| Segment information for other significant income statement |
| | | | | | | | | | | | | | | | | | | | For the Three Months Ended June 30, | | For the Six Months Ended June 30, | | | 2026 | | 2025 | | 2026 | | 2025 | Revenues | | $ | 92,142 | | $ | 58,393 | | $ | 182,238 | | $ | 116,737 | Direct operating costs (1) (3) | | | 49,682 | | | 35,370 | | | 99,986 | | | 70,462 | Gross profit | | | 42,460 | | | 23,023 | | | 82,252 | | | 46,275 | Selling and administrative expenses (2) (4) | | | 26,600 | | | 14,112 | | | 49,492 | | | 29,092 | Segment operating income | | | 15,860 | | | 8,911 | | | 32,760 | | | 17,183 | Interest income, net | | | (1,695) | | | (577) | | | (2,137) | | | (704) | Income before provision for income taxes | | | 17,555 | | | 9,488 | | | 34,897 | | | 17,887 | Provision for income taxes | | | 3,143 | | | 2,269 | | | 5,587 | | | 2,881 | Net Income | | $ | 14,412 | | $ | 7,219 | | $ | 29,310 | | $ | 15,006 |
| (1) | Direct operating costs consist of direct and indirect labor costs, occupancy costs, data center hosting fees, cloud services, AI technology subscriptions, content acquisition costs, depreciation and amortization, travel, telecommunications, computer services and supplies, realized (gain) loss on forward contracts, foreign currency revaluation (gain) loss, recruitment costs and other direct expenses that are incurred in providing services to customers. |
| (2) | Selling and administrative expenses consist of payroll and related costs including commissions, bonuses, and stock-based compensation; marketing, advertising, trade conferences and related expenses; new services research and related software development expenses, software subscriptions, AI technology subscriptions, professional and consultant fees, provision for credit losses and other administrative overhead expenses. |
| (3) | Includes non-cash expenses which consist mainly of depreciation, amortization of capitalized software development costs and stock-based compensation expense. |
| (4) | Includes non-cash expenses which consist mainly of stock-based compensation and depreciation and amortization expense. |
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| Schedule of revenue by geographic region |
Revenues for the three and six-month periods ended June 30, 2026, and 2025 by geographic region (determined based upon customer’s domicile), were as follows (in thousands): | | | | | | | | | | | | | | | For the Three Months Ended | | For the Six Months Ended | | | June 30, | | June 30, | | | 2026 | | 2025 | | 2026 | | 2025 | United States | | $ | 79,860 | | $ | 48,563 | | $ | 159,079 | | $ | 97,460 | Canada | | | 3,326 | | | 2,955 | | | 6,384 | | | 5,678 | United Kingdom | | | 2,950 | | | 2,470 | | | 5,729 | | | 4,897 | The Netherlands | | | 2,201 | | | 2,277 | | | 4,643 | | | 4,442 | Others - European countries principally, Germany and Belgium | | | 3,805 | | | 2,128 | | | 6,403 | | | 4,260 | Totals | | $ | 92,142 | | $ | 58,393 | | $ | 182,238 | | $ | 116,737 |
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| Schedule of long-lived assets by geographic region |
Long-lived assets as of June 30, 2026 and December 31, 2025 by geographic region were comprised of (in thousands): | | | | | | | | | June 30, | | December 31, | | | 2026 | | 2025 | United States | | $ | 13,614 | | $ | 12,576 | | | | | | | | Foreign countries: | | | | | | | Canada | | | 6,024 | | | 6,325 | Philippines | | | 5,051 | | | 5,091 | India | | | 2,179 | | | 2,582 | Sri Lanka | | | 715 | | | 833 | United Kingdom | | | 546 | | | 653 | Israel | | | 55 | | | 56 | Germany | | | 4 | | | 6 | Total foreign | | | 14,574 | | | 15,546 | Totals | | $ | 28,188 | | $ | 28,122 |
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