Everbridge Inc (EVBG) 2023 Q2 法說會逐字稿

Hello, and welcome to the Everbridge, Inc. Second Quarter 2023 Earnings Conference Call. (Operator Instructions) Please note, today's event is being recorded.

您好，歡迎參加 Everbridge, Inc. 2023 年第二季度收益電話會議。 （操作員說明）請注意，今天的活動正在錄製中。

I would now like to turn the conference over to your host today, Jeff Young. Mr. Young, please go ahead.

我現在想把今天的會議交給主持人傑夫·楊（Jeff Young）。楊先生，請繼續。

Thank you, operator, and good morning, everyone. Welcome to Everbridge's earnings call for the second quarter of 2023. With me on today's call are Everbridge President and CEO, David Wagner; and Executive Vice President and CFO, Patrick Brickley. Before the market opened, we issued our earnings release, which can be accessed on the Investor Relations section of our website at ir.everbridge.com. This call is being recorded, and a replay of the teleconference will be available on our Investor Relations website at the conclusion of today's event.

謝謝接線員，大家早上好。歡迎參加 Everbridge 2023 年第二季度財報電話會議。參加今天電話會議的有 Everbridge 總裁兼首席執行官 David Wagner；執行副總裁兼首席財務官帕特里克·布里克利 (Patrick Brickley)。在開市前，我們發布了收益報告，您可以在我們網站 ir.everbridge.com 的投資者關係部分訪問該報告。本次電話會議正在錄音，電話會議的重播將在今天活動結束時在我們的投資者關係網站上提供。

During today's call, we will make forward-looking statements regarding future events or the financial performance of the company that involve certain risks and uncertainties. The company's actual results may differ materially from the projections described in such statements. Factors that might cause differences include, but are not limited to, those discussed in our Forms 10-Q and 10-K as well as other subsequent filings with the SEC.

在今天的電話會議中，我們將就涉及某些風險和不確定性的未來事件或公司財務業績做出前瞻性陳述。公司的實際結果可能與此類聲明中描述的預測存在重大差異。可能導致差異的因素包括但不限於我們的 10-Q 和 10-K 表格以及隨後向 SEC 提交的其他文件中討論的因素。

Information provided on this call reflects our perspective only as of today and should not be considered representative of our views as of any subsequent date. We explicitly disclaim any obligation to update any forward-looking statements or our outlook.

本次電話會議提供的信息僅反映我們今天的觀點，不應被視為代表我們在任何後續日期的觀點。我們明確不承擔更新任何前瞻性陳述或我們的前景的義務。

Also during today's call, we will refer to certain non-GAAP financial measures. A reconciliation of our GAAP to non-GAAP financial measures is included in our earnings press release, which you can find on our Investor Relations website.

此外，在今天的電話會議中，我們還將提及某些非公認會計準則財務指標。我們的 GAAP 與非 GAAP 財務指標的調節表包含在我們的收益新聞稿中，您可以在我們的投資者關係網站上找到該新聞稿。

Our earnings press release includes highlights from our second quarter of 2023, in addition to our financial results and outlook. After we review our business and financial highlights, we will open the call for questions.

除了我們的財務業績和展望之外，我們的收益新聞稿還包括 2023 年第二季度的亮點。在我們回顧了我們的業務和財務亮點後，我們將開始提問。

With that, let me turn the call over to Dave. Dave?

接下來，讓我把電話轉給戴夫。戴夫？

Thanks, Jeff. Good morning, everyone, and welcome to Everbridge's earnings call for the second quarter of 2023. We delivered solid financial results for the quarter, which we released earlier this morning. For the second quarter, we achieved revenue of $110.6 million, an increase of 7% year-over-year; adjusted EBITDA of $18.3 million, an increase of $13.5 million from the year ago; and annual recurring revenue of $395 million, up $7 million quarter-over-quarter or 9% year-over-year. These solid results reflect the work the team is doing to improve our overall operating efficiency as we execute towards our long-term objectives.

謝謝，傑夫。大家早上好，歡迎參加 Everbridge 2023 年第二季度的財報電話會議。我們今天早上早些時候發布了該季度的穩健財務業績。第二季度，我們實現收入1.106億美元，同比增長7%；調整後 EBITDA 為 1830 萬美元，較上年增加 1350 萬美元；年度經常性收入為 3.95 億美元，環比增長 700 萬美元，同比增長 9%。這些紮實的成果反映了團隊在實現長期目標的過程中為提高整體運營效率所做的工作。

I just celebrated my first anniversary as CEO of Everbridge. And as I reflect on the year, I am proud of the progress we have made. We are much more aligned as an organization. We have focused our product development efforts on our core CEM platforms, and we've achieved several key delivery milestones that are improving customer value and satisfaction. We have simplified and streamlined our Go-to-Market, reducing our non-GAAP sales expense by 9% year-over-year for the first half, which is a major contributor to the increase in trailing 12-month adjusted EBITDA from $12.8 million in the year ago period to $68.9 million this last 12-month period.

我剛剛慶祝了擔任 Everbridge 首席執行官一周年紀念日。當我回顧這一年時，我為我們取得的進步感到自豪。作為一個組織，我們更加一致。我們將產品開發工作重點放在核心 CEM 平台上，並且已經實現了幾個關鍵的交付里程碑，從而提高了客戶價值和滿意度。我們簡化了上市流程，上半年的非 GAAP 銷售費用同比減少了 9%，這是過去 12 個月調整後 EBITDA 從 1,280 萬美元增加的主要因素去年同期的最後 12 個月期間為 6,890 萬美元。

And over the past 12 months, we reduced our net debt by approximately $61 million to $287 million. I am deeply grateful to what we've done together as one Everbridge to achieve these goals and to deliver the results noted above, which are important for our longer-term growth. These accomplishments notwithstanding, we are continuing to experience lower overall bookings than last year, primarily in deals of greater than $250,000. On the positive side, based on continuing momentum in smaller transactions, the strength of our net retention and careful cost containment, we remain on track to deliver $85 million of adjusted EBITDA in 2023 and are on track with our long-term model of reaching the Rule of 40 by 2027.

在過去 12 個月中，我們的淨債務減少了約 6100 萬美元，達到 2.87 億美元。我對我們作為 Everbridge 的一員為實現這些目標並取得上述成果而共同所做的努力深表感謝，這對我們的長期增長非常重要。儘管取得了這些成就，但我們的整體預訂量仍低於去年，主要是金額超過 250,000 美元的交易。從積極的一面來看，基於小規模交易的持續勢頭、我們的淨保留實力和謹慎的成本控制，我們仍有望在 2023 年實現 8500 萬美元的調整後 EBITDA，並有望實現我們的長期模型到2027年，40 條規則。

Today, Everbridge is delivering organizational resilience at a global level in a way that none of our competition can. And our customers need our solutions more than ever. Weather events and social unrest are increasing in both frequency and intensity globally and Boards of Directors and investors alike are looking for their management teams to be increasingly proactive in managing the impact of these risks for their people and business operations. With our strong customer base of leading enterprises and governments, we are becoming synonymous with resilience. And our customers are sharing with us every day, incredible stories of resolve, of continuity of lives saved and assets protected.

如今，Everbridge 正在全球範圍內提供組織彈性，這是我們的競爭對手無法做到的。我們的客戶比以往任何時候都更需要我們的解決方案。全球天氣事件和社會動蕩的頻率和強度都在增加，董事會和投資者都希望他們的管理團隊能夠更加主動地管理這些風險對其人員和業務運營的影響。憑藉領先企業和政府的強大客戶群，我們正在成為韌性的代名詞。我們的客戶每天都在與我們分享令人難以置信的決心、拯救生命和保護資產的故事。

Now I will turn the call over to our CFO, Patrick Brickley, to provide details of our financial results. Patrick?

現在我將把電話轉給我們的首席財務官帕特里克·布里克利 (Patrick Brickley)，以提供我們財務業績的詳細信息。帕特里克？

Thanks, Dave. I'm pleased to report solid execution, which produced revenue at the high end and adjusted EBITDA above the high end of our guidance range. The Strategic Alignment program that we implemented during 2022 to streamline our operations is continuing to deliver profitable organic growth. I will now recap our results for the second quarter of 2023, followed by our outlook for the third quarter and full fiscal year. For full details of our P&L and reconciliation of GAAP to non-GAAP measures, please refer to our press release.

謝謝，戴夫。我很高興地向大家報告，執行力紮實，產生了高端收入，調整後的 EBITDA 高於我們指導範圍的高端。我們在 2022 年實施的旨在簡化運營的戰略調整計劃將繼續帶來盈利性有機增長。我現在將回顧我們 2023 年第二季度的業績，然後是我們對第三季度和整個財年的展望。有關我們損益表以及 GAAP 與非 GAAP 衡量標準的調節的完整詳細信息，請參閱我們的新聞稿。

For the second quarter, our ARR increased to $395 million, up 9% year-over-year. Revenue was $110.6 million, up 7% from a year ago. Revenue from subscription services was $102 million, up 8% from a year ago.

第二季度，我們的 ARR 增至 3.95 億美元，同比增長 9%。收入為 1.106 億美元，比去年同期增長 7%。訂閱服務收入為 1.02 億美元，比去年同期增長 8%。

Our gross revenue retention rate remains within our target range and meaningfully higher than the gross revenue retention that we experienced in the year ago period. We signed 50 deals over $100,000, down from 63 a year ago. Like in Q1, our average deal size in Q2 was lower than what we've seen in recent quarters. Our CEM customer count increased to 373, up 38% sequentially and up 67% year-over-year. We continue to see healthy year-over-year improvements in our profitability and cash flow, reflecting the substantial ongoing improvements that we are making to operational efficiency across all areas of our business, and in particular, within sales and marketing and research and development.

我們的總收入保留率仍然在我們的目標範圍內，並且明顯高於我們去年同期的總收入保留率。我們簽署了 50 份價值超過 10 萬美元的交易，低於一年前的 63 份。與第一季度一樣，我們第二季度的平均交易規模低於最近幾個季度的水平。我們的 CEM 客戶數量增至 373 家，環比增長 38%，同比增長 67%。我們的盈利能力和現金流繼續實現逐年健康改善，這反映出我們在所有業務領域，特別是在銷售、營銷和研發領域的運營效率不斷取得實質性改進。

GAAP gross profit was $77.5 million, a margin of 70% compared to the year ago period's result of $69.7 million or 68% margin. On an adjusted basis, gross margin was 74% compared to 73% a year ago, demonstrating growing efficiencies from platform integration and optimization.

GAAP 毛利潤為 7,750 萬美元，利潤率為 70%，而去年同期的業績為 6,970 萬美元，利潤率為 68%。調整後的毛利率為 74%，而去年同期為 73%，這表明平台整合和優化的效率不斷提高。

GAAP net loss was $15.1 million or negative $0.37 per share compared to the year ago period in which we generated a net loss of $36.2 million or negative $0.91 per share. On an adjusted basis, we generated net income of $13.4 million or $0.31 of diluted earnings per share compared to the year ago period in which we generated net income of $1.5 million or $0.03 per share.

GAAP 淨虧損為 1510 萬美元，即每股負 0.37 美元，而去年同期我們的淨虧損為 3620 萬美元，即每股負 0.91 美元。在調整後的基礎上，我們產生了 1340 萬美元的淨利潤，或每股攤薄收益 0.31 美元，而去年同期我們產生的淨利潤為 150 萬美元，或每股 0.03 美元。

Our adjusted EBITDA of $18.3 million represents a 17% margin, a significant improvement from the year ago period in which adjusted EBITDA was $4.8 million or 5% margin.

我們調整後的 EBITDA 為 1830 萬美元，利潤率為 17%，比去年同期的調整後 EBITDA 為 480 萬美元或 5% 有顯著改善。

Cash flow from operations was an inflow of $5.4 million compared to the year ago period in which we had an outflow of $9.9 million. We note that the second quarter tends to be our seasonally slowest for invoicing and cash collections. Adjusted free cash flow was an inflow of $1.6 million compared to the year ago period in which we had an outflow of $7.6 million. We ended Q2 with $222 million in cash, cash equivalents and restricted cash, up from $202 million at the end of 2022.

運營現金流入 540 萬美元，而去年同期流出 990 萬美元。我們注意到，第二季度往往是我們的發票和現金收款季節性最慢的季度。調整後自由現金流流入 160 萬美元，而去年同期流出 760 萬美元。第二季度末，我們的現金、現金等價物和限制性現金為 2.22 億美元，高於 2022 年底的 2.02 億美元。

Before I turn to our guidance for the third quarter and full year, I'd like to recap the deliberate changes we've made to our Go-to-Market over the past year. The intended outcomes of these changes are reflected in our second half guidance. First, at our Investor Day in December 2022, we discussed our strategy to focus on recurring revenue and we introduced ARR as a key metric, both internally and externally to represent the increased focus. Second, we changed sales incentives in favor of selling subscription services rather than nonrecurring revenue, such as perpetual licenses and associated professional services.

在談到我們對第三季度和全年的指導之前，我想回顧一下我們在過去一年中對市場進入進行的有意改變。這些變化的預期結果反映在我們的下半年指導中。首先，在 2022 年 12 月的投資者日上，我們討論了專注於經常性收入的戰略，並引入了 ARR 作為內部和外部的關鍵指標，以代表日益關注的重點。其次，我們改變了銷售激勵措施，有利於銷售訂閱服務，而不是非經常性收入，例如永久許可證和相關的專業服務。

We've talked on prior quarterly calls about the inherent uncertainty and the timing of perpetual license deals and our cautious view on the second half of this year. This follows 2 record years of nonrecurring revenue, driven by the EU public safety mandates. And in particular, the second half of 2022 included our highest 2 quarters ever for nonrecurring revenue, with over $30 million of nonrecurring revenue in that period. Considering these factors as well as the slower sales of large deals due to a softer macro environment that Dave described earlier, we are lowering our expectations for nonrecurring revenue in the second half of 2023. In addition, in the third quarter, we have taken expense actions, which we expect will reduce our cost structure in the second half by an additional $1 million to $1.5 million a quarter which allows us to reaffirm our adjusted EBITDA target of $85 million despite the reduced revenue expectations.

我們在之前的季度電話會議上討論了永久許可交易的固有不確定性和時間安排，以及我們對今年下半年的謹慎看法。此前，在歐盟公共安全指令的推動下，非經常性收入連續兩年創紀錄。特別是，2022 年下半年是我們非經常性收入有史以來最高的兩個季度，同期非經常性收入超過 3000 萬美元。考慮到這些因素，以及戴夫之前描述的宏觀環境疲軟導致大宗交易銷售放緩，我們降低了對 2023 年下半年非經常性收入的預期。此外，在第三季度，我們還支出了我們預計這些行動將在下半年將我們的成本結構每季度額外減少100 萬至150 萬美元，這使我們能夠在收入預期降低的情況下重申調整後的EBITDA 目標8500 萬美元。

So for the third quarter, we anticipate revenue of between $113.5 million and $114 million, representing year-over-year growth of 2%. This rate of growth is largely a reflection of the year-over-year decline that we anticipate in onetime revenue. We anticipate a GAAP net loss of between $9.4 million and $8.9 million and a non-GAAP net income of between $18.5 million and $19 million or diluted earnings per share of $0.42 to $0.43. We expect adjusted EBITDA to be between $23 million and $23.5 million, a margin of 20% at the midpoint as we continue to drive efficiencies in our operating expenses.

因此，我們預計第三季度的收入將在 1.135 億美元至 1.14 億美元之間，同比增長 2%。這一增長率在很大程度上反映了我們預期一次性收入同比下降的情況。我們預計 GAAP 淨虧損為 940 萬美元至 890 萬美元，非 GAAP 淨利潤為 1850 萬美元至 1900 萬美元，攤薄後每股收益為 0.42 美元至 0.43 美元。隨著我們繼續提高運營費用效率，我們預計調整後 EBITDA 將在 2300 萬美元至 2350 萬美元之間，中間利潤率為 20%。

For the full year 2023, we anticipate revenue to be in the range of $450 million to $452 million, representing growth of 4% to 5% over 2022. Again, this rate of growth is largely a reflection of the year-over-year decline that we anticipate in onetime revenue. We expect a GAAP net loss of between $43.7 million and $41.7 million or a negative $1.07 to $1.02 per share. On a non-GAAP basis, we expect net income of between $65.8 million and $67.8 million or between $1.48 and $1.52 per diluted share. We remain confident in delivering adjusted EBITDA in the range of $84 million to $86 million, representing an adjusted EBITDA margin of 19% at the midpoint of $85 million. This outlook reflects the quarterly expense savings noted above and keeps us on our trend of continuous year-over-year improvement in quarterly adjusted EBITDA and adjusted EBITDA margin.

對於 2023 年全年，我們預計收入將在 4.5 億至 4.52 億美元之間，較 2022 年增長 4% 至 5%。同樣，這一增長率在很大程度上反映了同比下降我們預計一次性收入。我們預計 GAAP 淨虧損為 4370 萬美元至 4170 萬美元，即每股負 1.07 美元至 1.02 美元。根據非公認會計原則，我們預計淨利潤將在 6580 萬美元至 6780 萬美元之間，或稀釋後每股收益在 1.48 美元至 1.52 美元之間。我們仍然有信心實現 8400 萬美元至 8600 萬美元的調整後 EBITDA，即調整後 EBITDA 利潤率為 19%，即 8500 萬美元的中值。這一前景反映了上述季度費用節省，並使我們保持了季度調整後 EBITDA 和調整後 EBITDA 利潤率持續同比改善的趨勢。

In summary, we delivered a solid first half. As we progress through 2023, we remain focused on execution, driving profitable organic growth of ARR and maximizing return on our investments. Looking further, we are confident we can deliver the targets laid out at our December 2022 Investor Day, making disciplined growth first investments and making steady progress towards the Rule of 40 by 2027.

總而言之，我們上半場表現出色。隨著 2023 年的進展，我們將繼續專注於執行、推動 ARR 的盈利性有機增長並實現投資回報最大化。展望未來，我們有信心能夠實現 2022 年 12 月投資者日制定的目標，將紀律性增長放在首位，並在 2027 年朝著 40 條規則穩步邁進。

I will now turn the call back over to Dave.

我現在將把電話轉回給戴夫。

Thanks, Patrick. As our 9% year-over-year increase in ARR demonstrates, we continue to grow nicely in a difficult macro environment. In Q2, we closed 50 deals over $100,000, up 6% from last quarter and down 13% from Q2 of last year. We closed 1 deal over $500,000, down from 3 last quarter and 12 in Q2 of 2022. Our overall transaction size remained steady from Q1 to Q2 and is down nearly 40% year-over-year. However, our Accelerated Digital Marketing programs have enabled us to drive tighter deal velocity in the sub-$100,000 phase.

謝謝，帕特里克。正如我們的 ARR 同比增長 9% 所表明的那樣，我們在困難的宏觀環境中繼續保持良好增長。第二季度，我們完成了 50 筆超過 10 萬美元的交易，比上季度增長 6%，比去年第二季度下降 13%。我們完成了1 筆超過50 萬美元的交易，低於上季度的3 筆和2022 年第二季度的12 筆。從第一季度到第二季度，我們的整體交易規模保持穩定，同比下降近40 %。然而，我們的加速數字營銷計劃使我們能夠在 100,000 美元以下的階段加快交易速度。

Representing success across multiple industries, we added 38 new CEM customers, an increase of 10 from last quarter and an increase of 18 or 90% in Q2 2022, bringing our total CEM customer count to 373. Four of the top five CEM deals of the same period were new customer wins. Our top 5 new deals included the CEM deal, 2 in North America and 1 in Europe, 1 perpetual public warning deal in Canada and 1 RedSky E911 win. Our total number of new logo deals increased on both a sequential and year-over-year basis.

我們新增了 38 個 CEM 客戶，比上季度增加了 10 個，2022 年第二季度增加了 18 個或 90%，這代表了多個行業的成功，使我們的 CEM 客戶總數達到 373 個。同一時期贏得了新客戶。我們的前 5 項新交易包括 CEM 交易、北美 2 項交易、歐洲 1 項交易、加拿大 1 項永久公共警告交易以及 1 項 RedSky E911 勝利。我們的新徽標交易總數環比和同比均有所增加。

Our top 5 growth year-over-year quarter included $500,000 plus add-on to existing CEM customers from last period. There were 2 additional CEM deals in the top 5. One, a smart security add-on in the financial vertical and the other, our risk intelligence add-on in the technology sector. The final 2 were point product growth deals, 1 for digital operations on a major retailer and the other, an E911 add-on. Our number of add-on growth deals was up slightly from last quarter and down about 10% of Q2 2022.

我們排名前 5 位的同比增長季度包括 500,000 美元以及上一時期現有 CEM 客戶的附加費用。前 5 名中還有另外 2 筆 CEM 交易。其中一項是金融垂直領域的智能安全附加產品，另一項是我們在技術領域的風險情報附加產品。最後 2 項是點產品增長交易，其中 1 項用於大型零售商的數字運營，另一項是 E911 附加產品。我們的附加增長交易數量較上季度略有增加，較 2022 年第二季度下降約 10%。

From a retention perspective, our Q2 was solid. We saw good retention in North America, offset by some relative media internationally. From a Go-to-Market perspective, notwithstanding the cost efficiencies, Patrick noted earlier, we are leaning in even forward with digital marketing and pipeline creation. We are focusing on programs that highlight the value of maturing our customers' resilience posture to help motivate them to buy more. We're also providing dedicated support to each individual sales rep to help them optimize their success. We are pleased that more than 3/4 of our sellers now have 1 year or more tenure. As they continue to develop, we are optimistic that their productivity will continue to improve. Finally, we are working to optimize our pricing to better align value in both new customer wins and growth add-on opportunities.

從保留率的角度來看，我們的第二季度表現穩健。我們在北美看到了良好的保留率，但被國際上的一些相關媒體所抵消。帕特里克早些時候指出，從進入市場的角度來看，儘管存在成本效率，但我們仍在數字營銷和渠道創建方面向前邁進。我們專注於強調提高客戶復原力的價值的計劃，以幫助激勵他們購買更多商品。我們還為每位銷售代表提供專門的支持，幫助他們取得最大的成功。我們很高興超過 3/4 的賣家現在擁有 1 年或以上的任期。隨著他們的不斷發展，我們樂觀地認為他們的生產力將不斷提高。最後，我們正在努力優化定價，以更好地調整新客戶贏得和增長附加機會的價值。

Moving to product. We executed on several key technology milestones in the quarter toward our goal of a truly integrated CEM platform as we discussed at Investor Day. In Q2, we delivered a major enhancement through our Critical Event Management Analysis and Correlation Engine. Our customers are now able to apply more complex workflow and variable alerting thresholds, allowing them to fine-tune, just so even further.

轉向產品。正如我們在投資者日討論的那樣，我們在本季度實現了幾個關鍵技術里程碑，以實現真正集成的 CEM 平台的目標。在第二季度，我們通過關鍵事件管理分析和關聯引擎實現了重大增強。我們的客戶現在能夠應用更複雜的工作流程和可變的警報閾值，從而允許他們進行微調，甚至更進一步。

As we continue to integrate Anvil, we launched Everbridge Travel Protector, which is now CEM native. This means that Travel Risk Management customers not only receive standard travel risk information, but also have access to the same high-end risk intelligence and single clinical access as our CEM customers. Everbridge Travel Protector is available at the stand-alone product as an add-on to CEM. And over time, we will transition the Anvil customers to this new product.

隨著我們繼續集成 Anvil，我們推出了 Everbridge Travel Protector，它現在是 CEM 原生的。這意味著旅行風險管理客戶不僅可以獲得標準的旅行風險信息，而且還可以獲得與我們的 CEM 客戶相同的高端風險情報和單一臨床訪問權限。 Everbridge Travel Protector 作為 CEM 的附加產品在獨立產品中提供。隨著時間的推移，我們將把 Anvil 客戶轉移到這款新產品。

We are also modernizing the user experience across the board for our core CEM customers. Everbridge 360, our new integrated platform experience featuring a refreshed interface, simplified workflows and customizable configuration across events and data fees launched in early July to select customers. Their feedback has been universally positive. And we will continue to roll out Everbridge 360 into all 4 CEM customers over the rest of the year, and we expect to release new features by the rolling date.

我們還為核心 CEM 客戶全面實現用戶體驗現代化。 Everbridge 360​​ 是我們全新的集成平台體驗，具有更新的界面、簡化的工作流程以及跨事件和數據費用的可定製配置，於 7 月初向部分客戶推出。他們的反饋普遍積極。我們將在今年剩餘時間內繼續向所有 4 個 CEM 客戶推出 Everbridge 360​​，並預計在滾動日期之前發布新功能。

Finally, I'd like to turn to smart security. Our control center product was used to help keep people safe during the King's Coronation, the largest police operation in the history of the United Kingdom. Over 29,000 police officers relied on data from over 50,000 cameras and devices with access managed by control center. Everbridge was proud to help provide accessible, actionable, situational awareness, bringing such a high-profile public event.

最後，我想談談智能安全。我們的控制中心產品用於在英國歷史上最大規模的警察行動——國王加冕典禮期間幫助確保人們的安全。超過 29,000 名警察依賴來自控制中心管理的 50,000 多個攝像頭和設備的數據。 Everbridge 很榮幸能夠幫助提供易於訪問、可操作的態勢感知，舉辦如此引人注目的公共活動。

In summary, in the second quarter, we delivered another solid performance as we sequentially increased ARR and further expanded our adjusted EBITDA margin. While we are navigating through a challenging macro environment, we are making meaningful enhancements to our core CEM platform and are making disciplined, growth first investments that are allowing us to make steady progress on our short-term increases in efficiency, profitability and cash flow and our long-term goal to reach the Rule of 40 by 2027.

總而言之，在第二季度，我們再次實現了穩健的業績，我們連續提高了 ARR，並進一步擴大了調整後的 EBITDA 利潤率。雖然我們正在應對充滿挑戰的宏觀環境，但我們正在對我們的核心CEM 平台進行有意義的增強，並進行嚴格的、增長第一的投資，這使我們能夠在效率、盈利能力和現金流的短期增長方面取得穩步進展，我們的長期目標是到 2027 年達到 40 人規則。

I look forward to updating you on our progress in the coming quarters. We are now ready to open the call for questions. Steve?

我期待向您通報我們未來幾個季度的最新進展。我們現在準備開始提問。史蒂夫？

(Operator Instructions) And the first question comes from Alex Sklar with Raymond James.

（操作員說明）第一個問題來自 Alex Sklar 和 Raymond James。

David or Patrick, I just want to better understand the second half of the year growth guide, which I think implies you exit the year at about 1% growth. I appreciate all the color on the nonrecurring pressure. But can you just give us some more color on what that factors from a subscription growth standpoint relative to what you were baking in last quarter?

大衛或帕特里克，我只是想更好地了解下半年的增長指南，我認為這意味著你將以 1% 左右的增長結束今年。我很欣賞關於一次性壓力的所有顏色。但是，您能否從訂閱增長的角度向我們提供更多關於相對於您上季度烘焙的因素的影響因素？

Yes, Alex, a great question. The large deal challenges we've been having are across both perpetual and subscription. Primarily, the perpetual deals end up being more of the larger deals, but the same large deal phenomenon is impacting the bookings for recurring as well. As we think about the year and our previous full year guide of 6% to 7% with onetime flat, obviously, now we're calling the onetime down year-over-year. And we're seeing the subscription down a little bit but not much, but subscription is holding in relative to that beginning of the year outlook of -- in the 6% to 7% range, and it's really the onetime that draw down.

是的，亞歷克斯，這是一個很好的問題。我們一直面臨的重大交易挑戰涉及永續和訂閱。首先，永久交易最終更多地是大型交易，但同樣的大型交易現像也影響了經常性的預訂。當我們考慮今年和我們之前的全年指導為 6% 至 7% 時，顯然，現在我們將一次性同比下降。我們看到訂閱量下降了一點，但幅度不大，但相對於年初的展望，訂閱量保持在 6% 到 7% 的範圍內，而且這確實是一次下降。

Obviously, we would love for large deals, recurring deals to be here that would have been bolstering our ARR growth and subscription revenue growth further. But anyway, relative to how we saw the year playing out in the guide, it's really on the onetime side.

顯然，我們希望這裡有大型交易、經常性交易，這將進一步促進我們的 ARR 增長和訂閱收入增長。但無論如何，相對於我們在指南中看到的這一年的情況，它確實是一次性的。

Okay. Great color. So your comment on deal velocity up on subscription, mostly offsetting the large deal phenomenon. Okay. And then just a 2-part question on the Salesforce and Go-to-Market. You talked about some changes there. John has been in the seat for just about 6 months now. What can you tell us about the changes you're making as part of this, the new cost structure referenced on the call? I know -- and then separately, you referenced optimizing pricing. Can you just elaborate a little bit more on what that entails?

好的。顏色很棒。因此，您對訂閱交易速度的評論主要抵消了大額交易現象。好的。然後是關於 Salesforce 和進入市場的兩部分問題。您談到了那裡的一些變化。約翰擔任該席位至今僅 6 個月左右。您能告訴我們您在電話會議中提到的新成本結構中所做的改變嗎？我知道——然後您分別提到了優化定價。您能詳細說明一下這意味著什麼嗎？

Yes. On the -- yes, because that (inaudible). Patrick alluded to cost savings measures that were taken early this quarter. A lot of those are in the Go-to-Market largely around fans and layers and improving overall efficiency. On the good news side, our sales tenure is improving. And so we're really pleased by that. But for the first time since I have been here, our year-over-year tenured sales productivity went down. And so that's obviously the large deal phenomenon impact at our productivity, but we're really focused on helping each seller become productive in their roles and improving their productivity.

是的。關於——是的，因為那個（聽不清）。帕特里克提到了本季度初採取的成本節約措施。其中很多都在進入市場，主要圍繞粉絲和層以及提高整體效率。好消息是，我們的銷售業績正在改善。我們對此感到非常高興。但自從我來到這里以來，我們的長期銷售生產率首次下降。因此，這顯然是大交易現像對我們生產力的影響，但我們真正專注於幫助每個賣家提高其角色的生產力並提高他們的生產力。

So John and his management team are really focused on individual sellers, are focused on getting a little more tighter segmentation and how our sellers approach the market, both in the sales organization and in their collaboration with marketing and lining up those programs. So I see John delivering more efficient Go-to-Market organization and aligning Go-to-Market organization. And as I alluded to last quarter, there's still work to do. I do believe that the majority of what we experienced is a macro trend. Obviously, we have work to do in our own flow walls as well.

因此，約翰和他的管理團隊真正關注的是個人賣家，專注於進行更嚴格的細分，以及我們的賣家如何進入市場，無論是在銷售組織中，還是在與營銷部門的合作以及協調這些計劃方面。因此，我看到約翰提供了更高效的進入市場組織並調整了進入市場組織。正如我上季度提到的，仍有工作要做。我確實相信我們經歷的大部分都是宏觀趨勢。顯然，我們自己的流程牆也有工作要做。

And the next question comes from Matt Stotler with William Blair.

下一個問題來自馬特·斯托勒和威廉·布萊爾。

Maybe start with a multipart question on average deal size. So you noted that it remain kind of lower than what you've seen historically in the quarter. Large deal scrutiny and challenges is very clear. I'd love to just, I guess, better understand if you're seeing new deals coming smaller, customers are reducing spend or if this is an indication that maybe you're seeing more success at the lower end of the market versus the enterprise. Any additional color there would be helpful.

也許可以從平均交易規模的多部分問題開始。所以您注意到它仍然低於您在本季度歷史上看到的水平。大型交易的審查和挑戰非常明確。我想，我想更好地了解您是否看到新交易規模越來越小、客戶正在減少支出，或者這是否表明您可能在低端市場比企業看到了更多成功。任何額外的顏色都會有幫助。

Yes, it's across the board. The new customer deal size down 40%, and the existing customer deal size 40%. Take -- I guess a little bit of feeling better that at least Q1 to Q2 deal size was similar. So we didn't see a further drop off in deal size, although it's pretty meaningful year-over-year. When you break it down, it's pretty meaningful numbers in the over $500,000 deal size and it's largely the impact of those large deals not being in the flow that's driving the average deal size down. I do think that -- that's what I focus on switching topics now to the mid-market. That is one of the focus areas that we're moving into is more of a mid-market focus.

是的，這是全面的。新客戶交易規模下降 40%，現有客戶交易規模下降 40%。就拿——我想感覺好一些，至少第一季度到第二季度的交易規模是相似的。因此，我們沒有看到交易規模進一步下降，儘管與去年同期相比相當有意義。當你仔細分析時，你會發現，在超過 50 萬美元的交易規模中，這是相當有意義的數字，而且很大程度上是因為這些大型交易沒有進入流程，導致平均交易規模下降。我確實認為——這就是我現在將話題轉向中端市場的重點。這是我們正在進入的重點領域之一，更多的是關注中端市場。

We enjoy a very strong penetration in large enterprises, especially here in North America. And that cross-selling motion to that base is a really important part of what we're doing. But from a new customer perspective, we're really dialing in on the 10,000 to 49,000 employees enterprise, still a large company, but down one segment from where we've got the lion's share of today.

我們在大型企業中擁有非常強大的滲透力，尤其是在北美。針對該基礎的交叉銷售行動是我們正在做的事情的一個非常重要的部分。但從新客戶的角度來看，我們真正關注的是擁有 10,000 至 49,000 名員工的企業，它仍然是一家大公司，但比我們今天佔據的最大份額下降了一個細分市場。

Got it. That's helpful. And then as a follow-up, you noted the drop in Salesforce productivity year-over-year associated with the large deal challenges. How are you thinking about head count and hiring for the rest of the year? I think at the beginning of the year, you were planning to be flattish. Is there a situation where you reflect that up or down, especially given kind of lower productivity there?

知道了。這很有幫助。作為後續行動，您注意到與大交易挑戰相關的 Salesforce 生產力逐年下降。您如何看待今年剩餘時間的員工人數和招聘？我想在今年年初，你就計劃保持扁平化。是否存在一種情況，您對此的反映是向上還是向下，特別是考慮到那裡的生產力較低？

Yes. We called them disciplined growth first decisions that we're focusing on. And this is one we have not made with finality for next year. As I said in the script, we are really pleased that our sales retention has gone up to a good level now. Not really surprisingly as folks are turning -- many are turning through their first 12-month period, not all of them are reaching the productivity. It's a challenging environment that we'd expect.

是的。我們稱它們為我們關注的紀律性增長第一決策。我們還沒有為明年確定這一目標。正如我在劇本中所說，我們真的很高興我們的銷售保留率現在已經上升到了一個很好的水平。人們的轉變並不令人意外——許多人正在經歷他們的第一個 12 個月的時期，但並非所有人都達到了生產力。這是我們所期望的充滿挑戰的環境。

So as I said, we're leaning in sales manager to seller marketing support to seller to make sure that we're supporting those salespeople in their transition from early with the company to tenured. And so there's definitely a training exercise and sales management exercise that we're buying rigor to help drive that productivity higher.

正如我所說，我們傾向於向銷售經理向賣家提供營銷支持，以確保我們支持這些銷售人員從公司早期到終身職位的過渡。因此，我們肯定會進行嚴格的培訓活動和銷售管理活動，以幫助提高生產力。

And the next question comes from Brian Colley with Stephens.

下一個問題來自布萊恩·科利和斯蒂芬斯。

So I'm curious on the implied guidance for 4Q of 1%. I'm curious kind of how we should think about 1% for 4Q. I'm curious how we should think of ARR growth in the context of the updated guidance. And maybe if you could kind of quantify the reduction, how much of it was subscription and how much was the nonrecurring piece? And also how you feel about your ability to kind of reaccelerate growth into next year?

所以我對第四季度 1% 的隱含指導感到好奇。我很好奇我們應該如何考慮第四季度的 1%。我很好奇我們應該如何在更新的指導背景下考慮 ARR 增長。也許您可以量化減少的數量，其中有多少是訂閱的，有多少是非經常性的？您對明年重新加速增長的能力有何看法？

Brian, that's a great question. And you can hear from our commentary, again, relative to the way we saw the year, and I don't know exactly what you have in your model or the others. But from the commentary we gave at the beginning of the year 6% to 7% growth with onetime flat, obviously, then we were planning 7% to 8% with the onetime flat was the way we were kind of looking at the year. We started talking about it 9 or 10 months ago. We're running in the 7s on subscription revenue growth. There's not a lot, but a little bit of noise at the year-over-year compares, in the way we were playing it to step up last year.

布萊恩，這是一個很好的問題。你可以再次從我們的評論中聽到，相對於我們對這一年的看法，我不確切知道你的模型或其他模型中有什麼。但從年初的評論來看，我們給出了 6％ 至 7％ 的增長，一度持平，顯然，然後我們計劃增長 7％ 至 8％，一度持平，這就是我們看待這一年的方式。我們九、十個月前就開始討論這個問題了。我們的訂閱收入增長正處於 7 年代。與去年相比，並沒有太多，但有一點噪音，就像我們去年為提高水平而採取的方式一樣。

But I would -- when you take -- we're saying 4% to 5% now with the primarily onetime down. So it's primarily onetime back, maybe 100 basis points out of us on the subscription side. And it's the onetime. And I've been using the word onetime more carefully, Patrick and I are both using it more carefully. The perpetual software deals also drive a good NPS. And so when we say onetime, we're putting the PAS associated with those licensed deals into the same sentence. Anyway, it's not just perpetual, but the onetime is where the majority of the shortfall from the way we saw the year in our guide where we see it today.

但我會——當你考慮時——我們現在說的是 4% 到 5%，主要是一次性下降。所以這主要是一次性的，在訂閱方面可能比我們低 100 個基點。這是一次性的。我一直更謹慎地使用“一次”這個詞，帕特里克和我都更謹慎地使用它。永久軟件交易也能帶來良好的 NPS。因此，當我們說“一次”時，我們將與這些許可交易相關的 PAS 放入同一個句子中。不管怎樣，這不僅僅是永久性的，而且一次性是我們今天在指南中看到的這一年的大部分不足之處。

Got it. That's super helpful. And in terms of the reduction, I'm also curious if there's any specific verticals or areas of the business from a product perspective, where you're seeing the...

知道了。這非常有幫助。就減少而言，我也很好奇從產品角度來看是否有任何特定的垂直行業或業務領域，您會在其中看到......

You know -- you've known me for a while. I'm digging in spreadsheets and rolling around in my bed at night on exactly that question. It is the strangest thing. It is large deals across the board. I go through it a million ways from Sunday, and the metrics we're giving you are the metrics that matter. It is deals over $250,000, acutely deals over $500,000 and $1 million that have slowed down. And the velocity, I'm certainly pleased on the new business side, our new business generation, both in terms of number of deals and in total were fine. We were off in existing customer transactions, as they said, about 10% year-over-year. But it's -- there's no real specifics to it.

你知道——你認識我有一段時間了。我正在研究電子表格，晚上在床上翻來覆去地回答這個問題。這是最奇怪的事情。這是全面的大交易。從周日開始，我以一百萬種方式瀏覽了它，我們為您提供的指標才是重要的指標。超過 25 萬美元的交易、超過 50 萬美元和 100 萬美元的交易已經放緩。我對新業務方面、我們的新業務一代的速度當然感到高興，無論是在交易數量還是總數方面都很好。正如他們所說，我們的現有客戶交易量同比下降了約 10%。但它沒有真正的細節。

One thing I'll point out, in the night -- when I'm rolling around at night I'm thinking about this stuff, State of Florida, our slide business was solid. Our slide business was solid this quarter. So that's not even what I want to ask Brian, is there profitable or slowdown for larger transaction.

我要指出的一件事是，在晚上，當我在晚上翻滾時，我會想到這些東西，佛羅里達州，我們的幻燈片業務很穩固。本季度我們的幻燈片業務表現強勁。所以這甚至不是我想問布萊恩的問題，大額交易是否有利可圖或放緩。

Great. And just a housekeeping question. Did you all report the total enterprise customer count? Or is that something that you're not reporting anymore?

偉大的。只是一個家政問題。你們都報告了企業客戶總數嗎？或者您不再報告這些事情了？

It ran roughly in place from the last quarter, Brian. We had similar to what you saw last quarter. We had headwinds related to as we continue to end of sale end of life, shut down non-core assets. Without that headwind, we would have added a net roughly $70 million, but it's roughly...

布萊恩，從上個季度開始，情況就大致如此。我們的情況與您上季度看到的類似。隨著我們繼續停止銷售、關閉非核心資產，我們遇到了一些阻力。如果沒有這種逆風，我們的淨收益將增加約 7000 萬美元，但這大約是……

And the next question comes from Scott Berg with Needham.

下一個問題來自斯科特·伯格和李約瑟。

I have a couple. Dave, you've obviously spoken a lot about the onetime revenues that are down, especially in the government, I guess, kind of verticals or at least that's my assumption. It's having the government verticals, but any change of win rates there? Any pricing pressures? Is this just really a continued reflection of those deals just aren't ready to have decisions made on or just not in the pipeline in general?

我有一對。戴夫，你顯然已經談到了很多關於一次性收入下降的問題，特別是在政府部門，我想，垂直行業，或者至少這是我的假設。它有政府垂直部門，但是那裡的勝率有什麼變化嗎？有定價壓力嗎？這是否真的持續反映了那些交易尚未準備好做出決定或只是沒有在總體上進行決策？

Yes. On the government side, it's a slowdown in those decisioning process. I've talked to a couple of close network people in that companies of similar spaces. They're seeing the same thing, especially in Europe, getting a larger commitment. So it's a slowdown. We do have a couple of nice opportunities in the second half, but the way things are going this year, we're adjusting the full year to reflect for a big deal allowance through the rest of the year.

是的。在政府方面，這是決策過程的放緩。我曾與該公司中類似領域的幾位關係密切的人進行過交談。他們也看到了同樣的事情，尤其是在歐洲，獲得了更大的承諾。所以這是一個放緩。下半年我們確實有一些不錯的機會，但按照今年的情況，我們正在調整全年業績，以反映今年剩餘時間的大額交易補貼。

Got it. Helpful. And then my follow-up question is on the CEM deals. The number of deals continues to trend higher year-over-year. The pricing is down as the kind of package them and size them maybe a little bit smaller just to derive that initial footprint with some customers. But how should we think about the combination of modules that are comprising these deals?

知道了。有幫助。我的後續問題是關於 CEM 交易的。交易數量繼續呈逐年上升趨勢。價格會下降，因為它們的包裝類型和尺寸可能會小一些，只是為了獲得一些客戶的初始足跡。但我們應該如何考慮構成這些交易的模塊組合呢？

It sounds like you're seeing a shift of what customers have historically bought within the CEM deal versus maybe what they're purchasing today. Is that maybe the right view? Or are you seeing combinations that are maybe noteworthy?

聽起來您似乎看到客戶過去在 CEM 交易中購買的商品與他們今天購買的商品發生了變化。這可能是正確的觀點嗎？或者您是否看到了可能值得注意的組合？

So one of the things I remain very positive on. So when I roll through that, the gross retention in larger customers, that remains a real strength for us. The opportunity to cross-sell and upsell those accounts as we move, the attach add-on focus, the growth focus remains really strong. The big movement in the CEM journey goes from mass notification, which improves your resilience posture to be much more responsive in a critical event. To add the digital innovation and risk component -- risk intelligence component of the product, that's the really big step up in the CEM journey. And so we're doing -- I get a better job feeding that smaller and then allowing the assets and content to grow over time than we have been in the past.

所以我對其中一件事仍然非常樂觀。因此，當我回顧這一點時，大客戶的總保留率仍然是我們的真正優勢。隨著我們的搬遷，交叉銷售和追加銷售這些帳戶的機會、附加附加焦點、增長焦點仍然非常強大。 CEM 旅程中的重大變化來自於大量通知，這可以提高您的應變能力，從而在關鍵事件中做出更迅速的響應。添加數字創新和風險組件——產品的風險情報組件，這是 CEM 之旅中真正邁出的一大步。所以我們正在做——我得到了更好的工作，餵養更小的，然後允許資產和內容隨著時間的推移比我們過去增長。

And as I've highlighted too earlier, we're targeting that. It's not mid-market, but that 10,000 to 49,000 user enterprise, especially on the new customer win size because we've got such great penetration already in organizations over 50,000 employees.

正如我之前強調的那樣，我們的目標是這一點。這不是中端市場，而是擁有 10,000 至 49,000 個用戶的企業，尤其是在新客戶規模方面，因為我們已經在擁有超過 50,000 名員工的組織中獲得瞭如此巨大的滲透率。

And the next question comes from Michael Berg with Wells Fargo.

下一個問題來自富國銀行的邁克爾·伯格。

I just wanted to follow on to Scott's question earlier on the large deals. Relative to Q1, would you characterize the environment? The macro environment is getting meaningfully worse. And are some of these deals that are slowing down? Are these deals you still expect to close either later in the year or potentially into next?

我只是想繼續回答斯科特之前關於大筆交易的問題。相對於問題 1，您會描述環境的特徵嗎？宏觀環境正在變得明顯惡化。其中一些交易是否正在放緩？您是否仍預計在今年晚些時候或明年完成這些交易？

That's a great question. So Q1 -- Q2 to Q1 was relatively steady for us, steady on the deal size decline, which is the #1 thing that we're concerned about. If I put a positive spin on it, we had won over $1 million deal in Q1 and none over Q2. And so we had better volume in the smaller deal size in Q2 than Q1, and then -- but we were down at Q2 over Q2 in numbers attract transactions into installed base. So I call it steady Q2 from Q1, not a deterioration. The last 2 weeks of June were less than we had expected. And so that was a challenge, and we've been flowing some of those into this quarter. But again, as we stand back from the year, we're seeing there's not too relatively steady from Q1 and we're adjusting to expect a tougher environment for the rest of the year.

這是一個很好的問題。因此，第一季度、第二季度到第一季度對我們來說相對穩定，交易規模下降穩定，這是我們關心的第一件事。如果我積極看待的話，我們在第一季度贏得了超過 100 萬美元的交易，但在第二季度卻沒有贏得任何交易。因此，我們在第二季度的較小交易規模上比第一季度獲得了更好的交易量，然後 - 但在吸引交易進入安裝基礎的數量上，我們在第二季度比第二季度下降了。所以我稱其為第一季度的穩定第二季度，而不是惡化。六月的最後兩週比我們預期的要少。所以這是一個挑戰，我們已經將其中一些投入到本季度。但同樣，當我們回顧今年的情況時，我們發現第一季度的情況並不太相對穩定，我們正在進行調整，預計今年剩餘時間的環境將更加嚴峻。

Got it. And then a quick follow-up. Did you say that the perpetual deals is impacting quarterly revenue by $1 million to $1.5 million in the second half?

知道了。然後快速跟進。您是否說過永久交易對下半年的季度收入造成了 100 萬至 150 萬美元的影響？

No. What we did say on the $1 million to $1.5 million that was in Patrick's script, that's proactive cost adjustments we made in early July. That's where we're going to help you bridge the EBITDA guide. So if you look at the round numbers, $8 million down in revenue guide, how you're holding $85 million. Well, that's the $8 million, part of that is professional services. So you don't have full margins, 75% margin, you're at $6 million. And the $1.5 million per quarter cost savings get to $3 million of it and then the cost discipline that we have been evidencing through the first half, enabling our EBITDA beats in both Q1 and Q2. That discipline continues through and, let's stay, on a path for the EBITDA guide despite the shortfall in revenue.

不。我們在帕特里克劇本中所說的 100 萬至 150 萬美元中，是我們在 7 月初進行的主動成本調整。這就是我們將幫助您跨越 EBITDA 指南的地方。因此，如果你看一下整數，收入指南減少了 800 萬美元，你就掌握了 8500 萬美元。嗯，那就是 800 萬美元，其中一部分是專業服務。所以你沒有全額利潤，75% 的利潤，你有 600 萬美元。每季度 150 萬美元的成本節約達到了 300 萬美元，再加上我們在上半年所證明的成本紀律，使我們的 EBITDA 在第一季度和第二季度都超過了預期。儘管收入出現短缺，但我們仍然堅持遵循 EBITDA 指南的原則。

And the next question comes from Ryan MacWilliams with Barclays.

下一個問題來自巴克萊銀行的 Ryan MacWilliams。

Just one more on large deals. I'd love to hear your opinion on like how much of the headwind to these deals is in Everbridge's control versus macro? Like do you think Everbridge is just more later cycle for software purchasing and it could just take some time to work through the cycle and for macro improved to then get bookings and some of these sales efficiency metrics to improve?

只剩下一筆大額交易了。我很想听聽您的意見，比如這些交易的阻力有多大是由 Everbridge 的控制力與宏觀因素決定的？您是否認為 Everbridge 只是軟件採購的較晚週期，可能需要一些時間來完成該週期並進行宏觀改進，然後獲得預訂並提高其中一些銷售效率指標？

Ryan, it's a good question. Again, one that I've been turned around as I'm digging spreadsheets and rolling around my bed at night. To answer your question, I feel like it's 70-30 macro to micro that company-specific things. We are license based on contacts. And so those contracts are primarily employees, and we're focused in the over 50,000 employee vertical. And those companies, they aren't hiring at the rate they were. I do expect those companies to be the strongest coming best out of this turn as well.

瑞安，這是個好問題。再一次，當我晚上在床上翻來覆去地翻閱電子表格時，我又被翻過來了。為了回答你的問題，我覺得這是 70-30 個宏觀到微觀的公司特定的事情。我們是基於聯繫人的許可。因此，這些合同主要是員工，而我們的重點是超過 50,000 名員工的垂直領域。而那些公司，他們的招聘速度並沒有像以前那樣。我確實預計這些公司也將在這一輪轉變中成為最強大的公司。

But everybody has taken a turn on profitability. And I think if they get to the second term of the crisis you're suggesting and start to look at really driving productivity, we have really strong ROI metrics in our core customer base that the efficiencies they get from their security operators by implementing a critical event management platform are really strong. I think as we turn back towards which software is going to make our teams more productive and really drive productivity gains, I think we're going to be again in a good spot as we turn through this.

但每個人都轉向了盈利能力。我認為，如果他們進入了您建議的危機的第二個階段，並開始考慮真正提高生產力，我們在核心客戶群中擁有非常強大的投資回報率指標，他們通過實施關鍵的安全操作員從安全操作員那裡獲得的效率事件管理平台確實很強大。我認為，當我們回顧哪些軟件將使我們的團隊更有生產力並真正提高生產力時，我認為當我們解決這個問題時，我們將再次處於一個好的位置。

Appreciate that. And pleased to see the CEM sales still doing well. From an individual product perspective, anything to call out on the momentum for Mass Notification and Safety Connection?

感謝。很高興看到 CEM 銷售仍然表現良好。從單個產品的角度來看，有什麼值得強調的大規模通知和安全連接的勢頭嗎？

No, one of the things that I'm pleased about year-over-year, Patrick alluded to it, the gross retention is improving, especially in the Mass Notification side. We've got that improvement from negative growth just slightly positive growth and improved year-over-year.

不，帕特里克提到，與去年同期相比，我感到高興的事情之一是總保留率正在改善，尤其是在批量通知方面。我們已經從負增長中得到了改善，只是略有正增長，並且同比有所改善。

So that's a trend I'm actually pleased with. I should -- and maybe I overemphasize, but I feel like I should emphasize more the really great work that our product teams are doing. We started with a premise that's focusing and investing on our core is the right approach, and we're getting really good feedback with the investments and the improvements we're making, driving more value for our existing customers. That is a bright spot for me in how we're executing to deliver for customers.

所以這是我實際上很滿意的趨勢。我應該——也許我強調過頭了，但我覺得我應該更多地強調我們的產品團隊正在做的真正偉大的工作。我們一開始的前提是專注於我們的核心並對其進行投資是正確的方法，並且我們通過投資和正在進行的改進獲得了非常好的反饋，為我們現有的客戶帶來了更多價值。這對我來說是我們為客戶提供服務的一個亮點。

And the next question comes from Mike Latimore with Northland Capital Markets.

下一個問題來自 Northland Capital Markets 的 Mike Latimore。

How about just pipeline growth? Is it growing nicely? Does the pipeline flow, just overall pipeline growth?

僅僅管道增長怎麼樣？長得好嗎？管道是否暢通，是否只是整體管道增長？

Yes. Pipeline at the macro is not going well because we're -- the bigger deals aren't there. But the velocity is maintaining or maybe even slightly improved, especially on the new deal size. And so that's what we're laying them in. You want to sell what customers want to buy and the customers are wanting to buy more disciplined from -- smaller amounts right now.

是的。宏觀方面的管道進展並不順利，因為我們沒有更大的交易。但速度保持不變，甚至可能略有提高，特別是在新交易規模方面。這就是我們要放置的東西。你想賣客戶想買的東西，而客戶現在希望購買更嚴格的產品——更少的數量。

And the CEM deal count is obviously strong. How many of those were upsells into kind of the Global 2000? How is that pattern playing out there?

CEM 的交易數量顯然很強勁。其中有多少是向全球 2000 強公司追加銷售的？這種模式是如何發揮的？

That's a good question. I don't have that in front of me. From looking at the deal list, as I said, we're very, very nicely penetrated in North American enterprise of over 50,000. Like there are more to win, but our penetration is great there. And the new logos are in the next year down the size count.

這是個好問題。我面前沒有那個。正如我所說，從交易清單來看，我們非常非常好地滲透到北美超過 50,000 家企業中。就像還有更多的勝利，但我們在那裡的滲透力很強。新標誌將於明年推出，尺寸會更小。

For sure. Got it. And just on Mass Notification, it sounds like a little bit of growth there, which is good. Is that -- what would cause that? Is that just more focused? Is that a pricing change? Is that product enhancement?

一定。知道了。就批量通知而言，聽起來好像有一點增長，這很好。那是——什麼會導致這種情況？是不是就更專注了？這是定價變化嗎？這是產品增強嗎？

It's primarily focused, which has managed itself first in the product organization. We've taken time, as I said, to go back and make sure that, that segment of the market we are -- yes, we're investing there to make sure that we retain and grow those core customers. We've done some real nice things that have been listening carefully.

它主要是集中的，首先在產品組織中進行自我管理。正如我所說，我們花了一些時間回過頭來確保我們所在的市場部分——是的，我們正在那裡進行投資，以確保我們保留並發展這些核心客戶。我們做了一些非常好的事情，而且我們一直在認真傾聽。

The County Emergency Managers across the country, and we're building improvement in our core flagship product and any -- I'm really proud of the work that the team has done that double down there. We're tightening in the integrations with other stock parts of the platform to make it even easier to use. So we're definitely putting some attention there.

全國各地的縣應急管理人員，我們正在對我們的核心旗艦產品和任何產品進行改進——我對團隊在那裡所做的雙倍工作感到非常自豪。我們正在加強與平台其他庫存部分的集成，以使其更易於使用。所以我們肯定會對此給予一些關注。

And the next question comes from Kash Rangan with Goldman Sachs.

下一個問題來自高盛的卡什·蘭根 (Kash Rangan)。

This is Jacob on for Kash. I wanted to ask how many of the CEM deals, and I apologize if this was touched on earlier, but how many of the CEM deals or CEM additions this quarter were a result of upselling from the existing customer base versus net new customers? And then if we could maybe touch on the dynamic around the International segment? It seems like it's been a little bit of weakness for the last few quarters. So anything you're seeing there that might be willing to call out?

這是雅各布替補卡什。我想問有多少CEM 交易，如果之前提到過這一點，我深表歉意，但是本季度有多少CEM 交易或CEM 新增交易是現有客戶群與淨新客​​戶相比追加銷售的結果？那麼我們是否可以談談國際市場的動態？過去幾個季度似乎有點疲軟。那麼您在那裡看到的任何東西可能願意呼籲嗎？

Yes. The new CEM deal to get is a little bit of a bright spot smaller, but the new deals are 50%. If you run like top 5, I think 3 of the top 5 transactions -- new transactions were CEM deals. And so that's something I feel good about. International, I think it's no secret that the EU has its own challenges, especially the U.K., where we have a good bit of business. We're solid there. But not the same level of growth that we are seeing in prior years. Again, we've been more disciplined with our investments, particularly internationally, where we were overinvested, is a strong word, but we were invested heavily to penetrate those markets and we're making more disciplined tax-based investments. We've been adjusting International a little bit more than North America.

是的。新CEM獲得的交易亮點是有點小，但新交易是50%。如果你像前 5 名一樣運行，我認為前 5 名交易中有 3 筆——新交易是 CEM 交易。這就是我感覺很好的事情。在國際上，我認為歐盟也有自己的挑戰，尤其是英國，我們在那裡有很多業務，這已經不是什麼秘密了。我們在那裡很穩固。但與我們前幾年看到的增長水平不同。再說一次，我們對投資更加嚴格，特別是在國際上，我們過度投資是一個很強烈的詞，但我們投入了大量資金來滲透這些市場，並且我們正在進行更加嚴格的基於稅收的投資。我們對國際市場的調整比對北美市場的調整要多一些。

And this concludes the question-and-answer session. I would like to return the floor to management for any closing comments.

問答環節到此結束。我想請管理層發表任何結束意見。

Thank you, Steve, and thank you, everybody, for joining us on our second quarter call. Patrick and I and Nandan will be very active in -- especially in the next 2 or 3 days with investors in some conference activity. Look forward to connecting with many of you in the next 72 hours and hopefully, all of you again in 90 days when we report our third quarter results. Have a great day.

謝謝史蒂夫，謝謝大家參加我們的第二季度電話會議。帕特里克、我和南丹將非常活躍，特別是在接下來的兩三天內，與投資者一起參加一些會議活動。期待在接下來的 72 小時內與你們中的許多人聯繫，並希望在 90 天內我們報告第三季度業績時再次與你們所有人聯繫。祝你有美好的一天。

Thank you. The conference has now concluded. Thank you for attending today's presentation. You may now disconnect your lines.

謝謝。會議現已結束。感謝您參加今天的演講。您現在可以斷開線路。