C3.ai Inc (AI) 2025 Q1 法說會逐字稿

Good day, and thank you for standing by. Welcome to the C3.ai's first quarter fiscal year 2025 conference call. (Operator Instructions) Please be advised that today's conference is being recorded.

美好的一天，感謝您的支持。歡迎參加 C3.ai 2025 財政年度第一季電話會議。 （操作員指示）請注意，今天的會議正在錄製中。

I would now like to hand the conference over to your speaker for today, Amit Berry, you may begin.

現在我想把會議交給今天的發言人阿米特·貝裡，你可以開始了。

Good afternoon, and welcome to C3.ai's earnings call for the first quarter of fiscal year 2025, which ended on July 31, 2024. My name is Amit Berry, and I lead Investor Relations at C3.ai. With me on the call today are Tom Siebel, Chairman and Chief Executive Officer; Ed Abbo, Executive Vice President and Chief Technology Officer; and Hitesh Lath, Chief Financial Officer.

下午好，歡迎參加 C3.ai 於 2024 年 7 月 31 日結束的 2025 財年第一季財報電話會議。今天與我一起參加電話會議的是董事長兼執行長湯姆·西貝爾 (Tom Siebel)； Ed Abbo，執行副總裁兼技術長；和財務長 Hitesh Lath。

After the market closed today, we issued a press release with details regarding our first quarter results, as well as a supplemental to our results, both of which can be accessed through the Investor Relations section of our website at ir.c3.ai. This call is being webcast, and a replay will be available on our IR website following the conclusion of the call.

今天收盤後，我們發布了一份新聞稿，其中詳細介紹了我們第一季的業績以及業績的補充，這兩個內容都可以透過我們網站 ir.c3.ai 的投資者關係部分存取。本次電話會議正在網路直播，電話會議結束後，我們的 IR 網站將提供重播。

During today's call, we will make statements related to our business that may be considered forward-looking under federal securities laws. These statements reflect our views only as of today and should not be considered representative of our views as of any subsequent date. We disclaim any obligation to update any forward-looking statements or outlook.

在今天的電話會議中，我們將發表與我們的業務相關的聲明，根據聯邦證券法，這些聲明可能被視為前瞻性聲明。這些聲明僅反映我們今天的觀點，不應被視為代表我們隨後任何日期的觀點。我們不承擔更新任何前瞻性陳述或展望的義務。

These statements are subject to a variety of risks and uncertainties that could cause actual results to differ materially from expectations. For a further discussion of the material risks and other important factors that could affect our actual results, please refer to our filings with the SEC.

這些陳述受到各種風險和不確定性的影響，可能導致實際結果與預期有重大差異。有關可能影響我們實際結果的重大風險和其他重要因素的進一步討論，請參閱我們向 SEC 提交的文件。

All figures will be discussed on a non-GAAP basis unless otherwise noted. Also during today's call, we will refer to certain non-GAAP financial measures. A reconciliation of GAAP to non-GAAP measures is included in our press release.

除非另有說明，所有數據都將在非公認會計原則的基礎上討論。此外，在今天的電話會議中，我們也將提及某些非公認會計準則財務指標。我們的新聞稿中包含了 GAAP 與非 GAAP 衡量標準的調整表。

Finally, at times in our prepared remarks, in response to your questions, we may discuss metrics that are incremental to our usual presentation to give greater insight into the dynamics of our business or our quarterly results. Please be advised that we may or may not continue to provide this additional detail in the future.

最後，有時在我們準備好的評論中，為了回答您的問題，我們可能會討論對我們通常的演示來說是增量的指標，以便更深入地了解我們的業務動態或季度業績。請注意，我們將來可能會也可能不會繼續提供此附加詳細資訊。

And with that, let me turn the call over to Tom.

接下來，讓我把電話轉給湯姆。

Thank you, Amit. Good afternoon, everyone, and thank you for joining our call today. We are off to a solid start for fiscal year '25. In Q1, we exceeded all expectations for revenue, cash flow and profitability. This quarter marked our sixth consecutive quarter of accelerating revenue growth, reflecting our high levels of customer satisfaction and increasing demand for enterprise AI applications.

謝謝你，阿米特。大家下午好，感謝您今天加入我們的電話會議。我們的 25 財年有了一個好的開始。第一季度，我們超越了收入、現金流和獲利能力的所有預期。本季是我們連續第六個季度營收加速成長，反映出我們的高水準客戶滿意度和對企業人工智慧應用程式日益增長的需求。

Our year-over-year revenue growth has accelerated from 11% in Q1 '24 to 17% in Q2, 18% in Q3, 20% in Q4, and 21% in Q1 year-over-year revenue growth in Q1 of fiscal year '25. Total revenue for the quarter was $87.2 million, exceeding analyst expectations. Subscription revenue was $73.5 million and increased 20% from a year ago. Our non-GAAP gross profit was $60.9 million representing a 70% gross margin.

我們的營收年增從2024 年第一季的11% 加速到第二季的17%、第三季的18%、第四季的20%，以及本財年第一季第一季營收年增的21% '25。該季度總營收為 8,720 萬美元，超出分析師預期。訂閱收入為 7,350 萬美元，比去年同期成長 20%。我們的非 GAAP 毛利為 6,090 萬美元，毛利率為 70%。

Our GAAP operating loss was $72.6 million. Our non-GAAP operating loss was $16.6 million and substantially better than our guidance for a loss of $22 million to $30 million. Our non-GAAP net loss per share was $0.05. Our net cash provided by operating activities was $8 million, and we generated free cash flow of $7.1 million in the quarter, both substantially exceed market expectations. We ended the quarter with over $760 million in cash, cash equivalents, and investments.

我們的 GAAP 營運虧損為 7,260 萬美元。我們的非 GAAP 營業虧損為 1,660 萬美元，大大優於我們指導的 2,200 萬至 3,000 萬美元虧損。我們的非 GAAP 每股淨虧損為 0.05 美元。本季我們經營活動提供的淨現金為 800 萬美元，自由現金流為 710 萬美元，均大幅超出市場預期。本季末，我們擁有超過 7.6 億美元的現金、現金等價物和投資。

I'll note that this is the 15th consecutive quarter as a public company in which we have met or exceeded our revenue guidance. In the first quarter, the company closed 71 agreements, including 72 new pilots marking a 117% year-over-year increase in our pilot count. We entered into new agreements with GSK, Eletrobras, Valero, Swift, SmithRx, Sanofi, the U.S. Intelligence Community, the U.S. Department of Defense, Dolce & Gabbana, Ingersoll Rand, and others.

我要指出的是，作為一家上市公司，這是我們連續第 15 個季度達到或超過了我們的收入指導。第一季度，該公司簽署了 71 份協議，其中包括 72 名新試點，試點數量年增 117%。我們與 GSK、Eletrobras、Valero、Swift、SmithRx、Sanofi、美國情報界、美國國防部、Dolce & Gabbana、Ingersoll Rand 等簽訂了新協議。

Additionally, we significantly expanded our footprint across state and local government. In Q1, the company signed 25 agreements with state and local governments with municipal, county and state agencies in Texas, California, New Jersey, Georgia, Washington and Connecticut, Virginia, Rhode Island, Maine, New Mexico, and Florida. State and local government is a large and underserved market that we're rapidly penetrating.

此外，我們也大幅擴大了在州和地方政府的影響力。第一季度，該公司與德克薩斯州、加利福尼亞州、新澤西州、喬治亞州、華盛頓州和康涅狄格州、弗吉尼亞州、羅德島州、緬因州、新墨西哥州和佛羅裡達州的市、縣和州機構與州和地方政府簽署了25 項協議。州和地方政府是一個巨大且服務不足的市場，我們正在迅速滲透。

Our solutions increase efficiency while maintaining the highest standards for accuracy, transparency, and security. They drive substantial cost savings and the combined benefits result in improved public services and improved customer experience. In short, C3.ai is enabling government agencies to do more with less, ultimately benefiting the public.

我們的解決方案提高效率，同時保持準確性、透明度和安全性的最高標準。它們可大幅節省成本，綜合效益可改善公共服務並改善客戶體驗。簡而言之，C3.ai 使政府機構能夠用更少的資源做更多的事情，最終使公眾受益。

To quote from the Assessor of Riverside County, and I quote, we set the bar high for C3.ai and they deliver with over 90% model accuracy in our property valuations. This technology is letting our staff do the mundane tasks faster and easier so they can concentrate on the very complicated properties. And our employees are starting to see the fruits of this effort translating into better customer service. Overall, we are seeing incredible results with C3.ai, end quote.

引用河濱縣評估員的話（我也引用一下），我們為 C3.ai 設定了很高的標準，他們在我們的房產評估中提供了超過 90% 的模型準確率。這項技術讓我們的員工更快、更輕鬆地完成日常任務，這樣他們就可以專注於非常複雜的房產。我們的員工開始看到這項努力的成果轉化為更好的客戶服務。總的來說，我們看到 C3.ai 取得了令人難以置信的結果，結束引用。

The proven benefits of C3.ai state local government suite, combined with our partner supported and concentrated sales strategy resulted in accelerated sales cycle within the sector. The growth was fueled by a highly, collaborative joint sales and marketing campaign with C3.ai and Google Cloud to promote the C3.ai state and local government suite, including C3.ai property appraisal and C3 Generative AI for public benefits. Through these efforts, we saw high adoption with state and local government closing 24 agreements in the quarter.

C3.ai 州地方政府套件經過驗證的優勢，加上我們合作夥伴支持的集中銷售策略，加速了該行業的銷售週期。這一增長得益於與C3.ai 和Google Cloud 開展的高度協作的聯合銷售和營銷活動，以推廣C3.ai 州和地方政府套件，包括用於公共利益的C3.ai 財產評估和C3 Generative AI 。透過這些努力，我們看到州和地方政府在本季度達成了 24 項協議，並得到了高度採用。

Let me give you a feel for the speed of these sales cycles. In Q1, we closed an agreement with a county in the Northwestern United States. County decision makers got introduced to C3.ai at an industry conference and within 24 hours, we were in contract negotiations. Just 12 hours later, we were in contract for C3.ai property appraisal.

讓我讓您感受一下這些銷售週期的速度。第一季度，我們與美國西北部的一個縣達成了一項協議。縣決策者在一次行業會議上了解到 C3.ai，24 小時內，我們就開始了合約談判。僅僅12小時後，我們就簽訂了C3.ai房產評估合約。

Another example is with a country in the Southeast US. This customer attended our Annual Users Group Conference, C3 Transform in March of 2024. Then four weeks later, we held an executive briefing for the county leadership. And now after three months of contract discussion, the county has signed a seven-year -- seven-figure, five-year subscription deal for C3.ai property appraisal.

另一個例子是美國東南部的一個國家。這位客戶於 2024 年 3 月參加了我們的年度用戶小組會議 C3 Transform。現在，經過三個月的合約討論，該縣簽署了一份為期七年、七位數、五年的 C3.ai 財產評估認購協議。

Our state and local business has grown more than 500% year-over-year, and we are excited about the traction, the potential for expansion, and the customer advocacy for C3.ai. As we now take these public sector solutions to market in Europe, the addressable market more than doubles.

我們的州和地方業務年增超過 500%，我們對 C3.ai 的吸引力、擴張潛力和客戶擁護感到興奮。當我們現在將這些公共部門解決方案推向歐洲市場時，潛在市場增加了一倍以上。

Turning to the C3.ai federal business, this sector continues to experience sustained momentum, representing over 30% of our bookings for the quarter. We entered in new and expansion agreements with the United States Air Force, the U.S. Navy, U.S. Marine Corp, and the U.S. Intelligence Community among others. These agencies trust C3.ai to provide secure and innovative applications that help them modernize.

談到 C3.ai 聯邦業務，該部門繼續保持持續成長勢頭，佔本季預訂量的 30% 以上。我們與美國空軍、美國海軍、美國海軍陸戰隊和美國情報界等簽訂了新的和擴展的協議。這些機構相信 C3.ai 能夠提供安全且創新的應用程式來幫助他們現代化。

The U.S. Marine Corp and C3.ai continued the successful collaboration to digitally transform the branch's legacy software systems. The Marine Corps is using the C3.ai Defense and Intelligence Suite to improve the efficiency of personnel management systems by accelerating critical processes and time-to-decision support. This work with C3.ai is backed by Manpower IT Systems Modernization program and aligns with the Marine Corps multiyear roadmap and goals.

美國海軍陸戰隊和 C3.ai 繼續成功合作，對分公司的遺留軟體系統進行數位化改造。海軍陸戰隊正在使用 C3.ai 防禦和情報套件，透過加速關鍵流程和決策支援來提高人員管理系統的效率。與 C3.ai 的這項合作得到了 Manpower IT 系統現代化計劃的支持，並符合海軍陸戰隊的多年路線圖和目標。

C3.ai's customer base continues to expand, both within and across industries, while maintaining exceptional levels of customer satisfaction by our continued focus on delivering measurable, significant enterprise value.

C3.ai 的客戶群在產業內和跨產業不斷擴大，同時透過我們持續專注於提供可衡量的、重要的企業價值來維持卓越的客戶滿意度。

At Eletrobras, the largest power generation transmission company in Latin America, we partnered to enhance their grid resiliency and availability. Brazil's grid is among the world's most complex due to its diverse generation profile, variability, expansive service territory, and challenging regulatory environment. With C3.ai, Eletrobras can effectively and efficiently process and analyze real time data servicing low latency AI insights to mitigate network disturbances.

在拉丁美洲最大的發電傳輸公司 Eletrobras，我們合作增強了其電網的彈性和可用性。巴西的電網因其多樣化的發電概況、可變性、廣泛的服務範圍和具有挑戰性的監管環境而成為世界上最複雜的電網之一。透過 C3.ai，Eletrobras 可以有效且有效率地處理和分析即時數據，提供低延遲人工智慧見解，以減輕網路幹擾。

Nucor Corporation is seeing significant success in improving manufacturing outcomes with the C3.ai Supply Chain Suite. This deployment includes three distinct C3.ai applications: C3.ai Demand Forecasting; C3.ai Inventory Optimization; and C3.ai Production Schedule Optimization, working together to support and optimize daily decision making across multiple facilities.

紐柯公司在利用 C3.ai 供應鏈套件改善製造成果方面取得了巨大成功。此部署包括三個不同的 C3.ai 應用程式：C3.ai 需求預測； C3.ai庫存優化；和 C3.ai 生產計劃優化，共同支援和優化多個設施的日常決策。

As we enter Q2, we are focused on expanding sales capacity, expanding in North America, expanding in Europe and expanding in the public sector. Our partner network continues to generate opportunities and open new deal flow. We had a very active first quarter in alliances, working closely with our partners to close 51 new agreements. Net-net 72% of our total agreements were closed with and through our partner ecosystem. This was an increase of 155% year-over-year and 82% quarter-over-quarter.

進入第二季度，我們的重點是擴大銷售能力，在北美擴張，在歐洲擴張，在公共部門擴張。我們的合作夥伴網路不斷創造機會並開啟新的交易流。第一季我們的聯盟非常活躍，與合作夥伴密切合作，達成了 51 項新協議。我們總協議中的 72% 是透過我們的合作夥伴生態系統達成的。年增 155%，季增 82%。

Our partner supported bookings grew 94% year-over-year and our activity levels with our partners that include AWS, Booz Allen, Google Cloud, and Microsoft continues to increase substantially. In the first quarter, we closed 40 agreements with Google Cloud. This is an increase of 300% year-over-year. This growth was largely driven by the joint campaign between C3.ai and Google Cloud that I just discussed earlier, focused on the public sector.

我們的合作夥伴支援的預訂量年增 94%，我們與 AWS、Booz Allen、Google Cloud 和 Microsoft 等合作夥伴的活動水準持續大幅成長。第一季度，我們與 Google Cloud 達成了 40 項協議。這同比增長了 300%。這一增長主要是由我之前討論過的 C3.ai 和 Google Cloud 之間的聯合活動推動的，該活動重點關注公共部門。

C3.ai continues to be an attractive partner for the hyperscalers as our 90 enterprise AI applications rapidly drive substantial workload in their compute and storage clouds, while adding immediate value to our joint customers. As you can see from our supplemental deck, our bookings continue to be increasingly diverse. Our generative AI business is surprisingly diverse with many candidly, unanticipated use cases across the board in a wide range of industries. In addition, our total non-Baker Hughes revenue grew 37% year-over-year in Q1.

C3.ai 仍然是超大規模企業極具吸引力的合作夥伴，因為我們的90 個企業人工智慧應用程式迅速推動了其運算和儲存雲中的大量工作負載，同時為我們的共同客戶增加了直接價值。正如您從我們的補充甲板上看到的，我們的預訂繼續變得越來越多樣化。我們的生成式人工智慧業務非常多樣化，在各個行業都有許多坦率的、意想不到的用例。此外，第一季我們的非貝克休斯總營收年增 37%。

Now, I'll hand it over to Ed for an update on our products and generative AI. Ed?

現在，我將把它交給 Ed，以更新我們的產品和生成式人工智慧。艾德？

Thank you, Tom. Let me first recap where C3.ai fits in the AI tech stack. Starting at the bottom, the four layers include silicon, cloud infrastructure, foundation models, and at the top, harnessing all this innovation to deliver business value our AI applications. This is where C3.ai plays with pre-built AI applications that can be deployed very quickly.

謝謝你，湯姆。讓我先回顧一下 C3.ai 在人工智慧技術堆疊中的位置。從底部開始，這四個層包括晶片、雲端基礎設施、基礎模型，而在頂部，利用所有這些創新來為我們的人工智慧應用程式提供商業價值。這就是 C3.ai 使用可以快速部署的預先建置 AI 應用程式的地方。

In contrast, the offerings you're seeing in the AI software market today fall into two distinct categories. First, legacy software companies that are scrambling to keep up with AI. To try to stay relevant, these companies are rebranding their 20th century software stacks with AI on the box. The technical depth to rewrite their software to take advantage of a modern, scalable AI tech stack is simply insurmountable. For them, AI is just a bolt-on constrained to a small fraction of the enterprise data managed by their legacy software.

相比之下，您今天在人工智慧軟體市場上看到的產品分為兩個不同的類別。首先，傳統軟體公司正爭先恐後地跟上人工智慧的腳步。為了保持與時俱進，這些公司正在用人工智慧重塑他們 20 世紀的軟體堆疊。重寫軟體以利用現代、可擴展的人工智慧技術堆疊的技術深度是難以逾越的。對他們來說，人工智慧只是一個附加元件，僅限於由其遺留軟體管理的一小部分企業資料。

Second, we see a few more modern software companies that were designed primarily for data integration, data management, or data engineering not claiming to be enterprise AI platforms to build and operate AI applications. Basing an enterprise AI application plan on these incomplete tech stacks requires customers to undertake significant, protracted software development projects where minimal customer value is realized. This is clearly reflected in the customer satisfaction scores of these vendors.

其次，我們看到一些主要為數據整合、數據管理或數據工程而設計的現代軟體公司，並不聲稱自己是構建和運營人工智慧應用程式的企業人工智慧平台。將企業人工智慧應用計畫建立在這些不完整的技術堆疊上，需要客戶承擔重大、曠日持久的軟體開發項目，而實現的客戶價值卻微乎其微。這清楚地反映在這些供應商的客戶滿意度分數中。

The C3.ai platform is unique and that it was a clean sheet design, providing all the services necessary and sufficient to design, develop, provision, and operate real-world enterprise AI solutions. This provides users with rich workflow enabled AI applications operating on an application platform with advanced data fusion and governance and scalable AI/ML operations capabilities. We leverage all layers of the AI tech stack, silicon, cloud infrastructure services, and foundation models. The C3.ai platform was purpose built and hardened over 15 years to rapidly deliver robust customer AI applications.

C3.ai 平台是獨一無二的，它是一個全新的設計，提供設計、開發、提供和經營實際企業人工智慧解決方案所需的所有必要和充分的服務。這為用戶提供了豐富的工作流程支援的人工智慧應用程序，該應用程式在具有先進數據融合和治理以及可擴展的人工智慧/機器學習操作功能的應用程式平台上運行。我們利用人工智慧技術堆疊、晶片、雲端基礎設施服務和基礎模型的所有層。 C3.ai 平台經過 15 年專門建置和強化，旨在快速交付強大的客戶 AI 應用程式。

Now let me take a moment to unpack what we mean by pre-built applications as this is a key differentiator for C3.ai. As a customer, if you buy a pre-built application, you don't need to define what the application does, design and develop the ontology, the business logic, the AI or GenAI model pipelines, or the user interface. We've done all that.

現在讓我花點時間來解釋預先建立應用程式的含義，因為這是 C3.ai 的關鍵區別。作為客戶，如果您購買預先建置的應用程序，則無需定義應用程式的用途，也無需設計和開發本體、業務邏輯、AI 或 GenAI 模型管道或使用者介面。我們已經做到了這一切。

C3.ai pre-built applications are tried, tested, and proven in the market, so the application can be rapidly configured to the customer data sources. AI/ML models tuned to customers' data and the user interface tuned for the customer. This allows customers to quickly configure, deploy, onboard, and train users, scale out across their enterprise and rapidly realize enterprise value.

C3.ai 預先建置的應用程式經過市場的嘗試、測試和驗證，因此該應用程式可以快速配置到客戶資料來源。根據客戶資料調整的 AI/ML 模型和針對客戶調整的使用者介面。這使客戶能夠快速配置、部署、入職和培訓用戶，在整個企業範圍內橫向擴展並快速實現企業價值。

Let me give you an example. Holcim, which is a large global building solutions manufacturer scaled out C3.ai reliability, our pre-built AI-based predictive maintenance application to most of its plants in just eight months after a successful pilot. The application monitors several hundred critical plant assets such as vertical roller mills and ball mills to accurately predict potential problems well in advance of failure.

讓我舉個例子。 Holcim 是一家大型全球建築解決方案製造商，在試點成功後的短短八個月內，就將C3.ai 可靠性（我們預先建立的基於人工智慧的預測性維護應用程式）擴展到了其大多數工廠。該應用程式監控數百個關鍵工廠資產，例如立式輥磨機和球磨機，以便在發生故障之前準確預測潛在問題。

It does so by continuously ingesting data from over 9,500 sensors and other systems and analyzes those data using 850 machine learning models. The C3.ai reliability application allows Holcim to avoid significant operational disruptions and high cost remediations.

為此，它不斷從 9,500 多個感測器和其他系統中獲取數據，並使用 850 個機器學習模型分析這些數據。 C3.ai 可靠性應用程式使 Holcim 能夠避免嚴重的營運中斷和高成本的補救措施。

Today, we have pre-built AI applications with turnkey ontologies that address entire value chains across industry verticals. These applications don't operate in silos. They're designed and built to work in concert, all running on the C3.ai platform. Each new application can deploy faster than the last, thanks to the ability to reuse data integrations, ontologies, AI/ML pipelines, workflows, and user interface components.

如今，我們已經預先建立了具有交鑰匙本體的人工智慧應用程序，可以解決跨行業垂直的整個價值鏈。這些應用程式不會在孤島中運作。它們的設計和建造是為了協同工作，全部在 C3.ai 平台上運行。由於能夠重複使用資料整合、本體、AI/ML 管道、工作流程和使用者介面元件，每個新應用程式的部署速度都比上一個應用程式更快。

And as more C3.ai applications are deployed, enterprises accrue business benefits faster and the pace of their AI transformation accelerates. We also offer a suite of pre-built and extensible C3 Generative AI applications that can be used as standalone solutions or deployed alongside other C3.ai applications. This quarter, we deployed C3 Generative AI for industrial asset inspections at a large manufacturer.

隨著更多C3.ai應用程式的部署，企業更快獲得商業效益，人工智慧轉型的步伐也加快。我們還提供一套預先建置且可擴展的 C3 生成式 AI 應用程序，可用作獨立解決方案或與其他 C3.ai 應用程式一起部署。本季度，我們在一家大型製造商部署了 C3 Generative AI 用於工業資產檢查。

This application unifies data across unstructured inspection reports and structured data on asset performance, such as risk reports, corrosion analysis, work orders, et cetera , which makes these data easily and quickly accessible to plant operators. Some of these inspection reports include scans of handwritten text and engineering diagrams that are over 50 years old. Using this application, the company has been able to streamline the day-to-day work of inspectors, reduce costly operational mistakes and risk, and accelerate their turnaround efforts and time.

該應用程式統一了非結構化檢查報告中的數據和資產性能的結構化數據，例如風險報告、腐蝕分析、工單等，這使得工廠操作員可以輕鬆快速地存取這些數據。其中一些檢查報告包括已有 50 多年歷史的手寫文字和工程圖表的掃描件。使用此應用程序，該公司能夠簡化檢查員的日常工作，減少代價高昂的操作錯誤和風險，並加快週轉工作和時間。

In Q1, we launched C3 Generative AI for government programs, which has an immense potential -- which has immense potential for federal, state or local government agencies by eliminating service delays, reducing wait times, enhancing the effectiveness of contact centers, and improving the citizen experience. We've already signed a pilot with a state on the US East Coast and look forward to supporting public sector agencies across the board.

在第一季度，我們為政府專案推出了C3 生成式人工智慧，該專案具有巨大的潛力——透過消除服務延遲、減少等待時間、增強聯絡中心的效率以及改善服務質量，對聯邦、州或地方政府機構來說具有巨大的潛力。我們已經與美國東海岸的一個州簽署了試點協議，並期待全面支持公共部門機構。

It's important to understand that the C3 Generative AI applications are unique in the market. We provide the ability to interact with omni modal data i.e., structured sensor data databases, unstructured documents, images, embedded tables, leverage any LLM available in the market, for example, GPT-4o, Gemini, Claude, Llama, Mistral, to name a few, and multiple specialized LLMs in the same application, offering full source traceability for both structured and unstructured data and granular enterprise access controls.

重要的是要了解 C3 生成式人工智慧應用程式在市場上是獨一無二的。我們提供與全模態資料互動的能力，即結構化感測器資料資料庫、非結構化文件、圖像、嵌入式表格，利用市場上可用的任何 LLM，例如 GPT-4o、Gemini、Claude、Llama、Mistral 等同一應用程式中的幾個和多個專業法學碩士，為結構化和非結構化資料以及精細的企業存取控制提供完整的來源可追溯性。

We also provide tools to enable data scientists to tune system responses for high accuracy in production with minimal hallucination, perform chain of thought, reasoning, author and execute mathematical functions, offer state-of-the-art LLM guardrails and protections, and orchestrate and chain together AI agents to perform high value tasks. For example, to initiate workflows or right summaries.

我們還提供工具，使資料科學家能夠在生產中調整系統響應以實現高精度，同時將幻覺降至最低，執行思維鏈、推理、編寫和執行數學函數，提供最先進的LLM 護欄和保護，並編排和執行將人工智慧代理連結在一起來執行高價值任務。例如，啟動工作流程或正確摘要。

We provide out-of-the-box pipelines to synthesize results across AI agents, automatically detect and surfacing consistencies in underlying data, capture engine logs for auditability and traceability, provide tools for our customers, developers, and data scientists to configure their own custom generative AI pipelines, and offer fine tuning services for embedding models and LLMs. C3 Generative AI is also unique in its enterprise-grade support for operating in highly secure air-gap environments. This is a prerequisite for defense intelligence and financial services customers.

我們提供開箱即用的管道來綜合人工智慧代理的結果，自動檢測和顯示底層數據的一致性，捕獲引擎日誌以實現可審計性和可追溯性，為我們的客戶、開發人員和數據科學家提供工具來配置他們自己的自訂生成式人工智慧管道，並為嵌入模型和法學碩士提供微調服務。 C3 Generative AI 的獨特之處還在於其企業級支援在高度安全的氣隙環境中運作。這是國防情報和金融服務客戶的先決條件。

I'll now turn it over to Hitesh to cover the financials.

我現在將把它交給 Hitesh 來負責財務事宜。

Thank you, Ed. I will now provide a recap of our financial results and additional color on our business. All figures are non-GAAP unless otherwise noted. As Tom mentioned, total revenue for the quarter increased 21% year-over-year to $87.2 million. Subscription revenue increased 20% year-over-year to $73.5 million, representing 84% of total revenue.

謝謝你，艾德。現在，我將回顧我們的財務業績，並對我們的業務進行更多介紹。除非另有說明，所有數據均非公認會計原則。正如 Tom 所提到的，該季度的總收入年增 21% 至 8,720 萬美元。訂閱收入年增 20%，達到 7,350 萬美元，佔總營收的 84%。

As a reminder, our subscription revenue is comprised primarily of software licenses, Software-as-a-Service offerings, stand-ready CoE support services, pilots and trials of our C3.ai applications or generative AI, and consumption based pricing for which revenue is recognized over time.

提醒一下，我們的訂閱收入主要包括軟體授權、軟體即服務產品、現成的 CoE 支援服務、我們的 C3.ai 應用程式或生成式 AI 的試點和試驗，以及基於消費的定價，其中收入隨著時間的推移被認可。

Our subscription revenue also includes revenue from software licenses for which ongoing maintenance and support is not required. And in accordance with ASC 606, the revenue is recognized when the license is made available to the customer.

我們的訂閱收入還包括不需要持續維護和支援的軟體授權收入。根據 ASC 606，收入在向客戶提供許可證時確認。

Professional services revenue was $13.7 million. This represents 16% of total revenue in the first quarter of fiscal '25 as compared to 15% of total revenue in the first quarter of fiscal '24. We expect the professional services revenue to generally stay within 10% to 20% of total revenue for fiscal '25. Gross profit for the quarter was $60.9 million and gross margin was 70%. Gross margin for professional services remained high at over 90%.

專業服務收入為 1,370 萬美元。這佔 25 財年第一季總營收的 16%，而 24 財年第一季總營收的 15%。我們預計 25 財年專業服務收入將整體維持在總收入的 10% 至 20% 以內。該季度毛利為 6,090 萬美元，毛利率為 70%。專業服務毛利率維持在90%以上的高點。

Operating loss for the quarter was $16.6 million. Our operating loss was better than guidance due to continued focus on expense management. Our net cash provided by operating activities was $8 million. Free cash flow for the quarter was positive $7.1 million. We were able to generate positive free cash flow during the quarter because of continued focus on cash management.

該季度營運虧損為 1,660 萬美元。由於持續關注費用管理，我們的經營虧損優於指導。我們的經營活動提供的淨現金為 800 萬美元。該季度的自由現金流為正 710 萬美元。由於持續關注現金管理，我們能夠在本季產生正的自由現金流。

We continue to be very well capitalized and closed the quarter with $762.5 million in cash, cash equivalents, and marketable securities, an increase of $12.2 million compared to Q4. At the end of Q1, our accounts receivable balance was $140.1 million, including unbilled receivables of $81.5 million. Total allowance for bad debt remains de minimis at less than $400,000, and we do not have concerns regarding collections. The general health of our accounts receivable remains strong.

我們的資本狀況依然良好，本季末現金、現金等價物和有價證券為 7.625 億美元，比第四季增加了 1,220 萬美元。第一季末，我們的應收帳款餘額為 1.401 億美元，其中未開立發票應收帳款為 8,150 萬美元。壞帳準備金總額仍低於 40 萬美元，而且我們不擔心收款問題。我們的應收帳款整體健康狀況依然強勁。

During the first quarter, we signed 52 pilots, 117% increase from last year and up 53% from last quarter. At quarter end, we had cumulatively signed 224 pilots, of which 191 are still active. This means they are either in their original three to six month term or extended for some duration or converted to a subscription or consumption contract or are currently being negotiated for conversion to subscription or consumption contracts.

第一季度，我們簽署了 52 個試點項目，比去年成長 117%，比上季度成長 53%。截至季度末，我們已累計簽約 224 名飛行員，其中 191 名仍然活躍。這意味著它們要么處於原來的三到六個月期限，要么延長一段時間，要么轉換為訂閱或消費合同，或者目前正在協商轉換為訂閱或消費合同。

We continue to expect short-term pressure on our gross margins due to higher mix of pilots, which carry a greater cost of revenue during the pilot phase of the customer life cycle. We also expect short-term pressure on our operating margin due to additional investments we are making in our business, including in our salesforce, research and development, and marketing spend.

我們仍然預計，由於試點組合的增加，我們的毛利率將面臨短期壓力，這在客戶生命週期的試點階段帶來了更大的收入成本。我們也預計，由於我們對業務進行額外投資，包括銷售人員、研發和行銷支出，我們的營運利潤率將面臨短期壓力。

As we continue to make significant investments in the business, we expect to be free cash flow negative for Q2 and Q3, but remain on track to be free cash flow positive for Q4 and also for the full fiscal year '25.

隨著我們繼續對該業務進行重大投資，我們預計第二季和第三季的自由現金流將為負值，但第四季以及整個 25 財年的自由現金流仍有望實現正值。

Now I'll move on to our guidance for the next quarter. Our revenue guidance for Q2 is going to be $88.6 million to $93.6 million. We are maintaining our previous guidance of $370 million to $395 million for fiscal '25. This implies a year-over-year growth rate of 19% to 27%, making C3.ai one of the fastest growing companies in the software public company universe. Our guidance for non-GAAP loss from operations for Q2 is $26.7 million to $34.7 million. We are maintaining our previous guidance of $95 million to $125 million for fiscal '25.

現在我將繼續討論下一季的指導。我們對第二季的營收指引為 8,860 萬美元至 9,360 萬美元。我們維持先前 25 財年 3.7 億至 3.95 億美元的指引。這意味著同比增長率為 19% 至 27%，使 C3.ai 成為軟體上市公司領域中成長最快的公司之一。我們對第二季非 GAAP 營運虧損的指引為 2,670 萬美元至 3,470 萬美元。我們維持先前 25 財年 9,500 萬至 1.25 億美元的指引。

Now I'd like to turn the call back over to Tom.

現在我想把電話轉回給湯姆。

Thank you, Hitesh. Let me address path to profitability. Our cost of goods sold is substantially less than our cost of generating revenue. And as such, C3.ai is a structurally profitable business. Our year-over-year revenue growth in Q1 was 21% and accelerating. Our year-over-year expense growth rate was 12%. In the coming years, we expect our revenue to generally grow at a greater rate than our expense growth rate.

謝謝你，希特什。讓我談談盈利之路。我們的銷售成本大大低於我們的創收成本。因此，C3.ai 是一項結構性盈利的業務。我們第一季的營收年增 21%，並且還在加速成長。我們的費用年增率為 12%。未來幾年，我們預期收入成長速度將普遍高於支出成長速度。

It follows that non-GAAP profitability is now simply a function of scale. While we continue to invest in market share, we believe our revenue growth rates would generally exceed our expense growth rates. The expense and revenue lines will converge, crossing over to consistent non-GAAP profitability. At this time, we expect to be cash flow positive in Q4 fiscal year '25 and for the entire year of fiscal year '25.

由此可見，非公認會計準則獲利能力現在只是規模的函數。在我們繼續投資市場份額的同時，我們相信我們的收入成長率通常會超過我們的費用成長率。費用和收入線將趨同，實現一致的非公認會計準則獲利能力。目前，我們預計 25 財年第四季以及 25 財年全年現金流將為正值。

Now let's talk about kind of the general area of the -- I want to talk about the general enterprise AI market, and I want to talk about customer success. In C3.ai, we really are partners to our customers, often on speed dial, engaging with them multiple times a day to make them successful and self-sufficient.

現在讓我們談談一般領域—我想談談一般企業人工智慧市場，我想談談客戶成功。在 C3.ai，我們確實是客戶的合作夥伴，通常透過快速撥號，每天與他們多次互動，使他們成功並自給自足。

We're not working from home, we are out there on the site with our customers every day, every week. We sit shoulder to shoulder, and we get into the details of their business to make sure that everything is running smoothly as it relates to their enterprise AI applications.

我們不是在家工作，我們每天、每週都在現場與客戶一起工作。我們肩並肩坐著，深入了解他們的業務細節，以確保與他們的企業人工智慧應用程式相關的一切順利運作。

We hold weekly executive reviews to track progress at the highest levels. This proactive, boots-on-the-ground approach is what drives the customer satisfaction reflected in our net promoter scores. This commitment to close hands on collaboration is demonstrated in our partnership with Shell. Shell has over 100 C3.ai applications in development and deployment for everything from asset integrity to production optimization.

我們每週舉行一次高階主管審查，以追蹤最高層的進展。這種積極主動、腳踏實地的方法推動了客戶滿意度的提升，並反映在我們的淨推薦值中。我們與殼牌的合作關係體現了這種密切合作的承諾。殼牌擁有超過 100 個 C3.ai 應用程式正在開發和部署，涉及從資產完整性到生產優化的各個方面。

We started working with Shell initially unpredicted maintenance back in 2018. And now they monitor over 15,000 pieces of equipment with C3.ai. They estimate that this program alone generate, this whole C3.ai program that they have written large as they call Shell AI, is generated annual benefit to Shell of $2 billion and we're not done. We continue to collaborate expanding into new use cases, including some service reservoir management and oil condition monitoring. These applications, we expect to be all scaled out across multiple assets.

我們早在 2018 年就開始與殼牌合作進行意外維護。他們估計，僅靠這個程序，他們編寫的整個 C3.ai 程式（他們稱之為 Shell AI）每年就能為 Shell 帶來 20 億美元的收益，而且我們還沒有完成。我們繼續合作擴展到新的用例，包括一些服務油藏管理和油況監測。我們希望這些應用程式能夠跨多個資產進行擴展。

This approach is also evident in our work with Con Edison. We began our partnership with Con Ed in 2017, initially focusing on the Advanced Metering Infrastructure project. This is a project that enhances the operational efficiency, public safety, and customer satisfaction of their smart grid infrastructure, and it continues to scale. Annual cost reduction uncovered is over [$45 million]. The project is exceeding expectations with a projected benefit of more than $3.2 billion over 20 years, $500 million more than originally projected.

這種方法在我們與聯合愛迪生公司的合作中也很明顯。我們於 2017 年開始與 Con Ed 合作，最初專注於高階計量基礎設施專案。該項目旨在提高智慧電網基礎設施的營運效率、公共安全和客戶滿意度，並且還在擴大規模。每年節省的成本超過[4500萬美元]。該項目超出預期，預計 20 年內效益將超過 32 億美元，比最初預計多 5 億美元。

Now Con Ed is deploying generative AI for meter management and asset mapping, which addresses billing discrepancies and reduces mis mappings on the electric grid and reduces cost and increases customer satisfaction. Customer success is at the core of why we built this company.

現在，聯合愛迪生正在部署生成式人工智慧來進行電錶管理和資產映射，這可以解決計費差異、減少電網錯誤映射、降低成本並提高客戶滿意度。客戶成功是我們創建這家公司的核心。

Now, take a moment here and think, back. For those of you who've been around for a few decades, and they kind of are in touch with what's going on with people. C3.ai is the original enterprise AI company, hard stop. We began C3.ai in January of 2009, think about that it, with the vision to develop a software platform and enterprise applications that'd allow organizations to exploit, what we believe, would be the computing platform of the future. And that included elastic cloud computing, the Internet of Things, big data, and predictive analytics.

現在，花點時間回想一下。對於那些已經存在了幾十年的人來說，他們有點了解人們正在發生的事情。 C3.ai是原創企業級AI公司，很難停下來。我們在 2009 年 1 月開始創建 C3.ai，想一想，我們的願景是開發一個軟體平台和企業應用程序，讓組織能夠利用我們相信的未來計算平台。其中包括彈性雲運算、物聯網、大數據和預測分析。

And we did this during the depth of the AI winter. This was well before the advent of the GPU, before Azure existed, before GCP existed, and when AWS was nascent. We invested into thousands of personal users in over a decade, building the C3.ai platform, the first reference architecture, platform architecture for enterprise AI, hard stop, at the first.

我們在人工智慧嚴冬期間做到了這一點。那是在 GPU 出現之前、Azure 出現之前、GCP 出現之前以及 AWS 剛誕生之前。我們在十多年來投資了數千個個人用戶，建構了C3.ai平台，第一個參考架構，企業人工智慧的平台架構，硬停止，首先。

And over -- and today, now over 90 C3.ai enterprise applications that address the value chains of energy, government, defense, manufacturing, financial services, agribusiness, pharma, and others. We deploy these applications today in Europe, Asia, South America, North America, okay, and in governments around the world.

如今，已有 90 多個 C3.ai 企業應用程式解決了能源、政府、國防、製造、金融服務、農業綜合企業、製藥等領域的價值鏈問題。我們今天在歐洲、亞洲、南美、北美以及世界各地的政府部署了這些應用程式。

Now 15 years late, the Elastic Cloud, the Internet of Things, big data, and predictive analytics have become ubiquitous. Enterprise AI is broadly recognized as one of the largest and fastest growing markets in the history of enterprise software. It is a mandate for every corporate and government leader today to harness the power of enterprise AI, and C3.ai is extraordinarily well positioned to serve this large and rapidly growing market demand.

15 年過去了，彈性雲、物聯網、大數據和預測分析已經變得無所不在。企業人工智慧被廣泛認為是企業軟體史上最大、成長最快的市場之一。如今，利用企業人工智慧的力量是每個企業和政府領導者的使命，而 C3.ai 非常有能力滿足這龐大且快速成長的市場需求。

C3.ai is today one of the fastest growing companies in the public software universe. And most importantly, in this current cacophony of AI market hype, C3.ai is achieving among the highest levels of customer satisfaction for value realized in the enterprise software world.

C3.ai 如今是公共軟體領域發展最快的公司之一。最重要的是，在當前人工智慧市場炒作的喧囂聲中，C3.ai 在企業軟體領域實現的價值實現了最高水準的客戶滿意度。

I refer you to our earnings supplemental deck today, okay, where we're showcasing, okay, C3.ai's Net Promoter Scores, benchmarking C3.ai against other leading enterprise software companies, many of which prefer to be, about all of which purport to be AI companies. And this report is published by a third-party called Comparably.

我今天向您推薦我們的收益補充資料，好吧，我們在其中展示了C3.ai 的淨推薦值，將C3.ai 與其他領先的企業軟體公司進行基準測試，其中許多公司更願意這樣做，所有這些都聲稱成為人工智慧公司。這份報告是由一家名為Comparously的第三方機構發布的。

The bottom line is, our enterprise software companies are the most satisfied in the software industry, consistently driving unmatched value from our solutions. Achieving this level of customer satisfaction doesn't just happen, it is the result of relentless dedication, unwavering commitment, a thorough understanding of our customer needs, superior software technology, and deep, deep expertise in enterprise AI, honed over many years of excellence.

最重要的是，我們的企業軟體公司是軟體產業中最滿意的，不斷從我們的解決方案中創造無與倫比的價值。達到這種程度的客戶滿意度並不是偶然的，而是不懈的奉獻、堅定不移的承諾、對客戶需求的透徹理解、卓越的軟體技術以及企業人工智慧方面深厚的專業知識（經過多年的卓越磨練）的結果。

In the final analysis, customer value realized will be the only criteria that will determine the leader in enterprise AI and C3.ai is exactly on track.

歸根究底，實現的客戶價值將是決定企業人工智慧領導者的唯一標準，而 C3.ai 正是走在正軌上。

Now, I'd like to turn this over to the operator to begin our Q&A session. Thank you, all.

現在，我想將其轉交給操作員以開始我們的問答環節。謝謝大家。

Patrick Walravens, Citizens JMP.

Patrick Walravens，公民 JMP。

Great. Thank you very much and congratulations. Hey, Tom. Can you start out by just sort of characterizing what the tone of business was like for you guys in Q1? And specifically, I'm looking at your deal band chart, where you had 71 deals and the average TCV is $700,000. So if you multiply those together, you get like almost $50 million, which is up a lot. So just if you could just comment on the tone of business, that would be great.

偉大的。非常感謝並祝賀。嘿，湯姆。您能否先描述一下你們在第一季的業務基調？具體來說，我正在查看您的交易範圍圖表，其中您有 71 筆交易，平均 TCV 為 700,000 美元。因此，如果將它們相乘，您將獲得近 5000 萬美元，這已經增加了很多。因此，如果您能對業務基調發表評論，那就太好了。

Pat, well, it's pretty wild out there. I mean, I would say, particularly with the advent of generative AI. I mean I think it's very difficult for people who are assessing these companies to really understand the complexity of what's going on in the AI market, where we have 41 different flavors of enterprise AI, we have these generative AI applications that go from very kind of small, low-priced use cases to very high priced -- high-value use cases.

帕特，嗯，外面很狂野。我想說的是，尤其是隨著生成式人工智慧的出現。我的意思是，我認為評估這些公司的人很難真正理解人工智慧市場中正在發生的事情的複雜性，我們有41 種不同風格的企業人工智慧，我們擁有這些生成式人工智慧應用程序，它們來自於非常不同的領域。

And honestly, it's difficult to model that. I mean this is not a simple business. We're in this -- as we enter this kind of new world of AI, I mean, it's really complex. And we can't simply multiply, we did these many widgets this quarter, and we're going to that many widgets in the next quarter. And this is the growth rates of widgets. This is the gross margin. And therefore, this is what the -- I mean the --.

老實說，很難對此進行建模。我的意思是這不是一件簡單的事。當我們進入人工智慧的新世界時，我的意思是，它真的很複雜。我們不能簡單地相乘，本季我們製作了這麼多小部件，並且我們將在下個季度製作這麼多小部件。這就是小部件的成長率。這是毛利率。因此，這就是——我的意思是——。

We continue to be just amazed by the broad range of applications that we're finding for enterprise AI, and I would say in generative AI, many of which we just couldn't have anticipated. I would say like public sector, we didn't anticipate that, and we just fell into a gold mine there. Law firms, medical diagnostics, it's just fascinating.

我們仍然對我們為企業人工智慧找到的廣泛應用感到驚訝，我想說的是在生成人工智慧中，其中許多應用是我們無法預料的。我想說，就像公共部門一樣，我們沒有預料到這一點，我們只是掉進了那裡的金礦。律師事務所、醫療診斷，這真是令人著迷。

Awesome. And Hitesh, if I could ask a follow-up for you. Did you -- I think people are probably wondering given how strong the bookings seem to be why the guidance didn't go up. How did you think about that?

驚人的。 Hitesh，我能否為您詢問後續情況。我認為人們可能想知道預訂量似乎有多強勁，這就是為什麼指引沒有上升。你是怎麼想到的？

Are you talking about the guidance for the Q2 revenue guidance.

您是在談論第二季營收指引嗎？

No, for the year. You kept it the same?

不，是今年。你保持原樣嗎？

Yeah. That still represents 19% to 27% revenue growth. It still makes us one of the fastest-growing companies in this public software company universe.

是的。這仍然意味著 19% 至 27% 的收入成長。它仍然使我們成為公共軟體公司領域中成長最快的公司之一。

Okay. Thank you, guys.

好的。謝謝你們，夥計們。

Timothy Horan, Oppenheimer.

提摩西霍蘭，奧本海默。

Thanks, guys. On the subscription revenue has been a little lumpy here. On professional services, I know, Tom, you basically just said it's very difficult to model out. But can you give us some color on the trends? Like is this a good jump-off point for the rest of the year?

謝謝，夥計們。這裡的訂閱收入有點不穩定。關於專業服務，我知道，湯姆，你基本上只是說建模非常困難。但您能給我們一些關於趨勢的資訊嗎？這是今年剩餘時間的一個好起點嗎？

And then maybe just on the expenses, where should we be modeling and the expenses increase the most in the next quarter or two? Thank you.

然後也許只是在費用方面，我們應該在哪裡建模，並且在接下來的一兩個季度費用增加最多？謝謝。

Thanks. Let me address subscription versus services. Under ASC-606, it's a little complex, certain things that used to be called software are now called services under the new guidance, and we comply with what the guidance is. That being said, we've guided that our services revenue would be 10% to 20% of revenue in any given quarter. Our services revenue was 16% in this quarter. And so we're well within our guidance there.

謝謝。讓我談談訂閱與服務。在ASC-606下，有點複雜，某些過去被稱為軟體的東西現在在新的指導下被稱為服務，我們遵守指導的內容。話雖這麼說，我們已經指導我們的服務收入將佔任何特定季度收入的 10% 到 20%。本季我們的服務收入為 16%。所以我們完全在我們的指導範圍內。

Before we kind of bemoan the fact the services were a little higher than they expected to be, let's remember what services margins are at C3.ai. While our software certification margins are quite high 66%, our services margin, everybody, you'll recall, is in excess of 90%. So services is a pretty darn good business.

在我們對服務略高於預期的事實感到哀嘆之前，讓我們記住 C3.ai 的服務利潤率是多少。雖然我們的軟體認證利潤率相當高，高達 66%，但大家都記得，我們​​的服務利潤率超過 90%。所以說，服務業是一門非常好的生意。

And while we continue to be focused -- I mean, we're a licensing company. We're not one of these services companies pretending to be a software company. They're one or two of them out there. We're not that, but we continue to be focused. But it will continue -- for the next year or two, you can expect our services to bounce around in the 10% to 20%. It will probably average about 15%. But remember, our services margins are greater than 90%. I think 93% [is that the number I should]. So it's good work if you can get it.

雖然我們繼續專注——我的意思是，我們是一家授權公司。我們不是這些冒充軟體公司的服務公司之一。他們只是其中的一兩個。我們不是那樣的，但我們繼續專注。但這種情況將會持續下去——在接下來的一兩年裡，您可以預期我們的服務將在 10% 到 20% 之間反彈。平均可能約 15%。但請記住，我們的服務利潤率超過 90%。我認為 93% [這是我應該的數字]。所以如果你能得到它，那就很好了。

So was there any reclassification this quarter or one-time items or should the midpoint of 15% is kind of a good run rate going forward?

那麼，本季度是否有任何重新分類或一次性項目，或者 15% 的中點是否應該是一個良好的運行率？

No. No reclassification.

不，沒有重新分類。

Okay, great. And expense line items, anything to focus on the next quarter or two where we should be -- see if they go?

好的，太好了。還有費用項目，任何我們應該關注的下一兩個季度的事情——看看它們是否會發生？

Yeah. So in terms of expenses, we plan to continue to make investments in our sales force. R&D as wells as marketing efforts.

是的。所以在費用方面，我們計劃繼續對我們的銷售團隊進行投資。研發以及行銷工作。

Okay. Great. Pretty much across the board. And just lastly on, any change in the competitive dynamics out there? I mean who do you run up against the most these days?

好的。偉大的。幾乎是全面的。最後，競爭動態有什麼變化嗎？我的意思是，這些天你遇到最多的對手是誰？

Hi. This is back to Tom. Well, Ed, [why don't to you comment what is the competitive environment]? You're closer to it than I.

你好。這又回到湯姆身上。好吧，艾德，[為什麼不對你評論一下競爭環境是什麼]？你比我更接近它。

Yeah. I think the default or de facto competition is the information technology, the IT organization, the CIO trying to build these applications themselves. And those are our best prospects is ones that have tried to do data science and then scale that up across a large enterprise, typically figure out how difficult that is without the right data and AI platform. So that is the de facto competition in the market for us.

是的。我認為預設的或事實上的競爭是資訊科技、IT 組織、試圖自行建立這些應用程式的 CIO。我們最好的前景是那些嘗試進行數據科學，然後在大型企業中擴展的人，通常會發現如果沒有正確的數據和人工智慧平台，這是多麼困難。這對我們來說就是事實上的市場競爭。

And those are just prospects a couple of years down the road because they all come crashing down because -- we have this the CIO with 10,000 people in Bangalore, trying to build this thing out of piece/parts from hyperscalers and invariably comes crashing down around them. And so they're just -- we just put them in the pipeline two or three years down the road and they come back.

這些只是幾年後的前景，因為它們都會崩潰，因為——我們在班加羅爾有 10,000 名員工的首席資訊官，試圖用超大規模企業的零件來建造這個東西，但總是會崩潰。因此，我們只是將它們放入管道中，兩三年後它們就會回來。

That's right.

這是正確的。

That's great. Thank you. Thanks, guys.

那太棒了。謝謝。謝謝，夥計們。

Mike Latimore, Northland Capital Markets.

麥克‧拉蒂摩爾 (Mike Latimore)，北國資本市場。

Hi, team. Thanks. The pilot growth was very strong sequentially year-over-year. Are the size of the pilots -- the value of the pilots for standard and generative AI kind of as expected?

大家好。謝謝。試點年成長非常強勁。試點的規模－標準和產生人工智慧試點的價值是否符合預期？

The size -- the value of the pilots, the kind of the middle of the road, and I could be off here by mid-10% or 15%. But in the middle of the road pilot for enterprise AI application is $0.5 million, the middle of the road for a generative AI application is about $0.25 million. The value of the pilot -- and generative AI pilot usually takes three months to complete -- enterprise AI pilot will take six months to complete. And then we go into contract negotiated and they go live. We've given guidance before that we expect about 70% of our pilots convert to production contracts. I think that's about right.

規模——飛行員的價值，中間的那種，我可能會偏離中間 10% 或 15%。但企業人工智慧應用的中間道路試點為 50 萬美元，生成式人工智慧應用的中間道路約為 25 萬美元。試點的價值——生成式人工智慧試點通常需要三個月才能完成——企業人工智慧試點將需要六個月才能完成。然後我們就簽訂了合同，他們就上線了。我們之前曾給予指導，預計約 70% 的試點將轉為生產合約。我認為這是正確的。

And honestly, the 30% that don't convert, it's not because many of these are enormously successful projects. They don't not convert because the pilot wasn't successful, they can't convert because some genius CIO decides he's going to try to build this himself out of some piece parts of a hyperscaler. And they'll be back.

老實說，這 30% 的專案沒有轉化，並不是因為其中許多都是非常成功的專案。他們不會轉換，因為試點不成功，他們無法轉換，因為一些天才的資訊長決定他將嘗試用超大規模的某些部分來建造它。他們會回來的。

Got it. Okay. So no change in pricing or value, it sounds like on pilots. And then in terms of the second quarter guidance, the midpoint is about 24% revenue growth, which is a pretty big step up from the growth you had this quarter, I guess -- and I think the biggest step-up in the last four quarters, I believe. But what gives you confidence in that improvement? Is it these pilots you just landed or is it professional services growth or big deals getting deployed? Just what gives you confidence [it's not] acceleration?

知道了。好的。因此，定價或價值沒有變化，這聽起來像是飛行員的情況。然後就第二季度的指導而言，中點約為 24% 的收入增長，我想這比本季度的增長是一個相當大的進步，而且我認為是過去四個季度中最大的進步宿舍，我相信。但是是什麼讓您對這種改進充滿信心呢？是您剛登陸的這些試點項目，還是專業服務的成長或正在部署的大型交易？到底是什麼給了你信心（不是）加速？

Using kind of the best professional judgment we have, the confidence we gave is what we think is going to happen. Now we've been public, I think, for 15 quarters, and we've been right 15 out of 15 quarters. And I can -- I know that many of you are trying to model this business. If you can model it, you're better than I, because there is a lot of moving parts here.

利用我們所擁有的最佳專業判斷，我們給予的信心就是我們認為會發生的事情。現在我們已經公開了 15 個季度，而這 15 個季度中我們有 15 個季度是正確的。我可以——我知道你們中的許多人都在嘗試為這項業務建模。如果你能建模，你就比我更好，因為這裡有很多活動部件。

And I think the most -- the best indicator of what we're going to do is what we guide you to. I mean, you could pretty much take to the bank for each of the last 15 quarters. We've been pretty spot on with that. So right now, that's what we think we'll do, that's our best professional judgment. And you're going to be sure we're going to be working diligently to meet or exceed that.

我認為最能體現我們要做什麼的最好指標就是我們引導你們做什麼。我的意思是，你幾乎可以在過去 15 個季度中的每個季度向銀行取錢。我們在這方面做得非常好。所以現在，這就是我們認為我們會做的，這是我們最好的專業判斷。您將確信我們將努力工作以達到或超過這一目標。

Okay. Thanks.

好的。謝謝。

Kingsley Crane, Canaccord.

金斯利起重機，Canaccord。

Hi. Thanks for taking the question. 40 agreements with GCP, that's spectacular. 51 agreements with the partner network overall. So could you speak to the partner efforts outside of GCP? What's working well? What would you like to improve?

你好。感謝您提出問題。與 GCP 達成 40 份協議，這真是太棒了。與合作夥伴網路總共達成 51 項協議。您能談談 GCP 以外的合作夥伴的努力嗎？什麼運作良好？您想改進什麼？

And then is the GCP partnership as dominant from a bookings contribution perspective as it is in deal frequency? Thanks.

那麼，從預訂貢獻的角度來看，GCP 合作夥伴關係是否與交易頻率一樣占主導地位？謝謝。

I'm not sure Kingsley, I don't think I have the bookings contribution data here. So I can't correctly answer that one. I would say that the relationship with GCP is great. The relationship with AWS is great. We're doing a lot of good work with AWS, our is with Microsoft Azure. And I mean, we're great partners for these guys. I mean what we do -- when they partner with us, we have the application up fast, the customer gets value.

我不確定金斯利，我想我這裡沒有預訂貢獻數據。所以我無法正確回答這個問題。我想說，與 GCP 的關係非常好。與 AWS 的關係非常好。我們在 AWS 上做了很多出色的工作，在 Microsoft Azure 上也做了很多出色的工作。我的意思是，對這些人來說，我們是很好的合作夥伴。我的意思是我們所做的——當他們與我們合作時，我們可以快速啟動應用程序，客戶可以獲得價值。

I mean they don't make money when companies are building applications using their platforms, they get money -- they make money when people are running their applications. So we're consuming CPU resources or consuming GPU resources or consuming storage. And they're all great partners, they're great companies. They're wonderful to work with, and it's a privilege for us to be able to partner with them.

我的意思是，當公司使用他們的平台建立應用程式時，他們不會賺錢，而是當人們運行他們的應用程式時，他們才能賺錢。所以我們正在消耗 CPU 資源或消耗 GPU 資源或消耗儲存。他們都是偉大的合作夥伴，他們都是很棒的公司。與他們合作非常愉快，我們很榮幸能夠與他們合作。

Right. Okay. That's very helpful. And then last one, just to clarify. For the [slider or] state and local agreements, were most of those pilots?

正確的。好的。這非常有幫助。最後一個，只是為了澄清一下。對於[滑塊或]州和地方協議，大多數試點都是如此嗎？

They all kind of started as pilots. Yes. I'm not sure which number you're referring to. Did we refer to how many pilots there were and how many converted in the quarter? Have we said this?

他們都是從飛行員開始的。是的。我不確定你指的是哪個號碼。我們是否提到本季有多少飛行員以及有多少飛行員轉換？我們說過這個嗎？

No. We don't talk about the conversions. We have the number for how many pilots closed in the quarter, 52 out of which --

不，我們不談論轉換。我們掌握了本季關閉的試點數量，其中 52 家——

Kingsley, they almost all began as pilots. They all begin as pilots. They go from, let's say, one to three months and then the great majority of them convert to production.

金斯利，他們幾乎都是從飛行員開始的。他們都是從飛行員開始的。比方說，它們的運行時間為一到三個月，然後絕大多數都轉化為生產。

Makes sense. Yeah, understood in this context. All right. Congrats on the quarter. Thank you.

有道理。是的，在這個背景下理解。好的。恭喜本季。謝謝。

Thank you.

謝謝。

Thank you.

謝謝。

Thank you, everybody. I think this is the end of our call. We really appreciate your attention. This is quite an advantage. I think we're breaking ground in enterprise AI. I know we're breaking ground in enterprise AI. And I could just tell you, for those of you who have visited us or those of you who have a chance to visit, it's so exciting and it's just palpable. And so we're going to continue to get after it, and we thank you for your time. We thank you for your attention, and wish you all a good day.

謝謝大家。我想我們的通話到此結束。我們非常感謝您的關注。這是一個很大的優勢。我認為我們正在企業人工智慧領域取得突破。我知道我們正在企業人工智慧領域取得突破。我可以告訴你們，對於那些訪問過我們或有機會訪問我們的人來說，這是如此令人興奮，而且是顯而易見的。因此，我們將繼續努力，並感謝您抽出時間。我們感謝您的關注，並祝大家有個愉快的一天。

Ladies and gentlemen, this concludes today's conference call. Thank you for participating. You may now disconnect.

女士們、先生們，今天的電話會議到此結束。感謝您的參與。您現在可以斷開連線。