Progress Software Corp (PRGS) 2026 Q1 法說會逐字稿

Hello, and thank you for standing by. Welcome to Progress Software's Q1 2026 earnings conference call. (Operator Instructions)

您好，感謝您稍候。歡迎參加 Progress Software 2026 會計年度第一季（Q1）財報電話會議。（接線員指示）

I would now like to hand the call over to Michael Micciche, Senior Vice President of Investor Relations. You may begin.

現在我想將電話交給投資人關係資深副總裁 Michael Micciche。您可以開始了。

Okay. Thank you, Tawanda. Good afternoon, everyone, and thanks for joining us for Progress Software's first fiscal quarter 2026 financial results conference call. Joining me on the call are Yogesh Gupta, President and CEO; and Anthony Folger, our Chief Financial Officer.

好的。謝謝你，Tawanda。各位下午好，感謝各位參加 Progress Software 2026 會計年度第一季財務結果電話會議。與我一同出席的還有總裁暨執行長 Yogesh Gupta，以及我們的財務長 Anthony Folger。

Before we get started, please consider our Safe Harbor statement as follows. During this call, we will discuss our outlook for future financial and operating performance, corporate strategies, product plans, cost initiatives, and other information that might be considered forward-looking. But forward-looking information represents Progress Software's outlook and guidance only as of today, is subject to risks and uncertainties, and our actual results may vary materially.

在開始之前，請先留意我們的「安全港」聲明如下。在本次電話會議中，我們將討論對未來財務與營運表現的展望、公司策略、產品計畫、成本措施，以及其他可能被視為前瞻性陳述的資訊。但前瞻性資訊僅代表 Progress Software 截至今日的展望與指引，並受風險與不確定性影響，我們的實際結果可能會有重大差異。

For a description of the factors that may affect our future results and operations, please refer to the risk factors in our SEC filings, particularly the risk factor section of our most recent Form 10 and the latest 10-Q being filed in conjunction with this announcement. Progress assumes no obligation to update forward-looking statements included in this call.

關於可能影響我們未來結果與營運的因素說明，請參閱我們向 SEC 提交文件中的風險因素，特別是我們最近一期 Form 10 的風險因素章節，以及配合本次公告一併提交的最新 10-Q。Progress 不承擔更新本次電話會議中所包含之前瞻性陳述的任何義務。

Additionally, please note that all the financial figures referenced on this call are non-GAAP measures unless otherwise indicated. You can find a reconciliation of these non-GAAP financial measures to the most directly comparable GAAP figures in our earnings press release, which was issued after the market closed today. This document contains additional information related to our financial results for the first quarter of fiscal 2026, and I recommend that you reference it for specific details.

此外，請注意，除非另有說明，本次電話會議中提及的所有財務數字皆為非 GAAP 指標。您可在我們於今日收盤後發布的財報新聞稿中，找到這些非 GAAP 財務指標與最直接可比 GAAP 指標之間的調節表。該文件包含與 2026 會計年度第一季財務結果相關的其他資訊，我建議您參考以取得具體細節。

We've also provided a slide presentation that contains supplemental data for our first quarter and provides additional highlights and financial metrics. Both the earnings release and the supplemental presentation are available on the investor relations section of our website at investors.progress.com.

我們也提供了一份投影片簡報，包含第一季的補充資料，並提供其他重點與財務指標。財報新聞稿與補充簡報皆可於我們網站的投資人關係專區 investors.progress.com 取得。

Today's call is being recorded in its entirety and will be available for replay on the investor relations section of our website shortly after we finish.

今天的電話會議將全程錄音，並會在我們結束後不久於網站投資人關係專區提供重播。

Yogesh, let me turn it over to you.

Yogesh，接下來交給你。

Thanks, Mike. Good afternoon, everyone, and thank you for joining us. We're very pleased to share our first-quarter results with you today. So let's get right to it.

謝謝你，Mike。各位下午好，感謝各位加入我們。我們很高興今天與各位分享第一季的業績結果。那我們就直接開始。

We had another very good quarter. Revenue was $248 million, up 4% from last year Q1. ARR grew 2% in constant currency over the same period, and NRR remained strong at 99%. EPS for the quarter was $1.60, up 22% year over year as operating margins finished 41%. We saw record cash flows as a result of strong focus on collections. Adjusted free cash flow was $99 million and unlevered free cash flow was $111 million.

我們又交出了一個非常不錯的季度。營收為 2.48 億美元，較去年第一季成長 4%。ARR 以固定匯率計算在同期成長 2%，NRR 仍維持強勁，為 99%。本季 EPS 為 1.60 美元，年增 22%，營業利益率達 41%。由於我們強力聚焦收款，現金流創下紀錄。調整後自由現金流為 9,900 萬美元，未槓桿自由現金流為 1.11 億美元。

The balance sheet remains in great shape as we continue to aggressively pay down debt while also repurchasing shares. This strong performance is driven by AI and other innovations across our portfolio that are resonating with our customers.

資產負債表仍維持非常健康的狀態，我們在積極償還債務的同時也持續回購股票。這項強勁表現來自我們產品組合中 AI 與其他創新所帶動，並正獲得客戶的共鳴。

Now, more than ever, our products remain mission critical, our customers remain loyal, and our team continues to execute at a high level. These are also the reasons why we remain positive about our outlook.

如今比以往任何時候，我們的產品仍是關鍵任務等級（mission critical），客戶依然忠誠，而我們的團隊也持續以高水準執行。這些也是我們對前景保持正向的原因。

As always, the foundation underpinning our success is our Total Growth Strategy. We continue to run the business with discipline as we innovate across the product portfolio and provide increasing value to our shareholders, to our customers. That formula has worked for us through multiple technology shifts and industry transformations, and it continues to work today.

一如既往，支撐我們成功的基礎是我們的「全面成長策略」（Total Growth Strategy）。我們持續以紀律經營業務，在整個產品組合上推動創新，並為股東與客戶創造日益增加的價值。這套公式在多次技術轉移與產業轉型中都對我們奏效，至今仍然有效。

Our M&A corporate development team is vetting deals aggressively, and we further tuned ShareFile operations, which continues to perform very well as one of our best acquisitions. Lastly, customer success remains our key focus.

我們的併購（M&A）企業發展團隊正積極審視各項交易機會，我們也進一步調整 ShareFile 的營運；ShareFile 持續表現非常出色，是我們最成功的收購案之一。最後，客戶成功仍是我們的核心重點。

Now, let me address the three topics that we know are top of mind. First, our business remains strong. We see solid retention and good performance across our products. Our product portfolio is broad and continues to power our customers' businesses, resulting in solid year over year growth in both ARR and revenue.

接下來，我想談談我們知道大家最關心的三個主題。第一，我們的業務依然強勁。我們看到穩健的留存率，以及各產品線良好的表現。我們的產品組合廣泛，持續驅動客戶的業務運作，使 ARR 與營收皆呈現穩健的年增成長。

As we've previously said, our goal for NRR is 100%, and over the past few years, our NRR has consistently ranged between 99% and 101%. This quarter, NRR was 99% and ARR growth was solid, driven by the strength in our new customer acquisition as well as existing customer expansions. Both were positively influenced by our AI investments and innovation.

如同我們先前所說，我們對 NRR 的目標是 100%，而在過去幾年，我們的 NRR 一直穩定落在 99% 到 101% 之間。本季 NRR 為 99%，ARR 成長穩健，主要由新客戶獲取的強勁表現以及既有客戶擴張所帶動。兩者都受到我們在 AI 投資與創新上的正面影響。

And this leads to the second topic, AI. We continue to see AI as an exciting opportunity for our business. We've discussed for several quarters how we're using AI internally to be better, more efficient operators, which we can demonstrate to improve productivity in every department. Our savings from these efforts are enabling us to continue to invest in our AI related product efforts while delivering exceptional operating margins.

這也引出第二個主題：AI。我們持續將 AI 視為公司業務令人振奮的機會。過去幾個季度我們已討論過，我們如何在內部運用 AI 讓自己成為更好、更有效率的營運者；我們也能展示其在各部門提升生產力的成效。這些努力所節省的成本，使我們得以持續投入 AI 相關的產品工作，同時維持卓越的營業利益率。

Speaking of our product efforts, AI has enabled us to accelerate our innovation cycles as well as help us transform our product capabilities to be more relevant for the future. We have been building AI into our products, and that is delivering meaningful business value to our customers today. It is our belief that trusted software companies like ourselves, with excellent customer relationships, who leverage AI effectively will be the winners of this AI opportunity.

談到我們的產品工作，AI 讓我們得以加速創新週期，也協助我們轉型產品能力，使其在未來更具相關性。我們一直在將 AI 納入產品之中，並且已在今天為客戶帶來具體且有意義的商業價值。我們相信，像我們這樣值得信賴、擁有優秀客戶關係並能有效運用 AI 的軟體公司，將會是這波 AI 機會的贏家。

Our customers are eager to understand how they can benefit from AI while ensuring that their businesses remain secure and trustworthy. They continue to look to us to deliver AI capabilities that increase their competitiveness and improve their efficiency so that they can thrive in this new world.

我們的客戶渴望了解如何從 AI 中受益，同時確保其業務仍然安全且值得信賴。他們持續期待我們提供 AI 能力，以提升其競爭力並改善效率，讓他們能在這個新世界中蓬勃發展。

One such example is a global beverage company that wanted to dramatically improve the way they serve their more than 20,000 employees. With our Progress Data Platform and Progress Agent, they streamlined their HR operations, resulting in improved employee satisfaction at significantly lower cost.

其中一個例子是一家全球飲料公司，希望大幅改善他們為超過 20,000 名員工提供服務的方式。透過我們的 Progress Data Platform 與 Progress Agent，他們精簡了人資（HR）作業，使員工滿意度提升，同時成本顯著降低。

Similarly, the tax authority and finance ministry of an overseas government is using the same product so that all employees and citizens can get trusted, verifiable answers from host data across that organization. And a state government in the US is using the Progress Data Platform to harmonize and synthesize large volumes of data from different sources to identify and eliminate waste, fraud, and abuse.

同樣地，某海外政府的稅務機關與財政部也在使用相同產品，讓所有員工與公民都能從該組織的主機資料中取得可信且可驗證的答案。此外，美國某州政府正使用 Progress Data Platform 來整合並綜合來自不同來源的大量資料，以辨識並消除浪費、詐欺與濫用。

It first became a Progress customer less than 18 months ago, and they continue to identify new use cases for the data platform targeting efficiencies and elimination of fraud in the range of tens of millions of dollars annually. Today, they are a seven-figure ARR customer of ours.

他們在不到 18 個月前首次成為 Progress 的客戶，並持續為資料平台找出新的使用情境，聚焦於提升效率以及消除每年達數千萬美元規模的詐欺。目前，他們已是我們 ARR 達七位數的客戶。

Progress Data Platform and Progress Agent transform business data, unstructured files, archives, websites, knowledge bases, and multimedia into an information system that instantly and securely delivers fast, trusted, and verifiable answers. Our AI-powered infrastructure management products are also being used to manage and secure modern tech infrastructure.

Progress Data Platform 與 Progress Agent 可將企業資料、非結構化檔案、封存資料、網站、知識庫與多媒體轉化為資訊系統，能即時且安全地提供快速、可信且可驗證的答案。我們以 AI 驅動的基礎架構管理產品也正被用於管理並保護現代科技基礎架構。

For example, a leading financial payment company that annually processes over $100 billion of transactions is using Progress WhatsUp Gold, LoadMaster, and Flowmon to improve the availability and security of the infrastructure and to reduce the time to detect, analyze, and prevent security threats. And ShareFile customers are doing work in minutes that used to take hours with its AI document summarization and Q&A capabilities.

例如，一家每年處理超過1,000億美元交易的領先金融支付公司，正在使用 Progress WhatsUp Gold、LoadMaster 與 Flowmon 來提升基礎架構的可用性與安全性，並縮短偵測、分析與防範安全威脅所需的時間。而 ShareFile 客戶則透過其 AI 文件摘要與問答功能，把過去需要數小時的工作縮短到幾分鐘內完成。

Additionally, ShareFile AI powered security capabilities proactively detect sensitive information and recommend actions to significantly reduce security risk. Our customers rely on Progress to support their journeys because they trust us to focus on practical business outcomes.

此外，ShareFile AI 驅動的安全功能可主動偵測敏感資訊並建議採取行動，以大幅降低安全風險。我們的客戶仰賴 Progress 支援其轉型旅程，因為他們信任我們能專注於務實的業務成果。

Across our products, AI is contributing to measurable customer value from workflow automation and productivity gains to monetization. Every product that we have is now an active participant in our customers' AI efforts, and we've embedded AI into our products with attention to governance, observability, cost, and LLM flexibility.

在我們的各項產品中，AI 正在從工作流程自動化與生產力提升到變現等面向，為客戶帶來可衡量的價值。我們的每一項產品如今都已成為客戶 AI 推動工作的積極參與者；我們也在將 AI 內嵌至產品時，兼顧治理、可觀測性、成本以及 LLM 的彈性。

The first topic, capital allocation and M&A. It's worth noting that in Q1, we paid down $60 million in debt and repurchased $20 million of stock. Our balance sheet remains in good shape, and our cash generation gives us significant flexibility.

第一個主題是資本配置與併購（M&A）。值得注意的是，在第一季，我們償還了6,000萬美元的債務，並回購了2,000萬美元的股票。我們的資產負債表仍維持良好狀態，而我們的現金創造能力也賦予我們相當大的彈性。

Our capital allocation priorities remain very clear. We will continue to, number one, invest in our business and innovate; number two, aggressively reduce debt and be opportunistic on buybacks; and number three, maintain our commitment to generate excess returns through disciplined M&A followed by rapid synergistic integrations.

我們的資本配置優先順序依然非常明確。我們將持續：第一，投資本業並推動創新；第二，積極降低負債並在適當時機進行回購；第三，維持我們的承諾，透過紀律嚴謹的併購，並在併購後快速進行協同整合，以創造超額報酬。

We will use the same M&A lens we've always used to acquire good companies with strong infrastructure technology products, loyal customers, high recurring revenue and customer retention, and a compatible culture.

我們將沿用一貫的併購評估框架，收購具備優質基礎架構技術產品、忠誠客戶、高度經常性收入與客戶留存率，以及文化相容的好公司。

It's also worth expanding on how ShareFile continues to create additional value. While it was the largest and most complex acquisition and integration to date, ShareFile has strengthened and scaled our recurring revenue mix, expanded our task capabilities, and contributed meaningfully to the bottom line and cash flow.

也值得進一步說明 ShareFile 如何持續創造額外價值。雖然它是迄今規模最大且最複雜的收購與整合案，ShareFile 強化並擴大了我們的經常性收入組合，擴展了我們的任務處理能力，並對獲利與現金流做出重要貢獻。

Just as important, it has enhanced our ability to evaluate and integrate future opportunities while keeping the same discipline we've always had around returns and fit.

同樣重要的是，它提升了我們評估並整合未來機會的能力，同時仍維持我們一貫在報酬與契合度方面的紀律。

I'm also excited to share that Progress recently opened a new innovation hub in Bangalore. This consolidates the office space for our former Progress and ShareFile offices and also demonstrates a long-term commitment to the region as we continue to scale our engineering, product development, sales, and customer success teams.

我也很高興分享，Progress 最近在班加羅爾啟用了新的創新樞紐。此舉整合了我們原 Progress 與 ShareFile 辦公室的辦公空間，也展現我們對該地區的長期承諾，因為我們將持續擴大工程、產品開發、銷售與客戶成功團隊的規模。

Our people in India are critical to our global growth and our innovation strategy, and this logical next step will enable us to efficiently deliver greater value to our customers worldwide.

我們在印度的同仁對我們的全球成長與創新策略至關重要，而這個合乎邏輯的下一步，將使我們能更有效率地為全球客戶交付更大價值。

Finally, we continue to be positive as we look ahead, and Anthony will give you all the details in a minute. From my perspective, what we're seeing in our own business supports our confidence for the rest of this year. We're also maintaining a close watch on the macro and geopolitical events.

最後，展望未來我們仍保持正向，Anthony 稍後會提供所有細節。就我個人觀點而言，我們在自身業務中所看到的情況，支持我們對今年剩餘時間的信心。我們也持續密切關注總體經濟與地緣政治事件。

So to summarize, the business is performing well, the model remains durable, AI is making our products and operations stronger, ShareFile is delivering, and our top-line margins and cash flow reflect solid execution across the company. As always, I want to thank our employees around the world for their hard work and commitment, and I want to thank our customers and partners for their continued trust.

總結來說，業務表現良好，商業模式依然穩健，AI 正在強化我們的產品與營運，ShareFile 也持續交出成果，而我們的營收端利潤率與現金流反映出公司整體扎實的執行力。一如既往，我要感謝全球員工的辛勤付出與投入，也要感謝客戶與合作夥伴持續的信任。

With that, I turn it over to Anthony.

接下來交給 Anthony。

All right. Thank you, Yogesh, and good afternoon, everyone. As you heard in Yogesh's remarks, we're very pleased with our Q1 results and we're excited to share a strong start to our fiscal year. So let's get right into the numbers, starting with ARR, which as we've discussed, provides the best view into our top-line performance.

好的。謝謝你，Yogesh，各位下午好。正如你們在 Yogesh 的發言中所聽到的，我們對第一季的成果非常滿意，也很高興能分享本財年的強勁開局。那我們直接進入數字，先從 ARR 開始；如同我們先前討論過的，ARR 能最清楚反映我們的營收端表現。

We closed Q1 with ARR of approximately $863 million, representing 2% pro forma year over year growth. For clarity, our pro forma results include ARR from acquired businesses in all periods presented. This growth in ARR reflects a broad-based contribution from across our portfolio, including OpenEdge, ShareFile, LoadMaster, WhatsUp Gold, MOVEit, and our DevTools products.

我們以約8.63億美元的 ARR 結束第一季，按備考（pro forma）基礎計算年增2%。為了釐清，備考結果包含所呈列各期間內被收購業務的 ARR。ARR 的成長反映我們產品組合的廣泛貢獻，包括 OpenEdge、ShareFile、LoadMaster、WhatsUp Gold、MOVEit，以及我們的 DevTools 產品。

Consistent with prior quarters, our net retention rate remains strong, coming in at 99%, underscoring the resilience of our customer base and the mission critical nature of our products. We did see some isolated churn in the quarter, which we expect to work through quickly, and we still delivered solid growth thanks to strength in new customer wins and expansion in the install base, two areas positively influenced by our investments in AI and innovation.

與前幾季一致，我們的淨留存率仍然強勁，為99%，凸顯我們客戶基礎的韌性以及我們產品的關鍵任務屬性。本季確實出現一些零星流失，我們預期能很快消化；同時，受惠於新客戶贏單的強勁表現以及既有客戶安裝基礎的擴張，我們仍交出穩健成長，而這兩個面向也受到我們在 AI 與創新投資的正向影響。

As a reminder, we calculate ARR in constant currency with all periods presented at current year budgeted exchange rates. Consistent with past practice, we've updated ARR using 2026 budgeted exchange rates, and as a result, ARR reported in prior periods has changed. The change is not material and doesn't alter the trend in ARR growth. Although the previously reported ARR and NRR numbers changed slightly, the details of this update are included in the supplemental financial presentation filed with our press release.

提醒一下，我們以固定匯率計算 ARR，並以本年度預算匯率呈列所有期間。依照過往作法，我們已使用2026年預算匯率更新 ARR，因此先前期間所報告的 ARR 也有所變動。此變動並不重大，也不會改變 ARR 成長趨勢。雖然先前報告的 ARR 與 NRR 數字略有調整，但本次更新的細節已納入隨新聞稿一併提交的補充財務簡報中。

In addition to solid ARR growth, Q1 revenue of $248 million came in ahead of our expectations and reflects 4% growth on a year over year basis, led by strong performance in OpenEdge. As we've mentioned on previous earnings calls, the renewal timing of subscription contracts, especially multi-year subscriptions, can have a meaningful impact on our revenue, and we continue to focus on ARR as the best barometer of top-line performance.

除了 ARR 的穩健成長外，第一季營收為2.48億美元，高於我們的預期，按年增4%，主要由 OpenEdge 的強勁表現帶動。如同我們在先前的財報電話會議中提到的，訂閱合約（尤其是多年期訂閱）的續約時點，可能對營收造成顯著影響；因此我們仍將 ARR 視為衡量營收端表現的最佳指標。

Turning to expenses, our total cost and operating expenses were approximately $146 million, which was favorable to our internal forecast and largely flat compared to the year ago quarter, as we continue to demonstrate disciplined cost management across the business. Operating income of $102 million was also better than our internal forecast, resulting in an operating margin of 41%, solid year over year margin expansion.

再看費用方面，我們的總成本與營業費用約為1.46億美元，優於內部預測，且相較去年同期大致持平，顯示我們持續在全公司展現嚴謹的成本管理。營業利益為1.02億美元，也優於內部預測，使營業利益率達41%，年對年利潤率擴張表現穩健。

Earnings per share of $1.60 for the quarter came in better than our internal expectations, the result of solid execution on the front line coupled with strong cost management.

本季每股盈餘為1.60美元，優於我們的內部預期，這是前線團隊扎實執行與強勁成本管理共同帶來的成果。

Turning now to a few balance sheet and cash flow metrics. We ended the quarter with cash and cash equivalents of $113 million and total debt of $1.35 billion for a net debt position of approximately $1.24 billion. As a reminder, our total debt includes our revolving credit facility with $540 million drawn, a $360 million convertible note maturing this April, and a $450 million convertible note maturing in 2030.

接著看幾項資產負債表與現金流指標。本季末我們的現金及約當現金為1.13億美元，總負債為13.5億美元，淨負債部位約為12.4億美元。提醒一下，我們的總負債包含循環信用額度（已動用5.40億美元）、將於今年4月到期的3.60億美元可轉換公司債，以及2030年到期的4.50億美元可轉換公司債。

At the end of this quarter, our net leverage ratio was 3.1 times, down meaningfully from when we acquired ShareFile a little over a year ago. DSO for the quarter was 52 days, a significant improvement from 73 days reported in Q4.

在本季末，我們的淨槓桿比率為3.1倍，較我們在一年多前收購 ShareFile 時明顯下降。本季 DSO 為52天，較第四季報告的73天大幅改善。

Deferred revenue was approximately $425 million at the end of the first quarter, up roughly $25 million year over year. Adjusted free cash flow was $99 million for the quarter, a significant increase compared to the $73 million in the prior year quarter, the improvement primarily the result of increased collections.

第一季末遞延收入約為4.25億美元，年增約2,500萬美元。本季調整後自由現金流為9,900萬美元，較去年同期的7,300萬美元顯著增加；改善主要來自收款增加。

During the quarter, we paid down $60 million against our revolving line of credit and repurchased $20 million of Progress stock. We ended the quarter with $540 million drawn on our revolving line of credit and $182 million remaining under our current share repurchase authorization.

本季期間，我們償還循環信用額度6,000萬美元，並回購2,000萬美元的 Progress 股票。本季末，我們在循環信用額度下已動用5.40億美元，且在目前的股票回購授權額度下尚餘1.82億美元。

Okay, now I would like to turn to our outlook for Q2 and the full year 2026. Before I get into the numbers, I'll highlight a few items.

好的，現在我想轉到我們對2026年第二季以及2026全年展望。在我進入數字之前，我先強調幾個重點。

First, we continue to focus on ARR as a key metric and expect ARR growth to be generally in line with revenue growth for the full year. Second, we plan to roll our 2026 convertible notes into our revolving credit facility when they mature in April.

第一，我們持續將ARR作為關鍵指標，並預期全年ARR成長大致會與營收成長一致。第二，我們計畫在4月到期時，將2026年可轉換公司債轉入我們的循環信用額度（revolving credit facility）。

At the end of Q1, we had approximately $960 million of unused revolver capacity, positioning us well to absorb the convert maturity and continue executing our strategy. Our updated EPS outlook reflects higher interest expense associated with the expected refinancing of the 2026 converts.

在第一季末，我們約有9.6億美元的未動用循環額度，讓我們有良好條件吸收可轉債到期並持續執行策略。我們更新後的EPS展望反映了與預期為2026年可轉債再融資相關的較高利息費用。

Finally, on capital allocation, we remain focused on deploying capital where we see the strongest returns. At current levels, that means repaying debt and remaining disciplined in pursuit of accretive acquisitions against a high return threshold. It also includes opportunistic share repurchases. We continue to forecast debt repayment of $250 million for the full year, bringing our net leverage ratio to approximately 2.7 times by year end.

最後，在資本配置方面，我們仍專注於在我們看到回報最強的地方部署資本。以目前水準而言，這意味著償還債務，並在追求具增益性的併購時維持紀律、以高報酬門檻為準。也包括機會性股票回購。我們仍預估全年償債2.5億美元，使我們的淨槓桿比率在年底降至約2.7倍。

With that, for the second quarter of 2026, we expect revenue between $240 million and $246 million and earnings per share between $1.47 and $1.53. For the full year 2026, we expect revenue between $988 million and $1.01 billion, approximately 1% to 2% growth over 2025, an operating margin for the year of approximately 39%, adjusted free cash flow between $263 million and $275 million, and unlevered free cash flow between $315 million and $326 million. And finally, earnings per share between $5.91 and $6.03.

基於此，對於2026年第二季，我們預期營收介於2.40億至2.46億美元之間，每股盈餘介於1.47至1.53美元之間。對於2026全年，我們預期營收介於9.88億至10.1億美元之間，較2025年約成長1%至2%；全年營業利益率約39%；調整後自由現金流介於2.63億至2.75億美元之間；無槓桿自由現金流介於3.15億至3.26億美元之間。最後，每股盈餘介於5.91至6.03美元之間。

Our guidance for the full year EPS assumes a tax rate of 20%, the repurchase of approximately $30 million in Progress shares, total debt repayment of $250 million, and approximately 43 million weighted shares outstanding.

我們對全年EPS的指引假設稅率為20%、回購約3,000萬美元的Progress股票、全年償債總額2.5億美元，以及加權流通股數約4,300萬股。

In closing, we are very pleased to deliver a strong Q1 to start fiscal 2026. Our diversified product portfolio continues to demonstrate resilience, our cost discipline remains strong, and we continue to focus our capital allocation strategy on generating the highest returns through a combination of aggressive debt repayment and opportunistic share repurchases. In short, we believe we are very well positioned to execute our total growth strategy throughout 2026 and beyond.

總結來說，我們很高興在2026財年開局就交出強勁的第一季表現。我們多元化的產品組合持續展現韌性，我們的成本紀律依然強勁，且我們持續將資本配置策略聚焦於透過積極償債與機會性股票回購的組合來創造最高回報。簡而言之，我們相信我們已具備非常良好的條件，在2026年及更長遠的未來執行我們的整體成長策略。

With that, I'd like to open the call for Q&A.

接下來，我想開放電話會議進入問答。

(Operator Instructions) Ittai Kidron, Oppenheimer and Co.

(接線員指示) Ittai Kidron，Oppenheimer and Co.

So the numbers, I have a couple of questions. Yogesh, maybe starting with you. On the M&A front, I mean, one would think that in this environment, it'll be even easier for you to buy a company. I'm kind of wondering, I know you've always been very disciplined, of course, on the metrics that you're looking for, but why is it still taking you this long to find the next one?

關於這些數字，我有幾個問題。Yogesh，也許先從你開始。在併購（M&A）方面，我的意思是，在這樣的環境下，理論上你們應該更容易買到公司。我有點好奇，我知道你們一向在你們尋找的指標上非常有紀律，但為什麼到現在仍然花這麼久才找到下一個標的？

So if I -- two-part answer to that question. One is that as Anthony just mentioned, right, there is clearly a higher bar today given where our own company stock is and our valuation is compared to what historically was, right?

所以如果我——對這個問題有兩部分的回答。第一點是，正如Anthony剛才提到的，考量到我們自家公司的股價以及我們目前的估值相較於過去的水準，今天的門檻顯然更高。

So we are trading now at an EBITDA multiple that we would need to pay less to generate additional incremental value for our shareholders. So I think that creates a constraint on what we can pay. So that's part A. And I'm not saying that that's why we haven't bought companies, but that's an important consideration in terms of the filter we can apply to the companies we can look at.

所以我們現在的交易估值是以EBITDA倍數來看，而為了替股東創造額外的增量價值，我們需要支付更低的倍數。因此我認為這對我們能付出的價格形成限制。這是A部分。我並不是說這就是我們尚未收購公司的原因，但就我們能對可評估公司所套用的篩選條件而言，這是一個重要考量。

The second one is, we want to make sure that we find the right assets, and we are truly very active at this point looking at those. But again, as I said, that combination creates a challenge. And the flip side is that even though the public markets are where they are, the private markets are still, let's just say, disconnected from reality. If what the public markets are is the reality, right? So at least they're disconnected from the market, from the valuation side.

第二點是，我們希望確保找到合適的資產，而我們目前確實非常積極在看這些標的。但如我所說，這樣的組合確實帶來挑戰。另一方面，即使公開市場處於目前的狀態，私募市場仍然——姑且這麼說——與現實脫節。如果公開市場的狀態就是現實的話，對吧？至少就估值面而言，它們與市場仍有落差。

So I think those two, we actually see tremendous activity in the market. We are seeing all kinds of companies come around. And obviously, everybody on the call will be the first to know when we do one.

所以我認為這兩點之下，我們其實看到市場活動非常熱絡。我們看到各式各樣的公司出現。而且很顯然，當我們完成任何一筆交易時，電話會議上的各位會第一時間知道。

Got it. And then Anthony, for you, can you talk about your SaaS revenue? We know it's actually down quite substantially on a quarter-to-quarter basis. You guys talked about ShareFile actually doing well for you, but you did mention on the call some elevated, some isolated churn, I think you called it. So we'd love to get a little bit more color on what isolated churn means and why is the SaaS revenue declining quarter over quarter.

了解。接著Anthony，想請你談談你們的SaaS營收。我們知道它在季對季基礎上其實下滑得相當明顯。你們提到ShareFile實際上表現不錯，但你也在電話會議中提到一些偏高的、一些孤立的流失（churn），我想你是這麼形容的。所以我們希望更了解「孤立的流失」是什麼意思，以及為什麼SaaS營收會季對季下滑。

Yeah, sure, Ittai, and maybe I'll take the isolated churn comment first, because I do think they're a little bit different in terms of the isolated churn and the SaaS revenue.

好的，當然可以，Ittai。也許我先談「孤立的流失」這個說法，因為我確實認為它和SaaS營收在性質上有點不同。

But in terms of isolated churn, yeah, we had a couple of, I'd say, customer specific events that weren't really related to product value or competitive dynamics or really a broader trend in the business. And to give you an example, we had a seven-figure government contract in Eastern Europe for data retention services, and a European court ruled the government had to cease retaining the data, and so as a result, the contract churns out, right?

就孤立的流失而言，是的，我們遇到幾個我會說是特定客戶事件，並不真正與產品價值、競爭態勢或更廣泛的業務趨勢有關。舉例來說，我們在東歐有一份七位數的政府合約，提供資料留存服務，而歐洲法院裁定政府必須停止留存該資料，因此該合約就流失了，對吧？

So not because of any dissatisfaction with our product or a competitive loss, but the underlying use case effectively gets eliminated by a court ruling. And so occasionally we see issues like that. We've seen them in the past. We've talked about it. M&A sometimes can be something that may cause a little bit of churn in our business.

所以並不是因為對我們產品不滿或競爭失利，而是底層使用情境因法院裁定而實質被消除。因此我們偶爾會看到這類問題。過去我們也遇過。我們也談過。併購（M&A）有時也可能是造成我們業務出現一些流失的原因。

So like in times past, not material overall, and really specific to a particular situation. And I think something we'll probably work through pretty quickly, and despite that, having put up 2% ARR growth for the quarter was a pretty good testament to new customer acquisition and some of the expansion that we got out of the base. So that was what I was referring to in terms of the isolated churn.

所以就像過去一樣，整體而言並不重大，而且確實是特定情境所致。我認為我們可能會很快把它消化掉；儘管如此，本季仍能達成2%的ARR成長，充分證明了新客戶取得以及我們從既有客戶基礎中獲得的一些擴張。這就是我所指的「孤立的流失」。

In terms of the SaaS dynamics on revenue, if you recall back in Q4, we were asked about a big sequential increase in our SaaS revenue. And I think I said at the time that it was a little bit of an upside surprise and we expected things to normalize in 2026 and sort of come back in line with maybe closer to the annual number for 2025.

至於SaaS營收的動態，如果你回想第四季，我們曾被問到SaaS營收為何出現很大的季增。我當時說那有點算是超出預期的驚喜，而我們預期2026年會回歸常態，並大致回到更接近2025年全年數字的水準。

So the Q4 number wasn't something we expected to sustain. If you look at it sequentially on a year over year basis, obviously the SaaS revenue number is still growing. And the reason for it, what's underlying it, is just a lot of the cleanup that we have been doing on the ShareFile business, right?

所以第四季的數字並不是我們預期能持續維持的。如果你以年對年基礎來看其季節性變化，顯然SaaS營收仍在成長。而其背後的原因、其根本驅動因素，就是我們一直在對ShareFile業務進行大量的整理與清理工作，對吧？

We mentioned, I think, on the Q2 call last year that CSG was still doing the billing for us up until April of 2025, and then we had to stand up a billing system internally. And it probably took us until the back half of last year to get our arms around that completely. And so there's a lot of data cleanup that goes on, some of it in Q4, some of it in Q1, and there'll be a little bit of it that continues throughout 2026. Again, not material in total, but it may bump numbers around a little bit from time to time.

我想我們在去年第二季的電話會議上提到過，直到 2025 年 4 月之前，CSG 仍在替我們進行帳單處理，之後我們必須在內部建立一套帳單系統。而我們大概直到去年下半年才算是把這件事完全掌握住。因此會有大量的資料清理工作，有些在第四季、有些在第一季，並且還會有一小部分會持續到 2026 年。再次強調，整體而言並不重大，但它可能會不時讓數字出現一些小幅波動。

And I guess the other side of it is, as we get our arms around the data and as we get more and more control around the ShareFile business, the positive aspects that we saw, especially this quarter, is collections, right? And the free cash flow of almost $100 million for the quarter. I think the significant improvement we saw was largely the result of improved collections in ShareFile.

我想另一方面是，當我們逐步掌握資料、並且對 ShareFile 業務有越來越多的掌控時，我們看到的正面面向——尤其是本季——就是收款表現，對吧？本季自由現金流接近 1 億美元。我認為我們看到的顯著改善，很大程度上是 ShareFile 收款改善的結果。

So on the one hand, there's a lot of data to clean up, but as we get that data cleaned and as we get our arms around the systems, we certainly make up for lost time on the collections front, which was nice.

所以一方面有很多資料需要清理，但當我們把資料清理好、並且把系統掌握住之後，我們在收款端確實把之前落後的進度補回來了，這點很不錯。

All right, appreciate it.

好的，感謝。

John DiFucci, Guggenheim Securities.

Guggenheim Securities 的 John DiFucci。

Thank you. My first question is for Yogesh. So Yogesh, it was interesting that you mentioned ShareFile doing really well and one of your best acquisitions performance wise as the developer count. I'm glad you said that because there's a lot of concern out there with the developer count, and there's a huge debate out there. I guess you're doing well here, but are you seeing it take shape out of it?

謝謝。我的第一個問題想請教 Yogesh。Yogesh，你提到 ShareFile 表現非常好，而且就開發者數量而言，是你們收購案中表現最好的之一，這點很有意思。我很高興你這麼說，因為市場上對開發者數量有很多擔憂，也有很大的爭論。我想你們這邊做得不錯，但你有看到這個情況開始成形、走出來嗎？

I mean, when you talk to your customers, when you see what they're doing, are you seeing any change in developer numbers at your customer base and whether that could be like they're not hiring as much as they used to be or they're actually declining or they're not declining, whatever you're seeing?

我的意思是，當你和客戶交流、看到他們在做什麼時，你是否看到你們客戶群的開發者人數有任何變化？例如他們不像以前那樣大量招募、或是實際在下降、或沒有下降——不管你看到的是什麼？

And then secondly, why is it that regardless of what that answer is, why is it that ShareFile is doing so well?

第二個問題是，不管前面答案如何，為什麼 ShareFile 仍然表現得這麼好？

So I think, by the way, just I think there might -- I don't know whether it was the audio or whether it was me or which end, but John, the product I mentioned that's doing really well was ShareFile, not Chef. So it could have been a misunderstanding. But anyway, let me talk about the developer scenario though, because our developer products are doing well, right?

我想順帶一提，我覺得可能——我不確定是音訊問題、還是我這邊、或是哪一端——但 John，我提到表現非常好的產品是 ShareFile，不是 Chef。所以可能是誤會了。不過我也來談談開發者的情況，因為我們的開發者產品表現也不錯，對吧？

And so the reason, I think, so there are two parts. So I think first, talking about our customers, what we are seeing. I believe that there is a change in trend, but I wouldn't say that the absolute developer numbers overall appear to be dropping. The absolute numbers have dropped in what I would call a small number of customers, but by and large, I think the trend is less growth than historic.

我認為原因大概有兩個部分。首先談我們的客戶、以及我們看到的狀況。我相信趨勢確實有變化，但我不會說整體的開發者絕對人數看起來正在下降。在我所稱的一小部分客戶中，絕對人數確實下降了，但總體而言，我認為趨勢是成長幅度低於歷史水準。

And so I think that the developer seats and seat-based developer businesses, which primarily is tools for us, which is a relatively small business, it's a single-digit, mid single-digit percentage business for us. That business is where if we didn't do the right things, we would see challenges.

因此我認為，開發者席位（seat）以及以席位為基礎的開發者業務——對我們來說主要是工具類產品——這是一個相對較小的業務，對我們而言占比是個位數、約中個位數百分比。如果我們沒有做對事情，這個業務就是我們會看到挑戰的地方。

We've actually done significant AI investments there to make our developer tools, which are primarily used for developing a great UI and so on, be more relevant in the agentic age and help developers who are building agentic apps and provide them with the right tooling for that. So we are effectively doing a significant amount of change in what I call the value proposition for the developer.

我們其實在那裡做了大量的 AI 投資，讓我們的開發者工具——主要用於打造很棒的 UI 等——在代理式（agentic）時代更具相關性，並協助正在打造代理式應用的開發者，提供他們所需的正確工具。所以我們等於是在我所說的「對開發者的價值主張」上做了相當大幅度的改變。

So we feel good about how that business continues to perform. But it is the business that has the greatest potential risk, which is why it has also had the greatest attention on our part in terms of the AI work that we have done with it.

因此我們對這項業務持續的表現感到樂觀。但它也是潛在風險最大的業務，這也是為什麼我們在 AI 相關工作上給予它最多關注。

And so we're seeing good business there, and we continue to see good business there. I think that products like infrastructure need to be managed, infrastructure needs to be configured, infrastructure needs to be set up so that things run well. And so that product is a workhorse for many large enterprises, including the largest credit card companies and many of the Silicon Valley tech companies.

所以我們在那裡看到不錯的業務表現，而且也持續看到不錯的表現。我認為像基礎架構這類產品需要被管理、需要被設定、需要被建置，才能讓系統運作良好。因此這個產品對許多大型企業而言是主力工具，包括最大的信用卡公司，以及許多矽谷科技公司。

I mean, truly two of the Mag 7 have been customers forever, so it's a very strong and solid product. And we continue to see basically the need for that product, and we win some new customers as well. But I think the ShareFile product, on the other hand, is doing well from a cost perspective as well because of the AI efforts there. But I'm sorry about the confusion about my voice.

我的意思是，確實有兩家「科技七雄」（Mag 7）中的公司一直以來都是客戶，所以這是一個非常強大且穩健的產品。我們持續看到對該產品的需求，也贏得了一些新客戶。但另一方面，ShareFile 產品也因為那裡的 AI 努力，在成本面表現良好。不過對於我聲音造成的混淆，我很抱歉。

No, you said it wasn't you. I'm sure it's me. I can't hear it that well sometimes. But thank you for answering the second question, which was, I think, more important anyway. Thank you.

不，你說不是你。我確定是我這邊。有時候我聽得不是很清楚。但謝謝你回答第二個問題，我想那個反而更重要。謝謝。

And I guess just to follow, Anthony, I want to follow up to Ita's question on the SaaS business because it does sound like ShareFile is doing really well, and it's a big acquisition and it's your first big acquisition, but the SaaS revenue didn't just decline sequentially, it declined to less than it was the last three quarters.

我想再追問一下，Anthony，我想延續 Ita 關於 SaaS 業務的問題，因為聽起來 ShareFile 表現非常好，而且這是一筆大型收購，也是你們第一筆大型收購，但 SaaS 營收不只是季對季下滑，還下滑到低於前三個季度的水準。

And so that, like it -- I mean, it's not like just the fourth quarter was stronger, it's like the last three quarters were stronger. So can you help us a little bit? Because something odd happened, and it sounds like the business is doing really well. You guys have said it several times, even if I heard it wrong.

所以這就像——我的意思是，不是只有第四季比較強，而是前三個季度都比較強。你能不能幫我們解釋一下？因為發生了一些不太尋常的事，但又聽起來業務做得很好。你們也講了好幾次，即使我可能聽錯了。

But what is it that happened this quarter? Like it wouldn't have been just recognition. Sometimes I can imagine you don't get the renewal and you're not recognizing it and then you recognize it later, but it's not just that the fourth quarter was stronger than this quarter.

但這一季到底發生了什麼？看起來不會只是認列的問題。有時我可以想像你沒有拿到續約、所以沒有認列，之後再認列，但這不只是第四季比這一季更強而已。

Sorry. Yeah. Yeah, I get it, John. And yeah, I think the range of SaaS revenue for the business overall has been, if I were to normalize for the cleanup issues that I sort of referred to, between $72 million and $73 million going back to Q1 of last year. That's if I sort of normalize each one of these quarters.

抱歉。對。對，我懂，John。而且我認為，如果把我剛才提到的清理問題做正規化處理，整體業務的 SaaS 營收區間，從去年第一季開始大概就在 7,200 萬到 7,300 萬美元之間。也就是說，如果我把每一季都做正規化處理的話。

And all that's happening is, we talked about it a little bit last year that taking over the billing system from CSG was a pretty significant milestone in terms of integration. And in the back half of the year as we started to get our arms around the data, there was a lot of cleanup that needed to be done.

而實際上發生的事情就是：我們去年稍微談過，從 CSG 接手帳單系統，是整合上的一個相當重要的里程碑。而在去年下半年，當我們開始掌握資料時，有大量需要清理的工作。

In some cases, you had customers that hadn't been billed and needed to get invoiced, they required some catch-up invoicing, and there were some that needed to be written out of ARR or reserved against revenue for whatever reason. And there was just a lot of data that we really didn't have access to pre-acquisition.

在某些情況下，有些客戶之前沒有被開帳，需要補開發票，也就是需要一些追溯補開的發票；也有一些因為各種原因需要自 ARR 中剔除，或是對營收提列備抵。而且在收購之前，有大量資料其實我們無法取得。

And even with CSG doing a lot of the billings under the TSA, in the back half of last year as we started to clean that up, again, not material overall, but if it's a few million dollars here and there as we go quarter to quarter, it may move that number around a little bit, and that's really all it was. I mean, otherwise, you're right, the ShareFile business, if I were to sort of normalize these things out, like I said, $72 million to $73 million for total SaaS revenue on a quarterly basis is where it's been.

即使在 TSA 之下由 CSG 負責了相當多的帳單開立工作，去年下半年當我們開始把這些整理乾淨時，再次強調，整體而言並不重大，但如果我們在各季之間有這裡幾百萬、那裡幾百萬的差異，可能會讓那個數字稍微上下波動，而這基本上就是原因。我的意思是，除此之外你說得對，ShareFile 這項業務，如果我把這些因素做某種程度的常態化處理，如我所說，每季總 SaaS 營收大約在 7,200 萬到 7,300 萬美元之間，一直都是這個水準。

Okay, and that's helpful. But is it cleaned up now, Anthony? Should we assume that this should behave like a, listen, and we didn't expect a lot of growth out of it, but even if it's solid or steady, or could we potentially see some declines going forward too?

好的，這很有幫助。但現在都整理乾淨了嗎，Anthony？我們是否應該假設它會像是——聽著，我們也沒預期它會有很多成長——但即便是穩定或持平，或者未來也可能會看到一些下滑嗎？

No, I think it is largely cleaned up, and any of these cleanup issues that we need to do will get smaller and smaller as we go forward. So I don't expect big issues with it, and as Yogesh said, the business fundamentally from an operational perspective has been incredibly solid.

不，我認為大致上已經整理得差不多了，而且我們需要處理的任何這類清理事項，往後只會越來越少。所以我不預期會有什麼大的問題；而且如 Yogesh 所說，從營運角度來看，這項業務的基本面一直非常穩健。

Lucky Schreiner, D.A. Davidson.

Lucky Schreiner，D.A. Davidson。

Great. Maybe, and apologies to follow up again on the line of questioning here, but on that isolated churn event, if I remember last quarter, I believe you guys talked about not seeing an impact of multi-year contracts for this year, and so it sounds like maybe visibility there changed. Is that related to the isolated churn event, or is that something different?

很好。也許——抱歉我再沿著這條提問脈絡追問一下——關於那個單一的流失事件，如果我沒記錯，上季我相信你們提到今年不會看到多年期合約的影響，所以聽起來可能是那方面的能見度有變化。這是和那個單一流失事件有關，還是另外一件事？

Lucky, not really. When the EU court puts out a statement saying thou shalt stop immediately, this was an Eastern European government. They basically instantly told us that they were going to stop paying. And so this was actually, the customers were local telephone customers, local, and this was call records of phone calls that people make.

Lucky，不太是。當歐盟法院發布聲明說你必須立刻停止時，這是一個東歐政府。他們基本上立刻就告訴我們，他們將停止付款。而實際上，客戶是當地的電話客戶、在地的；這是人們通話的通聯紀錄。

And when that became, quote, that was deemed illegal, the country immediately, government immediately said to all those call record companies, all the telephone companies, saying, hey, can't retain this anymore, delete it all, and we will not pay you anymore starting right now. So it was what I would call a surprise churn, right?

當這件事被認定為——引用一下——違法時，該國政府立刻對所有那些通聯紀錄公司、所有電信公司說：嘿，不能再保留這些了，全部刪除，而且從現在開始我們也不會再付你們錢。所以這是我所謂的突發性流失，對吧？

It was one of those things where they just happened to say sorry, we can't pay you anymore because we're not getting paid anymore. So it's a weird thing, right? I mean, we could go and tell them, hey, you have a contract, it doesn't buy us for a little bit, but at the same time, when governments do those kind of things, I think it's tough to get folks to comply. So we wanted to basically take the churn, and we've taken the churn.

這就是那種他們剛好說抱歉，我們不能再付你們錢，因為我們也收不到錢了。所以這很奇怪，對吧？我的意思是，我們可以去跟他們說，嘿，你們有合約，這或許能讓我們多撐一點時間，但同時，當政府做出那種事情時，我覺得要讓對方遵守合約是很困難的。所以我們基本上想要把這筆流失認列掉，而我們也已經認列了。

Got you. So yeah, it sounds like visibility hasn't changed then. And maybe not at all. This was unusual.

了解。所以聽起來能見度並沒有改變。而且可能完全沒有。這是很不尋常的情況。

This was truly unusual. It was like the decision came out, the government acted, and the service providers had to act. I mean, this was within a matter of two weeks and completely from left field.

這確實非常不尋常。就像裁決一出來，政府就採取行動，服務提供商也必須跟著行動。我的意思是，這是在兩週內發生的，而且完全出乎意料。

Got you. That's helpful. Maybe then on NRR, I know you guys are within your target framework, but what's it going to take to get that above the 100% target? Is that a function of just working through the recent churn event? And you mentioned maintaining a close watch on the macro. Is that at all playing a factor here?

了解。這很有幫助。那麼也許談談 NRR，我知道你們仍在目標框架內，但要怎麼做才能把它拉回到 100% 以上的目標？這只是把近期的流失事件消化掉的問題嗎？你也提到會密切關注總體環境。這在這裡有任何影響嗎？

So I don't feel that today macro is playing a factor for our business. I can't speak for the rest of the world, but for Progress, I believe this is purely because of the isolated churn that we saw. And Lucky, because our NRR is a trailing four-quarter number, it moves rather slowly. And so it'll take us a little bit to get us back.

所以我不覺得目前總體環境對我們的業務有影響。我無法代表世界其他地方，但就 Progress 而言，我相信這純粹是因為我們看到的那個單一流失事件。而且 Lucky，因為我們的 NRR 是過去四個季度的滾動數字，它變動得相當慢。所以我們需要一點時間把它拉回來。

Our target continues to be being at or above 100. I mean, our goal is, yeah, 100% NRR is our goal. But we've actually fluctuated between 99 and 101 by and large for the last few years. I think occasionally between 99 and 101. So we actually feel good about our business, and we also feel good, Lucky, that we were able to grow our ARR 2% year over year, which is another point because when you think about it, when NRR is somewhat light,

我們的目標仍然是達到或高於 100。我的意思是，我們的目標是——對，100% 的 NRR 是我們的目標。但過去幾年我們大致上是在 99 到 101 之間波動。我想偶爾是在 99 到 101 之間。所以我們其實對業務感到滿意；而且我們也覺得很不錯的是，Lucky，我們的 ARR 年增 2%，這也是另一個重點，因為當你去想，當 NRR 稍微偏弱時，

it doesn't take much, a few tens of basis points for things to move. The fact that we were able to grow our ARR 2% year over year means that obviously new customers are embracing us and our expansions continue to be good, et cetera. So we continue to be confident. We are not concerned about the way the business is going at this stage.

其實不需要太多變化，只要幾十個基點就會讓數字移動。我們能讓 ARR 年增 2%，表示很明顯有新客戶在採用我們，而我們的擴張也持續良好，等等。所以我們仍然有信心。在這個階段，我們不擔心業務的走向。

And the reason why I caveat it at this stage is the macro and the geopolitical. I think the uncertainty around those, I don't have to share with anyone. We all know that basically some days people think in the morning it's going to be okay, in the evening it's going to be not okay. So with that kind of uncertainty, unclear as to what will happen in the market.

我之所以說「在這個階段」是因為總體環境與地緣政治。我想這些不確定性，我不需要跟任何人多說。我們都知道，基本上有些日子人們早上覺得會沒事，晚上又覺得不會沒事。在這種不確定性之下，市場會發生什麼並不明朗。

We'll continue to monitor that very closely. But so far we have not seen any instance or any example or any anecdotal evidence, anything at all, to say that macro is having an impact on us.

我們會持續非常密切地監控。但到目前為止，我們沒有看到任何案例、任何例子、任何軼事證據，完全沒有任何東西顯示總體環境正在對我們造成影響。

That makes a lot of sense.

這很合理。

(Operator Instructions) I would now like to turn the call back over to Yogesh for closing remarks.

(接線員指示) 我現在想把電話交回給 Yogesh 作結語。

Well, thank you, everyone, for joining. It's a pleasure to speak with you all, and we look forward to speaking with you again next quarter. Bye-bye.

好的，謝謝各位的參與。很高興能與大家交流，我們也期待在下個季度再次與各位對話。再見。

Ladies and gentlemen, that concludes today's conference call. Thank you for your participation. You may now disconnect.

各位女士先生，今天的電話會議到此結束。感謝各位的參與。您現在可以掛線。