RingCentral Inc (RNG) 2023 Q3 法說會逐字稿

Good afternoon, and welcome to the RingCentral Third Quarter 2023 Earnings Conference Call. (Operator Instructions) Please note, this event is being recorded. I would now like to turn the conference over to Will Wong, Vice President of Investor Relations. Please go ahead.

下午好，歡迎參加 RingCentral 2023 年第三季財報電話會議。 （操作員說明）請注意，正在記錄此事件。我現在將會議交給投資者關係副總裁 Will Wong。請繼續。

Thank you. Good afternoon, and welcome to RingCentral's Third Quarter 2023 Earnings Conference Call. Joining me today are Tarek Robbiati, CEO; Vlad Shmunis, Founder and Executive Chairman; and Sonalee Parekh, CFO. Our format today will include prepared remarks by Tarek, Vlad and Sonalee, followed by Q&A. We also have a slide presentation available on our Investor Relations website that will coincide with today's call, which you can find under the financial results section at ir.ringcentral.com.

謝謝。下午好，歡迎參加 RingCentral 2023 年第三季財報電話會議。今天加入我的是執行長 Tarek Robbiati；弗拉德‧施穆尼斯 (Vlad Shmunis)，創辦人兼執行主席；和財務長 Sonalee Parekh。我們今天的形式將包括 Tarek、Vlad 和 Sonalee 準備好的發言，然後是問答。我們還在投資者關係網站上提供了與今天的電話會議同時進行的幻燈片演示，您可以在 ir.ringcentral.com 的財務業績部分找到該演示。

Some of our discussion and responses to your questions will contain forward-looking statements regarding the company's business operations, financial performance and outlook. These statements are subject to risks and uncertainties, some of which are beyond our control and are not guarantees of future performance. Actual results may differ materially from our forward-looking statements, and we undertake no obligation to update these statements after this call.

我們對您問題的一些討論和答覆將包含有關公司業務運營、財務業績和前景的前瞻性陳述。這些陳述存在風險和不確定性，其中一些風險和不確定性超出了我們的控制範圍，並且不能保證未來的表現。實際結果可能與我們的前瞻性陳述有重大差異，我們不承擔在本次電話會議後更新這些陳述的義務。

For a complete discussion of the risks and uncertainties related to our business, please refer to the information contained in our filings with the Securities and Exchange Commission as well as today's earnings release. Unless otherwise indicated, all measures that follow are non-GAAP with year-over-year comparisons. A reconciliation of all GAAP to non-GAAP results is provided with our earnings release and in the slide deck.

有關與我們業務相關的風險和不確定性的完整討論，請參閱我們向美國證券交易委員會提交的文件以及今天的收益發布中包含的資訊。除非另有說明，否則以下所有指標均以非公認會計原則進行同比比較。我們的收益發布和幻燈片中提供了所有 GAAP 與非 GAAP 業績的對帳。

For certain forward-looking guidance, a reconciliation of the non-GAAP financial guidance to the corresponding GAAP measure is not available as discussed in detail in the slide deck posted on our Investor Relations website. With that, I'll now turn the call over to Tarek.

對於某些前瞻性指引，我們的投資者關係網站上發布的幻燈片中詳細討論了非公認會計原則財務指引與相應公認會計原則措施的調節。現在，我將把電話轉給塔里克。

Good afternoon. I'm excited to be on my first earnings call as RingCentral's CEO. We had a good quarter as we exceeded our guidance across our revenue and operating profit metrics. Sonalee will provide more financial details shortly, but the key takeaway is that RingCentral continues to win and innovate in a competitive market. We win because we have an industry-leading product that is mission-critical to many customers.

午安.我很高興能夠作為 RingCentral 執行長參加我的第一次財報電話會議。我們度過了一個不錯的季度，因為我們的收入和營業利潤指標超出了我們的指導。 Sonalee 很快就會提供更多財務細節，但關鍵要點是 RingCentral 繼續在競爭激烈的市場中獲勝並不斷創新。我們之所以獲勝，是因為我們擁有領先業界的產品，而該產品對許多客戶來說至關重要。

In particular, within the SMB, mid-market and consumer-facing verticals, RingCentral is the de facto choice for many businesses, given our leading reliability, product integrations and commitment to innovation. This theme was apparent throughout the many conversations I've had with customers and partners since I took on the CEO role in August. It is also why I am optimistic about our goal of driving sustainable, profitable growth.

特別是在中小型企業、中端市場和消費者導向的垂直市場中，鑑於我們領先的可靠性、產品整合和對創新的承諾，RingCentral 成為許多企業事實上的選擇。自從我八月擔任執行長以來，這個主題在我與客戶和合作夥伴進行的多次對話中都很明顯。這也是為什麼我對我們推動永續獲利成長的目標持樂觀態度。

As CEO, I will be focused on delivering a plan to help us realize that goal. Today, I'd like to share a few of my initial observations as well as areas I will be targeting to unlock growth opportunities and drive increased productivity and profits. First, regarding my initial observation around our business operations. As I alluded earlier, RingCentral is an innovation leader. Lab and the R&D team have been busy over the last few years, building out an AI platform that we are now leveraging to infuse AI across our entire portfolio.

作為首席執行官，我將專注於制定一項計劃來幫助我們實現這一目標。今天，我想分享一些我的初步觀察以及我將瞄準的領域，以釋放成長機會並提高生產力和利潤。首先，關於我對我們業務運作的初步觀察。正如我之前提到的，RingCentral 是創新領導者。過去幾年，實驗室和研發團隊一直忙於建立一個人工智慧平台，我們現在利用該平台將人工智慧融入我們的整個產品組合中。

Combined with our UCaaS leadership built over the past 20 years, we are now transforming into an AI-first multiproduct company with proprietary offering in UCaaS, CCaaS, conversation intelligence, sales analytics and events, webinars and meetings. Vlad will discuss in more detail our recent product developments and focus areas going forward.

結合我們在過去20 年中建立的UCaaS 領導地位，我們現在正在轉型為一家人工智慧優先的多產品公司，在UCaaS、CCaaS、對話智慧、銷售分析和活動、網路研討會和會議方面提供專有產品。 Vlad 將更詳細地討論我們最近的產品開發和未來的重點領域。

Additionally, Sonalee and her team have done a great job of delivering increased profitability in 2023. Our operating profit dollars have increased over 70% year-to-date through actions such as more disciplined spending, reducing organizational spans and layers, consolidating vendors and driving down customer acquisition and retention costs. The key takeaway is that we're doing many things well and RingCentral's foundation is strong. I believe we can build on that foundation to unlock further growth and productivity.

此外，Sonalee 和她的團隊在 2023 年提高盈利能力方面做得非常出色。透過採取更嚴格的支出、減少組織跨度和層級、整合供應商和推動降低客戶獲取和保留成本。關鍵的一點是，我們在很多事情上都做得很好，而且 RingCentral 的基礎很強大。我相信我們可以在此基礎上進一步實現成長和生產力。

Moving forward, I will be focused on a few areas to deliver on this potential. They include: number one, continuing to innovate and build a multiproduct business; number two, focusing more deeply on customer segments and key verticals; number three, expanding partnerships; number four, growing internationally; and finally, number five, increasing operational productivity.

展望未來，我將重點放在幾個領域來發揮這一潛力。其中包括：第一，持續創新並建立多產品業務；第二，更深入關注客戶群和關鍵垂直領域；第三，擴大夥伴關係；第四，國際化發展；最後，第五，提高營運生產力。

First, let me share with you on a high level, our plan to build a multiproduct business. In CX, our RingSense AI platform and RingCentral Events are starting to gain strong traction as they are a natural extension of our core. For example, a Fortune 500 company partnered with RingCentral this quarter to solve a critical internal communications use case for its employees that involved the purchase of over 25,000 MVP and 1,000 RingCX licenses.

首先，讓我從高層次與您分享我們建立多產品業務的計劃。在 CX 中，我們的 RingSense AI 平台和 RingCentral Events 開始獲得強大的吸引力，因為它們是我們核心的自然延伸。例如，一家財富 500 強公司本季與 RingCentral 合作，為其員工解決了一個關鍵的內部通訊用例，涉及購買超過 25,000 個 MVP 和 1,000 個 RingCX 授權。

Using a combination of RingCentral MVP and RingCX, we're able to help them reliably connect drivers (inaudible) while integrating seamlessly into their other technology workflows. RingCX is just one example of a new product we've recently introduced. Going forward, we will be focused on continuing to invest in our new products as well as their related go-to-market rollouts to ensure they will be successful.

透過結合使用 RingCentral MVP 和 RingCX，我們能夠幫助他們可靠地連接驅動程式（聽不清楚），同時無縫整合到他們的其他技術工作流程中。 RingCX 只是我們最近推出的新產品的一個例子。展望未來，我們將專注於繼續投資新產品及其相關的上市推廣，以確保它們成功。

In addition to these new products attracting new customers, they will also provide an opportunity to expand our footprint within existing customers. Our net retention at roughly 100% today is below where I think it can be, particularly because we now have more to sell. Additionally, new products also create more stickiness as the more customer adopts our differentiated offerings, the more likely they will remain a customer. Second, regarding developing a deeper focus on customer segmentation and key verticals, one area I'm investing more in is the SMB and mid-market, which was 57% of our business in Q3.

這些新產品除了吸引新客戶外，還將提供擴大我們在現有客戶中的足跡的機會。今天我們的淨留存率大約是 100%，低於我認為的水平，特別是因為我們現在有更多的東西要出售。此外，新產品還可以創造更大的黏性，因為越多的客戶採用我們的差異化產品，就越有可能繼續成為客戶。其次，關於更深入地關注客戶細分和關鍵垂直市場，我加大投資的一個領域是中小企業和中端市場，占我們第三季業務的 57%。

These cohorts have traditionally been underserved by largest vendors and thus are not encumbered by the bundling dynamics that may influence larger customers' decisions. Also within this market, voice remains a primary method of communication for these businesses, and they pick RingCentral given our clear leadership in cloud voice. By driving incremental focus on the SMB and mid-market, it provides us with a significant opportunity to sell our full suite of communication tools.

傳統上，這些群體得不到最大供應商的服務，因此不會受到可能影響大客戶決策的捆綁動態的阻礙。同樣在這個市場中，語音仍然是這些企業的主要溝通方式，鑑於我們在雲端語音領域的明顯領先地位，他們選擇了 RingCentral。透過推動對中小企業和中端市場的日益關注，它為我們提供了銷售全套通訊工具的重要機會。

We have also seen good progress in key verticals such as health care, education, financial and professional services and public sector. For example, the top 4 dental service organizations run on RingCentral. Thousands of other health care organizations have also selected us for our proven reliability, deep integrations and commitment to innovation.

我們也看到醫療保健、教育、金融和專業服務以及公共部門等關鍵垂直領域取得了良好進展。例如，排名前 4 的牙科服務組織都在 RingCentral 上運作。數以千計的其他醫療保健組織也因為我們久經考驗的可靠性、深度整合和對創新的承諾而選擇了我們。

This quarter, Austin Medical Center Health System, the largest safety net hospital and busiest trauma center in New England selected RingCentral to modernize their business communications. With RingCentral's joint UCaaS and CCaaS offering, Boston Medical Center Health System will have one integrated voice platform for both internal and external communications, which should improve their provider and patient experiences.

本季度，新英格蘭最大的安全網醫院和最繁忙的創傷中心奧斯汀醫療中心健康系統選擇了 RingCentral 來實現其業務通訊現代化。借助 RingCentral 的 UCaaS 和 CCaaS 聯合產品，波士頓醫療中心健康系統將擁有一個用於內部和外部通訊的整合語音平台，這將改善其提供者和患者的體驗。

There is more we can do to capitalize on our success in these bold verticals. One way is by tailoring our solutions even more in both the enterprise and SMB mid-market. For example, we continue to invest in attaining certain government certification for the public sector and are developing other specific integrations and go-to-market strategies for industries for which voice is mission-critical.

我們還可以做更多的事情來利用我們在這些大膽的垂直領域的成功。一種方法是在企業和中小企業中端市場進一步客製化我們的解決方案。例如，我們繼續投資以獲得公共部門的某些政府認證，並正在為語音至關重要的產業制定其他具體的整合和進入市場策略。

There are also many ways we can bifurcate the enterprise segment with specific go-to-market motions to better address customer needs. For example, for enterprise customers with a Teams deployment, we can sell RingCentral for Teams 2.0. This motion allows us to provide voice functionality and potentially attach other products such as contact center to our offerings.

我們也可以透過多種方式透過具體的上市動議來劃分企業細分市場，以更好地滿足客戶需求。例如，對於部署 Teams 的企業客戶，我們可以銷售 RingCentral for Teams 2.0。這項動議使我們能夠提供語音功能，並可能將聯絡中心等其他產品附加到我們的產品中。

Now moving to partnerships. Our current partnerships with global service providers such as AT&T, BT, TELUS and Vodafone and strategic partners, NICE, Avaya and Mitel Unified provide us with the broadest reach in the industry and are a key differentiator. We will also focus on other partnership opportunities that expand our partnership ecosystem, including new relationships with other service partners and ISVs that can help us expand our reach. More to come on this in further quarters.

現在轉向合作關係。我們目前與 AT&T、BT、TELUS 和 Vodafone 等全球服務供應商以及 NICE、Avaya 和 Mitel Unified 等策略合作夥伴的合作關係為我們提供了業界最廣泛的覆蓋範圍，是我們的關鍵優勢所在。我們還將重點關注擴大我們的合作夥伴生態系統的其他合作機會，包括與其他服務合作夥伴和獨立軟體供應商建立新的關係，以幫助我們擴大影響力。未來幾季還會有更多相關內容。

Moving to geographic expansion. International has remained roughly 10% of our business for the last 2 years. It has the potential to be much higher. I'm focused on how we can leverage our distribution channels and partner network to grow outside the U.S. with a particular focus on Europe, where we have go-to-market operations and several partners and GST relationships.

轉向地域擴張。過去 2 年，國際業務約占我們業務的 10%。它有潛力更高。我關注的是我們如何利用我們的分銷管道和合作夥伴網絡在美國以外的地區發展，特別關注歐洲，我們在歐洲擁有進入市場的業務以及多個合作夥伴和商品及服務稅關係。

Last, but by far not least, is my focus on materially increasing productivity. One area that is high on my radar is stock-based compensation. We are fully committed to and are taking tangible steps already towards materially reducing stock-based compensation. Another key area for me is sales and marketing expense. We have seen sales and marketing spend increased only 2% year-to-date, while subscription revenue has grown 12%.

最後但同樣重要的是，我關注的是大幅提高生產力。我最關注的一個領域是基於股票的薪酬。我們完全致力於並正在採取實際步驟，以大幅減少以股票為基礎的薪酬。對我來說另一個關鍵領域是銷售和行銷費用。我們發現，今年迄今，銷售和行銷支出僅成長了 2%，而訂閱收入卻成長了 12%。

However, as a percent of revenue, this is still above where I think it should be in the current environment. I am reviewing our go-to-market motions, both before, during and after the sale to ensure that the cost of acquiring and maintaining a customer is optimized. I realize that while some costs, such as residuals, have a longer tail, there are opportunities to better align our sales and marketing investments to the value they create.

然而，作為收入的百分比，這仍然高於我認為在當前環境下應該達到的水平。我正在審查我們的上市動議，包括售前、售中和售後，以確保獲取和維護客戶的成本得到最佳化。我意識到，雖然某些成本（例如殘差）具有較長的尾部，但仍有機會更好地將我們的銷售和行銷投資與其創造的價值結合起來。

There has been some good early traction with initiatives such as our new channel program, IGNITE! that is aimed at reducing dependence of resellers on RingCentral's own sales force. This has direct impact on improving overall productivity and lowering sales and marketing costs. We're now taking an additional step to adjust and optimize our cost structure, reallocating resources across the company and route to market over the next few months as we operationalize these productivity initiatives.

我們的新通路計畫 IGNITE 等措施在早期就產生了一些良好的吸引力！其目的是減少經銷商對 RingCentral 自身銷售團隊的依賴。這對提高整體生產力和降低銷售和行銷成本有直接影響。我們現在正在採取額外的措施來調整和優化我們的成本結構，在未來幾個月內重新分配整個公司的資源，並在實施這些生產力計劃時將其推向市場。

I hope my initial observations and focus areas are helpful to you in understanding RingCentral's key differentiators as well as opportunities for advancement. While the macro has had an impact on our business, there are also areas that are in our control and that we can enhance. There's a clear plan, and we must now execute on these priorities. I believe the combination of our solid core, strong team and exciting and disruptive new products position us well for the future.

我希望我的初步觀察和重點領域能幫助您了解 RingCentral 的主要優勢以及發展機會。雖然宏觀經濟對我們的業務產生了影響，但也有一些領域在我們的控制範圍內，我們可以加強。有一個明確的計劃，我們現在必須執行這些優先事項。我相信，我們堅實的核心、強大的團隊以及令人興奮和顛覆性的新產品相結合，為我們的未來奠定了良好的基礎。

I also want to take this opportunity to thank everyone at RingCentral for delivering a solid Q3. With that, I want to turn the call over to Vlad, who will discuss in more detail, one of the key pillars of our plan, innovation and new products.

我也想藉此機會感謝 RingCentral 的每個人，感謝他們在第三季的表現。說到這裡，我想把電話轉給弗拉德，他將更詳細地討論我們計劃的關鍵支柱之一、創新和新產品。

Thanks, Tarek. As I said before, AI, the mother of all megatrends (inaudible). With Tarek on Board, I can now work even more closely with our product teams to ensure RingCentral remains an industry leader in this new era. My day-to-day focus is now to infuse AI across our entire portfolio to improve (inaudible), employee and customer service agent experiences before, during and after each interaction.

謝謝，塔里克。正如我之前所說，人工智慧是所有大趨勢之母（聽不清楚）。 Tarek 加入後，我現在可以與我們的產品團隊更加緊密地合作，以確保 RingCentral 在這個新時代保持行業領導者的地位。我現在的日常工作重點是將人工智慧融入我們的整個產品組合中，以改善（聽不清楚）員工和客戶服務代理在每次互動之前、期間和之後的體驗。

Our vision and commitment is to be (inaudible) business communications leader. We have made good progress towards this vision with the launch of our RingSense AI platform earlier this year. We have rapidly innovated to infuse RingSense AI into all our products. This includes our native AI-first omnichannel contact center platform, RingCX; our conversation intelligence platform, RingSense; and RingSense for Sales; and Hopin, which we acquired in July and (inaudible) RingCentral Events.

我們的願景和承諾是成為（聽不清楚）商業通訊領導者。隨著今年稍早推出的 RingSense AI 平台，我們在實現這一願景方面取得了良好進展。我們迅速創新，將 RingSense AI 融入我們的所有產品中。這包括我們原生的人工智慧優先全通路聯絡中心平台RingCX；我們的對話智慧平台 RingSense；和 RingSense for Sales；我們在 7 月收購了 Hopin，以及（聽不清楚）RingCentral Events。

RingCX and RingCentral Events will be joining RingCentral's industry-leading cloud PBX MVP solution, RingCentral Contact Center, RingCentral Meetings and Webinars and RingCentral Sales, thus turning RingCentral into a true multiproduct AI-first company. So let me give you some more detail about the progress we are making on some of those new products.

RingCX 和 RingCentral Events 將加入 RingCentral 業界領先的雲端 PBX MVP 解決方案、RingCentral 聯絡中心、RingCentral 會議和網路研討會以及 RingCentral Sales，從而將 RingCentral 轉變為真正的多產品 AI 優先公司。因此，讓我向您詳細介紹我們在其中一些新產品方面的進展。

First, RingCX, which is now in controlled availability and is expected to be generally available later this quarter. In Q3, we embedded our RingSense AI and other technologies into RingCX to enable market conversations before, during and after each interaction. In addition to being AI-first, RingCX adheres to our core brand values of trust, reliability, openness and ease of deployment, use and ownership.

首先是 RingCX，目前處於受控可用性狀態，預計將於本季稍後全面上市。在第三季度，我們將 RingSense AI 和其他技術嵌入 RingCX 中，以在每次互動之前、期間和之後進行市場對話。除了人工智慧優先之外，RingCX 還堅持我們的核心品牌價值：信任、可靠、開放以及易於部署、使用和擁有。

RingCX deployments are measured in days or short weeks and not months or quarters. To be clear, RingCX is not strictly limited with the SMB and mid-market. In fact, there are also larger customers whose particular use cases line up well with what RingCX has to offer. This includes a 1,000-plus-seat win from a Fortune 500 company that Tarek mentioned earlier. RingCX is a good complement to our RingCentral Contact Center offering that is generally aimed at more complex use cases and larger deployments.

RingCX 部署以幾天或短短幾週而不是幾個月或幾季來衡量。需要明確的是，RingCX 並不嚴格限制在中小企業和中端市場。事實上，還有一些較大的客戶，他們的特定用例與 RingCX 所提供的功能非常吻合。其中包括塔里克之前提到的財富 500 強公司贏得的 1,000 多個席位。 RingCX 是我們的 RingCentral 聯絡中心產品的良好補充，該產品通常針對更複雜的用例和更大規模的部署。

While still in controlled availability, we already have approximately 50 customers who have selected RingCX. In addition to RingCX, we are also working hard at reintroducing Hopin Events as RingCentral Events. This product already powers some of the world's most recognizable brands, internal and external events. This includes Spotify, Reddit and many other of the world's most recognizable names. We will provide more details on both RingCX and RingCentral Events at our upcoming RingCentral Innovation event that will take place on November 14.

雖然可用性仍處於受控狀態，但我們已經有大約 50 名客戶選擇了 RingCX。除了RingCX之外，我們也致力於將Hopin Events重新引入RingCentral Events。該產品已經為一些世界上最知名的品牌、內部和外部活動提供支援。其中包括 Spotify、Reddit 和許多其他世界上最知名的名字。我們將在即將於 11 月 14 日舉行的 RingCentral 創新活動中提供有關 RingCX 和 RingCentral 活動的更多詳細資訊。

It will, of course, be hosted on our very own RingCentral Events. We hope you can join us virtually to learn more about our latest innovations as well as hear directly from customers about how they're benefiting from these products. In conclusion, never before has RingCentral had such an extensive and fully built out product portfolio. We are making great progress in embedding AI into the entire portfolio, creating even more value for our customers. I could not be more excited about our future. With that, let me turn the call over to Sonalee.

當然，它將在我們自己的 RingCentral Events 上舉行。我們希望您能夠以虛擬方式加入我們，了解更多有關我們最新創新的信息，並直接聽取客戶關於他們如何從這些產品中受益的信息。總而言之，RingCentral 從未擁有如此廣泛且完全建構的產品組合。我們在將人工智慧嵌入整個產品組合方面取得了巨大進展，為客戶創造了更多價值。我對我們的未來感到無比興奮。接下來，讓我將電話轉給 Sonalee。

Thanks, Vlad. I'll now provide highlights from the third quarter and then discuss our business outlook for the fourth quarter and the full year. Subscriptions revenue of $531 million, was up 10% year-over-year and above our guidance range. ARR of $2.26 billion, was up 11% versus last year. On a year-over-year basis, currency was a modest tailwind, but on a sequential basis, currency was a roughly $10 million headwind.

謝謝，弗拉德。我現在將提供第三季的亮點，然後討論我們第四季和全年的業務前景。訂閱收入為 5.31 億美元，年增 10%，高於我們的指導範圍。 ARR 為 22.6 億美元，比去年成長 11%。與去年同期相比，貨幣是溫和的順風，但環比而言，貨幣大約是 1000 萬美元的逆風。

Growth was led by the enterprise segment, where we continue to see strong contact center attach rates. We again saw more than 60% of our large million-dollar-plus TCV deals include both UCaaS and CCaaS, including a recent UC plus CC win with a San Francisco Giant. Now moving to profitability. I'll be referring to non-GAAP results, unless otherwise noted. Our subscription gross margin was 82%, consistent with last quarter. Overall ARPU was again above $30.

成長由企業部門引領，我們持續看到強勁的聯絡中心附加率。我們再次看到超過 60% 的百萬美元以上大型 TCV 交易包括 UCaaS 和 CCaaS，包括最近與舊金山巨人公司 (San Francisco Giant) 達成的 UC + CC 勝利。現在轉向獲利。除非另有說明，我將指的是非公認會計準則的結果。我們的訂閱毛利率為 82%，與上季持平。總體 ARPU 再次高於 30 美元。

Our new products, while disruptive in pricing relative to the market, should be accretive to our overall ARPU over time. Our solid ARPU supports our strong gross margin. Operating margin rose 560 basis points versus last year to 19.1%, driven by operating leverage and continued efficiencies. Our third quarter operating margin was solidly above our outlook for 18% to 18.5%. While we invested back into the business to support our new products, primarily through sales and marketing initiatives, we were able to drive increased productivity from our current workforce instead of hiring additional headcount, which resulted in savings that flow through to the bottom of the line.

我們的新產品雖然在定價方面相對於市場具有顛覆性，但隨著時間的推移，應該會增加我們的整體 ARPU。我們穩健的 ARPU 支持我們強勁的毛利率。在營運槓桿和持續效率的推動下，營運利潤率較去年上升 560 個基點，達到 19.1%。我們第三季的營業利潤率遠高於我們預期的 18% 至 18.5%。雖然我們主要透過銷售和行銷計劃重新投資業務以支持我們的新產品，但我們能夠提高現有員工的生產力，而不是僱用額外的員工，從而節省了資金，並流向了基層。

Our increasing profitability translated into quarterly unlevered adjusted free cash flow of $87 million, up from $33 million in Q3 '22. Moving to our balance sheet. In August, we issued $400 million of 8.5% senior unsecured notes due in 2030. We used $154 million from this issuance to repurchase $166 million in debt, consisting of $125 million of our 2025 convertible notes and $41 million of our 2026 convertible notes.

我們不斷成長的獲利能力轉化為季度無槓桿調整後自由現金流為 8,700 萬美元，高於 22 年第三季的 3,300 萬美元。轉向我們的資產負債表。 8 月份，我們發行了4 億美元、將於2030 年到期、利率為8.5% 的優先無擔保票據。我們用本次發行中的1.54 億美元回購了1.66 億美元的債務，其中包括1.25 億美元的2025 年可轉換票據和4,100 萬美元的2026 年可轉換票據。

Including this transaction, we have used approximately $546 million of cash from our term loan A, the unsecured notes due in 2030 and our balance sheet to repurchase $586 million of the original $1 billion of 2025 notes, capturing a sizable discount. Since I joined RingCentral last year, I have noted that addressing the 2025 convertible notes before they go current was a key priority. We plan to utilize the remaining approximately $240 million of proceeds from our recent high-yield offering, plus an additional commitment to our term loan A of $75 million, which we will have the option to draw upon within the next 9 months and a portion of the free cash flow we expect to generate over the next 15 months to address the remaining $414 million of the 2025 notes.

包括此交易在內，我們使用了定期貸款A、2030 年到期的無擔保票據以及資產負債表中約5.46 億美元的現金，回購了2025 年原始10 億美元票據中的5.86 億美元，獲得了相當大的折扣。自從我去年加入 RingCentral 以來，我注意到在 2025 年可轉換票據生效之前解決它們是一個關鍵優先事項。我們計劃利用我們最近高收益發行的剩餘約 2.4 億美元收益，加上我們對定期貸款 A 的 7500 萬美元的額外承諾，我們將可以選擇在未來 9 個月內動用這筆資金，以及我們預計在未來15 個月內產生的自由現金流可用於支付2025 年票據剩餘的4.14 億美元。

Importantly, as the 2025 notes carry a 0% coupon and we are earning a solid return on our cash, we will remain disciplined and will balance note repurchase prior to maturity with the amount of discount we are able to capture. In addition to addressing the upcoming 2025 converts, our leverage remains very healthy. Based on our third quarter results, our trailing 12-month net leverage ratio is 3x. And based on our current outlook, we continue to expect to be below 3x in 4Q.

重要的是，由於 2025 年票據的票面利率為 0%，而且我們正在獲得穩定的現金回報，因此我們將保持紀律，並將在到期前平衡票據回購與我們能夠獲得的折扣金額。除了解決即將到來的 2025 年轉換問題之外，我們的槓桿率仍然非常健康。根據我們第三季的業績，我們過去 12 個月的淨槓桿率為 3 倍。根據我們目前的前景，我們繼續預計第四季將低於 3 倍。

Before I provide our fourth quarter and full year guidance, I'd like to provide you with additional details on the macro trends we are seeing in the market today. Macro trends are largely consistent with last quarter. Sales cycles remain elevated versus last year and customer buying decisions continue to go through additional layers of approval.

在提供第四季度和全年指導之前，我想向您提供有關我們當今市場宏觀趨勢的更多詳細資訊。宏觀趨勢與上季基本一致。與去年相比，銷售週期仍然較高，客戶的購買決策繼續經過額外的批准。

Linearity has also become more back-end loaded. And in many enterprise transactions, including this quarter, we have seen customers waiting until the last week or 2 of the quarter to close on deals. We are also seeing less upsell within our existing base as customers have slowed hiring and rationalized their employee count. Importantly, marketing-driven lead flow remains consistently strong, demonstrating continued demand for on-prem to cloud conversion.

線性度也變得更加後端負載。在許多企業交易中，包括本季度，我們看到客戶要等到最後一周或季度的兩週才能完成交易。由於客戶放慢了招募速度並合理化了員工人數，我們也發現現有基礎上的追加銷售有所減少。重要的是，行銷驅動的潛在客戶流始終保持強勁，這表明對本地到雲端轉換的持續需求。

With that backdrop, let me now turn to guidance. For the fourth quarter of 2023, we expect subscription revenue growth of 8% to 9%, total revenue growth of 8% to 9%, non-GAAP operating margin of 20%, and non-GAAP EPS of $0.82 to $0.83. For the full year 2023, despite the incremental currency headwind, we are raising our revenue and operating margin outlook. We now expect subscriptions revenue growth of 11%, total revenue growth of 11%, non-GAAP operating margin of 19%. This is up 660 basis points versus last year and 25 basis points above the midpoint of our prior outlook.

在此背景下，現在讓我談談指導。對於 2023 年第四季度，我們預計訂閱收入將成長 8% 至 9%，總營收成長 8% 至 9%，非 GAAP 營業利潤率為 20%，非 GAAP 每股收益為 0.82 美元至 0.83 美元。對於 2023 年全年，儘管貨幣逆風不斷增加，我們仍上調了營收和營業利潤率預期。我們目前預計訂閱收入成長 11%，總營收成長 11%，非 GAAP 營業利益率為 19%。這比去年上升了 660 個基點，比我們先前預測的中點高出 25 個基點。

Lastly, we expect non-GAAP EPS of $3.19 to $3.20. Additionally, given our better-than-expected profitability as well as cash conversion in Q3, primarily driven by better working capital management, we now expect adjusted unlevered free cash flow of $290 million to $300 million in 2023, up from $270 million to $290 million previously. Note, this excludes $20 million to $25 million related to restructuring and other payments that we have or expect to incur.

最後，我們預計非 GAAP 每股收益為 3.19 美元至 3.20 美元。此外，鑑於我們第三季的獲利能力和現金轉換優於預期（主要是由於更好的營運資金管理推動），我們現在預計2023 年調整後的無槓桿自由現金流將從2.7 億美元增至2.9億美元，為2.9 億美元至3 億美元之前。請注意，這不包括與重組相關的 2000 萬至 2500 萬美元以及我們已經或預計發生的其他付款。

Lastly, we expect stock-based compensation of $426 million to $431 million in 2023 or approximately 19.5% of revenue. While this is higher than our prior guidance, this is related to the recent management changes that we undertook in August. Additionally, we put in place performance stock units this year to demonstrate alignment between management incentives and company performance. These (inaudible) are accounted for under an accelerated expense attribution model compared to restricted stock units and thus resulted in higher stock-based compensation in 2023 versus our prior outlook.

最後，我們預計 2023 年股票薪酬將達到 4.26 億至 4.31 億美元，約佔營收的 19.5%。雖然這高於我們先前的指導，但這與我們最近在八月進行的管理層變動有關。此外，我們今年設立了績效股票單位，以證明管理層激勵措施與公司業績之間的一致性。與限制性股票單位相比，這些（聽不清楚）是根據加速費用歸因模型進行核算的，因此 2023 年的股票薪酬高於我們先前的預期。

We would have been at the midpoint of our prior range, excluding these items. As Tarek stated, materially reducing stock-based compensation going forward is a key priority, and we are implementing actions to materially reduce stock-based compensation over the next 12 months. We will share more on these actions and targets next quarter.

不包括這些項目，我們將處於先前範圍的中點。正如 Tarek 所說，大幅減少股票薪酬是未來的首要任務，我們正在採取行動，在未來 12 個月內大幅減少股票薪酬。我們將在下個季度分享更多有關這些行動和目標的資訊。

In summary, Q3 was a good quarter. We delivered on our guidance. We continued to invest for growth, and we demonstrated a proactive capital allocation approach. While the economic environment remains uncertain, we will remain focused and committed to executing against our priorities of delivering sustainable growth and profitability. With that, let's open the call for questions.

總而言之，第三季是一個不錯的季度。我們兌現了我們的指導。我們繼續投資促進成長，並展示了積極主動的資本配置方法。儘管經濟環境仍然不確定，但我們將繼續專注並致力於實現永續成長和獲利能力的優先事項。接下來，讓我們開始提問。

(Operator Instructions) Our first question is from Matt Niknam with Deutsche Bank.

（操作員說明）我們的第一個問題來自德意志銀行的 Matt Niknam。

Maybe a question for Tarek. Now that you've been in the CEO seat for a couple of months, can you maybe talk a little bit more around where you see the greatest opportunity that's untapped for RingCentral, whether it's underserved markets, underserved customer sets or on the operating front? And I know you laid out 5 key priorities. But where do you see maybe the immediate opportunity to start executing against?

也許有個問題想問塔里克。現在您已經擔任執行長幾個月了，您能否多談談您認為 RingCentral 尚未開發的最大機會，無論是服務不足的市場、服務不足的客戶群還是營運方面？我知道您列出了 5 個關鍵優先事項。但是您在哪裡看到可能立即開始執行的機會？

Thank you, Matt, for the question, and welcome to our call. I'd say since I had the opportunity to serve on the Board since December 2022, I believe I have a good understanding of the business. And I've spent most of the past 60 days talking with customers, partners, employees and shareholders since I've taken on the CEO role.

謝謝馬特提出的問題，歡迎打電話給我們。我想說，自從我自 2022 年 12 月以來有機會在董事會任職以來，我相信我對業務有很好的了解。自從我擔任執行長以來，過去 60 天的大部分時間我都在與客戶、合作夥伴、員工和股東交談。

I do believe there are tremendous opportunities for RingCentral, building on the solid quality foundation of our core products in UCaaS. And there is a big opportunity to provide more to customers and particularly in certain verticals such as SMB and mid-market. We are also at this junction of the industry in a unique position to harness the power of AI given the size of our installed base. We've been investing in an AI platform for a number of years. We're infusing AI in everything we're doing.

我確實相信，基於 UCaaS 核心產品的堅實品質基礎，RingCentral 擁有巨大的機會。而且有很大的機會為客戶提供更多服務，特別是在中小企業和中端市場等某些垂直行業。考慮到我們的安裝基礎規模，我們也處於這個產業的這個十字路口，處於利用人工智慧力量的獨特地位。多年來我們一直在投資人工智慧平台。我們正在將人工智慧融入我們所做的一切。

And if you really put that in perspective of the UCaaS/CCaaS industry taken as a whole, these are being disrupted by AI, and this presents us with plenty of opportunities to innovate and capture share. And that is very critical when you're considering that we have scale. And we have, again, a strong reputation of quality, which allows us to maintain our leadership in a competitive and increasingly disruptive industry. So that's what I'm looking forward to do is to continue to add scale and continue to sustain long-term profitable growth at RingCentral.

如果你真的從 UCaaS/CCaaS 產業的整體角度來看，這些產業正在被人工智慧顛覆，這為我們提供了大量創新和佔領份額的機會。當你考慮到我們有規模時，這一點非常關鍵。我們再次擁有良好的品質聲譽，這使我們能夠在競爭激烈且日益顛覆的行業中保持領先地位。因此，我期待要做的就是繼續擴大規模並繼續維持 RingCentral 的長期獲利成長。

The next question is from Samad Samana with Jefferies.

下一個問題來自 Jefferies 的 Samad Samana。

This is (inaudible) on for Samad. Certainly, with existing customers, either buying less seats or trimming headcount, can you remind if contracts allow a customer to reduce seats? Put differently, can the customer pay for only 900 seats even if they're contracted for 1,000 if they were to reduce headcount by 10%?

這是 Samad 的（聽不清楚）。當然，對於現有的客戶，要么少買座位，要么裁員，您能否提醒一下，合約是否允許客戶減少座位？換句話說，如果員工人數減少 10%，即使簽訂了 1,000 個座位的合同，客戶是否可以只支付 900 個座位的費用？

Thanks for the question. So in terms of our contracts, no. Customers -- typically, our average contract length is just over 3 years, and customers typically would be contracted for the full amount of seats that they signed the original contract for. And there is not typically any flexibility for a customer to reduce seats. Of course, we always offer flexibility for them to add seats. So hopefully, that answers your question.

謝謝你的提問。所以就我們的合約而言，沒有。客戶—通常，我們的平均合約期限只有 3 年多一點，客戶通常會獲得他們簽署原始合約時獲得的全部席位。而且客戶通常沒有任何減少座位的彈性。當然，我們始終為他們提供增加座位的靈活性。希望這能回答你的問題。

The next question is from Michael Funk with Bank of America.

下一個問題來自美國銀行的 Michael Funk。

So Tarek, you laid out your priorities. One of them is productivity. You said taking steps to materially reduce sales and marketing expense. Is there a good benchmark or a metric we should think about with your target for sales and marketing?

塔里克，你列出了你的優先事項。其中之一是生產力。您說採取措施大幅減少銷售和行銷費用。對於您的銷售和行銷目標，我們是否應該考慮一個好的基準或指標？

Look, I wouldn't use benchmarks for really determining and percentage of sales and marketing spend as a percentage of revenue. And the reason why this is, is that you need to retain flexibility to go and capture opportunities as you see them. And it's always important to understand productivity down to the driver level of our sales force and our channel partners and see to what extent we are acquiring growth effectively and that the growth has to come with calories, mindful of the cost of customer acquisition and the cost of retention of these customers.

看，我不會使用基準來真正確定銷售和行銷支出佔收入的百分比。原因是，您需要保持靈活性，以便在看到機會時抓住機會。了解我們的銷售人員和通路合作夥伴的驅動力水平的生產力始終很重要，並了解我們在多大程度上有效地獲得成長，以及成長必須伴隨卡路里，同時注意客戶獲取成本和成本留住這些客戶。

So we do believe there is upside in the short term in becoming more effective and efficient in sales and marketing. And when you really look at our spend as a percentage of revenue today, it is too high for my own liking, considering the growth we're delivering. So you can determine whether or not we reduce that spend for the same growth or keep it, but we need higher growth. And that's a reflection that we have to ask ourselves as we look at this very important part of our P&L.

因此，我們確實相信，短期內提高銷售和行銷效率是有好處的。當你真正審視我們今天的支出佔收入的百分比時，考慮到我們正在實現的成長，我個人不喜歡這個百分比。因此，您可以決定我們是減少支出以實現相同的成長還是保持不變，但我們需要更高的成長。當我們審視損益表的這個非常重要的部分時，我們必須問自己這一點。

The next question is from Ryan MacWilliams with Barclays.

下一個問題來自巴克萊銀行的 Ryan MacWilliams。

Have you seen any material changes since the end of the third quarter on the macro front? And are there any differences into how your SMB customers compared to your mid-market enterprise customers are dealing with the current macro environment?

自第三季末以來，宏觀方面有什麼重大變化嗎？與中型市場企業客戶相比，您的中小型企業客戶在應對當前宏觀環境方面有何差異？

Look, it's a good question. Obviously, the macro is what it is, and you all know and read through the news. There is no particular change relative to prior quarters and the customer feedback that we get about RingCentral is that our product is mission-critical to their business. Yes, customers are looking for ways to save money. But where you really look at the payback from a customer standpoint with Ring, it is measured in weeks and months, not years.

瞧，這是個好問題。顯然，宏觀就是這樣，你們都知道並閱讀了新聞。與前幾季相比，沒有什麼特別的變化，我們得到的有關 RingCentral 的客戶回饋是，我們的產品對他們的業務至關重要。是的，客戶正在尋找省錢的方法。但當你真正從客戶的角度看待 Ring 的投資回報時，你會發現它是以周和月而不是年來衡量的。

And just to put things in perspective for you, from a customer standpoint, UC plus CC payback period is below 6 months, and the ROI that is being generated for them is north of 200%. So specifically for the third quarter of 2023, SMB growth has moderated, and this is certainly driven by continued macro uncertainty. The enterprise segment sales cycle remained elongated versus last year. As we spoke about in the past, upsell is being impacted by slower growth in headcount at our customers, rationalization of their spend and more scrutiny on IT cost in general.

從客戶的角度來看，UC 加 CC 的投資回收期低於 6 個月，並且為他們產生的投資回報率超過 200%。因此，特別是在 2023 年第三季度，中小企業成長有所放緩，這肯定是由持續的宏觀不確定性所推動的。與去年相比，企業部門的銷售週期仍延長。正如我們過去談到的，追加銷售受到客戶人數成長放緩、支出合理化以及對 IT 成本總體審查更加嚴格的影響。

But we do believe that our new product introductions will help with upsell over time, and this is exactly why we're positioning ourselves now to emerge out of the macro softness with strength with a multiproduct portfolio. And so I would say macro is stable, and we have not seen any change in terms of easing conditions. Hopefully, this answers your question.

但我們確實相信，隨著時間的推移，我們的新產品推出將有助於增加銷售，這正是我們現在將自己定位為透過多產品組合的優勢擺脫宏觀疲軟的原因。所以我想說宏觀經濟是穩定的，我們沒有看到寬鬆條件有任何變化。希望這能回答您的問題。

The next question is from Kash Rangan with Goldman Sachs.

下一個問題來自高盛的卡什·蘭根 (Kash Rangan)。

Good to see the stability results. Tarek, one for you, maybe Vlad can jump in here as well. As you introduced the AI functionality, do you think it will -- how do you think it will change sales cycles, make it faster, slower, the economics of the sale, et cetera? And also what does it mean for ARPU and retention and therefore, the growth prospects of the company? That's it for me.

很高興看到穩定性結果。塔里克（Tarek），給你一個，也許弗拉德（Vlad）也可以跳到這裡。當您介紹人工智慧功能時，您認為它會如何改變銷售週期，使其更快、更慢、銷售的經濟性等等？這對 ARPU 和留存率以及公司的成長前景意味著什麼？對我來說就是這樣。

So this is a very big question you're asking, Kash. And I would say if you take the perspective of our customers and you look at what we can do with our integrated UCaaS/CCaaS offerings is we can add value to them at all steps of a conversation before the call, during the call and after the call. And the examples of that are fairly intuitive and easy to understand. Before the call, you can make sure you understand the context in which the call is being placed.

所以這是你問的一個非常大的問題，卡什。我想說的是，如果你站在我們客戶的角度來看，我們可以利用我們的整合UCaaS/CCaaS 產品做些什麼，我們可以在通話前、通話中和通話後的所有對話步驟中為他們增加值。稱呼。這些例子相當直觀且易於理解。在呼叫之前，您可以確保您了解呼叫所在的上下文。

During the call, of course, you can do call summaries, but you can do much more than that. You can add a lot of value add, way of understanding what has been said in the call, the tone in which the call took place, really spearheading post-call a number of different actions moving forward. So there is a ton of things that can be unleashed for our customers, thanks to AI, and we are infusing AI throughout our offerings precisely because we see AI as an incredible opportunity for our customers to enhance their own productivity and competitiveness, and this is why we are spending a lot of time there.

當然，在通話過程中，您可以進行通話摘要，但您可以做的遠不止這些。您可以添加許多附加價值、理解通話中所說內容的方式、通話時的語氣，真正引領通話後採取一些不同的行動。因此，借助人工智慧，我們可以為我們的客戶帶來很多東西，我們將人工智慧融入我們的產品中，正是因為我們認為人工智慧是我們的客戶提高自身生產力和競爭力的絕佳機會，這就是為什麼我們在那裡花了很多時間。

I will ask Vlad to chime in on this issue because he's spending and we're spending a lot of time here, and he's the power behind the AI efforts that we're deploying right now. Vlad?

我會請弗拉德插話這個問題，因為他和我們在這裡花了很多時間，他是我們現在正在部署的人工智慧工作背後的力量。弗拉德？

Thanks, Tarek. Kash, fantastic question. Look, let me address the retention part of the question. One would think that it should improve retention in a meaningful way because these insights that are being generated or at least in part generated from customers' own data. Therefore, one would think that the whole system engagement would thus become stickier because now moving to a different platform would mean that they no longer have access to those insights.

謝謝，塔里克。卡什，很棒的問題。聽著，讓我解決問題的保留部分。人們可能會認為，它應該以一種有意義的方式提高保留率，因為這些見解是由客戶自己的資料產生的或至少部分產生的。因此，人們會認為整個系統的參與度會變得更加黏性，因為現在轉移到不同的平台將意味著他們不再能夠獲得這些見解。

It's obviously very early, and it's too early to talk about empirical data. But in theory, it should work that way. Also just a quick comment on the sales cycle. And I don't know how to say it any other way. It's just (expletive) as hell. It makes a great demo when we show our RingSense, for example, and the type of insights and type of questions that people can get looking at their calls after the call has been made, for whatever reason, it's emotional for people.

現在顯然還為時過早，現在談論經驗數據還為時過早。但從理論上講，它應該是這樣工作的。也只是對銷售週期的快速評論。我不知道如何用其他方式表達。這簡直就是（咒罵）地獄。例如，當我們展示我們的RingSense 時，它就是一個很棒的演示，以及人們在撥打電話後可以查看他們的電話的見解類型和問題類型，無論出於何種原因，這對人們來說都是情緒化的。

They go, oh, I didn't know this. So AI, what I said in the prepared remarks, it truly is the next great megatrend. I called it mother of all megatrends, and I stand by it. It's going to revolutionize the world, our industry, and RingCentral is part of it. Couldn't be more excited.

他們走了，哦，我不知道這一點。所以人工智慧，正如我在準備好的演講中所說的，它確實是下一個大趨勢。我稱之為所有大趨勢之母，並且我支持它。它將徹底改變世界和我們的行業，而 RingCentral 就是其中的一部分。不能更興奮了。

Kash, I might just add something there as well. You were asking about the impact on ARPU from these new products. Clearly, we are very excited about pricing these in a disruptive manner, but they will still be significantly accretive to our overall ARPU. So you heard in my prepared remarks, I talked about ARPU being stable. We would expect this to be additive to that. And in terms of incremental investment around go-to-market, we actually don't anticipate any significant incremental investments. So it should also be accretive to LTV to CAC as we look forward.

卡什，我也可以在那裡添加一些東西。您問的是這些新產品對 ARPU 的影響。顯然，我們對以顛覆性方式定價這些產品感到非常興奮，但它們仍將顯著增加我們的整體 ARPU。所以你在我準備好的發言中聽到了，我談到了 ARPU 的穩定。我們預計這將是對此的補充。就上市方面的增量投資而言，我們實際上預計不會有任何重大的增量投資。因此，正如我們所期待的，它也應該會增加 CAC 的生命週期價值。

The next question is from Brian Peterson with Raymond James.

下一個問題是布萊恩彼得森和雷蒙德詹姆斯提出的。

So Tarek, you mentioned in the call about partners and potential opportunity to expand there. I'd love to get more color on that. And as we think about growth vectors into 2024, how should we think about the ramp in some of your partnership efforts there?

塔里克（Tarek），您在電話中提到了合作夥伴以及在那裡擴張的潛在機會。我很想在這方面得到更多的色彩。當我們思考 2024 年的成長向量時，我們應該如何考慮你們在那裡的一些合作關係的努力？

Thanks for the question. We do have a number of partnerships that are working very well for us right now, both in terms of global service providers such as AT&T, TELUS, BT, Vodafone, et cetera, and also strategic partners like NICE inContact, Avaya, Mitel, now Mitel Unified, and we have a great reach, thanks to these partnerships. I do believe that there is a number of additional upside from these partnerships and also new partnerships that we can build.

謝謝你的提問。目前，我們確實擁有許多運作良好的合作夥伴關係，包括 AT&T、TELUS、BT、沃達豐等全球服務供應商，以及 NICE inContact、Avaya、Mitel 等策略合作夥伴。Mitel Unified，由於這些合作夥伴關係，我們擁有很大的影響力。我確實相信這些夥伴關係以及我們可以建立的新夥伴關係有許多額外的好處。

So in particular, we focus on partnership opportunities that will expand our partnership ecosystem, focusing on ISVs so that we can continue to expand our reach and also build more value-added offerings, particularly on a industry vertical basis where there is a lot of things that we can do to ensure that our product is connected with a broader ecosystem of verticals to penetrate those verticals selectively.

因此，我們特別關注能夠擴大我們的合作夥伴生態系統的合作機會，專注於 ISV，以便我們能夠繼續擴大我們的影響力並建立更多增值產品，特別是在有很多東西的行業垂直基礎上我們可以做的就是確保我們的產品與更廣泛的垂直產業生態系統連接，從而選擇性地滲透到這些垂直產業。

So this is one of my key focus areas for the future. And in terms of the ramp, it will take time, but you know how these partnerships are. They take time to set up. But when they are in full motion, the volume that we expect there can be considerable. And so this is why it is a critical focus area for me.

所以這是我未來的重點關注領域之一。就提升而言，這需要時間，但你知道這些合作關係如何。他們需要時間來設定。但當它們全速運轉時，我們預期的體積可能會相當大。這就是為什麼它對我來說是一個關鍵的關注領域。

The next question is from Meta Marshall with Morgan Stanley.

下一個問題來自摩根士丹利的梅塔·馬歇爾。

Maybe just following up on that question. Just trying to get a sense of as you guys incorporate more direct versus channel versus some of the revisions that were made to the partnerships earlier in the year to allow them to kind of sell direct, just is there a blend of the business where you feel you'd like to see a certain percentage come direct or certain percentage come through the channel through partnerships that just forms as a rough guide? And is there any kind of channel conflict that's kind of coming about just given some of the changes to the sales model?

也許只是跟進這個問題。只是想了解一下，當你們將更多的直接與渠道結合起來，以及今年早些時候對合作夥伴關係進行的一些修改，以允許他們直接銷售時，是否存在您認為的業務混合你希望看到一定比例的直接投資或一定比例的合作夥伴關係管道（僅作為粗略指導）？鑑於銷售模式的一些變化，是否會出現某種通路衝突？

So this is a great question, Meta, and thanks for asking it. I'd say rather than talking about a blend, I think what we need to focus on is penetration of our offering across the market. If you really look at UCaaS, we are the largest player, and we still have only about 10%, 12% market share in that space, which goes to show that there is a lot of upside and the market remains pretty fragmented. And if you look at CCaaS, it's a little bit more concentrated, but my overall comment is roughly the same.

所以這是一個很好的問題，Meta，感謝您提出這個問題。我想說的不是談論混合，我認為我們需要關注的是我們的產品在市場上的滲透。如果你仔細觀察 UCaaS，我們是最大的參與者，但我們在該領域的市場份額仍然只有 10%、12% 左右，這表明還有很大的上升空間，而且市場仍然相當分散。如果你看CCaaS，它會更集中一些，但我的整體評論大致相同。

There is lots of opportunities there for us to penetrate the CCaaS market with both our NICE inContact offering, but also our RingCX new offering, that was in controlled availability up to today and that we are ramping up in the upcoming days. So if you also want to add to that, the international dimension, there is a lot that we can do internationally. Internationally, we are still at the beginning, I would say.

透過我們的 NICE inContact 產品和我們的 RingCX 新產品，我們有很多機會滲透 CCaaS 市場，該產品迄今仍處於受控可用性狀態，並且我們將在未來幾天內加大力度。因此，如果你還想增加國際層面，我們在國際上可以做很多事情。我想說，在國際上，我們仍處於起步階段。

Our international revenue as a percentage of total is only 10%. And if you really think about the fabric of the European economy or the Asian markets, they rely on a different distribution mechanism and different distribution tiers. Hence, the need for us to be ready capability-wise to go and penetrate those markets with a different set of capabilities, either on a direct basis or indirect basis with partners, and that is what we are focused on.

我們的國際收入佔總收入的比例僅 10%。如果你認真考慮歐洲經濟或亞洲市場的結構，你會發現它們依賴不同的分銷機制和不同的分銷層級。因此，我們需要做好能力準備，以不同的能力滲透這些市場，無論是直接的還是與合作夥伴間接的，這就是我們所關注的重點。

The next question is from Siti Panigrahi with Mizuho.

下一個問題來自瑞穗的 Siti Panigrahi。

It's good to see the sequential growth now more than 3% in subscription revenue versus 1% we saw last 2 quarters. So could you talk about what are the key drivers of that growth? Is it something upsell in enterprise? Or is it something churn stabilizing? What's driving that growth? And how sustainable or even we could expect any kind of improvement on that going forward?

很高興看到訂閱收入現在環比增長超過 3%，而過去兩個季度僅為 1%。那麼您能談談這種成長的主要驅動力是什麼嗎？這是企業中的追加銷售嗎？還是某種穩定因素？是什麼推動了這種成長？未來的可持續性如何，甚至我們可以期待任何形式的改進？

Look, I think -- so far, I would like to say that it's early days for me, but I'm pretty pleased with the progress we're making and the way we're executing so far, 9 months into the fiscal year. We are focused on finishing fiscal year '23 strong. And we have a whole quarter Q4 where we just started, and we have to continue to execute on it. We feel pretty good about that. And we will, in doing so, focus on my 5 priorities, which is to continue to innovate and build a multiproduct business.

我認為，到目前為止，我想說對我來說還為時過早，但我對我們所取得的進展以及迄今為止（本財年已進入 9 個月）的執行方式感到非常滿意。我們的重點是強勁地完成 23 財年。我們剛剛開始了第四季度的整個季度，我們必須繼續執行它。我們對此感覺很好。在此過程中，我們將專注於我的 5 個優先事項，即繼續創新和建立多產品業務。

This is top left, right and center, where Vlad is spending all his energy, boosting our multiproduct portfolio offerings. This is really, really critical to fuel growth in both new customers and upselling to existing customers. We're also focused on driving deeper penetration into certain key verticals and customer segments. We're building partnerships. We're growing internationally. And yes, I have to keep an eye on productivity moving forward.

這是左上方、右上方和中間的位置，Vlad 正在花費他所有的精力來提升我們的多產品組合產品。這對於推動新客戶的成長和向現有客戶的追加銷售確實非常重要。我們也致力於推動對某些關鍵垂直產業和客戶群的更深入滲透。我們正在建立夥伴關係。我們正在國際化發展。是的，我必須密切注意生產力的發展。

So it's early days. I like the way you put forward the growth. We feel that demand for UCaaS and CCaaS attach is real. If you take integrated UCaaS/CCaaS as a whole, as a subset of the market, this is where we're playing, and this is the fastest growing portion of the market. There are some competitive displacements, particularly when you look at subscale vendors losing share. There is a likely competitive intensity with Microsoft Teams. We're exploiting that competitive intensity with our Teams 2.0 plug-in, which we just rolled out and that is gaining quite some traction.

所以現在還為時過早。我喜歡你提出增長的方式。我們認為對 UCaaS 和 CCaaS Attach 的需求是真實的。如果你把整合 UCaaS/CCaaS 作為一個整體，作為市場的子集，這就是我們正在發揮的作用，這是市場中成長最快的部分。有一些競爭性的替代，特別是當你看到小規模供應商失去份額時。與 Microsoft Teams 可能存在激烈的競爭。我們正在透過我們剛剛推出的 Teams 2.0 插件來利用這種競爭強度，該插件正在獲得相當大的吸引力。

And we will continue also to target enterprise customers with this best-in-class integration. So there's a lot to unpack here, but I would say we are focused now on the very short term, which is to finish Q4 strong, and that is where all our energy is being focused on.

我們也將繼續透過這種一流的整合來瞄準企業客戶。因此，這裡有很多東西需要解開，但我想說，我們現在關注的是非常短期的目標，即強勁地完成第四季度，這就是我們所有精力都集中的地方。

The next question is from Matt VanVliet with BTIG.

下一個問題來自 BTIG 的 Matt VanVliet。

I wanted to dig in a little bit more on the plans for international growth. How do you feel about your current headcount in a number of those markets? Do you need to build out more of a team from both either the direct or the channel enablement side? And then secondarily, with the stable partners you already have in place, do you feel like you can reach the goals you have? Or do you need to broaden that distribution network as well?

我想進一步深入了解國際成長計劃。您對目前在其中一些市場的員工人數有何看法？您是否需要從直接或通路支援建立更多的團隊？其次，有了你已經擁有的穩定合作夥伴，你覺得你能達成你的目標嗎？或者您還需要擴大分銷網絡嗎？

So look, having run international businesses for a large chunk of my career, I think the way you decide to go in a particular new market is really a function of the economic fabric of that market and particularly true for softwares and services businesses like ours. When you really look at, for example, in Europe, the weight of small and medium enterprises, which are our sweet spot, in Germany, it's about 87% of the GDP. In France, Italy and Spain, it's north of 90% of the GDP. And therefore, if you think about how do you go and acquire these customers in these geographies, you really have to think what is the best method, the most effective method to ramp up your access with the various routes to market to these customer segments.

因此，我職業生涯的大部分時間都在經營國際業務，我認為你決定進入特定新市場的方式實際上是該市場經濟結構的函數，對於像我們這樣的軟體和服務企業來說尤其如此。例如，當你仔細觀察歐洲的中小企業（我們的最佳點）的權重時，在德國，它約佔 GDP 的 87%。在法國、義大利和西班牙，它佔GDP的90%以上。因此，如果您考慮如何在這些地區獲取這些客戶，您確實必須考慮什麼是最好的方法、最有效的方法來透過各種途徑向這些客戶群行銷。

And I'd say that there is an opportunity there by going through partnerships, in particular, and we don't need to really build an extensive large direct sales force to capture share internationally. I think philosophically also, I'm not in favor of the approach that is about build and they will come. We need to be very pragmatic here and leverage existing partners in the market because there is, in our view, a large opportunity for us to become the first global cloud provider with our offerings, whether these are MVP or the new offerings that we are right now developing with Vlad and the team.

我想說，特別是透過合作夥伴關係，這是一個機會，我們不需要真正建立一支廣泛的大型直銷隊伍來奪取國際份額。我也認為從哲學上講，我不贊成關於建構的方法，他們會來的。我們需要非常務實，並利用市場上現有的合作夥伴，因為我們認為，我們有很大的機會成為第一個擁有我們產品的全球雲端供應商，無論這些產品是 MVP 還是我們合適的新產品現在與Vlad 和團隊一起開發。

The next question is from Terry Tillman with Truist.

下一個問題是 Terry Tillman 和 Truist 提出的。

This is Robert Dee on for Terry. Just one quick one for Tarek. Since being in the CEO slot, what do you think is the most misunderstood about the story at this point?

我是羅伯特·迪 (Robert Dee) 替補特里 (Terry)。塔里克只需快速一聽。自從擔任執行長以來，您認為目前這個故事最被誤解的是什麼？

What is the least understanding point about RingCentral? I think I would say to you, look, not every UCaaS is created equal. And the strength of the foundation that we have built is there to stay. And the numbers do the talking. I mean just look at the ARPUs, you had Sonalee commenting on our ARPUs and where they stand, look at the number of seats. We have more than 400,000 customers worldwide. We're growing faster than the rest of the UCaaS market.

對RingCentral最少了解的點是什麼？我想我會對你說，看，並不是每個 UCaaS 都是平等的。我們所建立的基礎的力量將會維持下去。數字說明一切。我的意思是只要看看 ARPU，Sonalee 對我們的 ARPU 進行了評論，看看它們的位置，看看座位數。我們在全球擁有超過 40 萬名客戶。我們的成長速度比 UCaaS 市場的其他公司更快。

And even when you have, I would say, periods of economic uncertainty, there is a flight for quality in these circumstances. And we're seeing that, and we feel good about our position. Now of course, Vlad and I are not happy with just that. We want to continue to dial up growth and expand our portfolio. And expanding our portfolio over a quality foundation is a lot easier, believe me, than to worry about the core. There is a lot that is going to be unlocked over the next few days. We have telegraphed a -- if I take this opportunity, we have telegraphed a marketing event on November 14 to show that we are going to be expanding our core products of RingCX and Ring Events to become available generally or general availability.

我想說，即使在經濟不穩定的時期，在這種情況下也會出現對品質的追求。我們看到了這一點，並且對我們的立場感到滿意。當然，弗拉德和我對此並不滿意。我們希望繼續加快成長並擴大我們的產品組合。相信我，在品質基礎上擴展我們的產品組合比擔心核心要容易得多。在接下來的幾天裡，有很多東西將被解鎖。我們已經電報了——如果我藉此機會，我們已經電報了 11 月 14 日的營銷活動，以表明我們將擴展我們的 RingCX 和 Ring Events 核心產品，使其普遍可用或普遍可用。

And as you can see that our goal here is to build on the foundation that we have to emerge out of this period of economic uncertainty with strength, and this is why we're making all the investments we are making in innovation.

正如您所看到的，我們的目標是建立在我們必須憑藉實力擺脫這段經濟不確定時期的基礎上，這就是我們在創新方面進行所有投資的原因。

The next question is from Will Power with Baird.

下一個問題來自貝爾德的意志力。

Tarek, I was curious in some of the comments on focusing on SMB. I know that's a heritage area for you all. Also, I think, often viewed as a more competitive area. So maybe just a little more color on the rationale for kind of refocusing in some respects or focusing that much more on SMB? And where are the kind of the key investment opportunities? Are there any kind of areas of low-hanging fruit as you kind of evaluate that?

Tarek，我對一些關注中小企業的評論感到好奇。我知道那是你們所有人的遺產區。另外，我認為，這通常被視為一個更具競爭力的領域。那麼，也許只是對在某些方面重新關注或更多關注中小企業的理由進行更多的闡述？關鍵的投資機會在哪裡？根據您的評估，是否有任何容易實現的領域？

So look, SMB has always been our sweet spot, and it's not that we are refocusing on SMB for the first time. Our SMB business is over $850 million. It is still growing at about 8%, which is much more than many of our competitors are growing overall. We have the leading UCaaS offering that is differentiated that is reliable with 99.99% availability. We are rolling now out the RingCX and RingSense for sales. And we're seeing great traction, particularly for this segment of the market because for small and medium businesses, our new offerings are really around adding value to the businesses in question and making them more competitive over time. And we feel there is a lot more to do and are confident about our position in that segment of the market.

因此，SMB 一直是我們的最佳選擇，這並不是我們第一次重新關注 SMB。我們的中小企業業務超過 8.5 億美元。它仍在以 8% 左右的速度成長，遠高於我們許多競爭對手的整體成長速度。我們擁有領先的 UCaaS 產品，該產品具有差異化且可靠，可用性高達 99.99%。我們現在正在推出 RingCX 和 RingSense 進行銷售。我們看到了巨大的吸引力，特別是對於這個市場領域，因為對於中小型企業來說，我們的新產品實際上是為相關企業增加價值，並隨著時間的推移使它們更具競爭力。我們認為還有很多事情要做，並對我們在該市場領域的地位充滿信心。

The next question is from Ryan Koontz with Needham & Company.

下一個問題來自 Needham & Company 的 Ryan Koontz。

I want to ask about product mix a little bit. I know you can't give us exact metrics, but can you kind of reflect on what's transpired over the past year in terms of Contact Center upsell? Are you seeing more of a shift toward Contact Centers? It seems like it's got a little more durable growth, obviously, than the core UCaaS space. And just as a follow-up on the Teams 2.0 opportunity, if you can give us any customer feedback you've had on that new product offering?

我想問一下有關產品組合的問題。我知道您無法提供我們準確的指標，但您能否反思過去一年在聯絡中心追加銷售方面發生的情況？您是否看到更多向聯絡中心的轉變？顯然，它的成長似乎比核心 UCaaS 領域更持久。作為 Teams 2.0 機會的後續行動，您能否向我們提供有關該新產品的任何客戶回饋？

Yes. Maybe I'll take that. Vlad here. Look, Contact Center is -- it's less penetrated than UCaaS. To be clear, our UCaaS, UC to UCaaS is still relatively early even there as well. I mean if you take our numbers and Microsoft's and Zooms' and put it all together, we're probably still easily under 20%. But Contact Center, I would say, is earlier in that migration. Interestingly enough, Contact Center offers interesting opportunities in AI, and there are some puts and takes there. So traditional contact center vendors who are relying on enabling agent seats, that could be a little bit of a headwind as there will be less reliance on humans and more reliance on virtual agents and bots.

是的。也許我會接受。弗拉德在這裡。看，聯絡中心的滲透率比 UCaaS 低。需要明確的是，我們的 UCaaS、UC 到 UCaaS 仍然相對較早。我的意思是，如果你把我們的數據、微軟和 Zooms 的數據放在一起，我們可能仍然輕鬆低於 20%。但我想說的是，聯絡中心處於遷移的早期階段。有趣的是，聯絡中心在人工智慧方面提供了有趣的機會，並且有一些投入和收穫。因此，對於依賴支援座席的傳統聯絡中心供應商來說，這可能會有點不利，因為對人類的依賴會減少，而對虛擬座席和機器人的依賴會增加。

But for people who are innovating in the area and coming in from the perspective of an AI-first approach, and this crowd definitely includes ourselves, at this point, we are seeing this as a major tailwind to really take share. Contact Center tends to be yet more sticky than UCaaS. Those are more considered decisions generally. And your question was over the last year. Look, we've seen a robust demand for contact centers and especially for contact center that's closely integrated with UCaaS solution.

但對於那些在該領域進行創新並從人工智慧優先方法的角度進入的人來說，這個人群肯定包括我們自己，在這一點上，我們認為這是真正佔據份額的主要推動力。聯絡中心往往比 UCaaS 更具黏性。一般來說，這些都是經過深思熟慮的決定。你的問題是去年的。看，我們看到了對聯絡中心的強勁需求，尤其是與 UCaaS 解決方案緊密整合的聯絡中心。

We saw that for a few years now via our white-label offering of RingCentral Contact Center. What we're seeing now is that there is, I would say, a renewed interest in AI-first approaches. And very importantly, in software that's more oriented towards self-service with easier and faster deployments. And what we're seeing is even some of the larger deployments now and I think, in our prepared remarks, we shared that we have some literally Fortune 500 companies choosing RingCX, which, by the way, is only in controlled availability as we speak here now, but we're already seeing multi-thousand seat wins.

幾年來，我們透過 RingCentral 聯絡中心的白標產品看到了這一點。我想說，我們現在看到的是，人們對人工智慧優先的方法重新產生了興趣。非常重要的是，軟體更面向自助服務，部署更加輕鬆快速。我們現在看到的甚至是一些更大規模的部署，我認為，在我們準備好的發言中，我們分享了我們有一些名副其實的財富500 強公司選擇了RingCX，順便說一句，在我們發言時，它僅處於受控可用性狀態現在在這裡，但我們已經看到了數千個席位的勝利。

Frankly, it's been a pleasant surprise. We saw that it would skew lower. But for now, we're seeing good traction across the board and expect it to continue.

坦白說，這真是個驚喜。我們看到它會偏低。但就目前而言，我們看到了全面的良好吸引力，並預計這種趨勢將持續下去。

One thing I would just add there is that we are still seeing very, very strong UCaaS, CCaaS attach in our larger deals. So more than 60% of our $1 million-plus TCV deals again included a CCaaS component, and we continue to grow well above the overall CCaaS market.

我想補充的一件事是，我們仍然看到非常非常強大的 UCaaS、CCaaS 附加在我們的較大交易中。因此，在我們超過 100 萬美元的 TCV 交易中，超過 60% 再次包含 CCaaS 組件，並且我們的成長繼續遠高於整個 CCaaS 市場。

The next question is from Tim Horan with Oppenheimer.

下一個問題是蒂姆·霍蘭和奧本海默提出的。

I know the Microsoft Office Copilot was just launched, but have you had a chance to study it? And it seems like it opens like a dozen questions to you guys. I guess is that a large improvement to their Teams? Does it make their ability to integrate UCaaS and CCaaS better? Does it improve your partnership? Or on and on, I mean, there's a ton of questions and one of the key questions is they're charging $30 a month for it. And I guess it's not really clear. Are you saying you guys think you can charge for your AI over time? But I guess the most important question is what does Copilot mean for the industry at this point?

我知道Microsoft Office Copilot剛剛推出，但是您有機會研究它嗎？看起來這對你們來說就像是一打問題。我想這對他們的團隊來說是一個很大的進步嗎？這是否使他們能夠更好地整合 UCaaS 和 CCaaS？它會改善你們的合作關係嗎？或者說，我的意思是，有很多問題，其中一個關鍵問題是他們每月收取 30 美元的費用。我想這還不是很清楚。你們是說你們認為隨著時間的推移你們可以為人工智慧收費嗎？但我想最重要的問題是 Copilot 目前對產業意味著什麼？

Right. Well, number one, you have to ask Microsoft, right? Look, we are not prepared yet to disclose additional details on RingCX pricing, stay tuned, it's coming and coming soon. We do expect this pricing to be aggressive, if not disruptive. So I would just, again, urge a little bit of patience on that. Now having said this, we are not competing with Microsoft. We're leveraging what Microsoft has. We are participating in the ecosystem that they're creating.

正確的。嗯，第一，你必須問微軟，對吧？看，我們還沒有準備好透露有關 RingCX 定價的更多細節，請繼續關注，它即將推出，很快就會推出。我們確實預期這種定價即使不是具有破壞性，也將是激進的。所以我再次呼籲大家對此保持一點耐心。話雖如此，我們並不是與微軟競爭。我們正在利用微軟擁有的資源。我們正在參與他們正在創建的生態系統。

We are both using core innovation from OpenAI and other companies in our case, okay? And we certainly expect and then building out product to be an open platform. And again, not to preannounce anything, but expect that every innovation that Microsoft has that Microsoft chooses and decides to make open and interoperable with other platforms, we will be on that bandwagon, okay?

在我們的案例中，我們都使用了 OpenAI 和其他公司的核心創新，好嗎？我們當然期望並建構一個開放平台的產品。再說一遍，不是預先宣布任何事情，而是期望微軟選擇並決定開放並與其他平台互通的每一項創新，我們都會跟上這個潮流，好嗎？

So again, I would just say stay tuned. And you can also assume just in closing that our early customers for RingCX that they are also well aware of other advances in the industry, including the Copilot and given what they know of our road map and what we have today and Microsoft, they're choosing to do business. So more to come.

所以，我想說，請繼續關注。最後，您還可以假設我們的 RingCX 早期客戶也非常了解該行業的其他進步，包括 Copilot，並考慮到他們對我們的路線圖以及我們今天所擁有的以及 Microsoft 的了解，他們選擇做生意。未來還會有更多。

Well, on that point, do you think Copilot is a major improvement on Teams?

那麼，在這一點上，您認為 Copilot 是 Teams 的重大改進嗎？

Look, look, it depends, it depends. I mean it's a great idea (inaudible) how accurate will it be? It's not just the price point, how accurate will it be? Will it or will it not (inaudible)? And data is going to be trained and so forth. I'm not personally prepared to opine one way or another. I do think that it's a really good idea. It's a timely idea. It's an idea that makes sense, yes. Copilot is for during call, as Tarek said in ways that we classify things before, during and after. I can tell you that there is a lot of interest in the -- during the call experience enhancements, which Copilot addresses.

看看，看看，這取決於，這取決於。我的意思是這是一個好主意（聽不清楚）它有多準確？這不僅僅是價格點，它的準確性如何？會還是不會（聽不清楚）？數據將被訓練等等。我個人不准備以這樣或那樣的方式發表意見。我確實認為這是一個非常好的主意。這是一個及時的想法。是的，這是一個有意義的想法。副駕駛用於通話期間，正如塔雷克所說，我們按照通話前、通話中和通話後對事物進行分類的方式。我可以告訴您，人們對 Copilot 所關注的通話體驗增強非常感興趣。

So when you have an agent online with the customer, getting real-time hints, data feeds, maybe even call scoring, all of the things that Microsoft is talking about, appointment making for that matter in real time, all of those are timely ideas. Customers are looking at it. But it's very, very early and people are just in general, trying to figure out what to do with this new capability.

因此，當您有一個代理商與客戶在線聯繫時，請獲得即時說明、數據饋送，甚至可能是呼叫評分，所有 Microsoft 正在談論的事情、即時預約，所有這些都是及時的想法。顧客正在看著它。但現在還非常非常早，人們通常都在試著弄清楚如何利用這種新功能。

And we have time, I think, for one more question.

我想我們還有時間再問一個問題。

And the final question is from Michael Turrin with Wells Fargo.

最後一個問題來自富國銀行的麥可‧特林。

Tarek, you commented in the prepared remarks around retention rates and is coming in below where you think the company is capable of. Is there any way for us to just unpack how much of that is tied to macro and external factors versus just execution-related opportunities you see and thinking about key contributors there? Are there any primary points of focus you'd point us towards?

塔里克（Tarek），您在準備好的有關保留率的評論中發表了評論，並且低於您認為公司有能力的水平。我們有什麼辦法可以解開其中有多少與宏觀和外部因素相關，而不是您看到並思考的關鍵貢獻者與執行相關的機會嗎？您有向我們指出哪些主要關注點嗎？

Yes. Thanks for asking this, and it's certainly a good way to finish up our conversation today. Look, our retention rate is around 100% in Q3. Really, what will take it upwards from here is a combination of factors. But going forward, we're really focused on upsell and customer retention to drive higher net retention. And when you have a multiproduct portfolio, it does help tremendously the upsell sales motion because simply put, you have multiple conversations you can have with a single customer, right?

是的。感謝您提出這個問題，這當然是結束我們今天談話的好方法。看，我們第三季的留存率約為 100%。事實上，推動其從現在開始向上發展的是多種因素的綜合作用。但展望未來，我們真正關注的是追加銷售和客戶保留，以提高淨保留率。當您擁有多產品組合時，它確實會對追加銷售銷售活動產生巨大幫助，因為簡單地說，您可以與單一客戶進行多次對話，對嗎？

And so our new products, RingCX, RingSense, our new Ring Events provide opportunities (inaudible) customers. And by the way, when a customer buys more from you, then that customer is stickier over time, which helps also the net retention. So this is exactly the reason why we are innovating and to be able to capitalize on the opportunities of this new product portfolio. We need to think differently in terms of our sales motions to help customers see the new products value.

因此，我們的新產品、RingCX、RingSense、我們的新 Ring Events 為客戶提供了機會（聽不清楚）。順便說一句，當客戶從您那裡購買更多產品時，隨著時間的推移，該客戶的黏性就會增強，這也有助於淨保留。因此，這正是我們進行創新並能夠利用這項新產品組合的機會的原因。我們需要以不同的方式思考我們的銷售活動，以幫助客戶看到新產品的價值。

And therefore, this is going to be a journey over time. But I feel optimistic about the prospects of net retention in the long term for RingCentral, given how much emphasis we're placing on dialing up innovation with the team. Thank you.

因此，這將是一段時間的旅程。但考慮到我們非常重視與團隊進行創新，我對 RingCentral 的長期淨保留前景感到樂觀。謝謝。

This concludes our question-and-answer session, and the conference has also now concluded. Thank you for attending today's presentation. You may now disconnect.

我們的問答環節到此結束，會議也結束了。感謝您參加今天的演講。您現在可以斷開連線。