Box Inc (BOX) 2024 Q2 法說會逐字稿

完整原文

使用警語:中文譯文來源為 Google 翻譯,僅供參考,實際內容請以英文原文為主

  • Operator

    Operator

  • Good afternoon. My name is Emma, and I will be your conference operator today. (Operator Instructions).

    下午好。我叫艾瑪,今天我將擔任你們的會議操作員。 (操作員說明)。

  • Thank you. I will now turn the call over to the Box team.

    謝謝。我現在將把電話轉給 Box 團隊。

  • Cynthia Hiponia - VP of IR

    Cynthia Hiponia - VP of IR

  • Good afternoon, and welcome to Box's Second Quarter Fiscal Year '24 Earnings Conference Call. I'm Cynthia Hiponia, Vice President, Investor Relations. On the call today, we have Aaron Levie, Box Co-Founder and CEO; and Dylan Smith, Box Co-Founder and CFO.

    下午好,歡迎參加 Box '24 財年第二季度收益電話會議。我是辛西婭·希波尼亞 (Cynthia Hiponia),投資者關係副總裁。今天的電話會議有 Box 聯合創始人兼首席執行官 Aaron Levie;迪倫·史密斯 (Dylan Smith),Box 聯合創始人兼首席財務官。

  • Following our prepared remarks, we will take your questions. Today's call is being webcast and will also be available for replay on our IR website at box.com/investors. Our webcast will be audio only. However, supplemental slides are now available for download from our website. We'll also post the highlights of today's call on the X platform handle @BoxIncIR.

    在我們準備好的發言之後,我們將回答您的問題。今天的電話會議正在進行網絡直播,也可以在我們的投資者關係網站 box.com/investors 上重播。我們的網絡廣播將僅是音頻。不過,現在可以從我們的網站下載補充幻燈片。我們還將在 X 平台賬號 @BoxIncIR 上發布今天通話的要點。

  • On this call, we will be making forward-looking statements, including our third quarter and full year fiscal 2024 financial guidance and our expectations regarding our financial performance for fiscal 2024 and future periods, including our free cash flow, gross margins, operating margins, operating leverage, future profitability, net retention rates, remaining performance applications, revenue and billings and the impact of foreign currency exchange rates and our expectations regarding the size of our market opportunity, our planned investments, future product offerings and growth strategies; our ability to achieve our revenue, operating margins and other operating model targets, the timing and market adoption of and benefits from our new products, pricing models and partnerships; the timing of our public cloud migration efforts, our ability to address enterprise challenges and deliver cost savings for our customers, the impact of the macro environment on our business and operating results and our capital allocation strategies, including potential repurchase of our common stock.

    在本次電話會議上,我們將做出前瞻性陳述,包括我們的2024 財年第三季度和全年財務指引以及我們對2024 財年和未來期間財務業績的預期,包括我們的自由現金流、毛利率、營業利潤率、運營槓桿、未來盈利能力、淨保留率、剩餘績效應用、收入和賬單以及外幣匯率的影響以及我們對市場機會規模、計劃投資、未來產品供應和增長戰略的預期;我們實現收入、營業利潤率和其他運營模式目標的能力、新產品、定價模式和合作夥伴關係的時機和市場採用以及受益;我們的公共雲遷移工作的時機、我們應對企業挑戰並為客戶節省成本的能力、宏觀環境對我們的業務和經營業績的影響以及我們的資本配置策略,包括潛在的普通股回購。

  • These statements reflect our best judgment based on factors currently known to us, and actual events or results may differ materially. Please refer to our earnings press release filed today and the risk factors and documents we filed with the Securities and Exchange Commission, including our most recent quarterly report on Form 10-Q for information on the risks and uncertainties that may cause actual results to differ materially from statements made on this earnings call.

    這些陳述反映了我們根據目前已知因素做出的最佳判斷,實際事件或結果可能存在重大差異。請參閱我們今天提交的收益新聞稿以及我們向美國證券交易委員會提交的風險因素和文件,包括我們最新的 10-Q 表季度報告,了解可能導致實際結果出現重大差異的風險和不確定性的信息摘自本次財報電話會議的聲明。

  • These forward-looking statements are being made today as of August 29, 2023, and we disclaim any obligation to update or revise them should they change or cease to be up to date. In addition, during today's call, we will discuss non-GAAP financial measures. These non-GAAP financial measures should be considered in addition to, not as a substitute for or in isolation from our GAAP results. You can find additional disclosures regarding these non-GAAP measures, including reconciliations with comparable GAAP results in our earnings press release and in the related supplemental slides, which can be found on the IR page of our website. Unless otherwise indicated, all references to financial measures are on a non-GAAP basis.

    這些前瞻性陳述截至 2023 年 8 月 29 日作出,如果這些陳述發生變化或不再更新,我們不承擔更新或修改這些陳述的義務。此外,在今天的電話會議中,我們將討論非公認會計準則財務指標。這些非公認會計原則財務指標應作為我們公認會計原則結果的補充,而不是替代或孤立於我們的公認會計原則結果之外。您可以在我們的收益新聞稿和相關補充幻燈片中找到有關這些非 GAAP 指標的其他披露信息,包括與可比 GAAP 結果的對賬,這些幻燈片可以在我們網站的 IR 頁面上找到。除非另有說明,所有提及的財務指標均以非公認會計原則為基礎。

  • With that, let me hand the call over to Aaron.

    那麼,讓我把電話轉給亞倫。

  • Aaron Levie - Co-Founder, CEO & Director

    Aaron Levie - Co-Founder, CEO & Director

  • Thank you, Cynthia, and thanks, everyone, for joining us today. In Q2, we delivered revenue growth of 6% year-over-year or 9% in constant currency. Our 25% operating margins were up 310 basis points from a year ago, reflecting our operational discipline in a continued challenging macro environment. Over the last few months, I have spoken with customers across nearly every sized business, geography and industry. While customers are still facing various macro pressures that impact IT spend and see growth in the near term, Box is still being prioritized in the areas where our unique value proposition is aligned with the IT decisions they are making in the near and long term around digital imperatives and the role of AI.

    謝謝辛西婭,也謝謝大家今天加入我們。第二季度,我們的收入同比增長 6%,按固定匯率計算增長 9%。我們 25% 的營業利潤率比一年前上升了 310 個基點,反映了我們在持續充滿挑戰的宏觀環境中的運營紀律。在過去的幾個月裡,我與幾乎所有規模的企業、地域和行業的客戶進行了交談。儘管客戶仍面臨影響 IT 支出並在短期內實現增長的各種宏觀壓力,但 Box 仍優先考慮我們獨特的價值主張與他們在近期和長期圍繞數字化做出的 IT 決策相一致的領域。當務之急和人工智能的作用。

  • In my conversations with CIOs, it's clear that they're looking to advance their digital strategies to help drive growth in their business, improve productivity across their organization, leverage integrated platforms that can provide them more value and keep their enterprises secure from threats. At the same time, they have more content than ever before and are looking to leverage AI to accelerate their business processes and how they work.

    在我與首席信息官的對話中,很明顯,他們希望推進數字化戰略,以幫助推動業務增長、提高整個組織的生產力、利用可以為他們提供更多價值並確保企業免受威脅的集成平台。與此同時,他們擁有比以往更多的內容,並希望利用人工智能來加速他們的業務流程和工作方式。

  • The Box Content Cloud is in a unique position to enable enterprises to drive productivity across the business, simplify IT environments and protect an enterprise's most important data. And with our platform-neutral approach to AI, we're bringing the full range of large language models to enable customers to transform how they work with their data in the cloud.

    Box Content Cloud 處於獨特的地位,可以幫助企業提高整個業務的生產力、簡化 IT 環境並保護企業最重要的數據。通過我們平台中立的人工智能方法,我們帶來了全方位的大型語言模型,使客戶能夠改變他們在雲中處理數據的方式。

  • Recent customer wins in Q2 that validate our strategy is working and that we are aligned to the key trends facing our customers include a federal institutional system who purchased Box with a 6-figure deal to enable the organization to move to the cloud for secured document collaboration and workflow.

    第二季度最近贏得的客戶證明我們的戰略正在發揮作用,並且我們與客戶面臨的主要趨勢保持一致,其中包括一個聯邦機構系統,該系統以6 位數的價格購買了Box,使組織能夠遷移到雲以實現安全的文檔協作和工作流程。

  • With Box, they will be able to conduct necessary audits and exams of other government agencies by collaborating effectively and seamlessly internally as well as with external parties while also securely managing documents in a single platform, an international offer that expanded its use of Box with a 7-figure upsell as the company adopts Box enterprise-wide as its single content layer, it will eliminate storage costs from other platforms, remove costs from legacy file servers as well as eliminate e-signature solution costs by moving to Box Sign and a large global video game and digital entertainment company, who has been a Box customer for more than 10 years, expanded its use of Box with a 6-figure upsell to Enterprise Plus for access to Box's Shield capabilities.

    借助Box,他們將能夠通過有效、無縫的內部以及外部各方協作,對其他政府機構進行必要的審計和檢查,同時還能在單一平台中安全地管理文檔,這是一項國際產品,擴大了Box 的使用範圍由於該公司在整個企業範圍內採用Box 作為其單一內容層,因此銷售量達到了7 位數,這將消除其他平台的存儲成本、傳統文件服務器的成本,以及通過遷移到Box Sign 和大型應用程序來消除電子簽名解決方案的成本。這家全球視頻遊戲和數字娛樂公司已成為Box 客戶10 多年,該公司通過向Enterprise Plus 追加銷售6 位數來擴大其對Box 的使用,以訪問Box 的Shield 功能。

  • In Q2, we delivered meaningful updates to our platform to help customers drive their productivity and automate workflows, secure their most important content and integrate Box into more of their IT stack. To advance Box's security and compliance capabilities, we introduced a new retention policy integration for Box Shield classifications, added zero trust 2.0 enhancements for admins and Box Governance reporting enhancements as well.

    在第二季度,我們對平台進行了有意義的更新,以幫助客戶提高工作效率並實現工作流程自動化、保護他們最重要的內容並將 Box 集成到更多的 IT 堆棧中。為了提高 Box 的安全性和合規性功能,我們為 Box Shield 分類引入了新的保留策略集成,為管理員添加了零信任 2.0 增強功能,還增強了 Box 治理報告功能。

  • To streamline workflows and productivity, we delivered new advanced signature request management in Box Sign, continued rolling out Box Canvas to all customers as well as launched new enhancements to our end user app. And across our platform, in Q2, we released updates to Box Sign for Salesforce, Box for Slack, Box for Salesforce as well as Box for NetSuite.

    為了簡化工作流程和提高生產力,我們在 Box Sign 中提供了新的高級簽名請求管理,繼續向所有客戶推出 Box Canvas,並對我們的最終用戶應用程序推出了新的增強功能。在我們的平台上,第二季度我們發布了 Box Sign for Salesforce、Box for Slack、Box for Salesforce 以及 Box for NetSuite 的更新。

  • Finally, we launched additional enhancements to the box for Microsoft 365 integrations, including new enhancements to Box for Teams and Box for Microsoft Office on the desktop. And consistent with our platform-neutral approach to AI innovation. In July, we announced Box AI for Microsoft 365 Copilot, a new plug-in for Microsoft's next-generation AI workplace tool. The plug-in will enable our joint customers to use Microsoft 365 Copilot to make the Box files inside of an organization more useful and valuable than ever.

    最後,我們推出了針對 Microsoft 365 集成的 Box 的其他增強功能,包括桌面版 Box for Teams 和 Box for Microsoft Office 的新增強功能。並與我們平台中立的人工智能創新方法保持一致。 7 月,我們發布了 Box AI for Microsoft 365 Copilot,這是 Microsoft 下一代 AI 工作場所工具的新插件。該插件將使我們的共同客戶能夠使用 Microsoft 365 Copilot 使組織內部的 Box 文件比以往更加有用和有價值。

  • Now looking forward, we continue to drive substantial innovation for our customers to deliver the best way for them to manage their full life cycle of content in the cloud. In security and governance, we're advancing Box Shield to help customers stay protected against their most daunting threats around losing sensitive data. We are expanding our governance capabilities to help customers with their content life cycle management and we're making continued progress on delivering the most compliant content platform.

    現在展望未來,我們將繼續為客戶推動實質性創新,為他們提供管理雲中內容的整個生命週期的最佳方式。在安全和治理方面,我們正在推進 Box Shield,以幫助客戶免受敏感數據丟失帶來的最可怕的威脅。我們正在擴展我們的治理能力,以幫助客戶進行內容生命週期管理,並且我們在提供最合規的內容平台方面不斷取得進展。

  • On the productivity front, we'll be adding important feature updates to make collaborating with Box Canvas and Box Notes more powerful and enhance Box Sign and relay capabilities to automate our customers' most important workflows. And in our platform, we're advancing our integrations with leading external platforms as well as delivering enhanced experiences and reporting for developers building on Box.

    在生產力方面,我們將添加重要的功能更新,以使與 Box Canvas 和 Box Notes 的協作更加強大,並增強 Box Sign 和中繼功能,以自動化客戶最重要的工作流程。在我們的平台中,我們正在推進與領先的外部平台的集成,並為基於 Box 的開發人員提供增強的體驗和報告。

  • And with Box AI, we're bringing intelligence to enterprise content. We've seen an incredible response to Box AI in the first couple of months since our announcement. We know that AI is going to transform how enterprises work with their data and organizations are going to need a secure way to connect their most important data to leading AI models. And with Box AI, we're building the leading platform-neutral approach to connecting enterprise content to AI, starting with OpenAI's leading large language models.

    借助 Box AI,我們正在為企業內容帶來智能。自我們發佈公告以來的頭幾個月,我們看到了對 Box AI 的令人難以置信的反響。我們知道,人工智能將改變企業處理數據的方式,而組織將需要一種安全的方式將其最重要的數據連接到領先的人工智能模型。通過 Box AI,我們正在構建領先的平台中立方法,將企業內容與人工智能連接起來,從 OpenAI 領先的大型語言模型開始。

  • In our early customer conversations, including in our design partner program, we are hearing valuable feedback on use cases from customers that are looking to automatically extract metadata from their documents to drive workflows, ask questions of large sets of documents to find things no human would be able to answer or intelligently protect their content with more advanced data classification. And this is just the start of what's possible. Our customers are excited about the new possibilities for productivity and insight they will gain from using Box AI with their content.

    在我們早期的客戶對話中,包括在我們的設計合作夥伴計劃中,我們聽到了客戶對用例的寶貴反饋,這些客戶希望從文檔中自動提取元數據以驅動工作流程,詢問大量文檔的問題以找到人類無法找到的東西能夠通過更高級的數據分類來回答或智能地保護其內容。這只是一切可能的開始。我們的客戶對通過將 Box AI 與其內容結合使用而獲得的生產力和洞察力的新可能性感到興奮。

  • We'll be sharing even more news at BoxWorks around how we're advancing Box AI and bringing it into the hands of even more customers. At BoxWorks this October, we're excited to share updates from across the entire product platform to our customers and lay out our vision for the future of work with AI.

    我們將在 BoxWorks 上分享更多關於我們如何推進 Box AI 並將其帶到更多客戶手中的新聞。在今年 10 月的 BoxWorks 上,我們很高興能夠向客戶分享整個產品平台的更新,並闡述我們對人工智能未來工作的願景。

  • This year's BoxWorks is set to be our best one yet. And we've just announced headliners like Sam Altman, the CEO of OpenAI, Dustin Moskovitz, the CEO of Asana and Lidiane Jones, the CEO of Slack, all discussing the future work in AI. Further, we will also be hosting our first in-person CIO works post pandemic in Palo Alto on October 24, and where we will host our top customers with some of the key leaders in AI and technology.

    今年的 BoxWorks 注定是我們迄今為止最好的一屆。我們剛剛宣布了 OpenAI 首席執行官 Sam Altman、Asana 首席執行官達斯汀·莫斯科維茨 (Dustin Moskovitz) 和 Slack 首席執行官 Lidiane Jones 等頭條人物,他們都在討論人工智能的未來工作。此外,我們還將於 10 月 24 日在帕洛阿爾托舉辦疫情后的首次 CIO 面對面工作,並在那裡接待我們的頂級客戶以及人工智能和技術領域的一些主要領導者。

  • Finally, I'd like to note a critical milestone that in Q3 we will be fully running our production environment in the cloud. This has been a major multiyear effort to move our infrastructure from our data centers to the cloud to gain better performance scalability and gross margins. Dylan will discuss the impact to our gross margins more fully in his comments. But given the complexity of this migration, I'm incredibly proud of our execution on this critical initiative.

    最後,我想指出一個重要的里程碑,即在第三季度,我們將在雲中完全運行我們的生產環境。這是我們多年來的一項重大努力,旨在將我們的基礎設施從數據中心轉移到雲端,以獲得更好的性能可擴展性和毛利率。迪倫將在評論中更全面地討論這對我們毛利率的影響。但考慮到這次遷移的複雜性,我對我們在這一關鍵舉措上的執行感到非常自豪。

  • Now turning to go-to-market. Our sales force and go-to-market programs delivered continued results in the quarter, including healthy new logo growth as well as key customer expansions. We also continued to see the successful adoption of Enterprise Plus, our multiproduct suite offering that brings the full value of the Box Content Cloud to our customers.

    現在轉向進入市場。我們的銷售隊伍和上市計劃在本季度繼續取得成果,包括健康的新徽標增長以及主要客戶的擴張。我們還繼續看到 Enterprise Plus 的成功採用,這是我們的多產品套件產品,為我們的客戶帶來了 Box Content Cloud 的全部價值。

  • In Q2, Enterprise Plus was well over 90% of suite sales in large deals and suites comprised over 78% of deals over $100,000. Notably, in Q2, we achieved record suite attach rates in large deals in Japan. Earlier this month, I spent time in Japan speaking with our largest customers and those conversations reinforce the continued upside we have in this market. We have never been more excited about the opportunity available to us.

    第二季度,Enterprise Plus 佔大型交易中套件銷售額的 90% 以上,套件佔 100,000 美元以上交易的 78% 以上。值得注意的是,第二季度,我們在日本的大型交易中實現了創紀錄的套房附加率。本月早些時候,我在日本與我們最大的客戶進行了交談,這些談話強化了我們在這個市場上的持續上漲空間。我們對我們所擁有的機會感到前所未有的興奮。

  • Our Q2 Enterprise Plus customer expansions and wins include one of Japan's largest institutional investors who expanded its use of Box with the purchase of Enterprise Plus to enable secure content sharing and collaboration with external parties for the entire organization. They also plan to integrate Box with their existing tech stack, including Microsoft 365 and ServiceNow and one of the leading hospitals in the United States who has been a Box customer since 2013, signed an Enterprise Plus upsell to get access to additional resources needed to support the growth and expansion of the hospital and school of medicine.

    我們第二季度的Enterprise Plus 客戶擴展和贏得的客戶包括日本最大的機構投資者之一,該投資者通過購買Enterprise Plus 擴大了Box 的使用範圍,以實現整個組織與外部各方的安全內容共享和協作。他們還計劃將 Box 與現有的技術堆棧集成,包括 Microsoft 365 和 ServiceNow,並且自 2013 年以來一直是 Box 客戶的美國領先醫院之一簽署了 Enterprise Plus 追加銷售,以獲得支持所需的額外資源醫院和醫學院的成長和擴張。

  • They'll be leveraging shield to protect the sensitive content that they have stored today, which includes research content, and they plan to integrate Box into their Microsoft applications to help with consolidation efforts. Overall, we're focused on expanding our go-to-market programs and leveraging our land and expand motion to drive the progression of our customers into higher tier product plans and enabling them to leverage the full breadth of the Box platform. We remain focused on building a healthy pipeline across the business. And this year, we have doubled down in our field marketing programs, digital marketing engine, system integrators and distribution partners, vertical sales efforts in key markets like life sciences, financial services and the public sector and much more.

    他們將利用 Shield 來保護他們今天存儲的敏感內容,其中包括研究內容,並且他們計劃將 Box 集成到他們的 Microsoft 應用程序中以幫助整合工作。總體而言,我們專注於擴大我們的上市計劃,並利用我們的土地和擴大行動來推動我們的客戶進入更高層次的產品計劃,並使他們能夠充分利用 Box 平台。我們仍然專注於在整個業務中建立健康的渠道。今年,我們在現場營銷計劃、數字營銷引擎、系統集成商和分銷合作夥伴以及生命科學、金融服務和公共部門等關鍵市場的垂直銷售工作上加倍努力。

  • Before I turn it over to Dylan, I'd like to briefly comment on the current business climate we're seeing. It's clear that the macro environment has resulted in lower seat growth than anticipated. Despite this, our best-in-class full churn rate remains at 3% as enterprises are prioritizing use cases to areas where the Box Content Cloud delivers the most value in delivering secure content management, workflow and collaboration.

    在將其交給迪倫之前,我想簡要評論一下我們當前看到的商業環境。顯然,宏觀環境導致席位增長低於預期。儘管如此,我們一流的完全流失率仍保持在 3%,因為企業正在優先考慮 Box 內容雲在提供安全內容管理、工作流程和協作方面提供最大價值的領域。

  • I'm confident that with the strongest product portfolio and road map we've ever had a world-class go-to-market team and a healthy customer base of well over 110,000 customers that we set the stage for future accelerating revenue growth as economic conditions improve. And we remain relentlessly focused on operational excellence, allowing us to deliver year-over-year gross margin and operating margin expansion in FY '24. The opportunity in front of us is massive. We're going after a more than $74 billion market with the leading content cloud platform to power the full life cycle of content in the enterprise.

    我相信,憑藉最強大的產品組合和路線圖,我們擁有世界一流的上市團隊和超過 110,000 名客戶的健康客戶群,我們為未來隨著經濟增長加速收入增長奠定了基礎。條件改善。我們仍然堅持不懈地專注於卓越運營,使我們能夠在 24 財年實現毛利率和營業利潤率的同比增長。我們面前的機會是巨大的。我們正在利用領先的內容雲平台瞄準價值超過 740 億美元的市場,為企業內容的整個生命週期提供支持。

  • In a joint report, we recently released with IDC. IDC found that 90% of the company's data is in unstructured information, and that number is growing by 28% to over 73,000 exabytes in 2023. And with Box AI, we will transform our customers' ability to gain productivity and insight from their data. The need to manage, secure, automate, collaborate and bring intelligence to this information is more important than ever before, and Box is uniquely positioned to help enterprises solve these challenges and transform how they work.

    我們最近與 IDC 發布了一份聯合報告。 IDC 發現,公司90% 的數據都是非結構化信息,到2023 年,這一數字將增長28%,達到73,000 艾字節以上。借助Box AI,我們將改變客戶從數據中獲取生產力和洞察力的能力。對這些信息進行管理、保護、自動化、協作和智能化的需求比以往任何時候都更加重要,Box 具有獨特的優勢,可以幫助企業解決這些挑戰並轉變其工作方式。

  • With that, I'll hand it over to Dylan.

    這樣,我就把它交給迪倫了。

  • Dylan Smith - Co-Founder & CFO

    Dylan Smith - Co-Founder & CFO

  • Thanks, Aaron. Good afternoon, everyone, and thank you for joining us.

    謝謝,亞倫。大家下午好,感謝您加入我們。

  • In Q2, our balanced business model allowed us to invest in profitable growth while continuing to optimize our underlying cost structure. Revenue landed in line with our guidance, and we delivered operating margin and EPS above our guidance despite a challenging macroeconomic environment. We are also pleased to have delivered innovation across our product portfolio, generated significant operating leverage and continued our prudent return of capital to our shareholders.

    在第二季度,我們平衡的業務模式使我們能夠投資於盈利增長,同時繼續優化我們的基本成本結構。儘管宏觀經濟環境充滿挑戰,但收入仍符合我們的指導方針,營業利潤率和每股收益也高於我們的指導方針。我們還很高興在我們的產品組合中實現了創新,產生了顯著的運營槓桿,並繼續向股東審慎地回報資本。

  • In Q2, we generated revenue of $261 million, up 6% year-over-year and representing 9% year-over-year growth on a constant currency basis. We now have nearly 1,700 total customers paying us more than $100,000 annually, an increase of 11% year-over-year. Our suite attach rate of 78% in large Q2 deals, a notable improvement from 72% in the year ago period demonstrates the value that our Content Cloud platform is delivering to our large customers. Suites customers now account for 48% of our revenue, up 20% from 40% of revenue a year ago and after introducing suites just 4 years ago.

    第二季度,我們實現收入 2.61 億美元,同比增長 6%,按固定匯率計算同比增長 9%。目前,我們每年向我們支付超過 100,000 美元的客戶總數接近 1,700 家,同比增長 11%。在第二季度的大型交易中,我們的套件附加率為 78%,比去年同期的 72% 顯著提高,這證明了我們的內容雲平台為我們的大客戶提供的價值。套房客戶現在占我們收入的 48%,比一年前的 40% 增長了 20%,而且在 4 年前推出套房之後。

  • Our suites value proposition continues to resonate with our customers in this dynamic environment enabling them to transform, simplify and secure their IT environments. We ended Q2 with remaining performance obligations, or RPO, of $1.1 billion, an 8% year-over-year increase or 11% growth on a constant currency basis. We expect to recognize roughly 60% of our RPO over the next 12 months. Q2 billings of $233 million were down 1% year-over-year and up 1% on a constant currency basis. As anticipated, our Q2 billings result was impacted by a particularly high volume of early renewals in Q1. Q2 billings were also impacted by incremental FX headwinds from the U.S. dollar to Japanese yen exchange rate of approximately $2 million or 100 basis points.

    我們的套件價值主張在這個動態環境中繼續與客戶產生共鳴,使他們能夠轉變、簡化和保護其 IT 環境。截至第二季度末,我們的剩餘履約義務 (RPO) 為 11 億美元,同比增長 8%,按固定匯率計算增長 11%。我們預計在未來 12 個月內將確認大約 60% 的 RPO。第二季度營收為 2.33 億美元,同比下降 1%,按固定匯率計算增長 1%。正如預期的那樣,我們第二季度的賬單結果受到第一季度特別大量的提前續訂的影響。第二季度的賬單還受到美元兌日元匯率增加約 200 萬美元或 100 個基點的外匯逆風的影響。

  • Our net retention rate at the end of Q2 was 103%, slightly lower than our expectations. This was driven by heightened budget scrutiny putting pressure on seat expansion within existing customers.

    第二季度末我們的淨保留率為 103%,略低於我們的預期。這是由於預算審查的加強給現有客戶的座位擴張帶來了壓力。

  • However, in Q2, we continued to achieve year-over-year price per seat improvements driven by customers continuing to convert to Enterprise Plus. Additionally, our annualized full churn rate remains strong and stable at 3% demonstrating Box' overall stickiness and criticality in our customers' IT environments. We expect both our full churn rate and our net retention rate to remain roughly flat with our Q2 results throughout the back half of this year. As seat growth returns to more normalized levels, and as we continue driving pricing improvements, we're confident that our best-in-class full churn rate and expanding our suite of innovative products will enable a higher net retention rate over time.

    然而,在第二季度,由於客戶繼續轉向企業增強版,我們的每席位價格繼續實現同比增長。此外,我們的年化完全流失率保持強勁且穩定在 3%,這表明 Box 在客戶 IT 環境中的整體粘性和重要性。我們預計今年下半年的整體流失率和淨保留率將與第二季度的業績大致持平。隨著座位增長恢復到更正常的水平,並且隨著我們繼續推動定價改進,我們相信,我們一流的完全客戶流失率和擴展我們的創新產品套件將隨著時間的推移實現更高的淨保留率。

  • Gross margin came in at 76.9% in Q2, up 70 basis points from 76.2% a year ago and above our guidance of 76%. As Aaron mentioned earlier, our public cloud migration strategy is a critical driver of gross margin expansion. We began this complex undertaking several years ago, and we expect to be running fully in the public cloud by the end of Q3. As our data center expenses wind down and we continue optimizing our public cloud architecture, we're confident in our ability to continue expanding gross margin in the back half of FY '24 and beyond.

    第二季度毛利率為 76.9%,比去年同期的 76.2% 上升 70 個基點,高於我們 76% 的指導值。正如 Aaron 之前提到的,我們的公共雲遷移策略是毛利率擴張的關鍵驅動力。我們幾年前就開始了這項複雜的工作,我們預計到第三季度末將在公共雲中完全運行。隨著我們的數據中心費用逐漸減少以及我們繼續優化公共雲架構,我們對在 24 財年下半年及以後繼續擴大毛利率的能力充滿信心。

  • Q2 gross profit of $201 million was up 7% year-over-year, exceeding our revenue growth rate by 100 basis points. We once again delivered leverage across the entire business in Q2 with our ongoing efforts around infrastructure optimizations, low-cost location strategy and overall cost discipline all paying off. This resulted in a 21% increase in operating income in Q2 to $65 million.

    第二季度毛利潤為 2.01 億美元,同比增長 7%,超過我們的收入增長率 100 個基點。我們在第二季度再次為整個業務帶來了影響力,我們圍繞基礎設施優化、低成本選址策略和總體成本控制的持續努力都得到了回報。這導致第二季度營業收入增長 21%,達到 6500 萬美元。

  • Our 24.8% operating margin was up 310 basis points from the 21.7% we delivered a year ago and 80 basis points ahead of our guidance. As a result, we delivered diluted non-GAAP EPS of $0.36 in Q2, up 29% from $0.28 a year ago and $0.01 above the high end of our guidance. On a constant currency basis, our underlying profitability improvements are even stronger as Q2 EPS includes a negative $0.04 impact from FX. Importantly, Q2 marked our fourth consecutive quarter of achieving GAAP profitability.

    我們 24.8% 的營業利潤率比一年前的 21.7% 提高了 310 個基點,比我們的指導水平高出 80 個基點。因此,我們第二季度的稀釋非 GAAP 每股收益為 0.36 美元,比一年前的 0.28 美元增長了 29%,比我們指導的上限高出 0.01 美元。在固定匯率的基礎上,我們的潛在盈利能力改善更為強勁,因為第二季度每股收益包含匯率帶來的 0.04 美元的負面影響。重要的是,第二季度標誌著我們連續第四個季度實現 GAAP 盈利。

  • I'll now turn to our cash flow and balance sheet. In Q2, we generated free cash flow of $21 million, a 15% increase from $18 million in the year ago period. We delivered cash flow from operations of $33 million, a 15% increase from $28 million in the year ago period. Capital lease payments, which we include in our free cash flow calculation, were $9 million, up slightly from $8 million in Q2 of last year. As our public cloud migration will be fully completed by the end of this quarter, we expect capital lease payments to wind down over the next few quarters.

    我現在談談我們的現金流和資產負債表。第二季度,我們產生了 2100 萬美元的自由現金流,比去年同期的 1800 萬美元增長了 15%。我們的運營現金流量為 3300 萬美元,比去年同期的 2800 萬美元增長了 15%。我們計入自由現金流計算的資本租賃付款額為 900 萬美元,略高於去年第二季度的 800 萬美元。由於我們的公共雲遷移將在本季度末完全完成,我們預計資本租賃付款將在未來幾個季度逐漸減少。

  • Let's now turn to our capital allocation strategy. We ended the quarter with $446 million in cash, cash equivalents, restricted cash and short-term investments. In Q2, we repurchased 2.2 million shares for approximately $62 million. As of July 31, 2023, we had approximately $35 million of remaining buyback capacity under our current share repurchase plan. Our Board of Directors recently authorized an additional $100 million common stock repurchase plan.

    現在讓我們轉向我們的資本配置策略。截至本季度末,我們的現金、現金等價物、限制性現金和短期投資為 4.46 億美元。第二季度,我們以約 6200 萬美元的價格回購了 220 萬股股票。截至 2023 年 7 月 31 日,根據我們當前的股票回購計劃,我們擁有約 3500 萬美元的剩餘回購能力。我們的董事會最近批准了額外 1 億美元的普通股回購計劃。

  • With that, I would like to turn to our guidance for Q3 and fiscal 2024. As a reminder, approximately 1/3 of our revenue is generated outside of the U.S. primarily in Japanese yen. The following guidance includes the expected impacts of FX headwinds, assuming current exchange rates. For the third quarter of fiscal 2024, we anticipate revenue in the range of $261 million to $263 million representing 5% year-over-year growth at the high end of this range or 7% in constant currency.

    說到這裡,我想談談我們對第三季度和 2024 財年的指導。提醒一下,我們大約 1/3 的收入是在美國境外產生的,主要以日元形式產生。以下指南包括假設當前匯率時外匯逆風的預期影響。對於 2024 財年第三季度,我們預計收入在 2.61 億美元至 2.63 億美元之間,按該區間的上限計算,同比增長 5%,按固定匯率計算,同比增長 7%。

  • We expect our Q3 billings to be roughly flat year-over-year, which includes an expected 200 basis point benefit from FX and accounts for the continued pressure on seat growth that we anticipate due to the macroeconomic environment.

    我們預計第三季度的收入將與去年同期大致持平,其中包括預期的 200 個基點的外匯收益,並考慮到我們預計宏觀經濟環境對席位增長的持續壓力。

  • I would note that in Q3 of last year, we delivered a billings growth rate of 20% in constant currency, driven by unusually strong payment durations, including 1 large multiyear customer prepayment. This creates a particularly difficult year-over-year comparison and normalizing for payment durations and FX, our expected Q3 billings growth would be roughly 3%. Q4 of last year had more normal payment durations, and we expect our reported Q4 billings growth to be in the mid-single-digit range. We expect our Q3 RPO growth to be higher than our anticipated Q3 revenue growth rate.

    我要指出的是,去年第三季度,我們的賬單增長率按固定匯率計算為 20%,這得益於異常強勁的付款期限(包括 1 個大型多年期客戶預付款)。這造成了特別困難的同比比較,並且支付期限和外匯正常化後,我們預計第三季度的賬單增長約為 3%。去年第四季度的正常付款期限更長,我們預計第四季度的賬單增長將在中個位數範圍內。我們預計第三季度的 RPO 增長將高於我們預期的第三季度收入增長率。

  • We expect our Q3 gross margin to be roughly 77%. As data center expenses and capital lease payments trend down, we expect our Q4 gross margin to be roughly 79%. We expect our Q3 non-GAAP operating margin to increase to approximately 25.5%, representing a 150 basis point improvement year-over-year. We expect our Q3 non-GAAP EPS to be in the range of $0.37 to $0.38, representing a 23% year-over-year increase at the high end of this range and GAAP EPS in the range of $0.03 to $0.04. Weighted average diluted shares are expected to be approximately $149 million, slightly lower than Q2.

    我們預計第三季度毛利率約為 77%。隨著數據中心費用和資本租賃付款呈下降趨勢,我們預計第四季度的毛利率約為 79%。我們預計第三季度非 GAAP 營業利潤率將增至約 25.5%,同比提高 150 個基點。我們預計第三季度非 GAAP 每股收益將在 0.37 美元至 0.38 美元之間,較上年同期增長 23%,而 GAAP 每股收益將在 0.03 美元至 0.04 美元之間。加權平均稀釋後股份預計約為 1.49 億美元,略低於第二季度。

  • Our Q3 GAAP and non-GAAP EPS guidance includes an expected year-over-year headwind from FX of approximately $0.04. For the full fiscal year ending January 31, 2024, we now expect FY '24 revenue in the range of $1.04 billion to $1.044 billion, representing 5% year-over-year growth or 8% on a constant currency basis. This revised range reflects the impact of the challenging macroeconomic environment, which also results in lower professional services revenue versus our prior expectations.

    我們第三季度的 GAAP 和非 GAAP 每股收益指引包括預期來自外彙的同比阻力約為 0.04 美元。對於截至 2024 年 1 月 31 日的整個財年,我們目前預計 24 財年收入在 10.4 億美元至 10.44 億美元之間,同比增長 5%,按固定匯率計算增長 8%。這一修訂後的範圍反映了充滿挑戰的宏觀經濟環境的影響,這也導致專業服務收入低於我們之前的預期。

  • We expect FX to have a negative impact of roughly 300 basis points to our FY '24 revenue growth rate. For the full year of FY '24, we now anticipate currency headwinds to impact our billings growth rate by approximately 200 basis points. We expect our FY '24 billings growth rate to be roughly 4% on an as-reported basis. We still expect our FY '24 gross margin to be roughly 77.5%, up from 76.9% in FY '23.

    我們預計外匯將對我們 24 財年的收入增長率產生約 300 個基點的負面影響。對於 24 財年全年,我們現在預計貨幣逆風將影響我們的賬單增長率約 200 個基點。根據報告,我們預計 24 財年的賬單增長率約為 4%。我們仍然預計 24 財年的毛利率約為 77.5%,高於 23 財年的 76.9%。

  • We are also reiterating our FY '24 non-GAAP operating margin guidance of approximately 25.5% representing a strong 240 basis point improvement from last year's results of 23.1%. We are raising the low end of our FY '24 non-GAAP EPS expectations to be in the range of $1.46 to $1.50 representing a 25% increase at the high end of the range versus $1.20 in the prior year and we expect FY '24 GAAP EPS to be in the range of $0.17 to $0.21.

    我們還重申 24 財年非 GAAP 營業利潤率指引約為 25.5%,較去年 23.1% 的業績大幅提高 240 個基點。我們將 24 財年非 GAAP 每股收益預期的下限上調至 1.46 美元至 1.50 美元,與上一年的 1.20 美元相比,該範圍的上限增長了 25%,並且我們預計 24 財年 GAAP EPS 範圍為0.17 至0.21 美元。

  • Weighted average diluted shares are expected to be approximately 150 million. Our FY '24 GAAP and non-GAAP EPS guidance includes an expected full year negative impact from FX of approximately $0.17. As a result of the FX headwinds we've experienced throughout this year, our revised FY '24 revenue growth outlook and the impact of billings on free cash flow, we are revising our revenue growth plus free cash flow margin target for FY '24 to be in the low 30s on an as-reported basis, which includes a roughly 400 basis point headwind from FX.

    加權平均稀釋後股份預計約為1.5億股。我們的 24 財年 GAAP 和非 GAAP EPS 指引包括預計全年外匯帶來的約 0.17 美元的負面影響。由於我們今年經歷的外匯逆風、我們修訂的 24 財年收入增長前景以及賬單對自由現金流的影響,我們正在將 24 財年的收入增長加上自由現金流利潤率目標修改為據報導,該指數處於30 多基點的低位,其中包括來自外彙的約400 個基點的阻力。

  • We will continue to maintain a rigorous approach to cost savings while investing in long-term growth and navigating the near-term impacts of this difficult macroeconomic environment. We remain committed to delivering against the long-term financial targets that we outlined at our most recent Analyst Day. We are reiterating our revenue growth target of 10% to 15%, our gross margin target of 80% to 82%, our operating margin target of 32% to 35% and our revenue growth plus free cash flow margin target of at least 45%.

    我們將繼續採取嚴格的成本節約方法,同時投資於長期增長並應對當前困難的宏觀經濟環境的短期影響。我們仍然致力於實現我們在最近的分析師日概述的長期財務目標。我們重申我們的收入增長目標為 10% 至 15%,毛利率目標為 80% 至 82%,營業利潤率目標為 32% 至 35%,收入增長加自由現金流利潤率目標至少為 45% 。

  • Despite the challenging macroeconomic environment, this year, we continue to deliver against the core initiatives to achieve these long-term financial targets. We are making significant enhancements to our innovative product offerings, expanding both operating margin and free cash flow margin and are consistently returning capital to our shareholders. As we capitalize on these initiatives and as the macroeconomic environment improves, we are well positioned to create significant long-term shareholder value.

    儘管宏觀經濟環境充滿挑戰,今年我們仍繼續落實核心舉措,以實現這些長期財務目標。我們正在顯著增強我們的創新產品,擴大營業利潤率和自由現金流利潤率,並持續向股東返還資本。隨著我們利用這些舉措以及宏觀經濟環境的改善,我們有能力創造顯著的長期股東價值。

  • With that, Aaron and I will be happy to take your questions. Operator?

    這樣,亞倫和我將很樂意回答您的問題。操作員?

  • Operator

    Operator

  • (Operator Instructions) Your first question comes from the line of Brian Peterson with Raymond James.

    (操作員說明)您的第一個問題來自 Brian Peterson 和 Raymond James 的線路。

  • Brian Christopher Peterson - Senior Research Associate

    Brian Christopher Peterson - Senior Research Associate

  • So Aaron, I just wanted to double down on the cost savings component. I know that's come up in the past as a value proposition to the platform. As customers may not be looking to expand seats as quickly, are they delaying cost savings for themselves? Or is there a functionality dynamic there? I just maybe love to understand a little bit on the cost side and if that has any correlation to what you guys are seeing on the seat side. So that is the question...

    所以亞倫,我只是想在節省成本方面加倍努力。我知道這在過去是作為平台的價值主張出現的。由於客戶可能不希望盡快增加座位,他們是否會推遲為自己節省成本?或者那裡有功能動態嗎?我可能只是想了解一下成本方面的情況,以及這是否與你們在座椅方面看到的有任何相關性。所以這就是問題...

  • Aaron Levie - Co-Founder, CEO & Director

    Aaron Levie - Co-Founder, CEO & Director

  • Yes. So that message is still resonating and it doesn't always lead to an upsell only because it might be that the customer already has licenses for the capabilities that would drive cost savings. So if you think about a customer that has Enterprise Plus as an example, they have access to Box Sign, Box Shield, Box Governance, certain platform utilization abilities. And so that is -- when we talk about cost savings, that platform approach allows customers to go retire up to maybe half a dozen other systems or a dozen other systems depending on the environment. But they might be fully licensed for that within the Enterprise Plus plan that they have.

    是的。因此,這一信息仍然引起共鳴,並且並不總是會導致追加銷售,僅僅是因為客戶可能已經擁有可以節省成本的功能的許可證。因此,如果您以擁有 Enterprise Plus 的客戶為例,他們可以訪問 Box Sign、Box Shield、Box Governance 以及某些平台利用能力。因此,當我們談論成本節約時,該平台方法允許客戶根據環境淘汰最多六個或十幾個其他系統。但他們可能會在他們擁有的 Enterprise Plus 計劃中獲得完全許可。

  • So that message and that momentum is alive and well, and I'm -- almost every customer I'm talking to is retiring something beyond just the kind of core legacy storage infrastructure. They're looking at Box Sign for something. They're looking at Box Canvas for their whiteboarding solution. So that's going great. But you also still need that additional seat dynamic to really drive the net retention rate historically. And so that's maybe the part that's more muted, but overall, the momentum around data security, cost consolidation by leveraging the full breadth of the Box platform. And then obviously, AI have provided good counterbalances to some of the macro headwinds that we've seen.

    因此,這一信息和勢頭仍然存在,而且我——幾乎所有與我交談的客戶都在淘汰一些超出核心遺留存儲基礎設施的東西。他們正在尋找 Box Sign 尋找什麼東西。他們正在考慮使用 Box Canvas 作為白板解決方案。所以一切進展順利。但您仍然需要額外的席位動態才能真正推動歷史上的淨保留率。因此,這可能是比較低調的部分,但總體而言,通過利用 Box 平台的全方位,圍繞數據安全和成本整合的勢頭。顯然,人工智能為我們所看到的一些宏觀阻力提供了良好的平衡。

  • Dylan Smith - Co-Founder & CFO

    Dylan Smith - Co-Founder & CFO

  • Yes. And just to put a finer point on that, that's why even in this challenging and pretty heavily scrutinized IT budget environment, we are still seeing healthy adoption of our suites and Enterprise Plus offerings as that value proposition really is resonating, so that is showing continued momentum in order to bring in these capabilities that do help bring in the -- enable the cost savings even for customers who aren't on Enterprise Plus or weren't previously, but it really is the seat growth that has been more impacted as, in many cases, you don't necessarily need to expand the number of seats in order to capture those cost consolidation opportunities as a customer.

    是的。更具體地說,這就是為什麼即使在這個充滿挑戰和嚴格審查的IT 預算環境中,我們仍然看到我們的套件和Enterprise Plus 產品得到健康采用,因為這一價值主張確實引起了共鳴,因此這表明我們繼續為了引入這些功能,這些功能確實有助於節省成本,即使對於沒有使用 Enterprise Plus 或以前沒有使用過的客戶來說,但確實是座位增長受到了更大的影響,因為,在許多情況下,作為客戶,您不一定需要增加席位數量才能抓住這些成本整合機會。

  • Brian Christopher Peterson - Senior Research Associate

    Brian Christopher Peterson - Senior Research Associate

  • Got it. That makes sense. And Dylan, maybe a follow-up for you. Just understanding on the second half outlook. I know you mentioned some changing dynamics on the seat expansion side. I'd love to understand qualitatively, what did you change for the second half outlook in the new guidance versus the old guidance?

    知道了。這就說得通了。迪倫,也許是你的後續作品。只是了解下半年的前景。我知道您提到了座椅擴展方面的一些變化動態。我很想從定性上了解,新指導意見與舊指導意見中的下半年前景有何變化?

  • Dylan Smith - Co-Founder & CFO

    Dylan Smith - Co-Founder & CFO

  • Sure. So at a high level, I would say that this guidance takes into account certainly, the Q2 results and the continued macroeconomic challenges, including all the dynamics that go into the net retention rate and the pressure on seat count. So while our customers are still dealing with macroeconomic challenges and scrutinizing that IT spend, as we mentioned, we are encouraged by the stabilization that we're now seeing in the demand environment and we're also starting to see pipeline building at healthier levels than earlier in the year, but that typically takes several quarters to close given our enterprise sales cycles.

    當然。因此,在高水平上,我想說,這一指導方針肯定考慮到了第二季度的業績和持續的宏觀經濟挑戰,包括淨保留率和座位數壓力方面的所有動態。因此,正如我們所提到的,雖然我們的客戶仍在應對宏觀經濟挑戰並審查IT 支出,但我們現在看到需求環境趨於穩定,這讓我們感到鼓舞,而且我們也開始看到管道建設的水平比過去更健康。今年早些時候,但考慮到我們的企業銷售週期,這通常需要幾個季度才能完成。

  • So I would say big picture, it's primarily driven by the actual and expected business performance due to macroeconomic impacts. We've seen year-to-date, which also includes a little bit of a reduction in our professional services, Box consulting expectations as we noted.

    所以我想說,從大局來看,這主要是由宏觀經濟影響造成的實際和預期業務績效驅動的。正如我們所指出的,今年迄今為止,我們對 Box 諮詢的期望也有所下降,其中還包括我們的專業服務的一些減少。

  • Operator

    Operator

  • Your next question comes from the line Josh Baer with Morgan Stanley.

    您的下一個問題來自摩根士丹利的喬什·貝爾 (Josh Baer)。

  • Joshua Phillip Baer - Equity Analyst

    Joshua Phillip Baer - Equity Analyst

  • Wanted to dig in a little bit more on the lower seat growth. Just wondering if it's widespread, if it's across both SMB and enterprise, anything to note on geographies? And then I have a follow-up.

    想要更多地了解較低的座位增長。只是想知道它是否廣泛存在,是否跨中小企業和企業,在地理位置上有什麼需要注意的嗎?然後我有一個後續行動。

  • Aaron Levie - Co-Founder, CEO & Director

    Aaron Levie - Co-Founder, CEO & Director

  • Yes. I think as we noted in the last call, while the general macro headwind, I think, is -- does affect companies across a range of sizes and geographies. I think there's incremental pronounced impact in some of the smaller business customers, some of the international non-Japan segments where we haven't necessarily had as strong of an engine in the past. And so that's probably where we see a little bit of incremental kind of headwind relative to other areas, but very kind of similar to the call we had in the last quarter.

    是的。我認為,正如我們在上次電話會議中指出的那樣,雖然我認為總體宏觀逆風確實會影響各種規模和地域的公司。我認為,對一些小型企業客戶和一些國際非日本細分市場的影響越來越明顯,我們過去不一定擁有如此強大的引擎。因此,與其他領域相比,我們可能會看到一些增量阻力,但與我們上季度的預測非常相似。

  • Joshua Phillip Baer - Equity Analyst

    Joshua Phillip Baer - Equity Analyst

  • Great. And then I was hoping you could sort of walk through month-to-month on linearity from May to June to July and then into August. Just wondering how the seat contraction dynamic has trended month-to-month?

    偉大的。然後我希望你能逐月了解從五月到六月到七月,然後到八月的線性情況。只是想知道座位收縮動態逐月趨勢如何?

  • Dylan Smith - Co-Founder & CFO

    Dylan Smith - Co-Founder & CFO

  • Sure. I would say that in terms of the overall seasonality, I didn't see anything too different from what we typically see in a quarter. So we do see kind of back ends loaded bookings, but that's pretty standard for us in pretty much any environment. And then as mentioned, kind of expecting to see more of the same based on how the current quarter is shaping up and as noted, we are seeing stabilization in that demand environment. So that kind of linearity has been fairly consistent.

    當然。我想說,就整體季節性而言,我沒有看到任何與我們通常在一個季度看到的情況有太大​​不同的情況。因此,我們確實看到後端加載了預訂,但這對我們來說在幾乎任何環境中都是相當標準的。然後,如前所述,根據當前季度的情況,我們預計會看到更多相同的情況,並且如上所述,我們看到需求環境趨於穩定。所以這種線性關係相當一致。

  • Aaron Levie - Co-Founder, CEO & Director

    Aaron Levie - Co-Founder, CEO & Director

  • And yes, the only thing I would note is just more of the same being just from a linearity standpoint.

    是的,我唯一要注意的是,從線性的角度來看,這只是更多的相同。

  • Dylan Smith - Co-Founder & CFO

    Dylan Smith - Co-Founder & CFO

  • Yes, from a linearity standpoint, correct.

    是的,從線性的角度來看,正確。

  • Operator

    Operator

  • Your next question comes from the line of Chad Bennett with Craig-Hallum.

    你的下一個問題來自查德·貝內特和克雷格·哈勒姆的對話。

  • Chad Michael Bennett - Senior Research Analyst

    Chad Michael Bennett - Senior Research Analyst

  • Great. So just thinking about kind of the conditions and headwinds you're seeing right now, both macro and otherwise, and it seems like rightfully so, you kind of assume the conditions will persist in the second half of the year and net retention and churn will remain relatively consistent -- as we head into next year, and I know you talked about the free cash flow revenue growth formula kind of even in the low 30s. But if the kind of macro persists and the seat headwinds persist -- is there a plan or potentially an alternative to even accelerate operating margin leverage more. I don't know if that's in the form of cost actions or obviously, you're seeing some gross margin improvement with the move to the cloud here. Any commentary there?

    偉大的。因此,只要考慮一下您現在所看到的條件和逆風,無論是宏觀還是其他方面,您似乎都認為這種情況將在下半年持續存在,淨保留和流失將持續下去。保持相對一致——當我們進入明年時,我知道你談到了自由現金流收入增長公式,即使是在30 左右。但如果這種宏觀形勢持續存在,席位逆風持續存在——是否有計劃或潛在的替代方案來進一步加速運營利潤率槓桿。我不知道這是否是以成本行動的形式出現的,或者顯然,隨著遷移到雲,您會看到一些毛利率的提高。有評論嗎?

  • Dylan Smith - Co-Founder & CFO

    Dylan Smith - Co-Founder & CFO

  • Yes. I mean what I would say is certainly the way that we ultimately set the plan, and we'll share more as that gets closer to the new year very much will be dependent on the demand signals we're seeing in the environment, our confidence in our ability to drive growth, what the macroeconomic environment is looking at and that most notably, kind of impacts our overall sales and marketing levels of investment.

    是的。我的意思是,我想說的肯定是我們最終制定計劃的方式,隨著新年的臨近,我們將分享更多信息,這很大程度上取決於我們在環境中看到的需求信號,我們的信心在我們推動增長的能力方面,宏觀經濟環境正在關注什麼,最值得注意的是,這會影響我們的整體銷售和營銷投資水平。

  • So that's what I would describe as the biggest variable in the model, and certainly, that could create some additional operating margin expansion if we decide to take a more prudent approach to those investments.

    這就是我所說的模型中最大的變量,當然,如果我們決定對這些投資採取更謹慎的方法,這可能會帶來一些額外的營業利潤率擴張。

  • And then secondly, the big area, and you noted it, that would call out as an area for an accelerated level of margin expansion is on the gross margin line especially because we'll more fully realize the benefits of the public cloud migration that we're wrapping up this year.

    其次,您注意到了,毛利率線上的一個大領域將被稱為加速利潤率擴張的領域,特別是因為我們將更充分地認識到我們所關注的公共雲遷移的好處。今年即將結束。

  • Aaron Levie - Co-Founder, CEO & Director

    Aaron Levie - Co-Founder, CEO & Director

  • Yes. And I'll just build on that. I think I think while we do see headwinds from a macro standpoint, as Dylan called out, healthy pipeline build, the customer conversations we're having, I think, would definitely lead us to still making sure we're driving the top line growth side. So as we just think about these toggles, whether it's our product road map, the strength of our suite offering, the momentum we're seeing as a result of the AI conversations that are albeit early, I think we're certainly much more focused on going into next year keeping a healthy level of driving demand. So I would just make sure that we're thoughtful about that.

    是的。我將以此為基礎。我認為,雖然我們確實從宏觀角度看到了阻力,正如迪倫所說,健康的管道建設,但我認為,我們正在進行的客戶對話肯定會導致我們仍然確保推動營收增長邊。因此,當我們考慮這些切換時,無論是我們的產品路線圖、我們套件產品的優勢,還是我們在人工智能對話(儘管還處於早期)中看到的勢頭,我認為我們肯定更加專注進入明年保持健康的需求水平。所以我只是確保我們對此深思熟慮。

  • Chad Michael Bennett - Senior Research Analyst

    Chad Michael Bennett - Senior Research Analyst

  • Okay. And then just maybe a quick followup. So just in terms of -- we've had a lot of transition or cross-sell, upsell to Enterprise Plus. It's now kind of approaching the majority, almost 50% of revenue. I think it's seen a huge improvement year-over-year. So I'm just trying to figure out from a driver standpoint, if we believe this is a potentially a double-digit growth -- revenue growth business again. I don't know if there's another Enterprise Plus Plus, so to speak, ahead or another kind of packaging price uplift. But it seems like we've monetized a lot of that already. And now really, that growth acceleration will be dependent upon seat growth. Is that a fair characterization?

    好的。然後也許只是快速跟進。因此,就我們而言,我們已經進行了很多向 Enterprise Plus 的過渡或交叉銷售、追加銷售。現在它已經接近大部分收入,幾乎佔收入的 50%。我認為它與去年同期相比有了巨大的進步。因此,我只是想從驅動因素的角度弄清楚,我們是否相信這可能是一個潛在的兩位數增長——收入再次增長的業務。我不知道是否還有另一個 Enterprise Plus Plus,可以說,提前或另一種包裝價格上漲。但看起來我們已經將其中的大部分貨幣化了。現在確實,增長加速將取決於座位增長。這是一個公平的描述嗎?

  • Aaron Levie - Co-Founder, CEO & Director

    Aaron Levie - Co-Founder, CEO & Director

  • I think what we've called out is as we think about the maturity of the Enterprise Plus kind of tailwind coming to a head and we're still seeing healthy growth year-on-year as we've called out on customers, matriculating to that plan. But as we kind of see that stabilize at a certain kind of rate and our product portfolio expands. We have called out that I would anticipate additional higher-tier plans in the future. So we haven't exactly talked about timing because some of that relates to our product road map of unannounced products and whatnot. But we're very thoughtful about making sure that we time that with a point where we have a strong new or multiple new offerings that we can bundle for customers.

    我認為我們所呼籲的是,我們認為企業+的成熟度即將到來,我們仍然看到同比健康增長,因為我們呼籲客戶,準備加入那個計劃。但正如我們看到的那樣,穩定在一定的速度,並且我們的產品組合不斷擴大。我們已經表示,我預計未來還會有更多更高級別的計劃。因此,我們還沒有確切地討論時間安排,因為其中一些與我們未宣布的產品的產品路線圖等有關。但我們非常深思熟慮,確保我們在時機上能夠為客戶提供強大的新產品或多種新產品。

  • And again, that will, I think, be another driver of price per seat growth when that happens. And then obviously, seat count growth becomes an additional lever. And then our platform kind of API consumption is another growth driver. So we're extremely confident and feel very, very -- just overall bullish on the portfolio of growth drivers we have between seats, platform consumption, price per seat, kind of the vertical expansion efforts and various kind of go-to-market engine optimization. So multiple levels of levers of growth going forward.

    我認為,當這種情況發生時,這將成為每座價格增長的另一個驅動因素。顯然,座位數量的增長成為一個額外的槓桿。我們平台上的 API 消費是另一個增長動力。因此,我們非常有信心,並且感覺非常非常總體看好我們在席位、平台消費、每個席位的價格、垂直擴張努力和各種進入市場引擎之間的增長動力組合優化。因此,未來的增長槓桿將是多層次的。

  • Operator

    Operator

  • Your next question comes from the line of Jason Ader with William Blair.

    你的下一個問題來自傑森·阿德爾和威廉·布萊爾的對話。

  • Jason Noah Ader - Partner & Co-Group Head of Technology, Media and Communications

    Jason Noah Ader - Partner & Co-Group Head of Technology, Media and Communications

  • Just wanted to try to make sense of some of your commentary on macro. And maybe what's -- can we look at it as historically just how it's changed from, let's say, end of last year until today, do you feel like it has improved over the last 8 months from just the demand signals. You talked about pipeline, you talked about good traction with some of your large customers. You talked about interest in AI. But maybe just if you can kind of give us a punchline in terms of whether you feel the demand environment is actually improved at all? Or it sort of just continues to be muted.

    只是想嘗試理解您對宏觀的一些評論。也許我們可以從歷史角度來看待它從去年年底到今天的變化,您是否覺得過去 8 個月僅從需求信號來看它有所改善。您談到了管道,談到了對一些大客戶的良好吸引力。您談到了對人工智能的興趣。但也許您能給我們講一下您是否認為需求環境實際上有所改善?或者它只是繼續保持沉默。

  • Aaron Levie - Co-Founder, CEO & Director

    Aaron Levie - Co-Founder, CEO & Director

  • Yes. I think at a more qualitative level, and this is backed up by our deal trends, when I look at our big customer wins, the verticals, expansion, et cetera, I think we saw sort of the added and increased pressure go from last year's Q3 and Q4 coming into the year, that was sort of the ramp-up as we headed into this year was sort of where the macro started to flow into the business that we saw. I think we're -- and I'll let Dylan build on this as he sees fit. But I think we're at the more stabilization period of that. We're now lapping that year of that initial impact. And so we see some positive signs of when you kind of look on the year-over-year basis, coming into the second half of the year, multiple metrics start to improve as a result of that. Obviously, the nature of the SaaS model and just the fact that you -- both the SaaS dynamics, but also just the seat dynamic of the business, you sometimes have a macro trend that can be offset a little bit from where it shows up in the numbers.

    是的。我認為在更定性的層面上,這是由我們的交易趨勢支持的,當我看到我們的大客戶獲勝、垂直市場、擴張等時,我認為我們看到了去年的壓力增加進入今年第三季度和第四季度,當我們進入今年時,這就是宏觀經濟開始流入我們所看到的業務的地方。我認為我們——而且我會讓迪倫在他認為合適的基礎上繼續發展。但我認為我們正處於更加穩定的時期。我們現在正在回顧那一年最初的影響。因此,我們看到了一些積極的跡象,當你逐年觀察時,進入今年下半年,多個指標開始改善。顯然,SaaS 模型的本質以及事實上,無論是 SaaS 動態,還是業務的席位動態,有時您會出現一個宏觀趨勢,該趨勢可能會與其顯示的位置略有抵消。號碼。

  • But I think we're at a point where when I look at the pipeline build the kind of color and the customer conversations that we're having, the industries across our 100,000-plus wins, it's really every single industry is represented, financial services, health care, technology, kind of really across the board. So I think there's a bunch of positives in the data, but just at a more muted level because that seat count growth that is obviously core to our engine has been more muted as a result of the macro.

    但我認為我們正處於這樣一個階段:當我查看管道構建的顏色類型和我們正在進行的客戶對話時,我們的 100,000 多個勝利中的行業,它實際上代表了每個行業,金融服務、醫療保健、技術,確實是全面的。因此,我認為數據中有很多積極因素,但只是處於更加溫和的水平,因為顯然是我們引擎核心的座位數增長由於宏觀因素而更加溫和。

  • Dylan Smith - Co-Founder & CFO

    Dylan Smith - Co-Founder & CFO

  • Yes. And just to build on that a bit, I would say to clarify that over the earlier part of the year, so if you're saying comparing when we enter the year versus what we've seen would certainly call out and have called out that there have been some incremental headwinds and impacts related to the macroeconomic environment, but again, optimistic that we're seeing that stabilization now and everything we are talking about, it's true around the AI excitement, the pipeline that we're starting to see build at healthier levels. But that's not going to show up in this year's top line outlook just because of the timing and with AI, for example, we're not monetizing that as of yet. So that's more of a next year type impact.

    是的。在此基礎上,我想澄清一下今年早些時候的情況,所以如果你說將我們進入這一年的時間與我們所看到的情況進行比較,肯定會指出並指出這一點與宏觀經濟環境相關的一些增量阻力和影響,但再次樂觀的是,我們現在看到了穩定以及我們正在談論的一切,圍繞人工智能的興奮,我們開始看到建立的管道是真實的處於更健康的水平。但這不會出現在今年的營收展望中,只是因為時機的原因,例如,對於人工智能,我們目前還沒有將其貨幣化。所以這更多的是明年的影響。

  • Jason Noah Ader - Partner & Co-Group Head of Technology, Media and Communications

    Jason Noah Ader - Partner & Co-Group Head of Technology, Media and Communications

  • Okay. So fair to say that things kind of have dipped a little bit since the beginning of the year, but now instead of continuing to dip, they sort of seem to be stabilizing.

    好的。公平地說,自今年年初以來,情況有所下降,但現在它們並沒有繼續下降,而是似乎趨於穩定。

  • Dylan Smith - Co-Founder & CFO

    Dylan Smith - Co-Founder & CFO

  • That's exactly right.

    完全正確。

  • Jason Noah Ader - Partner & Co-Group Head of Technology, Media and Communications

    Jason Noah Ader - Partner & Co-Group Head of Technology, Media and Communications

  • Okay. All right. And then on AI, Aaron, just from a monetization standpoint, is it right to think there's sort of 2 main methods for you to monetize. One is kind of a seed price uplift where you add this AI functionality where people can ask questions of their box content. And then secondly would be kind of API consumption where some external app wants to leverage the Box content cloud for some external app, and they use an API to kind of talk to you -- talk to the Box content. Is that correct?

    好的。好的。然後在人工智能方面,亞倫,僅從貨幣化的角度來看,認為有兩種主要的貨幣化方法是否正確?一種是種子價格上漲,你可以添加人工智能功能,人們可以詢問他們的盒子內容。其次是 API 消費,某些外部應用程序希望利用 Box 內容雲來實現某些外部應用程序,並且他們使用 API 與您進行某種程度的對話 - 與 Box 內容進行對話。那是對的嗎?

  • Aaron Levie - Co-Founder, CEO & Director

    Aaron Levie - Co-Founder, CEO & Director

  • Yes. That's the right way to think about it philosophically. On the former part of the pricing component, I'll just note that we haven't announced yet what that will look like and where that may or may not be included. But those dynamics of -- there's a per seat component of Box AI that will have some set of functionality. And then there's a platform component of Box AI that will be more consumption driven. Those are the right ways to think about how the product will manifest from a pricing packaging standpoint.

    是的。這是從哲學角度思考它的正確方式。關於定價部分的前一部分,我只想指出,我們還沒有宣布它會是什麼樣子以及可能包含或不包含在內的地方。但這些動態 - Box AI 的每個席位組件將具有一些功能。 Box AI 的平台組件將更加受消費驅動。這些是從定價包裝的角度思考產品如何體現的正確方法。

  • Jason Noah Ader - Partner & Co-Group Head of Technology, Media and Communications

    Jason Noah Ader - Partner & Co-Group Head of Technology, Media and Communications

  • And have you given any specific timing or any kind of general timing around when any of these things will be material or start to contribute to revenue?

    您是否給出了任何具體的時間安排或任何一般時間安排,以確定這些事情何時變得重要或開始為收入做出貢獻?

  • Aaron Levie - Co-Founder, CEO & Director

    Aaron Levie - Co-Founder, CEO & Director

  • Yes. We haven't given that timing only because I think even as we look at the rest of the market and where other kind of enterprise software platforms are, I think, the dynamic is -- generally, this is the year where a lot of the technology is getting built. I think customers are starting to think about how they're going to incorporate this into their workflows and organizations as well as get expanded budget from an IT standpoint. So I think as Dylan just called out, probably this would be more of an element for next year's plan. But right now, it's certainly a driver of the vast majority of CIO conversations that we're having just because everybody is really figuring out where -- what is their AI strategy going to look like? And as a platform that houses a significant portion of their most important data, you can imagine the customers are coming to us quite excitedly trying to work out what are the different use cases that they can be solving with Box AI.

    是的。我們沒有給出這個時機,只是因為我認為,即使我們看看市場的其他部分以及其他類型的企業軟件平台的情況,我認為動態是 - 一般來說,今年是很多技術正在建立。我認為客戶開始考慮如何將其整合到他們的工作流程和組織中,並從 IT 角度獲得擴大的預算。所以我認為正如迪倫剛才所說,這可能更多地成為明年計劃的一個要素。但現在,它肯定是我們正在進行的絕大多數首席信息官對話的驅動力,因為每個人都在真正弄清楚他們的人工智能戰略會是什麼樣子?作為一個包含大部分最重要數據的平台,您可以想像客戶會非常興奮地來到我們這裡,試圖找出他們可以使用 Box AI 解決的不同用例。

  • Operator

    Operator

  • Your next question comes from the line of Pinjalim Bora with JPMorgan.

    您的下一個問題來自 Pinjalim Bora 與摩根大通的聯繫。

  • Pinjalim Bora - Analyst

    Pinjalim Bora - Analyst

  • Aaron, I wanted to ask on the macro headwind that you're seeing. In your conversations, do you feel like it is part of kind of a reassessment of budgets by companies to fund their own AI projects? Is that coming up in conversations at all?

    亞倫,我想問一下你所看到的宏觀逆風。在你們的談話中,您是否覺得這是公司重新評估預算以資助自己的人工智能項目的一部分?這會出現在談話中嗎?

  • Aaron Levie - Co-Founder, CEO & Director

    Aaron Levie - Co-Founder, CEO & Director

  • We haven't seen that impact kind of any of the near medium-term deals that we look at in the pipeline only because we tend to have very direct use cases that a customer is expanding for and sort of the -- sort of maybe general AI budget would be maybe a bit orthogonal to that. I could see that showing up maybe against somebody's infrastructure budget or maybe some of their platform services they use. But for the content management collaboration workflow dollars that we tend to be getting, I haven't seen that happen. That's not to say it's impossible, but that has not shown up to me.

    我們還沒有看到我們正在考慮的任何近期交易的影響,只是因為我們往往有客戶正在擴展的非常直接的用例,以及某種可能是普遍的情況人工智能預算可能與此有點正交。我可以看到,這可能會影響某人的基礎設施預算,或者可能會影響他們使用的一些平台服務。但對於我們傾向於獲得的內容管理協作工作流程美元來說,我還沒有看到這種情況發生。這並不是說這是不可能的,但我還沒有發現。

  • Pinjalim Bora - Analyst

    Pinjalim Bora - Analyst

  • So you don't think there's a portion that's going to the Microsoft Copilot that is not going to Box at this point or something like that?

    所以你不認為目前有一部分將提供給 Microsoft Copilot 而不會提供給 Box 或類似的東西?

  • Aaron Levie - Co-Founder, CEO & Director

    Aaron Levie - Co-Founder, CEO & Director

  • Sorry, if it's more directly in that sense then I would say definitely not just because those products are simply too new and also still orthogonal in terms of the use cases that we're solving. So we just announced as an example of our integration with Copilot. So I think you'll see a lot of strong interoperability there. Our customer conversations on this subject are very much focused on how can they be leveraging Box AI either through the end user interface or is the platform component to help customers with their business processes in a range of industries. So I don't think we're sort of competing for budget in those other domains right now.

    抱歉,如果從這個意義上來說更直接,那麼我會說絕對不僅僅是因為這些產品太新了,而且就我們正在解決的用例而言仍然是正交的。因此,我們剛剛宣布了與 Copilot 集成的一個例子。所以我認為您會在那裡看到很多強大的互操作性。我們關於這個主題的客戶對話主要集中在他們如何通過最終用戶界面利用 Box AI,或者如何利用 Box AI 來幫助客戶處理各行業的業務流程。因此,我認為我們現在並沒有在其他領域爭奪預算。

  • Pinjalim Bora - Analyst

    Pinjalim Bora - Analyst

  • Got it. And Dylan, one question on the reduction in the constant currency growth rate from, I think, 10% to 8%. How much of that 2-point delta would you say is driven by professional services?

    知道了。迪倫,有一個關於將恆定貨幣增長率從 10% 降低到 8% 的問題。您認為這 2 點增量中有多少是由專業服務推動的?

  • Dylan Smith - Co-Founder & CFO

    Dylan Smith - Co-Founder & CFO

  • It's a minority to size it. It's kind of more than $1 million, but the bulk of it is on the recurring side.

    確定尺寸的人是少數。大約超過 100 萬美元,但其中大部分用於經常性支出。

  • Operator

    Operator

  • Your next question comes from the line of Ittai Kidron with Oppenheimer.

    你的下一個問題來自 Ittai Kidron 與 Oppenheimer 的關係。

  • George Michael Iwanyc - Associate

    George Michael Iwanyc - Associate

  • It's George Iwanyc. Maybe, Aaron, digging into the competitive environment, can you give us a sense of -- are you seeing some positive gains from a consolidation standpoint and then on a pricing standpoint for a like-for-like basis? Are you holding or seeing any increases?

    我是喬治·伊万尼克。也許,亞倫,在深入研究競爭環境時,您能否給我們一種感覺——您是否從整合的角度看到了一些積極的收益,然後從同類基礎上的定價角度來看?您持有或看到任何上漲嗎?

  • Aaron Levie - Co-Founder, CEO & Director

    Aaron Levie - Co-Founder, CEO & Director

  • Yes. So when I look at, again, kind of top deals, customers over $100,000, there's a lot in there that are consolidation of other vendors in the Box often legacy systems and technologies where Box is increasingly becoming the common standard of that organization. We're seeing a number of deals where Box Sign is a core component and customers are able to save money on maybe an e-signature vendor, we're seeing this with Canvas and kind of whiteboard technology. So that's folding more into Box. And so we're definitely very happy to see those trends.

    是的。因此,當我再次查看一些頂級交易、超過 100,000 美元的客戶時,其中有很多是 Box 中其他供應商的整合,通常是遺留系統和技術,Box 正日益成為該組織的通用標準。我們看到許多交易中 Box Sign 是核心組件,客戶可以在電子簽名供應商身上省錢,我們通過 Canvas 和某種白板技術看到了這一點。所以這就是將更多內容折疊到 Box 中。因此,我們非常高興看到這些趨勢。

  • On the pricing side, we are -- we did see kind of pricing improvements in the quarter and have over the past year. And that's been helpful again sort offsetting some of that more -- some of the seat dynamic and we're going to just -- as we move more customers in Enterprise Plus, I think we'll continue to see that. And then future product plans would obviously have that same dynamic as well.

    在定價方面,我們確實看到本季度和過去一年的定價有所改善。這再次有助於抵消其中的一些——一些席位動態,我們將——隨著我們在 Enterprise Plus 中吸引更多客戶,我認為我們將繼續看到這一點。未來的產品計劃顯然也會有同樣的動態。

  • George Michael Iwanyc - Associate

    George Michael Iwanyc - Associate

  • And Dylan, maybe one for you. Can you give us some sense of how you're looking at hiring? I know you're continuing to be very mindful with your OpEx. But are you looking at still adding to both the sales and the R&D head count at this point?

    迪倫,也許適合你。您能給我們介紹一下您對招聘的看法嗎?我知道您仍然非常關注您的運營支出。但您目前是否還在考慮增加銷售和研發人員數量?

  • Dylan Smith - Co-Founder & CFO

    Dylan Smith - Co-Founder & CFO

  • We are. But certainly, more moderate growth and very much focused, especially on the R&D side in scaling in Poland and being certainly hiring everywhere, but that is the emphasis in terms of number of people. And then on the AE front, we are on track and still expect to achieve that initial target of quota-carrying AE growth in the mid-single-digit percentage range.

    我們是。但可以肯定的是,增長更加溫和,而且非常專注,特別是在波蘭擴大規模的研發方面,並且肯定在各地招聘,但這是在人數方面的重點。然後在AE方面,我們正在步入正軌,並且仍然期望實現配額AE增長在中等個位數百分比範圍內的初始目標。

  • Operator

    Operator

  • Your next question comes from the line of Rishi Jaluria with RBC.

    您的下一個問題來自 Rishi Jaluria 與 RBC 的聯繫。

  • Richard David Poland - Senior Associate

    Richard David Poland - Senior Associate

  • This is Rich Poland on for Rishi. Aaron, you mentioned a little bit about doubling down on key verticals and geographies on the go-to-market side. If we were to just peel that back a little, are there any particular areas where you feel that you're currently underpenetrated and you see some low-hanging fruit to go after or anything around that?

    這是 Rishi 的富裕波蘭。亞倫,您提到了在進入市場方面在關鍵垂直領域和地域上加倍努力的情況。如果我們把它稍微剝離一下,是否有任何特定的領域讓你覺得你目前的滲透不足,並且你看到一些容易實現的目標或其他類似的東西?

  • Aaron Levie - Co-Founder, CEO & Director

    Aaron Levie - Co-Founder, CEO & Director

  • Yes. I mean where we do, I would say, maybe disproportionately well are areas that actually have the greatest amount of security, compliance, data privacy concerns within the customer base. And so if you think about large global multinational corporations, manufacturers, financial services providers, life sciences. We did a major deal at a -- a 7-figure deal at a major law firm. So anywhere where customers are -- have highly sensitive data where they have to collaborate on that data in and outside their enterprise, and they often have a layer of compliance requirements within their organization. Those are where we do really well.

    是的。我想說的是,我們所做的事情可能不成比例地是客戶群中實際上存在最多安全性、合規性和數據隱私問題的領域。因此,如果您考慮大型全球跨國公司、製造商、金融服務提供商、生命科學。我們在一家大型律師事務所完成了一筆價值七位數的交易。因此,無論客戶身處何處,只要擁有高度敏感的數據,他們就必須在企業內外就這些數據進行協作,而且他們的組織內通常有一層合規性要求。這些都是我們做得很好的地方。

  • And I would say in every market, there's massive untapped upside. And so that leads you to, again, a lot of upside in public sector. We're seeing healthy traction in state and local. Obviously, a lot of upside on the federal side. We have quite a bit of upside in life sciences, health care, financial services and insurance. So those are a few of the verticals where I think you'd see disproportionate upside over time.

    我想說,每個市場都存在巨大的未開發潛力。因此,這又會讓你在公共部門獲得很多好處。我們看到州和地方的健康吸引力。顯然,聯邦方面有很多好處。我們在生命科學、醫療保健、金融服務和保險方面有相當大的優勢。因此,我認為隨著時間的推移,這些是一些垂直領域,你會看到不成比例的上升空間。

  • Richard David Poland - Senior Associate

    Richard David Poland - Senior Associate

  • Got it. That's very helpful. And then just a follow-up, I know that the seats aspect seems to be seeing a little bit more pressure. But if we just look at the suites contribution to total revenue and the $100,000 deals, obviously, it seems like there's a bit of broad-based pressure as well. So I'm just curious, are there any particular aspects of suites that are harder to sell in this environment or anything you'd call out there?

    知道了。這非常有幫助。接下來,我知道座位方面似乎面臨著更大的壓力。但如果我們只看套房對總收入的貢獻和 10 萬美元的交易,顯然,似乎也存在一些廣泛的壓力。所以我只是很好奇,在這種環境下套房是否有任何特定的方面更難出售,或者您會在那裡提出什麼?

  • Aaron Levie - Co-Founder, CEO & Director

    Aaron Levie - Co-Founder, CEO & Director

  • I think I wouldn't call it suites in that sense. I mean I think there's -- suites is maybe in the [commerce] it's actually a major driver of our sales motion because customers get even more value when they purchase from Box. So I'd say, overall, it's actually one of our primary differentiators, if anything.

    我想從這個意義上來說我不會稱其為套房。我的意思是,我認為套房可能在[商業]中,它實際上是我們銷售活動的主要驅動力,因為客戶從 Box 購買時會獲得更多價值。所以我想說,總的來說,這實際上是我們的主要區別之一(如果有的話)。

  • Dylan Smith - Co-Founder & CFO

    Dylan Smith - Co-Founder & CFO

  • Yes. And maybe also just to clarify, can you talk about some of the other impacts, like on the large deal growth that is not separate from, but it's actually directly related to seat growth. when you have customers who are not expanding at their typical rates, especially existing customers, those 2 are actually pretty closely correlated. So that's not a separate dynamic but actually largely a function of the seat growth dynamics.

    是的。也許也只是為了澄清一下,您能否談談其他一些影響,例如大宗交易的增長,這與席位增長不是分開的,但實際上與席位增長直接相關。當您的客戶沒有以典型速度擴張時,尤其是現有客戶,這兩者實際上是非常密切相關的。因此,這不是一個單獨的動態,而實際上很大程度上是座位增長動態的函數。

  • Operator

    Operator

  • Your next question comes from the line of Steve Enders with Citi.

    您的下一個問題來自花旗銀行的史蒂夫·恩德斯 (Steve Enders)。

  • Steven Lester Enders - Research Analyst

    Steven Lester Enders - Research Analyst

  • Great. I guess, I want to ask a bit more on the AI angle as you're talking to customers (inaudible) shared some things. I guess, how do you view the rates to win within some of those use cases you're going after? And, I guess, what are you kind of -- how are like customers thinking about their own AI investments at this point in utilizing Box versus other players out there that are talking about AI?

    偉大的。我想,當您與客戶交談時(聽不清)分享了一些事情,我想更多地詢問人工智能的角度。我想,您如何看待您所追求的某些用例中的獲勝率?而且,我想,您是什麼樣的人 - 與其他正在談論人工智能的玩家相比,客戶目前在使用 Box 時如何考慮自己的人工智能投資?

  • Aaron Levie - Co-Founder, CEO & Director

    Aaron Levie - Co-Founder, CEO & Director

  • Yes. So I think this will be a surprise to anybody on this call, but we almost have to assume if you're an enterprise software, you're also in AI. So at this point, you kind of have to think about AI is almost -- it's mobile, it's cloud, in its pervasiveness. So it's a platform architecture that is going to exist in all technology. And then there's kind of almost like a heat map or sensitivity of what kind of data and workflows does that enterprise software company have and how much does AI relate to that set of data and workflow. And so we've talked about this in the past, but by definition, large language models do really, really powerful things to large amounts of text and you see large amounts of text in documents. And so that kind of right to win question, we house tens and tens of billions of files that are very ripe for AI helping customers understand within that content, helping automate workflows around it, helping extract metadata from those documents.

    是的。因此,我認為這對參加本次電話會議的任何人來說都會感到驚訝,但我們幾乎必須假設,如果您是企業軟件,那麼您也屬於人工智能領域。所以在這一點上,你必須考慮人工智能——它是移動的,它是雲,它的普遍性。所以它是一個將存在於所有技術中的平台架構。然後,就像熱圖或企業軟件公司擁有哪些類型的數據和工作流程以及人工智能與該組數據和工作流程有多少關係的敏感度一樣。我們過去已經討論過這個問題,但根據定義,大型語言模型對大量文本確實有非常強大的作用,並且您可以在文檔中看到大量文本。因此,在這種贏得問題的權利中,我們擁有數百億個文件,這些文件對於人工智能來說已經非常成熟,可以幫助客戶理解這些內容,幫助自動化圍繞它的工作流程,幫助從這些文檔中提取元數據。

  • And so I think our right to win is extremely strong in anything that is sort of content related from an AI use case standpoint. And so just to rattle off a few of the examples, just in the past maybe 2 weeks of customer conversations, you could have a large real estate organization or a private equity firm or an insurance company where they have invoices or contracts or leasing documents that come in those today have to be read by a human -- processed by a human.

    因此,我認為,從人工智能用例的角度來看,我們在任何與人工智能用例相關的內容中獲勝的權利都非常強大。因此,僅舉幾個例子,就在過去大約兩週的客戶對話中,您可能會遇到一家大型房地產組織、一家私募股權公司或一家保險公司,他們的發票、合同或租賃文件今天,這些內容必須由人類閱讀——由人類處理。

  • Somebody has to extract all the data in a very manual way and large language models, either again through our interface or APIs can do a lot of that heavy lifting automatically using AI. And so just by the nature of our business model, because we already manage that content and in many cases, orchestrate the workflows around that content, we become the natural place for plugging in the AI models to that content as well as opposed to shipping around that data to other platforms. So I think in that sense, our right to win is sort of like right in the very center of the target zone. And now it's the journey of getting customers, educated on how to implement it, building out all of the platform components necessary and then ultimately having a business model where we can share some of that upside of the performance with customers from a pricing standpoint.

    有人必須以非常手動的方式和大型語言模型提取所有數據,要么再次通過我們的界面,要么 API 可以使用人工智能自動完成大量繁重的工作。因此,根據我們業務模式的本質,因為我們已經管理該內容,並且在許多情況下,圍繞該內容編排工作流程,所以我們成為將人工智能模型插入該內容的自然場所,而不是四處運送該數據到其他平台。所以我認為從這個意義上說,我們獲勝的權利有點像位於目標區域的正中心。現在,這是一個吸引客戶、了解如何實施它、構建所有必要的平台組件,然後最終建立一個業務模型的旅程,我們可以從定價的角度與客戶分享一些性能優勢。

  • Steven Lester Enders - Research Analyst

    Steven Lester Enders - Research Analyst

  • Helpful context there. I do want to ask also on some of the investments, it sounds like you're making in go-to-market with the expanded marketing initiatives, maybe some more vertical focus and the turning on the partner side. I guess is there some signal that you're seeing out there that is leading to those incremental investments? Or how are you viewing, I guess, the efficacy of those expanded initiatives at this time.

    那裡有幫助的背景。我確實想問一些投資,聽起來您正在通過擴大營銷計劃進入市場,也許有更多的垂直關注和合作夥伴方面的轉變。我想您是否看到了一些導致增量投資的信號?或者我想,您目前如何看待這些擴大舉措的功效。

  • Aaron Levie - Co-Founder, CEO & Director

    Aaron Levie - Co-Founder, CEO & Director

  • Yes. So I think the macro color now down on the -- into the daily conversations that we tend to have with customers, if you kind of look at 6 or 9 months ago and customers planning their budgets and their cycle, maybe at the start of this year, that's where you saw that -- again, that initial ramp up of pressure of customers not having as much -- as many strategic initiatives because they didn't know where the macro is going to go and how it was going to affect their industry or business.

    是的。因此,我認為現在的宏觀色彩是我們傾向於與客戶進行的日常對話,如果你看看 6 或 9 個月前以及客戶規劃他們的預算和周期,也許是在這開始的時候今年,你會看到,客戶的壓力最初增加,沒有那麼多的戰略舉措,因為他們不知道宏觀經濟將走向何方,也不知道它將如何影響他們的業務。行業或商業。

  • I think you've had the past 6 months of starting to see some degree of stabilization from again, like capital and macro like we're talking inflation rates and interest rate dynamics of where that is going to trend and so now I think the customer conversations we're having have the ability to be more long-term oriented where customers are talking about, okay, what is their IT strategy going to look like next year? Not dollars necessarily, but what kinds of programs and initiatives are they going to do? That gives us the signal that, okay, we can now put more emphasis on really making sure we're in every major city with the right kind of field events, driving the right kind of digital marketing campaigns to drive more conversations. And it's been a steady ramp up throughout the year to be clear.

    我認為在過去的 6 個月裡,您已經開始再次看到某種程度的穩定,例如資本和宏觀方面,就像我們正在談論的通貨膨脹率和利率動態一樣,因此現在我認為客戶我們正在進行的對話能夠更加面向長期,客戶正在談論,好吧,他們明年的I​​T 戰略會是什麼樣子?不一定是美元,但他們將採取什麼樣的計劃和舉措?這向我們發出了這樣的信號:好吧,我們現在可以更加重視真正確保我們在每個主要城市舉辦正確類型的現場活動,推動正確類型的數字營銷活動以推動更多對話。很明顯,這一數字全年都在穩步上升。

  • But I was calling it out because this is going to be a continued focal point for us. I mean, we're planning on having the biggest digital Box works yet. We're bringing back Box's CIO conference. CIO works in person this October. And so I think we are seeing enough signal in the conversations that warrant making sure we're driving the right level of demand and pipeline.

    但我之所以這麼說,是因為這將成為我們持續關注的焦點。我的意思是,我們正計劃打造迄今為止最大的數字 Box 作品。我們將恢復 Box 的 CIO 會議。今年10月CIO親自上班。因此,我認為我們在對話中看到了足夠的信號,可以確保我們推動適當水平的需求和管道。

  • Operator

    Operator

  • This concludes today's Q&A session. I will now turn the call back to Cynthia for closing remarks.

    今天的問答環節到此結束。現在,我將把電話轉回給辛西婭,讓其致閉幕詞。

  • Cynthia Hiponia - VP of IR

    Cynthia Hiponia - VP of IR

  • Great. Thank you, everyone. As Aaron mentioned, we are holding BoxWorks on October 11, and we'll be hosting a virtual investor product briefing at 01:00 p.m. Pacific time. We'll be sending out more details shortly. Again, thank you, everyone, for joining us today.

    偉大的。謝謝大家。正如 Aaron 提到的,我們將於 10 月 11 日舉行 BoxWorks,並將於下午 01:00 舉辦虛擬投資者產品簡報會。太平洋時間。我們將很快發送更多詳細信息。再次感謝大家今天加入我們。

  • Operator

    Operator

  • This concludes today's conference call. You may now disconnect.

    今天的電話會議到此結束。您現在可以斷開連接。