eGain Corp (EGAN) 2024 Q2 法說會逐字稿

Good day, and welcome to the eGain fiscal 2024 second quarter financial results call. (Operator Instructions) Please note this event is being recorded.

美好的一天，歡迎參加 eGain 2024 財年第二季財務業績電話會議。（操作員說明）請注意此事件正在被記錄。

I would now like to turn the conference over to Jim Byers with MKR Investor Relations. Please go ahead.

我現在想將會議轉交給 MKR 投資者關係部的吉姆·拜爾斯 (Jim Byers)。請繼續。

Thank you, operator, and good afternoon, everyone. Welcome to eGain's fiscal 2024 second quarter financial results conference call. On the call today are eGain's Chief Executive Officer, Ashu Roy, and Chief Financial Officer, Eric Smit.

謝謝接線員，大家下午好。歡迎參加 eGain 2024 財年第二季財務業績電話會議。今天參加電話會議的有 eGain 執行長 Ashu Roy 和財務長 Eric Smit。

Before we begin, I would like to remind everyone that during this conference call, management will make certain forward-looking statements, which convey management's expectations, beliefs, plans, and objectives regarding future financial and operational performance. Forward-looking statements are generally preceded by words such as believe, plan, intend, expect, anticipate or similar expressions.

在開始之前，我想提醒大家，在這次電話會議中，管理層將做出某些前瞻性聲明，這些聲明傳達了管理層對未來財務和營運績效的期望、信念、計劃和目標。前瞻性陳述之前通常帶有“相信”、“計劃”、“打算”、“期望”、“預期”或類似表達等詞語。

Forward-looking statements are protected by Safe Harbor provisions contained in the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to a wide range of risks and uncertainties that could cause actual results to differ in material respects. Information and various factors that could affect the eGain's results are detailed in the company's reports filed with the Securities and Exchange Commission.

前瞻性聲明受 1995 年《私人證券訴訟改革法案》中包含的安全港條款的保護。這些前瞻性陳述受到廣泛的風險和不確定性的影響，可能導致實際結果在重大方面有所不同。該公司向美國證券交易委員會提交的報告詳細介紹了可能影響 eGain 業績的資訊和各種因素。

eGain is making these statements as of today, February 8, 2024, and assumes no obligation to publicly update or revise any of the forward-looking information in this conference call.

eGain 自今天（2024 年 2 月 8 日）起做出這些聲明，並且不承擔公開更新或修改本次電話會議中任何前瞻性資訊的義務。

In addition to GAAP results, we will also discuss certain non-GAAP financial measures, such as non-GAAP operating income. Tables included with the earnings press release include reconciliation of the historical non-GAAP financial measures to the most directly comparable GAAP financial measures.

除了 GAAP 業績外，我們還將討論某些非 GAAP 財務指標，例如非 GAAP 營業收入。收益新聞稿中包含的表格包括歷史非 GAAP 財務指標與最直接可比較的 GAAP 財務指標的調整表。

And our earnings press release can be found by clicking the press release link on the Investor Relations page of eGain's website at egain.com. And along with the earnings release, we will also post an updated investor presentation to the Investor Relations page on eGain's website.

點擊 eGain 網站 egain.com 投資者關係頁面上的新聞稿鏈接，可以找到我們的收益新聞稿。隨著收益發布，我們也將在 eGain 網站的投資者關係頁面上發布更新的投資者簡報。

And lastly, a phone replay of this conference call will be available for one week. And now, with that said, I'd like to turn the call over to eGain's CEO, Ashu Roy.

最後，本次電話會議的電話重播將持續一週。現在，話雖如此，我想將電話轉給 eGain 的執行長 Ashu Roy。

Thank you, Jim, and good afternoon, everyone. Our top and bottom line results for the quarter have exceeded our guidance, and our AssistGPT AI offering is being well received by the market and helping us win new logos.

謝謝吉姆，大家下午好。我們本季的頂線和底線業績超出了我們的指導，我們的 AssistGPT AI 產品受到市場的好評，並幫助我們贏得了新標誌。

Turning to business, we signed several new logos in the quarter. Some notable wins here. Our global investment management company chose eGain to modernize their knowledge management capability. Their services staff were struggling to find answers in what are long, complex documents in their business spread across many silos. They selected eGain based on our ability to unify that knowledge and deliver consumable answers using generative AI in a safe, auditable way.

談到業務，我們在本季度簽署了幾個新徽標。這裡有一些值得注意的勝利。我們的全球投資管理公司選擇 eGain 來實現其知識管理能力的現代化。他們的服務人員正在努力從分散在許多孤島中的冗長而複雜的業務文件中找到答案。他們選擇 eGain 是因為我們有能力統一知識並使用生成式人工智慧以安全、可審核的方式提供可用答案。

Another new logo is a membership-based primary care practice, which is in hyper-growth mode. They selected eGain to enable their associates with a unified knowledge platform. Again, they will integrate all their content and knowledge sources on the eGain platform and use our AssistGPT capability to deliver easy answers and ramp up the new hires.

另一個新標誌是會員制初級保健實踐，處於高速成長模式。他們選擇 eGain 為其員工提供統一的知識平台。同樣，他們將在 eGain 平台上整合所有內容和知識來源，並使用我們的 AssistGPT 功能來提供簡單的答案並培養新員工。

And lastly, I mentioned a pioneering US-based mutual auto insurance company. They selected us to streamline their agent experience and, therefore, improve their customer experience. They've gone live with eGain already for the service group and are now looking to roll out the knowledge capability across the enterprise.

最後，我提到了一家美國開創性的相互汽車保險公司。他們選擇我們來簡化他們的代理商體驗，從而改善他們的客戶體驗。他們已經為服務團隊啟用了 eGain，現在正在尋求在整個企業中推廣知識能力。

We also saw good expansion from existing customers during the quarter. A couple of notable ones, a large P&C insurance company, and a global electronic component distributor.

本季我們也看到現有客戶的良好擴張。其中有幾家著名的公司，一家大型財產與​​意外傷害保險公司和一家全球電子元件分銷商。

Turning to renewals, in the current macro environment, we are working hard to serve and retain customers as they look to reduce their operating costs. We've had good renewals in the quarter, including large healthcare insurance clients, an industry-leading HCM SaaS solution provider, and a large multi-national bank. At the same time, we have received notice from two large clients about their intent to not renew with us.

談到續訂，在當前的宏觀環境下，我們正在努力服務和留住客戶，因為他們希望降低營運成本。本季我們的續約情況良好，包括大型醫療保險客戶、業界領先的 HCM SaaS 解決方案供應商和大型跨國銀行。同時，我們收到了兩位大客戶的通知，表示他們打算不再與我們續約。

The first is a Conversation Hub client. They're choosing to consolidate vendors for all their digital customer communications. The second as an Analytics Hub client, they are choosing to build out their homegrown capabilities to measure and manage their contact centers. The combined ARR of these two accounts is approximately $8 million. These churn events are challenging as they are not factored in our fiscal 2024 plan.

第一個是對話中心客戶端。他們選擇整合所有數位客戶通訊的供應商。第二個作為分析中心客戶，他們選擇建立自己的能力來衡量和管理他們的聯絡中心。這兩個帳戶的總 ARR 約為 800 萬美元。這些流失事件具有挑戰性，因為它們並未納入我們的 2024 財政年度計畫中。

At the same time, we are very encouraged by the growing interest in our assist GPT proposition. Our new logo pipeline is growing nicely with knowledge and opportunities. We're also feeling good about our new logo sales performance in the quarter. And as macro conditions improve, we believe we can grow our new logo acquisitions without adding sales capacity.

同時，人們對我們的輔助 GPT 主張的興趣日益濃厚，這讓我們深受鼓舞。我們的新標誌管道隨著知識和機會的增長而良好。我們對本季新商標的銷售業績也感到滿意。隨著宏觀環境的改善，我們相信我們可以在不增加銷售能力的情況下增加新商標的收購。

Our new AssistGPT and instant answers capabilities are generating lots of good market interest. With AssistGPT, customers can speed up knowledge creation by 4X. For an early client in the energy vertical who we piloted with, what historically would have taken eight weeks of human effort was done in less than two weeks.

我們新的 AssistGPT 和即時解答功能正在引起大量市場興趣。透過 AssistGPT，客戶可以將知識創建速度提高 4 倍。對於與我們一起試點的能源垂直領域的早期客戶來說，歷史上需要八週人力的工作在不到兩週的時間內就完成了。

With Instant Answers, another AI product, agents get much better and faster answers from our knowledge base. At one of our insurance clients, insurance, this is P&C insurance, agents have seen more than a double improvement in speed to answer even as answer quality has improved.

借助另一款人工智慧產品“即時答案”，客服人員可以從我們的知識庫中獲得更好、更快的答案。在我們的一個保險客戶保險（即財產和意外傷害保險）中，即使答覆品質有所提高，代理人的答覆速度也提高了一倍以上。

Our product investments and leadership continues to be recognized by the market and clients. We were honored to be the sole recipient of the 2023 KM Promise Award from KM World Magazine. This award recognizes the provider who best delivers on the promise to customers with innovative solutions integrated into their business process.

我們的產品投資和領先地位繼續受到市場和客戶的認可。我們很榮幸成為《KM 世界》雜誌頒發的 2023 年 KM 承諾獎的唯一得主。該獎項旨在表彰那些透過將創新解決方案整合到業務流程中，最好地履行對客戶承諾的提供者。

Also in November, we again was named a visionary in the Gartner Magic Quadrant for CRM customer engagement. We had mentioned this in our prior call. But that was followed by our receiving the top rating for knowledge management in the 2023 Gartner Critical Capabilities report, and that was something new that we had not mentioned before.

同樣在 11 月，我們再次被評為 Gartner CRM 客戶參與魔力像限中的遠見者。我們在之前的電話中已經提到過這一點。但隨後我們在 2023 年 Gartner 關鍵能力報告中獲得了知識管理的最高評級，這是我們之前沒有提到的新事物。

We continue to invest at this intersection of AI knowledge and digital technologies to extend our product leadership.

我們繼續投資人工智慧知識和數位技術的交叉點，以擴大我們的產品領先地位。

To conclude, we see good momentum in new logo wins and pipeline activity. We continue to invest in innovative AI capabilities like AssistGPT and Instant Answers to enhance our knowledge hub. And as market conditions improve, we are well positioned to capitalize on this big opportunity to help automate knowledge for customer service.

總而言之，我們看到新標誌的獲勝和管道活動的良好勢頭。我們繼續投資 AssistGPT 和 Instant Answers 等創新人工智慧功能，以增強我們的知識中心。隨著市場狀況的改善，我們已做好充分準備，可以利用這一巨大機遇，幫助客戶服務知識自動化。

With that, I'll ask Eric Smit, our Chief Financial Officer, to add more color around our financial operations. Eric?

接下來，我將邀請我們的財務長 Eric Smit 為我們的財務營運增添更多色彩。艾瑞克？

Thanks, Ashu, and thanks, everyone, for joining us today. We delivered another quarter of significantly improved profitability and strong cash flow from operations. Both our top and bottom line results exceeded our guidance and Street expectations. Let me share more detail about our financial results for Q2 before getting into our outlook and guidance for Q3 and fiscal 2024,

謝謝阿舒，謝謝大家今天加入我們。我們又一個季度的獲利能力顯著提高，營運現金流強勁。我們的頂線和底線結果都超出了我們的指導和華爾街的預期。在介紹我們對第三季度和 2024 財年的展望和指導之前，讓我先分享有關第二季度財務業績的更多詳細信息，

Starting with revenue. Total revenue for Q2 was $23.8 million, above our expectations but down 7% year-over-year, reflecting the current cautious spending environment and the tough comparison. Last year, we benefited from a seasonal volume increase of approximately $1 million that did not repeat this year.

從收入開始。第二季總收入為 2,380 萬美元，高於我們的預期，但年減 7%，反映出當前謹慎的支出環境和嚴峻的比較。去年，我們受惠於約 100 萬美元的季節性銷售成長，今年沒有出現這種情況。

And looking at the revenue by region, North America accounted for 79% of total revenue this quarter, up from 77% in the year-ago quarter. Total revenue from North America was $18.8 million, down 5% from last year; whereas, in contrast, total revenue from Europe was $5 million, down 14% year-over-year.

從各地區的營收來看，北美地區佔本季總營收的 79%，高於去年同期的 77%。北美地區總收入為1,880萬美元，較去年下降5%；相較之下，來自歐洲的總收入為 500 萬美元，年減 14%。

Looking at non-GAAP gross profits and gross margins, gross profit for the second quarter was $17.1 million for a gross margin of 72%,compared to 75% for the prior year quarter and 73% last quarter.

從非 GAAP 毛利和毛利率來看，第二季毛利為 1,710 萬美元，毛利率為 72%，去年同期為 75%，上季為 73%。

Now turning to operations. Non-GAAP operating costs for the second quarter came in at $13.5 million, a 22% improvement from $17.3 million in the year-ago quarter, reflecting the expense controls we have implemented.

現在轉向營運。第二季非 GAAP 營運成本為 1,350 萬美元，比去年同期的 1,730 萬美元成長 22%，反映了我們實施的費用控制。

Looking at the bottom line, non-GAAP net income for Q2 was $3.4 million or $0.11 per share, up 100% on a dollar basis from non-GAAP net income of $1.7 million, or $0.05 per diluted share from the year-ago quarter. Adjusted EBITDA margin for the quarter was 16%, up 700 basis points from 9% in the year-ago quarter.

從淨利來看，第二季非GAAP 淨利為340 萬美元，即每股0.11 美元，以美元計算，較上年同期的非GAAP 淨利170 萬美元，即稀釋後每股0.05 美元增長100 %。本季調整後 EBITDA 利潤率為 16%，比去年同期的 9% 上升 700 個基點。

Turning to our balance sheet and cash flows. We generated very strong cash flow from operations for the quarter of $7.7 million or a 32% operating cash flow margin. During the second quarter under our share repurchase program, we repurchased approximately 391,000 shares or $2.5 million at an average price of $6.39 per share. Of the $20 million authorized, $11.2 million remain available under the program at the end of the quarter. Our balance sheet remains very strong. Total cash and cash equivalents at the end of the quarter were $86.8 million, up from EUR18.9 million a year ago.

轉向我們的資產負債表和現金流。本季我們的營運現金流非常強勁，達到 770 萬美元，營運現金流利潤率為 32%。在第二季度，根據我們的股票回購計劃，我們以每股 6.39 美元的平均價格回購了約 391,000 股股票或 250 萬美元。截至本季末，在該計劃授權的 2,000 萬美元中，仍有 1,120 萬美元可用。我們的資產負債表仍然非常強勁。本季末現金和現金等價物總額為 8,680 萬美元，高於一年前的 1,890 萬歐元。

Now turning to our customer metrics. With our continued focus on knowledge as outlined by Ashu for this quarter and going forward, our share some additional customer metrics for our knowledge customers.

現在轉向我們的客戶指標。隨著我們繼續關注阿舒本季和未來所概述的知識，我們為知識客戶分享了一些額外的客戶指標。

First, looking at our LTM dollar-based SaaS net retention from knowledge customers was 103%, while our net total net retention dropped down to 94%. The LTM dollar-based net expansion rate for knowledge customers was 113%, while our total net expansion rate was 106%.

首先，我們以 LTM 美元計算的 SaaS 知識客戶淨保留率為 103%，而我們的總淨保留率下降至 94%。知識客戶以 LTM 美元計算的淨擴張率為 113%，而我們的總淨擴張率為 106%。

Looking at our total ARR, the total SaaS ARR for knowledge customers increased 6% year over year, while the total SaaS ARR decreased 13% year-over-year.

從我們的總 ARR 來看，知識客戶的 SaaS 總 ARR 年成長 6%，而 SaaS 總 ARR 年減 13%。

Looking at our remaining performance obligation, total RPO decreased 15% year-over-year to $77.9 million, and our short-term RPO was $55.8 million, down 4% year over year.

看看我們的剩餘履約義務，總 RPO 年減 15% 至 7,790 萬美元，短期 RPO 為 5,580 萬美元，年減 4%。

Now turning to our guidance for the third quarter of fiscal 2024, we expect total revenue of between $22.6 million to $23 million.

現在轉向我們對 2024 財年第三季的指導，我們預計總收入將在 2,260 萬美元至 2,300 萬美元之間。

Turning to the bottom line for Q3, we expect GAAP net income of $400,000 to $1 million or $0.01 to $0.03 per share, which includes stock-based compensation expense of approximately $1.2 million and depreciation and amortization of $100,000. We expect non-GAAP net income of $1.6 million to $2.2 million or $0.05 to $0.07 per share.

談到第三季的利潤，我們預計 GAAP 淨利潤為 40 萬至 100 萬美元，即每股 0.01 至 0.03 美元，其中包括約 120 萬美元的股票補償費用以及 10 萬美元的折舊和攤提。我們預計非 GAAP 淨利潤為 160 萬美元至 220 萬美元，即每股 0.05 美元至 0.07 美元。

For the full year fiscal 2024, given the increased churn as outlined by Ashu, we are revising our previously provided guidance as follows. For fiscal 2024 full the year ending June 30, 2023, we now expect total revenue of between $92 million to $93 million, non-GAAP net income of $9.3 million to $9.8 million or $0.29 to $0.31 per share, and GAAP net income of $4.5 million to $5 million or $0.14 to $0.16 per share.

對於 2024 財年全年，鑑於 Ashu 概述的客戶流失增加，我們正在對先前提供的指導進行如下修改。截至2023 年6 月30 日的整個2024 財年，我們目前預計總收入在9,200 萬美元至9,300 萬美元之間，非GAAP 淨利潤為930 萬美元至980 萬美元或每股0.29 至0.31 美元， GAAP 淨利潤為450 萬美元至 500 萬美元或每股 0.14 至 0.16 美元。

We estimate share-based compensation expense of approximately $4.8 million and depreciation and amortization expense of approximately $500,000 for the year. Looking at weighted average shares outstanding, we expect approximately $31.9 million for the third quarter and for fiscal 2024 $32 million for the full year.

我們預計今年的股權激勵費用約為 480 萬美元，折舊和攤提費用約為 50 萬美元。從加權平均流通股來看，我們預計第三季約為 3,190 萬美元，2024 財年全年約為 3,200 萬美元。

So in summary, while the macro environment remains challenging, we are very pleased with the increased number of new knowledge customer wins in Q2, and we expect to see continued positive momentum in new business activity going forward, given the level of interest for our new AssistGPT product offering.

總而言之，雖然宏觀環境仍然充滿挑戰，但我們對第二季度新知識客戶贏得數量的增加感到非常高興，鑑於人們對我們新知識的興趣程度，我們預計未來新業務活動將繼續保持積極勢頭。供應。

The opportunity for eGain is significant and, with our leadership and focus on knowledge and AI, we remain well positioned to capitalize on the expanding market opportunity with our strong balance sheet and cash flow generation.

eGain 的機會非常重大，憑藉我們的領導力以及對知識和人工智慧的關注，我們仍然能夠憑藉強大的資產負債表和現金流生成來充分利用不斷擴大的市場機會。

Lastly, on the investor relations calendar, eGain will be presenting and meeting with investors at the Annual ROTH Conference taking place March 17 to March 19 in Dana Point, California. We will be providing more details as we get closer to that date, and hope to see some of you there in person.

最後，在投資者關係日曆上，eGain 將在 3 月 17 日至 19 日於加州達納角舉行的羅斯年度會議上展示並與投資者會面。隨著日期的臨近，我們將提供更多詳細信息，並希望親自見到你們中的一些人。

This concludes our prepared remarks. Operator, we will now open the call for questions.

我們準備好的演講到此結束。接線員，我們現在開始提問。

(Operator Instructions) Richard Baldry, Roth MKM.

（操作員說明）Richard Baldry，Roth MKM。

Thanks. in terms of the unexpected attrition, can you talk about is there any commonality there in terms of geographies or vertical end markets? And then in terms of the timing it looks, if I backed it out right, that most of it hits in the fourth quarter. Is that right? Or is there some residual pressures into the September quarter as well?

謝謝。就意外流失而言，您能談談在地域或垂直終端市場方面有什麼共同點嗎？然後就時間安排而言，如果我支持得對的話，大部分會在第四季發生。是對的嗎？或者九月季度是否還存在一些殘餘壓力？

Okay. So let me address the first part, maybe, Richard and then -- so no, there's nothing particularly common. One was a direct client. The conversation offline to the direct client, the Analytics Hub client goes through a partner. By exclusion, I guess neither of them are knowledge clients, but that's not to say that we may not have customers in that area. There's a usual sort of pattern to that.

好的。那麼，讓我談談第一部分，也許，理查德，然後——所以不，沒有什麼特別常見的。其中一個是直接客戶。與直接客戶端的離線對話，分析中心客戶端透過合作夥伴進行。透過排除，我猜他們都不是知識客戶，但這並不是說我們在該領域可能沒有客戶。這有一個常見的模式。

But I think both of them are under tremendous cost pressure in their businesses, that we see. And as there's lower public news about them looking to reduce cost headcount reduction, so not I guess is a commonality right now. Most of them have been using our products well. They seem to still be -- the operational teams are still very happy with us, seems to be engaged with the product, but they are being given marching orders.

但我認為，我們看到，他們的業務都面臨著巨大的成本壓力。由於有關他們尋求減少成本、裁員的公開消息較少，所以我認為目前的普遍情況不是這樣。他們中的大多數人一直很好地使用我們的產品。他們似乎仍然是——營運團隊仍然對我們非常滿意，似乎對產品很感興趣，但他們接到了前進的命令。

And so that's where the outcome is. Eric, you want to comment?

這就是結果。艾瑞克，你想發表評論嗎？

Yes. I think you're correct for both of these accounts. Impact will be felt in the Q4.

是的。我認為您對這兩個帳戶的看法都是正確的。影響將在第四季感受到。

Okay. And then flipping over to the AI side of the table, could you talk about some of the early deal wins, how it's impacting and deal sizes, deal cycles? Are you seeing a noticeable increase in the pipeline of people evaluating the AI-type solutions? And when do you think, if that becomes a tailwind, when could that start to emerge? Thanks.

好的。然後轉到表格的人工智慧方面，您能談談一些早期的交易勝利嗎？您是否發現評估人工智慧類解決方案的人員數量顯著增加？您認為，如果這一切變成順風，那麼什麼時候會開始出現？謝謝。

Yes. So firstly, I would say that a couple of things. One, in terms of the [IITD] pilots that we do, do the innovation in 30 days, we are doing more pilots now than we have done in the last several years, right? So, and almost all of those projects are those AI pilots around AssistGPT or more, at this point, more instant answers, which is part of the AssistGPT. And so we're seeing a lot of Instant Answers, hundreds right now, both in prospect as well as existing accounts. So that's one thing.

是的。首先，我想說幾件事。第一，就我們所做的 [IITD] 試點而言，在 30 天內進行創新，我們現在所做的試點比過去幾年更多，對吧？因此，幾乎所有這些項目都是圍繞 AssistGPT 或更多的人工智慧試點，在這一點上，更即時的答案是 AssistGPT 的一部分。因此，我們看到了很多即時答案，目前有數百個，無論是潛在客戶還是現有客戶。所以這是一回事。

Second thing we are seeing and this is early, but my sense is that the early engagement with prospects early in the funnel, people seem to be coming in with an AI-oriented budget and AI-oriented interest into knowledge saying, what can I do with AI?

我們看到的第二件事，這是早期的，但我的感覺是，在漏斗的早期與潛在客戶進行早期接觸，人們似乎帶著面向人工智慧的預算和麵向人工智慧的知識興趣進來，說，我能做什麼與人工智慧？

And so that's something different from what we had seen, say, six months ago. There were not a lot of ground level conversations that started with AI. There was a lot of talk about it, but people were not starting the conversations. We're just chatting with our -- the SDR team, and that's one of the trends that we are seeing much more now. Those are the two things I would point out.

這與我們六個月前看到的情況有所不同。從人工智慧開始的底層對話並不多。人們對此進行了很多討論，但人們並沒有開始對話。我們正在與我們的 SDR 團隊交談，這是我們現在看到的更多趨勢之一。這是我要指出的兩件事。

And maybe last for me, is it -- the AI traction seems to be picking up and you see sort of an inflection point ahead for growth that's not reflected in your current results or maybe arguably your valuation. Do you think you'd find a period where you might be willing to get more aggressive on the buyback front, given the strength of the balance sheet? How do you view sort of the trade-offs there? Thanks.

也許對我來說最後一個是——人工智慧的吸引力似乎正在增強，你會看到未來的成長轉折點，這並沒有反映在你當前的業績或可能是你的估值中。鑑於資產負債表的實力，您認為您是否會找到一個願意在回購方面採取更積極行動的時期？您如何看待其中的權衡？謝謝。

Yes. I think, Rich, that's a valid point. And I think certainly as we look at the cash generation that we've generated again, it's certainly something that we'll continue to look at mostly for sure.

是的。我認為，里奇，這是一個正確的觀點。我認為，當我們再次審視我們所產生的現金時，我們肯定會繼續關注這一點。

Thanks.

謝謝。

Jeff Van Rhee, Craig Hallum.

傑夫·範·瑞，克雷格·哈勒姆。

Great. Thanks for taking the questions,. Just maybe high level in terms of the splits of the business. So from a revenue, percent of revenue perspective, how much is sitting in, I think you gave some splits in SaaS there, but can you give it holistically where the revenue sits with respect to Knowledge Management versus Conversation Hub versus Analytics, so we have a sense of proportion?

偉大的。感謝您提出問題。就業務拆分而言，可能只是高水準。因此，從收入、收入百分比的角度來看，有多少是固定的，我認為您在SaaS 中進行了一些劃分，但是您能否全面地給出知識管理、對話中心和分析方面的收入情況，所以我們有分寸感？

I think just roughly speaking, the knowledge business is just under 50%, and then I would say the analytics business is probably in the 15% range, and the compensation hub is in that 35% range.

我認為粗略地說，知識業務略低於 50%，然後我會說分析業務可能在 15% 的範圍內，而薪酬中心則在 35% 的範圍內。

Okay. And then with respect to the two losses, I think it sounded like the -- you had some visibility into where they're going in terms of whatever platforms are moving over to. They're under cost pressure. Is the move that they're making, is it your impression there is that substantial of a cost benefit by just consolidating onto the platforms of the existing providers? Or are there other motivations?

好的。然後，關於這兩次損失，我認為這聽起來像是——你對他們將要轉移到的平台有一定的了解。他們面臨成本壓力。他們正在採取的舉措，您是否認為透過整合到現有提供者的平台上就能獲得巨大的成本效益？還是有其他動機？

I mean, certainly if they've got a platform provider, maybe there's some cost benefit. Just a little bit more about why the shift and if you know what the cost benefit was, if there was some for their departure?

我的意思是，如果他們有平台供應商，也許會有一些成本效益。再多解釋為什麼要進行這種轉變，以及您是否知道成本效益是什麼，他們的離開是否有一些好處？

Yes. So I can tell you what we know so far. Yes, we were aware that that was an ongoing battle inside, let's say the Conversation Hub clients. Let's talk about that first. We were aware that there was a tussle going on between the people who were using the solution from us and were very happy with it and sort of a company-wide agenda to try to reduce number of vendors.

是的。所以我可以告訴你到目前為止我們所知道的情況。是的，我們知道這是一場持續不斷的內部鬥爭，比如說對話中心的客戶。我們先來說說這個吧。我們意識到使用我們解決方案的人們之間存在爭執，並且對此非常滿意，並且在全公司範圍內製定了一項試圖減少供應商數量的議程。

Ultimately I think what we have been told is that they are moving this direction. They'll see how the quality of that service goes in that migration, and they are open to the idea. We are is still working with them, but no guarantees to see if we can continue to operate as a first and second source.

最終我認為我們被告知的是他們正在朝這個方向發展。他們將了解遷移過程中服務的品質如何，並且他們對這個想法持開放態度。我們仍在與他們合作，但不能保證我們是否可以繼續作為第一和第二來源運作。

So that's what we know on the first one, the Conversation Hub one. On the second one, the Analytics one, I think that -- we don't know enough about that, to be honest, because it's behind a partner and we don't have enough visibility to know what is the economic sort of trade-off between their homegrown and ours.

這是我們所知道的第一個，對話中心。關於第二個，即分析，我認為——老實說，我們對此了解不夠，因為它是在合作夥伴的背後，而我們沒有足夠的知名度來了解什麼是經濟貿易——介於他們的本土和我們的之間。

Okay. All right. That's helpful. And then, Eric, you mentioned, on the year-over-year comparison I think you mentioned something about a volume, $1 million in volume that didn't repeat. Can you just refresh me on what that was a year ago?

好的。好的。這很有幫助。然後，艾瑞克，你提到，在同比比較中，我認為你提到了一些關於銷售的事情，100 萬美元的銷售沒有重複。你能讓我回顧一下一年前的情況嗎？

Yes. I think what we had seen was accounts that was driving the increase in messaging business that, those running a special program at the end of this quarter last year, that drove that spike. It was no increase in volume usage.

是的。我認為我們所看到的是推動訊息業務成長的帳戶，那些在去年本季末運行特殊計劃的帳戶推動了訊息業務的激增。卷使用量沒有增加。

Okay. All right. And then just on the AssistGPT, obviously you're trying to get it in the hands of a lot of folks to let them use it and get feedback. I realize it's early, but any areas of pushback in places where you've decided to pivot, accentuate, deemphasize already?

好的。好的。然後就 AssistGPT 而言，顯然您正試圖將其交給很多人，讓他們使用它並獲得反饋。我意識到現在還為時過早，但是在您已經決定調整、強調或弱化的地方，是否存在任何阻力？

Yes, a couple of learnings we have got. One is that people are very in the enterprise, not in the mid-market, but in the enterprise. People are very focused on control safety and auditability. So we have -- and we are enhancing that significantly around generative capabilities. So that is a learning for us.

是的，我們學到了一些東西。一是人非常在企業裡，不是在中端市場，而是在企業裡。人們非常關注控制安全性和可審計性。所以我們已經——而且我們正在圍繞生成能力顯著增強這一點。所以這對我們來說是一個學習。

And the second is that the results that people are seeing in the pilots, and the pilots are obviously trials right, they're not production levels at scale. There are limited production trials. People seem to be very happy with both the solutions results. And so we're consistently seeing a strong positive feedback saying, yes, we like this, right? So that's the second thing, the comparison.

第二是人們在試點中看到的結果，試點顯然是正確的，它們沒有達到規模生產水準。生產試驗有限。人們似乎對這兩種解決方案的結果都非常滿意。因此，我們一直看到強烈的正面回饋說，是的，我們喜歡這個，對吧？這是第二件事，比較。

Okay. And then maybe just one last, Eric, and then we can take this off-line if it's easier. Just trying to, there's obviously going to be some volatility in results next couple of quarters as you kind of reset to the new revenue level, do you have a sense of gross margins? Q3, Q4?

好的。然後也許只是最後一個，埃里克，然後如果更容易的話我們可以把它離線。只是嘗試一下，隨著您重置到新的收入水平，接下來幾季的業績顯然會出現一些波動，您對毛利率有感覺嗎？Q3、Q4？

So we'll definitely see some pressure, obviously, given that reduction. But I think one of these accounts actually had, the profile wasn't at a high level. So but yes, I think we will maybe I'll have to get back to you on the exact percentage where we see it, but certainly there will be some pressure.

因此，考慮到這種減少，我們肯定會看到一些壓力。但我認為其中一個帳戶實際上有，個人資料的水平並不高。所以，但是，是的，我想我們也許必須向您反饋我們看到的確切百分比，但肯定會有一些壓力。

Yes. Okay. Fair enough. I'll leave it there. Thank you.

是的。好的。很公平。我會把它留在那裡。謝謝。

Thank you.

謝謝。

(Operator Instructions) And seeing no further questions, we'll conclude the question-and-answer session. I would like to turn the conference back over to management for any closing remarks.

（操作員說明）如果沒有其他問題，我們將結束問答環節。我想將會議轉交管理層發表閉幕詞。

Okay. Well, thanks, everybody. Appreciate you taking the time. We look forward to updating you as we continue to proceed with this exciting knowledge driven by the AssistGPT product. Thank you.

好的。嗯，謝謝大家。感謝您抽出時間。我們期待為您提供最新消息，因為我們將繼續研究 AssistGPT 產品驅動的這項令人興奮的知識。謝謝。

This concludes the conference. Thank you for attending today's presentation. You may now disconnect.

會議到此結束。感謝您參加今天的演講。您現在可以斷開連線。