DOMO, INC. — Call Transcript 2020

Welcome to Domo's first quarter FY 2021 Earnings Call. At this time, all participants are in a listen-only mode. After the speaker presentation, there will be a question-and-answer session. To ask a question during the session, you will need to press star one on your telephone. Please be advised that today's conference is being recorded. If you require any further assistance, please press star zero. With that, I will hand the call over to Peter Lowry, Domo's Vice President of Investor Relations. Good afternoon, and welcome. On the call today, we have Josh James, our Founder and Chief Executive Officer, Bruce Felt, our CFO, and Julie Kehoe, our Chief Communications Officer. Julie will lead off with our safe harbor statement and then on to the call. Julie? Our press release was issued after the market close and is posted in the investor relations section of our website, where this call is also being webcast. Statements made on this call include forward-looking statements related to our business under federal security laws, including statements about financial projections, the plans and expectations for our go-to-market strategy, our expectations for our sales and new business initiatives, the impact of COVID-19 on our business and our financial condition. These statements are subject to a variety of risks, uncertainties, and assumptions. For a discussion of these risks and uncertainties, please refer to documents we file with the SEC, in particular, today's press release, our most recently filed annual report on Form 10-K, and our most recently filed quarterly report on Form 10-Q. These documents contain and identify important risk factors and other information that may cause our actual results to differ materially from those contained in our forward-looking statements. In addition, during today's call, we will discuss non-GAAP financial measures, which we believe are useful as supplemental measures of Domo's performance. Other than revenue, unless otherwise stated, we will be discussing our results of operations on a non-GAAP basis. These non-GAAP measures should be considered in addition to, and not as a substitute for or in isolation from, GAAP results. Please refer to the tables in our earnings press release for a reconciliation of our non-GAAP financial measures to the most directly comparable GAAP measure. With that, let me hand it over to Josh. Josh? Thank you, Julie. Hello, everyone, thanks for joining us for the call. Before I begin discussing the quarter, I want to express that the safety of our employees, their families, and our customers has been a top priority as we operate through this health crisis. Our people have been working from home in a fully distributed fashion since mid-March. I'm incredibly proud of how quickly they've adapted, especially the great care they've shown our customers and the rapid delivery of solutions for the new challenges our customers are facing. Many of the challenges of the moment have highlighted the unique strengths of our platform. I'm very pleased with our Q1 results, particularly given the backdrop. In Q1, we posted a 23% increase in subscription revenue, a 19% year-over-year increase in total revenue, and much better than expected billings and cash flow. Mostly, I'm excited about the guidance and the position it puts us in for the future. On the call today, I'm going to focus on a few items. A brief update of our positioning in a COVID-19 environment, Q1 highlights, including how we are helping our new and existing customers navigate the current environment, an update on our cost reduction plan, and recent industry recognition. In terms of our relevance in a COVID-19 environment or any environment where speed and rapid response become important, our core value proposition of BI leverage at cloud scale in record time well positions us to benefit from the digital transformation trend in general, and specifically, the rapid pace of change that COVID-19 requires by creating apps that automate workflow or create new capabilities. Our positive position is reinforced by our ability to support work-from-home initiatives and by the value we provide to a well-diversified customer base. BI leverage means unleashing all of the data within an organization without having to rip out existing infrastructure and getting more value from those investments. In many cases, the data customers need now to manage how they operate is different than what they needed before this pandemic. Integrating this data and making it actionable is one of our core strengths. We also think that being cloud-based is certainly a tailwind in a work-from-home environment. Cloud scale means significantly greater data capacity, something that differentiates us from our mostly on-premise competitors. Cloud also means simplicity in adoption and expansion for new and existing customers. Also, Domo's platform can scale to support the growing needs of our customers in an elastic manner. In record time means that because of our integrated platform, our initial time to value with a customer can be measured in days or weeks instead of quarters or years. Our ability to deliver value in new projects with existing customers can be minutes or hours. Domo was built for a broadly distributed or remote and digitally connected workforce. Domo supports distributed work in a collaborative way, which is critical in times like this. Our mobile-first solution provides businesses and business users the real-time data they need to make timely, effective decisions and allows teams and cross-functional units to collaborate around that data. In an unparalleled way, our platform also allows for the rapid development of intelligent applications that leverage data to automate workflows and modernize business processes. These intelligent applications are one of our key points of differentiation against any other player in the space. They bring data to life in a way that transforms the experience users have interacting with the data. This can be as simple as a one-click connection to massive amounts of data via our connector apps to rapidly automate and modernize workflows, whether they be existing business processes such as order entry, to completely new processes like PPE inventory management, personal protective equipment inventory management, contact tracing, temperature scanning, and auditing wellness of employees, all enabled by the Domo platform. I'll talk about some of the highlights of the quarter, including how we are helping our customers navigate the current environment. One of the highlights was our new initiative to help state governments manage their response to COVID-19. This initiative demonstrates our platform's ability to help customers quickly adapt. We started our COVID-19 response by having our rapid response team create, over the weekend, a free public-facing global COVID-19 tracking app that's been reputed by many to be the best, including Jim Cramer, who said it was a vastly superior, much more real-time site about COVID than others that are publicly available. It taps into a vast set of published data sources, and while we made this tracker free to everyone, more than 700 existing customers of ours have embedded data from it into their own Domo dashboards, demonstrating the importance of these new data sources in helping our customers understand how to operate in this environment. Integration partners are delivering data solutions to their customers using Domo's COVID-19 data, as well as the Domo platform. The COVID-19 tracker is also a great illustration of how Domo excels at connecting massive amounts of disparate data into a consumable package to help executives understand their environment in real time so they can make better decisions about what to do next. In many cases, we would see reports on CNN from Johns Hopkins that we knew were not as up-to-date as they could be. It demonstrates when you have big businesses or large amounts of money or critical supply chain information or lives at stake, you really should be using Domo. After our success with our public-facing site, we were asked by other leaders to take the expertise we bring to the world's largest companies and to create a COVID-19 Crisis Command Center for the state of Utah. By the way, again, our team miraculously delivered it. They delivered an initial V1 in 72 hours over the weekend. This Crisis Command Center gives the Governor and other executives real-time information to help them manage a swift and coordinated response from key metrics such as testing and tracking data, state entry data from the Department of Transportation, state entry into the state, PPE inventory, and current hotspots for active cases. We also delivered a series of apps, including a Governor's app, to deliver the metrics he cares about most, such as transmission rates, infection stats, and testing capacity, right to his phone or iPad, in Governor Herbert's case. Given the success of Utah's deployment, we also signed command center contracts with the states of Nebraska and Iowa. Governors are now asking us to expand the data in their command centers to include economic insights such as SBA loan and unemployment data, and also other health data and state lab data. The feedback we have received from the states has been amazing. We believe that the successful launches in Iowa, Nebraska, and Utah position us further for growth in those government contracts and the government contracts market. Moving to the next phase of this pandemic, the decisions the private sector is now faced with is how to execute and maintain a safe return to the office, bringing together new and varied data types, orchestrating new processes, and maintaining consistent communication with employees. With that, we've introduced a Get Back to Work solution, kind of all around the future of work, which includes apps that can be rapidly deployed to give the private sector customers the ability to gather, see, and act on all the new information they need to build trust with their employees as they orchestrate a safe return to the office. The apps deliver value for both the employer and the employee. Domo's Get Back to Work solution includes capabilities for a company to monitor temperature scanning and contact tracing, as well as a CEO app to give top leadership real-time understanding of the state of their company and employees with regard to the pandemic impact. Apps focusing on employee experience are designed to instill confidence in returning to the workplace. These apps allow employees to do self-assessments and also provide a dedicated communication channel between themselves and management. These and other apps, such as apps for training and compliance and workforce productivity, are all possible because of the Domo platform's ability to create leverage from any data source and make it easily accessible and actionable in record time. Our company was built for this time. Our platform delivers real-time data at cloud scale in record time. When hours and days matter, there is no solution like Domo, and we invite you to go and check out these new apps and this new Get Back to Work initiative at getbacktowork.com. Our platform delivers real-time data at cloud scale in record time. This platform got us into global COVID-19 tracking over a weekend. It got us into states with command center apps also over a weekend. We crushed it because the states needed to handle large and complicated data from so many sources distributed to everyone inside their state organization and all of their citizens through cloud scale. They needed it, of course, in record time, over the weekend. Our platform enabled us to build and deliver the PPE app and the governor app. This platform also got us into this Get Back to Work, an even bigger space, the future of work that again, is characterized by massive volumes of data and massive amounts of people where cloud scale is imperative. The data that is needed from so many new sources and so many new types. The platform connects to device data and systems and spreadsheets, makes it easy to distribute that data to users for transparency. The platform enables all of that. These apps are not a diversion. They're door openers to the entire platform, and they show and demonstrate the power of the entire platform. Another highlight for us in the quarter was seeing our customers use Domo to rapidly respond to the changes for their own operating environment due to COVID-19. One example is Harmons, an upscale grocery supermarket chain here in Utah. In mid-March, Harmons saw that Spam, yes, that Spam and other items that usually don't show up on inventory reports were flying off the shelves. Using Domo, Harmons was able to quickly request from its major national distributor the then-current 4,000 most important items to Harmons customers earlier than any other grocery store, ensuring inventory. Harmons was also able to give a local bread supplier access to a Domo dashboard so they could understand in real time what was selling and what was being thrown away and keep Harmons stores well-stocked. These moves allowed Harmons to get a jump on the supply chain and again, secure the right inventory that would allow it to serve its customers better than the competition. Another example of how we're seeing increased usage during this time is Gant Travel, a corporate travel management company. Gant credited Domo for helping minimize any major disruptions to its own business as COVID-19 hit the broader travel industry, obviously very hard. Because Domo automates many BI-critical tasks, Gant was already operating without the extra headcount required for manual processes that many have to do, such as client reporting. It didn't need to make dramatic cuts to its workforce. Gant also had been using Domo's embedded analytics product to deliver on-the-fly services that suddenly became more valuable to its customers in this environment as cash preservation became king. Gant was able to deliver real-time insights into the status and value of unused tickets, refunds, and number of uncanceled reservations across currencies and through rapidly changing policies of travel vendors. One difficult decision that we had to make in the quarter was to significantly reduce our operating expenses. We recognized the potential impact COVID-19 could have on our business, and at our analyst briefing at Domopalooza, we announced that we had reduced operating expenses by $5 million with plans in place based on an economic downturn comparable to the one in 2008, 2009, for an additional $30 million cut. Our ongoing assessment was that it was prudent to prepare for a downturn to protect our balance sheet. We announced the additional $30 million expense reduction. That scenario was based upon us preparing for a downside scenario for our new business to potentially be 20% less than what our original plan was. Our expense reductions remain in place, and we expect to meet our 35%, or sorry, our $35 million reduction target. It's always hard to cut heads because of the human toil it has on individuals and their families, and we are doing everything we can to mitigate the negative impact on them. We now have 25% of those folks who already have jobs, and we've provided outplacement services to assist those impacted through the hiring of dedicated recruiters, creating a job referral network, and providing one-to-one coaching for resume writing and interview skills. We also let employees, of course, keep their laptops as a tool to make it easier in their job search. I'm proud of our team for pivoting to produce a very successful 100% online Domopalooza in under two weeks. As the first B2B conference to go completely digital, we set a high bar. More than 9,000 people pre-registered and more than 12,000 viewed the event within 24 hours of the live show. Now, this was four to five times increase in the engagement over our typical in-person conference. We learned many things we will be able to incorporate into future in-person Domopalooza conferences to make them more productive experiences with much larger and a more augmented reach. At this year's Domopalooza, we also announced new product features and enhancements to bring additional increased capabilities to the Domo Business Cloud and help unlock the value of an organization's dark data by making it more consumable, usable, and actionable at scale. These announcements included ubiquitous machine learning and more powerful data management tools, a no-code, low-code drag and drop development environment to empower data-driven app creation and support for AWS SageMaker Autopilot to drive machine learning insights for everyone in the business. We continue to receive a wave of third-party recognition, which is validation for our platform, particularly in this environment where speed and business agility are imperative for customers. Some of these awards included Business Intelligence Solution of the Year in the 2020 Data Breakthrough Awards, the number one vendor ranking for the fourth consecutive year. I'm going to say that again. The number one vendor ranking for the fourth consecutive year in the Dresner Advisory Services 2020 Cloud Computing and Business Intelligence Market Study, as well as the number one vendor ranking in their 2020 market study for self-service business intelligence. For the third consecutive year, TrustRadius gave Domo top-rated awards based on customer reviews for both BI tools as well as data discovery and visualization platforms. Lastly, we were named to the Women Tech Council's 2020 Shatter List for helping break the glass ceiling in technology. I was pleased to announce in the quarter the addition of a public company CIO, Joy Driscoll Durling of Vivint, to our board of directors. As CIO of a Domo customer, her insights will be invaluable as we look to our next phase of growth. I'd also like to highlight that since taking the Parity Pledge that we helped create in 2017, we have increased the number of women leaders on our board from zero to three. They used to be all venture capital investors, and now we have three women leaders on our board. This diversity of thought and experience makes us a stronger company. As we all know, diversity and inclusion is not just about gender. We stand with the Black community for equality and justice. In October 2017, I appointed a director of diversity to help Domo build a welcoming culture for everyone. Early this year, we initiated an internship program with HBCUs to welcome Black students into tech. As the events of the past weeks and days have shown us, we have a long way to go as a country, and we're committed to doing our part to help advance meaningful conversation and change at Domo and in our communities. Black Lives Matter. In closing, I'd just like to reiterate how proud I am of our employees who have not paused for a moment in delivering the value of our platform to help our customers operate most effectively in a challenging environment. With that, I'll turn it over to the Bruce. Thank you, Josh. We had a strong Q1, continuing the momentum that we experienced in Q3 and Q4 of last year. I'll now review the details behind our performance, followed by providing second quarter and fiscal 2021 full-year guidance. Our Q1 billings of $46.5 million, a year-over-year increase of over 13%, was driven by our ability to quickly adjust our go-to-market efforts toward companies in the healthiest sectors of the economy. Relatedly, we were able to, in a matter of a few days, adapt our product to respond to governments in need of data to manage the crisis. Specifically, to our government response, we were able to close $4.5 million of recurring new business selling our COVID-19 Crisis Command Center during the quarter. At the same time, we generally benefited by having a low percentage of our business from very small companies, a sales force already conditioned to primarily selling via the phone, and an installed base that has a considerable amount of white space for us to further expand into. In addition, our renewal rates were above 85% in a seasonally slow quarter, and given the economic environment, we're pleased with this outcome. We have 57% of our customers under multi-year contracts at the end of Q1. Our remaining performance obligations, or RPO, grew 17% compared to the same quarter last year. Q1 revenue was $48.6 million, a year-over-year increase of 19%. Subscription revenue represented 87% of total revenue, reflecting our focus on specifically growing recurring revenue. International revenue in the quarter represented 24% of total revenue, compared to 25% in Q4. Our subscription gross margin was 79%, up more than two percentage points from 77% in Q1 of last year, rapidly approaching the important 80% milestone. We were able to make that progress against a 60+% annualized spike in customer usage volume that we've experienced since the pandemic began. Nevertheless, we plan to obtain additional leverage out of our subscription cost of revenue over time as we continue to effectively manage our data center operations through finding efficiencies, better utilization of certain services, and optimizing how our software performs in data centers. In Q1, operating expenses decreased by 9% from last year, even though revenue increased by 19% year-over-year. In fact, looking even further back, our quarterly OpEx is about $15 million lower than two years ago, when the company had a much smaller scale of revenue. I would point out that the vast majority of our $35 million in fiscal 2021 cost reductions, which are reductions against our original plan, will be realized in Q2 through Q4, and the impact of those reductions in Q1 was minimal. The net effect of increased revenue while effectively managing costs allowed us to improve our operating margins by 34 percentage points from the same quarter last year. Our net loss was $18.4 million, and net loss per share was $0.65. This is based on 28.5 million weighted average shares outstanding, basic and diluted. Turning now to our balance sheet. As of April 30th, we had cash equivalents, and short-term investments of approximately $88 million. To reiterate what we've told you numerous times since going public, we are confident we can and will be cash flow positive with plenty of cash remaining on the balance sheet when that occurs. We continue to look for ways to further reduce our cash burn, and our discipline around this effort is firm. Our adjusted net cash used in operations was $9.3 million, an improvement of $6 million over the prior quarter, and a 58% reduction compared to Q1 of the prior year. Adjusted cash flow from operations excludes the impact of $3.7 million of share purchases under our employee stock purchase plan. The amount is included as a positive amount in our GAAP cash flow from financing section of our cash flow statement, and an offsetting negative amount in our GAAP cash flow from operations section, with no net effect on our cash balance. Note that there will not be a share purchase on our employee stock purchase plan in Q2. To discuss what we expect in Q2 and for the full-year. Like many other public companies have communicated to you over the last few months, the uncertain economic environment makes it difficult to guide beyond the current quarter because of the wide variety of factors and possible economic scenarios. Rather than a firm guide for the rest of the year, we'll provide an update to our COVID-19 downside case that we used for reducing costs. For cost-cutting purposes, we modeled a 20% downturn in our new business compared to last year and an 80% renewal rate. That led to a billings number for cost-cutting purposes of about $190 million for the year. Since then, we have overperformed in Q1, whereby Q1 new business actually grew over last year, plus we realized an above 85% renewal rate versus our 80% model. The combination of these two factors led to a total billings beat relative to our model in Q1 alone of about $7 million. Adding that $7 million billings outperformance in Q1 to our previous down 20% model for the year of approximately $190 million of billings now points to billings for the year to be around $197 million. If we can exceed our $40 million Q2 billings number in that model, we can improve that annual outlook. As of right now, we're tracking above the $40 million. However, we cannot predict with certainty how the rest of the quarter will develop, so we suggest using just $40 million for Q2 billings planning. Our $40 million number does not include the closing of any new COVID-19 Crisis Command Center deals because the focus and requirements of states are constantly changing, and selling into that changing set of needs is very hard to predict. Having said that, we're responding to the evolving needs of governments and at the same time focusing on the needs of commercial entities in this environment, so we're hopeful it yields some positive contribution in Q2. On expenses, we're planning on our Q2 operating expenses to decrease by about $2 million to $3 million from Q1 levels and remain close to that level of OpEx for the rest of the quarters this year. We expect Q2 adjusted net cash used in operations of approximately $7 million and expect full-year adjusted net cash used in operations of approximately $30 million. We believe we'll be able to exit this year with a quarterly cash burn rate that is low enough to provide confidence we will comfortably reach self-funding sustainability. The formal guidance. For the second quarter of fiscal 2021, we expect GAAP revenue to be in the range of $48.5 million to $49.5 million. We expect non-GAAP net loss per share, basic and diluted, of $0.48-$0.52. This assumes 29 million weighted average shares outstanding, basic and diluted. For the full-year of fiscal 2021, we expect GAAP revenue to be in the range of $194 million to $200 million, representing year-over-year growth of 12%-15%. We expect non-GAAP net loss per share, basic and diluted, of $1.96 to $2.06. This assumes 29.2 million weighted average shares outstanding, basic and diluted. In closing, we're pleased with our results for Q1 and feel prepared to successfully navigate through these uncertain times. With that, we'll open up the call for questions. Operator? Thank you. As a reminder, to ask a question, you will need to press star one on your telephone. To withdraw your question, press the pound key. Please stand by while we compile the Q&A roster. Our first question comes from Sanjit Singh with Morgan Stanley. Your line is now open. Hi, this is actually Chris on for Sanjit. Thank you for the question. Congratulations on a really good, solid quarter. Really appreciate the detailed assumptions you've been disclosing behind the guidance. Can you maybe talk about kind of the progression of business and demand trends throughout the quarter, especially as we zero in maybe on from early April to quarter end, and then what you've seen since in May and through early June? That'd be really helpful. Thanks. Yeah. Sure. Thanks for the question, Chris. I'll answer just briefly, Bruce, and then let you give a lot of details. I think from last quarter, at the beginning, things were looking good, and we gave the guidance that we gave, and we felt pretty good about things. As it became apparent that COVID was going to have a meaningful impact on the world and accordingly on our business, we kind of went into panic mode for a minute, certainly, and it was all hands on deck. If our travel customers and finance customers and other customers are stopping business, what are they buying? It became pretty apparent quickly that with our platform and the ability to pull data from all kinds of sources and be able to give people access to data in real-time when these moments, certainly when days are mattering, it presented itself an opportunity to us. It started with that tracker that we created. It really went into these different states. We were talking to a lot of different states at different times. We were helping with our state. I brought in probably about 10 million different pieces of PPE that I facilitated and helped the state procure. We were just right in the middle of these conversations. Because of that, it became apparent that they needed data and they needed answers. They needed to know what was going on. They were making decisions blindly. They didn't know if they should open states, close states, when they could get back to work, et cetera. They were really struggling. They weren't built to do that. We were able to say, "Yeah, we can help you out." Thankfully, there were some contracts that we were able to get, and we did such a good job with Utah, they were calling other governors for us and introducing us. Our team, it was quite amazing the effort that they put in. We normally have company meetings where we will highlight a few employees and say, "Here's the few employees that really stood out this quarter." We had a Zoom virtual company meeting and highlighted about 80 people that had pulled multiple all-nighters instead of the usual eight or 10 people that get highlighted. We said, "If they're pulling multiple all-nighters, they need to be highlighted." It just showed everyone was ready and willing and wanted to help, and we did some masterful service for these customers, and it changed the course of how they responded to things, and it helped them save lives, which was really kind of cool. In the process, they had money and were willing to pay for it, and we needed to be paid because instead of selling other types of solutions, we were selling solutions that were focused on the command center. That was kind of how that stuff all evolved. Then it was really interesting to see different parts of the world respond different ways. Japan was closed down early and working from home early, and they were still closing deals, and Japan did really well for us. A lot of really interesting news, but mostly it was a quarter that really highlighted the power of the platform that we have. If you can do it for large Fortune 500 companies and CEOs of Fortune 500 companies and CXOs of Fortune 500 companies, you can certainly do it for governors and any federal employees as well. We were really excited how much it shined a great light on the technology and the platform that we have. Bruce. To build on that, in March, when we were at our user conference, at our customer conference, we said, "We haven't seen anything yet, but we're prepared to cut costs as soon as we do." As you know, we decided to cut the costs anyway, and that was just for the abundance of caution. We went into April, and March finished out fine. We went into April, and we had some of the fastest sales cycles we've ever had with these crisis command centers. April was strong. Now we're into May. Well, we finished May, and I can tell you that May was off to a good start. We are pleased with our performance at the beginning of Q2. We, like everybody else, are still worried about what may happen in the economy, how it may impact our customers, how it might impact us. We're happy to be here today just saying that the pacing is good, and May closed out. Both that well. I think that puts us in as good a position as you can be, just given the economic environment. Yeah. I would add that, I talked about a little bit in the prepared remarks, but what this Command Center allowed us to do is to be right in the middle of the conversation, a very important conversation now, that not just some state governments, but it's every single company in the world is trying to figure out how to Get Back to Work. It leads to a whole set of questions that they've never had to answer before, that they've never been prepared to answer before. Because we're in the middle of with the COVID-19 tracker and with all the success we've had with our state Command Centers, we're getting asked, how can we Get Back to Work? How can we do contact tracing? How can we understand that our facilities are being cleaned? How can we be transparent to our employees and give them confidence that they can come in? What kind of tools and systems do our facilities managers need? How do we expose all of this to our executives in real time, so if someone gets sick, that they can easily see what kind of information we have, and we need it now, in real time. As we start opening back up and you need to go visit a customer, we've got customers that they're out in their cars and trucks visiting their customers. They're flying to see their customers. You find all of a sudden that that was a hotspot that you went to, or before you go, you want to check if it's a hotspot. Well, we have that data, and 700 of our customers are using that data. Get Back to Work is a real initiative that we are extremely prepared for relative to any other company that we've seen because of this platform that we have and the rapid ability to create solutions and applications to answer questions that's all based on data that's coming from hundreds of thousands of sources. That's what we do. We're really excited about our ability to actually provide great value to our customers right now, and we think it should benefit our business. Got it. That's really helpful. Could I tack on a follow-on question? I think you mentioned early in the script, $4.5 million of recurring business from the Crisis Command Center. At the same time, you have less headcount now, but you've slightly raised the full-year revenue guidance. Is this more a function of stronger than anticipated contribution from deals like the Crisis Command Center, or are you kind of embedding assumptions around improved sales force productivity? Thanks. Well, I would say that one is, without the Crisis Command Centers, the core business still is within guidance. We're happy with that. The renewal string that really had none of its in there also performed better than last year. The May results, the renewal rates are even coming in stronger. The new business comment of how we're off to a good start in May does not include any of these new products. I would say that before we had the opportunity of these new products, we still had a business that was strong and appropriate and valuable to the market. In this environment, we just happened to also have the benefit of not a lot of exposure to the troubled industries, not an incredible amount of business coming from very, very small companies. As I said on the call also, just the benefit of being used to very well conditioned to selling over the telephone. I think all these are just contributing factors to helping us finish the quarter strong and getting off to a good start in the new quarter. I think the other thing that you've talked about before, Bruce, is that this doesn't include, guidance doesn't include any of the big deals. There's big deals out there, too. They may or may not come through. We don't put them in our projections. There's more state deals that we're talking to that may or may not come through. Like Bruce said in his prepared remarks, not including those in our projections. In terms of how we're feeling, I think that we're as well-positioned as just about any company, to do well in this kind of environment.] Bruce talked about that a lot, too, but we're seeing it. Work from home? Oh, that's what we do. Oh, that's what we enable. Oh, you need data to every employee? Oh, that's what we enable. We're having customers call us quite a bit and saying, "Hey, we need you guys to do this additional item for us as well." We think that we can do really well in this environment. Got it. Thank you. Congrats again. Thank you. Our next question comes from Brad Zelnick with Credit Suisse. Your line is now open. Hey, it's Marco on the line for Brad Zelnick. Congrats on the quarter. I just wanted to ask again just about the Command Center. It's great to hear some of the state wins that you have in the quarter. Can you talk about just the opportunity that you see there going forward? Even as we start to exit the pandemic, is that something that there's a potential for account expansion and things? Yeah. I think it's one of these situations where they have a real problem right now. We can fix it right now, and we can fix it fast and provide some tremendous value. The moment that we got in there, though, all of our SWAT teams that are in there helping these customers, their number one initiative besides solve the current need is, let's get more data in there. Let's get other additional items in there so that when it comes time for renewal, we're in a fantastic position to not only renew it, but potentially even upsell them to some other products and services. We're already seeing that. I mean, these governors are very, very happy. We'd be happy to encourage you to talk to any governors you can get a hold of that are using our product because their teams are excited. They're genuinely excited. When Bruce does follow-up calls with some of your investors, you should ask for some of the quotes of the things that our customers are saying. It's transforming the way that these governments are running. It's not just about the pandemic. The pandemic comes along, then they're like, "Oh, okay, what about PPP loans? How are we doing on that front?" Well, there's a whole new set of data, a whole new set of constituents, and then we're talking to state labs, and they're like, "Okay, here's the state lab data for COVID-19, but we have 20 other things that we're tracking. Can we get that data out as well?" A state comes to us and says, "Is there any way we can just break up this data and distribute it by county so each county health department can see what's going on?" Yeah. We have something called Domo Everywhere. That's what we do. These states are, in some cases, laughing, thinking about what the county health department leaders are going to say when they get data for their own county. They've never had it in the first place. The fact that they would get it, and it's real time for tests that are taking place the day before, it's just mind-boggling to them. We think there's some real opportunities here. We've got three fantastic flagship customers, and I think that we're going to have a decent opportunity to build a really cool government business out of this. Thanks. That's helpful. Just as a follow-up, I wanted to ask if you could provide any comment on Ian's progress since he transitioned to the role of CRO. Yeah, I think we're really excited about Ian. We had the advantage of being able to watch him run Europe and watch him interact with the executive team and challenge different people on the executive team, me included, and have very strong opinions about the way that things should be run. He's brought a tremendous amount of follow-through and organization, which is something that we needed more of, certainly. Both Ian and John Mellor have really partnered together to say, "Where can we get more efficiency? What's working? What's not working? How can we double down on the places where we're getting the response that we need? How can we hold people accountable? Let's get the right managers there." We're just continuing to optimize. Actually, we've continued to see the pipeline grow. The pipeline's doing great. It's just a question of when our customers, when's the environment going to be that customers are closing at rates that we've seen historically. If that's the case, we're in a great position. Yeah, we've been very pleased with Ian, and I hope he doesn't use this against me privately. Yeah, he's been doing a great job. Thanks, and congrats again. Thank you. Thank you. Our next question comes from Jennifer Lowe with UBS. Your line is now open. Great. Thanks, and congrats on the quarters, guys. Maybe just to start, it sounds like you're seeing a lot of momentum around these use cases that are very catered to the current environment. I'm just curious, as you look in your pipeline, how meaningful are things like return to work in terms of the deal volumes you're seeing relative to more traditional business? What do the sales cycles and the new versus existing mix look like for that relative to your historical mix? Yeah, I think when we give guidance, it's not based on us having a big chunk of our opportunities coming from these new opportunities for these new initiatives. They're based on selling our platform. Because we can predict that. We've got quarters and quarters to look at of history to see how these things close and to know what those conversations feel like. We look to Ian and the sales organization to tell us what's going to close. So that's what we've handicapped. In addition to that, any big deals or any of these new initiatives would all be gravy. We're really excited about them. The sales cycles, they are faster. People are trying to figure out how to get to work now. We look at the conversations that we're having on Get Back to Work, and we can be talking to world-renowned SIs, consulting organizations, or Fortune 500 companies, and we see based on the repeats conversations and follow-up conversations that we're having, how well equipped and organized and how much knowledge, frankly, that we have in this space, given that we've done so much in this space already, from the COVID-19 Crisis Command Center to helping these states. We're talking about putting together a whole army of organization and helping a state figure out how to respond and how to open and which counties should open and where they need more testing and how to organize PPE and people. You're having thousands of people that are donating PPE, and then they're buying PPE from all kinds of different distributors, and then they've got all these constituents that they need to hand that out to, whether it's care homes or hospitals or frontline responders. Those are big, complicated problems that we have solved amazingly well. Now when you want to talk about Get Back to Work, well, guess who's well-versed in the whole conversation? Hundreds of people at my company are well-versed in this conversation. It's put us in a position to know a lot. On top of that, this platform is just so well-versed at responding rapidly for rapid development to create a solution that sits on top of something where you need to have this leverage of all the data and business intelligence that you have, you need to have it at cloud scale, massive scale, not just in terms of data, but in terms of people. You need to have it in rapid time. Iowa has hundreds of thousands of people that are looking at their data in real time. All of their citizens are coming to the site and looking at what's going on. It's really been a monumental achievement that I don't think should be underrepresented in any way. It's putting us in a great position to get some additional upside from Get Back to Work, which is going to help us talk about the future of work as a whole. All of that would be gravy to the numbers that we gave you. Okay, great. Maybe just one last one from me, I think probably for Bruce Felt. Looking at sort of the cost-cutting, it sounds like the cost cuts were predicated on a sort of a downside scenario. So far, that downside scenario hasn't quite played out as it could have. It sounds like you're doing a bit better. If you think about sort of that split and what that might look like in a few quarters, is there sort of an expectation that the cuts are made and maybe you get to profitability a bit faster if the revenues come in better than the downside case? Could we see you start spending again? How should we think about the time horizon there? Well, we are going to be cautious about adding back any cost until we get more clarity on maybe how the macro environment develops. In the short run, most over-performance is going to help our cash position. At some point, as we get clarity on how the macro is going to play out and we get responses to these offerings, that may very well suggest to us that we ought to be leaning in a little bit more. What we likely would do in that case is we'd be adding sales capacity first. I don't think there'd be across-the-board spending, but sales capacity might be a smart place to put the investments to be prepared for next year if we're able to continue to navigate even this tough macro well, and that we don't want to be caught too flat-footed when we come out of this. In the short run, a lot of it falls to the bottom line, and in the medium term, as we look to next year, we'll definitely want to build some capacity. It won't be a dramatic increase in costs. I think we'll do it cautiously, and if we do really feel like there's incredible traction and pipeline building that requires more feet on the street right now, yeah, we'll do that, but I don't think it'll be that dramatic to the net cash flow position of the company, at least not this year. Great. Thank you. Thank you. Our next question comes from Pat Walravens with JMP Securities. Your line is now open. Great. Thank you, and congratulations, Josh and Bruce, on the quarter. Josh, just sort of rewinding a little bit. Pre the COVID-19 crisis, it felt like the major areas of focus were running some focused sales plays that Mellor come up with, which was like sales operations, marketing operations, financial operations, really improving the partnership motion, in particular, you guys were talking about the Snowflake partnership and the Microsoft partnership. Has COVID-19 Crisis Command Center completely changed those focuses for the entire sales force? Also, can you update us on the status of those partnerships? Josh is muted, so hang on. Josh? Oh, sorry. Yeah. I would say no, it's been the opposite, Pat. The sales plays are performing really well, and our salespeople now are all trained up, and they're running these plays, and we're seeing performance out of these plays. We're gravitating to the ones that are the most effective. The partnerships as well. We just had another sales training on Snowflake. We've got additional announcements with them. We're also seeing with our ability to respond so rapidly in the marketplace, we're getting a lot more phone calls from partners. Partner network isn't massively moving the dial for us yet, but there's a lot of things going on that I think will move the dial, and we're certainly becoming more relevant in that world. Okay, great. Thank you. Bruce Felt, can we just drill down a little bit more on the retention rate? In particular, what are you seeing sort of SMB versus enterprise, and what are you doing in terms of concessions for customers, and how does that fit in? Yeah, retention rates. There hasn't really been a significant difference between enterprise and corporate, mostly because corporate's acted a lot like enterprise. I mean, the deal sizes are $50,000+, and the company sizes are on the larger side. We're also, as we're into the new quarter, our renewal rates are up to where we want them to be. Q1 is usually seasonally slow, but right now they're tracking at the kind of rates that we're really happy about, and that's blended corporate and enterprise. On your other question, yes, basically, the smallest businesses and the most troubled industries have asked for concessions. We have accommodated short-term requests, I would say to the tune of about $1.5 million, that we've already absorbed in the quarter. We have preserved, if not increased, the total contract value in those cases. We feel like we've done the right thing to really help customers in need, but we have not really diminished the value of that stream to us. That's the magnitude of what we have had to address so far. Okay. That's super helpful. Thank you. You're welcome. Thank you. Our next question comes from Derrick Wood with Cowen and Company. Your line is now open. Great. Thanks. It's Andrew Sherman on for Derrick. Congrats on the great quarter. You mentioned the strength in grocery and the quick shift that reps made to those strong sectors. Maybe what other sectors are you seeing some strength from, and what is your mix of those in total? Well, we have an extremely diversified industry distribution. Fundamentally, unless it's really a challenged industry, which is a minority of our kind of exposure, and even within things like retail, groceries are strong, but specialty retail might not be. Those that have great e-commerce presence, I think, are still reasonably strong. We're finding all the other industries are basically still [inaudible] with us. Keep in mind, everybody's working from home. They all need the data to run the business. They're getting very used to doing it electronically. We're mobile, we're fast, we're at scale, we're very self-service. All that just plays really nicely into this environment. I don't know who's going to be installing software on servers. I just don't think any of that's going on. We have a great profile for companies that just have to get their hands on data, and the perfect profile for somebody that needs it right now, real time, and has to bring together multiple data sources really quickly. Frankly, that's just a universal need, and we think businesses in general are looking, in that area, at least not really cutting, and some of them just by necessity are really leaning into it. I just heard today of a furniture store in North Carolina who had shut down for up to now, are about to reopen, and we're about to do a deal with them. Why? Well, they just have to have the data to really manage the business even more aggressively as they reopen. That's the kind of response we're getting across all the industries. Not really a significant difference, I think, between industries, but I think they just all have that general need. Great. Thanks. Maybe for Josh, you've done a lot of webinars with C-level executives over the past few months. Do you think the light bulb there is finally going off, that this environment can be the catalyst for change that they needed to get to realize that they need a real-time solution? Thanks. Yeah, for sure. I think, just digital transformation, it's an initiative that a lot of times some of the CXOs, they wait for it from other people that are responsible for it. This has really forced them to know real-time information about their people, about their whole business. When you open back up, there's going to be changes, and the data's going to change that day, and they want to understand what's going on that day. It's really opened their eyes in many cases. Especially in cases where we're already in a customer, and we have big upsells on the table, it's helping to create a lot more opportunities, big upsell opportunities. We're excited about that for us as well. Great, thanks. I'll add, some of those upsell opportunities are replacing just plain old tools. The whole set that you had mentioned, that you said who might be in the market, same market as us, it's becoming quite obvious they cannot rise to the challenge of today. Some of these are just outright replacements, even though that's not what we're in the mission to do, but that's what our customers are telling us. Awesome. Thanks. You're welcome. Thank you. Our next question comes from Bhavan Suri with William Blair. Your line is now open. Hey guys. Thanks for squeezing me in here at the end. I guess, Josh, I want to touch really quickly, and by the way, congrats. Nice job here, and thank you for all the support you're doing for what's happening with COVID-19. The analyst day last year, you outlined kind of this year, your fiscal 2021 sales playbook, focused the efforts on the five specific personas within the organization. Just an update on the level of traction you're having with that new playbook model. Has there been any changes? Obviously, there's been dramatic changes with COVID-19. The persona model was very compelling as you think about the broad swath of what you offer. I'm trying to understand how is that playing out, or have you guys fine-tuned that? Yeah. Why don't we let Ian, can you turn Ian's line on and let Ian answer that question? Operator. Bruce, as well. His line is now open. Okay. Go ahead, Ian. Ian, you might be muted on your own phone. All right. Let's just ask Bruce the question. I'll answer the other one. Yeah. Let's ask Bruce the question, and you make sure. I'll answer that question, Ian can pile on. We think it's extremely helpful and important to narrow the focus towards personas that can really move the needle for us. The benefit of doing that is we can put a lot of resources behind these more narrow plays and get a lot of intelligence about the space and how these departments work. It's kind of necessary when you have a platform like what we do that can be applied anywhere and everywhere. That's just my question because you've tried to figure this out, this motion. That's exactly just the question, because you've tried to figure out this motion multiple times, right? Yeah. Should we just sell virally? Should we go enterprise? Should we go commercial? Should we define it by saying, "Hey, if I go to a large company, you can pick pieces"? That's why I'm asking the question, which is like, has that new messaging and the persona motion resonated? I think you're getting to it. Sorry. Hi, Bruce. Can you hear? We can hear you. Go ahead, Ian. Hey, sorry. Hey, yeah. Sorry about that. I'm not sure what happened with the earlier attempt for me to answer. Yes, absolutely. It's resonated really well for us. We definitely have seen with the sales plays and the work that we're doing with John Mellor on the way that we distribute the information that we have, the way that we contact customers, the way that we engage, the language that we're using, the plays and the personas have been really great on several fronts. One, for the sense that we are coming in and we are working and we have use case and value propositions that solves business challenges that they aren't able to answer. The second point is it then works the same way that Josh mentioned, which we do then have this viral element where once people see what we do and how quickly we can do it, we certainly expand our use base with inside the existing customers that we have as well. The focus helps us to get in, and then the virality helps us move out and wider to other use cases as well. Great. That was helpful. One quick one, and maybe, Ian, it's for you or for Josh, but on pricing. You've pivoted, and we've talked about this in past calls, about from traditional seat-based pricing to the platform model. This idea of providing a much broader suite, and let's just get people using it, and that'll drive growth and, as you said, expansion. Just how is that resonating? Is that playing out as we thought, or is that still a process that's pretty early stages? The pricing, we're very pleased with the way that the sales team are operating and the way that the model is executing for us. We have seen some great traction with the enterprise accounts. Strategic accounts, we're seeing pricing certainly with the value that we're bringing being less of a challenge for us, and I think that probably all plays back to the fact with the sales plays, we execute well, we show the value to the business user, and we provide a return to the organizations. As we demonstrate the return to the organizations, there's less pressure on us with regards to the cost or the pricing model that we have. Got you. Thanks for taking my questions, guys. Appreciate it. Congrats. Thank you. This concludes the question-and-answer session. Ladies and gentlemen, today's conference is now over. Thank you for participating. You may now disconnect.

Speaker 8: Welcome to Domo's first quarter FY 2021 Earnings Call. At this time, all participants are in a listen-only mode. After the speaker presentation, there will be a question-and-answer session. To ask a question during the session, you will need to press star one on your telephone. Please be advised that today's conference is being recorded. If you require any further assistance, please press star zero. With that, I will hand the call over to Peter Lowry, Domo's Vice President of Investor Relations. Welcome to Domo's first quarter FY 2021 Earnings Call. welcome to domo's first quarter fy 2021 earnings call At this time, all participants are in a listen-only mode. at this time all participants are in a listen-only mode After the speaker presentation, there will be a question- and -answer session. after the speaker presentation there will be a question- and -answer session To ask a question during the session, you will need to press star one on your telephone. to ask a question during the session you will need to press star one on your telephone Please be advised that today's conference is being recorded. please be advised that today's conference is being recorded If you require any further assistance, please press star zero. if you require any further assistance please press star zero With that, I will hand the call over to Peter Lowry, Domo's Vice President of Investor Relations. with that i will hand the call over to peter lowry domo's vice president of investor relations

Speaker 10: Good afternoon, and welcome. On the call today, we have Josh James, our Founder and Chief Executive Officer, Bruce Felt, our CFO, and Julie Kehoe, our Chief Communications Officer. Julie will lead off with our safe harbor statement and then on to the call. Julie? Good afternoon, and welcome. good afternoon and welcome On the call today, we have Josh James, our Founder and Chief Executive Officer, Bruce Felt, our CFO, and Julie Kehoe, our Chief Communications Officer. on the call today we have josh james our founder and chief executive officer bruce felt our cfo and julie kehoe our chief communications officer Julie will lead off with our safe harbor statement and then on to the call. julie will lead off with our safe harbor statement and then on to the call Julie? julie

Speaker 7: Our press release was issued after the market close and is posted in the investor relations section of our website, where this call is also being webcast. Statements made on this call include forward-looking statements related to our business under federal security laws, including statements about financial projections, the plans and expectations for our go-to-market strategy, our expectations for our sales and new business initiatives, the impact of COVID-19 on our business and our financial condition. These statements are subject to a variety of risks, uncertainties, and assumptions. For a discussion of these risks and uncertainties, please refer to documents we file with the SEC, in particular, today's press release, our most recently filed annual report on Form 10-K, and our most recently filed quarterly report on Form 10-Q. Our press release was issued after the market close and is posted in the investor relations section of our website, where this call is also being webcast. our press release was issued after the market close and is posted in the investor relations section of our website where this call is also being webcast Statements made on this call include forward-looking statements related to our business under federal security laws, including statements about financial projections, the plans and expectations for our go-to-market strategy, our expectations for our sales and new business initiatives, the impact of COVID-19 on our business and our financial condition. statements made on this call include forward-looking statements related to our business under federal security laws including statements about financial projections the plans and expectations for our go-to-market strategy our expectations for our sales and new business initiatives the impact of covid-19 on our business and our financial condition These statements are subject to a variety of risks, uncertainties, and assumptions. these statements are subject to a variety of risks uncertainties and assumptions For a discussion of these risks and uncertainties, please refer to documents we file with the SEC, in particular, today's press release, our most recently filed annual report on Form 10-K, and our most recently filed quarterly report on Form 10-Q. for a discussion of these risks and uncertainties please refer to documents we file with the sec in particular today's press release our most recently filed annual report on form 10-k and our most recently filed quarterly report on form 10-q These documents contain and identify important risk factors and other information that may cause our actual results to differ materially from those contained in our forward-looking statements. In addition, during today's call, we will discuss non-GAAP financial measures, which we believe are useful as supplemental measures of Domo's performance. Other than revenue, unless otherwise stated, we will be discussing our results of operations on a non-GAAP basis. These non-GAAP measures should be considered in addition to, and not as a substitute for or in isolation from, GAAP results. Please refer to the tables in our earnings press release for a reconciliation of our non-GAAP financial measures to the most directly comparable GAAP measure. With that, let me hand it over to Josh. Josh? These documents contain and identify important risk factors and other information that may cause our actual results to differ materially from those contained in our forward-looking statements. these documents contain and identify important risk factors and other information that may cause our actual results to differ materially from those contained in our forward-looking statements In addition, during today's call, we will discuss non-GAAP financial measures, which we believe are useful as supplemental measures of Domo's performance. in addition during today's call we will discuss non-gaap financial measures which we believe are useful as supplemental measures of domo's performance Other than revenue, unless otherwise stated, we will be discussing our results of operations on a non-GAAP basis. other than revenue unless otherwise stated we will be discussing our results of operations on a non-gaap basis These non-GAAP measures should be considered in addition to, and not as a substitute for or in isolation from, GAAP results. these non-gaap measures should be considered in addition to and not as a substitute for or in isolation from gaap results Please refer to the tables in our earnings press release for a reconciliation of our non-GAAP financial measures to the most directly comparable GAAP measure. please refer to the tables in our earnings press release for a reconciliation of our non-gaap financial measures to the most directly comparable gaap measure With that, let me hand it over to Josh. with that let me hand it over to josh Josh? josh

Speaker 6: Thank you, Julie. Hello, everyone, thanks for joining us for the call. Before I begin discussing the quarter, I want to express that the safety of our employees, their families, and our customers has been a top priority as we operate through this health crisis. Our people have been working from home in a fully distributed fashion since mid-March. I'm incredibly proud of how quickly they've adapted, especially the great care they've shown our customers and the rapid delivery of solutions for the new challenges our customers are facing. Many of the challenges of the moment have highlighted the unique strengths of our platform. I'm very pleased with our Q1 results, particularly given the backdrop. In Q1, we posted a 23% increase in subscription revenue, a 19% year-over-year increase in total revenue, and much better than expected billings and cash flow. Thank you, Julie. thank you julie Hello, everyone, thanks for joining us for the call. hello everyone thanks for joining us for the call Before I begin discussing the quarter, I want to express that the safety of our employees, their families, and our customers has been a top priority as we operate through this health crisis. before i begin discussing the quarter i want to express that the safety of our employees their families and our customers has been a top priority as we operate through this health crisis Our people have been working from home in a fully distributed fashion since mid-March. our people have been working from home in a fully distributed fashion since mid-march I'm incredibly proud of how quickly they've adapted, especially the great care they've shown our customers and the rapid delivery of solutions for the new challenges our customers are facing. i'm incredibly proud of how quickly they've adapted especially the great care they've shown our customers and the rapid delivery of solutions for the new challenges our customers are facing Many of the challenges of the moment have highlighted the unique strengths of our platform. many of the challenges of the moment have highlighted the unique strengths of our platform I'm very pleased with our Q1 results, particularly given the backdrop. i'm very pleased with our q1 results particularly given the backdrop In Q1, we posted a 23% increase in subscription revenue, a 19% year-over-year increase in total revenue, and much better than expected billings and cash flow. in q1 we posted a 23% increase in subscription revenue a 19% year-over-year increase in total revenue and much better than expected billings and cash flow Mostly, I'm excited about the guidance and the position it puts us in for the future. On the call today, I'm going to focus on a few items. A brief update of our positioning in a COVID-19 environment, Q1 highlights, including how we are helping our new and existing customers navigate the current environment, an update on our cost reduction plan, and recent industry recognition. In terms of our relevance in a COVID-19 environment or any environment where speed and rapid response become important, our core value proposition of BI leverage at cloud scale in record time well positions us to benefit from the digital transformation trend in general, and specifically, the rapid pace of change that COVID-19 requires by creating apps that automate workflow or create new capabilities. Mostly, I'm excited about the guidance and the position it puts us in for the future. mostly i'm excited about the guidance and the position it puts us in for the future On the call today, I'm going to focus on a few items. on the call today i'm going to focus on a few items A brief update of our positioning in a COVID-19 environment, Q1 highlights, including how we are helping our new and existing customers navigate the current environment, an update on our cost reduction plan, and recent industry recognition. a brief update of our positioning in a covid-19 environment q1 highlights including how we are helping our new and existing customers navigate the current environment an update on our cost reduction plan and recent industry recognition In terms of our relevance in a COVID-19 environment or any environment where speed and rapid response become important, our core value proposition of BI leverage at cloud scale in record time well positions us to benefit from the digital transformation trend in general, and specifically, the rapid pace of change that COVID-19 requires by creating apps that automate workflow or create new capabilities. in terms of our relevance in a covid-19 environment or any environment where speed and rapid response become important our core value proposition of bi leverage at cloud scale in record time well positions us to benefit from the digital transformation trend in general and specifically the rapid pace of change that covid-19 requires by creating apps that automate workflow or create new capabilities Our positive position is reinforced by our ability to support work-from-home initiatives and by the value we provide to a well-diversified customer base. BI leverage means unleashing all of the data within an organization without having to rip out existing infrastructure and getting more value from those investments. In many cases, the data customers need now to manage how they operate is different than what they needed before this pandemic. Integrating this data and making it actionable is one of our core strengths. We also think that being cloud-based is certainly a tailwind in a work-from-home environment. Cloud scale means significantly greater data capacity, something that differentiates us from our mostly on-premise competitors. Cloud also means simplicity in adoption and expansion for new and existing customers. Also, Domo's platform can scale to support the growing needs of our customers in an elastic manner. Our positive position is reinforced by our ability to support work-from-home initiatives and by the value we provide to a well-diversified customer base. our positive position is reinforced by our ability to support work-from-home initiatives and by the value we provide to a well-diversified customer base BI leverage means unleashing all of the data within an organization without having to rip out existing infrastructure and getting more value from those investments. bi leverage means unleashing all of the data within an organization without having to rip out existing infrastructure and getting more value from those investments In many cases, the data customers need now to manage how they operate is different than what they needed before this pandemic. in many cases the data customers need now to manage how they operate is different than what they needed before this pandemic Integrating this data and making it actionable is one of our core strengths. integrating this data and making it actionable is one of our core strengths We also think that being cloud-based is certainly a tailwind in a work-from-home environment. we also think that being cloud-based is certainly a tailwind in a work-from-home environment Cloud scale means significantly greater data capacity, something that differentiates us from our mostly on-premise competitors. cloud scale means significantly greater data capacity something that differentiates us from our mostly on-premise competitors Cloud also means simplicity in adoption and expansion for new and existing customers. cloud also means simplicity in adoption and expansion for new and existing customers Also, Domo's platform can scale to support the growing needs of our customers in an elastic manner. also domo's platform can scale to support the growing needs of our customers in an elastic manner In record time means that because of our integrated platform, our initial time to value with a customer can be measured in days or weeks instead of quarters or years. Our ability to deliver value in new projects with existing customers can be minutes or hours. Domo was built for a broadly distributed or remote and digitally connected workforce. Domo supports distributed work in a collaborative way, which is critical in times like this. Our mobile-first solution provides businesses and business users the real-time data they need to make timely, effective decisions and allows teams and cross-functional units to collaborate around that data. In an unparalleled way, our platform also allows for the rapid development of intelligent applications that leverage data to automate workflows and modernize business processes. These intelligent applications are one of our key points of differentiation against any other player in the space. In record time means that because of our integrated platform, our initial time to value with a customer can be measured in days or weeks instead of quarters or years. in record time means that because of our integrated platform our initial time to value with a customer can be measured in days or weeks instead of quarters or years Our ability to deliver value in new projects with existing customers can be minutes or hours. our ability to deliver value in new projects with existing customers can be minutes or hours Domo was built for a broadly distributed or remote and digitally connected workforce. domo was built for a broadly distributed or remote and digitally connected workforce Domo supports distributed work in a collaborative way, which is critical in times like this. domo supports distributed work in a collaborative way which is critical in times like this Our mobile-first solution provides businesses and business users the real-time data they need to make timely, effective decisions and allows teams and cross-functional units to collaborate around that data. our mobile-first solution provides businesses and business users the real-time data they need to make timely effective decisions and allows teams and cross-functional units to collaborate around that data In an unparalleled way, our platform also allows for the rapid development of intelligent applications that leverage data to automate workflows and modernize business processes. These intelligent applications are one of our key points of differentiation against any other player in the space. in an unparalleled way our platform also allows for the rapid development of intelligent applications that leverage data to automate workflows and modernize business processes. these intelligent applications are one of our key points of differentiation against any other player in the space They bring data to life in a way that transforms the experience users have interacting with the data. This can be as simple as a one-click connection to massive amounts of data via our connector apps to rapidly automate and modernize workflows, whether they be existing business processes such as order entry, to completely new processes like PPE inventory management, personal protective equipment inventory management, contact tracing, temperature scanning, and auditing wellness of employees, all enabled by the Domo platform. I'll talk about some of the highlights of the quarter, including how we are helping our customers navigate the current environment. One of the highlights was our new initiative to help state governments manage their response to COVID-19. This initiative demonstrates our platform's ability to help customers quickly adapt. They bring data to life in a way that transforms the experience users have interacting with the data. they bring data to life in a way that transforms the experience users have interacting with the data This can be as simple as a one-click connection to massive amounts of data via our connector apps to rapidly automate and modernize workflows, whether they be existing business processes such as order entry, to completely new processes like PPE inventory management, personal protective equipment inventory management, contact tracing, temperature scanning, and auditing wellness of employees, all enabled by the Domo platform. this can be as simple as a one-click connection to massive amounts of data via our connector apps to rapidly automate and modernize workflows whether they be existing business processes such as order entry to completely new processes like ppe inventory management personal protective equipment inventory management contact tracing temperature scanning and auditing wellness of employees all enabled by the domo platform I'll talk about some of the highlights of the quarter, including how we are helping our customers navigate the current environment. i'll talk about some of the highlights of the quarter including how we are helping our customers navigate the current environment One of the highlights was our new initiative to help state governments manage their response to COVID-19. one of the highlights was our new initiative to help state governments manage their response to covid-19 This initiative demonstrates our platform's ability to help customers quickly adapt. this initiative demonstrates our platform's ability to help customers quickly adapt We started our COVID-19 response by having our rapid response team create, over the weekend, a free public-facing global COVID-19 tracking app that's been reputed by many to be the best, including Jim Cramer, who said it was a vastly superior, much more real-time site about COVID than others that are publicly available. It taps into a vast set of published data sources, and while we made this tracker free to everyone, more than 700 existing customers of ours have embedded data from it into their own Domo dashboards, demonstrating the importance of these new data sources in helping our customers understand how to operate in this environment. Integration partners are delivering data solutions to their customers using Domo's COVID-19 data, as well as the Domo platform. We started our COVID-19 response by having our rapid response team create, over the weekend, a free public-facing global COVID-19 tracking app that's been reputed by many to be the best, including Jim Cramer, who said it was a vastly superior, much more real-time site about COVID than others that are publicly available. we started our covid-19 response by having our rapid response team create over the weekend a free public-facing global covid-19 tracking app that's been reputed by many to be the best including jim cramer who said it was a vastly superior much more real-time site about covid than others that are publicly available It taps into a vast set of published data sources, and while we made this tracker free to everyone, more than 700 existing customers of ours have embedded data from it into their own Domo dashboards, demonstrating the importance of these new data sources in helping our customers understand how to operate in this environment. it taps into a vast set of published data sources and while we made this tracker free to everyone more than 700 existing customers of ours have embedded data from it into their own domo dashboards demonstrating the importance of these new data sources in helping our customers understand how to operate in this environment Integration partners are delivering data solutions to their customers using Domo's COVID-19 data, as well as the Domo platform. integration partners are delivering data solutions to their customers using domo's covid-19 data as well as the domo platform The COVID-19 tracker is also a great illustration of how Domo excels at connecting massive amounts of disparate data into a consumable package to help executives understand their environment in real time so they can make better decisions about what to do next. In many cases, we would see reports on CNN from Johns Hopkins that we knew were not as up-to-date as they could be. It demonstrates when you have big businesses or large amounts of money or critical supply chain information or lives at stake, you really should be using Domo. After our success with our public-facing site, we were asked by other leaders to take the expertise we bring to the world's largest companies and to create a COVID-19 Crisis Command Center for the state of Utah. By the way, again, our team miraculously delivered it. The COVID-19 tracker is also a great illustration of how Domo excels at connecting massive amounts of disparate data into a consumable package to help executives understand their environment in real time so they can make better decisions about what to do next. the covid-19 tracker is also a great illustration of how domo excels at connecting massive amounts of disparate data into a consumable package to help executives understand their environment in real time so they can make better decisions about what to do next In many cases, we would see reports on CNN from Johns Hopkins that we knew were not as up-to-date as they could be. in many cases we would see reports on cnn from johns hopkins that we knew were not as up-to-date as they could be It demonstrates when you have big businesses or large amounts of money or critical supply chain information or lives at stake, you really should be using Domo. it demonstrates when you have big businesses or large amounts of money or critical supply chain information or lives at stake you really should be using domo After our success with our public-facing site, we were asked by other leaders to take the expertise we bring to the world's largest companies and to create a COVID-19 Crisis Command Center for the state of Utah. after our success with our public-facing site we were asked by other leaders to take the expertise we bring to the world's largest companies and to create a covid-19 crisis command center for the state of utah By the way, again, our team miraculously delivered it. by the way again our team miraculously delivered it They delivered an initial V1 in 72 hours over the weekend. This Crisis Command Center gives the Governor and other executives real-time information to help them manage a swift and coordinated response from key metrics such as testing and tracking data, state entry data from the Department of Transportation, state entry into the state, PPE inventory, and current hotspots for active cases. We also delivered a series of apps, including a Governor's app, to deliver the metrics he cares about most, such as transmission rates, infection stats, and testing capacity, right to his phone or iPad, in Governor Herbert's case. They delivered an initial V1 in 72 hours over the weekend. they delivered an initial v1 in 72 hours over the weekend This Crisis Command Center gives the Governor and other executives real-time information to help them manage a swift and coordinated response from key metrics such as testing and tracking data, state entry data from the Department of Transportation, state entry into the state, PPE inventory, and current hotspots for active cases. this crisis command center gives the governor and other executives real-time information to help them manage a swift and coordinated response from key metrics such as testing and tracking data state entry data from the department of transportation state entry into the state ppe inventory and current hotspots for active cases We also delivered a series of apps, including a Governor's app, to deliver the metrics he cares about most, such as transmission rates, infection stats, and testing capacity, right to his phone or iPad, in Governor Herbert's case. we also delivered a series of apps including a governor's app to deliver the metrics he cares about most such as transmission rates infection stats and testing capacity right to his phone or ipad in governor herbert's case Given the success of Utah's deployment, we also signed command center contracts with the states of Nebraska and Iowa. Governors are now asking us to expand the data in their command centers to include economic insights such as SBA loan and unemployment data, and also other health data and state lab data. The feedback we have received from the states has been amazing. We believe that the successful launches in Iowa, Nebraska, and Utah position us further for growth in those government contracts and the government contracts market. Moving to the next phase of this pandemic, the decisions the private sector is now faced with is how to execute and maintain a safe return to the office, bringing together new and varied data types, orchestrating new processes, and maintaining consistent communication with employees. Given the success of Utah's deployment, we also signed command center contracts with the states of Nebraska and Iowa. given the success of utah's deployment we also signed command center contracts with the states of nebraska and iowa Governors are now asking us to expand the data in their command centers to include economic insights such as SBA loan and unemployment data, and also other health data and state lab data. governors are now asking us to expand the data in their command centers to include economic insights such as sba loan and unemployment data and also other health data and state lab data The feedback we have received from the states has been amazing. the feedback we have received from the states has been amazing We believe that the successful launches in Iowa, Nebraska, and Utah position us further for growth in those government contracts and the government contracts market. we believe that the successful launches in iowa nebraska and utah position us further for growth in those government contracts and the government contracts market Moving to the next phase of this pandemic, the decisions the private sector is now faced with is how to execute and maintain a safe return to the office, bringing together new and varied data types, orchestrating new processes, and maintaining consistent communication with employees. moving to the next phase of this pandemic the decisions the private sector is now faced with is how to execute and maintain a safe return to the office bringing together new and varied data types orchestrating new processes and maintaining consistent communication with employees With that, we've introduced a Get Back to Work solution, kind of all around the future of work, which includes apps that can be rapidly deployed to give the private sector customers the ability to gather, see, and act on all the new information they need to build trust with their employees as they orchestrate a safe return to the office. The apps deliver value for both the employer and the employee. Domo's Get Back to Work solution includes capabilities for a company to monitor temperature scanning and contact tracing, as well as a CEO app to give top leadership real-time understanding of the state of their company and employees with regard to the pandemic impact. Apps focusing on employee experience are designed to instill confidence in returning to the workplace. With that, we've introduced a Get Back to Work solution, kind of all around the future of work, which includes apps that can be rapidly deployed to give the private sector customers the ability to gather, see, and act on all the new information they need to build trust with their employees as they orchestrate a safe return to the office. with that we've introduced a get back to work solution kind of all around the future of work which includes apps that can be rapidly deployed to give the private sector customers the ability to gather see and act on all the new information they need to build trust with their employees as they orchestrate a safe return to the office The apps deliver value for both the employer and the employee. the apps deliver value for both the employer and the employee Domo's Get Back to Work solution includes capabilities for a company to monitor temperature scanning and contact tracing, as well as a CEO app to give top leadership real-time understanding of the state of their company and employees with regard to the pandemic impact. domo's get back to work solution includes capabilities for a company to monitor temperature scanning and contact tracing as well as a ceo app to give top leadership real-time understanding of the state of their company and employees with regard to the pandemic impact Apps focusing on employee experience are designed to instill confidence in returning to the workplace. apps focusing on employee experience are designed to instill confidence in returning to the workplace These apps allow employees to do self-assessments and also provide a dedicated communication channel between themselves and management. These and other apps, such as apps for training and compliance and workforce productivity, are all possible because of the Domo platform's ability to create leverage from any data source and make it easily accessible and actionable in record time. Our company was built for this time. Our platform delivers real-time data at cloud scale in record time. When hours and days matter, there is no solution like Domo, and we invite you to go and check out these new apps and this new Get Back to Work initiative at getbacktowork.com. Our platform delivers real-time data at cloud scale in record time. This platform got us into global COVID-19 tracking over a weekend. These apps allow employees to do self-assessments and also provide a dedicated communication channel between themselves and management. these apps allow employees to do self-assessments and also provide a dedicated communication channel between themselves and management These and other apps, such as apps for training and compliance and workforce productivity, are all possible because of the Domo platform's ability to create leverage from any data source and make it easily accessible and actionable in record time. these and other apps such as apps for training and compliance and workforce productivity are all possible because of the domo platform's ability to create leverage from any data source and make it easily accessible and actionable in record time Our company was built for this time. our company was built for this time Our platform delivers real-time data at cloud scale in record time. our platform delivers real-time data at cloud scale in record time When hours and days matter, there is no solution like Domo, and we invite you to go and check out these new apps and this new Get Back to Work initiative at getbacktowork.com. Our platform delivers real-time data at cloud scale in record time. when hours and days matter there is no solution like domo and we invite you to go and check out these new apps and this new get back to work initiative at getbacktowork.com. our platform delivers real-time data at cloud scale in record time This platform got us into global COVID-19 tracking over a weekend. this platform got us into global covid-19 tracking over a weekend It got us into states with command center apps also over a weekend. We crushed it because the states needed to handle large and complicated data from so many sources distributed to everyone inside their state organization and all of their citizens through cloud scale. They needed it, of course, in record time, over the weekend. Our platform enabled us to build and deliver the PPE app and the governor app. This platform also got us into this Get Back to Work, an even bigger space, the future of work that again, is characterized by massive volumes of data and massive amounts of people where cloud scale is imperative. The data that is needed from so many new sources and so many new types. The platform connects to device data and systems and spreadsheets, makes it easy to distribute that data to users for transparency. It got us into states with command center apps also over a weekend. it got us into states with command center apps also over a weekend We crushed it because the states needed to handle large and complicated data from so many sources distributed to everyone inside their state organization and all of their citizens through cloud scale. we crushed it because the states needed to handle large and complicated data from so many sources distributed to everyone inside their state organization and all of their citizens through cloud scale They needed it, of course, in record time, over the weekend. they needed it of course in record time over the weekend Our platform enabled us to build and deliver the PPE app and the governor app. our platform enabled us to build and deliver the ppe app and the governor app This platform also got us into this Get Back to Work, an even bigger space, the future of work that again, is characterized by massive volumes of data and massive amounts of people where cloud scale is imperative. this platform also got us into this get back to work an even bigger space the future of work that again is characterized by massive volumes of data and massive amounts of people where cloud scale is imperative The data that is needed from so many new sources and so many new types. the data that is needed from so many new sources and so many new types The platform connects to device data and systems and spreadsheets, makes it easy to distribute that data to users for transparency. the platform connects to device data and systems and spreadsheets makes it easy to distribute that data to users for transparency The platform enables all of that. These apps are not a diversion. They're door openers to the entire platform, and they show and demonstrate the power of the entire platform. Another highlight for us in the quarter was seeing our customers use Domo to rapidly respond to the changes for their own operating environment due to COVID-19. One example is Harmons, an upscale grocery supermarket chain here in Utah. In mid-March, Harmons saw that Spam, yes, that Spam and other items that usually don't show up on inventory reports were flying off the shelves. Using Domo, Harmons was able to quickly request from its major national distributor the then-current 4,000 most important items to Harmons customers earlier than any other grocery store, ensuring inventory. The platform enables all of that. the platform enables all of that These apps are not a diversion. these apps are not a diversion They're door openers to the entire platform, and they show and demonstrate the power of the entire platform. they're door openers to the entire platform and they show and demonstrate the power of the entire platform Another highlight for us in the quarter was seeing our customers use Domo to rapidly respond to the changes for their own operating environment due to COVID-19. another highlight for us in the quarter was seeing our customers use domo to rapidly respond to the changes for their own operating environment due to covid-19 One example is Harmons, an upscale grocery supermarket chain here in Utah. one example is harmons an upscale grocery supermarket chain here in utah In mid-March, Harmons saw that Spam, yes, that Spam and other items that usually don't show up on inventory reports were flying off the shelves. in mid-march harmons saw that spam yes that spam and other items that usually don't show up on inventory reports were flying off the shelves Using Domo, Harmons was able to quickly request from its major national distributor the then-current 4,000 most important items to Harmons customers earlier than any other grocery store, ensuring inventory. using domo harmons was able to quickly request from its major national distributor the then-current 4,000 most important items to harmons customers earlier than any other grocery store ensuring inventory Harmons was also able to give a local bread supplier access to a Domo dashboard so they could understand in real time what was selling and what was being thrown away and keep Harmons stores well-stocked. These moves allowed Harmons to get a jump on the supply chain and again, secure the right inventory that would allow it to serve its customers better than the competition. Another example of how we're seeing increased usage during this time is Gant Travel, a corporate travel management company. Gant credited Domo for helping minimize any major disruptions to its own business as COVID-19 hit the broader travel industry, obviously very hard. Because Domo automates many BI-critical tasks, Gant was already operating without the extra headcount required for manual processes that many have to do, such as client reporting. It didn't need to make dramatic cuts to its workforce. Harmons was also able to give a local bread supplier access to a Domo dashboard so they could understand in real time what was selling and what was being thrown away and keep Harmons stores well-stocked. harmons was also able to give a local bread supplier access to a domo dashboard so they could understand in real time what was selling and what was being thrown away and keep harmons stores well-stocked These moves allowed Harmons to get a jump on the supply chain and again, secure the right inventory that would allow it to serve its customers better than the competition. these moves allowed harmons to get a jump on the supply chain and again secure the right inventory that would allow it to serve its customers better than the competition Another example of how we're seeing increased usage during this time is Gant Travel, a corporate travel management company. another example of how we're seeing increased usage during this time is gant travel a corporate travel management company Gant credited Domo for helping minimize any major disruptions to its own business as COVID-19 hit the broader travel industry, obviously very hard. gant credited domo for helping minimize any major disruptions to its own business as covid-19 hit the broader travel industry obviously very hard Because Domo automates many BI-critical tasks, Gant was already operating without the extra headcount required for manual processes that many have to do, such as client reporting. because domo automates many bi-critical tasks gant was already operating without the extra headcount required for manual processes that many have to do such as client reporting It didn't need to make dramatic cuts to its workforce. it didn't need to make dramatic cuts to its workforce Gant also had been using Domo's embedded analytics product to deliver on-the-fly services that suddenly became more valuable to its customers in this environment as cash preservation became king. Gant was able to deliver real-time insights into the status and value of unused tickets, refunds, and number of uncanceled reservations across currencies and through rapidly changing policies of travel vendors. One difficult decision that we had to make in the quarter was to significantly reduce our operating expenses. We recognized the potential impact COVID-19 could have on our business, and at our analyst briefing at Domopalooza, we announced that we had reduced operating expenses by $5 million with plans in place based on an economic downturn comparable to the one in 2008, 2009, for an additional $30 million cut. Our ongoing assessment was that it was prudent to prepare for a downturn to protect our balance sheet. Gant also had been using Domo's embedded analytics product to deliver on-the-fly services that suddenly became more valuable to its customers in this environment as cash preservation became king. gant also had been using domo's embedded analytics product to deliver on-the-fly services that suddenly became more valuable to its customers in this environment as cash preservation became king Gant was able to deliver real-time insights into the status and value of unused tickets, refunds, and number of uncanceled reservations across currencies and through rapidly changing policies of travel vendors. gant was able to deliver real-time insights into the status and value of unused tickets refunds and number of uncanceled reservations across currencies and through rapidly changing policies of travel vendors One difficult decision that we had to make in the quarter was to significantly reduce our operating expenses. one difficult decision that we had to make in the quarter was to significantly reduce our operating expenses We recognized the potential impact COVID-19 could have on our business, and at our analyst briefing at Domopalooza, we announced that we had reduced operating expenses by $5 million with plans in place based on an economic downturn comparable to the one in 2008, 2009, for an additional $30 million cut. we recognized the potential impact covid-19 could have on our business and at our analyst briefing at domopalooza we announced that we had reduced operating expenses by $5 million with plans in place based on an economic downturn comparable to the one in 2008 2009 for an additional $30 million cut Our ongoing assessment was that it was prudent to prepare for a downturn to protect our balance sheet. our ongoing assessment was that it was prudent to prepare for a downturn to protect our balance sheet We announced the additional $30 million expense reduction. That scenario was based upon us preparing for a downside scenario for our new business to potentially be 20% less than what our original plan was. Our expense reductions remain in place, and we expect to meet our 35%, or sorry, our $35 million reduction target. It's always hard to cut heads because of the human toil it has on individuals and their families, and we are doing everything we can to mitigate the negative impact on them. We now have 25% of those folks who already have jobs, and we've provided outplacement services to assist those impacted through the hiring of dedicated recruiters, creating a job referral network, and providing one-to-one coaching for resume writing and interview skills. We announced the additional $30 million expense reduction. we announced the additional $30 million expense reduction That scenario was based upon us preparing for a downside scenario for our new business to potentially be 20% less than what our original plan was. that scenario was based upon us preparing for a downside scenario for our new business to potentially be 20% less than what our original plan was Our expense reductions remain in place, and we expect to meet our 35%, or sorry, our $35 million reduction target. our expense reductions remain in place and we expect to meet our 35% or sorry our $35 million reduction target It's always hard to cut heads because of the human toil it has on individuals and their families, and we are doing everything we can to mitigate the negative impact on them. it's always hard to cut heads because of the human toil it has on individuals and their families and we are doing everything we can to mitigate the negative impact on them We now have 25% of those folks who already have jobs, and we've provided outplacement services to assist those impacted through the hiring of dedicated recruiters, creating a job referral network, and providing one-to-one coaching for resume writing and interview skills. we now have 25% of those folks who already have jobs and we've provided outplacement services to assist those impacted through the hiring of dedicated recruiters creating a job referral network and providing one-to-one coaching for resume writing and interview skills We also let employees, of course, keep their laptops as a tool to make it easier in their job search. I'm proud of our team for pivoting to produce a very successful 100% online Domopalooza in under two weeks. As the first B2B conference to go completely digital, we set a high bar. More than 9,000 people pre-registered and more than 12,000 viewed the event within 24 hours of the live show. Now, this was four to five times increase in the engagement over our typical in-person conference. We learned many things we will be able to incorporate into future in-person Domopalooza conferences to make them more productive experiences with much larger and a more augmented reach. We also let employees, of course, keep their laptops as a tool to make it easier in their job search. we also let employees of course keep their laptops as a tool to make it easier in their job search I'm proud of our team for pivoting to produce a very successful 100% online Domopalooza in under two weeks. i'm proud of our team for pivoting to produce a very successful 100% online domopalooza in under two weeks As the first B2B conference to go completely digital, we set a high bar. as the first b2b conference to go completely digital we set a high bar More than 9,000 people pre-registered and more than 12,000 viewed the event within 24 hours of the live show. more than 9,000 people pre-registered and more than 12,000 viewed the event within 24 hours of the live show Now, this was four to five times increase in the engagement over our typical in-person conference. now this was four to five times increase in the engagement over our typical in-person conference We learned many things we will be able to incorporate into future in-person Domopalooza conferences to make them more productive experiences with much larger and a more augmented reach. we learned many things we will be able to incorporate into future in-person domopalooza conferences to make them more productive experiences with much larger and a more augmented reach At this year's Domopalooza, we also announced new product features and enhancements to bring additional increased capabilities to the Domo Business Cloud and help unlock the value of an organization's dark data by making it more consumable, usable, and actionable at scale. These announcements included ubiquitous machine learning and more powerful data management tools, a no-code, low-code drag and drop development environment to empower data-driven app creation and support for AWS SageMaker Autopilot to drive machine learning insights for everyone in the business. We continue to receive a wave of third-party recognition, which is validation for our platform, particularly in this environment where speed and business agility are imperative for customers. Some of these awards included Business Intelligence Solution of the Year in the 2020 Data Breakthrough Awards, the number one vendor ranking for the fourth consecutive year. I'm going to say that again. At this year's Domopalooza, we also announced new product features and enhancements to bring additional increased capabilities to the Domo Business Cloud and help unlock the value of an organization's dark data by making it more consumable, usable, and actionable at scale. These announcements included ubiquitous machine learning and more powerful data management tools, a no-code, low-code drag and drop development environment to empower data-driven app creation and support for AWS SageMaker Autopilot to drive machine learning insights for everyone in the business. at this year's domopalooza we also announced new product features and enhancements to bring additional increased capabilities to the domo business cloud and help unlock the value of an organization's dark data by making it more consumable usable and actionable at scale. these announcements included ubiquitous machine learning and more powerful data management tools a no-code low-code drag and drop development environment to empower data-driven app creation and support for aws sagemaker autopilot to drive machine learning insights for everyone in the business We continue to receive a wave of third-party recognition, which is validation for our platform, particularly in this environment where speed and business agility are imperative for customers. we continue to receive a wave of third-party recognition which is validation for our platform particularly in this environment where speed and business agility are imperative for customers Some of these awards included Business Intelligence Solution of the Year in the 2020 Data Breakthrough Awards, the number one vendor ranking for the fourth consecutive year. some of these awards included business intelligence solution of the year in the 2020 data breakthrough awards the number one vendor ranking for the fourth consecutive year I'm going to say that again. i'm going to say that again The number one vendor ranking for the fourth consecutive year in the Dresner Advisory Services 2020 Cloud Computing and Business Intelligence Market Study, as well as the number one vendor ranking in their 2020 market study for self-service business intelligence. For the third consecutive year, TrustRadius gave Domo top-rated awards based on customer reviews for both BI tools as well as data discovery and visualization platforms. Lastly, we were named to the Women Tech Council's 2020 Shatter List for helping break the glass ceiling in technology. I was pleased to announce in the quarter the addition of a public company CIO, Joy Driscoll Durling of Vivint, to our board of directors. As CIO of a Domo customer, her insights will be invaluable as we look to our next phase of growth. The number one vendor ranking for the fourth consecutive year in the Dresner Advisory Services 2020 Cloud Computing and Business Intelligence Market Study, as well as the number one vendor ranking in their 2020 market study for self-service business intelligence. the number one vendor ranking for the fourth consecutive year in the dresner advisory services 2020 cloud computing and business intelligence market study as well as the number one vendor ranking in their 2020 market study for self-service business intelligence For the third consecutive year, TrustRadius gave Domo top-rated awards based on customer reviews for both BI tools as well as data discovery and visualization platforms. for the third consecutive year trustradius gave domo top-rated awards based on customer reviews for both bi tools as well as data discovery and visualization platforms Lastly, we were named to the Women Tech Council's 2020 Shatter List for helping break the glass ceiling in technology. lastly we were named to the women tech council's 2020 shatter list for helping break the glass ceiling in technology I was pleased to announce in the quarter the addition of a public company CIO, Joy Driscoll Durling of Vivint, to our board of directors. i was pleased to announce in the quarter the addition of a public company cio joy driscoll durling of vivint to our board of directors As CIO of a Domo customer, her insights will be invaluable as we look to our next phase of growth. as cio of a domo customer her insights will be invaluable as we look to our next phase of growth I'd also like to highlight that since taking the Parity Pledge that we helped create in 2017, we have increased the number of women leaders on our board from zero to three. They used to be all venture capital investors, and now we have three women leaders on our board. This diversity of thought and experience makes us a stronger company. As we all know, diversity and inclusion is not just about gender. We stand with the Black community for equality and justice. In October 2017, I appointed a director of diversity to help Domo build a welcoming culture for everyone. Early this year, we initiated an internship program with HBCUs to welcome Black students into tech. I'd also like to highlight that since taking the Parity Pledge that we helped create in 2017, we have increased the number of women leaders on our board from zero to three. i'd also like to highlight that since taking the parity pledge that we helped create in 2017 we have increased the number of women leaders on our board from zero to three They used to be all venture capital investors, and now we have three women leaders on our board. they used to be all venture capital investors and now we have three women leaders on our board This diversity of thought and experience makes us a stronger company. this diversity of thought and experience makes us a stronger company As we all know, diversity and inclusion is not just about gender. as we all know diversity and inclusion is not just about gender We stand with the Black community for equality and justice. we stand with the black community for equality and justice In October 2017, I appointed a director of diversity to help Domo build a welcoming culture for everyone. in october 2017 i appointed a director of diversity to help domo build a welcoming culture for everyone Early this year, we initiated an internship program with HBCUs to welcome Black students into tech. early this year we initiated an internship program with hbcus to welcome black students into tech As the events of the past weeks and days have shown us, we have a long way to go as a country, and we're committed to doing our part to help advance meaningful conversation and change at Domo and in our communities. Black Lives Matter. In closing, I'd just like to reiterate how proud I am of our employees who have not paused for a moment in delivering the value of our platform to help our customers operate most effectively in a challenging environment. With that, I'll turn it over to the Bruce. As the events of the past weeks and days have shown us, we have a long way to go as a country, and we're committed to doing our part to help advance meaningful conversation and change at Domo and in our communities. as the events of the past weeks and days have shown us we have a long way to go as a country and we're committed to doing our part to help advance meaningful conversation and change at domo and in our communities Black Lives Matter. black lives matter In closing, I'd just like to reiterate how proud I am of our employees who have not paused for a moment in delivering the value of our platform to help our customers operate most effectively in a challenging environment. in closing i'd just like to reiterate how proud i am of our employees who have not paused for a moment in delivering the value of our platform to help our customers operate most effectively in a challenging environment With that, I'll turn it over to the Bruce. with that i'll turn it over to the bruce

Speaker 3: Thank you, Josh. We had a strong Q1, continuing the momentum that we experienced in Q3 and Q4 of last year. I'll now review the details behind our performance, followed by providing second quarter and fiscal 2021 full-year guidance. Our Q1 billings of $46.5 million, a year-over-year increase of over 13%, was driven by our ability to quickly adjust our go-to-market efforts toward companies in the healthiest sectors of the economy. Relatedly, we were able to, in a matter of a few days, adapt our product to respond to governments in need of data to manage the crisis. Specifically, to our government response, we were able to close $4.5 million of recurring new business selling our COVID-19 Crisis Command Center during the quarter. Thank you, Josh. thank you josh We had a strong Q1, continuing the momentum that we experienced in Q3 and Q4 of last year. we had a strong q1 continuing the momentum that we experienced in q3 and q4 of last year I'll now review the details behind our performance, followed by providing second quarter and fiscal 2021 full-year guidance. i'll now review the details behind our performance followed by providing second quarter and fiscal 2021 full-year guidance Our Q1 billings of $46.5 million, a year-over-year increase of over 13%, was driven by our ability to quickly adjust our go-to-market efforts toward companies in the healthiest sectors of the economy. our q1 billings of $46.5 million a year-over-year increase of over 13% was driven by our ability to quickly adjust our go-to-market efforts toward companies in the healthiest sectors of the economy Relatedly, we were able to, in a matter of a few days, adapt our product to respond to governments in need of data to manage the crisis. relatedly we were able to in a matter of a few days adapt our product to respond to governments in need of data to manage the crisis Specifically, to our government response, we were able to close $4.5 million of recurring new business selling our COVID-19 Crisis Command Center during the quarter. specifically to our government response we were able to close $4.5 million of recurring new business selling our covid-19 crisis command center during the quarter At the same time, we generally benefited by having a low percentage of our business from very small companies, a sales force already conditioned to primarily selling via the phone, and an installed base that has a considerable amount of white space for us to further expand into. In addition, our renewal rates were above 85% in a seasonally slow quarter, and given the economic environment, we're pleased with this outcome. We have 57% of our customers under multi-year contracts at the end of Q1. Our remaining performance obligations, or RPO, grew 17% compared to the same quarter last year. Q1 revenue was $48.6 million, a year-over-year increase of 19%. Subscription revenue represented 87% of total revenue, reflecting our focus on specifically growing recurring revenue. International revenue in the quarter represented 24% of total revenue, compared to 25% in Q4. At the same time, we generally benefited by having a low percentage of our business from very small companies, a sales force already conditioned to primarily selling via the phone, and an installed base that has a considerable amount of white space for us to further expand into. at the same time we generally benefited by having a low percentage of our business from very small companies a sales force already conditioned to primarily selling via the phone and an installed base that has a considerable amount of white space for us to further expand into In addition, our renewal rates were above 85% in a seasonally slow quarter, and given the economic environment, we're pleased with this outcome. in addition our renewal rates were above 85% in a seasonally slow quarter and given the economic environment we're pleased with this outcome We have 57% of our customers under multi-year contracts at the end of Q1. we have 57% of our customers under multi-year contracts at the end of q1 Our remaining performance obligations, or RPO, grew 17% compared to the same quarter last year. our remaining performance obligations or rpo grew 17% compared to the same quarter last year Q1 revenue was $48.6 million, a year-over-year increase of 19%. q1 revenue was $48.6 million a year-over-year increase of 19% Subscription revenue represented 87% of total revenue, reflecting our focus on specifically growing recurring revenue. subscription revenue represented 87% of total revenue reflecting our focus on specifically growing recurring revenue International revenue in the quarter represented 24% of total revenue, compared to 25% in Q4. international revenue in the quarter represented 24% of total revenue compared to 25% in q4 Our subscription gross margin was 79%, up more than two percentage points from 77% in Q1 of last year, rapidly approaching the important 80% milestone. We were able to make that progress against a 60+% annualized spike in customer usage volume that we've experienced since the pandemic began. Nevertheless, we plan to obtain additional leverage out of our subscription cost of revenue over time as we continue to effectively manage our data center operations through finding efficiencies, better utilization of certain services, and optimizing how our software performs in data centers. In Q1, operating expenses decreased by 9% from last year, even though revenue increased by 19% year-over-year. In fact, looking even further back, our quarterly OpEx is about $15 million lower than two years ago, when the company had a much smaller scale of revenue. Our subscription gross margin was 79%, up more than two percentage points from 77% in Q1 of last year, rapidly approaching the important 80% milestone. our subscription gross margin was 79% up more than two percentage points from 77% in q1 of last year rapidly approaching the important 80% milestone We were able to make that progress against a 60+% annualized spike in customer usage volume that we've experienced since the pandemic began. we were able to make that progress against a 60+% annualized spike in customer usage volume that we've experienced since the pandemic began Nevertheless, we plan to obtain additional leverage out of our subscription cost of revenue over time as we continue to effectively manage our data center operations through finding efficiencies, better utilization of certain services, and optimizing how our software performs in data centers. In Q1, operating expenses decreased by 9% from last year, even though revenue increased by 19% year-over-year. nevertheless we plan to obtain additional leverage out of our subscription cost of revenue over time as we continue to effectively manage our data center operations through finding efficiencies better utilization of certain services and optimizing how our software performs in data centers. in q1 operating expenses decreased by 9% from last year even though revenue increased by 19% year-over-year In fact, looking even further back, our quarterly OpEx is about $15 million lower than two years ago, when the company had a much smaller scale of revenue. in fact looking even further back our quarterly opex is about $15 million lower than two years ago when the company had a much smaller scale of revenue I would point out that the vast majority of our $35 million in fiscal 2021 cost reductions, which are reductions against our original plan, will be realized in Q2 through Q4, and the impact of those reductions in Q1 was minimal. The net effect of increased revenue while effectively managing costs allowed us to improve our operating margins by 34 percentage points from the same quarter last year. Our net loss was $18.4 million, and net loss per share was $0.65. This is based on 28.5 million weighted average shares outstanding, basic and diluted. Turning now to our balance sheet. As of April 30th, we had cash equivalents, and short-term investments of approximately $88 million. I would point out that the vast majority of our $35 million in fiscal 2021 cost reductions, which are reductions against our original plan, will be realized in Q2 through Q4, and the impact of those reductions in Q1 was minimal. i would point out that the vast majority of our $35 million in fiscal 2021 cost reductions which are reductions against our original plan will be realized in q2 through q4 and the impact of those reductions in q1 was minimal The net effect of increased revenue while effectively managing costs allowed us to improve our operating margins by 34 percentage points from the same quarter last year. the net effect of increased revenue while effectively managing costs allowed us to improve our operating margins by 34 percentage points from the same quarter last year Our net loss was $18.4 million, and net loss per share was $0.65. our net loss was $18.4 million and net loss per share was $0.65 This is based on 28.5 million weighted average shares outstanding, basic and diluted. this is based on 28.5 million weighted average shares outstanding basic and diluted Turning now to our balance sheet. turning now to our balance sheet As of April 30th, we had cash equivalents, and short-term investments of approximately $88 million. as of april 30th we had cash equivalents and short-term investments of approximately $88 million To reiterate what we've told you numerous times since going public, we are confident we can and will be cash flow positive with plenty of cash remaining on the balance sheet when that occurs. We continue to look for ways to further reduce our cash burn, and our discipline around this effort is firm. Our adjusted net cash used in operations was $9.3 million, an improvement of $6 million over the prior quarter, and a 58% reduction compared to Q1 of the prior year. Adjusted cash flow from operations excludes the impact of $3.7 million of share purchases under our employee stock purchase plan. The amount is included as a positive amount in our GAAP cash flow from financing section of our cash flow statement, and an offsetting negative amount in our GAAP cash flow from operations section, with no net effect on our cash balance. To reiterate what we've told you numerous times since going public, we are confident we can and will be cash flow positive with plenty of cash remaining on the balance sheet when that occurs. to reiterate what we've told you numerous times since going public we are confident we can and will be cash flow positive with plenty of cash remaining on the balance sheet when that occurs We continue to look for ways to further reduce our cash burn, and our discipline around this effort is firm. we continue to look for ways to further reduce our cash burn and our discipline around this effort is firm Our adjusted net cash used in operations was $9.3 million, an improvement of $6 million over the prior quarter, and a 58% reduction compared to Q1 of the prior year. our adjusted net cash used in operations was $9.3 million an improvement of $6 million over the prior quarter and a 58% reduction compared to q1 of the prior year Adjusted cash flow from operations excludes the impact of $3.7 million of share purchases under our employee stock purchase plan. adjusted cash flow from operations excludes the impact of $3.7 million of share purchases under our employee stock purchase plan The amount is included as a positive amount in our GAAP cash flow from financing section of our cash flow statement, and an offsetting negative amount in our GAAP cash flow from operations section, with no net effect on our cash balance. the amount is included as a positive amount in our gaap cash flow from financing section of our cash flow statement and an offsetting negative amount in our gaap cash flow from operations section with no net effect on our cash balance Note that there will not be a share purchase on our employee stock purchase plan in Q2. To discuss what we expect in Q2 and for the full-year. Like many other public companies have communicated to you over the last few months, the uncertain economic environment makes it difficult to guide beyond the current quarter because of the wide variety of factors and possible economic scenarios. Rather than a firm guide for the rest of the year, we'll provide an update to our COVID-19 downside case that we used for reducing costs. For cost-cutting purposes, we modeled a 20% downturn in our new business compared to last year and an 80% renewal rate. That led to a billings number for cost-cutting purposes of about $190 million for the year. Note that there will not be a share purchase on our employee stock purchase plan in Q2. note that there will not be a share purchase on our employee stock purchase plan in q2 To discuss what we expect in Q2 and for the full-year. to discuss what we expect in q2 and for the full-year Like many other public companies have communicated to you over the last few months, the uncertain economic environment makes it difficult to guide beyond the current quarter because of the wide variety of factors and possible economic scenarios. like many other public companies have communicated to you over the last few months the uncertain economic environment makes it difficult to guide beyond the current quarter because of the wide variety of factors and possible economic scenarios Rather than a firm guide for the rest of the year, we'll provide an update to our COVID-19 downside case that we used for reducing costs. rather than a firm guide for the rest of the year we'll provide an update to our covid-19 downside case that we used for reducing costs For cost-cutting purposes, we modeled a 20% downturn in our new business compared to last year and an 80% renewal rate. for cost-cutting purposes we modeled a 20% downturn in our new business compared to last year and an 80% renewal rate That led to a billings number for cost-cutting purposes of about $190 million for the year. that led to a billings number for cost-cutting purposes of about $190 million for the year Since then, we have overperformed in Q1, whereby Q1 new business actually grew over last year, plus we realized an above 85% renewal rate versus our 80% model. The combination of these two factors led to a total billings beat relative to our model in Q1 alone of about $7 million. Adding that $7 million billings outperformance in Q1 to our previous down 20% model for the year of approximately $190 million of billings now points to billings for the year to be around $197 million. If we can exceed our $40 million Q2 billings number in that model, we can improve that annual outlook. As of right now, we're tracking above the $40 million. However, we cannot predict with certainty how the rest of the quarter will develop, so we suggest using just $40 million for Q2 billings planning. Since then, we have overperformed in Q1, whereby Q1 new business actually grew over last year, plus we realized an above 85% renewal rate versus our 80% model. since then we have overperformed in q1 whereby q1 new business actually grew over last year plus we realized an above 85% renewal rate versus our 80% model The combination of these two factors led to a total billings beat relative to our model in Q1 alone of about $7 million. the combination of these two factors led to a total billings beat relative to our model in q1 alone of about $7 million Adding that $7 million billings outperformance in Q1 to our previous down 20% model for the year of approximately $190 million of billings now points to billings for the year to be around $197 million. adding that $7 million billings outperformance in q1 to our previous down 20% model for the year of approximately $190 million of billings now points to billings for the year to be around $197 million If we can exceed our $40 million Q2 billings number in that model, we can improve that annual outlook. if we can exceed our $40 million q2 billings number in that model we can improve that annual outlook As of right now, we're tracking above the $40 million. as of right now we're tracking above the $40 million However, we cannot predict with certainty how the rest of the quarter will develop, so we suggest using just $40 million for Q2 billings planning. however we cannot predict with certainty how the rest of the quarter will develop so we suggest using just $40 million for q2 billings planning Our $40 million number does not include the closing of any new COVID-19 Crisis Command Center deals because the focus and requirements of states are constantly changing, and selling into that changing set of needs is very hard to predict. Having said that, we're responding to the evolving needs of governments and at the same time focusing on the needs of commercial entities in this environment, so we're hopeful it yields some positive contribution in Q2. On expenses, we're planning on our Q2 operating expenses to decrease by about $2 million to $3 million from Q1 levels and remain close to that level of OpEx for the rest of the quarters this year. We expect Q2 adjusted net cash used in operations of approximately $7 million and expect full-year adjusted net cash used in operations of approximately $30 million. Our $40 million number does not include the closing of any new COVID-19 Crisis Command Center deals because the focus and requirements of states are constantly changing, and selling into that changing set of needs is very hard to predict. our $40 million number does not include the closing of any new covid-19 crisis command center deals because the focus and requirements of states are constantly changing and selling into that changing set of needs is very hard to predict Having said that, we're responding to the evolving needs of governments and at the same time focusing on the needs of commercial entities in this environment, so we're hopeful it yields some positive contribution in Q2. having said that we're responding to the evolving needs of governments and at the same time focusing on the needs of commercial entities in this environment so we're hopeful it yields some positive contribution in q2 On expenses, we're planning on our Q2 operating expenses to decrease by about $2 million to $3 million from Q1 levels and remain close to that level of OpEx for the rest of the quarters this year. on expenses we're planning on our q2 operating expenses to decrease by about $2 million to $3 million from q1 levels and remain close to that level of opex for the rest of the quarters this year We expect Q2 adjusted net cash used in operations of approximately $7 million and expect full-year adjusted net cash used in operations of approximately $30 million. we expect q2 adjusted net cash used in operations of approximately $7 million and expect full-year adjusted net cash used in operations of approximately $30 million We believe we'll be able to exit this year with a quarterly cash burn rate that is low enough to provide confidence we will comfortably reach self-funding sustainability. The formal guidance. For the second quarter of fiscal 2021, we expect GAAP revenue to be in the range of $48.5 million to $49.5 million. We expect non-GAAP net loss per share, basic and diluted, of $0.48-$0.52. This assumes 29 million weighted average shares outstanding, basic and diluted. We believe we'll be able to exit this year with a quarterly cash burn rate that is low enough to provide confidence we will comfortably reach self-funding sustainability. we believe we'll be able to exit this year with a quarterly cash burn rate that is low enough to provide confidence we will comfortably reach self-funding sustainability The formal guidance. the formal guidance For the second quarter of fiscal 2021, we expect GAAP revenue to be in the range of $48.5 million to $49.5 million. for the second quarter of fiscal 2021 we expect gaap revenue to be in the range of $48.5 million to $49.5 million We expect non-GAAP net loss per share, basic and diluted, of $0.48-$0.52. we expect non-gaap net loss per share basic and diluted of $0.48-$0.52 This assumes 29 million weighted average shares outstanding, basic and diluted. this assumes 29 million weighted average shares outstanding basic and diluted For the full-year of fiscal 2021, we expect GAAP revenue to be in the range of $194 million to $200 million, representing year-over-year growth of 12%-15%. We expect non-GAAP net loss per share, basic and diluted, of $1.96 to $2.06. This assumes 29.2 million weighted average shares outstanding, basic and diluted. In closing, we're pleased with our results for Q1 and feel prepared to successfully navigate through these uncertain times. With that, we'll open up the call for questions. Operator? For the full-year of fiscal 2021, we expect GAAP revenue to be in the range of $194 million to $200 million, representing year-over-year growth of 12%-15%. for the full-year of fiscal 2021 we expect gaap revenue to be in the range of $194 million to $200 million representing year-over-year growth of 12%-15% We expect non-GAAP net loss per share, basic and diluted, of $1.96 to $2.06. we expect non-gaap net loss per share basic and diluted of $1.96 to $2.06 This assumes 29.2 million weighted average shares outstanding, basic and diluted. this assumes 29.2 million weighted average shares outstanding basic and diluted In closing, we're pleased with our results for Q1 and feel prepared to successfully navigate through these uncertain times. in closing we're pleased with our results for q1 and feel prepared to successfully navigate through these uncertain times With that, we'll open up the call for questions. with that we'll open up the call for questions Operator? operator

Speaker 8: Thank you. As a reminder, to ask a question, you will need to press star one on your telephone. To withdraw your question, press the pound key. Please stand by while we compile the Q&A roster. Our first question comes from Sanjit Singh with Morgan Stanley. Your line is now open. Thank you. thank you As a reminder, to ask a question, you will need to press star one on your telephone. as a reminder to ask a question you will need to press star one on your telephone To withdraw your question, press the pound key. to withdraw your question press the pound key Please stand by while we compile the Q&A roster. please stand by while we compile the q&a roster Our first question comes from Sanjit Singh with Morgan Stanley. our first question comes from sanjit singh with morgan stanley Your line is now open. your line is now open

Speaker 12: Hi, this is actually Chris on for Sanjit. Thank you for the question. Congratulations on a really good, solid quarter. Really appreciate the detailed assumptions you've been disclosing behind the guidance. Can you maybe talk about kind of the progression of business and demand trends throughout the quarter, especially as we zero in maybe on from early April to quarter end, and then what you've seen since in May and through early June? That'd be really helpful. Thanks. Hi, this is actually Chris on for Sanjit. hi this is actually chris on for sanjit Thank you for the question. thank you for the question Congratulations on a really good, solid quarter. congratulations on a really good solid quarter Really appreciate the detailed assumptions you've been disclosing behind the guidance. really appreciate the detailed assumptions you've been disclosing behind the guidance Can you maybe talk about kind of the progression of business and demand trends throughout the quarter, especially as we zero in maybe on from early April to quarter end, and then what you've seen since in May and through early June? can you maybe talk about kind of the progression of business and demand trends throughout the quarter especially as we zero in maybe on from early april to quarter end and then what you've seen since in may and through early june That'd be really helpful. that'd be really helpful Thanks. thanks

Speaker 6: Yeah. Sure. Thanks for the question, Chris. I'll answer just briefly, Bruce, and then let you give a lot of details. I think from last quarter, at the beginning, things were looking good, and we gave the guidance that we gave, and we felt pretty good about things. As it became apparent that COVID was going to have a meaningful impact on the world and accordingly on our business, we kind of went into panic mode for a minute, certainly, and it was all hands on deck. If our travel customers and finance customers and other customers are stopping business, what are they buying? Yeah. yeah Sure. sure Thanks for the question, Chris. thanks for the question chris I'll answer just briefly, Bruce, and then let you give a lot of details. i'll answer just briefly bruce and then let you give a lot of details I think from last quarter, at the beginning, things were looking good, and we gave the guidance that we gave, and we felt pretty good about things. i think from last quarter at the beginning things were looking good and we gave the guidance that we gave and we felt pretty good about things As it became apparent that COVID was going to have a meaningful impact on the world and accordingly on our business, we kind of went into panic mode for a minute, certainly, and it was all hands on deck. as it became apparent that covid was going to have a meaningful impact on the world and accordingly on our business we kind of went into panic mode for a minute certainly and it was all hands on deck If our travel customers and finance customers and other customers are stopping business, what are they buying? if our travel customers and finance customers and other customers are stopping business what are they buying It became pretty apparent quickly that with our platform and the ability to pull data from all kinds of sources and be able to give people access to data in real-time when these moments, certainly when days are mattering, it presented itself an opportunity to us. It started with that tracker that we created. It really went into these different states. We were talking to a lot of different states at different times. We were helping with our state. I brought in probably about 10 million different pieces of PPE that I facilitated and helped the state procure. We were just right in the middle of these conversations. Because of that, it became apparent that they needed data and they needed answers. They needed to know what was going on. They were making decisions blindly. It became pretty apparent quickly that with our platform and the ability to pull data from all kinds of sources and be able to give people access to data in real-time when these moments, certainly when days are mattering, it presented itself an opportunity to us. it became pretty apparent quickly that with our platform and the ability to pull data from all kinds of sources and be able to give people access to data in real-time when these moments certainly when days are mattering it presented itself an opportunity to us It started with that tracker that we created. it started with that tracker that we created It really went into these different states. it really went into these different states We were talking to a lot of different states at different times. we were talking to a lot of different states at different times We were helping with our state. we were helping with our state I brought in probably about 10 million different pieces of PPE that I facilitated and helped the state procure. i brought in probably about 10 million different pieces of ppe that i facilitated and helped the state procure We were just right in the middle of these conversations. we were just right in the middle of these conversations Because of that, it became apparent that they needed data and they needed answers. because of that it became apparent that they needed data and they needed answers They needed to know what was going on. they needed to know what was going on They were making decisions blindly. they were making decisions blindly They didn't know if they should open states, close states, when they could get back to work, et cetera. They were really struggling. They weren't built to do that. We were able to say, "Yeah, we can help you out." Thankfully, there were some contracts that we were able to get, and we did such a good job with Utah, they were calling other governors for us and introducing us. Our team, it was quite amazing the effort that they put in. We normally have company meetings where we will highlight a few employees and say, "Here's the few employees that really stood out this quarter." We had a Zoom virtual company meeting and highlighted about 80 people that had pulled multiple all-nighters instead of the usual eight or 10 people that get highlighted. They didn't know if they should open states, close states, when they could get back to work, et cetera. they didn't know if they should open states close states when they could get back to work et cetera They were really struggling. they were really struggling They weren't built to do that. they weren't built to do that We were able to say, "Yeah, we can help you out." Thankfully, there were some contracts that we were able to get, and we did such a good job with Utah, they were calling other governors for us and introducing us. we were able to say "yeah we can help you out." thankfully there were some contracts that we were able to get and we did such a good job with utah they were calling other governors for us and introducing us Our team, it was quite amazing the effort that they put in. our team it was quite amazing the effort that they put in We normally have company meetings where we will highlight a few employees and say, "Here's the few employees that really stood out this quarter." We had a Zoom virtual company meeting and highlighted about 80 people that had pulled multiple all-nighters instead of the usual eight or 10 people that get highlighted. we normally have company meetings where we will highlight a few employees and say "here's the few employees that really stood out this quarter." we had a zoom virtual company meeting and highlighted about 80 people that had pulled multiple all-nighters instead of the usual eight or 10 people that get highlighted We said, "If they're pulling multiple all-nighters, they need to be highlighted." It just showed everyone was ready and willing and wanted to help, and we did some masterful service for these customers, and it changed the course of how they responded to things, and it helped them save lives, which was really kind of cool. In the process, they had money and were willing to pay for it, and we needed to be paid because instead of selling other types of solutions, we were selling solutions that were focused on the command center. That was kind of how that stuff all evolved. Then it was really interesting to see different parts of the world respond different ways. Japan was closed down early and working from home early, and they were still closing deals, and Japan did really well for us. We said, "If they're pulling multiple all-nighters, they need to be highlighted." It just showed everyone was ready and willing and wanted to help, and we did some masterful service for these customers, and it changed the course of how they responded to things, and it helped them save lives, which was really kind of cool. we said "if they're pulling multiple all-nighters they need to be highlighted." it just showed everyone was ready and willing and wanted to help and we did some masterful service for these customers and it changed the course of how they responded to things and it helped them save lives which was really kind of cool In the process, they had money and were willing to pay for it, and we needed to be paid because instead of selling other types of solutions, we were selling solutions that were focused on the command center. in the process they had money and were willing to pay for it and we needed to be paid because instead of selling other types of solutions we were selling solutions that were focused on the command center That was kind of how that stuff all evolved. that was kind of how that stuff all evolved Then it was really interesting to see different parts of the world respond different ways. then it was really interesting to see different parts of the world respond different ways Japan was closed down early and working from home early, and they were still closing deals, and Japan did really well for us. japan was closed down early and working from home early and they were still closing deals and japan did really well for us A lot of really interesting news, but mostly it was a quarter that really highlighted the power of the platform that we have. If you can do it for large Fortune 500 companies and CEOs of Fortune 500 companies and CXOs of Fortune 500 companies, you can certainly do it for governors and any federal employees as well. We were really excited how much it shined a great light on the technology and the platform that we have. Bruce. A lot of really interesting news, but mostly it was a quarter that really highlighted the power of the platform that we have. a lot of really interesting news but mostly it was a quarter that really highlighted the power of the platform that we have If you can do it for large Fortune 500 companies and CEOs of Fortune 500 companies and CXOs of Fortune 500 companies, you can certainly do it for governors and any federal employees as well. if you can do it for large fortune 500 companies and ceos of fortune 500 companies and cxos of fortune 500 companies you can certainly do it for governors and any federal employees as well We were really excited how much it shined a great light on the technology and the platform that we have. we were really excited how much it shined a great light on the technology and the platform that we have Bruce. bruce

Speaker 3: To build on that, in March, when we were at our user conference, at our customer conference, we said, "We haven't seen anything yet, but we're prepared to cut costs as soon as we do." As you know, we decided to cut the costs anyway, and that was just for the abundance of caution. We went into April, and March finished out fine. We went into April, and we had some of the fastest sales cycles we've ever had with these crisis command centers. April was strong. Now we're into May. To build on that, in March, when we were at our user conference, at our customer conference, we said, "We haven't seen anything yet, but we're prepared to cut costs as soon as we do." As you know, we decided to cut the costs anyway, and that was just for the abundance of caution. to build on that in march when we were at our user conference at our customer conference we said "we haven't seen anything yet but we're prepared to cut costs as soon as we do." as you know we decided to cut the costs anyway and that was just for the abundance of caution We went into April, and March finished out fine. we went into april and march finished out fine We went into April, and we had some of the fastest sales cycles we've ever had with these crisis command centers. we went into april and we had some of the fastest sales cycles we've ever had with these crisis command centers April was strong. april was strong Now we're into May. now we're into may Well, we finished May, and I can tell you that May was off to a good start. We are pleased with our performance at the beginning of Q2. We, like everybody else, are still worried about what may happen in the economy, how it may impact our customers, how it might impact us. We're happy to be here today just saying that the pacing is good, and May closed out. Both that well. I think that puts us in as good a position as you can be, just given the economic environment. Well, we finished May, and I can tell you that May was off to a good start. well we finished may and i can tell you that may was off to a good start We are pleased with our performance at the beginning of Q2. we are pleased with our performance at the beginning of q2 We, like everybody else, are still worried about what may happen in the economy, how it may impact our customers, how it might impact us. we like everybody else are still worried about what may happen in the economy how it may impact our customers how it might impact us We're happy to be here today just saying that the pacing is good, and May closed out. we're happy to be here today just saying that the pacing is good and may closed out Both that well. both that well I think that puts us in as good a position as you can be, just given the economic environment. i think that puts us in as good a position as you can be just given the economic environment

Speaker 6: Yeah. I would add that, I talked about a little bit in the prepared remarks, but what this Command Center allowed us to do is to be right in the middle of the conversation, a very important conversation now, that not just some state governments, but it's every single company in the world is trying to figure out how to Get Back to Work. It leads to a whole set of questions that they've never had to answer before, that they've never been prepared to answer before. Because we're in the middle of with the COVID-19 tracker and with all the success we've had with our state Command Centers, we're getting asked, how can we Get Back to Work? How can we do contact tracing? How can we understand that our facilities are being cleaned? Yeah. yeah I would add that, I talked about a little bit in the prepared remarks, but what this Command Center allowed us to do is to be right in the middle of the conversation, a very important conversation now, that not just some state governments, but it's every single company in the world is trying to figure out how to Get Back to Work. i would add that i talked about a little bit in the prepared remarks but what this command center allowed us to do is to be right in the middle of the conversation a very important conversation now that not just some state governments but it's every single company in the world is trying to figure out how to get back to work It leads to a whole set of questions that they've never had to answer before, that they've never been prepared to answer before. it leads to a whole set of questions that they've never had to answer before that they've never been prepared to answer before Because we're in the middle of with the COVID-19 tracker and with all the success we've had with our state Command Centers, we're getting asked, how can we Get Back to Work? because we're in the middle of with the covid-19 tracker and with all the success we've had with our state command centers we're getting asked how can we get back to work How can we do contact tracing? how can we do contact tracing How can we understand that our facilities are being cleaned? how can we understand that our facilities are being cleaned How can we be transparent to our employees and give them confidence that they can come in? What kind of tools and systems do our facilities managers need? How do we expose all of this to our executives in real time, so if someone gets sick, that they can easily see what kind of information we have, and we need it now, in real time. As we start opening back up and you need to go visit a customer, we've got customers that they're out in their cars and trucks visiting their customers. They're flying to see their customers. You find all of a sudden that that was a hotspot that you went to, or before you go, you want to check if it's a hotspot. How can we be transparent to our employees and give them confidence that they can come in? how can we be transparent to our employees and give them confidence that they can come in What kind of tools and systems do our facilities managers need? what kind of tools and systems do our facilities managers need How do we expose all of this to our executives in real time, so if someone gets sick, that they can easily see what kind of information we have, and we need it now, in real time. how do we expose all of this to our executives in real time so if someone gets sick that they can easily see what kind of information we have and we need it now in real time As we start opening back up and you need to go visit a customer, we've got customers that they're out in their cars and trucks visiting their customers. as we start opening back up and you need to go visit a customer we've got customers that they're out in their cars and trucks visiting their customers They're flying to see their customers. they're flying to see their customers You find all of a sudden that that was a hotspot that you went to, or before you go, you want to check if it's a hotspot. you find all of a sudden that that was a hotspot that you went to or before you go you want to check if it's a hotspot Well, we have that data, and 700 of our customers are using that data. Get Back to Work is a real initiative that we are extremely prepared for relative to any other company that we've seen because of this platform that we have and the rapid ability to create solutions and applications to answer questions that's all based on data that's coming from hundreds of thousands of sources. That's what we do. We're really excited about our ability to actually provide great value to our customers right now, and we think it should benefit our business. Well, we have that data, and 700 of our customers are using that data. well we have that data and 700 of our customers are using that data Get Back to Work is a real initiative that we are extremely prepared for relative to any other company that we've seen because of this platform that we have and the rapid ability to create solutions and applications to answer questions that's all based on data that's coming from hundreds of thousands of sources. get back to work is a real initiative that we are extremely prepared for relative to any other company that we've seen because of this platform that we have and the rapid ability to create solutions and applications to answer questions that's all based on data that's coming from hundreds of thousands of sources That's what we do. that's what we do We're really excited about our ability to actually provide great value to our customers right now, and we think it should benefit our business. we're really excited about our ability to actually provide great value to our customers right now and we think it should benefit our business

Speaker 12: Got it. That's really helpful. Could I tack on a follow-on question? I think you mentioned early in the script, $4.5 million of recurring business from the Crisis Command Center. At the same time, you have less headcount now, but you've slightly raised the full-year revenue guidance. Is this more a function of stronger than anticipated contribution from deals like the Crisis Command Center, or are you kind of embedding assumptions around improved sales force productivity? Thanks. Got it. got it That's really helpful. that's really helpful Could I tack on a follow-on question? could i tack on a follow-on question I think you mentioned early in the script, $4.5 million of recurring business from the Crisis Command Center. i think you mentioned early in the script $4.5 million of recurring business from the crisis command center At the same time, you have less headcount now, but you've slightly raised the full-year revenue guidance. at the same time you have less headcount now but you've slightly raised the full-year revenue guidance Is this more a function of stronger than anticipated contribution from deals like the Crisis Command Center, or are you kind of embedding assumptions around improved sales force productivity? is this more a function of stronger than anticipated contribution from deals like the crisis command center or are you kind of embedding assumptions around improved sales force productivity Thanks. thanks

Speaker 3: Well, I would say that one is, without the Crisis Command Centers, the core business still is within guidance. We're happy with that. The renewal string that really had none of its in there also performed better than last year. The May results, the renewal rates are even coming in stronger. The new business comment of how we're off to a good start in May does not include any of these new products. I would say that before we had the opportunity of these new products, we still had a business that was strong and appropriate and valuable to the market. Well, I would say that one is, without the Crisis Command Centers, the core business still is within guidance. well i would say that one is without the crisis command centers the core business still is within guidance We're happy with that. we're happy with that The renewal string that really had none of its in there also performed better than last year. the renewal string that really had none of its in there also performed better than last year The May results, the renewal rates are even coming in stronger. the may results the renewal rates are even coming in stronger The new business comment of how we're off to a good start in May does not include any of these new products. the new business comment of how we're off to a good start in may does not include any of these new products I would say that before we had the opportunity of these new products, we still had a business that was strong and appropriate and valuable to the market. i would say that before we had the opportunity of these new products we still had a business that was strong and appropriate and valuable to the market In this environment, we just happened to also have the benefit of not a lot of exposure to the troubled industries, not an incredible amount of business coming from very, very small companies. As I said on the call also, just the benefit of being used to very well conditioned to selling over the telephone. I think all these are just contributing factors to helping us finish the quarter strong and getting off to a good start in the new quarter. In this environment, we just happened to also have the benefit of not a lot of exposure to the troubled industries, not an incredible amount of business coming from very, very small companies. in this environment we just happened to also have the benefit of not a lot of exposure to the troubled industries not an incredible amount of business coming from very very small companies As I said on the call also, just the benefit of being used to very well conditioned to selling over the telephone. as i said on the call also just the benefit of being used to very well conditioned to selling over the telephone I think all these are just contributing factors to helping us finish the quarter strong and getting off to a good start in the new quarter. i think all these are just contributing factors to helping us finish the quarter strong and getting off to a good start in the new quarter

Speaker 6: I think the other thing that you've talked about before, Bruce, is that this doesn't include, guidance doesn't include any of the big deals. There's big deals out there, too. They may or may not come through. We don't put them in our projections. There's more state deals that we're talking to that may or may not come through. Like Bruce said in his prepared remarks, not including those in our projections. In terms of how we're feeling, I think that we're as well-positioned as just about any company, to do well in this kind of environment.] I think the other thing that you've talked about before, Bruce, is that this doesn't include, guidance doesn't include any of the big deals. i think the other thing that you've talked about before bruce is that this doesn't include guidance doesn't include any of the big deals There's big deals out there, too. there's big deals out there too They may or may not come through. they may or may not come through We don't put them in our projections. we don't put them in our projections There's more state deals that we're talking to that may or may not come through. there's more state deals that we're talking to that may or may not come through Like Bruce said in his prepared remarks, not including those in our projections. like bruce said in his prepared remarks not including those in our projections In terms of how we're feeling, I think that we're as well-positioned as just about any company, to do well in this kind of environment.] in terms of how we're feeling i think that we're as well-positioned as just about any company to do well in this kind of environment.] Bruce talked about that a lot, too, but we're seeing it. Work from home? Oh, that's what we do. Oh, that's what we enable. Oh, you need data to every employee? Oh, that's what we enable. We're having customers call us quite a bit and saying, "Hey, we need you guys to do this additional item for us as well." We think that we can do really well in this environment. Bruce talked about that a lot, too, but we're seeing it. bruce talked about that a lot too but we're seeing it Work from home? work from home Oh, that's what we do. oh that's what we do Oh, that's what we enable. oh that's what we enable Oh, you need data to every employee? oh you need data to every employee Oh, that's what we enable. oh that's what we enable We're having customers call us quite a bit and saying, "Hey, we need you guys to do this additional item for us as well." We think that we can do really well in this environment. we're having customers call us quite a bit and saying "hey we need you guys to do this additional item for us as well." we think that we can do really well in this environment

Speaker 12: Got it. Thank you. Congrats again. Got it. got it Thank you. thank you Congrats again. congrats again

Speaker 8: Thank you. Our next question comes from Brad Zelnick with Credit Suisse. Your line is now open. Thank you. thank you Our next question comes from Brad Zelnick with Credit Suisse. our next question comes from brad zelnick with credit suisse Your line is now open. your line is now open

Speaker 11: Hey, it's Marco on the line for Brad Zelnick. Congrats on the quarter. I just wanted to ask again just about the Command Center. It's great to hear some of the state wins that you have in the quarter. Can you talk about just the opportunity that you see there going forward? Even as we start to exit the pandemic, is that something that there's a potential for account expansion and things? Hey, it's Marco on the line for Brad Zelnick. hey it's marco on the line for brad zelnick Congrats on the quarter. congrats on the quarter I just wanted to ask again just about the Command Center. i just wanted to ask again just about the command center It's great to hear some of the state wins that you have in the quarter. it's great to hear some of the state wins that you have in the quarter Can you talk about just the opportunity that you see there going forward? can you talk about just the opportunity that you see there going forward Even as we start to exit the pandemic, is that something that there's a potential for account expansion and things? even as we start to exit the pandemic is that something that there's a potential for account expansion and things

Speaker 6: Yeah. I think it's one of these situations where they have a real problem right now. We can fix it right now, and we can fix it fast and provide some tremendous value. The moment that we got in there, though, all of our SWAT teams that are in there helping these customers, their number one initiative besides solve the current need is, let's get more data in there. Let's get other additional items in there so that when it comes time for renewal, we're in a fantastic position to not only renew it, but potentially even upsell them to some other products and services. We're already seeing that. I mean, these governors are very, very happy. We'd be happy to encourage you to talk to any governors you can get a hold of that are using our product because their teams are excited. Yeah. yeah I think it's one of these situations where they have a real problem right now. i think it's one of these situations where they have a real problem right now We can fix it right now, and we can fix it fast and provide some tremendous value. we can fix it right now and we can fix it fast and provide some tremendous value The moment that we got in there, though, all of our SWAT teams that are in there helping these customers, their number one initiative besides solve the current need is, let's get more data in there. the moment that we got in there though all of our swat teams that are in there helping these customers their number one initiative besides solve the current need is let's get more data in there Let's get other additional items in there so that when it comes time for renewal, we're in a fantastic position to not only renew it, but potentially even upsell them to some other products and services. let's get other additional items in there so that when it comes time for renewal we're in a fantastic position to not only renew it but potentially even upsell them to some other products and services We're already seeing that. we're already seeing that I mean, these governors are very, very happy. i mean these governors are very very happy We'd be happy to encourage you to talk to any governors you can get a hold of that are using our product because their teams are excited. we'd be happy to encourage you to talk to any governors you can get a hold of that are using our product because their teams are excited They're genuinely excited. When Bruce does follow-up calls with some of your investors, you should ask for some of the quotes of the things that our customers are saying. It's transforming the way that these governments are running. It's not just about the pandemic. The pandemic comes along, then they're like, "Oh, okay, what about PPP loans? How are we doing on that front?" Well, there's a whole new set of data, a whole new set of constituents, and then we're talking to state labs, and they're like, "Okay, here's the state lab data for COVID-19, but we have 20 other things that we're tracking. They're genuinely excited. they're genuinely excited When Bruce does follow-up calls with some of your investors, you should ask for some of the quotes of the things that our customers are saying. when bruce does follow-up calls with some of your investors you should ask for some of the quotes of the things that our customers are saying It's transforming the way that these governments are running. it's transforming the way that these governments are running It's not just about the pandemic. it's not just about the pandemic The pandemic comes along, then they're like, "Oh, okay, what about PPP loans? the pandemic comes along then they're like "oh okay what about ppp loans How are we doing on that front?" Well, there's a whole new set of data, a whole new set of constituents, and then we're talking to state labs, and they're like, "Okay, here's the state lab data for COVID-19, but we have 20 other things that we're tracking. how are we doing on that front?" well there's a whole new set of data a whole new set of constituents and then we're talking to state labs and they're like "okay here's the state lab data for covid-19 but we have 20 other things that we're tracking Can we get that data out as well?" A state comes to us and says, "Is there any way we can just break up this data and distribute it by county so each county health department can see what's going on?" Yeah. We have something called Domo Everywhere. That's what we do. These states are, in some cases, laughing, thinking about what the county health department leaders are going to say when they get data for their own county. They've never had it in the first place. The fact that they would get it, and it's real time for tests that are taking place the day before, it's just mind-boggling to them. We think there's some real opportunities here. We've got three fantastic flagship customers, and I think that we're going to have a decent opportunity to build a really cool government business out of this. Can we get that data out as well?" A state comes to us and says, "Is there any way we can just break up this data and distribute it by county so each county health department can see what's going on?" Yeah. can we get that data out as well?" a state comes to us and says "is there any way we can just break up this data and distribute it by county so each county health department can see what's going on?" yeah We have something called Domo Everywhere. we have something called domo everywhere That's what we do. that's what we do These states are, in some cases, laughing, thinking about what the county health department leaders are going to say when they get data for their own county. these states are in some cases laughing thinking about what the county health department leaders are going to say when they get data for their own county They've never had it in the first place. they've never had it in the first place The fact that they would get it, and it's real time for tests that are taking place the day before, it's just mind-boggling to them. the fact that they would get it and it's real time for tests that are taking place the day before it's just mind-boggling to them We think there's some real opportunities here. we think there's some real opportunities here We've got three fantastic flagship customers, and I think that we're going to have a decent opportunity to build a really cool government business out of this. we've got three fantastic flagship customers and i think that we're going to have a decent opportunity to build a really cool government business out of this

Speaker 11: Thanks. That's helpful. Just as a follow-up, I wanted to ask if you could provide any comment on Ian's progress since he transitioned to the role of CRO. Thanks. thanks That's helpful. that's helpful Just as a follow-up, I wanted to ask if you could provide any comment on Ian's progress since he transitioned to the role of CRO. just as a follow-up i wanted to ask if you could provide any comment on ian's progress since he transitioned to the role of cro

Speaker 6: Yeah, I think we're really excited about Ian. We had the advantage of being able to watch him run Europe and watch him interact with the executive team and challenge different people on the executive team, me included, and have very strong opinions about the way that things should be run. He's brought a tremendous amount of follow-through and organization, which is something that we needed more of, certainly. Both Ian and John Mellor have really partnered together to say, "Where can we get more efficiency? What's working? What's not working? Yeah, I think we're really excited about Ian. yeah i think we're really excited about ian We had the advantage of being able to watch him run Europe and watch him interact with the executive team and challenge different people on the executive team, me included, and have very strong opinions about the way that things should be run. we had the advantage of being able to watch him run europe and watch him interact with the executive team and challenge different people on the executive team me included and have very strong opinions about the way that things should be run He's brought a tremendous amount of follow-through and organization, which is something that we needed more of, certainly. he's brought a tremendous amount of follow-through and organization which is something that we needed more of certainly Both Ian and John Mellor have really partnered together to say, "Where can we get more efficiency? both ian and john mellor have really partnered together to say "where can we get more efficiency What's working? what's working What's not working? what's not working How can we double down on the places where we're getting the response that we need? How can we hold people accountable? Let's get the right managers there." We're just continuing to optimize. Actually, we've continued to see the pipeline grow. The pipeline's doing great. It's just a question of when our customers, when's the environment going to be that customers are closing at rates that we've seen historically. If that's the case, we're in a great position. Yeah, we've been very pleased with Ian, and I hope he doesn't use this against me privately. Yeah, he's been doing a great job. How can we double down on the places where we're getting the response that we need? how can we double down on the places where we're getting the response that we need How can we hold people accountable? how can we hold people accountable Let's get the right managers there." We're just continuing to optimize. let's get the right managers there." we're just continuing to optimize Actually, we've continued to see the pipeline grow. actually we've continued to see the pipeline grow The pipeline's doing great. the pipeline's doing great It's just a question of when our customers, when's the environment going to be that customers are closing at rates that we've seen historically. it's just a question of when our customers when's the environment going to be that customers are closing at rates that we've seen historically If that's the case, we're in a great position. if that's the case we're in a great position Yeah, we've been very pleased with Ian, and I hope he doesn't use this against me privately. yeah we've been very pleased with ian and i hope he doesn't use this against me privately Yeah, he's been doing a great job. yeah he's been doing a great job

Speaker 11: Thanks, and congrats again. Thanks, and congrats again. thanks and congrats again

Speaker 6: Thank you. Thank you. thank you

Speaker 8: Thank you. Our next question comes from Jennifer Lowe with UBS. Your line is now open. Thank you. thank you Our next question comes from Jennifer Lowe with UBS. our next question comes from jennifer lowe with ubs Your line is now open. your line is now open

Speaker 5: Great. Thanks, and congrats on the quarters, guys. Maybe just to start, it sounds like you're seeing a lot of momentum around these use cases that are very catered to the current environment. I'm just curious, as you look in your pipeline, how meaningful are things like return to work in terms of the deal volumes you're seeing relative to more traditional business? What do the sales cycles and the new versus existing mix look like for that relative to your historical mix? Great. great Thanks, and congrats on the quarters, guys. thanks and congrats on the quarters guys Maybe just to start, it sounds like you're seeing a lot of momentum around these use cases that are very catered to the current environment. maybe just to start it sounds like you're seeing a lot of momentum around these use cases that are very catered to the current environment I'm just curious, as you look in your pipeline, how meaningful are things like return to work in terms of the deal volumes you're seeing relative to more traditional business? i'm just curious as you look in your pipeline how meaningful are things like return to work in terms of the deal volumes you're seeing relative to more traditional business What do the sales cycles and the new versus existing mix look like for that relative to your historical mix? what do the sales cycles and the new versus existing mix look like for that relative to your historical mix

Speaker 6: Yeah, I think when we give guidance, it's not based on us having a big chunk of our opportunities coming from these new opportunities for these new initiatives. They're based on selling our platform. Because we can predict that. We've got quarters and quarters to look at of history to see how these things close and to know what those conversations feel like. We look to Ian and the sales organization to tell us what's going to close. So that's what we've handicapped. In addition to that, any big deals or any of these new initiatives would all be gravy. We're really excited about them. The sales cycles, they are faster. People are trying to figure out how to get to work now. Yeah, I think when we give guidance, it's not based on us having a big chunk of our opportunities coming from these new opportunities for these new initiatives. yeah i think when we give guidance it's not based on us having a big chunk of our opportunities coming from these new opportunities for these new initiatives They're based on selling our platform. they're based on selling our platform Because we can predict that. because we can predict that We've got quarters and quarters to look at of history to see how these things close and to know what those conversations feel like. we've got quarters and quarters to look at of history to see how these things close and to know what those conversations feel like We look to Ian and the sales organization to tell us what's going to close. we look to ian and the sales organization to tell us what's going to close So that's what we've handicapped. so that's what we've handicapped In addition to that, any big deals or any of these new initiatives would all be gravy. in addition to that any big deals or any of these new initiatives would all be gravy We're really excited about them. we're really excited about them The sales cycles, they are faster. the sales cycles they are faster People are trying to figure out how to get to work now. people are trying to figure out how to get to work now We look at the conversations that we're having on Get Back to Work, and we can be talking to world-renowned SIs, consulting organizations, or Fortune 500 companies, and we see based on the repeats conversations and follow-up conversations that we're having, how well equipped and organized and how much knowledge, frankly, that we have in this space, given that we've done so much in this space already, from the COVID-19 Crisis Command Center to helping these states. We're talking about putting together a whole army of organization and helping a state figure out how to respond and how to open and which counties should open and where they need more testing and how to organize PPE and people. We look at the conversations that we're having on Get Back to Work, and we can be talking to world-renowned SIs, consulting organizations, or Fortune 500 companies, and we see based on the repeats conversations and follow-up conversations that we're having, how well equipped and organized and how much knowledge, frankly, that we have in this space, given that we've done so much in this space already, from the COVID-19 Crisis Command Center to helping these states. we look at the conversations that we're having on get back to work and we can be talking to world-renowned sis consulting organizations or fortune 500 companies and we see based on the repeats conversations and follow-up conversations that we're having how well equipped and organized and how much knowledge frankly that we have in this space given that we've done so much in this space already from the covid-19 crisis command center to helping these states We're talking about putting together a whole army of organization and helping a state figure out how to respond and how to open and which counties should open and where they need more testing and how to organize PPE and people. we're talking about putting together a whole army of organization and helping a state figure out how to respond and how to open and which counties should open and where they need more testing and how to organize ppe and people You're having thousands of people that are donating PPE, and then they're buying PPE from all kinds of different distributors, and then they've got all these constituents that they need to hand that out to, whether it's care homes or hospitals or frontline responders. Those are big, complicated problems that we have solved amazingly well. Now when you want to talk about Get Back to Work, well, guess who's well-versed in the whole conversation? Hundreds of people at my company are well-versed in this conversation. It's put us in a position to know a lot. You're having thousands of people that are donating PPE, and then they're buying PPE from all kinds of different distributors, and then they've got all these constituents that they need to hand that out to, whether it's care homes or hospitals or frontline responders. you're having thousands of people that are donating ppe and then they're buying ppe from all kinds of different distributors and then they've got all these constituents that they need to hand that out to whether it's care homes or hospitals or frontline responders Those are big, complicated problems that we have solved amazingly well. those are big complicated problems that we have solved amazingly well Now when you want to talk about Get Back to Work, well, guess who's well-versed in the whole conversation? now when you want to talk about get back to work well guess who's well-versed in the whole conversation Hundreds of people at my company are well-versed in this conversation. hundreds of people at my company are well-versed in this conversation It's put us in a position to know a lot. it's put us in a position to know a lot On top of that, this platform is just so well-versed at responding rapidly for rapid development to create a solution that sits on top of something where you need to have this leverage of all the data and business intelligence that you have, you need to have it at cloud scale, massive scale, not just in terms of data, but in terms of people. You need to have it in rapid time. Iowa has hundreds of thousands of people that are looking at their data in real time. On top of that, this platform is just so well-versed at responding rapidly for rapid development to create a solution that sits on top of something where you need to have this leverage of all the data and business intelligence that you have, you need to have it at cloud scale, massive scale, not just in terms of data, but in terms of people. on top of that this platform is just so well-versed at responding rapidly for rapid development to create a solution that sits on top of something where you need to have this leverage of all the data and business intelligence that you have you need to have it at cloud scale massive scale not just in terms of data but in terms of people You need to have it in rapid time. you need to have it in rapid time Iowa has hundreds of thousands of people that are looking at their data in real time. iowa has hundreds of thousands of people that are looking at their data in real time All of their citizens are coming to the site and looking at what's going on. It's really been a monumental achievement that I don't think should be underrepresented in any way. It's putting us in a great position to get some additional upside from Get Back to Work, which is going to help us talk about the future of work as a whole. All of that would be gravy to the numbers that we gave you. All of their citizens are coming to the site and looking at what's going on. all of their citizens are coming to the site and looking at what's going on It's really been a monumental achievement that I don't think should be underrepresented in any way. it's really been a monumental achievement that i don't think should be underrepresented in any way It's putting us in a great position to get some additional upside from Get Back to Work, which is going to help us talk about the future of work as a whole. it's putting us in a great position to get some additional upside from get back to work which is going to help us talk about the future of work as a whole All of that would be gravy to the numbers that we gave you. all of that would be gravy to the numbers that we gave you

Speaker 5: Okay, great. Maybe just one last one from me, I think probably for Bruce Felt. Looking at sort of the cost-cutting, it sounds like the cost cuts were predicated on a sort of a downside scenario. So far, that downside scenario hasn't quite played out as it could have. It sounds like you're doing a bit better. If you think about sort of that split and what that might look like in a few quarters, is there sort of an expectation that the cuts are made and maybe you get to profitability a bit faster if the revenues come in better than the downside case? Could we see you start spending again? How should we think about the time horizon there? Okay, great. okay great Maybe just one last one from me, I think probably for Bruce Felt. maybe just one last one from me i think probably for bruce felt Looking at sort of the cost-cutting, it sounds like the cost cuts were predicated on a sort of a downside scenario. looking at sort of the cost-cutting it sounds like the cost cuts were predicated on a sort of a downside scenario So far, that downside scenario hasn't quite played out as it could have. so far that downside scenario hasn't quite played out as it could have It sounds like you're doing a bit better. it sounds like you're doing a bit better If you think about sort of that split and what that might look like in a few quarters, is there sort of an expectation that the cuts are made and maybe you get to profitability a bit faster if the revenues come in better than the downside case? if you think about sort of that split and what that might look like in a few quarters is there sort of an expectation that the cuts are made and maybe you get to profitability a bit faster if the revenues come in better than the downside case Could we see you start spending again? could we see you start spending again How should we think about the time horizon there? how should we think about the time horizon there

Speaker 3: Well, we are going to be cautious about adding back any cost until we get more clarity on maybe how the macro environment develops. In the short run, most over-performance is going to help our cash position. At some point, as we get clarity on how the macro is going to play out and we get responses to these offerings, that may very well suggest to us that we ought to be leaning in a little bit more. What we likely would do in that case is we'd be adding sales capacity first. I don't think there'd be across-the-board spending, but sales capacity might be a smart place to put the investments to be prepared for next year if we're able to continue to navigate even this tough macro well, and that we don't want to be caught too flat-footed when we come out of this. Well, we are going to be cautious about adding back any cost until we get more clarity on maybe how the macro environment develops. well we are going to be cautious about adding back any cost until we get more clarity on maybe how the macro environment develops In the short run, most over-performance is going to help our cash position. in the short run most over-performance is going to help our cash position At some point, as we get clarity on how the macro is going to play out and we get responses to these offerings, that may very well suggest to us that we ought to be leaning in a little bit more. at some point as we get clarity on how the macro is going to play out and we get responses to these offerings that may very well suggest to us that we ought to be leaning in a little bit more What we likely would do in that case is we'd be adding sales capacity first. what we likely would do in that case is we'd be adding sales capacity first I don't think there'd be across-the-board spending, but sales capacity might be a smart place to put the investments to be prepared for next year if we're able to continue to navigate even this tough macro well, and that we don't want to be caught too flat-footed when we come out of this. i don't think there'd be across-the-board spending but sales capacity might be a smart place to put the investments to be prepared for next year if we're able to continue to navigate even this tough macro well and that we don't want to be caught too flat-footed when we come out of this In the short run, a lot of it falls to the bottom line, and in the medium term, as we look to next year, we'll definitely want to build some capacity. It won't be a dramatic increase in costs. I think we'll do it cautiously, and if we do really feel like there's incredible traction and pipeline building that requires more feet on the street right now, yeah, we'll do that, but I don't think it'll be that dramatic to the net cash flow position of the company, at least not this year. In the short run, a lot of it falls to the bottom line, and in the medium term, as we look to next year, we'll definitely want to build some capacity. in the short run a lot of it falls to the bottom line and in the medium term as we look to next year we'll definitely want to build some capacity It won't be a dramatic increase in costs. it won't be a dramatic increase in costs I think we'll do it cautiously, and if we do really feel like there's incredible traction and pipeline building that requires more feet on the street right now, yeah, we'll do that, but I don't think it'll be that dramatic to the net cash flow position of the company, at least not this year. i think we'll do it cautiously and if we do really feel like there's incredible traction and pipeline building that requires more feet on the street right now yeah we'll do that but i don't think it'll be that dramatic to the net cash flow position of the company at least not this year

Speaker 5: Great. Thank you. Great. great Thank you. thank you

Speaker 8: Thank you. Our next question comes from Pat Walravens with JMP Securities. Your line is now open. Thank you. thank you Our next question comes from Pat Walravens with JMP Securities. our next question comes from pat walravens with jmp securities Your line is now open. your line is now open

Speaker 9: Great. Thank you, and congratulations, Josh and Bruce, on the quarter. Josh, just sort of rewinding a little bit. Pre the COVID-19 crisis, it felt like the major areas of focus were running some focused sales plays that Mellor come up with, which was like sales operations, marketing operations, financial operations, really improving the partnership motion, in particular, you guys were talking about the Snowflake partnership and the Microsoft partnership. Has COVID-19 Crisis Command Center completely changed those focuses for the entire sales force? Also, can you update us on the status of those partnerships? Great. great Thank you, and congratulations, Josh and Bruce, on the quarter. thank you and congratulations josh and bruce on the quarter Josh, just sort of rewinding a little bit. josh just sort of rewinding a little bit Pre the COVID-19 crisis, it felt like the major areas of focus were running some focused sales plays that Mellor come up with, which was like sales operations, marketing operations, financial operations, really improving the partnership motion, in particular, you guys were talking about the Snowflake partnership and the Microsoft partnership. pre the covid-19 crisis it felt like the major areas of focus were running some focused sales plays that mellor come up with which was like sales operations marketing operations financial operations really improving the partnership motion in particular you guys were talking about the snowflake partnership and the microsoft partnership Has COVID-19 Crisis Command Center completely changed those focuses for the entire sales force? has covid-19 crisis command center completely changed those focuses for the entire sales force Also, can you update us on the status of those partnerships? also can you update us on the status of those partnerships

Speaker 3: Josh is muted, so hang on. Josh? Josh is muted, so hang on. josh is muted so hang on Josh? josh

Speaker 6: Oh, sorry. Yeah. I would say no, it's been the opposite, Pat. The sales plays are performing really well, and our salespeople now are all trained up, and they're running these plays, and we're seeing performance out of these plays. We're gravitating to the ones that are the most effective. The partnerships as well. We just had another sales training on Snowflake. We've got additional announcements with them. We're also seeing with our ability to respond so rapidly in the marketplace, we're getting a lot more phone calls from partners. Partner network isn't massively moving the dial for us yet, but there's a lot of things going on that I think will move the dial, and we're certainly becoming more relevant in that world. Oh, sorry. oh sorry Yeah. yeah I would say no, it's been the opposite, Pat. i would say no it's been the opposite pat The sales plays are performing really well, and our salespeople now are all trained up, and they're running these plays, and we're seeing performance out of these plays. the sales plays are performing really well and our salespeople now are all trained up and they're running these plays and we're seeing performance out of these plays We're gravitating to the ones that are the most effective. we're gravitating to the ones that are the most effective The partnerships as well. the partnerships as well We just had another sales training on Snowflake. we just had another sales training on snowflake We've got additional announcements with them. we've got additional announcements with them We're also seeing with our ability to respond so rapidly in the marketplace, we're getting a lot more phone calls from partners. we're also seeing with our ability to respond so rapidly in the marketplace we're getting a lot more phone calls from partners Partner network isn't massively moving the dial for us yet, but there's a lot of things going on that I think will move the dial, and we're certainly becoming more relevant in that world. partner network isn't massively moving the dial for us yet but there's a lot of things going on that i think will move the dial and we're certainly becoming more relevant in that world

Speaker 9: Okay, great. Thank you. Bruce Felt, can we just drill down a little bit more on the retention rate? In particular, what are you seeing sort of SMB versus enterprise, and what are you doing in terms of concessions for customers, and how does that fit in? Okay, great. okay great Thank you. thank you Bruce Felt, can we just drill down a little bit more on the retention rate? bruce felt can we just drill down a little bit more on the retention rate In particular, what are you seeing sort of SMB versus enterprise, and what are you doing in terms of concessions for customers, and how does that fit in? in particular what are you seeing sort of smb versus enterprise and what are you doing in terms of concessions for customers and how does that fit in

Speaker 3: Yeah, retention rates. There hasn't really been a significant difference between enterprise and corporate, mostly because corporate's acted a lot like enterprise. I mean, the deal sizes are $50,000+, and the company sizes are on the larger side. We're also, as we're into the new quarter, our renewal rates are up to where we want them to be. Q1 is usually seasonally slow, but right now they're tracking at the kind of rates that we're really happy about, and that's blended corporate and enterprise. On your other question, yes, basically, the smallest businesses and the most troubled industries have asked for concessions. Yeah, retention rates. yeah retention rates There hasn't really been a significant difference between enterprise and corporate, mostly because corporate's acted a lot like enterprise. there hasn't really been a significant difference between enterprise and corporate mostly because corporate's acted a lot like enterprise I mean, the deal sizes are $50,000+, and the company sizes are on the larger side. i mean the deal sizes are $50,000+ and the company sizes are on the larger side We're also, as we're into the new quarter, our renewal rates are up to where we want them to be. we're also as we're into the new quarter our renewal rates are up to where we want them to be Q1 is usually seasonally slow, but right now they're tracking at the kind of rates that we're really happy about, and that's blended corporate and enterprise. q1 is usually seasonally slow but right now they're tracking at the kind of rates that we're really happy about and that's blended corporate and enterprise On your other question, yes, basically, the smallest businesses and the most troubled industries have asked for concessions. on your other question yes basically the smallest businesses and the most troubled industries have asked for concessions We have accommodated short-term requests, I would say to the tune of about $1.5 million, that we've already absorbed in the quarter. We have preserved, if not increased, the total contract value in those cases. We feel like we've done the right thing to really help customers in need, but we have not really diminished the value of that stream to us. That's the magnitude of what we have had to address so far. We have accommodated short-term requests, I would say to the tune of about $1.5 million, that we've already absorbed in the quarter. we have accommodated short-term requests i would say to the tune of about $1.5 million that we've already absorbed in the quarter We have preserved, if not increased, the total contract value in those cases. we have preserved if not increased the total contract value in those cases We feel like we've done the right thing to really help customers in need, but we have not really diminished the value of that stream to us. we feel like we've done the right thing to really help customers in need but we have not really diminished the value of that stream to us That's the magnitude of what we have had to address so far. that's the magnitude of what we have had to address so far

Speaker 9: Okay. That's super helpful. Thank you. Okay. okay That's super helpful. that's super helpful Thank you. thank you

Speaker 3: You're welcome. You're welcome. you're welcome

Speaker 8: Thank you. Our next question comes from Derrick Wood with Cowen and Company. Your line is now open. Thank you. thank you Our next question comes from Derrick Wood with Cowen and Company. our next question comes from derrick wood with cowen and company Your line is now open. your line is now open

Speaker 1: Great. Thanks. It's Andrew Sherman on for Derrick. Congrats on the great quarter. You mentioned the strength in grocery and the quick shift that reps made to those strong sectors. Maybe what other sectors are you seeing some strength from, and what is your mix of those in total? Great. great Thanks. thanks It's Andrew Sherman on for Derrick. it's andrew sherman on for derrick Congrats on the great quarter. congrats on the great quarter You mentioned the strength in grocery and the quick shift that reps made to those strong sectors. you mentioned the strength in grocery and the quick shift that reps made to those strong sectors Maybe what other sectors are you seeing some strength from, and what is your mix of those in total? maybe what other sectors are you seeing some strength from and what is your mix of those in total

Speaker 3: Well, we have an extremely diversified industry distribution. Fundamentally, unless it's really a challenged industry, which is a minority of our kind of exposure, and even within things like retail, groceries are strong, but specialty retail might not be. Those that have great e-commerce presence, I think, are still reasonably strong. We're finding all the other industries are basically still [inaudible] with us. Keep in mind, everybody's working from home. They all need the data to run the business. They're getting very used to doing it electronically. We're mobile, we're fast, we're at scale, we're very self-service. All that just plays really nicely into this environment. Well, we have an extremely diversified industry distribution. well we have an extremely diversified industry distribution Fundamentally, unless it's really a challenged industry, which is a minority of our kind of exposure, and even within things like retail, groceries are strong, but specialty retail might not be. fundamentally unless it's really a challenged industry which is a minority of our kind of exposure and even within things like retail groceries are strong but specialty retail might not be Those that have great e-commerce presence, I think, are still reasonably strong. those that have great e-commerce presence i think are still reasonably strong We're finding all the other industries are basically still [inaudible] with us. we're finding all the other industries are basically still [inaudible] with us Keep in mind, everybody's working from home. keep in mind everybody's working from home They all need the data to run the business. they all need the data to run the business They're getting very used to doing it electronically. they're getting very used to doing it electronically We're mobile, we're fast, we're at scale, we're very self-service. we're mobile we're fast we're at scale we're very self-service All that just plays really nicely into this environment. all that just plays really nicely into this environment I don't know who's going to be installing software on servers. I just don't think any of that's going on. We have a great profile for companies that just have to get their hands on data, and the perfect profile for somebody that needs it right now, real time, and has to bring together multiple data sources really quickly. Frankly, that's just a universal need, and we think businesses in general are looking, in that area, at least not really cutting, and some of them just by necessity are really leaning into it. I don't know who's going to be installing software on servers. i don't know who's going to be installing software on servers I just don't think any of that's going on. i just don't think any of that's going on We have a great profile for companies that just have to get their hands on data, and the perfect profile for somebody that needs it right now, real time, and has to bring together multiple data sources really quickly. we have a great profile for companies that just have to get their hands on data and the perfect profile for somebody that needs it right now real time and has to bring together multiple data sources really quickly Frankly, that's just a universal need, and we think businesses in general are looking, in that area, at least not really cutting, and some of them just by necessity are really leaning into it. frankly that's just a universal need and we think businesses in general are looking in that area at least not really cutting and some of them just by necessity are really leaning into it I just heard today of a furniture store in North Carolina who had shut down for up to now, are about to reopen, and we're about to do a deal with them. Why? Well, they just have to have the data to really manage the business even more aggressively as they reopen. That's the kind of response we're getting across all the industries. Not really a significant difference, I think, between industries, but I think they just all have that general need. I just heard today of a furniture store in North Carolina who had shut down for up to now, are about to reopen, and we're about to do a deal with them. i just heard today of a furniture store in north carolina who had shut down for up to now are about to reopen and we're about to do a deal with them Why? why Well, they just have to have the data to really manage the business even more aggressively as they reopen. well they just have to have the data to really manage the business even more aggressively as they reopen That's the kind of response we're getting across all the industries. that's the kind of response we're getting across all the industries Not really a significant difference, I think, between industries, but I think they just all have that general need. not really a significant difference i think between industries but i think they just all have that general need

Speaker 1: Great. Thanks. Maybe for Josh, you've done a lot of webinars with C-level executives over the past few months. Do you think the light bulb there is finally going off, that this environment can be the catalyst for change that they needed to get to realize that they need a real-time solution? Thanks. Great. great Thanks. thanks Maybe for Josh, you've done a lot of webinars with C-level executives over the past few months. maybe for josh you've done a lot of webinars with c-level executives over the past few months Do you think the light bulb there is finally going off, that this environment can be the catalyst for change that they needed to get to realize that they need a real-time solution? do you think the light bulb there is finally going off that this environment can be the catalyst for change that they needed to get to realize that they need a real-time solution Thanks. thanks

Speaker 6: Yeah, for sure. I think, just digital transformation, it's an initiative that a lot of times some of the CXOs, they wait for it from other people that are responsible for it. This has really forced them to know real-time information about their people, about their whole business. When you open back up, there's going to be changes, and the data's going to change that day, and they want to understand what's going on that day. It's really opened their eyes in many cases. Especially in cases where we're already in a customer, and we have big upsells on the table, it's helping to create a lot more opportunities, big upsell opportunities. We're excited about that for us as well. Yeah, for sure. yeah for sure I think, just digital transformation, it's an initiative that a lot of times some of the CXOs, they wait for it from other people that are responsible for it. i think just digital transformation it's an initiative that a lot of times some of the cxos they wait for it from other people that are responsible for it This has really forced them to know real-time information about their people, about their whole business. this has really forced them to know real-time information about their people about their whole business When you open back up, there's going to be changes, and the data's going to change that day, and they want to understand what's going on that day. when you open back up there's going to be changes and the data's going to change that day and they want to understand what's going on that day It's really opened their eyes in many cases. it's really opened their eyes in many cases Especially in cases where we're already in a customer, and we have big upsells on the table, it's helping to create a lot more opportunities, big upsell opportunities. especially in cases where we're already in a customer and we have big upsells on the table it's helping to create a lot more opportunities big upsell opportunities We're excited about that for us as well. we're excited about that for us as well

Speaker 1: Great, thanks. Great, thanks. great thanks

Speaker 3: I'll add, some of those upsell opportunities are replacing just plain old tools. The whole set that you had mentioned, that you said who might be in the market, same market as us, it's becoming quite obvious they cannot rise to the challenge of today. Some of these are just outright replacements, even though that's not what we're in the mission to do, but that's what our customers are telling us. I'll add, some of those upsell opportunities are replacing just plain old tools. i'll add some of those upsell opportunities are replacing just plain old tools The whole set that you had mentioned, that you said who might be in the market, same market as us, it's becoming quite obvious they cannot rise to the challenge of today. the whole set that you had mentioned that you said who might be in the market same market as us it's becoming quite obvious they cannot rise to the challenge of today Some of these are just outright replacements, even though that's not what we're in the mission to do, but that's what our customers are telling us. some of these are just outright replacements even though that's not what we're in the mission to do but that's what our customers are telling us

Speaker 1: Awesome. Thanks. Awesome. awesome Thanks. thanks

Speaker 3: You're welcome. You're welcome. you're welcome

Speaker 8: Thank you. Our next question comes from Bhavan Suri with William Blair. Your line is now open. Thank you. thank you Our next question comes from Bhavan Suri with William Blair. our next question comes from bhavan suri with william blair Your line is now open. your line is now open

Speaker 2: Hey guys. Thanks for squeezing me in here at the end. I guess, Josh, I want to touch really quickly, and by the way, congrats. Nice job here, and thank you for all the support you're doing for what's happening with COVID-19. The analyst day last year, you outlined kind of this year, your fiscal 2021 sales playbook, focused the efforts on the five specific personas within the organization. Just an update on the level of traction you're having with that new playbook model. Has there been any changes? Obviously, there's been dramatic changes with COVID-19. The persona model was very compelling as you think about the broad swath of what you offer. I'm trying to understand how is that playing out, or have you guys fine-tuned that? Hey guys. hey guys Thanks for squeezing me in here at the end. thanks for squeezing me in here at the end I guess, Josh, I want to touch really quickly, and by the way, congrats. i guess josh i want to touch really quickly and by the way congrats Nice job here, and thank you for all the support you're doing for what's happening with COVID-19. nice job here and thank you for all the support you're doing for what's happening with covid-19 The analyst day last year, you outlined kind of this year, your fiscal 2021 sales playbook, focused the efforts on the five specific personas within the organization. the analyst day last year you outlined kind of this year your fiscal 2021 sales playbook focused the efforts on the five specific personas within the organization Just an update on the level of traction you're having with that new playbook model. just an update on the level of traction you're having with that new playbook model Has there been any changes? has there been any changes Obviously, there's been dramatic changes with COVID-19. obviously there's been dramatic changes with covid-19 The persona model was very compelling as you think about the broad swath of what you offer. the persona model was very compelling as you think about the broad swath of what you offer I'm trying to understand how is that playing out, or have you guys fine-tuned that? i'm trying to understand how is that playing out or have you guys fine-tuned that

Speaker 6: Yeah. Why don't we let Ian, can you turn Ian's line on and let Ian answer that question? Operator. Yeah. yeah Why don't we let Ian, can you turn Ian's line on and let Ian answer that question? why don't we let ian can you turn ian's line on and let ian answer that question Operator. operator Bruce, as well. Bruce, as well. bruce as well

Speaker 8: His line is now open. His line is now open. his line is now open

Speaker 6: Okay. Go ahead, Ian. Okay. okay Go ahead, Ian. go ahead ian

Speaker 3: Ian, you might be muted on your own phone. Ian, you might be muted on your own phone. ian you might be muted on your own phone

Speaker 6: All right. Let's just ask Bruce the question. I'll answer the other one. All right. all right Let's just ask Bruce the question. let's just ask bruce the question I'll answer the other one. i'll answer the other one

Speaker 3: Yeah. Let's ask Bruce the question, and you make sure. I'll answer that question, Ian can pile on. We think it's extremely helpful and important to narrow the focus towards personas that can really move the needle for us. The benefit of doing that is we can put a lot of resources behind these more narrow plays and get a lot of intelligence about the space and how these departments work. It's kind of necessary when you have a platform like what we do that can be applied anywhere and everywhere. Yeah. yeah Let's ask Bruce the question, and you make sure. let's ask bruce the question and you make sure I'll answer that question, Ian can pile on. i'll answer that question ian can pile on We think it's extremely helpful and important to narrow the focus towards personas that can really move the needle for us. we think it's extremely helpful and important to narrow the focus towards personas that can really move the needle for us The benefit of doing that is we can put a lot of resources behind these more narrow plays and get a lot of intelligence about the space and how these departments work. the benefit of doing that is we can put a lot of resources behind these more narrow plays and get a lot of intelligence about the space and how these departments work It's kind of necessary when you have a platform like what we do that can be applied anywhere and everywhere. it's kind of necessary when you have a platform like what we do that can be applied anywhere and everywhere

Speaker 2: That's just my question because you've tried to figure this out, this motion. That's exactly just the question, because you've tried to figure out this motion multiple times, right? That's just my question because you've tried to figure this out, this motion. that's just my question because you've tried to figure this out this motion That's exactly just the question, because you've tried to figure out this motion multiple times, right? that's exactly just the question because you've tried to figure out this motion multiple times right

Speaker 3: Yeah. Yeah. yeah

Speaker 2: Should we just sell virally? Should we go enterprise? Should we go commercial? Should we define it by saying, "Hey, if I go to a large company, you can pick pieces"? That's why I'm asking the question, which is like, has that new messaging and the persona motion resonated? I think you're getting to it. Sorry. Should we just sell virally? should we just sell virally Should we go enterprise? should we go enterprise Should we go commercial? should we go commercial Should we define it by saying, "Hey, if I go to a large company, you can pick pieces"? should we define it by saying "hey if i go to a large company you can pick pieces" That's why I'm asking the question, which is like, has that new messaging and the persona motion resonated? that's why i'm asking the question which is like has that new messaging and the persona motion resonated I think you're getting to it. i think you're getting to it Sorry. sorry

Speaker 4: Hi, Bruce. Can you hear? Hi, Bruce. hi bruce Can you hear? can you hear

Speaker 3: We can hear you. Go ahead, Ian. We can hear you. we can hear you Go ahead, Ian. go ahead ian

Speaker 4: Hey, sorry. Hey, yeah. Sorry about that. I'm not sure what happened with the earlier attempt for me to answer. Yes, absolutely. It's resonated really well for us. We definitely have seen with the sales plays and the work that we're doing with John Mellor on the way that we distribute the information that we have, the way that we contact customers, the way that we engage, the language that we're using, the plays and the personas have been really great on several fronts. One, for the sense that we are coming in and we are working and we have use case and value propositions that solves business challenges that they aren't able to answer. Hey, sorry. hey sorry Hey, yeah. hey yeah Sorry about that. sorry about that I'm not sure what happened with the earlier attempt for me to answer. i'm not sure what happened with the earlier attempt for me to answer Yes, absolutely. yes absolutely It's resonated really well for us. it's resonated really well for us We definitely have seen with the sales plays and the work that we're doing with John Mellor on the way that we distribute the information that we have, the way that we contact customers, the way that we engage, the language that we're using, the plays and the personas have been really great on several fronts. we definitely have seen with the sales plays and the work that we're doing with john mellor on the way that we distribute the information that we have the way that we contact customers the way that we engage the language that we're using the plays and the personas have been really great on several fronts One, for the sense that we are coming in and we are working and we have use case and value propositions that solves business challenges that they aren't able to answer. one for the sense that we are coming in and we are working and we have use case and value propositions that solves business challenges that they aren't able to answer The second point is it then works the same way that Josh mentioned, which we do then have this viral element where once people see what we do and how quickly we can do it, we certainly expand our use base with inside the existing customers that we have as well. The focus helps us to get in, and then the virality helps us move out and wider to other use cases as well. The second point is it then works the same way that Josh mentioned, which we do then have this viral element where once people see what we do and how quickly we can do it, we certainly expand our use base with inside the existing customers that we have as well. the second point is it then works the same way that josh mentioned which we do then have this viral element where once people see what we do and how quickly we can do it we certainly expand our use base with inside the existing customers that we have as well The focus helps us to get in, and then the virality helps us move out and wider to other use cases as well. the focus helps us to get in and then the virality helps us move out and wider to other use cases as well

Speaker 2: Great. That was helpful. One quick one, and maybe, Ian, it's for you or for Josh, but on pricing. You've pivoted, and we've talked about this in past calls, about from traditional seat-based pricing to the platform model. This idea of providing a much broader suite, and let's just get people using it, and that'll drive growth and, as you said, expansion. Just how is that resonating? Is that playing out as we thought, or is that still a process that's pretty early stages? Great. great That was helpful. that was helpful One quick one, and maybe, Ian, it's for you or for Josh, but on pricing. one quick one and maybe ian it's for you or for josh but on pricing You've pivoted, and we've talked about this in past calls, about from traditional seat-based pricing to the platform model. you've pivoted and we've talked about this in past calls about from traditional seat-based pricing to the platform model This idea of providing a much broader suite, and let's just get people using it, and that'll drive growth and, as you said, expansion. this idea of providing a much broader suite and let's just get people using it and that'll drive growth and as you said expansion Just how is that resonating? just how is that resonating Is that playing out as we thought, or is that still a process that's pretty early stages? is that playing out as we thought or is that still a process that's pretty early stages

Speaker 4: The pricing, we're very pleased with the way that the sales team are operating and the way that the model is executing for us. We have seen some great traction with the enterprise accounts. Strategic accounts, we're seeing pricing certainly with the value that we're bringing being less of a challenge for us, and I think that probably all plays back to the fact with the sales plays, we execute well, we show the value to the business user, and we provide a return to the organizations. As we demonstrate the return to the organizations, there's less pressure on us with regards to the cost or the pricing model that we have. The pricing, we're very pleased with the way that the sales team are operating and the way that the model is executing for us. the pricing we're very pleased with the way that the sales team are operating and the way that the model is executing for us We have seen some great traction with the enterprise accounts. we have seen some great traction with the enterprise accounts Strategic accounts, we're seeing pricing certainly with the value that we're bringing being less of a challenge for us, and I think that probably all plays back to the fact with the sales plays, we execute well, we show the value to the business user, and we provide a return to the organizations. strategic accounts we're seeing pricing certainly with the value that we're bringing being less of a challenge for us and i think that probably all plays back to the fact with the sales plays we execute well we show the value to the business user and we provide a return to the organizations As we demonstrate the return to the organizations, there's less pressure on us with regards to the cost or the pricing model that we have. as we demonstrate the return to the organizations there's less pressure on us with regards to the cost or the pricing model that we have

Speaker 2: Got you. Thanks for taking my questions, guys. Appreciate it. Congrats. Got you. got you Thanks for taking my questions, guys. thanks for taking my questions guys Appreciate it. appreciate it Congrats. congrats

Speaker 8: Thank you. This concludes the question-and-answer session. Ladies and gentlemen, today's conference is now over. Thank you for participating. You may now disconnect. Thank you. thank you This concludes the question- and- answer session. this concludes the question- and- answer session Ladies and gentlemen, today's conference is now over. ladies and gentlemen today's conference is now over Thank you for participating. thank you for participating You may now disconnect. you may now disconnect