CCC Intelligent Solutions Holdings Inc (CCC) 2023 Q4 法說會逐字稿

Good day, and thank you for standing by. Welcome to the CCC Intelligent Solutions Fourth Quarter Fiscal 2023 Earnings Call. (Operator Instructions) Please be advised that today's conference is being recorded.

美好的一天，感謝您的支持。歡迎參加 CCC 智慧解決方案 2023 財年第四季財報電話會議。 （操作員指示）請注意，今天的會議正在錄製中。

I would now like to hand the conference over to your speaker today, Bill Warmington, Vice President of Investor Relations.

現在我想將會議交給今天的發言人、投資者關係副總裁比爾沃明頓 (Bill Warmington)。

Thank you, operator. Good afternoon, and thank you all for joining us today to review CCC's fourth quarter 2023 financial results, which we announced in the press release issued following the close of the market today. Joining me on the call are Githesh Ramamurthy, CCC's Chairman and CEO; and Brian Herb, CCC's CFO.

謝謝你，接線生。下午好，感謝大家今天與我們一起回顧 CCC 2023 年第四季度的財務業績，我們在今天收盤後發布的新聞稿中宣布了這一結果。與我一起參加電話會議的還有 CCC 董事長兼執行長 Githesh Ramamurthy；以及 CCC 財務長 Brian Herb。

The forward-looking statements we make today about the company's results and plans are subject to risks and uncertainties that may cause the actual results and the implementation of the company's plans to vary materially. These risks are discussed in the earnings release is available on our Investor Relations website and under the heading Risk Factors in our 2023 Annual Report on Form 10-K filed today with the SEC.

我們今天做出的有關公司業績和計劃的前瞻性陳述存在風險和不確定性，可能導致實際結果和公司計劃的實施出現重大差異。這些風險在我們的投資者關係網站上的收益發布中以及今天向 SEC 提交的 10-K 表格 2023 年年度報告的風險因素標題下進行了討論。

Further, these comments and the Q&A that follows are copyrighted today by CCC Intelligent Solutions Holdings, Inc. Any recording, retransmission, reproduction or other use of the same for profit or otherwise without prior consent of CCC is prohibited and a violation of United States copyright and other laws. Additionally, while we will provide a transcript of portions of this call and we've approved the publishing of a transcript of this call by a third party, we take no responsibility for inaccuracies that may appear in the transcripts.

此外，這些評論和隨後的問答今天的版權歸CCC Intelligence Solutions Holdings, Inc. 所有。未經CCC 事先同意，禁止以營利或其他方式錄製、轉發、複製或以其他方式使用這些評論和問答，否則會侵犯美國版權。和其他法律。此外，雖然我們將提供本次通話的部分文字記錄，並且我們已批准第三方發布本次通話的文字記錄，但我們對文字記錄中可能出現的不準確之處不承擔任何責任。

Please note that the discussion on today's call includes certain non-GAAP financial measures as defined by the SEC. The company believes these non-GAAP financial measures provide useful information to management, and investors regarding certain financial and business trends relating to the company's financial condition and the results of operations. A reconciliation of GAAP to non-GAAP measures is available in our Earnings Release that is available on our Investor Relations website. Thank you.

請注意，今天電話會議的討論包括 SEC 定義的某些非 GAAP 財務指標。該公司相信，這些非公認會計準則財務指標為管理層和投資者提供了有關與公司財務狀況和經營業績相關的某些財務和業務趨勢的有用資訊。我們的投資人關係網站上的收益報告中提供了 GAAP 與非 GAAP 衡量標準的調整表。謝謝。

And now I'll turn the call over to Githesh.

現在我將把電話轉給吉瑟斯。

Thank you, Bill, and thanks to all of you for joining us today. I'm pleased to report that CCC delivered another quarter of strong top and bottom line performance to complete another record year in 2023. For the fourth quarter of 2023, CCC's total revenue was $229 million, up 12% year-over-year and ahead of our guidance range. Adjusted EBITDA for the fourth quarter was $100 million, up 25% year-over-year, and adjusted EBITDA margin was 44%, both also ahead of our guidance range. Revenue for the full year 2023 was $866 million, up 11% year-over-year and well above the high end of our initial 2023 guidance range. Adjusted EBITDA for the full year 2023 was $353 million, and adjusted EBITDA margin was 41%, also well above the high end of our initial guidance range.

謝謝你，比爾，也謝謝大家今天加入我們。我很高興地向您報告，CCC 又一個季度實現了強勁的營收和利潤業績，在 2023 年再創歷史新高。2023 年第四季度，CCC 的總收入為 2.29 億美元，同比增長 12%。我們的指導範圍。第四季調整後 EBITDA 為 1 億美元，年成長 25%，調整後 EBITDA 利潤率為 44%，均高於我們的指引範圍。 2023 年全年營收為 8.66 億美元，年增 11%，遠高於我們最初 2023 年指導範圍的上限。 2023 年全年調整後 EBITDA 為 3.53 億美元，調整後 EBITDA 利潤率為 41%，也遠高於我們最初指引範圍的上限。

We believe our strong performance is a result of growing interest in advanced digital solutions across the P&C insurance economy and the trust our customers place in us to deliver those innovations. Over the past 4 years, 2.5 as a publicly traded company, we have grown our revenue by over 50%, almost entirely organically, from $570 million in 2019 to $886 million in 2023 with a Q4 run rate of over $900 million. Over the same time, we have grown our adjusted EBITDA by more than 100% from $170 million in 2019, a 30% margin, to $353 million, a 41% margin in 2023. Q4 was the first time we delivered $100 million in adjusted EBITDA in a quarter.

我們相信，我們的強勁業績是由於整個財產和意外保險經濟中對先進數位解決方案的興趣日益濃厚，以及客戶對我們提供這些創新的信任的結果。在過去4 年裡，作為一家上市公司2.5，我們的收入幾乎完全有機地增長了50% 以上，從2019 年的5.7 億美元增長到2023 年的8.86 億美元，第四季度的運行率超過9 億美元。同時，我們的調整後EBITDA 成長了100% 以上，從2019 年的1.7 億美元（利潤率30%）增至2023 年的3.53 億美元（利潤率41%）。第四季是我們首次交付1 億美元的調整後EBITDA一個季度內。

Today, I want to focus on what we have done to position CCC for continued growth as we head into 2024. The first is delivering innovation to meet our clients' accelerating demand for AI-enabled solutions. The second is continuing to grow our multisided network, and third is investing in CCC's growth capacity and capabilities while continuing to expand margins.

今天，我想重點介紹一下我們為 CCC 在進入 2024 年時實現持續成長所做的努力。首先是提供創新，以滿足客戶對人工智慧解決方案日益增長的需求。第二是繼續發展我們的多邊網絡，第三是投資 CCC 的成長能力和能力，同時繼續擴大利潤。

My first topic is the innovation we are delivering to meet our clients' accelerating demand for AI solutions. I've noticed a significant change in my conversation with clients over the past few months. While claims and repair cost inflation continues to be a concern, clients are increasingly turning their attention to the accelerating retirement of their workforces. What we're hearing from customers is that they expect between 1/3 and 1/2 of their most experienced workers to retire before the end of the decade. What this means for our clients across the P&C insurance economy is that they are facing the loss of decades of institutional knowledge, which will most likely result in a smaller, less experienced and higher turnover workforce.

我的第一個主題是我們為滿足客戶對人工智慧解決方案日益增長的需求而提供的創新。我注意到過去幾個月我與客戶的談話發生了重大變化。儘管索賠和維修成本上漲仍然是一個令人擔憂的問題，但客戶越來越多地將注意力轉向勞動力的加速退休。我們從客戶那裡聽到的是，他們預計 1/3 到 1/2 的最有經驗的員工將在本十年結束之前退休。這對我們整個財產與意外傷害保險經濟的客戶來說意味著他們面臨著數十年的機構知識的喪失，這很可能導致勞動力規模縮小、經驗不足和流動率更高。

Making the situation even more worrisome is that this labor shortage is taking place simultaneously with rapidly rising vehicle repair complexity. As a result, our customers need help closing the skill gap with new and existing workers quickly. These and other challenges are driving accelerating interest and adoption of AI-driven solutions across our client base. In 2023, CCC processed the highest number of auto claims in the company's 43-year history. On a cumulative basis, over 19 million unique claims since 2018 have now been processed using a CCC AI-enabled solution. And we have doubled the number of insurers using our AI-based Estimate-STP solution over the last year. AI took a large step forward across our portfolio in 2023, and we are well positioned for additional advancement in 2024.

更令人擔憂的是，勞動力短缺與車輛維修複雜性迅速上升同時發生。因此，我們的客戶需要幫助快速縮小與新員工和現有員工的技能差距。這些和其他挑戰正在推動我們的客戶群對人工智慧驅動的解決方案的興趣和採用不斷加快。 2023 年，CCC 處理的汽車索賠數量創該公司 43 年歷史上最高。自 2018 年以來，累計已使用 CCC AI 支援的解決方案處理了超過 1900 萬個獨特索賠。去年，使用我們基於人工智慧的 Estimate-STP 解決方案的保險公司數量增加了一倍。 2023 年，人工智慧在我們的產品組合中向前邁出了一大步，並且我們已做好準備，在 2024 年取得進一步的進展。

For insurers, 2023 saw growth in our AI-based computer vision technology, not just in greater Estimate-STP usage, but in expanded input channels and use cases. First, we extend our mobile AI from consumer self-service to the field adjuster channel. And in Q4, we broadened that even further with the introduction of First Look, a solution designed to enable insurers to ingest and analyze photos from additional sources, including tow trucks, salvage providers and more so they can leverage AI more flexibly and comprehensively across the claims handling and appraisal process.

對於保險公司來說，2023 年我們基於 AI 的電腦視覺技術將實現成長，不僅體現在 Estimate-STP 的使用增加，還體現在輸入管道和用例的擴展。首先，我們將行動人工智慧從消費者自助服務擴展到現場理賠員管道。在第四季度，我們進一步擴大了這一範圍，推出了First Look，該解決方案旨在使保險公司能夠提取和分析來自其他來源（包括拖車、救援提供者等）的照片，以便他們可以在整個業界更靈活、更全面地利用人工智慧。索賠處理和評估流程。

We also introduced Impact Dynamics which leverages AI computer vision capabilities to predict impact severity from vehicle damage photos, enabling earlier and more accurate triage of potential casualty claims based on insurer rules, among other applications. Significant investment in our AI-enabled Subrogation solution has also generated strong momentum as we start 2024. Subrogation is the process of 1 insurer requesting payment from another insurer based on liability for a claim. Tens of billions of dollars in claims are subrogated each year in a highly manual paper-based process, costing insurers over $2 billion per year in loss adjustment expense. Customers using our solution have seen significant improvements in Subrogation recoveries and in the efficiency of their Subrogation activities, and we added multiple new subrogation customers in Q4.

我們還推出了 Impact Dynamics，它利用 AI 電腦視覺功能來預測車輛損壞照片的影響嚴重程度，從而能夠根據保險公司規則等應用更早、更準確地對潛在傷亡索賠進行分類。隨著 2024 年的開始，我們對人工智慧代位解決方案的大量投資也產生了強勁的勢頭。代位求償是指一家保險公司根據索賠責任向另一家保險公司請求付款的過程。每年有數百億美元的索賠透過高度人工的紙本流程進行代位索賠，保險公司每年損失的損失調整費用超過 20 億美元。使用我們的解決方案的客戶已經看到代位追償和代位活動效率的顯著提高，並且我們在第四季度添加了多個新的代位客戶。

For repairs, 2023 saw the introduction of 2 new AI-based photo solutions. The first was Repair Cost Predictor, which enables collision repairs to quickly provide a predicted repair cost range to consumers. The second was Mobile Jumpstart, which we launched in late Q4. Mobile Jumpstart uses AI to dramatically reduce the time it takes an estimator to generate an initial estimate. And since its introduction, more than 3,000 repair facilities have already used this solution with an average time to complete an initial estimate of less than 2 minutes versus the traditional industry average of half an hour or more. These innovations are simply transformational for a capacity-constrained industry like collision repair.

對於維修，2023 年推出了 2 種新的基於 AI 的照片解決方案。第一個是修復成本預測器，它使碰撞修復能夠快速向消費者提供預測的修復成本範圍。第二個是 Mobile Jumpstart，我們在第四季末推出。 Mobile Jumpstart 使用人工智慧大幅減少估算器產生初始估算所需的時間。自推出以來，已有 3,000 多家維修機構使用了該解決方案，完成初步估計的平均時間不到 2 分鐘，而傳統行業平均時間為半小時或更長。這些創新對於碰撞修復等產能有限的產業來說簡直就是一場變革。

At CCC, our goal is to enable the digitization of the entire auto claim supply chain, from first notice of loss all the way through Subrogation, which we are advancing by providing solutions that allow our customers to digitize and automate ever more steps in the claims and repair process. Eliminating waste, reducing cycle time and improving satisfaction for our customers and theirs. We believe that the fusion of our industry-leading AI, deep multisided network and scalable multi-tenant platform positions us as the partner of choice for our clients' digital transformation and for more and more of a claims life cycle to be processed using CCC solutions over time.

在CCC，我們的目標是實現整個汽車索賠供應鏈的數位化，從第一次損失通知一直到代位求償，我們透過提供解決方案來推進這一點，使我們的客戶能夠數位化和自動化索賠中的更多步驟和修復過程。消除浪費、縮短週期時間並提高我們的客戶及其客戶的滿意度。我們相信，業界領先的人工智慧、深度多邊網路和可擴展的多租戶平台的融合使我們成為客戶數位轉型以及越來越多的索賠生命週期使用 CCC 解決方案進行處理的首選合作夥伴隨著時間的推移。

My second topic is the continued growth of our multisided network. In 2023, we expanded our network of customers by adding over 1,000 collision repairs and over 500 parts dealers, while expanding our relationships with several key automotive OEMs. We are now approaching 30,000 repair facilities and 5,000 parts suppliers from the CCC network. We renewed and expanded multiple insurer relationships, including a top 20 carrier that's scheduled to roll out a full suite of auto physical damage solutions in Q2 of 2024, as well as several new casualty insurers.

我的第二個主題是我們多邊網路的持續成長。 2023 年，我們擴大了客戶網絡，增加了 1,000 多家碰撞維修店和 500 多家零件經銷商，同時擴大了與幾家主要汽車原始設備製造商的關係。我們現在正在聯繫 CCC 網路中的 30,000 家維修機構和 5,000 家零件供應商。我們更新並擴大了多家保險公司的關係，包括計劃於 2024 年第二季推出全套汽車物理損壞解決方案的一家排名前 20 的保險公司，以及幾家新的傷亡保險公司。

We have also expanded our ecosystem with leading technology and service providers who increasingly see the value of connecting to the broader CCC network. CCC Diagnostics is a good example of the power of the CCC network in action. Since 2017, diagnostics, scanning and calibration have rapidly become a common activity in collision repair. Everyone involved in resolving a collision has an interest in a quick quality repair and the CCC platform is helping the entire ecosystem navigate the advanced technology increasingly going into vehicles by introducing solutions designed to streamline the administration of these diagnostics, scanning and calibration tasks, and to increase transparency and trust throughout this process.

我們還與領先的技術和服務供應商一起擴展了我們的生態系統，他們越來越看到連接到更廣泛的 CCC 網路的價值。 CCC Diagnostics 是 CCC 網路發揮作用的一個很好的例子。自 2017 年以來，診斷、掃描和校準已迅速成為碰撞修復的常見活動。參與解決碰撞的每個人都對快速高品質修復感興趣，CCC 平台透過引入旨在簡化這些診斷、掃描和校準任務管理的解決方案，幫助整個生態系統駕馭越來越多地應用於車輛的先進技術，並增加整個過程的透明度和信任。

This multisided benefit helped increase the total volume of validated scans moving through CCC Diagnostics by 80% year-over-year in 2023. The great thing about a multisided network, of course, is that its value to each participant grows as more participants join the network. And while we continue to add participants in our existing categories, we also plan to add new business categories to enable additional innovation across the CCC network. Our ability to do this is enhanced for the investments we have made in our IT infrastructure and AI capabilities and is a key enabler of growth and enhanced value to customers in 2024 and beyond.

到2023 年，這種多邊優勢有助於將透過CCC Diagnostics 的驗證掃描總量同比增加80%。當然，多邊網路的偉大之處在於，隨著更多參與者加入，它對每個參與者的價值也隨之增長。網路。在我們繼續增加現有類別參與者的同時，我們還計劃添加新的業務類別，以在 CCC 網路中實現更多創新。我們在 IT 基礎設施和人工智慧能力方面進行的投資增強了我們實現這一目標的能力，並且是 2024 年及以後實現成長和為客戶增加價值的關鍵推動因素。

My third and final point is that we have invested significantly in CCC's growth capacity and capabilities while continuing to expand margins. During 2023, we invested across multiple dimensions of the business to enable the necessary components to scale our growth into a multibillion dollar revenue company. I will highlight 3 of these components. Over the last 2 years, we have increased our product development capacity by over 30% and have also significantly expanded our product design, product management, AI and data science teams. This has resulted in an accelerated pipeline of new product introductions. In dollar terms, R&D spend increased to approximately $150 million in 2023 excluding stock-based compensation.

我的第三點也是最後一點是，我們在繼續擴大利潤率的同時，對 CCC 的成長能力和能力進行了大量投資。 2023 年，我們對業務的多個維度進行了投資，以實現必要的組成部分，從而將我們的發展規模擴大為收入數十億美元的公司。我將重點介紹其中的 3 個組成部分。過去兩年，我們的產品開發能力提高了 30% 以上，並大幅擴大了我們的產品設計、產品管理、人工智慧和資料科學團隊。這加速了新產品的推出。以美元計算，2023 年研發支出將增加約 1.5 億美元，不包括股票薪資。

In 2023, we completed the transition of tens of thousands of servers from our private cloud data centers to public clouds. This infrastructure provides a rapid scalability and redundancy needed to support our increasing new product velocity and position CCC for continued growth. One critical benefit we have seen already is the elastic compute capacity for AI inference and deployment. We no longer need to be in the business of buying and installing GPUs after doing that for a decade.

2023年，我們完成了數萬台伺服器從私有雲資料中心到公有雲的遷移。該基礎設施提供了支援我們不斷增長的新產品速度和定位 CCC 持續成長所需的快速可擴展性和冗餘性。我們已經看到的一項關鍵優勢是人工智慧推理和部署的彈性運算能力。經過十年的努力，我們不再需要購買和安裝 GPU。

The third component is that during 2023, we also continued to add and train new leaders and associates in our market-facing functions. This has resulted in us working even more closely with our customers to understand their evolving needs and test new solutions. We believe that our position as our customers' Partner of Choice for innovation is reflected in our 99% GDR for the year as well as our industry-leading Net Promoter Score, which improved from 82 to 83 in 2023. We believe these investments help position CCC for our next leg of growth. And importantly, we were able to make these critical investments while delivering significant year-over-year margin expansion in 2023. We continue to execute on our strategic plan and mature as a public company.

第三個組成部分是，2023 年期間，我們也繼續在面向市場的職能部門中增加和培訓新的領導者和員工。這使得我們與客戶更加密切合作，以了解他們不斷變化的需求並測試新的解決方案。我們相信，我們作為客戶首選創新合作夥伴的地位體現在我們今年 99% 的 GDR 以及我們行業領先的淨推薦值（2023 年從 82 提高到 83）。我們相信這些投資有助於定位CCC 是我們下一個成長階段。重要的是，我們能夠進行這些關鍵投資，同時在 2023 年實現利潤率同比大幅增長。我們將繼續執行我們的策略計劃，並作為一家上市公司走向成熟。

2.5 years after going public, we have made significant progress in broadening our shareholder base and increasing the liquidity of our shares. Following the secondary offerings in November and January, our free float has increased by almost 60 million shares, to about 50% of shares outstanding, a significant improvement in liquidity in just 4 months. In addition, we're able to improve our balance sheet efficiency to the targeted repurchase of 5% of shares outstanding using approximately $328 million in cash.

上市2.5年後，我們在擴大股東基礎和增加股票流動性方面取得了重大進展。繼 11 月和 1 月的二次發行後，我們的自由流通股增加了近 6,000 萬股，達到流通股的 50% 左右，流動性在短短 4 個月內顯著改善。此外，我們也能夠提高資產負債表效率，利用約 3.28 億美元的現金有針對性地回購 5% 的已發行股票。

Let me conclude by saying that we are incredibly proud of what our team accomplished in 2023. We are excited about what we have planned for 2024 and remain confident in our ability to continue to deliver on our strategic and financial objectives.

最後我要說的是，我們對我們的團隊在 2023 年的成就感到無比自豪。我們對 2024 年的計劃感到興奮，並對我們繼續實現戰略和財務目標的能力充滿信心。

I will now turn the call over to Brian, who will walk you through our results.

我現在將把電話轉給布萊恩，他將向您介紹我們的結果。

Thanks, Githesh. As Githesh highlighted, by investing in CCC's growth capacity and capabilities, delivering innovation to meet our clients' accelerating demand for AI-enabled solutions in growing the multisided network, we are driving positive momentum across the business and reinforcing our confidence in our long-term growth outlook. We are pleased with our top and bottom line performance, which reflects a balance between investment in growth initiatives and margin discipline.

謝謝，吉瑟斯。正如Githesh 所強調的那樣，透過投資CCC 的成長能力和能力，提供創新來滿足客戶對人工智慧解決方案在發展多邊網路方面日益增長的需求，我們正在推動整個業務的積極勢頭，並增強我們對長期發展的信心。增長前景。我們對我們的營收和利潤表現感到滿意，這反映了成長計畫投資和利潤紀律之間的平衡。

Now as we turn to the numbers, I'd like to review our fourth quarter and fiscal year 2023 results and then provide guidance for the first quarter and full year 2024.

現在，當我們轉向數字時，我想回顧一下我們第四季度和 2023 財年的業績，然後為 2024 年第一季和全年提供指導。

Total revenue for the fourth quarter was $228.6 million, up 12% from the prior year period. Total revenue for fiscal year 2023 was $866.4 million, up 11% from 2022. Approximately 9 points of our revenue growth in Q4 was driven by cross-sell, upsell and adoptions of our solutions across our client base including repair shop package upgrades, continued adoption of our digital solutions and the ongoing strength in casualty and parts.

第四季總營收為 2.286 億美元，比去年同期成長 12%。 2023 財年的總營收為8.664 億美元，比2022 年成長11%。第四季營收成長約9 個百分點是由交叉銷售、追加銷售和跨客戶群採用我們的解決方案推動的，包括維修店包升級、持續採用我們的數位解決方案以及在傷亡和零件方面的持續實力。

About 1 point of the 9 points came from onetime items and year-end true-up revenue above contractual commitments on our subscription contracts. An incremental 3 points of growth came from new logos, mostly in our repair facilities and parts suppliers. I also want to highlight that we saw about 1 point of growth contribution in Q4 from our emerging solutions, mainly Diagnostics and Estimate-STP.

9 分中的大約 1 分來自一次性項目和高於訂閱合約承諾的年終調整收入。增量成長 3 個百分點來自於新商標，主要是在我們的維修設施和零件供應商。我還想強調的是，我們的新興解決方案（主要是診斷和估計 STP）在第四季度為我們帶來了約 1 個百分點的成長貢獻。

Now turning to our key metrics. Software Gross Dollar Retention or GDR, captures the amount of revenue retained from our client base compared to the prior year period. In Q4 2023 our GDR was 99%, which was up modestly from 98% last quarter. Please note that since the first quarter 2020, our GDR has been between 98% and 99%. And has rounded up or down, primarily driven by repair shop industry churn. We believe our software GDR reflects the value we provide and the significant benefits that accrue to our customers from participating in the broader CCC network. Our strong GDR is a core tenet of our predictable and resilient revenue model.

現在轉向我們的關鍵指標。軟體保留總美元金額（GDR）反映了與去年同期相比從我們的客戶群保留的收入金額。 2023 年第四季，我們的 GDR 為 99%，較上季的 98% 略有上升。請注意，自 2020 年第一季以來，我們的 GDR 一直在 98% 至 99% 之間。並進行了向上或向下舍入，主要是由維修店行業的流失所推動的。我們相信我們的軟體 GDR 反映了我們提供的價值以及我們的客戶透過參與更廣泛的 CCC 網路而獲得的顯著利益。我們強大的 GDR 是我們可預測且有彈性的收入模式的核心原則。

Software Net Dollar Retention, or NDR, captures the amount of cross-sell and upsell from our existing customers compared to the prior year period as well as volume movements in our auto physical damage client base. In Q4 2023, our NDR was 108%, up from 107% in the last couple of quarters.

軟體淨美元保留（NDR）記錄了我們現有客戶與去年同期相比的交叉銷售和追加銷售數量，以及我們汽車物理損壞客戶群的數量變化。 2023 年第四季度，我們的 NDR 為 108%，高於過去幾季的 107%。

Now I'll review the income statement in more detail. As a reminder, unless otherwise noted, all metrics are non-GAAP. We have provided a reconciliation of GAAP to non-GAAP in our press release. Adjusted gross profit in the quarter was $181.5 million. Adjusted gross profit margin was 79%, up from 78% last quarter and 77% in the fourth quarter of 2022. The stronger year-over-year adjusted gross profit margin primarily reflects operating leverage on incremental revenue. Overall, we feel good about the operating leverage and the scalability of the business model and our ability to deliver against our long-term adjusted gross profit margin target of 80%.

現在我將更詳細地回顧損益表。提醒一下，除非另有說明，所有指標均為非 GAAP 指標。我們在新聞稿中提供了 GAAP 與非 GAAP 的調整表。該季度調整後毛利為 1.815 億美元。調整後毛利率為 79%，高於上一季的 78% 和 2022 年第四季的 77%。調整後毛利率年增率主要反映了增量收入的營運槓桿。總體而言，我們對營運槓桿和業務模式的可擴展性以及我們實現 80% 的長期調整毛利率目標的能力感到滿意。

In terms of expenses, adjusted operating expense in Q4 2023 was $90.8 million, up 7% year-over-year. This was mainly driven by investments in our customer-facing functions as well as higher IT-related costs. In the quarter, we also benefited from a $3 million onetime insurance claim reimbursement. Adjusted EBITDA for the quarter was $100.1 million, up 25% year-over-year with an adjusted EBITDA margin of 44%.

費用方面，2023年第四季調整後營運費用為9,080萬美元，較去年同期成長7%。這主要是由於對面向客戶的職能的投資以及更高的 IT 相關成本所推動的。本季度，我們也受惠於 300 萬美元的一次性保險索賠報銷。本季調整後 EBITDA 為 1.001 億美元，年增 25%，調整後 EBITDA 利潤率為 44%。

Now turning to the balance sheet and cash flow. We ended the quarter with $195 million in cash and cash equivalents and $784 million of debt. At the end of the quarter, our net leverage was 1.7x adjusted EBITDA. Free cash flow in Q4 was $75.1 million compared to $72.4 million in the prior year period. Free cash flow for the full year 2023 was $195 million, up 28% year-over-year. Our free cash flow margin in 2023 was 23%, compared to 19% in 2022. Unlevered free cash flow in Q4 was $85 million or approximately 85% of our adjusted EBITDA. For the full year 2023 unlevered free cash flow was $235 million, 67% of our adjusted EBITDA on a reported basis. While our level of free cash flow can vary quarter-to-quarter, we expect it will continue to average out in the mid-60% range of our adjusted EBITDA.

現在轉向資產負債表和現金流量。本季末，我們的現金和現金等價物為 1.95 億美元，債務為 7.84 億美元。截至本季末，我們的淨槓桿比率為調整後 EBITDA 的 1.7 倍。第四季的自由現金流為 7,510 萬美元，去年同期為 7,240 萬美元。 2023年全年自由現金流為1.95億美元，較去年同期成長28%。我們 2023 年的自由現金流利潤率為 23%，而 2022 年為 19%。第四季的無槓桿自由現金流為 8,500 萬美元，約佔調整後 EBITDA 的 85%。 2023 年全年無槓桿自由現金流為 2.35 億美元，佔報告調整後 EBITDA 的 67%。雖然我們的自由現金流水準可能會因季度而異，但我們預計它將繼續平均在調整後 EBITDA 的 60% 左右。

I'd now like to finish with guidance beginning in Q1 2024. We expect total revenue of $224.5 million to $226 million, which represents 10% growth year-over-year. We expect adjusted EBITDA of $90.5 million to $92 million, 41% adjusted EBITDA margin at the midpoint in Q1. For the full year 2024, we expect revenue of $942 million to $950 million, which represents 9% to 10% year-over-year growth. We expect adjusted EBITDA of $387 million to $395 million, which represents 41% adjusted EBITDA margin at the midpoint.

我現在想以 2024 年第一季開始的指引作為結束語。我們預計總收入為 2.245 億美元至 2.26 億美元，年成長 10%。我們預計第一季調整後 EBITDA 為 9,050 萬美元至 9,200 萬美元，調整後 EBITDA 利潤率為 41%。對於 2024 年全年，我們預計營收為 9.42 億至 9.5 億美元，年增 9% 至 10%。我們預計調整後 EBITDA 為 3.87 億美元至 3.95 億美元，相當於調整後 EBITDA 利潤率中點的 41%。

So 3 points to keep in mind as you think about our first quarter and full year guidance in 2024. The first point is that we saw broad-based strength across insurance in Q4 last year, including revenue from our above contractual commitments. This can vary quarter-to-quarter. As a result, we expect total Q1 2024 revenue growth to be up 10% year-over-year but this is down sequentially in absolute dollars.

因此，當您思考我們的2024 年第一季和全年指引時，請記住三點。第一點是，我們在去年第四季度看到了保險業的廣泛實力，包括我們上述合約承諾的收入。這可能會因季度而異。因此，我們預計 2024 年第一季總營收成長將年增 10%，但以絕對美元計算，這一數字將連續下降。

The second point is that the emerging solutions, which contributed about 1 point of growth in 2023, and we expect that level of contribution from the upsell and cross-sell of these emerging solutions to be a larger contributor of growth in 2024 as these solutions continue to scale.

第二點是新興解決方案，在2023 年貢獻了約1 個百分點的成長，隨著這些解決方案的不斷發展，我們預計這些新興解決方案的追加銷售和交叉銷售的貢獻水準將在2024 年成為更大的成長貢獻者規模化。

The third point is that, as in prior years, we experienced some seasonality in our year-over-year adjusted EBITDA margin with the second half levels being above the first half. We expect 2024 to be consistent with this pattern, with the first half margins being constrained by the reset of employee-related expenses and the cost of our industry conference, along with the absence of the $3 million insurance benefit that we recognized in Q4 of last year.

第三點是，與往年一樣，我們的年比調整後 EBITDA 利潤率經歷了一些季節性，下半年的水平高於上半年。我們預計 2024 年將與這種模式保持一致，上半年的利潤率受到員工相關費用和行業會議費用重置的限制，並且缺乏我們在去年第四季度確認的 300 萬美元保險福利年。

We, therefore, see the starting point of our year-over-year adjusted EBITDA margin expansion against our full year 2023 margin of 41%. Overall, the strong trends we're seeing in renewals, the relationship expansions and the new solution adoption reinforces our confidence in the underlying strength of the business. The combination of our durable business model, advanced AI capabilities, the interconnected network and the broad solution have puts us in a unique position to help our customers in the P&C insurance economy, reduced cycle times and administration costs while improving their consumers' experience throughout the claim process.

因此，我們預計 2023 年全年利潤率將達到 41%，年比調整後 EBITDA 利潤率將開始擴張。總體而言，我們在續約、關係擴展和新解決方案採用方面看到的強勁趨勢增強了我們對業務潛在實力的信心。我們持久的商業模式、先進的人工智慧能力、互聯網和廣泛的解決方案相結合，使我們處於獨特的地位，可以幫助我們的財產和意外傷害保險經濟中的客戶，縮短週期時間和管理成本，同時改善整個消費者的體驗。索賠過程。

The need for digitization across the P&C insurance economy continues to accelerate, and CCC is well positioned to drive durable growth in both revenue and profitability in the near and long term. We are confident in our ability to deliver against our long-term target of 7% to 10% organic revenue growth and adjusted EBITDA margins expanding in the mid-40s. We've delivered over 1,000 basis points of margin expansion in the last 4 years while investing in innovation to support our growth ambitions, and we will continue to balance investments and margin expansions going forward. As we continue to execute on our strategic priorities, we believe we will generate significant value for both our customers and our shareholders.

整個財產和意外保險經濟對數位化的需求持續加速，CCC 處於有利地位，可以在近期和長期推動收入和盈利能力的持久增長。我們對實現 7% 至 10% 有機收入成長和調整後 EBITDA 利潤率在 1940 年代中期擴大的長期目標充滿信心。在過去 4 年裡，我們的利潤率成長了超過 1,000 個基點，同時投資創新以支持我們的成長目標，未來我們將繼續平衡投資和利潤率擴張。隨著我們繼續執行我們的策略重點，我們相信我們將為我們的客戶和股東創造巨大的價值。

With that, operator, we are ready to take questions. Thank you.

接線員，我們準備好回答問題了。謝謝。

(Operator Instructions) Our first question comes from Alexei Gogolev with JPMorgan.

（操作員指令）我們的第一個問題來自摩根大通的 Alexei Gogolev。

Githesh and Brian, congratulations on great results. Brian, I've noticed the record high gross margin that you delivered in the fourth quarter of 79%. I was wondering if there were any nonrecurring revenue items that have boosted the gross margin, perhaps maybe similar to what you had in the fourth quarter of '21?

Githesh 和 Brian，祝賀你們取得如此好的成績。 Brian，我注意到你們第四季毛利率創歷史新高，達到 79%。我想知道是否有任何非經常性收入項目提高了毛利率，也許類似於 21 年第四季的情況？

Alexei, yes, the point to highlight on the stronger gross profit, we do have the year-end true-ups that happen each year. So that is volumes exceed the contractual commitments of our clients. And so we recognize that excess volume. They're not material to the total revenue position, but they do largely come together in Q4 and that drives a stronger gross profit, and you can see that in the number. That said, we're happy with the progress we're seeing on gross profit across the year, and that's really being driven off the operating leverage within the business.

阿列克謝，是的，要強調的是更強勁的毛利，我們每年都會進行年終調整。因此，數量超出了我們客戶的合約承諾。因此我們認識到了過剩的交易量。它們對總收入狀況並不重要，但它們確實在第四季度集中在一起，這推動了更強勁的毛利，你可以從數字中看到這一點。也就是說，我們對全年毛利的進展感到滿意，這確實是由業務內部的營運槓桿所推動的。

Okay. Perfect. And Githesh, I was wondering if you've considered expanding your ecosystem beyond the existing components? Obviously, you dominate the P&C insurance in automotive, you have high market share in repair facilities. Obviously, the very strong presence in the supplier side. Have you considered expanding into, for example, automotive dealerships? And does that make sense in terms of a logical step in your evolution?

好的。完美的。 Githesh，我想知道您是否考慮將生態系統擴展到現有組件之外？顯然，你們在汽車財產保險領域佔據主導地位，在維修設施領域擁有很高的市場份額。顯然，供應商方面的存在非常強大。您是否考慮過擴展到汽車經銷商等領域？從你進化的邏輯步驟來看，這有意義嗎？

Alexei, one of the things that we are doing right now is with all of these new product introductions, we feel we've got a number of runways with our existing customers and the ecosystem we built, still a lot of room for expansion with the dealers, continue to bring additional capabilities with OEM partners. And as you know, we have a pretty deep presence with insurers, repairers and the like. And then we've also, as we look at expanding further with solutions like First Look, that will connect to broader parts of the ecosystem. And that is something we're continuously looking at to expand into the network. But they will be more along the lines of the product introductions that help connect and drive those expansions.

Alexei，我們現在正在做的事情之一就是推出所有這些新產品，我們認為我們已經與現有客戶和我們建立的生態系統建立了許多跑道，但仍有很大的擴展空間經銷商，繼續與OEM合作夥伴一起帶來額外的能力。如您所知，我們與保險公司、維修商等有著相當深厚的關係。然後，當我們考慮透過「First Look」等解決方案進一步擴展時，這將連接到生態系統的更廣泛部分。這就是我們不斷尋求擴展到網路中的東西。但它們將更多地遵循有助於連接和推動這些擴展的產品介紹。

Our next question comes from Samad Samana with Jefferies.

我們的下一個問題來自 Jefferies 的 Samad Samana。

Great to see the strong close to 2023. Githesh, maybe first on the AI solutions. I know you guys have offered AI-enabled products for several years. But it sounds like maybe the interest level, usage and scope of what your customers are willing to think about when it comes to AI is expanding. So I know you just mentioned several additional products like Impact Dynamics and First Look. But how should we think about maybe the -- like the new product velocity given that there's increased interest from customers? And is the path to monetization pretty clear there for you guys as well?

很高興看到 2023 年即將到來的強者。Githesh，也許首先是關於人工智慧解決方案。我知道你們多年來一直在提供支援人工智慧的產品。但聽起來，當談到人工智慧時，客戶願意考慮的興趣程度、用途和範圍可能正在擴大。我知道您剛剛提到了幾個其他產品，例如 Impact Dynamics 和 First Look。但是，考慮到客戶興趣的增加，我們應該如何考慮新產品的速度？你們的獲利之路也很清晰嗎？

Yes, just a very quick update on what we're seeing is that, the trend that I pointed out on the call that the -- our customers are seeing -- as turnover increases and the skill level as people retire, at the same time, take something like Subrogation as an example. You might get a 200-page document that somebody has to analyze. And with the AI capabilities that we've built that are very specific to those documents and what we see, we can literally reduce the time to extract information, help them make the right decisions from literally hours to a matter of seconds or minutes.

是的，我們所看到的一個非常快速的更新是，我在電話會議上指出的趨勢是——我們的客戶看到——隨著營業額的增加和人們退休的技能水平的提高，同時，以代位權為例。您可能會收到一份 200 頁的文檔，需要有人分析。借助我們針對這些文件和我們所看到的內容所建立的人工智慧功能，我們可以真正減少提取資訊的時間，幫助他們做出正確的決策，從幾小時縮短到幾秒鐘或幾分鐘。

So when people actually start using it, testing these capabilities and these have to be also built in the existing workflows that people are already using. So we are seeing greater and greater acceptance across the board. But like every other solution we deliver, they also have to deliver ROI. So I'd give you -- so what we've also done is with the visual AI capabilities with very, very deep IP that we have built along the photo AI capabilities, we have expanded to a range of solutions, both for the insurers, the repairers like Jumpstart, Repair Cost Predictor, Impact Dynamics, First Look and then in Subro as well. But the appetite -- customers continue to be more and more interested.

因此，當人們真正開始使用它時，測試這些功能，而這些功能也必須建立在人們已經使用的現有工作流程中。因此，我們看到越來越多的人接受它。但與我們提供的所有其他解決方案一樣，它們也必須提供投資回報。所以我想告訴你——我們還做了視覺人工智慧功能，具有非常非常深入的智慧財產權，我們沿著照片人工智慧功能建立了這些功能，我們已經擴展到一系列解決方案，都為保險公司提供、Jumpstart、Repair Cost Predictor、Impact Dynamics、First Look 等維修工具，還有Subro。但胃口——客戶的興趣仍然越來越大。

And then if I could ask maybe Brian, a follow-up question. I was just looking at the starting point for guidance last year, it was slightly more modest starting at 9 to 10 this year. I guess, any change to either the way you've thought about the guidance build up? And is it primarily due to the expected contribution of the newer products being more? Or is there anything else that we could think about and how that starting point guidance was built up?

然後我是否可以問布萊恩，一個後續問題。我只是在考慮去年的指導起點，今年的起點稍微溫和一些，為 9 到 10。我想，您對指導建構的思考方式有什麼改變嗎？這主要是因為新產品的預期貢獻較大嗎？或者還有什麼我們可以考慮的、如何建立起點指導的？

Yes, sure. Yes. So we are in the long-term range of 7 to 10. The guide as we start the year is at the upper end of that range, as you suggest, 9 to 10. I would just say we're looking at the momentum and the progress we're seeing across the business, both with the established solutions and the emerging solutions. So we did 11 points of growth in the second half. We did 12 points of growth in Q4, although 1 point of that growth within the quarter, was really linked to these true-ups, which are a bit exceptional in the quarter. So it's really the velocity and the progress across the solution set that gives us confidence, both for the Q1 guide at 10% and then the full year position.

是的，當然。是的。因此，我們的長期範圍是 7 到 10。正如您所建議的，我們年初的指導是該範圍的上限，即 9 到 10。我只想說，我們正在關注勢頭，我們在整個業務中看到的進展，無論是現有的解決方案還是新興的解決方案。所以我們下半年就實現了 11 個百分點的成長。我們在第四季度實現了 12 個百分點的成長，儘管本季成長了 1 個百分點，但實際上與這些調整有關，這在本季有點特別。因此，真正給我們信心的是解決方案集的速度和進展，無論是第一季 10% 的指導還是全年的情況。

Our next question comes from Gabriela Borges with Goldman Sachs.

我們的下一個問題來自高盛的加布里埃拉·博爾赫斯。

This is [Kelly] (inaudible) on for Gabriela. First one for me is CCC has continued to invest such that you always have this ramping group of emerging products that are you able to kind of start and support growth? You talk about now having kind of a lot of shots on goals with those products. But just longer term, how do you think about the limits of how much customers are willing to pay a single vendor? And kind of where you sit relative to other spend at insurers versus just other vendors?

這是加布里埃拉的[凱利]（聽不清楚）。對我來說，第一個問題是 CCC 持續投資，因此您始終擁有這組不斷增長的新興產品，您能夠啟動並支持成長嗎？您談到現在使用這些產品進行了很多射門。但從長遠來看，您如何看待客戶願意向單一供應商支付多少錢的限制？與保險公司的其他支出相比，與其他供應商相比，您的位置如何？

Kelly, first, let me give you a quick historical perspective, having been here for a long time, right. Most of the products that we deliver revenue from today, almost all the revenue we reported last year, $866 million I remember most of those revenue lines being at or close to 0 at some point or the other. So that long history has taught us that as long as we can deliver very high ROI to our customers on the additional solutions that we deliver, and it solves problems in a very unique sort of way, integrated into with their existing workflows, quick to deploy, easy to use, supported with incredible service and analytics.

凱利，首先，讓我給你一個快速的歷史視角，我已經在這裡待了很長時間了，對吧。我們今天帶來收入的大多數產品，幾乎我們去年報告的所有收入，8.66 億美元，我記得大部分收入線在某個時候都處於或接近 0。因此，悠久的歷史告訴我們，只要我們能夠在我們提供的附加解決方案上為客戶提供非常高的投資回報率，並且它以一種非常獨特的方式解決問題，與他們現有的工作流程集成，可以快速部署，易於使用，並提供令人難以置信的服務和分析支援。

I think that formula has actually worked very well for us, and we have the benefit of -- actually when we build these new solutions, we are blessed with some fantastic customers who push us really hard in terms of what they need and what they would like us to develop. So many of these solutions are actually built in working very closely with customers. So that's what gives us confidence in that we can continue to grow and build.

我認為這個公式實際上對我們非常有效，而且我們的好處是——實際上，當我們建立這些新解決方案時，我們很幸運擁有一些出色的客戶，他們在他們需要什麼和想要什麼方面非常努力地推動我們像我們一樣發展。其中許多解決方案實際上是在與客戶密切合作的基礎上建立的。這讓我們有信心繼續成長和建立。

That makes a ton of sense. And then just a follow-up for me. Do you see the true-ups that you have in 4Q causing customers to expand their contracts for the next year when it seems like maybe volume going through are higher?

這很有道理。然後是我的後續行動。您是否看到第四季度的調整導致客戶在似乎成交量更高的情況下擴大了明年的合約？

Yes. there is some mix elements in it, Kelly. But yes, I mean, we look at the true-ups. I mean at the end of the day, the clients want to get as close as they can to the pen, to minimize the true-ups where there's volatility. They prefer to budget kind of in a more even linear way. So when the contracts get set, it really is trying to set it at the closest level of where they expect to go. But we still have that natural true-up that happens each year just there is volatility in the volume, especially around customer mix. So it is a part of the business. As I said before, it's not a material part when you look at the overall revenue and how much the true-ups are, it's very immaterial. It just comes together at year-end.

是的。其中有一些混合元素，凱利。但是，是的，我的意思是，我們著眼於真實的情況。我的意思是，歸根結底，客戶希望盡可能接近筆，以盡量減少波動時的真實情況。他們喜歡以更均勻的線性方式進行預算。因此，當合約確定時，它確實試圖將其設定在最接近他們期望的水平。但我們仍然會每年發生自然調整，只是數量有波動，尤其是在客戶組合方面。所以它是業務的一部分。正如我之前所說，當你查看整體收入和真實情況時，這不是一個重要的部分，它非常不重要。它只是在年底聚集在一起。

Congrats.

恭喜。

Our next question comes from Kirk Materne with Evercore ISI.

我們的下一個問題來自 Evercore ISI 的 Kirk Materne。

This is actually Peter Burkly on for Kirk. I'll echo my congrats on a strong quarter. So just one for me. I sort of want to stick on the topic of the emerging solutions, but specifically Estimate-STP. So I believe last quarter, you talked about sort of a strategic move you've made where started to expand the TAM for Estimate-STP, expanding it beyond just that 30% mobile self-serve channel and expanding it into the repair facility and field adjuster channels. So I'm just curious, in light of that sort of continued evolution of the product, maybe you can just discuss the broader pace of an option you're seeing for Estimate-STP today? And maybe how that sort of plays into what seems like a higher implied guide for next year in terms of contribution from the emerging solutions?

這實際上是彼得·伯克利 (Peter Burkly) 為柯克 (Kirk) 配音。我將對強勁的季度表示祝賀。所以只給我一個。我有點想繼續討論新興解決方案的主題，特別是估計 STP。所以我相信上個季度，您談到了一項戰略舉措，開始擴展 TAM for Estimate-STP，將其擴展到 30% 的行動自助服務管道之外，並將其擴展到維修設施和領域調節器通道。所以我很好奇，鑑於產品的這種持續發展，也許您可以討論您今天看到的 Estimate-STP 選項的更廣泛的步伐？也許就新興解決方案的貢獻而言，這如何影響明年的更高隱含指南？

Sure. Peter, first and foremost, what we see is, originally, we started focusing Estimate-STP on only the mobile channel, where the consumer is processing the claim in a self-service manner using a mobile phone, and our AI was starting right at that point, that's roughly 30%. And we have been working hard to continue to rev the models, improve the models. And there, we -- what we said is that even in Q4, we now added significantly more insurers. And so more and more carriers are coming on stream, carriers who are using it for a very small fraction are rolling out to more states. On an aggregate basis, it's still relatively low percentages even today.

當然。 Peter，首先，我們看到的是，最初，我們開始只將 Estimate-STP 重點放在行動管道上，消費者使用手機以自助方式處理索賠，而我們的 AI 就從那個點，大約是30%。我們一直在努力繼續改進模型、改進模型。我們所說的是，即使在第四季度，我們現在也增加了更多的保險公司。因此，越來越多的運營商投入使用，只有一小部分使用它的運營商正在向更多的州推廣。從總體上看，即使在今天，這一比例仍然相對較低。

And then we have literally a few weeks of experience now having put it out in the repair facility market, maybe a couple of months or so, maybe a month. And we've already seen several thousand repair facilities. By the way, just as a reminder, repair facilities are roughly 45%, the direct repair network in terms of how claims are run through and managed. And there, we have seen, anecdotally, volumes are small, but instead of taking 30 minutes to write an initial estimate, we can see that Jumpstart, for example, writes an estimate in about 2 minutes. It still requires some tweaking and making sure it's in final, final form. But we are seeing a significant amount of excitement.

然後我們實際上已經有了幾週的經驗，可以將其投放到維修設施市場，也許幾個月左右，也許一個月。我們已經看到了數千個維修設施。順便提醒一下，就索賠處理和管理方式而言，維修設施約佔 45%，是直接維修網路。有趣的是，我們看到，資料量很小，但我們可以看到，Jumpstart 在大約 2 分鐘內就寫出了一個估計值，而不是花費 30 分鐘來寫出一個初始估計值。它仍然需要一些調整併確保它是最終的、最終的形式。但我們看到了很多令人興奮的事情。

It's the first major change in how repair facilities work and write an estimate for a vehicle. And so we are -- we feel very good about the technology. We feel very good about the revs that we have made, the improvements we're seeing and in fact, we've now expanded that to First Look, which is a newer solution that can take photos from literally any channel, whether it's a tow truck or a salvage and actually inform more pieces of the process. So we -- so bottom line is we feel very good.

這是維修設施的工作方式和車輛估算方式的第一個重大變化。我們對這項技術感覺非常好。我們對所取得的轉速和所看到的改進感到非常滿意，事實上，我們現在已將其擴展到“First Look”，這是一種更新的解決方案，可以從幾乎任何通道拍攝照片，無論是拖車還是拖車卡車或打撈，並實際告知該過程的更多部分。所以我們——所以底線是我們感覺非常好。

And Peter, the second part of your question, you asked about the contribution from Emerging Solutions. So in '23, it was 1 point of the total growth percent. We do expect that to step up this year, and then to continue to scale going forward. So over time, within our long-term target, we talked about 40% of the growth coming from emerging solutions. So from the 1 point we saw last year, that continues to -- will continue to scale and move towards those long-term targets.

彼得，你問題的第二部分，你詢問了新興解決方案的貢獻。所以在 23 年，它佔總成長率的 1 個百分點。我們確實預計今年會有所加強，然後繼續擴大規模。因此，隨著時間的推移，在我們的長期目標內，我們談到 40% 的成長來自新興解決方案。因此，從我們去年看到的第一點來看，這一點將繼續擴大並朝著這些長期目標邁進。

Our next question comes from Tyler Radke with Citi.

我們的下一個問題來自花旗銀行的泰勒拉德克 (Tyler Radke)。

This is Peter on the line for Tyler Radke. I just had one question here in regards to renewals. Just looking back at the last few (inaudible) insurance premiums and repair costs for motor vehicles, that's trended like at the top of the list. I'm just curious what approach you guys have had in terms of negotiating contract renewals with your customers? Would you say there's been more leverage on your end in terms of negotiating the price of the contract?

我是彼得，正在接聽泰勒·拉德克的電話。我只是有一個關於續訂的問題。只要回顧一下最近的幾項（聽不清楚）機動車輛的保險費和維修費用，就會發現它的趨勢就像清單的頂部一樣。我只是好奇你們在與客戶談判續約合約方面採取了什麼方法？您是否認為你們在談判合約價格方面有更多的籌碼？

I would not say that there is any material difference in how we have worked with customers. I mean we worked with our customers for decades, and our formula is pretty straightforward as we add new solutions, each of them has an ROI. These are mission-critical tools for our customers, and these are long-standing relationships. So I would not say that there's been any material change one way or the other.

我不會說我們與客戶的合作方式有任何實質差異。我的意思是，我們與客戶合作了數十年，當我們添加新的解決方案時，我們的公式非常簡單，每個解決方案都有投資回報。這些對我們的客戶來說是關鍵任務工具，並且是長期的合作關係。所以我不會說有任何實質的改變。

Yes, I would just add. I mean, we do continue to look at the package offerings that we take to our customers. And we consider, as Githesh said, the ROI and in share we're balancing the benefits the customers get from the solution and also make sure that we're getting our fair value. Obviously, inflation has been felt across the industry, and we consider that as we think about the packages and the pricing within those packages.

是的，我只想補充一下。我的意思是，我們確實會繼續關注為客戶提供的套餐服務。正如 Githesh 所說，我們考慮投資回報率和份額，我們正在平衡客戶從解決方案中獲得的利益，並確保我們獲得公平的價值。顯然，整個行業都感受到了通貨膨脹，我們在考慮套餐和這些套餐內的定價時也考慮了這一點。

And then just as a follow-up to -- you said a cross-sell and upsell is going to be like a larger contribution of growth in fiscal '24. Is there any way to quantify how much of that would be from established solutions versus emerging solutions?

然後，正如您所說的，交叉銷售和追加銷售將對 24 財年的成長做出更大的貢獻。有什麼方法可以量化其中有多少來自現有解決方案與新興解決方案？

Well, we've talked about in the long-term guide is that -- so we talk about 7 to 10 organic growth in the long-term guide. We say 20% of that will come from new logos. And then we say the balance comes from cross-sell and upsell. And then what we've done is we've broken that and half and said half of that will come from the established solutions that have been in market for several years and the other half will come from these emerging solutions. So that's how we've broken it out over the long term, and we'll continue to progress towards those longer-term metrics.

嗯，我們在長期指南中討論的是——所以我們在長期指南中討論了 7 到 10 的有機增長。我們說其中 20% 將來自新標誌。然後我們說平衡來自交叉銷售和追加銷售。然後我們所做的就是我們打破了這一點，並表示其中一半將來自市場上已經存在多年的成熟解決方案，另一半將來自這些新興解決方案。這就是我們長期解決問題的方式，我們將繼續朝著這些長期指標邁進。

Our next question comes from Saket Kalia with Barclays.

我們的下一個問題來自巴克萊銀行的 Saket Kalia。

Nicely done. Brian, maybe I'll start with you. Great to hear that emerging is going to be a bigger driver of growth in 2024. Maybe just to make sure that the question is asked, as that becomes a bigger part of the business, are there any things that we should keep in mind from just a margin perspective? Like are the margins on the emerging product significantly different than what I'll call the core part of the portfolio?

做得很好。布萊恩，也許我會從你開始。很高興聽到新興市場將成為 2024 年成長的更大推動力。也許只是為了確保有人提出這個問題，因為新興市場已成為業務的一個重要組成部分，我們是否應該牢記以下幾點：邊際視角？新興產品的利潤率與我所說的投資組合核心部分的利潤率是否有顯著差異？

Yes. Good question, Saket. So over time, when the emerging solutions get to scale and are mature, they will have similar margin characteristics of the established solutions we have today. So they will have very high drop-through. We don't see really differences. I think right now, as they're just starting to scale. There is margin dilution just as they get rolled out and the support cost. We start to amortize them as they come into market. And so the cost will be ahead of some of the revenue until they get to scale. But as I said, once they get to scale and start to mature, the margin characteristics will look like the established solutions we have today.

是的。好問題，薩凱特。因此，隨著時間的推移，當新興解決方案規模化並成熟時，它們將具有與我們今天現有的解決方案類似的利潤特徵。所以他們會有非常高的下降率。我們沒有看到真正的差異。我認為現在，因為他們剛開始擴大規模。當它們推出時，就會出現利潤稀釋和支持成本。當它們進入市場時，我們開始對其進行攤銷。因此，在規模擴大之前，成本將超過部分收入。但正如我所說，一旦它們規模化並開始成熟，利潤特徵將看起來像我們今天擁有的既定解決方案。

Got it. Got it. That makes sense. Githesh, maybe for you, maybe just to switch gears a little bit. I was wondering if you could talk about the casualty business a little bit? And sort of how do you view that going into 2024? There's such an enviable position in APD among the top 20 carriers, in particular, what sort of pipeline do you sort of see for more cross-sell with casualty into that top 20 base? Does it make sense?

知道了。知道了。這就說得通了。 Githesh，也許是為了你，也許只是為了稍微改變態度。我想知道您是否可以談談傷亡事故？您如何看待 2024 年的情況？ APD 在排名前 20 名的運營商中擁有令人羨慕的地位，特別是，您認為什麼樣的管道可以在排名前 20 的基地中進行更多交叉銷售？是否有意義？

Yes. No. Just to give you a quick -- even in Q4, we saw the addition of a number of casualty customers. We had a number of casualty customers in 2023. With that said, the number of our APD customers that are using our casualty solution is still relatively small. So we have continued to expand our casualty solutions. We're seeing good uptake from customers. And then what's also -- what we also see is industry-leading first-of-its-kind solutions like Impact Dynamics, which takes the physics of an accident -- the 3D physics of an accident and imputes potential for injury and provides early warning to which claims may need more attention and the like. So those are also being well received.

是的。不。只是簡單地告訴您一下，即使在第四季度，我們也看到了一些意外客戶的增加。到 2023 年，我們擁有大量傷亡客戶。話雖如此，使用我們傷亡解決方案的 APD 客戶數量仍然相對較少。因此，我們繼續擴展我們的傷亡解決方案。我們看到客戶的認可度很高。然後，我們還看到了行業領先的同類解決方案，例如 Impact Dynamics，它採用事故的物理原理 - 事故的 3D 物理原理，估算受傷的可能性並提供早期預警哪些主張可能需要更多關注等。所以這些也很受歡迎。

Again, that is something that does not exist in the market at all. So both in terms of traditional casualty solutions as well as completely new state-of-the-art casualty solutions with AI. So we're continuing to see good adoption. Feel good about the long-term prospects.

同樣，這是市場上根本不存在的東西。因此，無論是傳統的傷亡解決方案還是採用人工智慧的全新最先進的傷亡解決方案。因此，我們繼續看到良好的採用。對長期前景感到樂觀。

Our next question comes from Dylan Becker with William Blair.

我們的下一個問題來自迪倫·貝克爾和威廉·布萊爾。

Really nice job here. Maybe 2 for Githesh, just from a high level, thinking about the hardening auto market, kind of what the implications of that means for insurance carriers, how they think about kind of factors and complexity impacting their business and maybe how that incentivizes or unlock some capacity to drive incremental investment around digital and kind of data-driven initiatives or opportunities?

這裡的工作真的很好。對Githesh 來說，也許是2，只是從較高的層面來看，思考日益硬化的汽車市場，這對保險公司意味著什麼，他們如何看待影響其業務的因素和複雜性，以及這如何激勵或解鎖一些有能力推動圍繞數位和數據驅動的舉措或機會進行增量投資嗎？

Yes. I think what we have seen is that the shock to the system that we saw in 2022 in terms of increased costs of parts and labor, cycle time increases. So that drove significant increases more so than anything we've seen over the last decade. So while those increases took place in '22 and then what we saw towards late '23, if those increases are a little more moderate than the extreme that we saw in '22 and '23. And so customers have now looked at that capability and also our customers tend to view things over a long horizon. They don't -- yes, while there are some challenges in the short term. Our customers also see over the next 3 years and 5 years, and we've had many conversations with many of our customers, who see fundamentally new ways of configuring their operations using new technology and different technology to change the process and to do things very differently. And so I do think there's a stronger appetite that we see from our customers to adopt, change processes, especially when you see significant improvements.

是的。我認為我們所看到的是，我們在 2022 年看到的系統受到零件和勞動力成本增加、週期時間增加等方面的衝擊。因此，這比我們在過去十年中看到的任何情況都更顯著地推動了成長。因此，雖然這些增長發生在 22 年，然後是我們在 23 年末看到的情況，但這些增長是否比我們在 22 年和 23 年看到的極端情況要溫和一些。因此，客戶現在已經開始關注這種能力，我們的客戶也傾向於以長遠的眼光看待事物。他們沒有——是的，儘管短期內存在一些挑戰。我們的客戶也看到了未來3 年和5 年的情況，我們與許多客戶進行了多次對話，他們看到了使用新技術和不同技術來配置其運營的全新方法，以改變流程並以非常好的方式做事。不同。因此，我確實認為我們的客戶對採用、改變流程的興趣更強烈，特別是當你看到顯著的改善時。

Okay. Got it. That makes a ton of sense. And then maybe that's a good segue to thinking about the Impact Dynamics offering and maybe how carriers are thinking about the convergence of those APD and casualty workflows by connecting more of that early-stage data maybe those solutions operated independently in the past, but are you seeing kind of more of that convergence coming into play in those lines kind of blurring obviously creating some longer-term opportunity as you think about that cross-seller attach as well?

好的。知道了。這很有道理。然後，也許這是思考Impact Dynamics 產品的一個很好的延續，也許運營商如何透過連接更多早期數據來思考這些APD 和傷亡工作流程的融合，也許這些解決方案過去是獨立運行的，但你是嗎？當您考慮跨賣家附加時，看到更多的融合在這些界限中發揮作用，顯然創造了一些長期機會？

Well, over the long term, the answer is yes. In the short term, Impact Dynamics can work for any customer regardless of what traditional casualty solutions are using. So I would say there's probably a quicker ramp for something like Impact Dynamics. And the linkages are increasing that -- the more of these components that can work together to let you manage the entire ecosystem of a claim from end to end, from loss -- from the first notice of loss all the way through settlement. And that's really where I think we differentiate ourselves in that we are in those workflows. We have applied artificial intelligence very heavily, and we've continued to build out the ecosystem. So that's kind of how we see it playing out.

好吧，從長遠來看，答案是肯定的。從短期來看，Impact Dynamics 可以為任何客戶服務，無論使用什麼傳統傷亡解決方案。所以我想說，像衝擊動力學這樣的東西可能會有更快的提升。而且這種聯繫正在不斷增加——越來越多的組件可以協同工作，讓您從頭到尾管理索賠的整個生態系統，從損失——從第一次損失通知一直到解決。我認為這確實是我們與眾不同的地方，因為我們處於這些工作流程中。我們大力應用人工智慧，持續建構生態系統。這就是我們所看到的結果。

Our next question comes from Josh Baer with Morgan Stanley.

我們的下一個問題來自摩根士丹利的喬許貝爾。

The upside in the quarter was higher than typical even after adjusting for the true-ups. So I was just wondering, were the results in line with your expectations, like with this adjustment or anything specific to call out that positively surprised you versus your internal plan?

即使在對實際情況進行調整後，本季的上漲空間仍高於典型水準。所以我只是想知道，結果是否符合您的預期，例如這次調整或任何具體的事情，與您的內部計劃相比，讓您感到驚訝？

Yes. Josh, it's Brian. Yes, so we were really happy with the performance in the quarter. So 12 points and even when you normalize the year-end true-ups and the one-off revenue, that was a point. So it was 11. And as you said, it came in a lot stronger than we had put out in the guidance. I'd say it was broad-based. So we saw strength across many of our APD clients. We saw strength in casualty. We saw strength in parts, very good ASG on the repair facility upsells, and upgrades into packages. So there's nothing really one area to highlight as kind of the driver for the overperformance. It was a very broad-based set of results really across the portfolio. So we are pleased with the performance overall.

是的。喬什，這是布萊恩。是的，我們對本季的表現非常滿意。所以 12 個點，即使你將年終真實情況和一次性收入標準化，這也是一個點。所以是 11。正如你所說，它比我們在指南中給出的要強得多。我想說這是基礎廣泛的。因此，我們看到了許多 APD 客戶的實力。我們在傷亡中看到了力量。我們看到了零件的實力、維修設施追加銷售方面非常好的 ASG 以及套件的升級。因此，沒有什麼真正值得強調的領域作為超額表現的驅動因素。這是涵蓋整個投資組合的一組非常廣泛的結果。所以我們對整體表現感到滿意。

Great. And one on the repair facility opportunity. Obviously, a lot more that you can sell back into your base, but wanted to ask about the penetration as far as new repair facilities. Like where are they coming from? What's the profile of that repair facility? Are they -- are those new customers spending like more or less than average? Just wondering for some more context there. And if like 1,000 per year is still a good number to think about going forward?

偉大的。還有一個是關於維修設施的機會。顯然，您可以將更多的東西賣回您的基地，但想詢問新維修設施的滲透情況。比如他們從哪裡來？該維修機構的概況如何？這些新客戶的支出是高於還是低於平均？只是想知道更多的背景資訊。如果每年 1,000 人仍然是一個值得考慮的好數字？

Yes. A couple of things. So first, when I look back in 2010, we probably had about 20,000 repair facilities. We're now clicking towards pretty close to 30,000 repair facilities. And then when you look at how many of our repair facilities used one or two solutions, right, even as far back -- even a few years back, we only had a repair facilities using 2 or more of our solutions, about half of them. Today, I would say, just 3, 4 years later, we see that half of our repair facilities are using 4 or more of our solutions. So there's a large installed base and as we continue to deliver new solutions that really help them with their business as they have capacity issues and trying to look for more efficiencies. So that's really one very important path.

是的。有幾件事。首先，當我回顧 2010 年時，我們可能會擁有大約 20,000 個維修設施。我們現在正在尋找接近 30,000 個維修設施。然後，當你看看我們有多少維修設施使用一種或兩種解決方案時，對吧，甚至早在幾年前，我們就只有一家維修設施使用2 種或更多我們的解決方案，大約是其中的一半。今天，我想說，僅僅 3、4 年後，我們看到一半的維修設施正在使用 4 種或更多我們的解決方案。因此，我們擁有龐大的安裝基礎，並且我們不斷提供新的解決方案，真正幫助他們開展業務，因為他們面臨容量問題並試圖尋求更高的效率。所以這確實是一條非常重要的道路。

Back to your second part of your question, we do feel good about continuing to add repair facilities at the rate at which the rate at which you saw, our estimate is there's probably roughly 40,000 repair facilities in the industry overall. And we still think there is ways to go to continue to grow.

回到問題的第二部分，我們確實對繼續以您所看到的速度增加維修設施感到滿意，我們估計整個行業可能有大約 40,000 個維修設施。我們仍然認為要繼續成長還有很長的路要走。

Our next question comes from Mike Funk with Bank of America.

我們的下一個問題來自美國銀行的麥克‧芬克。

Githesh and Brian, this is Matt Bullock on for Mike Funk. I had a quick one on Estimate-STP. Are you seeing a material improvement in Estimate-STP functionality as volumes have ramped with customers and you continue to fine-tune those models? And if so, can you help us quantify it? And then secondarily, has this led to a sort of flywheel with adoption?

吉西什和布萊恩，這是麥克·芬克的馬特·布洛克。我對 Estimate-STP 進行了快速了解。隨著客戶數量的增加，您是否看到估算 STP 功能有了實質改進，並且您繼續微調這些模型？如果是這樣，你能幫我們量化一下嗎？其次，這是否導致了某種飛輪的採用？

Yes. I would say, initially, we had restricted it way back to private passenger vehicles. We added pickup trucks, then we restricted it to front impacts, then back impacts. Now we've opened it up for side impacts. We've extended it across all models. The accuracy is significantly better. We're making more parts predictions, more subtle, very subtle damage versus obvious damage. So the feedback loop we have with really the scale of the feedback loop and the size of the data set we have, with both photos coming in and repairs and estimates flowing through, has really allowed us to improve quality substantially. And that's helped customers continue to expand to more and more states and as well as from a reference standpoint, they've been great references to other customers continuing to expand. So we just see that adoption continuing to happen. And in terms of...

是的。我想說，最初，我們將其限制回私人乘用車。我們添加了皮卡車，然後將其限制為正面碰撞，然後是背面碰撞。現在我們已經開放了它的副作用。我們已將其擴展到所有型號。準確度明顯較好。我們正在做出更多的零件預測，更微妙的、非常微妙的損壞與明顯的損壞相比。因此，我們擁有的回饋循環的規模和資料集的大小，以及照片的傳入、修復和估算，確實使我們能夠大幅提高品質。這幫助客戶繼續擴展到越來越多的州，並且從參考的角度來看，它們為其他客戶繼續擴展提供了很好的參考。所以我們只是看到採用繼續發生。就...而言

Yes. So I mean, as far as the -- it's Brian here. So as far as the claim volume, we are still -- even though as Githesh said, we're making progress with new clients on and the expansion of those existing clients, we're still at low rates. So if you think about kind of the total claims that are coming through, we're still in the single-digit percentages. But as we sit here today, we feel really good about the opportunity that we've talked about in the medium and long term as we think about the overall opportunity for Estimate-STP.

是的。所以我的意思是，就——布萊恩在這裡。因此，就索賠量而言，我們仍然 - 儘管正如吉瑟什所說，我們在新客戶和現有客戶的擴展方面取得了進展，但我們的索賠率仍然很低。因此，如果您考慮一下正在處理的索賠總額，我們仍然處於個位數百分比。但當我們今天坐在這裡時，當我們思考 Estimate-STP 的整體機會時，我們對我們所討論的中長期機會感到非常滿意。

And this level the runways that we have across all of our different solution sets, is that even if you look at how we deliver Q4, much of that growth came from products and solutions have been around for a long time. So we see all of these new solutions we're developing to have fairly long runways in terms of growth.

在這個層面上，我們在所有不同的解決方案集上擁有的跑道是，即使你看看我們如何交付第四季度，大部分增長都來自已經存在很長時間的產品和解決方案。因此，我們看到我們正在開發的所有這些新解決方案在成長方面都有相當長的跑道。

Our next question comes from Chris Moore with CJS Securities.

我們的下一個問題來自 CJS 證券的 Chris Moore。

This is Will (inaudible) on for Chris Moore. Congrats on a great year. Free cash flow margin has increased from 19.4% in '22 to 22.5% in 2023. And based on your adjusted EBITDA guidance, it seems to be heading quickly into the mid-20s range. Can you give us any more color on how to think about this metric in 2024 and beyond?

我是克里斯摩爾 (Chris Moore) 的威爾（聽不清楚）。恭喜您度過了美好的一年。自由現金流利潤率已從 22 年的 19.4% 增加到 2023 年的 22.5%。根據調整後的 EBITDA 指導，它似乎正在迅速進入 20 年代中期的範圍。您能否給我們更多關於如何在 2024 年及以後思考這項指標的資訊？

Yes. Good question. Yes, you're thinking about it the right way. I mean, it is -- we're generating strong free cash flow we've seen it progress from 19%, 23% last year. When you do the math that you just did and you look at the EBITDA and our unlevered free cash flow guidance that we've given out, which is roughly in the mid-60s of unlevered free cash flow to EBITDA, you get to the mid-20s. So you're doing the math right. We're certainly just seeing the as the revenue scales and the strong free cash flow that this will continue to grow. And so we feel really good on that performance and the opportunity in front of us with it.

是的。好問題。是的，你正在以正確的方式思考這個問題。我的意思是，我們正在產生強勁的自由現金流，我們看到它從去年的 19% 到 23% 有所進步。當您進行剛才的數學計算並查看 EBITDA 和我們給出的無槓桿自由現金流指導時，該指導大約在 EBITDA 的無槓桿自由現金流的 60 左右，您會得到中間值-20秒。所以你的數學計算是正確的。我們當然只是看到隨著收入規模的擴大和強勁的自由現金流，這將繼續增長。因此，我們對這次表現以及我們面前的機會感到非常滿意。

Our next question comes from Shlomo Rosenbaum with Stifel.

我們的下一個問題來自什洛莫·羅森鮑姆和 Stifel。

This is Adam Parrington on for Shlomo. Could you talk a little bit about how payments adoption is progressing? I believe last quarter, you mentioned adoption was tracking a little bit slower than Subrogation and Estimate-STP? Given the higher-than-expected complexity around the build-out of specific customer use cases. Are those build-out to complete now? And just kind of just general thoughts on how payments are trending.

我是什洛莫的亞當‧帕林頓。能談談支付方式的進度嗎？我相信上個季度，您提到採用率比代位求償和估計 STP 慢一點？鑑於建立特定客戶用例的複雜性高於預期。這些擴建現在完成了嗎？只是關於支付趨勢的一般想法。

Yes. I would just say that it is slower than the other products that you're seeing. This is why we have a mix of a broad set of portfolio of solutions we have because the adoption rates will vary. But at the very fundamental level, what we are seeing and the work we're doing with customers is that many of the problems we saw with payments in the claims process have not been solved. And so the problems and the complexities are there, our product has improved, the breadth of what we've built has improved, and we just think it will take a little longer.

是的。我只想說它比您看到的其他產品慢。這就是為什麼我們混合了廣泛的解決方案組合，因為採用率會有所不同。但從根本上來說，我們所看到的以及我們正在與客戶一起做的工作是，我們在索賠過程中看到的許多付款問題尚未解決。因此，問題和複雜性就在那裡，我們的產品得到了改進，我們所建造的產品的廣度也得到了改善，我們只是認為這需要更長的時間。

Thank you. I would now like to turn the call back over to Githesh Ramamurthy for closing remarks.

謝謝。現在我想將電話轉回給吉西什·拉瑪穆爾蒂 (Gthesh Ramamurthy)，讓其致閉幕詞。

I just want to take the opportunity to thank everybody for your interest in CCC. I also would like to take the opportunity to thank the broader CCC team for incredible delivery in 2023 and our customers for their trust and the confidence they have in us as we go forward. And we remain very excited about the opportunities in front of us. And again, thank you all for joining, and we look forward to giving you updates as we go forward.

我只是想藉此機會感謝大家對 CCC 的興趣。我也想藉此機會感謝更廣泛的 CCC 團隊在 2023 年實現的令人難以置信的交付，並感謝我們的客戶在我們前進的過程中對我們的信任和信心。我們對眼前的機會仍然感到非常興奮。再次感謝大家的加入，我們期待為您提供最新進展。

Thank you for your participation. You may now disconnect.

感謝您的參與。您現在可以斷開連線。