operator Instructions]

I'd now like to pass the conference over to our host, Trevor Caldwell, SVP of Strategic Initiatives and Investor Relations. Please proceed.

Trevor Caldwell

Thank you, Jayson. Good afternoon, everyone and welcome to Marchex's business update and first quarter 2022 conference call.

Joining us today are Michael Arends and Russell Horowitz, our Co-CEOs.

Before we get started, I would like to take this opportunity to remind you that our remarks today will include forward-looking statements, including references to our financial and operational performance, and actual results may differ materially from those contemplated by these forward-looking statements. Risks and uncertainties that could cause these results to differ materially are set forth in today's earnings press release and in our most recent annual and quarterly report filed with the SEC. Any forward-looking statements that we make on this call are based on assumptions as of today, and we undertake no obligation to update these statements for subsequent events.

During this call, we will present both GAAP and non-GAAP financial measures. A reconciliation of GAAP to non-GAAP measures is included in today's earnings press release. The press release is available on the Investor Relations section of our website.

At this time, I'd like to turn the call over to Michael Arends.

Michael Arends

Thank you, Trevor. Hello everyone. Thanks for joining the call.

In the first quarter we saw continued progress with execution on our opportunity and the conversational intelligence in sales engagement space. Our product momentum is expanding our sales pipeline and our innovations are solving increasingly complicated and challenging problems for businesses as they tackle customer communications across multiple communication channels. Our focus on providing the kind of conversational intelligence Fortune 500 companies both want and need is resonating with existing customers and growing relationships, as well as winning new ones.

In the past quarter, we have made sales traction with some of our largest customers, and we are starting to on board new relationships with potentially significant customers, including a large home services aggregator, which we expect to begin to on board this quarter. We anticipate all of these factors will help enhance our go-forward growth profile. With this noted, the pandemic and the resulting economic fallout continue to be factors that are impacting our customers. While we did see conversation volumes pick up modestly during the first quarter from January when the first Omicron variant seemed to peak in the United States, conversational volumes were not as robust in March as the year ago, period. Now this leads us to believe there are still lingering effects from the ongoing pandemic relative to the strong volumes of the second quarter of 2021, when the economy first reopened.