Vertex, Inc. (NASDAQ:VERX) Q2 2024 Results Conference Call August 7, 2024 8:30 AM ET
Company Participants
Joe Crivelli - VP, IR
David DeStefano - President and CEO
John Schwab - CFO
Conference Call Participants
Brad Reback - Stifel
Joshua Reilly - Needham
Rob Oliver - Baird
Chris Quinter - Morgan Stanley
Steve Enders - Citi
Daniel Jester - BMO Capital Markets
Adam Hotchkiss - Goldman Sachs
Alex Sklar - Raymond James
Patrick Walravens - Citizens JMP Securities
Jake Roberge - William Blair
Operator
Good morning. And welcome to the Vertex Inc. Second Quarter 2024 Earnings Conference Call. All participants will be in listen-only mode [Operator Instructions]. Please note this event is being recorded.
I would now like to turn the conference over to Joe Crivelli. Please go ahead.
Joe Crivelli
Hello, and thanks for joining us to discuss Vertex's second quarter financial results. I'm Joe Crivelli, Vice President, Investor Relations. David DeStefano, our President and CEO; and John Schwab, our CFO, are also with us today. During this call, we may make forward-looking statements about expected future results. Actual financial results may differ due to risks and uncertainties. These risks and uncertainties are described in our filings with the Securities and Exchange Commission. In our remarks today, we will also refer to non-GAAP financial metrics. A reconciliation of these metrics to GAAP is provided in today's press release. The call is being recorded and will be available for replay on our Investor Relations Web site. I'll now turn the call over to David.
David DeStefano
Welcome everyone, and thank you for joining us. In the second quarter, we delivered on several important strategic and financial priorities. The financial results once again had numerous highlights, but I want to cover the strategic developments that we have announced recently as they position us for sustaining the profit driven growth that has been the hallmark of our company for more than 45 years. Earlier today, we announced the acquisition of ecosio, a fast growing Austrian company specializing in e-invoicing and EDI for $69 million in cash along with a multiyear revenue based earn out. The non-uniform proliferation of e-invoicing mandates with several large economies soon to adopt new requirements is making global reporting compliance more challenging for our enterprise customers. With this acquisition, we unlock additional value for our customers while opening new market opportunities for Vertex. This acquisition will enable us to address the burgeoning opportunity of e-invoicing head on. We were attracted to ecosio for a number of reasons; first, its scalable fully cloud based platform; second, its ability to handle e-invoicing across many countries that have mandates today; third, its ability to quickly expand coverage as new mandates are introduced; and fourth, the ease with which we can integrate the ecosio offering with the Vertex platform of VAT compliance and O Series tax determination. In fact, we have been working on integrating their technology on our platform since February as a potential partner. So we intend to launch our combined offering shortly.