Financial Data and Key Metrics Changes - The company reported operating earnings of $0.25 per security for FY 2025, in line with guidance, and forecasts earnings and distributions for FY 2026 of $0.255 per security, reflecting a 2% growth over FY 2025 [4][5][31] - The net tangible assets (NTA) per security as of June 30, 2025, is $4.59, consistent with the previous half-year results, with minor impacts from swap movements [5][12] - The portfolio delivered a 3% like-for-like net property income growth, with 54% of income being CPI linked [5][10] Business Line Data and Key Metrics Changes - The portfolio consists of a diversified real estate portfolio valued at approximately $5.5 billion, with an occupancy level of 99.9% and a weighted average lease term (WALT) of 9.3 years [3][22] - The company completed $715 million of new interest rate hedging, with 89% of debt hedged as of June 30, 2025, and an average forecast hedging of 72% for FY 2026 [6][14] Market Data and Key Metrics Changes - The portfolio value is on average 18% higher in June 2025 compared to June 2020, driven by contracted and market rental growth [7] - The average cap rate of the portfolio is 5.4%, reflecting no change over the past twelve months [21] Company Strategy and Development Direction - The company aims to provide stable and secure income while targeting both income and capital growth through a diversified portfolio leased to corporate and government tenants [30] - Active curation and asset recycling are ongoing to enhance portfolio quality, with a focus on acquiring accretive strategic assets [14][30] Management's Comments on Operating Environment and Future Outlook - Management believes valuations have troughed and expects some cap rate compression and valuation growth in the coming period due to a lower interest rate environment [33][89] - The company is optimistic about tenant demand across various sectors, particularly in retail and industrial, with long leases in place [72] Other Important Information - The company has maintained net zero Scope one and Scope two emissions for assets under its operational control and has installed 8.9 megawatts of solar across its portfolio [28][29] - Moody's reaffirmed the company's Baa1 investment grade credit rating [7][13] Q&A Session Summary Question: Regarding acquisitions and balance sheet capacity - Management indicated that current gearing is within the target range and expressed confidence in future valuation growth due to expected interest rate cuts [33][89] Question: On the Department of Defense acquisition and market rents - Management is negotiating to extend the lease and sees potential for the property to become a long-term asset [36][52] Question: On cost of debt and margins - Average margins remain just under 1.5%, with no significant changes expected [42] Question: On acquisition opportunities and market conditions - Management noted that while there are limited high-quality long-term opportunities, they remain active in the sale and leaseback space [46] Question: On the ALE portfolio and rental expectations - Management believes the ALE portfolio remains under-rented and is confident in its value [84]

Financial Data and Key Metrics Changes - The company reported revenue of $259 million in Q2 2025, a 29% increase year over year [30] - Vehicle deliveries reached 3,309 units, up 38% year over year, marking the sixth consecutive quarter of record deliveries [5][30] - Gross margin for the quarter was negative 105%, primarily due to a $54 million impact from tariffs, which accounted for a 21 percentage point decrease in gross margin [31] - Adjusted EBITDA was negative $632 million, down 12%, driven mainly by gross margin pressure [33] - The company ended the quarter with $3.6 billion in cash and investments, and total liquidity of $4.86 billion [34] Business Line Data and Key Metrics Changes - The company produced 3,863 vehicles in Q2 2025, an 83% increase year over year [6][30] - The Lucid Gravity vehicle is expected to be the majority of deliveries in the second half of the year, with production ramping up [61] Market Data and Key Metrics Changes - The company is navigating a volatile market environment, with ongoing challenges in the AAV sector, particularly in supply chain [30][34] - The company has updated its annual production guidance to a range of 18,000 to 20,000 vehicles for 2025 [36] Company Strategy and Development Direction - The company is focused on operational discipline, building a distinctive scalable brand, and maintaining a sustainable edge through technology [10] - A partnership with Uber was announced, involving a $300 million investment to support the development of a next-generation premium robotaxi [7][28] - The company plans to implement a one-for-ten reverse stock split to ensure equity remains accessible to institutional investors [29] Management Comments on Operating Environment and Future Outlook - Management acknowledged challenges in production due to supply chain issues but expressed confidence in overcoming these obstacles [12][13] - The company is committed to building a great business around its products, focusing on innovation, scaling responsibly, and maintaining capital discipline [25][37] Other Important Information - The company is expanding its brand awareness through partnerships with cultural figures, including Timothee Chalamet as a global brand ambassador [9][10] - The company is also working on enhancing its technology, including a software update for its advanced driver assist system [19] Q&A Session Questions and Answers Question: How many current Gravity orders are there? - The company does not disclose specific order numbers but noted a high conversion rate once customers experience the vehicle [39] Question: Is the midsize platform still on target for production in late 2026? - The midsize platform is still scheduled for production in late 2026, with deliveries expected to ramp up throughout 2027 [40][41] Question: How will the partnership with Uber aid in company growth? - The partnership is seen as an entry into a large market and validates the company's scalable platform [42] Question: Should we expect any changes to the midsize initial ASPs as they ramp up? - There are no expectations for changes to the initial ASPs of the midsize platform [44][46] Question: Can you provide an update on the Atlas powertrain? - The Atlas powertrain is on track to achieve the same efficiency or better at a lower cost [56] Question: How much do write-downs on inventories and losses on firm purchase commitments relate to tariffs? - The tariff impact in Q2 was approximately $55 million, with expectations for reimbursements later in the year [77][81]

Financial Data and Key Metrics Changes - The company reported a net loss of $56 million for Q1 fiscal 2026, compared to a net loss of $33 million in the same period of 2025, primarily due to increased depreciation and amortization and a higher income tax provision [6][20][21] - Revenue grew by 4% year over year, driven largely by double-digit growth in the defense and advanced technology segment [6][20] - Adjusted EBITDA increased by 1% year over year, reaching $408 million, primarily from double-digit growth in information security and cyber defense [6][20][21] Business Line Data and Key Metrics Changes - Communication services revenue was $827 million, flat compared to the prior year, reflecting growth in aviation and government SATCOM, offset by the sale of the energy system integration business and declines in maritime and U.S. fixed broadband [22][24] - Aviation revenue grew by 14%, driven by a 9% year-over-year increase in commercial aircraft and service [22] - The defense and advanced technologies segment saw awards of $428 million, a 22% increase year over year, with revenue of $344 million, up 15% compared to the previous year [26][27] Market Data and Key Metrics Changes - The maritime revenue declined by 5% year over year, while the fixed services and other revenue decreased by 13% due to a decline in U.S. fixed broadband subscribers [24][25] - The company ended the quarter with 172,000 fixed broadband subscribers and an average revenue per user of $115 [25] - The government SATCOM revenue grew by 4% year over year, primarily reflecting airtime services for U.S. government satellite services [22] Company Strategy and Development Direction - The company aims to optimize the integration of ViaSat and Inmarsat resources and establish growth opportunities to yield attractive cash conversion [10][11] - The focus remains on reducing capital intensity while investing for growth in target markets, with plans to exit fiscal 2026 with a solid foundation for accelerated growth and cash generation [11][30] - The company is working to deliver commitments and position franchises for sustained and profitable growth, particularly through the rollout of NexusWave and the deployment of ViaSat-three satellites [33][34] Management's Comments on Operating Environment and Future Outlook - Management acknowledged challenges in the operating environment, including pressures in fixed broadband and OEM aircraft delivery rates, but expressed confidence in the company's ability to navigate these challenges [13][14] - The outlook for fiscal 2026 includes expectations for low single-digit revenue growth and flattish year-over-year adjusted EBITDA growth, with a focus on cash flow generation [29][30] - Management emphasized the importance of improving operational and capital productivity while capturing share in large and growing markets [33][34] Other Important Information - The company generated $60 million of positive free cash flow in the quarter, bringing the trailing twelve months total to $88 million [21] - The company is focused on reducing leverage, with a goal to achieve a long-term leverage ratio below three times EBITDA [32] Q&A Session Summary Question: How does Trellisware compare with mobile ad hoc networking peers? - Trellisware operates in the mobile ad hoc networking space with a proprietary networking waveform, while competitors may use WiFi-based systems. The U.S. government and allies have adopted Trellisware's waveforms as standards, driving growth [40][41] Question: Can Trellisware's technology be used for aerial platforms and weapon systems? - Yes, Trellisware's technology can extend to unmanned aerial vehicles and other platforms, although initial focus has been on specific military applications [44][45] Question: What is the general penetration of next-generation encryption products? - There is a significant upgrade cycle driven by the need for national security encryption systems to be robust against quantum computing, leading to increased sales for encryption products [46][47] Question: How does the company view the potential for spin-offs? - The company evaluates its portfolio based on synergy and capital needs, considering whether keeping businesses together provides benefits or if separating them could enhance value [59][62] Question: What is the company's approach to shared infrastructure among satellite operators? - The company believes in creating shared infrastructure to reduce capital intensity and improve efficiency, allowing multiple operators to benefit from shared resources [66][67] Question: What is the company's strategy regarding spectrum holders? - The company aims to work with spectrum holders to create a shared infrastructure model that reduces capital investments and provides a utility-like service, ensuring fair treatment among all operators [100][101]

Coupang (CPNG) Q2 2025 Earnings Call August 05, 2025 05:30 PM ET Company ParticipantsMichael Parker - VP - Head of IRBom Kim - Founder, CEO & ChairmanGaurav Anand - CFOEric Cha - Executive DirectorWei Fang - DirectorConference Call ParticipantsStanley Yang - AnalystSeyon Park - AnalystJiong Shao - Equity Research AnalystOperatorHello, everyone. My name is Krista, and I will be your conference operator today. At this time, I would like to welcome everyone to the Kupong twenty twenty five Second Quarter Earni ...

Financial Data and Key Metrics Changes - The company reported revenue of $259 million in Q2 2025, a 29% increase year over year [31] - Vehicle deliveries reached 3,309 units, up 38% year over year, marking the sixth consecutive quarter of record deliveries [5][31] - Gross margin for the quarter was negative 105%, primarily due to a $54 million impact from tariffs, which accounted for a 21 percentage point decrease in gross margin [32] - Adjusted EBITDA was negative $632 million, down 12%, driven mainly by gross margin pressure [33] - The company ended the quarter with $3.6 billion in cash and investments, and total liquidity of $4.86 billion [34] Business Line Data and Key Metrics Changes - The company produced 3,863 vehicles in Q2 2025, an 83% increase year over year [5][31] - The Lucid Gravity is expected to be the majority of deliveries in the second half of the year, with production ramping up [63] Market Data and Key Metrics Changes - The company is navigating a volatile market environment, with ongoing challenges in the AAV sector, particularly in supply chain [31][34] - The company has updated its annual production guidance to a range of 18,000 to 20,000 vehicles for 2025 [37] Company Strategy and Development Direction - The company is focused on operational discipline, building a distinctive scalable brand, and maintaining a sustainable edge through technology [11] - A partnership with Uber was announced, involving a $300 million investment to support the development of a next-generation premium robotaxi [7][29] - The company plans to implement a one-for-ten reverse stock split to ensure equity remains accessible to institutional investors [30] Management's Comments on Operating Environment and Future Outlook - Management acknowledged challenges in production due to supply chain issues but expressed confidence in overcoming these obstacles [12][14] - The company is committed to building a robust supply chain and making strategic decisions for long-term success [26][38] - Management remains optimistic about the future of EVs and expects normalization in demand over the coming years [47] Other Important Information - The company is actively pursuing partnerships beyond traditional sales, indicating a shift towards monetizing technology through licensing deals [9][58] - The company has secured a preliminary agreement with GraphiteOne to source graphite domestically, beginning in 2028 [15] Q&A Session Summary Question: How many current Gravity orders are there? - The company does not disclose specific order numbers but noted a high conversion rate once customers experience the vehicle [40] Question: Is the midsize platform still on target for production in late 2026? - Yes, production is still scheduled for late 2026, with deliveries expected to ramp up throughout 2027 [41] Question: How will the partnership with Uber aid in company growth? - The partnership is seen as an entry into a large market and validates Lucid's scalable platform [43] Question: Should we expect any changes to the midsize initial ASPs as they ramp up? - There are no plans to change the ASP of the midsize platform [45][47] Question: Can you provide an update on the Atlas powertrain? - The Atlas powertrain is on track, targeting the same efficiency at a lower cost [58] Question: How much of the inventory write-downs is attributable to tariffs? - The tariff impact in Q2 was approximately $55 million, with expectations for reimbursements later in the year [78]

Financial Data and Key Metrics Changes - In Q2 2025, Xcel generated record quarterly revenue of $336 million, representing a year-over-year growth of 9% [5][13] - Adjusted EBITDA for the second quarter was $53 million, a year-over-year increase of 7% compared to Q2 2024 [13] - Total revenue without the Fairmont Park acquisition was $317 million, reflecting a year-over-year growth of 2.4% [13] Business Line Data and Key Metrics Changes - Revenue from the Illinois distributed gaming market was $245 million, up over 8% year-over-year [6] - Montana's distributed gaming route grew revenue by 2.6% [7] - Revenue from developing markets, Nebraska and Georgia, increased by 26% and 35.5% respectively, while Nevada's revenue declined by 7.7% due to the loss of a key customer [7][8] Market Data and Key Metrics Changes - Xcel operated approximately 27,400 terminals across more than 4,400 locations, representing year-over-year increases of 3.4% and 3.1% respectively [13] - The local gaming market is estimated at over $15 billion nationally, with Xcel focusing on smaller, less professional operators for acquisition opportunities [11][30] Company Strategy and Development Direction - Xcel aims to leverage its competitive position and healthy balance sheet to pursue a multi-pronged growth strategy, focusing on overlooked M&A opportunities [6][11] - The company plans to enhance its operating expertise and expand its footprint while maintaining strong financial discipline [11][30] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the local gaming segment's resilience and growth potential, expecting continued revenue and EBITDA growth [6][22] - The company is optimistic about the contributions from the Fairmont Park Casino and Racing, as well as the revenue-sharing agreement with FanDuel [10][22] Other Important Information - Capital expenditures for Q2 totaled approximately $26 million, with a full-year forecast of $75 million to $80 million [19][20] - The company repurchased 634,000 shares at an average price of $10.58 per share, totaling $6.7 million in Q2 [20] Q&A Session Summary Question: Growth in Illinois market - Management noted consistent growth throughout the quarter without significant peaks or valleys [26] Question: M&A opportunities and leverage - Management stated they are opportunistic in acquisitions but will not leverage the company excessively, maintaining a conservative approach [28][29] Question: Impact of Tito implementation in Illinois - Management indicated it is too early to assess the impact of Tito, with expectations for improved player experience and reduced collection costs in the future [38] Question: Nevada market growth post key customer loss - Management reported slight revenue growth year-over-year despite the loss of a key customer, focusing on higher-margin locations [40][41] Question: Performance expectations for Fairmont Park - Management expressed positive indicators for Fairmont Park, aligning with internal expectations, and anticipates significant contributions in 2026 [44][45]

Financial Data and Key Metrics Changes - Consolidated revenue grew 16% year over year or 19% in constant currency to $8.5 billion [5][15] - Adjusted EBITDA reached $428 million, growing margins by over 50 basis points [5][20] - Consolidated gross profit was $2.6 billion, growing 20% year over year or 22% in constant currency, resulting in a gross profit margin of 30% [18][19] - Operating income was $149 million, representing a growth of 55% over last year [20] - Net income attributable to stockholders was $32 million, resulting in $0.02 diluted earnings per share [20] Business Line Data and Key Metrics Changes - Product Commerce segment revenues grew 14% year over year or 17% in constant currency, driven by higher spend levels per active customer and a 10% increase in active customers [16] - Developing Offerings segment revenues grew 33% year over year on both a reported and constant currency basis, primarily due to triple-digit growth in Taiwan and high double-digit growth in Eats [17][18] - Fresh category revenues grew 25% in constant currency year over year, with significant expansion in assortment [8] Market Data and Key Metrics Changes - Taiwan's revenue surged 54% quarter over quarter, with year-over-year revenue growth in triple digits [11][12] - Customer engagement in Taiwan is primarily driven by repeat customers, indicating strong product-market fit [12][38] Company Strategy and Development Direction - The company is focused on transforming commerce and enhancing customer engagement through improvements in selection, price, and service [6][13] - Significant investments are being made in automation and AI to enhance customer experience and operational excellence [10][29] - The company aims to broaden selection and improve inventory availability, particularly in Taiwan, which is seen as a key growth opportunity [11][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term potential of Taiwan, drawing parallels to early growth stages in Korea [12][38] - The company anticipates continued revenue growth driven by existing customer spending and engagement [48] - Management expects consolidated operating expenses to decline as a percentage of revenue in the near to medium term [20][32] Other Important Information - The effective income tax rate was 84% this quarter, primarily due to losses in early-stage operations in Taiwan [23] - The company generated $1.9 billion in operating cash flow and $784 million in free cash flow, a decrease from the previous year [22][23] Q&A Session Summary Question: Margin expectations for the second half and AI strategies - Management expects further product commerce margin improvement in the second half, leveraging technology and automation [27][31] - AI has been integral to operations, with applications in customer experience and operational efficiency, and is seen as a long-term enabler of growth [28][29] Question: Developing offerings investment guidance and Taiwan's unit economics - Investments in developing offerings are expected to continue, with a focus on Taiwan's growth potential [36][40] - Taiwan's growth is driven by repeat customers, and management is confident in achieving positive unit economics over time [38][39] Question: Government project involvement and domestic consumer growth trends - The company is developing its own AI computing infrastructure and exploring external enterprise opportunities [44][46] - Growth outlook remains aligned with previous guidance, driven by deepening customer engagement [47][48] Question: Last mile delivery initiatives and gross margin drivers - Investments in last mile delivery are ongoing, with a focus on customer experience and operational excellence [52][56] - Gross profit margin expansion is attributed to increased efficiency and margin-accretive offerings [58][59] Question: Selection growth in Taiwan and food delivery margin trends - Selection growth in Taiwan is expected to continue, with strong customer response [61][63] - Food delivery initiatives are aimed at enhancing customer value, with ongoing improvements in engagement [64][66]

Financial Data and Key Metrics Changes - The company reported a net loss of $56 million for Q1 fiscal 2026, compared to a net loss of $33 million in the same period of 2025, primarily due to increased depreciation and amortization and a higher income tax provision [6][19] - Revenue grew by 4% year over year, driven largely by double-digit growth in the defense and advanced technology segment [6][19] - Adjusted EBITDA increased by 1% year over year, reaching $408 million, with a 35% adjusted EBITDA margin [14][19] Business Line Data and Key Metrics Changes - Communication services revenue was $827 million, flat compared to the prior year, with growth in aviation and government SATCOM offset by declines in maritime and U.S. fixed broadband [21] - Aviation revenue grew by 14%, driven by a 9% year-over-year increase in commercial aircraft and service [21] - Defense and Advanced Technologies segment awards increased by 22% to $428 million, with revenue up 15% to $344 million, primarily from InfoSec and Cyber Defense [24][25] Market Data and Key Metrics Changes - The maritime business saw a 5% year-over-year decline in revenue, while fixed services and other revenue decreased by 13% due to a decline in U.S. fixed broadband subscribers [22][23] - The company ended the quarter with 172,000 fixed broadband subscribers and an average revenue per user of $115 [23] Company Strategy and Development Direction - The company aims to position fiscal 2026 as a launch year, focusing on optimizing the integration of ViaSat and Inmarsat resources to establish growth opportunities and enhance earnings power [10][11] - The strategy includes reducing capital intensity while investing for growth in target markets, with a goal to exit fiscal 2026 with a solid foundation for accelerated growth and cash generation [11][12] Management's Comments on Operating Environment and Future Outlook - Management acknowledged challenges such as slow recovery in OEM aircraft delivery rates and pressures in U.S. fixed broadband until the ViaSat-three flight two is in service [13][14] - The company expects fiscal 2026 revenue to increase by low single digits year over year, with flattish adjusted EBITDA growth [28] Other Important Information - The company generated $60 million of positive free cash flow in the quarter, bringing the trailing twelve months total to $88 million [20] - Capital expenditures for the year are expected to be about $1.2 billion, including $250 million for the completion of the ViaSat-three constellation [29] Q&A Session Summary Question: How does Trellisware compare with mobile ad hoc networking peers? - Trellisware's system is based on a proprietary networking waveform designed for ad hoc mesh networking, while competitors like Silvis primarily use WiFi [39][40] Question: What is the general penetration of next-generation encryption products? - There is a significant upgrade cycle driven by the need for national security encryption systems to be robust against quantum computing [45][46] Question: Can Trellisware's technology be used for aerial platforms and weapon systems? - Yes, Trellisware's technology can extend to unmanned aerial vehicles and other platforms, although the initial focus has been on specific military applications [43][44] Question: What is the company's philosophy regarding potential business separations? - The company evaluates its portfolio based on synergy and capital needs, considering whether keeping businesses together provides benefits or if separation would be more advantageous [59][62] Question: How does the company view shared infrastructure in satellite operations? - The company believes shared infrastructure can reduce capital intensity and improve efficiency, allowing multiple operators to benefit from a common system [65][66]

Financial Data and Key Metrics Changes - Match Group's total revenue for Q2 was $864 million, flat year over year, and down 1% on an FX neutral basis [27][28] - Adjusted operating income (AOI) was $290 million, down 5% year over year, representing an AOI margin of 34% [28] - Tinder's direct revenue in Q2 was $461 million, down 4% year over year, with payers declining 7% to 9 million [29] - Hinge's direct revenue was $168 million, up 25% year over year, with payers growing 18% to 1.7 million [30] - Match Group Asia's direct revenue was $69 million, down 6% year over year, with an operating loss of $300,000 [31] Business Line Data and Key Metrics Changes - Tinder's revenue declined due to a lack of innovation and focus on short-term monetization, while Hinge showed strong growth driven by product innovation [28][30] - The E and E segment's direct revenue was $148 million, down 8% year over year, with payers declining 15% [30] - Indirect revenue increased by 15% year over year, driven by strength in the advertising business [28] Market Data and Key Metrics Changes - Hinge's MAU grew nearly 20% year over year in the first half of the year, with European markets seeing over 60% growth [22][30] - Match Group's overall user engagement metrics are showing signs of improvement, with a decrease in the rate of decline for new account registrations and MAU [54] Company Strategy and Development Direction - The company is undergoing a three-phase turnaround: reset, revitalize, and resurgence, with a focus on product innovation and user outcomes [6][12] - Tinder is being restructured to prioritize low-pressure connections, while Hinge aims to lead in intentional dating [25][26] - A $50 million investment plan is in place for product testing, geographic expansion, and new growth initiatives [25][73] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the online dating category's growth potential, citing Hinge's success as evidence of ongoing user interest [78] - The company is focused on regaining product market fit, particularly among younger users, and is optimistic about future growth driven by new product offerings [70][79] Other Important Information - The company plans to change its non-GAAP profitability measure from adjusted operating income to adjusted EBITDA starting next quarter [39] - A new marketing strategy is being implemented to support product launches and drive user growth [73] Q&A Session Summary Question: Update on Tinder's engagement with U.S. users under 30 - Management highlighted that recent product launches like DoubleDate are resonating well with younger users, with 90% of usage under 30 [43][44] Question: How to track the status of the turnaround - Management discussed monitoring metrics such as new account registrations, MAU, four-way chats, and contact exchanges to gauge progress [50][54] Question: Expansion of face check and alternative payments - Management is studying the impact of face check on user perception and safety, while alternative payments are showing promising results with a potential $65 million AOI savings opportunity [60][62] Question: Hinge's revenue acceleration drivers - Hinge's growth is attributed to product innovation, a focus on the female experience, and international expansion opportunities [88][91]

Financial Data and Key Metrics Changes - Total revenue grew to $172 million, representing a 7% increase year-over-year [39] - Subscription revenue increased by 7%, while service revenue grew by 3% [39] - Annual recurring revenue (ARR) reached $677 million, up over 9% [39] - Non-GAAP operating margin was 22%, driven by gross margin performance and improved productivity [43] - Non-GAAP net income attributable to BlackLine was $38 million, reflecting a 22% net income margin [44] Business Line Data and Key Metrics Changes - The average new deal size grew by 35% year-over-year, driven by increased adoption of full Record to Report capabilities [10] - Strategic products represented 30% of sales, up from 28% last year, indicating improved cross-sell opportunities [41] - Intercompany, invoice to cash, and transaction matching showed particular strength this quarter [42] Market Data and Key Metrics Changes - The customer count at the end of the quarter was 4,451, slightly up from the previous year [40] - The $1 million customer count rose to 84, up 24% year-over-year [11] - Pipeline growth was up 70% year-over-year, indicating strong market demand [14] Company Strategy and Development Direction - The company is transitioning to a platform model, focusing on serving the Office of the CFO and enhancing go-to-market strategies [9] - The introduction of the new pricing model has driven adoption and larger deal sizes, with about half of eligible new logos adopting it in Q2 [16] - The strategic focus on larger and mid-market customers is validated by a 55% year-over-year growth in mid-market new deal sizes [20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's trajectory and highlighted the importance of customer success in their strategic evolution [8] - The management team acknowledged the challenges in the operating environment but emphasized the strong pipeline and market interest [88] - Future guidance includes total GAAP revenue expected to be in the range of $696 million to $705 million, representing 6.5% to 8% growth [46] Other Important Information - The company is making significant progress on its FedRAMP journey to expand its position in the public sector [37] - The GCP migration is nearing completion, enhancing performance and lowering future costs [36] - The company repurchased approximately 796,000 shares for about $43 million in the quarter [45] Q&A Session Summary Question: Can you break down the large deal momentum and its drivers? - Management noted that the pipeline has been growing, with a combination of deals that slipped from the previous quarter and new opportunities maturing [50][52] Question: What is the impact of the new unlimited user pricing model? - Management indicated that there is early proliferation of licenses across organizations, which is expected to drive consumption and net retention rates [54][56] Question: What are the learnings from customers regarding the new pricing model? - The sales team is observing transformative conversations with customers, focusing on overall platform benefits rather than just license counts [62][64] Question: Can you elaborate on the role of Studio three sixty? - Studio three sixty serves as the foundational platform for all products, with varying levels of access and capabilities based on customer needs [101][104] Question: What is the significance of the partnership with Snowflake? - Snowflake is crucial for handling large data volumes and enhancing the platform's capabilities, allowing for high-frequency reconciliations and data sharing [108][109]