Magic Software Enterprises Ltd. (NASDAQ:MGIC) Q2 2024 Earnings Conference Call August 14, 2024 10:30 AM ET

Company Participants

Asaf Berenstin - CFO
Guy Bernstein - CEO

Conference Call Participants

Maggie Nolan - William Blair
Chris Reimer - Barclays

Operator

Ladies and gentlemen, thank you for standing by. Welcome to Magic Software Enterprises 2024 Second Quarter Financial Results Conference Calls. Magic's second quarter 2024 earnings release was issued before the market opened this morning and it has been posted on the company's website at www.magicsoftware.com.

At this time, all participants are in listen-only mode. A brief questions and answers session will follow the formal presentation. With us on the line today are Magic CEO, Mr. Guy Bernstein, Magic CFO, Mr. Asaf Bernstein, and Magic CTO, Mr. Yuval Lavi.

Before we start, I would like to remind everyone that projections or other forward-looking statements may have been provided on this conference call. The safe harbor provision provided in the press release issued today also applies to the content of this call. Magic expressly disclaims any obligation to update or revise any of these forward-looking statements, whether because of future events, new information, a change in its views, expectations, or otherwise.

Also, during the course of today's call, management will refer to non-GAAP financial measures. A reconciliation schedule showing GAAP versus non-GAAP results have been provided in the press release issued before the market opened this morning. A replay of this call will be available on the Investor Relations sections of the company's website.

I will now turn the call over to Mr. Asaf Bernstein, CFO of Magic Software. Asaf, please go ahead.

Asaf Berenstin

Thank you, Operator, and thank you, everyone, for joining us today as we report our second quarter 2024 financial results. During the call today, I will review highlights from our second quarter results and provide an overview of our outlook.

Revenues in the second quarter of 2024 decreased to $136.3 million, down approximately 1% from the second quarter of 2023. On a constant currency basis, calculated based on the average currency exchange rate for the three months ended June 30, 2023, revenues for the second quarter of 2024 would have increased by approximately 0.4% to $138.1 million. This quarter showcased solid execution, with Israel delivering sequential mid-single-digit growth of 6.6%, and North America delivering sequential double-digit growth of 11.1%, primarily resulted from the addition of Theoris, Inc., acquired at the beginning of the second quarter.