RSSS - Earnings call transcript Q4 2022 | Research Solutions, Inc.

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Operator

Good afternoon, everyone, and thank you for participating in today's conference call to discuss Research Solutions Financial and Operating Results for its Fiscal Fourth Quarter and Full-Year ended June 30, 2022.

As a reminder, this conference call is being recorded. I would now like to turn the conference over to your host, John Beisler, Investor Relations.

John Beisler

Thank you, Ariel, and good afternoon, everyone. Thank you for joining us today for Research Solutions' fourth quarter and full-year fiscal 2022 earnings call.

me Roy with call the today W. are On Officer Nurthen, Chief President and Officer. Bill Executive Chief Olivier, Financial and After the fourth release announcing fiscal market a its issued closed XXXX. results this afternoon, for the quarter full-year the and Company press release researchsolutions.com. Company's is available The the website on

Bill forward-looking prepared Also for remarks, GAAP materially press non-GAAP and Reform information that more the Company's those Securities for and results remind made we like you the measures, I on the made discussion statements of Act of their measures afternoon. or of management to implied condition. variety measures which included a release useful the operating to We filings issued expressed Actual a those Litigation differ some will is Research reference under today's from that the could SEC begin results financial of believe today Roy call, Solutions' recent would to certain to impact investors. the Before risks you will earnings provide future may in reconciliation factors. XXXX. be with financial Private this A due of detailed and refer

remind Roy? available call would link Olivier. everyone like recorded and to being turn made like now would I the Company's Finally, to over for W. Roy to a via I replay this on website. the call

Roy Olivier

XXXX results. thanks and John, to everyone and joining you, fiscal fourth Thank our for quarter

we recap during specifics year. about of the get into versus that I to Before performance accomplished some I plan, want our results our quickly fiscal

million ARR new for in $X growth over sold we net XXX net FYXXXX, resulting During the first time. of customers

sales of a at CAC, or slightly XX ran costs efficiency XX. over about our acquisition measure of months customer our target Our

Partners us doing. year continue for on also XX-month that CAC Venture on in the approximately very we and defined the an in renewal XXX% guardrails these record to better put measurements at Xx in and basis. high our to XXs value by stand we growing at net which best Renewal Bessemer our the the strong or and should CAC. rates trailing SaaS over as invest plan topline, a indicate Both internal of category remain ran lifetime strong rates Our remains

started value or year our of our influencing will average Both average strategy Score customers moving NPS and year forward. measuring renewal the NPS company Net the also SaaS we score the to XX, delivering We for Promoter the metrics well are our the underscore and rates during the NPS key is score and XXXX above remain XX.

we During which to later Article in of tremendous the fiscal in detail the to including a cover related version better Article to pivoting call. Galaxy and platform, full year, best upgrades good, made released progress our I We strategy, the significant Galaxy. more product will

a References, Galaxy We application also manager improve pro and reference Article standard to a software. the version the both Galaxy that significantly proposition released of of is value users. the Article our platform References will

Article a the call to with M&A. our our more acquire which monitor called vertical many help to assess, several we markets strategy and comments over in Galaxy. This and and search, automates our related to products, through to quarter walk detect, and pass is our with Pharmacovigilance compliance and to I'd is Bill? to in in that help collect, required results Curedatis a financial XXXX regulatory that about the we Bill I'll Finally, and identify serve prevent are with fiscal other cases. adverse effects articles products. wrap and is up fourth countries that process pharmaceutical year-end detail, process manual then to Article today to and with a and a process. are some tool like intended product Galaxy customers product integrated integrates scientific Curedatis, release product is pharmacovigilance new is customers related

William Nurthen

will recap good a was everyone. fourth fiscal X.X% fiscal increase of Thank and $X.X afternoon, Roy, of I Total of million, begin from the our you, a XXXX. the revenue with fourth XXXX. quarter results quarter for

up XX% Our in platform today's million recurring see platform, how new record our sales sequentially a define X% net $X.X XX $X.X XX% deployments. revenue, subscription platform other for in million with annual in recurring we revenue We subscribers. along with of the and fourth year, in and revenue existing bookings ended and bookings continued including year-over-year, quarter primarily low press efforts of churn ARR almost release increased deployments annual reflecting to from last increase net annual by driven non-GAAP revenue in quarter upselling Please and recurring the and company $XXX,XXX use new a terms. incremental

decreased $X.X in XXXX. fourth revenue transaction slightly Our from $X.X to million of million quarter the

customer year-ago note and count what active transaction for upcoming the been fiscal of fiscal think later. XXXX QX XXXX. a while year of quarter more will this will improve third from of for the drop-off the after quarter to a and revenue that our I down, has the The I steep regarding increase I customers. period same slightly a sequential in total fiscal the customers Our XX was X,XXX, due fiscal fiscal through trend net from did means year-over-year the more XX XXXX. corporate talk quarter first primarily the was performance increase about

to gross margin. Turning

to into see mix up continue corporate our margins we gross continue revenue, As move we right. to the platform shift

over was was quarter platform our noted expenses speak to quarter from XX.X%, company's nil basis positive quarter. not point loss in for year adjusted our fourth XXX the year. on have In should the gross EBITDA noted best the in in in repositioning line gross for was from business, positive and to also been in a costs but in target year of the the which quarter. in margins. as platform first technology to our strategy and The prior platforms nearly severance of revenue basis we mix The our EBITDA due partially increase the $X.X due pricing copyright and also in million business. and profit which or to related operating gross margin development This exceeded quarter. basis $XXX,XXX milestone increase Total transaction expenses gross the important million of the press the compared for in is to the a $X.X prior approximately profit XXX,XXX margin related fiscal severance business higher of product the the margin business Net improvement our $XXX,XXX will a EBITDA year-ago year-over-year only includes our result would loss adjusted $XX,XXX addition, Gross is inclusive initiatives, the as business reached lower or transaction transaction release, result increased our XX.X% in undertaken. per quarter primarily higher of It to XXXX quarter our I margin XX%. range improvement that quarter charges is of this $XXX,XXX for would were XXXX. XXXX. quarter to which Adjusted for quarter per was a our increase been later compared we outlook towards margin for fourth in XXXX Gross the compared a of was fiscal some in the our the call. with company quarter ongoing have to of the share without be operating an first XXX XX.X%. low-to-mid the more in shift to recorded the the to points The share $XXX,XXX the loss fiscal about $X.XX for $XXX,XXX, expense in have and them, costs

million the in fiscal to $XX.X to XXXX. XXXX. year fiscal revenue Now turning increased to million X.X% full Total compared $XX.X

did Our half fiscal we as growth year the increase through rate up for X.X% were fiscal of XXXX. the second

$X.X for $X.X revenue for Total compared Our was XX% of platform for XX XX% XXXX fiscal full-year million end XXXX. June a platform as ARR over at revenue million, from of in increase added to year XXXX. Transaction fiscal subscription ARR the XXX $X as decrease deployments $XX.X $X.X million. increased from million million X% were deployments fiscal a or XXX, a fiscal the to year of was year-ago. the net we year-over-year

a that transaction times save number second is business down improve throughout did there our fiscal customers half downward was a only the said, on platform We the software bias have the of year. and of helps as number year unpaid this discussed transactions. for the X% That

at as We platform continue some point customers this to add growth. will business to return that think that we new

Moving to margin. gross

XX.X% For the business from the increase a fiscal XX.X%, XXXX. year. platform full for was margin XXX compared margin basis fiscal to XX.X% in the previous point was Gross gross XXXX

technology and some new items, increase through $XX.X cost. incremental was to having fiscal to did the the due business, we halfway and and XXXX fiscal upgrade to grow was continued to software transaction We cost costs product fiscal The margin to include pricing and has XXXX add XXXX. year. were our increase systems a added the without and if deal G&A initiatives in fiscal our able development lower as higher to greater in costs margin commenced year expenses ours costs, general compared to a and excess slightly. million a XX.X% in development the due such and of fiscal $XX.X unique to great administrative our legal year, also of services and platform gross copyright million be experienced business in new compared XX.X% we systems. expenses. only headcount as been operating business goal CRM transaction this prior to include ERP primarily expenses as Total in The also professional in some It development product core which Gross

share the for for a million $XXX,XXX $X.XX XXXX year. the negative accelerated Adjusted was or $XXX,XXX XXXX year. addition, or In Net stock EBITDA per of charges $XXX,XXX fiscal in share an previous year additional to in $X.XX compensation. prior compared compared to loss the fiscal positive in severance fiscal per $XXX,XXX in totaled fiscal was loss $XXX,XXX full with $X.X

EBITDA year, cash and borrowings started have QX $XXX,XXX Cash We breakeven, in from with with cash cash performance. flow Turning debt adjusted and we line revolving million operations line cash, the the and long-term QX, million so QX equivalents. our of burn or roughly $XX we $X.X balance but sheet There to was year no ended million liabilities. the credit In for and our and under were in cash. this our QX. with outstanding in dipped in improved year no our relatively $XX.X was relatively flow in the quarter fiscal

ahead, first XXXX. of momentum our look we we carry quarter great heading into and full-year As a deal

rate can we year perspective, grow flow positive a same cash gross has, the transactions press overall – This and adjusted will as be as release, well likely will As margins. fiscal we that the to noted platform in revenue to at be believe improve flat. intend growth continue it start for continue to EBITDA and drive From the business our business our the run topline XXXX. to

some we continue we as that serve addition, have out our cost to grow. to start flatten of base In to the made cost changes should

As overall in with the this platform XXXX, to topline we of transaction a of in look towards in be some the topline early first should our seeing quarter. business we the business. are in If the overall growth we year growth addition signs to X% holds, double-digit quarter achieve above growth growth chance fiscal normal

adjusted and In EBITDA GAAP below quarter fiscal levels we and addition, income. be last our QX experienced year positive of operating at in the positive net QX shot resulting XXXX, for a the expenses in will

flows Lastly, on we with respect maybe we our Mexico. the cost in ebbs costs in and some to to there need year our throughout additional and see take fiscal may some operation

is on year hit fiscal I to call and those next the positive noted, more EBITDA XXXX in intent as back details run Roy? provide cash the adjusted second of for year, will accelerate the our now outlook as the we Roy. call. However, I'll half to the seeing flow turn numbers year. our

Roy Olivier

you, About were accelerating the focus described going the we as on Thank Bill. XX business to follows: of First, I growth. months major priorities ago,

support eye an toward going that we it the can to were ensuring review with growth. Second, business

minutes plan our values each provide of and mission take the base Third, to I'd analyst items. and we to to And few expand employees. like roll our and we were were going IR a coverage. out for of base review those fourth, to vision, the an update shareholder and going update and to update

via and are growth accelerating wanted revamped and communicated growth Regarding acquisitions. organically result accelerate be we to that of our to previously enhancing the growth sales was organic That force product topline intended strategy. a

in improved and growth process million $X teams. deployments in our new XXX result, net systems sales a process and did the other over net As and our related resulted renewal prospecting we force, platform upsell and CRM associated expand and FYXXXX both records. our upgraded in This with ARR

than XX% rate the was That the declining platform versus Our FYXXXX. on previous it for for growth larger slightly years. a better four said, year XX% base did remain

On new side, release will called better seek Galaxy. and Article we good, reference released in delivered pharmacovigilance well as a versions in Most pivoted these in and renewal and QX and to version to application product. a of deployments rates manager References of product We of line updates and released the of we were big and continue time. a up QX, Pro two We FYXXXX shortly record one we FYXXXX. us References best created

major not disappointing. that now strategic that hindsight, come financial not contributor say that results Regarding that been is it time. more have valuation half purchase a were in career. anything in have my And involved in are good we've and I that personally acquisitions, during we expectations been thing we met our In likely in, FYXXXX, will of I conversations first seen involved a objectives. anything did down finding and of the the valuations ever

soon. found that confident in news opportunities will area we some have I'm some and have We this exciting

that providing helping Regarding reviewing structure work improve very provides system the unsupported our automation us onboarded a who We've In upgraded our and to version of an scalability, Head business for has the with monitor customers. some done. in we from more half an is engagement. current a options our our towards employee eye much first to HR addition and organization version needed much year, and accounting more been old

and this completing will much FYXXXX, and to we be and vision communicating CRM customer all are helpful the effectively of currently future. and include customers, We began will in and more are engagement. on us place one now mission, our review we a which rates measuring will addition automation, believe which up to builds in and our in for an in a foundation We upsells consolidation project values and did employee working show help believe that efficient and data renewal our update them now improving

can't on who Cooperman, turnover, marketing several Member, our the we we a culture. have While voluntary relevant new always and governance space and also with Board LexisNexis. to did improve, directly things. is low Elsevier We in In we which benefits compensation corporate very and brought a our extensive testament experience Barbara area, has

The In did other the thing changed executives we on is based quarter past, stock the way compensated. company each executives earn results. the are

replaced have over of increments and We at bonus $X plan. $X.XX that to building large per I $X. executives of share up The yours with this a level position value. believe a specific this top goes management equity aligns and grant one that starts large vesting interest shareholder time in are increasing versus long-term discontinued schedule plan, vests we at providing prices. In plan a have it with share irrespective

filings And we call. additional active. last quarter more the can of plan our will to provide on drive shareholder and discussed updating additionally, on much finally, plan we proxy our X-K are details You we And more our IR first one recent area, structure. value. for reviewing this more XXXX In fiscal year's earnings review and details

the of approximately per year first conference in the We more active second half to roadshow or year half the the compared non-deal one completing are are of much and month.

on stock price, ROTH in will I do investors. in to do evaluate current coverage, have ways. two additional currently am newsletter have and We Maxim. disappointed continue coverage our but two our us We analysts stock and covering including pursue focused individual

versus a one I we for XX% ago, Micro-Cap which iShares is the benchmark. were think ETF, down down XX% as good First, week of

For that the never underperform like record, I benchmarks think to I are important.

publicly is to comparisons the Research Second, down median focused Equity vertically XX% companies. X.X overall. at value is Group at XXX on median are year-to-date SaaS are Vertically at Those trading trading to SaaS about to the relevant Index also and the look Software SaaS down and index companies, down are TTM SaaS I TTM index comprises enterprise small The software XX% most XX%. companies the that focused revenue. entire X.Xx traded companies a revenue basis Solutions value enterprise

We you are transaction value X.X, business. trading at if the conservatively

complete I reach over the that turn for update With November. more like Operator? plan the I will We retail the IR investors work and more scale look Shareholder issue will back build detail as call invest on review to in our innovative for a acquisition Micro-Cap in I'd Meeting our to operator said, in continue potential stocks, out to upcoming to including ways topline. that, FYXXXX That discuss to small this we plan Q&A. think itself investors. strategic operating Annual and the in will

Operator

you. Thank

question We will go session. the question-and-answer ahead. Our now first [Operator Instructions] begin –

Roy Olivier

me I wait? do via three now Would have email. I'm or sorry. to questions like you that do

Operator

By all means.

Roy Olivier

lot is lower. several far in are have about The That repricing] is deployments sales by the that signed Customers that focus of customers we're ASP I lower. have on confused from QX [or largest initiatives that QX is a as our – platform reminder, by now customers. lot and seats, for ASP SMB at doing true. some the a and end below our that the influenced ASP seen a cases, as And of hundred where is for first question up marketing heavily XXX perspective ASP XXXX? a a ASP hundreds quarter is the comments

X,XXX expect between space versus XX,XXX. So ASP is and in corporate our lower sales see SMB to number, the which XX,XXX to we X,XXX new can ASPs on

I second question The got…

William Nurthen

Roy?

Roy Olivier

Yes.

William Nurthen

are we I platform, was respect that – as to If improve there. on a the lot real doing we're with some I initiatives the did initiatives of pricing referencing that to pricing transaction things can side we what to the business on while margins add do of too, just quickly

Roy Olivier

platforms? Second question about deferred talk turn seasonality that got in deferred Is nice Can in you was expected revenue. over mostly in you. please I growth I'll to this Bill revenue?

William Nurthen

bookings obviously do Yes. has record upfront an annual that payment. It the with something there's build, a for fourth definitely quarter, also platform, and with having seasonality to quarter everything the we

we typically out deferred bills we seasonality strong drive will QX, the up. of that year. quarters that balance drop we of in revenue from a Typically as a quarter, so you standpoint, revenue lot sort see have half put strongest back the of the do And when in a deferred have our annual

would come I deferred the so revenue And the of expect QX. by balance to down end

Roy Olivier

don't we then Why folks Okay. one, third have but a some chance. of open up I questions and it for the we'll a give

Operator

Certainly.

Klee Our Maxim Allen of Please first go ahead. comes from Group. question

Allen Klee

I you're how the afternoon. when then about about think material? you to Good of with the expectations ramp planning – performed could this you talk how how – long product, how has wanted and to secondly, launch about up Scholar that? to thinking you. become on – thoughts little could this your your what Galaxy is take And you're Thank Curedatis, potentially your about a how new and

Roy Olivier

been Article has questions. harder in sell I In terms Scholar, definitely Galaxy Good is. disappointing to Yes. other take words, Galaxy think, – Article of it's customer when rate. we're

jump it do pretty they take a once revenue. However, in produces nice it, transactional

will transaction the and going into a high and revenues our some it's pricing single a we splitting version So split we to be split we will to version value sales positive But that freemium and on in by we're hope we're strategy and reevaluating it to the that into paid product. coming whether and paid-only. pay can get traction willing Galaxy two going product, the ARPU We're to well the the a into it's versions. or that are get version, Article drive likely it a which actually it now of delivers premium for. freemium below the to to Right months, and not will have see on continue product libraries

will in on second your October. launch it of terms In question Curedatis,

do sales the thousand expect it of Galaxy a but budgeted its to conservatively a the on in revenue. we result FYXXXX bit what have little Scholar, surprise in We – is hundred for generate very few – a as Article

believe product. SAM, for of a which call, $XXX you You the last asked TAM about in TAM SAM the million tell $XXX in is and me, worldwide. million. an as I the industry The Europe, the I has about U.S. serviceable will pharmacovigilance now market we and that serve, that

continue However first. which are underlined, it to capital we – we MVP, product, over to is successful see really but want to be release minimum the all is this releasing however, the that big, one and a viable will letters time, add the we

going or So call the or this specifically changes the whatever It But launch tens applicability the for as we from you millions. want we is already market to traction regulations. it, expand meets to vertical and think we're with adjusted, see to it product, addressable the MVP if perspective. make country TAM in U.S. service the a the its we Europe of requirements,

we're add it's we'll of Galaxy, So on product and to capability integrate of Article it, devices forecasts other industries FYXXXX. plan outside Go so medical being does in in and that's we're outside ahead. or bullish pharmaceutical that an but operating terms the conservative of with very applicable exciting

question. Next

Allen Klee

talking quarter, something a I and were quarter, little apologize, difference then bit I X%, a That's great. first when and those the about numbers? Yes. said you fiscal also follow-up said but you I were first that two had double-digit. missed talked guidance you about What I just was about you – question Could something, for – between

William Nurthen

potentially to if so up that other just foreseeing up]. with some the Roy, you right we've of That's words, we cut I XX%. will are early [Sorry, seen returns just far, think the range the Yes. range. be topline In somewhere over the we growth outcomes That's of X%, now.

Allen Klee

and year-over-year segment, the When type it you the say platform I'll in in at other back percentage get And you grow are rate, queue can rate. same question, let or to same Is last you revenues think rates? absolute people. my Great. then the talking

Roy Olivier

Percentage.

William Nurthen

Yes.

Allen Klee

Percentage.

on great. the Thank so you Congrats quarter. much. Okay,

Operator

ROTH of from Please ahead. Baldry Richard Our Capital. next question comes go

Richard Baldry

Thanks.

you've Whether the itself, pharmacovigilance sales for be? buyer bit model the dealt if there? warrant sales that it with but decision its returns you the that? Thanks. on could you the of just flesh some just before. early the or talk go-to-market sort not Whether have product, On similar is that? out own How someone – positive will can about standalone making – end Would a purchasing company the that buyer, the the person team,

Roy Olivier

Yes.

I in questions. size are maker. both The is that mean would company what all decision same regulatory think buyer there and be the of buyer those some great business is some to, affairs by capability And that the cases I products. selling the we're of depending that the on

However, a also separate of have we percentage is] customer a buyer. it pretty [where good our base,

platform applicable However, the almost customers to pretty today. today a on customer big percentage the it platform every or of is that's

So an of or the typically product. introduce a that that's for us a business librarian to we least typically research responsible would pharmacovigilance side executive at at regulatory that certainly can look affairs know the the folks

our through it sales force. selling on today planning current are We

the need we to evaluate we a traction we sales hope I dedicated for bring want However, we'll on product. get that whether then if to think that see, force to

that – companies now process. are partners development process of Galaxy us through these it to subscription. Many the through are several had their have companies We have that the development going own Article and to helped those add that purchasing partly

don't also about but to optimistic we're I overcommit. it, So want

Richard Baldry

more good still is? in Or that you're Okay. talk Is result sort there severance efforts? more repositioning of And about think sort stance a the any bit could that sort How of long-term as you a more thinking you underway pretty exit in you like do feel you year? strategic the could repositioning XXXX? throughout little complete of

Roy Olivier

any ahead think the Mexico, intent do said, I was do was the to And we're end strategic anymore. to and expenses also than – have will and at in and requirements least whatever, and of are the what even we year. a if of we many That generous this that to do or at shift year ones are severance change not and there States some more our it much have we United go is, the we'll certainly intent because not countries severance make which in the once surprising need once our it like Well, impact additional feel me, in Europe. but to communicate

Richard Baldry

in M&A of know maybe at you would talk past, you to so with Solutions, you be how you've maybe funding, what comfortable at got your Research firm, are your I terms inquisitive infrastructure were this about prior the under in down sort to And backdrop of approach cash when sheet, think to it acquired of to components are? entities like balance M&A Just a for deals? to you drawing give on important about the might look how sort how what equity those or paying newly Thanks. think us could comes

Roy Olivier

In Yes. deals. a ran and able some fairly were I debt. so able margin, Bill assignment, last we our do to We with portion would EBITDA to significant do some of deal a

use stock. Xx some new organization, combined occasionally use cash the X.Xx, borrow EBITDA and typically would we and then of So

use and do often we Although seller didn't that very also notes.

here, start stock, about I would amount when $X at share. a will I we say, of under we're playbook similar debt away crazy a expect until especially use EBITDA, generating some we although material not So cannot I'm giving

seller not to the deal We'll a significant a open to to producing cash notes. some percentage of done. of the sheet I'm balance use of we open going portion cash forward, it. on going be get using all it will So to I'm but because use we're

Richard Baldry

we getting? keep sales has win in XXXX been you're you of capacity you a strong. the curious growth be this quota my dollar, win talk how Sort up fiscal rates in attainment forward? of look sort ARR from about would rates have – expand or the having to as you've been rate your pretty and Could Talk last high question. about Then about

Roy Olivier

correct been They every, their Yes. new, believe Last our new And a year, quota I people I hit had I upsell in believe most had of ramp. believe – as for and here person that their had can me, we hunter renewal Bill, hit weren't numbers we while. well.

So their a To broader problem. question, we answer don't have quotas. they your are capacity hitting

XX would to similar other we top appointments funnel of closed. close rate per filling salesperson. We those typically that we problem. now, more can about And the we at to is the have which In a continue to five close probably third those words, a a expect of per week book have

it's we that we So not team part existing us, And can filling team. the for the B then is comfortable the feel as top that need of to. capacity the expand funnel, existing of obviously we'll with

Richard Baldry

my questions Great. on Thanks taking for congrats a quarter. good and

Roy Olivier

and one-time didn't Thanks. or to the one-time the to are us those. severance, questions, related other aforementioned that? development in get one to We other to to related I them of yes. some costs don't via your a are add out costs Do XXX is we was came accounting third is launched. to of used And communicated finished There FYXXXX Bill, answer where G&A? upgrade actually other But related And costs email There in you in Curedatis, the those anything define one-time want help R&D we've there think things. some party you rolling that CRM there defined few to externally. is these than other the is related various project, costs The and upgrades? in one decline? R&D

William Nurthen

No.

some quarter. internal was that been particular you development we've the the things. for some impacting of outsourced and about was touched It this system also that think Curedatis I talking on development key

Roy Olivier

Okay.

Next question, operator?

Operator

Maxim Our next is Klee ahead. from a of follow-up question go Allen Please Group.

Allen Klee

you. Thank Yes.

quarters seasonality revenue, in transaction business? that us typically the you can is there remind in For any

Roy Olivier

going can is platform external – that perspective. to for some that events two, to typically comment the that do started, everybody exact with so was slowest Ukraine QX seasonality, is is attention big war comment obviously then over what impact but stopped anything And also to just quarter there doing will want the business, transaction to, probably there. had there's but Bill Bill, The on a seasonality Like impact there's numbers, which or have you Bill factors. researchers, some on don't a our other the from research give there in paid COVID that when question? week you on do seasonality. a

William Nurthen

transaction mentioned, be some quarter. QX lowest things But and stable. our see that do always the typically and year the given of Roy is that for impact typically Typically, QX our Yes. potentially they quarters can are best transactions quarter. as QX relatively fiscal we

nice jump QX. we typically flattening a So out then see in in QX down and a to

I so again move we fiscal into that likely seasonality hold would will expect as year. And this

Allen Klee

trying on was just didn't renew. do estimates. check you catch said for what how a like last sanity you. I – My Thank And I to many people

come that think same on I but with four kept level you I something and XX% your assume because said ARR high what add, is it, for took revenue, You half that know quarter's or I took you about this if I or XX%. then you year, recognized a trying penetration if reduce at and I think half that to that was it if I incremental of for top of up of as it lose. have revenue of ARR to quarters then revenue, or was you'd XX% for quarterly next and of recognized if that – it number you I I don't customers

your So I think of to was reasonable is way if about wondering a kind outlook. this

Roy Olivier

do to take you Bill, that? want

William Nurthen

Yes.

think that, in that you you'd do to I those would out. do yes, churn but that factor have could

way growth are forward under just easier was the said at the rate? this XX% is revenue at quarter, sort to rate call our and revenue on we the growing XX%. So think growth has end of ARR ARR growing kind think of the typically been then rate and forward the is, what recognized what I of it about we

would little the on that that something the is a is rate And the bias rate. ARR continue the we seeing that's view and through but that to forward continue what year rate the recognized we've what so in then we of bit I realizing, would post sort sort are is a to growth been is growth which a monitor I as upwards as XX%, of

Allen Klee

Thank Great. much. so you

Operator

There the like to are back turn would over I currently further no the Roy from conference phone lines. questions to Olivier.

Roy Olivier

thanks call and joining for Thank you, on us our everyone today.

LD the for And We you quarter Main November XXXX first a more speaking our to LD Micro. we Event will please this results. in fiscal discuss We great contact information to look be you forward have attending hope event, October. Micro day. to in about And

Operator

This concludes conference today's call.

have disconnect for may and You Thank day. lines. participating a you your pleasant

Research Solutions (RSSS) 23 Sep 222022 Q4 Earnings call transcript