Rapid7 Inc (RPD) 2024 Q1 法說會逐字稿

Thank you for standing by. My name is Eric and I will be your conference operator today. At this time, I would like to welcome everyone to the Rapid7 First Quarter 2024 Earnings Call. (Operator Instructions)

感謝您的支持。我叫 Eric，今天我將擔任您的會議主持人。現在，我歡迎大家參加 Rapid7 2024 年第一季財報電話會議。（操作員指令）

Thank you. I would now like to turn the call over to Elizabeth Chwalk. Please go ahead.

謝謝。現在我想將電話轉給伊莉莎白奇沃克 (Elizabeth Chwalk)。請繼續。

Thank you, operator, and good afternoon, everyone. We appreciate you joining us today to discuss Rapid7's First Quarter 2024 Financial and Operating Results, in addition to our financial outlook for the second quarter and full fiscal year 2024.

謝謝接線員，大家下午好。感謝您今天加入我們，討論 Rapid7 2024 年第一季的財務和營運業績，以及我們對 2024 年第二季和全年財年的財務展望。

With me on the call today are Corey Thomas, our CEO, and Tim Adams, our CFO. We have distributed our earnings press release over the wire, and it is now posted on our website at investors.rapid7.com, along with the updated company presentation and financial metrics file. This call is being broadcast live via webcast, and following the call, an audio replay will be available at investors.rapid7.com.

今天與我一起參加電話會議的還有我們的執行長 Corey Thomas 和我們的財務長 Tim Adams。我們已經透過網路發布了我們的收益新聞稿，目前它已發佈在我們的網站 investor.rapid7.com 上，同時發布的還有更新的公司介紹和財務指標文件。本次電話會議將透過網路直播，會議結束後，投資人可在 investor.rapid7.com 上重播音訊。

During this call, we may make statements related to our business that are considered forward-looking under federal securities laws. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, and include statements relating to the company's positioning, strategy, business plans, and financial guidance for the second quarter and full year 2024, and the assumptions underlying such goals and guidance. These forward-looking statements are based on our current expectations and beliefs and on information currently available to us. Actual outcomes and results may differ materially from the future results expressed or implied in these statements due to a number of risks and uncertainties, including those contained in our most recent annual report on Form 10-K, filed on February 26, 2024, and in the subsequent reports that we file with the SEC. The information provided on this conference call should be considered in light of such risks. Actual results and the timing of certain events may differ materially from the results or timing predicted or implied by such forward-looking statements, and reported results should not be considered as an indication of future performance. Rapid7 does not assume any obligation to update the information presented on this conference call, except to the extent required by applicable law.

在本次電話會議中，我們可能會做出與我們的業務相關的聲明，這些聲明根據聯邦證券法被視為前瞻性的。這些聲明是根據 1995 年《私人證券訴訟改革法》的安全港規定做出的，包括與公司 2024 年第二季度和全年的定位、戰略、業務計劃和財務指導有關的聲明，以及這些目標和指導的基本假設。這些前瞻性陳述是基於我們目前的預期和信念以及我們目前所掌握的資訊。由於存在許多風險和不確定性，包括我們於 2024 年 2 月 26 日提交的最新 10-K 表年度報告以及我們向美國證券交易委員會提交的後續報告中包含的風險和不確定性，實際結果可能與這些聲明中表達或暗示的未來結果有重大差異。應根據此類風險考慮本次電話會議中提供的資訊。實際結果和某些事件的時間可能與此類前瞻性陳述預測或暗示的結果或時間有重大差異，且報告的結果不應被視為未來表現的指標。Rapid7 不承擔更新本次電話會議上提供的資訊的任何義務，除非適用法律要求。

Our commentary today will primarily be in non-GAAP terms, and reconciliations between our historical GAAP and non-GAAP results can be found in today's earnings press release and on our website at investors.rapid7.com. At times, in our prepared remarks or in responses to your questions, we may offer incremental metrics to provide greater insight into the dynamics of our business or our quarterly results. Please be advised that this additional detail may be one-time in nature, and we may or may not update these metrics in the future.

我們今天的評論主要採用非 GAAP 條款，我們的歷史 GAAP 和非 GAAP 結果之間的對帳可以在今天的收益新聞稿中以及我們的網站 investor.rapid7.com 上找到。有時，在我們準備好的評論中或回答您的問題時，我們可能會提供增量指標，以便更深入地了解我們的業務動態或季度業績。請注意，這些額外的細節可能是一次性的，我們將來可能會或可能不會更新這些指標。

With that, I'd like to turn the call over to our CEO, Corey Thomas. Corey?

說到這裡，我想把電話轉給我們的執行長科里·托馬斯 (Corey Thomas)。科里？

Hello, everyone, and thank you for joining us this afternoon on our first quarter 2024 earnings call. Rapid7 ended the first quarter with $807 million in ARR, representing 11% year-over-year growth. We saw sustained momentum with our direct complete consolidation offerings, which continued ramping nicely. However, our ending ARR result was below expectations, driven by a slower-than-anticipated shift of our BM base into our integrated risk offering, cloud risk complete. I'll spend some time addressing both of these dynamics on our call today in the context of our long-term investment strategy, which will also include steps that we are actively taking to improve our integrated risk momentum as we progress through the year.

大家好，感謝您今天下午參加我們的 2024 年第一季財報電話會議。Rapid7 第一季的 ARR 為 8.07 億美元，較去年同期成長 11%。我們的直接完全合併產品呈現出持續成長的勢頭，並且繼續保持良好的成長勢頭。然而，我們的期末 ARR 結果低於預期，原因是我們的 BM 基礎轉變為綜合風險產品（雲端風險完成）的速度慢於預期。我將在今天的電話會議上花一些時間根據我們的長期投資策略討論這兩種動態，其中還將包括我們在今年內積極​​採取的措施，以改善我們的綜合風險勢頭。

As a reminder, we are making deliberate long-term investments to build the strongest stock ecosystem for mainstream enterprises and to deliver the leading data platform that contextualizes risk across a fragmented, complex environment. In 2024, these discrete areas of focus include building on our detection and response momentum by leveraging AI to drive improved stock efficacy and security operations, expanding beyond BM to accelerate cloud security adoption by improving our integrated risk management offering that contextualizes data across customers, hybrid attack services, and investing further in our substantial services and partner ecosystem to increase our capacity for service delivery, as well as provide a strong source of efficient demand generation.

提醒一下，我們正在進行深思熟慮的長期投資，為主流企業打造最強大的股票生態系統，並提供領先的數據平台，以在分散、複雜的環境中分析風險。當

We remain steadfast in our belief that these long-term investments will deliver the best value and economics for our customers. Over the past year, it remains clear that amid the current budgetary environment, customers are deeply focused on one, consolidating, reconciling, and integrating their vast security ecosystems, and two, achieving better outcomes from their security providers at a more compelling value. Detection response is one area that we're seeing benefit of these trends. Rapid7's consolidated detection and response value proposition is particularly compelling to these customers in today's landscape because of our unique managed service offering and ecosystem that allows teams to extend their technology capabilities with our deep security expertise.

我們堅信這些長期投資將為我們的客戶帶來最佳價值和經濟效益。在過去的一年裡，很明顯，在當前的預算環境下，客戶高度關注以下兩個方面：一是鞏固、協調和整合其龐大的安全生態系統；二是以更具吸引力的價值從其安全提供者那裡獲得更好的結果。檢測反應是我們從這些趨勢中看到益處的一個領域。Rapid7 的整合偵測和回應價值主張在當今環境下對這些客戶尤其具有吸引力，因為我們獨特的託管服務和生態系統使團隊能夠利用我們深厚的安全專業知識來擴展他們的技術能力。

We're actively bolstering this growing business with expanded detection coverage, monitoring of third-party alerts, and AI innovations for speed, accuracy, and scalability. Specifically, our managed detection response analysts are using AI throughout the alert lifecycle from machine learning-driven detections, intelligent triage, to AI-assisted investigation and remediation guidance. Our analysts are leveraging our internal SOC AI-assisted training on proprietary MDR insights to augment our workforce talent and reduce response time for customers.

我們正在積極地擴大檢測覆蓋範圍、監控第三方警報以及透過速度、準確性和可擴展性的人工智慧創新來支援這項不斷成長的業務。具體來說，我們的託管偵測反應分析師在整個警報生命週期中都使用人工智慧，從機器學習驅動的偵測、智慧分類到人工智慧輔助調查和補救指導。我們的分析師正在利用我們內部 SOC AI 輔助培訓、專有 MDR 洞察來增強我們的員工才能並減少客戶的回應時間。

As we continue to invest behind these customer needs, we saw solid performance in the first quarter with our direct complete offering, which gives customers integrated detection and response capabilities across their attack surface. Our overall DNR business maintained growth of over 20 percent year-over-year in the first quarter, as mainstream enterprise customers continue to prioritize monitoring and detection of threats across their distributed environments. Sticking now to our focus on extending our core customer base beyond traditional vulnerability management and accelerating cloud security adoption with an integrated risk management experience across the complete attack surface.

隨著我們繼續投資於這些客戶需求，我們在第一季看到了直接完整產品的穩健表現，該產品為客戶提供了跨攻擊面的整合偵測和回應功能。由於主流企業客戶繼續優先考慮在其分散式環境中監控和偵測威脅，我們的整體 DNR 業務在第一季保持了同比增長 20% 以上。我們現在堅持專注於將我們的核心客戶群擴展到傳統的漏洞管理之外，並透過覆蓋整個攻擊面的整合風險管理體驗來加速雲端安全的採用。

Last year, we launched an integrated risk management package, cloud risk complete, which includes access to both cloud set and VM capabilities. Although we saw increased attention and demand and accelerated cloud security growth, which validated a clear customer need, cloud risk complete in its current version lacked the depth of integrated experience that drove far stronger momentum in our direct complete offerings.

去年，我們推出了綜合風險管理套件——雲端風險完整版，其中包括存取雲端集和 VM 功能。儘管我們看到了日益增長的關注度和需求以及雲端安全成長的加速，這驗證了明確的客戶需求，但當前版本的雲端風險完成缺乏綜合體驗的深度，從而無法推動我們直接完整產品的更強勁發展勢頭。

We entered 2024 with a prioritized plan to innovate and deliver an improved cloud risk complete experience that integrates distributed hybrid data sources with better economics for rapidly evolving cloud security market. And we remain on track to deliver this improved integrated risk management solution this summer.

我們在進入 2024 年時制定了優先計劃，即創新並提供改進的雲端風險完整體驗，將分散式混合資料來源與更好的經濟性相結合，以適應快速發展的雲端安全市場。我們將按計劃於今年夏天推出這項改進的綜合風險管理解決方案。

As it relates to the first quarter, while we had a healthy start to the year with overall results that tracked well to our expectations in January and February, we saw this pace slow as we progressed in March. This is primarily due to a slower than expected transition in the quarter of selling our current integrated risk management package into our traditional VM base, both on new bookings and renewals. We believe we are in a transition period during which customers are not yet able to see the benefit of the compelling foundational work that we're doing to increase customer value by evolving our cloud risk complete package into an improved integrated experience.

與第一季相比，雖然我們今年開局良好，1 月和 2 月的整體業績符合我們的預期，但隨著 3 月的進展，我們發現這一速度有所放緩。這主要是因為，在本季度，我們將目前的綜合風險管理套件銷售到傳統 VM 基礎的轉變速度比預期的要慢，無論是在新預訂還是續約方面。我們相信，我們正處於一個過渡時期，在此期間，客戶尚未能夠看到我們為透過將我們的雲端風險完整包演變為改進的整合體驗來提高客戶價值而開展的引人注目的基礎工作帶來的好處。

Another core component of this updated offering is the acceleration of our cloud security capabilities. We are launching significant capabilities, including revamped cloud vulnerability assessment and the general availability of cloud VM across AWS, Azure, and GCP. This updated risk management offering will not only meaningfully improve attack surface visibility and capabilities, but the data integration at the platform level will greatly improve the economics and allow us to be a price leader in this space.

此次更新產品的另一個核心組成部分是加速我們的雲端安全功能。我們正在推出重要功能，包括改進的雲端漏洞評估以及跨 AWS、Azure 和 GCP 的雲端 VM 的普遍可用性。此更新的風險管理產品不僅將顯著提高攻擊面可見度和能力，而且平台層級的資料整合將大大提高經濟效益，並使我們成為該領域的價格領導者。

Looking forward, we expect this transition to temporarily weigh on our growth outlook through the remainder of the year as we expect to launch the updated cloud risk complete this summer and begin to regain momentum exiting 2024. Now that we've covered our strength and detection response and the ongoing evolution of our integrated risk management offering, I will touch briefly on how we are increasing both demand generation and service delivery through our partners in channel.

展望未來，我們預計這種轉變將暫時影響我們今年剩餘時間的成長前景，因為我們預計將在今年夏天推出更新後的雲端風險完成，並在 2024 年後開始恢復勢頭。現在我們已經介紹了我們的實力和檢測響應以及我們綜合風險管理產品的持續發展，我將簡要談談我們如何透過通路合作夥伴來增加需求產生和服務交付。

We discussed last quarter that we are strategically shifting to more efficient pipeline sources with stronger conversion. For example, our partner ecosystem added over 80% of new AR in the first quarter and our top partners drove a 20% increase in partner source leads over the prior year. We remain focused on the strategic nature of these relationships and scaling both the relative and absolute contributions they deliver to our business on a global basis.

我們上個季度討論過，我們正在策略性地轉向更有效率、轉換率更高的管道源。例如，我們的合作夥伴生態系統在第一季增加了超過 80% 的新 AR，我們的頂級合作夥伴推動了合作夥伴來源線索比上年增長了 20%。我們將繼續關注這些關係的戰略性質，並在全球範圍內擴大它們為我們的業務帶來的相對和絕對貢獻。

As we work to drive efficiency across our organization, this channel is an extremely compelling lever for growth and scale. While we are seeing promising strength in the channel as a primary demand generation driver, we're not yet making up for the pipeline sources that were de-emphasized as we enter the year. Our focus on long-term growth investments and demand generation efficiency led to what we believe is a temporary slowdown in new pipeline generation as we have transitioned away from lower quality, less efficient sources.

當我們努力提高整個組織的效率時，這個管道是實現成長和擴大規模的極具吸引力的槓桿。儘管我們看到通路作為主要需求產生驅動力具有良好的發展前景，但我們尚未彌補今年以來被淡化的通路來源。我們專注於長期成長投資和需求產生效率，我們認為，由於我們已經擺脫了品質較低、效率較低的來源，新管道產生的速度將暫時放緩。

In addition to the promising channel strength here, we're actively accelerating and seeing early traction with actions around partnerships and marketing campaigns and improved sales enablement. Our updated ARR guidance range assumes that pipeline growth improves modestly in the second half of the year, but not at the rate initially assumed in our February guidance range.

除了這裡前景看好的通路實力之外，我們還在積極加速並看到圍繞合作夥伴關係和行銷活動以及改進銷售支援的行動的早期進展。我們更新後的 ARR 指導範圍假設下半年管道成長將略有改善，但不會達到我們 2 月指導範圍內最初假設的速度。

Despite these transitional dynamics, we maintain confidence that we are pursuing the right long-term strategy. We firmly believe that providing visibility across a customer's risk environment by integrating traditional vulnerability management with a broad set of cloud security solutions and pairing that with world-class DNR SOC efficacy all in one place allows customers a more effective solution and better overall security outcomes at the price value customers are seeking.

儘管有這些過渡動態，我們仍然堅信我們正在推行正確的長期策略。我們堅信，透過將傳統漏洞管理與廣泛的雲端安全解決方案相結合，並將其與世界一流的 DNR SOC 功效相結合，提供跨客戶風險環境的可見性，可為客戶提供更有效的解決方案，並以客戶所尋求的價格獲得更好的整體安全結果。

As we build better, more connected customer experiences across our security operations platform, I am happy to welcome Craig Adams to Rapid7 as our chief product officer. He will oversee our product management, operation, and overall user experience and design. Craig has an extensive cybersecurity background in high-growth companies, including spending 20 years at Akamai. We're thrilled to have Craig on board and believe he will provide expertise and structure for our teams to deliver innovative solutions and compelling value propositions to our customers.

隨著我們在整個安全營運平台上建立更好、更互聯的客戶體驗，我很高興歡迎 Craig Adams 加入 Rapid7 擔任我們的首席產品長。他將負責監督我們的產品管理、營運以及整體用戶體驗和設計。Craig 在高成長公司擁有豐富的網路安全背景，其中包括在 Akamai 工作 20 年。我們很高興 Craig 加入我們，並相信他將為我們的團隊提供專業知識和結構，為我們的客戶提供創新的解決方案和引人注目的價值主張。

While we are working through these transitional challenges this year, we are making progress on our overarching strategic plan and are confident that we are pursuing the right strategy for the long-term and value creation. Rapid7 has a compelling opportunity to be a leading platform consolidator in security operations as we build better, more connected customer experiences across our platform. We believe that the foundational work we're doing, while somewhat disruptive in the moment, will position us to drive market-share gains and higher doable growth over the medium to long term.

我們在今年努力克服這些過渡挑戰的同時，也正在整體策略規劃上取得進展，並相信我們正在推行正確的長期價值創造策略。隨著我們在整個平台上建立更好、更互聯的客戶體驗，Rapid7 有機會成為安全營運領域領先的平台整合者。我們相信，我們正在進行的基礎工作，雖然目前會造成一些顛覆性影響，但將使我們在中長期推動市場份額的成長和更高的可行成長。

Overall, we're focused on responding quickly to address the changes that need to be made in our business, to shift more swiftly towards consolidated risk management offerings, and to accelerate more efficient sources of pipeline growth. We believe that our integrated risk solutions will address customers' needs and accelerate consolidation on our platform for mainstream enterprises. We believe the changes and strategic investments that we are making in our business today will support better top and bottom line growth and a strong value proposition for customers that need to solve increasingly complex security challenges.

整體而言，我們專注於快速回應業務所需做出的變化，更快轉向綜合風險管理產品，並加速更有效的通路成長來源。我們相信，我們的綜合風險解決方案將滿足客戶的需求，並加速我們平檯面向主流企業的整合。我們相信，我們今天在業務中所做的變革和策略投資將支持更好的營收和利潤成長，並為需要解決日益複雜的安全挑戰的客戶提供強大的價值主張。

At the same time, I'm proud of our team's commitment to drive business efficiency and scaling our free cash flow. As we continue to realign our business to be more efficient overall, we will benefit from the operational flexibility within our cost structure and financial model and remain squarely focused on and are on track to scaling free cash flow and to reiterating our $160 million free cash flow target for the full year 2024. With that, thank you for joining us on the call today.

同時，我為我們團隊致力於提高業務效率和擴大自由現金流而感到自豪。隨著我們繼續調整業務以提高整體效率，我們將受益於成本結構和財務模型中的營運靈活性，並繼續專注於擴大自由現金流並重申我們 2024 年全年 1.6 億美元的自由現金流目標。感謝您今天的參加電話會議。

I'll now turn the call over to our CFO, Tim Adams, to share additional detail on our financial results and outlook. Tim?

現在，我將把電話轉給我們的財務長 Tim Adams，以分享有關我們的財務業績和前景的更多細節。提姆？

Thank you, Cory, and good afternoon to everyone on today's call. Thank you for joining us. Before I turn to our results, a quick reminder that except for revenue, all financial results we will discuss today are non-GAAP financial measures, unless otherwise stated. Additionally, reconciliations between our GAAP and non-GAAP results can be found in our earnings press release. Rapid7 ended the first quarter of 2024 with $807 million in ARR, representing growth of 11% year-over-year. Revenue was at the high end of our guidance range, and we delivered strong operating income that exceeded expectations, despite our ending ARR being below expectations for the quarter. We saw healthy traction in our detection and response business, particularly for our threat-complete consolidation offers. However, our total ARR was impacted by a lower-than-anticipated contribution during the first quarter from the transition to integrated risk management offers. We saw ARR growth in the first quarter coming from both new and existing customers, with ARR per customer that grew 7% over the prior year to $70,000, and a global customer base that grew 4% year-over-year to end the quarter with over 11,000 customers. As it relates to our sequential change in customers, moderate positive sequential growth in our platform customer base was more than offset by a sequential decline in our non-platform customer base, as we saw slower-than-anticipated traction in our integrated risk offering, Cloud Risk Complete. First quarter revenue of $205 million grew 12% over the prior year and was at the high end of our guidance range. Our recurring product subscription revenue grew 13% over the prior year to $197 million. International revenue grew 22% year-over-year and represented 23% of total revenue, while North America revenue grew 9% and represented 77% of total revenue.

謝謝你，科里，祝今天電話會議的各位下午好。感謝您加入我們。在介紹我們的業績之前，我想先提醒一下，除了收入之外，我們今天討論的所有財務結果都是非 GAAP 財務指標，除非另有說明。此外，我們的 GAAP 和非 GAAP 結果之間的對帳可以在我們的收益新聞稿中找到。Rapid7 截至 2024 年第一季的 ARR 為 8.07 億美元，年增 11%。營收處於我們預期範圍的高端，儘管本季的期末 ARR 低於預期，但我們實現了超出預期的強勁營業收入。我們的偵測和回應業務表現出色，特別是威脅完全整合服務。然而，由於第一季向綜合風險管理服務的過渡，我們的總 ARR 貢獻低於預期，從而產生了影響。我們看到第一季的 ARR 成長來自新客戶和現有客戶，每位客戶的 ARR 比上年增長 7%，達到 70,000 美元，全球客戶群年增 4%，至本季末擁有超過 11,000 名客戶。就我們客戶的連續變化而言，我們平台客戶群的適度正向連續成長被非平台客戶群的連續下降所抵消，因為我們看到綜合風險產品 Cloud Risk Complete 的成長速度低於預期。第一季營收為 2.05 億美元，較上年同期成長 12%，處於我們預期範圍的高點。我們的經常性產品訂閱收入比前一年成長了 13%，達到 1.97 億美元。國際營收年增 22%，佔總營收的 23%，而北美營收成長 9%，佔總營收的 77%。

Turning to our operating and profitability measures for the quarter, product subscriptions gross margin was 76% in the first quarter, and overall gross margin was 74%, both in line with the prior year. Sales and marketing expenses represented 32% of revenue, down from 39% in the first quarter of last year. R&D and G&A expenses were 16% and 6% of revenue, respectively, compared to 20% and 8% in the prior year. We delivered first quarter operating income of $40 million above the high end of our guidance range and representing an operating margin of 20%. Our adjusted EBITDA was $47 million in the quarter. Gap net income per share was $0.03, and non-gap diluted net income per share was $0.55. Moving to our balance sheet and cash flow, we ended the first quarter with cash, cash equivalents, and investments of $464 million compared to $439 million at the end of 2023. Cash from operations during the first quarter reflects a benefit from stronger than expected cash collections, helping drive $28 million of free cash flow in the quarter. This brings us to our outlook for the rest of the year. As Corey shared in his remarks, we are revising our guidance ranges to incorporate our slower than expected start to 2024. Specifically, we are de-risking our expectations for contributions from integrated risk offerings throughout the middle of the year and now anticipate only a modest contribution in Q4 from our upcoming summer launch of our improved Cloud Risk Complete offering. As a result, for the full year 2024, we now expect ending ARR of $850 million to $860 million, which represents growth of 6% to 7% over the prior year. While we are disappointed in this range of growth, we remain confident that we have the right long-term strategy to deliver the best value, outcomes, and economics for our customers and to ultimately re-accelerate this growth rate. While we do not customarily provide quarterly commentary on ARR, given the slow start to the year and as we work through the executional dynamics that Corey detailed, we feel it would be prudent to share some forward direction today. For the second quarter, we anticipate a high single-digit sequential increase in millions of net new ARR dollars with further sequential improvements in net new ARR in the back half of the year as we improve our execution. We are revising our revenue guidance range to reflect our new ARR growth outlook and now expect total revenue for 2024 in the range of $830 million to $836 million, representing growth of 7% to 8%.

回顧本季的營運和獲利指標，第一季產品訂閱毛利率為 76%，整體毛利率為 74%，均與去年同期持平。銷售和行銷費用佔收入的 32%，低於去年第一季的 39%。研發和一般行政費用分別佔營收的 16% 和 6%，而前一年分別為 20% 和 8%。我們第一季的營業收入達到 4,000 萬美元，高於我們預期範圍的上限，營業利潤率為 20%。本季我們的調整後 EBITDA 為 4700 萬美元。每股缺口淨收益為 0.03 美元，每股非缺口稀釋淨收益為 0.55 美元。至於我們的資產負債表和現金流，第一季末我們的現金、現金等價物和投資為 4.64 億美元，而 2023 年底為 4.39 億美元。第一季的經營活動現金流反映出現金回籠力度強於預期，有助於推動本季 2,800 萬美元的自由現金流。這讓我們對今年剩餘時間有了展望。正如科里 (Corey) 在演講中所說，我們正在修改我們的指導範圍，以將我們 2024 年比預期更慢的開局納入其中。具體來說，我們正在降低對今年年中綜合風險產品貢獻的預期，現在預計我們即將在夏季推出的改進型 Cloud Risk Complete 產品只會在第四季度帶來適度貢獻。因此，我們目前預計 2024 年全年的期末 ARR 為 8.5 億美元至 8.6 億美元，比上一年增長 6% 至 7%。雖然我們對這種成長範圍感到失望，但我們仍然相信，我們擁有正確的長期策略，能夠為我們的客戶提供最佳的價值、成果和經濟效益，並最終重新加速這一成長率。雖然我們通常不會對 ARR 提供季度評論，但考慮到今年開局緩慢，並且我們正在研究 Corey 詳述的執行動態，我們認為今天分享一些未來方向是明智之舉。對於第二季度，我們預計淨新 ARR 將連續以個位數高幅度增長數百萬美元，並且隨著我們執行力的提高，下半年淨新 ARR 將進一步連續改善。我們正在修改我們的收入指導範圍，以反映我們新的 ARR 成長前景，現在預計 2024 年的總收入在 8.3 億美元至 8.36 億美元之間，成長率為 7% 至 8%。

Turning to full-year profitability, I am pleased to share that we are maintaining our full-year profitability targets for both operating income and free cash flow. Despite a lower top line outlook for the year, we believe we have sufficient flexibility and expense levers to maintain our original profitability targets. As such, we continue to expect 2024 operating income of $150 million to $158 million and net income per share in the range of $2.10 to $2.21 based on an estimated 75 million diluted weighted average shares outstanding. We remain committed to scaling free cash flow in our business, so we are also maintaining our expectation to generate at least $160 million of free cash flow for full year 2024. Moving to quarterly guidance, for the second quarter of 2024, we expect total revenue in the range of $203 million to $205 million, representing growth of 7% to 8%. We expect non-GAAP operating income for the second quarter in the range of $35 to $37 million and non-GAAP net income per share of $0.50 to $0.53, which is based on 74.6 million diluted weighted average shares outstanding.

談到全年獲利能力，我很高興地告訴大家，我們維持全年營業收入和自由現金流的獲利目標。儘管今年的營收前景較低，但我們相信，我們擁有足夠的靈活性和費用槓桿來維持我們原有的獲利目標。因此，我們繼續預期 2024 年營業收入為 1.5 億美元至 1.58 億美元，每股淨利潤在 2.10 美元至 2.21 美元之間，基於預計的 7,500 萬股稀釋加權平均流通股。我們仍致力於擴大業務中的自由現金流，因此我們也維持 2024 年全年產生至少 1.6 億美元自由現金流的預期。對於季度指引，我們預計 2024 年第二季總營收將在 2.03 億美元至 2.05 億美元之間，成長 7% 至 8%。我們預計第二季非 GAAP 營業收入將在 3,500 萬至 3,700 萬美元之間，非 GAAP 每股淨收入將在 0.50 美元至 0.53 美元之間，這是基於 7,460 萬股稀釋加權平均流通股。

Thank you for taking the time to join us on the call today, and with that, we will open the call for questions. Operator?

感謝您今天抽出時間參加我們的電話會議，現在我們將開始提問。操作員？

(Operator Instructions) Fatima Bulani, Citi.

(操作員指示) Fatima Bulani，花旗。

Corey, I wanted to just dig in a little bit more deeply on some of the comments you made in the prepared remarks as it relates to some of the package slowdown momentum being derailed by the fact that customers aren't, quote-unquote, necessarily seeing the value. So, I wanted to really unpack those comments a little bit further and, frankly, just pair them against or compare them against some of the dynamics you are already seeing as it relates to elongated sales cycles. So, why, with the packages having been in the hands of the sales force for the better part of the year, are some of these slowdowns manifesting sort of even more pronouncedly and, you know, against some of the more nuanced feedback on why customers aren't seeing the value here? And a follow-up, please.

科里，我想更深入地探討一下你在準備好的評論中提出的一些評論，因為它與一些套餐放緩勢頭被破壞有關，因為客戶不一定看到其價值。因此，我真的想進一步解釋這些評論，坦白說，將它們與您已經看到的與延長銷售週期相關的一些動態進行配對或比較。那麼，為什麼這些套餐已經在銷售人員手中使用了一年中的大部分時間了，但這些放緩的情況卻表現得更加明顯，而且與客戶沒有看到其價值的一些更細微的反饋相反？請繼續關注。

Thanks, Fatima, and thanks for the opportunity to clarify that. So, I just want to be very clear is on the Threat Complete, we're actually seeing consistent momentum and the performance is in line or better than expectations. So, we're very comfortable there. I would say the big thing that we actually did was we took the learnings. Last year, we saw acceleration and a healthy pickup in the CRC dynamic, but we were pretty clear that it wasn't as strong as the Threat Complete demand. And as we dug into it, we saw a couple of things. One, I think we talked about before, we needed to actually continue to make investments to accelerate the cloud, which we've actually done. And that's actually on track and it's part of it's already launched and more of it's launching now.

謝謝，法蒂瑪，謝謝你給我這個機會來澄清這一點。因此，我只想非常清楚地表明，在威脅完成方面，我們實際上看到了持續的勢頭，並且表現符合或好於預期。所以我們在那裡感覺很舒服。我想說，我們實際上做的大事就是吸取了教訓。去年，我們看到 CRC 動態的加速和健康回升，但我們很清楚它並不像 Threat Complete 的需求那麼強勁。當我們深入研究時，我們發現了一些事情。首先，我想我們之前談過，我們實際上需要繼續投資來加速雲端運算的發展，我們實際上已經這樣做了。事實上，這一切正在按計劃進行，其中一部分已經啟動，更多的正在啟動。

But the other part is actually driving more integrated experience. Now, I would just say that part of it that we didn't nail as well as we could have was the execution around that transition. We started talking to our teams about the fact that we were going to be moving to this more integrated offering, taking some of our learnings and really focusing on taking our cloud risk complete and our integrated risk offering to the next level. Part of that was also going to be how we actually reassessed packaging and pricing around that specific offering. And I would just say how we managed that transition caused a little bit of a slowdown, especially in new sales, as our sales teams were actually waiting for us to actually release and actually bring forward the updated solution over the course of the year. So, both our planning and our communication around that could have been better. But that's also why we're optimistic that we'll see some of the benefits of that as we actually progress throughout the back end of the year and move into next year. But I did want to clarify, it was primarily the momentum we saw last year, taking the learnings and actually making adjustments to the cloud risk complete strategy. That was where we saw the pressure. The threat complete strategy is still executing quite well and the momentum is strong.

但另一部分其實是推動更全面的體驗。現在，我只想說，我們沒有盡全力解決的部分是圍繞著這一轉變的執行。我們開始與我們的團隊討論我們將轉向這種更加整合的產品，吸收我們的一些經驗並真正專注於完成我們的雲端風險並將我們的整合風險產品提升到一個新的水平。其中一部分還包括我們如何重新評估該特定產品的包裝和定價。我只想說，我們管理這一轉變的方式導致了一點放緩，特別是在新銷售方面，因為我們的銷售團隊實際上在等待我們在一年內真正發布並實際提出更新的解決方案。因此，我們的規劃和溝通都本來可以做得更好。但這也是為什麼我們樂觀地認為，隨著我們在今年年底和明年的實際進展，我們將看到其中的一些好處。但我想澄清的是，這主要是我們去年看到的勢頭，吸取了教訓並對雲端風險完整策略做出了調整。這正是我們看到壓力的地方。威脅完成戰略仍然執行得相當好，而且勢頭強勁。

Great. Tim, just to put a quantitative flare or point on some of this discussion, I know you don't actively or consistently talk to dollar-based net expansion rates or net retention rates. But I'm curious, in light of some of these slower conversions and some trends around feet dragging as it relates to moving over to these new packages, is there anything you can speak to with regards to turn in the base or potentially cannibalization of the traditional VM spend in the base that is also a contributing factor to the 30% to 40% cut you're taking to revenues and ARR? Thank you.

偉大的。提姆，只是為了對這一討論進行量化的闡釋或指出，我知道你並沒有積極或持續地談論基於美元的淨擴張率或淨保留率。但我很好奇，鑑於這些轉換速度較慢以及在轉向這些新軟體包時拖延的一些趨勢，您能否談談基礎的轉變或潛在地蠶食傳統 VM 支出，這也是導致您的收入和 ARR 減少 30% 至 40% 的一個因素？謝謝。

Yeah. Hey, Fatima, good question. It's Tim. So, we did see the customer count go down modestly sequentially Q1 to Q4, but the platform customers were actually up sequentially quarter over quarter. So, it's really more of a function of some of the non-platform customers that were lost in the quarter where we saw a little bit of a headwind to churn into the customer count. But when it comes to a platform basis, the count was actually up in the quarter.

是的。嘿，法蒂瑪，你問得好。是蒂姆。因此，我們確實看到客戶數量從第一季到第四季連續小幅下降，但平台客戶數量實際上逐季增加。因此，這實際上更多的是一些非平台客戶在本季流失的結果，我們發現客戶數量的成長遇到了一些阻力。但從平台基礎來看，本季的數量實際上是有所上升的。

And then the only thing I'd add, Fatima, is just to get to the quarter question, I do think that we saw some pressure. We expect some this year over what we saw last year picking up was selling CRC into our install base. And we do expect that to be a modest headwind over the next sort of like few months. But we expect that to improve as we actually exit the year. But yeah, on the net expansion rate, that was a pressure. And I think that we feel very good about the launch that we actually have coming up, but we did see a little pressure there.

然後我要補充的是，法蒂瑪，只是為了回答季度問題，我確實認為我們看到了一些壓力。我們預計今年的 CRC 銷量將比去年有所增加，並將進入我們的安裝基礎。我們確實預計，在接下來的幾個月裡，這將是一個溫和的阻力。但我們預計，隨著今年的到來，這種情況將會改善。但是，就淨擴張率而言，這是一個壓力。我認為我們對即將推出的產品感到非常滿意，但我們確實看到了一些壓力。

Saket Kalia, Berkley's.

伯克利的 Saket Kalia。

Corey, maybe for you on cloud risk complete and maybe the demand there not being quite as strong as we expected, can you just remind me, what are the biggest differences between threat complete and cloud risk complete? As we just think about sort of the, maybe the product areas where customers were maybe thinking a little bit more, you know, in terms of scrutiny?

Corey，也許對您來說，關於雲端風險完成，也許那裡的需求並不像我們預期的那麼強烈，您能否提醒我，威脅完成和雲端風險完成之間最大的區別是什麼？正如我們所想的，也許客戶會對產品領域進行更多的思考，從審查的角度來看？

Yeah, you know, Saket, it's a good question. I don't think it's actually a demand issue. I think it's more of a execution and how we actually timed getting, you know, we're going to be introduced. So let's just talk about what it is first. So cloud risk complete is the integrated risk across the environment, whether it's on-prem, endpoint or cloud and providing visibility assessment of risk across the environment and the ability to look at attack paths across the overall environment and the threat exposure of the environment. So that's cloud risk complete.

是的，你知道，Saket，這是一個很好的問題。我認為這實際上不是一個需求問題。我認為這更多的是一種執行，以及我們如何實際安排時間，你知道，我們將要進行介紹。因此我們先來談談它是什麼。因此，雲端風險完整是整個環境中的綜合風險，無論是在本地、端點還是雲，並提供整個環境的風險可見性評估以及查看整個環境中的攻擊路徑和環境威脅暴露的能力。至此，雲端風險已全部解決。

Threat complete is primarily used as a detection response offering. You know, we've always said that that's a pretty high up in the priority stack and we continue to see momentum there overall. That said, you know, I do want to be clear. I don't think it's a demand issue.

威脅完成主要用作偵測回應服務。你知道，我們一直說，這是優先順序中相當高的一個，而且我們總體上繼續看到這一勢頭。話雖如此，你知道，我確實想說清楚。我不認為這是需求問題。

I think there's sort of like two dynamics. One, I think we froze ourselves out a little bit as we were doing the transition to updating our packaging on our cloud risk complete and our integrated risk offering. And so I think as we actually introduced that, I think we'll see momentum on that pickup as we actually exit the year. And so I think that that's more of going from one product to have an upcoming launch and how we actually execute that transition. So that's the first part of it.

我認為這有點像兩種動態。首先，我認為我們在過渡到更新我們的雲端風險完整包裝和綜合風險產品時，有點陷入了僵局。因此，我認為，當我們真正推出這一點時，我們將在年底看到這種回升的勢頭。因此我認為這更多的是從一種產品到即將推出的產品，以及我們如何實際執行這種轉變。這是第一部分。

The second part is I think people are pretty hungry for both integrated risk visibility, having ability to do that across their entire environment at a reasonable price point and reasonable cost. And I'll remind you that our integrated risk strategy is about how you get visibility and risk across the environment, but also doing that at a reasonable cost and more affordable rates because mainstream enterprises, you know, if you think about the Russell 3000, you think about most customers, they still are laggards on adopting cloud security because one, it's expensive. And two, the experience needs to be productive integrated.

第二部分是，我認為人們非常渴望綜合風險可見性，並且能夠以合理的價格和合理的成本在整個環境中做到這一點。我要提醒大家，我們的綜合風險策略是關於如何在整個環境中獲得可見性和風險，但同時要以合理的成本和更實惠的價格做到這一點，因為主流企業，你知道，如果你想想羅素 3000，你會想到大多數客戶，他們在採用雲端安全方面仍然落後，因為首先，它很昂貴。二是經驗要有成效地整合。

Got it. Got it. And maybe the follow up there, just to make sure I completely understand, and sorry if this was mentioned during the early part of the prepared remarks, but is, you know, as you kind of go through just maybe some revised, or maybe the question is, what is some of the revised pricing packaging that you're going through on cloud risk complete? You know, I believe that that as well as direct complete have been packages that have been around for a little bit of time now. It sounds like something changed and that created a little bit of communication or friction. Can you just dig into what that change was?

知道了。知道了。也許接下來的問題是為了確保我完全理解，如果在準備好的評論的早期部分提到了這一點，我很抱歉，但是，你知道，當你經歷一些修訂的時候，或者也許問題是，你在雲風險方面經歷的一些修訂後的定價方案是什麼？您知道，我相信這些以及直接完成的方案已經存在了一段時間。聽起來好像有些事情發生了變化，並且造成了一些溝通或摩擦。您能深入分析一下這個變化到底是什麼嗎？

Yeah, there's two things. One is we attempted to do integrated risk across the environment. Cloud is priced very differently than the traditional environment. You have one price on assets, one price on resources. The multiple of cloud and the price of cloud is astronomically high versus a traditional asset. And these, you know, typically they're in different silos. Our goal is to actually rationalize that and make sure it's affordable. And just look at how you actually simplify getting visibility across the environment. If you look at what we actually did with threat complete, you know, part of the success of that and part of the success of IDR overall was simplifying how you actually did detection response across your environment. Instead of charging for storage, we just said, listen, we'll look at all the assets across the environment and charge for asset. Similarly, on the risk complete side, we're actually rationalizing and simplifying the model, making sure the price is affordable and asking the question, just like we did on the direct complete side, is how is it affordable for every organization to be able to monitor risk across the environment? Now, while that is a change, I think it's one that will benefit our customers. I will say, Socket, is that we probably could have actually communicated sooner and more effectively about how we were actually executing that change so that we actually didn't freeze ourselves in the process. And thank you for the question.

是的，有兩件事。一是我們嘗試在整個環境中進行綜合風險。雲端的定價與傳統環境有很大差異。資產有一個價格，資源有一個價格。與傳統資產相比，雲端的倍數和價格高得驚人。你知道，這些通常位於不同的筒倉中。我們的目標是切實實現這一目標，並確保其價格合理。看看您實際上是如何簡化獲取整個環境的可見性的。如果您看一下我們在威脅完成方面實際做了什麼，您就會知道，它的成功以及 IDR 整體成功的部分原因在於簡化了您在整個環境中實際進行檢測響應的方式。我們不會對存儲收取費用，而是說，聽著，我們會查看整個環境中的所有資產並按資產收費。同樣，在風險完成方面，我們實際上正在合理化和簡化模型，確保價格合理，並提出問題，就像我們在直接完成方面所做的那樣，每個組織如何能夠以可承受的價格監控整個環境中的風險？雖然這是一個變化，但我認為這將使我們的客戶受益。我想說的是，Socket，我們可能實際上可以更早、更有效地溝通我們實際執行這項變革的方式，以便我們實際上不會在過程中陷入僵局。感謝您的提問。

Got it. Very helpful. Thanks.

知道了。非常有幫助。謝謝。

Matthew Hedberg, RBC Capital Markets.

加拿大皇家銀行資本市場 (RBC Capital Markets) 的 Matthew Hedberg。

Hey, guys, this is Mike Richards. I'm for Matt Hedberg. I was just wondering, with the sort of guide down in the top line, but keeping the profitability for the year, I was just wondering how your investment philosophy has changed from 90 days ago and sort of where investments might change moving forward for the rest of the year.

嘿，大家好，我是麥克理查茲。我支持馬特·赫德伯格。我只是想知道，在保持全年盈利能力的前提下，您的投資理念與 90 天前相比發生了怎樣的變化，以及在今年剩餘時間內投資可能發生哪些變化。

That's a very fair question. So, one, we had a fair amount of flexibility that was actually built into our overall model. Where we're leaning heavy is that we're focused heavily on making sure that we're building our product and our technology for the long term. We actually think that the strategy that we actually have about making security operations, detection and response, managing the attack surface, both affordable and effective, is where we actually want to actually put our focus. We are keeping our other investments frankly quite tight, but we're delivering superior products and superior service to our customers. And that's where we're putting most of our investments. And that strategy, we think, allows us to be set up well to actually not just sort of show improvement exiting the year, but also set up well for sustained long-term growth as we go forward. It is a strategy that is actually focused on the long term while we take some short-term pain, but we think it's the right one that actually does both the best for shareholders, but also for customers over the sustained period. Thanks for the question.

這是一個非常公平的問題。因此，首先，我們擁有相當大的靈活性，這實際上已經融入我們的整體模型中。我們重點關注的是確保我們能夠長期開發我們的產品和技術。我們實際上認為，我們真正想要關注的重點是製定既經濟又有效的安全操作、偵測和回應、管理攻擊面的策略。坦白說，我們對其他投資保持嚴格，但我們正在向客戶提供優質的產品和優質的服務。這就是我們大部分的投資所在。我們認為，這項策略不僅能讓我們在今年底展現進步，也能為我們未來的長期持續成長打下良好基礎。這是一個著眼於長期的策略，雖然我們會承受一些短期痛苦，但我們認為這個策略是正確的，它不僅能為股東帶來最大利益，而且從長遠來看也能為客戶帶來最大利益。謝謝你的提問。

Gray Powell, BTIG.

格雷·鮑威爾（Gray Powell），BTIG。

So, yeah, I want to make sure that I have the slope for net new ARR correct for the rest of the year. I think you said that for Q2 you expect a high single-digit improvement. First of all, is that correct? And then does that mean you get up to adding $20 million plus per quarter in the second half of the year? And can you just sort of talk about the confidence in that ramp and what underpins it? Thank you.

所以，是的，我想確保今年剩餘時間內淨新 ARR 的斜率是正確的。我記得您說過，您預計第二季的業績將有一個高個位數的成長。首先，這是正確的嗎？那麼這是否意味著您在下半年每季的營收可以增加 2,000 萬美元以上？您能否簡單談談對這個坡道的信心以及它的基礎是什麼？謝謝。

Yeah, maybe Tim and I will tag team, and I'll just provide some broad content. So, you know, what the team did is we just kept what the trends that we actually saw in the early part of the year consistent. So, we expect continued growth overall in the detection response space, which is still going well over 20%, and so we feel very comfortable about that. But we did actually sort of moderate our expectations on the impact of the results that we see this year with the transition as we're actually executing. We're launching in summer. We're rolling it out, and so we want to be very modest in the expectations there. You know, the thing, at least from my perspective, I remind you of, I think, Tim will talk to when he gave the expectations for Q2. I think Q3 tends to be very modest, and they just didn't see a bigger Q4. It's just in the sick reality of our business, but, Tim, you have additional detail.

是的，也許提姆和我會組隊，我只會提供一些廣泛的內容。所以，你知道，團隊所做的就是保持我們在今年年初實際看到的趨勢的一致性。因此，我們預期檢測響應領域整體將持續成長，增幅仍將超過 20%，因此我們對此感到非常放心。但我們確實在一定程度上降低了對今年實際執行的轉型結果影響的預期。我們將於夏季推出。我們正在推出這個產品，因此我們希望對此抱持非常適中的期望。你知道，至少從我的角度來看，我提醒你，我認為，蒂姆在給出第二季的預期時會談到這一點。我認為第三季的表現會非常溫和，只是他們沒有看到第四季有更大的表現。這只是我們業務中存在的一個不尋常的現實，但是，蒂姆，你有更多的細節。

Yeah, no, Corey, that's right. Great. Thanks for the question. We did say on the prepared remarks high single digits in millions of ARR dollars in Q2. So, if I just try to simplify that and go to the midpoint of what that would be, it's in the neighborhood of 7.5 million. To Corey's point, we do expect to see a sequential increase in Q3 and then another step up in that new sequential increase in Q4, and that'll get you to the midpoint of the updated guide. But, to Corey's point, we really tried to focus on what is working well. The DNR business growing north of 20% is still a very healthy business for us, and that's what we tried to anchor on in the updated plan.

是的，不，科里，沒錯。偉大的。謝謝你的提問。我們確實在準備好的評論中說過，第二季的 ARR 金額將達到數百萬美元的高個位數。因此，如果我嘗試簡化它並得出中間值，它大約是 750 萬。正如 Corey 所說，我們確實預計第三季會出現連續成長，然後在第四季再次出現新的連續成長，這將使您達到更新指南的中點。但正如 Corey 所說，我們確實努力集中精力於那些運作良好的事情。DNR 業務成長 20% 以上對我們來說仍然是一項非常健康的業務，這也是我們在更新計劃中試圖堅持的。

Guys, okay, and then just a quick follow-up. What percentage of cloud complete, I'm sorry, what percentage of the complete bundles has been threat complete versus cloud complete? I thought the cloud side was just a much smaller contributor to incremental growth in the past.

夥計們，好的，然後只是一個快速的後續問題。雲端完成的百分比是多少，對不起，完整捆綁包中威脅完成的百分比與雲端完成的百分比是多少？我以為雲端在過去對增量成長的貢獻很小。

Yeah, so, one, while it was smaller, that's mostly because threat complete was fairly large. And so, we actually did see pretty substantial positive growth last year. So, it was, threat complete was dominant, but cloud complete was healthy, and it actually saw pretty substantial growth last year. That said, it was, we actually thought that we needed to do some things to actually make it even more attractive to, frankly, customers that were on the sidelines in that mainstream enterprise. And so, that's the actions that we actually undertook this year.

是的，首先，雖然它較小，但這主要是因為威脅完成度相當大。因此，去年我們確實看到了相當可觀的正成長。因此，威脅完成占主導地位，但雲端完成情況良好，去年實際上實現了相當大的成長。話雖如此，我們實際上認為我們需要做一些事情來讓它對主流企業中處於邊緣地位的客戶更具吸引力。這就是我們今年實際採取的行動。

Okay, got it. Thank you very much.

好的，明白了。非常感謝。

Hamza Fardawalla, Morgan Stanley.

摩根士丹利的 Hamza Fardawalla。

Hi, you got Oscar Saavedra on for Hamza. Thank you for taking my question. I want to dig into the, what's embedded sort of in guidance. So, last quarter, you indicated that for guidance, it doesn't assume an improving macro environment and no, like, material contributions from, like, those investments you've been making on the partner ecosystem. But given the performance, but given the performance, you know, in Q1 and the lowering of the guy, like, to what extent are you seeing maybe, like, to what extent is, like, a worsening spending environment affecting your ability to land new customers versus the shift in sales motions that you mentioned? And then your follow-up later.

你好，Oscar Saavedra 代替 Hamza。感謝您回答我的問題。我想深入研究指導中嵌入的內容。因此，上個季度，您表示，作為指導，它並不假設宏觀環境正在改善，也不假設您對合作夥伴生態系統的投資會帶來實質貢獻。但考慮到業績，考慮到第一季的業績以及銷售額的降低，您在多大程度上看到了惡化的支出環境對您吸引新客戶的能力產生了影響，而不是您提到的銷售動向的轉變？然後稍後再跟進。

You know, it's a fair question. I don't presume that there's any material change in the environment versus last year. That said, it's not any better either. Like, you still see long sales cycles. You still see high-deal inspection. And so, that's not a change versus last year. We're still seeing continued momentum on the detection response side of the house, which is an indicator. And so, we're attributed this mostly to actually how we as quickly as possible, but as soundly, sort of ensure that we get the updated pricing, packaging, and customer experience to market and not a fundamental shift in the overall environment. There's been noise in the cloud environment for a while, but we factored that in. That was part of our assumptions coming into the year about how we were going to do pricing and packaging. So, that expectation I don't think is off at all. I do think that we probably misestimated that once we decide to pursue this is the slowdown that would occur leading into that change.

你知道，這是一個公平的問題。我認為與去年相比，環境不會有任何重大變化。話雖如此，但情況也沒有任何改善。例如，你仍然會看到較長的銷售週期。您仍然會看到高交易檢查。因此，與去年相比，這並沒有什麼變化。我們仍然看到房屋的檢測響應方面持續保持強勁勢頭，這是一個指標。因此，我們認為這主要歸功於我們如何盡快但又盡可能合理地確保將更新後的定價、包裝和客戶體驗推向市場，而不是整體環境的根本性轉變。一段時間以來，雲環境中一直存在噪音，但我們已經將其考慮在內了。這是我們今年關於如何定價和包裝的部分假設。所以，我認為這種期望完全正確。我確實認為，我們可能錯誤地估計了一旦我們決定追求這一點，就會出現導致這種變化的經濟放緩。

Got it. And maybe as a follow-up, as we think about the ARR guidance, over the past four quarters, sort of the split between land and expand, like the split in growth, expand has relatively been stable at 7%, and land has been decreasing. The guidance is 6% to 7% year-over-year growth. So, is that assuming that land sort of drops zero or maybe expand drops a little bit and land still contributes? What's sort of the question?

知道了。或許作為後續，當我們思考 ARR 指導時，在過去四個季度中，土地和擴張之間的分割，例如增長的分割，擴張相對穩定在 7%，而土地一直在減少。預期年增 6% 至 7%。那麼，是否假設土地份額下降為零或下降幅度擴大一點而土地份額仍然有貢獻？這是什麼問題？

Yeah, that's a good question. So, the easiest way to look at it is to think about the impact from a product line perspective. We think detection response will continue. That has, I would just say a reasonable mix of land and expand associated with it. I would just say the cloud probably has a bit more of expansion bias, which puts a little bit more pressure on the expansion, and that goes to Fatima's question early on. And so, that puts a little bit more pressure in the near term. We actually think from a pipeline perspective that that'll be quite fine and healthy from a pipeline perspective. We are being, I would just say, cautious about sort of the expectations about deal time. And so, if you think about sort of like deals, sort of like cycles elongated, if we're actually launching that in summer, we have some modest expectations of impact this year, but we didn't want to be out of our skis in terms of the impact in year of something that we're actually introducing in summer, and then we're training and equipping our sales team around.

是的，這是個好問題。因此，最簡單的看待這個問題的方法是從產品線的角度來思考影響。我們認為檢測響應將會持續。我只想說，這是土地的合理組合，並與之相關的擴張。我只想說，雲可能有更多的擴張偏差，這會給擴張帶來更大的壓力，這與法蒂瑪早些時候提出的問題相吻合。因此，這在短期內會帶來更大的壓力。我們實際上從管道角度認為這將是相當好和健康的。我只想說，我們對交易時間的預期持謹慎態度。因此，如果你考慮類似的交易，類似週期延長的情況，如果我們實際上是在夏天推出該產品，我們對今年的影響有一些適度的期望，但我們不想在夏季推出的產品對今年的影響方面超出我們的預期，然後我們正在培訓和裝備我們的銷售團隊。

Got it. Thank you very much.

知道了。非常感謝。

Mark Cash, Raymond James.

馬克卡許、雷蒙詹姆斯。

This is Mark going for Adam. So, Corey, if I can start with you, these accounts that are taking longer to move to the platform, I mean, how would you characterize the delays? Is this a budgetary concern on their end, or are they willing to see the product features you're talking about coming out in the summer, or is there a competitive and pricing dynamic going on? And then if I follow up, please.

這是馬克去找亞當。那麼，科里，如果我可以從您開始的話，這些帳戶需要更長時間才能轉移到平台上，我的意思是，您如何描述這種延遲？這是他們預算的顧慮嗎？然後如果我跟進的話，請。

Well, it's good. So, one, keep in mind, we're selling into a fragmented market. So, I think our biggest obstacle overall, keep in mind, is the do-nothing obstacle. When we talk about the mainstream enterprise is you're talking about like that Russell 3000 mix, you're talking about that midsize enterprise, of which cloud security is still pretty pricey around sort of that overall thing. And so, one, I would just say that the need from the security teams is still quite high, but in order to get funding, they got to make sure that they can actually meet all of their needs. That's why we think providing an affordable enterprise-wide solution is going to be attractive to our audience, because I think they're priced out of the market somewhat today. So, we view ourselves as unlocking the market overall there. I think the second part of your question that you actually got to is sort of like, is the driver? So, I think that's one part about like, is the value proposition and the simplicity and the ability to not just do a part, but the overall environment, is that clear? And our goal of our packaging is actually making that clear, simple, and compelling.

嗯，很好。因此，首先請記住，我們的產品銷售市場是分散的。因此，我認為，請記住，我們總體上最大的障礙是不採取任何行動。當我們談論主流企業時，您談論的是 Russell 3000 組合，您談論的是中型企業，其中雲端安全總體上仍然相當昂貴。因此，首先，我想說安全團隊的需求仍然很高，但為了獲得資金，他們必須確保能夠真正滿足他們的所有需求。這就是為什麼我們認為提供一個可負擔的企業範圍解決方案將對我們的受眾具有吸引力，因為我認為今天的企業解決方案價格有點超出了市場承受範圍。因此，我們認為自己正在全面解鎖那裡的市場。我認為你問題的第二部分實際上是這樣的，司機是嗎？所以，我認為這是關於價值主張、簡單性和能力的一部分，不僅僅是做一部分，而是整個環境，清楚嗎？我們的包裝目標其實就是讓它清晰、簡單、引人注目。

The second part of the question is sort of like, what drives the slowdown? And just as much, I think that's driven by the fact of how we actually focus and incentivize and align our sales team. I think that they are ramping in the back half of the year on the new solution. We had an initiative early last year, mid last year, where we were focused on the CRC. I would say that we probably focused a little bit more heavier on the detection response leading into this year, knowing that we were actually going to be updating the integrated risk strategy and CRC. And we probably should have planned a little bit better about the timing of that transition.

問題的第二部分是，是什麼導致了經濟放緩？同樣，我認為這是由我們如何真正關注、激勵和協調我們的銷售團隊所驅動的。我認為他們會在今年下半年加大對新解決方案的投資。我們在去年年初和去年年中發起了一項倡議，專注於 CRC。我想說，我們可能會更加關註今年的檢測響應，因為我們知道我們實際上將更新綜合風險策略和 CRC。我們或許應該對這項轉變的時間做出更好的規劃。

Okay, thank you so much. And Tim, if I could ask you, so, coming into the fiscal year, you expected not as free cash flow contribution in 1Q, and then to have a notable ramp in 2Q. So, I'm just kind of wondering what kind of free cash flow cadence is now expected, now that the kind of nitpicky here, but the guidance for free cash flow adjusted to be about $160 million from previous saying, at least $150 million.

好的，非常感謝。提姆，如果我可以問你的話，那麼，進入財政年度，你預計第一季的自由現金流貢獻不會像第二季那樣顯著增加。所以，我只是想知道現在預期的自由現金流節奏是什麼樣的，現在這裡有些吹毛求疵，但自由現金流的指導從之前的說法調整為約 1.6 億美元，至少為 1.5 億美元。

Yeah, so, Mark, it's a good question. We were very pleased with the strength of free cash flow in Q1. And that was really fueled by, you know, what I said earlier on the call, the strong collections in the quarter. We feel very confident in at least $160 million of free cash flow for the full year. Similar to what we saw last year, we expect Q4 also to be a very strong quarter for free cash flow, again, driven by the collections. So, what you'll see in Q2 and Q3 is just a modest step up sequentially over the previous quarter, starting with $28 million in Q1. But again, strong collections in Q1 and Q4, really driving those two quarters.

是的，馬克，這是個好問題。我們對第一季自由現金流的強勁表現感到非常滿意。這其實是受到我之前在電話會議上所說的，本季強勁的收款業績的推動。我們對全年至少 1.6 億美元的自由現金流非常有信心。與去年的情況類似，我們預計第四季的自由現金流也將非常強勁，這同樣是由收款推動的。因此，您會看到第二季和第三季的銷售額僅比上一季略有成長，第一季的銷售額為 2800 萬美元。但第一季和第四季的強勁表現真正推動了這兩個季度的發展。

All right. Thank you so much.

好的。太感謝了。

Shrenik Kothari, Baird.

什雷尼克·科塔里，貝爾德。

Hey, this is Zack Schneider on for Srenik. Thanks for taking the question. It appears the transition away from standalone VM and your overall strategic pivot has brought you into closer competition with some larger players like Microsoft and Palo Alto. Could you just elaborate a little more on how RapidStack is up against them and sort of the success and strategy going forward for your market penetration efforts?

嘿，我是 Zack Schneider，代替 Srenik 演出。感謝您回答這個問題。看起來，從獨立虛擬機的轉變和整體策略轉變使您與微軟和 Palo Alto 等一些大型公司的競爭更加激烈。您能否詳細說明 RapidStack 與他們競爭的情況，以及您在市場滲透方面取得的成功和未來策略？

Yeah, I think you were talking about specifically on the integrated risk side of the equation. So, yeah, I do think we have more exposure, probably more to the Palo Alto from just looking at the cloud security perspective overall. If you look last year, we saw healthy growth in the business, as I actually talked about earlier. We did not think, again, what we were looking at is lots of our customer base does not have, it's not a competitive dynamic, is that they don't have any material cloud security adoption, which is the primary thing that we're looking at about how we drive adoption. We know they're adopting cloud. We know that they need it. We know that they're actually not using the native cloud technologies from a security perspective because of the complexity around that. And so our primary focus overall is how do we actually sort of deliver a mainstream enterprise solution. Again, this is very similar to what we did in the detection response space and take something that was SIM that was just at the high end of the market and make it mainstream accessible, but with the level of sophistication, with the ease of use that everyone could use. And so that's our number one sort of like focus areas, like how do we actually unlock that market?

是的，我認為您正在具體討論等式的綜合風險方面。所以，是的，我確實認為我們有更多的曝光率，從整體上看，從雲端安全角度來看，可能對 Palo Alto 有更多的曝光率。如果你回顧去年，你會發現我們的業務實現了健康成長，正如我之前談到的。我們沒有想到，我們關注的是許多客戶群所沒有的，這不是一個競爭動態，他們沒有任何實質的雲端安全採用，而這正是我們正在關注如何推動採用的主要內容。我們知道他們正在採用雲端。我們知道他們需要它。我們知道，從安全角度來看，他們其實並沒有使用原生雲端技術，因為這方面的複雜性。因此，我們總體上的主要關注點是如何真正提供主流企業解決方案。再次強調，這與我們在檢測響應領域所做的非常相似，我們將市場上高端的 SIM 卡推向主流，但同時保持了其複雜程度和易用性，讓每個人都可以使用。這是我們首要關注的領域，例如我們如何真正打開這個市場？

The second thing is when you look at the differentiation that we actually have, our view overall is that we want to provide the best experience of looking at risk end to end, end point to the traditional on-prem environment, to the cloud environment, and have that be integrated across the entire environment and not three or four different sets of technologies and experiences overall. Thanks for the question.

第二件事是，當你看到我們實際擁有的差異時，我們的總體觀點是，我們希望提供端到端查看風險的最佳體驗，從傳統的內部部署環境到雲端環境，並將其整合到整個環境中，而不是整體上整合三到四種不同的技術和體驗。謝謝你的提問。

Great. Thank you very much.

偉大的。非常感謝。

Patrick Colville, Scotiabank.

加拿大豐業銀行的派崔克‧科爾維爾。

I want to ask about the balance between top line growth and profitability. I mean, this quarter, non-gap operating margins were 19.5%, which is really impressive, but ARR was a bit soft and guidance was trimmed. So how should we think about the kind of balance between top line and the bottom line in light of the headcount reductions we had in 2023?

我想問一下營業額成長和獲利能力之間的平衡。我的意思是，本季度，非差距營業利潤率為 19.5%，這確實令人印象深刻，但 ARR 有點疲軟並且指導被削減。那麼，考慮到 2023 年的員工人數減少，我們應該如何考慮營收和淨利潤之間的平衡呢？

Yeah, so I think, look, you have to actually figure out where you're going to focus your resources. We thought that the moves that we made in 2023 set us up well this year to make sure that we had a healthy amount of free cash flow.

是的，所以我認為，你必須真正弄清楚要把資源集中在哪裡。我們認為，我們在 2023 年採取的措施為我們今年做好了準備，確保我們擁有健康的自由現金流。

Then the second question is just like, okay, where do you invest? And we decided not to actually just split it equally. We decided to make a very focused investment in how do we actually make sure our products and services are actually ready for the next five years, not backwards looking. Yeah, that clearly has some implications in the short term, but we believe that setting ourselves up to make sure that we're investing in our product and our technologies and our teams around services is the path for what I would consider long-term healthy growth. So overall, we think that we've gotten our profit margins to a healthy state. Our expectations is that we're focused on not how we grow in the moment, but how do we actually have healthy growth and frankly, accelerated growth from today's levels over the next several years. And we think the best strategy to actually do that is focus on making sure that our product strategy capabilities and pricing are set up for the mid to long term. And so that was the focus of the decision that we made. Now, I would just say being that close and focusing on the R&D and the services and the customer experience around service and not putting all of our money in sales and marketing has some short-term implications, but we actually think that overall we can actually add back sales and marketing spend as we actually go forward, built off of a much stronger base of technology, a platform and pricing strategy that's actually compelling to customers, and an overall service experience that delivers high quality service. But that's how we did our investment.

那麼第二個問題就像，好吧，你在哪裡投資？我們決定實際上不將其均等分割。我們決定進行重點投資，確保我們的產品和服務真正為未來五年做好準備，而不是回顧過去。是的，這顯然在短期內會產生一些影響，但我們相信，確保我們對我們的產品、技術和服務團隊進行投資是實現長期健康成長的道路。總體而言，我們認為我們的利潤率已經達到健康狀態。我們的期望是，我們關注的不是當前如何發展，而是如何在未來幾年內實現健康發展，坦白說，在今天的水平上實現加速發展。我們認為，實現這一目標的最佳策略是專注於確保我們的產品策略能力和定價適合中長期。這就是我們做出決定的重點。現在，我只想說，如此密切地關注研發、服務和客戶體驗，而不是把所有的錢都投入到銷售和行銷中，會產生一些短期影響，但我們實際上認為，總的來說，隨著我們實際向前發展，我們實際上可以增加銷售和行銷支出，建立在更強大的技術基礎、對客戶真正有吸引力的平台和定價策略以及提供高品質服務的整體服務體驗之上。但這就是我們的投資方式。

Great. And I guess I wanted to ask in my follow-up about net new ARR for the year. I mean, the commentary you gave in the prepared remarks around the linearity of net new ARR was extremely helpful. So thank you for that. What it implies is that this quarter is kind of the trough and then we have a decent net new ARR recovery through the year. Can we just circle back, just so I fully understood, just the confidence you have in that kind of recovery in net new ARR through the year?

偉大的。我想在後續問題中詢問今年的淨新 ARR 情況。我的意思是，您在準備好的評論中就淨新 ARR 的線性所給出的評論非常有幫助。非常感謝你。這意味著本季將處於低谷，全年我們將迎來不錯的淨新 ARR 復甦。我們能否回到正題上，以便我能完全理解您對全年淨新 ARR 復甦的信心？

Yeah, I would just say from, if you look at our guides, I think we have pretty strong confidence in it. I think that we didn't get out of our skis. The year tends to be a little bit back and loaded. We have seen some of the pipeline and some of the deals get larger overall, but our assumptions are that we see only modest benefit from sort of our reorientation and our updated launch of Cloud Risk Complete this year. So we didn't want to be too aggressive on the timeline of something that was going to be introduced in the summer. So I think that our expectations were quite modest there. And so I would just say that if you look at what we've actually laid out, we have pretty high confidence that we can actually execute against that plan. And what we really took out, we really sort of based it off of the dynamics that we were seeing in sort of like the first half of the year and then have very modest assumptions about improvements in the back half of the year. There are some, but I would just say they're relatively modest in orientation.

是的，我只是想說，如果你看看我們的指南，我認為我們對此非常有信心。我認為我們還沒有脫離滑雪板。今年往往會有些倒退和忙碌。我們已經看到一些管道和一些交易總體上變得更大，但我們的假設是，我們從今年的重新定位和更新推出的 Cloud Risk Complete 中只看到了適度的收益。因此，我們不想對夏季即將推出的產品的時間表制定得太激進。因此我認為我們的期望相當低。因此，我只想說，如果你看看我們實際制定的計劃，你會發現我們非常有信心能夠真正執行這個計劃。我們真正得出的結論是，我們實際上是根據上半年所看到的動態，對下半年的改善情況做出了非常謹慎的假設。有一些，但我只想說他們的定位相對比較謙虛。

Yeah. And Patrick, it's Tim. Welcome to the Rapid7 coverage team. And as you'll see, if you go back to prior year Q4s, that is always the strong quarter from a seasonal perspective on the net new ad and that we expect that again this year, similar to other quarters. But it builds up. I would just say it steps up a little bit. You know, miles Q2, miles Q3, and then again Q4.

是的。派崔克，我是提姆。歡迎加入 Rapid7 報道團隊。您會發現，如果回顧去年第四季度，從季節性角度來看，這始終是淨新廣告強勁增長的一個季度，我們預計今年的情況也將如此，與其他季度類似。但它會逐漸累積。我只想說它會進步一點點。您知道，Q2 英里，Q3 英里，然後再是 Q4。

All right. Thank you so much. Really appreciate it.

好的。太感謝了。真的很感激。

Josh Tilton, Wolfe Research.

喬許·蒂爾頓（Josh Tilton），沃爾夫研究公司（Wolfe Research）。

Hey, this is Patrick on for Josh. You'd mentioned the churn customers in the quarter. And for the most part, they weren't platform customers. Just curious if you could expand more on sort of the broader reasonings for why they churned and how we should think about that going forward and then maybe how much of an overall impact on expansion opportunities within the base that you foresee have that looking at. Thanks.

嘿，這是派崔克，代替喬希。您提到了本季的客戶流失。而且大多數情況下，他們並不是平台客戶。我只是好奇，您是否可以更詳細地闡述他們流失的更廣泛的原因，以及我們應該如何看待這一問題，以及您預見到這會對基地內的擴張機會產生多大影響。謝謝。

Yeah, I would say that the thing that we probably did not do a great job of in Q1 was actually driving expansion in our install base. And that's mostly based on we were still working through pricing and packaging and did not want to get too far ahead of ourselves. So, if you think about net expansion rate, the expansion was definitely not as strong in the start of the year as we expected to be exiting the year. So, I think that so the clear expectation is that we will actually have clarity coming out of this summer on what the pricing packaging is, the ability to actually sell that to our install base and drive expansion overall. So, when you think about net retention rates, I would say, yes, we had significant pressure in the first half of this year on the expansion, mostly because we're working a lot of things and we want to make sure that they're right before we go in and sign those. But we could have executed that better. But we do expect that to be a fairly temporary thing. And that's actually normalized as we actually exit the year, if not actually have some momentum as we go into next year.

是的，我想說，我們在第一季可能沒有做好的事情實際上是推動我們的安裝基數的擴張。這主要是因為我們仍在研究定價和包裝問題，並且不想走太遠。因此，如果您考慮淨擴張率，那麼年初的擴張肯定不如我們預期的那麼強勁。所以，我認為明確的預期是，我們將在今年夏天明確定價方案是什麼，如何將其實際銷售給我們的安裝基礎並推動整體擴張。因此，當您考慮淨留存率時，我會說，是的，我們在今年上半年在擴張方面面臨著巨大的壓力，主要是因為我們正在進行很多工作，我們希望確保在簽署這些協議之前它們是正確的。但我們本來可以做得更好。但我們確實預期這只是暫時的。當我們真正結束今年的時候，這實際上已經正常化了，如果沒有的話，在進入明年的時候實際上會有一些動力。

Appreciate it. Thank you very much.

非常感謝。非常感謝。

Eric Heath, KeyBanc Capital Markets.

KeyBanc 資本市場公司的 Eric Heath。

Hi, this is [Shruthi An] for Eric. I was wondering, what is pricing dynamics that you're seeing in the market right now and from some of your peers? And how does that play into the pricing strategy that you laid out in your prepared remarks?

你好，我是 Eric 的 [Shruthi An]。我想知道，您現在在市場上以及從您的一些同行那裡看到的定價動態是什麼樣的？這與您在準備好的發言中闡述的定價策略有什麼關係？

It's a good question. So, I'll keep the detection response pricing has not materially changed. I think we were probably one of the largest changes when we changed from pricing from storage to a asset resource basis. So, I don't think there's any material change in that. If you look at part of the thing that we struggled a little bit with is that if you think about the risk market and you want to integrate it, the price in this cloud is very different than the pricing in the on-prem environment. And then the value proposition of the visibility of the endpoints is different. And so, if you really want to simplify for customers, you have to rationalize both the pricing models and also the pricing levels. And so, you have cloud that is volatility priced by the providers and in general, quite expensive. It keeps a lot of customers out. You have vulnerability management, which is effective, but like people are mixed shifting to the cloud. And then you have endpoint, we have lots of visibility sources that you actually have to reconcile. So, our goal specifically on pricing is how do we actually rationalize and take out the complexity? So, make it as simple as possible for customers to actually price across the environment. And then our goal, because we actually have detection response, is to be a price leader. We actually want it to be, we want customers to have full visibility into their environment, because full visibility into their environment, we think that we can actually do a good job and we've proven to do a good job of that by not having a lot of complexity. But then monetizing and selling customers the value of detection response. So, in many ways, we think sort of like cost affordable price leadership and integrated risk management is a great platform and a long-term good upsell for detection response. So, we want to be pushing the boundaries there of how to get customers the best possible visibility at the best possible value. And then we can continue the success that we've seen in detection response.

這是個好問題。因此，我會保持檢測響應定價沒有實質變化。我認為，當我們從儲存定價轉變為以資產資源為基礎定價時，我們可能發生的最大變化之一。所以，我認為這不會發生任何實質的變化。如果你看我們遇到的一些困難，那就是如果你考慮風險市場並且想要整合它，那麼這個雲端中的價格與內部部署環境中的定價會有很大不同。然後端點可見度的價值主張是不同的。因此，如果您確實想為客戶簡化流程，那麼您必須合理化定價模型和定價水準。因此，雲端運算提供者的定價具有波動性，並且一般來說相當昂貴。它阻止了很多顧客。您有漏洞管理，這是有效的，但就像人們在向雲端轉移一樣。然後您有了端點，我們有很多可見性來源，您實際上必須協調。那麼，我們在定價方面的具體目標是如何真正合理化並消除複雜性？因此，讓客戶盡可能簡單地在整個環境中進行實際定價。然後，我們的目標是成為價格領導者，因為我們實際上有檢測回應。我們實際上希望如此，我們希望客戶能夠完全了解他們的環境，因為完全了解他們的環境，我們認為我們實際上可以做得很好，而且我們已經證明，透過不增加太多複雜性，我們可以很好地完成這項工作。但隨後將檢測響應的價值貨幣化並出售給客戶。因此，在許多方面，我們認為成本可負擔的價格領導力和綜合風險管理是一個很好的平台，並且對於檢測響應來說是一個長期良好的追加銷售。所以，我們希望突破界限，讓客戶以盡可能高的價值獲得盡可能好的可見性。然後我們就可以繼續在檢測響應中看到的成功。

Got it. Thank you.

知道了。謝謝。

Rob Galvin, Stifel.

羅布·加爾文（Rob Galvin），Stifel。

These past two quarters, the gap between international and North America growth has widened and international growth remained pretty stable versus the year ago period, while North America growth compressed by about 600 basis points. And I'm wondering if you could provide any commentary into what might be driving that difference in growth rates recently.

過去兩個季度，國際和北美成長之間的差距不斷擴大，國際成長與去年同期相比保持相當穩定，而北美成長則壓縮了約 600 個基點。我想知道您是否可以對最近導致成長率差異的原因做出評論。

Thanks. Yeah, no, it's a good question. I don't think it's going to actually something that's going to sustain. I agree it's happened over the period. Keep in mind is that I think it was in 2022, we saw lots of pressure in Europe. So, you had sort of like deceleration there. So, you had a widening gap there. I think that normalized coming out of last year. And so, you do have some fluctuations in the baseline that you're actually looking at, depending on what period of time you're looking at. Our general expectation is that, you know, ignoring currency rates that will see fairly sort of like consistent growth around the world. And so, we think that those are short term differences, not long term expectations of differences overall.

謝謝。是的，不，這是個好問題。我認為這實際上不會成為能夠持續下去的事情。我同意這個現像在這段時間確實發生過。請記住，我認為是在 2022 年，我們在歐洲看到了很多壓力。因此，你在那裡經歷了一種減速的感覺。因此，你們之間的差距正在不斷擴大。我認為從去年開始這種情況就已經正常化了。因此，您實際看到的基線確實會有一些波動，這取決於您看到的時間段。我們的整體預期是，忽略貨幣匯率，全球將出現相當持續的成長。因此，我們認為這些是短期差異，而不是整體的長期差異預期。

Thank you.

謝謝。

I'll now turn the call back over to Corey Thomas for closing remarks. Please go ahead.

現在我將把電話轉回給科里·托馬斯 (Corey Thomas) 作結束語。請繼續。

Well, thank you very much. I appreciate everyone taking time, especially on an incredible busy week. We look forward to talking to you and more importantly, updating you on the next earnings call. Thank you. Thanks.

好吧，非常感謝。我感謝大家抽出時間，特別是在這極其繁忙的一周。我們期待與您交談，更重要的是，在下次財報電話會議上向您通報最新情況。謝謝。謝謝。

Ladies and gentlemen, that concludes today's call. Thank you all for joining and you may now disconnect.

女士們、先生們，今天的電話會議到此結束。感謝大家加入，現在可以斷開連線。