EverCommerce (EVCM) Q1 2026 Earnings Transcript

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DATE

Thursday, May 7, 2026 at 5 p.m. ET

CALL PARTICIPANTS

• Chairman and Chief Executive Officer — Eric Remer
• Chief Financial Officer — Ryan H. Siurek
• President and CEO of EverPro — Matthew Feierstein
• CEO of EverHealth — Evan Berlin
• Senior Vice President and Head of Investor Relations — Bradley W. Korch

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TAKEAWAYS

• Total Revenue -- $147.5 million, reflecting 3.6% year-over-year growth and positioned above the midpoint of guidance.
• Adjusted EBITDA -- $40.7 million with a 27.6% margin, exceeding guidance midpoint.
• Subscription and Transaction Revenue -- $142.1 million, comprising the company’s recurring revenue foundation.
• Pro Forma Revenue (LTM) -- $596 million, up 5.2% year over year, adjusted for the ZyraTalk acquisition in fiscal Q3 2025 (period ended September 30, 2025).
• Adjusted Gross Profit -- $114.8 million, representing a 77.8% margin for the quarter.
• Adjusted Operating Expenses -- Increased to 50.3% of revenue from 46.5% in the prior year, attributed to targeted sales and product investments, including ZyraTalk integration.
• Free Cash Flow -- $16.6 million in adjusted levered free cash flow for the quarter; adjusted unlevered free cash flow was $25.3 million.
• Total Debt and Liquidity -- $129 million in cash, $155 million of undrawn revolver capacity (stepping down to $125 million in July 2026), and $525 million in debt, with net leverage at approximately 2.2x.
• Share Repurchases -- 1.3 million shares repurchased for $13.9 million at an average price of $11 per share; $33.9 million remains available under the $300 million repurchase authorization.
• Customer Base -- Over 745,000 customers served, with EverPro and EverHealth verticals making up approximately 95% of consolidated revenue.
• Cross-Sell Metrics -- 301,000 customers enabled for more than one solution (23% growth); 131,000 customers actively using more than one solution (32% growth), indicating acceleration.
• Net Revenue Retention (NRR) -- 95% for the trailing twelve months; multi-solution customers maintain NRR above 100%.
• Payments Performance (Top Six Solutions) -- TPV up 19.8% to $12.9 billion annualized, representing 35% of total TPV (up from 30% in 2025); payments revenue up 10%, now accounting for over 46.5% of total payments revenue.
• AI and Product Integration -- Native platform integrations (e.g., ZyraTalk with Service Fusion and BrioStack) completed ahead of schedule; cited as "really ahead of pace" for launch and acquisition goals.
• Fiscal Q2 and Fiscal Year 2026 Guidance -- Fiscal Q2 revenue expected between $150.5 million and $153.5 million with adjusted EBITDA of $41 million to $43 million; full-year fiscal revenue guidance unchanged at $612 million to $632 million with adjusted EBITDA of $183 million to $191 million. (Fiscal year ending December 31, 2026.)

SUMMARY

EverCommerce (NASDAQ:EVCM) is prioritizing investments in native AI features and workflow automation, aiming to transform customer operations and drive increased adoption of multi-solution packages. Management emphasized cross-sell momentum and highlighted performance acceleration in the top six growth solutions, bolstered by product integration and AI monetization efforts. The company retains substantial liquidity and long-term debt maturity runway, allowing continued investment while returning capital via share repurchases. Executive commentary pointed to positive leading indicators in outbound pipeline, sales cycle contraction, and customer demand trends. Back-half financial guidance incorporates expected benefits from pricing actions, higher-margin revenue mix, and operational leverage as the company scales new offerings.

• Ryan H. Siurek stated, "pricing actions are going to have a larger impact in the back half based on the timing and the roll-up cadence of those pricing actions across our overall portfolio."
• Evan Berlin said, "fairly aggressive growth targets across 2026," with outbound channels growing in mix and exceeding first-quarter budgeted performance.
• Executive team reported, "if you look at Scribe plus our average payments customer, you are talking about acceleration in ARPU of nearly 100% if we add both of those products and attach full share of wallet on the payment side. So it doubles the customer ARPU over a period of time."
• Matthew Feierstein affirmed, "ZyraTalk as a platform has been everything we expected and more, and we are really ahead of pace relative to our integration, launch, and customer acquisition goals through Q1."

INDUSTRY GLOSSARY

• TPV (Total Payments Volume): The aggregated dollar value of all transactions processed through the company’s solutions during a set period.
• NRR (Net Revenue Retention): The percentage of recurring revenue retained from existing customers over a designated period, including expansion, contraction, and churn within the base.
• ARPU (Average Revenue Per User): The average revenue collected per customer, typically on a monthly or annual basis.
• LTM (Last Twelve Months): Financial results or performance measures calculated for the most recent twelve-month period.

Full Conference Call Transcript

Operator: Thank you for standing by. Welcome to EverCommerce Inc.'s first quarter 2026 earnings call. My name is Victor, and I will be your operator for today. At this time, all participants are in a listen-only mode. After the speakers' presentation, we will open up for questions. To ask a question during the session, you will need to press 11 on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press 11 again. As a reminder, this conference call is being recorded today, 05/07/2026. I would now like to turn the conference over to Bradley W. Korch, senior vice president and head of investor relations for EverCommerce Inc. Please go ahead.

Bradley W. Korch: Good afternoon and thank you for joining. Today’s call will be led by Eric Remer, EverCommerce Inc.'s Chairman and Chief Executive Officer, and Ryan H. Siurek, EverCommerce Inc.'s Chief Financial Officer. Joining them will be Matthew Feierstein, EverCommerce Inc.'s President and the CEO of EverPro, and Evan Berlin, the CEO of EverHealth. This call is being webcast with a slide presentation that reviews the key financial and operating results for the three months ended March 31, 2026. For a link to the live or replay webcast, please visit the Investor Relations section of the EverCommerce Inc. website investors.evercommerce.com. The slide presentation and earnings release are also directly available on the site.

Please turn to page two of our earnings call presentation while I review our safe harbor statement. The statements made on this call and contained in the earnings materials available on our website that are not historical in nature may constitute forward-looking statements. Such statements are based on the current expectations and beliefs of management. Actual results may differ materially from these forward-looking statements due to risks and uncertainties that are described in more detail in our filings with the SEC. We undertake no obligation to publicly update or revise these forward-looking statements except as required by law. We will also refer to certain non-GAAP financial measures in our comments today.

A reconciliation of non-GAAP to GAAP historical measures is provided in both our earnings press release and our earnings call presentation. As a quick reminder, in Q3 of last year, we closed on the sale of the Marketing Technology business. Our commentary today will center on the continuing operations of our business, focused on our EverHealth, EverPro, and EverWell verticals. All financial and operating metric results and year-over-year comparisons are presented related to continuing operations except for cash flow metrics or unless otherwise specified. I will now turn it over to our CEO, Eric Remer.

Eric Remer: Thank you, Brad. We had a strong start to the year, in line with expectations and focused on investing in key areas for accelerated growth in 2026 and beyond, including a focus on our continued integration of AI and go-to-market capabilities. Additionally, we continue to progress against our strategy of multi-solution adoption with emphasis on our top six solutions. During the first quarter, EverCommerce Inc. generated revenue of $147.5 million, above the midpoint of our guidance range, representing 3.6% year-over-year growth. Adjusted EBITDA for the quarter of $40.7 million exceeded the midpoint of our guidance range, representing a margin of 27.6%. Our cross-sell motion continues to expand.

In the first quarter, we saw 32% growth in customers utilizing more than one solution. Finally, we repurchased 1.3 million shares for $13.9 million during the quarter, while maintaining a stable leverage profile. EverCommerce Inc. is building the AI system for the service SMB workflows. We offer tremendous value to our customers by providing the system of actions necessary to run their business with tailored, unique workflows. We provide end-to-end solutions to more than 745 thousand customers across our three major verticals, EverPro for home and field services, EverHealth for medical practices, and EverWell for wellness and service providers, with the two former verticals representing approximately 95% of consolidated revenue.

Our large and growing customer base represents a significant embedded opportunity to expand value through integrated payments, intelligent automation, and AI-driven workflows. On a pro forma basis for the last twelve months, we generated $590 million of revenue, representing 5.2% year-over-year growth. We also generated a 29.7% adjusted EBITDA margin on an LTM basis. Finally, our annualized total payments volume, or TPV, was $12.9 billion. We have often stated that our purpose at EverCommerce Inc. is to simplify and empower the lives of business owners whose services support us every day. This statement is as true today as it was when we founded the company.

Enabling our customers is at the center of everything we do, including many of the AI-first enhancements we discussed last quarter. AI is a force multiplier for our customers, providing a variety of growth opportunities and efficiencies. For us, there is also a tremendous opportunity to increase retention and ARPU. Along with our embedded payments opportunity, we believe this will result in revenue reacceleration. Because we view AI to be such an important value creation driver for our customers, we have transformed our own business with an AI-first focus. We are not just bolting on third-party capabilities for existing solutions. We are building native AI agentic features into our platforms.

We are reimagining workflows and making significant investments to be at the leading edge of AI capabilities for our customers. As a reminder, our customers are small trades and small medical practices looking for simple yet vertically specific workflows needed to run their businesses. Our small business customers are not likely to build or code their own solutions, and the hands-on services our customers provide are not likely to be replaced with AI.

Further, we believe our targeted deep micro-vertical-specific expertise and embedded base of more than 745 thousand customers not only puts EverCommerce Inc. in the driver’s seat to be the national provider of agentic capabilities within the system of actions they already buy from us, but also provides us the rich micro-vertical data to develop the best agentic platforms. On today’s call, I would like to now invite Matt and Evan to provide tangible examples of customer AI use cases in each of EverPro and EverHealth.

Matthew Feierstein: Thanks, Eric. Let me highlight a quick example of how we are delivering value for customers through the EverPro platform using the Service Fusion product and the recently launched ZyraTalk AI integration. Coast to Coast HTM is a medical equipment services company supporting hospital departments across California and Texas. They operate under strict uptime requirements. When equipment goes down, speed is critical. Before Service Fusion, their operations were largely manual—spreadsheets for scheduling, limited system tracking, and delays of up to 24 to 48 hours just to get approval to dispatch a technician. Now the team is seeing on-site mobilization within four to six hours.

With Service Fusion, they centralized their operations and reduced time to get a technician on-site from days down to just four to six hours, driving about a 60% efficiency gain in job management. Just as important, they are now managing compliance and audit requirements directly in the platform, which is critical in this business setting. At the beginning of this year, this customer expanded into AI with the addition of our ZyraTalk AI voice reception agent, adding an always-on communication layer that captures and documents every service request. Since deploying it, they have already booked over 30 jobs as a function of AI-driven interactions while also improving responsiveness and SLA tracking. This is the pattern we are seeing more broadly.

Customers start with Service Fusion to run their operation, then add integrated AI voice reception to operate more efficiently and differentiate themselves in their market. This is a clear example of how customers expand from core workflow software into AI and automation, driving both higher retention and increased monetization over time. I will pass it over to Evan to discuss the EverHealth customer testimony.

Evan Berlin: Thanks, Matt. We are seeing similar adoption patterns across our health care base, where AI-driven documentation is improving provider efficiencies while increasing the value of our platform. Let me share another example from EverHealth, this time in the clinical set. Our customer is a solo orthopedic surgeon based in Kansas City, who has been a DrCrono customer for over a decade. Like many independent physicians, he is balancing the demands of running a highly specialized practice while also prioritizing his time outside of work. Before adopting our EverHealth AI Scribe, a significant portion of his day was spent on documentation, often hours after clinic, drafting and reviewing notes from patient visits.

With our EverHealth AI Scribe integrated into DrCrono, that dynamic has changed. Clinical notes that previously took hours are now completed in ten minutes, with the system accurately capturing complex orthopedic terminology and filtering out non-clinical conversation. This physician estimates savings of more than one hour per day with the added efficiency. And that is not just an efficiency gain; it is a meaningful improvement in his quality of life. He is able to finish his day on time, spend more time with family, and stay focused on patient care instead of administrative work.

Providers adopt DrCrono as their core clinical and operational system and then layer in AI capabilities like AI Scribe to reduce administrative burden, improve documentation quality, and ultimately create more capacity in their practice. It is a powerful example of how our platform is not only improving efficiency, but also meaningfully improving the day-to-day experience of our customers and the care that they deliver to their patients.

Eric Remer: Thank you, Matt and Evan. One thing that both of these examples touched on is the importance of multi-product adoption, which remains a key driver for growth at EverCommerce Inc. Multi-product customers generate higher revenue, demonstrate stronger retention, and expand wallet share over time. Historically, multi-product adoption metrics were largely dominated by payments enablement, but AI feature adoption has increased to become an important driver of customer value and ARPU, as evidenced by the two customer stories we just shared. Our payments strategy focuses on enabling payments at the point of initial SaaS sale while also driving cross-sell into our existing customer base. Investments into onboarding automation and customer success are helping accelerate activation and utilization.

At the end of the first quarter, 301 thousand customers were enabled for more than one solution, reflecting 23% year-over-year growth. At the end of the first quarter, approximately 131 thousand customers were actively utilizing more than one solution, reflecting 32% year-over-year growth and an acceleration in growth compared to recent quarters. Over the trailing twelve months, net revenue retention was 95%, with multi-solution customers continuing to generate NRR above 100%. The slight reduction in reported NRR was impacted by the declining third-party partner revenue within our legacy payments business. We continue to put much of our focus and investment on our fastest growing solutions, and we continue to see outsized payments revenue growth in these top six solutions.

In these top six solutions, TPV grew 19.8% year-over-year and now represents 35% of total TPV, up from 30% in 2025. Top solution payments revenue grew 10% year-over-year, now representing over 46.5% of total payments revenue. Highlighting the payments performance in our growth solutions is important because this is where we are focusing our investments. The improvements in cross-sell metrics I highlighted a moment ago are largely due to the gains of our top six solutions. The remainder of our payments business drives meaningful cash flow generation at a lower growth. As a reminder, we report payments revenue on a net basis and therefore it incrementally contributes approximately 95% gross margin within our core solutions.

As such, payments revenue growth is a meaningful contributor to our overall adjusted EBITDA margin expansion. Now I will pass it over to Ryan, who will review our financial results in more detail, as well as provide second quarter and full year 2026 guidance.

Ryan H. Siurek: Thanks, Eric. Total reported revenue in the first quarter was $147.5 million, up 3.6% from the prior year period. Subscription and transaction revenue, our primary recurring revenue base, was $142.1 million. Pro forma revenue, adjusted for the acquisition of ZyraTalk which closed in Q3 2025, was $596 million on an LTM basis, an increase of 5.2%, and $147.5 million for the quarter, an increase of 3%, both on a year-over-year basis. Adjusted gross profit in the quarter was $114.8 million, representing an adjusted gross margin of 77.8%. First quarter adjusted EBITDA was $40.7 million, with an adjusted EBITDA margin of 27.6%. Now turning to adjusted operating expenses, which are reconciled in the appendix to this presentation.

For the quarter, adjusted operating expenses were slightly higher year-over-year as a percentage of revenue, increasing from 46.5% to 50.3%, representing targeted growth investments across sales and marketing, and product development, including the post-acquisition ZyraTalk costs. For the LTM period, as a percentage of revenue, adjusted expenses were flat at 47.9%. Next, I will turn to some key liquidity measures, which include cash flow from continuing operations. We continue to generate significant free cash flow as we invest to grow our business and invest in our AI-first products.

It is important to note that the cash flow metrics shown on slide 13 and that I am about to discuss include the cash generated from the divested Marketing Technology Solutions business through October 31, 2025, and as such, year-over-year comparisons and quarterly trending are not fully comparable. Cash flow from operations for the quarter was $24.6 million as compared to the prior quarter of $21.3 million and the prior year of $30.7 million. As a reminder to our guidance last quarter, our first quarter is historically burdened by higher cash outflows as compared to other quarters. Levered free cash flow was $16.6 million for the quarter, and for the trailing twelve-month period, we generated more than $71 million.

Adjusted unlevered free cash flow was $25.3 million in the quarter, and $121.6 million for the last twelve months. We ended the quarter with $129 million in cash and cash equivalents, and $155 million of undrawn capacity on our revolver, which will step down to $125 million in July 2026. As of March 31, we have $525 million of debt outstanding. Our total net leverage, as calculated for our credit facility, was approximately 2.2 times and continues to demonstrate our deleveraging from strong operational performance and free cash generation. We have $425 million of notional swaps at a weighted average rate of 3.91% that effectively hedge the floating rate component of our interest cost through October 2027.

Our long-term debt does not mature until July 2031, while our undrawn revolver capacity provides availability through July 2030, providing us with runway and financial flexibility for the foreseeable future. In terms of capital allocation, in addition to our AI-first investments, in the first quarter, we repurchased approximately 1.3 million shares, or $13.9 million, at an average price of $11 per share. Based on the shares repurchased through 03/31/2026, we have approximately $33.9 million remaining on our total repurchase authorization of $300 million through 2026. I would now like to finish by discussing our outlook for the second quarter and full year of 2026.

For Q2 2026, we expect total revenue of $150.5 million to $153.5 million and adjusted EBITDA of $41 million to $43 million. For the full year 2026, we reiterate our previous guidance from mid-March and expect revenue of $612 million to $632 million and adjusted EBITDA of $183 million to $191 million. Operator, we are now ready to begin the question and answer session.

Operator: Thank you. You will need to press 11 on your telephone and wait for a name to be announced. To withdraw your question, please press 11 again. Please stand by while we compile the Q&A roster. One moment for our first question. Our first question comes from the line of Bhavin S. Shah from Deutsche Bank. Your line is open.

Bhavin S. Shah: Great. Thanks for taking my questions, guys. One for Eric or Matt and then one follow-up for Ryan. Eric or Matt, it was great to see that customer example leveraging ZyraTalk. Can you just maybe talk about where we are in terms of cross-selling ZyraTalk into the overall customer base? How are those conversations going? How do you think about the timeline of adoption of those customers that you think would best benefit from the solution?

Eric Remer: Well, thank you for the question. Matt, you want to take—

Matthew Feierstein: Yeah, I will start. First of all, we are super excited about ZyraTalk. It has been a meaningful head start for us in accelerating our AI roadmap and helped us move much faster from experimentation into embedded operational workflows. When you think about where we are, it is obviously much more than stand-alone AI voice, as your question says. It is now a foundational capability that we are integrating into our customer-facing use cases through our systems of action. So already integrated with Service Fusion—actually happened ahead of schedule—already integrated with BrioStack, also ahead of schedule. And that is really enabling workflows that connect the inbound demand that ZyraTalk is providing directly into our scheduling, job creation, and customer engagement.

Customer reception has been great. We are also leveraging it internally, experimenting across areas like AI-driven surveys that support other parts of our products and our operation, and outbound prospect engagement. So all in all, ZyraTalk as a platform has been everything we expected and more, and we are really ahead of pace relative to our integration, launch, and customer acquisition goals through Q1. We continue to see really interesting use cases for AI-enabled workflow automation, which is becoming increasingly more important to our customers.

Bhavin S. Shah: Great. And looking forward to seeing more in the coming quarters. Maybe, Ryan, just for you—just by our math, looking at subscription and transaction growth, if you exclude the legacy payment solutions, it appears growth remains healthier than just the reported number. Can you maybe just help us understand some of the underlying assumptions that are going into the full-year guide in terms of how much of a drag the legacy payments line is having on the overall business? Is the Q1 growth rate a reasonable way to think about the rest of the year, or should we think about it differently?

Ryan H. Siurek: Yeah, thanks, Bhavin, for the question. I appreciate it. I think you can tell from the full-year guide that remained unchanged, we are expecting continued growth throughout the year, particularly in the back half of the year, given this Q2 guide that we just came out with. But we understand, from our perspective, the focus on the second-half acceleration that is embedded in the guide. And to be clear, we are focused on it. We have confidence in some particular areas for the back half of the year in particular.

First, pricing actions are going to have a larger impact in the back half based on the timing and the roll-up cadence of those pricing actions across our overall portfolio, which is not just one solution but various solutions in our portfolio. Second, as Matt talked about in some of the examples provided, we are seeing improving leading indicators across payments enablement, multi-product adoption, and really growth in top solutions. So while we do have some of the legacy portfolio drag, we are not going to give guidance with regard to the split between the top six solutions and the legacy portfolio.

We do continue to expect growth in the top six solutions throughout the course of the year, particularly as we execute against some of the strategies I just talked about. Third, I would say that we have been making investments over the last 18 to 24 months, particularly around our go-to-market structure, onboarding, and execution, and we are moving a lot of those from foundational elements into building for scaling purposes. And then finally, last but really not least in those pillars, we are moving from AI investment into monetization of those targeted investments.

The two examples that we gave on the call today highlight those, and with products like EverHealth Scribe and the ZyraTalk integrations with the AI receptionists contributing incremental ARPU expansion, that just gives us further confidence that there are more opportunities. So that will be multiyear, not just for this year, but we are continuing to grow those.

Bhavin S. Shah: Great. Thanks for that additional clarity.

Ryan H. Siurek: Great. Thank you.

Operator: And our next question will come from the line of Alex Sklar from Raymond James. Your line is open.

Alex Sklar: Great. Thanks. Maybe for Eric or Matt or Evan—want to take this one—but I wanted to ask about new customer velocity and some of the top-of-funnel trends. Any change in mix shift on where you are seeing the growth come from between self-service, direct, or some of the other channels? And then as we think about pipeline generation in particular, how much has changed since you started operating EverPro and EverHealth a little bit more independently in terms of top of funnel? Thanks.

Eric Remer: It is a great question. I actually think it makes sense to have both Evan and Matt give their view of the pipeline. Evan, do you want to start?

Evan Berlin: Yeah. Thanks, Alex, for the question. I think a couple of things. One, we continue to see strong demand. The environment is still healthy. We continue to see sales cycles trend down, and we have seen that really over the last, I would say, three or four quarters in a really positive way. Some of that is better execution on our end. Some of it is the clamoring, the demand from prospective customers for some of the features that we have rolled out. I also think it is just better execution from our teams.

I think from a funnel health perspective, we talked about this in March and I think in November as well—we started to shift more and more of our effort and our investment into outbound. And while that was historically kind of 1% or 2% of new bookings, it is starting to be a healthier mix. We actually overachieved in Q1 against our budget. We have fairly aggressive growth targets across 2026, but we are really pleased with the progress that the team has been able to make both on capitalizing on the demand environment as well as the more aggressive mix to outbound, which we think over time has just better economics in terms of LTV and CAC.

Matthew Feierstein: Yeah, and I will follow on, Evan. Obviously, from an EverPro perspective, we are super focused from an inbound perspective. I think our demand trend remains healthy and stable. Sales cycle timing remains stable. Funnel health is obviously an area that we focus on all the time in terms of improving conversion through our marketing and sales motion. So just continued stability quarter over quarter from an EverPro standpoint.

Eric Remer: And I think the one question you asked, which is a great one—how has that shifted over the last year plus of really separating EverHealth and EverPro? I think the funnels never changed. I think during the transition, as Evan brought up, we had challenges within the execution, and the reacceleration that we are excited and very confident about is really driven by having both EverPro and EverHealth businesses much more mature at this point.

Alex Sklar: I appreciate all the color there. Ryan, maybe just following up on the second-half guide question, but from the margin side of things, there is a pretty big implied step-up in incremental margins. Where is the leverage coming from on the OpEx side in particular? Thanks.

Ryan H. Siurek: We continue to just work through the transformation optimizations that we started with previously. I would say that a lot of the enhancements from the EBITDA perspective in the back half of the year are really going to be targeted from a flow-through perspective on the margin that is coming from the incremental revenue. So that incremental revenue is in areas where we have higher-margin capabilities. The pricing impacts that I talked about earlier will have an outsized impact from a margin contribution perspective. Not only that, but we are also continuing to focus our efforts on the continued transformation optimization and cost optimizations that we have in various parts of the business. But we will not underinvest.

So you can see from a capitalization perspective and where we are spending time and effort from an investment point of view, if you look on an LTM basis, we are continuing to strongly invest in the areas that are providing the examples that Matt and Evan talked about from the AI perspective. We have increased our investment in capitalization from a software perspective, which is largely infrastructure as well as product capabilities, by about $13 million year-over-year on an LTM basis. And we are going to continue to focus that resource allocation in a way that is going to continue to drive future growth for those higher-margin products.

Alex Sklar: All right. Thanks, everyone, for the color.

Eric Remer: Thank you.

Operator: And once again, that is 11 for questions. Next question will come from the line of Bill McNamara from Evercore ISI. Your line is open.

Bill McNamara: Hi. It is Bill on for Kirk, and thanks for taking my question. I guess, how are you thinking about the cadence of share repurchases in 2026, particularly in the context of your broader capital allocation priorities? And then, in your customer example featuring the EverHealth AI Scribe alongside integrated payments for an orthopedic practice, how should we think about the adoption trends among medical professionals? And if I could just tack on a follow-up to that, would you say demand for automated note-taking is still in the early innings, and what do you believe differentiates your solution in a competitive landscape?

Bradley W. Korch: Yes. I mean, this is Brad. Sorry. As we have discussed before, the share repurchase program is something that we are not going to comment on. It is set on a schedule, and it runs independently of day-to-day decisions. But we continue to think that repurchasing our shares is a really accretive use of capital, and so that is why we upsized the program last fall, and we continue to be active there.

Evan Berlin: Thanks, Bill. Appreciate the question. I mean, moving backwards, the differentiation is that we have a great integrated solution. We have a very robust roadmap across the rest of the year, and we have a significant base of customers to sell that integrated product. In terms of demand and need from an efficiency gain perspective, we see that basically all of our provider customers at the SMB end of the market are going to need an integrated solution. So we see the opportunity as being very large.

When you think about ARPU expansion—coming to your first question—if you look at Scribe plus our average payments customer, you are talking about acceleration in ARPU of nearly 100% if we add both of those products and attach full share of wallet on the payment side. So it doubles the customer ARPU over a period of time. And when you think about the growth algorithm for EverHealth—Matt touched on this with Service Fusion and ZyraTalk—getting customers to buy DrCrono or CollaborateMD and then attach payments and attach Scribe over a period of time gives us a huge opportunity to accelerate revenue from existing customers.

Bill McNamara: Appreciate it. Thanks.

Operator: Thank you. I am not showing any further questions at this time. I would now like to turn it back over to Eric Remer for any closing remarks.

Eric Remer: Thank you again for joining our call today. We remain focused on executing our strategy, which we believe positions us well for sustainable long-term growth and shareholder value creation. I would like to thank our investors for their continued support and all of the EverCommerce Inc. employees for their hard work. Operator, this concludes our call.

Operator: Thank you for your participation in today’s conference. This does conclude the program. You may now disconnect. Everyone have a great day.

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