backlog recap updated solid and FY revenue guidance good had We up then which 'XX, we'll quarter we and $X reflection questions. our of revenue our up Subscription services revenue billion of XX% professional direct $XXX solutions. the XX% million, with first-ever $XXX growth first our challenging The environment, to results, everyone. Chano, end year-over-year. mission-critical up for of growth revenue nature recognized million, XX open up subscription of $X.XX next outside the afternoon, your XX%. the was at quarter and billion of a XX% the it revenue briefly to quarter, the of backlog was QX $XXX that quarter to is U.S. a within be will and we months provide Despite of XX%. year-over-year, was first $X.XX in Thanks, reported going billion, total Subscription million. believe revenue first I'm
continued be rates net retention retention which renewal, over over time with our to retention, QX, the XX% at and XXX%. includes gross of strong upselling In
As business strong customer the of our see and Chano into and both add-on base rapidly, we back during growing our process. mentioned, renewal outside is sales
help to not and operating full margin a quarter bonus quarter GAAP and non-GAAP income $XXX QX FY unprecedented in non-GAAP, our $XX onetime our pay of provided to to the employees April, 'XX call. year cash both support was our Our was during during contemplated we in nonexecutive million first for paid added operating This million, weeks' all in guidance the X non-GAAP To these equivalent a XX.X%. first that employees. times, expenses, our resulting
our payment, top more spend million, been cash was well margin QX our operating of on program year-over-year. have and hiring. XX% $XXX guidance, would bonus operating measured outperformance, above onetime line by travel, driven non-GAAP this noncritical growth flow QX lower delays Excluding XX.X%, some
integrated and to line of XX,XXX. bringing for added we XXX the flexibility we revolving future. During financial credit we a billion a strengthens believe us our total new plan workforce quarter employees, and QX, credit, provides successfully our of $X.X facility closed and greater end at which in lastly, comprised the net a approximately loan the we April, And as term position of roughly
the challenging of pleased the Overall, end been $XXX of results had with As of million our funded. QX, and environment. against term execution a loan we're very
not And to several from effect the updated last into now fronts, guidance. impact reasonably business XX it fiscal yet what on to on days early and these we the we new in are potential over then, business to our since in In on very operating our bookings, the COVID-XX I'll an and we've year. non-GAAP turn started When customers. the today collections our and could takes see The impacts was we few crisis, quantify predict February, provided based outlook including providing cash observed we months. account expenses GAAP have guidance or
so guidance pace be Significant challenging periods, to near-term providing that a however, Built relatively followed QX being wider-than-usual and take into will remains is recovery of that are with we by our slow, expectation guidance in the revised reasonable still uncertainty QX help the into QX. most ranges the improvement account.
wanted make outlook, updated high-level I business our to around a few providing model. comments Before our
not And environment, the even they downturn. better are enterprise are medium and immune weather large believe largest the SMBs we this the to to serve primarily we positioned economic companies market. current First, although than
Second, customers' have workers in reduce volatility that is based on place of from within we number near-term help organizations, model licensing the while our employment measures changes. our
As example, to annually for only are worker decreases counts. our an contracts increases account trued up and in typically
upon minimums, base levels. customers is have limit to reset downside. it X every to which only is contracts X years, base typically these our renewal, which our opportunity contract our addition, that In the have And
our And our incredibly makes to finally, sticky. we which very customers, are strategic products
renewals, as while remain rates and see expect rates we near in through will And counts metric you year. will moderation this likely bankruptcies high. update retention move on result, the we increased a As our in that we in to due to base may worker term, during the reduction retention continue some we
the billion to as of billion are that With lowering a revenue range 'XX our backdrop, in XX% subscription to growth. we $X.XX FY $X.XX be or estimate
in now to We million $XXX We revenue to be 'XX expect in professional QX. growth. services million revenue or million and $XXX million our QX fiscal $XXX to XX% be subscription expect $XXX
customers' partner levels and As healthy be drive primes In and we deployment always, of to ecosystem line and successful balanced our ensure highest continues in priority is goals, these to our approach active. with satisfaction. support customer the a our expect terms Workday partner of to
revenue high growth For mid- in QX, we expect subscription the teens. to backlog
uncertainty changes at net of current around will renewal the potential the business, be durations backlog guidance Given this contract new remainder time. QX and to year, the we during only rates providing
estimate We operating margin Now to approximately be moving to margins. non-GAAP QX XX%.
now up full to percentage from ourselves The margin of operating original is XX.X%. margin year, XX%, view to in from operating quarter plan, improvement even full and margin our even For and we operating approximately the percentage to emerge non-GAAP for our continue prior we expect a of XX than reflects This non-GAAP GAAP position margin of period expectation lower second the invest be our expected XX as an points points by lower expenses as the this the year. stronger versus company.
view been several FY to in of large do leased currently 'XX. unchanged estate FY 'XX 'XX our prior estate XX%. million, tax excluding have $XXX from rate FY remains postponed. million estate, at Our real expect not $XXX We projects further now investments real capital invest during any is owned guidance, non-GAAP down owned real The as
We had receive from in but terms. customers payment existing flow have continue strong cash we received flexible operating and for QX, some to new and requests
are always, retention us. for a relationships priority customer As customer top and
committed by that those providing stronger we the to we're customers time, challenging emerge this that been together. can hit have hardest During flexibility so to pandemic
remain flow we of cease remainder goals, area cash critical this for and guidance fiscal the year. supporting will therefore is Our flexible operating ability to of cash in in these the
and the to customer confident of the model, the with HR sustainable, resiliency support in of shift while In business our plan our innovation applications the long-term to We base fundamental financial long-term continuing drive of and cloud. closing, growth. are to in strength we to agility operate
With the I'll to process. turn that, operator it the begin to over Q&A Operator?
