Slide 1: Q1 2019 Earnings Call Presentation
Q1 2019 Earnings Call Presentation Matt Calkins, Founder & CEO Mark Lynch, 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 financial
Slide 3: Q1 2019 Highlights
Q1 2019 Highlights • Raised 2019 Subscription Revenue Guidance • Won seven-figure TCV deals at eight existing customers • Partners contributed 63% of new logos in Q1 and delivered 61% sequential growth in TCV bookings • Appian Guarantee shown to be a differentiator in competitive deals • Revenue • S
Slide 4: Subscription Revenue
Subscription Revenue USD Millions Y/Y Growth in % 33.8 33.6 29.4 27.0 25.5 36% 36% 42% 44% 32% Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 44
Slide 5: Total Revenue
Total Revenue USD Millions 59.9 60.2 59.6 54.9 51.7 26.8 25.1 24.7 24.0 24.7 1.3 1.3 6.0 1.5 1.5 33.8 33.6 27.0 29.4 25.5 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Subscription Revenue Perpetual Software & Support Professional Services *Total revenue may not foot due to rounding 55
Slide 6: Subscription Revenue Retention
Subscription Revenue Retention 125% 119% 119% 117% 117% 116% 0% Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 66
Slide 7: Gross Margins
Gross Margins* Subscriptions, Software, Professional Overall and Support Services 91% 92% 90% 91% 90% 64% 64% 65% 63% 60% 31% 31% 29% 26% 25% Q1 Q2 Q3 Q4 Q1 Q1 Q2 Q3 Q4 Q1 Q1 Q2 Q3 Q4 Q1 2018 2018 2018 2018 2019 2018 2018 2018 2018 2019 2018 2018 2018 2018 2019 *Non-GAAP - Data does not include any
Slide 8: Q1 2019 Highlights
Q1 2019 Highlights Subscription Revenue ($MM) Subscription Overall Gross Margins** Revenue Retention* ints 0 basis po +3 0 th Grow 60% 63% 32 % 33.6 116% 25.5 Q1 2018 Q1 2019 Q1 2018 Q1 2019 *As of March 31, 2019 **Non-GAAP - Data does not include any stock-based compensation expense 8
Slide 9: Guidance
Guidance* In $ Millions except for EPS Q2 2019 FY 2019 Subscription Revenue 36.5 – 36.7 150.5 – 152.0 Subscription Revenue Growth Y/Y 35% - 36% 30% - 31% Total Revenue 63.3 – 63.8 255.0 – 258.0 Total Revenue Growth Y/Y 6% - 7% 13% - 14% Non-GAAP Loss from Operations (11.5) – (11.0) (35.5) – (32.5) N
Slide 10: Appendix
Appendix 10
Slide 11: Balance Sheet
Balance Sheet As of As of March 31, December 31, $ in thous ands 2019 2018 (unaudited) Assets Cash and cash equivalents $ 75,353 $ 94,930 Accounts receivable, net of allowance of $600 81,012 79,383 Deferred commissions, current 15,095 14,020 Other current assets 20,262 21,293 Property and equipment,
Slide 12: Income Statement
Income Statement Three Months Ended March 31, $ in thousands, except for shares 2019 2018 (unaudited) Revenue: Subscriptions, software and support $ 34,909 $ 26,952 Professional services 24,670 24,744 Total revenue 59,579 51,696 Cost of revenue: Subscriptions, software and support 3,585 2,628 Profes
Slide 13: Reconciliation of Non-GAAP Measures
Appian Corporation Reconciliation of Non-GAAP Measures (unaudited) The following table presents a reconciliation of GAAP net loss to non-GAAP net loss for each of the periods indicated: Three Months Ended March 31, $ in thousands, except for shares 2019 2018 Reconciliation of non-GAAP net loss: GAAP
Slide 14: Reconciliation of GAAP operating loss to non-GAAP operating loss
The following table presents a reconciliation of GAAP operating loss to non-GAAP operating loss for each of the periods indicated (unaudited): Three Months Ended March 31, $ in thousands, except for shares 2019 2018 Reconciliation of non-GAAP operating loss: GAAP operating loss $ (17,404) $ (10,247)
Slide 15: ASC 606 – What is Changing?
ASC 606 – What is Changing? We will adopt a modified retrospective approach effective in the 2019 10-K filing. Current Treatment Under ASC 606 Perpetual License Upfront Upfront On-Premises Term License Ratable Upfront SaaS/ Appian Cloud Ratable Ratable Commissions Deferred Deferred 15
Slide 16: Appian
Appian