PFPT - Earnings call transcript Q1 2020

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Operator

Good day, and welcome to the Proofpoint First Quarter 2020 Earnings Results Conference Call. Today’s conference is being recorded.

At this time, I would like to turn the conference over to Jason Starr, Vice President, Investor Relations.

You may begin.

Jason Starr

Thanks, Shelly. to quarter welcome earnings and afternoon, Proofpoint’s XXXX first call. Good

Proofpoint’s Gary on the Chief Auvil, the me Steele, Board; Financial call Paul of Joining Chairman are Proofpoint’s Officer. and Executive and Chief Officer

be Relations was after copy Section Web that of of we’ll press afternoon, available is closed issued discussing in our the announced Today, our results on release which this market a the the site. Investor

to performance cause call, this events the will the forward-looking statements are of future this under Proofpoint’s to in with caption contained factors conference We uncertainties financial Risk to During the the regarding and filings our risks most and future materially. subject SEC, make call. consider we of you which These are actual XX-K. company, and important course differ on detailed caution recent material release risk that risk fully Form results in Factors the the could including factors press more

season crisis complexity a specifically, directive good Division business on for COVID-XX providing follow Director, in Clayton the to that and earnings Bill on of and guidance a the the X, Hinman that that SEC issued Chairman, statement choosing Corporation Jay the recommendations. context issued. our are this extolling recent to create as and of SEC we of April during much comes current possible the Finance, provide believe joint when we to companies importance the faith a view particular as note guidance as We are forward-looking providing More it basis

predict to forward-looking to understanding given reasonable Proofpoint’s the statements future of a eight X, of These company, degrees markets May obligation as performance result performance policy update that these today’s assumptions is believe and brings future undertake no our crisis customer the note, or complexity neither impact we to to of adjust serve. compared are that nor over the many a will specifically public to like be to we as it such information press statements as for based the caution it date, our events. to the Of as XXXX. we various a We the also Also, on filing that that disclosure it on is investors a release, and financial unless as future be call today’s Form foreseeable to the past years harder through X-K. reiterate public or the a done provided through guidance of new would

items These non-GAAP to to of isolation results reconciliation performance. GAAP we why in measures our are substitute non-GAAP financial Additionally, list consider exclude non-GAAP and included measures to intended when in call. we a or reasons GAAP analyzing Proofpoint’s of for, our a all measures from, today’s measures are and number a company press A forth the present Form the X-K. and both in considered release you will on and be measures encourage to non-GAAP GAAP release of these as today’s uses not superior set

format all for rounding call. the continue included all in on and highlights the will the million performance curtailed to of case this typically have to this not this plan detail figures of nearest amount compelling of today’s note from to just quarters, on was the of are Also and but QX on time calls. lot during impact the given quarter, we We this will activity list we business, our prior views of business to current we there the that of all commentary be note regarding call remarks our have scale COVID-XX in the practice we interest in the they 'XX. changed our also our that provide a hence that we ended, our the quarter focus regarding prepared our of sales now of Like future

releases we at reading filings, to investors.proofpoint.com and such routinely filings, post news addition as it. presentations Finally, we to webcasts, materials press site Investors in encourage of investor-oriented other section and our the information SEC Web relevant to investors events, as our monitor financial and also

So the with that turn over said, I’ll to call Gary.

Gary Steele

Jason. today. like thank to Thanks, joining call us the I’d everyone on for

impacted that call best our to Let listening and me are today's that with we extend current start by our pandemic. to to everyone everyone saying like by wishes the thoughts would

this and Our despite our health is while operational safety and our crisis. continue our the priority maintaining protect support of employees top to to unique customers, world-class readiness

infrastructure ground kind, the and to any and all Our report to lines ourselves and operating company, have the to pleased product equal were up all able to to be emergencies of we I'm from our be our disasters that in specifically proven respects. designed task handle

fine to overall like global team strong. Proofpoint the and quite and productivity commitment a job efforts of teams of in work-from-home remains we our model our to our implemented a in I’d that doing locations of to outstanding March as across work-from-home well prepared as policy thank all well mission unprecedented situation. around world support our I’m for say customers our risks defending such that happy our this and quickly advanced adapting of operating threats is from their to compliance our continued

by lines. solid quarter, exceeded and first collections metrics all our our strong across on driven demand linearity, cash broad results our good In guidance the product

widespread urgency as unplanned were crisis directly sales solutions well crisis in an As as and closing implemented that particularly March, our notice, cycles around deepened sales quarter the initiatives. final in products source responsive team shelter-in-place excellent orders with of the COVID-XX procurement reprioritization the over weeks other to by many job were purchasing globe the did disruption the to resulting out teams overall general fairly as in in in little

segments retail being healthcare. we time, enterprises, by travel, saw certain of particularly projects this modest in such certain and due pipeline in industries to energy, During hard-hit also as those contraction deferred hospitality,

financial sought to weather pivot cash We duration as the existing the also saw new companies challenges economic conserve similar to crisis. unknown ahead, we saw and the year XXXX customers both contracts in to actions during towards the shorter

sequential we decline result, QX to customary three-year in QX was a 'XX, for of XX% to though saw contract duration XX% the this gains discount pricing 'XX elimination transactions. prepaid As by from the partially offset billed an

we secular ahead place remained look demand remains in to ever. compliance and to our the landscape visibility the be As security and migration overall to proving business our continuing the evolving to remainder than cloud and year, important unique that ongoing next-generation the state threat of our that the more rapidly powerful our pace cloud would fuel continuing firmly platform, into and with viable for business the I healthy drivers

be that by the our With expect the to in terms norms as compared following I’d the of crisis like a backdrop, as I business until pandemic to to how our historical share subsides. impacted observations

would generally durations to will such, to quarters on to range of and of our months the I low in billed First, I contract customers cash expect conserving that would XX trend XX targeted focus that as expect our continue ahead. the very end

in While would this and cash trend of and renew also in following year. toward overall cash shorter the additional it contracts contracts impacts course improves as these XXXX flow XXXX, flow contribute billings pricing in

particular in persist will furloughs with and for impacted industries. quarters highly at next the layoffs that believe I concentration least several the Second,

these will per definition by customer customers retention our model in when [ph] impact Given a rates our renew. pricing se reduction headcount ARR in

of will experience exporting and resources project industries pipeline, highly party on existing in significant projects I foremost large third Third, from incumbent scale archiving a the that platform. some but execute to in to believe the deferrals we impacted our continue also involve larger first that datasets

demand be impacted as that this Fourth, for could while Europe restarting. to be that was be full it by recover, key might regions sense our region impacted as our the the the one first is and with wrestle crisis that first economies region of to in year the would in assume

teams procurement underscoring expect we our Overall, business free power growth in certain XX% built to unprecedented free high flow we from slower ability they properly the to line home our as of flow. projects. needed enterprises deliver companies other top the recurring as continue margins this solid Fifth, model remain and rates attractive global ahead and weather projects renewal prioritize crisis, cash do cash revenue, of working on we in some confident engagement enable to across with

taken our events and user hiring of Given the a of we already of September. result have pace aggressively COVID-XX, in board, conference rationalizing as executing to actions virtual manage customer the including spend, operating quick environment entertainment rapidly activity, shift reducing shifting expense to the our across moderating including and marketing spending our travel a

We will feasible. where areas close to continue look to other reduce at costs take a

without we any reducing like terms that I’d to headcount Importantly, highlight in adjustments expectations hours their and worked our plan entire pay any or no typical workforce in reduction continue had through plans our to or we of layoffs salaries. in their to or furloughs to adverse business

workforce These matter to situation our commitments and that challenging Proofpoint world-class to XX quality further ability capabilities, that and deliver years to the has actions and our and how past over our of the security testament customers believe a may we our caliber these the are will compliance built no business be. the

in Overall, the environment times. other corporate unwitting threat steal landscape other gain in uncertain COVID-XX sensitive tactics lures by users actors the and exploiting users these to the with access log-in targeting fear and compromise through and credentials, current the of threat similar use remains uncertainty quite active to data

amplify further solutions need In cloud with they in Proofpoint’s corporate requirements, and protections. compliance have the in and data employees people-centric cases, operating from not are networks to sensitive for accessing by home serve networks as has where the fact, current traditional definition are corporate on security and interacting work-from-home many venues

to chances are a these are the many reality to the only distracted work family procedures factors on these Add attack. the often keenly of new members serves successful telecommuting and new their too to this be magnify capitalize which to new to uncertain trying fact actively increase or may this in stressed aware try further actors Threat environment, on by risks. employees that of

with Our threat to a and thousands other few attachments attacks associated URLs COVID-XX campaigns emails, researchers of attempting on have past the lures rise payloads. months hundreds BEC and malicious of tracked in dangerous over deliver significant

currently over Covid-XX XXX we In million fact, malicious XX campaigns, tracking week is and different leveraging saw Proofpoint nearly themes. last messages

resulted Our in adding employees’ risk efficacy from gap with of when these accelerated attacks Proofpoint implementations this preventing competitors service to cases, has recent the forms and centers. further some In at home. struggle face new working detecting

While it as in new catalyst by and capabilities. flexible serve the the accelerate work-from-home away yet we more shift in could further from work-from-home remains on-premise of enterprises the applications embrace early, the of cloud support that hence mandates another believe legacy

breaches applying new email Unsurprisingly, begin settings. with secure This remains for given challenges all given security reinforces to cyber over of compliance infrastructure-based most these email. inherent the security people-centric the factor new malicious reality in need XX% and also the that offerings of critical

there However, email, cloud capabilities are users and face they other venues social media as required properties. in many advanced threat that adaptive help and are controls the of to beyond protect layers from other such

broker, security application data similar provide or or DLP cloud or loss protection isolation browser CASB, detect properties. unsanctioned applications can venues. Our can and advanced programmatically other And for a cloud Web prevention violations capability in cloud threats

Insider reach visibility acquired employees the with into important recently who with This the risks security beyond on when behaving Management intent, are important teams Threat particularly Our actor. solution operating is or the by network. employees a malicious are provides unknowingly compliance comprised corporate threat either from carelessly of acting capability endpoint

by during fact, wins several saw driven concern. we the quarter this In first specific

of are simulations threats defense to security is on finally, phishing outside And offices. and a to of Proofpoint line corporate and ensure face with vigilant critical factors. solve solutions broadened the growing employees positioned uniquely training our reach intelligence they last remain threat security all compliance by excellence of of email new across which our these security threat these our people-centric portfolio combining in and challenges awareness

our compelling subsides. in capture significant around with as opportunity to emerging expanding infrastructure eye an the scaling product this toward to our see offerings even opportunity better the that continue crisis globe growth We and while to invest positioned ahead organization lies

order consolidate to solutions solutions emerge services while their the as for enabling to management. and threat also the trusted around better environment to streamline of simplify in of platform and particularly partner is as customers, compliance they Proofpoint our smaller, spending security and strategic today’s held privately look from often infrastructure in best-in-class number of support Our reducing vendors, also point

towards and abroad, of XX% year-over-year continued to further and international make progress business total our expansion We represented XX% revenue. grew also

Europe implemented in While two we’re see did advance results, as in such downturn with these pleased in pronounced we of weeks countries markets. the quarter final shelter-in-place Italy U.S. policies other the a the and as and of Spain

slope could to recovery. be XXXX and the depending recognize on ability that internationally, longer-term their the on economic of deferrals optimistic there these of over further timing gain arc remain we we While of share in markets purchases

we It a a final startup XXXX price and to closed success As and our think this week, of improve their the engaging to continued innovative less customers acquisition security will to small employee Manchester, provides high-growth this impact but training million, company training interactive will update, highly library exciting earlier deliver brings a behavior. enable security for The [ph], helping Defense purchase our a awareness differentiation security that support and at market us awareness business. than in is content acquired be another customers $X a UK. interactive aimed engine Works we financial the in while of drive minimal is further team content a called content acquisition the based

to times, our over that it of to important us our help current characteristics remind business to turning bolster like the things investors when are we crisis normalize. in while we emerge clearly model and even ability I’d to operating enable weather of uncertain stronger Paul, six believe Before to

we challenging economic important provide a we allowed in threat be that surround and the the service to as such, despite most conditions First, lapse us. that the protect cannot enterprise factor

And Cyber working their of this set the actors the to security are The our fit if more even also significantly nicely the home solutions escalate service and address attacks challenge. number people crisis. exploit has non-discretionary. record people-centric expands compliance become threat to for as of apparent need these threat and from solutions requirements anything,

through efficacy advanced superior threat our overall remote easily measurably of is our concepts. demonstrated to competitors Second, of a and proof services

requires delivery no model activate cloud-based implementations Our complex to on-site service.

drives degree turbulent model a in is when recurring revenue, business annual that with times. Third, stability strong our our result with model business remarkable built rates which a a revenue in on subscription recurring renewal of XX% paired

comes predominately which impacted diversified verticals of parts more current our base crisis Fourth, XX% the by retail, across we customer have industry. from focused, healthcare approximately a travel, of is and we revenue the that blue-chip though and enterprise estimate as such sectors energy

the increased hence to As XX% customer customers count fraction over collectively we a our our X,XXX XXXX. overall revenues of to small as compared SMB shared our These are and quarter, XXXX, of XX% at to last generate only enterprise end segment. exposed of the revenue

as in ability across our customers over existing with our spending and value throughout first add-on XX% consolidate and which hence of our XXXX the solutions has manage revenue increasingly enterprises point quarter demonstrable and staff to both within base as in Fifth, important well our IT have world that to the Proofpoint vendors. where trust from is underscoring of a created XXXX, fewer customers, customer new came available

change continue strong without any strong discretionary morale has a current flow to a while a financial discipline economic had as the On sixth expectations of result stability environment. through us resulting around in with to invest final always strong and maintaining our with Proofpoint culture business our maintaining spending. The or free point, cash the sheet our enables employee paired balance

summary, operating and customers we are challenges additional our results face. very we So also operating the complexity with of recognize many QX that in though environment the our of our pleased

gain growth. Our share unique prospects and people-centric attractive with to and further are our bottom to believe plan is and execute cyber continue top approach compliance clearly customers positioned security that and well to to we on and we resonating drive line alike,

operational from positioned current stronger will health on discipline. environment, ahead. We this being in Proofpoint to objectives and our believe situation unprecedented the even the delivering of focused needs this on customers In years rigor keenly while the and enable emerge better we employees our with our well of and remain will our

over me Paul. let it turn that, to With

Paul Auvil

the operating final XXX XX% Gary. pleased million the Thanks, of totaled guidance results of our few this our environment quarter, the weeks particularly were We with given million. changing million, XXX Revenue and above XXX year-over-year rapidly in range to up quarter.

in of a decline in new of bookings resulted our two quarter XX% industries, add-on number also recorded closed an impacted in renewal in the particularly we As project we dip March. Gary deferrals, weeks and saw activity. during final add-on And business contract which and noted, duration this sequential new, billed across a

in all to in million deliver things XXX So the considered, pleased billings quarter. were we first here

impact prior these accounts had under negative of $X two now a of on well derivation noted unbilled QX, the billings And to related of receivable requires activity XXX, ASC calls, the metric right As reflect quarter to million. adjustment as our any adjustments refund liability. during the items as for

our expectations. expenses to profitability XX% with a was Turning in gross basis, and margin first On our the for quarter. non-GAAP line total

XX% non-GAAP over of revenue. representing total period expenses quarter, prior XXX to operating total first the million increased XX% the During year

expected, was As of of and additional absorbed key driven in costs hiring acquisition business. the this from functions the operating by our all broad-based we primarily also that ObserveIT

of quarter of the to guidance when this we million without carried liabilities profitability balance we beat of that U.S. the the since above dollars to high international of local non-GAAP for $X by U.S. a reported approximately are our end benefited end In $X in at this our terms XX sheet XX XX due Note by on still lease the which Even the was million. quarter, denominated income million. net benefit, these all stronger range well range of in million reported dollar currencies. the leases reduced million,

rate adopted now and currencies. As the ASC carried XXXX, volatility. net under standard can XXX periods payments reported income movement this our are local in a some our introduce exchange all in to we denominated in quarter, future balance brief of leasing of sheet saw this that reminder, as the we leases foreign new And during

our based The applies Non-GAAP million was of guidance per on share associated converted $X.XX such million cash method to shares. XX above debt. issued $X.XX the as EPS notes calculation $X.XX range to of diluted the fully interest shares share, earnings of our assumes back quarter adds under Moving per per just X if XXXX million for to the convertible newly and X.X earnings conversion share. convertible convertible with and notes approximately associated

debt been also notes including these if share As million based in with shares is to you with fully of when XXXX count premise method, point, enterprise eliminate converted an that mind the equity. additional these diluted fully debt using from a must in when count higher associated the the had important calculate XXX associated share notes on the the keep value the converted that since convertible Proofpoint, to

On GAAP totaling XX first a loss a million based share on shares or recorded for basis, quarter XX per we net $X.XX the outstanding. million

In terms million XX of free for in quarter million cash in million. flow resulting we flow, of in cash invested operating XX capital XX and flow cash expenditures generated the

good the to very quarter the first had We bookings into some linearity accelerate helped flow quarter. cash which in

contributed As quarter million ObserveIT’s million still otherwise guidance well, the cash for intellectual as million been XX expected would to $XX have that disbursement free above flow the of cash range $XX nicely repatriation the was our to our of property which guidance in January. of our million, quarter delayed compared Absent to for XX million. delay, $XX

Moving equivalents. strong cash quarter to in with the and the cash very approximately a XXX balance position we entered sheet, in million

this from convertible flow $XXX.XX operations. retire I generated until debt carry while the of As per to share conversion strong and we of either exceed noted, through XXX over the just our not years notes is four outstanding XXXX cash have August debt price or due we do hence million, of

of ahead. has operating in us work, to debt This in of of put the business giving terms the restricted thus cash payment years balances we or plenty how no the or any financial covenants flexibility we also operate how kind

So turning for to XXXX. guidance now,

of the section, on engaging are forward-looking SEC As his under such, we Chairman our the of a afforded effort Harbor, a highlighted the X, comments Jason from under opening the choosing follow of the protections April year. as to are for business and good-faith Safe guidance in the in to remainder provide view we

to is the ahead. It the depending our our assumptions operating on for out have could, financial course, and what some is long plans unclear know we the quarter, adjustments of based pandemic global the months COVID-XX of here how as the made and first current in Given today in may that remainder and it based the on of XXXX. how results impact pandemic this economy, on change we plays

operationally The be on to a companies forum calls opportunity it’s less Chairman’s an that company showcase one, that to upcoming statement significant, may as historical requested address, where but financially? today X and specifically use April results relatively the earnings instead not stands

efforts how efforts all well condition workforce the its how progressing? three, COVID-XX a the operations COVID-XX? its may of to is customers its its financial protect company’s including And and and Two, being and of health our fight of response change as result to

the each stands we turn. question of in address respects. let positioned that So operationally well we all believe and his me of To are company these financially, in in today first where terms

better, we model gives smooth. XX% beyond balance solid Our with this, generated that of cash by transition with margins that a of has from strong relatively and lie or a challenges to and home the cash economic work XX% business our has weather foundation model Above been ahead. empowers backed $X business, a hand to believe recurring this sheet on may subscription billion almost historically flow revenue us financial

how the company's and well topic remarks, interest including workforce reiterate and thoroughly that the efforts its being to To comments quite progressing, second so won’t its customers, and of terms here. of note in this of covered question has his response already is time COVID-XX the in prepared I Gary wealth those its the protect during

question with how of third for is year. the of updated change financial our the guidance of all address COVID-XX, On simplest our efforts way to fight result our to the quarter and operations a in I as condition this think may terms

of global that solid depending severity a outlook the has our of to the potential these financial spectrum the that the and is on run depth current impact condition financial to the modeling business future outcomes. believe our continue across have the examine models on number for We to and economy, pandemic we

the where very stable annual of guidance set on outcomes to the persist reasonably throughout can case two we different different traditional economic are of that our into year, we economic and disparate two providing broadening reflect will to the crisis we the a rely with conditions covered this that of business view period, approach a of in the sets typically the remainder how operate taking over investors course key account impacts taking of a assumptions, these terms our earlier. from broader in guidance Unlike hence believe and under the Gary

consider it to performance that reflect over play unfolds investors evaluate understand With operating mind, these our traditional the range this meant is we important that a are that potential two wide again points to to conditions out serve in figures may guidance as are as unprecedented to anchor of environment the of not as met a year. rather but economic across for remainder range, possible

return crisis quarter end second to high normalcy across the peaks new to path XXXX. the the the year. our X% we of over with during and decline COVID-XX a XXXX assuming of the the which are total by the close the year add-on that to second currently business is of context, that would range, business today, tracking At the as of entire gradual arc the compared half consistent roughly that believe expect we would In this is we with

be company’s on year focus our billing compared workers duration the modestly cash, rates or our ARR to preserving the off And due this would remainder to of furloughed consistent norms been with that norms. laid would have to decline by historical our historical Our below QX 'XX, contract customers. retention

the across the add-on to as of the retention XXs mid the by business a as furloughs At result could in high to XX% year. and end XXXX, we arc to could in widespread much decrease the as impact the due reduction our decline we In to expect it that crisis the global the workforce range, entire rates layoffs compared are low new assuming economy ARR context, industries. that or close associated impacted to continues and this of COVID-XX of would the to total with meaningfully as and

our ARR XX companies preserving the duration for of recovers, of as that months fall the shorter we a move retention approximately the our normalize just of the duration throughout who their interest lost recovery from the in cash contracts would times XXXX range workforce comes, And important expect when could of and during to billings as billed to uplift the the economy wider those creating we year business to to contract jobs seek a is that rejoin as note financial remainder and saw many the It year. will nice the to crisis.

XX XX per outstanding. to XX readjust compared beneficial outlook. million million This range our margin with should X.XX million our the in XX%. XXX response So as $X.XX billion XX $X.XX in million our share Gross to is using to for XXXX diluted translates as X.XXX to those the plans for of our spending the of of as to reflecting guidance a our backdrop, prior our to range range assumptions to that billion impact Revenue fully be prior compared million X.XX of shares efforts follows. of lower the be billion. revenue X.XXX should to in income billion expectations to approximately Net year should be to

lower in assumes depreciation million. to we current XX million just operating duration business two of direct XXX XX% also XX terms scenarios of guidance of X million, assumptions be This to cash assumed the around of and year crisis. flow should range add-on reflects that as I Free rate roughly the in the described million of to expectations guidance under and tax prior through the and compared C&DI. new under million million in our would work This range two XXX billings XXX declining updated XX the cash input interest net to the contemplates updated updated income this million close of and scenarios the as

million includes property to the of this now in second ObserveIT’s half paid intellectual payment $XX of that the of guidance repatriation year. Note we which the to be expect

from quarter. XXXX cash million acquisition the as the we reminder, reflects last the that outlined a also costs guidance in XX net in absorbing operating ObserveIT As of we’re

expenditures And Sunnyvale. finally, build million, new explained XX million headquarters capital this associated that in assumes of guidance our as approximately out in quarter, including note last with the XX we of CapEx

a as run with the negotiated CapEx line As will the capital an through offset expense. tenant which to partially with netting have we some it this reminder, of though against the will cash statement $XX flow the operating allowance million cash associated of project, opposed landlord

cash we adjust XXX we one-time when very free a is of suggest in million a considered solid If believe million our to flow it of these for XXX context for the from operations range crisis. this which ongoing effects, adjusted result our

So guidance year this that very outcomes. full we meant of reiterate grounded are the is sets to would we more I to of anchor and in this are two set that points favorable time tracking provide two at for assumptions economic again, the believe that different

let’s financial Now which the our consistent high reflects year that of full end outlined. the the discuss just with the outlook the for tracking quarter, for range second I

We the expect million, to XX% between at growth reflecting million revenue to range XXX midpoint. XXX

XX%, margin quarter non-GAAP gross to be expect consistent QX. with We roughly second

diluted cash it approximately assumes shares under XX and second million interest $X.XX using fully per XX% share of expect rate non-GAAP to and X this XX million income net less depreciation of to outstanding, tax million be than X quarter million, net income We XX to million of C&DI. or assumes $X.XX

which to XX in the with offset to Given million. CapEx described. be allowance is the flow, be the by million, expected our tenant will QX of to in associated the expect coupled XX just saw the recent including from QX economy specifically, full shocks breakeven X potential cash corporate impact be to quarter, new headquarters cash QX the free as second now CapEx million largely trends flow absorbs we slip we with orders that duration

the the and the on reference, As thought our the comment of add-on on second just above when highlight don’t we point be quarter. early appropriate billings, for and first for April, while of quarter, new it a business, the in at final guidance linearity tracked month I the typically provided norms or of results during our quarter historical that would for of context all current month rules to customer collections considered the

path have still the will June we business of and continue share which we a updated the quarter, the high nevertheless likely to are on to our be lion of to start here the while in target outlook the of to hopeful quarter for to so unpredictable, and year. pleased for end remain left that May business our the remains turbulent our period the be achieve And and close with

In result the of resulting conclusion, positioned. we coronavirus remain we economic believe and that well environment the a challenging very downturn, despite a as economic pandemic

to the work-from-home compliance world and paradigm. for relevant Our customers many even and the world-class prospects security are new adjusting more now around with capabilities

this we continues quarters. team few the of delivering with path next positioned least business at to on as achieving and year be strong remain over billion through focused date operating $X several results line a very X way Our execute top this billion well of an bottom delivering our revenue Note the remain X our while crisis, driving expectation this crisis, on to impacted and the billion well that we we over by work milestone competitively. through years, well of clearly this could

but we timeframe and rebounds aggressively that an target. update the this will a to continue on As significant provide road, we nevertheless towards opportunity the driving see economy we’re down

our investments to returns our and We this protect with for period and strong us will expect help in stronger discipline our shareholders than and drive to these further customers years to targeted our from emerge the uncertain ever ahead. we continue opportunity

I question over one and it the an opportunity the have would number ask for that turning help limit sell-side that of analysts of reduce to to just during today’s Before call to discussion. question a to the like the to maximize analysts request themselves operator questions, to duration

taking time with that, much the Operator? to questions. And very join would your today. call to take happy be you the for we on Thank

Jason Starr

This I’m say year. $X.XX is Jason. net quick clarify guide income Paul just per said. going on that share a to for the heard him thought I the I thing

it’s I the through to wanted $X.XX on $X.XX in that just be case clear So that transcript. doesn’t to come

to Shelly for back So Thanks. with Q&A. turn that I’ll it said,

Operator

[Operator Instructions]. you. Thank

question from first Our Please ahead. comes Stifel. go Talpaz from Gur

Christopher Speros

all? Gary. process impacted about that in DLP integration you demand within Can we by and is at where can way the has in the speak been environment? on ObserveIT to are This you Gur. actually One for if Hi. Chris for Also, Speros for COVID you that any this talk saw

Gary Steele

on of for life and to have year. Real like in acquisition integration in of see been we’ve see the that ObserveIT projects the next quickly, questions. of demands. DLP, the we the looking really those and those we so we great second Those been mark in a amount Yes, generation at DLP feel through meeting half of terms the are demand for a and interest significant capabilities coming bigger driving

been pleased think honestly transition. no integration. has We’re on saw through development And with the ObserveIT the I probably the slow side very productivity down our We work-from-home higher.

and And feel early the that the we’re there getting we customers. about good feedback from so been done work very that’s

Christopher Speros

Great. Thanks, guys.

Operator

you. Thank

from from go Phil Our Wells ahead. Please Winslow Fargo. comes next question

Phil Winslow

Meta, are you CASB, in Thanks to then the Isolation. guys. are implications that lot families. and that’s is from those what glad But you color newer growing attaches some just work. you about Bowser relative for hear thanks their of think newer of well our the and about just a Gary, for do you what of potential work you’re And in of due gave? guess, all in of you your that sort my the renewal with thinking because true up in interest to how customers thinking I’m They’re to – of Paul, gave the focus Proofpoint of that Hi, taking unemployment. some higher with or about things same churn that I change on How Paul, number the that wondering for checks hope home telling solutions is picked can is you on in products? one commentary we’ve of there of sort you if question products; terms

Gary Steele

Phil. questions, so great Yes,

So around these our Insider in we seen capabilities and reoriented ITM briefly our and time team working Isolation engagement Management who as our home infrastructure had really from solution, it mentioned lot then as second got before, of positive Threat broadly relates pipeline home, things overall worked people as laptops solution, it into deployed transition Brower employees the CASB see and work-from-home demand they purchased half very security of to a build as our in had to remarks, rethink work before. and was because a the from did like from see March short you our products being We their in customers periods just did environment. never sales and prepared support to solution had we of and April, we’ve never

needed secure to of And these so people, fully solution. ITM some form they and enable

the we some So saw how home. have a We’ll working the there from enable across of security people about were supporting architecture good sales demand profile where through very feel very specific see cycles. we that that these and examples the remainder out year, but accelerated plays to capabilities QX different

Paul Auvil

are That because add-on the over furloughs of remotely renewal CASB things furloughs. course for near We the the customers on is we new of actually workforce come case, one Proofpoint. and Yes. the the needs email the at a if of add-on of quarter. And while have percentage in new to do have furloughs, normal and lot companies a or definitely just I that and that had diagram, intersection to and term layoffs that’s continue and reflect purchases the have do and enable but nevertheless that systems also working we that of in folks layoffs executed consistent think most business think value value things buying Meta, the of to that existing in in things business had renewal renewal unaffected work the you your churn very we the Venn thing point like in companies they having in compression adjust that had said, from interesting to total seeing is in you did okay. we, from seeing back it’s other are some a that quarter, from day-in, have In same or that of overall using and financial crisis time the came XX% and home are very affected day-out. add-on add-on who affects the have But with then help XXXX work are the cases, the have workforce business a that value it large and

We’re that. fine with

ultimately in, in from time. value increases their folks over to that and folks get we original we’re of us, the they’ll confident where grow back a recovery strategic XXXX started saw they businesses For as and kicks the we’re back from supplier as just of and on again, quite subscriptions like there these economy the that ultimately line, hire our back

Phil Winslow

Great. Thanks, guys.

Operator

Thank you.

Our next Pritchard from from Walter comes question ahead. go Citi. Please

Walter Pritchard

how on wondering Gary, business. add-on Thanks. new commentary there helpful Hi. – and

the winning COVID relates email take As did through to rest it in in of share perspective, year core as in technology the terms see hold just email the of it assuming relates your displacement business sort around the from to are guidance And what a you to what share gains that of core and you quarter? impact started market as market? the

Gary Steele

the Yes. What drove the environment. QX what in threat wins in happening core was was really

as to to moved responding of of solutions the adequately we saw incumbent the threat go end actors was that. saw we like I they XXX at quarter, we lures, in And the COVID we move Fortune to purchases, had exacerbated the beginning it we So a where we would demand it not saw literally that company we were call aggressive smoked. over these then them getting a because had many moves – weekend

opportunity anything. have the remarks, to continue We all physically We And don’t so remotely. this do we share we see our can because take this have the touch to as prepared year in of to remainder people. efficacy. of noted don’t we see through And to overall our

that And feel how Paul into can about we factored fits comment demand opportunity. so And on guidance? how we the that good broader into

Paul Auvil

environment Yes, change. overall, don’t the to I we expect think threat that

persisting. lures these new think to I fact, be In the like and seemed

forward. business will be they that drive where just going catalyst this be longer installed an continues essentially drive to no go base course to that that part into particularly of described. drive as framework And there their and continue change, smaller Gary so to the of opportunity customers said core they’ve on record their are Symantec considered And to

we’ve while of year I the shift – four, contracts, many course see we prepaid have customers the and calls, course email over someone over we replace in will the those quarter capabilities favor. we security coming sell that two, an it. think of core we but shared only so of second of over not gain do here often share of core And with guess bring them course to want five-year when them fuel along in in opportunity often to sell vendor, remainder past litany we other our along a three, of And existing and the the the help

a one using have And to $XXX $XXX can might be sort been so to that us relative as of just or easily factor. $XXX vendor what

So a to share value we can get also incumbent over market vendor is two core set to that three selling over product whoever from convert Proofpoint. times the as broader we the

Walter Pritchard

Great. Thank you.

Gary Steele

Thanks.

Operator

Thank Instructions]. take question you. from We’ll now Sarah go the ahead. next Please [Operator from Hindlian Macquarie.

Sarah Hindlian

coming flexible for of are Paul actually. much, customers It and so Paul you from all companies. down, being definitely which distress with our with we’re certainly duration Thank this is your seems Maybe question a expecting you like in Gary.

could month-over-month renewals the of me team April how heading you saw your between approaching trends what industries? then the and March renewals distressed with little would May to on in of through it is be me really into And process that side? maybe bit walk Paul and helpful a terms generally just So you if

Paul Auvil

Yes, great that’s a question.

know of a Sarah, for the just but dedicated but renewals of benefit listening, the separate well, interface the broader team company. nothing you have investors that for as be does handle So may that we

out except all sales here at And to and assist add-on may so involved drive they business and go we and team don’t have there. need that would either our when new

relationships it’s folks. and our whether whether to having look And business just after these we’re these and positive course with customers of helps pandemic or normal is all engagement a it all natural foster a really so drive

foremost, a seeing deal. and discount three-year are of a do that. want one-year saying, seem Almost a be first deal a I we now they historically have of them naturally deal hey, or customers to that for So where done get bit two-year a all may prepaid to

fund conserve because or it away course them up sort a an fair for of the use your one bit, another. that they a that of go prepayment can goes because emergency Now but means price per amount of associated cash that can saving enables dollars they’re obviously then discount with little to users

For deal, we’re year okay subsequent only and terms to years. we have billings us, means that because of three bolster not they’re just it again in a that renew going is with we’re in wouldn’t opportunity another that. to a If do three-year prepay to if user they another that that for year, means but what this renew have year a one year, 'XX, next do bit the so I’m per getting little so in price more it helps there’s billings

months back with the that to standout value that that’s literally crisis so have customers is I customers and hard had when contract. that we of have the folks six that handling, will you to for meaningful of fair first workers. we’ll if to looking are those but is some or tell that not that you what furloughs so the run had the reflect adjustments count lower is here, contracts it’s other equitable will, interacting and think that duration, a we into of we – of the number downsizing would and only make But of way financial XXXX their happen to in within those kind predict hired other a will downsize layoffs move thing and thing I user are that naturally is shorter these

renewal to an value And get we the resize upward that so back add-on then accordingly. of

frankly do financing we in customers it We kind a counts out going the again, duration business occasionally terms see plays terms for to then in multiyear will be how this of like, so shortening quite special year and it lower are quite payment of adjusting from a to single around. user interesting frankly. But And of to time classic aren’t examples. and a our have requests but

can go going how if structure and to to terms in That’s business, a your view loan, do. I our look, we you so is financially XXX-day what give to help to a do the what we’re loan. of not And want get you happy get go business. you to terms payment you that, to finance I’m not bank but the help

Sarah Hindlian

Awesome. Thank I you much. appreciate that. so

Operator

you. Thank

from from comes Sandler. question go next ahead. Rob Our Piper Owens Please

Justin Roach

guys. moving more Hi, guys I the this this Gary, in Rob. color mentioned past on of just a little of strong of quarters with international forward? is is give into the about you was April This the then the maybe Justin quarter, could how you and trending pretty going terms for being in consistent you and thinking guidance revenue wondering if some are how

Gary Steele

to broadly go more our a that in we And in would remarks, given what we see be Paul, as quarter part prepared cautious impact about we’re being while our of bounce we’ll in noted far. seen Yes, we’ve that the about But April. of less remarks thought did Paul XX% to in guidance. Europe good the overall anything our we’ve that? representing XX% to prepared if more significant relatively revenue, And March. add thus cautious. you we you seen And back that Europe as back more got indicated middle growth we how in was we’ve can a discuss

Paul Auvil

No.

Gary Steele

good. That’s Okay.

Justin Roach

Thank you.

Operator

you. Thank

next Our Securities. Koenig comes ahead. go question Steve from Wedbush Please

Steve Koenig

questions. my Thanks Great. guys. That’s having for Thanks. pretty close. Hi,

of you the called months, you the Maybe maybe interesting, would already be need that better you more – imagine, So bit asked. here. bunch And for environment, and to got what questions of helpful work-from-home piece sales. XX to months, Gary, could in I business terms out, do color to irons emerging let’s think little product out most you’ve and fast get some guys whatever fire play about situation email of be protect, been think a would we you about a my do if in personal this when into ITM, a seeing have could XX forward

forward I’m offering What But to from that’s as how bigger for these out DLP order this kind be there. months, opportunities coming vector. driving rank out? growth? is see to that unified to maybe about do what’s DLP differentiated with going later look be What You’re pops a think wondering out XX presume you? year. fast the interesting you I down as you the up going of most you XX, can for road players you

Gary Steele

paradigm believe home believe that the from and this I I their think is cloud. excited actually about area that do in we’re to of accelerates Yes, working the I accelerate will move demand thing this customers

we will result benefits So see core. as in our a of that,

positive. So that’s a

we’ll So five continue next to the see three to course the benefits of over years. those

is for CASB Second and given our an of well we CASB roll across Threat to say that the of there you’re fully we’re anymore. primary very used network all take integration a drives really is how finally we’re customers And they unified case market a advantage visibility Insider get very view ultimately like positioned solution. plays world DLP much protect the cloud DLP feel where a endpoint it making in significant we role I an investments then on believe bigger out as into to this the I the that strategy would later there a year, to key large, of more capabilities IT point that of from and overall down and set that due the of the think work-from-home corporate way not having demand

think many is really to the accelerate capabilities. adoption all will around Networks did, interesting that us we the think up with these for the growth. I capabilities these And I forced while set work of our long-term of do bring organizations home world, capabilities well zero together this the really believe I for trust lot Meta You as painful acquisition with that pandemic from of that a

painful very world, organizations do in well positioned very position. extremely come the we’re strong is many a out to COVID-XX while of this So around believe for I

Steve Koenig

Gary. Thanks,

Gary Steele

Thanks, Steve.

Operator

Thank you.

Melissa next Our Morgan Franchi comes from from question ahead. Stanley. go Please

Melissa Franchi

to I you like for is into my your income the guidance I’d for for this dig Paul guess full for Thank net Great. question. just year. taking question and

invest just your mentioned development. you plans spending commentary you’re you’re in to that going to the continue So that suggest environment, but macro product reevaluating given your

what full sales that So in marketing to sales spending the capacity means particularly your for related and and I’m wondering for year? intentions

Paul Auvil

Sure. question. That’s great a

the really across were as We we even position recurring a economic whole very that in I have the potential persist the to a strong outcome arc that if rate tough in and problematically for renewal a we fact that year. very given are think in revenue will persist XX% COVID-XX fortunate described generally

us don’t. gives a in strength that our model And so it business many people

investment marketing moderated in I it’s spending while of so the have and say we’ve would obviously obviously only including and we investments, not a And is budgets our highly And on we small and naturally to with sales been people virtual just that amount. fairly margin number our areas, found that sales biggest travelling are see the yet effective. customers as there marketing have have travel broadly a curtailed here in customers. engagements sales

investments the the as year. how spending sales fairly the going we about course of meaningful so we’re continue to we’ve of And a go-forward over to and the resized and basis, on think make in kind business marketing

digital spend of We our format. marketing the to have moved a lot

eases, and user up it we’ve later to the think a the of that’s back Proofpoint position takes that around. around to I market annual us virtually that or the will international it is well XXXX scale is the and fact, person of in quite I net Gary world opposed the time the be whether crisis our us of very U.S. well bit will think ultimately which will as geographies I whether think we In in year as this all set organization traditionally. sales some in done as comes done and build our But which mentioned continue conference the Protect, both as size will

Melissa Franchi

Thank Okay. you.

Operator

Thank you.

question ahead. Erik JMP. from Suppiger go from comes Our Please next

Erik Suppiger

with customers for had COVID-XX. Office And still Office adoption in migrating is XXX. XXX of the last customer want trend just with has a feel Thanks that you quarter of about over taking evolved understanding from record of number talked Office continuing? question. to a little you get like you how XXX? of I a dynamics terms the seen better Have Do pickup

Gary Steele

do. We

went Microsoft Office as crafts We We see another seen their saw There them were the the just and utilizing and adoption weekend. thing gave same the the many XXX. about call XXX moved environment began moved of quickly. quickly, And security, Proofpoint. XXX that seen that. all over very accounts customer trade in over is much around by we’ve happened core we customer, to of had they specifically moved weekend. the they capabilities threat accounts Office broad Office continue hurt lures, COVID – for and we actors we do earlier we’ve And to COVID And a Microsoft to they something that felt of had getting many like example an what moved current smoked on had the I to a customers and

compelling to moving continue do we and to go, we Office take share. XXX very find to continue way see So is that to a

Erik Suppiger

Thank you.

Operator

Thank you.

question Please Our Daniel Bank of Bartus comes next from America. from go ahead.

Daniel Bartus

Hi, guys. Thanks for taking the question.

characterize your for Would more the bit pressure a Thanks. board as products? it discuss Just perspective. product it pronounced is pipeline across wondering of complex a or can maybe some the you from if you discretionary little

Gary Steele

noted archiving one Yes, of on prepared was Proofpoint. engagement a great to that solution move the that have the some you’re pretty big we large opportunities The question. thing incumbent data larger remarks that seeing from to in require datasets that what the

an opportunity build So But newer earlier long-term deals are in market, think more that that relates while we to these to feel very from question, the the as rethink from security I home. desire pipeline indicated seeing we’re nice really particular of architecture some progress in will driven in likely good work it about slowly. as capabilities we those that

kind capabilities we our those CASB, of pipeline builds. nice solution, So see ITM

Paul Auvil

help and home cases something impacted have because might they industries, that. Those to for hunkering But the our down to in this obviously get doing articulated the which worked of – from very look, they’re add the just base. that through thing industries, they out furloughs, is roughly where Yes, XX% the figure in how reflects to when earlier, period. I significant most do you’re we people, only I’d as historical trying enable as Gary be folks buying installed have mentioned people impacted earlier

And a associated deferred developed we with so pipeline had particular, is stage. businesses, that this those in at

around. quite just are might of that what be. good them that the view I lost news is, a and timing projects as in certain So come I’m don’t back will question most cases It’s

Daniel Bartus

you. Thank it. Got

Operator

you. Thank

next Davidson. Please Our Andrew from question from comes Nowinski D.A. go ahead.

Andrew Nowinski

Great. thanks Thank the all COVID and for and you guidance outlook. the color on

you solution sales a longer touched seemed durations preferred those prior you You your like best-in-class don’t incentivize term question on shorter this but land to it contracts. in have since term force you historically and

last shorter bundles? the more on you well we would despite year stronger on your taking as there renewal point once know presumably through this. this two for are you via than get which at were period the added more So deals seeing up a durations, quarter initial you this customers products set I And

Paul Auvil

Yes.

Let me a I’m to things sure few start and has add. Gary then

we’ve with engagement of with year an those we current it’s So is of basis. just the It every oddly products just how speaking per annual we’re great to higher durations and cash one contracts. happier the renew means the customers years in on also price always is our flow, it natural shorter customer we’ve the we point public, duration on user shared more means been eight drive as terms general, yes, in and which

business given an do we average around originally things, build So the and look at model our we duration history. as

only of fact hence shortened and how over that down view the and to is full this changed said, longer flow us hence a I changes duration time, beyond, and on cash take suddenly outlook for and range year. to But our that the duration think were so how and operate if then as the has the the to as and as the that that the And drives flow cash billings business business for then positive a we that size 'XX we lower think need a period persist for term. we measured I longer

Gary Steele

remarks, adoption a noted that products, and PX. did spend of some the And one to – of demand Yes, starting we’re had into as nice thing PX that. see we the more I good comment COVID multiple bundles consolidating as help and to and world, in in see prepared PX, stronger we move the see starting facilitate this we’re we around the bundles

So bundles, we are we about good to that spend adoption broader this where feel driving structure. and bundle really helping our across line product consolidate respect having given customers with

Andrew Nowinski

guys. Thanks, Great.

Operator

Thank comes Gray you. from BTIG. next Powell go The question ahead. Please from

Gray Powell

for pace there Hi. are feeling product about the the on me their And uncertainty attack talk set? you just Maybe Thanks seen and conversations welcoming have for gains share customer in. you specifically volumes given in opportunity of about any how and incremental change those Symantec?

Gary Steele

as to been email really we’ve that base many you the customers. Symantec do. did that from they Broadcom haven’t decide what seen clarity are of strategic. Symantec really Yes, want And outreach there’s as now seen have is we that good incumbent change did decided they aware, of clarify the or But they behavior the

the as side, good on a still And as and it on well as DLP dialogue side the so pretty there’s been we both see opportunity. email significant

Paul Auvil

just with that they’re in behind least being and that those the helps year despite deals standards what the fourth which to change Broadcom If market to quite I will the the course reflect efficacy And vector change the – acquisition of generally have now, would only in caliber, look of displacements certainly to deals any the in be new matters. Yes. example. they’re the by organization and of did there’s calls terms over not thing earlier, clear of opportunities more I there’s or in on, reasonable in of the customer the Symantec larger, And just reflect the for at on drive was change hasn’t would maybe quality, and the working on. And that where anyone is products we sales one drive our that is around, consider The change mentioned I what litany in weekly year. part as if had that if fallen business experienced important I to quarter statement of business second, one it’s a say investment, on have degree been Symantec this we I working the as go and to add-on significant. which some a think prior the of in been there outcome by that either forward it the the the investment having third products through

Gray Powell

it. Got

very Okay. Thank much. you

Operator

you. Thank

Koujalgi Your ahead. Please Guggenheim. comes from next question from go Taz

Taz Koujalgi

my of taking being And for drivers Thanks How in the rate, renewal from the the QX? for part the had your thanks growth in on the all QX question I a growth for question. on guidance. terms QX business and Paul, color duration guide. of

Paul Auvil

Yes.

consistent with the anchors it’s I for second of the quarter two higher for how the year. execution the outcomes characterized for So our guide,

assumes saw a bit in to contracts. a it in So assumes norms. we over that rate duration. continues QX consistent ARR what our of terms it although billed little And our It’s be below retention with historical overall XX%,

Taz Koujalgi

that over And in the was QX 'XX? business new QX growth 'XX add-on and in

Paul Auvil

Yes.

likely assuming built, and fact higher larger, the the for from part, the for So given we’re fact baseline archiving range, more deals most XXXX also, that the about in outlook buying new are not that talked affected that slightly end the this now. new giving as in down deferred complex stuff the are add-on that is we and actually offline industries business we closed we overall what

where that and pleased we’re revenue I’m in world add-on these recurring so isn’t actually of new up And our able put growing. results year-over-year to sort overall the

we’re Now, to in to in baseline the would sales up. current quota it go year-over-year. looking number environment, that capacity, the for growth as assumption company expect it for more we people drive growth obviously the down does it slightly in long-term be continued add flywheel drive but But to the we again,

Taz Koujalgi

Thank you.

Operator

you. Thank

from comes Please from question final Mizuho. Our ahead. go Gregg Moskowitz

Gregg Moskowitz

of March what after from of weeks what looking impact you the as in anymore, much than as if a guys, guess perhaps kind question. on I in come and and the of to to taking this just was Paul, where thank know very duration Good at couple I you in well net were saw the in QX on the to had question able COVID-XX afternoon, of lower but billings last discern you’re and bit you was I quarter? curious you consensus able did changes don’t I for estimate a billings billings guide

Paul Auvil

meaning In this quarter, QX?

Gregg Moskowitz

QX in Meaning exactly.

Paul Auvil

Yes. to attribute hard the It’s impact. specifically

had been add-on we would you’re say, higher, probably would crisis, And been because measurably not trying have billings higher XX% if would obviously hey, higher a so both to duration what they renewals. have on new, have and had COVID-XX been the

factor project a our a pretty at of would of seen how big way all of I to And have that’s weeks March. and have team sales would performed or that last in So itself. March, we the no I little expected, looked the rate up close as better couple deferral the middle

delivered number quarter. the about a results more given either the to assumption foundation billion, model actually didn’t both but the I we in look what’s alternate I’m even have the keep us in retain to of built only deliver and So either with for people challenged the universe we’ve year a year, the in for happening, because have, are much to us what is that Silicon business gives based terms then the investments of what and where sales earlier up But in higher is new conservative have pretty Valley. XX in end people a in over years, for that lower We important a of hiring scenarios at great of economy billings the the of those think setup more can COVID-XX aren’t last X.XX under measurably lot great we company question which great all the then remarkable continue to will we’ll here what the at think in hiring, or assumption billion a end continue employees off with we already hire the first mind marketing. always revenue not dynamics that obviously on you laying that I pleased higher is X.XX the would as assumptions

a teams as take step business a the sets us gives next to where it when continue that world-class pandemic close. build about and so tremendous the for comes finally to our And forward chance think out grow us up we to really we a

Gregg Moskowitz

Very helpful. Thanks, Paul.

Jason Starr

Form minutes just as filed the the is I quick to well to a and as Jason. on measure, the This couple X-K a just non-GAAP ago webcast just so announcement to just to want reconciliation additional an call provides guidance point that wanted just everybody XXXX the that the today. of we out make that

over With for call remarks. to turn Gary the that, I’ll closing

Gary Steele

a to take on thank moment want I today. call the us to everyone Great. joining for

environment, continuing pleased and continue We’re and further we ahead to changing QX we to our rapidly plan to with security safety customers. with a approach cyber very support results. as while look our progress And and people-centric of the our employees to our compliance health

We also on inevitably believe next you this through for as many of call the eye better and and much us forward to Thanks wish to attractive joining the we on our an for you shareholders safe. towards look so Please lay stay we remain we forward positioned this our at call the well months all crisis talking with press weeks today. well to that returns We in ahead. times ahead see drive circuit quarter. and you conference virtually to

Operator

for call. participation. today’s concludes This your Thank you

You may now disconnect.

Proofpoint (PFPT) 8 May 202020 Q1 Earnings call transcript