Street Calls of the Week
Rezolve AI Ltd reported its second-quarter 2025 earnings, revealing a revenue shortfall against forecasts, yet the company’s stock surged pre-market. The firm posted an earnings per share (EPS) of -0.03, aligning with expectations, while revenue fell short by 27.7% at 4.88 million USD against a forecast of 6.75 million USD. Despite the revenue miss, the stock price climbed 21.48% in pre-market trading, reaching 6.05 USD. According to InvestingPro data, the company, currently valued at $1.42 billion, appears overvalued based on its Fair Value analysis. The stock has shown significant volatility, with a -27% return over the past week but an impressive 283% gain over the last six months.
Key Takeaways
- Rezolve AI’s Q2 revenue fell short of expectations by 27.7%.
- The company’s stock rose 21.48% in pre-market trading.
- Rezolve AI increased its annual recurring revenue (ARR) guidance to 150 million USD by the end of 2025.
- Strategic partnerships and new product launches are key focuses for growth.
Company Performance
Rezolve AI demonstrated a robust year-over-year revenue increase of 426% for the first half of 2025, reaching 6.3 million USD, surpassing analyst estimates of 5.1 million USD. Despite the quarterly revenue miss, the company’s strategic initiatives, including expanding its enterprise customer base and launching innovative products, indicate a strong growth trajectory. The company’s focus on AI-driven solutions and partnerships with tech giants like Microsoft and Google position it well in the competitive landscape.
Financial Highlights
- Revenue: 4.88 million USD, down from the forecast of 6.75 million USD.
- Earnings per share: -0.03 USD, in line with expectations.
- Gross profit margin: 95.8%.
- Adjusted EBITDA loss: 17.7 million USD, better than the expected 18.7 million USD.
- Cash reserves: 230 million USD at the end of September.
Earnings vs. Forecast
Rezolve AI’s EPS met expectations at -0.03 USD, but revenue fell short by 27.7%. This marks a significant miss in terms of revenue, contrasting with the company’s strong historical growth. The miss suggests potential challenges in revenue generation, despite the company’s ambitious growth plans.
Market Reaction
Despite the revenue miss, Rezolve AI’s stock experienced a notable pre-market rise of 21.48%, reaching 6.05 USD. This increase could be attributed to investor confidence in the company’s strategic direction and future growth potential, as reflected in its raised ARR guidance.
Outlook & Guidance
Rezolve AI has raised its 2025 ARR guidance to 150 million USD and set a target of 500 million USD for 2026. The company is also preparing to launch a crypto payment infrastructure and expects to reach profitability by the end of the first half of 2026. These initiatives reflect Rezolve AI’s aggressive growth strategy and its commitment to expanding its market presence.
Executive Commentary
CEO Dan Wagner emphasized the company’s innovative approach, stating, "We are defining the indispensable infrastructure for the age of agentic commerce." He also highlighted the company’s focus on using AI to boost revenue, rather than reducing overhead. CFO Richard Virchil reassured investors, saying, "We are very careful with our money."
Risks and Challenges
- Revenue Generation: The significant revenue miss raises concerns about the company’s ability to meet its ambitious growth targets.
- Market Competition: Intense competition in the AI and ecommerce sectors could impact Rezolve AI’s market share.
- Economic Conditions: Broader economic uncertainties could affect consumer spending and, consequently, Rezolve AI’s revenue growth.
- Integration Challenges: The integration of acquired companies like GroupBy and Viscence may pose operational challenges.
Q&A
During the earnings call, analysts questioned the company about a recent short-seller report, partnerships with Microsoft and Google, and the sales cycle duration. Rezolve AI clarified that its sales cycles range from 3 to 6 months, depending on the channel, and that the conversion from ARR to revenue takes approximately 7 to 9 months. The company also noted that 80% of its current customers generate less than 1 million USD annually, highlighting potential for growth.
Full transcript - Rezolve AI Ltd (RZLV) Q2 2025:
Michael, Moderator/Operator, Resolve: Good morning to everyone. Welcome to Resolve’s First Half twenty twenty five Earnings Conference Call. Leading today’s discussion are Dan Wagner, Resolve’s Founder and CEO and Rich Virchil, Resolve’s CFO. Our first half twenty twenty five earnings press release was issued earlier this morning and can be found on our Investor Relations website. Today’s discussion will include statements that constitute forward looking information or forward looking statements.
These statements reflect management’s current beliefs and expectations and are subject to a number of factors that may cause actual results to differ materially from those statements. These factors include, but are not limited to, those discussed in our SEC filings and our earnings release. These statements do not guarantee future performance, and therefore, reliance should not be placed upon them. We do not intend to update these forward looking statements as a result of new information or future developments except as required by law. Additionally, our discussion will include both GAAP and non GAAP financial measures.
These non GAAP financial measures should be viewed in addition to and not as a substitute for Resolve’s reported results prepared in accordance with U. S. GAAP. Non GAAP financial measures referenced in today’s call are reconciled to the most directly comparable GAAP measure in our SEC filings and our earnings release. For more information regarding definitions of our non GAAP measures, please see our earnings release and SEC filings, which are or will be available on Resolve’s Investor Relations website at investor.resolve.com and on the SEC’s website at www.sec.gov.
Finally, as a reminder, today’s conference call is being recorded, and the replay will be available on our Investor Relations website. At this time, I’d like to turn the call over to Dan.
Dan Wagner, Founder and CEO, Resolve: Thank you very much, Michael, and thank you, everybody, for joining us today. Before we get into the results, I want to address something directly. In recent days, anonymous short sellers have attempted to spook genuine investors with publications that are libelous, misleading, and scurrilous in nature to the extreme. These so called reports are nothing more than a collection of baseless allegations made by cowards who hide behind anonymous entities and cite anonymous sources. Nothing they publish is on the record.
Nothing is validated. And because they refuse to stand behind their words, they cannot be held to account for their disgraceful actions. Let me be blunt. This is market abuse. It is designed with one objective, to take money out of the pockets of real investors by deliberately spreading false and alarmist narratives.
It is shameful. It is manipulative, and it should be stamped out by the authorities. If there were a mechanism to hold these people legally liable, we would pursue it. Until then, the best response is what we are here to discuss today. Facts, results, and the extraordinary progress resolved has achieved.
That is the truth, and that is what investors deserve. So this is an exciting time for Resolve as we find ourselves at the forefront of an AI revolution that is sure to transform online search and digital commerce, a market that in our view is well past its sell by date. Our first half results not only beat expectations, but also allowed us to raise guidance to a 150,000,000 ARR for 2025 and set a new 500,000,000 ARR target for 2026, the majority of which is contracted recurring revenue. With our market ready AI powered ecommerce solutions underpinned by our proprietary technology, we have seen growing momentum in our business throughout the year as the demand from enterprises to enhance the digital customer experience and drive both engagement and revenue growth continues to increase. While it feels like the momentum we’ve generated has been achieved overnight, given the scale of the ramp in our business, it’s important to highlight that the road has been anything but.
Instead, today’s success is based on our decades of experience in search, commerce, and payments that led us to found Resolve almost ten years ago using a technology that few had heard of at the time. Before I dive into all of the exciting developments and milestones that we’ve achieved year to date, I think it’s important to revisit our mission and our differentiated positioning that, in our view, places us as a leading enterprise solution in the ecommerce and retail marketplace today. As a brief recap recap, we founded Resolve in 2016 to address the very real problems of customer attrition and cart abandonment that have plagued the digital ecommerce experience. We recognized that companies were spending millions of dollars to drive consumer traffic to their digital sites only to have seven out of 10 customers leave without buying a product, which is the exact converse of what happens in a physical store where seven out of 10 customers do end up buying a product. So we set out to solve the issue of cart abandonment for enterprises, which we believe is based on the lack of knowledge available to consumers on a digital site as compared to when they interact with a great salesperson in a physical store.
Over the last nine years, we built proprietary foundational large language model brainpower specifically for ecommerce. And to create the best salesman on the planet, we imbued our model with three fundamental skills or characteristics, deep product knowledge and domain experience, empathy and sales techniques. Because of our decades of experience and our background in the area of predictive text, which is based on probabilistic guesswork and serves as the basis of Gen AI, we believe that AI technology would be prone to hallucinations or mistakes, which we also knew would be exacerbated when using product catalogs. From our perspective, AI’s pro propensity to hallucinate would be irreconcilable in enterprise ecommerce, and so we’ve taken a novel approach to solving this problem of hallucinations, which includes securing multiple patents that first enhance the product catalog through creation of a rich probabilistic taxonomy structure, and second, employ a unique multi step process to address customer queries in a way that prevents the technology from making a mistake. This week, our CTO, doctor Salman Ahmed, and his team released a white paper showing Brainpower performing competitively with leading public models like GPT four, Claude, and Mistral.
In fact, outperforming them in empathy, contextual relevance, and retention focused ecommerce use cases, all while delivering effectively zero hallucinations. After creating the best salesperson of the planet and solving the problem of hallucinations through our patented technology, we took the final step of productizing our tech into a set of off the shelf enterprise solutions collectively known as the brain suite. In providing these details, I wanna highlight the immense opportunity we believe that Resolve finds itself in today, An opportunity to upend the $30,000,000,000,000 market in ecommerce and retail with a uniquely differentiated enterprise solution supported by proprietary technology built specifically for ecommerce, free from hallucinations, and available in a productized solution suite. We are defining the indispensable infrastructure for the age of agentic commerce, offering enterprises a platform that is ready to support autonomous AI agents that can search, transact, fulfill, and personalize in real time, laying the foundation for the next era of enterprise commerce. With that background, I’d like to provide you with a brief recap of our business activity in the 2025, followed by an additional commentary later in the call around how our business is trending as we head into the year end.
On our last earnings call, I discussed the important actions we had taken in the 2024 and early twenty twenty five to put Resolve on a strong footing to grow revenue and acquire customers. Those actions included securing landmark partnerships with Microsoft, Google, and Teva, as well as strengthening our balance sheet by eliminating legacy debt and building cash through successive oversubscribed finances financings ending September with approximately $230,000,000 in cash. In the 2025, revenue surged to 6,300,000.0, surpassing the 5,100,000.0 analyst consensus and marking a more than 426% increase versus the prior year. Gross profit margin hit 95.8, dramatically ahead of the 70% range expected by analysts. We also beat consensus on adjusted EBITDA, reporting a loss of just $17,700,000 versus the 18,700,000.0 expected.
This balance sheet strength gives us the firepower to execute on strategic m and a, which expands our global footprint and provides significant upsell opportunities into the brain suite, cementing our leadership in a market that is rapidly scaling worldwide. These were crucial developments in establishing a solid foundation, allowing us to focus our efforts on scaling our organization and driving growth through the three main pillars of our go to market strategy, namely direct sales, partnerships, and acquisitions. We began the 2025 with the acquisition of enterprise search company GroupBy, which allowed us to acquire talent, including experienced salespeople, and to increase our roster of consumer brands in North America. As I previously mentioned, we believe that employing a greater roll up strategy through acquisitions can accelerate customer adoption of our brain technology suite, provide an opportunity to cross sell our expanding tech and service offerings to global enterprise customers, and allow us to quickly expand into non core geographies. The acquisition of Groupbuy combined our strategic partnerships with Microsoft and Google helped support early momentum in generating customer adoption with enterprise customers spanning the globe.
The success of this strategy was immediately demonstrated by the multiyear agreement we announced with Mexican premier department store chain, Liverpool, for nearly $10,000,000 per year. This upsell to an acquired customer exemplifies how our m and a strategy not only brings new enterprises into the Resolve ecosystem, but also creates immediate opportunities to expand revenue from those relationships. And so throughout the first half of the year, we continue to leverage our strategic partnerships and acquisitions while concurrently building our internal sales team. Our approach proved successful. And by mid June, we announced that we’d secured more than 50 enterprise customers and achieved 70,000,000 in average annual revenue, annual recurring revenue rather, from an outstanding start.
We concluded this a successful first half year half of the year with a major milestone. Resolve’s inclusion in the Russell two thousand and Russell three thousand indices less than a year after we began trading on NASDAQ as a publicly traded company. In our view, Resolve’s inclusion in the Russell indices served as a testament to the significant progress we made up to that point. We entered the back half of the year looking to build the momentum generated in early twenty twenty five with a focus on driving scale and relentlessly executing across all three pillars of our go to market strategy. As a result, we have made significant progress in recent months that we believe will serve as a launch pad to accelerated growth.
Some of those exciting developments have led to success in scaling the organization and up leveling talent, expanding our technology offerings and services, deepening and broadening out our partnerships to drive customer adoption, and securing landmark capital raises to support future growth. Before elaborating on some of these recent developments, I wanted to be briefly begin by mentioning a key milestone we recently celebrated, namely Resolve’s one year anniversary as a public company trading on Nasdaq. It was a landmark event for the company and our investors and a proud moment of achievement for many of the management team that have been on this journey with me for nearly a decade. Turning to business. One of our goals as we began the second half of the year excuse me.
One of the goals that that as we began the second half of the year was to drive organizational scale and up label up level our talent through both acquisitions and organic hiring. We believe that this is a crucial element in executing on our go to market strategy as we look to rapidly expand our global footprint and establish a clear leadership position in AI powered solutions for retail and ecommerce. Building on our successful acquisition of enterprise search company Groupbuy, we recently acquired Vicence, a single wall paced AI retail tech company. This acquisition, small, enhances Resolve’s engineering talent, expands our customer roster of globally recognized brands, and serves as a strategic hub with access to the Asian market. Additionally, we made a number of key hires in an effort to up level our talent throughout the organization, most recently announcing Crispin Lowry as our EVP of Growth.
Mister Lowry, of Microsoft and Google, is tasked with leading Resolve’s global expansion efforts. We’ve also been keenly focused on expanding our enterprise based solutions. And in recent months, we have announced a new vertical, our professional services division and the innovative technology visual search. Led by former Tata chief exec chief technology officer, Shobik Banerjee, Our professional services vertical was launched in direct response to greater customer demand for support in integrating and optimizing Resolve’s Brain Suite solution, as well as enhancing data around customer product catalogs. We also recently announced the launch of visual search, a new feature integrated into Resolve’s brain suite that allows consumers to use images to engage with our conversational commerce solution to shop for similar items in an enterprise retailer’s product catalog.
We’re excited to continue to bring new solutions to our enterprise customers and through early and and though early, we are seeing great interest in both professional services and our visual search feature. Consistent with our professional services strategy, this this division is also providing significant implementation resources to Brain Suite clients as they deploy our technologies at scale. Our growth is reinforced by partnerships with Microsoft and Google, which provide both global cloud infrastructure and extensive go to market resources. Microsoft and Google Cloud power our brain, power LLM, and commerce applications at enterprise scale, while their co sale programs accelerate our distribution to enterprises worldwide. While our primary focus remains on these partnerships, we continue to evaluate opportunities to broaden our reach with other platforms over time.
Looking ahead, we are making significant progress this quarter on embedding digital asset capabilities into brain checkout, further cementing our leadership at the intership intersection of AI, commerce, and next generation payments. Following two oversubscribed financing financings totaling $250,000,000, we end September with $230,000,000 in cash, an endorsement of institutional confidence, and a foundation for accelerated expansion. As a result of our successful efforts, we’ve achieved 90,000,000 in ARR, and quickly grown our total number of enterprise customers to more than a 100 from the 50 plus we reported earlier in the year. Moreover, our expanding roster of enterprise customers increasingly includes globally recognized brands such as Ferrero, H and M, and Urban Outfitters. Even as our enterprise customer pipeline continues to build across an increasing increasing array of verticals, including beauty, fashion, furnishings, and QSR.
Overall, I couldn’t be more pleased with the immense progress we’ve made and the milestones we’ve achieved thus far in 2025. From a standing start at the beginning of the year, we’ve generated growth that appears to be increasing in momentum. And and as our recent capital raises show, we will look to build on that momentum to further accelerate customer adoption and revenue growth. While we’ve achieved so much in a short amount of time, I look forward to a strong finish to 2025 and believe that we are well positioned to build on our success in 2026. With our road map extending to a 500,000,000 ARR exit in 2026 and with crypto capabilities on the horizon, Resolve is positioned to lead the next decade of commerce innovation with durable ARR growth and expanding roster of enterprise customers, crypto enabled brain checkout on the horizon, and brainpower validated as a safe, competitive, and reliable model for enterprise deployment.
With that, I’m gonna hand over to my CFO, Richard Virchil, who will take you through some of the numbers.
Richard Virchil, CFO, Resolve: Thank you. Good morning to everyone joining the call. That has highlighted some of the many ways in which 2025 has been transformative year for Resolve as we continue to build our customer base, strengthen our partnerships and scale our organization. Accordingly, we continue to generate momentum across our business as we deploy our unique, commerce specific brand suite to drive our financial flywheel. This includes raising 2025 guidance to the minimum 150,000,000 ARR after materially outperforming analyst forecasts in the first half, delivering contracted subscription revenues, high gross margins and a flexible cost base.
Our brain suite is now AgenTicCommerce ready, out of the box, giving enterprises the ability to deploy autonomous AI agents that can search, transact, fulfill and personalize in real time. And we now also set the twenty twenty six guidance at 500,000,000 ARR. In today’s discussion, I’ll provide a recap of the 2025 financial highlights, discuss the actions we’ve taken to further strengthen our balance sheet to support future growth and provide an update on the full year 2025 financial outlook. Let me start with our first half twenty twenty five financial highlights. So after beginning 2025 from a standing start, we ended the first half of the year with revenues at £6,300,000 which is above the £5,100,000 consensus estimates and a 426% increase year on year.
We also beat consensus on adjusted EBITDA, reporting minus £17,700,000 versus the minus £18,700,000 expected. And this was driven by contracted subscription sales related to the licensing of BrainSuite products, namely search tools and geofencing software to our enterprise customers. Gross margins exceeded 95% as the majority of our revenues were derived from licensing of our cloud based software solutions, and this demonstrates the powerful operating leverage generated by our SaaS driven business model. Our net loss was £57,800,000 and these losses were largely driven by noncash or onetime charges. With underlying monthly operating cash burn on a BAU basis at £2,600,000 which is in line with the guidance we gave in April.
In addition to reviewing financial results for the first half of the year, I want to take a moment to highlight the numerous actions that we’ve taken to continue to strengthen our balance sheet and our liquidity position as we scale operations to drive this growth. As I mentioned on our last earnings call, we ended the 2025 in a position of financial strength after taking considerable measures in the 2024 and early twenty twenty five to eliminate £91,000,000 of legacy fixed rate convertible debt related to the company’s de SPAC process, which completed with the resolved listing on NASDAQ in August 2024. As a result of those measures, we reported in April that the company’s remaining debt was solely comprised of the GBP 30,000,000 traditional interest bearing bank loan secured with Berenberg and GBP 6,000,000 of convertible debt and promissory notes that would eventually be converted to equity. And I’m pleased to say that the majority of that has now converted. Following two financings in Q3 totaling GBP $250,000,000, we ended September with approximately GBP $230,000,000 in cash on the balance sheet, and we’ve also reduced legacy debt balances, further simplifying our capital structure.
This positions us to accelerate global sales expansion, scale the organization and pursue accretive acquisitions. Looking ahead, I want to provide our updated thoughts on the outlook for the year. We’ve already secured more than GBP 90,000,000 in ARR against our prior targeted guidance of GBP 100,000,000 ARR by year end. And given this momentum we’re seeing in our business, we are now raising full year 2025 guidance to a minimum of £150,000,000 ARR exit rates. And looking further ahead, we’ve set guidance for 2026 at £500,000,000 ARR exit rates, reflecting strong demand momentum and pipeline visibility that we have.
We expect cost growth, which is driven by headcount, marketing expense and hosting costs, to continue to increase in line with revenue as we scale the organization. However, we do believe there is an opportunity to drive growth by accelerating investment in our sales organization and broadening enterprise solutions to include professional services. We anticipate professional services having materially lower margins than those associated with our licensed SaaS business line, and those margins range from 18% to 45%, With professional services representing a more meaningful share of revenue going forward, this will result in lower gross margin as we move forward. And consistent with our professional services strategy, this division is also providing significant implementation resources to brain sweet clients, and this allows us to deploy our technologies at scale. Our SaaS driven businesses will continue to deliver world class margins while professional services broaden our enterprise footprint.
Overall, we remain excited about the growth trajectory of our business as resolve.ai cements its role as an indispensable infrastructure for organic commerce and remain steadfast in our approach to prudently manage expense growth while executing our key strategic initiatives to drive this growth. And now let me turn you back over to Dan.
Dan Wagner, Founder and CEO, Resolve: Thank you, Richard. And so that brings us really to the end of this call. I just wanted to, finish by saying that we’re very grateful to the investor community supporting our activities and our momentum. We’re extremely excited to be at the helm of this wonderful business that is showing such fantastic traction and momentum. As I mentioned before, nine years in the making to get to this point.
It’s been a long journey, but we feel that 2025 is the first year where we’ve been able to introduce our products to the market, see some momentum in its take up. And that’s very rewarding for all the people who toiled away for so many years on the technology, you know, perfecting it and getting it right so that it’s ready for prime time. Well, it’s ready for prime time now, and we’re very excited, enthused, and bullish about our prospects for the coming years. Thank you very much.
Michael, Moderator/Operator, Resolve: Thank you, Dan. Sandra, please open the line for questions.
Conference Operator: Thank you. We will now take the first question from the line of Yi Fu Lee from Cantor Fitzgerald. Please go ahead.
Yi Fu Lee, Analyst, Cantor Fitzgerald: Good morning. Good afternoon. Thank you, Dan, Richard and Michael for taking my question on a very strong guidance rate for twenty twenty five and 2026 to end a productive first half. So maybe to start with you, Dan, and then I will follow-up with Richard on the financial side. Not to take anything away from a highly productive first half delivery.
As you highlighted, a report was published earlier this week that called out certain matters about the business into question, and we think this is a great opportunity to address some of these points publicly. Would you please then kindly address the following three items? Firstly, you know, update on the Microsoft and Google revenue contribution to date. Any views on the trajectories of these key partnership, to the business? Secondly, Dan, your view on customer acquisition and definition of the new logo.
Lastly, Dan, comments on Resolve technology as it relates to the proprietary large language model, and how’s the platform built and the IP behind it?
Dan Wagner, Founder and CEO, Resolve: Okay. So I I got the two questions, which I’ll answer, and then you’ll have to repeat the third. So our partnerships with Microsoft and Google are at the highest levels as demonstrated by their endorsement of the company and our technology on the videos that are available on our website from senior executives, Nick Parker and, Tara Brady. We engage with these partners at the senior level in quarterly business reviews and management meetings, which filter down to different industry leads, for organizing meetings, tracking technology integration activities, and and others, elements. Microsoft and Google have both enhanced the, capabilities of Resolve’s momentum within their customer base by in encouraging their customers to buy Resolve products as if they were Microsoft or Google products by giving them a 100% credit against their financial commitments to those companies.
That means that when we are introduced to a lead through these, partners, the customer already has a commitment to Microsoft to Google and can offset dollar for dollar that commitment when they buy my Resolve products. They’ve also incentivized their sales organization to sell Resolve as if it is a Microsoft solution, by crediting the sales of Resolve technology to their customers, dollar for dollar against their salespeople’s quotas. Now that, you know, perfect storm of, encouragement then allows us to walk into those customers that are introduced to us, and we have contracted SLAs that Microsoft, for example, have to introduce a certain number of hot leads in any, quarterly period, and those numbers are allocated to different regions like Europe, United States, and Asia. So they are committed to giving us they’re committed to giving us warm leads, and we work together to secure those accounts. So that’s the the first question.
The second was about revenue. Well, I mean, it’s it’s clear that, you know, our strategy is through the three pronged approach of direct sales, partnership sales, and acquisitions. And we have identified that acquiring the old school search companies like Group Buy, and it’s no disrespect to them, but they’re they’re not using the conversational commerce engine capabilities that we built with with Brain, with Resolve. And so by acquiring those old, style interfaces to digital channels, we can upgrade all of those customers much quicker than if we were to go and sell them through our direct sales channels. It’s a much faster route to upsell.
And the perfect example of that is Liverpool. Liverpool being a customer of Group Buy, you know, very shortly after the acquisition, we were able to secure a massive increase in their monthly spend and their yearly spend through a new ten year a year $10 $10,000,000 a year contract. And Google were very helpful in closing that deal with us. They sent somebody from Mountain View to London, and one of the people from London joined us. The Liverpool, management came to London to see us in the office because they wanted to know, you know, more about who the new owners were of of their, partner group buy.
And, the result of that was a $10,000,000 annual contract. And we you know, this is a good example of how leveraging our technology into this market through an upsell from an existing relationship is much better and much less expensive for the company than going out cold calling new new accounts one by one. Could you just ask me the third question? Because I yeah.
Yi Fu Lee, Analyst, Cantor Fitzgerald: Got it. Thanks thanks for the very comprehensive response then. And the last part the last piece of the question is really the technology. I think one of the questions they had on the report was the technology. It it called into questions, right, about the Yeah.
Yeah. Development of the model at the IT. Yeah. Yeah. I got that.
Dan Wagner, Founder and CEO, Resolve: Okay. So first of all, what they were referencing was a Remnant app that’s called my brain dot zone. You can go to it at my brain dot zone. It was an app we put up in 2022 that’s not been supported. I think there’s we looked at the stats after we saw it because and we’ve taken it down, or we I think we’ve taken the app the app from the App Store down, but it was like a test.
What we were doing was we were putting up a multi, it was like a consumer illustrative, app to show how you can, you know, search the Internet and and get answers from GenAI. And what the, what the query when you put a query in, it would use a different model depending on the query. So if you ask a medical question, of course, Brainpower doesn’t cover medical stuff, it would use a a medical LLM. It might use Lama or or Mistral or something or deep maybe DeepSeek if it was out. If you were asking a question about holiday in Ibiza, you know, it might it might search chat GPT.
And so what we and what it would do is it would search the Internet, pull back results, and then use one of those language models to interpret the results depending on the area of expertise. But, really, it was a it was a remnant app that we stopped, you know, supporting about two years ago. And so we’ve it was nothing to do with our business solutions. It’s nothing to do with our our professional services. So the whole premise of that was that the technology we have doesn’t exist and all the rest of it.
Well, as you’ve seen, clearly, that’s nonsense. And, clearly, we wouldn’t be partnering with Microsoft and Google, and they wouldn’t say the things they said about our technology if it didn’t do what it does. And, and you would have seen also that we, put up a white paper today showing how effective our technology is against against our peers.
Yi Fu Lee, Analyst, Cantor Fitzgerald: So Just to clarify that there, like, is it a retail item, right, obviously, we’re do the, the the modeling. Right? That you guys take over the, recommendations. Right? If it’s something beyond, obviously, retail.
Right? Like like you said, health care, you know, medical appointment. Right? Then that’s when you pull in other, foundational models to to help you guys.
Dan Wagner, Founder and CEO, Resolve: No. No. Sorry. I I just wanna be clear. That app was like a little test we did, and we we put it out there.
We should have dissolved it. It was before we were a public company when we put that up. I mean, it was just like a, a test of of our technology to see how we would be able to use our LLM and others in a multimodal solution to serve consumer general queries. But it’s not a business we wanna be in. We just wanted to test it out and see and see you know, it was it was a a skunkworks project, really.
It was never launched formally. It was never, promoted. It’s it’s been something that we we’ve shelved years ago. So, it was kind of very misleading, I think, to to, you know, try to picture that as a, as the as what we’re selling today. It’s nothing to do with it.
It’s it was it it’s a it’s a remnant Skunkworks project that no longer is supported or exists. Yeah.
Yi Fu Lee, Analyst, Cantor Fitzgerald: Got it. Thank you for that, Dan. Extremely helpful and very comprehensive. I’ll move on to the, Richard on the financial side. Richard, also a three part question.
I’ll I’ll I’ll take the questions for the sake of time. And then, you know, if you have any follow ups on, like, that I’ve missed anything, like, feel free to have me repeat it. Firstly, Richard, like, what gives you the high level of confidence on increasing 2025 ARR guidance by about 50% to a 150,000,000 to exit 2025 and then more than triple that to 500,000,000 next year. You know, can you help us bridge how results could get there, number one? And what’s the equivalent turn from ARR to revenue?
Like, this will inversely, help us, you know, the analysts model the company. That’s that’s question one on the guidance, Richard. Number two is your breakdown in terms of revenue ARR contribution generated organically from Resolve and versus inorganic deal, like acquisition, like, buy, etcetera? And the last piece, Richard, is the last guidance on breakeven point was, I believe, 90,000,000 in revenue. Any change on that based on the new guidance?
And and that’s it for me.
Richard Virchil, CFO, Resolve: Yes. So so that we are we are very confident in raising our guidance. If we weren’t confident, then clearly, we wouldn’t have done it. The rate the the increase a 150,000,000, you know, we’ve we’ve sat down and we have we have a very clear a very clear pipeline of how we’re gonna get there. It is a mixture.
It is a mix of acquisitions and upsell and new customer revenues that we’re that that we’re gonna put in there. In 2026, that that tripling of that that revenue, again, that you know, it it is the full year impact of ’25 plus plus a huge amount of growth that we we thought coming through.
Yi Fu Lee, Analyst, Cantor Fitzgerald: But, Richard, like, in terms of revenue, I don’t see no guide to revenue, but, like, it will help us because, like, ARR could, like let’s say, if it comes in the back half of the year, it could, like, you know, distort our revenue number. Any any any, like, tips for us to help help model that?
Richard Virchil, CFO, Resolve: So so so sorry. So you’re looking for you’re looking for the for 2025 full year revenue? Is is that what you’re looking for?
Yi Fu Lee, Analyst, Cantor Fitzgerald: I thought ’26 because, like, at the end of your guidance, 50 in ARR in 2025 and 500,000,000 for the next the following year. We just wanna get a feel like, you know, is it more back half loaded, like, seasonality behind that? Because it’s good. It could, you know, obviously, materially change our revenue projections.
Dan Wagner, Founder and CEO, Resolve: Yeah. So we’re we’re exiting we we will exit this year. Month of December, for example, will be in excess of $12,000,000 of annual recurring revenue in that month. That’s that’s the exit month of 2025. And that’s the achievement of all of the revenue and the momentum of the customers that we’ve been winning throughout the year and when the rubber hits the road and their monthly, you know, fees start to land, on our, p and l.
And the same is true for the exit of 2026, just, you know, nearly five x.
Yi Fu Lee, Analyst, Cantor Fitzgerald: But but then would you say, like, it’s more back half loaded or front half loaded? Like, I we just want to get a sense
Dan Wagner, Founder and CEO, Resolve: of I don’t think it won’t be front half loaded. Look. We’ll keep them as we’ve done in the past, we’ll continue to keep the market very well informed, and we’ll keep announcing, you know, milestones as we as we achieve them. We’re not gonna wait until, you know, the 2026 to let you know about that. But, obviously, we, you know, we we we are very bullish on 500,000,000 exit of 2026.
We expect to put out numbers that we expect to wait to beat, obviously. And so we’re very we’re very bullish on it. We’re we’re solid on that number, and we and we’re confident, of exiting the year at 500,000,000 ARR or more of 2026.
Yi Fu Lee, Analyst, Cantor Fitzgerald: Got it. And then and then, Richard, just to follow-up on the revenue ARR contribution organic versus inorganic breakout. And then the final piece was that last time you guided breakeven level of 90,000,000, I think, in revenue. Any changes to that based upon the updated guidance? And then I’ll hop on.
Dan Wagner, Founder and CEO, Resolve: Well, we we do have a very clear focus to roll up search companies in the market. We’re gonna be acquiring you know, given the success we’ve had with group buy, we’ll continue to buy these, you know, end of life, in my view, end of market, companies. We can buy them relatively cheaply, and we can upsell our technology and convert those customers very quickly to to our technology. We improve the margins, and we improve, obviously, the revenue overall. And, you know, there is a great opportunity to consolidate that old search marketplace.
So that plays a part in it, and we’re in discussions with a number of potential acquire acquisitions in that space that obviously contribute to twenty twenty six revenues. But we also have a very bold plan of rolling out our organic search, or, sorry, our, organic sales, infrastructure with Crispin’s appointment, to to lead growth with the significant amount of capital that we raised to to to deploy in the field. We’re looking to build a very substantial US sales organization across multiple cities with salespeople on the street. We don’t have that today. I mean, remember, we’ve achieved all this with 22 salespeople globally.
You know? That’s remarkable, so far this year and with very little public marketing activity. With the recent capital raises, we’re gonna be deploying significant capital into sales and marketing globally, and we believe that that’s gonna have a massive impact on the take up of our services, around the world. So, you know, we’ll continue to pursue, the strategy that we have started with, which is proving to be successful of organic growth, direct sales, partnership sales, which drive all that organic growth, and acquisitions, which also drive organic growth to a degree as we acquire revenue and upsell them and improve the, the revenue from those partners from those customers.
Yi Fu Lee, Analyst, Cantor Fitzgerald: Got it. Thank you, Dan. Thank you, Richard, for patiently taking all my questions.
Conference Operator: Thank you. We will now take the next question from the line of Mike Latimore from Northland Capital Markets. Please go ahead.
Mike Latimore, Analyst, Northland Capital Markets: Excellent. Yeah. Congrats on the strong start to the year and the development throughout the year here. Guess, Dan, you’ve talked about getting to a 100 enterprise customers, I think up from 50 the last time we talked. Can you talk a little bit about the source of those customers?
You know, how many are upsells versus maybe new through Microsoft or direct sales?
Dan Wagner, Founder and CEO, Resolve: Well, we haven’t broken that out. You know, I don’t know out of that how many came from Microsoft, how many came from Google, how many came through acquisitions. But, you know, the statistics piece for yourself, I mean, we are seeing fantastic take up, very enthusiastic engagement with us, good momentum in revenue. I mean, across the board, we’re seeing, you know, very, very positive interaction with our with our products and services.
Mike Latimore, Analyst, Northland Capital Markets: Yep. Great. And then on the on the professional services, you you know, you have you hired, you know, somebody with, obviously, a great background, and then you also have you you you talk about some third party providers as well, you know, sort of tier one systems integrators. Can you just talk a little bit about how you divide your responsibilities and professional services between internal and some of these third parties? And then on your internal group, how many, you know, how many people do you have, or do you think that number goes over time?
Dan Wagner, Founder and CEO, Resolve: So so the so those other companies, YPro, Cognizant, etcetera, they’re customers. They’re not partners, and they are buying technology services because we have a very amount a very large and deep, depth of AI skilled, programmers and and, and natural language, you know, developers. So as a result, we there’s a lot of demand for those resources. And Mhmm. People are coming at us, you know, saying, can we can we, you know, utilize that those resources for our projects?
And we’re going, of course. So we’re we’re finding a rich scene of opportunity that’s coming to us to assist, you know, all sorts of organizations, not necessarily in commerce or retail, who want to leverage our capabilities and skills. And, of course, you know, Shovik at Shovik who runs our professional services has a, you know, very deep connections and network with, you know, customers of Tata when because he was there. And those customers, of course, you know, know of his appointment at Resolve and what he’s doing. So we’re winning business, you know, slightly outside of the area of commerce and retail in terms of professional services, and we’re excited by that.
I mean, it’s profitable revenue. It’s Mhmm. It’s profitable business. They’re long term contracts. And and we have, you know, deep capabilities in the space that we can that we can provide those customers.
Mike Latimore, Analyst, Northland Capital Markets: So in terms of the internal professional services team, how how many people are on that team? Where do you think that goes to over the next year?
Dan Wagner, Founder and CEO, Resolve: I think it’s at least 250. It might be a bit more now, but it’s 250, from a standing start again, and and that’s gonna grow. But these are fully engaged high level AI engineers.
Mike Latimore, Analyst, Northland Capital Markets: Yeah. Great. Okay. Excellent. Thanks.
Best of luck.
Conference Operator: Thank you. We will now take the next question from the line of Tom Forte from Maxim Group. Please go ahead.
Tom Forte, Analyst, Maxim Group: Great. So first off, Dan and Rich, congrats on the performance and the progress. I have a statement, a question, and a follow-up question. So my statement is, Dan, having seen you bootstrap results get where it is today, I’m excited I’m excited to see what you’ll be able to do with the company now that you’re much better capitalized. So my first question is, Dan, can you talk about your prior efforts in scaling a Salesforce, for the earlier companies that you started?
Dan Wagner, Founder and CEO, Resolve: Yes. Of course. Well, first of all, I would like thanks, Tom. I’d like to say that, you know, previously, Resolve was armed. Now we’re armed and dangerous.
You know, we have, you know, resources available to us to execute. You know, when I was a much younger man, I ran a a an information services company that became the world leader. We had to roll out under a lot of pressure a large sales organization in The United States that we didn’t have at the time. We had a small team in New York. And so we ran a boot camp in Dallas where we invited we we, you know, advertised for salespeople, and we had about 250 people come to a boot camp for three or four days.
We trained them on, you know, how on our products or services. We determined who was good and who wasn’t, and then we recruited about 50 or 60 of them. And then then we we sent them back out into the field into seven sales offices. That was a very successful, recruitment program. It was done as a very intense process, but the result was very capable sales organization across The United States in satellite offices.
Now I’m not suggesting we necessarily do that today because Crispin brings with him, you know, a huge network of very capable sales managers and sales executives, and he’s drawing on that from his relationships, from his, you know, many years at Google and Microsoft selling services to corporates. So I think that the the the the, you know, the rollout plan is going to be driven slightly differently in this case to to a much more sophisticated, approach of recruitment from, you know, existing technology organizations who have very capable salespeople proven and trusted. I’ve also got a large network myself, of course, having been in technology for forty years.
Tom Forte, Analyst, Maxim Group: Wonderful. Alright. And then for my follow-up question, and thanks for taking my questions, can you talk about your strategic m and a strategy? Are you looking to acquire sales talent, intellectual property, client lists? How should we think about your strategy?
Dan Wagner, Founder and CEO, Resolve: Well, I think I think it covers all of those areas. And, you know, there are some very important things that we’re going to there’s very important acquisitions and stuff that we’re gonna be doing in in the coming months and and years that will reflect what we’re trying to achieve. So first of all, let’s keep to where we are to what we’ve done today. So the notable acquisitions we’ve done today is group buy, which was a, let’s call it, traditional search company. And we have shown to ourselves that it’s a very effective way of acquiring talent, individuals, capabilities, relationships with customers, and revenue, of course, and the ability to upsell those customers into the new suite of solutions that we offer.
And in the case of Viscence, which is a very small acquisition, it was about 5 or $6,000,000, I think, in total was the acquisition cost. The we we we we acquired a great small, talented team who are very sophisticated in their local market customer base and, you know, know them, have been around a while, brought with them some great technology that we like, but gave us a footprint, gave us a presence, an instant office, an instant talent in Singapore. So our forward our forward acquisition plan at the very high level, very simple level, is that we will acquire talent where where we think it’s value for money, and we will acquire revenue and businesses which have both talent capabilities, possibly technology, customer relationships, and the ability for up to up upsell our technology. That’s one of the drivers. But there is another angle which we haven’t, done as yet, but we will be doing, and you will see it coming through, is that we wanna put some important foundations down for our crypto, payment infrastructure.
We need, some, you know, technical enhancements to that, and we see opportunity there, that we will be clearly more clearly explained at the time of those announcements. But, you know, it will give us an important, foundation upon which to build our very ambitious, crypto payment infrastructure that we are, looking to roll out, you know, soon, and you’ll hear news about this very soon, with our partner Tether USDT. And and that’s a very important part of our whole proposition. We see both AI and conversational commerce on the one hand and crypto payments or blockchain based transactions on the other hand as two key parts of the future of the digital, you know, commerce and digital, engagement of the future. And we want to be the dominant market leading player in that space.
And in order to do that, there are some pieces that we need to put in place, that will that will become apparent when we make those announcements.
Tom Forte, Analyst, Maxim Group: Great. Thank you, Dan.
Conference Operator: Thank you. We will now take the next question from the line of Rohit Kulkarni from ROTH Capital Partners. Please go ahead.
Rohit Kulkarni, Analyst, ROTH Capital Partners: Hey. Thanks. Hey, Dan and Rich. Nice job. Just a high level question in terms of the number of customers you’ve listed in the press release, more than 100 live customers.
Maybe talk through which categories of use cases or pinpoints you think Resolve has been most successful in in addressing as these customers start to use your applications. I see a lot of case studies online. That’s helpful. So maybe just recap where do you see Resolve being more successful. And near term, in terms of new products and new priorities in improving those pain points, where would you think is your focus area, Dan?
That’s the first question.
Dan Wagner, Founder and CEO, Resolve: Okay. So thank you, Rohit. So the the the first point, you know, our our our whole proposition here is to improve conversion for our customers, you know, the the ability for them to reduce the attrition that they have currently in their digital channels, which is 70% on average, and that’s, you know, pretty awful. Reduce that by some percentage and and improve, conversion. And then, of course, you know, the ways that we do that cover a number of different areas, but I think the first the first area, of course, is conversational con commerce product discovery, allowing a customer to get better information on the products.
And the example I’ve used many times that you may have heard is that if my wife tried to buy me a mobile phone online, she couldn’t do it because she doesn’t know what iOS is or Android or a megabyte or a megapixel or an OLED screen. But if she went into a AT and T store, on, you know, 30 and Lexington Avenue, and she said, I need to buy my husband a mobile phone, after one or two questions, does he use a PC or a Mac? Does he use his phone all day and need long battery life? Do you want a end spec phone or whatever, a high spec camera? One or two questions, and then that salesperson would be able to present to my wife a phone that she would likely be able to buy for me.
So we’re trying to make that experience on the Internet. We’re trying to make that experience on the AT and T in this example, the AT and T website. Now that’s the first, and we’re seeing very great improvements in conversion as a result of, you know, our search and product discovery capabilities. Then we move to, image search, which is fairly newly introduced, but the ability to compare image to use image, to to find a similar product, to take a picture of your trousers and and upload it and and find what other what other trousers are similar to this, in that retailer’s catalog. That’s a very attractive, enhancement.
The other is, there is a couple of others, but I’ll just cover one more. The other is the example of using geolocation zones or triggers to engage with a customer who’s in the in in a physical environment and drive them to a transaction. And Dunkin’ Donuts, for example, uses that amongst others, like Coles in Australia so that they can trigger an engagement with a consumer who’s nearby to a store or arriving at a store and trigger an engagement of a transaction before they have to go to a checkout line. And, that works very well through drive throughs, Duncan being an example there, or convenience store pickups, which is Coles in Australia, example there. But, you know, there are many others.
And we’re saving material amounts of time through those engagements. And we we put some stats out about the number of geozone triggers we’re doing and the estimated time of arrival and now notifications we’re giving, those stores, in today’s announcement. So, you know, it’s a combination of those things, and there’s a few others to do with SEO, and other things that we do. But it’s all based based on AI driven, enhanced ways to improve conversion and checkout. That’s our objective.
Increase sales for the customer. We’re not trying to use AI to reduce overhead, you know, get rid of staff in your call center or the stuff like that. We’re using AI and technology that we own to help to increase revenue. It’s a ROI play rather than a save money play.
Rohit Kulkarni, Analyst, ROTH Capital Partners: Okay. That that’s, well said, Dan. I think, very few AI companies are out there that are actually driving incremental revenues out there. I guess you mentioned the Tether. We haven’t heard much.
Perhaps you’re working hard under the surface on the crypto stablecoin strategy. There’s definitely the stablecoins are having a moment here and perhaps talk through where are you with integrating Tether in your wallet and how soon should we expect it to drive more merchant adoption as you have a more fully integrated solution?
Dan Wagner, Founder and CEO, Resolve: Well, look, as you heard today, you know, we’re we’re having fantastic momentum in the, you know, conversational commerce and search and discovery and and these these areas. But I am extremely excited about the planned introduction of our crypto payment, you know, method, and solution. And I will be, with there will be some announcements in the very imminent future. And on the back of those announcements, I will hold another investor call like this to explain exactly what we’re doing and why. And and and I think I’m gonna have to leave that until then.
But you’ll see in the announcement today that we said we will be making updates on progress in this quarter, and, and so expect that to be coming soon.
Rohit Kulkarni, Analyst, ROTH Capital Partners: Okay. Great. Thanks then. Two quick questions to for you, Rich. One on professional services to the extent you can provide more detail on percentage contribution assumed in your ’25 and ’26 ARR.
Any any color? You thank you for providing the the gross margin distribution for that. But if you could provide any what are you assuming for professional services contribution in your ’25 and ’26 ARR contribution?
Richard Virchil, CFO, Resolve: Yes. So so ’25, we expect it to be in the range of of of 15 to 30%, probably towards the bottom end of that. Obviously, you know, we are we are scaling it at pace. Probably the biggest challenge is is is having enough engineers available to fill the contracts.
Rohit Kulkarni, Analyst, ROTH Capital Partners: Okay. And any anything on 26 directionally up or down or flat from the
Richard Virchil, CFO, Resolve: I mean, so so ’26, it’ll be it’ll be a significantly lower part. As as Dan has said, you know, our our our focus is conversational commerce and driving incrementality for those retailers.
Rohit Kulkarni, Analyst, ROTH Capital Partners: Great. And similar question on EBITDA profitability. I know these the the jump that you are having in ARR lends me to think that there is a natural point of intersection when you actually start generating positive EBITDA fairly quickly. So perhaps talk through how should we think about profitability and maybe fine tune your assumptions on expenses over the next six to twelve months.
Richard Virchil, CFO, Resolve: Yeah. I I mean, look. We are acutely aware of not overspending. We are very careful with our with our money. And therefore, you know, we we expect to get profitability by the end of H1.
Clearly, there is a bit of a land grab going on. And it is possible that we that could get pushed back you know, if we decide to push the sales team harder, increase the sales teams, for example, at at a greater rate. But right now, we would expect it around the end of h ’1.
Rohit Kulkarni, Analyst, ROTH Capital Partners: Okay. Great. Thanks thanks, Rich, and thanks, Dan, to you too.
Conference Operator: Thank you. We will now take the next question from the line of Brian Kinstlinger from Alliance Global Partners. Please go ahead.
Brian Kinstlinger, Analyst, Alliance Global Partners: Great. Thank you. In the name of time here, I think that you’re pushing. I’ll ask my two questions in one. As adoption has increased and Microsoft and Google are introducing the new logos, Can you speak to whether the sales cycles improving and what they look like for new logo wins?
And then my second question is maybe discuss the relationship between ARR and reported revenue. For example, if you’re at a $90,000,000 run rate, when should revenue actually reflect that based on installs? Is that three months away, six months away, nine months away?
Dan Wagner, Founder and CEO, Resolve: Yeah. Thanks, Brian. So first of all, with Microsoft and Google, these are large organizations. They don’t move necessarily as quickly as us, so it takes time for the engine to rev up. You know, the the the infrastructure that we’ve built and the relationship that we have is very solid.
The engagement is very regular. You know, we we are, you know, we and they are very, very pleased with this partnership. Both of them, are very pleased with it as we are. And, you know, we think that there is, you know, momentum building with both partners, and that is just in addition to the activity that we’re seeing through our own direct efforts. So, you know, it’s a fantastic, relationship that we have with both of them, and it’s a relationship that is developing in a positive way, as time goes on.
It But took a little time to warm up, you know, in the first half of this year. Bear in mind, we only announced them at the end of last year, and then, yeah, it took a little time to sort of get get everything underway, all the processes in place, and and the and the and the, the activity to really start to drive forward. So that’s happening now. It’s fantastic, and and we’re very, very bullish on it. What was it?
Remind me of the second question.
Richard Virchil, CFO, Resolve: The rate relationship between ARR.
Dan Wagner, Founder and CEO, Resolve: Oh, the relationship between ARR. Right. All of our ARR statements like the 90,000,000 that we’ve achieved, they demonstrate that we have signed contracts as of now that will result in us exiting this year today at 90,000,000 ARR. So as of right now, 90,000,000 is guaranteed exiting this year. But because of all the ones that are in process right now, we expect to exit this year with a 150,000,000 plus.
In the month of December, it will be a 12,000,000
Richard Virchil, CFO, Resolve: Let me just revenue month.
Dan Wagner, Founder and CEO, Resolve: Yeah. Yeah.
Richard Virchil, CFO, Resolve: And in terms of when you do expect sorry. And in terms of when you expect to see that relationship roll through to revenue, we’re looking at seven to nine months, I would say.
Brian Kinstlinger, Analyst, Alliance Global Partners: Great. That’s helpful. But just back on the first question, can you speak to what the sales cycle looks like? Is it six months? Is it nine months for new customers?
Dan Wagner, Founder and CEO, Resolve: Very much depends on the channel. So if it’s a direct sale from a from an organic, you know, salesperson going in, it can be three to six months. And if it’s a partner introduced sale, it can that timeline, it can be shortened to three to four months, maybe sooner. And when it’s a acquisition sale, it can be almost you know, it’s very fast because the customer is already using a technology from the acquired entity like Group Buy, and we go and say we can enhance that. It’s gonna cost you a bit more, and they go fine.
You know, it’s like, it’s much, much easier. It’s not necessarily a bit more. It might be a lot more, but it doesn’t matter because, you know, it it’s already there’s no tech shift required. There’s no heavy lifting. It’s so much easier for them to deploy our technology when they already have all of the connections to our systems, you know, even if those systems, have been acquired by us.
So it’s it’s a much easier process.
Brian Kinstlinger, Analyst, Alliance Global Partners: Great. Thanks so much, guys.
Dan Wagner, Founder and CEO, Resolve: Thanks, Brian.
Conference Operator: Thank you. We will now take the next question. The line of Scott Black from HCP Wainwright and Co. Please go ahead.
Michael, Moderator/Operator, Resolve: Hi, guys. Just one from me today. Dan, what are you guys seeing in terms of average customer size by revenue? And is there an opportunity to grow revenue within the current customer footprint?
Dan Wagner, Founder and CEO, Resolve: The answer to the first question is that 80% of our customers are a million or less a year. And we kind of went into the year at the 2025 estimating that most customers would be on average about $800,000 a year, and we are, you know, pretty much tracking. We’re we’re we’re ahead of that because we’re winning big whales as well, you know, bigger accounts, like Liverpool, right, which is 10 x the average. So it’s the usual eighty twenty there. You know, it’s usual eighty twenty rule with a customer base.
There these are all, you know, midsize enterprises, not tiny SMEs, but they’re all, you know, the majority are in the sort of million or less a year. And some go much down to, you know, $40 a year kind of thing. And then we have sorry. What was the second question? Oh, is
Michael, Moderator/Operator, Resolve: there a material opportunity to expand revenue?
Dan Wagner, Founder and CEO, Resolve: Sorry. Yeah. Apologies. There’s so much, going on here. So, yes, of course.
Upselling this is the primary opportunity is, you know, a customer will take one of our solutions from the Brain Suite, and then we upsell them one of the other pieces. They all sit symbiotically together. Some of the acquisitions we may do, will enhance the breadth of our offering from customer acquisition all the way through to payment, whereas at the moment, it’s product discovery and and checkout. And so, you know, we can keep up selling these elements that build the chain from end to end. Of course, the crypto payment proposition, does that as well.
It’s an easy upsell to a customer who’s already using our solutions to say, hey. We can now add a different payment method, and it’s very elegant and easy for them to kinda switch that on.
Michael, Moderator/Operator, Resolve: Sure. That that’s perfect. I appreciate the added color, guys. That that’s all from me.
Conference Operator: Thank you. There are no further questions at this time. I would like to hand the conference back to Michael Widow for closing remarks.
Michael, Moderator/Operator, Resolve: Thanks, Sandra. Thank you to everyone for joining us on our call today. We look forward to speaking with you again in the near future.
Dan Wagner, Founder and CEO, Resolve: Thank you, everybody.
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