GitLab Inc (GTLB) 2024 Q1 法說會逐字稿

Thank you for joining us today for GitLab's First Quarter of Fiscal Year 2024 Financial Results Presentation. GitLab's Co-Founder and CEO, Sid Sijbrandij; and GitLab's Chief Financial Officer; Brian Robbins, will provide commentary on the quarter and fiscal year. Please note, we will be opening up the call for panelist questions. (Operator Instructions)

感謝您今天參加 GitLab 2024 財年第一季財務業績報告。 GitLab 聯合創辦人兼執行長 Sid Sijbrandij；以及 GitLab 的財務長；布萊恩羅賓斯 (Brian Robbins) 將對本季和財政年度發表評論。請注意，我們將開放小組成員提問環節。 （操作員指令）

Before we begin, I'll cover the safe harbor statement. During this conference call, we may make forward-looking statements within the meaning of the federal securities laws. These statements involve assumptions and are subject to known and unknown risks and uncertainties that could cause actual results to differ materially from those discussed or anticipated. For a complete discussion of risks associated with these forward-looking statements in our business, please refer to our earnings release distributed today in our SEC filings, including our most recent quarterly report on Form 10-Q and our most recent annual report on Form 10-K.

在我們開始之前，我將介紹安全港聲明。在本次電話會議中，我們可能會根據聯邦證券法做出前瞻性陳述。這些聲明涉及假設，並受已知和未知風險和不確定性的影響，可能導致實際結果與討論或預期的結果有重大差異。有關我們業務中這些前瞻性陳述所涉及的風險的完整討論，請參閱我們今天在美國證券交易委員會 (SEC) 文件中發布的收益報告，包括我們最新的 10-Q 表季度報告和最新的 10-K 表年度報告。

Our forward-looking statements are based upon information currently available to us. We caution you to not place undue reliance on forward-looking statements, and we undertake no duty or obligation to update or revise any forward-looking statement or to report any future events or circumstances or to reflect the occurrence of unanticipated events.

我們的前瞻性陳述是基於我們目前掌握的資訊。我們提醒您不要過度依賴前瞻性陳述，我們不承擔更新或修改任何前瞻性陳述或報告任何未來事件或情況或反映意外事件發生的責任或義務。

We may also discuss financial performance measures that differ from comparable measures contained in our financial statements prepared in accordance with U.S. GAAP. These non-GAAP measures are not intended to be a substitute for our GAAP results. A reconciliation of these non-GAAP measures to the most comparable GAAP financial measures is included in our earnings press release, which, along with these reconciliations and additional supplemental information, are available at ir.gitlab.com. A replay of today's call will also be posted on ir.gitlab.com.

我們也可能討論與依照美國公認會計準則編製的財務報表中的可比較指標不同的財務績效指標。這些非公認會計準則指標並非旨在取代我們的公認會計準則結果。這些非 GAAP 指標與最具可比性的 GAAP 財務指標的對帳包含在我們的收益新聞稿中，該新聞稿以及這些對帳和其他補充資料均可在 ir.gitlab.com 上查閱。今天通話的重播也將發佈在 ir.gitlab.com 上。

I will now turn the call over to GitLab's Co-Founder and Chief Executive Officer, Sid Sijbrandij.

現在我將把電話轉給 GitLab 的聯合創始人兼執行長 Sid Sijbrandij。

Thank you for joining us today. I want to start off by thanking so many of you for the well wishes I've received regarding my health. I'm doing well, and I remain committed, as ever, to GitLab's success.

感謝您今天加入我們。首先我要感謝你們中許多人對我健康的祝福。我做得很好，我仍然一如既往地致力於 GitLab 的成功。

I'm pleased with how our business performed in the first quarter of FY '24. We exceeded our own guidance for both revenue growth and non-GAAP profitability. We executed well towards our goal of making our customers successful on our AI-powered DevSecOps platform. This quarter, we generated revenue of $126.9 million. This represents growth of 45% year-over-year. Our dollar-based net retention rate was 128%. Our first quarter results continue to demonstrate improving operating leverage in our business. Our non-GAAP operating margin improved by almost 1,700 basis points year-over-year, and we remain committed to growing in a responsible manner.

我對我們的業務在24財年第一季的表現感到滿意。我們的收入成長和非公認會計準則獲利能力均超出了我們自己的預期。我們很好地實現了幫助客戶在人工智慧驅動的 DevSecOps 平台上取得成功的目標。本季度，我們實現了 1.269 億美元的收入。這意味著同比增長了 45%。我們的美元淨留存率為128%。我們的第一季業績繼續顯示我們業務的經營槓桿正在提高。我們的非公認會計準則營業利潤率年增近 1,700 個基點，我們將繼續致力於以負責任的方式發展。

I want to start this call with one of the most exciting technology developments of our time: AI and ML. AI represents a major shift for our industry. It fundamentally changes the way that software is developed, and we believe it will accelerate our ability to help organizations make software faster. I'm excited about this new wave of technology innovation. We continue to focus on incorporating AI throughout our DevSecOps platform. We're innovating at a fast pace. In 1Q, we delivered 5 new AI features. And in the first half of May alone, we delivered 5 additional features. All of these are available to customers now, and we continue to iterate on Code Suggestions. This feature allows developers to write code more efficiently by receiving code suggestions as they type. Code Suggestions is available on gitlab.com for all users while in beta. We expect Code Suggestions will be generally available later this year. One of the guiding principles with Code Suggestions is to make it available and accessible to all developers everywhere.

我想以我們這個時代最令人興奮的技術發展之一來開始這通電話：人工智慧 (AI) 和機器學習 (ML)。人工智慧代表著我們產業的重大轉變。它從根本上改變了軟體開發的方式，我們相信它將加速我們幫助組織更快開發軟體的能力。我對這波新科技創新感到興奮。我們將繼續致力於將人工智慧融入我們的 DevSecOps 平台。我們正在快速創新。第一季度，我們推出了 5 項新的 AI 功能。光是 5 月上半月，我們就推出了 5 項附加功能。所有這些現在都可以供客戶使用了，而且我們將繼續對程式碼建議進行迭代。此功能允許開發人員在鍵入時接收程式碼建議，從而更有效率地編寫程式碼。在測試階段，所有使用者都可以在 gitlab.com 上找到「程式碼建議」。我們預計「代碼建議」將在今年稍後全面推出。程式碼建議的指導原則之一是讓世界各地的所有開發人員都可以使用和存取它。

We also extended language support so that more developers can realize the benefits of AI on our platform. In 1Q, we increased language support from the initial 6 languages to now 13 languages. Code Suggestions is uniquely built with privacy first as a critical foundation. Our customers' proprietary source code never leaves GitLab's cloud infrastructure. This means that their source code stays secure. In addition, model output is not stored and not used as training data. AI is not only changing how software is developed, it's also amplifying the value of having a DevSecOps platform. DevSecOps is a category that we created, and we're seeing it enter a mainstream adoption phase.

我們還擴展了語言支援，以便更多開發人員能夠在我們的平台上實現 AI 的好處。在第一季度，我們支援的語言從最初的 6 種增加到現在的 13 種語言。 Code Suggestions 的獨特之處在於以隱私為首要關鍵基礎。我們客戶的專有原始碼從未離開 GitLab 的雲端基礎架構。這意味著他們的源代碼保持安全。此外，模型輸出不被存儲，也不作為訓練資料使用。人工智慧不僅改變了軟體開發的方式，也放大了 DevSecOps 平台的價值。 DevSecOps 是我們創建的一個類別，我們看到它進入主流採用階段。

We are seeing industry analysts recognizing this. I'm pleased to share that GitLab was recently recognized as the only leader in the Forrester Wave for Integrated Software Delivery Platforms 2023. We are excited to see the market mature and recognize the value of an integrated software delivery platform, a strategy that GitLab has followed from the start.

我們看到行業分析師已經認識到了這一點。我很高興地告訴大家，GitLab 最近被 Forrester Wave 2023 年整合軟體交付平台唯一領導者。

This quarter, we had many conversations with senior-level customers, but one with the CTO from a top 5 European bank really stands out. At first, we focused on many of our differentiated features that only a DevSecOps platform can provide. For example, we talked about the benefits of Value Stream Dashboards, DORA metrics and compliance on a single platform. When the conversation moved into AI, a CTO said something extremely interesting. He said code generation is only one aspect of the development cycle. If we only optimize code generation, everything else downstream from the development team, including QAs, security and operations, breaks because these other teams involved in software development can't keep up. This point, incorporating AI throughout the software development life cycle is at the core of our AI strategy.

本季度，我們與多次高階客戶進行對話，但與歐洲五大銀行的技術長的對話尤為突出。首先，我們專注於許多只有 DevSecOps 平台才能提供的差異化功能。例如，我們討論了單一平台上價值流儀表板、DORA 指標和合規性的好處。當談話轉到人工智慧時，一位技術長說了一些非常有趣的話。他說，程式碼生成只是開發週期的一個面向。如果我們只優化程式碼生成，那麼開發團隊下游的所有其他內容，包括 QA、安全和運營，都會中斷，因為參與軟體開發的其他團隊無法跟上。這一點，將人工智慧融入整個軟體開發生命週期是我們人工智慧策略的核心。

Today, our customers have the ability to use Code Suggestions for code creation, Suggested Reviewers for code review, Explain This Vulnerability for vulnerability remediation, Value Stream Forecasting for predicting future team efficiency and much more. We're proud to have 10 AI features available to customers today, almost 3x more than the competition.

今天，我們的客戶能夠使用程式碼建議來建立程式碼、使用建議的審閱者來審查程式碼、使用解釋此漏洞來修復漏洞、使用價值流預測來預測未來團隊效率等等。我們很自豪今天能夠向客戶提供 10 項 AI 功能，幾乎比競爭對手多出 3 倍。

Applying AI to a single data store for a full software development life cycle also creates compelling business outcomes. We believe that this is something that can only be done with GitLab. We see a lot of excitement surrounding AI at the executive level. We are hearing from customers that AI is motivating them to assess how they develop, secure and operate software through a new lens. Enterprise-level companies who may not have been in the market until 2024, 2025, 2026 are reevaluating their strategies. On top of that, there's new personas entering the mix. As chief information security officers navigate this new AI-powered world, they are working to empower their teams to benefit from AI and apply appropriate governance, security, compliance and auditability.

將 AI 應用於單一資料儲存以實現完整的軟體開發生命週期也能創造引人注目的業務成果。我們相信，這只有 GitLab 才能做到。我們看到高階主管層面對人工智慧表現出極大的興趣。我們從客戶那裡聽說，人工智慧正在激勵他們透過新的視角來評估他們如何開發、保護和操作軟體。那些可能要到 2024 年、2025 年、2026 年才會進入市場的企業級公司正在重新評估他們的策略。除此之外，還有新人物加入其中。當首席資訊安全長探索這個新的人工智慧世界時，他們正在努力使他們的團隊受益於人工智慧並應用適當的治理、安全性、合規性和可審計性。

In all, we believe that AI will increase the total addressable market for several reasons. First, AI will make writing code easier which, we believe, will expand the audience of people, such as junior and citizen developers who build software. Second, as these developers become more productive, we see software becoming less expensive to create. We believe this will fuel demand for even more software. More developers will be needed to meet this additional demand. And third, we expect customers will increasingly turn to GitLab as they build machine learning models and AI into their applications. As we add ModelOps capabilities to our DevSecOps platform, this will invite data science teams as new personas, and we'll allow these teams to work alongside their Dev, Sec, and Ops counterparts. We see ModelOps as a big opportunity for GitLab.

總而言之，我們相信人工智慧將增加整體潛在市場，原因如下。首先，人工智慧將使編寫程式碼變得更容易，我們相信這將擴大受眾群體，例如建立軟體的初級開發人員和公民開發人員。其次，隨著這些開發人員的生產力提高，我們發現軟體開發成本變得更低。我們相信這將刺激對更多軟體的需求。需要更多的開發人員來滿足這項額外需求。第三，我們預計，當客戶將機器學習模型和人工智慧建置到他們的應用程式中時，他們將越來越多地轉向 GitLab。當我們將 ModelOps 功能添加到我們的 DevSecOps 平台時，這將邀請資料科學團隊作為新的角色，我們將允許這些團隊與他們的 Dev、Sec 和 Ops 同行一起工作。我們認為 ModelOps 對 GitLab 來說是一個巨大的機會。

Expanding the addressable market will also create an opportunity to capture greater value. Later this year, we plan to introduce an AI add-on focused on supporting development teams. This new add-on will include Code Suggestions functionality. We anticipate this will be priced at $9 per user per month billed annually. This add-on will be available later this year across all our tiers. All of this innovation accentuates a broader theme for our business: the differentiation between a Dev and DevSecOps platform. We believe that an AI-powered platform focused solely on the developer persona is incomplete. It is missing essential security, operations and enterprise functionality.

擴大目標市場也將創造獲得更大價值的機會。今年晚些時候，我們計劃推出一款專注於支援開發團隊的 AI 外掛程式。這個新的附加元件將包括程式碼建議功能。我們預計價格為每位用戶每月 9 美元，按年計費。該附加組件將於今年稍後在我們所有的層級中推出。所有這些創新都強調了我們業務的一個更廣泛的主題：Dev 和 DevSecOps 平台之間的差異。我們認為，僅僅關注開發人員角色的人工智慧平台是不完整的。它缺少必要的安全性、操作和企業功能。

Remember, developers spend only a small fraction of their time developing code. The real promise of AI extends far beyond code creation. And this is where GitLab has a structural advantage. We are the most comprehensive DevSecOps platform in the market. Features like Code Suggestions and Remote Development are important accelerants for developer efficiency. And to date, GitLab has more AI features geared towards developers than our competitors. However, that isn't enough. In order to achieve a 10x faster cycle time on projects, enterprises need an end-to-end platform that works across the entire software development life cycle.

請記住，開發人員只花費一小部分時間來開發程式碼。人工智慧的真正前景遠不止程式碼創建。而這正是 GitLab 具有結構優勢的地方。我們是市場上最全面的 DevSecOps 平台。程式碼建議和遠端開發等功能是提高開發人員效率的重要促進劑。到目前為止，GitLab 比我們的競爭對手擁有更多面向開發人員的 AI 功能。但這還不夠。為了實現專案週期縮短 10 倍，企業需要一個涵蓋整個軟體開發生命週期的端到端平台。

Let me describe some of GitLab's key security, operations and enterprise differentiators. For security, only GitLab has dynamic application security testing, container scanning, API security, compliance management and security policy management. In operations, only GitLab has feature flags, infrastructure as code, error tracking, service desk and incident management. And for enterprises, only GitLab has portfolio management, OKR management, Value Stream management, DORA metrics and design management.

讓我描述一下 GitLab 的一些關鍵安全、營運和企業差異化因素。在安全性方面，只有 GitLab 具有動態應用程式安全測試、容器掃描、API 安全性、合規性管理和安全性策略管理。在營運方面，只有 GitLab 具有功能標誌、基礎設施即程式碼、錯誤追蹤、服務台和事件管理。而對企業來說，只有 GitLab 擁有投資組合管理、OKR 管理、價值流管理、DORA 指標和設計管理。

Let me illustrate the value of a DevSecOps platform with one of our customers, Lockheed Martin. Lockheed Martin's customers depend on them to help them overcome their most complex challenges and to stay ahead of emerging threats. Their customers need the most technologically advanced solutions. Lockheed Martin's engineering teams require speed and flexibility to meet the specific mission needs of each customer. They also require shared expertise and infrastructure to ensure affordability. Lockheed Martin has a history of using a wide variety of DevOps tools. They need it to improve automation, standardize security practices and collaboration. They choose to go big with GitLab, greatly reducing their tool chain and cutting complexity while reducing cost and workload. The Lockheed Martin team has reported 80x faster CI pipeline builds, 90% less time spent on system maintenance. They've retired thousands of Jenkins servers. Lockheed Martin continues to grow with GitLab and is looking to migrate even more projects to their DevSecOps platform. One of their software strategy executives said, "By switching to GitLab and automating deployment, teams have moved from monthly or weekly deliveries to daily or multiple daily deliveries."

讓我與我們的一位客戶洛克希德馬丁一起來闡述 DevSecOps 平台的價值。洛克希德馬丁公司的客戶依靠他們來幫助他們克服最複雜的挑戰並在新興威脅中保持領先。他們的客戶需要技術最先進的解決方案。洛克希德馬丁公司的工程團隊需要速度和靈活性來滿足每位客戶的特定任務需求。他們還需要共享專業知識和基礎設施以確保可負擔性。洛克希德馬丁公司曾使用過各種 DevOps 的工具。他們需要它來提高自動化程度，標準化安全實踐和協作。他們選擇使用 GitLab，大幅減少了工具鏈、降低了複雜性，同時降低了成本和工作量。洛克希德馬丁團隊報告稱，CI 管道建造速度提高了 80 倍，系統維護時間減少了 90%。他們已經淘汰了數千台 Jenkins 伺服器。洛克希德馬丁公司繼續與 GitLab 共同成長，並希望將更多專案遷移到其 DevSecOps 平台。他們的一位軟體戰略高管表示，“通過切換到 GitLab 並實現自動化部署，團隊已經從每月或每週交付轉變為每日或每日多次交付。”

Lockheed is a great example of the power of a DevSecOps platform. And we see this in other use cases as well, such as compliance. In the quarter, a large health care provider purchased GitLab Ultimate for our platform features. They needed to meet specific compliance requirements from their auditors, and they determined that GitLab is the best way to achieve their objectives.

洛克希德是 DevSecOps 平台強大功能的一個很好的例子。我們也在其他用例中看到了這一點，例如合規性。本季度，一家大型醫療保健提供者購買了 GitLab Ultimate 以獲取我們的平台功能。他們需要滿足審計員的特定合規性要求，並確定 GitLab 是實現其目標的最佳方式。

Another customer we expanded business with in Q1 is NatWest Group, a relationship bank for the digital world. NatWest Group is focused on delivering sustainable growth and results while fostering a better, simpler banking experience. Last year, NatWest Group chose GitLab Dedicated. They wanted to enable their engineers to use a common cloud engineering platform to deliver a better experience for customers and colleagues. Five months into the program, we are pleased that NatWest has reported shorter onboarding times and productivity gains. This led to NatWest choosing GitLab Professional Services to accelerate their transformation by supporting training, certifications and developer days.

我們在第一季擴大業務的另一個客戶是 NatWest Group，一家數位世界的關係銀行。蘇格蘭皇家銀行集團致力於實現永續成長和成果，同時提供更好、更簡單的銀行體驗。去年，NatWest Group 選擇了 GitLab Dedicated。他們希望讓他們的工程師能夠使用通用的雲端工程平台為客戶和同事提供更好的體驗。在該計劃實施五個月後，我們很高興看到 NatWest 報告了入職時間的縮短和生產力的提高。這導致 NatWest 選擇 GitLab 專業服務來透過支援培訓、認證和開發者日來加速其轉型。

In summary, we're confident in the strong value proposition that GitLab provides to customers. GitLab is the most comprehensive AI-powered DevSecOps enterprise platform. The significant return on investment, quick payback period and well-documented positive business outcomes are resonating globally. We're trusted by more than 50% of the Fortune 100 to secure and protect their most valuable assets.

總之，我們對 GitLab 為客戶提供的強大價值主張充滿信心。 GitLab 是最全面的基於 AI 的 DevSecOps 企業平台。可觀的投資回報、快速的投資回收期以及有據可查的積極商業成果在全球範圍內引起了共鳴。超過 50％ 的《財星》100 強企業信賴我們，保護他們最寶貴的資產。

We also believe we're in the early stages of capturing an estimated $40 billion addressable market, a market that we've seen evolve from point solutions to a platform, from DIY DevOps to a DevSecOps platform. And AI will speed up different aspects of software creation and development. This, in turn, creates the need for a more robust security, compliance and planning capabilities. In today's era of rapid innovation, the power of a platform like GitLab to enable faster cycle times truly shines.

我們也相信，我們正處於佔領估計價值 400 億美元潛在市場的早期階段，我們已經看到這個市場從點解決方案發展到平台，從 DIY DevOps 發展到 DevSecOps 平台。人工智慧將加速軟體創建和開發的不同方面。這反過來又需要更強大的安全性、合規性和規劃能力。在當今快速創新的時代，像 GitLab 這樣的平台能夠縮短週期時間，其威力真正凸顯出來。

I'll now turn it over to Brian Robbins, GitLab's Chief Financial Officer.

現在我將把主題交給 GitLab 的財務長 Brian Robbins。

Thank you, Sid, and thank you again for everyone joining us today. I'd like to spend a moment discussing the macro environment, the financial impact of our recently implemented Premium pricing change and provide some insights into the financial impact of our AI products. Then I will quickly recap our first quarter financial results and key operating metrics and conclude with our guidance.

謝謝你，Sid，再次感謝今天與我們一起的各位朋友。我想花點時間討論宏觀環境、我們最近實施的 Premium 定價變化的財務影響，並對我們的 AI 產品的財務影響提供一些見解。然後，我將快速回顧我們的第一季財務表現和關鍵營運指標，並得出我們的指導結論。

Let me first touch on some of the watch points that I discussed on prior calls. We continue to see sales cycles remaining at 4Q levels due to more people involved in deal approvals. Contraction improved over 4Q, but is higher than prior quarters. Like 4Q, contraction is driven almost entirely by lower seat counts with minimal downtiering. I was pleased with the bookings predictability in 1Q. It was much better than 4Q.

首先，讓我談談我在之前的電話會議中討論過的一些注意事項。由於參與交易審批的人員增多，我們繼續看到銷售週期保持在第四季度的水平。收縮情況較第四季有所改善，但高於前幾季。與第四季一樣，萎縮幾乎完全是由席次數量減少造成的，且降級幅度很小。我對第一季的預訂可預測性感到滿意。這比第四季好多了。

As we mentioned on the prior call, we raised the price of our Premium SKU for the first time in 5 years. Over that time frame, we added over 400 new features, transitioned from a Dev platform to a DevSecOps platform. We shared that we expected the Premium price increase to have minimum impact in FY '24 with greater impact in FY '25 and beyond. The price increase, which took effect on April 3, is going as planned. We only had 1 month of renewals impacted by the price increase in the quarter. To date, customer churn is unchanged for the Premium customers who renewed in April, and our average ARR per customer increased in line with our expectations.

正如我們在先前的電話會議上提到的，我們五年來首次提高了高級 SKU 的價格。在此期間，我們增加了 400 多個新功能，從開發平台過渡到 DevSecOps 平台。我們表示，預計高級版價格上漲對 24 財年的影響最小，對 25 財年及以後的影響較大。此次漲價於4月3日生效，一切都按照計畫進行。本季度，僅有 1 個月的續約受到價格上漲的影響。到目前為止，4 月續約的高級客戶的客戶流失率沒有變化，而且我們每位客戶的平均 ARR 按照我們的預期成長。

Now on to the way we are thinking about the financials and the impact of our AI products. We continue to invest in people and infrastructure to support AI. While we have had some teams working on AI features, we recently shifted additional engineers from other teams to support the work on AI. As a result, this has not led to significant incremental expenses on engineering talent. Additionally, we have made investments in our cloud provider spend to support our AI and R&D efforts. In addition, we also continue to leverage partners to help drive our AI vision. This has included partnership announcements with Google Cloud and Oracle. The Google partnership allows us to use Google Cloud AI functionality to make our own AI offerings better by leveraging their tool set. The partnership with Oracle makes it easier for our customers to deploy their own AI and machine learning workloads using Oracle's Cloud Infrastructure. Both of these partnerships help create strategic differentiation for our customers in a financially responsible manner.

現在來談談我們對財務和人工智慧產品影響的看法。我們將繼續投資人才和基礎設施來支援人工智慧。雖然我們有一些團隊致力於人工智慧功能，但我們最近從其他團隊調來了更多工程師來支援人工智慧的工作。因此，這並沒有導致工程人才方面的支出大幅增加。此外，我們也對雲端供應商進行了投資，以支援我們的人工智慧和研發工作。此外，我們也持續利用合作夥伴來幫助推動我們的人工智慧願景。其中包括與 Google Cloud 和 Oracle 的合作公告。透過與 Google 合作，我們可以利用 Google Cloud AI 功能，透過利用他們的工具集來改進我們自己的 AI 產品。與 Oracle 的合作使我們的客戶可以更輕鬆地使用 Oracle 雲端基礎架構部署自己的 AI 和機器學習工作負載。這兩種合作關係都有助於以財務負責的方式為我們的客戶創造策略差異化。

Now turning to the quarter. Revenue of $126.9 million this quarter represents an increase of 45% organically from the prior year. We ended 1Q with over 7,400 customers with ARR of at least $5,000, compared to over 7,000 customers in the fourth quarter of FY '23 and over 5,100 customers in the prior year. This represents a year-over-year growth rate of approximately 43%. Currently, customers with greater than $5,000 ARR represent approximately 95% of our total ARR. We also measure the performance and growth of our larger customers, who we define as those spending more than $100,000 in ARR with us. At the end of the first quarter of FY '24, we had 760 customers with ARR of at least $100,000 compared to 697 customers in 4Q of FY '23, and 545 customers in the first quarter of FY '23. This represents a year-over-year growth rate of approximately 39%.

現在轉向本季。本季營收為 1.269 億美元，較上年同期有機成長 45%。截至第一季度，我們擁有超過 7,400 名 ARR 至少為 5,000 美元的客戶，而 23 財年第四季度的客戶數量超過 7,000 名，去年同期的客戶數量超過 5,100 名。這意味著同比增長率約為 43%。目前，ARR 超過 5,000 美元的客戶約占我們總 ARR 的 95%。我們還衡量大客戶的業績和成長，我們將其定義為在我們這裡花費超過 100,000 美元的 ARR 的客戶。截至 24 財年第一季末，我們擁有 760 名 ARR 至少為 10 萬美元的客戶，而 23 財年第四季有 697 名客戶，23 財年第一季有 545 名客戶。這意味著同比增長率約為 39%。

As many of you know, we do not believe calculated billings to be a good indicator of our business, given that prior period comparisons can be impacted by a number of factors, most notably our history of large prepaid multiyear deals. This quarter, total RPO grew 37% year-over-year to $460 million, and cRPO grew 44% to $324 million for the same time frame. We ended our first quarter with a dollar-based net retention rate of 128%. As a reminder, this is a trailing 12-month metric that compares the expansion activity of customers over the last 12 months with the same cohort of customers during the prior 12 months period. The dollar-based net retention of 128% was driven by lower seat expansion and contraction due to seats.

大家可能都知道，我們不認為計算出的帳單能很好地反映我們的業務，因為前期比較會受到多種因素的影響，最明顯的是我們歷史上大規模預付多年期交易的影響。本季度，RPO 總金額年增 37% 至 4.6 億美元，而 cRPO 金額在同一時間段內成長 44% 至 3.24 億美元。我們第一季結束時的美元淨留存率為 128%。提醒一下，這是一個過去 12 個月的指標，用於比較過去 12 個月客戶的擴張活動與前 12 個月同一批客戶的擴張活動。以美元計算的淨留存率為 128%，是由於座位數擴張減少以及座位數收縮所致。

The Ultimate tier continues to be our fastest-growing tier, representing 42% of ARR for the first quarter of FY '24 compared with 39% of ARR in the first quarter of FY '23. Non-GAAP gross margins were 91% for the quarter, which has slightly improved from both the immediate preceding quarter for the first quarter of FY '23. SaaS represents over 25% of total ARR, and we've been able to maintain non-GAAP gross margins despite the higher cost of delivery. This is another example of how we continue to drive efficiencies in the business. We saw improved operating leverage this quarter, largely driven by realizing greater efficiencies as we continue to scale the business.

Ultimate 級別繼續是我們成長最快的級別，佔 24 財年第一季 ARR 的 42%，而 23 財年第一季佔 ARR 的 39%。本季非公認會計準則毛利率為 91%，較 23 財年第一季前一季略有改善。 SaaS 佔總 ARR 的 25% 以上，儘管交貨成本較高，但我們仍能維持非 GAAP 毛利率。這是我們持續提高業務效率的另一個例子。本季我們的經營槓桿有所提高，這主要得益於我們不斷擴大業務規模並實現更高的效率。

Non-GAAP operating loss of $15 million or negative 12% of revenue compared to a loss of $24.8 million or negative 28% of revenue in 1Q of last year. 1Q FY '24 includes $5.6 million of expenses related to our JV and majority-owned subsidiary compared to $3.7 million in 1Q FY '23. Operating cash use was $11 million in the first quarter of FY '24 compared to $28.2 million used in the same quarter of last year.

非公認會計準則 (GAAP) 營業虧損為 1,500 萬美元，或負收入 12%，而去年第一季的虧損為 2,480 萬美元，或負收入 28%。 24 財年第一季包括與我們的合資企業和多數股權子公司相關的 560 萬美元費用，而 23 財年第一季為 370 萬美元。 24財年第一季的營運現金使用量為1,100萬美元，去年同期為2,820萬美元。

Now let's turn to guidance. We're assuming the macroeconomic headwinds and trends in the business we have seen over the last few quarters continue. There has been no change to our overall guidance philosophy. For the second quarter of FY '24, we expect total revenue of $129 million to $130 million, representing a growth rate of 28% to 29% year-over-year. We expect a non-GAAP operating loss of $11 million to $10 million. And we expect a non-GAAP net loss per share of negative $0.03 to negative $0.02, assuming 153 million weighted average shares outstanding.

現在讓我們來談談指引。我們假設過去幾季看到的宏觀經濟逆風和業務趨勢將會持續下去。我們的整體指導理念沒有改變。對於 24 財年第二季度，我們預計總營收為 1.29 億美元至 1.3 億美元，年增 28% 至 29%。我們預計非 GAAP 營業虧損為 1,100 萬美元至 1,000 萬美元。我們預期非 GAAP 每股淨虧損為負 0.03 美元至負 0.02 美元，假設加權平均流通股為 1.53 億股。

For the full year FY '24, we now expect total revenue of $541 million to $543 million, representing a growth rate of approximately 28% year-over-year. We expect non-GAAP operating loss of $47 million to $43 million. And we expect non-GAAP net loss per share of negative $0.18 to negative $0.14, assuming 153 million weighted average shares outstanding. On a percentage basis, our new annual FY '24 guidance implies a non-GAAP operating improvement of approximately 1,200 basis points year-over-year, at the midpoint of our guidance.

我們預計 24 財年全年總營收為 5.41 億美元至 5.43 億美元，年增約 28%。我們預計非公認會計準則營業虧損為 4,700 萬美元至 4,300 萬美元。我們預期非公認會計準則每股淨虧損為負 0.18 美元至負 0.14 美元，假設加權平均流通股為 1.53 億股。以百分比計算，我們新的 24 財年年度指引意味著非 GAAP 營運利潤年增約 1,200 個基點，處於指引的中間值。

Over the longer term, we believe that a continued targeted focus on growth initiatives and scaling the business will yield further improvements in unit economics. The guidance has us on track to achieve cash flow breakeven for FY '25. For modeling purposes, we estimate that our fully diluted share count is 173 million.

從長遠來看，我們相信，持續有針對性地專注於成長計畫和擴大業務規模將進一步提高單位經濟效益。該指引使我們預計在 25 財年實現現金流收支平衡。為了建模目的，我們估計我們的完全稀釋股份數量為 1.73 億股。

Separately, I would like to provide an update on JiHu, our China joint venture. Our goal remains to deconsolidate JiHu. However, we cannot predict the likelihood or timing of when this may potentially occur. Thus, for modeling purposes for FY '24, we now forecast approximately $29 million of expenses related to JiHu compared with $19 million in FY '23. These JiHu expenses represent approximately negative 5% of our total implied negative 8% non-GAAP operating loss for FY '24.

另外，我想介紹一下我們的中國合資企業奇虎的最新情況。我們的目標仍然是拆分奇虎。然而，我們無法預測這種情況發生的可能性或時間。因此，出於對24財年的建模目的，我們現在預測與奇虎相關的費用約為2900萬美元，而23財年為1900萬美元。這些奇虎費用約占我們 24 財年非 GAAP 隱含營業虧損 8% 的負 5%。

Our #1 priority as a management team is to drive revenue growth, but we'll do that responsibly. There has been no philosophical change in how we run the business to maximize shareholder value over the long term.

作為管理團隊，我們的首要任務是推動收入成長，但我們會負責任地做到這一點。為了長期實現股東價值最大化，我們的業務經營方式並沒有任何理念上的改變。

Before we take questions, I'd like to thank our customers for trusting GitLab to help them achieve their business objectives. I also want to thank our team members, partners and the wider GitLab community for their contributions this quarter.

在我們回答問題之前，我想感謝我們的客戶信任 GitLab 來幫助他們實現業務目標。我還要感謝我們的團隊成員、合作夥伴和更廣泛的 GitLab 社群本季所做的貢獻。

With that, we'll now move to Q&A. (Operator Instructions) We're ready for the first question.

接下來我們進入問答環節。 （操作員指示）我們已準備好回答第一個問題。

Our first question comes from Rob with Piper Sandler.

我們的第一個問題來自 Piper Sandler 的 Rob。

All right. I think I did that correctly after 3 years of using Zoom.

好的。我認為在使用 Zoom 三年後我做對了這一點。

Hey, Rob.

嘿，羅布。

I'm curious to hear an update on customer conversations. Obviously, a stronger-than-expected quarter, but we are seeing this deceleration, I think, across all high-growth tech companies. So [I don't want to quote] gen AI in the macro, how should we think about pressure on net retention rates, customer acquisition that's coming from customers taking a more prudent approach in the current budgetary environment versus, I guess, rethinking needs for dev head count and reevaluating which dev tools to purchase just given all the gen AI innovations lately?

我很想聽聽有關客戶對話的最新消息。顯然，這是一個強於預期的季度，但我認為，所有高成長科技公司都出現了這種減速現象。所以 [我不想引用] 宏觀上的人工智慧，我們應該如何看待淨留存率的壓力、來自客戶在當前預算環境下採取更審慎態度的客戶獲取，還是重新考慮開發人員數量的需求並重新評估在最近所有的人工智慧創新之後需要購買哪些開發工具？

Thanks, Rob. And before I answer that question, maybe an update on my health. I just completed my last round of systemic chemotherapy, so happy about that.

謝謝，羅布。在我回答這個問題之前，我想先了解我的健康狀況。我剛完成了最後一輪全身化療，對此感到非常高興。

Congratulations.

恭喜。

Thanks. And also no sign of detectable disease, and I'm excited about GitLab's future, and I'll continue in my role as CEO and Chair.

謝謝。而且也沒有可檢測到疾病的跡象，我對 GitLab 的未來感到興奮，我將繼續擔任執行長和主席。

Yes, lots of things to unpack in your question. We see the macro trends continuing, and that's putting pressure on seat count. That was the same last quarter, and we anticipate that trend to continue. At the same time, we're super excited of what the macro is doing to the mindset of customers, because they say, hey, now we -- it's time to consolidate. And at the same time, we see that the analysts are seeing that, hey, this is consolidating as a market. So we believe that DevOps platform is going to be the way that people will consolidate. We have the most comprehensive DevSecOps platform, which is also great if you look at the application of AI.

是的，你的問題中有很多內容需要解釋。我們看到宏觀趨勢仍在繼續，這給席位數量帶來了壓力。上個季度的情況也是如此，我們預計這種趨勢將會持續下去。同時，我們對宏觀經濟對客戶心態的影響感到非常興奮，因為他們說，嘿，現在我們——是時候整合了。同時，我們看到分析師認為，嘿，這是一個市場正在整合的過程。因此我們相信 DevOps 平台將成為人們整合的方式。我們擁有最全面的 DevSecOps 平台，如果從人工智慧的應用來看，這也是非常棒的。

We're able to apply AI not just for Code Suggestions but apply it across the entire spectrum. We have more than 10 features that we were able to ship. And those 10 features, they drive value at every part along the stage. And as for how that influences the TAM, which you alluded to, we think AI is going to make it easier for more people to enter the fray. So we think it was a supply of more people using the product.

我們不僅可以將人工智慧應用於程式碼建議，還可以將其應用於整個領域。我們有超過 10 種可以交付的功能。這 10 個特點在舞台的每個部分都發揮價值。至於這對您提到的 TAM 有何影響，我們認為 AI 將使更多人更容易加入競爭。因此我們認為這是因為有更多的人使用該產品。

At the same time, when you see that software development becomes easier, we believe there's going to be more demand for it. Software development used to be very expensive. AI makes it more affordable. There's going to be more demand. And more demand, again, means more people entering the fray. And last but certainly not least, it's an opportunity for us to manage not just the code that companies have, but also their models. And that's what we do with our MLOps functionality. We already allow you to run experiments with GitLab. We want to extend to a full MLOps managed platform where we add the data engineers to the constituents that use GitLab.

同時，當你看到軟體開發變得更加容易時，我們相信對它的需求會更大。軟體開發曾經非常昂貴。人工智慧讓它變得更實惠。需求將會更多。而更多的需求則意味著更多的人加入競爭。最後但同樣重要的一點是，這對我們來說是一個機會，不僅可以管理公司擁有的程式碼，還可以管理他們的模型。這就是我們使用 MLOps 功能所做的事情。我們已經允許您使用 GitLab 執行實驗。我們希望擴展到一個完整的 MLOps 管理平台，在這個平台上我們將資料工程師加入到使用 GitLab 的組成部分中。

Great. And if I can sneak a quick one in for Brian. Just regarding DPOs and the linearity of the quarter, was that either large deals at the end? Or was it very back-end weighted? And if I look at that receivable base and assume collections on it, looks like you could turn the corner from a cash flow perspective relatively soon. So any commentary on turning free cash flow positive?

偉大的。如果我可以偷偷地為布萊恩拿一份的話。僅就 DPO 和季度的線性而言，最後是否有大筆交易？或者它是否非常注重後端？如果我看一下應收帳款基數並假設以此為基礎進行收款，那麼從現金流的角度來看，你似乎很快就能扭轉局面。那麼，對於將自由現金流轉為正值，您有何評論？

Yes. I'll touch on DSOs, and I'll touch on free cash flow breakeven. And so from a DSO perspective, we were more weighted towards the end of the quarter. But the good news is that we -- our amount of bad debt over the last 3 years has not exceeded 1%, and our aged receivables has been very, very consistent. And so some of our European customers have requested net 45, net 60. And so we've accommodated that just because of the macro and the bad debt expense being so low.

是的。我將談談 DSO，也將談談自由現金流損益平衡。因此，從 DSO 的角度來看，我們更加重視季度末。但好消息是，我們過去 3 年的壞帳金額未超過 1%，而且我們的應收帳款帳齡一直非常非常穩定。因此，我們的一些歐洲客戶要求淨 45 天、淨 60 天。

From a free cash flow breakeven perspective, we committed to be free cash flow breakeven in FY 2025. And we've also stated some of the actions that we've taken previously will accelerate our path to profitability, but haven't given a specific time line on that.

從自由現金流損益平衡的角度來看，我們承諾在 2025 財年實現自由現金流損益兩平。

Up next, we have Joel with Truist.

接下來我們請到 Truist 的 Joel。

Thank you. And Sid, I'm sending prayers to you, and congrats on making it through the treatment.

謝謝。西德，我為你祈禱，祝賀你成功完成治療。

Thank you.

謝謝。

Brian, just a quick follow-up for you on Rob's question. Any -- can you -- congrats on the margin improvement. I think that's -- you've done a really good job. Can you give us a little bit more color on some of the things that you're doing to continue to drive towards cash flow breakeven while still investing in some of these new initiatives that you're doing, which obviously you've spent a lot of time talking about some of these AI programs that are coming out?

布萊恩，我只是想快速跟進羅布提出的問題。任何——你能——祝賀利潤率提高嗎？我認為——你做得非常好。您能否向我們詳細介紹您正在做的一些事情，以繼續實現現金流收支平衡，同時仍然投資於您正在進行的一些新計劃，顯然您花了很多時間談論一些即將推出的人工智能程序？

And then just as a follow-up to that, is have you like tested this $9 increased -- license increase to your customer base and whether or not that they'll -- there's going to be any pushback there?

然後作為後續問題，您是否測試過將許可證費用增加 9 美元給您的客戶群，以及他們是否會遇到任何阻力？

Yes, Joel, absolutely. Thanks for the question. As Sid and I have always stated since we went public is the #1 objective at GitLab is to grow, but we'll do that responsibly. And we've tried to demonstrate that every quarter. And so nothing has changed in that front. Non-GAAP -- our gross -- non-GAAP gross margin percent went up to 91%, even though we continue to have really high SaaS growth and size is greater than 25% of our overall revenue. And so we're continuing to look at all areas within the business where we can optimize, but we aren't doing that at the expense of growth because that's the #1 objective at the company. I think we demonstrated that across all cost categories, and we'll continue to look at that quarter-over-quarter.

是的，喬爾，絕對是。謝謝你的提問。正如 Sid 和我一直所說，自我們上市以來，GitLab 的首要目標就是發展，但我們會負責任地做到這一點。我們每個季度都試圖證明這一點。在這方面沒有任何改變。非 GAAP —— 我們的毛利率——非 GAAP 毛利率百分比上升至 91%，儘管我們的 SaaS 業務繼續保持較高的成長速度，且規模占我們總收入的 25% 以上。因此，我們將繼續專注於業務中可以優化的所有領域，但我們不會以犧牲成長為代價，因為這是公司的首要目標。我認為我們在所有成本類別中都證明了這一點，並且我們將繼續逐季度關注這一點。

On the $9 increase, we haven't tested that yet. We -- from a guidance perspective, most of the cost for that is in headcount and cloud costs, and that's included in the guidance that we gave. And so we don't expect any changes from a guidance perspective.

關於 9 美元的漲幅，我們還沒有測試過。從指導角度來看，大部分成本是員工人數和雲端成本，這些都包含在我們給予的指導中。因此，從指導角度來看，我們預計不會有任何變化。

Next, we have Sterling with MoffettNathanson.

接下來是 MoffettNathanson 的 Sterling。

Sid, congratulations as well on the completion of the treatments. Hopefully, you got a chance to actually ring the bell. Brian, just to -- and Sid, just another follow-up question just on the pricing. So you touched upon it, but I want to make sure to put a fine point here. Did it have any impact on win rates or length of deals where maybe customers were asking and negotiating a little bit harder because of the price increase? Or anything in terms of size of initial lands that may have been impacted because of the price increase? And if not, does that actually change when you think some of the benefits of the pricing increase will actually flow through the revenue line?

席德，恭喜你完成治療。希望您有機會真正敲響鈴鐺。布萊恩 (Brian)，還有席德 (Sid)，還有另一個關於定價的後續問題。所以你提到了這一點，但我想確保在這裡提出一個很好的觀點。這是否會對交易成功率或交易期限產生影響？或者初始土地面積方面可能因為價格上漲而受到影響嗎？如果不是，那麼當您認為價格上漲帶來的部分利益實際上會流入收入線時，情況是否真的會改變？

Yes. Thanks for that, Sterling. I guess for everyone on the call, let me just briefly touch on the price increase. We haven't raised prices in 5 years. And over that time period, we added 400 new features to the platform. And so that was the genesis of the price increase. The guidance we gave last quarter and today include the price increase. As you know, the price was effective in early April. And so we really only had a short period of less than a month for that. But I am happy to say that the renewal rates and the churn and the land of new customers have been better than expected. And so we're happy with the results that we've seen in just that 1 month time period.

是的。謝謝你，斯特林。我想對於電話會議中的每個人來說，我都想簡單談談價格上漲的問題。我們已經五年沒有漲價了。在此期間，我們為該平台添加了 400 個新功能。這就是價格上漲的起因。我們上個季度和今天給出的指導都包括價格上漲。如您所知，該價格於四月初生效。所以我們實際上只有不到一個月的短暫時間來實現這一點。但我高興地說，續約率、客戶流失率和新客戶數量都比預期的要好。因此，我們對在短短一個月內看到的結果感到非常滿意。

Our next question comes from Matt with RBC.

下一個問題來自 RBC 的 Matt。

And I'll offer my congrats, Sid. That's the best news of the call, really good to hear you doing well.

我要向 Sid 表示祝賀。這是通話中最好的消息，很高興聽到你一切都好。

I noticed Ultimate ticked up. I believe, Brian, you said it was 42%, which, last year, was kind of flattish, really the whole year. I was curious what was driving that? Is that sort of AI showing up some of those migrations? Is it more of the [NOD] security? Or perhaps is it -- is there any of the price increase on Premium that's maybe driving folks to Ultimate?

我注意到 Ultimate 已經上升了。布萊恩，我相信你說的是 42%，而去年，這一數字實際上全年都比較平穩。我很好奇是什麼原因導致的？這種人工智慧是否能顯示出一些遷移？它是否更像是 [NOD] 安全性？或者可能是——Premium 版本的價格上漲是否會促使人們購買 Ultimate 版本？

Yes. Thanks, Matt. When we talk about Ultimate, as we said before, is we don't set the sales compensation to basically compensate on Ultimate versus Premium. We want to try to take as much friction out of the process. For the consumer as well, we do the same on SaaS and self-managed as well. And so Ultimate, the strength in Ultimate is really based on the underlying value that we're driving to our customers. The ROI on Ultimate, Forrester did a study, it was 427% over 3 years, and payback was around 6 months. And so when I looked at the quarter and looked at sort of Premium, Ultimate and sort of the breakout between contraction, churn, first order and expansion, Ultimate had -- churn was consistent with a bunch of prior quarters. Contraction was very consistent. Our growth was just as good as prior quarters, and we had a really strong first order quarter as well. And so Ultimate continues to do well. It's our fastest-growing tier, and we're happy with the results.

是的。謝謝，馬特。當我們談論 Ultimate 時，正如我們之前所說的那樣，我們不會將銷售補償設定為基本上對 Ultimate 與 Premium 進行補償。我們希望盡力消除這過程中的摩擦。對消費者來說，我們也在 SaaS 和自我管理上做同樣的事情。因此，Ultimate 的優勢實際上是基於我們為客戶帶來的潛在價值。 Forrester 對 Ultimate 的投資回報率進行了研究，3 年內達到 427%，回報期約為 6 個月。因此，當我查看本季並查看 Premium、Ultimate 以及收縮、流失、首單和擴張之間的突破時，Ultimate 的流失率與之前的幾個季度一致。收縮非常一致。我們的成長與前幾季一樣好，我們的第一個訂單季度也表現非常強勁。因此 Ultimate 繼續表現良好。這是我們成長最快的層級，我們對結果感到滿意。

That's fantastic. And then maybe just if I could follow up with one with Sid. One of the questions that we get from developer -- from investors the most is, does gen AI put pressure on developers -- I think you talked about a little bit in your prepared remarks. But maybe could you put a finer point on sort of the question of P times Q. And does the number of seats go down in the future? Or do you think it stays consistent or maybe even goes up?

太棒了。然後也許我可以和 Sid 一起跟進。我們從開發人員（尤其是投資者）那裡得到的一個問題是，新一代人工智慧是否會給開發人員帶來壓力？但也許您能更詳細地解釋 P 乘以 Q 的問題。或者您認為它會保持不變甚至可能上升？

Yes. The -- we believe that generative AI will expand the market. So first of all, you make the product easier. Like coding today is hard, and AI makes it easier. So we expect the citizen developers, these junior developers to start coding. That code needs to be managed somewhere. And that is in GitLab.

是的。我們相信生成式人工智慧將會擴大市場。因此首先，你要讓產品變得更簡單。就像今天的編碼很難，但人工智慧讓它變得更容易。因此，我們希望公民開發者，這些初級開發者開始編碼。該代碼需要在某處進行管理。那是在 GitLab 中。

The second thing is you make it -- you -- when a developer can do more, you bring down the price, and that should increase demand for development and software development activities. Third, what you have today is a DevSecOps platform, but we've already articulated that we want to be a place where you manage not just code but also MLOps. MLOps is the management of data and the management of models. Models are harder to manage than code. They change over time, and they have a lot of risks, security risks, discrimination risks, risks that you're doing the wrong thing, risk that they are outdated. So it's a really interesting space to expand the product to. And for example, today, if you have an experiment in MLflow, you can link it to the experiment in GitLab. And in the future, we'll plan to come out with a model registry in GitLab. So those are all reasons why we think the market will expand.

第二件事是，當開發人員可以做更多事情時，你就會降低價格，這應該會增加對開發和軟體開發活動的需求。第三，您今天擁有的是一個 DevSecOps 平台，但我們已經明確表示，我們希望成為一個不僅可以管理程式碼還可以管理 MLOps 的地方。 MLOps 是資料的管理，也是模型的管理。模型比程式碼更難管理。它們會隨著時間而改變，並且存在著許多風險，安全風險、歧視風險、做錯事的風險、過時的風險。因此，這是一個擴展產品的非常有趣的空間。例如，今天，如果您在 MLflow 中有一個實驗，您可以將其連結到 GitLab 中的實驗。並且將來我們計劃在 GitLab 中推出模型註冊表。這些都是我們認為市場會擴張的原因。

One other way to look at it is you have generative AI. It produces more code. All that codes also needs to be secured, also need to put in operations. So if you don't have a good DevSecOps platform, you create a bottleneck at the beginning. That bottleneck is solved with the DevSecOps platform.

另一種看待這個問題的方式是你擁有生成性人工智慧。它會產生更多的程式碼。所有這些程式碼也需要受到保護，也需要投入運作。因此，如果您沒有一個好的 DevSecOps 平台，那麼一開始就會造成瓶頸。 DevSecOps 平台解決了這個瓶頸。

We will now hear from Koji with Bank of America.

現在我們來聽聽美國銀行的 Koji 的發言。

Maybe a question for Sid or Brian here. I wanted to ask you a question about how you plan on attacking the other 50% of the Fortune 500 -- or I'm sorry, the Fortune 100 that you don't have. Is it still a primary land-and-expand strategy? Or is it going to be more of a higher level sale for these customers? I was just kind of hoping you could dig into that a little bit more, please.

這裡也許有一個問題要問 Sid 或 Brian。我想問您一個問題，您計劃如何進軍財富 500 強企業的另外 50%——或者對不起，您還沒有進軍的財富 100 強企業。這仍然是一個主要的登陸和擴張策略嗎？或者說這對這些客戶來說會是更高層次的銷售嗎？我只是希望您能更深入地探討一下這個問題。

Yes. I think it's certainly that it is both the bottoms-up sale but also the top-down sales. So we have a direct sales motion, but also a channel sales motion that's getting more important. Channel sales, think of our partners, AWS and GCP, where we work with them to go to customers. And we're talking to CTOs, CISOs, CIOs, and we help them see the picture. What we commonly do as a value stream analysis. We point out all the different tools they use throughout the cycle and how that adds up in cycle time. And with GitLab, they're going to save on tooling costs, they can save on the cost of integrating that tooling. They can make their people more productive, and they can go faster through that cycle and get initiatives out. So it's certainly something we're going to market with. And as you said, our goal is 100% of the Fortune 100.

是的。我認為這肯定是自下而上的銷售，也是自上而下的銷售。因此，我們不僅有直接銷售動議，還有越來越重要的通路銷售動議。通路銷售，想想我們的合作夥伴 AWS 和 GCP，我們與他們合作去接觸客戶。我們正在與首席技術長、首席資訊安全官、首席資訊長進行交流，以幫助他們了解情況。我們通常做的是價值流分析。我們指出了他們在整個週期中使用的所有不同工具以及這些工具如何在週期時間中累積。借助 GitLab，他們將節省工具成本，可以節省整合該工具的成本。他們可以使員工更有效率，並且可以更快地完成整個週期並實施計劃。因此這肯定是我們要推銷的產品。正如您所說，我們的目標是 100% 躋身財富 100 強。

Got it. And maybe a follow-up here for Brian on kind of going back to free cash flow. This quarter, free cash flow is higher than non-GAAP operating income. And I recall there's some cash flow mechanics around contract duration that should be mostly out of the model by this point. So is that right with the cash flow mechanics? And does free cash flow trend higher than non-GAAP operating income from here on an annual basis? Just could you just dig into that just a little bit more for me, please?

知道了。也許這裡是 Brian 關於自由現金流的後續問題。本季度，自由現金流高於非公認會計準則營業收入。我記得合約期限周圍有一些現金流機制，到此時這些機制基本上應該不再存在於模型中。那麼，現金流機制正確嗎？年度來看，自由現金流趨勢是否高於非 GAAP 營業收入？您能為我進一步深入講解一下嗎？

Yes, absolutely. When we joined -- when I first joined the company, we were not incentivizing the sales force to do multiyear deals because we had such a high gross retention rate. And so we really pushed for 1-year deals in this. That's why you saw billings and RPO is -- go down and wouldn't grow at the same rate as cRPO or short-term calculated billings. But we still continue to have prepaid multiyear deals within our existing book of business. And so as those contracts renew, you'll see some lumpiness in our billings and collections, and Q1 was one of those quarters.

是的，絕對是如此。當我加入公司時，我們並沒有激勵銷售人員進行多年期交易，因為我們的毛留存率很高。因此，我們確實推動了這項為期一年的交易。這就是為什麼您會看到帳單和 RPO 下降並且不會以與 cRPO 或短期計算帳單相同的速度增長。但我們現有業務範圍內仍繼續有預付費多年期交易。因此，隨著這些合約的續約，您會看到我們的帳單和收款出現一些波動，而第一季就是其中一個季度。

Next, we have Michael with KeyBanc.

接下來是 KeyBanc 的 Michael。

Can you hear me?

你聽得到我嗎？

We can. Go ahead.

我們可以。前進。

So can you -- you're getting the (inaudible) competition has gone. Microsoft, obviously, they have been very visible around Copilot. You announced a lot of (inaudible). But how has the sort of day in and day out competition gone? As you said, Brian, sales cycles have not extended. But people sizing you up against each other indifferently. How are they entering this discussion (inaudible)?

所以你能嗎 - 你已經知道（聽不清楚）競爭已經結束了。顯然，微軟在 Copilot 的影響力十分顯著。您宣布了很多（聽不清楚）。但這種日復一日的競爭進展如何呢？正如您所說，布萊恩，銷售週期並沒有延長。但人們卻漠然地互相打量著你。他們是如何參與這場討論的（聽不清楚）？

Yes. I think I got most of it, Michael. And I think I'll repeat the question was how has the sales cycle changed with -- between us and Microsoft, and what -- if you had noticed any change -- noticeable things within the quarter.

是的。我認為我已經了解了大部分，邁克爾。我想重複這個問題，即我們和微軟之間的銷售週期發生了怎樣的變化？

So one thing to note this quarter is on last earnings call, I talked about how the first month of the quarter was very different than the second and third month of the quarter. This quarter is really predictable. And so I was happy with the predictability of the quarter. Week 3, we called the quarter and landed really close to that. The sales cycles in first quarter remained at fourth quarter levels. And so there wasn't a lot of change there. As I talked about earlier, Ultimate being greater than 50% of the bookings and continue to do well. I think that shows some of the differentiation between us and Microsoft. The hyperscalers as well had a great quarter as well. They grew over 200% year-over-year from a bookings perspective. And also this quarter, we had lower discounting than the previous quarter. And so the trends with Microsoft remain pretty consistent where we still don't see any competition at about 50% of the deals. We see them in very little deals, but there is more discussion around OpenAI, ChatGPT and Copilot.

因此，本季需要注意的一件事是，在上次財報電話會議上，我談到了本季第一個月與第二個月和第三個月有何不同。本季確實是可以預測的。因此我對本季的可預測性感到滿意。第三週，我們宣布了季度目標，並且非常接近這個目標。第一季的銷售週期保持在第四季的水平。所以那裡沒有太大的變化。正如我之前提到的，Ultimate 的預訂量超過 50% 並且繼續表現良好。我認為這顯示了我們和微軟之間的一些差異。超大規模企業也度過了一個出色的季度。從預訂量來看，他們的成長速度比去年同期增加了 200% 以上。而且本季我們的折扣低於上一季。因此，微軟的趨勢仍然相當一致，我們仍然在約 50% 的交易中沒有看到任何競爭。我們在很少的交易中看到它們，但圍繞 OpenAI、ChatGPT 和 Copilot 的討論更多。

Derrick with Cowen is next.

接下來是德里克和考恩。

And Sid, congrats on the news. I wanted to start, in the press release, you talked about an expanded partnership with Oracle and a new AI/ML offering, enabling customers to speed up model train and inference. Can you give us a little more detail around those new partner initiatives? And then just from a broader perspective, how you're thinking about the gen AI-related revenue opportunities in the quarters ahead?

希德，恭喜你聽到這個消息。首先，在新聞稿中，您談到了與 Oracle 擴大合作夥伴關係並推出新的 AI/ML 產品，使客戶能夠加快模型訓練和推理的速度。您能否向我們詳細介紹這些新的合作夥伴計畫？那麼從更廣泛的角度來看，您如何看待未來幾季與人工智慧相關的收入機會？

Yes, thanks for the question. So we're really excited about our partnership with Oracle Cloud. They have a great customer base. And what it means is that our customers now can now run AI and ML workloads on GPU-enabled GitLab Runners on the Oracle Cloud Infrastructure, and that's a great powerful infrastructure. Additionally, we're available in Oracle's marketplace, expanding our distribution.

是的，謝謝你的提問。因此，我們對與 Oracle Cloud 的合作感到非常興奮。他們擁有龐大的客戶群。這意味著我們的客戶現在可以在 Oracle 雲端基礎架構上支援 GPU 的 GitLab Runners 上執行 AI 和 ML 工作負載，這是一個非常強大的基礎架構。此外，我們也在 Oracle 市場開展業務，擴大我們的分銷範圍。

So our strategy, with AI in mind, is to partner closer with the hyperscalers. And the toughest one is Microsoft. We try to partner there too. But with everyone else, we see a lot of momentum, and that's AWS, GCP and Oracle. We want to get closer. We want to enable our customers to run their normal workloads, their AI workloads there, and where you can expect us to have more announcements going forward.

因此，考慮到人工智慧，我們的策略是與超大規模企業建立更緊密的合作夥伴關係。其中最難對付的是微軟。我們也嘗試在那裡建立合作關係。但對於其他公司，我們看到了很大的發展勢頭，那就是 AWS、GCP 和 Oracle。我們想要更親近。我們希望使我們的客戶能夠在那裡運行他們的正常工作負載和 AI 工作負載，並且您還可以期待我們在未來發布更多公告。

Okay. Maybe a quick one for you, Brian. Appreciate getting more exact numbers on net revenue retention rates. Kind of looking forward and with respect to your guidance for the rest of the year, is there any kind of target ranges that you'd guide us towards? Or how we should be thinking about trends around gross retention and expansion factors?

好的。布萊恩，這對你來說可能是一個快速的方法。歡迎獲得有關淨收入保留率的更精確數字。有點期待，對於您今年剩餘時間的指導，您是否可以指導我們實現什麼目標範圍？或者我們應該如何思考圍繞總保留和擴展因素的趨勢？

We didn't give out the specifics of those metrics. What I will say is this quarter -- last quarter was more predictable. And so it makes it easier from a modeling perspective. And everything is factored into guidance. And so we didn't give specific metrics for those.

我們並未透露這些指標的具體細節。我要說的是，本季——上個季度——更加可預測。因此從建模的角度來看，這使得它變得更容易。一切都已納入指導之中。因此我們沒有給出這些的具體指標。

Kash with Goldman Sachs.

高盛的卡什 (Kash)。

Okay. Great. Sid, good to see that you're recovering very well. And congratulations on the quarter. It looks like business stabilized for you guys. I had a question on the generative AI capabilities. At what point are we looking to -- is there any need for further differentiation of GitLab versus the competition? This auto code generation feature that has been made much off, right, is that a real sticking point in conversations? Do you think the customer base really values and appreciates the broader set of AI capabilities that GitLab has to offer? So it looks like there is a bit of a perception issue in the market that you don't have those kinds of features that the competition appears to have. If you can debunk that mix for us, that will be great.

好的。偉大的。席德，很高興看到你恢復得很好。並恭喜本季取得佳績。看起來你們的生意已經穩定了。我對生成式人工智慧能力有一個疑問。我們在什麼時候尋求－GitLab 與競爭對手是否需要進一步區分？這個自動程式碼產生功能已經被大大關閉了，對吧，這是否是談話中真正的癥結所在？您是否認為客戶群真正重視並欣賞 GitLab 提供的更廣泛的 AI 功能？因此看起來市場存在一些認知問題，認為你們不具備競爭對手所具備的那些功能。如果您能為我們揭穿這個謊言，那就太好了。

And then one for you, Brian. What does the month of May look like from a linearity standpoint? The net expansion rates that you saw as improving in the March quarter, it does hold up in the month of May as well.

接下來還有一篇給你，布萊恩。從線性的角度來看，五月是什麼樣的？您看到的 3 月季度淨擴張率有所提高，5 月也維持了相同的水平。

Thanks, Kash. Like in AI, you have the code generation. If you just produce a whole bunch more code, then it's going to get log jammed later down the pipeline. You also need to do more security fixes. You need to deploy more. So we're really fortunate that we have a single application, a single data store for the entire DevSecOps cycle, and we can apply AI to all of them. And that's led us to having 3x as many publicly usable AI features as our competition. That is a big advantage. As long as at the beginning that, of course, you also need the code suggestions. But having the whole rest make sure that if you get more effective there, it works, and you get a faster cycle time throughout, and that's a really exciting development.

謝謝，卡什。就像在人工智慧中一樣，你可以產生程式碼。如果您只是產生一大堆程式碼，那麼它將在後續的管道中陷入堵塞。您還需要進行更多安全修復。您需要部署更多。因此，我們非常幸運，我們擁有一個單一的應用程式、一個涵蓋整個 DevSecOps 週期的單一資料存儲，我們可以將 AI 應用於所有這些。這使得我們擁有的可公開使用的 AI 功能比競爭對手多 3 倍。這是一個很大的優勢。只要一開始那樣，當然你還需要程式碼建議。但是，其餘所有人確保如果你在那裡變得更有效率，它就會起作用，並且你會獲得更快的循環時間，這是一個非常令人興奮的發展。

And Brian, I had one for you.

布萊恩，我有一個給你。

And just on the second part of the question, as you would expect, we track a number of metrics internally from top of the pipeline to bottom conversion rates, piecing, expansion, churn, contraction and so forth. And I'm happy quarter-to-date, things are as expected. And so like I've mentioned last quarter was more predictable in fourth quarter and quarter-to-date, and we'll see how the quarter finishes out, but it's as expected on all those metrics that we track internally.

關於問題的第二部分，正如您所期望的，我們在內部追蹤了從管道頂部到底部的轉換率、拼接、擴展、流失、收縮等一系列指標。我很高興本季迄今為止一切順利，一切如預期。正如我所提到的，上個季度的情況比第四季度和本季度迄今為止更加可預測，我們將看看本季度的結果如何，但從我們內部追蹤的所有指標來看，這都是預期的。

Next is Karl with UBS.

接下來是瑞銀的卡爾。

Maybe, Brian, I'll point this to you. So as all of us try to run back-of-the-envelope math about what the $9 per seat monetization plan might mean for fiscal '25, can you offer any guardrails as to things we should keep in mind so we're -- maybe we're a little bit tight on what it could mean?

也許，布萊恩，我會向你指出這一點。因此，當我們所有人都試圖粗略地計算一下每座位 9 美元的貨幣化計劃對 25 財年意味著什麼時，您能否就我們應該牢記的事情提供一些指導意見，以便我們——也許我們對它可能意味著什麼有一點把握？

And I guess maybe as 2 quick follow-ups. Is there any reason to believe that it wouldn't be applicable to all of your paying users? Or does it feel like it would be relevant only for a subset? And then on top of that, do you think this could actually accelerate the conversion of the free user base to the paid user base such that the opportunity set is beyond our estimate of what your paying user base looks like?

我想也許可以快速跟進兩個問題。有什麼理由相信它不適用於所有付費用戶？或感覺它只與一個子集相關？除此之外，您是否認為這實際上可以加速免費用戶群向付費用戶群的轉化，以至於機會集超出了我們對付費用戶群的估計？

Yes. Lots in there to unpack. Just on FY 2025, we haven't given out guidance for next year yet. And so I really can't comment on that. The $9 that Sid talked about in the script is baked into our guidance for this year.

是的。裡面有很多東西要打開。僅限 2025 財年，我們尚未給出明年的指導。所以我實在無法對此發表評論。西德在劇本中談到的 9 美元已經包含在我們今年的指導價格中。

Okay. But Brian, does it -- could it accelerate a free-to-paid conversion? I'm not asking you for fiscal '25 guidance, just kind of framework as we try to model out what it could mean. Anything you'd offer up as we take our best shot?

好的。但是布萊恩，它能加速免費到付費的轉變嗎？我並不是要求您提供 25 年的財務指導，而只是要求您提供一種框架，以便我們嘗試模擬出它可能意味著什麼。當我們盡力而為時，您能提供什麼幫助嗎？

I think that all that we're doing is to make the developer, the security and operations personas more efficient and to allow, make code better, faster, cheaper, more secure. And so I think anything that you do that enables that should help out on all the metrics that you track and model.

我認為我們所做的一切都是為了讓開發人員、安全性和操作人員更有效率，並讓程式碼變得更好、更快、更便宜、更安全。因此，我認為您所做的任何事情都應該有助於您追蹤和建模的所有指標。

Congrats on the quarter.

恭喜本季取得佳績。

Appreciate it, Karl.

非常感謝，卡爾。

We will now hear from Jason with William Blair.

我們現在來聽聽威廉布萊爾 (William Blair) 的傑森 (Jason) 的發言。

All right. Great. I wanted to ask about whether you're exploring a consumption element to your pricing model and how that might work, especially on the cloud side.

好的。偉大的。我想問一下，您是否正在探索定價模型的消費元素，以及該模型如何運作，特別是在雲端。

Yes, thanks for that. We already have consumptives elements in our model. So for example, for compute and for storage, you pay on a consumption basis. We're adding features to that consumption, for example, in GitLab 16 released on June 22, we released macOS runners, we released Linux runners, we had the Oracle partnership where we have more AI runners, GPU runners. So that is a small part of our revenue today, but we're releasing additional features.

是的，謝謝。我們的模型中已經有了消費元素。例如，對於計算和存儲，您可以根據消費付費。我們正在為該消費添加功能，例如，在 6 月 22 日發布的 GitLab 16 中，我們發布了 macOS 運行器，發布了 Linux 運行器，我們與 Oracle 建立了合作夥伴關係，擁有更多的 AI 運行器和 GPU 運行器。所以這只是我們今天收入的一小部分，但我們正在發布額外的功能。

I think over time, you see that the licensing is going to become more flexible. We have cloud licensing today, and that allows us to be more flexible in what you pay for. For example, the add-on we are envisioning for AI, right now, it's efficient to something if you use it, you pay for it, otherwise not. We'll see what we end up releasing, but that's what we're thinking about. So I think you're right that the mindset of customers is going more consumption, and we don't -- we want to be meeting the expectations there.

我認為隨著時間的推移，許可將會變得更加靈活。我們今天擁有雲端許可，這使得我們在支付方面更加靈活。例如，我們為 AI 設想的附加元件，現在，如果你使用它，它就會很有效率，否則就不需要。我們將會看到我們最終會發布什麼，但這就是我們正在考慮的。所以我認為你是對的，顧客的心態是更多的消費，而我們不想滿足他們的期望。

Got you. All right. And then one quick follow-up just on that AI SKU. What is going to be included in that SKU beyond Code Suggestions?

明白了。好的。然後對該 AI SKU 進行一次快速跟進。除了程式碼建議之外，該 SKU 還包含什麼？

Right now, we've only talked about Code Suggestions being part of it.

現在，我們僅討論了其中的程式碼建議。

Perfect. Good to see you looking good, Sid.

完美的。很高興看到你看起來很好，Sid。

Thanks, Jason. Appreciate it.

謝謝，傑森。非常感謝。

Gregg with Mizuho.

瑞穗的格雷格。

Don't see him on. We can go to the next one.

沒看到他上線。我們可以去下一個了。

Pinjalim with JPMorgan.

摩根大通的 Pinjalim。

Great. Sid, good to see you doing well. Sid, maybe one on MLOps. Can you help us understand where are we in the maturity curve for GitLab with respect to MLOps? Is DataOps kind of the gap at this point? I'm trying to understand with the current craze of kind of developing gen AI application, are you seeing new or existing customers kind of talking about using GitLab as part of their MLOps workflow when they're thinking about building this gen AI apps?

偉大的。席德，很高興看到你一切都好。西德 (Sid)，也許是 MLOps 上的一個。您能幫助我們了解 GitLab 在 MLOps 方面的成熟度曲線處於什麼位置嗎？ DataOps 是否是目前的差距？我試圖了解，在目前開發新一代 AI 應用程式的熱潮中，當新客戶或現有客戶考慮建立這一代 AI 應用程式時，您是否看到他們談論使用 GitLab 作為其 MLOps 工作流程的一部分？

And then one follow-up. The $9 per user per month add-on, is that basically an extension into visual code? Is there a difference between a SaaS user or a self-managed user?

然後進行一次後續行動。每位用戶每月 9 美元的附加元件，這基本上是視覺化程式碼的擴充嗎？ SaaS 使用者和自我管理使用者之間有什麼區別？

Yes. Thanks for that. So to answer the last question first, that $9 will be the same $9, whether you're a SaaS user or a self-managed user, you'll be able to use the Code Suggestion features in our Web IDE as well as in the usual editors like Visual Studio Code.

是的。謝謝。因此，首先回答最後一個問題，那麼 9 美元將是相同的 9 美元，無論您是 SaaS 用戶還是自我管理用戶，您都可以在我們的 Web IDE 以及常用編輯器（如 Visual Studio Code）中使用程式碼建議功能。

Regarding ModelOps, we're really, really early. So I don't want to oversell this. It's a vision of where we're going to the future, of where we see the TAM expanding. Today, we have the functionality to link experiments in MLflow to GitLab, and the next feature that will come out is a model registry. And when you have a model registry, that's going to form the basis of new functionality we can do is then you have the model kind of control in GitLab as well, and you can start adding more functionality.

關於 ModelOps，我們還處於非常非常早期的階段。所以我不想過度推銷這一點。這是我們對於未來發展方向的願景，也是 TAM 擴張方向的願景。今天，我們已經具有將 MLflow 中的實驗連結到 GitLab 的功能，下一個即將推出的功能是模型註冊表。當您擁有模型註冊表時，它將構成我們可以執行的新功能的基礎，然後您也可以在 GitLab 中擁有模型類型的控制，並且您可以開始添加更多功能。

We expect that MLOps functionality to come before the DataOps functionality. The model learning looks a lot more like code in many ways than the data. So it's kind of the logical step is first models and then data. With data, it's -- we don't have functionality yet, and that will come later. I think it's -- the thing to know is that we have the ambition. We have the ambition to go beyond code. We have the ambition to manage your code, your models and your data because we think the application of the future is going to have all 3, and all 3 are going to be governed. All 3 are going to have security and compliance questions that you want your tool, your DevSecOps platform to figure out for you. And that's why we are doing this, not because it's easy, but because it's super, super useful. And because every application is going to have interactions between the 3, if we can bring all those constituents together, that's going to be super valuable for our customers.

我們預計 MLOps 功能將先於 DataOps 功能出現。在很多方面，模型學習看起來更像程式碼而不是資料。因此，合乎邏輯的步驟是先有模型，然後有資料。對於數據來說，我們目前還沒有實現相關功能，這些功能將在以後實現。我認為——需要知道的是，我們有雄心壯志。我們有超越代碼的雄心。我們的目標是管理您的程式碼、模型和數據，因為我們認為未來的應用程式將包含這三者，而這三者都將受到治理。這三個都會有安全性和合規性問題，您希望您的工具、您的 DevSecOps 平台為您解決這些問題。這就是我們這樣做的原因，不是因為它很容易，而是因為它非常非常有用。由於每個應用程式都會有這三者之間的交互，如果我們能夠將所有這些組成部分整合在一起，那麼這對我們的客戶來說將非常有價值。

Next is Mike with Needham.

接下來是 Mike 和 Needham。

You have Mike Cikos on the line here. First one for Sid, and Sid, great to hear on the health. That's tremendous news, and I appreciate you giving us all an update.

現在請找 Mike Cikos 先生。第一個是獻給 Sid 的，很高興聽到 Sid 的健康狀況。這是個好消息，我感謝您向我們通報最新情況。

Wanted to circle up on the AI add-on that we've been talking about. And I know the Code Suggestions is the only one that we're talking to today that's going to be part of that add-on. Can you help us think through, will GitLab be offering up AI features or certain products, however you want to phrase it, independent of that add-on? Or are you going to have to adopt that AI add-on in able to reap the benefits of the AI technology investments that you guys are making today? And then I have one follow-up for Brian.

想要圍繞著我們一直在談論的 AI 附加元件展開討論。並且我知道程式碼建議是我們今天討論的唯一一個將成為該附加元件的一部分的內容。您能否幫助我們思考一下，GitLab 是否會提供 AI 功能或某些產品（無論您想如何措辭），獨立於該附加元件？或者你們必須採用該 AI 附加元件才能獲得你們今天所做的 AI 技術投資的收益？然後我對 Brian 有一個後續問題。

Yes, it's a great question. Like will every AI -- piece of AI functionality be in that add-on? And how does it work? Will there be additional add-ons? Will it be part of Premium or Ultimate? Those are pricing and packaging questions. We're still looking into today, so I can't comment on that. It's a valid question though.

是的，這是一個很好的問題。就像每個 AI——AI 功能都會包含在該附加元件中嗎？它是如何運作的？還會有其他附加內容嗎？它是 Premium 還是 Ultimate 的一部分？這些都是定價和包裝問題。我們今天仍在調查，因此我無法對此發表評論。但這是一個有效的問題。

Okay, okay. And to Brian then, if I just look at Q1, obviously, the revenue was well ahead of the guidance and your expectations. Can you help us think through what was better than expected during the quarter? And similarly, what is management embedding in its guidance, if I look at the much more, I guess, modest sequential revenue growth that we're now looking for in 2Q?

好的，好的。那麼布萊恩，如果我只看第一季度，顯然收入遠遠超出了指導和預期。您能幫助我們思考本季哪些方面比預期更好嗎？同樣，如果我看一下我們現在在第二季度期待的更溫和的連續收入成長，管理層在其指導中嵌入了什麼？

Yes. Thanks for the question, Mike. I was happy with the predictability in the quarter, as I stated earlier. When we talked about guidance on the last call, because we had more variability in fourth quarter, the range got higher. And so we looked at the bottom end of the range and selected that. And so if you compare us 1Q to 4Q, sales cycles remained at 4Q levels. I did discuss how the hyperscalers bookings were over 200% year-over-year. We also had the lower discounting, and I touched on the strength of Ultimate in the quarter. And so the guidance approach hasn't changed. When we look at the history of what we've done and we look at the assumptions that we have in the model, we have a very detailed bottoms-up model to come up with guidance. And we use the same guidance approach given the macro conditions, and that's how we planned.

是的。謝謝你的提問，麥克。正如我之前所說，我對本季的可預測性感到滿意。當我們在上次電話會議上談論指導時，由於第四季度的變化更大，因此範圍變得更高。因此，我們查看了範圍的底端並選擇了它。因此，如果將第一季與第四季進行比較，銷售週期仍保持在第四季的水平。我確實討論過超大規模企業的預訂量同比增長了 200% 以上。我們的折扣也較低，我在本季度談到了 Ultimate 的優勢。因此指導方法沒有改變。當我們回顧我們所做事情的歷史記錄並查看模型中的假設時，我們有一個非常詳細的自下而上的模型來提供指導。我們根據宏觀條件採用相同的指導方法，這就是我們的計劃。

Let's try Gregg with Mizuho. He has reconnected.

讓我們來試試 Gregg 和 Mizuho 吧。他已重新連線。

All right. Glad the connection is holding. And Sid, very glad to hear the encouraging news regarding your health.

好的。很高興連接保持正常。西德，很高興聽到你健康的好消息。

I'd like to follow up on ModelOps, and I know it's really early. I do think the native registry is an interesting enhancement. And just curious to get your expectation with regard to attracting data science teams to the platform going forward as that starts to ramp. And then I have a follow-up for Brian.

我想跟進 ModelOps，但我知道現在還為時過早。我確實認為本機註冊表是一個有趣的增強功能。我很好奇，隨著平台的發展，您對吸引數據科學團隊加入平台有何期望。然後我要跟進一下 Brian 的情況。

Yes, because it's really early, we want them to work together hand in hand. You see that many changes need both the change in the code and a change in the models, and it's going to lead to different data being outputted. So these changes that today happen in different platform, different tool chains and sometimes very manual, we expect that it's going to be more and more important to happen on the same level. You think about the financial industry, what you execute, what you have to prove to your auditors is going to be based on procedural code plus a model you're running, plus that model you're changing based on data that you need to prove like what data did you use to train the model that, that was then called from your code. That's the questions we need to answer, that our customers need to answer, and we want to help them do that in a way that's friction-free where it's not up to the developers to document it each and every time but the platform just takes care of it and you only have to point out a transaction and you can immediately see how you did that. And that's really hard to achieve today without a platform. And that's what we're going for. As said, very, very early, but I hope a compelling ambition.

是的，因為還為時過早，我們希望他們能攜手合作。您會發現許多更改既需要更改程式碼也需要更改模型，這將導致輸出不同的資料。因此，今天這些發生在不同平台、不同工具鏈上的變化，有時非常手動，我們預計，在同一層面上發生將變得越來越重要。想想金融業，您執行的操作、您需要向審計師證明的操作都將基於程式碼加上您正在運行的模型，再加上您基於需要證明的資料更改的模型，例如您使用什麼資料來訓練模型，然後從您的程式碼中呼叫該模型。這就是我們需要回答的問題，也是我們的客戶需要回答的問題，我們希望以一種無摩擦的方式幫助他們做到這一點，開發人員不需要每次都記錄下來，而是由平台來處理，你只需要指出一筆交易，就能立即看到你是如何做到的。如今，如果沒有平台，這真的很難實現。這正是我們要做的。正如所說，現在還為時過早，但我希望這是一個令人信服的雄心。

All right. Very helpful. And then for Brian, in the Q4, you mentioned that your NRR decreased almost equally, I think, across seats, tier upgrades and price yield. Any change to that mix in the Q1?

好的。非常有幫助。然後對於 Brian，在第四季度，您提到您的 NRR 在座位數、等級升級和價格收益率方面幾乎同樣下降。第一季該組合有任何變化嗎？

It's been relatively the same. And so seats is about 50%, price increase is about 25%, and the last is 25%. So there really hasn't been any change whatsoever.

相對而言還是一樣。因此席位約為 50%，價格上漲約 25%，最後一個是 25%。所以實際上並沒有發生任何變化。

Next is Nick with Scotiabank.

接下來是加拿大豐業銀行的尼克。

Sid, great to hear you're doing well. Just a follow-up on Matt's question on the Ultimate mix ticking up. It sounds like some of the strength there was driven from a business that was up for renewal in a smaller price point delta between Premium, Ultimate, and it also sounds like there was some strength there just on net new customers landing at Ultimate. But I'm just curious given there's more renewal businesses sort of we progressed through 2Q in the second half, should we expect the Ultimate mix to continue to uptick here?

席德，很高興聽到你一切都好。這只是對 Matt 關於 Ultimate mix 的問題的後續回答。聽起來，其中的部分優勢似乎是來自於一項在 Premium 和 Ultimate 之間較小的價格點差異中需要續約的業務，而且聽起來，其中的部分優勢似乎是來自於登陸 Ultimate 的淨新客戶。但我很好奇，考慮到我們下半年第二季取得了更多的續約業務，我們是否應該預期 Ultimate 產品組合會繼續上升？

Yes. Thanks for the question, Nick. As we said before, and I think it's worth saying again, we don't compensate the sales team to sell Ultimate versus Premium. And so that is an output and not something that we're solving for. We want to deliver the best solution for the customer and get them a quick time to value and a positive business outcome. And so Ultimate had strength in the quarter. It's really driven by compliance, security and all the additional product features that Ultimate has. When you go through and look at Ultimate and look at expansion, first orders and so forth, Ultimate performed well in a lot of the categories as expected. And so where we saw some pockets of weakness was really in Premium on expansion of our existing clients as well as the contraction. Churn was relatively low, but we still saw some contraction as well. And so like I said, Ultimate had a good quarter. There was some pockets of weakness in Premium, I'll call them watch points that we continue to watch. But overall, happy with what we delivered.

是的。謝謝你的提問，尼克。正如我們之前所說，而且我認為值得再說一遍，我們不會向銷售團隊支付報酬來銷售 Ultimate 和 Premium。所以這是一個輸出，而不是我們要解決的問題。我們希望為客戶提供最佳解決方案，並讓他們快速實現價值並獲得正面的業務成果。因此，Ultimate 在本季表現強勁。它的真正驅動因素是合規性、安全性以及 Ultimate 的所有附加產品功能。當您瀏覽並查看 Ultimate 以及擴充功能、第一批訂單等時，您會發現 Ultimate 在許多類別中都表現良好，正如預期的那樣。因此，我們看到 Premium 確實存在一些薄弱環節，包括現有客戶的擴張和收縮。客戶流失率相對較低，但我們仍然看到一些收縮。所以就像我說的，Ultimate 本季表現不錯。 Premium 中存在一些薄弱環節，我稱之為我們會繼續關注的焦點。但總體而言，我們對所交付的內容感到滿意。

Our final question comes from Ryan with Barclays.

我們的最後一個問題來自巴克萊銀行的瑞安（Ryan）。

Sid, how are enterprises evaluating adopting AI for their code development today? So like what are some of the key items that they would grade you on? And would this happen via something like an RFP process? Or would this be something that they handle internally?

Sid，目前企業如何評估採用人工智慧進行程式碼開發？那麼，他們會根據哪些關鍵項目來為您評分呢？這會透過類似 RFP 流程的方式實現嗎？還是這是他們內部處理的事情？

Thanks. I believe it's more organic today. They're trying different things. I think what is really important to a lot of customers is the privacy of their code. And what they're looking for is a provider who can guarantee that, for example, the output of the models that they ask questions to isn't used for other models. So that's something that's top of mind for us as we build our features.

謝謝。我認為今天它更加有機了。他們正在嘗試不同的事情。我認為對許多客戶來說真正重要的是他們的程式碼的隱私。他們正在尋找一個能夠保證他們提出的模型的輸出不會用於其他模型的提供者。因此，這是我們在建立功能時最先考慮的事情。

Other than that, it also has to be kind of accessible to everyone in the company. It has to work on the most popular editors. And we have a lot of revenue from self-managed. So we want to make sure that, over time, functionality also is available to self-manage customers where they can connect to the Internet to offer that functionality.

除此之外，它還必須讓公司中的每個人都能使用。它必須適用於最受歡迎的編輯器。我們透過自主管理獲得了很多收入。因此，我們希望確保隨著時間的推移，自我管理客戶也能使用這項功能，他們可以透過連接到網路來提供該功能。

So are you seeing a lot of questions from customers around securing the output of code from large language models?

那麼，您是否看到許多客戶關於如何確保大型語言模型的程式碼輸出安全的問題？

I think it's top of mind for customers is that the -- with some of the third-party services today, you don't get a guarantee that the output isn't used to train Code Suggestions for another organization. And that's certainly top of mind for them.

我認為客戶最關心的是——對於當今的一些第三方服務，無法保證其產出不會用於培訓其他組織的程式碼建議。這無疑是他們最關心的問題。

Appreciate that. And one for Brian. Do you see any pull forward of demand or early contract negotiations from customers looking to take advantage of that $24 transition price in the quarter?

非常感謝。給 Brian 也一杯。您是否看到客戶在本季利用 24 美元的過渡價格提前進行需求或提前合約談判？

I'll answer this, but this is the last one, Ryan. We got to close out and get back on the callbacks. The -- we did not allow early renewals. Your contract had to be up for renewal 2 weeks prior to expiration. And so there was no pull forward in the quarter related to that.

我會回答這個問題，但這是最後一個了，瑞安。我們必須結束並重新開始回調。我們不允許提前續約。您的合約必須在到期前兩週進行續約。因此本季沒有與此相關的任何進展。

That concludes our 1Q FY '24 earnings presentation. Thanks again once more for joining us. Have a great day.

這是我們的 24 財年第一季財報。再次感謝您的加入我們。祝你有美好的一天。