Freshworks Inc (FRSH) 2024 Q3 法說會逐字稿

Good day, and thank you for standing by.

美好的一天，感謝您的支持。

Welcome to Freshworks third-quarter 2024 earnings conference call.

歡迎參加 Freshworks 2024 年第三季財報電話會議。

(Operator Instructions) Please be advised that today's conference is being recorded.

（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, Joon Huh, Head of Investor Relations.

我現在想把會議交給今天的發言人，投資者關係主管 Joon Huh。

Please go ahead.

請繼續。

Thank you.

謝謝。

Good afternoon, and welcome to Freshworks third-quarter 2024 earnings conference call.

下午好，歡迎參加 Freshworks 2024 年第三季財報電話會議。

Joining me today are Dennis Woodside, Freshworks' Chief Executive Officer and President; and Tyler Sloat, Freshworks' Chief Operating Officer and Chief Financial Officer.

今天和我一起來的還有 Freshworks 執行長兼總裁 Dennis Woodside；和 Freshworks 營運長兼財務長 Tyler Sloat。

The primary purpose of today's call is to provide you with information regarding our third quarter 2024 performance and our financial outlook for our fourth quarter and full year 2024 as well as our preliminary outlook for full year 2025.

今天電話會議的主要目的是向您提供有關我們 2024 年第三季業績、第四季和 2024 年全年財務展望以及 2025 年全年初步展望的資訊。

Some of our discussion and responses to your questions may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.

我們對您問題的一些討論和答覆可能包含 1995 年《私人證券訴訟改革法案》含義內的前瞻性陳述。

These forward-looking statements are based on Freshworks' current expectations and estimates about its business and industry, including our financial outlook, macroeconomic uncertainties, management's beliefs, the timing and amount of future repurchases of our Class A common stock, [Vantiv] benefits, costs and the timing of our workplace realignment and associated reduction in headcount and certain other assumptions made by the company, all of which are subject to change.

這些前瞻性聲明是基於Freshworks 目前對其業務和行業的預期和估計，包括我們的財務前景、宏​​觀經濟不確定性、管理層的信念、未來回購A 類普通股的時間和金額、[Vantiv] 福利、成本和工作場所調整的時間以及相關的員工人數減少以及公司做出的某些其他假設，所有這些都可能發生變化。

These statements are subject to risks, uncertainties and assumptions that could cause actual results to differ materially from those projected in our forward-looking statements.

這些陳述受到風險、不確定性和假設的影響，可能導致實際結果與我們前瞻性陳述中預測的結果有重大差異。

Such risks include, but are not limited to, our ability to sustain our growth, to innovate, to reach our long-term revenue goals, meet customer demand and to control costs and improve operating efficiency.

這些風險包括但不限於我們維持成長、創新、實現長期收入目標、滿足客戶需求以及控製成本和提高營運效率的能力。

For a discussion of additional material risks and other important factors that could affect our results, please refer to today's earnings release, our most recently filed Form 10-K in our other periodic filings with the SEC.

有關可能影響我們業績的其他重大風險和其他重要因素的討論，請參閱今天的收益報告、我們最近向 SEC 提交的其他定期文件中提交的 10-K 表格。

Freshworks assumes no obligation to update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this call, except as required by law.

Freshworks 不承擔更新任何前瞻性聲明以反映本次電話會議之後可能發生的事件或情況的義務，除非法律要求。

During the course of today's call, we will refer to certain non-GAAP financial measures, recreations between GAAP and non-GAAP financial measures for historical periods are included in our earnings release, which is available on our Investor Relations website at ir.freshworks.com. I encourage you to visit our Investor Relations site to access our earnings release, supplemental earnings slides, periodic SEC reports, a replay of today's call or to learn more about Freshworks.

在今天的電話會議中，我們將參考某些非GAAP 財務指標，歷史時期GAAP 和非GAAP 財務指標之間的重新調整包含在我們的收益發布中，該發布可在我們的投資者關係網站ir. freshworks 上取得。我鼓勵您訪問我們的投資者關係網站，以訪問我們的收益發布、補充收益幻燈片、定期 SEC 報告、今天電話會議的重播或了解有關 Freshworks 的更多資訊。

And with that, let me turn it over to Dennis.

接下來，讓我把它交給丹尼斯。

Thanks, Joon, and thank you, everyone, for joining us today on the call.

謝謝 Joon，也謝謝大家今天加入我們的電話會議。

I'm pleased to report that we had a strong third quarter.

我很高興地報告，我們的第三季表現強勁。

We outperformed across all our key metrics and exceeded our previously provided estimates for growth and profitability.

我們在所有關鍵指標上都表現出色，並超越了我們先前提供的成長和獲利能力預期。

The Q3 results reflect our focus on product innovation, operational discipline, and our strategic imperatives.

第三季的業績反映了我們對產品創新、營運紀律和策略要求的關注。

Revenue grew 22% year-over-year to $186.6 million, and we generated free cash flow of $40.1 million. resulting in a free cash flow margin of 21% for the quarter.

營收年增 22%，達到 1.866 億美元，自由現金流為 4,010 萬美元。導致本季自由現金流利潤率為 21%。

We nearly doubled our free cash flow compared to last year, representing a margin improvement of more than 700 basis points year-over-year.

與去年相比，我們的自由現金流幾乎增加了一倍，利潤率比去年同期提高了 700 多個基點。

Adding our revenue growth and free cash flow margin for Q3, we exceeded the rule of 40 in the quarter.

加上第三季的營收成長和自由現金流利潤率，我們在本季超過了 40 的規則。

We're proud of the operational efficiencies we're creating while scaling our business.

我們對在擴展業務時所創造的營運效率感到自豪。

We ended the quarter with more than 69,600 total customers with a net add of more than 800 customers.

截至本季末，我們的客戶總數超過 69,600 名，淨增客戶超過 800 名。

This represents the highest organic net adds for customers in the last four quarters.

這代表了過去四個季度中客戶有機淨增加的最高水準。

We welcomed Nodal customers onto the Freshworks platform, including Republic Airways, University of Oxford, ChampionX, the City of Bellevue, Sparebank 1 and Textile Fashion Group, to name a few.

我們歡迎 Nodal 客戶加入 Freshworks 平台，其中包括共和航空公司、牛津大學、ChampionX、貝爾維尤市、Sparebank 1 和 Textile Fashion Group 等。

Last quarter, we outlined our three key strategic imperatives to drive durable, profitable growth as we scale the business.

上個季度，我們概述了在擴大業務規模時推動持久、獲利成長的三個關鍵策略要務。

The first imperative is that we invest in our largest, fastest-growing employee experience business.

第一個當務之急是我們投資規模最大、成長最快的員工體驗業務。

This includes ITSM, ITAM, IT operations and ESM.

這包括 ITSM、ITAM、IT 營運和 ESM。

Our second imperative is to continue delivering AI capabilities across our platform to increase productivity for our customers and employee experience and in customer experience.

我們的第二個當務之急是繼續在我們的平台上提供人工智慧功能，以提高客戶和員工體驗以及客戶體驗的生產力。

Our third imperative is to accelerate growth for our customer experience solutions, which include our customer service and sales and marketing products.

我們的第三個當務之急是加速我們的客戶體驗解決方案的成長，其中包括我們的客戶服務以及銷售和行銷產品。

Today, I'll share proof that our strategy is working.

今天，我將分享我們的策略正在發揮作用的證據。

I'll start with our first pillar, EX.

我將從我們的第一個支柱 EX 開始。

Our EX business is strong with over $390 million in ARR and a year-over-year growth rate of over 40% in Q3.

我們的 EX 業務強勁，第三季的 ARR 超過 3.9 億美元，年成長率超過 40%。

Today, more than 17,800 customers are using our EX solutions to deliver exceptional IT and in service management.

如今，超過 17,800 家客戶正在使用我們的 EX 解決方案來提供卓越的 IT 和服務管理。

By prioritizing investments in EX, they are moving up market and winning more mid-market and enterprise deals.

透過優先投資 EX，他們正在向高端市場邁進並贏得更多中端市場和企業交易。

We won 16 new and expansion deals over 100,000 in ARR in EX, including several against our largest competitor in Q3.

我們在 EX 中贏得了 16 筆 ARR 超過 100,000 筆的新交易和擴張交易，其中包括第三季針對我們最大競爭對手的幾筆交易。

Mid-market and large companies who rely on enterprise-grade software to compete at a global scale are choosing us over the competition.

依靠企業級軟體在全球範圍內競爭的中型市場和大型公司正在選擇我們而不是競爭對手。

These companies offer every sector, including public and private enterprises.

這些公司提供各部門的服務，包括公營和私營企業。

They choose Freshworks to do what our competitors got, arm them with powerful yet affordable software that's as easy to implement as it is to use.

他們選擇 Freshworks 來完成我們競爭對手所做的事情，為他們配備功能強大且價格實惠、易於實施和使用的軟體。

This is our winning formula.

這是我們的致勝法寶。

They tell us that they're tired of being forced into oversize solutions that are hard to implement and operate.

他們告訴我們，他們厭倦了被迫採用難以實施和操作的超大解決方案。

Our expanded capabilities have earned us the right to compete in larger deals, and we're winning many of them.

我們擴展的能力為我們贏得了在更大的交易中競爭的權利，並且我們正在贏得其中的許多交易。

Leading innovators across industries are using our AI-powered EX software to deliver exceptional employee experiences.

各行業的領先創新者正在使用我們的人工智慧 EX 軟體來提供卓越的員工體驗。

In Education, Georgetown, University of Pennsylvania, Pitzer, University of Aberdeen, Brunel University and many more are using Fresh service.

在教育領域，喬治城大學、賓州大學、皮策大學、阿伯丁大學、布魯內爾大學等都在使用 Fresh 服務。

For example, the University of Oxford chose Fresh service and Freddy Copilot for its simplicity and ability to scale with the university's ITSM needs across IT, finance and HR teams.

例如，牛津大學選擇 Fresh 服務和 Freddy Copilot，因為它簡單且能夠根據大學 IT、財務和 HR 團隊的 ITSM 需求進行擴展。

Professional sports teams, including Premier League football clubs, Major League Baseball teams, NFL franchises and Formula One racing teams are choosing our software.

職業運動隊，包括英超足球俱樂部、美國職棒大聯盟球隊、NFL 球隊和一級方程式賽車隊都在選擇我們的軟體。

In retail, customers like Carrefour, Belgium, Paul Smith and Textile Fashion Group have chosen Freshworks to overhaul their ITSM solutions.

在零售業，家樂福、比利時、Paul Smith 和 Textile Fashion Group 等客戶選擇 Freshworks 來徹底改造其 ITSM 解決方案。

We're also creating more value from the Device42 acquisition by cross-selling advanced ITAM capabilities to existing Fresh service customers.

我們也透過向現有 Fresh 服務客戶交叉銷售先進的 ITAM 功能，從收購 Device42 中創造更多價值。

We're expanding our ability to win deals in a broader group of large, mature companies.

我們正在增強在更廣泛的大型成熟公司中贏得交易的能力。

One example is Republic Airways a large regional airline that also contracts with major airlines such as American, Delta and United.

一個例子是共和航空，這是一家大型支線航空公司，它也與美國航空、達美航空和聯合航空等主要航空公司簽訂了合約。

We won this deal against our largest competitor in IT.

我們戰勝了 IT 領域最大的競爭對手，贏得了這筆交易。

This customer needed better visibility and control over their IT assets and configurations.

該客戶需要更好地了解和控制其 IT 資產和配置。

Using Freshservice and Device42, Republic Airways now has a consolidated view of its numerous IT and hardware assets which allows it to meet FAA compliance and resolve incidents more efficiently.

使用 Freshservice 和 Device42，共和航空現在可以對其眾多 IT 和硬體資產進行整合，從而使其能夠滿足 FAA 合規性並更有效地解決事件。

In line with our strategy, we are prioritizing more R&D investment for EX to fuel our high-growth business.

根據我們的策略，我們優先考慮對 EX 進行更多研發投資，以推動我們的高成長業務。

In Q3, we saw over 200 technical resources from other areas, two are EX product and engineering teams.

在第三季度，我們看到了超過 200 個來自其他領域的技術資源，其中兩個是 EX 產品和工程團隊。

These resources are now accelerating our product element of ITSM and ESM capabilities, including new change management features, enterprise-grade access and control functionality and new Freddy AI capabilities.

這些資源現在正在加速我們的 ITSM 和 ESM 功能的產品元素，包括新的變更管理功能、企業級存取和控制功能以及新的 Freddy AI 功能。

Adding these resources to EX, we have significantly pulled forward our product road map, in some cases, up to four quarters.

將這些資源添加到 EX 中，我們大大推進了我們的產品路線圖，在某些情況下，最多推進了四個季度。

We're winning in EX, and we're excited about our business momentum.

我們在 EX 中取得了勝利，我們對我們的業務勢頭感到興奮。

Our AI products are gaining significant adoption and usage, and we are seeing monetization momentum quarter-over-quarter.

我們的人工智慧產品正在獲得廣泛的採用和使用，我們看到逐季度的貨幣化勢頭。

As a reminder, we offer two AI products that are generally available today.

提醒一下，我們提供兩種現已上市的人工智慧產品。

Freddy self-service to deflect frontline questions and Freddy Copilot to assistance.

弗雷迪自助服務可轉移前線問題，弗雷迪副駕駛可提供協助。

We monetized Freddy self-service on a per session basis and monetize copilot through -- seat add-on of $29 per month.

我們將 Freddy 自助服務按每次會話貨幣化，並透過每月 29 美元的座位附加費將副駕駛貨幣化。

In Q3, paid copilot adoption grew more than 30% over the previous quarter to over 1,700 paying customers.

第三季度，付費副駕駛採用率比上一季成長了 30% 以上，付費客戶超過 1,700 名。

These customers can achieve more than 30% reduction in resolution time with copilot while improving customer satisfaction.

這些客戶可以將與副駕駛解決問題的時間縮短 30% 以上，同時提高客戶滿意度。

We increased attach rates for copilot in new deals over $30,000 in ARR to more than 50%, and SMB customers continue to attach at double-digit rates.

我們將 ARR 超過 30,000 美元的新交易中的副駕駛附加率提高到 50% 以上，中小企業客戶繼續以兩位數的比率附加。

ARR from copilot grew meaningfully quarter-over-quarter with a slight majority coming from the EX business.

副駕駛的 ARR 環比顯著增長，其中微弱多數來自 EX 業務。

We're still early on, but we continue to monetize copilot ahead of our initial expectations.

我們還處於早期階段，但我們繼續將副駕駛貨幣化，超出了我們最初的預期。

One example of a customer finding great value with copilot is Razor pay, a leading payment gateway services company in India with over 5 million customers.

Razor pay 是客戶透過 copilot 發現巨大價值的一個例子，它是印度一家領先的支付網關服務公司，擁有超過 500 萬客戶。

They needed an AI solution to scale their customer support without compromising quality.

他們需要人工智慧解決方案來擴展客戶支援而不影響品質。

By implementing Freddy copilot, they achieved remarkable results, automating 70% of routine queries and reducing resolution times by 30%.

透過實施 Freddy copilot，他們取得了顯著的成果，實現了 70% 的日常查詢自動化，並將解決時間縮短了 30%。

Our AI products enabled them to handle 20% more customer interactions while simultaneously improving first content resolution and boosting customer satisfaction scores.

我們的 AI 產品使他們能夠處理的客戶互動量增加了 20%，同時提高了首次內容解析度並提高了客戶滿意度分數。

Freddy Self-service continues to show positive momentum.

Freddy 自助服務繼續呈現出積極的勢頭。

We have more than 1,100 paying customers that are using Freddy Self-service for customer support.

我們有超過 1,100 名付費客戶正在使用 Freddy 自助服務來獲得客戶支援。

The number of paying customers has doubled since the beginning of the year as many are realizing deflection rates of more than 40% to 50%.

自今年年初以來，付費客戶數量增加了一倍，許多客戶的偏差率超過 40% 至 50%。

ARR from self-service grew nearly 10% quarter-over-quarter in Q3.

第三季自助服務的 ARR 環比成長近 10%。

Customers are turning to us because they are looking for a robust platform of support solutions with leading AI capabilities that can help them scale.

客戶轉向我們是因為他們正在尋找一個強大的支援解決方案平台，該平台具有領先的人工智慧功能，可以幫助他們擴展規模。

Springer Nature is a global publishing company with more than 10,000 employees across 50 countries.

Springer Nature 是一家全球出版公司，在 50 個國家/地區擁有 10,000 多名員工。

Their customer agents were manually fielding a high number of queries from around the globe, so they needed an automated solution to help them address the high volume of L-1 queries.

他們的客戶代理手動處理來自全球各地的大量查詢，因此他們需要一個自動化解決方案來幫助他們解決大量的 L-1 查詢。

With the adoption of self-service, they were able to deflect the low-level support queries while achieving a CSAT score of 90%.

透過採用自助服務，他們能夠轉移低階的支援查詢，同時實現 90% 的 CSAT 分數。

Finally, we recently announced the public beta of Freddy AI agent.

最後，我們最近宣布了 Freddy AI 代理的公開測試版。

This marks a new generation of autonomous frontline agents powered by Freddy AI.

這標誌著由 Freddy AI 提供支援的新一代自主前線代理商。

Our Freddy AI agent provides users with always-on, trustworthy and conversational service that can resolve service issues quickly, efficiently and without human intervention.

我們的 Freddy AI 代理為用戶提供始終在線、值得信賴的對話式服務，可以快速、有效率地解決服務問題，無需人工幹預。

While automation capabilities have been available to our CX customers for years, Freddy AI agent represents the new generation of self-service capabilities and is now available for both our CX and EX customers.

雖然自動化功能多年來一直可供我們的 CX 客戶使用，但 Freddy AI 代理商代表了新一代的自助服務功能，現在可供我們的 CX 和 EX 客戶使用。

A key differentiator is that customers can set up Freddy AI agent in minutes by simply pointing it to their knowledge base, public URLs, support facts or policy documents.

一個關鍵的區別在於，客戶只需將 Freddy AI 代理指向他們的知識庫、公共 URL、支援事實或政策文檔，即可在幾分鐘內完成設定。

Our AI agents don't require prescriptive button-like flows that are time consuming to load rigid and user experience.

我們的人工智慧代理不需要像規定的按鈕一樣的流程，這些流程載入剛性和使用者體驗非常耗時。

Instead, Freddy AI agents engage in a personalized, human-like conversation with memory and advanced reasoning to clarify queries, retain context and have multiturn conversations.

相反，Freddy AI 代理利用記憶和高級推理進行個性化、類人對話，以澄清查詢、保留上下文並進行多輪對話。

For more complex issues, the AI agents can intelligently triage and seamlessly pass these to a human agent.

對於更複雜的問題，人工智慧代理可以智慧地分類並將其無縫地傳遞給人工代理。

Following months of testing in our own environment and with -- customers, we have received valuable feedback and seen impressive business outcomes.

經過在我們自己的環境中以及與客戶進行的數月測試後，我們收到了寶貴的回饋並看到了令人印象深刻的業務成果。

For example, the large U.K.-based retailer, Hobbycraft uses Freddy AI agent to accurately respond to the wide and complex range of customer product questions.

例如，英國大型零售商 Hobbycraft 使用 Freddy AI 代理來準確回應廣泛而複雜的客戶產品問題。

With minimal training, they went live and created instant customer support outside of normal business hours and across geographies.

只需最少的培訓，他們就可以在正常工作時間之外跨地區上線並創建即時客戶支援。

Another customer, [BTX], deployed their autonomous agents within 20 minutes.

另一個客戶 [BTX] 在 20 分鐘內部署了他們的自主代理。

We will directly monetize usage of the CX version of Freddy AI agent as soon as it moves from public beta to general availability, which is expected in Q1 of 2025.

一旦 Freddy AI 代理的 CX 版本從公開測試版轉向全面可用（預計在 2025 年第一季），我們將直接透過使用來貨幣化。

The EX version of Freddy AI agent will be included exclusively in the enterprise plan for Freshservice.

Freddy AI 代理商的 EX 版本將專門包含在 Freshservice 的企業計劃中。

We will indirectly monetize this via higher win rates and mix shift towards the enterprise plan.

我們將透過更高的勝率和向企業計劃的混合轉變來間接貨幣化。

Turning to our CX business.

轉向我們的 CX 業務。

I'm happy to say that growth improved in Q3.

我很高興地說第三季的成長有所改善。

Our CX business finished with over $360 million in ARR nearly 10% year-over-year.

我們的 CX 業務最終實現了超過 3.6 億美元的 ARR，年成長近 10%。

We also improved our net customer adds in CX, doubling our net adds from the prior quarter.

我們也改善了 CX 中的淨客戶增加量，使淨增加量比上一季增加了一倍。

The most significant games were from our international regions, driven by reduced churn and improved conversion of free to paid agents.

最重要的遊戲來自我們的國際地區，其推動因素是客戶流失率的減少以及免費代理商向付費代理商的轉換率的提高。

In fact, Q3 was the lowest churn quarter ever for our customer support products.

事實上，第三季是我們的客戶支援產品有史以來流失率最低的季度。

Our goal is to continue improving customer retention through product improvements and targeted outreach aimed at reducing churn.

我們的目標是透過產品改進和旨在減少客戶流失的有針對性的推廣來繼續提高客戶保留率。

We ended the quarter with over 56,100 CX customers.

本季末，我們擁有超過 56,100 名 CX 客戶。

We are seeing several opportunities to cross-sell CX to EX customers and vice versa.

我們看到了一些向 EX 客戶交叉銷售 CX 的機會，反之亦然。

We saw this with the city of Bellevue in Washington state.

我們在華盛頓州貝爾維尤市看到了這一點。

The city provides essential municipal services and has over 1,600 employees.

該市提供基本的市政服務，擁有 1,600 多名員工。

Initially, they chose Freshservice to modernize their service management operations.

最初，他們選擇 Freshservice 來實現服務管理營運的現代化。

And now they've added Freshdesk Omni to create tailored workflows for external service requests.

現在，他們添加了 Freshdesk Omni 來為外部服務請求建立客製化的工作流程。

Another example of a cross-sell is travel counselors, which has over 2,000 employees in 6 countries.

交叉銷售的另一個例子是旅遊顧問，該公司在 6 個國家/地區擁有 2,000 多名員工。

After seeing productivity gains with Freshdesk, they adopted Freshservice and are now actively using Freshworks AI-powered solutions across their customer and employee experiences.

在看到 Freshdesk 提高生產力後，他們採用了 Freshservice，並且現在在客戶和員工體驗中積極使用 Freshworks AI 驅動的解決方案。

Furthermore, we are seeing signs that AI is a net tailwind to our CX business.

此外，我們看到有跡象表明人工智慧是我們客戶體驗業務的淨推動力。

The vast majority of companies are looking to their trusted software partner like Freshworks to provide the latest AI capabilities.

絕大多數公司都希望像 Freshworks 這樣值得信賴的軟體合作夥伴提供最新的人工智慧功能。

This is demonstrated by the increasing customer adoption each quarter and the growing attach rates for both copilot and self-service.

每個季度客戶採用率的增加以及副駕駛和自助服務的附加率不斷增長就證明了這一點。

The vast majority of companies we hear from are not planning to build their own internal AI solutions or plugging in small, unproven vendors to deliver the latest AI capabilities.

我們了解到的絕大多數公司並不打算建立自己的內部人工智慧解決方案，也不打算聘請未經驗證的小型供應商來提供最新的人工智慧功能。

Our AI capabilities are already helped win new deals and creating more expansion opportunities.

我們的人工智慧能力已經幫助贏得新交易並創造更多擴張機會。

In fact, CX customers represent a large portion of our copilot customers and all of our Freddy self-service revenue today, including many B2C customers.

事實上，CX 客戶占我們副駕駛客戶和今天所有 Freddy 自助服務收入的很大一部分，其中包括許多 B2C 客戶。

At the same time, our total agent count continues to grow.

同時，我們的代理總數持續成長。

We are laser-focused on building our business to deliver AI innovations and accelerate monetization both through a model like Freddy self-serve bots and a per seat model with Freddy Copilot.

我們專注於建立我們的業務，透過 Freddy 自助機器人等模型和 Freddy Copilot 的單座模型來提供人工智慧創新並加速貨幣化。

We believe this will position us to be an AI winner in the future.

我們相信這將使我們成為未來人工智慧的贏家。

In line with our strategy, we combined our customer service and sales and marketing units into a single CX team across product management, engineering and marketing in Q3.

根據我們的策略，我們在第三季將客戶服務以及銷售和行銷部門合併為一個跨產品管理、工程和行銷的客戶體驗團隊。

In addition, we are focused on simplifying our core Freshdesk product experience to improve the ease of implementation and maintenance and thereby increase the time to value.

此外，我們致力於簡化我們的核心 Freshdesk 產品體驗，以提高實施和維護的便利性，從而縮短價值實現時間。

As part of our efforts, we are building on our core ticketing foundation to create a more seamless experience for support teams.

作為我們努力的一部分，我們正在建立我們的核心票務基礎，為支援團隊創造更無縫的體驗。

We also introduced new collaborator features to improve response times and CSAT scores.

我們還引入了新的協作者功能，以縮短回應時間並提高 CSAT 分數。

We're excited about all the progress we have made in executing on our strategy this past quarter.

我們對上個季度在執行策略方面取得的所有進展感到興奮。

We're confident in our ability to deliver sustained long-term growth, and we're bullish about our future.

我們對實現持續長期成長的能力充滿信心，並且對未來充滿信心。

To reaffirm our confidence in the company's strategy, we announced earlier today the Board authorization for a share repurchase program of up to $400 million.

為了重申我們對公司策略的信心，我們今天稍早宣布董事會授權實施高達 4 億美元的股票回購計畫。

We have a strong balance sheet with over $1 billion in cash.

我們擁有強大的資產負債表，擁有超過 10 億美元的現金。

We are streamlining the business, and we expect to generate substantially higher cash flows in the coming years.

我們正在精簡業務，預計未來幾年將產生大幅增加的現金流。

We view this as a great investment opportunity to buy Freshworks shares at today's levels.

我們認為這是以當今水平購買 Freshworks 股票的絕佳投資機會。

Even after the share repurchase activity, we will maintain a very healthy balance sheet with well over $600 million in cash. which gives plenty of capital to invest organically in the business or through strategic acquisitions.

即使在股票回購活動之後，我們仍將保持非常健康的資產負債表，擁有超過 6 億美元的現金。這提供了充足的資本來對業務進行有機投資或透過策略性收購進行投資。

Now let me turn it over to Tyler to cover the financial details.

現在讓我把它交給泰勒來介紹財務細節。

Thanks, Dennis, and thanks, everyone, for joining on the call and via webcast today.

謝謝丹尼斯，謝謝大家今天參加電話會議和網路直播。

We're pleased to report that we have exceeded our revenue, non-GAAP operating income and free cash flow estimates this quarter, showcasing the strong discipline in our business model as we execute on our strategic imperatives.

我們很高興地報告，本季我們的收入、非公認會計原則營業收入和自由現金流都超出了預期，這表明我們在執行策略任務時業務模式中的嚴格紀律。

Our commitment to driving growth while maintaining a vigilant focus on operational efficiency, has allowed us to further expand our non-GAAP operating margin to 13%, increasing more than 500 basis points quarter-over-quarter.

我們致力於推動成長，同時對營運效率保持警惕，這使我們能夠將非 GAAP 營運利潤率進一步擴大至 13%，環比增長超過 500 個基點。

In Q3, we grew free cash flow 82% compared to last year to $40.1 million, resulting in a free cash flow margin of 21%.

第三季度，我們的自由現金流比去年成長了 82%，達到 4,010 萬美元，自由現金流利潤率為 21%。

We are committed to making operational improvements that will position the business for profitable growth and sustained long-term success.

我們致力於改善運營，使業務實現盈利增長和持續的長期成功。

For our call today, I'll cover the Q3 2024 financial results provide background on the key metrics, provide our forward-looking commentary and expectations for Q4 and the full year 2024 and close with our preliminary outlook for 2025.

在今天的電話會議中，我將介紹2024 年第三季的財務業績，提供關鍵指標的背景，提供我們對第四季度和2024 年全年的前瞻性評論和預期，並以我們對2025 年的初步展望結束。

I'll include constant currency comparisons for certain metrics to provide a better view of our business trends.

我將包括某些指標的持續貨幣比較，以便更好地了解我們的業務趨勢。

As a reminder, most of our discussion will be focused on non-GAAP financial results, which exclude the impact of stock-based compensation expenses and other adjustments.

提醒一下，我們的大部分討論將集中在非公認會計準則財務表現上，其中不包括基於股票的薪酬費用和其他調整的影響。

Starting with the income statement.

從損益表開始。

Total revenue in Q3 increased to $186.6 million, growing 22% for both as reported and on a constant currency basis.

第三季的總營收增至 1.866 億美元，按報告和固定匯率計算均成長 22%。

Professional services revenue contributed [ $2.2 ] million in the quarter as we continue to shift services revenue to our growing partner network.

隨著我們繼續將服務收入轉移到不斷增長的合作夥伴網絡，專業服務收入在本季度貢獻了 [ 2.2 ] 萬美元。

Device42 revenue contribution was approximately $8.8 million for the quarter.

Device42 本季的營收貢獻約為 880 萬美元。

Our EX business, which includes ITSM, ESM and Device42, continues to be the main contributor of our growth.

我們的 EX 業務（包括 ITSM、ESM 和 Device42）仍然是我們成長的主要貢獻者。

As Dennis mentioned, the EX business ARR grew 40% year-over-year with approximately 10 percentage points being contributed from Device42.

正如 Dennis 所提到的，EX 業務 ARR 年成長 40%，其中 Device42 貢獻了約 10 個百分點。

Moving to margins.

轉向邊緣。

We maintained a strong non-GAAP gross margin of nearly 86%, improving from Q2 as we remain diligent and efficiently scaling the business.

我們保持了近 86% 的強勁非 GAAP 毛利率，由於我們仍然勤奮、高效地擴展業務，較第二季度有所改善。

This represents an improvement of approximately 170 basis points compared to the prior year.

與前一年相比，這意味著提高了約 170 個基點。

Our non-GAAP operating income came in at $24 million, representing a non-GAAP operating margin of approximately 13% and ahead of prior expectations.

我們的非 GAAP 營業收入為 2,400 萬美元，相當於非 GAAP 營業利潤率約為 13%，超出了先前的預期。

This outperformance was due to higher revenue growth and lower personnel-related costs as well as continuous improvements in our sales and marketing spend.

這種優異的表現是由於較高的收入成長和較低的人員相關成本以及我們的銷售和行銷支出的持續改善。

Moving to operating metrics.

轉向營運指標。

Our two key business metrics are net dollar retention and customers contributing more than $5,000 in ARR.

我們的兩個關鍵業務指標是淨美元保留率和 ARR 貢獻超過 5,000 美元的客戶。

As we observed in the first half of the year, gross expansion trends continue to be pressured in the current market environment.

正如我們上半年所觀察到的，在當前的市場環境下，毛成長趨勢持續受到壓力。

At the same time, we saw a slight improvement in our overall churn rate this quarter.

同時，我們發現本季的整體客戶流失率略有改善。

Net dollar retention for Q3 was 107%, which includes a two percentage point benefit from FX.

第三季的淨美元保留率為 107%，其中包括來自外匯的兩個百分點的收益。

Looking forward to Q4, we estimate a net dollar retention of approximately 106% as reported and 104% constant currency as we expect to see similar pressures on expansion for the rest of the year.

展望第四季度，我們預計美元淨保留率約為 106%，以固定匯率計算為 104%，因為我們預計今年剩餘時間將面臨類似的擴張壓力。

For our second key business metric of a number of customers contributing more than $5,000 in ARR, this metric grew 14% year-over-year to 22,359 customers. representing quarterly net adds of 615 customers.

對於我們的第二個關鍵業務指標，即 ARR 貢獻超過 5,000 美元的客戶數量，該指標年增 14%，達到 22,359 名客戶。代表季度淨增加 615 名客戶。

This customer cohort represents 90% of our ARR.

該客戶群占我們 ARR 的 90%。

For our larger customer cohort contributing more than $50,000 in ARR.

對於我們更大的客戶群體，貢獻了超過 50,000 美元的 ARR。

This cohort grew 33% year-over-year to 3,008 customers, representing quarterly net adds of 169.

該群體客戶數量年增 33%，達到 3,008 名，季淨增 169 名。

This cohort represents 50% of our ARR.

該群體占我們 ARR 的 50%。

For total customers, we added approximately 800 net customers in the quarter and ended with over 69,600 customers.

就客戶總數而言，本季我們增加了約 800 名淨客戶，最終客戶數量超過 69,600 名。

Now let's turn to calculated billings, balance sheet and cash items.

現在讓我們來看看計算的帳單、資產負債表和現金項目。

Our calculated billings grew approximately 19% or 18% on a constant currency basis to $196.3 million in Q3.

我們計算的第三季的帳單成長了約 19% 或 18%（以固定匯率計算），達到 1.963 億美元。

Excluding the impact of Device42.

排除Device42的影響。

Calculated billings grew approximately 13.5%.

計算得出的帳單增加了約 13.5%。

One item to note for billings.

計費時需要注意的一項。

Our calculated billings include the reported revenue plus the change in total deferred revenue in the quarter.

我們計算的帳單包括報告的收入加上本季遞延收入總額的變動。

With the increase in longer-term deals, especially from Device42, the changes in long-term deferred revenue balances are starting to have an impact on the billings calculation.

隨著長期交易（尤其是來自 Device42 的交易）的增加，長期遞延收入餘額的變化開始對帳單計算產生影響。

Since these amounts are included in other liabilities, we've added disclosures in our 10-Q filing to note the amounts.

由於這些金額包含在其他負債中，因此我們在 10-Q 報告中新增了揭露資訊以記錄這些金額。

The difference in the long-term deferred revenue balance was an increase of $1.3 million in the quarter, and this is included in our calculated billings number.

本季長期遞延收入餘額的差異增加了 130 萬美元，這已包含在我們計算的帳單數字中。

Looking ahead to Q4 2024, our initial estimate for calculated billings growth is 16% to 17%.

展望 2024 年第四季度，我們對計算出的帳單成長的初步估計為 16% 至 17%。

For the full year 2024, we expect calc billings growth to be approximately 16% to 17% and with approximately two to three percentage points coming from the impact of Device42.

對於 2024 年全年，我們預計計算帳單成長約為 16% 至 17%，其中約兩到三個百分點來自 Device42 的影響。

Moving to our cash items.

轉向我們的現金項目。

We generated $40.1 million in free cash flow for Q3, outperforming our estimates, thanks to the operational improvements we have implemented earlier this year.

由於我們今年稍早實施的營運改進，我們第三季產生了 4,010 萬美元的自由現金流，超出了我們的預期。

Given our strong cash flow performance again this quarter, we are increasing our full year 2024 estimates for adjusted free cash flow, which will exclude certain cash payments I will discuss later, to $150 million.

鑑於本季我們的現金流表現再次強勁，我們將 2024 年全年調整後自由現金流的預期提高至 1.5 億美元，其中不包括我稍後將討論的某些現金支付。

We continue to manage and offset share count dilution by net suddenly invested equity amounts by using approximately [ 12 million ] during the quarter.

我們在本季度繼續使用約[1200萬股]來管理和抵消突然淨投資的股權數額帶來的股份稀釋。

This activity is reflected in our financing activities, excluded from our free cash flow.

這項活動反映在我們的融資活動中，不包括在我們的自由現金流中。

We plan to continue net settle invested equity amounts going forward, resulting in an expected Q4 cash usage of approximately $10 million at current stock price levels.

我們計劃繼續淨結算投資股權金額，預計第四季度現金使用量將按當前股價水準計算約為 1,000 萬美元。

For the year, we expect to use approximately $16 million to net settle invested equity amounts.

今年，我們預計將使用約 1,600 萬美元來淨結算投資股權金額。

We ended the quarter with cash, cash equivalents and marketable securities of [ $1.05 ] billion.

本季結束時，我們的現金、現金等價物及有價證券為 [ 10.5 ] 億美元。

Turning to our share count for Q3, we had approximately 331 million shares outstanding on a fully diluted basis as of September 30, 2024.

談到第三季的股票數量，截至 2024 年 9 月 30 日，我們在完全稀釋的基礎上擁有約 3.31 億股已發行股票。

The fully diluted calculation consists of approximately 303 million shares outstanding, 25 million related to invested RCs and PRCs and nearly three million shares related to outstanding options.

完全稀釋計算包括約 3.03 億股已發行股票，2,500 萬股與投資的 RC 和 PRC 相關，以及近 300 萬股與已發行選擇權相關。

We have made great strides in improving our operating efficiency over the past two years as we inflected to generate non-GAAP operating income and deliver significant free cash flow.

過去兩年，我們在提高營運效率方面取得了長足進步，我們努力創造非公認會計原則營運收入並提供大量自由現金流。

We also know that we have an opportunity and need to better focus our efforts around our key strategic imperatives.

我們也知道，我們有機會並且需要更好地將我們的努力集中在我們的關鍵策略要務上。

As Dennis mentioned earlier, we shifted a number of technical resources in Q3 to further invest in the EX business part of this strategic review process.

正如丹尼斯之前提到的，我們在第三季轉移了一些技術資源，以進一步投資於該策略審查流程的 EX 業務部分。

To add more focus on our EX, AI and CX priorities, we are also realigning our global workforce, putting us on a path to have a bigger impact for our customers.

為了更加關注我們的 EX、AI 和 CX 優先事項，我們也正在重新調整我們的全球員工隊伍，使我們走上為客戶產生更大影響力的道路。

This includes a difficult decision to reduce our global headcount by approximately 13%.

其中包括將全球員工人數減少約 13% 的艱難決定。

We believe this will help us accelerate our growth, free up resources for reinvestment and simplify the way we work so that we are running Freshworks in a way that is efficient and scalable.

我們相信這將有助於我們加速成長，釋放資源用於再投資並簡化我們的工作方式，以便我們以高效且可擴展的方式運行 Freshworks。

As a result, we expect to incur a charge of approximately $11 million to $13 million in our Q4 results and these charges will be excluded from our non-GAAP operating results going forward.

因此，我們預計第四季度業績將產生約 1,100 萬至 1,300 萬美元的費用，這些費用將不包括在我們未來的非 GAAP 營運業績中。

Additionally, we expect to use approximately $12 million to $14 million in cash that we would exclude from our adjusted free cash flow amounts going forward.

此外，我們預計將使用約 1,200 萬至 1,400 萬美元的現金，我們將把這些現金從未來調整後的自由現金流量中排除。

To be clear, this onetime cash impact is not included in our full year 2024 adjusted free cash flow estimate of $150 million that I provided earlier.

需要明確的是，這一一次性現金影響並未包含在我之前提供的 2024 年全年調整後自由現金流估計值 1.5 億美元中。

Now on to our forward-looking estimates.

現在談談我們的前瞻性估計。

For the fourth quarter of 2024, we expect revenue to be in the range of $187.8 million to $190.8 million, growing 17% to 19% year-over-year.

2024 年第四季度，我們預計營收將在 1.878 億美元至 1.908 億美元之間，年增 17% 至 19%。

This includes approximately $4 million from Device42 for the quarter.

其中包括本季來自 Device42 的約 400 萬美元。

Non-GAAP income from operations to be in a range of $22 million to $24 million and non-GAAP net income per share to be in the range of $0.09 to $0.10, assuming weighted average shares outstanding of approximately 302.1 million shares.

假設加權平均已發行股數約為 3.021 億股，非 GAAP 營運收入將在 2,200 萬至 2,400 萬美元之間，非 GAAP 每股淨利潤將在 0.09 至 0.10 美元之間。

For the full year 2024, we expect revenue to be in the range of $713.6 million to $716.6 million, growing 20% year-over-year.

2024 年全年，我們預計營收將在 7.136 億美元至 7.166 億美元之間，年增 20%。

This includes an estimate of approximately $15.8 million from Device42 for the year.

其中包括今年來自 Device42 的約 1580 萬美元的估計。

Non-GAAP income from operations to be in the range of $80.8 million to $82.8 million and non-GAAP net income per share to be in the range of $0.38 to $0.39 assuming weighted average shares outstanding of approximately 305 million.

假設加權平均已發行股數約為 3.05 億股，則非 GAAP 營運收入將在 8,080 萬美元至 8,280 萬美元之間，非 GAAP 每股淨利潤將在 0.38 美元至 0.39 美元之間。

These non-GAAP estimates do not include the workforce actions we announced today and are based on FX rates as of November 1, 2024.

這些非公認會計原則估計不包括我們今天宣布的勞動力行動，並且基於截至 2024 年 11 月 1 日的匯率。

So any future currency moves are not factored in.

因此，任何未來的貨幣變動都不會被考慮在內。

Looking ahead, we're currently going through the planning process for 2025.

展望未來，我們目前正在製定 2025 年的規劃流程。

We are layering in our growth objectives and taking into consideration the market demand environment and recent changes to the business.

我們正在分層制定成長目標，並考慮市場需求環境和最近的業務變化。

Based on our current planning efforts, the preliminary estimate for full year 2025 is revenue growth in the low to mid-teens, with meaningful expansion of non-GAAP operating margin to above 16% and free cash flow margin to above 25%.

根據我們目前的規劃工作，對 2025 年全年的初步估計是收入增長在 15% 左右，非 GAAP 營業利潤率將有意義地擴大到 16% 以上，自由現金流利潤率將達到 25% 以上。

As a reminder, we will be lapping the 1-year anniversary of the Device42 acquisition in June.

提醒一下，我們將於 6 月慶祝收購 Device42 一週年。

So we'll see tougher year-over-year compares for revenue in the second half of 2025.

因此，我們將看到 2025 年下半年的收入年比情況更加嚴峻。

We're taking a prudent approach with our preliminary estimates for next year to drive durable growth while improving efficiencies.

我們對明年的初步估計採取謹慎的態度，以推動持久成長，同時提高效率。

Q4 has historically been our largest quarter and an important indicator for us.

第四季歷來是我們最大的季度，也是我們的一個重要指標。

So we'll have a more prescriptive view of 2025 on the next earnings call.

因此，我們將在下一次財報電話會議上對 2025 年有更規範的看法。

As Dennis mentioned, given our strong financial position and improving cash profile, we have the opportunity to expand our capital allocation strategy.

正如丹尼斯所提到的，鑑於我們強勁的財務狀況和不斷改善的現金狀況，我們有機會擴大我們的資本配置策略。

As such, our Board of Directors has authorized a share repurchase program of up to $400 million.

因此，我們的董事會已批准一項高達 4 億美元的股票回購計畫。

This inaugural buyback program not only underscores the confidence we have in the durable and probable growth of our business. but also reinforces our commitment to delivering long-term shareholder returns.

這項首次回購計畫不僅強調了我們對業務持久和可能成長的信心。同時也強化了我們對提供長期股東回報的承諾。

We look forward to executing and purchase thoughtfully as we advance our growth strategy.

我們期待在推動成長策略的過程中深思熟慮地執行和採購。

Let me now turn the call back to Dennis for closing comments.

現在讓我將電話轉回丹尼斯以徵求結束意見。

Thank you, Tyler.

謝謝你，泰勒。

As I reflect on our progress from Q3, results are a clear indication that our strategy is working.

當我回顧第三季度的進展時，結果清楚地表明我們的策略正在發揮作用。

I'm heartened by our product innovation, operational discipline, and strategic focus that positions us to drive durable, profitable growth.

我對我們的產品創新、營運紀律和策略重點感到鼓舞，這些使我們能夠推動持久、獲利的成長。

We are excited about the many opportunities in our business and the transformative potential of our AI solutions.

我們對業務中的眾多機會以及人工智慧解決方案的變革潛力感到興奮。

Thank you to our customers, partners, employees and shareholders for your ongoing support, and we're looking forward to a strong finish to the year.

感謝我們的客戶、合作夥伴、員工和股東一直以來的支持，我們期待今年圓滿成功。

And with that, let us take your questions.

接下來，讓我們回答您的問題。

Operator?

操作員？

(Operator Instructions) Scott Berg, Needham & Company.

（操作員說明）Scott Berg，Needham & Company。

It's Rob.

是羅布。

Great to hear some of the competitive wins on the mid-market enterprise.

很高興聽到中端市場企業的一些競爭勝利。

Can you just touch on maybe some of the trends you saw in the SMB sector and how that business fared versus your initial expectations?

您能否談談您在中小企業領域看到的一些趨勢以及該業務的表現與您最初的預期相比如何？

Yes.

是的。

So thanks for the question.

謝謝你的提問。

We saw some real positive signs in Q3 around SMB, but that really is a continuation of some trends we've seen in prior quarters.

我們在第三季度看到了圍繞中小企業的一些真正積極的跡象，但這確實是我們在前幾個季度看到的一些趨勢的延續。

If you go back three quarters ago, we had net adds of around 400 customers last quarter or two quarters ago, it was 600 and this last quarter was 800.

如果你回顧三個季度前，上個季度或兩個季度前我們淨增加了約 400 名客戶，現在是 600 名，上一季是 800 名。

And that trend is the result of some focused product investments we've been making in ensuring that customers get to value faster.

這一趨勢是我們為確保客戶更快獲得價值而進行的一些重點產品投資的結果。

And then some efforts we've made on the sale side and -- side to help those customers see the value in our products, which has helped churn in particular.

然後，我們在銷售方面做出了一些努力，幫助這些客戶看到我們產品的價值，這尤其有助於客戶流失。

We've also had some positive momentum in converting customers from free plans into paid plans. they're seeing value in AI, they're seeing value in the conversational solutions that we have on the CX side in particular.

我們在將客戶從免費計劃轉變為付費計劃方面也取得了一些積極的勢頭。他們看到了人工智慧的價值，他們看到了我們在客戶體驗方面的對話解決方案的價值。

So that SMB business is starting to come around.

因此，中小企業業務開始復甦。

We've been talking about it for a while.

我們已經討論了一段時間了。

And I think we saw some real positive signs this past quarter.

我認為上個季度我們看到了一些真正的積極跡象。

We're excited to see how that plays out in Q4 and into next year.

我們很高興看到第四季度和明年的情況如何。

Got it.

知道了。

Helpful color.

有用的顏色。

And then on the reduction in force, any areas that were, I guess, impacted more than others?

然後，在減少兵力方面，我認為哪些領域受到的影響比其他領域更大？

Or was it pretty broad-based?

還是它的基礎相當廣泛？

Yes, it was pretty broad based.

是的，它的基礎相當廣泛。

I would say, at the margin.

我會說，在邊緣。

We made some reductions in sales and marketing that are more focused on putting more of our effort around fewer markets, bigger opportunities.

我們對銷售和行銷進行了一些削減，更專注於將更多精力集中在更少的市場、更大的機會上。

But generally, it was fairly broad-based.

但總的來說，它的基礎相當廣泛。

And really what we were doing is focusing our teams on the things that matter, the three big areas that I've been talking about.

事實上，我們所做的就是讓我們的團隊專注於重要的事情，即我一直在談論的三個主要領域。

EX and really driving that business up into the mid-market, AI, AI capability across all of our products and getting that CX business back to more robust growth.

EX 並真正推動該業務進入中端市場，人工智慧，我們所有產品的人工智慧功能，並使 CX 業務恢復更強勁的成長。

Got it.

知道了。

Helpful.

有幫助。

Congrats on the quarter.

恭喜本季。

Thanks for taking my questions.

感謝您回答我的問題。

Pinjalim Bora, JPMorgan.

平賈林·博拉，摩根大通。

Congrats on the quarter.

恭喜本季。

I want to ask you, I think you heard CX business kind of improved a little bit from, I think, 7% to 10% or something like that in ARR.

我想問你，我想你聽說 CX 業務在 ARR 中從 7% 到 10% 或類似的情況有所改善。

What is driving that?

是什麼推動了這一點？

Are you seeing -- has seen growth kind of troughed at this point?

您是否看到－此時成長是否已經觸底？

Is that evolved -- is that kind of a pull statement at this point to make?

這是否是進化而來的──此時此刻是否需要做出這樣的拉動聲明？

And what are you seeing in general and see growth in CX and ITSM?

您對 CX 和 ITSM 的整體看法和成長有何看法？

Yes.

是的。

So a couple of things.

有幾件事。

So first of all, yes, the CX business has seen an increase in growth in Q3.

首先，是的，CX 業務在第三季出現了成長。

And that's really the continuation of this trend that's persisted for a couple of quarters, where we started to see net adds pick up over the last three quarters.

這確實是這種趨勢的延續，這種趨勢已經持續了幾個季度，我們開始看到過去三個季度的淨增量有所回升。

We've seen churn come down.

我們已經看到客戶流失率下降。

As I mentioned, churn for our CX business was at an all-time low in Q3.

正如我所提到的，我們的客戶體驗業務的流失率在第三季處於歷史最低水準。

That's the result of focused product investments that we made and some improvements we've made in how we support and service customers.

這是我們進行集中產品投資以及我們在支援和服務客戶方面所做的一些改進的結果。

In terms of seat additions, we're seeing seat growth continue across the business.

就席位增加而言，我們看到整個業務的席位持續成長。

But in the CX in particular.

但在 CX 領域尤其如此。

So we're pretty optimistic about where that business is heading.

因此，我們對該業務的發展方向非常樂觀。

We're doing better operationally at driving growth from the business.

我們在推動業務成長方面做得更好。

I mentioned the free to paid conversion being higher this past quarter, as a result of some real focused efforts.

我提到上個季度免費到付費的轉換率更高，這是一些真正專注的結果。

And as the SMB comes back, we've talked about this for some time, our CX business skews SMBs were more affected by higher interest rates, and we saw that in the form of lower expansion rates.

隨著中小型企業的回歸，我們已經討論這一點有一段時間了，我們的客戶體驗業務傾斜中小型企業更容易受到利率上升的影響，我們以較低的擴張率的形式看到了這一點。

But if SMBs come back, we're very well positioned to see that reflected in that CX business.

但如果中小型企業捲土重來，我們就能很好地看到這一點在客戶體驗業務中得到體現。

Yes.

是的。

Understood.

明白了。

One follow-up for Tyler.

泰勒的後續行動之一。

Maybe talk about the assumptions around the 2025 number around ITSM CX.

也許可以談談圍繞 ITSM CX 的 2025 年數字的假設。

Are you kind of assuming to grow about 10% for next year within the different components?

您是否假設明年不同組成部分的成長率約為 10%？

And are you taking in anything from AI at the moment?

您目前正在從人工智慧中獲取任何資訊嗎？

Pinjalim, so we wanted to put some numbers out there for 2025.

Pinjalim，所以我們想提供一些 2025 年的數字。

Maybe we saw what consensus is that we're kind of in the middle of our planning efforts right now for next year.

也許我們看到了共識，即我們現在正處於明年的規劃工作之中。

Also, Q4, as you know, is a really good quarter for us.

此外，如您所知，第四季度對我們來說是一個非常好的季度。

So there's still a little bit of unknown there.

所以還有一點未知。

What we do know is that we have a lot of control on the bottom line, and we're very optimistic about our capability to kind of achieve and overachieve on the numbers, specifically the greater than 25% free cash flow margin.

我們所知道的是，我們對利潤有很大的控制力，我們對實現和超額實現數字的能力非常樂觀，特別是超過 25% 的自由現金流利潤率。

We haven't broken out.

我們還沒爆發。

So we just put out a range for revenue based on what we're preliminarily seeing right now as we go through the planning process.

因此，我們只是根據我們在規劃過程中初步看到的情況制定了收入範圍。

At the end of the year, we will break that out more and obviously provide a lot more color, and we haven't provided any details on the product breakdowns.

到今年年底，我們將對此進行更多細分，顯然會提供更多顏色，但我們尚未提供有關產品細分的任何詳細資訊。

Brent Thill, Jefferies.

布倫特·希爾，杰弗里斯。

Just a the improving execution.

只是執行力的提升。

I mean when you think about how you kind of split between macro getting better, your own internal team, executing better in the field.

我的意思是，當你考慮如何在宏觀變得更好、你自己的內部團隊和在現場執行得更好之間進行劃分時。

How would you kind of characterize the split?

您如何形容這次分裂？

And is there improvement across both?

兩者都有改善嗎？

Is there more improvement on execution, no macro improvement?

是否有更多的執行力提升，而沒有宏觀的提升？

How would you characterize that mix?

您如何描述這種組合的特徵？

Yes.

是的。

Thanks, Brent.

謝謝，布倫特。

So first of all, speaking about EX.

首先，談談EX。

So on the EX side, we've continued to have success in moving up market.

因此，在 EX 方面，我們繼續在高端市場取得成功。

And you see that in the 40% headline growth, 30% organic growth for that business.

您可以看到，在 40% 的整體成長中，該業務的有機成長為 30%。

And that's because the solution that we have in terms of fast time to value, low TCO, enterprise-grade product, that really is resonating in particular with customers that have, say, 5,000 to 20,000 employees.

這是因為我們擁有的解決方案在快速實現價值、低總體擁有成本、企業級產品方面確實引起了共鳴，尤其是擁有 5,000 到 20,000 名員工的客戶。

That's where we're really gaining a lot of traction, and that's regardless of what the macro is doing.

這就是我們真正獲得很大吸引力的地方，而且無論宏觀經濟正在做什麼。

We're also seeing traction in AI.

我們也看到了人工智慧的吸引力。

And again, I don't think this has much to do with macro, but we're seeing widespread adoption of copilot.

再說一次，我認為這與宏觀沒有太大關係，但我們看到副駕駛被廣泛採用。

It's now half of all of our large deals have a copilot element to them right out of the box.

現在，我們一半的大型交易都配備了開箱即用的副駕駛元素。

And we have a lot of upsell that has copilot.

我們有很多副駕駛的追加銷售。

And then on CX, we've been executing against this playbook to improve that product experience, improve the first 30 days for some time.

然後在 CX 上，我們一直在根據這個劇本執行，以改善產品體驗，改善前 30 天的一段時間。

We've started to see signs of improvement in the prior quarter.

我們已經開始看到上一季有所改善的跡象。

This past quarter, we made a big emphasis on driving better conversions of free users that are really just dabbling in the product into paid deployments, and that's worked out quite well.

上個季度，我們非常重視推動免費用戶更好地轉化，這些用戶實際上只是涉足產品到付費部署，而且效果很好。

So again, it's hard to separate what's macro and what's we've done a lot of work to drive the business.

再說一遍，很難區分什麼是宏觀的，什麼是我們已經做了大量工作來推動業務的。

And I have to say a lot of that credit goes to the teams here.

我不得不說，這很大程度上歸功於這裡的團隊。

Okay.

好的。

And Tyler, good to see mid-teen margins.

泰勒，很高興看到青少年的利潤。

I would assume that's more of a pit stop and kind of a long-term playbook has more in it over time?

我認為這更像是一個進站，隨著時間的推移，長期的劇本會包含更多內容？

How are you balancing kind of that framework growth versus profitability?

您如何平衡該框架的成長與獲利能力？

Yes.

是的。

I mean we're clearly -- so I think you're talking about kind of what we said for next year, which is kind of mid-teens non-GAAP operating margins and income and then the free cash flow greater than 25%.

我的意思是，我們很清楚 - 所以我認為你正在談論我們所說的明年，即非公認會計準則營業利潤和收入，然後是大於 25% 的自由現金流。

Look, we're definitely focused on being efficient and producing cash and bringing profit to the bottom line.

看，我們絕對專注於提高效率、創造現金並帶來利潤。

But that being said, we're definitely also very focused on investing in growth, and it's part of kind of some of the things we announced but really specific to the strategy that we outlined, right?

但話雖這麼說，我們肯定也非常注重成長投資，這是我們宣布的一些事情的一部分，但確實針對我們概述的策略，對吧？

And we're really focused on kind of doubling down on that strategy and definitely there's some investing growth.

我們確實專注於加倍實施該策略，並且肯定會有一些投資成長。

Brent Bracelin, Piper Sandler.

布倫特·布萊斯林，派珀·桑德勒。

Really appreciate the preliminary look into next year.

非常感謝對明年的初步展望。

And obviously, the focus on improving margins here with the global restructuring.

顯然，全球重組的重點是提高利潤率。

Dennis, I just wanted to frame in light of that, in light of the strong balance sheet, in light of the appetite to double down in really the mid-market enterprise.

丹尼斯，我只是想考慮到這一點，考慮到強勁的資產負債表，考慮到中端市場企業加倍投資的胃口。

Can you talk about like opportunity for smaller M&A.?

您能談談小型併購的類似機會嗎？

How fragmented is the market?

市場的分散程度如何？

How broad is the product today in that Freshservice area?

目前Freshservice 領域的產品範圍有多大？

And how much more room can you fill out the portfolio there to accelerate growth potentially?

您還能為投資組合提供多少空間來加速潛在的成長？

Yes.

是的。

So thanks, Brent, for the question.

謝謝布倫特提出的問題。

So look, EX is a fantastic market.

所以看，EX 是一個很棒的市場。

The market is growing double-digit rates.

市場正在以兩位數的速度成長。

The competitive landscape is very clear.

競爭格局非常清晰。

You got ServiceNow, who cares about the biggest companies in the world.

ServiceNow 關心世界上最大的公司。

We do run into Atlassian.

我們確實遇到了 Atlassian。

There's a number of small players and some incumbents, but nobody is really focused on that mid-market and lower end of enterprise where sophisticated IT departments that need a solution.

有許多小型參與者和一些現有企業，但沒有人真正關注中端市場和企業的低端市場，那裡的複雜 IT 部門需要解決方案。

They want to automate their IT operations, ITAM, ESM, and they need an enterprise-grade platform.

他們希望實現 IT 營運、ITAM、ESM 自動化，並且需要一個企業級平台。

That's what we provide.

這就是我們提供的。

There's a lot of growth in that market.

該市場有很大的成長。

So just ESM alone, right?

所以只有ESM，對吧？

That's where we're investing some of the resources that we reallocated into the EX team to going deeper in ESM, in particular, in HR workflows, where we have a lot of customers asking us, help us out with onboarding, help us out with offboarding.

這就是我們將重新分配給 EX 團隊的一些資源投入的地方，以深入研究 ESM，特別是在人力資源工作流程中，我們有很多客戶向我們詢問，幫助我們解決入職問題，幫助我們解決下班。

Managed service providers, another big area of opportunity, we have over 1,000 MSPs on our platform today, and our product doesn't have the kind of capabilities that they really want to manage multiple customers.

託管服務提供者是另一個龐大的機會領域，目前我們的平台上有超過 1,000 個 MSP，而我們的產品不具備他們真正想要管理多個客戶的功能。

So we're building that, and that should help park more growth for our MSP biz.

因此，我們正在建立這一點，這應該有助於為我們的 MSP 業務帶來更多成長。

Device42 and ITAM is a huge opportunity for us.

Device42 和 ITAM 對我們來說是一個巨大的機會。

And beyond ITAM, we see in ops and generally, AI ops potentially observability.

除了 ITAM 之外，我們在維運中看到了 AI 維運潛在的可觀察性。

All these are spaces that are open to us.

所有這些都是向我們開放的空間。

We have a lot on our plate right now to execute against the areas that I identified.

我們現在有很多工作要做，需要針對我確定的領域執行任務。

But we're pretty optimistic about that.

但我們對此非常樂觀。

Of course, we are always on the lookout for acquisitions that we can tuck in and scale.

當然，我們一直在尋找可以進行整合和擴大規模的收購。

We'll tend to look for areas where we have road map holes or capability gaps and we want to scale up faster.

我們會傾向於尋找路線圖存在漏洞或能力差距的領域，並且我們希望更快地擴大規模。

So that's another tool in our toolkit as we continue to scale the business.

因此，隨著我們繼續擴大業務規模，這是我們工具箱中的另一個工具。

And generally, we're committed to delivering long-term value for our shareholders.

一般來說，我們致力於為股東提供長期價值。

So we're going to be smart about the investments that we made.

因此，我們將明智地進行投資。

Right now, Device42 is on everybody's minds here, how do we scale that?

現在，Device42 是這裡每個人的關注點，我們要如何擴展它？

And we've seen real good progress in the first couple of months of having D42 under the same roof.

在 D42 在同一屋簷下的最初幾個月裡，我們已經看到了真正的良好進展。

Elizabeth Porter, Morgan Stanley.

伊莉莎白‧波特，摩根士丹利。

I wanted to understand the fiscal '25 guidance a little bit more.

我想多了解 25 財年的指導方針。

It sounds like EX is still strong and CX is getting better and you also have the opportunity to drive better monetization with Freddy.

聽起來 EX 仍然很強大，CX 正在變得更好，您還有機會與 Freddy 一起推動更好的盈利。

Just given organic billings right now, we're already in that mid-teens range.

就目前的有機帳單而言，我們已經處於十幾歲的範圍內。

Are there any areas that you are kind of incrementally cautious on?

您對哪些領域越來越謹慎？

Or help us think about some of the puts and takes?

或幫助我們思考一些投入和支出？

Yes.

是的。

Elizabeth, this is Tyler.

伊莉莎白，這是泰勒。

So again, we're right in the middle of our planning process, right, for next year, and we're kind of going through everything.

再說一次，我們正處於明年的規劃過程中，對吧，我們正在經歷一切。

As a reminder, we're going to lap the annual anniversary of the Device42 acquisition.

提醒一下，我們即將迎來收購 Device42 的周年紀念。

So the back half of the year, the comparables do get more difficult.

因此，今年下半年，可比較性確實變得更加困難。

And so we've taken that into account.

所以我們已經考慮到了這一點。

We've also, I think, taken kind of puts into account in terms of how we're looking at the year.

我認為，我們也考慮瞭如何看待今年的情況。

And right now, yes, we're saying that low to mid-teens.

現在，是的，我們說的是十幾歲到十幾歲左右。

Now as Dennis just mentioned, there's a whole bunch of things that we are, say, accelerating on road map on the EX side in particular.

現在，正如丹尼斯剛才提到的，我們正在加速推進很多事情，特別是 EX 方面的路線圖。

There's also a whole bunch of AI investments that we're going to continue to make.

我們也將繼續進行大量人工智慧投資。

And as we see dates firm up from when these are coming out and as we can see expectations of what this might mean from a business model impact perspective, we'll build those in.

當我們看到這些發布的日期已經確定時，並且我們可以從商業模式影響的角度看到這可能意味著什麼，我們將把它們納入其中。

We'll provide a lot more color at the end of the year with our Q4 earnings, but we wanted to put that out there because that's kind of our best view right now.

我們將在年底透過第四季度的收益提供更多的信息，但我們想把它放在那裡，因為這是我們目前最好的觀點。

Yes, certainly appreciate the look.

是的，當然欣賞它的外觀。

And then just as a follow-up, I wanted to dig in on Freddy.

然後作為後續行動，我想深入了解弗雷迪。

As I know it's early, but the uplift that you're seeing to some average deal sizes when customers do start to adopt Freddy.

據我所知，現在還為時過早，但當客戶開始採用 Freddy 時，您會看到一些平均交易規模有所提升。

And is it typically rolled out to a smaller segment of users and then kind of expand from the retail on how that motion goes?

它通常是否會向較小的用戶群體推出，然後根據該行動的進展從零售領域擴大？

Yes, Elizabeth, it's Dennis.

是的，伊莉莎白，是丹尼斯。

So Freddy is rolled out to all customers.

因此 Freddy 已向所有客戶推出。

In fact, we have substantial adoption among SMBs.

事實上，我們在中小企業中得到了大量採用。

SMBs in many ways, can benefit the most because they're the ones that have in some cases, B2C businesses and they need to handle lots of consumer questions.

中小型企業在許多方面都可以受益最多，因為在某些情況下，他們擁有 B2C 業務，並且需要處理大量消費者問題。

They don't have a lot of people to staff.

他們沒有很多人手。

So it really has been across all segments for us.

所以它確實涉及我們的所有細分市場。

As I mentioned earlier, our attach rates are going up.

正如我之前提到的，我們的附加率正在上升。

So our attach rates this past quarter on larger deals, that's for us a $30,000 and up deal, we're north of 50%, and that's improved from last quarter, that's for copilot.

因此，上個季度我們對較大交易的附加率，對於我們來說，30,000 美元及以上的交易，我們超過了 50%，這比上個季度有所改善，這是針對副駕駛的。

So we're seeing that copilot product getting a lot of traction.

所以我們看到副駕駛產品受到了極大的關注。

Customers are seeing up to 30% improvement in some cases more in terms of speed of resolution, and that allows them to free up their agents to do other things, allows them to scale their business faster.

在某些情況下，客戶發現解決速度提高了 30%，這使他們能夠將代理人員解放出來做其他事情，從而更快地擴展業務。

On the self-service side, we've seen our customer count double since the beginning of the year of paid customers for Freddy self-service.

在自助服務方面，自年初以來，Freddy 自助服務的付費客戶數量翻了一番。

And we just launched Freddy AI agent, which is really designed to be super easy out of the box, get up and running with AI within 30 minutes with an agent that can answer any question that pertains to your products.

我們剛剛推出了 Freddy AI 代理，它的設計非常簡單，開箱即用，可在 30 分鐘內啟動並運行 AI，代理可以回答與您的產品相關的任何問題。

Anything that's in a FAQ or in a product manual, you can train the AI agent on.

常見問題或產品手冊中的任何內容都可以用來訓練人工智慧代理。

And then your customers can ask questions directly to the agent and get answers that do not require a human.

然後，您的客戶可以直接向客服人員提問並獲得無需人工幹預的答案。

So as a reminder, we've been monetizing copilot just since February, and our self-service product today, while it's quite powerful, it does require a level of programming to manage.

提醒一下，我們從二月開始透過 copilot 貨幣化，而我們今天的自助服務產品雖然非常強大，但確實需要一定程度的程式設計來管理。

So with the introduction of AI agent, that opens up a new market segment for us, a customer that wants to do more faster in an easier way.

因此，隨著人工智慧代理的引入，這為我們這個希望以更簡單的方式更快完成更多工作的客戶開闢了一個新的細分市場。

So we're pretty optimistic about AI and how it's affecting both our CX and our EX business.

因此，我們對人工智慧及其對我們的 CX 和 EX 業務的影響非常樂觀。

At this point, it's becoming a core to all of our upsells and all of our new deals.

目前，它正在成為我們所有追加銷售和所有新交易的核心。

Ryan MacWilliams, Barclays.

瑞安·麥克威廉斯，巴克萊銀行。

This is Damon Kogan on for Ryan Williams.

我是達蒙·科根 (Damon Kogan)，替補瑞恩·威廉斯 (Ryan Williams)。

Just curious how linearity looks throughout the quarter?

只是好奇整個季度的線性度如何？

And if you left the quarter with better visibility on 4Q and fiscal year '25?

如果您在本季結束時對第 4 季和 25 財年有更好的了解？

Thank you for the question.

謝謝你的提問。

This is Tyler.

這是泰勒。

We -- so we have two businesses, right, from a go-to-market perspective.

從進入市場的角度來看，我們有兩項業務，對吧。

We have this inbound business that feeds the SMB, which linearity for the SMB actually in Q4 is pretty even, especially -- and we've talked about this in the past that SMB actually slows down a little bit in the holidays and season because they tend to act more just more like an individual.

我們的入站業務為中小型企業提供服務，中小型企業在第四季度的線性度實際上相當均勻，尤其是——我們過去曾討論過，中小型企業實際上在假期和旺季會放緩一點，因為它們傾向於表現得更像一個個體。

That being said, over time, we've shifted more and more to our field business as driving the majority of bookings and revenue for us.

話雖這麼說，隨著時間的推移，我們越來越多地轉向現場業務，因為這為我們帶來了大部分預訂和收入。

And that business looks much more like an enterprise sales motion.

這項業務看起來更像是企業銷售活動。

So the monthly linearity of that tends to be back-end loaded.

因此，每月的線性度往往是後端加載的。

And we have visibility to the extent that deals are out there, but that does tend to be back-end loaded.

我們可以看到交易的情況，但這往往是後端加載的。

There are larger deals and have been increasing in size over the last couple of years, and we've been talking about that.

在過去的幾年裡，有一些規模更大的交易，而且規模不斷擴大，我們一直在談論這一點。

So it's a mix, but definitely has become more back-end loaded.

所以它是一個混合體，但肯定已經變得更加後端加載。

And then is an improvement in macro environment needed for Freshworks to get back to the 110-ish NRR?

那麼Freshworks是否需要改善宏觀環境才能回到110左右的NRR？

Or are there other levers that you can support this metric near term?

或者是否有其他槓桿可以在短期內支持該指標？

So first of all, I would just say an improvement in macro is not required for us to continue to drive the growth that we're seeing.

首先，我想說的是，我們不需要宏觀經濟的改善來繼續推動我們所看到的成長。

And I don't think that the improvement, it's not entirely clear, but I think we've done a lot to drive growth, in particular in that CX business and that EX business as well.

我認為這種改進並不完全清楚，但我認為我們已經做了很多工作來推動成長，特別是在 CX 業務和 EX 業務方面。

So I think we've got a lot of growth levers ahead of us regardless of what the macro kind of throws at us. and again, are pretty excited about going into '25 with where we are and the momentum that we're building in the last half of this year.

因此，我認為，無論宏觀情況如何，我們面前都有很多成長槓桿。再說一次，我們對進入 25 年感到非常興奮，我們的現狀以及我們在今年下半年建立的勢頭。

Tyler, anything on the NDR?

泰勒，NDR 有消息嗎？

No.

不。

For net dollar retention, as Dennis just mentioned, the work we've been doing, we're really pleased with how churn has been going.

對於淨美元保留，正如丹尼斯剛才提到的，我們一直在做的工作，我們對客戶流失感到非常滿意。

And Dennis mentioned CX an all-time best turn rate in Q3, and we're just going to continue those efforts.

丹尼斯提到 CX 在第三季度創下了歷史最佳週轉率，我們將繼續這些努力。

From an expansion motion, we've been talking about the reduction of our expansion rate for two years now, and that really is driven by agent addition expansion.

從擴張動議來看，我們兩年來一直在談論擴張率的降低，這實際上是由代理擴張推動的。

Now our agent counts are going up, and we're clearly expanding with customers still, but we've been very, very focused on how can we expand with customers outside of agent addition.

現在我們的代理商數量正在增加，而且我們顯然仍在擴大客戶規模，但我們一直非常非常關注如何在代理商增加之外擴大客戶規模。

That's a lot of the AI products we've been talking about.

這就是我們一直在談論的許多人工智慧產品。

It's a lot of addition strategy as well as things like Device42 and ESM.

這是很多附加策略以及諸如 Device42 和 ESM 之類的東西。

So these are all things that we are in control of ourselves, and we are actively working on.

所以這些都是我們可以掌控的事情，我們正在積極努力。

Now clearly, interest rates, in particular, impact SMBs and if that starts to turn, that we think that would be a benefit for us and a tailwind.

現在顯然，利率尤其會影響中小企業，如果這種情況開始轉變，我們認為這將是我們的利益和順風。

We just can't count on it.

我們只是不能指望它。

DJ Hynes, Canaccord Genuity.

DJ 海因斯，Canaccord Genuity。

Dennis, I was hoping maybe you could double click a little bit more on Device42.

丹尼斯，我希望您可以在 Device42 上再雙擊一下。

I mean, obviously, we have the headline numbers.

我的意思是，顯然我們有頭條數據。

It looks like you're taking a little bit more of a conservative cut at Q4, which I think makes sense at this point.

看來您在第四季度採取了更保守的削減措施，我認為目前這是有道理的。

But just can you speak to kind of the demand you're seeing for asset management, integration of the employee base, kind of how you're thinking about the lift that we'll take to rewrite that product?

但您能否談談您所看到的對資產管理、員工基礎整合的需求，以及您如何考慮我們重寫該產品所需的提升？

Color along those lines would be helpful.

沿著這些線的顏色會很有幫助。

Yes, sure.

是的，當然。

So let me just break it into the go-to-market imperatives and the product imperatives.

因此，讓我將其分為進入市場的必要條件和產品的必要條件。

On the product imperatives, very clear.

關於產品的要求，非常明確。

The first deliverable that you'll see in Q1 is a much improved integration between Freshservice and Device42 that our customers have been asking for that allow bidirectional sync of information in a very seamless way.

您將在第一季看到的第一個交付成果是 Freshservice 和 Device42 之間的整合得到了顯著改進，我們的客戶一直要求這種整合能夠以非常無縫的方式實現資訊的雙向同步。

The second milestone will be towards the latter part of next year, which is a cloud-based version of Device42 that we can sell seamlessly alongside Freshservice.

第二個里程碑將在明年下半年，這是基於雲端的 Device42 版本，我們可以與 Freshservice 一起無縫銷售。

So we're on track for both of those.

所以我們正朝著這兩個目標邁進。

Lots of work is going on to ensure that they're successful and excited to start with the launch of the new integration.

正在進行大量工作以確保他們成功並興奮地開始新整合的啟動。

On the go-to-market side, the priority has been building pipeline in cross-selling Device42 into our existing thousands of IT customers and bringing them into deals where we have larger accounts that are looking for a sophisticated IT asset management solution.

在進入市場方面，首要任務是建立向我們現有的數千名 IT 客戶交叉銷售 Device42 的管道，並將他們帶入我們擁有較大客戶、正在尋求複雜 IT 資產管理解決方案的交易中。

So a lot of Q3 was spent seeding the pipeline, getting D42 involved in deals, getting them into the sales cycle.

因此，第三季的大量時間都花在了培育管道上，讓 D42 參與交易，讓它們進入銷售週期。

Now we're in the process of starting to close down some of those deals.

現在我們正在開始完成其中一些交易。

Some of them are going to last into Q1 and then making Device42 just a core part of our selling motion.

其中一些將持續到第一季度，然後使 Device42 成為我們銷售行動的核心部分。

So we're pretty excited about where that stands.

所以我們對目前的情況感到非常興奮。

Device 42s pipeline.

設備42s管道。

Raj Jalan, who is the CEO of Device42 who never been this big because they just got an influx of demand from our existing customers.

Raj Jalan 是 Device42 的首席執行官，他們的規模從來沒有這麼大，因為他們剛剛從我們現有的客戶那裡得到了大量的需求。

So I think it's a real winner for us over time.

所以我認為隨著時間的推移，這對我們來說是一個真正的贏家。

It's still really early, but we're excited about it for sure.

現在還很早，但我們確實對此感到興奮。

Excellent.

出色的。

And then I have a follow-up on your comments around agent seat count on the CX side of the business.

然後我會跟進您對 CX 業務方面代理席位數量的評論。

It's good to hear that they continue to grow.

很高興聽到他們繼續成長。

I'm curious specifically about what that looks like for customers using Freddy self-service.

我特別好奇使用 Freddy 自助服務的客戶會是什麼樣子。

I know you had 1,100 of them.

我知道你有 1,100 個。

are seat counts there growing as well?

那裡的座位數也在增加嗎？

Is it flat?

是平的嗎？

Are they down?

他們倒下了嗎？

Like when they incorporate self-service, what happens to seat counts?

就像當他們採用自助服務時，座位數會發生什麼變化？

Overall, seat counts are going up.

總體而言，座位數正在增加。

So I don't have a breakout in terms of different customer cohorts, but overall, they're going up.

因此，我在不同的客戶群方面沒有出現突破，但總體而言，他們正在上升。

And I think that, that just customers are going to have a mix of AI and human agents.

我認為，只有客戶才會擁有人工智慧和人工代理的混合體。

They're going to find value in freeing up the time of the human agent from the Mormon den task, but that's what we're seeing so far.

他們會發現將人類特工從摩門教巢穴任務中解放出來的時間是有價值的，但這就是我們迄今為止所看到的。

We're seeing continued growth of seats while customers are taking on AI as well across the base.

我們看到座位數量持續成長，而整個基地的客戶也開始採用人工智慧。

Patrick Walravens, Citizens JMP.

Patrick Walravens，公民 JMP。

Let me add my congratulations.

讓我補充一下我的祝賀。

Dennis, can you just talk a little bit more about your conversations with customers on the AI front.

丹尼斯，您能多談談您與客戶在人工智慧方面的對話嗎？

Like what is the problem they're looking to solve a benefit that they're hoping to capture the most often?

例如他們希望解決的問題是什麼，以及他們最希望獲得的好處？

Is it just self-service for users?

只是為用戶提供自助服務嗎？

Or is it something broader?

還是更廣泛的東西？

And then when they're actually looking at implementing it, what is the biggest challenge that they have in terms of actually implementing these capabilities?

然後，當他們真正考慮實施它時，他們在實際實施這些功能方面面臨的最大挑戰是什麼？

Yes.

是的。

Thanks, Pat.

謝謝，帕特。

So our customers are looking to do a couple of things.

因此，我們的客戶希望做些事情。

The first is they want to arm their agents with the best information, the best tools available to make them the most productive.

首先，他們希望為代理商提供最好的資訊和最好的工具，使他們發揮最大的生產力。

And in some cases, that's improving the quality of answer that they can provide by suggesting an answer because the AI has already been trained on things like product manuals and FAQs, the agent doesn't have to do laborious research before answering a question that's coming in from a customer, so they can answer more accurately in a more timely fashion.

在某些情況下，這可以透過建議答案來提高答案的質量，因為人工智慧已經接受過產品手冊和常見問題解答等方面的培訓，代理商無需在回答即將出現的問題之前進行艱苦的研究以便他們能夠更及時、更準確地回答。

The customer at the end of the day, is more satisfied because the answer is more accurate.

最終，客戶會更加滿意，因為答案更加準確。

And the agent is more productive.

而且代理人的工作效率更高。

They can answer faster, free their time up, either answer more questions or do other work.

他們可以更快回答，騰出時間，回答更多問題或做其他工作。

So that's one area.

這就是一個領域。

And that's where copilot has really taken off and become really clear in the marketplace as a solution that improves agent productivity 30% or more.

這就是 copilot 真正起飛的地方，並在市場上變得非常清晰，作為一種可以將座席工作效率提高 30% 或更多的解決方案。

And we've seen that time and time again, across customers.

我們在客戶身上一次又一次地看到了這一點。

On the L-1 support task, they're looking to deflect questions coming in that our routine rote -- this is the first test that they're looking for routine rote and free their agents from that kind of mundane work, frankly.

在L-1 支援任務中，他們希望轉移我們的例行死記硬背中出現的問題——坦率地說，這是他們尋找例行死記硬背的第一個測試，並將他們的特工從那種平凡的工作中解放出來。

And so the first thing they're looking for is how can I create an agent that is fully trained on my information, my FAQs, my product manuals and answer questions right out of the box from customers.

因此，他們首先要尋找的是如何創建一個代理，該代理接受過關於我的信息、常見問題解答、產品手冊的全面培訓，並立即回答客戶的問題。

That's what Freddy AI agent does, and that's why we're getting a lot of positive feedback on that.

這就是 Freddy AI 代理所做的事情，這也是我們收到大量正面回饋的原因。

And again, it's a quest to both improve the productivity of their existing staff, improve the experience of their customers.

再次強調，這是一個既要提高現有員工的生產力，又要改善顧客體驗的追求。

So we're seeing success on both fronts.

所以我們在兩個方面都看到了成功。

And I think net-net, what they're not doing is they're not saying, "Hey, I'm going to build it myself."

我認為網絡，他們沒有做的是他們沒有說，“嘿，我要自己建造它。”

And they're not saying, "Hey, I'm going to go find another point solution." they're looking to us in the first instance to solve that problem for them.

他們不會說：“嘿，我要去尋找另一個點解決方案。”他們首先希望我們為他們解決這個問題。

If they're looking for a new customer support tool, that's the first question they're asking.

如果他們正在尋找新的客戶支援工具，這是他們要問的第一個問題。

Tell me about your AI story.

告訴我你的人工智慧故事。

On the EX side, it's the same thing.

在 EX 方面，也是一樣的。

They're looking to automate the employee experience have virtual agents handle more direct questions that employees are asking of IT, free those valuable IT agents up to do something else.

他們希望實現員工體驗的自動化，讓虛擬代理處理員工向 IT 提出的更直接的問題，從而將這些有價值的 IT 代理騰出來做其他事情。

And likewise, they're looking to empower those AI agents or those human agents that they have with tools that make them more productive.

同樣，他們希望透過工具來增強人工智慧代理或人類代理的能力，提高他們的工作效率。

So that's a little bit of a flavor of what I hear.

這就是我所聽到的一點味道。

And I think we're really well positioned to solve those problems.

我認為我們確實有能力解決這些問題。

Michael Funk, Bank of America.

麥可‧芬克，美國銀行。

Yes.

是的。

Keep with the AI theme, can you share what you're seeing with the change in spend or contract value when customers adopt AI?

與人工智慧主題保持一致，您能否分享一下當客戶採用人工智慧時您所看到的支出或合約價值的變化？

I realize it's very early days today.

我意識到今天還為時過早。

But any kind of metric there would be helpful.

但任何類型的指標都會有幫助。

So because it's very early days for us, it tends to be a net expansion because they didn't have AI before.

因此，因為現在對我們來說還處於早期階段，所以它往往是淨擴張，因為他們之前沒有人工智慧。

Remember, we monetize our products in two different ways, for the products that have been in GA, monetize copilot as a per seat adder. $29 a seat per month is a sticker price.

請記住，我們以兩種不同的方式將我們的產品貨幣化，對於已上市的產品，將副駕駛貨幣化為每個座位的加法器。標價為每個座位每月 29 美元。

We monetize Freddy self-service as -- on a consumption basis, right?

我們將弗雷迪自助服務貨幣化為——基於消費，對嗎？

Customers purchase CSAT or session pack of 1,000 sessions for $100 a pack.

客戶以每包 100 美元的價格購買 CSAT 或 1,000 次會話的會話包。

So when customers come in and they've not had a app before, it's a net expansion on a dollar basis or we're going in on a new sale, that's priced separately, and that's net increase in the deal value over what we would have without AI.

因此，當客戶進來並且他們之前沒有應用程式時，這是以美元為基礎的淨擴張，或者我們正在進行新的銷售，這是單獨定價的，這是交易價值相對於我們預期的淨增長沒有AI 。

So generally, for us, it's been a net expansion of ACV.

所以總的來說，對我們來說，這是 ACV 的淨擴張。

And you also see that in the average customer value for us in our numbers.

您也可以從我們的數字中看到我們的平均客戶價值。

Okay.

好的。

The incremental margin is similar or higher or lower when you add AI into a contract?

當你將人工智慧加入合約中時，增量保證金是相似的還是更高或更低？

I'll take that one, Michael.

我要那個，麥可。

So incremental margins right now are similar, right?

所以現在的增量利潤是相似的，對嗎？

And we've done a very good job on gross margins, I would say, for a company of our size, and we're going to continue to focus on that.

我想說，對於我們這樣規模的公司來說，我們在毛利率方面做得非常好，我們將繼續關注這一點。

We've also said, hey, there should be a little bit of noise in that number.

我們也說過，嘿，這個數字應該有一點噪音。

Right now, we're kind of above mid-80s on gross margin.

目前，我們的毛利率大約在 80 年代中期以上。

We said, hey, low 80s to mid-80s is really, really good. we've built in what expectations are for the cost that we're going to incur to serve AI to our customers.

我們說，嘿，80 年代低到 80 年代中期真的非常非常好。我們已經建立了對為客戶提供人工智慧服務所需的成本的預期。

But at the same time, we're obviously very -- we're focused on our pricing and packaging strategies there.

但同時，我們顯然非常關注我們的定價和包裝策略。

Some of the future revenue will come from specifically Freddy self-service and Freddy AI agent that we just announced, right?

未來的一些收入將來自我們剛剛宣布的專門的 Freddy 自助服務和 Freddy AI 代理，對嗎？

Because that will be more usage based.

因為這將更多地基於使用情況。

And as customers use it, right, they will have to buy more bought packs over time to supplement that usage.

隨著客戶使用它，隨著時間的推移，他們將不得不購買更多的購買包來補充使用量。

And so that will be a revenue stream that is kind of to come as opposed to already with us right now.

因此，這將是即將到來的收入來源，而不是現在我們已經擁有的收入來源。

So we're very focused on margins there.

所以我們非常關注那裡的利潤。

I think we've done really, really well.

我認為我們做得非常非常好。

And obviously, we're delivering even the numbers we put for next year, what we think are really good bottom line figures.

顯然，我們甚至提供了明年的數字，我們認為這是一個非常好的底線數字。

Thank you.

謝謝。

This concludes today's conference call.

今天的電話會議到此結束。

Thank you for participating.

感謝您的參與。

You may now disconnect.

您現在可以斷開連線。