Workiva Inc (WK) 2024 Q3 法說會逐字稿

Good afternoon, ladies and gentlemen. My name is Tanya, and I will be your host operator on this call. (Operator Instructions) Please note that this call is being recorded on November 6, 2024, at 5:00 PM Eastern.

女士們、先生們，午安。我的名字是 Tanya，我將擔任這次通話的主持人。（操作員指示）請注意，此通話於 2024 年 11 月 6 日東部時間下午 5:00 錄製。

I would now like to turn the meeting over to your host for today's call, Mike Rost, Senior Vice President of Corporate Development and Investor Relations at Workiva. Please go ahead.

現在，我想將會議交給今天電話會議的主持人、Workiva 公司發展和投資者關係高級副總裁 Mike Rost。請繼續。

Good afternoon and thank you for joining us for Workiva's third-quarter conference call. During today's call, we will review our third quarter results and discuss our guidance for the fourth quarter and full year 2024. Today's call has been prerecorded and will include comments from our Chief Executive Officer, Julie Iskow, followed by our Chief Financial Officer, Jill Klindt. We will then open the call up for a live Q&A session.

下午好，感謝您參加 Workiva 的第三季電話會議。在今天的電話會議上，我們將回顧第三季的業績，並討論對第四季和 2024 年全年的指導。今天的電話會議已經預先錄製，將包括我們執行長 Julie Iskow 的評論，隨後是我們的財務長 Jill Klindt 的評論。然後我們將開啟電話會議進行現場問答環節。

A replay of this webcast will be available until November 13, 2024. Information to access the replay is listed in today's press release, which is available on our website under the Investor Relations section.

該網路廣播的重播將持續到 2024 年 11 月 13 日。今天的新聞稿中列出了訪問重播的信息，您可以在我們網站的“投資者關係”部分找到該新聞稿。

Before we begin, I would like to remind everyone that during today's call, we will be making forward-looking statements regarding future events and financial performance, including guidance for the fourth quarter and full fiscal year 2024. These forward-looking statements are subject to known and unknown risks and uncertainties.

在我們開始之前，我想提醒大家，在今天的電話會議中，我們將就未來事件和財務業績做出前瞻性陳述，包括對 2024 年第四季和全年財年的指引。這些前瞻性陳述受到已知和未知的風險和不確定性的影響。

Workiva cautions that these statements are not guarantees of future performance. All forward-looking statements made today reflect our current expectations only, and we undertake no obligation to update any statement to reflect the events that occur after this call.

Workiva 警告說，這些聲明並不能保證未來的表現。今天所做的所有前瞻性陳述僅反映我們目前的預期，我們不承擔更新任何陳述以反映本次電話會議後發生的事件的義務。

Please refer to the company's annual report on Form 10-K and subsequent filings for factors that could cause our actual results to differ materially from any forward-looking statements. Also, during the course of today's call, we will refer to certain non-GAAP financial measures. Reconciliation of non-GAAP to GAAP measures and certain additional information are also included in today's press release. With that, we'll begin by turning the call over to CEO, Julie Iskow.

請參閱本公司的 10-K 表年度報告及後續文件，以了解可能導致我們的實際結果與任何前瞻性陳述有重大差異的因素。此外，在今天的電話會議中，我們將參考某些非 GAAP 財務指標。今天的新聞稿中還包括非公認會計準則與公認會計準則指標的對帳以及某些附加資訊。現在，我們首先將電話轉給執行長 Julie Iskow。

Thank you, Mike, and welcome, everyone, to today's call. Jill and I look forward to sharing our Q3 results. We'll showcase some of our signature customer wins and will highlight trends that are driving our momentum. We'll also discuss our outlook for Q4 and our updated guidance for the full year 2024.

謝謝你，麥克，歡迎大家參加今天的電話會議。吉爾和我期待分享我們的第三季業績。我們將展示一些標誌性的客戶勝利，並強調推動我們發展勢頭的趨勢。我們還將討論第四季度的展望以及對 2024 年全年的最新指引。

To kick things off, I'd like to share a few comments on the impact to Workiva of the outcome of the US presidential election. With the Trump administration, we remain bullish on our market opportunity, including sustainability management and reporting.

首先，我想分享一些關於美國總統大選結果對 Workiva 的影響。在川普政府的領導下，我們仍然看好我們的市場機遇，包括永續管理和​​報告。

We remain equally confident that our growth strategy continues to be relevant and intact. Why? Because the demand on our customers has never been greater. The stakes are high; the impact is massive. And accuracy, speed, and productivity are not optional. And this includes the reporting of both financial and non-financial factors.

我們同樣堅信，我們的成長策略依然適用且完整。為什麼？因為我們客戶的需求從未如此強烈。風險很高；其影響是巨大的。準確性、速度和生產力都不是可選的。這包括財務和非財務因素的報告。

Reporting on non-financial and sustainability information is a global initiative. It's a topic that goes well beyond any US political talking point, and it's one that's not limited to regulation. We believe that the global momentum and the demand for sustainability management and reporting is not going away, and it will not be slowed down by the outcome of this election.

報告非財務和永續性資訊是一項全球倡議。這個話題遠遠超出了美國政治談話的範疇，也不僅限於監管。我們相信，全球對永續管理和​​報告的勢頭和需求不會消失，也不會因這次選舉的結果而減緩。

For corporations, sustainability reporting is about performance. It's about growth; it's about impact. It's about surfacing risks and managing those risks. It's about addressing the changing requirements of customers, of employees, and supply chains. And at times, yes, it's about regulation, but sustainability reporting is far from being a trend. It's a generational movement.

對企業來說，永續發展報告是關乎績效。這是關於成長；這是關於影響的。這是關於發現風險並管理這些風險。它是為了滿足客戶、員工和供應鏈不斷變化的需求。有時，這確實與監管有關，但永續發展報告遠非一種趨勢。這是一場代際運動。

As highlighted at our Investor Day, over 4,200 companies have committed to science-based targets along with the associated reporting. And 23,000 companies representing 50% of the global market cap now report their emissions data with the rigor required by the CDP. And although the 2024 proxy season saw a continued rise in the anti-ESG proposals, none of these proposals passed and none of them received more than 10% support.

正如我們在投資者日所強調的那樣，超過 4,200 家公司已承諾實現基於科學的目標並提供相關報告。目前，佔全球市值 50% 的 23,000 家公司正在按照 CDP 要求的嚴格程度報告其排放數據。儘管在 2024 年代理季中反 ESG 提案的數量持續增加，但這些提案均未獲得通過，且支持率均未超過 10%。

Well, we've been selling ESG well ahead of regulation. There are some sustainability regulation deadlines that are fast approaching. Companies are actively preparing for both the EU Corporate Sustainability Reporting Directive or CSRD, and the State of California Climate Rules. These regulatory requirements are not influenced by the US Federal government.

我們在監管之前就已經開始銷售 E​​SG 了。一些可持續性法規的最後期限即將到來。企業正積極為歐盟企業永續發展報告指令（CSRD）和加州氣候規則做準備。這些監管要求不受美國聯邦政府的影響。

We believe that the CSRD is a game changer. It's not simply the next regulatory requirement. It's a step change in the size and the scope of our opportunity.

我們相信 CSRD 將改變遊戲規則。這不僅僅是下一個監管要求。這是我們機會規模和範圍的重大變化。

For European companies, the regulations are clear. Large companies will begin reporting starting in Q1 of 2025, and there are over 1,000 new data points that they need to report on. These new disclosures will be subject to external audit starting in 2026 with XBRL disclosure with ESEF being phased in over time. The impact of the CSRD though is not limited to Europe.

對歐洲公司來說，規定很明確。大型公司將從 2025 年第一季開始報告，他們需要報告超過 1,000 個新的數據點。這些新的揭露內容將從 2026 年開始接受外部審計，並且 ESEF 的 XBRL 揭露將逐步實施。然而，CSRD的影響並不僅限於歐洲。

Global customers are increasingly focused on meeting the requirements of the regulation regardless of whether they're directly governed by it. For these companies, the implications of the CSRD extend to their supply chain and the needs of their customers.

無論是否直接受該法規管轄，全球客戶都越來越注重滿足法規的要求。對這些公司來說，CSRD 的影響延伸到他們的供應鏈和客戶的需求。

Businesses aiming to attract and retain customers as they grow in Europe will have a strong incentive to comply with the CSRD. To operate successfully on a global scale, companies will be compelled to disclose their sustainability metrics.

那些希望在歐洲發展過程中吸引和留住客戶的企業將有強烈的動機遵守 CSRD。為了在全球範圍內成功運營，公司將被迫揭露其永續性指標。

As we, as a country, transition to a new President, we will continue to execute on our strategy and serve our customers' growing set of requirements for sustainability management and reporting.

隨著我們國家迎來新總統，我們將繼續執行我們的策略，滿足客戶對永續性管理和報告日益增長的需求。

I'll now move on to our Q3 results. Workiva is once again in a beat and raise position. Our results demonstrate an acceleration in both growth and improved operating efficiency. We delivered solid Q3 performance with subscription revenue growing at 19% and total revenue growing at 17%. These results drove a beat to the high end of our revenue guidance while at the same time delivering a Q3 operating margin above the high point of our guide.

我現在要介紹一下我們的第三季業績。Workiva 再次處於領先地位並不斷提升地位。我們的結果表明，成長速度加快，營運效率提高。我們第三季業績表現穩健，訂閱營收成長 19%，總營收成長 17%。這些結果推動我們的收入預期達到最高水平，同時使第三季的營業利潤率高於我們的預期最高水平。

In Q3, we saw a repeat of the healthy buying environment that we communicated in our Q2 call. We had another record bookings quarter. We saw broad-based demand across the entire solution portfolio and higher volume of account expansion deals and platform wins across North America, Europe, APAC, and Latin America.

在第三季度，我們看到了在第二季度電話會議中傳達的健康購買環境的重現。我們又迎來了一個創紀錄的預訂季度。我們看到整個解決方案組合的廣泛需求以及北美、歐洲、亞太地區和拉丁美洲的帳戶擴展交易量和平台勝利量增加。

We believe that there are several reasons for our improved performance. Key factors include enhanced internal execution and increased customer demand driven by approaching regulatory deadlines, particularly the CSRD.

我們認為，我們的業績提高有幾個原因。關鍵因素包括內部執行力的加強和監管期限（尤其是 CSRD）臨近所推動的客戶需求增加。

We've also observed a general improvement in the macro. Whether from new logos or account expansions, we were encouraged by our win rates, our deal sizes, and our platform wins. We also delivered in Q3 another standout performance in our sustainability management and reporting solution with an added boost for Workiva Carbon. Sustainability was yet again a top booking solution.

我們也觀察到宏觀的整體改善。無論是新標誌還是帳戶擴展，我們的成功率、交易規模和平台成功都讓我們感到鼓舞。我們也在第三季的永續發展管理和報告解決方案中再次表現出色，為 Workiva Carbon 帶來了額外的推動力。永續性再次成為首要的預訂解決方案。

Europe was a highlight for the quarter, again as well. We delivered continued momentum in Europe across all solution categories. The value of our platform continues to resonate, particularly with the CSRD fast approaching. We win with our platform, we win with our partners, and we win with assured integrated reporting, which now includes carbon accounting, the most consistently regulated part of sustainability.

歐洲再次成為本季的一大亮點。我們在歐洲所有解決方案類別中繼續保持強勁發展勢頭。我們平台的價值持續引起共鳴，特別是隨著 CSRD 快速接近。我們憑藉我們的平台取得勝利，我們憑藉我們的合作夥伴取得勝利，我們憑藉有保證的綜合報告取得勝利，該報告目前包括碳核算，這是可持續發展中最一致受監管的部分。

I'd like to start off our deal highlights for the quarter with three wins demonstrating the success of our assured integrated reporting platform. First, a US-based Fortune 100 food and beverage company expanded their platform usage with a mid-six figure deal for ESG reporting and policy management.

我想以三項勝利來開始介紹本季的交易亮點，這些勝利證明了我們可靠的綜合報告平台的成功。首先，一家總部位於美國的財富 100 強食品和飲料公司透過一項六位數的中等規模的 ESG 報告和政策管理交易擴大了其平台的使用範圍。

The purchase of ESG complements this company's previous investment in SEC reporting, controls management, and enterprise risk management. This company purchased ESG to support their current science-based target reporting initiative and to address requirements for the CSRD. The opportunity was a co-sell and will be delivered by a Big 4 firm.

收購 ESG 是對該公司先前在 SEC 報告、控制管理和企業風險管理方面的投資的補充。該公司購買 ESG 是為了支持其當前的基於科學的目標報告計劃並滿足 CSRD 的要求。該機會是共同銷售，將由四大公司提供。

Second, we signed a multi-six-figure account expansion deal with a North American industrial company. This company has been a loyal customer of Workiva for 11 years. This quarter, they purchased ESG, controls management, and audit management and are now utilizing six solutions on our platform.

第二，我們與一家北美工業公司簽署了一份價值六位數的客戶擴展協議。該公司已經是 Workiva 11 年的忠實客戶。本季度，他們購買了 ESG、控制管理和審計管理，目前正在我們的平台上使用六種解決方案。

This was a competitive deal with a GRC-specific platform vendor. The ability to handle GRC, financial reporting, and ESG was a differentiator in this deal. The opportunity was a co-sell with the Big 4 advisory firm. and the same Big 4 firm will be providing delivery for the project.

這是與 GRC 特定平台供應商達成的競爭性交易。處理 GRC、財務報告和 ESG 的能力是這筆交易的差異化因素。這個機會是與四大顧問公司共同銷售的。同一家「四大」會計師事務所將為該專案提供配送服務。

And third, we signed a mid-six-figure five solution account expansion deal with a UK-based IT services company. This company purchased their first Workiva solution, global statutory reporting in Q4 of 2023. Less than a year later, they expanded on the Workiva platform with the addition of five solutions: management reporting, controls management, policies and procedures, ESG, and Workiva Carbon. This opportunity was sourced and will be implemented by a European regional consulting firm.

第三，我們與一家英國 IT 服務公司簽署了一份價值六位數的中型解決方案帳戶擴展協議。該公司於 2023 年第四季度購買了首個 Workiva 解決方案——全球法定報告。不到一年後，他們擴展了 Workiva 平台，增加了五個解決方案：管理報告、控制管理、政策和程序、ESG 和 Workiva Carbon。這個機會由一家歐洲地區顧問公司提供並將由其實施。

I'll move on now to financial reporting. In Q3, financial reporting contributed substantially to our growth. I'd like to highlight three financial reporting deals from the quarter. First, we closed a mid-six-figure account expansion deal with a Fortune 50 company for management reporting. This global organization is in the process of an S/4HANA upgrade and broader finance transformation.

我現在要開始討論財務報告。第三季度，財務報告對我們的成長貢獻巨大。我想重點介紹本季的三項財務報告交易。首先，我們與一家財富 50 強公司達成了六位數中等金額的管理報告帳戶擴展協議。這個全球性組織正在進行 S/4HANA 升級和更廣泛的財務轉型。

A regional advisory firm partner had been working with the client on other Workiva projects and was hired to replace a legacy mainframe reporting solution that had been in place for years. Workiva offered the power and the flexibility to move this customized reporting solution to the cloud and to work alongside the new S/4HANA business processes.

一家區域顧問公司合作夥伴曾與客戶合作進行其他 Workiva 項目，並被聘請來更換已使用多年的傳統大型主機報告解決方案。Workiva 提供了強大功能和靈活性，可以將這種客製化的報告解決方案遷移到雲端，並與新的 S/4HANA 業務流程協同工作。

The strength of the Workiva financial reporting solution with the proven trust this customer had in its business partner was a key differentiator in the deal. ERP upgrades, transitions and broader finance transformation projects continue to be a valuable market event for us to land new customers and sell new solutions.

Workiva 財務報告解決方案的強大實力以及客戶對其業務合作夥伴的充分信任是此交易的關鍵差異因素。ERP 升級、過渡和更廣泛的財務轉型專案繼續成為我們吸引新客戶和銷售新解決方案的寶貴市場活動。

Second, we closed a mid-six-figure, four solution new logo deal with the European global payments and shopping service provider. This customer purchased our global statutory reporting, private company reporting, SEC reporting, and capital market solution as this company prepares for a 2025 IPO. The opportunity was a co-sell with a global IT services firm.

其次，我們與歐洲全球支付和購物服務提供者達成了一項六位數中等金額、四種解決方案的新標誌協議。這位客戶購買了我們的全球法定報告、私人公司報告、SEC 報告和資本市場解決方案，因為該公司正在為 2025 年的 IPO 做準備。這是一個與全球 IT 服務公司共同銷售的機會。

And third, we closed a multi-six-figure four solution new logo win with a large European reinsurance company. This reinsurance company purchased ESEF, global statutory reporting, insurance reporting, and ESRS XBRL reporting to support their requirements for CSRD. This was a competitive deal with 4-point solution vendors competing for part of the business.

第三，我們與一家大型歐洲再保險公司達成了價值六位數的四個解決方案新標誌協議。這家再保險公司購買了 ESEF、全球法定報告、保險報告和 ESRS XBRL 報告來支持其對 CSRD 的要求。這是一項競爭性交易，四點解決方案供應商相互競爭部分業務。

The cloud delivery and comprehensive capabilities of the Workiva platform is a differentiator in this deal. The opportunity was sourced and will be delivered by a Big 4 advisory firm.

Workiva 平台的雲端交付和綜合功能是這筆交易的差異化因素。此機會由四大顧問公司提供並提供。

I'll now turn to GRC. GRC programs fundamentally involve managing controls, risks, and policies and conducting operational audits. Our GRC portfolio closely aligns with our financial reporting and sustainability solutions. This is truly a better together value proposition.

現在我將轉向 GRC。GRC 計劃從根本上涉及管理控制、風險和政策以及進行營運審計。我們的 GRC 投資組合與我們的財務報告和永續發展解決方案緊密結合。這確實是更好的共同價值主張。

Let's take a look at three GRC deals that closed in Q3. First, a European-based entertainment company signed a mid-six-figure three-solution account expansion deal. The company purchased controls management, audit management, and policies and procedures to complement the investment made in the Workiva ESEF solution in Q4 of 2023. This opportunity was a co-sell and will be delivered by a Big 4 advisory firm.

讓我們來看看第三季完成的三筆 GRC 交易。首先，一家歐洲的娛樂公司簽署了一份六位數中等規模的三解決方案帳戶擴展協議。該公司購買了控制管理、審計管理以及政策和程序，以補充 2023 年第四季度對 Workiva ESEF 解決方案的投資。本次機會是共同銷售，將由四大顧問公司提供。

Second, a Canadian consulting firm purchased controls management and audit management in a six-figure account expansion deal. These were the sixth and seventh solutions purchased by the company. This was a competitive deal with the GRC platform vendor. The value of the platform and the ability to leverage the investments already made in our SEC and ESG solutions were differentiators in this opportunity. The deal was a co-sell and will be delivered by our regional consulting firm.

第二，一家加拿大顧問公司以六位數的帳戶擴展交易購買了控制管理和審計管理。這是該公司購買的第六和第七個解決方案。這是與 GRC 平台供應商達成的競爭性交易。平台的價值以及利用我們在 SEC 和 ESG 解決方案中已進行的投資的能力是這一機會的差異化因素。該交易為共同銷售，將由我們地區的顧問公司負責完成。

Third, a US regional bank purchased four GRC solutions as an account expansion deal. This 12-year loyal SEC reporting customer purchased audit management, controls management, risk management, and policies and procedures. This was a competitive deal against three GRC platform solution providers. The opportunity was a co-sell and will be delivered by a regional consulting partner.

第三，一家美國地區銀行購買了四種 GRC 解決方案作為帳戶擴展交易。這家忠誠的 SEC 報告客戶已有 12 年，購買了審計管理、控制管理、風險管理以及政策和程序。這是一項與三家 GRC 平台解決方案提供商競爭的交易。該機會是共同銷售，將由區域諮詢合作夥伴提供。

Let's move on now to talk about one of our top booking solutions for nine quarters in a row, sustainability management and reporting. The demand for our sustainability management and reporting solution, which includes ESG reporting and Workiva Carbon continues to grow. Organizations are investing in sustainability programs to enhance the reporting on corporate targets and to comply with regulations such as the CSRD.

現在讓我們繼續討論我們連續九個季度的頂級預訂解決方案之一，可持續性管理和報告。我們的永續性管理和報告解決方案（包括 ESG 報告和 Workiva Carbon）的需求持續成長。各組織正在投資永續發展計劃，以加強對企業目標的報告並遵守 CSRD 等法規。

I'd like to highlight a few of these sustainability management and reporting wins from the quarter. First, we landed a multi-six-figure new logo customer, a Canadian manufacturing company. This company purchased Workiva Carbon and ESG reporting along with the SEDAR reporting to support their global disclosure requirements including those of the CSRD.

我想強調本季的一些永續發展管理和報告成果。首先，我們獲得了一個價值六位數的新標誌客戶，一家加拿大製造公司。該公司購買了 Workiva Carbon 和 ESG 報告以及 SEDAR 報告，以支持其全球揭露要求（包括 CSRD 的要求）。

Workiva was differentiated in this opportunity with our fit-for-purpose ESG solution and the capability to support financial reporting. ESG, in combination with SEDAR reporting, is a clear, better together value proposition. This opportunity was a co-sell and will be implemented by a regional consulting firm.

Workiva 抓住了這一機遇，憑藉其適合用途的 ESG 解決方案和支援財務報告的能力而脫穎而出。ESG 與 SEDAR 報告結合，形成了一個明確的、更好的價值主張。本次機會是共同銷售，將由地區顧問公司實施。

Second, we closed a two-solution new logo customer for ESG reporting and ESEF with the European advertising and PR firm. This deal was driven by the integrated reporting requirements, the reporting of both sustainability and financial information as required by the CSRD. The opportunity was sourced by a design agency partner that's been working with this company for years.

其次，我們與歐洲廣告和公關公司達成了ESG報告和ESEF的兩種解決方案的新標誌客戶協議。該交易由綜合報告要求推動，即按照 CSRD 的要求報告可持續性和財務資訊。這個機會是由與該公司合作多年的設計機構合作夥伴提供的。

And third, we signed an account expansion deal for ESG and Workiva Carbon with a US-based manufacturing company. This 10-year loyal SEC customer purchased both ESG and Workiva Carbon after meeting with the Workiva product team and with Workiva ESG customers at our Amplify event in September.

第三，我們與一家美國製造公司簽署了ESG和Workiva Carbon的客戶擴展協議。這位 10 年忠誠的 SEC 客戶在 9 月的 Amplify 活動上與 Workiva 產品團隊和 Workiva ESG 客戶會面後，購買了 ESG 和 Workiva Carbon。

This company has been reporting on sustainability for the past two years and will leverage the Workiva platform to evolve their sustainability reporting process. As a supplier to many consumer-based companies, reporting on climate and broader sustainability metrics has become a strategic requirement to retain customers and win new business.

該公司過去兩年一直在報告永續發展情況，並將利用 Workiva 平台改善其永續發展報告流程。作為許多消費品公司的供應商，報告氣候和更廣泛的永續性指標已成為留住客戶和贏得新業務的策略要求。

As outlined in a couple of these deal examples, or Workiva Carbon played a new role in our deal activity this quarter. We launched Workiva Carbon at the end of Q2, and Q3 was a busy and productive quarter for us. We trained our sales team, certified our partners, we built our pipeline, and we closed deals. Along with ESG reporting, we delivered to market a comprehensive sustainability management and reporting solution.

正如這些交易案例中所概述的那樣，Workiva Carbon 在本季度的交易活動中發揮了新的作用。我們在第二季末推出了 Workiva Carbon，第三季對我們來說是一個忙碌而富有成效的季度。我們培訓了銷售團隊、認證了合作夥伴、建立了管道、並達成了交易。除了 ESG 報告外，我們還向市場提供了全面的永續性管理和報告解決方案。

Workiva Carbon has advanced our ESG and our sustainability platform to support organizations' requirements for carbon accounting and the tracking and the disclosure of carbon emissions for Scope 1, 2 and 3 and decarbonization. As a fit-for-purpose solution, it enables organizations to measure, manage, collaborate, and report on emissions data to support their net-zero supply chain and regulatory reporting requirements. This solution combines technology and expertise from the Sustain.Life acquisition with the power of the Workiva platform.

Workiva Carbon 改進了我們的 ESG 和永續發展平台，以支援組織對碳核算以及範圍 1、2 和 3 的碳排放追蹤和揭露以及脫碳的要求。作為一種適合用途的解決方案，它使組織能夠測量、管理、協作和報告排放數據，以支援其淨零供應鏈和監管報告要求。該解決方案將 Sustain.Life 收購的技術和專業知識與 Workiva 平台的強大功能相結合。

Workiva Carbon is a platform play. Our results in Q3 have confirmed that this was a strategic addition to our platform that has made our ESG solution an overall assured integrated reporting platform even more relevant. The CSRD is not the only regulation that's driving market demand. Sustainability regulations continue to advance in North America.

Workiva Carbon 是一個平台遊戲。我們第三季的業績證實，這是我們平台的策略補充，使我們的 ESG 解決方案成為一個更相關的整體保證綜合報告平台。CSRD 並不是推動市場需求的唯一法規。北美的永續法規持續進步。

On September 27, California Senate Bill 219 was signed into law. Senate Bill 219 introduces key amendments to two existing climate disclosure laws. The Climate Corporate Data Accountability Act or SB 253 and the Climate-related Financial Risk Act, SB 261. These laws require large companies operating in California to report their GHG or greenhouse gas emissions as well as their climate-related financial risks.

9月27日，加州參議院第219號法案簽署成為法律。參議院第219號法案對兩項現有的氣候揭露法律進行了重大修正。《氣候企業資料問責法案》或 SB 253 和《氣候相關金融風險法案》或 SB 261。這些法律要求在加州營運的大公司報告其溫室氣體排放以及與氣候相關的財務風險。

The main impact of SB 219 is that it grants the California Air Resources Board, more time to adopt regulations related to these disclosures. The Board's deadline has been extended from January 1, 2025, to July 1, 2025. However, it's important to note that the original reporting deadlines remain unchanged. Companies must still begin reporting Scope 1 and Scope 2 emissions in 2026 with Scope 3 emissions reporting starting in 2027.

SB 219 的主要影響是它給予加州空氣資源委員會更多時間來製定與這些揭露相關的法規。董事會的截止日期已從 2025 年 1 月 1 日延長至 2025 年 7 月 1 日。但值得注意的是，原定的報告截止日期保持不變。公司仍必須在 2026 年開始報告範圍 1 和範圍 2 的排放，並從 2027 年開始報告範圍 3 的排放。

This extension provides the regulator, the California Water Resources Board, with flexibility to better address complex issues like Scope 3 emissions. Scope 3 emissions involve indirect emissions across a company's value chain. With this extension, those corporations subject to the regulation will just have less time to prepare once the Board publishes the specifics of what will need to be disclosed.

此次延期為監管機構加州水資源委員會提供了靈活性，以更好地解決範圍 3 排放等複雜問題。範圍 3 排放涉及整個公司價值鏈的間接排放。隨著延期，一旦委員會公佈需要披露的具體內容，那些受該法規約束的公司將沒有太多時間準備。

Additionally, SB 219 offers more leniency in how companies can consolidate emissions reporting at the parent level. And it allows the California Air Resources Board to handle reporting duties directly or through third parties.

此外，SB 219 對該公司在母公司層級合併排放報告的方式提供了更多的寬鬆規定。它還允許加州空氣資源委員會直接或透過第三方處理報告職責。

Overall, SB 219 aims to ease the implementation of California's ambitious climate reporting requirements offering companies more flexibility. But it does so while maintaining the state's strong commitment to climate transparency and accountability.

總體而言，SB 219 旨在簡化加州雄心勃勃的氣候報告要求的實施，為企業提供更多靈活性。但它在這樣做的同時也保持了該州對氣候透明度和問責制的堅定承諾。

Moving on to our guide. As I highlighted at Investor Day, we're focused on both driving growth and at improving operating margin. We'll be raising our full year guide for both revenue and operating profit. We're successfully accelerating subscription revenue growth. Following a strong third quarter, we're raising our full year 2024 revenue guidance by $6 million.

繼續我們的指南。正如我在投資者日強調的那樣，我們專注於推動成長和提高營業利潤率。我們將上調全年收入和營業利潤的預期。我們正在成功加速訂閱收入的成長。由於第三季表現強勁，我們將 2024 年全年營收預期上調 600 萬美元。

We're also achieving margin expansion. In the third quarter, we realized a 170 basis point improvement in gross margin and a 70 basis point improvement in operating margin compared to Q3 of 2023. As a result, we'll also be raising our full-year operating margin guidance. This guidance factors in the continued investment in sales and marketing that we've previously communicated.

我們也實現了利潤率的擴大。與 2023 年第三季相比，第三季我們的毛利率提高了 170 個基點，營業利潤率提高了 70 個基點。因此，我們也將上調全年營業利潤率預期。該指導考慮了我們之前傳達的對銷售和行銷的持續投資。

The vast majority of the sales and marketing spend is the hiring of quota-bearing reps. It's an indicator of our confidence in our opportunity. We're encouraged by the demand we're seeing in the market, which was also reflected in this quarter's billing numbers.

銷售和行銷支出的絕大部分用於聘用承擔配額的銷售代表。這顯示我們對自己的機會充滿信心。我們對市場的需求感到鼓舞，這也反映在本季的帳單數字中。

Our results and our progress give us confidence that our strategy is working. We're focused on the long-term growth of our business by delivering an innovative platform and a set of high-value fit-for-purpose solutions that solve our customers' increasingly complex and expanding reporting requirements. We continue to build Workiva as a durable business with a focus on both growth and profitability.

我們的成果和進步使我們相信我們的策略是有效的。我們專注於業務的長期成長，提供創新平台和一套高價值的適用解決方案來滿足客戶日益複雜且不斷擴大的報告需求。我們將繼續把 Workiva 打造為一家可持續發展的企業，並專注於成長和獲利。

I'd like to thank our customers, our partners, and our investors for their continued support. I'd also like to thank our talented team of dedicated employees. Together, we're working to make an even greater impact and accelerate our mission to power transparent reporting for a better world. And with that, I'll now turn the call over to you, Jill.

我要感謝我們的客戶、合作夥伴和投資者的持續支持。我還要感謝我們才華洋溢、敬業的員工團隊。我們正在共同努力，發揮更大的影響力，加快實現我們的使命，為更美好的世界提供透明的報告。現在，我將把電話交給你，吉爾。

Thank you, Julie, and good afternoon, everyone. Thank you for joining us. Today, I will cover the financials and key metric highlights for the third quarter of 2024. I will also provide guidance for Q4 and for the full year 2024 before opening the line for questions.

謝謝你，朱莉，大家下午好。感謝您加入我們。今天，我將介紹 2024 年第三季的財務狀況和關鍵指標亮點。在開放問答熱線之前，我還將提供第四季度和 2024 年全年的指導。

As Julie discussed, the continuation of a healthy buying environment helped us achieve solid results in Q3. We beat the high end of our Q3 revenue guidance by $2.6 million, driven by an acceleration of subscription revenue growth.

正如朱莉所討論的，持續健康的購買環境幫助我們在第三季度取得了穩健的表現。由於訂閱收入加速成長，我們的第三季營收超出預期最高 260 萬美元。

We came in at the top of our operating margin guidance generating $7.6 million of operating profit, a 70 basis point improvement versus Q3 2023. We generated $185.6 million of total revenue in the third quarter, delivering growth of 17% over Q3 2023.

我們的營業利潤率達到了預期最高水平，產生了 760 萬美元的營業利潤，比 2023 年第三季提高了 70 個基點。我們在第三季創造了 1.856 億美元的總收入，比 2023 年第三季成長了 17%。

Subscription revenue was $171 million, up 19% from Q3 2023. We continue to see a combination of new customers and account expansions contributing to our strong revenue growth. For reference, new customers added in the last 12 months accounted for 45% of the increase in subscription revenue. Professional services revenue was $14.6 million, down slightly from Q3 2023, driven by the ongoing execution of our plan to move setup and consulting services to our partners.

訂閱營收為 1.71 億美元，較 2023 年第三季成長 19%。我們繼續看到新客戶和帳戶擴展的結合為我們強勁的收入成長做出貢獻。作為參考，過去 12 個月新增客戶佔訂閱收入成長的 45%。專業服務收入為 1,460 萬美元，較 2023 年第三季略有下降，這得益於我們持續執行將設置和諮詢服務轉移給合作夥伴的計劃。

I'll now move on to our performance metrics for the quarter. We had 6,237 customers at the end of Q3 2024, a growth of 292 customers from Q3 2023. Our gross revenue retention rate of 97.5% exceeded our 96% internal target. And our net revenue retention rate was 110.5% for the quarter.

現在我將討論本季的績效指標。截至 2024 年第三季末，我們擁有 6,237 名客戶，比 2023 年第三季增加了 292 名客戶。我們的總收入保留率為 97.5%，超過了 96% 的內部目標。本季我們的淨收入保留率為 110.5%。

We generated 68% of our subscription revenue from customers with multiple solutions. This compares to the 64% reported in Q3 2023. We continue to be pleased with this trend and the progress it shows as we focus on expanding relationships with our largest customers.

我們 68% 的訂閱收入來自擁有多種解決方案的客戶。相比之下，2023 年第三季報告的比例為 64%。當我們專注於擴大與最大客戶的關係時，我們對這一趨勢及其所取得的進展感到滿意。

As discussed during our Investor Day in September, we have changed the tranches we report related to annual customer contract value. We will no longer report the number of contracts over $150,000 per year. And instead, have added a tier to report the number of contracts valued over $500,000 per year. We believe this change will better reflect our progress selling into our largest customers.

正如我們在九月份投資者日所討論的那樣，我們已經改變了與年度客戶合約價值相關的報告部分。我們將不再報告每年超過 150,000 美元的合約數量。而是增加了一個層級來報告每年價值超過 50 萬美元的合約數量。我們相信這項變更將更能反映我們向最大客戶銷售所取得的進展。

In the quarter, we had 1,926 contracts valued at over $100,000 per year, up 23% from Q3 the prior year. The number of contracts valued at over $300,000 totaled 383, up 29% from Q3 2023. And the number of contracts valued over $500,000 totaled 166, up 28% from Q3 2023.

本季度，我們共簽訂了 1,926 份價值超過 100,000 美元的合同，較去年同期第三季度增長 23%。價值超過 30 萬美元的合約總數總計 383 份，比 2023 年第三季增加 29%。價值超過 50 萬美元的合約總數總計 166 份，比 2023 年第三季增加 28%。

Moving on to our operating results. Gross profit totaled $146 million in Q3, up 20% from the prior year. Gross margin improved year over year by 170 basis points, increasing to 79%. This was driven by continued efficiency gains as we scale our customer and partner experience teams and lower cloud computing costs versus the same quarter a year ago.

繼續討論我們的經營績效。第三季毛利總計 1.46 億美元，較上年成長 20%。毛利率年增170個基點，增至79%。這是由於我們擴大了客戶和合作夥伴體驗團隊並降低了雲端運算成本（與去年同期相比），從而持續提高了效率。

We posted operating profit of $7.6 million compared to the Q3 2023 operating profit of $5.3 million. Operating margin improved year over year by 70 basis points, increasing to 4%.

我們公佈的營業利潤為 760 萬美元，而 2023 年第三季的營業利潤為 530 萬美元。營業利益率年增70個基點，增至4%。

At September 30, 2024, cash, cash equivalents, and marketable securities increased $36 million over the end of Q2 2024 to a balance of $776 million. Operating activities in Q3 2024 resulted in cash provided of $19 million compared with cash provided of $15 million in the same quarter a year ago.

截至 2024 年 9 月 30 日，現金、現金等價物和有價證券比 2024 年第二季末增加了 3,600 萬美元，餘額為 7.76 億美元。2024 年第三季的營運活動產生的現金為 1,900 萬美元，而去年同期產生的現金為 1,500 萬美元。

Turning now to our guidance for Q4 and the full year 2024. We are pleased with the subscription growth acceleration we are driving. Our strong year-to-date performance, along with improved sales momentum gives us the confidence to raise our full year revenue guide. For the fourth quarter of 2024, we expect total revenue to range from $194 million to $196 million.

現在來談談我們對第四季和 2024 年全年的指導。我們對我們正在推動的訂閱成長加速感到非常高興。我們今年迄今的強勁表現以及不斷改善的銷售勢頭使我們有信心上調全年收入預期。對於 2024 年第四季度，我們預計總營收在 1.94 億美元至 1.96 億美元之間。

We expect services revenue will be down slightly compared to Q4 2023. Similar to Q3, we expect a decline in setup and consulting services revenue to be partially offset by growth in XBRL services revenue. We expect non-GAAP operating income to range from $13 million to $15 million or a non-GAAP net income of $0.31 to $0.34 on a per share basis. Our share count will be approximately 56 million weighted average shares.

我們預計服務收入將與 2023 年第四季相比略有下降。與第三季類似，我們預計設置和諮詢服務收入的下降將被XBRL服務收入的成長部分抵消。我們預計非 GAAP 營業收入在 1300 萬美元到 1500 萬美元之間，或每股非 GAAP 淨收入在 0.31 美元到 0.34 美元之間。我們的股票總數將約為5600萬股加權平均股。

For the full year 2024, we are increasing our total revenue guide to between $733 million and $735 million. We are encouraged by the demand we're seeing in the market. This is a primary driver for the raise. We expect total services revenue will be down year over year with XBRL services revenue continuing to grow at a low single-digit rate, while setup and consulting revenue is expected to decline slightly more than the rate we saw in 2023.

對於 2024 年全年，我們將總收入預期上調至 7.33 億美元至 7.35 億美元之間。我們對市場的需求感到鼓舞。這是加薪的主要動力。我們預計總服務收入將年減，其中 XBRL 服務收入將繼續以低個位數成長，而設定和諮詢收入預計將比 2023 年的速度略有下降。

We expect our subscription revenue growth to be over 19% at the midpoint. We are increasing our guidance for non-GAAP operating income to range from $30 million to $32 million or a non-GAAP net profit of $0.93 to $0.96 on a per share basis. Our share count will be approximately 55 million weighted average shares.

我們預計訂閱收入成長率中位數將超過 19%。我們將非公認會計準則營業收入預期上調至 3,000 萬美元至 3,200 萬美元之間，或每股非公認會計準則淨利潤預期上調至 0.93 美元至 0.96 美元之間。我們的股票總數將約為5500萬股加權平均股。

We believe we will post a positive free cash flow margin of 11% for the full year 2024. I wanted to provide some early thoughts on 2025. We achieved margin improvement in 2024 and expect to make continued progress in 2025. However, we do not expect to make linear progress.

我們相信，2024 年全年的自由現金流利潤率將達到 11%。我想提供一些關於 2025 年的早期想法。我們在 2024 年實現了利潤率提升，預計在 2025 年將繼續取得進展。然而，我們並不期望取得線性進展。

Similar to 2024, we expect operating margin in the back half of 2025 will be stronger than the first half. We expect XBRL services revenue will continue to grow at a modest low single-digit rate in 2025. We expect setup and consulting revenue will decline from 2024 to 2025.

與 2024 年類似，我們預計 2025 年下半年的營業利潤率將高於上半年。我們預計 2025 年 XBRL 服務收入將繼續以適度低個位數的速度成長。我們預計 2024 年至 2025 年間設置和諮詢收入將會下降。

In closing, I want to reiterate three points. First, we are pleased with our acceleration of subscription revenue growth. Second, even while we continue to invest in sales and marketing and hiring quota-bearing reps, we are focused on margin expansion. And finally, we are focused on the long term and building a durable business with a commitment to both growth and improving operating margin.

最後，我想重申三點。首先，我們對訂閱收入成長的加速感到高興。其次，儘管我們繼續在銷售和行銷方面進行投資並聘用承擔配額的銷售代表，但我們仍專注於提高利潤率。最後，我們著眼於長遠發展，致力於發展和提高營業利潤率，打造持久的業務。

I would like to thank all Workivians around the globe for their hard work and dedication to our mission and strategy. It's because of you that we are able to continue to execute on the opportunities in front of us. Thank you all for joining the call today. We're now ready to take your questions. Operator, please begin the Q&A session.

我要感謝全球所有 Workivians 的辛勤工作以及對我們的使命和策略的奉獻。因為有你們，我們才能夠繼續把握眼前的機會。感謝大家今天參加電話會議。我們現在準備好回答您的問題。接線生，請開始問答環節。

(Operator Instructions) Steve Enders, Citi.

（操作員指示）花旗銀行史蒂夫恩德斯 (Steve Enders)。

Okay, great. Thanks for taking the questions here. I guess, maybe just to start, I want to get a little bit of a better sense of what it is that is happening in the deal environment today. And I think the booking looks pretty -- billings and bookings are looking pretty strong here.

好的，太好了。感謝您在這裡回答問題。我想，也許只是開始，我想更了解今天的交易環境到底是怎麼樣的。我認為預訂情況看起來相當不錯——這裡的帳單和預訂情況看起來相當強勁。

So, I guess, what would you characterize as happening in the market? Is this just some of the budget challenges reversing and things getting better there, and those deals are closing? And is something else kind of happening out there in the macro today?

那麼，我想，您能描述一下市場上正在發生的事情嗎？這是否只是預算挑戰的一些逆轉和情況的改善，而那些交易正在達成？今天宏觀上還發生了其他什麼事情嗎？

Thanks for your question, Steve. We really do attribute it to a couple of key factors. The first is our own internal execution. I mean we've been focused on improving, and go-to-market, and the strength of our teams, and the way we're approaching things, shift towards the platform play and so forth. So internal execution, of course, is one.

謝謝你的提問，史蒂夫。我們確實將其歸因於幾個關鍵因素。第一是我們自己的內部執行。我的意思是，我們一直專注於改進和進入市場，以及我們團隊的實力，以及我們處理事情的方式，轉向平台遊戲等等。因此，內部執行當然是其中之一。

We also see the CSRD. It's alive and well and the first cohort of companies that need to comply must do so in 2025 with the data of 2024. And it's not just Europe, it's North America as well. And we're seeing some momentum there.

我們還看到了 CSRD。它依然生氣勃勃，第一批需要遵守規定的公司必須在 2025 年根據 2024 年的數據遵守規定。而且不只是歐洲，北美也是如此。我們看到了一些勢頭。

And finally, it's just -- our broad use high-value platform is resonating, assured integrated reporting pushing hard to go after that unaddressed TAM. And the strategy is working. So that's what it's about, focused on the growth and going after it.

最後，我們廣泛使用的高價值平台正在產生共鳴，確保綜合報告努力追尋尚未解決的 TAM。這一策略正在發揮作用。這就是它的意義所在，專注於成長並追求成長。

Okay, great. That's helpful context there. And then I guess, on the go-to-market changes and kind of the hiring that you've been working on, I guess, kind of where are we on that process? How are kind of the newer reps or some of the newer profile reps that you're hiring?

好的，太好了。這是很有幫助的背景資訊。然後我想，關於您一直在致力於的市場變化和招聘，我們在這個過程中處於什麼位置？您聘用的新銷售代表或一些較新的銷售代表的情況怎麼樣？

How are they beginning to resonate? And what the kind of productivity look like versus kind of what you've been targeting for those?

它們是如何開始產生共鳴的？與您所設定的目標相比，實際的生產力水平如何？

I'll just start off by saying we have been very vocal about the investment in go-to-market, and reps take anywhere from 6 to 12 months to ramp. So we are still ramping on a lot of the reps that we've hired. But again, going after it, investing in it, and we'll continue to invest going after that market opportunity.

首先我想說的是，我們一直非常重視對市場進入的投資，而銷售代表需要 6 到 12 個月的時間來提升。因此，我們仍在加強對已聘用銷售代表的力度。但再次強調，我們會繼續追求它、投資它，並且會繼續投資以追逐這個市場機會。

Again, has a time element to it. It's right there. And we want to keep our leadership position. So again, going after the growth and that -- and address TAM.

再次，它有一個時間元素。就在那裡。我們希望保持我們的領導地位。因此，再次追求成長，並解決 TAM 問題。

Okay, perfect. Thanks for taking the question.

好的，完美。感謝您回答這個問題。

Thank you.

謝謝。

Jake Roberge, William Blair.

傑克羅伯格、威廉布萊爾。

Yeah, thanks for taking the questions and congrats on the results. Great to hear that CSRD is starting to drive more demand to the platform. Could you just give us an update on the competitive environment that you're seeing in the ESG space? And if there are any kind of early inclinations about how Sustain.Life could actually factor into the win rates on that side?

是的，感謝您回答問題，並對結果表示祝賀。很高興聽到 CSRD 開始為該平台帶來更多需求。您能否向我們介紹一下您所看到的 ESG 領域的競爭環境？是否有任何關於 Sustain.Life 實際上如何影響那方面的勝率的早期傾向？

Sure. And I'll say this, I mean, even your question asking it is the competitive landscape gets -- is increasing, but still, we have a very differentiated platform as well as differentiated solutions. So while we might see some point solutions coming in or some competitors moving into some of the space, we are the only unified platform for assured integrated reporting.

當然。我想說的是，即使你的問題是競爭格局不斷加劇，但我們仍然擁有非常差異化的平台和差異化的解決方案。因此，雖然我們可能會看到一些點解決方案出現或一些競爭對手進入某些領域，但我們是唯一提供保證綜合報告的統一平台。

We did acquire Sustain.Life and then roll out Workiva Carbon on our platform. And we were very open and candid about why because often in parts of the market, we would see sustainability requiring carbon -- calculation of carbon emissions first. It's the most consistently regulated part of ESG or sustainability.

我們確實收購了 Sustain.Life，然後在我們的平台上推出了 Workiva Carbon。我們對此非常坦誠，因為在某些市場中，我們經常看到永續性需要先計算碳排放量。這是 ESG 或永續性中最受監管的部分。

So we wanted to capture that part of the market, make sure we were in deals so that we could again go out and sell the platform. ESG and then the full platform is a platform play for us. So we also wanted to make sure that we were answering the market's need for, in some cases, a single vendor to provide both carbon accounting and ESG.

因此，我們想佔領這部分市場，確保我們能達成交易，這樣我們就可以再次出去銷售該平台。ESG 以及整個平台對我們來說都是一個平台發揮。因此，我們也希望確保滿足市場的需求，在某些情況下，單一供應商可以同時提供碳會計和 ESG。

So we have now sustainability management reporting, which has both. And we believe that it will be significant for us in the platform play across the Board. So received great feedback from the market, continue to build pipe, and the value proposition of the ESG platform, including carbon is resonating.

所以我們現在有了永續管理報告，它兼具這兩點。我們相信，這對我們在整個平台上的運作都具有重要意義。因此，得到了市場的極大回饋，繼續建立管道，包括碳在內的ESG平台的價值主張正在引起共鳴。

Okay. Very helpful. And then I know that Europe and California are steady stream ahead. But now that the presidential election has been decided, can you maybe talk about some of the puts and takes that you could see around SEC mandates in the US just under the new administration?

好的。非常有幫助。然後我知道歐洲和加州正在穩步前進。但是現在總統大選已經塵埃落定，您能否談談在新政府領導下，美國證券交易委員會 (SEC) 授權可能面臨的一些變動和風險？

I'll start with that one. We -- time will tell around the SEC regulations. I mean, we've continued to grow under each administration regardless of who's in charge, operated now, I think, under eight different SEC chairs during the time of the company. But we're confident, our growth will continue. I mean, we remain confident in our market opportunity, including sustainability management reporting.

我先從那一個開始。我們－時間將告訴我們有關美國證券交易委員會 (SEC) 的規定。我的意思是，無論誰負責，我們都在每屆政府的領導下不斷發展，我認為，在公司成立期間，我們在八位不同的 SEC 主席的領導下運作。但我們確信，我們的成長將會持續下去。我的意思是，我們對我們的市場機會仍然充滿信心，包括永續發展管理報告。

It's about performance and growth and surfacing risks and managing those risks. And companies around the globe, as we talk to, are building and maturing their sustainability programs. And they're doing it to build durable growth companies and manage the demand to their stakeholders. So we feel confident regardless of that SEC regulation that our platform is continuing to be relevant, and our growth strategy is working.

它與績效、成長、風險暴露和管理這些風險有關。正如我們所說，全球各地的公司都在建立和完善他們的永續發展計畫。他們這樣做是為了建立持久成長的公司並管理利害關係人的需求。因此，無論美國證券交易委員會如何監管，我們都充滿信心，我們的平台將繼續具有相關性，我們的成長策略正在發揮作用。

Thanks for taking the questions.

感謝您回答這些問題。

Rob Oliver, Baird.

羅伯奧利弗，貝爾德。

Great, good evening. Thank you very much. Julie, my first question is for you. And by the way, thank you to you guys for hosting us in Denver. It was really helpful. Just at the analyst portion of the event in Denver, you called out ERP migrations as a trigger event. I noticed in response to Steve's question earlier, you did not list them as one of the drivers of business near term. And maybe it's just not the top one.

太好了，晚上好。非常感謝。朱莉，我的第一個問題是問你的。順便說一句，感謝你們在丹佛接待我們。這確實很有幫助。就在丹佛活動的分析師部分，您指出 ERP 遷移是一個觸發事件。我注意到，在之前回答史蒂夫的問題時，您並沒有將它們列為近期業務的驅動因素之一。也許它不是最好的。

But just wanted to get a sense since you had previously called out some ERP migration deals. Is that something that's happening right now for Workiva? Or is that more of a '25, '26 event? How significant is it to you guys at the moment and how significant could it be? And then I had a quick follow-up for Jill.

但只是想了解一下，因為您之前已經提到過一些 ERP 遷移交易。這是 Workiva 現在正在發生的事情嗎？還是這更像是 25、26 年的事件？目前這對你們來說有多重要以及它能有多重要？然後我對吉爾進行了快速跟進。

Sure. Yes. We have partnerships with some of the ERP vendors. We work with our Big 4 regional partners who've got dedicated ERP practices and they're frequently driving finance transformation and ERP changes.

當然。是的。我們與一些 ERP 供應商建立了合作關係。我們與四大區域合作夥伴合作，他們擁有專門的 ERP 實踐，並且經常推動財務轉型和 ERP 變革。

So we are part of, for example, say, the S/4HANA transformation playbook for one of the Big 4. So ERP implementations and upgrades for Workiva are absolutely a trigger event, and we continue to be a part of that transformation model.

例如，我們是四大公司之一的 S/4HANA 轉型劇本的一部分。因此，Workiva 的 ERP 實施和升級絕對是一個觸發事件，我們將繼續成為這個轉型模型的一部分。

Great. Helpful. Thank you. And then, Jill, just one for you on the sales investments. This came up a little bit earlier. But, obviously, you sort of called out that a fair amount of that investment was going to be focused on Europe, that there is a ramp to hiring time.

偉大的。很有幫助。謝謝。然後，吉爾，我再給你講一個關於銷售投資的問題。這個問題出現得稍早。但是，顯然，您提到相當一部分投資將集中在歐洲，因此招募時間會增加。

We just want to make sure that ahead of the CSRD implementation time line, at least that first tranche, that you guys are adequately staffed, adequately invested to meet that need. How should we think about your -- the hiring and the investments that you've made? Where are you in that process relative to where you need to be? Thank you.

我們只是想確保在 CSRD 實施時間表之前，至少是第一批，你們有足夠的人員和足夠的投資來滿足這項需求。我們該如何看待您的招募和投資？相對於您需要達到的目標，目前處於這個過程的哪個階段？謝謝。

Thanks for the question, Rob. We are still in the process of hiring quota reps around the globe, actually. But we do have a good amount of hiring that's happening within Europe. I would say that we are still in the process of working through that hiring and getting good results.

謝謝你的提問，羅布。實際上，我們仍在全球範圍內招募配額代表。但我們在歐洲確實有大量招募活動。我想說的是，我們仍在努力完成招募工作並取得良好成果。

And we're feeling good about the progress, but we are not done with the investments that we will make as far as hiring quota reps in that region or even in the US and other areas around the globe as we take advantage of this sustainability reporting opportunity in front of us.

我們對所取得的進展感到很滿意，但我們的投資還未完成，我們將利用這份永續發展報告，在該地區甚至美國和全球其他地區僱用配額代表機會就在我們面前。

Great helpful. Thanks again.

很有幫助。再次感謝。

Ryan Krieger, Wolfe Research.

克里格（Ryan Krieger），沃爾夫研究公司（Wolfe Research）。

Hey guys, thanks for taking the question. I just want to follow-on to Steve's question on the macro environment. It's great to hear that things are getting better or continue to be stable. But were there any verticals or geos, even geos here in the US, where buying trends were maybe better or worse than the average?

嘿夥計們，謝謝你們回答這個問題。我只是想繼續回答史蒂夫關於宏觀環境的問題。很高興聽到事情正在好轉或繼續穩定。但是，是否存在任何垂直行業或地區，甚至是美國的地區，其購買趨勢可能比平均水平更好或更差？

No. As mentioned in my prepared remarks, we continue to see a healthier buying environment. It's really marked by the broad-based demand across our entire solution portfolio and even across the geos. We saw some great platform deals closed in Q3, as I highlighted in the call. But it truly is a broad-based demand for us.

不。正如我在準備好的演講中所提到的，我們繼續看到更健康的購買環境。這確實標誌著我們整個解決方案組合乃至跨地區的廣泛需求。正如我在電話會議中所強調的那樣，我們在第三季度看到了一些很棒的平台交易的完成。但這對我們來說確實是一個廣泛的需求。

Great. And just on bookings, I think last quarter, you also called out record bookings. And then just looking at bookings from this quarter, it far exceeded that. So were there any kind of onetime dynamics this quarter or maybe any pull-forward dynamics from 4Q that maybe we should be aware of just like when we're looking at the rest of the year?

偉大的。就預訂量而言，我想上個季度您也宣布了創紀錄的預訂量。然後僅查看本季度的預訂量，它就遠遠超過了這個數字。那麼，本季是否存在某種一次性動態，或者從第四季度開始是否存在任何前拉動態，就像我們展望今年剩餘時間一樣，我們應該注意這些動態？

Now, we didn't really see any pull forward. I think it really has just been, as Julie discussed on the prepared remarks, a combination of performance and execution and what we've seen as a more positive buying environment through Q2 and Q3. But we aren't feeling like we're pulling from Q4 or pulling ahead deals. It really is just a good cadence and a clean pipeline, and we're really encouraged by what we're seeing there.

現在，我們確實沒有看到任何向前的拉動。我認為，正如朱莉在準備好的發言中所討論的那樣，這確實是業績和執行的結合，而且我們在第二季度和第三季度看到了更積極的購買環境。但我們並不覺得我們正在從第四季退出，或提前完成交易。這確實是一個很好的節奏和一個乾淨的管道，我們在那裡看到的一切確實讓我們感到鼓舞。

Awesome. Thank you, guys, and congrats on the great quarter.

驚人的。謝謝你們，恭喜你們取得了這個出色的季度成績。

Terry Tillman, Truist Securities.

特里·蒂爾曼（Terry Tillman），Truist Securities。

Hi, this is Dominique Manansala on for Terry. Thanks for taking my question. So just wanted to know how you're all viewing the growth potential of your financial reporting business outside of SEC reporting. I just want to know what kind of growth you're seeing in other use cases, particularly within capital markets, and maybe what your assumptions are for that part of the business heading into Q4?

大家好，我是 Dominique Manansala，代替 Terry 報道。感謝您回答我的問題。所以我只是想知道你們如何看待 SEC 報告之外的財務報告業務的成長潛力。我只是想知道您在其他用例中看到了什麼樣的成長，特別是在資本市場中，以及您對第四季該部分業務的假設是什麼？

Sure. As we highlighted in the call, our financial reporting business continues to grow. And you may have heard me talk about this multiple times as we did in Investor Day that financial reporting is SEC but beyond SEC. It's our global statutory reporting, our multi-entity reporting, and operational reporting and so forth. So we have reporting beyond SEC when you think about it.

當然。正如我們在電話會議中所強調的那樣，我們的財務報告業務持續成長。您可能已經聽過我多次談論這一點，就像我們在投資者日所說的那樣，財務報告屬於 SEC，但超越 SEC。這是我們的全球法定報告、多實體報告和營運報告等等。所以，如果你考慮一下，我們的報告超越了 SEC。

So very strong. And of course, it's fundamental to assured integrated reporting. And when you think about the CSRD requirements, it is about an integrated report, financial reporting, along with nonfinancial or sustainability data and assurance. So it is a healthy part of the Workiva platform and continues to be strong for us.

非常強大。當然，這對於保證綜合報告至關重要。當您考慮 CSRD 要求時，它涉及綜合報告、財務報告以及非財務或永續性數據和保證。因此，它是 Workiva 平台的一個健康組成部分，並且對我們來說會繼續保持強大的作用。

And just as a follow-on to that, thinking about capital markets, in particular, we aren't, at this time, stating that we think that there's any kind of a return there. We're, of course, watching it very closely along with the rest of the market. And we haven't built any kind of a return to capital markets into our models. We're just keeping that more consistent at this time. But we, like you all, are watching it really closely.

接下來，特別考慮資本市場，我們目前還沒有表明我們認為那裡有任何回報。當然，我們正與市場其他部分一起密切關注它。而且我們還沒有在模型中考慮任何形式的資本市場報酬。我們現在只是想保持這種一致性。但我們和你們大家一樣，正在密切關注此事。

Super helpful. Thank you.

超有幫助。謝謝。

Daniel Jester, BMO Capital Markets.

蒙特利爾銀行資本市場 (BMO Capital Markets) 的丹尼爾·傑斯特 (Daniel Jester)。

Great. Hi, this is Kyle Aberasturi on for Dan Jester. Thanks for taking my questions. I guess, first, it was nice to hear about the S/4HANA customer deal during the quarter. Could you maybe dig a bit deeper here? I guess, how did that deal progress compared to expectations? And then just more broadly, how do you feel about the S/4HANA customer pipeline heading into 2025?

偉大的。大家好，我是 Dan Jester 的 Kyle Aberasturi。感謝您回答我的問題。我想，首先，很高興聽到本季度 S/4HANA 客戶交易的消息。您能在這裡挖得更深一點嗎？我想問一下，與預期相比這筆交易進展如何？那麼更廣泛地說，您對 2025 年的 S/4HANA 客戶管道有何看法？

We don't talk about the future pipeline, but it's very indicative of, again, the trigger event of S/4HANA, our ERP upgrade or replacement. We have partners that are the Big 4. But other system integrators with dedicated practices for ERP implementations, they drive a lot of the decisions related to how ERP systems connect with other systems. And we have prebuilt connectors.

我們不會談論未來的管道，但它再次非常能說明 S/4HANA 的觸發事件，即我們的 ERP 升級或更換。我們的合作夥伴是四大會計師事務所。但是其他系統整合商擁有專門的 ERP 實施實踐，他們推動了許多與 ERP 系統如何與其他系統連接相關的決策。我們有預建的連接器。

We are there when they're looking for disclosure management on these platforms, for example, on S/4HANA. So these are typical for us. We get these -- whether it's a co-sell or a source deal motion, we work with these partners who, again, have these dedicated ERP practices and driving financial and digital transformation.

當他們尋求這些平台上的揭露管理時，例如在 S/4HANA 上，我們就在那裡。這些對我們來說都很典型。我們得到這些 - 無論是共同銷售還是來源交易動議，我們都與這些合作夥伴合作，他們再次擁有這些專門的 ERP 實踐並推動財務和數位轉型。

Great. And then on the carbon solutions, I guess, how or is carbon first deal faring relative to expectations? I understand it is early there. And then how is sales, if any, of the Workiva platform to carbon customers that came with the acquisition progressing? Thank you.

偉大的。然後關於碳解決方案，我想，碳優先協議相對於預期進展如何？我知道那裡還很早。那麼，Workiva 平台對收購帶來的碳客戶的銷售進度如何？謝謝。

Sure. Thank you, Daniel. We don't disclose solution-specific deal activity, but we are pleased with the momentum of our -- with our sales team and what they've been generating. Of course, sustainability offering is top of mind for us and particularly with Workiva Carbon now. So we've received some great feedback.

當然。謝謝你，丹尼爾。我們不會透露特定於解決方案的交易活動，但我們對我們的銷售團隊的發展勢頭以及他們所創造的成果感到滿意。當然，永續性產品是我們最關心的問題，尤其是現在的 Workiva Carbon。因此我們收到了一些很好的回饋。

We're continuing to build pipe. The value -- the full sustainability platform including carbon is resonating. And the other thing is our partners are very enthusiastic. And they're investing around the opportunity. So yes, as we mentioned, we are closing deals. And we are moving forward with sustainability management and reporting offering.

我們正在繼續建造管道。價值－包括碳在內的完整永續發展平台正在引起共鳴。另一件事是我們的合作夥伴非常熱情。他們正在利用這個機會進行投資。是的，正如我們所提到的，我們正在完成交易。我們正在推動永續性管理和報告服務。

And to follow on to Julie's comments, I wanted to point out that this is really organic growth. The business that we brought in as part of the Sustain.Life purchase was pretty immaterial where we really are focusing is the ability for us to then use Workiva Carbon and accelerate deals and get in the door, as Julie was talking about, where we otherwise maybe wouldn't have been able to as quickly. So it really is more of that organic business that it's driving.

接著朱莉的評論，我想指出的是，這確實是一種有機增長。我們在收購 Sustain.Life 時引入的業務並不重要，我們真正關注的是利用 Workiva Carbon 加速交易的能力，就像 Julie 所說的那樣，否則我們可能無法這麼快做到。因此，它所推動的其實更多的是有機業務。

Alexander Sklar, Raymond James.

亞歷山大·斯克拉、雷蒙德·詹姆斯。

Hi, thanks. This is John on for Alex. I realize it's been talked about quite a bit here, but just wanted to ask about the changes on the go-to-market side. Beyond the hiring commentary, where are we in some of the other initiatives? You mentioned Amplify, like shrinking territories? Has that been completed or is that still a work in progress? And I have a quick follow-up.

嗨，謝謝。這是約翰，代替亞歷克斯。我意識到這裡已經討論了很多，但我只是想問一下關於上市方面的變化。除了招募評論之外，我們在其他一些舉措方面進展如何？您提到了擴大，例如縮小領土？這項工作已經完成了嗎？我還有一個快速的跟進。

Sure. It is still a work in progress. We're improving. We're doing it globally. We're working to change ratios of our overlay sellers along with our account executives. So we're still moving there. And we're still working to improve our sales again, going to market with partners, working on platform plays, and so forth. So we're in the midst of those changes.

當然。這項工作仍在進行中。我們正在進步。我們正在全球範圍內這麼做。我們正在努力改變我們的覆蓋賣家和客戶經理的比例。所以我們仍在向那裡前進。我們仍在努力再次提高銷售量、與合作夥伴一起進軍市場、進行平台開發等等。我們正處於這些變化之中。

Okay. Helpful color there. And maybe just double click on the carbon commentary that we just had here. I wanted to dig in there. Just curious on some of the early learnings there. Are you finding success building pipe selling to prospective new ESG customers, like first-time Workiva customers? Or so far, has the pipeline success been with existing cross-sell into your ESG base?

好的。那裡有有用的顏色。也許只需雙擊我們剛才在此處看到的碳評論。我想深入挖掘那裡。只是對那裡的一些早期學習感到好奇。您是否發現向潛在的新 ESG 客戶（例如首次使用 Workiva 的客戶）銷售管道取得了成功？或者到目前為止，現有的交叉銷售是否已成功地融入您的 ESG 基礎中？

So we are going after both. But again, I'll remind you and those on the call, this is really a platform play, strategic addition to our platform that we believe will make our ESG solution and overall assured integrated reporting platform better. So this is really what the carbon accounting was about. And it does enable us to get access to more deals and yes, go after our base as well.

因此，我們兩者都要追求。但我再次提醒您和電話會議中的其他人，這確實是一個平台遊戲，是對我們的平台的策略性補充，我們相信它將使我們的ESG 解決方案和整體保證的綜合報告平台變得更好。這就是碳核算的真正意義。它確實使我們能夠獲得更多的交易，當然，也使我們能夠追逐我們的基地。

Okay. Thank you very much.

好的。非常感謝。

Adam Hotchkiss, Goldman Sachs.

高盛的亞當‧霍奇基斯（Adam Hotchkiss）。

Great. Thanks so much for taking the question, Julie. Could you just remind us on the go-to-market side, what you're anticipating from a mix and channel perspective for ESG in Europe? I know you lead heavily into your partners but have also talked about pretty substantial hiring plans.

偉大的。非常感謝您回答這個問題，朱莉。您能否提醒我們，在市場進入方面，您對歐洲 ESG 的組合和通路角度有何預期？我知道您非常重視您的合作夥伴，但也談到了相當重要的招募計畫。

So I'm just curious how that plan around mix between those two channels has evolved? And what gets you confident you're employing the right strategy there?

所以我只是好奇這兩個管道之間的混合計劃是如何發展的？那麼您如何確信自己所採取的策略是正確的呢？

Sure. In Europe, in general, we go to market with partners even more so than in North America, where we're less known, but partners are everywhere we want to be. So we're leaning heavy into that channel with ESG and our platform.

當然。總體而言，我們在歐洲市場與合作夥伴一起進入的次數比在北美還要多，在北美我們的知名度較低，但我們希望在任何地方都能找到合作夥伴。因此，我們透過 ESG 和我們的平台大力依賴該管道。

We are doing, as you said, a mix of both. But with ESG, it is absolutely partner first. And it is the play that we're using, and yes, going to market directly as well. But partners play a significant part in our -- in expediting our growth and executing on our strategy.

正如您所說，我們正在將兩者結合起來。但對於 ESG 來說，合作夥伴絕對是第一位的。這是我們採用的方法，當然，也是直接進入市場。但合作夥伴在我們加快發展和執行我們的策略方面發揮著重要作用。

Okay. Great. That's really helpful. And then just on the ESG uptake side of things, I think we've talked about this before. But just any new learnings in terms of the actual cohort go-lives through CSRD and how that impacts when customers would adopt your solution.

好的。偉大的。這真的很有幫助。關於 ESG 吸收方面，我想我們之前已經討論過這個問題了。但就透過 CSRD 實際上線的群組而言，任何新的學習都只是新的，並且會影響客戶何時採用您的解決方案。

So, obviously, we have some being impacted for the fiscal '24 reporting year and then subsequent years thereafter. Are you seeing some sensitivity to that timing? Or are you seeing customers sort of front-load their early work on get ESG deals done? Just curious how that's evolved.

因此，顯然，我們的 24 財年報告年度以及此後的幾年都會受到一定影響。您是否認為該時間安排有些敏感？或者您看到客戶預先投入前期工作來完成 ESG 交易？只是好奇它是如何演變的。

No, thanks for that question. It really does depend on where they are in their own ESG or sustainability path. We've been pretty consistent about communicating that this would be a long durable demand market with what we believe will be growth over multiple years.

不，謝謝你的提問。這實際上取決於他們在自己的 ESG 或永續發展道路上的位置。我們一直在強調，這將是一個長期持久的需求市場，我們相信未來多年都會保持成長。

But again, there are customers in that first cohort that are needing to comply in 2025, and we are seeing more and more demand for ESG and sustainability based on CSRD. But there are those that are very mature in their programs and those that are starting. There are some that will be box checkers. But there are thousands of companies over the course of the next few years and several years that will be complying.

但同樣，第一批客戶中有些需要在 2025 年遵守規定，而且我們看到基於 CSRD 的 ESG 和永續性的需求越來越多。但有些計劃已經非常成熟，而有些計劃才剛起步。有些人會成為箱子檢查員。但未來幾年內將有數千家公司遵守該規定。

So again, it depends on where you are in compliance requirements needing to meet them as well as where you are in your own journey on CSRD and sustainability. But we are, of course, seeing an uptick in companies that are working towards meeting those requirements. And many are not waiting.

所以，這取決於您需要滿足的合規性要求以及您在 CSRD 和永續性方面的進展。但當然，我們看到努力滿足這些要求的公司數量增加。但許多人並沒有等待。

And in fact, regulation hasn't even been in place whether here or in Europe yet, and again, has been our fastest-growing booking -- one of our fastest-growing booking solution now for nine quarters in a row.

事實上，無論是在這裡還是在歐洲，監管都還未到位，但我們的預訂業務連續九個季度保持成長最快的預訂解決方案之一。

Okay, thanks so much, Julie, appreciate it.

好的，非常感謝，朱莉，我很感激。

And this concludes today's conference call. Thank you for participating. You may now disconnect.

今天的電話會議到此結束。感謝您的參與。您現在可以斷開連線。