WASHINGTON - Empowered Systems, a leading provider of integrated risk and compliance solutions, has entered into a strategic partnership with FiscalNote Holdings, Inc. (NYSE: NOTE), a prominent player in policy and global intelligence. This collaboration, announced today, is set to integrate FiscalNote's artificial intelligence (AI) offerings, including Risk Connector, Copilot for Global Intelligence, and Dragonfly, into Empowered Systems' Connected Risk™ platform.
The integration aims to deliver a comprehensive third-party risk management solution by combining Empowered Systems' platform with FiscalNote's AI-powered data and content. The resulting product will provide users with a unified view of regulatory compliance and geopolitical risks, enhancing their ability to navigate an increasingly complex risk environment.
FiscalNote's suite of Global Intelligence products, which includes the Risk Connector, utilizes AI to offer real-time insights into potential risks within an organization's network of relationships. Dragonfly, another FiscalNote product, will contribute geopolitical intelligence and risk ratings, covering various risk typologies across multiple domains.
The partnership also introduces FiscalNote's Copilot for Global Intelligence, an AI assistant that curates critical information from the company's portfolio of geopolitical and intelligence products. It is designed to support decision-making by providing real-time intelligence and decision support.
According to Andy Markle, Chief Revenue Officer of Empowered Systems, this alliance represents a significant enhancement to their platform, enabling them to offer deeper, actionable insights that protect client operations and strategic interests.
Josh Resnik, President & Chief Operating Officer of FiscalNote, expressed that the partnership aligns with their growth strategy and positions FiscalNote to provide essential insights for critical risk, compliance, and supply chain decisions. He emphasized the importance of accessing reliable intelligence amid escalating global volatility and geopolitical tensions.
In other recent news, FiscalNote Holdings, Inc. has reported a positive start to 2024 with Q1 revenues reaching $32.1 million, marking the third consecutive quarter of adjusted EBITDA profitability. The company's strategic divestiture of Board.org reduced debt by $65 million, strengthening FiscalNote's financial position. In a significant development, FiscalNote has also entered into a distribution partnership with Creolytix to enhance security services for European enterprises.
This partnership will integrate Dragonfly's geopolitical and security intelligence with Creolytix's managed security platform, aiming to bolster risk management capabilities for small to mid-sized companies in the European market. The collaboration follows the recent launch of FiscalNote's Global Intelligence AI Copilot, an AI-powered tool designed to assist customers in navigating geopolitical and regulatory risks.
InvestingPro Insights
In light of FiscalNote Holdings, Inc.'s strategic partnership with Empowered Systems, which aims to enhance risk management offerings, it is crucial to consider FiscalNote's financial health and market performance. A glance at recent InvestingPro data reveals a market capitalization of $188.18 million, suggesting a relatively modest size within the industry. Despite a challenging period, the company has managed to achieve a revenue growth of 11.75% over the last twelve months as of Q1 2024, indicating resilience and potential for scale in its niche market.
Moreover, FiscalNote's gross profit margin stands at an impressive 71.06% for the same period, underscoring the company's ability to maintain profitability in its core operations. This financial metric is particularly relevant given the company's focus on integrating AI into its product offerings, which typically requires substantial investment in technology and development.
However, investors should be aware of the challenges FiscalNote faces. The company's stock has experienced a significant decline over the past month, with a 22.35% drop. This could reflect market sentiment about the company's short-term prospects or broader economic conditions. Additionally, the company's current P/E ratio is at -4, which, coupled with a negative free cash flow yield, suggests that FiscalNote is not expected to be profitable this year, as corroborated by an InvestingPro Tip.
For those considering an investment in FiscalNote, there are 11 additional InvestingPro Tips available that could provide deeper insights into the company's financials and market position. These tips, accessible through the platform, may offer valuable guidance for making informed investment decisions.
As FiscalNote continues to innovate in the realm of risk and compliance solutions, understanding its financial standing and market performance becomes increasingly important for stakeholders and potential investors alike.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.