Thryv Holdings Inc. reported its financial results for the first quarter of 2025, highlighting a transition towards a software-focused business model. The company's total sales for the three months ended March 31, 2025, were $181.4 million, down from $233.6 million in the same period of the previous year. The cost of services decreased from $80 million to $62.1 million. Consequently, gross profit fell to $119.3 million from $153.6 million. Operating expenses remained relatively stable, totaling $122.3 million compared to $122.5 million in the prior year. This resulted in an operating loss of $3 million, contrasting with an operating income of $31.1 million in the same quarter of 2024. Thryv's SaaS revenue now accounts for over 60% of total sales, reflecting the company's strategic shift towards becoming a leading small and medium business $(SMB)$ software provider. Despite the reduction in sales, the company continued to focus on subscriber acquisition and platform upgrades, reporting a record net revenue retention rate of 103% for the first quarter. The company is optimistic about continued growth through cross-selling initiatives and the expansion into new verticals, supported by a strong customer demand and ongoing investment in its platform.