Dye & Durham Q4 2026 Earnings Report

Dye & Durham EPS Results

• Actual EPS: -C$0.32
• Consensus EPS: N/A
• Beat/Miss: N/A
• One Year Ago EPS: N/A

Dye & Durham Revenue Results

• Actual Revenue: $104.17 million
• Expected Revenue: N/A
• Beat/Miss: N/A
• YoY Revenue Growth: N/A

Dye & Durham Announcement Details

• Quarter: Q4 2026
• Date: 9/29/2026
• Time: After Market Closes
• Conference Call Date: Wednesday, September 30, 2026
• Conference Call Time: 4:30PM ET

Dye & Durham (TSE:DND) Ltd is engaged in providing cloud-based software and technology solutions designed to improve efficiency and increase productivity for legal and business professionals. The company has business operations in Canada and the United Kingdom. The customers include law firms, financial service institutions, and government organizations.

Dye & Durham Q4 2026 Earnings Call Transcript

Key Takeaways

• Positive Sentiment: Fourth-quarter performance improved: excluding the Credas disposal, revenue grew 4% year over year, Adjusted EBITDA rose 18%, and the margin expanded to approximately 53% from 45%.
• Positive Sentiment: Operating cash flow increased 15% to CAD 65.6 million in Q4, while management reported approximately CAD 20 million in annualized run-rate cost savings and expects to complete remaining initiatives by the end of fiscal 2027.
• Negative Sentiment: Fiscal 2026 remained challenging, with revenue down 7% to CAD 410.7 million and Adjusted EBITDA down 15% to CAD 198.8 million, reflecting weaker market conditions, lower platform volumes, customer losses, and unfavorable contract renewals.
• Neutral Sentiment: Debt reduction remains a priority: borrowings fell to approximately CAD 1.28 billion after Credas-sale proceeds were used for repayments, but leverage was still approximately 5.17 times. The company also provided no timeline for appointing a permanent CEO or completing its delayed strategic review.
• Neutral Sentiment: Management said customer churn is declining and transaction volumes are stabilizing after moving away from contractual minimums and adopting more market- and value-based renewals, but it offered no forward revenue guidance.

Presentation

[Operator]

Morning. Welcome to Dye & Durham fourth quarter and fiscal year 2026 results conference call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. With me on the call today are Todd Schulte, Dye & Durham's Interim Chief Executive Officer, and Steve Waszak, Dye & Durham's Interim Chief Financial Officer. Dye & Durham's Q4 and fiscal 2026 earnings press release, audited annual financial statements, and MD&A are available on SEDAR+. Please note that statements made during this call may include forward-looking statements and information and future-oriented financial information regarding Dye & Durham and its business. Any disclosure regarding possible future events, conditions, or results are based on information currently available to management and indicate management's current expectation of future growth, results of operations, business performance, and business prospects and opportunities.

[Operator]

Such statements are made as of the date hereof, and Dye & Durham assumes no obligation to update or revise them to reflect events, disclosures, or circumstances, except as required by applicable securities laws. Such statements involve significant risks and uncertainties and are not a guarantee of future performance or results. A number of these risks and uncertainties could cause results to differ materially from the results discussed today. Given these risks and uncertainties, one should not place undue reliance on these statements and information. Please refer to the forward-looking statements section of our public filings, including, without limitation, our recently filed MD&A and earnings press release for additional information. In particular, for additional details regarding Dye & Durham's run rate cost saving results and expectations, please refer to the section titled "Update on Run Rate Cost Savings" in Dye & Durham's Q4 and fiscal 2026 MD&A.

[Operator]

In addition, certain financial results discussed on this call are non-IFRS financial measures, namely adjusted EBITDA and segment adjusted EBITDA. These measures are not recognized measures under IFRS, do not have a standardized meaning prescribed by IFRS, and are therefore unlikely to be comparable to similar measures presented by other companies. Please refer to the non-IFRS measures section of our public filings, including, without limitation, our recently filed MD&A and earnings press release. For additional information on the company's use of non-IFRS measures, include the company's definitions of adjusted EBITDA and segment adjusted EBITDA, and the applicable reconciliation of adjusted EBITDA and segment adjusted EBITDA to their most directly comparable IFRS measure. I'll now turn the call over to Todd Schulte.

[Todd Schulte, Interim CEO at Dye & Durham]

Hello, everyone. Thank you for taking time out of your day to join us on the Dye & Durham fourth quarter and fiscal year 2026 conference call. We appreciate your time to sharing information with you. My name is Todd Schulte, and my background is in operational leadership of large multi-product software organizations. In addition to my role as COO, I was recently named interim CEO following the conclusion of the Transformation Committee of the Board. I want to start with the fourth quarter because it shows the direction this business is headed. Excluding the impact of the Credas disposal, revenue returned to growth, up 4% year-over-year. Adjusted EBITDA increased 18% on the same basis, and our adjusted EBITDA margin expanded to approximately 53% from approximately 45% in the fourth quarter last year.

[Todd Schulte, Interim CEO at Dye & Durham]

We generated CAD 65.6 million of cash flow from operating activities in the quarter, which was up 15%. For the full year, our results reflect the company in transition. Fiscal 2026 revenue was CAD 410.7 million, and adjusted EBITDA was CAD 198.8 million, both lower than last year. The transition is ongoing, I want to be clear with you about how we are managing it and where we are focused. I also want to acknowledge that adjustments to our Q3 2026 results were required, and those adjustments are reflected in the results we reported on Monday, including in the section titled Q3 2026 adjustments of our recent earnings press release. Steve will walk through them, but I want to be clear that our technical corrections do not affect our cash position, revenue, cash flows from operating activities, or adjusted EBITDA.

[Todd Schulte, Interim CEO at Dye & Durham]

As a leadership team, our focus is clear. First and foremost, we are operationalizing the business, using automation and AI to make Dye & Durham more efficient and to make our customers more efficient. At the same time, we are continuing to stabilize the company for our customers, our employees, and our shareholders. Dye & Durham has a broad portfolio of products and services, and bringing automation to how we deliver them is the single largest opportunity in front of us. It is where I am spending most of my time. Internally, automation is how we are building a lasting, more efficient cost structure. We are automating the manual steps in our fulfillment and operations workflows so that high-volume, repeatable work is handled by system and not by hand. We are standardizing processes across all of our regions so that when we automate a workflow once, the improvement applies everywhere.

[Todd Schulte, Interim CEO at Dye & Durham]

We are utilizing AI in multiple areas of the business, from resolving customer issues faster and more consistently to improving our internal efficiency. For our customers, making their jobs easier is what we sell. Our legal workflow platform and our legal due diligence and filing platform are designed to take manual effort out of how law firms, banks, and enterprises work. From intake and document automation through to embedding registry data and filing capabilities directly into our own systems and AI tools. The same discipline we apply to our operations is what we are building into our products. You can see the results of this work in our margins. Fourth quarter adjusted EBITDA margin was approximately 53%, up from approximately 47% in the third quarter and approximately 45% in the fourth quarter of last year.

[Todd Schulte, Interim CEO at Dye & Durham]

Part of that sequential improvement is seasonal, but the year-over-year expansion reflects a more efficient operating model. Our cost basis is holding as volumes return. Fourth quarter operating costs, meaning those costs comprised of direct costs, technology and operations, G&A, and sales and marketing, were essentially flat compared to the third quarter at approximately CAD 49 million, while revenue increased CAD 13 million or 14%. That is the operating leverage we are building. As revenue grows, more of each additional dollar flows through to adjusted EBITDA. We also continue to see meaningful opportunity to remove costs from the business. In fiscal 2026, we achieved approximately CAD 20 million in annualized run rate cost savings ahead of the target we set out this year, driven by automation, process standardization, and a more efficient global operating model. We are on track to complete the remaining initiatives by the end of fiscal 2027.

[Todd Schulte, Interim CEO at Dye & Durham]

We plan to continue to reinvest a portion of these savings to generate into the product development, automation, and our customers, because efficiency is not only about spending less, it is about putting our resources to work where it creates the most value. Operational improvement only works on a stable foundation, and we are continuing to enhance ours. For our customers, that means consistent, reliable services and a product roadmap they can count on. In the fourth quarter, Canada revenue grew 9% year-over-year, and Canada segment adjusted EBITDA grew 13% year-over-year. We have also added resources and new performance measures so we can better track our service levels and drive continuous improvement. For our people, it means clear leadership, clear priorities, and a culture built on accountability and execution. For our shareholders, it means transparent reporting and a stronger balance sheet.

[Todd Schulte, Interim CEO at Dye & Durham]

Strong cash generation remains the foundation of our financial strategy, and strengthening our balance sheet remains a priority for the company. We are in compliance with the financial maintenance covenants under our senior credit agreement as of June 30, 2026, and Steve will provide more detail on our capital structure. I'll now turn the call over to Steve to review our fourth quarter and full year financial results. Steve?

[Steve Waszak, Interim CFO at Dye & Durham]

Thank you, Todd, and welcome everyone. My comparisons to the equivalent periods in the prior year, unless otherwise noted, and all figures are in CAD. For revenue, for the three and 12 months ended June 30, 2026, revenue is CAD 104.2 million and CAD 410.7 million, respectively. Fourth quarter revenue decreased by CAD 1 million or 1%. Excluding the impact of Credas' disposal in all periods, revenue increased by CAD 3.5 million or 4%. The increase is primarily driven by our practice management and payment infrastructure platforms in Canada. For fiscal year 2026, revenue decreased by CAD 30.1 million or 7%. Excluding the impact of the Credas disposal, revenue decreased by CAD 24.6 million or 6%.

[Steve Waszak, Interim CFO at Dye & Durham]

This decrease was primarily driven by the market downturn and by lower volumes in pricing on our practice management and data insight platforms, reflecting both customer losses and contract renewal terms. This is primarily offset by growth in banking technology, where the revenue increased by CAD 4.8 million or 5% to CAD 108.3 million, and by the LexisNexis Affinity platform. Now turning to adjusted EBITDA. Fourth quarter adjusted EBITDA was CAD 55.1 million, an increase of 7.4% or 15%. Excluding the impact of the Credas disposal, adjusted EBITDA increased by CAD 8.5 million or 18%. Adjusted EBITDA margin was approximately 53% compared to approximately 45% in the prior year quarter. The increase reflects the revenue growth I just described and the benefit of our cost-saving initiatives that Todd has mentioned.

[Steve Waszak, Interim CFO at Dye & Durham]

Technology and operations, general administration, and sales and marketing expenses decreased by CAD 7.8 million or 16%, by CAD 5.4 million or 12% excluding Credas. This is primarily due to our operational efficiencies from saving initiatives anchored during the year, partially offset by the continued reinvestment of IT infrastructure. For 2026, adjusted EBITDA was CAD 198.8 million, a decrease of CAD 34.1 million or 15%. Excluding the impact of the Credas disposal, adjusted EBITDA decreased by CAD 32.4 million or 14%. Adjusted EBITDA margins for the year was approximately 48%, compared to approximately 53% in fiscal 2025.

[Steve Waszak, Interim CFO at Dye & Durham]

The decrease reflects the revenue impacts I described, as well as strategic reinvestments we made to stabilize the business, predominantly in the labor and IT infrastructure, and lower capitalization rates in the first half of the year as we temporarily shifted certain expenses from capitalized projects to maintenance expenses. These were partially offset by operational efficiencies, which we realized largely in the third and fourth quarters. We executed the fiscal 2026 portion of our cost reduction plan, and based on information available today, we have achieved the approximately CAD 20 million of annualized run rate cost savings all within the year. Net loss and cash flow. For the fourth quarter, net loss was CAD 19.9 million, compared to a net loss of CAD 29.6 million.

[Steve Waszak, Interim CFO at Dye & Durham]

The lower net loss primarily reflects lower amortization, depreciation, and impairment, partially offset by higher finance costs, largely from non-cash foreign exchange and fair value movements and lower income tax recovery. Cash flow provided by operating activities was CAD 65.6 million, compared to CAD 56.8 million, or an increase of 15%. For fiscal year 2026, net loss was CAD 38.5 million, compared to a net loss of CAD 88 million. The lower net loss primarily reflects the CAD 81.5 million gain on the sale of Credas, lower amortization and depreciation, and lower acquisition restructuring and other costs, partially offset by higher finance costs, lower revenue, and higher stock-based compensation, as fiscal year 2025 included a large non-recurring recovery. Cash flow provided by operating activities was CAD 153.4 million compared to CAD 142.8 million, an increase of 4%.

[Steve Waszak, Interim CFO at Dye & Durham]

In both periods, the increase in operating cash flow was driven by higher contributions from working capital and lower taxes paid, partially offset by higher financing costs. For sequential trends, compared to the third quarter, fourth quarter revenue increased by CAD 13 million, or 14%, and adjusted EBITDA increased by CAD 12.2 million or 29%. As a reminder, our real estate conveyance and search product lines experience seasonality, with revenue typically peaking in the spring and summer, which fall in our fourth and first fiscal quarters. The sequential improvements in adjusted EBITDA margin from approximately 47% to approximately 53% reflects both seasonal and cost efficiencies, as Todd Schulte described. Now turning towards the balance sheet and liquidity. We were in compliance with the financial maintenance covenants under our senior agreements as of June 30th, 2026.

[Steve Waszak, Interim CFO at Dye & Durham]

At year-end, we had CAD 29.5 million on our revolving credit facility, or approximately 28% of the facility, well below the 35% level at which the leverage covenant is tested. Our consolidated first lien leverage ratio, as defined in our senior credit agreement, was approximately 5.17x, which is also below the 5.8x maximum. Cash and cash equivalents were CAD 41.4 million. During the year, we repaid the CAD 185 million of convertible debentures that matured in March 2026 and applied CAD 129.8 million of the net proceeds from the sale of Credas to voluntarily prepay a portion of the Term Loan B, senior security notes, and revolving facility.

[Steve Waszak, Interim CFO at Dye & Durham]

As a result, the Term Loan B has no further scheduled principal amortization before maturity. Loans and borrowings, together with convertible debentures, decreased from approximately CAD 1.59 billion at June 30th, 2025, to approximately CAD 1.28 billion as of June 30th, 2026.

[Steve Waszak, Interim CFO at Dye & Durham]

Now for the Q3 2026 adjustments. As described in our 2026 MDA, our fourth quarter net loss reflects certain adjustments that we recorded in Q4 2026 but relate to Q3 2026. These reduced previously reported 2026 net revenue by CAD 32.5 million, consisting of CAD 29.9 million adjusted to stock-based compensation, which is primarily the reversal of an incorrectly recorded recovery related to forfeited or expired options of former employees and CAD 2.6 million adjusted to financing costs. These were technical corrections. They do not affect our cash position or our reported revenue, cash flows from operating activities, or adjusted EBITDA for Q3 2026. In summary, the fourth quarter showed the operating leverage in this business, revenue growth excluding Credas, significant margin expansion, and strong cash flow generation. The full year reflects the transition we are working through.

[Steve Waszak, Interim CFO at Dye & Durham]

As we move into fiscal 2027, we intend to remain focused on cost discipline, cash generation, and strengthening of our balance sheet. With that, let me turn it back over to Todd.

[Todd Schulte, Interim CEO at Dye & Durham]

Thank you, Steve. To close, I want to come back to what we are building. Dye & Durham has valuable products, deep customer relationships, and critical positions in the markets that we serve. What we have not had is a single efficient way of operating that lets those strengths show up in our results. That is what our focus on operationalizing the business on a stable foundation is designed to deliver. The fourth quarter gives us early evidence that it's working. Revenue growth, excluding Credas, margin expansion, and strong cash flow. There is more work ahead, and the transition will continue through fiscal 2027. Our focus is clear: serve our customers well, run the business efficiently through automation and AI, and strengthen our balance sheet. I want to thank our employees around the world for their work through a demanding year and the customers and shareholders for their continued support.

[Todd Schulte, Interim CEO at Dye & Durham]

With that, we would be happy to take questions. Operator?

[Operator]

Thank you. Ladies and gentlemen, we will now begin the question-and-answer session. Should you have a question, please press star followed by the number one on your touchtone phone. You will hear a prompt that your hand has been raised. Should you wish to decline from the polling process, please press star followed by the number two. If you are using a speakerphone, please lift the handset before pressing any keys. One moment please for your first question. Your first question comes from the line of Thanos Moschopoulos from BMO Capital Markets. Please go ahead.

[Thanos Moschopoulos, Analyst at BMO Capital Markets]

Hi, good afternoon. I think many of us were surprised to see the year-over-year revenue growth during the quarter. If you could expand on what drove that within the Canadian business. Can you clarify as well whether there was any contribution from one-time revenue, such as from license renewals or anything like that that might have helped the quarter unusually? Thanks.

[Todd Schulte, Interim CEO at Dye & Durham]

Yeah. I will take that. Thanks for your question. The biggest thing we have seen around that is somewhat of just the market and a little bit of the seasonality. We did have some revenue recognition that was a little stronger in Q4 than in previous times because of how we were recognizing some things. But excluding Credas, year-over-year, we were up CAD 3.5 million or about 4%. We were happy with that and really shows things turning around a little bit.

[Thanos Moschopoulos, Analyst at BMO Capital Markets]

Is this the—

[Todd Schulte, Interim CEO at Dye & Durham]

Steve, anything to add to that?

[Thanos Moschopoulos, Analyst at BMO Capital Markets]

I am sorry.

[Steve Waszak, Interim CFO at Dye & Durham]

Go ahead.

[Todd Schulte, Interim CEO at Dye & Durham]

Go ahead. You were asking another follow-up question?

[Thanos Moschopoulos, Analyst at BMO Capital Markets]

No, sorry. Yeah, sorry to interrupt. I was going to say, is the implication then that within the Canadian practice management business, for example, that some of the prior churn is subsiding and stabilizing?

[Todd Schulte, Interim CEO at Dye & Durham]

Yes, definitely. We're seeing quite a bit of I won't necessarily call it. We're seeing the churn decrease, but we're seeing transaction volumes stabilize to what they were showing before.

[Thanos Moschopoulos, Analyst at BMO Capital Markets]

Given that the Q1 is, I guess, pretty well over, any directional commentary?

[Todd Schulte, Interim CEO at Dye & Durham]

Yeah.

[Thanos Moschopoulos, Analyst at BMO Capital Markets]

You might want to provide in terms of what we should expect for Q1 revenue.

[Steve Waszak, Interim CFO at Dye & Durham]

Yeah, this is Steve. Let me comment on that. We're right now not talking towards future. We're going to hold on that for now, and we'll look forward to communicating that to you as available from that perspective. But I would just comment that Todd talked about his operational background. And one of the things that the team is doing very well is monitoring daily, weekly, the churns, the new customers, things like that. So there's a lot of attention by the team, a very rigorous attention towards how the business is running in a way that we monitor this very closely. So I'll just leave those comments to say that, I think from an operational perspective, we are in control of what the future lies, but we are not prepared yet or able to yet talk to the future.

[Thanos Moschopoulos, Analyst at BMO Capital Markets]

Last one for me, just in general terms. You alluded to the opportunities for increased automation and cost efficiency in the business.

[Thanos Moschopoulos, Analyst at BMO Capital Markets]

On the revenue side, is there more opportunity as well that you'd call out, or is the focus more on cost optimization or maintaining, I guess, revenue stability from where you are?

[Todd Schulte, Interim CEO at Dye & Durham]

I would say traditionally, over the last few months, we've been focused more on the cost side. One of the things that we've been doing lately is really looking more into some new revenue streams, what those might be. It's too early to really comment on those, but focus is not just on the cost side, but also how we grow revenue and grow this company.

[Thanos Moschopoulos, Analyst at BMO Capital Markets]

All right, I'll pass it on. Thank you.

[Todd Schulte, Interim CEO at Dye & Durham]

Thank you.

[Operator]

Your next question comes from the line of Stephen Boland from Raymond James. Please go ahead.

[Stephen Boland, Analyst at Raymond James]

Good evening. I apologize, I'm kind of jumping back and forth on the call. You may have mentioned this, but the strategic review, can you just provide an update there in terms of what the delay? Was it the change in management, change in board that delayed this process? What's your expectation in terms of coming to a decision?

[Todd Schulte, Interim CEO at Dye & Durham]

Yeah. The strategic review has been delayed by some of the management changes, probably more than anything else. I think we're close. I haven't seen an exact date on when that is to be completed, but I do believe it's coming to an end. But definitely the delay was changes we've had throughout the company, mostly in the management level.

[Stephen Boland, Analyst at Raymond James]

Okay. That's great. Second question is, going to Thanos' questions about this churn and attrition. I think we've all had a chance to talk to a bunch of law firms that I think got pressured into their old contracts, especially on the monthly minimums, and didn't hit that hurdle rate. I guess what concessions are you doing to retain the customers? Because obviously there's been a lot of churn within the employees as well.

[Steve Waszak, Interim CFO at Dye & Durham]

Yeah, I would say we really moved away from part of what we've done as we listen to the customers, and really, John Dawson, who's our Chief Revenue Officer, really listen to our customers in trying to address what their concerns are. We've gone away a lot from the minimums, and the renewal process, in trying to adjust pricing to be more market based, and I would say more value based in terms of where they're going. You may see this too in some of the law firms you're talking to. We have seen some positive interactions as we go forward relative to how we're renewing contracts without the minimums, without the blanks and things of that nature.

[Stephen Boland, Analyst at Raymond James]

When you read this—

[Todd Schulte, Interim CEO at Dye & Durham]

Also, I also—

[Stephen Boland, Analyst at Raymond James]

Oh, go ahead.

[Todd Schulte, Interim CEO at Dye & Durham]

I was just going to add on that a little bit. A lot of this comes down to listening to the customers too, and we've had a lot of customers want to move away from some of those minimums and some of the things in the contract. We've listened to the customers and adjusted our business practices.

[Stephen Boland, Analyst at Raymond James]

Okay. Just to follow up to that, Todd, in terms of away from the minimums, has there been a price reduction on the transactions? Meaning it was CAD 199, CAD 299. Has that come down as well? I am just trying to get an idea what the margin looks like going forward.

[Steve Waszak, Interim CFO at Dye & Durham]

No, we really have not adjusted the pricing much. Maybe on some unique or specific instances based on volumes and where the customer is with us and lifespan, all that. We really have not adjusted pricing. It is really more looking perspectively to say, "If you reach these volumes, have these levels, there are some perspective price adjustments from that perspective." We really changed that concept as we have gone forward.

[Stephen Boland, Analyst at Raymond James]

Okay. All right, crew, thanks.

[Operator]

As a reminder, if you wish to ask a—

[Steve Waszak, Interim CFO at Dye & Durham]

Go ahead. I was going to follow up on the margin piece real quick. On the margin piece, one thing this company has is very strong margins, so the margin piece We don't see any, in terms of Q4, in that we haven't seen any impact on the margins. We've actually seen some increases in the margins because of the leverage of the cost structure in the company.

[Operator]

As a reminder, if you wish to ask a question or if you have any follow-up, please press star one. Our next question comes from the line of Erin Kyle from CIBC. Please go ahead.

[Erin Kyle, Analyst at CIBC]

Hi. Good evening. Thanks for taking the questions. Maybe just to follow up on one of the earlier questions there. Could you just provide us an update on the search for a permanent CEO, and are there any further expected leadership changes expected at this point?

[Todd Schulte, Interim CEO at Dye & Durham]

Yeah, I'll take that one. Both myself and Steve have interim titles, so we are in the search from a long-term perspective on who those people are going to be. But we don't have really any updates on when that will be done or anything like that. And we're always looking at talent and what we have, but no real big plans for significant shakeups.

[Erin Kyle, Analyst at CIBC]

Okay, so no further expected delays then on the strategic review process?

[Todd Schulte, Interim CEO at Dye & Durham]

That's correct.

[Erin Kyle, Analyst at CIBC]

Okay, thank you. Maybe just another question regarding liquidity. Could you just provide an update on your outlook for the balance of the calendar year here? There was a disclosure in your MDA that the additional draw on the new revolving facility will be held in cash as of September 30, if I read that correctly.

[Steve Waszak, Interim CFO at Dye & Durham]

You do have that. This is Steve. You do have that correct. We were just being conservative to make sure we've got fully funded, the interest payment coming up, things like that. We just want to make sure that's fully funded without disruption from that perspective. Yes, you are correct on that.

[Erin Kyle, Analyst at CIBC]

Okay. Deleveraging, that is still a priority for the business at this point in time?

[Steve Waszak, Interim CFO at Dye & Durham]

Oh, 100%. That is part of the cost reductions, part of the aspects in terms of how we run the business and putting a priority on generating the right cash flow to start to continue to de-leverage. So it is 100% a priority.

[Erin Kyle, Analyst at CIBC]

Okay. Then maybe last question from me, just on the revenue growth side. On the financial technology segment, your revenue was fairly flat year-over-year there. Can you just elaborate a bit on the drivers of that year-over-year growth or flat growth in the quarter?

[Steve Waszak, Interim CFO at Dye & Durham]

Which segment are you referencing? Sorry, say it again.

[Erin Kyle, Analyst at CIBC]

The banking segment. The financial technology segment.

[Steve Waszak, Interim CFO at Dye & Durham]

Todd, if you want to address that.

[Todd Schulte, Interim CEO at Dye & Durham]

Yeah. In general, just the business was flat. I am not quite sure how to answer that particular one. We saw our volume and our work just stay about the same.

[Erin Kyle, Analyst at CIBC]

Okay, I will pass the line.

[Steve Waszak, Interim CFO at Dye & Durham]

Thank you.

[Operator]

There are no further questions at this time. I will now turn the call over to Todd Schulte. Please continue, sir.

[Todd Schulte, Interim CEO at Dye & Durham]

Yeah, I just wanted to thank everyone for taking time out of their day to join us here. We're happy with our results, but we know there's a lot of work to do. We're going to continue working hard to continue reshaping this business. So appreciate all your support and appreciate all the employees and their hard work that they've been putting in to really turn this around. So thank you very much for your time.

[Operator]

Ladies and gentlemen, this concludes today's conference call. Thank you for your participation. You may now disconnect.

Participants

Executives

• Todd Schulte, Interim CEO
• Steve Waszak, Interim CFO

Analysts

• Thanos Moschopoulos, Analyst at BMO Capital Markets
• Stephen Boland, Analyst at Raymond James
• Erin Kyle, Analyst at CIBC