Financial Data and Key Metrics Changes - Total revenue in Q2 was $324 million, representing a 14% year-over-year growth [20] - Non-GAAP operating income was $44 million, with a non-GAAP operating margin of 13% [20] - Current RPO (Remaining Performance Obligations) grew 21% year-over-year, while current deferred revenue increased by 13% [21] Business Line Data and Key Metrics Changes - Strong quarter for large deals, with 6 and 7 figure deals growing 21% year-over-year, resulting in over 2,500 customers contributing more than $100,000 in ARR [5] - The mix between volume expansion and product cross-sell improved to 70-30 from the historical 80-20, driven by higher attach rates of the Financials suite [22] Market Data and Key Metrics Changes - International revenue grew 13% year-over-year, impacted by currency headwinds, but on a constant currency basis, it grew 16% [20] - Significant global expansion wins included contracts with major contractors in Japan and the UAE, as well as partnerships with universities and large utility companies [14][15] Company Strategy and Development Direction - The company is focused on a go-to-market transition aimed at efficient growth and deeper customer partnerships [5] - Innovations introduced include Procore Helix, which enhances AI capabilities, and a comprehensive portfolio management solution for owners [7][8] - The company aims to leverage AI to transform workflows and attract a new generation of talent to the construction industry [11] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future of construction, highlighting customer resilience and the potential for technological transformation [10][86] - The company is on track for solid operating margin improvement and aims for higher margins in the coming years [24][26] - The outlook for Q3 2025 anticipates revenue between $326 million and $328 million, representing year-over-year growth of 10% to 11% [27] Other Important Information - The company has achieved FedRAMP designation, enhancing its ability to serve federal agencies and contractors [17] - Management emphasized the importance of maintaining a disciplined approach to spending while focusing on operational leverage [27] Q&A Session Summary Question: Customer adoption of AI and platform unification - Management noted that customer demand for automation is high, and they are seeing unique challenges that customers want to address through the platform [30][31] Question: Go-to-market changes and productivity - The transition is progressing as planned, with improvements in conversion pipeline and deal cycles noted [38][39] Question: Rule of 40 and margin expansion - Management reiterated commitment to margin expansion, indicating that profitability will drive improvements in the Rule of 40 metric [46][61] Question: Customer feedback on pricing models - Management indicated flexibility in pricing models, with a focus on meeting customer preferences, especially in the owner segment [51][53] Question: Free cash flow generation - Management stated that free cash flow margins are expected to align with operating margins for the full year, despite quarterly fluctuations [78] Question: Impact of tariffs on customer projects - Customers are resilient and have built flexibility into their business models to manage tariff impacts [85][86] Question: Product packaging and bundling feedback - Early pilots on product packaging are ongoing, aimed at streamlining the sales process and meeting customer needs [130][132]