Summary of ZoomInfo Technologies FY Conference Call Company Overview - **Company**: ZoomInfo Technologies (NasdaqGS: GTM) - **Business Model**: Go-to-market intelligence platform providing data and software for sales, marketing, and customer success professionals - **Customer Base**: Over 35,000 customers, including more than 50% of the Fortune 500 [3][4] Key Business Metrics - **Data Foundation**: 100 million companies, 500 million business professionals, and billions of signals [3] - **Business Segmentation**: - Up-market: 73% of total mix, growing 6% [4] - Down-market: 27% of total mix - **Growth Targets**: Aiming for up-market to reach 75% in the near term and 80% in the next couple of years [17][18] Product Developments - **Copilot**: - 25% customer adoption; migration from legacy SalesOS to Copilot has improved net revenue retention [25][26] - First renewal rates for Copilot customers are performing mid- to high single-digit better than legacy customers [28] - **Go-to-Market Studio**: - Fastest-growing segment, over 15% of total ACV, growing 20% year-over-year [30] - Acts as an orchestration engine for organizing and enriching GTM data [30] - **AI Action Credits**: New monetization strategy linked to customer consumption trends [35][39] Market Dynamics - **Macro Environment**: - Post-COVID correction in sales headcount; neutral trends observed in hiring with pockets of growth [10][11] - Shift in layoffs from sales and marketing to R&D and support roles [15] - **Competition and AI Impact**: - AI is seen as a forcing function for market consolidation and enhancing the importance of data [60][61] Financial Performance - **Net Retention Rate**: Improved to about 90%, with a long-term goal of reaching 95% and eventually 100% [43][46] - **Free Cash Flow**: Focus on free cash flow per share growth, with guidance for high single-digit growth in 2025 [69][70] - **Profitability**: Up-market business has significantly higher margins compared to down-market, with ongoing efforts to improve operational efficiency [66][67] Strategic Partnerships - **Salesforce Partnership**: Expanded integration with Salesforce's Agentforce platform, expected to enhance top-line growth and customer retention [62][64] Investor Insights - **Underappreciated Aspects**: The operations business is highlighted as a strong growth area, benefiting from AI and showing 20%+ growth [72] Conclusion - ZoomInfo Technologies is positioned for continued growth with a strong focus on up-market expansion, innovative product offerings, and strategic partnerships, while maintaining a commitment to improving financial metrics and customer retention.

Summary of ZoomInfo Technologies Conference Call Company Overview - **Company**: ZoomInfo Technologies (NasdaqGS: GTM) - **Event**: 2025 Conference on December 03, 2025 Key Industry Insights - **Growth Trajectory**: ZoomInfo has rebounded to a 5% year-over-year growth over the last two quarters, with Net Revenue Retention (NRR) improving to 90%, up from the mid-80s% [5][6] - **Market Positioning**: The company is focusing on moving upmarket, which has shown to retain customers at higher rates and grow faster, contributing to a more durable customer base [6][7] Core Business Strategies - **Upmarket Focus**: ZoomInfo has shifted 10 percentage points of revenue upmarket, with a 6% growth in the upmarket segment last quarter, up from 4% previously [6][7] - **AI Integration**: The introduction of the Copilot product in May 2024 has led to higher retention rates, with customers using AI functionalities seeing mid to high single-digit improvements in retention compared to legacy products [7][12] - **Operations Business Growth**: The operations segment is growing at 20% year-over-year and now constitutes 15% of Annual Contract Value (ACV) [9][10] Product Development and Customer Engagement - **Copilot Migration**: Approximately $250 million of ACV is now attributed to Copilot, with a three-year migration plan from legacy SalesOS to Copilot [12][15] - **GTM Studio and Workspace**: These products are designed to create a go-to-market AI platform, allowing for better audience targeting and personalized messaging [19][20][21] - **Verticalized Data Sets**: ZoomInfo is focusing on creating specialized data sets for various industries, enhancing customer engagement and targeting capabilities [46][48] Financial Performance and Projections - **Upmarket Growth**: Upmarket retention rates have been above 100% for the past two quarters, with a goal to reach 105% to drive overall growth [34][39] - **Downmarket Challenges**: The downmarket segment has been declining in the low teens, with efforts to make it a smaller, healthier part of the business [36][37] - **Revenue Growth vs. Profitability**: The company aims to balance revenue growth with improved profitability, leveraging AI products while managing operating expenses effectively [54][55] Customer Trends and Market Dynamics - **Demand Shifts**: Customers are increasingly hiring outbound Sales Development Representatives (SDRs) to compensate for demand gaps caused by AI and LLMs affecting website traffic [29][31] - **Win-back Opportunities**: Former customers are returning due to the realization of the importance of data quality, particularly for AI applications [31][32] Conclusion - ZoomInfo is strategically positioning itself for future growth through a focus on upmarket customers, AI integration, and specialized data offerings. The company is optimistic about its ability to enhance revenue growth while maintaining profitability, despite challenges in the downmarket segment.

Summary of ZoomInfo Technologies FY Conference Call Company Overview - **Company**: ZoomInfo Technologies (NasdaqGS: GTM) - **Date of Conference**: November 18, 2025 - **Key Speaker**: Graham O'Brien, CFO Key Points Industry and Business Performance - **Stabilization and Improvement**: The past year has shown stabilization in the business, with Q3 marking the beginning of improvement. [4] - **Revenue Growth**: Q3 revenue reached $318 million, representing a 5% year-over-year growth. [4] - **Net Revenue Retention**: Achieved 90% for the first time in several quarters, up from 89%. [4] - **ACV Growth**: Upmarket business ACV growth accelerated from 4% to 6%, while downmarket improved by 1%. [4] Upmarket Focus - **Shift to Upmarket**: The upmarket business now constitutes 73% of total ACV, up from 68% year-over-year. [5] - **Profitability**: The upmarket segment is more profitable than the downmarket segment, with 100% retention in upmarket customers for two consecutive quarters. [5] - **Operations Business Growth**: The operations business, primarily upmarket, is growing at 20% year-over-year and now represents over 15% of total business. [5] Product Development and AI Integration - **Operations Suite**: A data suite that allows customers to access proprietary data on a subscription basis, enhancing their go-to-market strategies using AI. [8] - **Customer Demand for AI**: There is a growing demand for AI-driven go-to-market solutions across various customer segments, with both large and small companies seeking assistance. [10] - **GTM Workspace and Studio**: New products designed to streamline sales processes and enhance productivity by reducing context switching for sales professionals. [21][27] Customer Retention and Renewal - **Copilot Product**: Launched in Q2 2024, showing better renewal outcomes compared to legacy products, with mid to high single-digit percentage improvements. [18] - **Renewal Strategy**: High utilization of products like Copilot leads to better renewal conversations, with customers advocating for continued use and expansion. [52] Financial Outlook - **Free Cash Flow**: The company generates significant free cash flow and has been aggressive in share buybacks, retiring 80 million shares since the program's initiation. [65] - **Future Growth**: Plans to accelerate free cash flow per share growth through top-line growth, margin expansion, and continued buybacks. [66] Market Dynamics - **Sales Hiring Trends**: There is a shift back towards hiring outbound sales personnel, particularly among upmarket customers. [35] - **AI Impact on Sales**: The integration of AI tools is expected to enhance sales efficiency, allowing companies to either increase headcount or improve productivity without additional hires. [33] Investor Sentiment - **Positive Feedback**: Investors expressed surprise and satisfaction with the upmarket acceleration and improvements in downmarket performance. [67] - **Future Expectations**: Investors are keen on understanding the evolution of products like GTM Workspace and the growth potential of the operations business. [67] Additional Insights - **Data Advantage**: ZoomInfo's proprietary data and extensive investment in data acquisition provide a competitive edge over competitors relying on publicly available data. [15] - **AI Action Credits**: Introduction of a consumption-based model for AI actions, allowing customers to pay based on usage, which is expected to become more common in the market. [44] This summary encapsulates the key insights and developments discussed during the ZoomInfo Technologies FY Conference Call, highlighting the company's strategic focus on upmarket growth, product innovation, and financial health.

Core Insights - ZoomInfo's third quarter results exceeded Wall Street's revenue and profit expectations, driven by a transition to larger enterprise customers and the scaling of AI-powered products [1][3] - The company reported a revenue of $318 million, surpassing analyst estimates of $303.8 million, reflecting a 4.7% year-on-year growth [6] - Adjusted EPS was $0.28, beating analyst estimates of $0.26 by 9.5% [6] Financial Performance - Adjusted Operating Income reached $117.7 million, with a margin of 37%, exceeding analyst expectations of $111.7 million [6] - Annual Recurring Revenue (ARR) was reported at $1.25 billion, above estimates of $1.20 billion, marking a 4% year-on-year growth [6] - Operating Margin improved to 21.2%, up from 14.3% in the same quarter last year [6] Customer Metrics - The company has 1,887 customers paying more than $100,000 annually [6] - Billings at the quarter end were $277.6 million, reflecting a 1.7% year-on-year decline [6] Management Commentary - CEO Henry Schuck highlighted the success of proprietary data assets and products like Copilot and GTM Workspace in driving customer engagement and net revenue retention [1] - CFO Graham O'Brien attributed revenue strength to Copilot renewal uplift, large deal wins, and an upmarket shift [6] - Positive early feedback on GTM Studio was noted, particularly regarding unified data management and campaign execution capabilities [6] Guidance and Market Outlook - Revenue guidance for Q4 CY2025 is set at $308.5 million at the midpoint, above analyst estimates of $304.8 million [6] - Full-year Adjusted EPS guidance was raised to $1.05 at the midpoint, indicating a 5% increase [6] - Market Capitalization stands at $3.30 billion [6]