TTGT - Earnings call transcript Q2 2024

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Good afternoon. Thank you for attending today's TechTarget Reports Second Quarter 2024 Conference Call and Webcast. My name is Jaylen, I'll be moderator for today.

[Operator Instructions]

to conference like host, to now Rennick. Charlie would pass over the our I proceed. may you Charlie,

Charles Rennick

Thank good Executive Jaylen, Noreck, today our you, and Executive our are us speakers Chief Greg here Chief joining Financial Strakosch, and our Officer; Chairman; Officer. Cotoia, afternoon, Mike Dan everyone. The

Greg, call process. to would remind our everyone Before turning we of release the on earnings over to like the call

we advance furnished posted our with announced, shareholder an provide update of in the business our website an previously the call, As on you in our of letter Investor it order on section X-K. to Relations on and

this find You call available made the www.sec.gov. also charge corresponding will at Investor the SEC's on of our Relations these can of SEC A free as of website. conference materials at well webcast be at website as section the replay a

introductory which uncertainties, on not and Following may forward-looking and are questions. today statements these made remarks, forecast team to including and future from available are the management that factual, answer of statements. materially Greg's statements. subject are will These Any considered not forward-looking during forward-looking our TechTarget differ assumptions Actual the by guarantees be are to be performance. from based our results statements, may risks Q&A,

statements of arise conference except TechTarget These a law. most order reflect or any XX-K. by recent in update this this risks statements discussed on to call, revise only call, and and may that forward-looking date section no undertakes XX-Q of Risk the required to obligation of as number events and Factors our statements after Forward-looking in periodic involve uncertainties, as including the those Form of reports speak

to certain I'll with measures these measures also may certain turn most to extent call over of to efforts, accompanies letter. financial with accordance we And available that, Finally, Greg. shareholder GAAP. our comparable unreasonable non-GAAP measures A GAAP reconciliation the the without not prepared to of financial in the refer

Greg Strakosch

Great. Charlie. you, Thank

of We report sequentially revenue are to exceeding our pleased strong and quarter and XX% for target X% year-over-year. the XXXX, with second performance increasing

noted on international As customers about pressure discretionary election. layoffs interest letter, our continue rates, surrounding ongoing their vendors first in to and cautious technology cost-cutting measures. high in This additional budget shareholder the upcoming reductions, this implemented the inflation, we quarter be continued tension trend second expense and other presidential as in quarter

companies in which incentivize for In rate our and marketing. environment, turn, revenue low technology sales in and experience, invest to vendors investors interest reward growth technology

meaningful the a in a for position value and across make progress will customers, making Informa confident growing market Tech's employees. with and businesses drive fragmented TechTarget yet business continued to our are are performance digital and that leading shareholders, partners comprehensive today as continue our We and investments our and we combination solution

will I open the now call to questions.

Operator

question Patterson Justin from company, [Operator with the Instructions] Our first comes KeyBanc.

Justin Patterson

secondarily, could macro you Could changed elaborate some see QX. going opportunity the there? you're around And monitor How saw the TechTarget you you to on how on starting environment market also the over course you're then trends first the has just talk QX. versus of the and in to of what more market side,

Michael Cotoia

Great.

Mike. is this Justin,

to a shareholder inflation, of as continued interest macro the say very quarters and being X QX, this catalyst mentioned tensions QX over Greg trends, it's similar experienced an have market. presidential explode letter, election. in terms of terms None versus is really then out In the last we international I'd in really help we've and of the rates upcoming what high,

strategy customers positioning to across product proposition all value can in to and product and development, that a the the way from of brand our portfolio, done our talents, we're intent. demand their I offerings In terms benefit to terms really content of to engage how entire this, job creation, how product navigating and strategy we've really our a we their think content, go-to-market good

downturn. have customer We a a to walk a lot of avenues into during even different

a there's be other XYZ, an ready customer drive do business. value through not to might when opportunity the to areas So of

So it's to pretty I think QX consistent from QX.

engine respective terms of that the the in interest one are real-time the of our currently market include within that after, the them and types provide accounts that generating was market and markets And can monitor, competitive will the serve that clients segments, so provides the insights. buying dynamics go that of in in they really most helps those their We and technologies. topics actively that our that priority to markets teams researching releases understand they topics then are

that and how We content top-performing can resonates. show

So deliver with their as go-to-market top helps top where focus top really customers on talents, and see, can insights our normalize of customers market you that the can that the prospects, TechTarget strategy.

Operator

Our Reilly next comes the question from company, with Needham. Joshua

Joshua Reilly

macro environment. Once in challenging job pretty again, nice a

a look at of you've stability customers too new their customers over positions? their last fragmentation of with your a across uncertainty you kind there guys new employees into is seeing in months. and process? these go-to-market displaced if your within ability bring XX the these you much you back lot still some Are to potential and Or land positions getting of champions any layoffs that been of at seen So lot the have customers,

Michael Cotoia

Josh, impacted by that have we layoffs. see been customers

typically guess going we've in, proposition. I but TechTarget. don't they top value date, to of dial first when far for that thing phone seen our a to on them make that's that so they want land They bring they good the the say in to And we're call, call. other And when I'm happens, understand us we're positions. company And

new us get in. positions, seeing We've seen them we them them and us in So land now, impacted. right bring we're call then see and

last So that over changed few quarters. the really hasn't

Joshua Reilly

the just around of the time Got to Any of it. know describing the couple some to assets review transaction? but updated as then Tech, had I more close thoughts -- to at maybe Day, timeline And September going you've things. be this you're the you Informa Analyst as more a

then or confidence around the And deal updated any secondarily, closes? combined synergies and growth when thoughts the trajectory

Michael Cotoia

yes, on continue I'd the work the in timeframe. got done scheduled sides. going on to good we've back What combination. we of morning people, track. We've to in combination, the say did operating problem. understand And an the model We're the the progress Informa our of June don't on assets know they investor I of S-X proposed on XX. September lot no Yes, both forward. business, a end at diligence We've that asset, file the We how Tech, the make in

model. and executive executive the So X. executive we proposed We've minus team, we expanded call X, what at laid out looked operating a minus

on made sure right we ready for that we've the moves the So all which to to be close, expect make time. we're

the over those still $XX in synergies, $XX of say couple feel million of terms on revenue expense here, what the still we very we in very years confident million feel the numbers numbers. and and In the we It was confident stated. in of that course we close, post

Operator

next Bruce Goldfarb the company, Street question comes Our with Lake from Capital Markets.

Bruce Goldfarb

on on North international congratulations your versus Can seeing trends? are What you demand Michael, Greg, America? you comment results.

Michael Cotoia

Yes.

when to had back navigating be bottom, see We in right terms to -- be you little bottom Bruce, today we we earnings we've -- go to the feel we're now. pretty our we year consistent, ago through I navigating you call, of hit last if going of we're think August, going the that. said a been bit a that

I think see also the you internationally. pretty across in board. consistent you that's the U.S., What see

lot companies, might have a You a in tougher where to manage it be in might everything centralized of some America to the are then budget to trying they but some it access want to pinched a might see because out little centralize areas manner. North regions fields, and respective some of organizations that larger internationally, allocate the their

see some it's in A the companies but we Again, of coming and of EMEA So well what see projects of to in I global the we across APAC United going some we're see think those the are APAC, there lot consolidation U.S., States, you regions, consistent to APAC. fairly of are based back as as the here headquarters. the across -- the board. centralization

Bruce Goldfarb

Great. second -- see year, are there long-term are is of any terms more you seasonal seeing signs QX of are of a -- And half we'll you any contracts? budget seeing you the the seeing and probability then in trends, flush

Michael Cotoia

you we see that business, What at it can trends signs good is was tell Yes. to we us of the look I at seasonality to side. see when -- positive the

our QX was, when So revenue then the of happen that that QX, off when we sequentially something to sign. up made historically, from year-over-year QX February back laid QX. to -- QX in good a the had jump, that quarter, X% the May QX to in a we QX budget, that's had from predicted revenue, we and slightly lowest We out of increase and again, grew QX but And see QX being ramp we XX%.

seen in roughly And $XX you like throughout million was the seasonality, back the so we quarter. pretty in historical recall, are business. So coming that the $XX didn't year. based far, flat It on we what that million as size terms we've last see the timelines It's of every to quarter.

we'll a QX. to predict sign. see So it want in good I what don't is

is and rates, technology of companies interest in last in and what to have years, rate. And get cut see investments we're seen we cut, that turn technology X.X seen have the our ROI. is customers But we really into seeing triggers international the companies And R&D growth or reward we that interest with What typically, a one seen around marketing. we've upcome R&D. more Again, we've has today when of of lot our on historically inflation, and tensions a in so see interest investors catalysts sales rates the high you presidency. invest one

Bruce Goldfarb

of close? terms invest the do And Great. combination Informa in expect map, to post Tech after then road where product you

Michael Cotoia

change I'll TechTarget really now date shouldn't we're Well, much. you what because these tell investing it for

As announced you intent saw in our fees. QX, account we

insights offering again, it's a stream that, first-party has our engine-based priority account of continuous into a that and CRM ABM systems. So

is to ABM this valuable workflows. do our plugs segmentation lot and purchase can We in that site into really clients it's and creation, identify, but programmatic social and accounts current convert separate power they engage So sellers. advertising. can a clients' prioritization, of And subscription for target

We right also joint for a insight TechTarget with insights. value a direct have With platform Xsense, offerings. easily in It as leverage the It account joint to AI revenue integration announced customers. through our revenue AI of first-party phase both actually partnership customers. our success a platform needs our for drives lot Xsense

ABM expect to the around can we're how platforms a platform see into engine offerings a all clients this Again, road is solution the map is all of to to insights. so for priority and offshoots manage. Previous to what create consolidate have. and up Justin seeing you platforms that monitor and market integrations So on types of many other more organizations brought that operate unified

really our So we converts as going customers that together bring That's the that and we and on their consistent, advise investments their and that entire demand across across with revenue strategy marketing and to those demand to R&D go-to-market to sure to we've talked on for to all value about, go-to-market. and to intelligence made. a be solutions customers to our accelerate help platform can positioning product the opportunities very brand and that unified their making our way we for customers you our drive the leverage continue bring have from and and content of intent strategy plan

Operator

Our Shah with the company, Deutsche Bank. from next comes Bhavin question

Bhavin Shah

third-party benefit from past, to kind guys the the in cookies. First you the of just talked one, of opportunity replication about

that have you of to anything Do happening kind kind messaging longer like Now no group or forward? adjust seems you kind as go-to-market of go side. the from of it's

Michael Cotoia

Yes. Bhavin, question. good

years. been We market the value educated all, third has years, of versus got of party. several last couple over first First the party of

sort across go-to if really regulators really States. impact. hard doing marketers the the a to to do what the quality and But over sorts the the clear drive permission-based years, audience been first-party with rock but and -- they and of anything, of conversations the on are of So that last what in across Google across EU caught X is a and United between they've terms have place with insights

doing options that So when they're you they on of tracked your go to in not whether to and have going the have come going with them, you, I it don't the to Google this right but folks I cookies the a they're in to in-between on be to about to and that No have lot present of in on want front we're get going very read that. those tracked I'm where sort click transparent of that option of research, while know

couple I audiences. from years going little of the think So on and things may permission-based the last of the but data we've value and bit, actually a first-party in benefited of change education, what's market

Bhavin Shah

That's super XXXX in longer guys that that should that upon the should -- Or that? I valid? didn't kind noted should kind And letter -- quick follow-up. shareholder rely just of we is helpful. of you guidance, a discuss we no

Michael Cotoia

closing that Well, forward. early an Yes. going are to is going going we're with going really QX. to Therefore, the we it's in very transaction actual number be Informa confident be Tech not be to that

focus Our going be coming the moving go to is on companies in combined QX forward forward. together

So we that. communicated numbers on want thought that, we sure that today. to We just the make was in and on want confusion don't to our cause focused market QX

Operator

your other and questions time day. enjoy are there participation in At no you this rest Thank of your registered for the queue. the

TechTarget (TTGT) 8 Aug 242024 Q2 Earnings call transcript