Fastly Inc (FSLY) 2025 Q1 法說會逐字稿

Good afternoon. My name is Rebecca, and I will be your conference operator today. At this time, I would like to welcome everyone to the Fastly first quarter 2025 earnings conference call. (Operator Instructions)

午安.我叫麗貝卡，今天我將擔任您的會議主持人。現在，我歡迎大家參加 Fastly 2025 年第一季財報電話會議。（操作員指示）

Thank you, and welcome, everyone, to our first quarter 2025 earnings conference call. We have Fastly's CEO, Todd Nightingale; and CFO, Ron Kisling, with us today. The webcast of this call can be accessed through our website, fastly.com, and will be archived for one year. Also, a replay will be available by dialing (800) 770-2030, referencing conference ID number 7543239, shortly after the conclusion of today's call.

謝謝大家，歡迎大家參加我們 2025 年第一季財報電話會議。我們有 Fastly 的執行長 Todd Nightingale；和財務長 Ron Kisling 今天也和我們在一起。本次電話會議的網路直播可透過我們的網站 fastly.com 訪問，並將存檔一年。此外，今天電話會議結束後不久，撥打 (800) 770-2030 並參考會議 ID 號 7543239 即可收聽重播。

A copy of today's earnings press release, related financial tables and investor supplement, all of which are furnished in our 8-K filing today can be found in the Investor Relations portion of Fastly's website.

我們今天的 8-K 文件中提供了今天的收益新聞稿、相關財務表和投資者補充資料的副本，可以在 Fastly 網站的投資者關係部分找到。

During this call, we will make forward-looking statements, including statements related to the expected performance of our business, future financial results, product sales, strategy, long-term growth and overall future prospects. These statements are subject to known and unknown risks, uncertainties and assumptions that could cause actual results to differ materially from those projected or implied during the call.

在本次電話會議中，我們將做出前瞻性陳述，包括與我們業務預期表現、未來財務表現、產品銷售、策略、長期成長和整體未來前景相關的陳述。這些聲明受已知和未知的風險、不確定性和假設的影響，可能導致實際結果與電話會議期間預測或暗示的結果有重大差異。

Further information regarding risk factors for our business, please refer to our filings with the SEC, including our most recent annual report filed on Form 10-K and quarterly report filed on Form 10-Q filed with the SEC and our first quarter 2025 earnings release and supplement for a discussion of the factors that could cause our results to differ. Please refer, in particular, to the section entitled Risk Factors. We encourage you to read these documents.

有關我們業務風險因素的更多信息，請參閱我們向美國證券交易委員會 (SEC) 提交的文件，包括我們最近向美國證券交易委員會提交的 10-K 表年度報告和 10-Q 表季度報告以及我們的 2025 年第一季度收益報告和補充文件，其中討論了可能導致我們的結果不同的因素。請特別參閱題為「風險因素」的部分。我們鼓勵您閱讀這些文件。

Also note that the forward-looking statements on this call are based on information available to us as of today's date. We undertake no obligation to update any forward-looking statements, except as required by law. Also during this call, we will discuss certain non-GAAP financial measures. Unless otherwise noted, all numbers we discuss today other than revenue will be on an adjusted non-GAAP basis. As discussed last quarter, we have adjusted our non-GAAP treatment of gross margin to exclude the amortization of stock-based compensation and our internal use software costs in cost of revenue.

另請注意，本次電話會議中的前瞻性陳述是基於我們截至今天所掌握的資訊。除法律要求外，我們不承擔更新任何前瞻性聲明的義務。此外，在本次電話會議中，我們還將討論某些非公認會計準則財務指標。除非另有說明，我們今天討論的除收入以外的所有數字都將基於調整後的非 GAAP 基礎。正如上個季度所討論的，我們調整了非公認會計準則的毛利率處理，以排除股票薪資攤提和收入成本中的內部使用軟體成本。

This treatment is reflected in our financial tables in the earnings release and the eight-quarter historical trended non-GAAP P&L in our investor supplement. Also, unless otherwise noted, all discussions on this call reflect this adjustment.

這種處理方式反映在我們收益報告中的財務表格以及投資者補充報告中八個季度的歷史趨勢非 GAAP 損益表中。此外，除非另有說明，本次電話會議中的所有討論均反映了這項調整。

Reconciliations to the most directly comparable GAAP financial measures are provided in the earnings release and supplement on our Investor Relations website. These non-GAAP measures are not intended to be a substitute for our GAAP results.

我們的投資者關係網站上的收益報告和補充資料中提供了與最直接可比較的 GAAP 財務指標的對帳。這些非公認會計準則 (non-GAAP) 指標並非旨在取代我們的公認會計準則 (GAAP) 結果。

Before we begin our prepared comments, please note that we will be attending four conferences in the second quarter: the 20 Annual Needham Technology Media and Consumer Conference virtually on May 12; the William Blair 45 Annual Growth Conference in Chicago on June 4 and BofA Global Technology Conference in San Francisco on June 5 and the D.A. Davidson Conference in Nashville on June 10.

在我們開始準備好的評論之前，請注意，我們將在第二季度參加四場會議：5 月 12 日舉行的第 20 屆年度 Needham 技術媒體和消費者會議； 6 月 4 日在芝加哥舉行的 William Blair 45 年度增長會議和 6 月 5 日在舊金山舉行的美國銀行全球技術會議以及 D.A. 6 月 10 日在戴維森的會議以及 D.A. 6 月 10 日在戴維森的會議上舉行。

Now I'll turn the call over to Todd. Todd?

現在我將把電話轉給托德。托德？

Thanks, Vern. Hi, everyone, and thanks so much for joining us today. I'm excited to share with you our strong results for the quarter, beating the upper ends of both our revenue and operating loss guidance ranges. As a result, we are raising both our 2025 revenue guidance and operating loss guidance by $10 million and $3 million at their respective midpoints. We also generated $8 million in positive free cash flow, bringing us closer to breakeven on this benchmark for the year.

謝謝，弗恩。大家好，非常感謝大家今天加入我們。我很高興與大家分享我們本季的強勁業績，我們的營收和營業虧損都超出預期範圍。因此，我們將 2025 年的營收預期和營業虧損預期分別上調 1,000 萬美元和 300 萬美元。我們還產生了 800 萬美元的正自由現金流，使我們今年更接近收支平衡。

We made great progress in our go-to-market transformation, capitalizing on product release velocity and growing traffic share with our larger enterprise customers, which yielded upside in our results. Our Q1 revenue was $144.5 million, coming in above the high end of our $136 million to $140 million guidance range with a growth rate of 8% year-over-year, an improvement compared to the 2% in the fourth quarter of 2024.

我們在市場轉型方面取得了巨大進展，利用產品發布速度和與大型企業客戶不斷增長的流量份額，為我們的業績帶來了上升空間。我們第一季的營收為 1.445 億美元，高於我們 1.36 億美元至 1.4 億美元的指導範圍的高端，同比增長 8%，與 2024 年第四季的 2% 相比有所提高。

Our customer count was 3,035 and enterprise customer count was 595. We brought in 19 new enterprise customers in the $100,000 annual revenue threshold in the first quarter compared to 10 in the fourth quarter. This comparison does not account for declines in the count due to falling below the $100,000 threshold or churn.

我們的客戶數量為 3,035 個，企業客戶數量為 595 個。我們在第一季引進了 19 家年營收達到 10 萬美元的新企業客戶，而第四季只有 10 家。這種比較並未考慮因低於 10 萬美元的門檻或客戶流失而導致的數量下降。

Year-over-year, we grew our enterprise customer count by 18 or 3% and average enterprise customer spend grew 4% quarter-over-quarter to $907,000 as we saw solid cross-sell growth biased towards larger customers. Our platform strategy continues to yield results as now almost half of our customers leverage two or more Fastly product lines, generating 3/4 of our revenue.

與去年同期相比，我們的企業客戶數量增加了 18 個，即 3%，平均企業客戶支出環比增長 4%，達到 907,000 美元，因為我們看到偏向大客戶的交叉銷售穩步增長。我們的平台策略持續取得成果，現在幾乎一半的客戶利用兩個或更多個 Fastly 產品線，創造了我們 3/4 的收入。

We are excited about our revenue progress and the team's performance in Q1, accelerating the recovery in our top customers. We drove share gains at some of our largest customers and closed new enterprise accounts. Our top 10 customers represented 33% of revenue, down from 38% in the first quarter of 2024. Revenue outside of the top 10 grew 17% year-over-year, outpacing overall growth and continuing to drive revenue diversification.

我們對第一季的營收成長和團隊的表現感到非常興奮，這加速了我們頂級客戶的復甦。我們推動了一些最大客戶的市場份額成長，並建立了新的企業帳戶。我們前十大客戶的營收佔比為 33%，低於 2024 年第一季的 38%。前十名以外的營收年增 17%，超過整體成長並持續推動營收多元化。

Last quarter, we mentioned that we expected this revenue concentration number to stabilize in the low to mid-30s, and that's exactly what we saw in Q1. We consider this a healthy level of concentration in the revenue mix, and our go-to-market strategy will continue to emphasize logo acquisition and growing the enterprise customer mix outside of our top 10.

上個季度，我們提到，我們預計收入集中度數字將穩定在 30% 左右，而這正是我們在第一季看到的情況。我們認為這是收入組合中健康的集中度水平，我們的市場進入策略將繼續強調標識獲取和增加前 10 名之外的企業客戶組合。

Gross margin for the quarter was 57.3%, slightly better than our projections. We are taking actions to improve our fixed overhead and bandwidth costs across our fleet. We've been focused on software-based fleet efficiency and believe there are significant gains for us to find here throughout the year. This will help us create additional capacity while mitigating supply chain dependencies and additional capital spend.

本季毛利率為57.3%，略高於我們的預期。我們正在採取行動來改善我們整個車隊的固定開銷和頻寬成本。我們一直專注於基於軟體的車隊效率，並相信全年我們都能從中獲得顯著的收益。這將有助於我們創造額外的產能，同時減輕供應鏈依賴和額外的資本支出。

These efforts, combined with our hardware investments purchased pre-tariff, leave us well positioned to deal with the macro uncertainties that may unfold in 2025, and we believe with the actions we've taken, any tariff impact on our CapEx spend will be immaterial.

這些努力，加上我們在關稅前購買的硬體投資，使我們能夠很好地應對 2025 年可能出現的宏觀不確定性，並且我們相信，透過我們採取的行動，關稅對我們的資本支出的任何影響都將是微不足道的。

We beat our operating loss guidance coming in at a $6 million loss compared to the guidance range of $11 million to $7 million loss. This was due to our gross profit dollar upside on higher revenue and relative cost control on the OpEx line. Continued cost optimizations and rigorous cash management have yielded a better-than-expected result and ultimately contributed to our healthy $8 million of positive free cash flow in the quarter. We expect our op loss to improve through 2025 and anticipate delivering operating profit in the second half.

我們的營業虧損超出預期，達到 600 萬美元，而預期虧損範圍為 1,100 萬美元至 700 萬美元。這是因為我們的收入增加以及營運支出方面的相對成本控制導致毛利上漲。持續的成本優化和嚴格的現金管理取得了好於預期的業績，並最終促成了本季 800 萬美元的健康正自由現金流。我們預計到 2025 年我們的營業虧損將會改善，並預計下半年將實現營業利潤。

In the first quarter, we saw a new level of rigor and momentum from our go-to-market teams. Our new segmented go-to-market efforts have created a higher-touch approach with our largest accounts while continuing to drive strong enterprise and mid-market customer acquisition velocity. This is driven by incentivizing cross-sell, optimizing our regional sales approach and expanding our product portfolio.

在第一季度，我們看到了行銷團隊的嚴謹性和動力達到了一個新的水平。我們新的細分市場行銷工作為我們最大的客戶創造了一種更高接觸的方式，同時繼續推動強勁的企業和中端市場客戶獲取速度。這是透過激勵交叉銷售、優化我們的區域銷售方式和擴大我們的產品組合來推動的。

We continue to focus on the customer acquisition motion and reducing the onboarding friction at Fastly as we strive towards even more simplicity in both pricing and ease of implementation. Our packaging initiatives have been contributing towards that goal.

我們將繼續專注於客戶獲取動向並減少 Fastly 的入職摩擦，同時努力實現定價和實施的更加簡化。我們的包裝措施一直致力於實現這一目標。

And in the first quarter, packaging deals more than doubled year-over-year, and those involving new logos grew over 80%. We continue to get great feedback on how much customers love the simplicity of our packaging motion, and we continue to look for ways to improve and simplify the customer experience across the board.

今年第一季度，包裝交易量年增了一倍多，涉及新標​​誌的交易量增加了 80% 以上。我們不斷收到大量回饋，顯示客戶非常喜歡我們包裝動作的簡潔性，我們也將繼續尋找全面改善和簡化客戶體驗的方法。

As part of our new high-touch customer success motion, we've seen an acceleration of business and also increases in revenue commits across our largest customers. This, combined with the success we're seeing in packaging has yielded solid results in committed revenue, driving more stability and visibility into our revenue pipeline. And you can see these results starting to show up in our RPO, which grew 33% year-over-year and now sits at a record high.

作為我們新的高接觸客戶成功計畫的一部分，我們看到業務加速發展，並且我們最大客戶的收入承諾也在增加。這一點，加上我們在包裝方面的成功，為我們的承諾收入帶來了豐厚的成果，為我們的收入管道帶來了更大的穩定性和可見性。您可以看到這些結果開始體現在我們的 RPO 中，它同比增長 33%，目前處於歷史最高水平。

In the first quarter, we continued our success in diversifying our logo wins and penetrating new and existing customer verticals. We are particularly seeing momentum in new logo acquisition with enterprise customers in strategic verticals such as travel and leisure, technology, financial services and retail. These include Volaris, a leading ultra-low-cost airline who selected Fastly's platform for security, network services and compute.

在第一季度，我們繼續成功地實現了品牌多元化，並滲透到新舊客戶垂直領域。我們尤其看到旅遊休閒、科技、金融服務和零售等策略垂直領域的企業客戶在新識別獲取方面表現出色。其中包括領先的超低成本航空公司 Volaris，該公司選擇了 Fastly 的平台來提供安全、網路服務和運算服務。

A leading software company's professional network, who chose the Fastly platform to leverage our network services offering. A leading credit card issuer and a separate payment processing company in the United States who both selected our platform for security and network services and a home furnishing company who moved to Fastly's platform for network services, security and compute.

一家領先軟體公司的專業網絡，他們選擇 Fastly 平台來利用我們的網路服務產品。美國一家領先的信用卡發行商和一家獨立的支付處理公司都選擇了我們的平台來提供安全和網路服務，還有一家家居裝飾公司則轉向了 Fastly 的平台來提供網路服務、安全和運算服務。

In all of these examples and many more, not only did we win where performance mattered, but also where platform completeness mattered. We are cross-selling an increasing amount of our security, compute and observability offerings in addition to our best-in-class network services.

在所有這些例子以及更多例子中，我們不僅在效能方面取得了勝利，而且在平台完整性方面也取得了勝利。除了一流的網路服務外，我們還在交叉銷售越來越多的安全、運算和可觀察性產品。

This is the new Fastly platform, highly performant, positioned for the future and ensuring best-in-class performance to meet our customers' needs. We're extremely excited about the progress we made in our security portfolio and the expansion of the Fastly platform that it represents. Security offers Fastly a revenue stream that is predictable, recurring and sticky.

這是一個全新的 Fastly 平台，性能卓越，面向未來，確保一流的性能以滿足客戶的需求。我們對安全產品組合所取得的進展以及它所代表的 Fastly 平台的擴展感到非常興奮。安全性為 Fastly 提供了可預測、經常性和黏性的收入來源。

In 2024, we expanded the security portfolio from one offering, our WAF, to three core offerings that deliver synergistic value to our customers: WAF, bot mitigation and DDoS protection. In the first quarter of 2025, we enhanced our WAF offering with client side protection, improved our DDoS offering with enhanced visibility and alerting and expanded our bot solution to include dynamic challenges. We also just recently launched AI bot detection, enhancing our bot solution to allow customers to detect and mitigate unwanted AI bots scraping their data.

2024 年，我們將安全產品組合從單一產品（WAF）擴展到三大核心產品，為我們的客戶提供協同價值：WAF、機器人緩解和 DDoS 防護。2025 年第一季度，我們透過客戶端保護增強了 WAF 產品，透過增強的可視性和警報改進了 DDoS 產品，並擴展了我們的機器人解決方案以涵蓋動態挑戰。我們最近也推出了人工智慧機器人偵測功能，增強了我們的機器人解決方案，使客戶能夠檢測並減輕不必要的人工智慧機器人抓取其資料的行為。

Today, almost half of Fastly customers now use multiple product lines, but many are just starting to bring online the full power of our security portfolio. With all of this portfolio momentum, we've refocused our go-to-market on the security cross-sell opportunity to help us capture the revenue potential of this portfolio. We're already seeing this transformation resonate in our customer base and feel confident about our portfolio breadth and competitive advantage in building security solutions that are trusted by platform engineering teams and the software engineering teams they serve.

如今，幾乎一半的 Fastly 客戶都使用多條產品線，但許多客戶才剛開始在線上發揮我們安全產品組合的全部功能。憑藉所有這些投資組合的強勁勢頭，我們重新將市場重點放在安全交叉銷售機會上，以幫助我們抓住該投資組合的收入潛力。我們已經看到這種轉變在我們的客戶群中產生共鳴，並且對我們的產品組合廣度和在構建平台工程團隊及其服務的軟體工程團隊所信賴的安全解決方案方面的競爭優勢充滿信心。

Our security growth of 7% year-over-year in the first quarter does not yet reflect last year's portfolio expansion. Given our renewed focus in this area, coupled with our go-to-market incentives and strategy, we believe we can outpace the market in the back half of 2025 and be a share gainer. Moreover, we expect our security pipeline and motion will be a major contributor to growth looking out to 2026 and beyond.

我們第一季的證券年增 7%，但尚未反映出去年的投資組合擴張。鑑於我們重新關注這一領域，再加上我們的市場激勵和策略，我們相信我們能夠在 2025 年下半年超越市場並贏得市場份額。此外，我們預計我們的安全管道和動議將成為 2026 年及以後成長的主要貢獻者。

Revenue from our other segment, which includes our emerging products, saw nice gains in the quarter and grew 64% year-over-year. Compute represents significant differentiation for our platform in the market as more and more customers focus on differentiated, dynamic and personalized user experiences.

我們其他部門（包括新興產品）的收入在本季度取得了不錯的成長，年增了 64%。隨著越來越多的客戶關注差異化、動態化和個人化的用戶體驗，計算代表了我們平台在市場上的顯著差異化。

Our outlook for 2025 continues to improve. And while macro uncertainties continue to persist across the market, we believe we have significantly mitigated any tariff impact to our CapEx, and we have not seen any material change in our buyer behavior or demand patterns. Regardless, we are continuing to take a cautious approach to our guidance for the rest of the year.

我們對 2025 年的展望將持續改善。儘管宏觀不確定性仍然存在於整個市場，但我們相信我們已經大大減輕了關稅對資本支出的影響，而且我們還沒有看到買家行為或需求模式發生任何重大變化。無論如何，我們將繼續對今年剩餘時間的業績指引採取謹慎的態度。

Our second quarter guidance of 10% year-over-year growth and new 2025 guidance of 9% annual growth raises our prior guide. We are aiming to outperform these numbers, and we'll continue to aggressively pursue gains in profitability and revenue growth. Please note that again, we have removed US TikTok revenue beyond June 19 from our guidance.

我們第二季的預測是年增 10%，而 2025 年的新預測是年增率 9%，這提高了我們先前的預測。我們的目標是超越這些數字，並將繼續積極追求獲利能力和收入的成長。請注意，我們再次從指導中刪除了 6 月 19 日之後的美國 TikTok 收入。

In summary, we are pleased with our first quarter performance and are seeing signs of progress from last year's efforts. As the Fastly team continues to build momentum across go-to-market and product development velocity, we expect to accelerate customer acquisition, capture more market share and drive improved financial returns to our shareholders.

總而言之，我們對第一季的業績感到滿意，並且看到了去年的努力取得進展的跡象。隨著 Fastly 團隊繼續在市場進入和產品開發速度方面積聚動力，我們期望加快客戶獲取速度，佔領更多市場份額，並為股東帶來更好的財務回報。

And now to discuss the financial details of the quarter and guidance in detail, I will turn the call over to Ron. Ron?

現在，為了詳細討論本季的財務細節和指導，我將把電話轉給羅恩。羅恩？

Thank you, Todd, and thanks, everyone, for joining us today. I'll discuss our financial results and business metrics before turning to our forward guidance. Note that unless otherwise stated, all financial results in my discussion are non-GAAP based.

謝謝你，托德，也謝謝大家今天加入我們。在談到我們的前瞻性指引之前，我將討論我們的財務表現和業務指標。請注意，除非另有說明，我討論的所有財務結果均非基於 GAAP。

Revenue for the first quarter increased 8% year-over-year to $144.5 million, coming in above the high end of our guidance range of $136 million to $140 million. There were no unusual true-up payments in the first quarter.

第一季營收年增 8% 至 1.445 億美元，高於我們預期的 1.36 億美元至 1.4 億美元的高端範圍。第一季沒有發生異常的真實付款。

Network Services revenue was $113.2 million and grew 7% year-over-year. Security revenue of $26.4 million also grew 7% year-over-year, and our other products contributed $4.8 million to revenue, growing 64% year-over-year, driven primarily by our compute products.

網路服務收入為 1.132 億美元，年增 7%。安全收入 2,640 萬美元，年增 7%，我們的其他產品貢獻了 480 萬美元的收入，年增 64%，主要得益於我們的計算產品。

Traditionally, our first quarter experienced a seasonally flat to modest sequential revenue decline over the fourth quarter. However, in our first quarter of 2025, we saw better-than-expected seasonal traffic demand and share gains, which contributed to the 3% sequential revenue growth. Consistent with what we shared on our year-end earnings call, we anticipate the revenue contribution of our top 10 customers will remain in the low to mid-30% range throughout 2025.

傳統上，我們的第一季營收與第四季相比，呈現季節性持平或小幅環比下降。然而，在 2025 年第一季度，我們看到了好於預期的季節性流量需求和份額成長，這推動了 3% 的連續收入成長。與我們在年終收益電話會議上分享的內容一致，我們預計 2025 年我們前十大客戶的收入貢獻將保持在 30% 左右。

We consider this a healthy level of concentration in our revenue mix. Also, as was the case for every quarter in 2024, no customer accounted for more than 10% of revenue in the first quarter. Our trailing 12-month net retention rate was 100%, down from 102% in the prior quarter and down from 114% in the year ago quarter. Decline is primarily due to the revenue declines from a few of our largest customers in prior quarters and closely follows our overall revenue growth rate trend.

我們認為這是我們收入結構中健康的集中度水準。此外，與 2024 年每季的情況一樣，第一季沒有一家客戶的收入佔比超過 10%。我們過去 12 個月的淨留存率為 100%，低於上一季的 102%，也低於去年同期的 114%。下降主要是由於前幾季度我們幾個最大客戶的收入下降，並且與我們的整體收入成長率趨勢密切相關。

We anticipate our LTM net retention rate will remain flattish near term, followed by expansion in the second half of 2025 as we begin to see the benefit of revenue growth from customers acquired in 2024.

我們預計，我們的 LTM 淨留存率將在短期內保持平穩，隨後在 2025 年下半年擴大，因為我們將開始看到 2024 年獲得的客戶帶來的收入成長效益。

We exited the first quarter with an RPO of $303 million, growing 33% year-over-year. This growth is a result of an increasing number of our customers with revenue commitments and higher commitments at our largest customers, coupled with the success of our packaging strategy.

第一季我們的 RPO 為 3.03 億美元，年增 33%。這一成長是由於我們承諾收入的客戶數量不斷增加、最大客戶的承諾增加，再加上我們的包裝策略取得成功。

I will now turn to the rest of our financial results for the first quarter. As Vern mentioned earlier, we adjusted our non-GAAP treatment of gross margins to exclude the amortization of stock-based compensation and our capitalized internal use software. This treatment is reflected in our financial tables and in my prepared comments for all prior period comparisons and forward guidance.

現在我將介紹第一季的其餘財務表現。正如 Vern 先前提到的，我們調整了非公認會計準則的毛利率處理，以排除股票薪資攤銷和資本化的內部使用軟體。這種處理方式反映在我們的財務表和我為所有前期比較和前瞻性指引準備的評論中。

Our gross margin was 57.3% in the first quarter, coming in 50 basis points above our implied guidance and down 230 basis points from 59.6% in Q1 2024. The upside to guidance was due to the efficiency improvements Todd mentioned, better network utilization and continued cost control.

我們第一季的毛利率為 57.3%，比我們的隱含指引高出 50 個基點，比 2024 年第一季的 59.6% 下降了 230 個基點。指引的上升是由於 Todd 提到的效率提高、更好的網路利用率和持續的成本控制。

The year-over-year decline was primarily due to the pricing dynamics we saw in 2024, where we experienced price per gigabit declines in the low 20%s relative to our usual high teens percent decline trend. We see these pricing dynamics stabilizing back to the high teens across the remainder of 2025.

年比下降主要是由於我們在 2024 年看到的價格動態，相對於我們通常的高十幾歲的百分比下降趨勢，我們每千兆比特的價格下降了 20% 以下。我們預計，到 2025 年剩餘時間內，這些定價動態將穩定回高位。

Operating expenses were $88.7 million in the first quarter, coming in as expected relative to our revenue upside and reflecting 6% sequential growth due to the seasonal impact of payroll taxes while coming in flat on a year-over-year basis compared to Q1 2024. Operating expense discipline, combined with better-than-expected gross profit resulted in an operating loss of $5.8 million in the first quarter, coming in ahead of the lower end of our operating loss guidance range of $11 million to $7 million.

第一季的營運費用為 8,870 萬美元，相對於我們的收入成長符合預期，並且由於工資稅的季節性影響而環比增長 6%，與 2024 年第一季相比同比持平。嚴格的營運費用加上好於預期的毛利導致第一季的營運虧損為 580 萬美元，高於我們預計的 1,100 萬美元至 700 萬美元的營運虧損範圍的下限。

In the first quarter, we reported a net loss of $6.6 million or a $0.05 loss per basic and diluted share compared to a net loss of $5.3 million or a $0.04 loss per basic and diluted share in Q1 2024. Our adjusted EBITDA increased to $7.8 million in the first quarter compared to $4.9 million in Q1 2024.

第一季度，我們報告淨虧損 660 萬美元，即每股基本虧損和稀釋虧損 0.05 美元，而 2024 年第一季淨虧損為 530 萬美元，即每股基本虧損和稀釋虧損 0.04 美元。我們的調整後 EBITDA 從 2024 年第一季的 490 萬美元增至第一季的 780 萬美元。

Turning to the balance sheet. We ended the quarter with approximately $307 million in cash, cash equivalents, marketable securities and investments, including those classified as long term. This is a sequential increase of $11 million from our fourth quarter. Our March 2026 zero-coupon convertible notes became current in the first quarter and are now reflected in our current liabilities. We have adequate liquidity to cover our working capital operating requirements and pay this balance when the notes become due.

轉向資產負債表。截至本季末，我們擁有約 3.07 億美元的現金、現金等價物、有價證券和投資，其中包括歸類為長期的投資。這比我們第四季增加了 1100 萬美元。我們的 2026 年 3 月零息可轉換票據於第一季開始生效，現已反映在我們的流動負債中。我們擁有足夠的流動資金來滿足我們的營運資金營運需求，並在票據到期時支付此餘額。

Cash from operations grew 55% year-over-year to $17.3 million in the first quarter from $11.1 million in Q1 2024. Our free cash flow for the first quarter was $8.2 million, turning positive for the first time in eight quarters and representing a $10.4 million increase from negative-$2.2 million in Q1 2024. This increase was primarily driven by improved cash from operations, lower purchases of property and equipment, lower capitalization of internal use software and lower repayments on finance lease liabilities.

2024 年第一季度，營業現金流年增 55% 至 1,730 萬美元，上年同期為 1,110 萬美元。我們第一季的自由現金流為 820 萬美元，這是八個季度以來首次轉為正值，較 2024 年第一季的負 220 萬美元增加了 1,040 萬美元。這一增長主要得益於經營現金流增加、物業和設備購買量減少、內部使用軟體資本化減少以及融資租賃負債償還減少。

Our cash capital expenditures were approximately 8% in the first quarter, coming in below our 2025 annual guidance of 9% to 10% of revenue we shared on our Q4 call. As a reminder, our cash capital expenditures include capitalized internal use software. For 2025, we anticipate our cash CapEx will again be in a range of 9% to 10% of revenue with our medium- to long-term cash CapEx declining to 6% to 8% of revenue.

我們第一季的現金資本支出約為 8%，低於我們在第四季電話會議上分享的 2025 年年度指引值（佔營收的 9% 至 10%）。提醒一下，我們的現金資本支出包括資本化的內部使用軟體。到 2025 年，我們預期現金資本支出將再次達到收入的 9% 至 10%，而中長期現金資本支出將下降至收入的 6% 至 8%。

I will now discuss our outlook for the second quarter and full year 2025. I'd like to remind everyone again that the following statements are based on current expectations as of today and include forward-looking statements. Actual results may differ materially, and we undertake no obligation to update these forward-looking statements in the future, except as required by law.

我現在將討論我們對 2025 年第二季和全年的展望。我想再次提醒大家，以下聲明是基於截至今天的當前預期，並包含前瞻性陳述。實際結果可能存在重大差異，除非法律要求，否則我們不承擔將來更新這些前瞻性聲明的義務。

Our revenue guidance reflects the dynamics in our business and is based on the visibility that we have today. I'd like to note that TikTok, one of our largest customers, continues to be the subject of much scrutiny given the current June 19 deadline with respect to their US operations.

我們的收入預期反映了我們業務的動態，並基於我們今天的知名度。我想指出的是，由於目前 6 月 19 日是 TikTok 美國業務的最後期限，因此 TikTok 繼續受到嚴格審查。

Globally, ByteDance, the parent company of TikTok, represented less than 10% of our revenue in the first quarter of 2025, and their United States traffic represented less than 2% of revenue for the same period. We do not know the full outcome of the US policy on TikTok. So as a prudent measure, our 2025 guidance excludes revenue from their US traffic after June 19.

在全球範圍內，TikTok 的母公司位元組跳動在 2025 年第一季的營收占我們營收的不到 10%，其美國流量占我們同期營收的不到 2%。我們不知道美國針對TikTok的政策的全部結果。因此，作為一項審慎的措施，我們的 2025 年指引不包括 6 月 19 日之後來自美國客流量的收入。

Due to improving revenue at some of our largest customers and incremental traffic ramps coming from our new customers, we expect to see modest upside to our typical flattish sequential seasonal growth in the second quarter. As a result, for the second quarter, we expect revenue in the range of $143 million to $147 million, representing 10% annual growth at the midpoint. Given our recent efforts to lower our network costs and drive overall cost of revenue improvement, for the second quarter, we anticipate our gross margins will increase approximately 50 basis points relative to the first quarter, plus or minus 50 basis points.

由於我們一些最大客戶的收入增加以及來自新客戶的流量增加，我們預計第二季度我們典型的平穩連續季節性成長將略有上升。因此，我們預計第二季的營收將在 1.43 億美元至 1.47 億美元之間，中間值年增率為 10%。鑑於我們最近努力降低網路成本並推動整體收入成本改善，我們預計第二季的毛利率將比第一季增加約 50 個基點，上下浮動 50 個基點。

Guidance for our second quarter operating results reflects the impact of the sequential increase in gross profit and the impact of the increase in operating expenses I described.

我們第二季經營績效的指引反映了毛利連續成長的影響以及我所描述的經營費用增加的影響。

As we shared previously, we experienced higher wage costs due to seasonally higher payroll taxes and sales and marketing events in the first half of the year. As a result, for the second quarter, we expect a non-GAAP operating loss of $8 million to $4 million and a non-GAAP net loss of $0.08 to $0.04 per share.

正如我們之前所分享的，由於季節性工資稅上漲以及上半年的銷售和行銷活動，我們的工資成本有所增加。因此，我們預計第二季非公認會計準則營業虧損為 800 萬至 400 萬美元，非公認會計準則淨虧損為每股 0.08 至 0.04 美元。

For calendar year 2025, we are raising our revenue guidance to the range of $585 million to $595 million, reflecting annual growth of 9% at the midpoint. We anticipate our 2025 gross margins will be approximately 58%, plus or minus 50 basis points.

對於 2025 日曆年，我們將營收預期上調至 5.85 億美元至 5.95 億美元之間，中間值年增長率為 9%。我們預計 2025 年的毛利率將約為 58%，上下浮動 50 個基點。

As a result, we expect our non-GAAP operating loss to be in the range of $12 million to $6 million, reflecting an operating margin of negative 2% at the midpoint, an improvement of approximately 59% in dollar terms over 2024's operating loss margin of 4%.

因此，我們預期非公認會計準則營業虧損將在 1,200 萬美元至 600 萬美元之間，中間值營業利潤率為負 2%，以美元計算比 2024 年 4% 的營業虧損率改善約 59%。

Additionally, we anticipate to achieve operating profit for the second half of 2025. As mentioned earlier, given the seasonally heavier OpEx spend in the first half of the year, we anticipate our operating expenses to be lower in the second half.

此外，我們預計2025年下半年將實現營業利潤。如前所述，鑑於上半年季節性營運支出較高，我們預計下半年的營運支出將會降低。

For modeling purposes, this implies 2025 operating expenses are roughly $350 million. We expect our non-GAAP net loss per share to be in the range of $0.13 to $0.07, and we expect our free cash flow to be in the range of negative $10 million to break-even compared to negative $36 million in 2024.

為了建模目的，這意味著 2025 年的營運費用約為 3.5 億美元。我們預期非公認會計準則每股淨虧損將在 0.13 美元至 0.07 美元之間，我們預期自由現金流將在負 1,000 萬美元至損益兩平之間，而 2024 年為負 3,600 萬美元。

Before we open the line for questions, we would like to thank you for your interest and your support in Fastly. Operator?

在我們開始提問之前，我們想感謝您對 Fastly 的關注和支持。操作員？

(Operator Instructions) Param Singh, Oppenheimer.

（操作員指令）Param Singh，Oppenheimer。

Really good job on the quarter. I wanted to firstly dive into your network side and the drivers for the upside. What's really driving incremental customer demand? And then I had a follow-up on the security.

本季的表現確實很好。我首先想深入了解你們的網路方面以及其優勢的驅動因素。真正推動客戶需求成長的因素是什麼？然後我對安全問題進行了跟進。

Yes. It's a great question. We're pretty happy with the results across the board. We saw strong customer acquisition in some of the strategic verticals we mentioned. And I think that the sales team's ability to execute, not just the customer acquisition, but the cross-sell has been enhanced for sure under Scott's leadership and under our new incentive plan there. And we've also certainly accelerated our recovery in the largest -- in our largest media accounts and by doing so, posted better-than-expected results in that top 10 cohort as well.

是的。這是一個很好的問題。我們對整體結果非常滿意。我們在提到的一些策略垂直領域看到了強勁的客戶獲取動能。我認為，在斯科特的領導下以及我們新的激勵計劃下，銷售團隊的執行能力（不僅僅是客戶獲取，而且交叉銷售）肯定得到了增強。而且，我們也確實加快了在最大的媒體帳戶中的復甦，並透過這樣做，在前 10 名中也取得了好於預期的業績。

Got it. And then moving to security, what percentage would you say of your installed base or customers are using WAF? And then how would you categorize both DDoS and bot mitigation in terms of the adoption and where it could go to by the end of the year?

知道了。然後談到安全性，您認為您的安裝群或客戶中有多少百分比正在使用 WAF？那麼，您如何根據採用情況對 DDoS 和機器人緩解進行分類，以及今年年底它將達到什麼程度？

Yes. We don't disclose exactly the WAF number, but we mentioned about half or almost half of our customers are using more than one product line. It's a smaller number than that, that's using security and WAF is going to be smaller than that. So I think there's an enormous amount of opportunity we have to penetrate our existing network service customers with WAF.

是的。我們沒有透露特定的 WAF 數量，但我們提到大約一半或幾乎一半的客戶正在使用多條產品線。這個數字比這個小，因為使用安全性，而且 WAF 也會比這個小。因此我認為我們擁有巨大的機會利用 WAF 滲透到我們現有的網路服務客戶中。

It's still very early days on reactive DDoS and bot. And the percent penetration there is going to be single digits percent for sure. There's tons and tons of opportunity. And that's why I mentioned enriching the security portfolio, now having three like fully fledged kind of flagship products gives us enormous opportunity to drive real momentum in the security business, especially in the back half of the year.

反應式 DDoS 和機器人技術仍處於早期階段。那裡的滲透率肯定將是個位數。這裡有無數的機會。這就是我提到豐富安全產品組合的原因，現在擁有三種成熟的旗艦產品為我們提供了巨大的機會來推動安全業務的真正發展勢頭，尤其是在今年下半年。

Jonathan Ho, William Blair.

喬納森·何、威廉·布萊爾。

Congratulations on the strong results. I wanted to start out with your compute and observability business, just given the 64% growth there. Can you give us some additional detail into maybe what products drove that and what the demand drivers were and how we should think about that business growth for the rest of the year?

恭喜您取得如此優異的成績。我想從你們的計算和可觀察性業務開始談，因為那裡的成長率達到了 64%。您能否為我們提供一些額外的細節，例如哪些產品推動了這一成長，需求驅動因素是什麼，以及我們應該如何看待今年剩餘時間的業務成長？

Yes, absolutely. The biggest chunk of that growth is in compute for sure. And it's interesting. We're seeing a lot more of those strategic expansion verticals really focusing on that dynamic user experience. And so they're using serverless edge compute to be able to give real-time experiences like we mentioned with airlines or travel companies that real-time engagement in the web experience is so important.

是的，絕對是。毫無疑問，成長的最大部分來自於運算領域。這很有趣。我們看到越來越多的策略擴張垂直產業真正專注於動態用戶體驗。因此，他們使用無伺服器邊緣運算來提供即時體驗，就像我們提到的航空公司或旅遊公司一樣，即時參與網路體驗非常重要。

We're seeing expansion there. And we've had some interesting launches, specifically on the storage side, allowing some really creative use cases and really the ability to take compute and leverage it everywhere across our network and drive some real innovation. So it's both in the storage -- kind of innovative storage side of the house and that dynamic user experience.

我們看到那裡正在擴張。我們進行了一些有趣的發布，特別是在儲存方面，允許一些真正有創意的用例，並且真正能夠在我們的網路中隨處進行計算和利用它，並推動一些真正的創新。因此，它既存在於儲存中——也是一種創新的房屋儲存方面，還有動態的用戶體驗。

Got it. And then just in terms of what you're seeing from a macro perspective, can you give us a sense of -- I think you mentioned there was some additional conservatism in the guidance. Can you talk about what you're seeing from customers? Is there any sort of extensions or elongation of deals? I just want to understand what that look like.

知道了。然後就您從宏觀角度看到的情況而言，您能否讓我們了解一下——我認為您提到指導中有一些額外的保守主義。您能談談您從客戶那裡看到的情況嗎？是否有任何形式的延長或延期交易？我只是想了解它是什麼樣子的。

Yes, it's interesting. We haven't seen a change in the demand pattern or the buyer behavior yet. And I think that's a good sign. Generally, we tried to take a lot, a lot of precaution to make sure that we were set up on the CapEx side regarding any kind of tariff impact. But as far as the demand side goes, we haven't seen anything yet, but we're still taking a fairly conservative view in the outlook for the rest of the year, just to hedge there.

是的，很有趣。我們還沒有看到需求模式或購買行為的改變。我認為這是一個好兆頭。總的來說，我們嘗試採取許多預防措施，以確保我們在資本支出方面做好應對任何關稅影響的準備。但就需求方面而言，我們還沒有看到任何變化，但我們對今年剩餘時間的前景仍持相當保守的看法，只是為了進行對沖。

Sanjit Singh, Morgan Stanley.

摩根士丹利的 Sanjit Singh。

I wanted to ask about the sequential increase in RPO this quarter. It's like the largest and if you sort of unpack the drivers there, whether it was sort of the packaging motion? And is there any sort of additional sales incentives to the salespeople to sign up these larger commitment contracts? Just want to understand the dynamics behind the strong RPO growth this quarter?

我想問一下本季 RPO 的連續成長情況。它就像是最大的，如果你在那裡解開驅動程序，它是否是一種包裝動作？是否有任何額外的銷售激勵措施來鼓勵銷售人員簽署這些更大的承諾合約？只是想了解本季度 RPO 強勁成長背後的動力？

Yes. And I think you mentioned a lot of the drivers there. So there's really three drivers. We had some strategic renewals at large accounts, which is great, helps us maintain the predictability of that large customer cohort for the long term. We have an incentive program that is driving our sales team to negotiate for better and better commits, and that's across our entire sales force, and that's certainly helping us drive that number.

是的。我認為您提到了很多驅動因素。所以其實有三個驅動因素。我們對大客戶進行了一些策略性更新，這很好，有助於我們長期保持對大客戶群的可預測性。我們有一個激勵計劃，可以推動我們的銷售團隊協商越來越好的承諾，這適用於我們的整個銷售隊伍，這無疑有助於我們提高這一數字。

And the packaging solution, which is becoming more and more kind of the default motion that we're using in the mid-market and commercial accounts, that drives RPO by its very nature. And all three of those are contributing factors. And I'm certain that that's why we saw a record number on the RPO side of the house and why we're seeing good growth year-over-year.

包裝解決方案越來越成為我們在中端市場和商業帳戶中使用的預設動作，它本質上推動了 RPO。這三個都是促成因素。我確信這就是我們在 RPO 方面看到創紀錄數字的原因，也是我們看到逐年成長的原因。

Anything you'd add?

您還有什麼要補充的嗎？

The only thing I would add, I think last year, we put in an effort to just improve our engagement at more senior levels across our largest accounts. And I think we've also seen some benefit from that engagement in driving larger commits as a percent of their traffic when we see renewals. So I think that's an additional impact that's driving some of the success we're seeing in RPO.

我唯一想補充的是，我認為去年我們努力提高與最大客戶的更高級別的合作。而且我認為，當我們看到續約時，我們也看到了這種參與在推動更大比例的流量承諾方面帶來的好處。所以我認為這是推動我們在 RPO 中看到的一些成功的額外影響。

Understood. And then toggling back to the network services business. You guys mentioned in your script about signs of market share gains. Is that -- in terms of what's driving that, is that Edgio conversions? Is it just a more favorable pricing environment so that Fastly can more effectively compete on just the performance advantage you have? Just sort of the drivers of the market share gains that you guys expect to continue going forward?

明白了。然後切換回網路服務業務。你們在腳本中提到了市場佔有率成長的跡象。就推動這一進程的因素而言，是 Edgio 轉換嗎？這是否只是一個更有利的定價環境，以便 Fastly 能夠更有效地利用您所擁有的效能優勢來競爭？你們預期市場佔有率成長的驅動因素是什麼？

Yes. I think the -- as far as market share gains go, we are seeing some Edgio customers coming to the Fastly platform, and we're seeing some of the traffic from existing accounts that were on Edgio increasing their traffic share. Those are both nice to see.

是的。我認為——就市場份額的成長而言，我們看到一些 Edgio 客戶來到 Fastly 平台，並且我們看到來自 Edgio 上現有帳戶的部分流量正在增加其流量份額。這些都是令人高興的事。

But I do think that the ability of the team to expand into new logos is fueling this as well. And there's no doubt that, that is delivering a healthy result. It's why we're seeing 17% growth outside of those top 10 accounts. And as more and more as we start to index on that larger tail of customers, we're going to start to see the growth rate index closer to that 17%.

但我確實認為，團隊擴展到新標誌的能力也推動了這一點。毫無疑問，這會帶來健康的結果。這就是為什麼我們看到前 10 個帳戶之外的成長率達到 17%。隨著我們開始越來越多地對較大的尾部客戶進行指數化，我們將開始看到成長率指數接近 17%。

Rishi Jaluria, RBC.

Rishi Jaluria，RBC。

Nice to see continued progress and acceleration here. Maybe I wanted to start with TikTok. So I appreciate the conservatism and not including US TikTok revenue kind of after the deadline. Maybe can you walk us through the non-US piece and maybe how we should be benchmarking the potential geopolitical risk that TikTok may try to bring kind of all of it in-house or to Chinese carriers given obviously all the trade tensions between the US and China. Just how are we thinking about that?

很高興看到這裡不斷取得進展並加速發展。也許我想從 TikTok 開始。因此，我很欣賞這種保守態度，並且在截止日期之後不包括美國 TikTok 的收入。您能否向我們介紹美國以外的部分，以及考慮到中美之間的貿易緊張局勢，我們應該如何評估 TikTok 可能試圖將所有業務轉移到國內或中國運營商的潛在地緣政治風險。我們究竟是怎麼考慮這個問題的呢？

And maybe alongside that, is there an ability to offset some of the loss -- potential loss of US traffic with other products, including compute and security? And then I've got a quick follow-up.

除此之外，是否有能力透過其他產品（包括運算和安全產品）來抵銷部分損失──美國流量的潛在損失？然後我有一個快速的跟進。

Yes. It's a good question, and I want to make sure not to overshare too much about a single customer in that engagement. But it's been a very strong relationship. It continues to grow. We have a lot of optimism that we're going to be able to continue to operate in the US, but more importantly, grow that overall account globally because we've had such a strong partnership there. And as you said, that includes not only more use cases within network services, but across the portfolio.

是的。這是個好問題，我想確保在這次接觸中不要過度分享單一客戶的資訊。但這是一種非常牢固的關係。它還在繼續增長。我們非常樂觀地認為，我們將能夠繼續在美國運營，但更重要的是，由於我們在那裡擁有如此強大的合作夥伴關係，我們將能夠在全球範圍內擴大整體業務。正如您所說，這不僅包括網路服務中的更多用例，還包括整個產品組合中的更多用例。

Got it. That was helpful. And then maybe just to piggyback on Sanjit's question. With -- as you're out of the market and a few others kind of having exited the space, what are you seeing in terms of the pricing environment as you work through renewals? How should we think about that going forward?

知道了。這很有幫助。然後也許只是為了附和 Sanjit 的問題。隨著您退出市場並且其他一些公司也退出該領域，您在續約過程中看到了什麼樣的定價環境？我們今後該如何看待這個問題？

Is there some level of maybe not pricing stability, but at least maybe more favorable pricing or less severe pricing declines than we've been seeing over the past couple of years? And where is there your opportunity to kind of use that to your advantage?

是否存在某種程度的定價穩定性，但至少與過去幾年相比，定價可能更優惠，或者價格下跌幅度不那麼嚴重？那麼你在哪裡有機會利用這一點來為自己謀利呢？

Yes. Ron can give good color here for sure because we are seeing that pricing environment getting better, which I think is definitely giving us optimism for the next few quarters and even two years on how healthy this part of the market is going to be. But we -- largely, our strategy is based around acquiring new customers and driving market share gains. And I think the biggest upside we have is accelerating that motion across the board. But there's no doubt that the pricing environment can be a tailwind in the near and midterm.

是的。羅恩肯定能給出很好的解釋，因為我們看到定價環境正在好轉，我認為這無疑讓我們對未來幾季甚至兩年內這一市場的健康程度充滿樂觀。但我們的策略主要是圍繞著獲取新客戶和提高市場份額展開的。我認為我們最大的優勢就是全面加速這項行動。但毫無疑問，定價環境在近期和中期內可能成為有利因素。

Yes. The only thing I would add, I think what we saw last year, particularly amongst our largest customers was an acceleration in kind of the price downs to kind of the low 20s above kind of what we've seen that longer-term trend be kind of in the high teens. What we've seen this year is kind of a return to kind of that normal trend line. And we -- from what we've seen, expect that trend line to stabilize kind of back into the high teens with the changes we've seen in the macro market.

是的。我唯一想補充的是，我認為我們去年看到的情況，特別是在我們最大的客戶中，價格下降的速度加快到了 20 多美元，而長期趨勢是價格下降到十幾美元。我們今年看到的是某種程度上回歸了正常趨勢線。從我們所看到的情況來看，隨著宏觀市場的變化，我們預計趨勢線將穩定在十幾歲的水平。

James Fish, Piper Sandler.

詹姆斯·菲什、派珀·桑德勒。

I wanted to circle back on shockingly Edgio surprised it took that long to talk about it. Congrats on the LinkedIn win. But can you just parse through how much of the tailwind you're seeing today between new accounts to Fastly versus the existing overlapping accounts? And any color there?

我想回到令人震驚的 Edgio 所驚訝的事情，他花了那麼長時間才談論這件事。恭喜您在 LinkedIn 上獲勝。但是，您能否分析一下今天 Fastly 的新帳戶與現有重疊帳戶之間有多少順風？還有什麼顏色嗎？

I'd say the first thing I would mention is that we're not done. The commits that were part of the Edgio platform are still active, and they still haven't all settled out. So we're still in the middle, probably halfway through this motion, and we're pushing hard to make sure we're acquiring as much business as possible.

我想說的第一件事就是我們還沒完成。Edgio 平台的提交仍然有效，並且尚未全部解決。因此，我們仍處於中間階段，可能已經進行了一半，我們正在努力確保獲得盡可能多的業務。

As far as accounts that are new to Fastly and traffic upside, I'd say there's more opportunity and there's been more business in terms of traffic increases than new logos, but it's been healthy on both sides for sure.

就 Fastly 的新帳戶和流量成長而言，我認為在流量成長方面比新標誌有更多的機會和更多的業務，但肯定對雙方來說都是健康的。

Got it. And how are you guys thinking about the opportunity with AI Accelerator and why Fastly sort of has the right to win that workload or if there is required more caching at the edge for inferencing?

知道了。你們如何看待 AI Accelerator 的機會，為什麼 Fastly 有權贏得該工作負載，或者是否需要在邊緣進行更多緩存以進行推理？

Yes. I think AI Accelerator and more and more, we're looking at the opportunity to expand that into more sophisticated use cases. I think Fastly absolutely has the right to win. The core use case, the core value is delivering a more human, a more lower latency experience for LLM interaction, and we absolutely have the performance leader in this space and our caching technology and in this case, the semantic matching caching technology is really best-in-class. I think we absolutely have the right to win there.

是的。我認為 AI 加速器以及越來越多的應用，我們正在尋找機會將其擴展到更複雜的用例。我認為 Fastly 絕對有獲勝的資格。核心用例、核心價值是為 LLM 互動提供更人性化、更低延遲的體驗，我們絕對擁有該領域的效能領導者和我們的快取技術，在這種情況下，語義匹配快取技術確實是一流的。我認為我們絕對有權贏得勝利。

And we've also seen some real traction in deploying AI solutions in other parts of our business, especially security. We just launched the AI scraper bot mitigation, which has gotten a ton of interest, especially at RSA last week. And we're leveraging AI in our reactive DDoS product as well now and really delivering, I think, a pretty differentiated solution here. So I think there's opportunity on the AI side across the portfolio. And for sure, I think we have the right to win.

我們也看到在業務的其他部分（尤其是安全領域）部署人工智慧解決方案取得了一些真正的進展。我們剛剛推出了 AI 抓取機器人緩解措施，這引起了人們的極大興趣，尤其是在上週的 RSA 上。我們現在也在我們的反應式 DDoS 產品中利用人工智慧，並且我認為我們確實提供了一個非常差異化的解決方案。所以我認為整個投資組合中的人工智慧方面都存在著機會。我確信，我們有權獲勝。

Madeline Brooks, Bank of America.

美國銀行的瑪德琳‧布魯克斯 (Madeline Brooks)。

Just one broader one, I guess, kind of a multipart one though. But if I think about the comparing your comments on one being a little bit more conservative for the year just in general with the macro backdrop and geopolitical. But then I look at the guide being raised by, I think, from my calculation, roughly $3 million more than the beat and the strong commentary on expectations for second half. I just want to know how we kind of marry those two things just because if I also look at some, of course, trailing metrics, but still with NRR doesn't give a lot of cushion right now where we are for any further deceleration or contraction.

我想，這只是一個更廣泛的概念，但它是一個多部分的概念。但是，如果我考慮將您的評論與宏觀背景和地緣政治進行比較，您會發現今年的保守程度總體上有所提高。但隨後我看到指導價被上調，根據我的計算，我認為比預期高出約 300 萬美元，並且對下半年的預期有強烈的評論。我只是想知道我們如何將這兩件事結合起來，因為如果我也看一些，當然，落後的指標，但 NRR 仍然沒有給我們太多的緩衝，以應對任何進一步的減速或收縮。

So it just seems like second half, there's a lot of optimism behind it. And I just would like to know kind of where that's coming from and if there's any early signs you've seen that could kind of help us get comfortable with your level of optimism?

因此看起來，下半年將會有很多樂觀情緒。我只是想知道這種感覺從何而來，以及您是否看到任何早期跡象，可以幫助我們對您的樂觀程度感到放心？

We've got pretty good visibility into the pipeline right now. And to be honest, I do think we're being fairly conservative on that guide. There's opportunity for us to see a policy adjustment on TikTok again, that would drive revenue into the projection. And we've got, I think, an opportunity to get upside on the Edgio traffic transformation here, which again would deliver upside to the -- to our projection. There's -- you can see that with 17% growth outside the top 10, our top 10 is still in negative growth.

我們現在對管道有了很好的了解。老實說，我確實認為我們對該指南的態度相當保守。我們有機會再次看到 TikTok 的政策調整，這將推動收入進入預測。我認為，我們有機會從 Edgio 交通轉型中獲得好處，這將再次為我們的預測帶來好處。您可以看到，前 10 名之外的成長率為 17%，而我們的前 10 名仍然處於負成長狀態。

We've got an opportunity to turn that around. And really, I think, turning that around faster and driving a better result sooner gives us an opportunity not just to get to that -- to the new raised guide, but to beat that as well.

我們有機會扭轉這種局面。事實上，我認為，更快地扭轉這種局面並更快地取得更好的結果，不僅使我們有機會達到新的指導目標，而且還能超越它。

[Rob Palcino], Raymond James.

[羅布·帕爾西諾]，雷蒙德·詹姆斯。

Congratulations on the quarter. So sticking with the elevated full year guide, do you expect to be EBITDA positive for the rest of this year? And I was also wondering just in terms of what you're seeing with respect to the pace of new deals that are coming in and whether you're seeing any improvement in your sales cycles?

恭喜本季。那麼，按照全年預期的提升，您是否預計今年剩餘時間的 EBITDA 將為正值？我還想知道，就新交易的速度而言，您看到的情況如何，以及您的銷售週期是否有所改善？

Yes. I think with respect to adjusted EBITDA, we would expect to continue to see positive EBITDA for the year and across the year. And particularly, as we talked about in the second half as a whole, we would see operating profit given the trajectory in our revenue outlook and OpEx for the year.

是的。我認為，就調整後的 EBITDA 而言，我們預計今年和全年的 EBITDA 將繼續為正。特別是，正如我們在整個下半年所討論的那樣，根據我們今年的收入前景和營運支出的軌跡，我們將看到營業利潤。

As far as the sales cycles go, I mentioned we haven't seen a change in the buyer behavior. What we have seen, I think, is a change in the rigor and the operational rigor that our sales team is operating with Scott and his new leadership. And because of that, our pipeline conversion is getting better and our ability to project and predict those deals has been cleaner. I think we're seeing some efficiency gains on the go-to-market side, and we've got opportunity to double down on that efficiency as well. So I see improved execution for sure, no doubt about it.

就銷售週期而言，我提到我們還沒有看到買家行為的改變。我認為，我們看到的是，在史考特和他的新領導下，我們的銷售團隊的嚴謹性和營運嚴謹性發生了變化。正因為如此，我們的管道轉換越來越好，我們預測這些交易的能力也越來越清晰。我認為我們在市場進入方面看到了一些效率的提高，我們也有機會加倍提高效率。因此我確信執行效果會有所改善，這是毫無疑問的。

Rudy Kessinger, D.A. Davidson.

凱辛格（Rudy Kessinger），地方檢察官戴維森。

Todd or Ron, I guess, on security, just why is the growth so slow? It's been single digits the last few quarters. Should we think of the WAF market just being a single-digit growth market from here and out? And then secondly, when should we start to see some acceleration from bot and DDoS? I think the bot management product was launched about a year ago now. And so could you just talk about how the pipeline is shaping up for those products and where maybe security growth could be by year-end?

我想，托德或羅恩，在安全方面，為什麼增長如此緩慢？過去幾季一直都是個位數。我們是否應該認為 WAF 市場今後只是一個個位數成長的市場？其次，我們什麼時候開始看到機器人和 DDoS 的加速？我認為機器人管理產品大約在一年前推出。那麼，您能否談談這些產品的通路發展以及到年底安全成長的可能情況？

Yes. We don't publish the projection by product line or individual product. But I will say, I don't think we're yet seeing the impact of bot or reactive DDoS in those numbers. I believe that security -- as you mentioned, I believe the security growth number can be much higher and we can get to that mid-teens growth rate that where the security space is and being a market share gainer actually beat that. And that's going to be our target.

是的。我們不會發布按產品線或單一產品劃分的預測。但我要說的是，我認為我們還沒有在這些數字中看到機器人或反應式 DDoS 的影響。我相信安全性——正如您所提到的，我相信安全成長數字可以更高，我們可以達到安全領域中的十幾歲成長率，並且作為市場份額獲得者實際上可以超越這一水平。這就是我們的目標。

How quickly we get there, I think, will remain to be seen. But as far as bot and DDoS, we are, I think, really right at the beginning of the growth curve there.

我認為，我們能多快實現這一目標還有待觀察。但就機器人和 DDoS 而言，我認為我們正處於成長曲線的開始階段。

Okay. And then if I look kind of the beat on the quarter, it looks like about 70% of the quarter-over-quarter revenue growth in dollars was from the top 10 customers. How much of that -- you talked about share gains. Last couple of years, you have gains, you have losses, it kind of ebbs and flows. How much of that feels like permanent share gains or at least semi-permanent share gains versus were there any kind of onetime events that surprised you or temporary traffic shifts with those customers that benefited Q1?

好的。然後，如果我看一下本季的表現，看起來季度環比營收成長的 70% 左右來自前 10 名客戶。其中有多少——您談到了股票收益。過去幾年，有收穫，有損失，有起有落。其中有多少感覺像是永久性的份額增長或至少是半永久性的份額增長，而是否有任何令您感到驚訝的一次性事件或使第一季度受益的客戶的暫時流量變化？

Those top 10 media customers, there's a lot of seasonality, but no onetime event I can think of. And I think, to be honest, the share gains here are continuing to increase with the effect of the Edgio change and I think some -- a lot better execution with what we've now deployed a much higher touch customer success and customer engagement model for our top media accounts.

這十大媒體客戶有很多季節性，但我想不出任何一次性事件。而且我認為，說實話，這裡的份額收益在 Edgio 變化的影響下會繼續增加，而且我認為，我們現在為頂級媒體帳戶部署了更高接觸度的客戶成功和客戶參與模式，執行效果要好得多。

But again, like revenue diversification is important to us. We saw 17% growth outside that top 10, and we are going to continue to aggressively pursue not just growth in the top 10, but across the customer base to continue to diversify our revenue and sort of strengthen the portfolio growth outside of networks -- outside network services as well.

但同樣，收入多樣化對我們來說很重要。我們看到前 10 名之外的成長率為 17%，我們將繼續積極追求成長，不僅是前 10 名的成長，而且是整個客戶群的成長，以繼續實現收入多元化，並加強網路之外的投資組合成長——也包括網路服務之外的成長。

(Operator Instructions) And at this time, there are no further questions. I will now turn the call back over to Todd for closing remarks.

（操作員指示）目前，沒有其他問題。現在我將把電話轉回給托德，請他作最後發言。

Excuse me, I'm sorry, it looks like we do have one more, Rebecca.

對不起，對不起，看起來我們還有一個，麗貝卡。

Param Singh, Oppenheimer.

帕拉姆·辛格，奧本海默。

Thought I'd ask a follow-up question here. What do you think is needed in the market to rationalize pricing here? Obviously, getting to high teens from a 20% decline is definitely an incremental improvement. But the idea was that once some of the bad actors in the market go away, you could probably get down to maybe low double digits price decline and hopefully improve from there on. So what's really missing in the market? What’s really needed to -- for the customers to actually accept a better pricing environment?

我想在這裡問一個後續問題。您認為市場需要什麼來合理化定價？顯然，從 20% 的降幅達到 15% 左右絕對是一個漸進的改善。但我們的想法是，一旦市場上的一些不良參與者消失，價格跌幅可能就會降至兩位數以下，並有望從此開始改善。那麼市場真正缺少什麼呢？為了讓顧客真正接受更好的定價環境，真正需要的是什麼？

I think strong sales execution is a part of that from our team, and we are starting to see that. But I think the -- like a healthy market here looks like mid-teens. And we're going to be pushing hard, at least to do our part to drive the market towards that direction. And I do think that with the current competitors in the space, the market for sure, supports that. And that would be a nice tailwind to the business, both on the gross margin and the top line side for the next few years.

我認為強大的銷售執行力是我們團隊的一部分，我們已經開始看到這一點。但我認為——這裡的健康市場看起來處於十幾歲的水平。我們將竭盡全力，至少盡我們的一份力量來推動市場朝著這個方向發展。我確實認為，鑑於該領域目前的競爭對手，市場肯定會支持這一點。這對於未來幾年的業務來說將是一個良好的推動力，無論是在毛利率方面還是在營業收入方面。

And I will now turn it back over to Todd for closing remarks.

現在我將把發言權交還給托德，請他作最後發言。

Thanks so much. I want to thank our employees, customers, partners and investors. We remain focused on execution, bringing lasting growth to our business and delivering value to all of our shareholders. Thank you so much for your time today.

非常感謝。我要感謝我們的員工、客戶、合作夥伴和投資者。我們始終專注於執行，為我們的業務帶來持久成長，並為所有股東創造價值。非常感謝您今天抽出時間。