C3.ai Inc (AI) 2025 Q2 法說會逐字稿

Thank you for standing by and welcome to C3.ai's second quarter fiscal year 2025 earnings conference call. (Operator Instructions) Today's conference is being recorded. I would now like to hand the call over to Amit Berry. Please go ahead.

感謝您的耐心等待並歡迎參加 C3.ai 2025 財年第二季財報電話會議。 （操作員指示）今天的會議正在錄音。我現在想將電話轉交給阿米特·貝裡。請繼續。

Good afternoon and welcome to C3.ai's earnings call for the second quarter of fiscal year 2025 which ended on October 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; and Hitesh Lath, Chief Financial Officer.

下午好，歡迎參加 C3.ai 於 2024 年 10 月 31 日結束的 2025 財年第二季財報電話會議。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)；和財務長 Hitesh Lath。

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

市場收盤後。今天，我們發布了一份新聞稿，其中詳細介紹了第二季度業績以及業績補充，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 網站上將提供重播。

During today's call, we will make statements related to the 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，我們將發表與聯邦證券法下可能被視為前瞻性的業務相關的聲明。這些聲明僅反映我們今天的觀點，不應被視為代表我們任何後續日期的觀點。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進一步討論可能影響我們實際結果的重大風險和其他重要因素的預期有重大差異。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 referees.

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。我們的裁判包含了 GAAP 與非 GAAP 衡量標準的調整。

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，在我們準備好的發言中。為了回答您的問題，我們可能會討論對我們通常的演示有所補充的指標。更深入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 had another outstanding quarter was strong top and bottom line performance. This quarter marked our seventh consecutive quarter of accelerating revenue growth.

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。我們又經歷了一個出色的季度，即強勁的營收和利潤表現。本季是我們連續第七個季度營收加速成長。

Our year-over-year revenue growth has accelerated from 11% in Q1 '24 to 17% in Q2 '24 to 18% in Q3 '24, 20% in Q4 and 21% in Q1 -- first quarter of '25 and now 29% in the second quarter of fiscal year '25. Total revenue for the quarter was $94.3 million, exceeding the high end of our revenue guidance. Subscription revenue was $81.2 million and increased 22% from a year ago. Subscription and prioritized engineering services revenue combined was $90.8 million and accounted for 96% of total revenue, an increase of 27% compared to $71.3 million 1 year ago. I will also note that our non-Baker Hughes revenue grew by 41% year-over-year.

我們的年收入成長從2024 年第一季的11% 加速到24 年第二季的17%，再到24 年第三季的18%、第四季的20% 和第一季的21%（從25 年第一季到現在） '25 財年第二季成長 29%。該季度的總收入為 9,430 萬美元，超出了我們收入指導的上限。訂閱收入為 8,120 萬美元，比去年同期成長 22%。訂閱和優先工程服務收入合計為 9,080 萬美元，佔總收入的 96%，比一年前的 7,130 萬美元成長了 27%。我還要指出的是，我們的非貝克休斯收入年增了 41%。

Our non-GAAP gross profit was $66.3 million, representing approximately a 70% gross margin. Our non-GAAP operating loss was $17.2 million and substantially better than our guidance for a loss of $26.7 million to $34.7 million. Our non-GAAP net loss per share was $0.06. We ended the quarter with over $730 million in cash, cash equivalents and investments. I'll note that this is the 16th consecutive quarter as a public company, in which we have met or exceeded our revenue guidance.

我們的非 GAAP 毛利為 6,630 萬美元，毛利率約為 70%。我們的非 GAAP 營業虧損為 1,720 萬美元，大大優於我們指導的 2,670 萬至 3,470 萬美元虧損。我們的非 GAAP 每股淨虧損為 0.06 美元。本季結束時，我們擁有超過 7.3 億美元的現金、現金等價物和投資。我要指出的是，作為一家上市公司，這是我們連續第 16 個季度達到或超過了我們的收入指導。

While I would describe our performance as generally on track with the plan we provided. There is no question that our new Microsoft Alliance provided a tailwind.

雖然我認為我們的表現總體上符合我們提供的計劃。毫無疑問，我們新的微軟聯盟提供了順風車。

Our growth continues to gain traction with increasing revenue momentum quarter after quarter. A significant driver of this success is our expanding partner ecosystem, which plays a critical role in driving our leadership in the market. Our partner market ecosystem today includes Google, AWS, Microsoft, Peraton, Fractal, Paradigm, Booz Allen, RTX, ECS, Capgemini and Baker Hughes.

隨著收入動能逐季增加，我們的成長繼續獲得動力。這項成功的重要動力是我們不斷擴大的合作夥伴生態系統，它在推動我們在市場中的領導地位方面發揮關鍵作用。目前，我們的合作夥伴市場生態系統包括 Google、AWS、微軟、Peraton、Fractal、Paradigm、Booz Allen、RTX、ECS、Capgemini 和 Baker Hughes。

Our partnering activity with the hyperscalers in the quarter remained risk with 62% of our agreements being closed with or through Google Cloud, AWS and Azure. Looking at our current installed base as measured by customer logos as of October '24, 51% of our contracts were on Google Cloud, 21% were on Azure and 24% were on AWS and 5% were on-prem.

本季我們與超大規模企業的合作活動仍有風險，62% 的協議是與 Google Cloud、AWS 和 Azure 達成或透過 Google Cloud、AWS 和 Azure 達成的。截至 24 年 10 月，透過客戶標誌衡量我們目前的安裝基礎，我們的合約有 51% 在 Google Cloud 上，21% 在 Azure 上，24% 在 AWS 上，5% 在本地。

The most significant event of the quarter and perhaps the most significant event in the company's history was most certainly the substantial expansion of our strategic alliance with Microsoft Azure. On September 30, 2024, Microsoft and C3 AI entered into a new and expanded strategic alliance for an initial 5.5-year term ending March of 2030.

本季最重要的事件，也許也是公司史上最重要的事件，無疑是我們與 Microsoft Azure 策略聯盟的大幅擴展。 2024 年 9 月 30 日，微軟和 C3 AI 結成新的、擴大的策略聯盟，初始期限為 5.5 年，截至 2030 年 3 月。

I believe this will constitute an inflection point in the enterprise AI industry. Under the terms of the Microsoft C3 AI strategic alliance agreement, all C3 AI enterprise, all C3 enterprise AI and C3 generative AI solutions are now available on the Azure price list. All C3 enterprise AI and Generative AI solutions are now orderable on the Microsoft and the Azure marketplace.

我相信這將構成企業人工智慧產業的一個轉捩點。根據微軟C3 AI策略聯盟協議的條款，所有C3 AI企業、所有C3企業AI和C3生成式AI解決方案現已在Azure價目表上提供。所有 C3 企業 AI 和生成式 AI 解決方案現在都可以在 Microsoft 和 Azure 市場上訂購。

All C3 AI solutions are sellable by the entire Azure sales organization globally. Azure sales personnel will receive commissions, quota credit and special bonuses on Azure C3 AI sales. Azure salespeople will receive design win credits for each Azure C3 AI sale. Importantly, all C3 AI products are now orderable on Microsoft paper, incorporating the Microsoft enterprise licensing agreement that Microsoft has in place with, I believe, over 95% of the Fortune 500. This will dramatically shorten C3 AI sales cycles.

所有 C3 AI 解決方案均由全球整個 Azure 銷售組織銷售。 Azure 銷售人員將獲得 Azure C3 AI 銷售佣金、配額積分和特別獎金。 Azure 銷售人員將獲得每次 Azure C3 AI 銷售的設計獲勝積分。重要的是，所有 C3 AI 產品現在都可以透過 Microsoft 紙本訂購，納入了 Microsoft 與超過 95% 的財富 500 強企業簽訂的 Microsoft 企業授權協議。

And finally, Microsoft will subsidize C3 AI pilots and C3 AI production deployments on Azure over the term of this agreement. There our large number of joint sales and marketing activities that we have agreed to in the alliance agreement. The two firms will jointly build a pipeline of customer accounts based on a point during business plan with mutual sales leadership sponsors, joint customer acquisition targets, robust governance structure and executive meeting cadence global system integrator Alliance, a deal registration process, sales and technical support resources, publicity and press releases, marketing initiatives and joint solutions offerings.

最後，微軟將在本協議期限內為 Azure 上的 C3 AI 試點和 C3 AI 生產部署提供補貼。我們在聯盟協議中同意進行大量聯合銷售和行銷活動。兩家公司將根據業務計劃期間的某個點，與共同的銷售領導發起人、聯合客戶獲取目標、穩健的治理結構和執行會議節奏、全球系統整合商聯盟、交易註冊流程、銷售和技術支持，共同建立客戶帳戶管道。

C3 AI and Microsoft will create joint webinar sales collateral to train the Microsoft and C3 AI sales forces on our joint offering solutions and value propositions. Microsoft will list all C3 AI software solutions on the Microsoft commercial cloud portal, transactable and Microsoft paper. Our joint marketing fund will be established for cooperative marketing and promotion of the integrated solutions. And such other activities is being a platinum sponsor at Microsoft conferences and participation in Microsoft Azure industry days and AI innovation submits. C3 AI and Microsoft will schedule and attend industry solution road map review meetings on a quarterly basis.

C3 AI 和 Microsoft 將創建聯合網路研討會銷售資料，以對 Microsoft 和 C3 AI 銷售人員進行有關我們共同提供的解決方案和價值主張的培訓。微軟將在微軟商業雲端入口網站、transactable 和 Microsoft paper 上列出所有 C3 AI 軟體解決方案。我們將設立聯合行銷基金，用於整合解決方案的合作行銷和推廣。其他此類活動包括成為 Microsoft 會議的白金贊助商、參加 Microsoft Azure 產業日和 AI 創新提交。 C3 AI 和微軟將按季度安排並參加行業解決方案路線圖審查會議。

The executive sponsors of the alliance are for C3 AI, Tom Siebel, the CEO and Chairman; and for Microsoft, Judson Althoff, the Chief Customer Officer of Microsoft.

聯盟執行發起人為C3 AI執行長兼董事長Tom Siebel；對於微軟，賈德森·阿爾索夫（Judson Althoff）是微軟的首席客戶長。

Importantly, for all of the Microsoft funded projects, C3 AI will position the Microsoft Azure cloud as its preferred cloud provider. And Microsoft will designate C3 AI as its preferred enterprise AI application provider. C3 the pioneering enterprise AI now of 15 years. We invented enterprise AI. We've built over 100 enterprise AI applications that deliver measurable value to our customers around the world.

重要的是，對於所有微軟資助的項目，C3 AI 都將微軟 Azure 雲端定位為其首選雲端供應商。微軟將指定C3 AI作為其首選的企業人工智慧應用提供者。 C3 是企業人工智慧的先驅，已有 15 年歷史。我們發明了企業人工智慧。我們已經建立了 100 多個企業 AI 應用程序，為世界各地的客戶提供可衡量的價值。

And now Microsoft is fully on board and leaning in. It is difficult to overestimate the impact of this agreement upon C3 AI and upon the enterprise AI market writ large. As a direct result, direct and immediate result of this alliance, the effective number of C3 AI sellers will grow from order of hundreds of sales professionals in order of 100 sales professionals at C3 AI as of October 1, 2024, to potentially order of 10,000 sales professionals operating in every geography, in every vertical market. Microsoft is the largest software company in the world. We believe that over 95% of the Fortune 500 companies use Microsoft products.

現在，微軟已全面加入並做出準備。作為該聯盟的直接結果，C3 AI 賣家的有效數量將從截至 2024 年 10 月 1 日的數百名銷售專業人員的訂單增長到 C3 AI 的 100 名銷售專業人員，潛在的訂單數量為 10,000 名銷售專業人員在每個地區、每個垂直市場開展業務。微軟是世界上最大的軟體公司。我們相信超過 95% 的財富 500 強公司都使用微軟的產品。

They're an established brand with the largest sales channel in the cloud partnering with Microsoft allows C3 AI to leverage its unparalleled reach, robust cloud capabilities and trusted reputation in the market.

C3 AI 是一個擁有最大雲端銷售管道的知名品牌，與 Microsoft 合作使 C3 AI 能夠利用其無與倫比的覆蓋範圍、強大的雲端功能和值得信賴的市場聲譽。

Together, Microsoft and C3 AI share a bold vision to redefine how businesses transform. This partnership will accelerate the adoption of enterprise AI on Azure and enable us to tackle some of the most complex business challenges of the 21st century for organizations across every industry. We are going to market with industry centric turnkey AI solutions that address the value chains of federal, defense and intelligence, manufacturing, pharmaceutical, chemicals, oil and gas, utilities and others by combining C3 AI's proven enterprise AI applications.

Microsoft 和 C3 AI 共同擁有重新定義企業轉型方式的大膽願景。這種合作關係將加速企業人工智慧在 Azure 上的採用，並使我們能夠應對各行業組織在 21 世紀面臨的一些最複雜的業務挑戰。我們將向市場推出以行業為中心的統包人工智慧解決方案，透過結合C3 AI 成熟的企業人工智慧應用程序，解決聯邦、國防和情報、製造、製藥、化學品、石油和天然氣、公用事業等領域的價值鏈。

With Microsoft's superior cloud infrastructure and global reach, we are exceptionally well equipped to help organizations achieve higher levels of efficiency, innovation, sustainability and rapid economic return. The momentum that we've generated this quarter is undeniable, and we are energized by what lies ahead.

憑藉 Microsoft 卓越的雲端基礎架構和全球影響力，我們有能力協助組織實現更高水準的效率、創新、永續性和快速經濟回報。我們本季產生的勢頭是不可否認的，我們對未來充滿活力。

Now, let's look back at the quarter and shift to customer success. In the second quarter, C3 AI closed 58 agreements, including 36 pilots. We entered new and expanded agreements with ExxonMobil, Coke, Dow, Wholesome, Shell, Duke Energy, Boston Scientific, Rolls-Royce, Cameco, Mars, ESAB, Flex and Worley, among others. Additionally, we continue to expand our footprint across state and local government, closing nine agreements in California, Texas, Michigan, Idaho, New Mexico, Washington and Florida.

現在，讓我們回顧本季並轉向客戶成功。第二季度，C3 AI 達成了 58 項協議，其中包括 36 項試點。我們與埃克森美孚、可口可樂、陶氏化學、Wholesome、殼牌、杜克能源、波士頓科學公司、勞斯萊斯、Cameco、瑪氏、伊薩、偉創力和沃利等公司簽訂了新的和擴大的協定.此外，我們繼續擴大在州和地方政府的影響力，在加州、德州、密西根州、愛達荷州、新墨西哥州、華盛頓州和佛羅裡達州簽署了九項協議。

In our federal business, we have strong execution across the board and secured key wins and expansions with multiple agencies. We entered into new and expanded agreements with the US Department of Defense, the US Air Force, the US Navy, the US Army, the US Marine Corps, the Defense Logistics Agency and the Chief Digital Artificial Intelligence Office among others.

在我們的聯邦業務中，我們擁有強大的全面執行力，並與多個機構取得了重大勝利和擴張。我們與美國國防部、美國空軍、美國海軍、美國陸軍、美國海軍陸戰隊、國防後勤局和首席數位人工智慧辦公室等簽訂了新的和擴大的協議。

The US Army's Program Manager for intelligence and system analytics selected C3 AI and ECS Federal to transform its intelligence collection with C3 AI decision advantage, delivered under a $23 million award this AI application unifies data from multiple systems to streamline tasking and collection, including digitizing scheduling workflows. These modernization efforts make it easier for the Army workforce to quickly provide real-time predictive intelligence to leaders enhanced accelerated decision-making.

美國陸軍情報和系統分析專案經理選擇 C3 AI 和 ECS Federal 透過 C3 AI 決策優勢轉變其情報收集，該人工智慧應用程式統一了來自多個系統的數據，以簡化任務分配和收集，包括數位化調度工作流程。這些現代化工作使陸軍人員能夠更輕鬆地向領導者快速提供即時預測情報，從而增強加速決策能力。

The United States Air Force rapid sustained office continued the expansion of its sensor-based algorithms with C3 AI with a new contract. The Panda application, which is the designated US Air Force system of record for all CBM+ and predictive maintenance will expand to include new systems and two monitored aircraft, the KC-46 and the KC-135. The Defense Logistics Agency, a cornerstone of the US Department of Advances supply chain, expanded its use of C3 AI contested logistics applications to drive efficiency and productivity across its workforce, ensuring supply network resilience and availability in contested environments.

美國空軍快速持續辦公室透過一份新合約繼續擴展其基於感測器的演算法與 C3 AI。 Panda 應用程式是美國空軍所有 CBM+ 和預測性維護的指定記錄系統，該應用程式將擴展到包括新系統和兩架受監控的飛機 KC-46 和 KC-135。美國進步部供應鏈的基石國防後勤局擴大了 C3 AI 競爭性物流應用程式的使用，以提高其員工隊伍的效率和生產力，確保供應網絡在競爭環境中的彈性和可用性。

DLA uses contested logistics to streamline workflows and decision-making for risk management, sustainment scenario-based proactive readiness and predictive maintenance across the Department of Defense. Together, C3 AI continues to support DLA to enhance warfare readiness, drive operational efficiency and improved mission effectiveness across the globe.

DLA 使用競爭性後勤來簡化整個國防部的風險管理、基於維持場景的主動準備和預測性維護的工作流程和決策。 C3 AI 將持續支援 DLA 在全球範圍內增強戰備狀態、提高營運效率並提高任務效率。

C3 AI is most certainly a trusted partner for these agencies, providing innovative and secure solutions, empowering, modernization and agility. I suspect there will be a question about Baker Hughes, so let me address that upfront. Now years into the Baker Hughes agreement. There is no question that this has been and continues to be in the best interest of our shareholders. That being said, the relative importance of Baker Hughes in our overall business mix is diminishing.

C3 AI 無疑是這些機構值得信賴的合作夥伴，提供創新且安全的解決方案、賦能、現代化和敏捷性。我懷疑有人會問有關貝克休斯的問題，所以讓我先解決這個問題。貝克休斯協議已經簽署多年了。毫無疑問，這一直並將繼續符合我們股東的最佳利益。話雖如此，貝克休斯在我們整體業務組合中的相對重要性正在減弱。

In fiscal year '23, Baker Hughes has accounted for 35% of our revenue. In fiscal year '24 Baker Hughes accounted for 27% of our revenue. In last quarter, Baker Hughes accounted for 18% of our revenue. Revenue ex Baker Hughes increased by 41% year-over-year in Q2 fiscal year '25.

在 23 財年，貝克休斯占我們收入的 35%。在 24 財年，貝克休斯占我們收入的 27%。上個季度，貝克休斯占我們營收的 18%。 25 財年第二季度，貝克休斯以外的營收年增 41%。

Our oil services exclusive marketing agreement with Baker Hughes is scheduled to expire in June of 2025 unless we renew or extend it as we have done 3 times previously.

我們與貝克休斯的石油服務獨家行銷協議預計將於 2025 年 6 月到期，除非我們像之前 3 次那樣續約或延期。

Now, as I sit here today, I think it's much more likely than not that this agreement will be extended, okay, and will be renewed. But as we consider our renewal options going forward, particularly in light of the new Microsoft agreement and the many direct customer relationships that we have successfully established the oil and gas market.

現在，當我今天坐在這裡時，我認為該協議很有可能會延長，好吧，並且會得到更新。但當我們考慮未來的續約選項時，特別是考慮到新的微軟協議以及我們已成功建立石油和天然氣市場的許多直接客戶關係。

We need to consider carefully whether it is in the best interest of our shareholders to partner exclusively with Baker Hughes in the oil and gas market or whether we are better off partnering to all of the oil and gas service providers. Any of these outcomes will not impact our guidance. And at this point, it is not particularly significant to our outlook as we have successfully diversified our revenue mix.

我們需要仔細考慮在石油和天然氣市場與貝克休斯獨家合作是否符合股東的最佳利益，或者與所有石油和天然氣服務提供商合作是否會更好。任何這些結果都不會影響我們的指導。目前，這對我們的前景來說並不是特別重要，因為我們已經成功地實現了收入組合的多元化。

Let's put this into perspective. Our relationship with Baker Hughes is great. They're a great company. They're order of, I think, a $24 billion business, okay? Now what is the big story today, the big story is Microsoft.

讓我們正確看待這一點。我們與貝克休斯的關係非常好。他們是一家很棒的公司。我想，它們是一項價值 240 億美元的業務，好嗎？今天的大新聞是什麼，大新聞是微軟。

Microsoft of no mistake is an order of a $250 billion business. And so this by far overshadows anything that we've done and we value our relationship with Baker Hughes. As I sit through today, I think it will be extended. But whether it's extended or not, it has no impact on our outlook or guidance.

毫無疑問，微軟是一家價值 2500 億美元的企業的訂單。因此，到目前為止，這比我們所做的任何事情都黯然失色，我們重視與貝克休斯的關係。當我今天坐下來時，我認為它會被延長。但無論是否延長，都不會影響我們的前景或指導。

Talk a minute about Generative AI. This is clearly the Generative AI issue represents a pivotal moment in enterprise technology and the significance of Generative AI just cannot be illustrated. C3 AI is at the forefront of this revolution with a highly differentiated product offering, providing customers with safe, secure fast, reliable information from across the enterprise.

談談生成人工智慧。顯然，生成式人工智慧問題代表了企業技術的關鍵時刻，生成式人工智慧的重要性是無法說明的。 C3 AI 憑藉著高度差異化的產品走在這場革命的前沿，為客戶提供來自整個企業的安全、快速、可靠的資訊。

While many other companies are still making a lot of noise and experimenting with prototypes, C3 AI has already deployed Generative AI in production, in hardened, real-world, highly secure enterprise environments.

儘管許多其他公司仍在大肆宣傳並嘗試原型，但 C3 AI 已經在生產中、在強化的、真實的、高度安全的企業環境中部署了生成式 AI。

In Q2, we closed 15 new generative AI agreements with organizations, including Boston Scientific, Coke, Rolls-Royce, the US Navy, the National Science Foundation and several government agencies in Texas, Washington and New Mexico.

第二季度，我們與波士頓科學公司、可口可樂、勞斯萊斯、美國海軍、國家科學基金會以及德克薩斯州、華盛頓州和新墨西哥州的多個政府機構等組織簽署了15 項新的生成式人工智慧協議。

Additionally, we converted pilots into production agreements at Dow, Cargill, Norfolk, Iron and Metal and Florida Crystals demonstrating our ability to deliver results at scale in manners that are safe, secure hallucination free and kind of all the hobgoblin that you read about associated with Generative AI.

此外，我們也在陶氏化學公司、嘉吉公司、諾福克公司、鋼鐵金屬公司和佛羅裡達水晶公司將試點計畫轉化為生產協議，證明我們有能力以安全可靠、無幻覺的方式大規模交付成果，就像您讀到的所有與此相關的大妖怪一樣。

Enterprise selects C3 Generative AI for its proven ability to drive measurable business outcomes in a way that is safe, secure, traceable and doesn't cause data exfiltration problems. To jump-start these outcomes and better serve our customers, this quarter, we introduced the C3 Generative AI accelerator program.

企業選擇 C3 Generative AI 是因為其經過驗證的能力，能夠以安全、可靠、可追蹤且不會導致資料外洩問題的方式推動可衡量的業務成果。為了快速啟動這些成果並更好地服務我們的客戶，本季我們推出了 C3 生成式 AI 加速器計畫。

We kicked off this program by hosting multiple Fortune 500 companies at our headquarters in Redbook City for an immersive hands-on 3-day workshop, Participants work with experts to tailor Generative AI solutions that meet their business needs and leave with production-ready AI applications.

我們透過在紅皮書城總部接待多家財富500 強公司舉辦為期3 天的沉浸式實踐研討會來啟動該計劃，參與者與專家合作定制滿足其業務需求的生成式AI 解決方案，並留下可用於生產的AI 應用程式。

The feedback has been extremely positive and we will be doing many, many more of these around the globe in the months and quarters ahead. It's still early days for Generative AI adoption, but the trajectory is clear. According to Gartner, by 2028, 33% of enterprise AI software applications will include Agentic AI, up from less than 1% today. This will be a massive shift and C3 is uniquely positioned to lead the way.

反饋非常積極，我們將在未來幾個月和幾個季度在全球範圍內開展更多此類活動。生成式人工智慧的採用還處於早期階段，但軌跡很明確。據 Gartner 稱，到 2028 年，33% 的企業人工智慧軟體應用程式將包含 Agentic AI，而目前這一比例還不到 1%。這將是一個巨大的轉變，C3 具有獨特的優勢，可以引領潮流。

It's a major highlight of the quarter, and it is difficult to overestimate the importance of this is the award to C3 AI of US patent number 12-111-859 covering Agentic AI, which strengthens our market position dramatically. This patent protects a sophisticated system and method for orchestrating multiple AI agents using multimodal foundation models.

這是本季的一大亮點，很難高估其重要性，因為 C3 AI 獲得了涵蓋 Agentic AI 的美國專利號 12-111-859，這大大增強了我們的市場地位。該專利保護使用多模式基礎模型協調多個人工智慧代理的複雜系統和方法。

This patent technology is integrated into the C3 generative AI architecture, enabling independent AI agents to retrieve information across structured and nonstructured data, reason, take actions and actionable insights. We've -- I mean, you're listening all the results.

該專利技術整合到 C3 生成式 AI 架構中，使獨立的 AI 代理能夠跨結構化和非結構化資料檢索資訊、推理、採取行動和可操作的見解。我的意思是，我們已經聽到了所有的結果。

There is no enterprise software company that is not yapping, okay, about Agentic AI and the importance of these generative -- these AI agents to their future, okay? New flash, okay. All that is covered by a C3 AI pad dated January of 2023. That is our intellectual property people, and that is an important milestone in history of enterprise AI.

沒有一家企業軟體公司不會對 Agentic AI 以及這些生成式人工智慧代理商對其未來的重要性大喊大叫，好嗎？新的閃光燈還可以吧所有這些都包含在 2023 年 1 月的 C3 AI pad 中。

This is a transformative time for C3 AI. We continue to report strong and accelerating growth. We continue to expand our thriving partner ecosystem and we continue generating meaningful economic returns for our customers, resulting in exceptional customer satisfaction levels.

這是 C3 AI 的變革時刻。我們繼續報告強勁且加速的成長。我們持續擴大蓬勃發展的合作夥伴生態系統，並持續為客戶創造有意義的經濟回報，從而實現卓越的客戶滿意度。

C3 AI has a significant first-mover advantage and a strong and proven technology foundation. The C3 AI platform is widely recognized as the leading AI ML platform empowers all of the C3 AI enterprise applications that are now tried, tested and proven in the market.

C3 AI擁有顯著的先發優勢和強大且經過驗證的技術基礎。 C3 AI 平台被廣泛認為是領先的 AI ML 平台，支援目前在市場上經過嘗試、測試和驗證的所有 C3 AI 企業應用程式。

C3 AI has never been better positioned to capitalize on this market opportunity. Last year, we made well-considered investments to strengthen the business that resulted in the increased growth that you are seeing. With those investments in lead generation and customer success, we are now supporting considering more pilots we are supporting considering more pilots every quarter and accelerating top line growth. In Q2, we supported 70% more pilots than we did a year ago.

C3 AI 從未像現在這樣能夠更好地利用這個市場機會。去年，我們進行了深思熟慮的投資來加強業務，從而實現了您所看到的成長。透過對潛在客戶開發和客戶成功的投資，我們現在支持考慮更多的試點，我們支持考慮每個季度更多的試點並加速收入成長。第二季度，我們支持的試點數量比一年前增加了 70%。

And now with the Microsoft partnership, we're expecting to further accelerate this growth given the magnitude and the great potential of the new Microsoft Alliance. We are going to invest in the Microsoft partnership in a big way to not do so would be nonrational. We will hire more salespeople. We will hire more customer support people. We will engage in more marketing activity and we will do that to support a more rapidly growing customer base.

現在，鑑於新微軟聯盟的規模和巨大潛力，透過與微軟的合作，我們預計將進一步加速這一成長。我們將大力投資與微軟的合作關係，如果不這樣做就是不合理的。我們將僱用更多的銷售人員。我們將僱用更多的客戶支援人員。我們將開展更多的行銷活動，以支援更快速成長的客戶群。

The result will be increased sales, increased revenue growth and increased market share. Given this investment decision, we are no longer targeting to be cash flow positive for the full year of fiscal year '25. We have more than sufficient cash, and we will continue to be and we continue to plan to be cash positive, cash flow positive in the fourth quarter of this year.

其結果將是銷售額增加、收入成長和市場份額增加。鑑於這項投資決定，我們不再目標是在 25 財年全年實現正現金流。我們擁有足夠的現金，我們將繼續並繼續計劃在今年第四季實現正現金、正現金流。

C3 AI is a structurally profitable business. And by that, I mean that our revenue exceeds our cost of goods sold and plus cost of selling. We are well capitalized with $730 million in cash and cash equivalents in hand. We have delivered rapid, sustained growth for seven consecutive quarters and are generating massive value for our customers. Our partner network is expanding, and we are broadening our footprint across critical industries.

C3 AI 是一項結構性獲利業務。我的意思是，我們的收入超過了銷售成本加上銷售成本。我們資本充足，手上現金及現金等價物達 7.3 億美元。我們連續七個季度實現了快速、持續的成長，並為我們的客戶創造了巨大的價值。我們的合作夥伴網路正在擴大，我們正在擴大我們在關鍵產業的足跡。

Our revenue growth continues to exceed our pets group, our revenue growth rate continues to exceed our expense growth rate, okay? And we expect that to be generally true going forward, continuing that trend, profitability is a mathematical certainty with scale. It's important to understand.

我們的收入成長持續超過我們的寵物組，我們的收入成長率持續超過我們的費用成長率，好嗎？我們預計，隨著這一趨勢的延續，獲利能力將在數學上具有規模確定性，這在未來總體上是正確的。理解這一點很重要。

I want to talk about modeling, a little bit about modeling the business. It's important to understand that the AI computing world is dramatically more complex than the conventional computing world. And as a result, it is more difficult to model. Through to that is because it's simply not possible to apply conventional computing analytic models to the AI computing world. It's not simply a matter of computing pilots, determining the conversion rates and then multiplying virtual CPU hours by the VCPU price.

我想談談建模，一點關於商業建模的問題。重要的是要了解人工智慧運算世界比傳統運算世界複雜得多。結果，建模變得更加困難。這是因為傳統的運算分析模型根本不可能應用於人工智慧運算世界。這不僅僅是計算試點、確定轉換率然後將虛擬 CPU 小時數乘以 VCPU 價格的問題。

The fact is that in the reality of this new AI world that we're entering the complexities and permutations of offers of the offerings required by the market and the number of applicable accounting treatments in any given agreement could be unwieldy taken over the union of all C3 AI agreements. It is unfathomable. Think, think about it.

事實是，在這個新的人工智慧世界的現實中，我們正在進入市場所需的產品報價的複雜性和排列，並且任何給定協議中適用的會計處理的數量可能難以控制所有的聯合C3人工智慧協定.這是深不可測的。想一想，想一想。

C3 AI sells over 150 unique software and service solutions, many with multiple components, many with unique pricing that require per GAAP, a multiplicity of accounting treatments.

C3 AI 銷售 150 多種獨特的軟體和服務解決方案，其中許多具有多個組件，許多具有獨特的定價，需要按照 GAAP 進行會計處理。

Pilots and trials are recognized over terms that may vary from 10 days to 6 months. Enterprise AI solutions with continuing performance obligations are recognized ratably over the term of the agreement. Some customers prefer subscription licensing that is recognized ratably over time. Other customers prefer consumption pricing that varies monthly based upon utilization.

試驗和試驗的認可期限可能從 10 天到 6 個月不等。具有持續履約義務的企業人工智慧解決方案在協議期限內得到相應認可。一些客戶更喜歡隨著時間的推移而廣受認可的訂閱許可。其他客戶則喜歡根據利用率每月變化的消費定價。

Demonstration licenses that we provide to our partners and customers to make them more effective, prosperitizing our solutions do not have continuing performance obligations and are therefore recognized as licenses in the period they're delivered.

我們向合作夥伴和客戶提供的演示許可證，旨在提高他們的效率，促進我們的解決方案的繁榮，沒有持續履行義務，因此在交付期間被視為許可證。

Prioritized engineering services, working software machine learning models, data oncologies, et cetera, that have utility over the term of the underlying subscription agreement are properly recognized as professional services in the period delivered.

在基礎訂閱協議期限內具有效用的優先工程服務、工作軟體機器學習模型、數據腫瘤學等在交付期間被適當地視為專業服務。

Conventional professional services are recognized as they are delivered. The dizzying array of products and services that we offer to meet the needs of the rapidly developing AI world results in a combination of unique product and service offerings and associated accounting treatment combinations that is order of 100 factorial. There are not enough roads in your spreadsheet to model this business.

傳統的專業服務在提供時就得到認可。為了滿足快速發展的人工智慧世界的需求，我們提供了一系列令人眼花繚亂的產品和服務，從而形成了獨特的產品和服務以及相關的 100 階乘的會計處理組合。您的電子表格中沒有足夠的道路來對該業務進行建模。

C3 AI has been a public company for 16 quarters. In each of those quarters, our revenue results have met or exceeded our guidance. In preparing our guidance each quarter, we work very hard to capture all the complexities I just described. Our guidance is likely to produce a more reliable forecast than your conventional spreadsheet models. C3 AI leads with AI applications that drive customer results.

C3 AI 上市已有 16 個季度。在每個季度，我們的收入結果都達到或超過了我們的指導。在準備每個季度的指導時，我們非常努力地捕捉我剛才描述的所有複雜性。我們的指導可能會產生比傳統電子表格模型更可靠的預測。 C3 AI 憑藉可推動客戶成果的人工智慧應用程式處於領先地位。

We're turning these results into adoption and we're going to turn the adoption in the market leadership. The opportunity in enterprise AI is enormous and we are investing to build a cash, generating profitable marketing, leading market leading enterprise AI software company.

我們正在將這些結果轉化為採用，我們將把採用轉變為市場領導地位。企業人工智慧的機會是巨大的，我們正在投資建立一家現金、產生獲利行銷、領先市場的企業人工智慧軟體公司。

Revenue guidance. Our revenue guidance for Q3 fiscal year '25 is $95.5 million to $100.5 million. We are raising our revenue guidance for fiscal 2025 to $378 million to $398 million. Our guidance for non-GAAP loss for operations in Q3 is $38.6 million to $46.6 million, and we are updating our previous guidance to -- our previous loss guidance to $105 million to $135 million for fiscal year '25.

收入指導。我們對 25 財年第三季的營收指引為 9,550 萬美元至 1.005 億美元。我們將 2025 財年的營收指引上調至 3.78 億至 3.98 億美元。我們對第三季非 GAAP 營運虧損的指引為 3,860 萬美元至 4,660 萬美元，我們正在將先前的指引更新為——我們先前的 25 財年虧損指引為 1.05 億至 1.35 億美元。

I will now turn it over to Hitesh to cover the financials. Hitesh?

我現在將把它交給 Hitesh 來負責財務事宜。海特什？

Thank you, Tom. 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 29% year-over-year to $94.3 million. Subscription revenue increased 22% year-over-year to $81.2 million, representing 86% of total revenue.

謝謝你，湯姆。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 29% 至 9,430 萬美元。訂閱收入年增 22%，達到 8,120 萬美元，佔總營收的 86%。

Professional services revenue was $13.2 million. This represents 14% of total revenue in the second quarter of fiscal '25. As we said in prior quarters, we expect the professional services revenue, which includes prioritized engineering services revenue to generally stay within 10% to 20% of total revenue for fiscal '25.

專業服務收入為 1,320 萬美元。這佔 25 財年第二季總營收的 14%。正如我們在前幾個季度所說，我們預計專業服務收入（包括優先工程服務收入）將整體維持在 25 財年總收入的 10% 至 20% 以內。

As a reminder, our professional services revenue include service fees and prioritized engineering services. Service fees include revenue from services such as consulting, training and pay implementation services. Prioritized Engineering Services, or PES, are undertaken when a customer request that we accelerate the design, development and delivery of software features and functions that are planned in our future product road map.

提醒一下，我們的專業服務收入包含服務費和優先工程服務。服務費包括諮詢、培訓和付費實施服務等服務的收入。當客戶要求我們加快未來產品路線圖中計畫的軟體特性和功能的設計、開發和交付時，我們就會採取優先工程服務（PES）。

We negotiated an agreed-upon fee to accelerate the development of the software. And when the software feature is delivered, it becomes integrated to our core product offering is available to all subscribers of the underlying software product and enhances the operation of that product going forward. Such PES results in production level computer software compiled code that enhances the functionality of our production products which is available for our customers to use over the life of their software licenses. Our subscription and prioritized engineering services revenue combined was $90.8 million and accounted for 96% of our total revenue. An increase of 27% compared to $71.3 million 1 year ago.

我們商定了一項商定的費用，以加速軟體的開發。當軟體功能交付時，它會整合到我們的核心產品中，可供底層軟體產品的所有訂閱者使用，並增強該產品未來的營運。此類 PES 產生生產級電腦軟體編譯程式碼，增強我們生產產品的功能，可供我們的客戶在其軟體許可證的有效期內使用。我們的訂閱和優先工程服務收入合計為 9,080 萬美元，占我們總收入的 96%。與 1 年前的 7,130 萬美元相比，成長了 27%。

Gross profit for the quarter was $66.3 million, and gross margin was 70%. Gross margin for Professional Services remained high at over 90%. Operating loss for the quarter was $17.2 million, and our net loss for the quarter was $7.8 million. Our operating loss was better than guidance due to continued focus on expense management and certain sales and marketing and R&D expenses that were pushed to the third and fourth quarters. Our net cash used in operating activities was $38.7 million.

該季度毛利為 6,630 萬美元，毛利率為 70%。專業服務毛利率維持在90%以上的高點。該季度的營運虧損為 1,720 萬美元，該季度的淨虧損為 780 萬美元。由於我們持續專注於費用管理以及某些銷售和行銷以及研發費用，這些費用被推至第三和第四季度，因此我們的營運虧損好於預期。我們用於經營活動的淨現金為 3,870 萬美元。

Free cash flow for the quarter was negative $39.5 million as compared to negative $55.1 million in the second quarter of last year. We continue to be very well capitalized and closed the quarter with $730.4 million in cash, cash equivalents and marketable securities.

本季自由現金流為負 3,950 萬美元，去年第二季為負 5,510 萬美元。我們的資本狀況依然良好，本季末現金、現金等價物及有價證券為 7.304 億美元。

At the end of second quarter, our accounts receivable balance was $160 million, including unbilled receivables of $97.5 million. Total allowance for bad debt remains at less than $0.5 million, and we do not have concerns regarding collections. The general health of our accounts receivables remain strong. During the second quarter, we signed 36 pilots. At quarter end, we had cumulatively signed 260 pilots, of which 210 are still active.

截至第二季末，我們的應收帳款餘額為1.6億美元，其中未開立應收帳款為9,750萬美元。壞帳準備金總額仍低於 50 萬美元，我們對收款不存在任何擔憂。我們的應收帳款整體健康狀況依然強勁。第二季度，我們簽下了 36 名飛行員。截至季度末，我們已累計簽約 260 名飛行員，其中 210 名仍然活躍。

This means they are either in their original 3- to 6-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 contract. We are excited about our partnership with Microsoft and the joint go-to-market initiatives. As Tom said, and I'd like to underscore that we are investing aggressively in this partnership.

這意味著它們要么處於原來的 3 至 6 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。我們對與 Microsoft 的合作夥伴關係以及聯合上市計劃感到非常興奮。正如湯姆所說，我想強調我們正在積極投資於這種夥伴關係。

We expect some moderation on our gross margins due to higher mix of pilots in the near term which carry a greater cost of revenue during the pilot phase of the customer life cycle. We also expect some moderation in our operating margin in the near term due to additional investments we are making in our business, including in our sales force, customer support, research and development and marketing. As we continue to make significant investments in the business, we expect to be free cash flow negative for the third quarter but remain on track to be free cash flow positive for Q4.

我們預計，由於短期內試點組合的增加，我們的毛利率將放緩，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，包括對銷售團隊、客戶支援、研發和行銷的投資，我們的營業利潤率在短期內會有所放緩。隨著我們繼續對業務進行重大投資，我們預計第三季的自由現金流為負，但第四季的自由現金流仍有望為正。

With that, I'd like to turn the call over to the operator to begin the Q&A session. Operator?

這樣，我想將通話轉給接線員以開始問答環節。操作員？

(Operator Instructions)

（操作員說明）

Patrick Walravens, Citizens JMP.

Patrick Walravens，公民 JMP。

Okay, great. Thank you and congratulations. Tom, I think two questions for me. If I may, I would love to hear the history of the relationship with Microsoft and how you got it to this point.

好的，太好了。謝謝你並恭喜你。湯姆，我想問我兩個問題。如果可以的話，我很想聽聽與 Microsoft 的關係歷史以及您是如何走到這一步的。

Did you work with Judson at some point at Oracle? And then secondly, just your thoughts on how federal spending might change under the new administration.

您曾在 Oracle 與 Judson 一起工作過嗎？其次，請談談您對新政府領導下聯邦支出可能如何變化的想法。

Judson and I did not overlap with Oracle, but he was at Oracle. He ran alliances at Oracle -- at the time that Oracle acquired Siebel Systems in January 2006, and many of the Siebel people went to work for him. I did our relationship between Microsoft and C3 is pretty much always been driven between well Judson and I. And this agreement was put together with Judson and I and he and I coordinate and this very closely. Federal.

Judson 和我並沒有與 Oracle 重疊，但他在 Oracle。他在 Oracle 負責聯盟事務，當時 Oracle 於 2006 年 1 月收購了 Siebel Systems，許多 Siebel 員工都為他工作。我確實認為，微軟和 C3 之間的關係幾乎一直是由我和賈德森推動的。聯邦。

I just came from the Reagan Defense Forum in Simi Valley, where all the defense contractors there, all the software companies are there Secretary of Defense are there, Army, Navy, Air Force, Marines, all the military leaders and acquisition professionals. And whereas in former years, the subjects were about submarines and carriers and space and aircraft, Pat, there was one subject on every panel, okay, in one subject at every speech and that was AI applications, AI applications, AI applications, AI applications and then cyber.

我剛從西米穀的雷根國防論壇來，那裡有所有的國防承包商、所有的軟體公司、國防部長、陸軍、海軍、空軍、海軍陸戰隊，所有的軍事領導人和採購專業人員。前幾年，主題是關於潛艇、航空母艦、太空和飛機，帕特，每個小組上都有一個主題，好吧，每次演講都有一個主題，那就是人工智慧應用、人工智慧應用、人工智慧應用、人工智慧應用然後是網路。

That's what went on for and so I think we're going to see a dramatic acceleration of AI adoption in the federal government, certainly with Elon and company across all lines of all aspects of operating the business, whether it's CMS, HHS, treasury, wherever, Department of Justice, but most certainly in the Defense and Intelligence Community.

這就是所發生的事情，所以我認為我們將看到聯邦政府對人工智慧的採用急劇加速，當然是埃隆和公司在業務運營的各個方面的各個方面，無論是 CMS、HHS、財政部、無論在哪裡，司法部，但最肯定的是國防和情報界。

And I think they are going to dramatically change the way that they acquire these technologies where they acquired the bulk of their -- in the defense department as you're aware, to acquire almost everything from six vendors. I think those days are over.

我認為他們將極大地改變他們獲取這些技術的方式，正如你所知，他們在國防部獲得了大部分技術，從六家供應商那裡獲得了幾乎所有的東西。我想那些日子已經結束了。

And I think the Beltway bandage heads are going to be spinning as the private enterprise moves in to support the defense and intelligence companies in the current administration.

我認為，隨著私人企業開始支持現任政府的國防和情報公司，環城公路繃帶將旋轉。

Great. Thank you very much and congratulations again.

偉大的。非常感謝並再次恭喜。

Thank you.

謝謝。

Timothy Horan, Oppenheimer.

提摩西霍蘭，奧本海默。

Thanks guys. Can you discuss maybe what was unique about what you can do that, Microsoft couldn't do in a little bit more detail? And then who else are you kind of competing with in these kind of contracts or who else maybe as much or parting with if anybody?

謝謝你們。您能否更詳細地討論一下您可以做到的、微軟無法做到的事情的獨特之處是什麼？那麼，在此類合約中，您還與誰競爭，或者還有誰可能與您競爭或與誰競爭？

And then secondly, does this meet the enterprise contract commitments in terms of volume, the enterprise agreements for comment some dollars spent over the next couple of years as they bundle together services.

其次，這是否滿足企業在數量方面的合約承諾，企業同意在未來幾年將服務捆綁在一起時花費一些美元。

Okay. Happy first -- Happy birthday, Tim. The -- let's ask the last question first. So yes, as it related these sales do apply against customer commitments to Microsoft, where they've made these large hundreds of millions and in some cases, I suspect billions of dollars commitments to provide Microsoft software services in the years to come, the C3 AI sales do burn down those commitments. What is the difference between what Microsoft, I mean, how does this differ from what Microsoft sells?

好的。首先快樂——生日快樂，提姆。讓我們先問最後一個問題。所以，是的，正如它所涉及的，這些銷售確實適用於客戶對微軟的承諾，他們已經賺了數億美元，在某些情況下，我懷疑在未來幾年內提​​供數十億美元的微軟軟體服務承諾，C3人工智慧銷售確實毀掉了這些承諾。微軟的產品有什麼差別，我的意思是，這跟微軟銷售的產品有什麼不同？

Microsoft sells a vast array of services in Azure, a lot of the AI services like AI studio and whatnot that allow us to persistence technologies machine learning model technologies, all of which we take advantage of in building turnkey applications.

微軟在 Azure 中銷售了大量的服務，其中有許多人工智慧服務，例如 AI studio 等等，它們使我們能夠持久化技術、機器學習模型技術，所有這些我們都可以在建立交鑰匙應用程式時利用。

And so rather than providing services that you can use to build applications we're using those services to provide the turnkey application that does things like supply chain optimization, demand chain optimization, okay, forecasting, customer churn, fraud, what have you. So we're entirely complementary with the Azure AI services. We use all of the Azure AI services, but we deliver those services packaged in a turnkey application that offer economic benefit in a very short period of time.

因此，我們不是提供可用於建立應用程式的服務，而是使用這些服務來提供交鑰匙應用程序，該應用程式可以執行供應鏈優化、需求鏈優化、預測、客戶流失、詐欺等操作。因此，我們與 Azure AI 服務完全互補。我們使用所有 Azure AI 服務，但我們將這些服務打包在交鑰匙應用程式中提供，從而在很短的時間內提供經濟效益。

Thanks for the well wishes, Tom. And so I mean, it's a pretty big statement that you're going to be their preferred AI application partner is that -- I mean, is that correct?

謝謝你的良好祝愿，湯姆。所以我的意思是，這是一個相當大的聲明，你將成為他們首選的人工智慧應用程式合作夥伴，我的意思是，這是正確的嗎？

I read that from the agreement. Yes, that is the agreement, Tim. So as all these where we're going to market together in this alliance, which is all around the world, where we partner together? We're going into that customer positioning Azure as our preferred cloud provider and Microsoft is going into the customer positioning C3 AI as their preferred enterprise AI solution. Yes, that is a big statement.

我從協議中讀到了這一點。是的，這就是協議，提姆。那麼，我們將在這個聯盟中共同行銷所有這些產品，這個聯盟遍布世界各地，我們在哪裡共同合作？我們將把 Azure 定位為我們的首選雲端供應商，而 Microsoft 將 C3 AI 定位為他們的首選企業 AI 解決方案。是的，這是一個重要的聲明。

And yes, that is a big day for C3 AI. .

是的，這對 C3 AI 來說是一個重要的日子。 。

And lastly, when do you think this will start contributing to revenue? And maybe can you give us some color how meaningful it could be to overall revenue growth? I mean you're already growing at 30%. Can this accelerate that at some point?

最後，您認為這什麼時候會開始為收入做出貢獻？也許您能給我們一些說明，它對整體營收成長有何意義？我的意思是你已經以 30% 的速度成長了。這會在某個時候加速這一過程嗎？

It already has contributed to revenue growth. The agreement was signed on September 30. So it already has contributed to our revenue growth. And I think while the extent to which this might contribute is unknowable, we have gone from order of 100 salespeople around the world to potentially order, and so I don't think there's any question that this provides a tailwind in the years ahead that could be quite substantial and offers us a substantial differentiator from anybody else in the enterprise who either is in the enterprise AI application business or purports to be in the enterprise AI application business.

它已經為收入成長做出了貢獻。該協議於9月30日簽署。我認為，雖然這可能在多大程度上做出貢獻尚不得而知，但我們已經從全球 100 名銷售人員的訂單轉變為潛在訂單，因此我認為毫無疑問這會在未來幾年提供順風車相當重要，為我們提供了與企業中從事企業人工智慧應用業務或聲稱從事企業人工智慧應用業務的任何其他人的顯著區別。

Thank you. Congratulations.

謝謝。恭喜。

Thank you.

謝謝。

Mike Cikos, Needham.

麥克·西科斯，尼達姆。

Great. Thanks for taking the questions. Hey guys, totally understand on the investments that you guys are making behind partnerships and then this opportunity here. Just wanted to get a better understanding with the free cash flow pushout that we had previously anticipated for fiscal '25. Should we now expect that the company can turn free cash flow positive in fiscal '26? Or how far out is that time line been pushed now?

偉大的。感謝您提出問題。嘿夥計們，完全理解你們在合作夥伴關係背後進行的投資以及這裡的機會。只是想更了解我們之前預計的 25 財年自由現金流的推出。我們現在是否應該期望該公司能夠在 26 財年將自由現金流轉為正數？或者說現在這個時間線被推到多遠了？

Well, how far has it. I mean, Mike, to not invest in this is like kind of crazy, right? I mean we have -- we did raise this money in a public December '25 for exactly this purpose to invest in market share and invest in growth. We have been using that -- those resources very carefully.

嗯，已經有多遠了。我的意思是，麥克，不投資這個有點瘋狂，對吧？我的意思是，我們確實在 25 年 12 月公開籌集了這筆資金，正是為了投資市場份額和投資成長。我們一直非常謹慎地使用這些資源。

I think we raised $1 billion and we have, what, $730 million in the bank. So I love to read from sell-side analysts reports about our hammering it in cash and seems like every time I have a quarterly customer call, I still have like [ $0.75 billion ] cash left, so I can't quite resolve those two issues.

我認為我們籌集了 10 億美元，我們在銀行裡有 7.3 億美元。因此，我喜歡閱讀賣方分析師關於我們以現金敲定的報告，而且似乎每次我接到季度客戶電話時，我仍然剩下[7.5億美元]現金，所以我無法完全解決這兩個問題。

I think if you look out into fiscal '26, we should cross at some point there, we should cross over into being cash positive. But right now, we're investing in market share. We're investing in leadership. And I have the largest software sales organization in the world, okay, selling with me and for me, and we're going to take advantage of it.

我認為，如果你展望 26 財年，我們應該會在某個時刻交叉，我們應該交叉到現金正值。但現在，我們正在投資市場佔有率。我們正在投資領導力。我擁有世界上最大的軟體銷售組織，好吧，與我一起銷售，為我銷售，我們將利用它。

Understood. Thanks Tom and maybe just one follow up if I could. I know that you guys are obviously discussing the subscription revenue tied into the professional engineering services in that Proserve line. With the discussion that we have today, is this relationship with the Pro professional engineering services? Can you help explain, does that, in any way, have a linkage to the unbilled receivables on the balance sheet?

明白了。謝謝湯姆，如果可以的話，也許只是一個後續行動。我知道你們顯然正在討論與 Proserve 系列中的專業工程服務相關的訂閱收入。我們今天討論的是，這和Pro專業工程服務有關係嗎？您能否幫忙解釋一下，這是否與資產負債表上的未開立發票應收帳款有任何關聯？

No, no, no. The professional engineering, we basically these prioritized engineering services the way these are just -- when somebody wants a Dow, a Cargill, Baker Hughes, a Shell, once to tick something that we have planned in our road map to do it now to accelerate it, and we agreed to do it. We write the spec. We write the code, we do the quality assurance.

不，不，不。專業工程，我們基本上這些優先工程服務就是這樣的——當有人想要陶氏化學公司、嘉吉公司、貝克休斯公司、殼牌公司時，一旦勾選我們在路線圖中計劃的事情，現在就要做，以加速我們同意這樣做。我們編寫規範。我們編寫程式碼，我們保證品質。

We do the performance testing and we deliver them object code that they use over the life term of the agreement looks like software, smells like software is incredibly high-margin business, okay? But under the current accounting guidance of ASC 606, it has to be recognized. It's called a professional service. I don't know. That's just the language they use, but it looks like software is like software, the smells like software is, in fact, software, and I think something like 96% of our revenue consists of subscription revenue and professional engineering services.

我們進行效能測試，並向他們提供他們在協議有效期內使用的目標程式碼，看起來像軟體，聞起來像軟體是令人難以置信的高利潤業務，好嗎？但根據 ASC 606 的現行會計指導，必須承認這一點。這就是所謂的專業服務。我不知道。這只是他們使用的語言，但看起來軟體就像軟體，聞起來軟體就是軟體，事實上，我認為我們 96% 的收入來自訂閱收入和專業工程服務。

So and we will be doing more of it going forward is in the best interest of our shareholders. It's a great business, and there's nothing that is incurred about it.

因此，我們將在未來做更多的事情，這符合我們股東的最佳利益。這是一項偉大的事業，而且不會產生任何費用。

Thank you very much.

非常感謝。

Thank you, Mike.

謝謝你，麥克。

Thank you. I would now like to turn the conference back to Mr. Siebel for closing remarks. Sir?

謝謝。現在我想請西貝爾先生致閉幕詞。先生？

Ladies and gentlemen, thank you for joining our call today. Thank you for tracking the progress of C3 AI. There is no question, the company has never been positioned in a better position than it is today. There is no question, I think, in anybody's mind on this call that the market for enterprise AI is larger than it ever has been today and growing at a faster rate than any of us anticipated.

女士們先生們，感謝您今天加入我們的電話會議。感謝您追蹤C3 AI的進展。毫無疑問，該公司從未處於比今天更好的位置。我認為，毫無疑問，在這次電話會議上，任何人都會認為企業人工智慧市場比以往任何時候都大，而且成長速度比我們任何人預期的都要快。

I think that we are extraordinarily well positioned with our many partnerships, including Microsoft to seize this opportunity. I mean let's net this out, okay, guys. There's two stories through the quarter, okay 29% top line growth okay, okay, in a very close strategic partnership with the largest software company on the planet Earth. That's the beginning, that's the end, and we're going to take it from here and see what we can do with it. Ladies and gentlemen, thank you very much for your time.

我認為，我們與包括微軟在內的眾多合作夥伴處於非常有利的位置，可以抓住這個機會。我的意思是讓我們解決這個問題，好吧，夥計們。本季有兩個故事，好吧，29% 的營收成長，好吧，好吧，與地球上最大的軟體公司建立了非常密切的策略合作夥伴關係。這就是開始，這就是結束，我們將從這裡開始，看看我們能用它做什麼。女士們、先生們，非常感謝您抽出寶貴的時間。

This concludes today's conference call. Thank you for participating. You may now disconnect.

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。