Alarm.com Holdings, Inc. (ALRM) 2023 Q2 法說會逐字稿

Good day, and thank you for standing by. Welcome to the Alarm.com Q2 2023 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speakers' presentation, there will be a question-and-answer session. (Operator Instructions) Please be advised today's conference is being recorded. I would now like to hand the conference over to your speaker today, Matt Zartman. Please go ahead.

各位好，感謝您稍候。歡迎參加 Alarm.com 2023 年第二季財報電話會議。目前所有與會者皆處於僅收聽模式。講者簡報結束後，將進行問答環節。（接線員指示）請注意，今日會議將被錄音。現在我想將會議交給今日的講者 Matt Zartman。請開始。

Good afternoon, everyone, and welcome to Alarm.com's Second Quarter 2023 Earnings Conference Call. Please note that this call is being recorded. Joining us today from Alarm.com are Steve Trundle, our CEO; and Steve Valenzuela, our CFO. During today's call, we will be making forward-looking statements, which are predictions, projections, estimates or other statements about future events.

各位下午好，歡迎參加 Alarm.com 2023 年第二季財報電話會議。請注意，本次電話會議將被錄音。今天與會的 Alarm.com 代表包括我們的執行長 Steve Trundle，以及財務長 Steve Valenzuela。在今天的電話會議中，我們將作出前瞻性陳述，也就是對未來事件的預測、推估、估計或其他陳述。

These statements are based on current expectations and assumptions that are subject to risks and uncertainties that may cause actual results to differ materially from our current expectations. We refer you to the risk factors discussed in our quarterly report on Form 10-Q and Form 8-K, which will be filed shortly after this call with the SEC, along with the associated press release. This call is subject to these risk factors, and we encourage you to review these risk factors. Alarm.com assumes no obligation to update any forward-looking statements or information, which speak as of their respective dates.

這些陳述係基於目前的預期與假設，並受風險與不確定性影響，可能導致實際結果與我們目前預期存在重大差異。我們請您參閱我們的 Form 10-Q 季報與 Form 8-K 中所討論的風險因素；上述文件將於本次電話會議後不久向美國證券交易委員會（SEC）提交，並附上相關新聞稿。本次電話會議亦受這些風險因素約束，我們鼓勵您審閱這些風險因素。Alarm.com 不承擔更新任何前瞻性陳述或資訊之義務；該等陳述或資訊僅截至其各自日期為準。

In addition, several non-GAAP financial measures will be discussed on the call. A reconciliation of the GAAP and non-GAAP measures can be found in today's press release on our Investor Relations website. I'll now turn the call over to Steve Trundle. You may begin.

此外，本次電話會議將討論若干非 GAAP 財務衡量指標。GAAP 與非 GAAP 指標之調節表可於我們投資人關係網站上的今日新聞稿中查閱。現在我將電話交給 Steve Trundle。您可以開始。

Thank you, Matt. Good afternoon, and welcome to everyone. We are pleased to report that our second quarter results exceeded our expectations. SaaS and license revenue in the second quarter was $140.4 million, resulting in a non-GAAP growth rate of 13.3% over last year, excluding Baden. Our adjusted EBITDA in the second quarter was $36.4 million. I want to thank our service provider partners and the Alarm.com team for their contributions to our results and for their ongoing performance.

謝謝你，Matt。各位下午好，歡迎大家。我們很高興報告第二季業績超出我們的預期。第二季 SaaS 與授權收入為 1.404 億美元；在排除 Baden 的影響後，非 GAAP 成長率較去年同期為 13.3%。第二季調整後 EBITDA 為 3,640 萬美元。我要感謝我們的服務供應商合作夥伴以及 Alarm.com 團隊對本次成果的貢獻，以及他們持續的優異表現。

Our increasingly diverse business continued to grow despite uncertain macro conditions. Our SaaS outperformance was driven by our growing subscriber base and increasing contributions from our growth initiatives. Hardware outperformance was driven by sequential growth in the volume of camera cells, consistent with solid account creation during the quarter and normalized channel inventory levels. Our stronger-than-expected adjusted EBITDA line was driven by an increased focus on controlling costs, along with the higher performance in SaaS and hardware revenues.

在宏觀環境不確定的情況下，我們日益多元的業務仍持續成長。SaaS 表現優於預期，主要受益於訂閱用戶基礎的成長，以及我們成長型計畫貢獻的提升。硬體表現優於預期，則來自攝影機出貨量的季增，與本季穩健的帳戶新增相一致，且通路庫存水位已回歸正常。調整後 EBITDA 優於預期，主要由於我們更聚焦於成本控管，以及 SaaS 與硬體營收表現較佳。

In terms of our operations, we continue to focus on our growth strategies as we exploit the opportunities we see in commercial, international, video and our venture businesses. Collectively, SaaS revenue from these initiatives is growing faster than our total SaaS at about 25% on a trailing 12-month basis. We're carrying nice momentum into the back half of the year, and I believe we are well positioned to execute our annual plan.

在營運方面，我們持續聚焦於成長策略，並把握我們在商用、國際、影像以及創投業務所看到的機會。整體而言，這些計畫的 SaaS 收入在過去 12 個月的基礎上，以約 25% 的速度成長，快於我們整體 SaaS。進入下半年我們延續良好動能，我相信我們已具備良好條件來執行年度計畫。

On today's call, I want to provide a few product updates around our video services platform and the development of our commercial business. I'll begin with the video services platform. In the second quarter, we introduced a new video doorbell called the VDB750. Now with 3 Alarm.com developed products in the market, our video doorbell lineup offers our service providers unmatched choice, flexibility and performance options. This should allow us to drive up the attachment rate of our video doorbells through time.

在今天的電話會議中，我想就我們的影像服務平台以及商用業務的發展提供幾項產品更新。我先從影像服務平台談起。第二季我們推出一款新的影像門鈴，型號為 VDB750。隨著目前市場上已有 3 款由 Alarm.com 自行開發的產品，我們的影像門鈴產品線為服務供應商提供無可匹敵的選擇、彈性與效能方案。這應可讓我們隨時間推進，提高影像門鈴的搭售（attachment）比率。

We believe the 750 is the first battery-free video doorbell on the market. As you may know, even wire-powered video doorbells still embed and require a small battery that must be replaced periodically. With no consumable parts, the 750 is the lowest maintenance video doorbell product that service providers can install. Embedded batteries also restrict the typical video doorbell operating temperature range.

我們相信 750 是市面上第一款無電池的影像門鈴。如您所知，即使是有線供電的影像門鈴，通常仍內建並需要一顆小電池，且必須定期更換。由於沒有耗材零件，750 是服務供應商可安裝的最低維護影像門鈴產品。內建電池也會限制一般影像門鈴的運作溫度範圍。

The new 750 has an operating temperature range that is as much as 70 degrees Fahrenheit wider than other leading video doorbell brands. That's particularly important to our service providers in both the far north and the Southwest. The 750 became generally available in the second quarter, and we expect it to be adopted quickly as our service providers integrate it into their offerings.

新的 750 之運作溫度範圍，最多可比其他主流影像門鈴品牌寬 70 華氏度。這對於位於極北地區與美國西南部的服務供應商尤其重要。750 已於第二季全面上市（generally available），我們預期隨著服務供應商將其整合至產品方案中，採用速度將會很快。

Our investments in video software and cameras are consistent with the opportunity we are seeing. In the last 2 years, we've seen a double-digit growth rate in the number of Alarm.com video cameras that our service providers install monthly. Adding our video solution to a subscriber's account contributes to higher ARPU and supports an 8- to 10-year SaaS revenue stream.

我們在影像軟體與攝影機方面的投資，與我們所看到的機會一致。在過去兩年中，我們看到服務供應商每月安裝的 Alarm.com 影像攝影機數量呈現兩位數成長。將我們的影像解決方案加入訂閱戶帳戶，可帶來更高的 ARPU，並支撐 8 至 10 年的 SaaS 收入來源。

I'll now shift to discuss the significant enhancement we have made to our partner services platform so that our service providers can better manage their commercial customer accounts. As a reminder, our partner services platform is a broad suite of remote management software, resources and business intelligence solutions. We designed these capabilities to help our partners operate more efficiently while deploying more devices and services to their customers. We put a lot of effort into wrapping our consumer-facing technology with back-end services and software that enable service providers to be successful with their broad deployment of our products.

接下來我將談談我們對合作夥伴服務平台所做的重大強化，使服務供應商能更好地管理其商用客戶帳戶。提醒一下，我們的合作夥伴服務平台是一套廣泛的遠端管理軟體、資源與商業智慧解決方案。我們設計這些能力，旨在協助合作夥伴在為客戶部署更多裝置與服務的同時，提升營運效率。我們投入大量心力，將面向消費者的技術，搭配後端服務與軟體加以整合，使服務供應商能在大規模部署我們產品時取得成功。

This quarter, we expanded the business intelligence component of our partner services platform to provide new insights into commercial account performance. Our data science team was able to model historical account characteristics and identify discrete attributes that are closely associated with lower customer attrition and greater everyday system engagement.

本季我們擴充了合作夥伴服務平台中的商業智慧模組，以提供對商用帳戶績效的新洞察。我們的資料科學團隊得以對歷史帳戶特徵進行建模，並辨識出與較低客戶流失率以及更高日常系統互動度密切相關的特定屬性。

These insights were then rolled into a set of 6 specific best practices. Our service providers can implement these practices to increase customer lifetime value from their high ARPU commercial accounts. They can also monitor implementation in their commercial account base and identify opportunities for additional improvements using our business intelligence reporting engine.

這些洞察隨後被整合為 6 項具體最佳實務。我們的服務供應商可透過落實這些實務，提升其高 ARPU 商用帳戶的客戶終身價值。他們也可在其商用帳戶基礎中監控落實情況，並透過我們的商業智慧報表引擎找出進一步改善的機會。

In summary, I'm pleased with our second quarter results and our execution of our plan through the first half of 2023. We continue to expand our platform and market opportunity with the launch of innovative new products and the occasional acquisition that aligns with our long-term growth strategy. I want to thank our service provider partners and our team for their hard work and our investors for their continued trust in our business. And with that, let me turn things over to Steve Valenzuela to review our financial results and provide guidance. Steve?

總結來說，我對第二季業績以及我們在 2023 年上半年對計畫的執行感到滿意。我們持續透過推出創新新產品，以及不時進行符合長期成長策略的併購，來擴大我們的平台與市場機會。我要感謝我們的服務供應商合作夥伴與團隊的辛勤付出，也感謝投資人持續信任我們的業務。接下來，我把時間交給 Steve Valenzuela，請他回顧財務結果並提供財測指引。Steve？

Thanks, Steve. I'll begin with a review of our second quarter 2023 financial results and then provide our updated guidance before opening the call for questions. Second quarter SaaS and license revenue of $140.4 million grew 8.5% from the same quarter last year. Excluding Vivint license revenue, second quarter 2023 non-GAAP adjusted SaaS and license revenue grew 13.3% year-over-year on a comparable basis.

謝謝你，Steve。我將先回顧我們 2023 年第二季的財務結果，接著提供更新後的財測指引，然後開放提問。第二季 SaaS 與授權收入為 1.404 億美元，較去年同期成長 8.5%。若排除 Vivint 授權收入，2023 年第二季非 GAAP 調整後的 SaaS 與授權收入在可比基礎上年增 13.3%。

SaaS and license revenue includes Connect software license revenue of approximately $5.9 million for the second quarter, down as expected from $6.9 million in the year ago quarter. Our SaaS and license revenue visibility remains high with a revenue renewal rate of 93% in the second quarter, consistent with our historical trends.

SaaS 與授權收入包含第二季約 590 萬美元的 Connect 軟體授權收入，符合預期地低於去年同期的 690 萬美元。我們的 SaaS 與授權收入能見度仍維持高水準，第二季收入續約率為 93%，與我們的歷史趨勢一致。

Hardware and other revenue in the second quarter was $83.4 million at the same level as Q2 2022 and up $9.1 million or 12.3% quarter-over-quarter, mainly due to an increase in sales of cameras and access store controllers.

第二季硬體及其他收入為 8,340 萬美元，與 2022 年第二季持平，並較上一季增加 910 萬美元（季增 12.3%），主要由於攝影機與門禁控制器（access store controllers）銷售增加。

Total revenue of $223.9 million for the second quarter grew 5.2% year-over-year. SaaS and license gross margin for the second quarter was 84.6%, down from 85.6% in the year ago quarter, mainly due to lower license revenue. Hardware gross margin was 22.4% for the second quarter, up from 17.7% in Q2 2022, mainly due to favorable product mix with more commercial offerings. Total gross margin was 61.4% for the second quarter, up from 59% in the year ago quarter, mainly due to the improvement in hardware margins.

第二季總收入為 2.239 億美元，年增 5.2%。第二季 SaaS 與授權毛利率為 84.6%，低於去年同期的 85.6%，主要因授權收入較低。第二季硬體毛利率為 22.4%，高於 2022 年第二季的 17.7%，主要因產品組合更有利，商用產品占比提高。第二季總毛利率為 61.4%，高於去年同期的 59%，主要因硬體毛利率改善。

Turning to operating expenses. R&D expenses in the second quarter were $60.9 million compared to $54.2 million in Q2 2022, mainly due to an increase in headcount and related compensation expenses. We ended the second quarter with 1,053 employees in R&D, up from 919 employees in Q2 2022. Total headcount increased to 1,909 employees for the second quarter compared to 1,606 employees in the year ago quarter.

接著談營運費用。第二季研發（R&D）費用為 6,090 萬美元，相較於 2022 年第二季的 5,420 萬美元，主要是因員工人數增加及相關薪酬費用上升所致。第二季結束時，我們研發部門共有 1,053 名員工，高於 2022 年第二季的 919 名員工。第二季總員工人數增至 1,909 名，相較於去年同期的 1,606 名。

Sales and marketing expenses in the second quarter were $23.8 million or 10.6% of total revenue compared to $22.9 million or 10.8% of total revenue in the same quarter last year, mainly due to increased headcount. Our G&A expenses in the second quarter were $28.8 million, down slightly from $29.3 million in the year ago quarter due to lower headcount and compensation costs, partially offset by higher legal fees.

第二季銷售與行銷費用為 2,380 萬美元，占總營收 10.6%，相較於去年同期的 2,290 萬美元（占總營收 10.8%），主要因員工人數增加所致。第二季一般與行政（G&A）費用為 2,880 萬美元，較去年同期的 2,930 萬美元略降，原因是員工人數與薪酬成本降低，但部分被較高的法律費用所抵銷。

G&A expenses in the second quarter includes non-ordinary court litigation expense of $1.3 million, down from $5.3 million in the year ago quarter. Non-ordinary court litigation expenses are part of our adjusted measures and are excluded from our measurement of our non-GAAP financial performance.

第二季的 G&A 費用包含 130 萬美元的非經常性法院訴訟費用，低於去年同期的 530 萬美元。非經常性法院訴訟費用屬於我們的調整後衡量指標之一，並自我們衡量非 GAAP 財務表現的指標中排除。

In the second quarter, GAAP net income was $15.8 million compared to GAAP net income of $10.8 million in the year ago quarter. Non-GAAP adjusted EBITDA in the second quarter was $36.4 million compared to $37.1 million in Q2 2022. Non-GAAP adjusted net income was $26.6 million or $0.49 per diluted share in the second quarter compared to $26.9 million or $0.49 per share for the second quarter of 2022.

第二季 GAAP 淨利為 1,580 萬美元，相較於去年同期 GAAP 淨利 1,080 萬美元。第二季非 GAAP 調整後 EBITDA 為 3,640 萬美元，相較於 2022 年第二季的 3,710 萬美元。第二季非 GAAP 調整後淨利為 2,660 萬美元，或稀釋後每股 0.49 美元，相較於 2022 年第二季的 2,690 萬美元，或每股 0.49 美元。

Turning to our balance sheet. We ended the second quarter with $627 million of cash and cash equivalents, up from $622.2 million at December 31, 2022. During the quarter, we used $6.7 million to repurchase 134,255 shares over common stock at an average cost of $50.11.

接著談資產負債表。第二季結束時，我們持有的現金及約當現金為 6.27 億美元，高於 2022 年 12 月 31 日的 6.222 億美元。本季期間，我們以平均成本 50.11 美元回購普通股 134,255 股，合計使用 670 萬美元。

Turning to our financial outlook. For the third quarter of 2023, we expect SaaS and license revenue of $141.4 million to $141.6 million. For the full year of 2023, we now expect SaaS and license revenue to be between $562.3 million to $562.7 million, up from our prior guidance of $555.9 million to $556.5 million. We are projecting total revenue for 2023 of $872.3 million to $887.7 million increased from our prior guidance of $855.9 million to $881.5 million, which includes estimated hardware and other revenue of $310 million to $325 million.

接著談我們的財務展望。對於 2023 年第三季，我們預期 SaaS 與授權收入為 1.414 億至 1.416 億美元。對於 2023 年全年，我們目前預期 SaaS 與授權收入介於 5.623 億至 5.627 億美元，高於先前指引的 5.559 億至 5.565 億美元。我們預估 2023 年總營收為 8.723 億至 8.877 億美元，高於先前指引的 8.559 億至 8.815 億美元，其中包含估計硬體及其他收入 3.10 億至 3.25 億美元。

We estimate that adjusted non-GAAP EBITDA for 2023 will be between $128 million to $131 million, up from our prior guidance of $120 million to $125 million. We expect adjusted non-GAAP EBITDA for the third quarter of 2023 to represent approximately 23.5% to 24% of our annual guide.

我們估計 2023 年調整後非 GAAP EBITDA 將介於 1.28 億至 1.31 億美元，高於先前指引的 1.20 億至 1.25 億美元。我們預期 2023 年第三季的調整後非 GAAP EBITDA 約占全年指引的 23.5% 至 24%。

Adjusted non-GAAP net income for 2023 is projected to be $92.2 million to $94.2 million or $1.69 to $1.73 per diluted share, up from our prior guidance of $84.6 million to $87.5 million or $1.55 to $1.60 per diluted share. EPS is based on an estimate of 54.6 million weighted average diluted shares outstanding. We currently project our non-GAAP tax rate for 2023 to remain at 21% under current tax rules. We expect full year 2023 stock-based compensation expense of $52 million to $54 million.

2023 年調整後非 GAAP 淨利預估為 9,220 萬至 9,420 萬美元，或稀釋後每股 1.69 至 1.73 美元，高於先前指引的 8,460 萬至 8,750 萬美元，或稀釋後每股 1.55 至 1.60 美元。每股盈餘（EPS）係以加權平均稀釋後流通股數 5,460 萬股估算。我們目前預估 2023 年非 GAAP 稅率在現行稅制下維持 21%。我們預期 2023 年全年以股份為基礎的薪酬費用為 5,200 萬至 5,400 萬美元。

In summary, we are focused on executing on our strategic business plan and investing in our long-term strategy while continuing to deliver profitable growth. And with that, operator, please open the call for Q&A.

總結而言，我們專注於執行策略性業務計畫並投資於長期策略，同時持續實現獲利性成長。接下來，接線員，請開放問答（Q&A）。

(Operator Instructions) Our first question comes from Michael Funk with Bank of America.

（接線員指示）我們的第一個問題來自美國銀行（Bank of America）的 Michael Funk。

This is Matt Bullock on for Mike Funk. I'd love an update on international progress, specifically the progress you've made with signing new service providers and an overall update on how you expect international revenue growth to trend over the next couple of years.

我是 Matt Bullock，代替 Mike Funk 提問。我想請你們更新一下國際市場的進展，特別是你們在簽下新的服務供應商方面的進度，以及你們預期未來幾年國際營收成長趨勢會如何發展。

Matt, this is Steve Trundle speaking. So international, I think last quarter, we indicated growth was around 25% in that business overall. And we're not going to update this quarter, but I think we've seen that trajectory sort of continue. In terms of signing new service providers, we're out all the time and feel like we have a nice pipeline and some additional ones that are going to come on towards the end of this year.

Matt，我是 Steve Trundle。關於國際市場，我想上季我們提到該業務整體成長約 25%。本季我們不會更新這個數字，但我認為我們看到那樣的趨勢大致持續。在簽署新的服務供應商方面，我們一直在外積極拓展，並且覺得我們有不錯的案源管道，還有一些新增的合作夥伴預計會在今年底前後加入。

Can we sustain 25% sort of the next 2 years as a growth rate there? I think it's conceivable. That certainly would be our goal. So business is going to continue to grow and become a more meaningful chunk of the Alarm.com revenue base. If you look at international today, it's between 4% and 5% of total revenue. And our long-term target there is something probably in the 30% plus range. So we think there's plenty of runway, and we're out building that business every day.

未來兩年能否維持約 25% 的成長率？我認為是有可能的，這也確實會是我們的目標。因此，該業務將持續成長，並在 Alarm.com 的營收結構中占比變得更有意義。若看目前的國際業務，占總營收約 4% 到 5%。而我們的長期目標大概是 30% 以上的區間。所以我們認為仍有很大的成長空間，我們每天都在持續打造這項業務。

Super helpful. And then one more, if I could. Could you provide a little bit of additional context on what commercial ARPU looks like today versus your standard residential ARPU? And then as we move through '23 and '24, maybe even '25, how that ARPU could increase as you add more products and services?

非常有幫助。再問一個問題可以嗎？你能否提供一些額外背景，說明目前商用 ARPU 與你們標準住宅 ARPU 相比大概是什麼樣子？以及隨著我們走過 2023、2024，甚至 2025，當你們加入更多產品與服務時，ARPU 可能會如何提升？

Yes, good question. So the rule of thumb today is that commercial ARPU is around 2x the residential ARPU. You have to remember in our case that the place where we're currently strongest commercially is really small business. So the average site if we're doing access control may have 3 or 4 doors that we're doing today on average. That doesn't mean we can't take down installations where we're doing 80 to 100 doors. But on average today, we're probably stronger on the SMB side than we are on the larger enterprise side.

可以，這是個好問題。以目前的經驗法則來看，商用 ARPU 大約是住宅 ARPU 的 2 倍。你要記得，就我們而言，目前在商用領域最強的其實是小型企業。因此，如果我們在做門禁控制（access control），平均每個據點目前大概是 3 到 4 扇門。這不代表我們不能承接 80 到 100 扇門的安裝案，但就目前平均而言，我們在 SMB 端的優勢可能仍大於在大型企業端。

As we continue to build out and deploy with OpenEye, with SDS and with our commercial -- the rest of our commercial platform, I would expect that we'll have some gradual lift in that ARPU. And over time, commercial would probably be closer to -- there will be accounts, there will be outliers where it's 25x, 30x our standard residential ARPU. But on average, you'll probably see it drift up to something closer to the 3x over a long period of time.

隨著我們持續透過 OpenEye、SDS，以及我們商用平台的其他部分來建置與部署，我預期商用 ARPU 會逐步上升。長期來看，商用可能會更接近——會有一些客戶、一些離群值，其 ARPU 可能是我們標準住宅 ARPU 的 25 倍、30 倍。但平均而言，長期你可能會看到它逐步上移到更接近 3 倍的水準。

Our next question comes from Saket Kalia with Barclays.

下一個問題來自 Barclays 的 Saket Kalia。

Nice revision to the guide. Steve Trundle, maybe to start with you. On the back of the last question, I want to zoom out a little bit. You talked about growth initiatives on the whole growing at about 25% in your prepared remarks. I think that's really interesting. Can you just maybe talk about how big that business is in total and maybe rank order the components of those growth business -- of that growth business as we just think about the drivers. Does that make sense?

指引上修得不錯。Steve Trundle，我先從你開始。延續上一個問題，我想把視角拉遠一點。你在事先準備的發言中提到，整體成長型計畫的成長率大約是 25%。我覺得這很有意思。你能否談談這塊業務的總體規模大概有多大，並且就這些成長型業務的組成做個大致排序，讓我們理解主要驅動因素？這樣問合理嗎？

Yes, it absolutely makes sense. A good question. In terms of the overall scope of what we describe as the growth initiatives, it's today around 30% of our total revenue. And we bucket into that bucket, commercial, video, EnergyHub and international. So those are really the 4 key pillars of what we today characterize as growth initiatives, and we talk about that particular growth rate that I mentioned in my prepared remarks.

是的，完全合理，是個好問題。就我們所稱的「成長型計畫」的整體範圍而言，目前約占我們總營收的 30%。我們把商用、影像（video）、EnergyHub，以及國際業務歸入這個類別。因此，這四項是我們目前所界定的成長型計畫的四大支柱，而我在事先準備的發言中提到的那個成長率，就是針對這一類別所說的。

So in terms of -- and that gives you a feel for sort of the scale, and it's getting sort of bigger that bucket every quarter, obviously. In terms of ranking them, it's hard for me to rate terms of preference because I like each of those areas as long-term growth drivers in the business.

所以就——而這讓你大概感受到規模的量級，而且顯然每一季那個「桶子」都在變得更大。至於要把它們排序，我很難用偏好來排名，因為只要是這些領域，我都喜歡，並把它們視為公司長期成長的驅動力。

In terms of where we are today, I would say, in terms of size, that video and commercial are the 2 larger components of that mix. After that would be EnergyHub, which is growing nicely and is probably the #3 spot there and then international, not far behind in the #4 spot in terms of rank ordering them on today's contribution.

就我們今天的情況來看，我會說以規模而言，影像與商用是這個組合中較大的兩個組成部分。接下來是 EnergyHub，它成長得很好，應該是第 3 名；然後是國際業務，緊追在後，按今天的貢獻度來排序大概是第 4 名。

That's really helpful, actually. Steve Valenzuela, maybe for the follow-up for you and somewhat related. Is there a different margin profile for these growth businesses? I mean I know that those are all very different. And of course, they're all SaaS. But I'm just curious, as we think about that 30% inching up to 35%, into 40% in the quarters and years ahead, how might that increasing mix impact margins here as those growth businesses get bigger?

這真的很有幫助。Steve Valenzuela，或許給你一個追問，也有點相關。這些成長型業務的毛利結構會不一樣嗎？我的意思是我知道它們都很不同，當然也都是 SaaS。但我好奇的是，當我們思考那個 30% 逐步往 35%、再到未來幾季與幾年到 40% 的過程中，隨著這些成長型業務變得更大，這個組合的提升可能會如何影響這裡的毛利？

Yes. Steve kind of talked about it. Most of those growth businesses are in the Alarm.com segment, where we have SaaS gross margins in the mid-80s. In the other segment, which includes EnergyHub, have, generally, that gross margin is a little bit lower, generally in the 65% to 69% range -- in the mid- to upper 60% range.

會的。Steve 其實有提到。那些成長型業務大多在 Alarm.com 這個部門裡，我們的 SaaS 毛利率在 80% 中段。另一個部門（包含 EnergyHub）一般毛利率會低一些，通常在 65% 到 69% 的區間——也就是 60% 中段到高段。

So as the growth business continue to grow, we might see a little bit of a drop in the gross margin. As a matter of fact, if you look at Q1 versus Q2 2023, gross margin did come down a little bit on SaaS, only about 80 basis points. Some of that is because the other segment actually is now 9% of our revenue, which is great news. It was 8% a year ago. And so there'll be a little bit of an impact, but I wouldn't expect more than 100 to 200 basis point impact on the SaaS gross margin.

所以隨著成長型業務持續成長，我們可能會看到毛利率略微下滑。事實上，如果你看 2023 年 Q1 對比 Q2，SaaS 的毛利率確實有小幅下降，大概只有 80 個基點。其中一部分原因是，另一個部門現在占我們營收的 9%，這是好消息；一年前是 8%。因此會有一些影響，但我不預期對 SaaS 毛利率的影響會超過 100 到 200 個基點。

And then just to pile on, Steve is talking about the SaaS. On the hardware piece, these areas, particularly the commercial side, tend to generate a little higher margin on hardware revenue. That's just sort of normal course is that hardware in the commercial sector is, at least today, we're driving margins more in the 30% to 40% range there.

再補充一下，Steve 談的是 SaaS。就硬體部分而言，這些領域，特別是商用端，通常在硬體營收上會帶來稍高的毛利。這算是常態：商用領域的硬體，至少以目前來看，我們推動的毛利大約在 30% 到 40% 的區間。

Yes. That's a good point. So what I was talking about was all SaaS, gross margins, hardware gross margins generally in commercial are in the 40% range, as Steve was talking about. Got it. Super helpful, guys. I'll get back in queue.

是的，這點很好。所以我剛剛談的是全部 SaaS 的毛利；硬體毛利方面，商用端一般在 40% 左右，就像 Steve 說的。了解。非常有幫助，各位。我回到隊列裡。

Our next question comes from Jake Norrison with Raymond James.

我們的下一個問題來自 Raymond James 的 Jake Norrison。

Just a couple from me. If you could provide more color on the renewal rate. I know it's sort of hovered near that 93%, 94% for a few years now. How high could this go? Do you have any long-term targets? And what would be the puts and takes for driving that number up?

我這邊有兩個問題。能否多提供一些續約率的細節？我知道這幾年大概都在 93%、94% 附近徘徊。這個數字最高可能到多少？你們有任何長期目標嗎？以及要把這個數字往上推，主要的利多與利空因素會是什麼？

So generally, it's been 92% to 94% has been the renewal rate, and that's the revenue renewal rate. We did see it at one point during COVID at 94%. That's when there was fewer moves. I think it's important to point out, generally, when there's fewer moves, there's less attrition. So that does contribute to a higher renewal rate.

一般來說，續約率一直在 92% 到 94% 之間，那是營收續約率。我們在 COVID 期間某個時間點確實看到 94%，那時候搬家移動比較少。我覺得要強調的是，通常搬家移動較少時，流失就較低，所以會推升續約率。

Also, I think that as we have video, video analytics, those are very sticky. And think about that those really came out about 4 years ago and the lifetime of a customer is 8 to 10 years. So over a long period of time with these enhanced services, I would expect that we would see higher retention rate.

另外，我也認為，隨著我們有影像、影像分析，這些服務黏著度非常高。想想看，這些大概是在 4 年前推出，而客戶的生命週期是 8 到 10 年。所以長期來看，有了這些強化服務，我預期我們會看到更高的留存率。

Now it takes time because you've got 9 million subscribers over a long period of time. It's like moving a large boat, right, it's a while to shift over. But over time, we should see an increase in that retention rate as all of these value-added services really cause even a longer lifetime. Already today, we have an 8- to 10-year life, which is pretty long. So over a long period of time, I would say I would be surprised if the retention rate doesn't go up.

當然這需要時間，因為你有 900 萬訂戶，分布在很長的期間裡。這就像在移動一艘大船一樣，要花一段時間才能轉向。但隨著時間推進，當所有這些加值服務真的讓客戶生命週期更長時，我們應該會看到留存率上升。其實今天我們就已經有 8 到 10 年的生命週期，這已經很長了。所以長期而言，如果留存率沒有上升，我反而會感到意外。

I appreciate that color. And then last one for me. Just from a higher level, could you talk about the puts and takes of returning to that 20% plus EBITDA margin range? And maybe how we should think about that for fiscal '24?

謝謝這些說明。最後一題，從更高層次來看，你能談談回到 20% 以上 EBITDA 利潤率區間的利多與利空因素嗎？以及我們在 2024 財年應該如何看待這件事？

Sure. I guess, higher level means -- this is Steve Trundle speaking. Sure. I think you've seen us -- in the last quarter, we were able to come in a little better on adjusted EBITDA than we expected. There was some increased focus on cost, and we had some (inaudible) on both SaaS and hardware revenue that contributed to that.

當然。我想你說的「更高層次」是——我是 Steve Trundle。好的。我認為你已經看到我們——在上一季，我們的調整後 EBITDA 表現比預期好一些。我們更聚焦在成本上，而且在 SaaS 與硬體營收兩邊都有一些（聽不清）因素，對此有所貢獻。

In terms of the margin profile in the business it's a little early for us yet to really forecast exactly what we're going to do in 2024. I don't want to shy away from the question, but I would say, generally, I look at what are the items that -- what do we have on our stack and where are we in the growth cycle and the various initiatives we have underway and what sort of investment makes sense.

就公司整體的利潤率結構而言，現在對我們來說要精準預測 2024 年會怎麼走，還稍微早了一點。我不想迴避這個問題，但我一般會看的是——我們的待辦清單上有哪些項目、我們在成長週期的哪個階段、正在推進的各項計畫是什麼，以及什麼樣的投資是合理的。

We don't want to get so enamored with investment that we don't deliver EBITDA, but we're looking more in the we'll kind of move towards that direction. But I think our internal guideline that we shoot for is more in 17%, 18% range right now.

我們不希望過度迷戀投資而忽略了交出 EBITDA，但我們的方向是會逐步往那邊靠攏。不過我想我們目前內部設定的指引目標，大概是在 17%、18% 的區間。

Our next question comes from Matt Pfau, William Blair.

我們的下一個問題來自 William Blair 的 Matt Pfau。

I wanted to ask on the Gopher product you released and some of the AI functionality that you're incorporating with your service providers. Does this help you on the cost side at all? And if so, is it meaningful enough to help you out from a margin perspective at all?

我想問你們推出的 Gopher 產品，以及你們與服務供應商合作導入的一些 AI 功能。這在成本端有幫助嗎？如果有，從利潤率角度看，是否足夠顯著、能帶來實質幫助？

I would hope that through time, it helps us on the cost side. Right now, our focus is really on enhancing the services and the experience that our service providers have when they seek support or help from us. But one can imagine that as the service providers become more comfortable interacting with Gopher, when Gopher delivers results faster and as good as a person that we may see some shift to the AI interface and that could help us on the support side of the cost equation.

我希望隨著時間推進，它能在成本端幫到我們。眼下我們的重點其實是強化服務，以及服務供應商在向我們尋求支援或協助時的體驗。但可以想像的是，當服務供應商更習慣與 Gopher 互動、當 Gopher 能更快交付結果且品質不輸真人時，我們可能會看到更多轉向 AI 介面，這或許能在支援成本這一塊帶來幫助。

That said, we've built our business around doing the best we can to provide high-quality support to the service providers. It's important for us to do that if we're continuing to ship new products. They need to feel like -- if we work with Alarm.com, and we're out there with a new product that we can get great support on it. So we're going to continue that as sort of the #1 priority, but I can imagine that with what we're doing with AI that over time, we could see some reduction in in-person call volume.

話雖如此，我們的業務一直是以盡最大努力為服務供應商提供高品質支援為核心。若我們持續出貨新產品，這點對我們很重要。他們需要覺得——如果我們跟 Alarm.com 合作、在外面推出新產品，我們能得到很好的支援。所以我們會繼續把這當作第一優先，但我可以想像，隨著我們在 AI 上的作為，長期來看，我們可能會看到真人來電量有所下降。

I think there also are opportunities though with the large libraries to do some additional things internally. And we've got a number of initiatives that are maybe not as customer-focused, but just in terms of our own processes and things we work on every day to take better advantage of some of the AI capabilities there.

我也認為，利用大型資料庫，我們在內部還有一些額外機會可以做更多事情。我們有不少計畫可能不是那麼以客戶為導向，而是針對我們自己的流程，以及每天在做的事情，去更好地運用一些 AI 能力。

And then, of course, the other piece of AI is what we do with video analytics, and we've been doing that for a long time. But there, we're productizing the capability and putting it out in the market.

然後當然，AI 的另一塊是我們在影像分析上所做的事情，我們做這個已經很久了。但在那裡，我們正在把這項能力產品化，並推向市場。

Got it. And I wanted to circle back to your comments around the new video doorbell that you released. Maybe if you could just give us some sort of idea what attach rates of video doorbells to subscribers have been? And then with the release of this product, is that going to move that up meaningfully in your view?

了解。我想回到您先前提到的、您剛推出的新款影像門鈴。能否請您大概說明一下，影像門鈴在訂戶中的搭售／附加購買率（attach rate）目前大概是多少？另外，隨著這項產品的推出，您認為這個比率會不會有顯著提升？

Yes, good question. That's our hope. So we have good product today out in the market with video doorbell. We have taken feedback from service providers that in some markets, particularly those that have a lot of temperature extremes, they're challenged when they install a video doorbell. If you have a south-facing exposure on a home and you have a front door there, and it's 130 degrees outside with -- or even 110 with a lot of direct sunlight, it could be a challenge. So 750 solves that. Our goal would be to drive up attachment.

是的，問得很好。這正是我們的期待。我們目前在市場上已經有不錯的影像門鈴產品。我們也從服務供應商那裡收到回饋：在某些市場，特別是溫差極端的地區，他們在安裝影像門鈴時會遇到挑戰。若房屋是朝南、前門又在那一側，室外溫度達到130華氏度——甚至110華氏度再加上強烈日照——就可能會有困難。因此，750可以解決這個問題。我們的目標是提高搭售率。

Attachment has been in the 25% to 30% range. And we think there's an opportunity to get that probably over time closer to the 40% to 50% range. Some homes already have door bells. The nice thing is even if they have a third-party doorbell today, it doesn't exclude us from providing the smart home experience. It's just we may not replace the existing doorbell. But we're seeing cases where the existing doorbell is usually not our own. So when I refer to existing doorbell, I mean third-party products, where those are broken as well or not working well, et cetera.

目前搭售率大約在25%到30%之間。我們認為，隨著時間推進，有機會把它提升到更接近40%到50%的區間。有些住家本來就已經有門鈴。好處是，即使他們現在使用的是第三方門鈴，也不會排除我們提供智慧家庭體驗；只是我們可能不會去替換既有門鈴。但我們看到的案例是，既有門鈴通常不是我們自家的。我所說的既有門鈴，是指第三方產品，而那些產品也常常會壞掉或運作不佳等等。

So hope is that with the 750, we can drive up that attachment, also reduce the likelihood. I mean, we're constantly focused on ways to reduce attrition. So if you have a product in the market that causes a problem for the consumer, there's a risk that you no longer are able to build services associated with that product. So we want to drive down any sort of revenue attrition that may come from doorbells that go dormant because either their battery is bad or they weren't prepared to handle either the extreme heat or the extreme cold.

所以我們希望透過750來提高搭售率，同時也降低相關風險。我是說，我們一直在想辦法降低流失（attrition）。如果市場上的某個產品會給消費者帶來問題，就會有風險導致你無法再建立與該產品相關的服務。因此，我們希望降低任何可能的營收流失，這些流失可能來自於門鈴因為電池故障，或未能應對極端高溫或極端低溫而變成閒置（dormant）。

Our next question comes from Darren Aftahi with ROTH MKM.

下一個問題來自ROTH MKM的Darren Aftahi。

A question for you. Maybe I think at ISC West, you guys announced the LTE Cell Connector and I think you made some comments about strength in hardware being related to door controller access. I guess kind of any update there? And are those 2 connected?

我有個問題。也許是在ISC West上，你們宣布了LTE Cell Connector，而且我記得你們提到硬體的強勁表現與門禁控制（door controller access）有關。我想問一下這方面有沒有更新？另外，這兩者有關聯嗎？

Yes. So we got Cell Connector out in the second quarter. It's now being installed. Has it been a primary driver of the beat on hardware? No. It wasn't a primary driver, but the access control business is growing nicely in the mid-40s range, and that's continued now. And I think Cell Connector is contributing to that growth. It's one more way that a service provider can attack an installation with our products and bring a new subscriber onto our services.

有的。我們在第二季推出了Cell Connector，現在已經開始安裝。它是否是硬體超預期（beat）的主要驅動因素？不是。它不是主要驅動，但門禁控制業務正以約40%中段的增速良好成長，而且目前仍在延續。我認為Cell Connector正在為這個成長做出貢獻。它讓服務供應商在使用我們產品進行安裝時多了一種方式，並把新訂戶帶入我們的服務。

So the product is out. It's selling. I just can't say that it by itself was a primary driver. I think Steve mentioned the door controllers probably were a bigger driver because they're a bigger chunk of the average installation and then video cameras were the second driver on the hardware beat.

所以產品已經上市，也在銷售中。我只是不能說它單獨就是主要驅動因素。我想Steve提到的門禁控制器（door controllers）可能是更大的驅動，因為它們在平均安裝案中的占比更高；而影像攝影機則是硬體超預期的第二大驅動因素。

That's helpful. And then just kind of big picture, just given the housing market with interest rates and lack of supply, I'm just curious, like, is that having a beneficial effect to your retention rate? And then on the inverse, are you seeing a slowdown in residential sort of new gross adds?

這很有幫助。接著從更宏觀的角度來看，考量到利率上升以及供給不足的房市狀況，我很好奇：這是否對你們的留存率（retention rate）有正面影響？反過來說，你們是否看到住宅端的新客新增（new gross adds）有放緩？

Yes, 2-part question there. In terms of the interest rates impacting attrition, Traditionally, you're exactly right that if you have fewer moves in a market, then you will have you have typically lower attrition and you may have a slightly subdued creation rate as well because there are fewer new homeowners being originated. We haven't really seen that yet on either front. So as far as we can tell, the builder channel for us looks pretty strong. Builders continue to build a fair number of homes. There's been a nice backlog there. So we haven't really seen yet a decline in terms of production going in new homes.

是的，這是兩個部分的問題。就利率對流失的影響而言，傳統上你說得完全正確：如果市場上的搬遷變少，通常流失會更低，而新增創造率也可能稍微受到抑制，因為新屋主的形成變少。但我們在這兩方面其實都還沒有明顯看到。就我們所見，對我們而言建商通路看起來仍相當強勁。建商仍在興建相當數量的房屋，且有不錯的待交屋／待建案量（backlog）。因此，我們尚未看到新屋導入（production going in new homes）有下降。

Now it's not a huge chunk of our business, but it's 50,000, 60,000 new installs a year. So it's meaningful. We haven't seen that rate really drop. In terms of attrition due to higher interest rates, I don't think we've necessarily seen a positive tailwind there yet, it's been sort of steady state as evidenced by our revenue retention metric.

當然，這不是我們業務中最大的部分，但一年大約有5萬到6萬個新安裝，所以很有意義。我們沒有看到這個速度明顯下滑。至於因利率較高而帶來的流失變化，我不認為我們已經看到明顯的正向順風（tailwind）；目前大致維持穩態，這也反映在我們的營收留存（revenue retention）指標上。

Our next question comes from Jack Codera with Maxim Group.

下一個問題來自Maxim Group的Jack Codera。

This is Jack Codera calling in for Jack Vander Aarde. I kind of want to elaborate on that last question that was asked. Last quarter, you guys talked on some macro trends. One being activation seems strong, but consumers in some areas, some regions had maybe a slightly smaller footprint on a number of devices year-over-year. Given your guys' guidance raise, it seems like that -- maybe that's not the case anymore, but are you still seeing that trend play out? And are you able to quantify that at all?

我是Jack Codera，代替Jack Vander Aarde提問。我想延伸剛才那個問題。上季你們談到一些總體趨勢，其中之一是啟用（activation）看起來很強，但某些地區的消費者在裝置數量上，年對年可能略為縮小。以你們這次上調指引來看，似乎那種情況——也許已經不再發生，但你們是否仍看到那個趨勢？你們能否量化一下？

Yes. Good memory. So I think that we've seen over the last quarter, I mean, we were a little surprised ourselves by the outperformance on hardware during the quarter, again, driven heavily by video camera sales.

是的，你記得很清楚。我想在過去一季，我們自己也對硬體在本季的超預期表現有點意外，而這主要是由影像攝影機銷售所帶動。

So it seems like the consumer -- there's really possibly 2 explanations there. One is the consumer has kind of returned to normal, if you will, a bit in the second quarter. The other is just that the inventory levels being held by service providers normalize some during the quarter. And I'm not sure we have an update on exactly which of those 2 is the more likely contributor. But could we measure it? Yes. Do I have the measurement in front of me right now? The answer is, unfortunately, I don't.

所以看起來消費者端——可能有兩種解釋。第一，消費者在第二季某種程度上回到較正常的狀態。第二，服務供應商持有的庫存水位在本季有所正常化。我們目前不確定這兩者之中哪一個更可能是主要貢獻因素。能不能衡量？可以。我現在手邊有沒有那個衡量數據？很遺憾，沒有。

That's helpful color. My apologies if this is another kind of non-question. But I'd also be interested to hear on the regional side, you guys mentioned that Canada was performing like kind of strangely well, but you didn't really know why that is. Have you guys been able to figure that out at all?

這些補充很有幫助。若這又算是一個不太像問題的問題，先跟你們致歉。不過我也想聽聽區域面的情況：你們提到加拿大表現好得有點異常，但你們當時也不太確定原因。你們後來有釐清嗎？

Canadian market, you're talking about, Canadian market has been a good performer for a while, so not surprising to us.

你是指加拿大市場嗎？加拿大市場一直以來都是表現很好的市場，所以對我們來說並不意外。

I think he's referring back to prior quarter, maybe where we had a Q&A on that or something. But no, Canada has continued to be strong for us. I think if I were to say why it would be that we have the right service providers in Canada. We've been in the market a long time. The consumer appears to have been resilient there. We haven't really seen any drop off, I would say, in contribution coming from Canada. So it continues to be a good market.

我想他是在回指上一季，可能我們在Q&A有談到之類的。不過沒有，加拿大對我們而言仍然持續強勁。如果要說原因，我會說我們在加拿大有合適的服務供應商。我們在那個市場耕耘很久了。消費者看起來也相當有韌性。我們沒有看到來自加拿大的貢獻有任何下滑。所以它仍然是一個很好的市場。

And I'm not showing any further questions at this time. So this does conclude today's presentation. You may now disconnect, and have a wonderful day. Thank you.

目前我這邊沒有看到其他問題。因此，今天的簡報到此結束。各位現在可以斷線，祝您有美好的一天。謝謝。