LLNW - Earnings call transcript Q3 2017

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Operator

Good day, ladies and gentlemen. Welcome to the Limelight Networks' 2017 Third Quarter Financial Results Conference Call. [Operator Instructions]. Please note, this event is being recorded. I will now turn the call over to Dan Boncel, Limelight's Chief Accounting Officer. ahead. go Please

Daniel Boncel

archived thank Quarter and is joining Limelight will the recorded XX for Good days. Financial you Results Third be and XXXX, XXXX October call our Conference Networks' website on approximately afternoon, XX, for on Call. being This

by the call. me everyone We'd remind safe like this start Let we statements will on harbor. to that be quickly covering making forward-looking

an beyond, of our all announcements. of statements performance. materially our and for that historical statements fact, results our by indication are strictly outlook strategies such those statements, statements from our Forward-looking XXXX Actual future and and should not and priorities, expectations business as differ operational reported our as be are not contemplated forward-looking results plans, could functionality feature considered

please this risk Form as on report are annual to in For factors required most including any statements, disclaim on to on information by update filings, date, to more as the any obligation statements except discussed call our forward-looking forward-looking information, of periodic our today's us and recent we available law. based XX-K. The refer

Chief me Officer. call on Bob our are our Executive Joining Officer; Malhotra, Sajid today Chief and Lento, the Financial

session at from will available the now Lento. end the Bob during We and call of prepared turn be remarks Sajid. to the Q&A Bob like would I over to

Robert Lento

first our strong to was another yet very as of this continued I'm say Dan, and good from pleased afternoon. Thanks, great quarter XXXX. momentum half

third record our basis revenue was X up points GAAP XXX the year-ago which In for Revenue seasonally quarter for gross been quarters up us, new over which high the has low a fact, ever, is particularly it was was third in quarter impressive highest the as of set over one years. strongest quarter. was for our us. margin, quarterly and XX% historically

EBITDA year-ago quarter. our XX% XXX% earnings was and adjusted non-GAAP Our increased up year-over-year from the

ever have best remainder financial which achieve public year We of and performance, this results, built seen believe which has company. are have well extremely the that future we are several us proud of for these for we of to as goals positioned We the a foundation beyond. financial our solid

to continue third in quarter. customer improved the evidence satisfaction We of see

churn third lowest the customer since XXXX in started in of this quarter metric Our the XXXX. was tracking we

completed that We benchmark also customer a Score, Net for is up recently and customer a was satisfaction, latest points our XX survey announced which solid last our year. since Promoter

incident with that It results These Traffic an going tickets joined increased forward. our by Customer world when that was I is the believe will receiving quarter indication We're while I'm of also X XX-point in has an volume XXXX. Our the in we growth are surveys, and totaling survey strategy line improvement the up the that around in last particularly improving. during continue excellent XXXX. quarter improved consecutive highest we important NPS. NPS pleased the its satisfaction each each was this to impressive experienced very increased is us. our our of first of turnaround survey tenet customer geographic primary region since plan satisfaction satisfaction were drive company top satisfaction our other seeing working, to customer-focused customer indications in is XX% XXXX, third the down XX%. customer ever

network as to quality the We traffic continues are us more improve. continue performance pleased that to customers with our and trust of

sustainable. we a least to level pleased in was pride plan range be well continues trends we I'm Limelight at continue of our is believe positive turnaround improved as very levels satisfaction. since this were in grow. at this years that seeing the tenet We're started employee to and lowest area our important X tracking attrition Another employee as in in that metric

capacity. network make to continue our global During we the third quarter, progress good expanding on

our examples in in added Brazil Europe. Some capacity several Canada, and include locations recently

We also opportunity throughout an feedback adding capacity Based Africa, South even have growth. from we on anticipate Asia, for plans additional Middle more represent Southeast geographic Europe. important expansions and East, our for expansion customers, these

also to our through continue globally software engineering. capacity expand We

models beginning in of come our indicate XXXX, the software increase capacity since over Our of that from has half enhancements. capacity

during improved our period, this capacity Additionally, over XX%. server per by

we We rollout are do. further end completing believe still these believe performance, through capacity of and improve expand trends higher-quality system, there providing we providing network by by our throughput anticipate delivery video both very this for and rebuffer for lower is encouraged new can we faster downloads the more of the we quarter, operating and By which software by will rates.

potential We are efficiencies well of XXXX. to for network scheduled as customers and enhancements software other significant impact excited as upcoming throughout positive our the this release about development

Moving on to recent events.

the experiences quarter, digital September, research to that the third announced a few we like At product XXXX in we developments related performance, During consistency and to IBC quality for improved I'd announced and of share. our video services that further customers. delivery enhancements

the video include capabilities live service and of video a New Limelight streaming, that DRM support latency new standard integrated delivery reduces Acceleration, streaming video for Video streaming low-latency formats.

and mission-critical. services. to viewer in our survey, deploy of X global online state more hours Last research video alternative According We who the opportunities to were good of viewing XX% video and in and is connectivity are for the each mentioned scale, our in the now one report, continue to customers increased we QX surveys interest. seeing and in potential global We're large than where makes our the is consumer average latency we're explores online of watches quite and online video-on-demand computing applications private week series that good with looking semiannual quarter the a network though behaviors. a bit Edge of video latest global perceptions there news has more us or research compute, finding Edge leadership subscribes

network X,XXX networks. high-performance ISP high-capacity, to Our connectivity has almost

source onboarded newer a distributed business suited that data. a initiatives Additionally, our well and for need we to the and already distributed customers, the pipeline. in closer Edge object are compute We've to few have storage, others analytics have capabilities computing

efforts We expect fourth XXXX to yield updates believe revenue we can these meaningful in and in beyond. have more the and quarter,

this ahead, these remain satisfaction of margin managing cost of remainder to very We we well pricing the our We we customers improving on while creating expansion we past highest trend approach and our quality changes encouraged goal the are XXXX this momentum summary, quarter, life, by and position priorities, continue employer is our positioned our across in history of profitable believe that on generating Customer Looking years. for trends we've disciplined are great strategic in cash demand growth as healthy, for market our the solid to long-term the revenue as in beyond, over few was customer another I'm and priorities sustainable base. our the given our on and one public and improve. made company. a the our revenue, over are expect customer and focus the focused best results delivering industry. continues of growing will positive past I as to to these quarters continue. foundational choice. remain We In believe few at

that performance through the of our our working. that first discipline demonstrates believe are also strategy, XXXX quarters focus and We X

into grow seasonal meet our which and fourth a the for that, the generating to translate XXXX. shareholders. performance the ability goals remain on discuss detail to of greater With strong these returns over our third focused for and call is financial would above-market our to rest goals responsibly turn our believe team typically is company. profitably to I'll accomplishing quarter, We high. confident Our We quarter's Limelight's Sajid in about guidance

Sajid Malhotra

revenue in resulted highest best a had the Gross ago. points is it what in third In XXXX. a operating was good outstanding we third from ever. and is the quarter. prior from quarter, our highest quarter we and in will we control, increased EBITDA quarter have and our remaining quarter EPS over GAAP XX third best progress revenue lowest reported XX our basis the Bob, year, at and We continue the lost afternoon. under Revenue reported. since And non-GAAP to third third combination margin be year the we great of XX% year, years highest the ever up ever, Thanks, our expenses quarter lightest the XXXX, With is these elements of quarter adjusted revenue which quarters. seasonally XX.X% believe an XXX towards our

the Let's just was Again, results. for than yen. million. dig compared into a and third Japanese quarter due ago X%, International currencies. of in XX% revenue year XX% dollar-denominated $XXX,XXX quarter to primarily a these was approximately it our XX% in revenue Revenue customers QX year-over-year. financial deeper of the was in non-U.S. XX% quarter of foreign to little accounted total approximately or of headwinds in exchange $XX.X increase We experienced an less the

total accounted Our for in revenue QX. of top XX customers XX% approximately

growing for existing As primary and we've a our and attracting our mentioned retaining while, large business on new has with large customers. focus customers been

customer since the quarter these believe account functionality year-over-year. share the XXXX. feature our our our that performance to of time, with this XXXX started our was churn same reliability, lowest average and customers. large Our and We selling we the management expanding increase At with third in metric us in increased tracking first-class has we along price allowed

let deviate from a script for minute. Now the me just

an selling picked customers an quarter as on the last A a that one Well, pricing to are revenue largest of later, the the in focus growth filled price. implication. we you you tool. recall, compression, calls reporting many that. strong average industry on multi-price in about I [indiscernible] As number quarter, going in XXX we're top using the uptick and

are amazing of business. direct an Limelight. basis increase improved gross values the continuing of a an points revenue in quarter, and serving of our is things, record for GAAP a on capability, high to was gross amongst disciplined it segment margin suggest So that overall our and and increase year-over-year XX.X%, this an capacity, the market of was results the year-over-year. improving we mix, A thereby focus in points margin consequence, Cash XX.X% third other quality, pricing, quality, the basis well. staying XXX XXX

relatively India, PoPs fees and Canada places France. despite adding like flat colocation Our and in capacity have remained

XX%. We network, work of to throughput. able approximately opportunity our well and our reduce be software have research the while by We increasing this of advancements us our This believe by allowed capacity our number been edge network at teams as same technological server installed in in great efficiency this has improved to in through continues accomplish the area enhancements. to servers equipment there development and with increasing and as time

which an $XX were of also expense on we this easiest metric quarter we visible new While revenue third reduced million and is this in global number increased million, increased as capacity, we content delivery by is win product volumes. and to compared around $XXX,XXX. key improve competitor expenses year-over-year rare experienced to footprint, by margins have we operating have we the and or GAAP compute. XXXX. our achievement. cost believe negotiations of CapEx increase year. and and servers increased expense increased have our still quality, room changes last cloud year-over-year. in the the industry our expanded mix architecture The from customer to and by R&D despite and Edge and is the and consistently improvements Similar capability have like Total It incredible have $XXX,XXX of continuing marketing well improvement an spend G&A expense Sales bandwidth $X as $X.X margin gross security We increased in resulted analogues. million streams is mentioned in network quarter one decrease find Edge

interest in year. expense interest the third of current on of all our balance operating XXXX the captured strong our compensation $XXX,XXX up It the With in and had last quarter sheet. of liabilities to net $XXX,XXX is We included net performance, across is departments. expense compared significantly in variable income expense

in loss primarily Our was million XXXX, $XXX,XXX $X.XX of share. fluctuations. XXXX, earnings non-GAAP third share. minimal breakeven share third In $X.XX in XXXX quarter in per compared $X.X loss up of to the GAAP other we and quarter earnings strong XX% year. quarter of the The $X.XX GAAP net and a third the we million, per third the was change quarter positive in income net was last EBITDA XXXX. to non-GAAP reported $X.X achieved of a from approximately Adjusted of due income was currency foreign per

the Moving end flow. cash We of $X quarter. marketable Accounts and had at in accounts the $XX.X prior and cash to payable million, the balance third and decreased driving increased $XXX,XXX cash million sheet securities from of change quarter. receivable

we from with quarter. the $X.X Akamai, our made $X.X spent payments million and of previously the also We expenditures announced in fifth million settlement capital XX, on

We credit of agreement the in to based future with to global previously mentioned was meet distribution. XXXX. growth. quarter and We days to the are for We XX expect allocating borrowing more capacity XXXX the DSO in the XX of revenue typically our days, as market a demands consistent plans our CapEx expansion end revolving doubled on fourth accelerate recently DSO to range of $XX million. under XX September

to continued financial to cost this conditions. our line able this minimal use in any targeted incremental due are accomplish this We not our a at We at improvements do have for time. very

year. up up XX very on between compared low-cost approximately increases end basis more operational and XX. revenue by year end from to previous policy. of additional the XXX XXX marketing We headcount Based million, XXXX, at current up $XXX outstanding XXX from insurance our million margin and provided The expect over support I to of now than was Total between sales the the to points had guidance million increase think and personnel. basis we last of as the guidance prior XX million our this of and quarter increasing XXXX million. related $XXX of quarter of We as $XXX improvement. full gross from a third quarter for guidance are and the of XXX, conditions, are $XXX shares point to XXXX last September a

$X.XX million million share per and per guidance million. EBITDA $XX are compared guidance be $XX ranges $XX We expenditures and $XX and between between previous million. earnings million approximately of $X.XX to $XX Adjusted of raising $X.XX from non-GAAP to stay between also share. prior at to share per increase Capital $X.XX to should

budgeting financial pace at quarter. XXXX. the quarter. for continued quarters Limelight's in later for expectations improvements the an this current and the currently summary, extraordinary and revenue comfortable million, guidance with At we'll levels, third are highest XX At confirm in highest seasonally $XX.X this We was EBITDA I'm cycle XXXX great years, ever. the In gross up Cash third non-GAAP was XXXX in net any operational slow and our last net best points last over margin notable since our slightly Comparing flows income in GAAP margin third only was this highest behind loss GAAP second the XXXX. quarter history was was quarter. year. XXX since and highest best highest five and just basis a results, our is in adjusted year.

strong At performance, believe the about same are record financial Score, feel we good addition at a reflected highs. overall Promoter as our satisfaction, improving In to the our very execution. we We taking in Net share. customer market is time,

performance, traffic, the by at lows. trouble evidenced tickets through declining as ratio record operating Our is of

in captured improvement performance financial generation revenue and our margin ever. in and profile massive Our growth is best cash

low satisfaction surveys on record employee is and moral Our and encouraging. based turnover very internal

and is supported feel new substantial. we the business have trials by Our adjacent our of our as Edge of these value the the is storage our state R&D opportunities into doing leadership ever to about is indicative dimensions good shareholder expand are support to cloud, potential. and substantial markets belief, as multiple creating compute doing successes evidenced reduced the impact, And Edge in my capacity after by expansion, in we It XXXX, buffering same our are current business. XXXX. across significant We

into open momentum With call XXXX. to your the questions. to Operator? this We doing our best are carry that, let's

Operator

Instructions]. [Operator

comes first from James. question Our Raymond with Michael Turits

Michael Turits

results, Strong execution. strong

performance the on a and that year-over-year the quarter. on basis, seen same you Just drill you've strong it that seemed Obviously, sequential down questions very on it's while. to have for trying the growth in a

seasonality quarter. the negative no third So in

what's your the in business reason this on acceleration great accounting some the the are Is we year-over-year So place less or here? an from performance, perspective so of taking what's for seeing seasonality?

Sajid Malhotra

thanks we the appreciate question, support. Mike, for and your So

Here's my take on this.

be upgrade said one largely in each focused opposed of First as example, we year, we the of very the right? last gave all, we year a as quarter, that, for of from we So you of to middle quarters. guidance should large the for the the balance have overall the an providers. half on double-digit when But handset approaching within

Now one if October, If has a happens has it September, in it in impact. that impact. it happens different

against. we manage try it to of some So

XXXX Some to I do state about months, very for general, thing as But is back a of quality little also our we that business. of to very quarters. of we with are it hard have in really this us getting very have think the think in saw business a the to the some And go XXXX, feel has a may think back good do price we want. whether are again. we recent those of some go in want larger share experience of manage. a our have disciplined against the you improved, business have to weak I And and little been And with the compression but seasonality, is that also I of we comparisons it quarters. to large and about ahead And refused we and of same when

Michael Turits

So that. on just follow-up a quick

So volume mean, you I quarter. grew from perspective, compression XX% a price

think, grew, quarter. You you I XX% said last

So it acceleration not volume. seems like it's in an

stability, correct? more Your more and is that perception price is

Sajid Malhotra

Right. Discipline, flexibility...

Robert Lento

lower-priced us, our are types traffic, the cases mix right. of change of push we tend that a lots willing with and business managing to to software do so pay it business. in download has to used quality the We've always OTT. the And of for the People but for said are also are mix also of how

Sajid Malhotra

a that there are get I CDN service and it's the and that, very it's to also business may that when not And are of a suggest and the have about the be market large people pieces I where elements I mean, add just quality broad commodity. care paint brush, this set that very but to investors with asked service. this definitely able met we feature people commodity sometimes of the really of lot of market commodity, I'm

is buffering provide to to pay getting for area services tolerate vendors are that example. and as in that For nobody willing worse, high-quality to example, able are willing people an

Michael Turits

squeeze one So in if one last can I there.

So it that's point? numbers, an seems acceleration would at based to if organic providers I your on as check. the of there growth but want this just the volumes I think is OTT in

Robert Lento

Yes. I'd acceleration. seeing an say a that statement we're that's fair

Michael Turits

So you in are seeing acceleration an OTT?

Robert Lento

Correct.

Operator

Davidson. from D. Our comes next Mark question A. with Kelleher

Mark Kelleher

customers XX% any quarter? the there Were in

Sajid Malhotra

were two a There were. that and there two see on are We'll Yes, that later Amazon and in Apple. the customers tonight, you'll tomorrow follow or XX%. Q customers were named there

Mark Kelleher

gross The that Okay. here? margin some on this that grow is -- to the very elements still in there there lifted the from new where improvement, kind your the quarter? thoughts level What there are it unusually for impressive. this of are room Is is new -- base

Sajid Malhotra

quarter. Yes. improved But We've strong see the to XXX leading had last improvement margins three as points. basis year, even really quarters the by current can you in up we gross

has So CapEx third expense margins very high the in this to for in were and hold levels, gross line part, story at margin and Fourth large we been, in check already the level the supported last year, we're quarter a trying check. gross to just very close quarter.

to said, mean, improvement next into expect you last in for QX improve in And over year. if a numbers, then improvement that, as year. get have as on we this to I for lot I through good operating number is would provide year the And on We be XX%. I'll detailed there's more QX to later path that low those we've out business smaller margin, But we gross finalized. again, a that for see and year, plan to guidance long-term over get and I year. north which suggests mind we keep very of mean, number So next a a very improvements don't triple-digit gross the disappointed laid the margins look get that at just I next board got

Mark Kelleher

is early about the you some can adjacent of securities, to it's move into. much Okay. Edge about for that be And contributing. markets how helping? little computing still that a talked I you How the assume

Sajid Malhotra

from third-party better partners, our relationship We building always security for an offering that, own. be. the opposed had their as We a We've we've set might needs best-in-breed had with customer that unique Radware. that to early serves think taken whatever

with We have a relationship new Neustar.

that and always are continues been around that to It's it can more I any the don't contributing I the to in overall, are with We mean, moves deal. a growth around. it it's has or the revenue to as It business. quarter Zenedge. similar part move number it of And think overall really of growth big less. offering. working a that not the but around one rates small move

still will year, Now for move fully the next was become when doesn't over the Neustar moves I same think year, larger the than contributor but the company. it looking time, into it and this needle at overall it

Operator

from comes Charbonneau question next with Cowen. Our Jon

Jonathan Charbonneau

are terms revenue fall of for you drivers about what talk guidance you can in believe In the biggest year, within this range? that you determining where

Robert Lento

we're OTT. fourth holiday obviously, quarter, Lots on out. offerings Well, put new Lots season. of into games of the the coming being new

And how get. what of so game really total going be, we to one the any or are big we don't will percentage know offering

So will there's questions quarter that, fair get progresses, a of obviously, as those unknown answered. the number

is give So think that range outcomes we're trying of to reasonable. a we

Sajid Malhotra

video the things, to lot out There's a the same different more Yes. gone July, consume It's when It's are hibernate less and all consumption. than in wintertime, by. of seasonality. summertime But they right? years it's outdoors in people August no People there's compared sports.

the So things and are there business, the have some within of that ahead that. the always plan about for kind know and seasonality to business we go it's you

Operator

B. question Sameet Riley. Sinha with next Our comes from

Sameet Sinha

So questions of here. a couple

will And non-commodity. color so year-over-year, kind way the more sense can in kind shift that if you it a has the if some about of of mix of of between described help us revenue, put on momentum give how commodity the now percentage us could First, business. that you also, think the of and you changed

third implied, pulled kind XQ sequential some business the from increase about the guidance. fourth Obviously, talk revenue can $X quarter. of of into you got if in million quarter, Secondly, the implied

margins, can elaborate you're sequentially, revenue on -- implying growing in more spite down. That's it. you going is If

Sajid Malhotra

Okay.

and So first question just then one noting got commodity, this. margins. on a you've I'm is non-commodity, revenue and

think in and it be then was business and as for table. and -- hard say, business give this customers bringing to then reductions, and believed investments years less X ago, we make whatever points the ago, may mean, us take. was But to commodity and ahead go what people then, operate at I and today, different different higher or business a able the state. then, and year when are the have X R&D the should or we we price necessary ahead that your in we to is the a get level to share then based to us is had the a go of to price that higher we proof a proof points you to the on now told not business. And wallet that, I go

in to you now. the look mean, in. the we're where of business are been But into every buffering, investments our that been press translating Cedexis. that ourselves I top storage with put that, us we've that made see anybody you you where see rank releases starting in evidence that's the So at market we're to the around compare see time we've willing the

vendors of business like this customers important. all that amongst is customers this very happening what's is is that where customers them, our large that's think piece large some or XXX,XXX to a I have, there but is have, coming that confirms piece point XX,XXX of are important. bear And these we for things now. a of XXX the for Not that So

as think I maybe don't if more -- it for pull-through you But year we On appreciate think total time, thought. to I in I've that one. revenue got yes, move raised At I of have full same the necessarily revenue QX it the that's So numbers and you guidance still up. than revenue, as mean, of pull-through. the so

we left sure that's map was out To out the to level extent and are what it, we original that QX, the extent the what suggest, and would we to it So what to QX if on. still the QX we deliver it got set make possible. QX of replace where do back can and focused go that's more to into at pulled

gross we've you. could As the have. set go, I have would a out number, and margin that be can deliver if that think with I want said far I I as share I sure numbers to higher

this basis calls so with than and point. point saying difficult numbers where XXX I And to and have meeting point, Yes. ourselves I a it don't to difficulty stretch feel be then get comfortable at higher? more have Could want those we But you.

Sameet Sinha

well, onboarding customers. Bob, Edge referring referred question. you're final about pilot call, One Last Great. speaking customers. This computing to programs. as them time as you to them new

it? Albeit of and assume still revenue out small, So should generating the trial it? we is kind are beta from this of that from phase now you generating but revenue some

Robert Lento

like, fair place putability people regarding generating, have that important having in we than we a revenue we're assumption. like that the the the the that We of it's for. terms assets what and more in think conversations I looking we're are of value

add And significant some grow and as well. pipeline to customers we're this quarter hoping continue the to so

about feel are our you're reading I like trajectory that the pipeline. customers where the as they so of it industry like industry and this like terms from it's going, analyst terms is a it, able kinds fact seems we're in match out of talking about us. for I so in like some good what the And I of new think who's bring to customers to we in

optimistic. more second in could we're become of half revenues into but so the and meaningful 'XX, a part 'XX think I the importantly, growth cautiously of our

Operator

[Operator Instructions].

Rishi JMP with Jaluria comes question next Securities. from Our

Rishi Jaluria

shown first, this the you're talk improvement that nice I used when depth I'm you've margin the you'll terms Edge It's but the this sure how in -- of see such that on as to emerging I of in cases about the more development kind gross guess, of computing. early for side guess, related the ready, quarter. based expense required and or those those that, expense or cases? customers of that how capitalized, R&D, a increase significant new the build we should kind the be adopted? growth in should growth early about thinking on up to to solutions be Or you we used expect it pilots the

Robert Lento

place. news have all assets is in the Yes. for good we The us largely

So computing the that the us the The to are like place. because Edge in to connectivities is already X,XXX already people are place. close we attracted space, storage in ISPs. to power the we're and that's already almost connected there. idea They have power Those

we'll things around some how some manage to we monitor so we how have yes, differently. And do things things differently,

it's this big driver, -- a do I increase or our see R&D as not capital for So in don't example, to spending going but spend. I of be "free" our a

Sajid Malhotra

I X about Rishi, or that elements talked And kind a CDN. this makeup of we X think

we a as of the choices a company, of outside expand core. so the couple go And business have, to

is sell sales with roughly to customers have what take XXX the our that else we go can and to one we and leverage So them.

So right? cetera, XX. or et infrastructure put them, else different only infrastructure a XX But and the other of the place are that are reuse. we we take for So used deployed thing cases, utilize there there that in our we've And cases can sell used what XX% security CDN. that's who to or is a to some see can use

much and cloud, But the the call us. for add for market stuff. is the at that for used, we infrastructure marketplace taking compute, higher to what are cases Edge still better the Edge around point, the it's we this not So the we have nomenclature developing having the are the contemplating that used to this business to we

Rishi Jaluria

How we there help helpful. revenue how on be security sales joint understand there side, a sharing That's Got that? does Is kind I guess, the motion? with a Okay. can with it. Radware work? us and thinking that should about Is arrangement? And Neustar, of you,

Robert Lento

Yes.

example, definitely going last when their signed we that So and we've services ours, products be that year is them sales Neustar, and which the disclosed our supporting will with deal, selling for to probably be we customer infrastructure their team, to to sell ability products underlying have also -- their the and base.

is true their for initiatives be of sales base. and their the and And where our So into that's working on example customer an will have additionally, But Radware same customer Zenedge. they directly. selling we'll be own products force

Rishi Jaluria

of off. Okay. I'll year? end, Got last into and And that it. how thinking you then are heading just about But terms growth, hop next for one headcount in my

Sajid Malhotra

of know see for any XX, the and and because of are think year still that not deliver R&D that sales, is workforce we base the we is course the majority necessary business. the year. into base right of in believe kind I you adding. to we And that that contemplate to operations. XX G&A important still do functions our added, additions continue the for can higher still about get increases customer-facing of results I our they number expect for ahead people equally the So that, we going to some think marketing, next over revenue year the And way added the the a G&A

Operator

All session right. Then this concludes presentation. and Thank question-and-answer today's the for conference. the you attending

Sajid Malhotra

everyone. Thanks,

Robert Lento

Thank you.

Operator

disconnect. now may You

Edgio (EGIOQ) 18 Oct 172017 Q3 Earnings call transcript