Intapp(US:INTA)2021-11-13 16:43Financial Data and Key Metrics Changes - Cloud ARR grew 56% year-over-year to $125 million, representing 55% of total ARR, which increased by 27% to $229 million [11][34] - Total revenue reached $62.2 million, up 29% year-over-year, driven by cloud solutions and professional services revenue [36] - SaaS and support revenue was $43.5 million, reflecting a 31% year-over-year increase [36] - Non-GAAP operating loss was $0.9 million compared to an operating profit of $3.6 million in the prior year [42] Business Line Data and Key Metrics Changes - SaaS and support revenue increased by 31% year-over-year, while subscription license revenue rose to $10.6 million from $10 million in the prior year [36] - Professional services revenue grew to $8.1 million from $5 million in the prior year, indicating a recovery in the market [36] Market Data and Key Metrics Changes - The company serves over 1,950 clients across more than 40 countries, with 446 clients generating over $100,000 in ARR [37] - The net revenue retention rate was above the expected range of 108% to 112% [37] Company Strategy and Development Direction - The company focuses on a vertical industry cloud strategy targeting professional and financial services, emphasizing the need for purpose-built technology solutions [9][12] - The land-and-expand strategy aims to integrate solutions into clients' operations, creating a reliable revenue base in a differentiated market [32] Management's Comments on Operating Environment and Future Outlook - Management noted strong demand in target markets and a positive response to the transition to a public company, enhancing brand visibility and client confidence [73][74] - The company anticipates continued growth driven by digital transformation and cloud adoption in the professional and financial services sectors [31][78] Other Important Information - The company raised its FY '22 revenue guidance while maintaining profitability guidance, indicating confidence in future growth [45][46] - The balance sheet showed $54.9 million in cash and cash equivalents, with accounts receivable decreasing by $16.9 million [44] Q&A Session Summary Question: Cloud revenue growth details - Management indicated balanced contributions from both financial and professional services, with upselling and new logo sales contributing to growth [50] Question: Q2 SaaS and support guidance - Management explained that on-premises business variability affects guidance, but they remain optimistic about future performance [53] Question: Expense growth sources - Management highlighted increased investments in sales and marketing to capture market momentum, with a focus on hiring [60] Question: Client dynamics and mix - Management noted balanced client additions across firm sizes, with a slight preference for financial services in new logo sales [62] Question: Real estate investment management market opportunity - Management discussed the potential in the real estate segment, emphasizing the replacement of legacy systems with their purpose-built solutions [66] Question: Net revenue retention expectations - Management acknowledged the strong performance but refrained from adjusting the target range for net revenue retention at this time [69] Question: Brand awareness post-IPO - Management reported increased visibility and client confidence since going public, enhancing their market position [73] Question: International market performance - Management confirmed strong demand in both Europe and Asia Pacific, with no significant negative impact from reopening dynamics [99] Question: Catalysts for platform adoption - Management noted that the shift to cloud-first strategies among top firms has accelerated due to COVID-19, creating new opportunities [105]