Slide 1: Q2 2024 Earnings Call Presentation
Q2 2024 Earnings Call Presentation Matt Calkins, Founder & CEO Mark Matheos, CFO
Slide 2: Disclaimer
Disclaimer. In this presentation, we may make statements related to our business that are forward-looking statements under federal securities laws and are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995, including statements related to our financia
Slide 3: Q2 2024 Highlights
Q2 2024 Highlights. Revenue • Cloud subscription revenue was $88.4 million in Q2 2024, representing growth of 19% over Q2 2023. • Subscriptions revenue was $113.0 million in Q2 2024, representing growth of 20% over Q2 2023. • Total revenue was $146.5 million in Q2 2024, representing growth of 15% ov
Slide 4: Cloud Gross Renewal Rate
Cloud Gross Renewal Rate. Q1 Q2 Q3 Q4 2022 99% 99% 99% 99% 99 99%% 2023 98% 98% 97% 98% 2024 99% 99% 4 Calculated as the the percentage of recurring cloud subscription revenue retained from existing customers for the previous trailing 12-month period.
Slide 5: Annualized Recurring Revenue (ARR)
Annualized Recurring Revenue ("ARR"). Total ARR $250K+ ARR Customers Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 '19 '19 '19 '19 '20 '20 '20 '20 '21 '21 '21 '21 '22 '22 '22 '22 '23 '23 '23 '23 '24 '24 '19 '19 '19
Slide 6: Total Revenue
Total Revenue.* $149.8 $146.5 $145.3 $137.1 $130 million $127.7 29.5 32.1 33.5 33.3 6.6 7.3 33.9 7.3 6.5 23.8 26.1 17.2 6.4 20.0 13.0 $65 million 83.1 86.6 88.4 74.4 77.2 $0 million Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Cloud Subscription Revenue On-Premises Subscription Revenue Maintenance and Su
Slide 7: Cloud Subscription Revenue Retention Rate
Cloud Subscription Revenue Retention Rate.* 125% 119% 120% 118% 115% 117% 0% Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 * Calculated by dividing the aggregate recurring cloud subscription revenue in the current trailing 12-month 7 period by the aggregate recurring cloud subscription revenue from the pr
Slide 8: Subscriptions vs. Professional Services Revenues
Subscriptions vs. Professional Services Revenues. IPO (Q2 2017) Q2 2024 Services Subscriptions Services Subscriptions 23% 51% 49% 77% 8
Slide 9: Non-GAAP Gross Margins
Non-GAAP Gross Margins.* Subscriptions Professional Services Overall 89% 89% 91% 90% 89% 78% 76% 75% 75% 73% 30% 30% 28% 26% 25% Q2 Q3 Q4 Q1 Q2 Q2 Q3 Q4 Q1 Q2 Q2 Q3 Q4 Q1 Q2 2023 2023 2023 2024 2024 2023 2023 2023 2024 2024 2023 2023 2023 2024 2024 9 * Margin calculation excludes stock-based compens
Slide 10: Q2 2024 Summary
Q2 2024 Summary. Cloud Subscription Revenue Cloud Subscription Revenue Non-GAAP Overall Gross (USD, in millions) Retention* Margins** 88.4 % 19 74.4 75% 73% 118% Q2 2023 Q2 2024 Q2 2023 Q2 2024 10 * As of June 30, 2024 ** Data excludes stock-based compensation expense and severance costs. Refer to t
Slide 11: Guidance
Guidance. Given on August 1, 2024 (in millions, except for EPS) Q3 2024 Full Year 2024 Cloud Subscription Revenue $89.0 – $91.0 $358.0 – $360.0 Cloud Subscription Revenue Growth YoY 15% – 18% 18% Total Revenue $149.0 – $153.0 $610.0 – $615.0 Total Revenue Increase YoY 9% – 12% 12% – 13% Adjusted EBI
Slide 12: Appendix
Appendix
Slide 13: Balance Sheet
Balance Sheet. As of $ in thousands June 30, 2024 December 31, 2023 Assets (unaudited) Cash and cash equivalents $ 120,787 $ 149,351 Short-term investments and marketable securities 28,345 9,653 Accounts receivable, net of allowance 131,693 171,561 Deferred commissions, current 34,899 34,261 Prepaid
Slide 14: Income Statement
Income Statement. Three Months Ended June 30, Six Months Ended June 30, $ in thousands, except for per share data 2024 2023 2024 2023 (unaudited) Revenue Cloud subscriptions $ 88,428 $ 74,442 $ 175,031 $ 144,134 Term license subscriptions 17,227 12,999 40,998 36,150 Maintenance and support 7,319 6,3
Slide 15: Stock-Based Compensation Expense
Stock-Based Compensation Expense. Three Months Ended June 30, Six Months Ended June 30, $ in thousands 2024 2023 2024 2023 (unaudited) Cost of revenue Subscriptions $ 217 $ 230 $ 430 $ 502 Professional services 1,461 1,472 3,039 3,063 Operating expenses Sales and marketing 1,997 2,772 4,524 5,217 Re
Slide 16: Reconciliation of GAAP to Non-GAAP Measures
Reconciliation of GAAP to Non-GAAP Measures. unaudited, $ in thousands Lease GAAP Stock-Based Litigation JPI Severance Impairment Non-GAAP Measure Compensation Expense Amortization Costs Charges Measure Three Months Ended June 30, 2024 Subscriptions cost of revenue $ 13,262 $ (217) $ — $ — $ — $ — $
Slide 17: Reconciliation of GAAP to Non-GAAP Measures
Reconciliation of GAAP to Non-GAAP Measures. unaudited, $ in thousands Lease GAAP Stock-Based Litigation JPI Severance Impairment Non-GAAP Measure Compensation Expense Amortization Costs Charges Measure Six Months Ended June 30, 2024 Subscriptions cost of revenue $ 25,532 $ (430) $ — $ — $ — $ — $ 2
Slide 18: Reconciliation of GAAP to Non-GAAP Measures
Reconciliation of GAAP to Non-GAAP Measures. unaudited, $ in thousands Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Reconciliation of adjusted EBITDA: GAAP net loss $ (43,592) $ (42,355) $ (76,515) $ (79,184) Other (income) expense, net (1,545) (3,886) 6,662 (6,576) Inte
Slide 19: Reconciliation of GAAP to Non-GAAP Measures
Reconciliation of GAAP to Non-GAAP Measures. The following table reconciles our GAAP gross margin percentage to our non-GAAP gross margin percentage for our overall, subscriptions, and professional services margins. The non-GAAP adjustment represents adding back the margin impact of stock- based com
Slide 20: A Leader in Process Automation
A leader in process automation.