Good afternoon. Thank you for joining us today to review Definitive Healthcare's financial results. Joining me on the call today are Kevin Coop, Chief Executive Officer; and Casey Heller, Chief Financial Officer. During this call, we will make forward-looking statements, including, but not limited to, statements related to our market and future performance and growth opportunities, the benefits of our differentiated data and health care commercial intelligence solutions, our competitive position, customer behaviors and use of our solutions, customer growth, renewals and retention, our financial guidance, our planned investments and operational strategy, generating value for our customers and shareholders and the anticipated impacts of global macroeconomic conditions on our business, results and customers and on the health care industry generally. Any forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve a number of risks and uncertainties, including those discussed in the Risk Factors section and elsewhere in our filings with the SEC. Actual results may differ materially from any forward-looking statements. The company undertakes no obligation to revise or update any forward-looking statements to reflect events that may arise after this conference call, except as required by law. For more information, please refer to the cautionary statement included in the earnings release that we have just posted to the Investor Relations portion of our website. We will discuss non-GAAP financial measures on this conference call. Please refer to the tables in our earnings release and investor presentation on the Investor Relations portion of our website for a reconciliation of these measures to their most directly comparable GAAP financial measure. With that, I'd like to turn the call over to Kevin. Kevin?

Thank you, Jonathan, and thanks to all of you for joining us this afternoon to review Definitive Healthcare's fourth quarter 2025 financial results. On today's call, I'll provide highlights from our fourth quarter performance, review the operational progress we've made in 2025 and outline our key strategic priorities for 2026. Let me begin by reviewing our financial results for the fourth quarter, which were at or above the high end of our guidance ranges on both the top and bottom line. Total revenue was $61.5 million, down 1% year-over-year. We outperformed our revenue expectations on both subscription and professional services revenues. Adjusted EBITDA was $18.1 million, representing a margin of 29%, which was $1.1 million above the high end of our guidance. Our continued strong profitability performance is a testament to the underlying power of our business model and our ongoing expense discipline. We continue to generate solid cash flow, delivering approximately $55 million of unlevered free cash flow for the trailing 12 months. Our financial performance for 2025 compares favorably to the initial guidance we provided to investors last February. Setting appropriate expectations and delivering consistent financial results with transparency was one of the promises I made to investors when I became CEO, and I'm pleased that we were able to meet that objective in 2025. I would now like to review our operational performance for the year, supported by the 4 strategic pillars of data differentiation, integrations, customer success and innovation that we laid out for investors at the beginning of 2025. Before going into more detail, I do want to emphasize that we have made strong meaningful progress in each area and can confidently report that as we enter 2026 with a much stronger foundation for the future. While we are seeing improvements in all areas of…

Thank you, Kevin. In all my remarks, I will be discussing our results on a non-GAAP basis, unless otherwise noted. As Kevin mentioned, 2025 was an important year for Definitive that saw tangible improvement on our four strategic pillars and put us in a better position to meet our long-term objectives. I'm pleased by our ability to close 2025 by outperforming on both revenue and adjusted EBITDA, while executing against those core strategic objectives. This reflects the continuation of our disciplined approach to managing the business while we have continued to face top line pressures and a dynamic macro environment. In the fourth quarter, we delivered revenue of $61.5 million, down 1% year-over-year, adjusted EBITDA of $18 million, reflecting a 29% margin and expanding approximately 120 basis points year-over-year and adjusted net income of $8.6 million, resulting in $0.06 of non-GAAP earnings per share in the period, all of which were at or above the high end of our guidance for the quarter. We also delivered $2.5 million of unlevered free cash flow in the quarter and $54.9 million on a trailing 12-month basis. Turning to our results in more detail. Revenue of $61.5 million was above the high end of our guidance range and represents a 1% decline year-over-year. Subscription revenues of $58.5 million declined 3% year-over-year or declined 7%, excluding data partnership contributions and were modestly ahead of our expectations for the quarter. And we did again see modest improvements in our Q4 renewal rates year-over-year, but not to the extent we had hoped. Professional services revenue in the quarter was strong, up 49% year-over-year and outperformed our expectations. This was a combination of delivering on traditional analytics engagements as well as a ramp-up in our digital activations activity. Adjusted gross profit in the fourth quarter was $50.2…

[Operator Instructions] Our first question today comes from Craig Hettenbach of Morgan Stanley.

This is Jay on for Craig Hettenbach. I was just wondering, can you provide a quick update on the demand environment across your 3 end markets? And then any other common themes you can share from the large cohort of renewals from the December and January?

Sure. So let me start with the integration strategy and the renewal impact that we're seeing come through our focus on churn improvement. So as we've noted previously, a significant portion of our retention trends were impacted by the industry-wide claims disruption, and we're confident that the actions that we took to remediate the claims data throughout the year will drive improvement in our performance as we move into '26. And as we look at the business from a cohort perspective, the first cohort of renewals, excluding the first quarter of '24 where the disruption occurred was posted this last quarter in Q4. And that performance on a business sold post Q1 '24 basis and up for renewal through 2025 shows about a 200 basis points improvement over the previous comparison quarters, even extending back to '22. So this indicates not only is our strategy focused on -- that is focused on data quality, integrations and improved customer experience that, that's working, we now are very confident that it will continue to build in 2026, and it gives us support for confidence in our plan.

And the only other component that I would layer on there is that we did see, as I mentioned, improvement in our renewal rates in Q4 year-over-year. They were modest and what we're seeing in January is fully incorporated into our 2026 guide. More broadly on the demand environment, no significant change, but certainly a couple of green shoots that we're continuing to monitor. We started to see sales cycles condense, as I think Kevin mentioned earlier in the prepared remarks. So those are just kind of some of the encouraging signs that I think are pairing a little bit of maybe some benefit in terms of what we're starting to monitor from a macro perspective as well as paired with some of our stronger own sales execution.

And then maybe one other data point, which I think would be helpful is we have been focused on integrations as we know that integrated customers will renew at a higher rate than those that are not. I mentioned that in the prepared remarks. And in Q4, we added over 60 integrated customers. And to give you kind of perspective on that, we added 160 for the full year. So we're seeing the integration focus starting to accelerate. Our commercial teams are promoting that because it's good for the customer as well as good for us. And we're very confident that, that performance in the fourth quarter, which often is a more difficult quarter to get moving, was actually very positive, especially in comparison to the full year.

From Needham, we have Ryan MacDonald.

This is Matt Shea on for Ryan. Maybe just to start and then I have a quick follow-up. Would love to just double-click on the last question. Anything you can parse out, I guess, between end markets as you went through the renewal cycle? Any end markets that maybe surprised you, either positive or negative? And then I know in the past, downsells have been more of an issue in the life sciences and pharma end market. So I would love an update on how that end market in particular is doing?

Yes. Let me give you a little bit of color as far as what we're seeing in terms of the renewal profile across the business. 2025 for us was a year we're really focused on stabilizing the business. And I think that we were able to certainly accomplish that across a number of metrics. So if we look at gross dollar retention, gross dollar retention improved 2 points year-over-year. That actually was largely driven by our enterprise customers, which are strongly weighted towards the life sciences space, just given the size of the customers that we tend to deal with within life sciences. So that's an encouraging component there. But exactly, as you mentioned, as we've continued to talk about, we were seeing a little bit of the flip side of that in terms of net dollar retention, which declined a couple of points year-over-year due to the lesser opportunities around upsell and cross-sell opportunities. I think that as -- where we stand here today entering 2026, we are in a much stronger position. We have remediated the claims data disruption by bringing on a new data source late in '25. We've got an additional data source ready to come online in the next couple of weeks as well to further add to our claims volumes. And Kevin touched on some of the additional new data that we've added into product as well, plus just more broadly restarting our overall product innovation engine. So we've got a lot more tools in the kit essentially as we stand here at the start of 2026 than we did at the start of '25, and that gives us all the confidence in being able to continue to build upon the stabilization in the gross dollar retention and start to build back that net dollar retention improvement into '26.

Okay. I appreciate that color. I guess maybe if we think about the inputs to the growth outlook for 2026, I know understanding churn is still a topic. But if I assume customer count declines in, call it, the 6% to 7% range like it did in 2025, to get to the midpoint of the 2026 guidance, I have to then assume year-over-year declines in revenue per customer. And despite the downsell pressure you guys have experienced in the last year or 2, you've been able to consistently grow ARPU through that headwind. So maybe just help us reconcile that. Is there more churn in store for 2026 than 2025? Or is it more so the downsells have finally reached the point where we should start to expect ARPU declines?

I think that there's an element here of one, over the last couple of years, we've continued to put more focus on our larger enterprise accounts. I think that, that is still very much aligned to our strategy, but there's also an element here when you think about the mix of our business. Diversified and provider are smaller than life sciences accounts. We are actually growing in diversified and provider. Both of those printed growth in Q4. So we've got 60% of the business that has returned to growth, which is really encouraging for us. So I think what you're capturing there is less of a churn issue and more of just a business mix element of the diversified and provider pieces of the business returning to growth and us continuing to pick up and add new customers there that do come in typically at a lower dollar value than some of the larger life sciences clients.

Next, we'll hear from Brian Peterson of Raymond James.

So maybe just starting on AI. I wanted to understand how much of your customer conversations are impacted by AI and what you guys would be able to deliver through your data assets, but also I can see scenarios where AI might be distracting or capturing share of budget maybe away from traditional vendors. I'd love to understand how you're thinking about the net impact of AI so far, at least through 2025.

Yes. So I think the helpful aspect of our solution set and the type of use cases that we sell into, it's very health care-specific workflow. These are purpose-built solutions and the data that is collected in a way to be delivered in these purpose-built workflows. And it's around sales and marketing intelligence for contact level targeting and territory design. It's population and conditioning modeling. It needs to address market sizing, medical affairs planning, even key opinion leader mapping related to influence patterns and how that evolves over time or automating risk related to things like legal affairs. So we've got -- the type of use cases that we're solving aren't really optional, right? They're very much around commercial execution, product or strategy. And so that's sort of the base layer. Then you also look at it from which I mentioned in my prepared remarks, which was, look, AI modeling is only as good as the data it can mine. And we know that our differentiated data, which is focused on and founded on our best-in-class reference and affiliation data set gives us a clear advantage. And so the conversations that we're having, it's more around how do we apply and what can we do to apply the -- and harness AI as it relates to the existing use cases and workflow and health care suite workflows, which is why we believe that is a competitive advantage and a tailwind as opposed to a headwind for us today.

Got it. Kevin. And I appreciate all the comments on the NDR and the customer dynamics. Are you guys able at this point to say when you think NDR may actually hit a bottom? It's good that you've seen the gross revenue retention improve. Just curious when that KPI should inflect?

It's fully our expectation that we're able to improve NDR within 2026. So we view 2025 as the bottom. As I mentioned, I think that there's a lot of work that we did in '25 that really positioned us to be starting 2026 on a stronger footing from a product innovation standpoint as well as the work we've done to add additional data, remediate the claims data issue as well as enhance some of the components that we have within our crown jewel, our reference and affiliation data as well.

Yes. And I think -- I'm sorry, I was going to add on, if it's okay, maybe the contextual expertise and why we see the tailwind with AI, especially as it relates to that, is as we're bringing the Gen AI layer to what is already a highly effective front-end platform, that's going to allow us to -- it sort of democratizes the use today where while the platforms are very powerful, they do require a certain level of expertise and super users to access. And so with what we're doing this quarter, that's going to allow more users to have more access to unlock more value. And the fact that we are value-based pricing anyway, not seat-based, unlocking more value is going to be really helpful, especially as we focus on net dollar retention in addition to gross dollar retention because that will unlock more cross-sell, upsell and value unlock as we delight our customers with more value from the products and the platforms that we already have.

Our next question comes from Jared Haase of William Blair.

Maybe I'll follow up on that point related to the NDR. And I appreciate all the underlying drivers that give you confidence that 2025 can mark the bottom here. I guess I just wanted to contextualize because obviously, we've been thinking a lot about some of the product development and innovation initiatives to help drive that. But just to put a fine point on it, I'm curious if you guys are planning any refinement in your go-to-market, specifically targeted towards the sales motion to drive better upsells as well in addition to the product innovation.

Yes. So we've got really -- I would think about it in terms of 5 sort of prongs in that area. You've got the confidence coming from several key points. Number one, we continue to have extremely valuable differentiated data that improves our customers' business performance. The second thing that we've got is we are investing to develop purpose-built solutions on top of our purposeful solutions with AI, which will make it easier for the customers to actually value and create value from our data. The third, we have already completed our go-to-market and customer success integration, which allows us to impact the business positively with higher win rates, shorter sales cycles and with a consolidated commercial organization, we're seeing greater alignment, which is showing up in things like radically improved implementation timelines that has already decreased by over 25% year-to-date. And with the extending our AI investments in the product, the data and end user development within our 2026 product road map, which is already in there inside the financials, as Casey has already taken you through, that accelerated investment is going to start to produce real tangible outcomes as we bring these innovations to market starting later this quarter. And finally, we talked about this about a year ago or so, a little bit more than a year ago on our integration strategy, which we know is having a positive impact. You can see, I mentioned we had 60 integrations as opposed to 160 for the full year. And when we look at the retention rates from integrated customers, it's only going up. And we can talk a little bit more about the expansion of the integrations, but I don't think we should underestimate the value that we have as being an agnostic platform where we are able to integrate with the customer systems of insight and systems of record regardless of what those are, and often, they use multiple ways because that's how we start to see the stickiness come in. So whether they're integrating it through lake-to-lake, whether they need direct API integration or whether they're still accessing and oftentimes they do directly through our state-of-the-art soon-to-be AI-enabled workflow products.

Got you. Okay. That's helpful. And then I guess as my follow-up, so you mentioned the fall expansion pack and some of the big updates. You brought on the new claims data source in the fourth quarter as well. When you have big product refreshes or updates like that, I'm just curious how quickly you're able to communicate those upgraded features to the market. I'm wondering how much that factored into the year-end renewal discussions in the December, January time frame. And I guess the specific point around this is I'm trying to think about how much of that is sort of more incremental tailwind in 2026 selling discussions.

That's an excellent question. So given the timing of the fall expansion pack, that really came in at the start of Q4. And most of our customers have already kind of made most of the renewal decisions largely like 90 days out. So I actually don't think that we're seeing the impact from that -- the benefit from that showing up in the Q4 renewals just yet. I think we're going to learn about the extent that, that's going to boost renewals a lot more here in Q1 and Q2. So I think it's how that relates in terms of the guidance we've put together and put out is I think the guidance assumes some modest improvement in renewal rates, but I think that there certainly is still opportunity that we'll continue to monitor based on how quickly we see additional uplift and the impact on renewals. But it's not just the renewals. It's also now we've got -- we did a really good job historically of selling claims as an upsell motion and the cross-sell motion into our customers historically. We didn't really do that last year because we needed to address the data disruption. Now that that's been addressed, that opens up that avenue for us as well. So that will certainly be a boost to us in '26. There's a component of it baked into our '26 guide and we're continuing to kind of monitor results for more potential upside, and we'll talk about that more as the year goes on.

[Operator Instructions] Next up, we have George Hill of Deutsche Bank.

I've just got two quick ones. Casey, you talked about the NDR improving or bottoming, I guess, in '26. I guess I don't know if you're willing to talk about like order of magnitude as you think about the recovery, like if we're modeling that going forward, kind of what does that look like? And Kevin, on the claims data, are you able to talk about like what amount of enterprise revenue does the claims data product -- to what amount of revenue does claims data underpin like various product revenue? And is the disruption there enough to consider that product significantly impaired? Or is there a resell process around that, like a reintroduction process as it relates to the claims data product? Are you able to just kind of go back to market with the patches that you guys have made? I understand that's the clumsy question. I apologize.

Well, no, I mean, I get what you're -- the intent of the question is. So maybe what I'll do is I'll start with sort of the philosophical and the rationale and then maybe Casey can kind of quantify it to the question on both NDR as well as how do you size that. So the claims data, it's more -- it's really just a very simple issue that we faced. And it depends on the customer because it wasn't universally spread evenly across the country. So when you have, say, 30% of records that suddenly evaporate from the market and if you've entitled your customers to expect a certain number of records and now there's 30% less. Regardless of the reason, there's going to be pressure on rightsizing and downsell pressure when you renew or they want to be made right. And so remediating the claims data was twofold. One, we needed to get the actual counts back up to historical or better than historical averages, which is where we are now or above historical averages. At the same time, it gave us the opportunity to increase the quality because the one thing that I definitely -- and this relates to all of our data and all of our products. The single biggest reason and the #1 factor that our customers report why they select Definitive is because they rely on us for accuracy, and quality. Our data needs to be as pristine and accurate as possible. So it's not just -- it wasn't a simple answer. So now that you've gotten claims data that's been cross-sold very effectively in earlier years, that now creates a dissatisfaction even if the revenue component was less, it starts to impair other companies that may or other customers that may have acquired that as well. So remediating the volume and the quality at the same time was very important, and we are claiming job complete on that, and we feel very good about it. And I think it's starting to show up in the green shoots in the records going forward. As far as the question on how that impacts NDR and how you would size that, Casey, I don't know if you want to.

Yes. I think as far as what's assumed in our guide around NDR is a modest improvement, a couple of points. I think that, again, there'll be more that we'll monitor as we go through the year to be able to show if we're on track for that or if we've got the opportunity to do better. But we're confident in being able to deliver a couple of points of improvement on an NDR basis for '26.

Next, we have Jeff Garro of Stephens Inc.

I want to ask about renewals and sales activity in the life science end market. And you mentioned positive activity in December year-over-year, but I want to specifically combine that with the idea that we've heard from others, maybe some life science companies were distracted around December as they negotiated most favored nation pricing agreements with the administration. So curious to the extent you saw that and what you could tell us about pipeline development here in the first 50 days or so of 2026 as we get past that year-end 2025 period and start to look forward a little bit more as we've heard there's more budget certainty for these large pharma companies.

Yes. So let me start here around some of the dynamics we've seen in the life sciences space. Again, I don't think there's been a ton of change from the elements that we talked about all year. In Q4, there still was pressure around lack of upsell activity. But we talked about gross dollar retention improving about 200 bps at a total company level. That's a pretty consistent level within Life Sciences as well. So that stabilization and that improvement there, I think, is really important and it's something that we've been very focused on really kind of stabilizing that component of the business. As I mentioned earlier, when we got diversified and provider back to growth, now it's what's it take and what's that curve and really that the slope of that curve look like around life sciences. And that's what we're really focused around kind of executing against while continuing to nurture the growth that we're seeing within diversified in the provider space. But I can't say there's really been too significant of changes. I think we still are very highly engaged. We've got a lot of our relationships in the life sciences space are very long-standing. In fact, if you look at our logo churn rates, our logo -- sorry, our logo retention rates are extremely high in the life sciences space. And that's just an area that I think has been quite consistent for us for a long time. These are customers that have been with us for a long period of time. They value high-quality data. And we really just had these downsell pressures throughout '24 and '25 as a result of claims data disruption. And we feel really good about where we are today and being able to build back the revenue within these accounts over time. And that for us is really just a key component there of what is the slope of the life sciences recovery look like. And from a guidance perspective, we're being pretty prudent on the assumptions within the Life Sciences space until we get a couple of more green shoots under our belt.

Great. I appreciate that. And one more quick one for me. Just the discussion of a return to organic innovation spend. I wanted to see if there's anything you can add more around the focus areas there and around the timing of product releases and eventual return on that investment. You mentioned one release later this quarter. So maybe help us just a little bit more with the cadence of other releases from there.

Yes. As we're looking at our kind of compute capacity management and how we're deploying our resources, we're balancing the internal deployment of resources by focusing our engineering or problem-solving teams primarily and our AI-enabled product road map. And we're doing so with -- if I was going to give you the guidance on there, I would think of it in terms of Q2 is when we're really focusing on getting this into a more of a GA cycle, even though we are launching certain beta programs currently in this quarter, but I would look at it from a Q2 perspective.

We have no further questions at this time. That concludes our meeting today. Thanks, everyone, for joining.