Good morning, and welcome to the DHI Group, Inc. Second Quarter 2017 Earnings Conference Call. All participants will be in listen-only mode. [Operator Instructions] After today's presentation, there will be an opportunity to ask questions. [Operator Instructions] Please note this event is being recorded. I would now like to turn the conference over to Brendan Metrano, Vice President of Investor Relations. Please go ahead.

Good morning, everyone. With me on the call today is Mike Durney, President and Chief Executive Officer of DHI Group Inc.; and Luc Grégoire, Chief Financial Officer. This morning, we issued a press release describing the company's results for the second quarter of 2017. A copy of that release can be reviewed on the company's Web site at dhigroupinc.com. Before I hand the call over to Mike, I'd like to note that today's call includes certain forward-looking statements, particularly statements regarding future financial and operating results of the company and its businesses. These statements are based on management's current expectations or beliefs and are subject to uncertainty and changes in circumstances. Actual results may vary materially from those expressed or implied in the statements here due to changes in economics, business, competitive, technological and/or regulatory factors, and the planned divestiture of our non-tech businesses, and the possibility that such divestitures do not occur. The principal risks that could cause our results to differ materially from our current expectations are detailed in the company's SEC filings, including our Annual Report on Form 10-K and quarterly report on Form 10-Q in the sections entitled Risk Factors, Forward-looking Statements, and Management's Discussion and Analysis of the Conditions and Results of Operations. The company is under no obligation to update any forward-looking statements except where it is required by federal securities laws. Today's call also includes certain non-GAAP financial measures, including adjusted EBITDA and adjusted EBITDA margin. For details on these measures, including why we use them and reconciliations to the most comparable GAAP measures, please refer to our earnings release and our Form 8-K that has been furnished to the SEC, both of which are available on our Web site. With that, I'll turn the call over to Mike.

Great, thanks Brendan, and good morning everyone. Thanks for joining us today. So today I'll update you on our alignment around our check-post-focused strategy, including progress against key initiatives, then I'll discuss our goals for the remainder of the year, provide an update on the competitive landscape, and discuss how we'll return the business to growth. Then I'll turn it over to Luc who will provide a financial overview and update on where we stand with the divestiture of the four businesses. And lastly, we'll open up to questions. So we made progress since our last update, however we have a ways to go. We've rolled out some big changes internally to move us forward and return the business to growth. Our vision, which we articulated in May, is to serve tech professionals and resolve pain points for customers who recruit tech talent through next-generation products and tools. When we laid out the strategic initiatives of the company last quarter we outlined several key objectives. Last time, we discussed an issue of, number one, focusing resources behind our core tech talent brands. In the second quarter we realigned our organization to streamline management and decision-making. As part of this adjustment the senior management team has taken a more hands-on role in the day-to-day operations of our tech-focused brands, which include Dice, ClearanceJobs, and eFinancialCareers. This functional structure is designed to accelerate the implementation of our strategy, and we've already seen efficiencies gained from this realignment. We're organized our product, development, and marketing teams into two focused areas, customer performance and professional engagement. This brings the absolute focus we need in serving these two constituents. Today, we'll discuss the next two. We set five goals for ourselves for the remainder of 2017. Number one is returning the Dice business to growth.…

Great, thanks Luc. So as you hear, we have a number of initiatives both operational and strategic, some are having an immediate impact, some will take a longer time to show results but we're incredibly optimistic about our direction. I'm thankful for the hard work and dedication and passion of our employees around the world and thank them for everything they do each day. And with that, we're going to turn it over to questions.

We will now begin the question-and-answer session. [Operator Instructions] Our first question comes from Kara Anderson with B. Riley & Company. Please go ahead.

Hi, good morning.

Hello.

I wanted to drill down on the $1.1 million spent on this division costs. Are those costs more one-time in nature like legal fees or severance, or how should we think about that going forward? Thanks.

Yes, they're mostly severance costs that relate either to people affected by our current divestiture process or the reorganization that we just went through.

Okay. And then, I know you are going through a process with bankers now at this point for the non-core assets, but is there a scenario where you might just wind down operations and there -- is that a sale?

So, I think the plan is to sell those. We think there is sufficient interest in all of the businesses. It varies among the four, but it looks that earlier, the amount of activity people were engaged with is pretty high, and of course there's no assurance that will get to anywhere for the businesses, but we think there's a fair amount of interest that we're going to continue to pursue. If nothing comes to fruition on one or more of them, then we'll make a decision on how we operate them going forward, and there are a handful of Plans B, C, and D, if that doesn't happen.

Okay. And then, I'm sorry if I missed it, but can you talk about how you know new products like getTalent and Lengo are been received versus sort of your internal expectations, and whether or not there's an acceleration of adoption behind the outlook for the reminder of the year?

Sure. So, we started with a number of products starting with Open Web, is the first of them, and then Lengo and getTalent, Open Web we talked about more specifically because it's got more longevity in the marketplace; getTalent we've been in the market for a little more than a year. The adoption rate has been spotty. We're continuing to refine how we bring the product to market, what the features and functionality are. It has not met our own internal expectations to be able to continue to refine how best to incorporated into the core of what we do and bring the value to market. I think there is a number of things we can do with getTalent both as a standalone product and incorporating it into the core. On Lengo, the adoption rate has been really good. It's been stronger in the U.K. in part because we have a small sales team that's been dedicated to in the U.K. and they work very closely with the development team which is also in the U.K. But we have plans now to roll it out into the U.S. and early indications are that there's a fair amount of interest. I think it'll take some time as we focus on moving people from active to passive as the world likes to look at candidates in those two buckets as active and passive, but we think that Lengo has a lot of value supplementing what we do in the core Dice even [indiscernible] ClearanceJobs businesses together with Open Web.

I guess, and then lastly, you know on the macro environment for tech professionals in the U.S, can you talk about that and what if any kind of change would be positive for Dice?

Sure. So, I think overall the macro environment continues to be really strong for tech professionals, people with specific skill sets, who are the superstars of tech are really hard to find and really hard to engage. We've said this forever and more than 15 years I've been here, the supply/demand imbalance for us to be really successful has to be somewhat calibrated, and for the last couple of years it has not been calibrated because the demand for people -- for professionals, and the skills required and the mix of skills required are so specific to finding those people is incredibly difficult. So, for us to be optimized, getting that supply/demand balance more aligned would something be better but there is certainly a need and having a need drives our business ultimately.

Thank you.

This concludes our question-and-answer session. I would like to turn the conference back over to Brendan Metrano for any closing remarks.

Thank you, Austin. We appreciate your interest in DHI Group. If you have any follow-up questions, you can call Investor Relations at 212-4448-4181, or email ir@dhigroupinc.com.

The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.