ON24 Inc (ONTF) 2025 Q2 法說會逐字稿

Good afternoon ladies and gentlemen, and welcome to the ON24's second-quarter 2025 earnings conference call (Operator Instructions). This call is being recorded on Thursday, August 7, 2025.

女士們先生們下午好，歡迎參加 ON24 2025 年第二季財報電話會議（操作員指令）。該通話於 2025 年 8 月 7 日星期四錄製。

I would not like to turn the conference over to Lauren Sloane. Please go ahead.

我不想把會議交給勞倫‧斯隆 (Lauren Sloane)。請繼續。

Thank you. Hello, and good afternoon, everyone. Welcome to ON24's second-quarter 2025 earnings conference call. On the call with me today are Sharat Sharan, Co-Founder and CEO of ON24; and Steve Vattuone, Chief Financial Officer of ON24.

謝謝。大家好，下午好。歡迎參加 ON24 2025 年第二季財報電話會議。今天與我一起參加電話會議的有 ON24 聯合創始人兼執行長 Sharat Sharan 和 ON24 財務長 Steve Vattuone。

Before we begin, I would like to remind everyone that some information provided during this call will include forward-looking statements regarding future events and financial performance, including guidance for the third quarter and fiscal year of 2025, as well as certain third quarter and full year non-GAAP projections.

在我們開始之前，我想提醒大家，本次電話會議中提供的一些資訊將包括有關未來事件和財務業績的前瞻性陳述，包括 2025 年第三季和財年的指引，以及某些第三季和全年非 GAAP 預測。

These forward-looking statements are subject to known and unknown risks and uncertainties that could adversely affect ON24's future results and cause these forward-looking statements to be inaccurate, including our ability to grow revenue, attract new customers and expand sales to existing customers, the success of our new products and capabilities, other statements regarding our ability to achieve our business strategies, growth or other future events or conditions such as the impact of adverse economic conditions and macroeconomic deterioration.

這些前瞻性陳述受已知和未知的風險和不確定性的影響，可能對 ON24 的未來業績產生不利影響並導致這些前瞻性陳述不準確，包括我們增加收入、吸引新客戶和擴大對現有客戶的銷售的能力、我們新產品和能力的成功、有關我們實現業務戰略的能力、增長或其他未來事件或條件（如其他經濟條件和宏觀經濟陳述的影響）的影響。

ON24 cautions that these statements are not guarantees of future performance. All forward-looking statements made today reflect our current expectations only, and we undertake no obligation to update any statements to reflect the events that occur after the call. Please refer to the company's periodic SEC filings and today's financial press release for factors that could cause our actual results to differ materially from any forward-looking statements.

ON24 警告稱，這些聲明並不能保證未來的表現。今天所做的所有前瞻性陳述僅反映我們當前的預期，我們不承擔更新任何陳述以反映電話會議後發生的事件的義務。請參閱本公司定期向美國證券交易委員會提交的文件和今天的財務新聞稿，以了解可能導致我們的實際結果與任何前瞻性陳述有重大差異的因素。

We'd also like to point out that on today's call, we will report both GAAP and non-GAAP results. We use these non-GAAP financial measures to evaluate our ongoing operations and for internal planning and forecasting purposes. Non-GAAP financial measures are presented in addition to and not as a substitute for financial measures calculated in accordance with GAAP. To see the reconciliation of these non-GAAP financial measures, please refer to today's financial press release.

我們還想指出，在今天的電話會議上，我們將報告 GAAP 和非 GAAP 結果。我們使用這些非公認會計準則財務指標來評估我們的持續經營以及用於內部規劃和預測目的。非公認會計準則 (Non-GAAP) 財務指標是對依照公認會計準則 (GAAP) 計算的財務指標的補充，而非替代。若要了解這些非公認會計準則財務指標的對帳情況，請參閱今天的財務新聞稿。

I will now turn the call over to Sharat. Please go ahead.

現在我將把電話轉給沙拉特。請繼續。

Thank you, and welcome, everyone, to the ON24 second-quarter 2025 Earnings Call. I appreciate you joining us today. With me is Steve Vattuone, our Chief Financial Officer.

感謝大家，歡迎大家參加 ON24 2025 年第二季財報電話會議。感謝您今天加入我們。和我一起的是我們的財務長史蒂夫·瓦圖奧內 (Steve Vattuone)。

Our Q2 results exceeded our expectations. We drove improvements in ARR performance, ending the quarter with $127.1 million in total ARR and core platform ARR of $125.1 million. Our in-period gross retention was the highest in four years, supported by deeper customer engagement and expanded use cases.

我們第二季的業績超出了我們的預期。我們推動了 ARR 業績的提升，本季末總 ARR 為 1.271 億美元，核心平台 ARR 為 1.251 億美元。在更深入的客戶參與和更廣泛的使用案例的支持下，我們的期內總留存率達到了四年來的最高水平。

Our $100,000-plus ARR customer base grew in Q2, signaling traction in enterprise segments with high-value accounts leveraging our solutions to deliver pipeline and business results. We saw continued win-back momentum from boomerang customers, many of which are returning and increasing their commitment with us compared to their previous engagement.

我們的 100,000 美元以上的 ARR 客戶群在第二季度有所增長，這表明企業領域具有吸引力，高價值帳戶利用我們的解決方案來提供管道和業務成果。我們看到了回頭客持續贏回的勢頭，其中許多客戶都回來了，並且與之前的合作相比，他們對我們的承諾有所增加。

Our product innovations, including AI-powered ACE solutions, continue to build momentum. A mid-teens percentage of our customers are paying for AI-powered ACE, a number that has grown consistently since we launched it last year. We achieved positive adjusted EBITDA in Q2 and generated positive free cash flow for the sixth consecutive quarter, underscoring our continued focus on operational discipline. Lastly, total revenue beat our expectations coming in at $35.3 million.

我們的產品創新（包括基於人工智慧的 ACE 解決方案）持續蓬勃發展。我們大約有 15% 的客戶正在為 AI 驅動的 ACE 付費，自去年推出以來，這個數字一直在穩步增長。我們在第二季度實現了正的調整後 EBITDA，並連續第六個季度產生了正的自由現金流，這凸顯了我們對營運紀律的持續關注。最後，總收入超出我們的預期，達到 3530 萬美元。

We believe we have laid a solid foundation for improvement in our top and bottom line performance in the second half of the year. Our positive momentum is directly tied to the progress we have made with our strategic initiatives around AI innovation, enhanced enterprise go-to-market execution and a commitment to positive cash flow.

我們相信，我們已經為下半年營收和淨利的提升奠定了堅實的基礎。我們的積極勢頭與我們在人工智慧創新、加強企業上市執行和對正現金流的承諾方面的策略性舉措所取得的進展直接相關。

First, I will elaborate on our product and AI innovation strategy. Our AI innovation builds on our strength in first-party data. We have over 1 billion engagement minutes annually on our platform, and we have hundreds of thousands of webinar experiences annually. In the age of AI, content and data wins.

首先我來闡述我們的產品和AI創新策略。我們的人工智慧創新建立在我們在第一方數據方面的優勢之上。我們的平台每年有超過 10 億分鐘的互動時間，每年有數十萬次網路研討會體驗。在人工智慧時代，內容和數據勝出。

Our vision here is twofold: one, moving from single digital events to omnichannel global campaigns, enabling our customers to create intelligent, personalized and scalable content ecosystem from every live event they deliver; two, helping our customers take the global campaigns and content that they have created on our platform and make it more discoverable in the new world of AI search and large language models. And to do all this in an automated, scalable way, which drives measurable business outcomes for our customers.

我們的願景有兩個面向：一是從單一的數位活動轉向全通路的全球活動，使我們的客戶能夠從他們舉辦的每一次現場活動中創建智慧、個人化和可擴展的內容生態系統；二是幫助我們的客戶將他們在我們的平台上創建的全球活動和內容在人工智慧搜尋和大型語言模型的新世界中更容易被發現。並以自動化、可擴展的方式完成所有這些工作，從而為我們的客戶帶來可衡量的業務成果。

Imagine, you've just hosted a 60 to 90-minute long-form live product event experience. For many companies, that's where it ends. But with ON24, the event is just beginning. We automatically turn that long-form session to transcripts, blog posts, key takeaways, short-form video clips, even social content. Now, layer on our multi-language translation capabilities. That same webinar can be translated and launched in French, German, Spanish for EMEA markets, and Japanese, Korean, Mandarin for APAC markets.

想像一下，您剛剛主持了一場 60 到 90 分鐘的長篇現場產品活動體驗。對許多公司來說，事情就到此結束了。但對於 ON24 來說，這項活動才剛開始。我們會自動將長篇會議轉換為記錄、部落格文章、重點、短影片片段，甚至是社群內容。現在，我們進一步完善多語言翻譯功能。同一網路研討會可以翻譯並發佈為法語、德語、西班牙語（針對 EMEA 市場）以及日語、韓語、普通話（針對 APAC 市場）。

Suddenly, one digital event becomes a global campaign that reaches audiences worldwide, with personalized messaging and content tailored to each market. But we're not stopping there. Now, we can leverage our AI-powered ACE to hyper-personalize content. In this new world of AI search and large language models, content discoverability is critical. It's not just about creating content, it's about making sure that content is found by the right people, in the right places, and increasingly, by AI search and chatbots.

突然之間，一個數位活動變成了一個覆蓋全球受眾的全球性活動，並針對每個市場量身定制個人化的訊息和內容。但我們不會就此止步。現在，我們可以利用人工智慧驅動的 ACE 來實現超個人化內容。在這個人工智慧搜尋和大型語言模型的新世界中，內容可發現性至關重要。這不僅僅是創建內容，還要確保內容能夠被正確的人在正確的地方找到，並且越來越多地透過人工智慧搜尋和聊天機器人找到。

Specifically, our product and AI innovation strategy is anchored on five core pillars, which enable our customers to benefit from positive business outcomes, greater efficiencies and global scalability. Let's touch on these five important pillars.

具體來說，我們的產品和人工智慧創新策略以五大核心支柱為基礎，使我們的客戶能夠從積極的業務成果、更高的效率和全球可擴展性中受益。讓我們來談談這五大重要支柱。

First, our AI-powered segmentation and personalization solutions allow customers to leverage our unmatched first-party engagement data to tailor every interaction and create dynamic personalized audience journeys.

首先，我們基於人工智慧的細分和個人化解決方案使客戶能夠利用我們無與倫比的第一方參與數據來客製化每一次互動並創建動態個人化的受眾旅程。

Second, ON24's AI-powered Analytics and Content Engine delivers AI-generated content and nurture capabilities, enabling teams to turn that single event into ongoing nurture opportunities. With AI-powered ACE, engagement events are instantly repurposed into derivative content like blog posts, e-books, social snippets, video assets and more, creating a powerful content engine that fuels multi-channel engagement, enables always-on nurture and propels funnel velocity.

其次，ON24 的人工智慧分析和內容引擎提供人工智慧生成的內容和培育能力，使團隊能夠將單一事件轉變為持續的培育機會。借助人工智慧驅動的 ACE，參與事件可以立即重新轉化為衍生內容，如部落格文章、電子書、社交片段、視訊資產等，從而創建一個強大的內容引擎，推動多渠道參與，實現不間斷培育並提高漏斗速度。

Third, we just announced the launch of the first phase of ON24 Translate, integrated AI-powered multilingual translation capabilities, which will allow customers to localize registration pages, captions and post-event assets into 64 languages. We also offer solutions to translate webinars, allowing our customers to dramatically scale their business and drive global marketing campaign opportunities.

第三，我們剛剛宣布啟動 ON24 Translate 的第一階段，整合了人工智慧驅動的多語言翻譯功能，這將允許客戶將註冊頁面、標題和活動後資產在地化為 64 種語言。我們還提供網路研討會翻譯解決方案，使我們的客戶能夠大幅擴展業務並推動全球行銷活動機會。

Fourth, ON24 IQ, our autonomous event automation and workflow manager, is an intelligent AI assistant that streamlines event creation, session setup, and live Q&A moderation. These AI-powered tools streamline complex workflows by simplifying event execution and ultimately driving smarter, more personalized events.

第四，我們的自主事件自動化和工作流程管理器 ON24 IQ 是一個智慧 AI 助手，可簡化事件建立、會話設定和即時問答審核。這些人工智慧工具透過簡化事件執行來簡化複雜的工作流程，並最終推動更智慧、更個人化的活動。

Finally, we continue to enhance our unmatched first-party customer engagement data and performance insights, delivering real-time engagement signals and intent data that helps customers turn insights into actions. Now, go-to-market teams can effectively personalize outreach, nurture audience engagement, and propel significant pipeline and revenue growth for their business.

最後，我們繼續增強我們無與倫比的第一方客戶參與數據和績效洞察，提供即時參與訊號和意圖數據，幫助客戶將洞察轉化為行動。現在，行銷團隊可以有效地個人化推廣、培養受眾參與度並推動業務的顯著管道和收入成長。

Together, these five pillars are central to the ON24 platform. Our enhanced solution set enables customers to use ON24 to expand well beyond a single engagement event, strengthening audience reach and engagement, increasing funnel velocity, scaling globally, and improving pipeline and revenue performance.

這五大支柱共同構成了 ON24 平台的核心。我們增強的解決方案套件使客戶能夠使用 ON24 擴展到單一參與活動之外，增強受眾覆蓋率和參與度，提高管道速度，擴大全球規模，並改善管道和收入績效。

Let me give you an example, especially as it relates to the ON24 AI-powered ACE solution. An Italian affiliate of a major pharmaceutical organization partnered with ON24 to host a virtual event for senior oncologists across the country. The affiliate reaffirmed its commitment to the HCP community by presenting its latest research and development efforts in oncology and highlighting clinical data from recent studies.

讓我給你一個例子，特別是與 ON24 AI 驅動的 ACE 解決方案相關的例子。一家大型製藥組織的義大利分支機構與 ON24 合作，為全國各地的高級腫瘤學家舉辦了一場虛擬活動。該附屬機構透過展示其在腫瘤學領域的最新研發成果並強調近期研究的臨床數據，重申了對 HCP 社群的承諾。

By leveraging ON24's platform, the affiliate delivered an immersive, multi-touch live experience that engaged participants in real time. To extend the value of the event beyond the live session, they utilized ON24's AI-powered content engine to generate derivative assets such as key moment highlight videos, event summaries, transcripts and concise takeaways, all centralized on a dynamic, always-on nurture page. Through this collaboration, the pharmaceutical affiliate not only educated its HCP audience, but also created a scalable content ecosystem to sustain engagement and drive long-term impact.

透過利用 ON24 的平台，該聯營公司提供了一種身臨其境的多點觸控現場體驗，讓參與者可以即時參與。為了將活動的價值擴展到現場會議之外，他們利用 ON24 的人工智慧內容引擎來產生衍生資產，例如關鍵時刻精彩影片、活動摘要、文字記錄和簡潔要點，所有這些都集中在一個動態的、始終在線的培育頁面上。透過此次合作，該製藥公司不僅教育了其 HCP 受眾，還創建了一個可擴展的內容生態系統，以維持參與並產生長期影響。

The second strategic initiative I want to cover is our enterprise-focused go-to-market strategy. In Q2, ON24 made meaningful advances by aligning our sales, customer success and marketing organizations around a unified, solutions-based approach to address the more complex needs of global enterprises and drive value and long-term growth in this important segment.

我要介紹的第二個策略舉措是我們以企業為中心的市場進入策略。在第二季度，ON24 透過調整我們的銷售、客戶成功和行銷組織，採用統一的、基於解決方案的方法來解決全球企業更複雜的需求，並推動這一重要領域的價值和長期成長，取得了有意義的進展。

This go-to-market shift allows our sales and customer success teams to directly align with our customers' priorities such as improving pipeline performance and deepening customer or client engagement and retention. We are delivering meaningful value through innovation that is helping our enterprise clients drive engagement, scale globally and improve their business outcomes. With the help of our differentiated solution, we are experiencing healthy customer activity and stable platform demand.

這種市場轉變使我們的銷售和客戶成功團隊能夠直接與客戶的優先事項保持一致，例如提高通路績效以及深化客戶或客戶的參與度和保留率。我們透過創新提供有意義的價值，幫助我們的企業客戶推動參與、擴大全球規模並改善他們的業務成果。在我們差異化解決方案的幫助下，我們的客戶活動健康，平台需求穩定。

We are seeing the results of these initiatives in some key metrics. The average core ARR per customer reached approximately $80,000 at the end of the second quarter, the highest we have ever reported. And we added five net new customers with over $100,000 in ARR. We have also continued to see a strong positive trend with win-backs from boomerang customers in Q2.

我們在一些關鍵指標上看到了這些措施的成果。在第二季末，每位客戶的平均核心 ARR 達到約 80,000 美元，這是我們報告的最高值。我們新增了 5 位新客戶，年經常性收入 (ARR) 超過 10 萬美元。我們也看到第二季回頭客客戶重新回歸的強勁正面趨勢。

In addition, our regulated industries business, which includes financial services and life sciences, continues to build with growth ARR from these sectors increasing as a percentage of our business.

此外，我們的受監管行業業務（包括金融服務和生命科學）持續成長，這些行業的成長 ARR 在我們業務中所佔的比例不斷增加。

Let me give you some customer examples, starting with some of the new logos that we closed in Q2. A leading global payments platform faced several challenges in scaling their demand generation efforts, including low registration-to-attendee conversion rates. By adopting the ON24 platform and AI-powered ACE capabilities, they unlocked a 24/7 omnichannel approach and turned their webinars into a predictable, revenue-generating pipeline, exceeding their conversion goals and driving significant business impact.

讓我給你舉一些客戶的例子，從我們在第二季關閉的一些新標誌開始。一家領先的全球支付平台在擴大需求產生工作方面面臨多項挑戰，包括註冊到與會者的轉換率低。透過採用 ON24 平台和人工智慧驅動的 ACE 功能，他們開啟了全天候全通路方法，並將他們的網路研討會轉變為可預測的創收管道，超越了他們的轉換目標並帶來了顯著的業務影響。

Another notable win in Q2 was a leading financial services company that adopted the ON24 platform and AI-powered innovations across three key business lines: investment management; retail and wealth management; and workplace solutions. This customer was a win-back for us. They tried another solution, but it was not providing the results they desired. With ON24's interactive engagement capabilities, always-on content and seamless integration with their tech stack, they can leverage real-time data and insights to drive sales. Our solution propels global scale by enabling multi-language programs across business lines.

第二季的另一個顯著勝利是一家領先的金融服務公司，該公司在三個關鍵業務線採用了 ON24 平台和人工智慧創新：投資管理；零售和財富管理；以及工作場所解決方案。對我們來說，這位顧客是我們重新贏得的。他們嘗試了另一種解決方案，但並沒有提供他們想要的結果。借助 ON24 的互動式參與功能、始終在線的內容以及與其技術堆疊的無縫集成，他們可以利用即時數據和見解來推動銷售。我們的解決方案透過跨業務線支援多語言程式來推動全球規模的發展。

Another new customer that was a boomerang is a leading health care solutions provider that sought to boost pipeline generation and propel funnel velocity. Adopting ON24's platform, including AI ACE and advanced analytics, they improved attendee experiences, generated valuable first-party engagement data and insights, and delivered derivative content at scale. Importantly, ON24's reliable and scalable solution drove greater pipeline velocity and revenue generation.

另一個迴旋鏢式的新客戶是一家領先的醫療保健解決方案提供商，旨在促進管道生成並提高漏斗速度。透過採用 ON24 的平台（包括 AI ACE 和高級分析），他們改善了與會者的體驗，產生了有價值的第一方參與數據和見解，並大規模提供了衍生內容。重要的是，ON24 可靠且可擴展的解決方案推動了更高的管道速度和收入成長。

Next, I'll provide a few examples on the renewal and expansion front. We closed one of our largest renewals, a high seven-figure commitment, spread over multiple years. The customer provides education and certification for the technology industry.

接下來，我將提供一些有關更新和擴充功能的例子。我們完成了最大的一筆續約合同，這是一筆長達數年的七位數的高承諾。客戶為技術行業提供教育和認證。

On the expansion front, I would like to highlight a couple of notable deals. A large and fast-growing insurance organization based in EMEA initially adopted ON24 in 2022. They expanded the use of ON24's platform and signed a multi-year seven-figure deal.

在擴張方面，我想強調幾項值得注意的交易。一家位於歐洲、中東和非洲地區的大型快速發展的保險公司於 2022 年首次採用了 ON24。他們擴大了 ON24 平台的使用範圍，並簽署了一份為期多年的七位數協議。

A global leader in life sciences and diagnostics renewed and expanded its partnership with ON24 with a seven-figure multi-year deal with a commitment increase of over 50%. As part of this multi-year renewal, the customer also expanded its relationship with ON24 by adding our Engagement Hub and AI-powered ACE capability.

生命科學和診斷領域的全球領導者與 ON24 續約並擴大了合作夥伴關係，簽署了一份七位數的多年期協議，承諾金額增加了 50% 以上。作為多年續約的一部分，客戶還透過添加我們的參與中心和人工智慧驅動的 ACE 功能擴大了與 ON24 的關係。

In summary, the positive momentum in the quarter underscores that we are making progress on our strategic goals. Before I turn it over to Steve, I'd like to say that as I look at the first half performance in 2025 compared to the equivalent period last year, almost all customer and financial metrics have trended positively.

總而言之，本季的積極勢頭強調了我們在實現戰略目標方面正在取得進展。在將話題交給史蒂夫之前，我想說的是，當我將 2025 年上半年的表現與去年同期進行比較時，幾乎所有客戶和財務指標都呈現正面趨勢。

ARR performance, while marginally negative, has improved meaningfully as compared to the same period last year. Gross retention and new business performance increased significantly. Free cash flow margin performance continues to be strong. And our win rate has improved. All these factors give us confidence in our expectation that the business will be ARR positive in Q4.

ARR 表現雖然略有下降，但與去年同期相比已有顯著改善。總留存率和新業務業績大幅提升。自由現金流利潤率表現持續強勁。我們的勝率也提高了。所有這些因素使我們對第四季度業務的 ARR 將為正值充滿信心。

Now, I will turn it over to Steve.

現在，我將把麥克風交給史蒂夫。

Thank you, Sharat, and good afternoon, everyone. I'm going to start with our second-quarter 2025 results and will then discuss our outlook for the third-quarter of 2025 and full-year 2025.

謝謝你，沙拉特，大家下午好。我將從我們 2025 年第二季的業績開始，然後討論我們對 2025 年第三季和 2025 年全年的展望。

Total revenue for the second quarter, which includes revenue from our Virtual Conference product, was $35.3 million. Total subscription and other platform revenue was $32.4 million. Total Professional Services revenue was $2.9 million, representing approximately 8% of total revenue. Revenue from our core platform, including services in Q2 of 2025 was $34.6 million.

第二季的總收入（包括我們的虛擬會議產品的收入）為 3,530 萬美元。總訂閱和其他平台收入為 3,240 萬美元。專業服務總收入為 290 萬美元，約佔總收入的 8%。2025 年第二季度，我們核心平台（包括服務）的收入為 3,460 萬美元。

Moving on to ARR. ARR represents the annualized value of all subscription contracts at the end of the period and excludes professional services and leverages. Total ARR at the end of Q2 was $127.1 million, and ARR related to our core platform was in line with expectations at $125.1 million.

繼續討論 ARR。ARR 代表期末所有訂閱合約的年化價值，不包括專業服務和槓桿。第二季末的總 ARR 為 1.271 億美元，與我們的核心平台相關的 ARR 符合預期，為 1.251 億美元。

We are encouraged by the positive momentum we are seeing in our business. As Sharat mentioned earlier, during Q2, our in-period gross retention was the highest it has been in the past four years. In addition, we continued to win back customers, a trend we have seen over the past year. We believe that these boomerang customers highlight the differentiated nature of our solution.

我們對我們的業務所看到的積極勢頭感到鼓舞。正如 Sharat 之前提到的，在第二季度，我們的期內總留存率達到了過去四年來的最高水準。此外，我們繼續贏回客戶，這是我們在過去一年中看到的趨勢。我們相信，這些迴旋鏢客戶凸顯了我們解決方案的差異化特性。

Sharat provided some examples of customers that returned to us after trying other tools. They returned to ON24 because the other products did not provide the benefits that ON24's solutions offer. These boomerang customers not only highlight the power of our platform, but they also contributed to the improvement in our ARR performance in Q2.

Sharat 提供了一些顧客在嘗試其他工具後再次光顧我們的例子。他們重新選擇 ON24 是因為其他產品無法提供 ON24 解決方案所提供的優勢。這些迴力鏢客戶不僅凸顯了我們平台的強大功能，而且還為我們第二季ARR業績的提升做出了貢獻。

Turning to customer metrics. We have continued to shift focus to our larger enterprise customers, resulting in improvements in a number of our customer metrics. In Q2, the number of customers with ARR of over $100,000 grew by five and represented approximately two thirds of our total ARR. And as Sharat mentioned, our focus on enterprise customers resulted in our average core ARR per customer reaching its highest level ever.

轉向客戶指標。我們繼續將重點轉向大型企業客戶，從而改善了許多客戶指標。在第二季度，ARR 超過 10 萬美元的客戶數量增加了 5 位，約占我們總 ARR 的三分之二。正如 Sharat 所提到的，我們對企業客戶的關注使得我們每位客戶的平均核心 ARR 達到了歷史最高水準。

Our strategy of moving customers to longer-term commitments is also paying off, with the percentage of our ARR in multi-year agreements the highest ever at the end of Q2 at over 50%. As our customer base continues to adopt more of our products, we have continued to see an increase in customers using two or more products with that metric also hitting an all-time high at the end of Q2. Total customers at the end of Q2 was 1,566, driven by a net reduction in SMB customers.

我們讓客戶轉向長期承諾的策略也取得了成效，第二季末，多年期協議中的 ARR 百分比達到歷史最高水平，超過 50%。隨著我們的客戶群繼續採用我們的更多產品，我們繼續看到使用兩種或更多產品的客戶數量增加，該指標在第二季末也創下了歷史新高。由於中小企業客戶淨減少，第二季末客戶總數為 1,566 家。

Before turning to expense items and profitability, I would like to point out that I will be discussing non-GAAP results going forward. Our non-GAAP results exclude stock-based compensation, restructuring charges, impairment charges for real estate, amortization of acquired intangibles, shareholder activism-related costs, certain legal costs related to litigation regarding our 2021 IPO, as well as certain other items.

在討論費用項目和獲利能力之前，我想指出的是，我將在未來討論非公認會計準則結果。我們的非公認會計準則績效不包括股票薪酬、重組費用、房地產減損費用、收購無形資產攤銷、股東積極行動相關成本、與我們 2021 年 IPO 訴訟相關的某些法律費用以及某些其他項目。

Our GAAP financial results, along with a reconciliation between GAAP and non-GAAP results, can be found within our earnings release. Our gross margin in Q2 was 77%, consistent with 2024 gross margins and Q1 of this year.

我們的 GAAP 財務結果以及 GAAP 和非 GAAP 結果之間的對帳可以在我們的收益報告中找到。我們第二季的毛利率為 77%，與 2024 年毛利率和今年第一季一致。

Now, moving on to operating expenses. Sales and marketing expense in Q2 was $15.1 million compared to $15.8 million in Q2 last year. This represents 43% of total revenue, compared to 42% in the same period last year and 45% last quarter. Our sales and marketing expenses have decreased in absolute dollars, both year-over-year and from last quarter, largely due to the cost savings measures we have implemented to improve operational efficiency in the organization.

現在，我們來談談營運費用。第二季的銷售和行銷費用為 1,510 萬美元，而去年第二季為 1,580 萬美元。這佔總收入的 43%，而去年同期為 42%，上季為 45%。我們的銷售和行銷費用絕對金額年比和季比均有所下降，這主要是因為我們實施了成本節約措施來提高組織的營運效率。

R&D expense in Q2 was $6.9 million compared to $6.7 million in Q2 last year. This represents 19% of total revenue, compared to 18% in the same period last year and 20% last quarter. We continue to prioritize investments in product innovation for our platform to drive future growth, including AI-enabled features that utilize our first-party data advantage.

第二季的研發費用為 690 萬美元，去年第二季為 670 萬美元。這佔總收入的 19%，而去年同期為 18%，上季為 20%。我們將繼續優先投資平台的產品創新，以推動未來成長，包括利用我們第一方資料優勢的人工智慧功能。

G&A expense in Q2 was $6.1 million compared to $6.5 million in Q2 last year. This represents 17% of total revenue compared to 17% in the same period last year and 18% last quarter. We have continued to take actions to streamline our G&A functions. And as a result, our G&A expenses in absolute dollars have decreased compared to the same period last year and last quarter.

第二季的一般及行政費用為 610 萬美元，去年第二季為 650 萬美元。這佔總收入的 17%，而去年同期為 17%，上季為 18%。我們已持續採取措施精簡我們的一般及行政職能。因此，與去年同期和上一季相比，我們的 G&A 費用（以絕對美元計算）有所下降。

Moving on to our bottom line performance and cash flow metrics. Operating loss for Q2 was $0.9 million, or a negative 3% operating margin, compared to an operating loss of $0.3 million and a negative 1% operating margin in the same period last year. Net income in Q2 was $0.9 million or $0.02 per share based on approximately 45.1 million diluted shares outstanding. This compares to net income of $1.5 million or $0.03 per share in Q2 last year, using approximately 45.8 million diluted shares outstanding.

繼續討論我們的底線績效和現金流指標。第二季的營業虧損為 90 萬美元，營業利潤率為負 3%，而去年同期的營業虧損為 30 萬美元，營業利潤率為負 1%。根據約 4,510 萬股稀釋流通股計算，第二季淨收入為 90 萬美元，即每股 0.02 美元。相比之下，去年第二季的淨收入為 150 萬美元，即每股 0.03 美元，流通股數約為 4,580 萬股。

We delivered positive adjusted EBITDA in Q2, as well as our sixth consecutive quarter of positive free cash flow. Our free cash flow for Q2 was positive $2.5 million when you exclude cash outflows related to our restructuring efforts, shareholder activism fees and certain other legal costs, which collectively totaled $0.4 million in Q2 2025. Our free cash flow in Q2, including all of these items, was positive $2.1 million, compared to positive $0.9 million in Q2 last year.

我們在第二季實現了正的調整後 EBITDA，並且連續第六個季度實現了正的自由現金流。如果排除與我們的重組工作、股東積極行動費用和某些其他法律成本相關的現金流出，我們第二季的自由現金流為正 250 萬美元，這些費用在 2025 年第二季總計 40 萬美元。包括所有這些項目在內，我們第二季的自由現金流為正 210 萬美元，去年第二季為正 90 萬美元。

Cash provided by operations in Q2 was $2.6 million compared to cash provided by operations of $1.4 million in Q2 of last year.

第二季經營活動提供的現金為 260 萬美元，而去年第二季經營活動提供的現金為 140 萬美元。

I would like to provide an update on the $50 million capital return program we announced in May of this year. In Q2, we utilized $4.3 million for share repurchases under this program and a further $2.5 million thus far in Q3 under this program for a total of approximately $6.8 million utilized to date under this program. This share repurchase program followed the completion of three earlier capital return programs, which collectively returned $191 million to shareholders. Our balance sheet remains strong with just under $180 million of cash and investments at the end of Q2.

我想就我們今年 5 月宣布的 5000 萬美元資本返還計劃提供最新進展。在第二季度，我們根據該計劃使用了 430 萬美元進行股票回購，到目前為止，在第三季度我們根據該計劃又使用了 250 萬美元，迄今為止根據該計劃共使用了約 680 萬美元。這項股票回購計畫是在先前三項資本回報計畫完成之後實施的，這些計畫總共向股東返還了 1.91 億美元。我們的資產負債表依然強勁，第二季末的現金和投資略低於 1.8 億美元。

Now, turning to our guidance. Regarding Q3 guidance, we expect Q3 total revenue, which includes our Virtual Conference product, in the range of $33.6 million to $34.2 million, and core platform revenue, including services, in the range of $33.0 million to $33.6 million. Professional Services is expected to represent approximately 7% of total revenue. We expect our gross margin to be approximately 76% in Q3.

現在，轉向我們的指導。關於第三季的指引，我們預計第三季總收入（包括我們的虛擬會議產品）將在 3,360 萬美元至 3,420 萬美元之間，核心平台收入（包括服務）將在 3,300 萬美元至 3,360 萬美元之間。專業服務預計佔總收入的約7%。我們預計第三季的毛利率約為76%。

We expect a non-GAAP operating loss in the range of $1.3 million to $0.7 million and non-GAAP net income per share of $0.00 per share to $0.02 per share, using approximately 45 million diluted shares outstanding. In Q3, we also expect to be adjusted EBITDA positive.

我們預計非公認會計準則營業虧損將在 130 萬美元至 70 萬美元之間，非公認會計準則每股淨收益將在 0.00 美元至 0.02 美元之間，使用約 4500 萬股稀釋流通股。在第三季度，我們也預計調整後的 EBITDA 將為正值。

We expect a restructuring charge of $0.1 million to $0.4 million in Q3 related to our ongoing cost reduction efforts, which is excluded from the non-GAAP amounts provided above. Amortization of acquired intangibles, shareholder activism costs, certain other legal costs and certain other items are excluded from the Q3 non-GAAP amounts provided above.

我們預計第三季的重組費用為 10 萬美元至 40 萬美元，與我們持續的成本削減工作有關，這筆費用不包括在上面提供的非 GAAP 金額中。上述第三季非公認會計準則金額不包括收購無形資產的攤銷、股東積極行動成本、某些其他法律成本和某些其他項目。

Now, turning to our annual guidance for 2025. For the full year, we expect total revenue to be in the range of $137.7 million to $138.7 million. Professional Services is expected to represent approximately 7.5% of total revenue. We expect core platform revenue, including services to be in the range of $135.2 million to $136.2 million.

現在，我們來談談 2025 年的年度指引。我們預計全年總收入將在 1.377 億美元至 1.387 億美元之間。專業服務預計佔總收入的約7.5％。我們預計包括服務在內的核心平台收入將在 1.352 億美元至 1.362 億美元之間。

We expect a non-GAAP operating loss in the range of $5.2 million to $3.8 million, and non-GAAP net income per share of $0.02 per share to $0.05 per share, using approximately 45 million diluted shares outstanding. We expect gross margins for the year to be 76% to 77%. We expect to be adjusted EBITDA positive in Q4 and for 2025, our second consecutive year of positive adjusted EBITDA.

我們預計非公認會計準則營業虧損將在 520 萬美元至 380 萬美元之間，非公認會計準則每股淨收益將在 0.02 美元至 0.05 美元之間，使用約 4500 萬股稀釋流通股。我們預計今年的毛利率為76%至77%。我們預計第四季度的調整後 EBITDA 將為正值，到 2025 年，我們將連續第二年實現調整後 EBITDA 為正值。

Excluding any incremental non-GAAP expenses, we expect to deliver positive free cash flow in 2025, our second consecutive year of positive free cash flow. Restructuring charges and amortization of acquired intangibles, shareholder activism costs, certain other legal costs and certain other items are excluded from the full year non-GAAP amounts provided above.

不包括任何增量的非 GAAP 費用，我們預計 2025 年將實現正自由現金流，這是我們連續第二年實現正自由現金流。重組費用和收購無形資產的攤銷、股東積極行動成本、某些其他法律費用和某些其他項目不包括在上面提供的全年非公認會計準則金額中。

I also want to provide our outlook for ARR for the second half of this year. For ARR in Q3, which has historically been a seasonally softer quarter for us, we assume core ARR performance in Q3 to be relatively consistent with Q2, with core ARR down by $0.5 million to $1.5 million compared to Q2 levels. For our Virtual Conference product, we expect Q3 ARR to decline by approximately $0.1 million in Q3, ending Q3 at $1.9 million.

我還想提供一下今年下半年 ARR 的展望。對於第三季的 ARR（對我們來說歷來是一個季節性較弱的季度），我們假設第三季的核心 ARR 表現與第二季相對一致，核心 ARR 與第二季水準相比下降 50 萬美元至 150 萬美元。對於我們的虛擬會議產品，我們預計第三季 ARR 將下降約 10 萬美元，第三季末為 190 萬美元。

We expect to return to positive ARR growth in Q4 of this year, driven by improved retention, as well as expected improvement in our gross bookings in the fourth quarter. We expect the increase in core ARR to be between $0 and $1 million in Q4 as compared to Q3. Virtual Conference ARR is expected to be $1.8 million at the end of Q4.

我們預計今年第四季 ARR 將恢復正成長，這得益於留存率的提高以及第四季度總預訂量的預期改善。我們預計第四季核心 ARR 的增幅將與第三季相比在 000 至 100 萬美元之間。預計第四季末虛擬會議 ARR 將達到 180 萬美元。

In summary, in Q2, we delivered on the goals we set on our prior earnings call, including delivering positive adjusted EBITDA and positive free cash flow in Q2, as well as positive free cash flow for the first six months of this year. We're executing on the $50 million share repurchase program we announced in May to capitalize on the opportunity to acquire more of our undervalued stock.

總而言之，在第二季度，我們實現了上次收益電話會議上設定的目標，包括在第二季度實現正的調整後 EBITDA 和正的自由現金流，以及今年前六個月的正自由現金流。我們正在執行 5 月宣布的 5,000 萬美元股票回購計劃，以利用機會收購更多被低估的股票。

We are committed to delivering positive adjusted EBITDA for 2025, while continuing to invest in AI-focused innovation that capitalizes on our first-party data advantage. We expect our strategic initiatives and positive momentum to drive a return to ARR growth in Q4 of this year.

我們致力於在 2025 年實現正調整後 EBITDA，同時繼續投資於利用我們的第一方資料優勢的以人工智慧為重點的創新。我們預計我們的策略舉措和積極勢頭將推動今年第四季 ARR 恢復成長。

With that, Sharat and I will open the call up for questions.

接下來，沙拉特和我將開始回答大家的問題。

Thank you, ladies and gentlemen, we will now begin the question-and-answer session. (Operator Instructions).

謝謝女士們、先生們，我們現在開始問答環節。（操作員指令）。

Rob Oliver.

羅伯奧利佛。

Great. Hi, good afternoon, guys. Thanks for taking my question. I had two. Sharat, one for you and then, Steve, one for you. So Sharat, I was wondering if you could just provide a bit more color just on the general market environment within your customer base in terms of buying trends, what you're seeing, if there's -- if you feel as if Gen AI is starting to be a bit of a catalyst for you guys, given where you are with AI-powered ACE, or whether it's still freezing marketing departments a little bit?

偉大的。大家下午好。感謝您回答我的問題。我有兩個。沙拉特，給你一個，然後，史蒂夫，給你一個。所以 Sharat，我想知道您是否可以提供更多關於您的客戶群的總體市場環境的信息，包括購買趨勢、您所看到的，是否有——考慮到您在使用人工智能驅動的 ACE 時所處的位置，您是否覺得 Gen AI 開始對您起到一點催化劑的作用，或者它是否仍然對營銷部門造成一些阻礙？

And then, Steve, for you, my question is around just that pipeline heading into Q4 and the confidence around the ARR strength in Q4 and how that pipeline looks. And any color you can provide around making us comfortable around that number would be great. Thank you guys both very much.

然後，史蒂夫，對於你來說，我的問題是關於進入第四季度的管道以及對第四季度 ARR 實力的信心以及管道的狀況。如果您能提供任何讓我們對數字感到滿意的顏色，那就太好了。非常感謝你們。

Rob, this is Sharat. So let me take -- I think your first comment was about how are the customer conversations. Look, in Q2, we saw good enterprise new business performance, improved gross retention and traction with AI-powered ACE. We continue to see customer win-backs, and these customers are signing up for larger deals compared to their previous engagement with us.

羅布，這是沙拉特。所以請允許我這麼說——我認為您的第一個評論是關於客戶對話如何。你看，在第二季度，我們看到企業新業務表現良好，透過人工智慧驅動的 ACE，總保留率和牽引力都有所提高。我們不斷看到客戶回歸，這些客戶簽署的交易比他們之前與我們簽訂的交易更大。

There are a couple of key highlights that we are seeing in these customer conversations. One, as you said, there's excitement, Rob, pertaining to our AI offerings and increased sophistication as most companies are now dealing with their own AI agenda. I'm increasingly seeing more traction in areas like financial services and life sciences for our AI-powered ACE offering that earlier had started slower out of the gate.

我們在這些客戶對話中看到了幾個關鍵亮點。首先，正如你所說，羅布，我們對我們的人工智慧產品和日益複雜的技術感到興奮，因為大多數公司現在都在處理他們自己的人工智慧議程。我越來越多地看到，我們的人工智慧 ACE 產品在金融服務和生命科學等領域獲得了越來越大的關注，而此前這些領域的發展速度較慢。

Now, the customer appetite overall in the market environment does depend on market segments. Some segments are beginning to focus more on growth initiatives like the financial services segment, and others are still challenged like the manufacturing segment, okay.

現在，市場環境中的整體客戶需求確實取決於細分市場。一些領域開始更加關注成長計劃，例如金融服務領域，而其他領域仍面臨挑戰，例如製造業。

Now, as examples that I highlighted in the prepared remarks, in Q2, we saw some good performance from some of our larger customers. One of our largest customers, which is an education and certification company for the technology industry, renewed its multi-year commitment to ON24, and larger customers in insurance and life sciences expanded their commitments by using more ON24 products, including AI-powered ACE and expanding across their business segments.

現在，正如我在準備好的發言中所強調的例子，在第二季度，我們看到一些較大的客戶表現良好。我們最大的客戶之一是一家面向技術行業的教育和認證公司，它與 ON24 續簽了多年的承諾，而保險和生命科學領域的大客戶也透過使用更多 ON24 產品（包括人工智慧驅動的 ACE）並擴展其業務領域來擴大其承諾。

Now, you'd also asked a question, and I'll give the guidance kind of question to Steve, on pipeline. Q2 was a strong pipeline generation quarter for us. This was encouraging because we made some go-to-market improvements that included new sales and marketing leadership, and the launch of new positioning and messaging. So that was quite encouraging. I believe that we will continue to see improvements here as the year progresses.

現在，您也問了一個問題，我會向史蒂夫提出有關管道的指導性問題。對我們來說，第二季是一個強勁的管道生成季度。這是令人鼓舞的，因為我們進行了一些市場改進，包括新的銷售和行銷領導，以及新的定位和資訊的推出。這非常令人鼓舞。我相信隨著時間的推移，我們將繼續看到這裡的改善。

Steve?

史蒂夫？

Rob, you asked about how we're feeling about guidance. So let me start by saying that we are seeing some good signs in the business, and we're making progress. We delivered over the high end of our revenue guidance for Q2. And on the P&L side, we're EBITDA profitable in Q2, and we're free cash flow positive for the sixth consecutive quarter. And we're also raising our full year revenue guidance as well.

羅布，你問我們對指導的感受如何。首先我想說的是，我們在業務上看到了一些好的跡象，而且我們正在取得進展。我們實現了第二季營收預期的高端。從損益表來看，我們第二季的 EBITDA 實現了盈利，並且連續第六個季度實現了自由現金流為正。我們也將提高全年收入預期。

Really quick, in terms of profitability and cash flow, we do expect to be EBITDA and EPS positive in Q3, Q4 and for 2025 as a whole. And for cash flow, we expect to be cash flow positive for 2025, excluding any incremental non-GAAP items like restructuring.

就獲利能力和現金流而言，我們確實預計第三季、第四季以及整個 2025 年的 EBITDA 和 EPS 將為正值。對於現金流，我們預計 2025 年的現金流將為正，不包括重組等任何增量非 GAAP 項目。

Now Sharat talked about ARR, but just briefly, Q3 is a seasonally softer quarter for us, and we expect it to be relatively consistent with Q2 ARR performance. We provided guidance on that. And as we look at the second half, we do expect to be ARR positive in Q4 with an increase of $0 to $1 million and expect to exit 2025 with some ARR growth in Q4.

現在 Sharat 談到了 ARR，但簡單來說，第三季度對我們來說是一個季節性較弱的季度，我們預計它將與第二季度的 ARR 表現相對一致。我們對此提供了指導。展望下半年，我們確實預計第四季度的 ARR 將為正值，增幅為 0 至 100 萬美元，並且預計 2025 年底第四季度的 ARR 將有所增長。

Just to add to what Steve said, we are very -- we were very close to being ARR positive in Q2. And as I talked in the prepared remarks, if you compare first-half 2025 to the first-half 2024, almost all financial and customer metrics trended positively. That's what gives us confidence to expect ARR performance for Q4 to grow between $0 and $1 million. It's tied around improvements in gross retention, new business performance, our focus on regular industries like financial services and life sciences, and continued traction in our AI offerings and win-backs from boomerang customers.

補充一下史蒂夫所說的，我們非常——我們在第二季度非常接近實現 ARR 正值。正如我在準備好的演講中所說的那樣，如果將 2025 年上半年與 2024 年上半年進行比較，幾乎所有財務和客戶指標都呈現正面趨勢。這使我們有信心預期第四季的 ARR 業績將成長 0 至 100 萬美元。它與總留存率的提高、新業務績效的提高、我們對金融服務和生命科學等常規行業的關注、以及我們對人工智慧產品的持續吸引力和對迴旋鏢客戶的贏回密切相關。

So, as I look at 2026, it is early, and we are not giving 2025 guidance, but based on the progress we have made, I expect to be ARR positive for the year.

因此，當我展望 2026 年時，還為時過早，我們不會給出 2025 年的指導，但根據我們已經取得的進展，我預計今年的 ARR 將為正值。

Super helpful. Okay, appreciate it guys. Thank you very much.

超有幫助。好的，謝謝大家。非常感謝。

Ian Black, Needham & Company.

伊恩·布萊克，Needham & Company。

Hi guys, congratulations on the growth in $100,000-plus customer count. How are you driving greater penetration within your enterprise customers? Like is it balance between volume versus product cross-sell? Just some insight into that would be great. Thank you.

大家好，恭喜您的客戶數量增長至 100,000 美元以上。您如何提高企業客戶的滲透率？例如銷售量和產品交叉銷售之間的平衡嗎？只要對此有一些了解就很好了。謝謝。

Yeah. So, on the $100,000-plus customers, that base grew in Q2, signaling traction in enterprise segments. We saw good traction in new business acquisitions. And we also saw customers up-leveling their commitment to ON24. I gave a couple of those examples in the prepared remarks.

是的。因此，對於收入超過 10 萬美元的客戶而言，該群體在第二季度有所成長，這表明企業領域正在獲得發展動力。我們看到新業務收購表現出良好的勢頭。我們也看到客戶對 ON24 的承諾有所提升。我在準備好的發言中給了幾個這樣的例子。

Now, while there may be some quarter-to-quarter seasonality, especially in slower quarters, we are seeing improvements in our enterprise execution, our focus on regular industries, win backs, et cetera. And I'll highlight a couple of things. Our enterprise customer metrics in Q2 were quite strong. Average core ARR per customer was the highest ever. And the percentage of ARR and multiyear agreements was the highest ever, and that is what we are focused on. So this is based on more adoption of different use cases, more adoption of AI-powered ACE, and also more strength in the new business, kind of acquisition of business, Ian.

現在，雖然可能存在一些季度間的季節性，特別是在較慢的季度，但我們看到企業執行力、對常規行業的關注、贏回等等都在改善。我將強調幾點。我們第二季的企業客戶指標相當強勁。每位客戶的平均核心 ARR 達到歷史最高水準。ARR 和多年期協議的比例達到了歷史最高水平，這也是我們關注的重點。因此，這是基於更多地採用不同的用例、更多採用人工智慧 ACE，以及​​在新業務、業務收購方面的更強實力，伊恩。

Great. Thank you.

偉大的。謝謝。

There are no further questions at this time. Ladies and gentlemen, this concludes today's conference call. Thank you for your participation. You may now disconnect.

目前沒有其他問題。女士們、先生們，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。