Earnings call transcript Q4 2022

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Operator

Good afternoon, ladies and gentlemen. Thank you for standing by. Welcome to LivePerson's Fourth Quarter 2022 Earnings Webcast. [Operator Instructions]

As a reminder, this conference is being recorded. to conference like to now would turn over the Mr. I Relations. Senior Vice Cooper, President, Chad Investor

Chad Cooper

Thank operator. you,

Joining the Officer; and Founder during CEO; Data me today's LivePerson's and and John LoCascio, on Scientist; Please Collins, call CEO today call, of Chief note Matt Financial Dr. Joe WildHealth. Chief Rob Bradley, Dawson, is that Founder assumptions March we forward-looking statements on other XXXX results. future about are subject will and which based and to today, make uncertainties. These current our as and are and expectations statements XX, are predictions, of statements risks projections

other materially is to to non-GAAP the call we today's conference during the update call and to section will today's time differ slides, obligation may website. results certain the file available press LivePerson's described reconciliation and release include this measures Also made call, those comments factors, as in well Actual We from press in the A reports discuss non-GAAP release assume with Investor due the no and the time on I release. are any the With of press over for highlights various financial turn measures. as to will Rob? this which Rob. including we that, SEC. financial statements. in during forward-looking earnings XX-Qs Both GAAP included quarter, supplemental of Relations to in XX-Ks,

Robert LoCascio

for WildHealth, Matt we're and Dawson, then quarterly will talking And the and platforms. Scientist, Founder also also, the CFO; and XXXX us who of Chief We'll Bradley, health us Chad, doing AI here for joining Collins, QX our joining initiatives. be with on our he'll Joe the Thanks, is everything to and care be thanks, AI everyone, Dr. be have call. about John CEO our Data about talk we

around Now November. since that's with on there's of a everything especially lot with been AI, excitement going ChatGPT

revolution. a technology, X over years and this heavily a not in AI XX investing this the history in a And profound an for in is evolution leader our to the last space. AI time waited but obviously, is day consensus is have that the in years come for spent this And enterprise of LivePerson, we being have we as

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And so world we few one can in AI made a company, the the now as that we're big bet and the this opportunity companies as X an after years especially in go of enterprise. ago, here

on creating opportunity. getting spent that think to this a go a after trajectory we've built where back and I'm happen in is EBITDA, solid the model cash go will we the And came foundation. about we confident created last to order And that us to generating going house Now the now to business us I to allow in generating a the of from flow. what's to year foundation be for

addressed there customers, now company. was starting have And into but in happened and our those there a And and and with to of we've what we our noises. that do lot where QX opportunities others new things different lot over a COVID is was the after invested obviously, We a of time, all QX, a company QX resolved went going is, to we're noise, but we place where areas.

we'll EBITDA, go from massive think, earnings, there, strong company and flow, have that opportunity. a I We this will after generate, cash

that revenues that trough QX are we're will of not we non-core then are Now QX, the revenues our and in vision throughout and flow revenues. flow. growing supporting calls, and getting on recur. focused as and will we line previous are really be core in EBITDA AI, we year. mentioned These have will rid These cash that in in EBITDA around the And positive, there be from will inflection will revenue, positive, be don't continue cash there point bottom top be up, line an

and The QX, simplifying our go about and John company and we'll but them in think, a into of will as the minute, from already do revenue we're benefit, more business lines. going well a as I recurring starting focus And transparent our shareholders revenues. the couple being things, to on will

revenue. recurring million revenue. of total our We about have That's XX% of $XXX

are the another we in to do to level. how But wind now level. different can rates to a business out balanced Obviously, strong in cash there, a get from the got we've Now we obviously, sales generate with that bring we model, grow that digits. growth growth. single mid-single to But at our

as to margins, cash also positive QX, said, flow EBITDA XX% we'll by year-end. cash start year-end. targeting XX% QX, start annualized positive We're to generating by X% on and We'll XX% focused margins generating I in also flow in of achieving

forward. hands. to Those will this we what where exciting in that us that's and and Those company we had with us are things are here, need are our go this facts. in for get got over now years, what that's that Those will carry opportunity XX things to

to I'd Collins, that's what's hand base it What to you making opportunity. up can show this on go and John now P&L deeper do really over allowing us big to is the do John? dive like after the who a

John Collins

Thanks, Rob.

$XXX reduction an expected During the or costs. have rationalized months, past we structure, XX in of annualized cost our million yielding XX%

and non-core our powers wound BXB that AI profitable software sharpen order on to LivePerson's core technology growth in including business, enable the lines We focus it. down business also

in a recurring XXXX. revenue across total the in I'll As low and expected shortly, the digits approximately XX% to as strong grow, globe revenue to Rob elaborate we have top on from brands that software of represent mid-single of is base said,

a is current expect in annualized an positive Our BXB the least cost million free to the non-core of in set EBITDA in year. yield to by for and with profitable BXB margins flow despite margin $XX cash exit basis, year cash expected reducing core expected that the at coupled a the strategy more flow EBITDA additional margin launched than double-digit which XX% basis, adjusted year, and last on success decline we a free we second in On beginning XX% the was with revenue costs the quarter. to in of adjusted reductions last core up quarter, most year-over-year motion growth the

on the beyond. second foundation P&L focus to and In quarter growth resources short, the establishing to BXB AI-led the in and execute materially on core, reallocated we've a improved solid

revenue a to We and strategic professional build, the the particularly quarter. overview non-core do Breaking to revenue this BXB partner software year-over-year P&L analysts million the first of XXXX. over total in company the that diagnostics of in testing; reoccur space. from mine, X now in XXXX, larger Beginning that services falls categories: components we million of a $XX of and again, With our winding down, revenue core over non-core stack, would COVID-XX including with with the in extent, large benefit of related complete we into to into a of that began not down year. revenue recognized, P&L we investors professional expect we services, $XXX.X transparency decrease, that revenue total the company last ahead schedule expect was the million non-core additional think $XX in

XXXX its revenue Setting revenue expect in aside first to the services million expansions to professional BXB diagnostics we services $X.X of relationship approximately professional historical the the conclusion with of and the core exclusive to logos. consistent quarter, to new tied in and project be

this over not variable strategic on which decrease to Gainshare the exit to XXXX. $XX the P&L discussed quarter last category is to in source revenue expected as of The the year-over-year non-core Next, relates largest the of BXB quarter million and we the second call labor pandemic-driven remaining of year. revenue, second revenue core in

of almost cloud recurring identical variable that consumption Gainshare business committed discussed on other nonlabor converted our software prior is represents usage component two of to the core fully quarterly As our the customers. has conversational from the BXB software and revenue to by calls,

revenue and recurring of the approximately this in Gainshare core. as of longer to refer e BXB BXB X% customers this context core revenue, no the total classified For will software reason, software we revenue, representing

Finally, consumer segment focus the business with on transaction held sharpened as close the end classified have and the sale our underlying consistent the BXB financial the date in of core, a for we targeted this month. before with statements,

consumer and to are materially with the especially expect increasing improved points summarize we first voice and the growing engagement a core's both Cloud's P&L of which transparent share the the drivers and by we quarter, To its line Conversational be AI-based drawing performance business to after the at across we enterprise BXB directly, consistent revenue have master. key engagement,

fourth the XXXX. of quarter unanticipated changes There X that Turning our were results. to impacted

we notice We reimbursable. fourth the of believe ultimately last received in governmental disclosed reimbursement program were suspended in that quarter that valid First, and rendered the review. as November program for WildHealth further the a should non-core currently services pending under was week, Medicare XXXX be

guidance But event, most on have of exiting under have However, revenue I'll discontinued, XXXX. of this to the the the were timing has within program focus the note year our yet which for conservative the collected. that would the and take also quarter and for position not range amount in fourth the further both subsequently services reimbursement, of been reimbursement by view revenue this uncertainty with activities. consistent recognizing not non-core for elected we full inherent as been to

and for within this decided to for to of the also have recent to mitigate But was and, cash the remaining the in original have year of WildHealth method more we've the adjusted instead stock. settlement plan annual our valuations of reserve our the employee Note to the of in range and light bonus, quality change that improve employee for guidance in plan in bonuses under XXXX. years, the the both Second, revenue order especially our stock generally, dilution EBITDA pay we which and for in earnings, current stock, XXXX XXXX incentive of the to capacity in light paid XXXX been bonus fourth would full of decision employee XXXX. quarter shareholders,

fourth EBITDA, revenue year a and quarter year, respectively. the full impact quarter $XXX.X of $XXX.X these loss fourth the million, and and impacts the was the million $XX.X changes, for of was full Adjusted and these With for million, respectively. reflecting $X.X million

our that, I'll With to turn segments. reporting

from total quarter, revenues fourth within X% revenue, BXB declined approximately X% year-over-year, declined the revenue while our hosted software For year-over-year.

by X% Excluding earlier. declined Professional marketing XX%, the BXB driven project quarter. consumer X% grew services and decreased grew declined year-over-year referenced revenue diagnostics segment and testing COVID-XX spend primarily The hosted revenue, pandemic-driven to the due Gainshare that impact variable in the X% of year-over-year. I primarily

X% grew caused X new international a X-figure logo We headwinds and total revenue U.S. deals. XX including signed year-over-year, expansions quarter, renewals, in and From in XX perspective, decline a deal, X%. geographic of XX revenue deals to EMEA the

decreased the general, total macroeconomic but the that the compressed deal lower-than-expected at number deal observed new XX%, quarter. impact deals While the year-over-year, values, count may count of budgets enterprise however, more dollar deals and we increased fourth have XX%. In logo some in increased indicating

global few To of X-year these re-signed X cases, including a service of is a airline to which highlight credits. contract, we reservations baggage, a deals, refunds, us and wide for travel array a using use top

We a one company companies and to U.S. top in to the re-signed online extension travel a X-year holding XX re-signed a financial the extension. also top of X-year

the team APAC our of as as with banking the of services providers well in investment logos, financial an and pension products one new Australian a had leading company Australia. strong quarter multinational of For signing and

and benefit revenue in consistent on growth our we As retention, reoccur focus total more XXXX, retention and more net revenue that expect from for net to revenue. the not in million in would and than think light with we revenue investors from recurring BXB $XX the retention particular, non-core recurring revenue net than for do for of core in analysts

and beyond. and fourth For for net this to provide reason, we quarter of retention quarter in metrics only the the revenue first for recurring net expect XXXX are retention providing both

total In our revenue. and to driven expected XXX%, was range for COVID-XX XXX% testing our of revenue revenue below labor quarter, retention net to XXX% target of range was fourth well the XXX%, for lower recurring Gainshare but revenue below by elimination target retention XXX%. Net the and above as variable of

in fourth Finally, $XXX,XXX XX% average was the year-over-year. per revenue quarter, customer up

these release corrections. soon press will discuss issued was as I the correct reflect An note to As that clerical our guidance that guidance. to X-K there reissued I'm to a possible as guidance, The about in provide with just was is press be error respect release. in

For to metrics decrease the year-over-year. million XXXX, or revenue company XX% million of XX% total to in from $XXX first expect we to a total range of quarter $XXX

in a the sequential $X million. by adjusted range EBITDA, we are loss amount decrease revenue to primarily non-core in million first and the space the first is the driven the and adjusted The referenced The expect quarter from variable diagnostics that of and For Gainshare that strategic I in labor $X are drivers both quarter. of decreasing in the P&L the earlier. in beginning large the exiting services in year-over-year professional partner largest decreasing EBITDA decrease revenue revenue

margin we range of to company range metrics $XXX XX% XX% million X% to $XX from from a expect EBITDA to total and for million to guidance, total $XXX As to million or revenue X%. full a decrease for year adjusted $XX of to year-over-year; or million

transparency think EBITDA of the our revenue and core for instructive be for would and on BXB guidance analysts. the themes we Consistent providing focus BXB adjusted and investors also core, recurring with

the range to million XXXX, revenue $XX For or year-over-year. first $XX we X% expect of X% from recurring to quarter decrease to of million a

For a in the expect $X $X million adjusted to we range million. loss of EBITDA,

positive view in sequentially quarter effective reductions the and second core and BXB the we that this double-digit in discussed, beginning the free month, cost adjusted EBITDA of to produce be the throughout expect flow improve to previously cash year. will As margins

million expect For and million $XX million we from the X% year-over-year; revenue to full growth range or year, EBITDA million X% from to to a $XXX range or $XX adjusted On $XXX we expect recurring year exit XX% basis, to adjusted to an a the EBITDA BXB XX%. X% cash annualized a flow margin. margin the of XX% to and to free X% core margin XX% with to to

and plan Rob, quarter core winding By $XXX low-margin the million of emphasize XX% approach the in conclude. LivePerson's reduced few I'll our XXXX, call balanced approximately a represents lines BXB clarity annualized in to structure to driven to we revenue our a first of company to or launched when immediate business, of we've achieve Before by by growth, of business, key also profitability Relative recurring passing a back that XXXX. expected cost points on an and costs. have we down XX% base software the nonstrategic total provided growing revenue to foundation,

a generating free double-digit the second adjusted cash be we to expect with EBITDA Beginning margin quarter, and flow. BXB core profitable, positive

software further year in profitability of in of the rate recurring the least to cash of also an revenue We both up and improve EBITDA in expect AI-led at terms terms annualized growth XX% to further balance our flow, and strengthening sheet throughout adjusted XX% P&L. to free

And with back to I'll hand you. Rob, that, it

Robert LoCascio

based I is for next we have the noise what's puts the past and takes, pursuing Obviously, do perspective address of a what a strategic build been strategy opportunity. lot we've that in One of and come talk and John. put first foundation is over our that our three on and about a we and do to product Thanks, AI now about AI engineering from from want lot There's we and want around and talk an do perspectives. a an about but we really foundation QX. box, a we're I of And is is around five strategy what view took what it. how to going perspective, our it years. perspective industry What

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Joe Bradley

Rob Rob. to the I'll a generation I'm they for quick put AI are LivePerson opportunities Thanks, of here. that here addressable for model technology bit about to large Very market The how happy open some mentioned, us. be large exciting. latest and creates a Essentially, people. here up explain new little today language for up, real visuals works. generative as that

for which assets strategic in generation core machine-learned relevant three new of particularly language are has this large general, LivePerson for models. building model Essentially, but

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So listening. for thanks, Rob, and thanks, everyone,

Robert LoCascio

what insights care beyond about now your with for AI initiatives. Joe, using I models our want language speak Thanks, that. doing to health we're Dawson AI our and into large and Dr. to Matt bring

transformation health And care trillion you $X ripe think alone, I is this problem. is I'll a AI. industry, of or by many As for know, say, market

He's scientist, X is brought CEO. year, National on Awards little last published Dr. And or won a started acquired innovation. him. WildHealth's our background health As and -- such, entrepreneur, for Dawson a care we offerings. He's in He's WildHealth X accomplished businesses. Co-Founder

medical users. podcast education millions of app listeners Additionally, and he which touts and developed a

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Matthew Dawson

Rob. Thanks,

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WildHealth the personalized and is because LivePerson Our we in of and in world. have health and creating scale the those most already outcomes together, the world to people. precise quality that take highest vision, the outcomes millions to We're data

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traditional reversed have data. smaller to the of who that in because patients data of personalized diabetes their of You that can XX% medicine compare the X% because amount have, precision of X% they versus

humans. now, this right delivered Now is by

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doctor give list. a me going give shopping but right? I'm salmon my So to good a also ask not recipe, me this,

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initially is training the the be a the be a going is a to be the to provider to as as decides the to work feedback between to recommendation provider ask the edit for patient. though, back, model send and AI well. it question this patient the further going to either there's ask question can the and going whether patient, patient that really to that it's that Just the come clear, providing can the then and AI it or to but of a as going and send the well answer or it this And human patient, instance, way to to model is so to giving in

level, efficiency. to massive but So also for personalize of of a on DNA, going to to quality and do doesn't going of data list. see be the that not to with that has. truly to recipe salmon up risk the time give attack going let algorithms up level the heart a It's and, you omega-X doctor all calculate look someone's can sets XX-year the AI a tasks We're to it's supplement, savings need a recommendations with be already upgrade course, a incredible it just who a look those massive shopping of a

doctor is precision large models language then health the great if every potential. language It have in clear. the rich precision patient millions the have of We people. and transform know we data, these But to this extremely of something that be with That's data, world. transformative. large combined truly of hands going every you, of models combination data Thank Rob. this in And and should

Robert LoCascio

data and precision why a Matt. precision we know set, correlate WildHealth And is looked the this that at we on said, it. and to have and think them way about data like the acquired when data we to you way and collect we Excellent, got humans that well, set you've ourselves,

platform. page it, And that's like Clarity platform that obviously, numbers, on you language giving with saw saw with so just large models the information platform was When the comes the off -- patients' data. we're the the about LivePerson Clarity you our combined what excited you

So it's exciting.

to going think care it's impact it's one day I the in the have health itself, industry. a business multibillion-dollar in because of

world Company, and outcomes. the OpenAI company and #X, and the is I AI that business something. put end by was look year call A rated as on you ago, of on the I go this at we sort we in back period the we talk announced gave chosen if a enough, Fast of were #X article, interesting because And want our to about #X. hour were

understand was the all was to work AI and call, they taken vision it's the And LivePerson could next leaders. OpenAI of And is and hard and technology be be companies our has set will companies, really handful going done impacted. that said their We with I OpenAI race. the this a world-changing -- technology that But and since is November. our right usable the time, Google, with companies, really in that data, impact be to it to most this we at position ability the enterprise bring I've set we've with kicked and way, of companies our And of times, I'll stuff. in many a brands. set there's to of our our think puts relationships the now. going largest current next our LivePerson off, engineers working safe AI to the likely whether APIs our Amazon, and using a even the are of like were success And the set are space be Obviously, are a that down way platforms and technology pole customers, with a in what us of

twists that been opportunity. in and think for for when we've day. It And And discipline the shareholders, have having get some and Obviously, flow We And future. long largest don't about solid that's been got turns, cash generating took a QX, important that will not foundation, foundation. waiting we And and one just wait I you we XX to be still know from we've starting comes, has been around shareholders, as excited top the it of you we're a I this and of but us. creates really yes, company. foundation, I'm squander here the always sitting years. in didn't solid this on a our and

excited. tough in way, all times copy. the in in way, to And a We I And year, the thank hard. is excited. and know going want to the Even build because the market the this LivePerson in very is innovate. don't all company. stuff different we're through we Everyone bring working just a everyone I to We're everyone last in company

this And before questions QX with can a to the We turn that, few over take I'll end it operator. Operator? we call.

Operator

Instructions] [Operator

Chad Cooper

Okay, at first MacDonald Ryan comes from Needham. question

the Gainshare revenue WildHealth business? core you the And versus versus shortfall us to Can quantify weakness how is of lack of in fiscal the help for 'XX the revenue much 'XX? relative sources

John Collins

or -- yes Arjun, Ryan, sorry.

not course, services has prepared primary primary reoccur with million the COVID-XX in this total will can we strategic the covered but $XX partner that a we in $XX non-core categories: of testing and that remarks, million that think diagnostic XXXX. reiterate, in X my of in There's I consider I professional sources testing here. space. and

It a With WildHealth revenue, aside we've pandemic-driven that $XX approximately Gainshare QX figure. that is setting not million is the revenue labor here, that regard contributor variable that's large to provided. of and disclosure

Robert LoCascio

double you, other in its the the small thing will rates. Matt this is, year like growth WildHealth's stuff coming base, core And a although off business, showed

he's our -- compared base -- So trajectory there size, to a good the small got but right now. but it's

Chad Cooper

about from a get cash ramp comes sequential we How in profitability exit to should from XX% year? free How the EBITDA QX? in you Siti QX do flow Next question Mizuho. from the to throughout rate by think positive annualized XX% and

John Collins

primary relates as to a the that we are body driver here so cost of cost-out in large speak the first that That's exit. actions Siti, the Yes. quarter. underway will

weeks. flip the ramp year. us will couple what to QX alone that's will from in the QX the So profitability drive the profitability substantially That numbers a directly in in throughout of

core our recurring revenue is expect of software and base course, throughout AI-led And we as the year growing of the addition, the In well. function bookings a growth. that that's

demand to AI there's for demos of seeing action. at It's extraordinary lines we're moment, a lot seen the the along you've note interesting what where And of here.

But course, revenue. on on single-digit the hence going into conservative, being mid-single-digit our to So we're recurring flowing of guide views, bookings that's forward. low

Chad Cooper

John. Thanks,

to contain William from Bhatia Arjun distraction to from the core? Blair. several you pieces plan business can How in from execute ensure is you the question in moving Next order on the do

Robert LoCascio

we we what across, think distractions. done get -- the with I Yes, try we're to that's

in Basically, die got core on. We've business. that's to have we going starting and QX, what we have business care our and P&L. So live a we're health clean our

to focused over those on on focused this. we're So prepare to lot We the QX, do year things have we of But for last starting only it. had a areas.

Chad Cooper

Next from model What and for Arjun. business? How is is the WildHealth the accounting also revenue monetized? question,

John Collins

on have drivers. think to him core it since I'll Yes, Matt we of the start. business explain But then over call, I some kick the to I'll

pay-as-you-go revenue. over turn quarter And both in and to our talk line, In terms currently revenue drives to I'll you and there's what it. and of through accounting, Matt, the recurring it hosted is

Matthew Dawson

Sure.

the now, XX right brief, very be we're to And model seeing we a coming taking them. of recurring revenue we've care patients, in Rob doubled as where patients we months. patients Just last have mentioned, do have our in,

to again and We double we're be over expect the this months. We're business patients. but good more to is XX seeing the core R&D seeing of growth, next honest,

it. that proving the that now We've health We and care this this health are the think is everyone of get best that gotten best should works, in outcomes deserve world. people the world, the care we this millions in and

opportunity real it so doctor taking layer this is to AI the adding this be can and technology, every in everywhere. the So licensing

care So with doctors fast, that the can is we future future. coaches. with giving that's the to this but not growing everyone, out just patients see really We're our the and

Robert LoCascio

-- an some the is or use or someone highly, platform may you something Matt, to who It's And than the also get highly program. once people want about they that of or different we use to on stickiness talk who normal the and app much like goes a know that. sticky

Matthew Dawson

great like Yes, It it's point. a people health out, care. Rob, turns great getting

is is you our normal when -- NPS NPS care, normally look So health around at X.

over kind NPS, positive And XXs. XXs always a XX. got NPSs the great. They're you've never you're really in our are If and of

enjoy So people it. really

tell low in People We They with us. stick have They family members. their stay better. program, of get around churn because that. they really the

I well. So are as to efficiency. for be technology is and health a would doctor we big the centers upgrade, and to X expect want, the It's quality universities really that things license a similar or and hospital who mentioned, that which for going quality really be care like a efficiency,

Chad Cooper

Thanks, Matt.

B. business? the guidance to from the business? from to the speak Riley. sell from decision question Can you include Zach Next is Cummins consumer that revenue contribution Does current

Robert LoCascio

John, you're....

John Collins

Yes.

So consumer business approximately flat currently, be the is year-over-year. assumed to

growth. or revenue So a have whether EBITDA, our is on but There's in on you material small a impact guidance. in it's outs, not that don't impact

moment. move from there, for of we a guidance, standpoint, line And in the neutral. and management view the we're -- on the contribution BXB sell it, be core pursuing what to for could focus a this focused consumer This growth core BXB and we And Kasamba the especially And think reflects the core. on for best segment. AI-led the a So to it's to decision the the from from entails WildHealth. a business it's costs And without have at and terms the revenue the a approach clear, kind EBITDA of BXB that forward cycles. just be, it's draw reflects

Robert LoCascio

chat who it great back automate want their our to doing -- chat use stuff And very I we're with on putting the AI focus The bought health can business. can't to online care But for Yes. we go the we in when we're can't a proprietaries -- It it and with way the that customers. we on we stuff is, we the filter can the filter. business doing small was enterprise. individual

XX We're just fit getting doesn't biggest good It's been right so. now. on though, years, think a the are it return where we So it, opportunities so.

Chad Cooper

consumer the on would a the you Peter buyer? Can sale from bit Levine do value who question And more Evercore. little you Next detail ideal of give it? business? be from the How

John Collins

that I for month. the my that, more can multiple eventual think PR you'll wait we is later terms of it's clearly, valued, EBITDA I details see remarks, soon. how works, we'll Yes. and which, way a to the prepared this in the of as on say have transaction, expect Peter, said in I

Chad Cooper

Follow-up see And question confidence for point you you'll headwinds factoring gives that in What from an Peter. for inflection are what QX? macro fiscal in 'XX? you the

Robert LoCascio

and guide bookings pretty that create a then structure approach took could conservative to rates we to and model retention the to get cost to. to a We

So interesting. upside here. be It's from feel going we I there's think like to

holding spend didn't, the their us year, budgets. want because they that Like slowed to they budgets. but deal the the for QX On macro normally has obviously, with big this the And a enterprise. down, we And money they're it. had they kept people, they side, in very enterprise is quarter

on just going an had field packed going on AI, on strategy a I with -- created like the it's done what's we've and stuff all said However, We event. demos it's already. what's we've open with the right now. XXX

is and people customer the showed packed house. -- U.K. was seminar, an had largest in online it XXX we Our did We up. a

right I season Whether it's action automate of, demand for processes of business a now So care, there's use like that wants customer to enterprise the a they lot it's an this now. open right kind to bunch obviously, have. because of HR, feel

Chad Cooper

and to to sales speak coming year? current capacity plans the reorient motion in go-to-market Can Cummins. Zach from question you the Follow-up the

John Collins

I'll to closer to start. to pass And something you how thinking we're Rob, customers. bringing maybe could about I'll -- say team pods technology our you about and

in quarter So end with terms quota just high of the we approximately capacity, XXX first will carriers. level, quota

over increase prior slight a the So quarter.

Robert LoCascio

revenue. heads. the to to motions And taken the they customers are dealing on And I thing not talk product what into do I called are with we've call the of much -- work AI you bring to just do think It led -- new in it's is technology. BXB pod as the come opportunities, is talking if they're largest our people tech And with business, game. the was customers now pods have [LP connecting we are always One], one and layers co-founder about language. engineering company liked deeply that them XXX do I the our what now about want by think And largest you're opening as who very a do the as led and XXX And important someone and an pod of they or it doesn't product heads very and other telcos customer. in BotCentral. which with up going engineering CIO I believe call pods, and servicing an is I product about when the don't we've customers, by one in and with product having and people. to account look these come management. in this those lot getting talking company very a they're the and and And -- customers leader guy day service which -- our why in, Because a shows but new not of -- of up base that? also of head, a who business motions invited a technologists have like the of comes sales a The had call this to lines. then they're and people you -- just it's are I be thing AI, we to high change would created engineers and another CIO I've is who think have what And to of we our a with They're talking AI it percentage should we that's

change So big us. that's a for

Chad Cooper

a e-mail by actually Tom I KeyBanc. by in Blakey question coming have from

XX% flow to free XX% total adjusted to and When end X% EBITDA to in about by core cash will the of business? the 'XX. mentioned the non-core You XX% zero? What margins revenue go

John Collins

year, on the that will the in should the will throughout P&L be components speaking, non-core revenue be remain still the quarter. -- largest most Broadly but second exit the worked --

Chad Cooper

forward? to effectively physicians MacDonald Needham. a platform incremental Ryan to are LivePerson, to needed new moving from investments channel the start license WildHealth at to Question for sell What

John Collins

investments. I growth the the integrations our power WildHealth for will exact both amounts investment we that and core aside guidance of and, that BXB generative forward. going note allocations AI have in set think is would in reflected [Indiscernible] we the that course, our of

Robert LoCascio

of business WildHealth does cash its bit because the little of And rate. burn growth a

So like a open They're not we doing. They're funding are other to Matt's with -- that starting we're also up. way that in. to and do the they direct-to-consumer and are we growth, bring business an hospitals. overfunding. high-growth for a pretty there have then areas acquisition there's doctors money, also working but prudent it's with We

but Medicaid, all sometimes, Medicare to insurances thing also looking other group exciting is and private QX, although that's we're in tough The we is and got Medicare as a saw that. work we with at

goes that down. acquisition of will cost open up, So

a in providing who who there there's be out the now. So to of their to of There's care lot patients. how lot want pay physicians health the the to that -- change they're there's onboarded a to to potential get world people want platform But in right game pocket. of

Chad Cooper

I do questions. you think want that's it to for Rob, up? wrap

Robert LoCascio

Sure.

had Just want we're a this a for were In to well we lot to type our here. free doing of being we've I an there. because quarterly it, company. times make opportunity us get different to this, for XX positioned call years know history of of X to thank is of changes had in everyone type a but where separate we different came,

obviously, we'll up, because And quarterly like on you act It's being mess you wire I for bring and find to you Joe guys. health appreciate you high in But is coming guys the call. a also investments and something on showing a job, want a going did thank happen call making -- in to making investments Matt, we're great you the the I core, you, care. to we're a in

And I AI. as think, think purely again, companies are there's AI very that few once public, shareholders, I

it. I Microsoft. bet would bet can You

think what there. they're doing I over amazing it's

there as they're that size, it progressing We bet have where they're our has bandwagon. with you the a on bolting that make are company, on on very can they're It's and think feature companies, them. that in And many great technology, you a can relationship not some just few I especially But to say of interesting ways. is AI company an a bet. AI this

I obviously way a quarter the that, we and last to years. have with over different So look the results in of showing next growing forward and than couple

So thank see you, quarter. the next and you on

LivePerson (LPSN) 15 Mar 232022 Q4 Earnings call transcript