FiscalNote Holdings Inc (NOTE) 2023 Q1 法說會逐字稿

Thank you for standing by. My name is Briana, and I will be your conference operator today. At this time, I would like to welcome everyone to the FiscalNote Q1 2023 Earnings Call. (Operator Instructions) I will now turn the call over to Sara Buda, Vice President of Investor Relations. You may begin your conference.

謝謝你的支持。我叫 Briana，今天我將擔任你們的會議操作員。此時，我謹歡迎大家參加 FiscalNote 2023 年第一季度收益電話會議。 （操作員指示）我現在將電話轉給投資者關係副總裁 Sara Buda。您可以開始您的會議了。

Hi, everyone. Welcome to the FiscalNote Q1 2023 Earnings Call. During this call, we may make certain statements related to our business that are forward-looking statements under federal securities laws. These statements are not guarantees of future performance but are rather subject to a variety of risks and uncertainties. Our actual results could differ materially from expectations reflected in any forward-looking statements.

大家好。歡迎參加 FiscalNote 2023 年第一季度收益電話會議。在本次電話會議中，我們可能會做出某些與我們業務相關的聲明，這些聲明屬於聯邦證券法規定的前瞻性聲明。這些陳述並不是對未來業績的保證，而是受到各種風險和不確定性的影響。我們的實際結果可能與任何前瞻性陳述中反映的預期存在重大差異。

For a discussion of the material risks and other important factors that could affect our actual results, please refer to our SEC filings available on the SEC's EDGAR system and on our website as well as the risks and other important factors discussed in today's earnings release. Additionally, non-GAAP financial measures and other KPIs will be discussed on this conference call. Please refer to the tables in our earnings release and the Investor Relations portion of our website for a reconciliation of these measures to their most directly comparable GAAP financial measure. With that, I'd like to turn the call over to FiscalNote's Chairman, CEO and Co-Founder, Tim Hwang.

有關可能影響我們實際結果的重大風險和其他重要因素的討論，請參閱 SEC EDGAR 系統和我們網站上提供的 SEC 文件以及今天的收益報告中討論的風險和其他重要因素。此外，本次電話會議還將討論非公認會計準則財務指標和其他關鍵績效指標。請參閱我們的收益報告中的表格以及我們網站的投資者關係部分，了解這些指標與其最直接可比的公認會計準則財務指標的對賬情況。說到這裡，我想將電話轉給 FiscalNote 的董事長、首席執行官兼聯合創始人 Tim Hwang。

Thank you, Sara. On today's call, we will review our first quarter. As always, I'll discuss our durable compounding revenue, strong gross margin, macro trends driving our business and more. I'll also talk about our long-term opportunities for asymmetric upside as we innovate around new products and customer segments. I'll then turn it over to our CFO, Jon Slabaugh, to talk about the details of our financials as we quickly pivot to approximately breakeven adjusted EBITDA in Q3 and positive adjusted EBITDA profitability in Q4 and continue on our pathway as the profitable long-term growth compounder.

謝謝你，薩拉。在今天的電話會議上，我們將回顧第一季度的情況。與往常一樣，我將討論我們持久的複合收入、強勁的毛利率、推動我們業務的宏觀趨勢等等。我還將討論當我們圍繞新產品和客戶群進行創新時，我們的不對稱上升的長期機會。然後，我將把它交給我們的首席財務官喬恩·斯拉博（Jon Slabaugh），討論我們的財務細節，因為我們很快將轉向第三季度的大約盈虧平衡調整後 EBITDA 和第四季度的正調整 EBITDA 盈利能力，並繼續我們作為盈利長期的道路。期限增長複合器。

Before I begin, let me start with a very brief overview of who we are and what we do for those new to the story. At FiscalNote, we're on a mission to help our customers make sense of the complicated and constantly changing world we live in by delivering a proprietary AI-enabled SaaS platform that aggregates and organizes regulatory, political and macroeconomic information and analyze the impact on their organization.

在開始之前，讓我先簡要概述一下我們是誰以及我們為那些剛接觸這個故事的人所做的事情。在 FiscalNote，我們的使命是通過提供一個專有的人工智能 SaaS 平台來幫助我們的客戶了解我們所生活的複雜且不斷變化的世界，該平台可以聚合和組織監管、政治和宏觀經濟信息，並分析對其的影響。組織。

Changes in policies, regulations and laws impact the decision-making of almost every organization around the world, from changes in regulatory requirements to mandatory reporting requirements that organizations must comply with often on a global basis. Using cutting-edge machine learning and AI capabilities, we aggregate, synthesize and analyze mass amounts of legislative policy, regulatory and macroeconomic data and information around the world and provide actionable intelligence to customers in a subscription model.

政策、法規和法律的變化影響著世界各地幾乎每個組織的決策，從監管要求的變化到組織必須在全球範圍內經常遵守的強制性報告要求。利用尖端的機器學習和人工智能功能，我們匯總、綜合和分析世界各地的大量立法政策、監管和宏觀經濟數據和信息，並以訂閱模式為客戶提供可操作的情報。

As such, we're building an enduring company for the world's most important and influential decision-makers -- these customers range from hundreds of government agencies and public sector customers from the Department of Defense, the White House, every member of the House and Senate in the U.S. Congress, the Federal Reserve and public sector organizations in Europe and Asia to major corporate customers, including half of Fortune 100 that need to stay on top of an ever-shifting regulatory, political and geopolitical landscape in countries around the world.

因此，我們正在為世界上最重要和最有影響力的決策者建立一家持久的公司——這些客戶包括數百個政府機構和公共部門客戶，來自國防部、白宮、眾議院的每一位議員和美國國會參議院、美聯儲以及歐洲和亞洲的公共部門組織以及主要企業客戶，其中包括一半的財富 100 強企業，這些客戶需要掌握世界各國不斷變化的監管、政治和地緣政治格局。

These customers rely on FiscalNote every day to help interpret the impact of policies, legislation and macroeconomic shifts on their institutions. As a result, thousands of global customers in the commercial and public sectors depend on FiscalNote's SaaS platforms and analysis to discover process and navigate the impact of government policy making on their organizations and more importantly, take actions which achieve business objectives and minimize political and economic risk. This forms the basis of our durable and long-term growth. We have become an increasingly mission-critical and ubiquitous Bloomberg Terminal of political, legislative and regulatory information at the local, state, federal and global level. The same way that other information companies, such as S&P Global, IHS Markit, FactSet, MorningStar, CoStar and Avalara have innovated in their respective information field, FiscalNote continues to deliver mission-critical information that has a direct impact on our customers' operations.

這些客戶每天依靠 FiscalNote 來幫助解釋政策、立法和宏觀經濟變化對其機構的影響。因此，商業和公共部門的數千名全球客戶依靠 FiscalNote 的 SaaS 平台和分析來發現流程並駕馭政府政策制定對其組織的影響，更重要的是，採取行動實現業務目標並最大限度地減少政治和經濟影響風險。這構成了我們持久和長期增長的基礎。我們已經成為一個日益關鍵的、無處不在的彭博終端，提供地方、州、聯邦和全球層面的政治、立法和監管信息。正如 S&P Global、IHS Markit、FactSet、MorningStar、CoStar 和 Avalara 等其他信息公司在各自的信息領域進行創新一樣，FiscalNote 繼續提供對客戶運營有直接影響的關鍵任務信息。

We've invested tens of millions of dollars and almost 10 years building a dispensable combination of data, intelligence and AI technology to collect, synthesize and make sense of an exploding pace and volume of dynamic unstructured regulatory, political and legal information around the world as well as the software tools to help our customers respond.

我們投入了數千萬美元，歷時近 10 年，構建了數據、智能和人工智能技術的可有可無的組合，以收集、合成和理解全球範圍內呈爆炸式增長的動態非結構化監管、政治和法律信息，並理解這些信息的數量。以及幫助我們的客戶做出響應的軟件工具。

With that, let me start with a summary of our financial results that serves as a platform for our compounding profitable growth in 2023 and beyond. We clocked yet another quarter of compounding highly predictable revenue growth. Q1 revenue was $31.5 million, marking growth of 21% year-over-year and in line with the guidance we provided on our last call. As we've demonstrated, we have a highly predictable recurring revenue stream from a diverse customer base of thousands of organizations that renew their contracts year after year, and we continue to secure new customers as well from state governments to Fortune 100 enterprises. These customers rely on FiscalNote every day to help interpret the impact of policies, legislation and macroeconomic shifts on their institutions and more importantly, to take actions which achieve their business objectives.

首先，讓我總結一下我們的財務業績，該業績為我們 2023 年及以後的複合盈利增長提供了平台。我們又一個季度實現了高度可預測的收入複合增長。第一季度收入為 3150 萬美元，同比增長 21%，與我們上次電話會議中提供的指導一致。正如我們所證明的那樣，我們擁有來自數千家組織的多元化客戶群的高度可預測的經常性收入流，這些組織年復一年地續簽合同，並且我們繼續爭取從州政府到財富 100 強企業的新客戶。這些客戶每天依靠 FiscalNote 來幫助解釋政策、立法和宏觀經濟變化對其機構的影響，更重要的是，幫助他們採取行動來實現其業務目標。

We also continue to deliver consistently high gross profit margin. Q1 adjusted gross margins were 80% in the quarter. These margins are a hallmark at FiscalNote and stem from our SaaS business model, AI pedigree and data-rich products, all of which form the basis for strong cash flow in the future. On the bottom line, our adjusted EBITDA loss was in line with expectations of approximately $7 million. And as a real detail, through a combination of ongoing ARR growth and a diligent focus on cost, we are reiterating our plan to reduce our adjusted EBITDA loss, notably starting in Q2 and to be approximately breakeven in Q3 and profitable in Q4 on an adjusted EBITDA basis. Jon will walk you through the details.

我們還繼續提供持續的高毛利率。第一季度調整後毛利率為 80%。這些利潤率是 FiscalNote 的標誌，源於我們的 SaaS 業務模式、人工智能譜系和數據豐富的產品，所有這些構成了未來強勁現金流的基礎。總而言之，我們調整後的 EBITDA 虧損約為 700 萬美元，符合預期。作為一個真正的細節，通過持續的 ARR 增長和對成本的認真關注相結合，我們重申了減少調整後 EBITDA 損失的計劃，特別是從第二季度開始，並在第三季度大致實現盈虧平衡，並在調整後的第四季度實現盈利。 EBITDA 基礎。喬恩將引導您了解詳細信息。

Our cash position at the end of the quarter was $47.5 million, and we have an additional $94 million of debt capacity subject to conditions. We continue to have sufficient capital to fund our growth. And as we've stated, we are capitalized fully and do not require any additional capital raises to achieve our plan of adjusted EBITDA profitability and over time, free cash flow.

截至本季度末，我們的現金頭寸為 4750 萬美元，根據條件，我們還有 9400 萬美元的額外債務能力。我們仍然有足夠的資本來支持我們的增長。正如我們所說，我們資本充足，不需要任何額外的融資來實現我們調整後的 EBITDA 盈利能力和隨著時間的推移實現自由現金流的計劃。

Turning to managing KPIs. We delivered run rate revenue of $134 million, including our late January acquisition of Dragonfly. Excluding at Dragonfly's, organic run rate revenue was $126 million. Our annual recurring revenue was $119 million, marking pro forma growth of 10% year-over-year and 9% on an organic basis, excluding Dragonfly. This is in line with our expectations, and we expect ARR to continue to ramp through the year as it usually does.

轉向管理 KPI。我們實現了 1.34 億美元的運營收入，其中包括 1 月底收購的 Dragonfly。不包括 Dragonfly 的營業收入為 1.26 億美元。我們的年度經常性收入為 1.19 億美元，預計同比增長 10%，有機增長 9%（不包括 Dragonfly）。這符合我們的預期，我們預計 ARR 將像往常一樣在今年繼續上升。

Also, internally, we are seeing benefits from the operational and organizational changes we have been implementing, and we expect to see benefits of those improvements reflected in our accelerating second half growth. For the quarter, net revenue retention was 96%, and adjusted NRR was approximately 98% in the first quarter, adjusting for the impact of the anticipated expiration of the legacy noncore content licensing relationship that was inherited as part of a prior acquisition.

此外，在內部，我們看到了我們一直在實施的運營和組織變革帶來的好處，我們預計這些改進的好處將反映在我們下半年的加速增長中。本季度淨收入保留率為 96%，第一季度調整後 NRR 約為 98%，調整了作為先前收購的一部分繼承的傳統非核心內容許可關係預計到期的影響。

On a trailing 12-month basis, our net revenue retention was 97%. Overall, net revenue retention remained strong; a strong reflection of our successful cross-sell and upsell model, and the must have mission-critical solutions we deliver for our customers.

在過去 12 個月的基礎上，我們的淨收入保留率為 97%。總體而言，淨收入保留依然強勁；強烈反映了我們成功的交叉銷售和追加銷售模式，以及我們為客戶提供的必備任務關鍵型解決方案。

We reiterated our guidance for 2023 with GAAP revenue of $136 million to $141 million, marking growth of 20% to 24% year-over-year. We also expect run rate revenue of $148 million to $155 million for the year. And as you mentioned, our path to profitability remains on track. Our guidance and continued performance are driven by our predictable compounding revenue growth, strong recurring revenue, high revenue retention and high gross margin profile. As a result of these fundamentals, we continue to reiterate our guidance for positive adjusted EBITDA profitability in Q4, and it will translate into free cash flow in the future.

我們重申了 2023 年的指引，GAAP 收入為 1.36 億美元至 1.41 億美元，同比增長 20% 至 24%。我們還預計今年的運行收入為 1.48 億至 1.55 億美元。正如您所提到的，我們的盈利之路仍然走在正軌上。我們的指導和持續業績是由我們可預測的複合收入增長、強勁的經常性收入、高收入保留和高毛利率狀況推動的。基於這些基本面，我們繼續重申第四季度調整後 EBITDA 盈利能力為正值的指引，並將轉化為未來的自由現金流。

Now let me touch on some of the macro trends that serve as a backstop for our growth. Our market is driven by political events and a regulatory environment that continues to increase in complexity at an unprecedented pace. In the U.S. alone, in the 2022 legislative session, the combined State House has introduced more than 84,000 bills and acted 24,000 of them. Each of these legislative bodies are supplemented by tens of thousands of regulatory bodies across the country that consistently pass a myriad of rules and regulations that impact every single industry from health care access to funding to consumer data privacy to labor and employment regulation. The legislation and regulation vary greatly from state to state and city to city, creating a myriad of compliance and operational issues for organizations who market, sell and operate their businesses across the U.S. as well as government agencies who legislate, track and act on those regulations.

現在讓我談談一些支撐我們增長的宏觀趨勢。我們的市場受到政治事件和監管環境的推動，而監管環境的複雜性繼續以前所未有的速度增加。僅在美國，在 2022 年立法會議上，合併後的州議會就提出了超過 84,000 項法案，並批准了其中 24,000 項法案。這些立法機構中的每一個都得到全國數以萬計的監管機構的補充，這些機構不斷通過無數的規則和法規，這些規則和法規影響著每個行業，從醫療保健獲取到資金，到消費者數據隱私，再到勞動和就業監管。各個州和各個城市的立法和法規差異很大，這給在美國各地營銷、銷售和運營其業務的組織以及負責立法、跟踪和執行這些法規的政府機構帶來了無數的合規和運營問題。

On a global level, regulation and policymaking is also at an all-time high. New EU legislative acts have increased 13% since 2020 alone. Moreover, new regulations from the EU to China often quickly extend from local to global, creating large regulatory complexity that spreads globally, particularly around issues such as semiconductors that transition to the new energy economy, crypto assets, the Data Act and climate change legislation with significant variation in how and when each region adopts and implement these regulations.

在全球層面，監管和政策制定也處於歷史最高水平。僅 2020 年以來，歐盟新立法法案就增加了 13%。此外，從歐盟到中國的新法規往往會迅速從當地擴展到全球，從而造成全球範圍內的巨大監管複雜性，特別是圍繞向新能源經濟過渡的半導體、加密資產、數據法案和氣候變化立法等問題。每個地區採用和實施這些法規的方式和時間存在顯著差異。

Regulatory risk is closely tied to geopolitical, macroeconomic and operational risk as issues such as military conflicts and civil unrest spur politicians around the world to respond with new regulations, which in turn creates uncertainty for all organizations and significant top line and bottom line impact for companies that operate globally. This is having a direct and significant impact on our customers. In a recent PwC survey of CEOs, more than half of global CEOs reported that changes in regulation will have the biggest impact on profitability in the industry in the next 10 years. Last year alone, corporations faced $6.4 billion in penalties from SEC enforcement actions, suffered $59 billion in losses from sanctions against Russia and supply chain disruptions may have caused over $4 trillion in lost revenues in a single year. This backstop is the underpinning of our business.

監管風險與地緣政治、宏觀經在全球範圍內運營。這對我們的客戶產生了直接而重大的影響。普華永道最近對首席執行官進行的一項調查顯示，超過一半的全球首席執行官表示，監管變化將在未來 10 年對該行業的盈利能力產生最大影響。僅去年一年，企業就因 SEC 執法行動而面臨 64 億美元的處罰，因對俄羅斯的製裁而蒙受 590 億美元的損失，供應鏈中斷可能在一年內造成超過 4 萬億美元的收入損失。這一支持是我們業務的基礎。

Without FiscalNote, organizations face a manual, complex, expensive and inefficient process for tracking, assessing and taking action on regulations and geopolitical issues. From the day we found the FiscalNote, we saw a tremendous underserved opportunity to use AI to structure, normalize, analyze and digitize (inaudible) the regulatory, legal, macroeconomic and geopolitical information and to embed software workflows that make data useful and actionable for our customers.

如果沒有 FiscalNote，組織將面臨手動、複雜、昂貴且低效的流程來跟踪、評估法規和地緣政治問題並採取行動。從我們發現 FiscalNote 的那天起，我們就看到了一個巨大的機會，可以使用人工智能來構建、標準化、分析和數字化（聽不清）監管、法律、宏觀經濟和地緣政治信息，並嵌入軟件工作流程，使數據對我們有用且可操作。顧客。

We believe that this remains a large global market opportunity. We now have the breadth of data and the depth of AI that is unparalleled in our market. As a result, FiscalNote is now positioned better than ever and better than anyone to build a category creator, which constantly innovates to turn insights into actions, convert challenges into opportunities to mitigate risk to protect [operation] .

我們相信這仍然是一個巨大的全球市場機會。我們現在擁有市場上無與倫比的數據廣度和人工智能深度。因此，FiscalNote 現在比以往任何時候都更適合打造品類創建者，不斷創新，將洞察轉化為行動，將挑戰轉化為機遇，降低風險，保護[運營]。

As one of our larger multinational enterprise customers stated, FiscalNote empowers us to be at the forefront of the issues that matter most for our business. Another client referred to the current regulatory environment as chaotic and pointing to FiscalNote as a critical source of truth at a time of constant misinformation.

正如我們的一位大型跨國企業客戶所言，FiscalNote 使我們能夠站在對我們業務最重要的問題的最前沿。另一位客戶稱當前的監管環境混亂，並指出在錯誤信息不斷出現的情況下，FiscalNote 是重要的事實來源。

With that context, let me talk briefly about the underpinnings of our growth model and the opportunities for potential asymmetric upside in the long term. Every day, our team focus on allocating capital to the areas of our business with the greatest return and the highest upside. As leaders, we think in terms of both evolutionary growth and revolutionary growth. So let me start with evolutionary growth. Quarter after quarter, we continue to deliver strong organic growth supplemented by accretive tuck-in acquisition that facilitate cross-sell and upsell opportunities among our customers across vectors. The model is simple. We take our customers from the previous year, renew them and upsell those customers with new products and capabilities to grow our business while simultaneously adding new customers each year. The durability of our recurring revenue model reflects the strength of our products and the deep customer relationships that we've built. This drives a high level of revenue predictability for our business, as you've seen.

在此背景下，讓我簡要談談我們增長模式的基礎以及長期潛在不對稱上升的機會。每天，我們的團隊都專注於將資本分配到回報率最高、上升空間最大的業務領域。作為領導者，我們從進化增長和革命增長的角度思考。讓我從進化成長開始。每個季度，我們都繼續實現強勁的有機增長，並輔以不斷增加的收購，促進跨領域客戶之間的交叉銷售和追加銷售機會。模型很簡單。我們吸引上一年的客戶，更新他們，並向這些客戶追加銷售新產品和功能，以發展我們的業務，同時每年增加新客戶。我們的經常性收入模式的持久性反映了我們產品的實力以及我們建立的深厚客戶關係。正如您所看到的，這為我們的業務帶來了高水平的收入可預測性。

Further, because of our 80% adjusted gross margin profile and our ongoing focus on OpEx cost management, the model also drives significant operating leverage, leading to adjusted EBITDA profitability in Q4 and free cash flow soon thereafter. Looking ahead at scale, we expect to deliver the margin and cash flow model similar to other sector-specific leaders in information services, which on average, typically drive free cash flow margins well north of 20%.

此外，由於我們調整後的毛利率為 80%，並且我們持續關注運營支出成本管理，該模型還推動了顯著的運營槓桿，從而導致第四季度調整後的 EBITDA 盈利能力和此後不久的自由現金流。展望未來，我們預計將提供與信息服務領域其他特定行業領先者類似的利潤率和現金流模型，平均而言，這通常會推動自由現金流利潤率遠超 20%。

So the evolutionary clockwise foundational organic revenue growth and margin profile of our business is very strong. Every single quarter, we will continue to expand our business incrementally by continuing to renew our base of customers at a high rate, adding to our annuity-like recurring revenue base and maintaining a disciplined strategy to maintain high gross margins and positive adjusted EBITDA.

因此，我們業務的順時針進化基礎有機收入增長和利潤率狀況非常強勁。每個季度，我們都將繼續以高速度更新我們的客戶群，增加我們類似年金的經常性收入基礎，並維持嚴格的戰略以維持高毛利率和正調整後的 EBITDA，從而逐步擴大我們的業務。

In terms of additional growth opportunities, as I mentioned in previous calls, the European market stands as one of the most heavily regulated markets on the planet. And yet only 13% of revenue comes from this market. We are at the beginning stages of our European expansion, and I believe that similar to other large-scale information services leaders, we can build a business that can rival the size of our North American business with just our current products today.

就額外的增長機會而言，正如我在之前的電話會議中提到的，歐洲市場是全球監管最嚴格的市場之一。然而只有 13% 的收入來自這個市場。我們正處於歐洲擴張的起步階段，我相信，與其他大型信息服務領導者類似，我們可以僅用我們目前的產品來建立一個可以與我們北美業務規模相媲美的業務。

Another market segment that we believe to display strong incremental growth is the state and local government market. According to the U.S. Census Bureau, there are approximately 90,000 local governments in the U.S. alone. Each of these jurisdictions make decisions about everything from property taxes, education funding, zoning, et cetera. I need to understand the relationship to state and federal policymakers as well as maintain their own relationships with their constituencies. This quarter, as an example, we announced a major deal with the Georgia legislature in the State Senate, the Office of Lieutenant Governor and members of Dekalb County Board of Commissioners to do just that.

我們認為表現出強勁增量增長的另一個細分市場是州和地方政府市場。根據美國人口普查局的數據，僅美國就有大約 90,000 個地方政府。每個司法管轄區都對財產稅、教育經費、分區等各個方面做出決定。我需要了解與州和聯邦政策制定者的關係，並維持他們與選民的關係。例如，本季度，我們宣布與佐治亞州參議院立法機構、副州長辦公室和迪卡爾布縣委員會成員達成一項重大協議，以實現這一目標。

We believe there are opportunities like this in every state in the country. Now let me touch on revolutionary growth opportunities to accelerate our business and drive outperformance near term and long term. These are incubated opportunities that we have been cultivating as a management team that could at any moment, take us beyond our clock like fundamental compounding growth and deliver asymmetric upside.

我們相信全國每個州都有這樣的機會。現在讓我談談革命性的增長機會，以加速我們的業務並推動近期和長期的卓越表現。這些都是我們作為管理團隊一直在培育的機會，它們可以在任何時候讓我們超越我們的時鐘，就像基本複合增長一樣，並帶來不對稱的上行空間。

One area of focus for us is leveraging partnerships for larger and broader customer development and more efficient product development.

我們關注的領域之一是利用合作夥伴關係來開發更大、更廣泛的客戶以及更高效的產品開發。

As you've seen, we are starting to gain recognition as the preeminent leader in AI and data for managing regulatory, geopolitical and operational risk. Earlier this year, we announced a partnership with Peraton, a large integrator for national security solutions. By embedding and integrating our AI and data solutions with Peraton's national security technologies, we bring mutual value to customers in the intelligence, defense, security, health and state government sectors who need large-scale trusted solutions that keep people safe and secure.

正如您所看到的，我們開始被認可為管理監管、地緣政治和運營風險的人工智能和數據領域的傑出領導者。今年早些時候，我們宣布與國家安全解決方案大型集成商 Peraton 建立合作夥伴關係。通過將我們的人工智能和數據解決方案與 Peraton 的國家安全技術嵌入並集成，我們為情報、國防、安全、衛生和州政府部門的客戶帶來共同價值，這些客戶需要大規模可信解決方案來保障人們的安全。

Federal agencies and large government organizations have been FiscalNote customers for a very long time. Through our own strategic growth initiatives under partnerships such as Peraton and other defense contractors, we see long-term opportunities to secure large-scale multiyear government contracts that can be transformative to our group.

聯邦機構和大型政府組織長期以來一直是 FiscalNote 的客戶。通過我們與 Peraton 和其他國防承包商等合作夥伴的戰略增長計劃，我們看到了獲得大規模多年期政府合同的長期機會，這些合同可以為我們的集團帶來變革。

Our leadership in AI and data is leading to other partnerships and integrations as well. In March, OpenAI selected FiscalNote as one of the 14 inaugural trusted partners and a full provider of legal, political and regulatory data information to collaborate with AI research and to provide select content for users of OpenAI's ChatGPT platform. Just 2 weeks ago, AI and data analytics leader Databricks also selected fiscal to provide regulatory and geopolitical data and information for their new data at marketplace, which is accessed by more than 9,000 customers. And other AI industry leaders are reaching out to us about additional collaborations as well. These new partnerships are a testament to the importance of our sector and demonstrate FiscalNote's clear leadership in our market.

我們在人工智能和數據方面的領先地位也正在引領其他合作夥伴和集成。今年 3 月，OpenAI 選擇 FiscalNote 作為 14 個首批值得信賴的合作夥伴之一，以及法律、政治和監管數據信息的全面提供商，以與 AI 研究合作並為 OpenAI ChatGPT 平台的用戶提供精選內容。就在兩週前，人工智能和數據分析領導者 Databricks 還選擇財務為其在市場上的新數據提供監管和地緣政治數據和信息，該市場有 9,000 多名客戶訪問。其他人工智能行業領導者也正在與我們聯繫以尋求更多合作。這些新的合作夥伴關係證明了我們行業的重要性，並展示了 FiscalNote 在我們市場中的明顯領導地位。

Other catalyst for our upside is pure new product development, which is, of course, also driven by our decade-long investment in AI. We see compelling and timely opportunities to organically extend our innovation to new areas of risk that have direct an overarching impact on our customers. We will continue to launch new products that leverage our core competitive advantage here. advancements in AI, such as ChatGPT and GPT4, when combined with the unique and defensible combination of data, AI and human intelligence that we hold, should result in a faster time to market and more efficient product innovation that enables us to create new products in record time at an incredibly low cost.

推動我們上漲的另一個催化劑是純粹的新產品開發，當然，這也是由我們長達十年的人工智能投資推動的。我們看到了令人信服且及時的機會，可以將我們的創新有機地擴展到對我們的客戶產生直接總體影響的新風險領域。我們將繼續推出發揮我們核心競爭優勢的新產品。 ChatGPT 和 GPT4 等人工智能的進步，與我們擁有的數據、人工智能和人類智能的獨特且可靠的組合相結合，應該會導致更快的上市時間和更高效的產品創新，使我們能夠在以極低的成本記錄時間。

As an example, many of the world's largest enterprises are increasingly concerned about risks in their businesses and supply chains, risks that are operational in nature and impacted by the types of legal, political, regulatory and security issues that we track today. We are uniquely positioned to bring new innovative solutions to market that directly address their biggest and most pressing concerns because of our long-standing leadership in AI as well as our deep and regulatory data sets that empower businesses to predict, understand, quantify other types of risks that have tremendous impact on their operations. This is just one of many internally driven product development opportunities that allow us to broaden and deepen our customer relationships, push FiscalNote into new areas of growth for our customers and provide new lines of revenue that provides significant expansion opportunities for future growth. Stay tuned for more information in this area soon.

例如，世界上許多最大的企業越來越擔心其業務和供應鏈中的風險，這些風險本質上是運營風險，並受到我們今天跟踪的法律、政治、監管和安全問題類型的影響。我們擁有獨特的優勢，可以將新的創新解決方案推向市場，直接解決他們最大和最緊迫的問題，因為我們在人工智能領域長期處於領先地位，而且我們深厚的監管數據集使企業能夠預測、理解和量化其他類型的問題。對其經營產生巨大影響的風險。這只是眾多內部驅動的產品開發機會之一，這些機會使我們能夠擴大和深化我們的客戶關係，推動 FiscalNote 為我們的客戶進入新的增長領域，並提供新的收入來源，為未來的增長提供重大的擴張機會。請繼續關注該領域的更多信息。

And finally, M&A remains a catalyst for incremental growth as well. We continue to pursue selective M&A targets that facilitate strong cross-sell among our base of customers. We've had great success with the majority of our acquisitions as we scale their solutions, catalyze their growth and add incremental value for our customers. Our January acquisition of Dragonfly is already generating opportunities as our customers look at security and operational risk in the markets they operate in.

最後，併購仍然是增量增長的催化劑。我們繼續追求選擇性的併購目標，以促進我們的客戶群之間的強大交叉銷售。我們的大部分收購都取得了巨大成功，因為我們擴展了他們的解決方案，促進了他們的增長並為我們的客戶增加了增量價值。我們一月份對 Dragonfly 的收購已經創造了機會，因為我們的客戶正在關注他們所在市場的安全和運營風險。

In this environment, we continue to be selective in our acquisition target and structure, but we remain opportunistic when we see clear opportunities for outsized growth. In sum, as leaders, we are constantly innovating around new customer segments, new product lines and new offerings, so we can expand the value we deliver for thousands of customers every day. We continue to grow, continue to maintain strong relationships with our customers through our retention and subscription model, continue to support a high gross margin and long-term free cash flow generation. And we continue to innovate for the future by expanding our product suite and geographic footprint with a capital model that supports us profitably and beyond. With these strong fundamentals, we remain focused on strategies that allow us to deliver our evolutionary growth and profitability goals while positioning us for revolutionary asymmetric upside in the future. We will continue to allocate our time and capital on the activities and innovations that generate the strongest returns and maintain our steadfast commitment to delivering superior customer value.

在這種環境下，我們繼續對收購目標和結構進行選擇性，但當我們看到明顯的超額增長機會時，我們仍然保持機會主義。總之，作為領導者，我們不斷圍繞新的客戶群、新的產品線和新的產品進行創新，這樣我們就可以擴大每天為成千上萬的客戶提供的價值。我們不斷發展，通過保留和訂閱模式繼續與客戶保持牢固的關係，繼續支持高毛利率和長期自由現金流的產生。我們通過擴大我們的產品套件和地理覆蓋範圍，以及支持我們盈利和超越的資本模式，繼續為未來創新。憑藉這些強勁的基本面，我們將繼續專注於能夠實現漸進式增長和盈利目標的戰略，同時為我們在未來實現革命性的不對稱優勢奠定基礎。我們將繼續將時間和資本分配給能夠產生最大回報的活動和創新，並保持我們對提供卓越客戶價值的堅定承諾。

In summary, we are executing on the opportunities in front of us today, improving our compounded growth model. Our business is driven by macro trends that continue to create a large amount of uncertainty from a policy perspective. Our foundation of recurring revenue, high adjusted gross profit margins and strong operational leverage will drive our business to adjusted EBITDA profitability in Q4 and strong free cash flow soon thereafter. Strategically, we have a unique indispensable combination of data, AI and human intelligence that provides unparalleled value for our customers and a sustainable competitive advantage for FiscalNote.

總之，我們正在抓住今天擺在我們面前的機遇，改進我們的複合增長模式。我們的業務是由宏觀趨勢驅動的，從政策角度來看，宏觀趨勢繼續帶來大量不確定性。我們的經常性收入基礎、高調整後毛利率和強大的運營槓桿將推動我們的業務在第四季度實現調整後 EBITDA 盈利能力，並在此後不久實現強勁的自由現金流。從戰略上講，我們擁有數據、人工智能和人類智能的獨特、不可或缺的組合，為我們的客戶提供無與倫比的價值，並為 FiscalNote 提供可持續的競爭優勢。

While the strength of our fundamentals are not yet reflected in our stock price today, we are confident that long term, our valuation will align with the fundamentals of our business. As leaders, we are 100% focused on building a durable, profitable, compounding growth company that provides unique value to the world's most important decision makers and scaling this business to $200 million, $300, $500 and $1 billion in recurring revenue and beyond. Now let me turn it over to Jon for details on our financials and our outlook going forward.

雖然我們的基本面實力尚未反映在今天的股價中，但我們有信心，從長遠來看，我們的估值將與我們業務的基本面保持一致。作為領導者，我們 100% 專注於建立一家持久、盈利、複合增長的公司，為世界上最重要的決策者提供獨特的價值，並將該業務的經常性收入擴大到 2 億美元、300 美元、500 美元和 10 億美元及以上。現在讓我把它交給喬恩，了解我們的財務狀況和未來前景的詳細信息。

Thank you, Tim, and good morning. I'm going to spend some time providing further details on the quarter. I'll also discuss what to expect in terms of financial performance for this year and walk through our path to positive adjusted EBITDA and over time, positive free cash flow. Let me first start with revenue. First quarter revenue was $31.5 million, marking growth of 21% year-over-year in total and 10% growth on an organic basis.

謝謝你，蒂姆，早上好。我將花一些時間提供有關本季度的更多詳細信息。我還將討論今年財務業績的預期，並逐步介紹我們實現正調整 EBITDA 以及隨著時間的推移實現正自由現金流的道路。讓我首先從收入開始。第一季度收入為 3150 萬美元，總體同比增長 21%，有機增長 10%。

We are executing on our strategy to deliver compounding growth, driven by strong organic growth and complemented by accretive, strategic tuck-in acquisitions. This has been our track record, and we expect to continue this revenue performance moving forward. First quarter subscription revenue, which makes up 90% of our total revenue, was $28.5 million. This is an increase of 25% from a year ago and 14% on an organic basis, once again showing our strong recurring revenue model.

我們正在執行我們的戰略，以實現複合增長，在強勁的有機增長的推動下，並輔之以增值性的戰略性收購。這是我們的業績記錄，我們預計未來將繼續保持這種收入表現。第一季度訂閱收入為 2850 萬美元，占我們總收入的 90%。這比一年前增長了 25%，有機增長了 14%，再次顯示了我們強大的經常性收入模式。

Our advisory and other revenue was $3.1 million, a slight $200,000 decline year-over-year. We exited Q1 with run rate revenue of $134 million in total, marking 10% growth year-over-year. Run rate revenue is defined as ARR plus non-subscription revenue earned during the last 12 months. It is a key management metric and serves as a baseline for the subsequent quarters and beyond.

我們的諮詢和其他收入為 310 萬美元，同比小幅下降 20 萬美元。第一季度結束時，我們的運行收入總計為 1.34 億美元，同比增長 10%。運行率收入定義為 ARR 加上過去 12 個月內賺取的非訂閱收入。它是一項關鍵的管理指標，可作為後續季度及以後的基準。

On an organic basis, run rate revenue was $126 million, reflecting 9% growth on a pro forma basis as defined in our press release. NRR, or net revenue retention for the quarter was approximately 96%. On a trailing 12-month basis, NRR was 97%. NRR rates can fluctuate slightly from quarter-to-quarter. This quarter, our NRR was affected by the anticipated conclusion of a large licensing contract with FiscalNote inherited through an acquired business. Excluding this contract roll-off, NRR would have been 98% for the quarter.

在有機基礎上，運行率收入為 1.26 億美元，反映了我們新聞稿中定義的預計增長 9%。本季度的 NRR（淨收入留存率）約為 96%。過去 12 個月的 NRR 為 97%。 NRR 率可能會因季度而略有波動。本季度，我們的 NRR 受到預期與通過收購的業務繼承的 FiscalNote 簽訂大型許可合同的影響。如果不包括此次合同轉期，本季度的 NRR 將為 98%。

We do find that NRR rates are highest among our large enterprise and public sector accounts and lower among midsized companies and trade associations. Enterprise and strategic accounts now represent our largest, fastest-growing, highest retention customer group and will continue to drive increasing total NRR.

我們確實發現大型企業和公共部門賬戶的 NRR 率最高，而中型公司和貿易協會的 NRR 率較低。企業和戰略客戶現在代表了我們最大、增長最快、保留率最高的客戶群，並將繼續推動總 NRR 的增長。

We are continuing to scale our strategic and enterprise accounts teams and reallocating our sales resources accordingly and grew our total annual recurring revenue or ARR to $119 million as of March 31, an increase of 19% compared to the same period in 2022. Organic revenue, as we defined, was $113 million as of quarter end. This represents a 9% growth rate when compared to our ARR in Q1 of last year on a pro forma basis. This is consistent with our expectations for the year as we anticipate most ARR growth will take place in the second half of the year, consistent with prior years.

我們正在繼續擴大我們的戰略和企業客戶團隊規模，並相應地重新分配我們的銷售資源，截至 3 月 31 日，我們的年度經常性總收入或 ARR 增至 1.19 億美元，與 2022 年同期相比增長 19%。有機收入，正如我們所定義的，截至季度末為 1.13 億美元。與去年第一季度的預計 ARR 相比，這意味著增長率為 9%。這與我們對今年的預期一致，因為我們預計大部分 ARR 增長將發生在今年下半年，與往年一致。

Looking at gross profit, we continue to enjoy strong margins. Our Q1 gross profit was $22.6 million, representing a 72% margin. Our first quarter non-GAAP gross profit was $25.2 million, representing an 80% gross margin after adjusting for amortization. Sales and marketing costs were $12.3 million for the quarter, an increase of $2.8 million year-over-year. R&D expenses were $5.1 million, a reduction of about $1 million from a year ago, due in part to increased efficiencies and the completion of certain rebuild projects.

從毛利潤來看，我們繼續享有強勁的利潤率。我們第一季度的毛利潤為 2260 萬美元，利潤率為 72%。我們第一季度的非 GAAP 毛利潤為 2520 萬美元，攤銷調整後毛利率為 80%。該季度銷售和營銷成本為 1230 萬美元，同比增加 280 萬美元。研發費用為 510 萬美元，比一年前減少約 100 萬美元，部分原因是效率提高和某些重建項目的完成。

Editorial content costs were approximately $4.3 million, a modest increase year-over-year. G&A expense for the quarter was $18 million. This includes approximately $5.6 million related to the accounting treatment of noncash stock-based compensation expenses. Excluding these noncash charges, G&A was approximately $12.7 million, an increase of about $2 million year-over-year, largely due to public company costs. The operating loss for Q1 was $27 million in total. This includes $6.5 million of stock-based compensation, a $5.8 million goodwill impairment charge related to the performance of our Equilibrium software product versus its forecast and $1.4 million of transaction costs, largely related to the accounting treatment of the acquisition of Dragonfly.

編輯內容成本約為 430 萬美元，同比略有增長。該季度的一般管理費用為 1800 萬美元。其中包括與非現金股票補償費用的會計處理相關的約 560 萬美元。不包括這些非現金費用，一般管理費用約為 1,270 萬美元，同比增加約 200 萬美元，這主要是由於上市公司成本所致。第一季度的運營虧損總計 2700 萬美元。其中包括 650 萬美元的股票薪酬、與 Equilibrium 軟件產品的性能與其預測相關的 580 萬美元商譽減值費用以及 140 萬美元的交易成本（主要與收購 Dragonfly 的會計處理相關）。

Our total interest expense was $6.7 million. Of this, cash interest expense was $4.7 million, which is a good proxy for our quarterly cash interest expense going forward, depending on interest rates. The GAAP net loss for Q1 was $19 million, which is reconciled to our adjusted EBITDA loss of $7 million in our press release. Our balance sheet remains solid at $47.5 million of cash and cash equivalents as of March 31. We have sufficient capital to support our growth initiatives and fund our path to positive adjusted EBITDA in Q4 of this year.

我們的總利息支出為 670 萬美元。其中，現金利息支出為 470 萬美元，這是我們未來季度現金利息支出的良好代表，具體取決於利率。第一季度 GAAP 淨虧損為 1900 萬美元，與我們新聞稿中調整後的 EBITDA 虧損 700 萬美元相一致。截至 3 月 31 日，我們的資產負債表保持穩定，現金和現金等價物為 4750 萬美元。我們有足夠的資本來支持我們的增長計劃，並為我們在今年第四季度實現正調整 EBITDA 的道路提供資金。

As we stated in our last call, we are taking steps to reduce our operating expenses, which should result in $6 million to $7 million of in-year cost savings. These cost reduction steps include actions we've already taken and will continue to take this year, including adjusting our [talent] allocation model, aligning our sales teams to focus on the highest potential clients and segments, using technology to improve our internal processes and workflows, consolidated product development groups and R&D teams and vendor consolidation and elimination. These actions will start to benefit our adjusted EBITDA in Q2 and will continue in the second half of the year.

正如我們在上次電話會議中所說，我們正在採取措施減少運營費用，這將導致年內節省 600 萬至 700 萬美元的成本。這些降低成本的措施包括我們已經採取並將在今年繼續採取的行動，包括調整我們的[人才]分配模式、調整我們的銷售團隊以專注於最具潛力的客戶和細分市場、利用技術改進我們的內部流程和工作流程、整合的產品開發團隊和研發團隊以及供應商整合和淘汰。這些行動將在第二季度開始使我們調整後的 EBITDA 受益，並將在下半年繼續。

Lower costs, combined with higher second half revenue will drive us to be approximately breakeven on an adjusted EBITDA basis in Q3 and generate positive adjusted EBITDA in Q4. This brings me to our guidance. For Q2, we expect revenue of $32 million to $34 million. Our adjusted EBITDA is expected to be a loss of $4.5 million to $3.5 million depending on revenue and the timing to realize the benefit of certain cost reductions.

較低的成本加上下半年較高的收入將推動我們在第三季度調整後 EBITDA 基礎上實現大致盈虧平衡，並在第四季度產生正的調整後 EBITDA。這讓我想到了我們的指導。對於第二季度，我們預計收入為 3200 萬美元至 3400 萬美元。我們調整後的 EBITDA 預計將虧損 450 萬至 350 萬美元，具體取決於收入和實現某些成本削減效益的時間。

For the full year, we are reiterating all of our guidance previously provided, including a run rate revenue of $148 million to $155 million, inclusive of the recent Dragonfly acquisition and excluding any future acquisitions we may make. GAAP revenue of $136 million to $141 million, marking growth of 20% to 24% year-over-year, including the acquisition of Dragonfly. We expect adjusted gross margins to continue at approximately 80%, and we are reiterating our guidance for adjusted EBITDA loss between $8 million and $6 million for the full year. We are also providing new visibility to our plan to be adjusted EBITDA breakeven in Q3.

對於全年，我們重申之前提供的所有指導，包括運行率收入 1.48 億至 1.55 億美元，包括最近的 Dragonfly 收購，但不包括我們未來可能進行的任何收購。 GAAP 收入為 1.36 億美元至 1.41 億美元，同比增長 20% 至 24%，其中包括收購 Dragonfly。我們預計調整後的毛利率將繼續保持在 80% 左右，並且我們重申全年調整後 EBITDA 損失在 800 萬美元至 600 萬美元之間的指導。我們還為第三季度調整 EBITDA 盈虧平衡的計劃提供了新的可見性。

Given our guidance for the year, this clearly means solid adjusted EBITDA profitability in Q4 of approximately $3 million to $5 million, resulting from the cost action we discussed previously and our seasonally stronger second half revenue. As we continue to deliver strong 80% adjusted gross margins, leverage the operating platform we have in place and continue to manage our costs, we expect to drive strong conversion of incremental revenue to adjusted EBITDA. As we reached the inflection point of adjusted EBITDA profitability in the short term, we expect this operating leverage will enable us to deliver strong free cash flow margins in the long term.

鑑於我們今年的指導，這顯然意味著第四季度調整後的 EBITDA 盈利能力穩定，約為 300 萬至 500 萬美元，這是由於我們之前討論的成本行動以及我們下半年收入的季節性強勁所致。隨著我們繼續實現高達 80% 的調整後毛利率，利用我們現有的運營平台並繼續管理我們的成本，我們預計將推動增量收入向調整後 EBITDA 的強勁轉化。隨著我們在短期內達到調整後 EBITDA 盈利能力的拐點，我們預計這種運營槓桿將使我們能夠在長期內提供強勁的自由現金流利潤率。

We have approximately $94 million of debt capacity subject to certain conditions. Our lenders remain flexible and are supportive of the company's focused strategic acquisition program. As Tim discussed, we will continue to pursue selective M&A opportunities that are accretive to our profitability and that drive cross-sell opportunities within our stable and growing base of thousands of customers. And of course, given our stock price, we are focused on transaction structures heavily weighted towards earnout and structured stock consideration with terms that give long-term upside with minimal dilution.

在某些條件下，我們擁有約 9400 萬美元的債務能力。我們的貸款人保持靈活，並支持公司的重點戰略收購計劃。正如蒂姆所討論的，我們將繼續尋求有選擇性的併購機會，這些機會可以增加我們的盈利能力，並在我們穩定且不斷增長的數千名客戶群中推動交叉銷售機會。當然，考慮到我們的股價，我們關注的交易結構主要側重於盈利和結構性股票對價，其條款能夠以最小的稀釋度提供長期上漲空間。

In closing, we are delivering on top line growth. As we execute on our strategy to build a compounding growth, profitable business that drives mission-critical solutions to the world's most important decision makers, there are secular trends propelling our business and creating sustainable demand from increasing regulation to geopolitical threats to macroeconomic uncertainty. Only FiscalNote has the breadth of AI-enhanced data and human intelligence to help customers navigate this increasing operational complexity. We continue to leverage our investments in AI to drive new growth opportunities and drive efficiencies throughout the organization with highly predictable recurring revenue, strong gross margins and ongoing cost management. Our path to profitability is clear, and we have the operational structure and capital we need to scale this business and drive long-term value. With that, we will now open up the call to questions. Operator?

最後，我們正在實現營收增長。當我們執行戰略以建立復合增長、盈利的業務，為世界上最重要的決策者提供關鍵任務解決方案時，長期趨勢推動我們的業務發展，並創造可持續的需求，從加強監管到地緣政治威脅到宏觀經濟不確定性。只有 FiscalNote 擁有廣泛的人工智能增強數據和人類智能，可以幫助客戶應對日益增加的運營複雜性。我們繼續利用對人工智能的投資來推動新的增長機會，並通過高度可預測的經常性收入、強勁的毛利率和持續的成本管理來提高整個組織的效率。我們的盈利之路很明確，我們擁有擴大業務規模和推動長期價值所需的運營結構和資本。現在，我們將開始提問。操作員？

(Operator Instructions) Your first question comes from Mike Latimore with Northland Capital Markets.

（操作員說明）您的第一個問題來自 Northland Capital Markets 的 Mike Latimore。

Congrats on the results and strong outlook there. Jon, I just want to make sure I got the number down correctly. Did you say that you're expecting positive EBITDA of $3 million to $5 million in the fourth quarter?

祝賀我們取得的成果和良好的前景。喬恩，我只是想確保我正確記下了號碼。您是否說過您預計第四季度的 EBITDA 為 300 萬至 500 萬美元？

That's right, Mike. We mentioned that we're approaching breakeven in the third quarter and the expectation of 3% to 5% in the fourth quarter.

沒錯，邁克。我們提到第三季度我們將接近盈虧平衡，預計第四季度將達到 3% 至 5%。

Okay. Great. And then just on the strategic account strategy. Can you elaborate a little bit more on that? What are the resources you're devoting to that? And what's the pipeline build look like? And maybe what percent of the pipeline is in this category at this point?

好的。偉大的。然後就是戰略客戶策略。您能詳細說明一下嗎？您為此投入了哪些資源？管道構建是什麼樣的？也許目前有多少比例的管道屬於這一類別？

I have Josh Resnik, our President here with us, and I'll let him answer that question.

我們的總統喬什·雷斯尼克（Josh Resnik）和我們在一起，我會讓他回答這個問題。

So we don't disclose down to those level of metrics down to that specific line, but I'll tell you that generally speaking, we see a tremendous opportunity there as we can bring our full portfolio of products to larger enterprises and really leverage what we've built across the portfolio of the entire company. And we've seen our ability to do it kind of case-by-case within our enterprise approach generally. And we believe that by applying resources to focus on this, we can drive growth in that area going forward.

因此，我們不會透露具體的指標水平，但我會告訴您，一般來說，我們看到了巨大的機會，因為我們可以將我們的完整產品組合帶給更大的企業，並真正利用我們已經建立了整個公司的產品組合。我們已經看到了我們在企業方法中具體情況具體分析的能力。我們相信，通過運用資源專注於此，我們可以推動該領域的未來增長。

Great. And then just in terms of the environment and overall companies, any change in sales cycles or deal sizes this year relative to the end of last year?

偉大的。那麼就環境和整體公司而言，今年的銷售週期或交易規模相對於去年年底有什麼變化？

Yes, Mike, this is Josh. So we're still -- we're continuing to see essentially the same issues in macro that we've been talking about for the past couple of quarters, where we see some elongation of buying cycles, some budget pressure from clients, and we're continuing to work our way through that. And that's built into our forecast for the year.

是的，邁克，這是喬什。因此，我們仍然 - 我們繼續在宏觀上看到與過去幾個季度我們一直在談論的基本相同的問題，我們看到購買週期有所延長，來自客戶的一些預算壓力，我們我們正在繼續努力解決這個問題。這已納入我們今年的預測中。

Right. But no change in those dynamics?

正確的。但這些動態沒有改變嗎？

No.

不。

No change relative to last year?

與去年相比沒有變化嗎？

No, no significant change.

不，沒有重大變化。

Got it. And just last on -- you talked about some asymmetric upside potential. And I think one of the categories was kind of in the federal space. Is that a -- are those opportunities sort of longer term at this point? Or are you tracking a few like task orders today that could be meaningful?

知道了。最後，您談到了一些不對稱的上行潛力。我認為其中一個類別是在聯邦領域。目前這些機會是否屬於長期機會？或者您今天是否正在跟踪一些可能有意義的類似任務訂單？

Mike, this is Tim. So we have not actually forecast any of that upside that we've been talking about. I think a lot of -- most of foundational elements that we're laying down right now are anticipation of new upside in the future, but they have not fixed our forecast. But obviously, we have to [go] spending time on them. We have people investing resources in them because we do think that have substantial upside in the areas that we laid out.

邁克，這是蒂姆。因此，我們實際上並沒有預測到我們一直在談論的任何好處。我認為我們現在製定的大部分基本要素都是對未來新的上升空間的預期，但它們並沒有確定我們的預測。但顯然，我們必須在它們上花時間。我們有人在其中投入資源，因為我們確實認為我們所佈局的領域具有巨大的優勢。

Your next question comes from Matt VanVliet with BTIG.

您的下一個問題來自 BTIG 的 Matt VanVliet。

I guess digging in a little more on the enterprise and strategic count side of things. I wonder if you could just walk us through kind of what percentage or how many of the modules that you're selling, do you feel like are appropriate for a number of those customers sort of the first part of the question. The second part, what is sort of the typical average of maybe the larger cohort of customers that have taken on the platform, maybe expanded a couple of times as sort of a near-term opportunity with the first part of the question being sort of the upper bound as you look at that opportunity?

我想更多地關注企業和戰略方面的事情。我想知道您是否可以向我們介紹一下您所銷售的模塊的百分比或數量，您認為適合問題的第一部分中的許多客戶。第二部分，可能是該平台上更多客戶群的典型平均值是多少，可能會作為近期機會擴大幾次，問題的第一部分是當你看待這個機會時，上限是多少？

Yes, Matt, this is Josh. Let me try to answer it and let me know I captured it or not. I mean again, we don't break down into specifics among the segments. But in terms of your question about what -- like what share of our products do we think are applicable there? Generally speaking, if you think about it from the perspective of a large multinational, you need to manage to a significant number of issues that range from legal and regulatory to political and policy to security, cybersecurity, message resonance and the like.

是的，馬特，這是喬什。讓我嘗試回答它並讓我知道我是否捕獲了它。我的意思是，我們不會分解各個部分的具體細節。但就你的問題而言，我們認為我們產品的哪些份額適用於那裡？一般來說，如果你從大型跨國公司的角度來考慮，你需要處理大量的問題，從法律和監管到政治和政策，再到安全、網絡安全、信息共鳴等。

And so we have solutions really across our various lines of business that span those needs. So I think that the use case depends on this particular business in terms of what their specific problems we solved are.. But generally speaking, we think that we have the opportunity to present bundles from amongst all our products that will meet the needs of those larger enterprises.

因此，我們擁有真正涵蓋各個業務領域的解決方案，可以滿足這些需求。因此，我認為用例取決於這個特定的業務，就我們解決的具體問題而言。但總的來說，我們認為我們有機會從我們所有的產品中提供捆綁包，以滿足這些人的需求較大的企業。

Okay. And then just any help on sort of what that near-term opportunity? Like how many customers are using, say, half of the platform talking about, they're all -- a lot of them are willing and maybe capable of using it. Do you have customers that are already using a number of modules where it gives you the encouragement to say, all right let's put more resources, let's make this our highest priority area. Just trying to gauge kind of what the true near-term opportunity is here in understanding why the resources are maybe even being diverted to that component?

好的。那麼對於近期的機會有什麼幫助嗎？就像有多少客戶正在使用所說的平台的一半一樣，他們中的很多人都願意並且可能有能力使用它。您是否有客戶已經在使用許多模塊，這會鼓勵您說，好吧，讓我們投入更多資源，讓我們將此作為我們的最高優先級領域。只是試圖衡量真正的近期機會是什麼，以了解為什麼資源甚至可能被轉移到該組件？

Sure. I mean, well, what I can tell you is we do see a significant portion of customers that are using multiple products already, the number of products per customer are increasing. So in other words, within our existing sales structure or previous sales structure, we were able to create those bundles and do the right upsell and cross-sell to meet the needs that we're seeing from those larger multinationals. And so we believe that by taking these resources and focusing more on creating those broader bundles and being more intentional about what we actually bring to market that we can drive the growth in that way.

當然。我的意思是，我可以告訴你的是，我們確實看到很大一部分客戶已經在使用多種產品，每個客戶的產品數量正在增加。換句話說，在我們現有的銷售結構或以前的銷售結構中，我們能夠創建這些捆綁銷售並進行正確的追加銷售和交叉銷售，以滿足我們從那些大型跨國公司看到的需求。因此，我們相信，通過利用這些資源，更多地專注於創建更廣泛的捆綁包，並更加專注於我們實際推向市場的產品，我們可以以這種方式推動增長。

So again, we don't disclose specifics to that segment, but we're seeing, like you said, we're seeing users who buy onto these bundled offerings. We're seeing the number of products per customer increase. And so we know the trends are there. And with that focus, we think we can drive that further.

因此，我們不會透露該細分市場的具體信息，但正如您所說，我們看到用戶購買了這些捆綁產品。我們看到每個客戶的產品數量在增加。所以我們知道趨勢就在那裡。有了這個重點，我們認為我們可以進一步推動這一目標。

Okay. Very helpful there. And then I guess maybe for Jon, as you look at the in-process cost savings initiatives you have there, what could potentially push those later into the year, the ones maybe not yet taken? Or what would give you maybe the internal confidence that the top line is growing at a faster clip. You're seeing more uptake, especially as you incorporate more of these AI functionality and maybe you would start to hire a little bit sooner. So maybe it boils down to how much is headcount related of those in-process and yet-to-be-taken cost initiatives and how much are more kind of structural cost around different vendors or paring back on certain internal spend?

好的。那裡非常有幫助。然後我想，也許對喬恩來說，當你看到那裡的流程中成本節約舉措時，什麼可能會將這些舉措推到今年晚些時候，那些可能尚未採取的舉措？或者什麼能讓你內心相信收入正在以更快的速度增長。你會看到更多的人採用，特別是當你融入更多這些人工智能功能時，也許你會更快地開始招聘。因此，也許可以歸結為，這些正在進行的和尚未採取的成本計劃與員工人數有多少相關，以及圍繞不同供應商的更多結構性成本或削減某些內部支出有多少？

Thanks, Matt. So headcount accounts for a vast majority of our total operating expenses. So from an efficiency standpoint, that's going to be the primary source of efficiency as we drive forward and look at leveraging our staff in each functional line of the business. We've already identified and taken actions, and we'll continue to kind of think about ways to be more efficient down the road.

謝謝，馬特。因此，員工人數占我們總運營費用的絕大多數。因此，從效率的角度來看，當我們推動並考慮在業務的每個職能部門充分利用我們的員工時，這將成為效率的主要來源。我們已經確定並採取了行動，我們將繼續思考今後提高效率的方法。

We've also been very aggressive on the vendor side. We specifically looked at areas where we're spending the most and focus on those contracts. But we've also eliminated a lot of contracts. We just -- we made the decision we no longer need it. As it relates to the revenue growth and matching revenue growth with the cost reductions, we're on a biweekly basis, looking at the pipelines, making sure that we're pacing towards what we expect in terms of revenue growth and revenue ramp. And we'll continue to kind of monitor that but stay committed to all aspects of our guidance, both the revenue and the EBITDA, that have a lot of levers to pull along the way if we see the adjustments are necessary or opportunities to accelerate, present themselves in one segment or another.

我們在供應商方面也非常積極。我們專門研究了支出最多的領域並重點關注這些合同。但我們也取消了很多合同。我們只是——我們做出了不再需要它的決定。由於它與收入增長以及將收入增長與成本降低相匹配有關，因此我們每兩週檢查一次佢道，確保我們在收入增長和收入增長方面朝著我們預期的方向發展。我們將繼續進行監控，但仍致力於我們指導的各個方面，包括收入和 EBITDA，如果我們認為有必要進行調整或有機會加速，那麼我們將有很多槓桿可以推動，在一個或另一部分中展示自己。

Your next question comes from Rudy Kessinger with D.A. Davidson.

您的下一個問題來自 D.A. 的魯迪·凱辛格 (Rudy Kessinger)。戴維森。

Just one question for me. Understanding your years are back half loaded from a new business standpoint. The guide clearly implies greater sequential growth Q2 to Q3 and Q3 to Q4 on both a dollar basis and a percent basis than last year. And just what gives you the confidence to hit those numbers. Most companies at this time are guiding to smaller sequentials and smaller dollar growth back half of this year versus last year.

只是問我一個問題。從新的商業角度來看，你的歲月已過半。該指南明確暗示，無論是按美元計算還是按百分比計算，第二季度至第三季度以及第三季度至第四季度的環比增長均高於去年。是什麼讓您有信心達到這些數字。目前，與去年相比，大多數公司今年下半年的季度業績和美元增長率都較小。

Thanks, Rudy. I think our -- first of all, we look at the productivity of the sales team coming out of last year and what we changed -- slight changes we've made to the team coming into this year. Our first quarter performance is in line with expectations. It's in line with prior years. We did have kind of the exceptional event that we mentioned that had an impact on the net retention rate in the first quarter. But for that, I think our first quarter performs very much like prior years.

謝謝，魯迪。我認為我們的——首先，我們看看去年銷售團隊的生產力以及我們所做的改變——我們對今年的團隊做了一些微小的改變。我們第一季度的業績符合預期。這與往年一致。我們確實發生了我們提到的特殊事件，這對第一季度的淨保留率產生了影響。但就這一點而言，我認為我們第一季度的表現與前幾年非常相似。

So I think that we're kind of in line for the type of ramp that we've seen in prior years. And we have a broader product selection that we have in prior years. We've got more kind of innovation and kind of new features to cross-sell as well. So there are a couple of new things that we'll be focused on and feel like as I said, we monitored the pipeline biweekly with all of the teams just to make sure they remain on pace for the expectations for the year and move resources around where we see growth opportunities. So we take opportunities to accelerate where we can.

所以我認為我們有點符合前幾年看到的坡道類型。與前幾年相比，我們有更廣泛的產品選擇。我們還有更多的創新和新功能可供交叉銷售。因此，我們將重點關註一些新的事情，就像我所說的那樣，我們每兩週與所有團隊一起監控管道，以確保他們保持符合今年預期的步伐並調動資源我們在那裡看到了增長機會。因此，我們抓住機會盡可能加速。

There are no further questions at this time. I will now turn the call back over to Tim.

目前沒有其他問題。我現在將把電話轉回給蒂姆。

Great. Thank you, everybody. I appreciate everybody jumping on the call here. We've got another great quarter and really looking forward to at least delivering on the results that we've guided towards here and really continue to execute on the business. So I appreciate the time. Thank you, everybody.

偉大的。謝謝大家。我感謝大家踴躍參加電話會議。我們又迎來了一個偉大的季度，我們真的期待至少能夠實現我們在此指導的結果，並真正繼續執行業務。所以我很珍惜時間。謝謝大家。

This concludes today's conference call. You may now disconnect.

今天的電話會議到此結束。您現在可以斷開連接。