monday.com Ltd (MNDY) 2023 Q4 法說會逐字稿

Good morning, and welcome to the monday.com Fourth Quarter Fiscal Year 2023 Earnings Conference Call. Today's conference is being recorded. (Operator Instructions)

早安，歡迎來到 monday.com 2023 財年第四季財報電話會議。今天的會議正在錄製中。 （操作員說明）

At this time, I would like to turn the conference over to Byron Stephen, Director of Investor Relations. Please go ahead.

現在，我想把會議交給投資人關係總監拜倫‧史蒂芬(Byron Stephen)。請繼續。

Hello, everyone, and thank you for joining us on today's conference call to discuss the financial results for monday.com's fourth quarter and fiscal year 2023. Joining me today are Roy Mann and Eran Zinman, co-CEOs of monday.com and Eliran Glazer, monday.com's CFO. We released our results for the fourth quarter and fiscal year 2023 earlier today. You can find our quarterly shareholder letter, along with our investor presentation and a replay of today's webcast under the News and Events section of our IR website at ir.monday.com.

大家好，感謝大家參加今天的電話會議，討論 monday.com 第四季度和 2023 財年的財務業績。今天加入我的是 monday.com 和 Eliran Glazer 的聯合首席執行官 Roy Mann 和 Eran Zinman ，monday. com 的財務長。我們今天早些時候發布了第四季度和 2023 財年的業績。您可以在我們 IR 網站 ir.monday.com 的新聞和活動部分找到我們的季度股東信函、投資者介紹以及今天網路廣播的重播。

Certain statements made on the call today will be forward-looking statements, which reflect management's best judgment based on the currently available information. These statements involve risks and uncertainties that may cause actual results to differ from our expectations. Please refer to our earnings release for more information on the specific factors that could cause actual results to differ materially from our forward-looking statements.

今天的電話會議上所做的某些陳述將是前瞻性陳述，反映了管理層根據當前可用資訊做出的最佳判斷。這些陳述涉及風險和不確定性，可能導致實際結果與我們的預期不同。請參閱我們的收益報告，以了解有關可能導致實際結果與我們的前瞻性陳述有重大差異的具體因素的更多資​​訊。

Additionally, non-GAAP financial measures will be discussed on the call. Reconciliations to the most directly comparable GAAP financial measures are available in the earnings release and the earnings presentation for today's call, which are posted on our Investor Relations website. Now let me turn the call over to Roy.

此外，電話會議也將討論非公認會計準則財務指標。今天電話會議的收益發布和收益演示中提供了與最直接可比較的 GAAP 財務指標的對賬，這些數據發佈在我們的投資者關係網站上。現在讓我把電話轉給羅伊。

Thank you, Byron, and thank you, everyone, for joining us today. As we reflect on our recent Elevate World Tour, including our first ever Investor Day, we are filled with an incredible sense of energy and purpose as we embark on 2024. The events were a resounding success, bringing together customers, analysts and investors from around the world.

謝謝拜倫，也謝謝大家今天加入我們。當我們回顧最近的Elevate 世界巡演，包括我們的首個投資者日時，我們在踏上2024 年之際充滿了令人難以置信的活力和使命感。這些活動取得了巨大成功，將來自世界各地的客戶、分析師和投資者聚集在一起世界。

Our Elevate World Tour provided us with an opportunity to connect with our users, demo our latest AI and CRM product advancements and gather valuable feedback. The enthusiasm and engagement displayed in our attendance were truly inspiring, reaffirming our commitment to delivering innovative products that empower teams to achieve their full potential. Furthermore, the additions of our first ever Investor Day was a significant milestone.

我們的 Elevate 世界巡迴演唱會為我們提供了與用戶聯繫、展示我們最新的 AI 和 CRM 產品進步並收集寶貴回饋的機會。我們的出席所展現的熱情和參與確實鼓舞人心，重申了我們致力於提供創新產品，使團隊能夠充分發揮潛力的承諾。此外，我們首個投資者日的增加是一個重要的里程碑。

It allowed us to showcase our progress, present our vision for the future and highlight our expected financial performance in the coming years. The positive response we received from the investment community fuels our motivation and drives us to reach new heights in the years ahead.

它使我們能夠展示我們的進展，展示我們對未來的願景，並強調我們未來幾年的預期財務表現。投資界的正面回應激發了我們的動力，推動我們在未來幾年達到新的高度。

Now turning to our business results for the year. 2023 was a year of incredible growth and progress at monday.com. Despite the prevailing global economic and due to political uncertainties, we exceeded all expectations. Revenue of fiscal year 2023 grew a remarkable 41% driven by strong customer acquisition and expansion, especially with our larger accounts. In addition to a strong top line, we continue to see improving efficiency and reported record annual non-GAAP operating margin and free cash flow.

現在轉向我們今年的業務成果。 2023 年是 Monday.com 令人難以置信的成長和進步的一年。儘管全球經濟情勢嚴峻，而且由於政治不確定性，我們還是超越了所有人的預期。在強勁的客戶獲取和擴張（尤其是我們較大的客戶）的推動下，2023 財年的營收顯著成長了 41%。除了強勁的營收外，我們還繼續看到效率不斷提高，並報告了創紀錄的年度非公認會計原則營業利潤率和自由現金流。

Our commitment to innovation played a key role in the success of 2023. Over the past year, we launched new capabilities and deliver hundreds of new features, including MondayAI and Monday Workflows. We also elevated our mobile experience and enhanced our security, data protection and permission settings. Let me now turn it over to Eran to walk you through some additional product highlights.

我們對創新的承諾對於 2023 年的成功發揮了關鍵作用。在過去的一年裡，我們推出了新功能並交付了數百個新功能，包括 MondayAI 和 Monday Workflows。我們也提升了行動體驗，並增強了安全性、資料保護和權限設定。現在讓我將其交給 Eran，帶您了解一些其他產品亮點。

Thank you, Roy. In 2023, we upgraded our infrastructure with MondayDB, which boosted Board performance by 5x. MondayDB continues to exceed expectations and remains on schedule. We are now entering the Phase 2.0 with a focus on the most complex work scenarios, allowing customers to build and manage workflows at scale without being limited by performance constraints.

謝謝你，羅伊。 2023 年，我們使用 MondayDB 升級了基礎設施，將董事會效能提高了 5 倍。 MondayDB 繼續超出預期並仍按計劃進行。我們現在正在進入階段 2.0，重點關注最複雜的工作場景，允許客戶大規模建立和管理工作流程，而不受效能約束的限制。

This quarter, we're excited to announce the launch of Monday code. Monday code provides a secure serverless environment within the worklist platform where developers can host and run apps with Monday security and compliance standards built in. With Monday code, developers can now avoid the heavy lifting associated with setting up and managing production servers and more easily create apps for our marketplace.

本季度，我們很高興地宣布推出週一代碼。 Monday code 在工作清單平台內提供了一個安全的無伺服器環境，開發人員可以在其中託管和運行內建了Monday 安全性和合規性標準的應用程式。透過Monday code，開發人員現在可以避免與設定和管理與生產伺服器相關的繁重工作，並更輕鬆地創建我們市場的應用程式。

Let me now turn to pricing. Following several months of extensive testing, we recently introduced an updated pricing model ahead of schedule. As part of the rollout, we notified our customers that we'll be updating these prices across our product suite. Our customers are at the heart of everything we do, and we're heavily invested in providing the best-in-class Work OS platforms and products.

現在讓我談談定價。經過幾個月的廣泛測試，我們最近提前推出了更新的定價模型。作為推出的一部分，我們通知客戶我們將在我們的產品套件中更新這些價格。我們的客戶是我們一切工作的核心，我們投入大量資金提供一流的工作作業系統平台和產品。

We believe that our products have evolved to provide even greater benefits and meet the ever-changing needs of our customers. The updated pricing model reflects the value and quality that our products deliver ensuring that our customers receive the best possible return on their investment. As we enter 2024, we are more energized than ever to continue innovating and pushing the boundaries of what is possible.

我們相信，我們的產品已經不斷發展，可以提供更大的好處並滿足客戶不斷變化的需求。更新後的定價模型反映了我們產品提供的價值和質量，確保我們的客戶獲得最佳的投資回報。進入 2024 年，我們比以往任何時候都更有活力，繼續創新並突破可能的界限。

Our focus remains on enhancing our Work OS platform and product suite, expanding our enterprise presence and delivering on parallel value to our customers. Looking ahead, we are well positioned to build our achievements and continue our upward trajectory with a strong customer base and focus on innovation and a resilient business model. monday.com is poised for sustained growth and success in the coming years. With that, I'll now turn it over to Eliran to cover our financial and guidance.

我們的重點仍然是增強我們的 Work OS 平台和產品套件、擴大我們的企業影響力並為客戶提供並行價值。展望未來，我們已做好充分準備，憑藉強大的客戶基礎、專注於創新和富有彈性的商業模式，繼續取得成就並繼續上升。 monday.com 已準備好在未來幾年持續成長並取得成功。有了這個，我現在將把它交給 Eliran 來負責我們的財務和指導。

Thank you, Eran, and thank you to everyone for joining our call. Today, I'll review our fourth quarter and fiscal 2023 results in detail and provide initial 2024 guidance. As Roy highlighted, Q4 '23 was a strong finish to an exceptional year. Total revenue in Q4 '23 came in at $202.6 million, up 35% from a year ago quarter.

謝謝你，埃蘭，也謝謝大家加入我們的電話會議。今天，我將詳細回顧我們第四季和 2023 財年的業績，並提供 2024 年初步指引。正如 Roy 所強調的那樣，23 年第 4 季為非凡的一年畫上了圓滿的句號。 23 年第 4 季的總營收為 2.026 億美元，比去年同期成長 35%。

Revenue for fiscal year '23 was $729.7 million, up 41% from the prior year. Our overall net dollar retention rate declined slightly in Q4 '23 to 110%, reflecting continued macroeconomic headwinds. We currently anticipate reported NDR to begin to recover in the second half of fiscal year '24. As a reminder, our net dollar retention rate is a trailing 4-quarter weighted average calculation.

'23 財年的營收為 7.297 億美元，比上一年增長 41%。我們的整體淨美元保留率在 23 年第 4 季略有下降，降至 110%，反映出持續的宏觀經濟逆風。我們目前預計報告的 NDR 將在 24 財年下半年開始恢復。提醒一下，我們的淨美元保留率是按過去 4 個季度的加權平均計算得出的。

As Eran mentioned, we have recently revised our release prices to accurately reflect the enhanced value of our work operating system platform and product suite for our customers. We expect that this price adjustment will contribute an estimate of $15 million to $20 million of revenue in fiscal year '24.

正如 Eran 所提到的，我們最近修改了發布價格，以準確反映我們的工作作業系統平台和產品套件為客戶帶來的增強價值。我們預計此次價格調整將為 24 財年貢獻 1,500 萬至 2,000 萬美元的營收。

For the reminder of the financial metrics disclosed unless otherwise noted, I will be referencing non-GAAP financial measures. We have provided a reconciliation of GAAP to non-GAAP financials in our earnings release. Fourth quarter gross margin was 90%. In the medium to long term, we continue to expect gross margin to remain in the high 80s range. Research and development expense was $33.3 million in Q4 '23 or 16% of revenue, in line with the year-ago quarter and $117.8 million in fiscal year '23 or 16% of revenue, down from 18% in the prior year.

為了提醒所揭露的財務指標，除非另有說明，我將參考非公認會計準則財務指標。我們在收益報告中提供了 GAAP 與非 GAAP 財務數據的調整表。第四季毛利率為90%。中長期來看，我們繼續預期毛利率將維持在 80 左右的高點。 23 年第四季的研發費用為 3,330 萬美元，佔營收的 16%，與去年同期持平；23 財年的研發費用為 1.178 億美元，佔營收的 16%，低於前一年的 18%。

We plan to increase investment in R&D for the foreseeable future as we build out our product suite and scale our work operating system platform, both horizontally and vertically. Sales and marketing expense was $110 million in Q4 '23 or 54% of revenue in line with the year ago quarter and $413 million in fiscal year '23 or 57% of revenue compared to 69% in the prior year.

我們計劃在可預見的未來增加研發投資，建立我們的產品套件並橫向和縱向擴展我們的工作作業系統平台。 23 年第四季的銷售和行銷費用為1.1 億美元，佔營收的54%，與去年同期持平；23 財年的銷售和行銷費用為4.13 億美元，佔營收的57%，而去年同期為69 %。

G&A expense was $17.3 million in Q4 '23 or 9% of revenue compared to 10% in the year ago quarter and $63 million in fiscal year '23 or 9% of revenue compared to 11% in the prior year. Net income was $33.7 million in Q4 '23, up from $22.2 million in Q4 '22 and $94.9 million in fiscal year '23 up from a loss of $33.4 million in fiscal year '22. Diluted net income per share was $0.65 in Q4 '23 and $1.85 in fiscal year '23 based on $51.6 million and $51.2 million fully diluted shares outstanding, respectively.

23 年第4 季的一般管理費用為1,730 萬美元，佔營收的9%，而去年同期為10%；23 財年的一般管理費用為6,300 萬美元，佔營收的9%，而去年同期為11 %。 23 年第 4 季的淨利潤為 3,370 萬美元，高於 22 年第 4 季的 2,220 萬美元；23 財年的淨利潤為 9,490 萬美元，高於 22 年財年的虧損 3,340 萬美元。基於 5,160 萬美元和 5,120 萬美元的完全稀釋已發行股票，23 年第 4 季和 23 財年的稀釋每股淨利潤分別為 0.65 美元和 1.85 美元。

Total employee headcount was 1,854 , an increase of 110 employees since Q3 '23. We expect to ramp hiring in fiscal year '24, with a continued focus on our R&D product and sales team as we build out our platform and product suite. Moving on to the balance sheet and cash flow. We ended the quarter with $1.12 billion in cash and cash equivalents, up from $1.05 billion at the end of Q3 '23.

員工總數為 1,854 人，自 23 年第三季以來增加了 110 名員工。我們預計在 24 財年增加招聘，在建立平台和產品套件時繼續專注於我們的研發產品和銷售團隊。接下來是資產負債表和現金流量。截至本季末，我們的現金和現金等價物為 11.2 億美元，高於 23 年第三季末的 10.5 億美元。

In Q4 '23, free cash flow was $55.4 million, and free cash flow margin as defined as free cash flow as a percentage of revenue was 27%. In fiscal year '23, free cash flow was $204.9 million and free cash flow margin was 28%. Free cash flow is defined as net cash from operating activities, less cash used for property and equipment and capitalized software costs, excluding nonrecurring items.

23 年第 4 季度，自由現金流為 5,540 萬美元，自由現金流利潤率（定義為自由現金流佔收入的百分比）為 27%。 23 財年，自由現金流為 2.049 億美元，自由現金流利潤率為 28%。自由現金流定義為經營活動產生的淨現金減去用於財產和設備以及資本化軟體成本的現金，不包括非經常性項目。

Now let's turn to our outlook for fiscal year 2024. For the first quarter of fiscal year we expect our revenue to be in the range of $207 million to $211 million, representing growth of 28% to 30% year-over-year. We expect non-GAAP operating income of $8 million to $12 million and an operating margin of 4% to 6%. We expect free cash flow of $56 million to $60 million and free cash flow margin of 27% to 29%.

現在讓我們來看看我們對 2024 財年的展望。對於本財年第一季度，我們預計我們的營收將在 2.07 億美元至 2.11 億美元之間，年增 28% 至 30%。我們預計非 GAAP 營業收入為 800 萬至 1,200 萬美元，營業利潤率為 4% 至 6%。我們預計自由現金流為 5,600 萬至 6,000 萬美元，自由現金流利潤率為 27% 至 29%。

For the full year 2024, we expect revenue to be in the range of $926 million to $932 million, representing growth of 27% to 28% year-over-year. We expect full year non-GAAP operating income of $58 million to $64 million and an operating margin of 6% to 7%. We expect full year free cash flow of $200 million to $206 million and free cash flow margin of approximately 22%. I'll now turn it over to the operator for your questions.

2024 年全年，我們預計營收將在 9.26 億美元至 9.32 億美元之間，年增 27% 至 28%。我們預計全年非 GAAP 營業收入為 5,800 萬美元至 6,400 萬美元，營業利潤率為 6% 至 7%。我們預計全年自由現金流為 2 億至 2.06 億美元，自由現金流利潤率約為 22%。我現在將其轉交給接線員詢問您的問題。

(Operator Instructions) We'll take our first question from Kash Rangan at Goldman Sachs.

（操作員說明）我們將回答高盛 (Goldman Sachs) 的 Kash Rangan 提出的第一個問題。

Thank you so much Roy, Eran and Eliran for giving us all the details. Two quick ones. One is when you look at the growth algorithm you talked about 27 points of growth, but I look at customers with 10-plus uses as a general proxy that has grown about 20%, and then you have net expansion rate, 110%. So just that base logic alone should give you pretty decent level of growth. When I dig underneath the numbers, as everybody did, the 50,000 plus ARR customers, it's growing faster, 56% and 100,000 growing even faster. So help us understand how you constructed the guidance in light of the SKU and the metrics that suggest that the underlying business is healthier than the guidance seem to suggest.

非常感謝 Roy、Eran 和 Eliran 向我們提供了所有詳細資訊。兩個快的。一是當你看成長演算法時，你談到了 27 個成長點，但我把使用 10 次以上的客戶作為一般代理，成長了約 20%，然後你就有了淨擴張率，110%。因此，光是這個基本邏輯就應該會為你帶來相當不錯的成長水準。當我像大家一樣深入研究這些數字時，50,000 多個 ARR 客戶的成長速度更快，56% 和 100,000 的成長速度更快。因此，請幫助我們了解您如何根據 SKU 和表明基礎業務比指南看起來更健康的指標來建立指南。

And also net expansion rates, you said second half of '24, you expect an improvement I'm wondering if you can add a little bit more commentary on what you saw in the quarter that gives you the confidence that you can see some improvement.

還有淨擴張率，您說 24 年下半年，您預計會有所改善，我想知道您是否可以對本季度所看到的情況添加更多評論，讓您有信心看到一些改善。

Kash, it's Eliran. So thank you for the question. So with regards to our guidance philosophy, this has not materially changed. We're focused on providing always prudent, achievable and responsible guidance. based on the latest data that we have. We mentioned the price increase. So it's still early days, and it's going to be staged throughout the year.

卡什，這是埃里蘭。謝謝你的提問。所以就我們的指導理念而言，這並沒有實質的改變。我們致力於提供始終審慎、可實現且負責任的指導。根據我們掌握的最新數據。我們提到了價格上漲。所以現在還為時過早，而且它將全年上演。

And then we would like to make sure that we understand what would be the impact throughout the year. With regard to demand that we already took into account, nothing has changed much from what we saw in Q4 of last year, still some headwinds in the macroeconomic environment, and we assume this will continue also in Q1 and Q2. So this is with regards to guidance.

然後我們希望確保我們了解全年的影響。就我們已經考慮到的需求而言，與去年第四季相比沒有太大變化，宏觀經濟環境仍然存在一些阻力，我們認為第一季和第二季這種情況也將持續。這是關於指導的。

With regards to your question on NDR. So when thinking about NDR, it's -- we are looking at the trailing 12 months as well as the weighted average. Just as a reminder, we report weighted average. So as I mentioned with regards to guidance, we are still seeing lingering macro headwinds, where customers are still cautious in the spend.

關於您關於 NDR 的問題。因此，在考慮 NDR 時，我們會查看過去 12 個月以及加權平均值。提醒一下，我們報告的是加權平均值。因此，正如我在指導方面提到的，我們仍然看到揮之不去的宏觀阻力，客戶對支出仍然持謹慎態度。

We said that we expect it to stabilize in the second quarter of 2024. However, it's important to mention that the overall growth retention has had even a small improvement. And longer term, we remain optimistic with an updated pricing model and further scaling MondayDB and the product suite that is going to be showing an uptick at the second half of the year.

我們說過，我們預計它會在 2024 年第二季穩定下來。但是，值得一提的是，整體成長保留甚至有很小的改善。從長遠來看，我們對更新的定價模型和進一步擴展 MondayDB 以及將在今年下半年表現出成長的產品套件保持樂觀。

We'll move to our next question from Pinjalim Bora at JPMorgan.

我們將轉向摩根大通的 Pinjalim Bora 提出的下一個問題。

Eliran. Maybe digging in a little bit more on the pricing side. You said 15% to 20% in the Analyst Day, you were talking about 10 and you've materially kind of changed the timing of the price increase release. So maybe help us understand what are the assumptions that you're making to get to that 15% to 20% in terms of churn, maybe you're assuming more of the existing to come in the second half of the year, maybe dig in a little bit more.

埃里蘭。或許可以在定價方面多做一些研究。你在分析師日提到了 15% 到 20%，你談論的是 10%，並且你實質上改變了價格上漲發布的時間。因此，也許可以幫助我們了解您為達到 15% 到 20% 的客戶流失率而做出的假設是什麼，也許您假設下半年會出現更多現有的情況，也許會深入研究多一點。

Yes, Pinjalim, it's Eran. I'll start with regarding to the roll out of the price change, and I'll hand it over to Eliran to talk about the assumptions for the rest of the year. So overall, our initial plan also when we presented during the Investor Day was throughout the new updated pricing model around June towards H2, beginning of H2. And we actually managed to finish our AB testing sooner than that, and we were already internal of our technical stack. So we decided to make it, I would say, 3 or 4 months earlier than we initially thought. So we thought kind of mid-June, and it's now starting to roll out to existing customers. So it's like 3, 4 months has started in terms of the process.

是的，Pinjalim，我是 Eran。我將從價格調整的推出開始，然後將其交給 Eliran 討論今年剩餘時間的假設。因此，總體而言，我們在投資者日期間提出的初步計劃也是在 6 月下半年（下半年開始）期間採用新的更新定價模式。實際上，我們比這更早完成了 AB 測試，我們已經進入了我們的技術堆疊內部。所以我們決定，我想說，比我們最初想像的要早 3 到 4 個月。所以我們想在六月中旬左右，現在開始向現有客戶推出。所以這個過程好像已經開始了 3、4 個月。

Again, this is the first time we've ever done a price increase to our existing base. We -- in the past, we've gone into new customers. So we also try to be cautious here and we're still learning. I would say that so far from what we see reaction from customers were good. We didn't see anything we didn't expect. Everything was in line with our model. So we remain very optimistic.

同樣，這是我們第一次對現有基礎進行提價。我們－過去，我們已經接觸過新客戶。所以我們在這裡也盡量保持謹慎，我們仍在學習。我想說，到目前為止，我們看到客戶的反應很好。我們沒有看到任何我們沒有預料到的東西。一切都符合我們的模型。所以我們仍然非常樂觀。

Yes. And maybe to continue on what Eran is saying with regards to the assumption on the numbers, because we advanced it in a quarter, we assume that there's going to be an impact of around 15% to 75% of what we said on the Investor Day. So if you take the $10 million, this is roughly between 15% to 20%. And I think one of the things that you even mentioned in, I believe, in your coverage when we introduced it in the Investor Day, we don't know to anticipate the churn. So just as a reminder, 80% of our customers are annual subscribers, 20% are monthly. And we assume -- we took into account certain assumptions. Currently, it's going to be something that we are going to see effectively in 16th of January -- sorry, February when it kicked in. So we took some assumptions with regard to possible scenarios, and that is what we baked into the numbers.

是的。也許繼續埃蘭所說的關於數字假設的內容，因為我們在一個季度內推進了它，我們假設這將產生我們在投資者日所說的大約 15% 到 75% 的影響。因此，如果你拿 1000 萬美元，這大約在 15% 到 20% 之間。我認為，我相信，當我們在投資者日介紹它時，您甚至在報道中提到的一件事是，我們不知道如何預測客戶流失。提醒一下，我們 80% 的客戶是年度訂閱者，20% 是每月訂閱者。我們假設—我們考慮了某些假設。目前，我們將在 1 月 16 日有效地看到這種情況——抱歉，是 2 月。所以我們對可能的情況做了一些假設，這就是我們在數據中所考慮的內容。

Yes. Understood. One question for Roy and I'll see the floor. We have recently heard from some of your customers that Monday is becoming kind of an orchestration engine rather than just a work management platform. Somebody was saying that Monday is a layer between Workday and Jira. Another person orchestrating a manufacturer orchestrating between different number of their systems. Do you see Monday becoming that orchestration there facilitating kind of business workflow across multiple systems in an environment?

是的。明白了。有一個問題要問羅伊，我會見發言。我們最近從您的一些客戶那裡得知，Monday 正在成為一種編排引擎，而不僅僅是工作管理平台。有人說星期一是 Workday 和 Jira 之間的一層。另一個人協調製造商在不同數量的系統之間進行協調。您是否認為星期一會成為促進環境中跨多個系統的業務工作流程的編排？

It's Roy. So thank you for the question. Yes, that's part of how we see the platform. We worked a lot into creating the workflow tool and integrations and automation. So definitely, we see cross-company workflows, handling also orchestration between many other tools. But we also see Monday as a platform that kind of trickles through areas that you don't have software or you couldn't have specific software and complete any workflow you want.

是羅伊。謝謝你的提問。是的，這就是我們看待該平台的一部分。我們在創建工作流程工具以及整合和自動化方面做了很多工作。所以毫無疑問，我們看到了跨公司的工作流程，也處理許多其他工具之間的編排。但我們也將星期一視為一個平台，可以滲透到您沒有軟體或無法擁有特定軟體並完成您想要的任何工作流程的領域。

So other than us creating products for core needs of the organization that they do know. Okay? We wanted to also fit into areas where you just need an extra input or another process in place and then obviously connect any other tool you want in your stack to work together.

因此，除了我們之外，他們還為他們所知道的組織的核心需求創建產品。好的？我們還希望適應您只需要額外輸入或另一個流程的領域，然後顯然可以連接堆疊中您想要的任何其他工具來協同工作。

We'll go next to Brent Bracelin at Piper Sandler.

我們將前往 Piper Sandler 的 Brent Bracelin 旁邊。

I had 2 quick ones, if I could. Number one, if I look at the number of Monday Dev net new ads that actually accelerated on a quarter-over-quarter basis in Q4. Could you talk a little bit about kind of what drove the momentum there, a little surprise and acceleration at this point. But -- and then I have a one quick follow-up.

如果可以的話，我有兩個快速的。第一，如果我看看第四季的周一開發淨新廣告數量實際上比上一季增加。您能否談談推動這一勢頭的因素，在這一點上有一點驚喜和加速。但是——然後我有一個快速的跟進。

Brent, this is Eran. So overall, we continue to improve the product and also improve our go-to-market. As we've mentioned, over time, we open our multiproduct suite to more and more customers, and we're now finalizing the final batch of it. It should be over by the end of Q1. So as more of our users are exposed to our multiproduct and we improved the acquisition engine and improve the features. We've seen that acceleration. We shared some of the data during the Investor Day, but overall, we continue to see good momentum with all products.

布倫特，這是埃蘭。總的來說，我們繼續改進產品並改進我們的市場推廣。正如我們所提到的，隨著時間的推移，我們向越來越多的客戶開放我們的多產品套件，現在我們正在完成最後一批。它應該在第一季末結束。因此，隨著越來越多的用戶接觸到我們的多產品，我們改進了獲取引擎並改進了功能。我們已經看到了這種加速。我們在投資者日分享了一些數據，但總體而言，我們繼續看到所有產品的良好動力。

Perfect. And then obviously, I know you've been trying to focus on larger enterprise customers. We saw a record number of those net new 50,000 cohort customers you talked about the big deal. Could you just walk us through the pipeline of large deals going into next year? Is that going to continue to be an area of strength? Or is that more seasonal that you'd expect to happen more in Q4?

完美的。顯然，我知道您一直在努力關注大型企業客戶。我們看到您談到的 50,000 名淨新客戶數量創下了歷史新高。您能否向我們介紹明年即將進行的大型交易？這會繼續成為優勢領域嗎？還是您預計第四季會發生更多這種情況？

Brent. It's Eran again. So definitely, we continue to see good momentum in our pipelines. So during the Investor Day, we mentioned accounted over 25,000 seats, but we continue to see other opportunities like that in -- some are smaller, some are larger, but definitely a very good momentum in the pipeline. So we expect it to be throughout the year, not just concentrated in Q4.

布倫特。又是伊蘭。因此，毫無疑問，我們的管道繼續保持良好的勢頭。因此，在投資者日期間，我們提到了超過 25,000 個席位，但我們繼續看到其他類似的機會——有些規模較小，有些規模較大，但絕對是一個非常好的勢頭。因此我們預計全年都會如此，而不僅僅是集中在第四季度。

We'll move next to Steve Enders at Citi.

我們將搬到花旗銀行的史蒂夫恩德斯旁邊。

Okay. Maybe just to start on the Elevate World Tour. I guess, what has been the feedback that you had from customers on some of the newer products newer initiatives. And what was kind of the most excitement around for some of those newer solutions that you have coming out?

好的。也許只是為了開始 Elevate 世界巡迴演唱會。我想，您從客戶那裡得到的關於一些新產品、新舉措的回饋是什麼。對於您推出的一些較新的解決方案來說，最令人興奮的是什麼？

Yes, Steven, this is Eran. So overall, the feedback from customers were really good. There was a mixture of customers that use Monday Work Management and CRM and Dev. And I think the places where we saw the best feedback was around going deep on our platform, both in terms of scale and performance, but also a lot of nuance features that we have in the road map and definitely around security that allows them to increase the usage.

是的，史蒂文，這是伊蘭。總的來說，客戶的回饋非常好。使用週一工作管理、CRM 和開發的客戶多種多樣。我認為我們看到最好反饋的地方是深入我們的平台，無論是在規模和性能方面，還是我們在路線圖中擁有的許多細微差別功能，並且絕對是圍繞安全性，使他們能夠提高的用法。

Overall, the feedback was good and also we got great feedback on other (inaudible). I think just seeing the variety of use cases really open the mind of our customers of what they can achieve more out of Elevate. And we continue to -- plan to continue and do this event annually going forward and scale the event as well.

總的來說，回饋很好，我們也得到了其他方面的很好的回饋（聽不清楚）。我認為，僅僅看到各種用例就可以真正讓我們的客戶了解他們可以從 Elevate 中獲得更多收益。我們繼續計劃繼續每年舉辦這項活動，並擴大活動規模。

And then maybe just on the free cash flow guidance for the year. How should we be thinking about, I guess, seasonality of that and looking at the 1Q strength in particular? Are there any factors that we should be keeping in mind there and kind of any assumptions on maybe some of the early renewal activity from price increases coming into the quarter?

然後也許只是今年的自由現金流指引。我想我們應該如何考慮其季節性，特別是第一季的實力？我們是否應該牢記哪些因素，以及對本季價格上漲可能導致的一些早期續訂活動的任何假設？

Sure, Steve. It's Eliran. So with regards to free cash flow, I would say that the second quarter and the fourth quarter, this is the time when we pay bonuses. In Q2, we pay bonuses for the employees and for the quota carrying people. And in Q4, we are paying bonuses for the sales quota carrying people. So you would see probably a slightly decline if you compare it to Q1. Overall, because 80% of our customers are on an annual contract and 20% or monthly, this is something that contributes to the scale and the strength of the free cash flow.

當然，史蒂夫。是伊萊蘭。所以關於自由現金流，我想說第二季和第四季度，這是我們支付獎金的時間。第二季度，我們為員工和配額人員發放獎金。第四季度，我們為銷售配額載人發放獎金。因此，如果與第一季相比，您可能會看到略有下降。總體而言，由於我們 80% 的客戶簽訂的是年度合同，20% 的客戶簽訂的是月度合同，因此這有助於擴大自由現金流的規模和強度。

On the other hand, this allows us also to continue to invest. So potentially, there are going to be quarters that we are going to see opportunities, it might open an opportunity to invest. Therefore, there might be some seasonality. But other than what I said, it's pretty much stable throughout the year.

另一方面，這也讓我們能夠繼續投資。因此，我們可能會在某些季度看到機會，這可能會帶來投資機會。因此，可能存在一定的季節性。但除了我所說的以外，全年都相當穩定。

We'll go next to Arjun Bhatia at William Blair.

我們將前往威廉布萊爾的阿瓊巴蒂亞 (Arjun Bhatia) 旁。

I'd like to ask on the new products, it looks like we're set to roll those out to the entire customer base in Q1 here. Can you just give us a sense of how you're expecting contribution and cross-sell from those solutions to take place throughout the year? And then maybe one on the go-to-market as it relates to those. Do you anticipate, at least as you get into the enterprise that there might be an overlay sales team or specialist sales teams that are just focused on selling CRM and Dev or the whole suite versus maybe just focusing entirely on work management, I guess, how do you see the go-to-market evolving as these products go out to the entire customer base here?

我想詢問有關新產品的問題，看起來我們準備在第一季向整個客戶群推出這些產品。您能否讓我們了解一下您預計這些解決方案全年將如何做出貢獻和交叉銷售？然後也許是與這些相關的上市問題。您是否預計，至少當您進入企業時，可能會有一個覆蓋銷售團隊或專業銷售團隊，只專注於銷售 CRM 和開發或整個套件，而不是完全專注於工作管理，我想，如何隨著這些產品走向這裡的整個客戶群，您是否認為進入市場的情況會改變？

Arjun. It's Roy. So I'll answer the first part of the pricing and how it looks like throughout the year. So the way we model it, we see that we have monthly, then yearly. So the monthly will be first in the first like a month or so. And then throughout the year, as the renewal rate comes for yearly customers, they will renew.

阿瓊。是羅伊。因此，我將回答定價的第一部分以及全年的情況。因此，我們建模的方式是，我們看到每月一次，然後每年一次。所以每個月會是第一個，例如一個月左右。然後在全年中，隨著年度客戶的續約率的提高，他們將會續約。

Yes. And I think you specifically asked about the cross-sell between the [mutual] products. So the -- just regards to the price increase, it was mostly for work management, we increased the price of the other products.

是的。我認為您特別詢問了[相互]產品之間的交叉銷售。所以——就價格上漲而言，主要是為了工作管理，我們提高了其他產品的價格。

Throughout the year, we shared in the previous quarters that -- we see a large amount of cross-sell being done between the products, and we continue to see such momentum also in Q4 and going to Q1. So again, like it's hard to model because it's still small numbers, but we do expect this to be substantial going forward.

在這一年中，我們在前幾個季度分享了這一點——我們看到產品之間進行了大量的交叉銷售，並且我們在第四季度和第一季繼續看到這種勢頭。再說一次，就像很難建模一樣，因為它仍然很小，但我們確實預計這個數字未來會很大。

Regarding the sales team architecture, should so definitely -- we're going to see teams specializing in each one of those products. So right now, it's more of like one team during the sales process, but we're starting to have more people specialized in selling CRM and Monday Dev. And over time, we're going to see those teams scaling as we scale the revenue for each one of those products.

關於銷售團隊架構，絕對應該如此——我們將看到專注於每種產品的團隊。所以現在，在銷售過程中它更像是一個團隊，但我們開始有更多的人專門負責銷售 CRM 和週一開發。隨著時間的推移，隨著我們擴大每種產品的收入，我們將看到這些團隊規模不斷擴大。

Okay. Perfect. That's helpful. And then maybe one on the actual -- how the growth impact line change. I know this year, it actually ended up being a pretty -- a very strong year from a new customer adds perspective. And with the price increase flaring in this year, how do you anticipate the growth trajectory you might get impacted between new -- net new customer adds versus expansion versus expansions with existing customers?

好的。完美的。這很有幫助。然後也許是關於實際的成長影響線如何變化。我知道，從新客戶增加的角度來看，今年其實是非常漂亮、非常強大的一年。隨著今年價格的急劇上漲，您如何預測新客戶的淨增加與現有客戶的擴張與擴張之間可能受到影響的成長軌跡？

It's Roy. So we've [abetted to that,] of course, like the price increase. So we can say like we didn't see any material change to the ARR we get from the price increase. And we -- obviously, it's a shift to -- but there was obviously a small change in conversion in the number of customers we get, but that's like mostly smaller customers. So overall, we see that as a very positive effect long term as well.

是羅伊。所以我們當然[慫恿這樣做]，例如價格上漲。因此，我們可以說，我們沒有看到價格上漲帶來的 ARR 發生任何重大變化。我們 - 顯然，這是一個轉變 - 但我們獲得的客戶數量的轉換顯然有一個小小的變化，但這就像大多數較小的客戶一樣。總的來說，我們認為這也是一個非常正面的長期影響。

We will take our next question from DJ Hynes at Canaccord.

我們將接受 Canaccord 的 DJ Hynes 提出的下一個問題。

Maybe just building on the threat around go-to-market strategy. Can you talk about how you're thinking through the strategy with product bundles? I'm just curious, as the portfolio continues to expand, where do you see the most linkage between solutions? What might that look like? When could you do something on this front? Any color there would be interesting.

也許只是建立在圍繞進入市場策略的威脅之上。您能談談您是如何考慮產品捆綁策略的嗎？我只是很好奇，隨著產品組合的不斷擴大，您認為解決方案之間的聯繫最緊密的地方在哪裡？那會是什麼樣子呢？什麼時候可以在這方面做點什麼？任何顏色都會很有趣。

Yes, DJ. It's Eran. So right now, we don't offer any bundles yet to our customers. They can buy each product individually and then over time, purchase other products as well. But going forward, we're definitely going to offer bundles to our customers. Bear in mind that we also have Monday WorkCanvas and WorkForms in addition to CRM, Dev and Work Management. So going forward, we're going to offer bundles maybe with a little bit of a discount if you take 2 or 3 products and maybe offer that as like one solution.

是的，DJ。是伊蘭。因此，目前我們還沒有向客戶提供任何捆綁包。他們可以單獨購買每種產品，然後隨著時間的推移，也購買其他產品。但展望未來，我們肯定會向客戶提供捆綁服務。請記住，除了 CRM、開發和工作管理之外，我們還有 Monday WorkCanvas 和 WorkForms。因此，展望未來，如果您購買 2 種或 3 種產品，我們將提供捆綁包，可能會有一點折扣，並且可能將其作為解決方案提供。

So for example, for companies focused on Dev, we might offer Monday Dev. And in addition to that, Monday works management to manage the project as part of manage just the Devs team. So that's something we're probably going to start rolling out. This year, again, we'll [abetted] that, and we're going to see bit from our sales team. But definitely something that we're going to roll out in the next year -- in this year, sorry.

例如，對於專注於開發的公司，我們可能會提供週一開發。除此之外，週一負責管理項目，作為管理開發團隊的一部分。所以這就是我們可能會開始推出的東西。今年，我們將再次[慫恿]這一點，我們將從我們的銷售團隊中看到一些成果。但我們肯定會在明年推出——今年，抱歉。

Okay. Yes. Understood. And then as you look at your nearly 2,300 customers that spend $50,000 plus per year. And how many of those would you say there's a centralized buying center versus maybe still a dependence on departmental level decisioning? I'm just trying to think about at what point or level of spend do customers start thinking about strategies for standardizing around Monday and kind of what you can do to move that effort forward?

好的。是的。明白了。然後，當您查看每年花費 50,000 美元以上的近 2,300 名客戶時。您認為其中有多少是集中的採購中心，而不是仍然依賴部門級決策？我只是想思考客戶在周一左右開始考慮標準化策略的時間點或支出水平以及您可以採取哪些措施來推動這項努力？

Yes. It's Eran again. So I would say it's mixed. Part of it is kind of more top-down decision where the company kind of buys Monday throughout not the whole company, but it's like a management decision and some of it is more department based or VP based in a specific region within the company. But we're seeing a shift. We're seeing the shift where more and more Monday become a significant platform within the company, driven by management. So definitely, there's a shift towards that.

是的。又是伊蘭。所以我會說它是混合的。其中一部分是一種更自上而下的決策，公司週一會在整個公司而不是整個公司進行購買，但這就像管理決策，其中一些更多是基於部門或基於公司內特定區域的副總裁。但我們看到了轉變。我們看到這種轉變，在管理階層的推動下，週一越來越成為公司內部的一個重要平台。所以肯定的是，有朝這個方向的轉變。

We'll go next to Derrick Wood at TD Cowen.

我們將前往 TD Cowen 的 Derrick Wood。

Great. At the Analyst Day, you guys guided for a base case of high 20%, low 30% in the medium term. And maybe it's not the right way to look at it. But if I take the price increase impact out, you're guiding for around 25%. So it had below that kind of base case.

偉大的。在分析師日，你們指導了中期高 20%、低 30% 的基本狀況。也許這不是正確的看待方式。但如果我剔除價格上漲的影響，您的指導價約為 25%。所以它有以下那種基本情況。

Just wondering if you'd flag anything in terms of maybe bringing that down. Maybe if you could comment on the SMB part of the market. Other companies have flagged incremental pressure there. And could you just comment on kind of what you're seeing in the Middle East given the war?

只是想知道你是否會標記任何可能降低這一點的東西。也許您可以對市場的中小企業部分發表評論。其他公司也表示這方面的壓力越來越大。鑑於戰爭，您能否評論一下您在中東所看到的情況？

Yes. So, it's Eliran. With regards to the guidance, we said that mostly what's going -- there were 2 scenarios that we focused on. There was the base case scenario. And there was the lower case scenario. And the thing that we focused on was the NDR. We said based on the behavior of the NDR, we're going to kind of see what model fit better throughout the year.

是的。所以，這是伊萊蘭。關於指導，我們說主要是發生了什麼事——我們重點關注兩種情況。有基本案例場景。還有小寫的情況。我們關注的是 NDR。我們說過，根據 NDR 的行為，我們將看看哪種模型更適合全年。

I think now we feel that it's something in between. NDR, as we said, it's going to probably stabilize at H2 of this year, and we took it into account as part of our guidance. So we embedded into the numbers. And this is the main reason for us to kind of assume this guidance. With regards to the Middle East war, we didn't see any impact on our numbers. We are a global company. So nothing that -- worth calling out until now. Since it's actually began -- begun, we actually didn't see anything. And hopefully, we're going to continue to see no impact on our business.

我想現在我們覺得它介於兩者之間。 NDR，正如我們所說，它可能會在今年下半年穩定下來，我們將其作為我們指導的一部分考慮在內。所以我們嵌入到數字中。這是我們採取這項指導的主要原因。至於中東戰爭，我們沒有看到對我們的數字有任何影響。我們是一家全球性公司。所以到目前為止，沒有什麼值得呼籲的。因為它實際上開始了——開始了，我們實際上什麼也沒看到。希望我們的業務不會繼續受到影響。

Great. Helpful color. And I'm curious if you guys have pricing going up, I guess, this week for your -- for existing customers. I know this is the first time you've done that, but you can often see pull-forward dynamics where people want to buy, lock in seat expansion before pricing goes up. Would you expect any kind of pull forward in Q1? I'm just curious what you're seeing in terms of buying behavior right now.

偉大的。有用的顏色。我想知道你們本周是否會為現有客戶提高價格。我知道這是你第一次這樣做，但你經常可以看到人們想要購買的前拉動態，在價格上漲之前鎖定座位擴張。您預計第一季會有任何形式的推動嗎？我只是好奇你現在的購買行為是怎麼樣的。

Yes, Derrick, it's Eran. So far, as we said, it's starting to roll out next week, i.e., taking into effect. So far in terms of churn and downgrade, we saw some numbers pretty much in line with our expectations.

是的，德瑞克，我是埃蘭。到目前為止，正如我們所說，它將於下週開始推出，即生效。到目前為止，就流失和降級而言，我們看到一些數字與我們的預期基本一致。

Within -- the reaction from customers were overall good. We didn't get any negative reactions. Overall reception of customers was good. Again, this is the first time we've ever done it, not just as a public company but ever. So we feel -- we also want to be cautious and be aware that we're not aware to the whole dynamic of how this will roll out. So maybe being more -- a bit more cautious here as a company.

內部－客戶的反應整體良好。我們沒有收到任何負面反應。整體顧客接待情況良好。再說一次，這是我們第一次這樣做，不僅是作為一家上市公司，而且是有史以來第一次。所以我們覺得——我們也想保持謹慎，並意識到我們並不了解這將如何推出的整個動態。因此，作為一家公司，也許要更加謹慎一點。

But overall, so far, the signals look good. And I think after Q1, we'll have a better kind of understanding of the dynamic and how this will roll out throughout the year -- rest of the year.

但總體而言，到目前為止，訊號看起來不錯。我認為在第一季之後，我們將對這一動態以及它將如何在全年（今年剩餘時間）中展開有更好的了解。

Yes, this is Eliran. Maybe I will add that it takes a while for you to layer into the model simply because they're effective when the agreements are signed upon renewals. And that happens over the course of time for the annual multiyear agreements or annual contracts. So this is why we are not really -- can't anticipate all the behavior but as Eran said, so far, signs are good.

是的，這是伊萊蘭。也許我會補充一點，您需要一段時間才能分層到模型中，因為它們在續訂時簽署協議時才有效。對於年度多年協議或年度合約來說，這種情況會隨著時間的推移而發生。因此，這就是為什麼我們無法真正預測所有行為，但正如埃蘭所說，到目前為止，跡象良好。

We'll move next to Brent Thill at Jefferies.

我們將搬到 Jefferies 的 Brent Thill 旁邊。

When you look at the results relative to your guide. Q4 was the lowest magnitude beat you've had as a public company. And I'm just curious, was there anything in Q4 that didn't meet your expectations or are we just simply going through a cycle of -- you're still [beating,] but the magnitude is coming down, and that's kind of what you're anticipating in the guide. I think everyone is trying to kind of reconcile what happened in Q4 and then obviously it seems like that's leading in to the more conservative guide for this year?

當您查看與指南相關的結果時。第四季是上市公司經歷過的最低幅度的成長。我只是很好奇，第四季度是否有任何事情沒有達到您的預期，或者我們只是在經歷一個循環——您仍然[擊敗]，但幅度正在下降，這就是您在指南中期望的內容。我認為每個人都在試圖協調第四季度發生的事情，然後顯然這似乎導致了今年更加保守的指南？

Brent. It's Eliran. Yes, I would say it's the latter. It's -- the macroeconomic headwinds are still -- do still exist. They didn't change from what we have seen in the past. I think customers are still cautious with their spend. And that is why probably there was an impact on our Q4 results, also going into this macroeconomic situation also going into the beginning of this year.

布倫特。是伊萊蘭。是的，我會說是後者。宏觀經濟的逆風仍然存在。與我們過去所看到的相比，它們並沒有改變。我認為客戶對他們的支出仍然持謹慎態度。這就是為什麼我們第四季的業績可能受到影響，也考慮到今年年初的宏觀經濟狀況。

Okay. And just real quick on the Q1 margin guide. You exited at 10%, you're guiding 4% to 6%. Is this just a heavier upfront load? Or is there anything changing here as it relates to trajectory of margin?

好的。快速了解第一季的利潤指南。你以 10% 的價格退出，你的指導價為 4% 到 6%。這只是一個較重的前期負擔嗎？或是與保證金軌跡相關的這裡有什麼變化嗎？

Sure. So when we did the Investor Day, we said that our #1 focus for 2024 is going to be increasing top line throughout investment. There is some seasonality, obviously, because Q1, you always put more on the performance marketing because this impacts the entire year. But we said that the focus is going to be on top line, and we are not going to improve our operating margin in the way we did in the past. So I would have expected to improve, but it's just in line with what we have said.

當然。因此，當我們舉辦投資者日活動時，我們表示 2024 年的第一個重點將是增加整個投資的收入。顯然，存在一些季節性，因為第一季度，你總是在效果行銷上投入更多，因為這會影響全年。但我們表示，重點將放在營收上，我們不會像過去那樣提高營業利潤率。所以我本來期望能有所改進，但這正好符合我們所說的。

We'll go next to George Iwanyc at Oppenheimer.

我們將前往奧本海默的喬治·伊万尼克 (George Iwanyc)。

So with the continued strong adoption of Dev and sales CRM, are you seeing any changes to the way you're landing both with new customers and then on the competitive landscape.

因此，隨著開發和銷售 CRM 的持續廣泛採用，您是否發現吸引新客戶以及競爭格局的方式發生了任何變化？

Yes. George, this is Eran. So Look, obviously, when we land with CRM and Dev, we see different competitors as opposed to work management. I would say that still 50% of the deals so far that we signed CRM and Dev, we didn't compete with anybody. I would say the rest of the 50% people will consider Monday compared to other players. And in terms of work management, it pretty much remained the same. I would 70% say, greenfield and then the rest, we see some competition. So there is a little bit more competition in CRM and Dev, but still we see other -- but as I mentioned, we see other players that we compete against in those strategic products.

是的。喬治，這是埃蘭。所以，顯然，當我們使用 CRM 和 Dev 時，我們看到的是不同的競爭對手，而不是工作管理。我想說，到目前為止，我們簽署了 CRM 和 Dev 的交易中，仍有 50% 是我們沒有與任何人競爭的。我想說，剩下的 50% 的人會考慮週一與其他玩家進行比較。在工作管理方面，幾乎保持不變。我會說 70% 的人會說是未開發的，然後其餘的人會看到一些競爭。因此，CRM 和開發方面的競爭有點多，但我們仍然看到其他競爭者 - 但正如我所提到的，我們看到我們在這些策略產品中與其他競爭者競爭。

And just following up on that. Can you give us maybe some color on the work you're doing on the services side? And do you have any feedback on how the timing of that launch could go forward this year?

並繼續跟進。您能為我們介紹一下您在服務方面所做的工作嗎？您對今年的發佈時間有何回饋？

Yes. So we continue to build a Monday service and plan to launch it on schedule, H2 this year. So far, we have a bunch of customers in Beta. Feedback so far is really good. And as I've mentioned, like we had our users -- a lot of our users are already using Monday to manage some aspects of ITSM and service within the company. So we talk with them, we learn from them. And there's going to -- sets the set of features that we're going to launch as part of the first version.

是的。所以我們繼續打造週一服務，並計劃在今年下半年如期推出。到目前為止，我們已經有很多 Beta 版客戶。目前為止的回饋確實很好。正如我所提到的，就像我們有我們的用戶一樣，我們的許多用戶已經在使用星期一來管理公司內部 ITSM 和服務的某些方面。所以我們與他們交談，向他們學習。並且將設定我們將作為第一個版本的一部分推出的一組功能。

We'll go next to Taylor McGinnis at UBS.

接下來我們將採訪瑞銀集團的泰勒·麥金尼斯。

On NDR, Can you comment on the performance of the quarterly number and what you saw? So was there a stabilization with the 3Q numbers such that we can begin to see NDR trough? Or are you still seeing pockets of incremental weakness in the macro? And if so, what does that look like?

關於NDR，您能否評論一下季度數據的表現以及您所看到的情況？那麼，第三季的數據是否趨於穩定，以至於我們可以開始看到 NDR 觸底？或者您仍然看到宏觀經濟中出現一些逐漸疲軟的情況？如果是這樣，那是什麼樣子的？

So it's Eliran. By large, we're still seeing it stabilizing pretty flat of what we have seen in prior monthly trailing 12 months. Obviously, with the impact of price increase and potentially all the additional products and add-ons that we are adding to our customers and incremental value, we expect it, as I said, to get better in H2 of this year.

所以是伊萊蘭。總體而言，我們仍然看到它與過去 12 個月的月度水平相當穩定。顯然，由於價格上漲以及我們向客戶添加的所有額外產品和附加產品以及增量價值的影響，正如我所說，我們預計今年下半年會變得更好。

Our next question comes from Jason Celino at KeyBanc Capital Markets.

我們的下一個問題來自 KeyBanc Capital Markets 的 Jason Celino。

Great. One question on linearity. Curious what you saw in terms of top-of-funnel demand and conversion exiting the quarter? And then anything in the first few weeks, if you're willing to provide?

偉大的。一道關於線性的問題。好奇您在本季度退出的漏斗頂部需求和轉換方面看到了什麼？那麼在最初的幾週內，如果您願意提供什麼？

Yes. It's Roy. So we see very healthy top-of-funnel activity like -- we increased the marketing. We sell more leads, more pipeline generated. So it's all in line with what we expected.

是的。是羅伊。因此，我們看到非常健康的漏斗頂部活動，例如我們增加了行銷。我們銷售更多的銷售線索，產生更多的通路。所以這一切都符合我們的期望。

Okay. Excellent. And then maybe as my quick follow-up, the environment for performance-based marketing, the pricing. I think it's kind of stabilized over the last several quarters. But when we think about the upcoming year, are you making any change here from what you saw in 2023?

好的。出色的。然後也許作為我的快速後續行動，基於績效的行銷環境和定價。我認為過去幾季它已經趨於穩定。但當我們思考即將到來的一年時，與 2023 年相比，您是否會做出任何改變？

Yes, Jason, this is Eran. So it's pretty much in line with what we saw last year's overall prices compared to the past are still lower but stabilizing, doesn't improve more than that. As Roy said, we saw very healthy so far pipeline generation and new customer sign-ups coming into 2024. So overall, pipeline is healthy. Cost of that pipeline is also healthy in line with what we saw last year. So efficiency more or less remains the same.

是的，傑森，這是伊蘭。因此，這與我們去年看到的整體價格非常一致，與過去相比，整體價格仍然較低，但趨於穩定，並沒有改善更多。正如 Roy 所說，到目前為止，我們看到管道的生成和 2024 年新客戶的註冊都非常健康。因此，總體而言，管道是健康的。該管道的成本也與我們去年看到的情況一致。所以效率或多或少保持不變。

We'll go next to Ivan Feinseth at Tigress Financial Partners.

接下來我們將採訪 Tigress Financial Partners 的 Ivan Feinseth。

What do you see the functionality as being like the biggest driver of new customer adoption or customer increase use?

您認為哪些功能是新客戶採用或客戶增加使用的最大驅動力？

Yes, Ivan, this is Eran. So I wouldn't say it's much of a specific product functionality. I think it's a combination of our efficient performance marketing engine. And also our products are becoming more and more dominant. So our products would allow us to acquire customers from different parts within companies or the VP of Sales, the VP of R&D, work management, obviously. So that in addition to our existing performance marketing engine, just allow us to have a very healthy customer acquisition engine.

是的，伊万，這是埃蘭。所以我不會說它是一個特定的產品功能。我認為這是我們高效的績效行銷引擎的結合。我們的產品也變得越來越占主導地位。因此，我們的產品將使我們能夠從公司內的不同部門或銷售副總裁、研發副總裁、工作管理人員那裡獲取客戶。這樣除了我們現有的效果行銷引擎之外，就讓我們擁有一個非常健康的客戶獲取引擎。

And what do you see, though, as the biggest use case is that new customers are signing up for or using it for?

不過，您認為最大的用例是新客戶註冊或使用它的目的是什麼？

It's Roy. So our biggest segment by far, is the work management, which is very varied. We have like very different use cases within work management, whereas in CRM and Dev, it's more focused on being more specific, more targeted, obviously. So -- and with that, our ability to target work management at the moment is very broad.

是羅伊。到目前為止，我們最大的部分是工作管理，它非常多樣化。我們在工作管理上有非常不同的用例，而在 CRM 和開發中，顯然更注重更具體、更有針對性。因此，我們目前針對工作管理的能力非常廣泛。

Then one last question. Where do you see the opportunity to roll out increasing AI functionality within in a lot of these products?

然後是最後一個問題。您認為在這些產品中哪些地方有機會推出越來越多的人工智慧功能？

It's Roy again. So AI is a core part of the way we see the platform evolves. Like we've introduced like an Investor Day a few areas, we're launching AI in. And currently, we launched some of the few -- one building block in the automation segment, and we see great enthusiasm around it because we really allow our customers to build and kind of use AI on their own, how they want it in their workflow.

又是羅伊。因此，人工智慧是我們平台發展方式的核心部分。就像我們在投資者日介紹的幾個領域一樣，我們正在推出人工智慧。目前，我們推出了其中的一些——自動化領域的一個構建模組，我們看到了人們對它的巨大熱情，因為我們真的允許我們的客戶可以按照他們想要的方式自行建構和使用人工智慧。

And we are also thinking about and doing -- adding AI into the core of service when we launched it and other products. So we're putting a lot of emphasis there as we think this is -- will allow us to grow a lot. And again, like democratize AI and give it to our customers.

我們也在思考和做——在推出人工智慧和其他產品時，將人工智慧納入服務的核心。因此，我們非常重視這一點，因為我們認為這將使我們成長很多。再說一次，例如將人工智慧民主化並將其提供給我們的客戶。

Then one last question to kind of support the price increase. Where do you see the development of added value that will help easier your clients easier pay the price increase?

最後一個問題是為了支持價格上漲。您認為附加價值的發展將幫助您的客戶更輕鬆地支付價格上漲的費用？

So Roy again. So like Eran mentioned, we've never done this before. So I think the feedback we got until now from customers is that they get it, like we've added so much value in the past few years to the platform without increasing the price.

所以羅伊又來了。正如 Eran 所提到的，我們以前從未這樣做過。所以我認為到目前為止我們從客戶那裡得到的反饋是他們明白了，就像我們在過去幾年為平台增加了很多價值而沒有提高價格一樣。

And so I think it's -- we see acceptance of that change now. So I think it's behind us as well as always bringing more value to the platform. So we see wide acceptance of the new price.

所以我認為我們現在看到了人們對這一變化的接受。所以我認為它在我們身後，並且總是為平台帶來更多價值。因此，我們看到新價格得到了廣泛接受。

We'll go next to Scott Berg at Needham & Company.

接下來我們將前往尼德姆公司的 Scott Berg。

Two questions from me. First of all, with more proof points on the AI side with Monday AI, I guess how much more confident are you in the company's ability to actually monetize on the functionality in there just now that you've had more of a chance to get some feedback from customers.

我有兩個問題。首先，隨著 Monday AI 在人工智慧方面的更多證據，我猜你對公司透過其中的功能實際貨幣化的能力更有信心，因為你現在有更多的機會獲得一些客戶的回饋。

So this is a great question. I think we are -- it's still ahead of us, like making pricing specific to AI, although we're thinking and working on it. I do think it will allow us to penetrate faster and get more market segment for the products that we include AI with. So I see a lot of upside there, but we're still working on monetizing the AI. And like automation as an example, we just launched it. So I think it's too much early days to -- and to say how impactful the pricing of that will be.

所以這是一個很好的問題。我認為我們仍然領先於我們，例如針對人工智慧進行定價，儘管我們正在思考和努力。我確實認為這將使我們能夠更快地滲透並為我們包含人工智慧的產品獲得更多的市場區隔。所以我看到了很多好處，但我們仍在努力將人工智慧貨幣化。以自動化為例，我們剛剛推出了它。因此，我認為現在判斷定價的影響力還為時過早。

Got it. Helpful. And then my follow-up question is on your $1 million customer cohorts that -- or excuse me, 100,000 customer cohorts that you're announcing. I know at the conference in the Analyst Day, you announced your largest customer, over at 25,000 seats. Historically, there's been a big focus on seat expansions and moving into some of these larger accounts. But as we think about that cohort going forward, how much of the growth there will be driven by customers expanding seats or adding additional functionality that they're going to be paying on top of the core user charges.

知道了。有幫助。然後我的後續問題是關於您宣布的價值 100 萬美元的客戶群體，或者對不起，是您宣布的 100,000 個客戶群體。我知道在分析師日的會議上，您宣布了您最大的客戶，超過 25,000 個席位。從歷史上看，人們一直非常關注席位擴張和進入其中一些較大的客戶。但當我們考慮該群體的未來時，有多少成長將由客戶擴大席位或添加他們將在核心用戶費用之外支付的附加功能所推動。

Yes. It's Eran. So I would say that the vast majority of growth is probably going to be by seat expansion, but also we'll be able to sell them more functionality. The new products, add-ons, we're preparing -- we're going to launch, so like extension modules.

是的。是伊蘭。所以我想說，絕大多數的成長可能是透過座位擴展來實現的，但我們也將能夠向他們出售更多的功能。新產品、附加元件，我們正在準備——我們將要推出，就像擴展模組一樣。

But overall, those enterprise accounts tend to increase more in terms of seats and usage over time to as opposed to smaller businesses that it's hard for them to extend the amount of seats. So overall, like this cohort, we expect it to have better NDR, more seat expansion over time.

但總體而言，隨著時間的推移，這些企業帳戶在席位和使用方面往往會增加更多，而小型企業則很難增加席位數量。因此，總的來說，就像這個群體一樣，我們預計隨著時間的推移，它會有更好的 NDR、更多的席位擴展。

And that concludes the question-and-answer session and today's conference call. Thank you for your participation. You may now disconnect.

問答環節和今天的電話會議到此結束。感謝您的參與。您現在可以斷開連線。