Financial Data and Key Metrics Changes - Total revenue for Q3 2025 was $276 million, up 3% year-over-year, with a 7% increase when excluding license and maintenance revenue [18] - Cloud revenue increased by 21% to $105 million, slightly better than expected [19] - Services revenue declined by 3% to $133 million, impacted by budgetary constraints [19] - RPO (Remaining Performance Obligations) increased by 23% year-over-year to $2.1 billion [20] - Adjusted operating profit was $103 million, with an adjusted operating margin of 37.5%, up about 40 basis points year-over-year [21] - Adjusted earnings per share (EPS) for Q3 was $1.36, up 1%, while GAAP EPS was $0.96, down 7% [22] Business Line Data and Key Metrics Changes - Cloud revenue growth was a significant driver of overall performance, with strong execution in services revenue [5][19] - The company experienced a 70% win rate, with new logos representing approximately 35% of the pipeline [7][8] - The services backlog and pipeline are expected to support growth in 2026 [5] Market Data and Key Metrics Changes - The company operates in diverse end markets, including retail, grocery, food distribution, life sciences, and technology [8] - Notable deals in Q3 included conversions from on-premise to cloud solutions across various sectors, indicating strong market demand [9] Company Strategy and Development Direction - The company is focused on strategic investments in sales and marketing to drive growth, particularly in converting on-premise customers to cloud solutions [10][29] - The introduction of Agentic AI across all solutions aims to enhance operational efficiency and customer engagement [11][14] - The company plans to continue its proactive approach to customer conversions and renewals, leveraging a dedicated renewal team [10][74] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about achieving high-end RPO goals for 2025 and expects 20% cloud revenue growth in 2026 despite macroeconomic uncertainties [29][28] - The company anticipates a significant renewal cycle over the next 18 months, which is expected to positively impact RPO [33] Other Important Information - The company announced the appointment of Greg Betts as Chief Operating Officer to enhance operational frameworks around conversions and renewals [10] - The company has a strong cash position with $264 million in cash and zero debt, allowing for continued investment in share repurchases [23] Q&A Session Summary Question: Can you share more on RPO levels and visibility for 2026? - Management noted that RPO showed double-digit growth when normalizing for FX, with a major renewal cycle expected to provide clarity and optimism for future RPO levels [32][33] Question: What are the conversion strategies for on-premise customers? - The company is taking a more proactive approach to conversions, offering fixed-fee, fixed-timeline options to a cohort of similar customers, resulting in a strong pipeline [36][37] Question: How is the fourth quarter looking compared to last year? - Management indicated that the fourth quarter is off to a strong start, with expectations for a performance similar to last year [42] Question: What role will Greg Betts play in the growth story? - Greg Betts will focus on conversions, renewals, and strengthening the partner ecosystem to accelerate pipeline growth [44] Question: What are the risks associated with the fixed-fee conversion strategy? - The company is confident in the repeatability of the conversion process due to the similarity among customers, which reduces risk [48] Question: How is the services pipeline looking as you head into 2026? - Management expressed optimism about the strengthening services pipeline and backlog, indicating a positive outlook for 2026 [56] Question: What impact is Agentic AI having internally and externally? - Internally, Agentic AI is providing leverage across departments, while externally, it is resonating well with customers, enhancing deployment speed and efficiency [92][94]

Core Insights - Atomic, an AI-powered platform, is transforming the $20 billion supply chain planning market and has successfully closed a $3 million seed funding round [1] - The founders, Michael Rossiter and Neal Suidan, previously worked in Tesla's supply chain and were inspired to create Atomic after facing challenges during the Model 3 launch [2] - The platform aims to provide better tools for supply chain planners, moving them away from error-prone spreadsheets to an AI-driven inventory management system [3] Company Overview - Atomic was founded to address the inefficiencies in supply chain planning, particularly the reliance on spreadsheets that hinder scalability and speed [4][5] - The platform utilizes agentic AI to offer a configurable framework that allows for quick onboarding and integration with existing data sources [8] Product Features and Benefits - Atomic's simulation engine provides real-time modeling of supply and demand, enabling planners to adapt workflows effectively [6] - Early customers have reported significant improvements, including a 50% reduction in inventory levels while maintaining a 99% in-stock rate [6] - The platform has demonstrated a 20-50% reduction in inventory costs, a 3.5x increase in inventory turnover, and saved planners over 40 hours per week [9] Strategic Partnerships and Funding - The seed funding round included investments from DVx Ventures and Madrona Ventures, both known for supporting transformative AI startups [1][11] - The company plans to expand its engineering team and enhance AI capabilities with the new funding [11] Future Plans - Atomic aims to offer Rapid Onboarding for NetSuite clients by the end of 2025, facilitating easier enterprise adoption [11]