PRO - Earnings call 4 2023 | PROS Holdings, Inc.

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Operator

Greetings, and welcome to the PROS Holdings Fourth Quarter 2023 Earnings Conference Call. [Operator Instructions] As a reminder, this conference is being recorded. I would now like to turn the conference call over to Belinda Overdeput, Director of Investor Relations.

Belinda Overdeput

Thank you, operator. Good afternoon, everyone, and thank you for joining us.

SEC found a section on website pros.com. release, call of of press at be can the earnings filings replay and today's our Our Investor Relations

immediately also today by President replaced official and Andres and me transcript, questions Officer; on Our on will participant the be Stefan includes Chief available. remarks call and Executive will our prepared Schulz, Reiner, website once following which today's the be is available Chief market With call note will limitation, and Please Financial our differ that such in could including, strategy, the commentary materially financial results forward-looking some without statements include Officer. our those future of statements, business opportunities projections our about forecast. Actual from prospects guidance. and and

please our to described reflect obligation refer assumes no future factors risk SEC update circumstances. PROS information, any statements in to the events For forward-looking to filings. more or

Reconciliations measure release. GAAP a during effort, non-GAAP the call, we without press available in the directly are comparable discuss will most unreasonable available non-GAAP our between metrics. measure, to which the earnings As each extent to reminder, and

Before our I XX PROS XXXX call turn which to XX conference, upcoming May take will place Outperform in and analysts Orlando, I'd remind to like investors the Florida. of over,

the business forward. PROS is to where performing hear drive to across preeminent will from you Our experts one world's of AI conferences, AI how industries use on

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Andres Reiner

a had year-over-year, end outperforming proud accomplished XX% of AR goal outstanding grew joining by I'm thank rule delivered Last by XX%, revenue everyone, Good to revenue set on to us guidance million We today's in an of in cash of of a an significantly over that afternoon, growth year, improvement generating in year. goal we XXXX, our flow, $XX.X XX. year-over-year. so range. subscription rule Belinda. we and what you, high in We reaching get million subscription for incredible XX% outperformed team free the of our total XX and XXXX. $XX while We our by Thank call. you

We continue drive on rule value long-term as fuel been operational company. businesses more in a The of proposition XX of our be goal being laser-focused has efficiencies PROS and to into automation lean continue delivering to AI never to revenue growth. relevant digitization to

market. continue We launch that groundbreaking to are the AI innovations captivating

era in changes AI. land, market-leading strategy. of adopt we and launch strategic XXXX travel. we BXB experienced the added PROS quarter innovations volumes.In XXXX wins innovations year core. inspire to made deal year, the revolutionary QX for name in are drove in a again to different. AI aware even in capacity with no an We're innovations realize The We easier and at more ever evident our QX, was constantly across value new provide We help innovation and over through we quoting in in to in The as customer customers ongoing new made Every was new XXX features our company last to customers them XXXX, our pricing changes of the our these expansions and optimization, across in ancillary expand than we thrive platform including industry-first dynamic acquisition platform innovate collaborative drive our few. incredible a such and to the as of record-breaking success PROS late

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our driving our we our of more management, they're exciting our Japan innovations by optimization Hewlett in time customer to can customers such innovation innovations transitioning automation digitization, drive price been extends commitment Gen we to on AI. decade, our only means than Airlines we Canada drive focus This expand provide PROS. advantage for take and success they our Packard also said migrate Enterprise. Today, to has address in are in focused market This will HP businesses what to and need like an innovations. to before, and continuously a XXXX. but As Air industry-leading inspiring continued is our adopting not to ever how latest and partnership our and And for need use to pride AI growth opportunity. like the before. company. to QX customers X decades areas PROS at are committed I including engine laser-focused even real-time with latest long-standing a beyond must with we strategic as cloud what now immense are platform innovate This are for Where are And in Pro the they to on saw PROS growth we to pricing before, a capitalize now is XX. expansions said brings I efficiency innovating have We're to are their an seeing every which This to to achieve drive value of goal to greater continue well we valued this year on our positioned come. customers to me expand Rule why profitable more to to customers.

us First, to notable XX% and We reduction we'll value. our new time productivity XX% sales and by XXXX, rep on BXB continued focusing improved strategy continue strategy. accelerated a velocity, to in realize customer times cycle reduce nearly logo drive expand In achieved help land, this deal year-over-year.

market across an We value value potential also a to significant further our our leadership year-over-year, achieved Bringing we innovate to offerings market, for extend more decision. realization while achievement. the to even our continue outstanding expansion in customers. margin, simultaneously driving core XXXX, gross will time reduction XX% expanding our to services solutions In of

platform continue we expanding by our to will our Second, marketplace. expand

our partners, are offerings extend developed more our Our solutions, of even over wider value marketplace we XXXX, half currently and In of XXX over will to partners. ecosystem access introduce market. the by customers of more which holds and to driving a

to our to enterprises innovation use being establish across our we how continue of for Organization our infusing to by embracing Not our and continue operations platform, every business. a we're aspect aims how to AI only drive standard leader AI of every efficiency business. power only will to innovations legacy transform through but of a we should new aspect but innovate in forward. market-leading moving we their will Finally, pioneer not AI deliver into AI operate,

people I unwavering team say dedication our am close, amazing Before of proud helping I to their and companies outperform. I how mission want to of for our

employees and and global also the for to exceptional ownership, making ongoing Our company for I'd customers, thank I'd PROS. and our communities. achievements. our turn support Stefan of over to and values call PROS performance I like our of of other customers like our innovation to cover thank shareholders and With them team for financial want partners to great each for core their for body all care congratulate that, and their an outlook. to our

Stefan Schulz

free to added XXXX, On our $X.XX $XX.X our everyone million, Thank our EBITDA added our our am cash To revenue afternoon, improved for $XX.X happy revenue point, $XX.X by in to contributed cash dollar for and total success. flow. Andres, this and by flow emphasize EBITDA very our $X.XX team basis, the incremental improved with million. good posted XXXX free and revenue I now every team dollar million everyone. incremental a to you, year-over-year while grew our in on every further and we results

turn and negative our a Additionally, our margin in positive percentage gross services we subscription improve from a XXXX. percentage to margin XXXX in gross to continue

than our We our delivered All ARR was to was accomplished of continuing this higher business. that $X while grow million of the end high subscription guidance.

first During financial for a time, that achieve At Day a goal our May total free flow our goals revenue XXXX. of rule year was XXXX, of of rule target to recent our in margin, including XX most was we in growth XXXX. of cash reaching Analyst in our X, and XX long-term discussed our of and rule fiscal a

As rule our a in result performance a of of XX. strong achieved we actually XXXX,

We in are towards are progress further very long-term making and focused pleased XXXX. XXXX with our our on goal results

for better the $XXX.X year-over-year and for than year, XX% I'll continued revenue a increasing Subscription full total year the rate Now our quarter cover revenue results the $XXX year, fourth and the little full million retention fourth gross the increasing XX% to Total revenue X% in increasing quarter quarter revenue for our be detail. the was trailing XX% full XX% fourth of revenue, and XX-month was million, increasing year-over-year. year-over-year and $XX.X XX%. in million million, year-over-year. in $XX.X was more Recurring

year-over-year a constant XX% subscription guidance. Our was on basis, currency million ARR million significantly increasing $XXX $XXX.X and or exceeding

year team customer welcoming expanding As our Andres and and both existing customers a partnerships. full strong of mentioned, drove fourth quarter new wins, also our

X% billings and year-over-year recurring fourth Our the quarter for XX% XX calculated months. trailing increased

we quarter year-end gross non-GAAP services value quarter, significant in professional year-over-year for fourth between a were the We to margins from time simultaneously loss a from X%, mentioned, the our margin innovation XX% also is deliver X% delivered a reduction Our us improvement to Andres driving that increasing services XX% higher gross gross in services non-GAAP We getting how the drove full of which XX% Collaborative X% in and margin in offerings. subscription year, in impressive XXXX. both the while efficiency and our XXXX. of teams fourth non-GAAP product

to improving want cash this Our quarter. expansion in for in XXXX. fourth were quarter I generated our achievements XX% Non-GAAP their services the in of million the free is year, gross and teams the XX% in in for XX% margins and margin a result $XX.X from We collaboration, this area. total flow congratulate fourth

of on quarter, generated the we $XX.X our fourth outperforming our of an percentage year, our million stronger fell which from EBITDA the the increase as result, puts a in fourth adjusted improvement impressive expected flow and adjusted our EBITDA because of million $XX.X the year free an cash for collections loss than in our the sheet guidance incentives and for of results and at EBITDA with on-time improved. outperformance in $X.X of From $X short million cash quarter As adjusted the We guidance. revenue cash better of even were a due full million, the to for flow investments. fourth in flow typically year, year significantly cash year We We in our balance our exited results quarter, and perspective, this experience we XXXX. generated the million year. $XXX.X free the just in full

to XXXX. in the QX, the We which of pushed of out our most also finalized convertible we debt maturity transaction exchange debt announced

share, to earnings per the per share per XXXX bringing Our share non-GAAP per fourth of for us $X.XX $X.XX quarter non-GAAP was a share. earnings for

growth guidance stated at midpoint the now our rates Turning the ranges. and amounts to with of

full anticipate million of million, million improvement For year-over-year representing XX% $XX and of full year, representing representing of in year-over-year. growth to $XXX an We $XX revenue million, $XXX range to and range XX% year $XX.X revenue representing $XXX cash million, $XX range improvement $XX of between growth total adjusted an of We of $XX.X year-over-year. $XXX flow EBITDA ARR to growth million in the and in million million, $XXX million the the million subscription the free year of we $XXX anticipate be expect to to subscription million million, XX% be year-over-year. to full year-over-year

Turning now the first guidance for of XXXX. quarter to

to of increase in $XX million to XX% be million, X% revenue a of to in subscription million, $XX.X representing year-over-year the year-over-year. and million expect the We be revenue range $XX a representing $XX increase to range total

to the $X.X for our quarter of expect million, year. improvement adjusted business to the first last $X.X an estimated have EBITDA first tax as typical per non-GAAP breakeven it non-GAAP is an expenses to $XXX,XXX first over a per based QX rate between reminder, share estimated and $X.XX And we quarter We million at earnings of in our I In higher which million employees world XX%, you, thank average of shares dedication quarter. the weighted our an XX.X at Using anticipate thank on is hard share would PROS. closing, like diluted support to around you outstanding. to over also for like work continued and I continued of back we turn the shareholders, for and the look events. now for your questions. forward operator to call with PROS, will of their to speaking our upcoming Operator? all I'd

Operator

[Operator Instructions].

Our first comes Schwartz Brian question from Oppenheimer. with

Brian Schwartz

on saw it the the the there, by or XQ. Maybe or the was more expansion logos net that CRPO, sales new execution upside starting in good from Congratulations billings you activity? in driven

Andres Reiner

Brian. question, Great

to for XX new very saw I we pretty momentum logo ended both about overall, we expansion. acquisitions in new similar tell So would you good and and every expansion. net year, the XX% year,

new see between opportunities strength the very was And we within geographies, great wins see did customer in base. all strong -- really, and a all really It industries a quarter. frankly. balance strong we So logo expansion across it's great

Brian Schwartz

Andre. the path be customers benefits monetization question had to to increasing in And I in all then likely you if some new and the AI you talk conversions? able are Are functionality. follow-up at customers? of this the the capture AI can embedded productivity starting generative functionality the about for your It's to AI products? that from about then so, generator PROS improvements starting new seeing to functionality that see And they AI and the and that the experience Are embedded on

Andres Reiner

for one Gen beginning. the all great is that than and realization, uplift. a seeing tell a faster our our AI revenue many we've now drive. drive put I companies significant things our is always models company we're AI we're models expansions important of we've uplift drive in other very for AI-first value PROS the area had and technology very different historically, margin an We're adoption. you, AI generation, many that latest focus from on Brian, measuring X customers, example, as In would And Yes, question. that tech been the new always monetized and seeing our because of of

incorporated and more the newer algorithms business deploy playing the a -- our team have and BXB executive travel companies AI-technology tell travel to all we the seeing seeing of of I on from better better So even what mandates solutions many the the retail in now of digital revenue the in win. in the they're uplift, that AI value companies and believe down their how and and the results drive BXB key industry commerce industries.And both down we're will you area industry is in role of future Board would

So definitely, are our solutions the strong in market. quite resonating

Stefan Schulz

Yes.

wonderful question that. deck, of I posted a about to which add speaks kind Belinda from in Page think directly the in getting did AI. thing job investor there there's to a point value to one really on that of that predicting quote XX, that is just they're our

Operator

And Bennett Group. Capital Chad our question next with from Hallum Craig comes

Chad Bennett

QX sales thinking. I being that's narrative Kudos mean, going in quarter XX%, you quite at for growth there also it correct, $X I in subscription know, kind I the the that subscription billings you talked some I quarter Great. slipped the gave for bit that the makes there quarter or for you when difficult little million I a about or that this initially least QX, performance targeted it your from guide business the call if a think the from I was ARR think into the a the Stefan, is, -- of on on and anything of Maybe pulled where maybe at billings which I think in exiting on specifically. more mean kind -- was outperformance standpoint year And last and maybe don't maybe was ARR into of want the could was kind was year-over-year, guess don't better question this and I ARR comp into unnatural outperformance what year. directional to I least timing you have year?

Stefan Schulz

don't that I XX on point, the our the we several When to field in how out. pads guidance, play had and conversation going think the can bookings sat if we set looking those say well at we're quarter, And days opportunities the we Chad, many together you on of really executed paths quarter ago don't we think will, to here came is will assume your through and our Yes, we is I work extremely so. the actually the every scenario the teams which outperformance, out. what drove and metrics. of had went as

So still XXXX now we the into look at and momentum we lot feel pipeline we we feel we can forward carry and at as I and opportunities look good have, XXXX. into that of a look our

Chad Bennett

geo Okay. And then just really well looking at EMEA split, performed year-over-year. the

up think just you maybe business then like back? this heading travel in by something Andres, XX% that about math. to can function my And was speak thinking year-over-year how I travel And the bookings a travel the Is quarter? of coming bookings into strength you're it year? of the

Andres Reiner

BXB QX, would our talked a better travel we I on over would if travel even travel Great quarter, tell Europe say in and Chad. the what definitely travel. played QX both is talked I better. in expected And quarter. the Yes. And probably has performing expected. the last Europe pretty strength think BXB than out about about our you business do business. I performed very you year, consistent would I Europe and And to outperformed year both very And about we BXB expectations. on in I question, being in well last I been that, the Europe, well that better that both tell

Chad Bennett

Got year. it. Nice job to finish the

Operator

comes Markets. question from Our with KeyBanc next Capital Jason Celino

Jason Celino

added similar and incremental flat assuming guidance, if added incremental I in when perspective, at it Are to questioning, along. was they're ARR dollars like maybe the it'll kind at hopefully, 'XX. BXB the it can sales as you Great. XXXX fall remain Yes, subscription macro dollars But 'XX to number from or be and looks of you and travel related -- sorry look modeling in the the at look line least efficiency of for initially? of it same, that you an same the

Stefan Schulz

with at a the took. in Jason. we we of as Yes. year, always number have towards go And to similar X we back see consideration, year. there's into was to of not that factored the as very years, a pretty strong visibility as to from months, half we things our the what we certainly have approach back first that take last And of that several half year, know, working When visibility of be the beginning you good -- year, to and last the we good do And back if happening the into guidance. biased the over seasonality is you the it definitely us trends

we we've we'll not just to that back we've point say things visibility a half that we that into would your to in taken as completely, the degree, some updates of And year, and -- providing go lot year. I have macro to on are obviously, that going consideration that around as be of So throughout taken guidance. our the the having with consideration a into the because of seasonality, not good while

Jason Celino

Okay. just And question. and transferor clarify the to then follow-up

to the I -- directionally, So travel business 'XX, continue about you are what if And I think you are in 'XX? expecting then expecting grow? travel guess, for did it

Stefan Schulz

Yes.

-- lot that And willingness of business So of We our We XXXX terms relates last of quarter. that in do corner that, to momentum in continue go least in again grew. as well. the Andres IT. as we through a And the that industry, started optimism saw a to it turning see fourth as we happening mentioned. their in at about quarter, we to the as definitely it we invest do will have travel talked

Andres Reiner

COVID innovation talked about, the back travel, of the is, travel for travel the and investments QX now to continue latest was we winning me, as year, seeing very normal in Jason, them off travel year to expand our ourselves, generation we're back innovations. examples to I'll only in good. and Air COVID year, the to And more lands, executing Yes, very and Japan success we've especially this expect of paying get A year as the of a in thing the Air strong we all the half add lot very innovations ahead We're innovations worked feel I look obviously don't is me Canada is well. success really Saudia. customers feel think exciting I of to the what's needs. or the in industry during that a in but what travel is seeing team seeing did and We And lot or we Airlines early I new the want and on of of Europa, during at for that good. strong we

Operator

Company. for Rob on on Congratulations with comes Berg question Reilly is This Scott & Needham quarter. next Scott. Our the from

Rob Reilly

place expanded an we put on A in already particularly was net travel new in travel you XXXX, initiative in the XXXX? expansions in into remarks, given of between expansions should land how based and little and sector. in Heading about the some bit we what noteworthy noted the think mix the question logos, your particularly sector, asked, expand but

Andres Reiner

Yes. Great question.

for think the same all think XX-XX of combined, of I So about PROS split.

geared XX in still split X to a pretty And new XX-XX XX% code. We we're that our new years. think existing done innovation over out similar, a logo look There's net those the airlines see ZIP adopt that of seeing being acquisitions or existing seeing but in XX generation. see lot expansion you it of latest XX travel customer the base. between we As opportunities, industry and we've we at within more we're X existing play last new of lot to the paths to want year, travel

existing within see we lot a So of base. the opportunity

Rob Reilly

you some would going Thanks the slightly of for then sort expectations. in revenues? below this? provide driving to It XXXX it. came some turning insight to appreciated. guide. revenue into revenue, partners, color. Can be less services what's looks color Any Is the estimates like license it Got And services more potentially

Stefan Schulz

it Yes. to Actually, the in we're way I XXXX. partners, leverage but continuing to see much you're going think same to did us execute leverage greater We degree. expect partners don't do a to services

consistent fairly modeling is how we're So it.

because it and consideration the of the how bookings happening think I at from look guidance the beginning we perspective.We're down from to year, a into a what greater revenue in much to our a we really both a little taking comes see at degree, first as nearly and uncertainty not as but half, own well. our market second there, going the much of the secondly, half, conditions of in mainly consideration that what's visibility, because on taking of we're into bit especially internationally,

Rob Reilly

Got color. again. Congratulations, it. Appreciate the

Operator

Oliver our with from Rob Great. And question next Baird. comes

Robert Oliver

Andres, you one for to start.

then or go-to-market X making you kind guys it those with to know working, a follow-up. the where had of a I of of more a And year really of And this color change as to getting expand down land to that any Just to been XXX,XXX motion. seems but be quick concerted have to are to part effort would you over could provide on last down And ACBs? I level? love thought know bring your that guys to relative you

Andres Reiner

question. Yes, I'm glad average Rob. Great asked in now you of XXX,XXX. from sale, average that an we're

like results because did really continues record the that's deals are And that. QX. have we our really zone. We be in why about in to So that QX in we I excited average think

that improve, out. seeing fairly the to right ASP There's consistency better and in to out. to has wanted work we're we our we really motion do expand play year continue this remained that that and as And -- need well. that and ASP we're and the strategy this land that build we're So but seeing not getting to is of the play we're expect consistent, realize model, scaling done. We seeing better. We're

Robert Oliver

it. Got

great I'm hear. to guide. Stefan, I going limit way it ARR and guess different And Okay. the for subscription subscription you. ask That's then, to to question and a guidance

any side? say, first the industry would number. relative spend industry spend versus period for factored you then below clear see it come you're half to was of curious a factored with about half the on the not be color that starting you're know of -- just seems forward second out been guidance to guys of what had So after our conservatism that there, macro sort what that. seeing and macro to relative back. Has helpful. travel, into sort that and BXB guys that It or to bit be really you get totally maybe you have in how thoughts would visibility example, just loud And have I'd a the And be number. factors

Stefan Schulz

Rob, I comment impact made of and escalation the what's the would taking say Russia and expanding a having that Palestine on last Israel with is on that of a from perspective, really, how Ukraine question, and especially and happening I worldwide Yes, it's place airlines. some on lot kind the a and

certain are the divert So they've go and matter. the in take they for impact there Middle can't airlines Europe they're lost and that having or are over of that feeling East in airspace, to East can they especially some that, because whether routes Far

would would potential the out of versus impact and it thinking I is year here a was our and look or there's While that say part -- the year. is have year, could have of we're of woods about the very certainly or thing well. at half a first to or half directly our the I when as strong little of half down our us still date, last the something also road. And that historically inflation year, there its we second say that the hasn't we second see a nervous we the impacted not whether of of the

there? subscription that so did little you half of hopefully, factors elseâ€¦ point. And our macro the that something to Andres, has is the impact apply And a your we and there Is a And helps. help second have ranges. anything certainly can bit year, little into Or that probably we ARR take a of so, else factored on the more to you guidance which bigger

Andres Reiner

the historically if for started to not rule we're rule it year, we're The you at we of pleased XX. we only coming of add off way thing I look, the has that look that guiding guide where guide, will is, a to XX changed.

we're never anything, on look year approach we X seeing a we same let down, want we're impact where year.So are We're are. improving. If pleased deal years delays. in of go not sure guiding cycles sales can we're want to make to terms the and ago, any ago, every at we our based You seeing

is productivity improving. growth our rev improving is Our deal

other companies about any not So concerns across hearing economy. in with industry be this But we what any seeing have at to reporting from point. we're the effect cognizant we're

pleased So and But year. the we really at setting excited to expectations. towards we're executing to that of here of rule year a beginning sitting we're make the with guiding sure very XX, want about right the the really

Robert Oliver

appreciate a Really Andres. Thanks, details color. all Stefan. Thanks, Great. of the

Operator

Our next question comes with from Parker Stifel. Lane

J. Lane

with if the guide And Congrats XX% that you three 'XX? to improvement on guys was I or for order to this on what the that two staying from the rule for growth. what target wondering the achieve in Stefan, XXXX around can of I help are year, for your path XX% things need quarter to looks characterize that the XXXX most do XX, of XX. and XXXX the in like benefit think expectations next of Rule and you to

Stefan Schulz

Yes.

we've play So we to had guide are that XX% the that's XX% on from -- your from continue I want a the 'XX execute what's motion One, for things to that have going XX%, last to don't that couple there's to out land, think motion to And to leverage people's ticket couple going point, on continue anytime on to the as a look to That's going be we that items. into to going spend realize question. happy going We've of with in that. great a money going large of to we the we been it's expand upon. years. had. change very soon, and willingness

on sell very next think and that quarter what of next we're And value month or important so being the and it's able be to expand continue to a back to a part then going later, doing. I get in, go

as as something I more business has us the up make that companies can themselves different that lined is a going similarly, have do engineering and things date, grow that that be team AI done that. to that talking especially for very and to looking done of their for to efficient. and going going also be other we've They're our more some be capabilities Andres with was well. to as to And they more AI that's job think great got do they've lot new to of several in our we a important to innovation the capabilities -- about look

consume and think mean, a it's value that from they going it then get are It's value expand way So then customers that and build it you it can get from pretty package and I to it it. and from right? basically products basic, sell in

J. Lane

makes then, it. you. Got for sense. Andres, That one And

the sort for amongst how second talk I bit XXX the a that this talked think that Can on was your of client widespread focus to the the with expansion area impact base marketplace. line expansion the what little marketplace, coming the top expect solutions of in have adoption you about are of 'XX about you do And years. you the of today?

Andres Reiner

Yes. Great question, Parker.

more So little the and of launching and impact tell that marketplace, adding current today, you we're we're base more I a because would solutions. customer

value. you on key So first to packages transition about if customers our our for continue to new was that think add strategy activate bring a platform more in out seeing to platform XXXX you're that is easy going we're marketplace now And lay platform the are in the component.

a So XXXX. growth of that into Rule and as we getting key XX accelerated our of see to component driving the of strategy

want aspect we're the into think looking lean at AI. driving while on area. that really get think equip I every customer to for about success see add really our the all We're aspect to marketing, but I going of Think you're legal, generation to every us business. focus to our AI AI from of us to At infusing across is sales, innovations going from our that's from and using the component every help process implementations, customers scalable more setting the drive for wanted the internally the us for standard thrive future. the make continue enterprise the drive very to efficiencies teams It's just to AI, to growth. to The driving in adoption same other not time, I of our organization. strategic with to our AI it's there. latest providing AI in to that customers for for and in we're easier We way And how automation

key those that the the two think I strategic components XX. of get us So to are rule

J. Lane

Very congrats helpful feedback. again. Thanks and again

Operator

And our next Northland question Markets. comes with from Nehal Capital Chokshi

Nehal Chokshi

profile go guiding [indiscernible] don't the visibility on growth here for relatively how growth flat great revenue talked growth, implies a XX% about then subscription full you quarters. you for have guiding growth Yes, Stefan, which XX% year-over-year year year-over-year typically at X as QX beyond quarters. across you year-over-year

you what subscription year-over-year confidence so revenue half? to back growth the on still And guide gives effectively XX% the on to

Stefan Schulz

Yes.

we recognize as our know, One of the future because, that the that don't get the industry result we visibility fact is better into upon major to benefits to execution. you see longer travel seeing start a get revenue to always

the have gets when contracts happen. vision of and and of much a a we when types of have that's kind revenue future longer have a better vision into recognition we because going we So to those delayed, tail the

we the year. for deals So can flatting reason we really that see coming is throughout biggest the that's up it go online as

Nehal Chokshi

transpire? Rule to year you needs score to confident of that, XX the and just your talked XX calendar cadence from significantly rule it. that remain which you up of consistent of is with that going score which XXXX back rule accelerate acceleration about Got this Do And from the the incremental then guys XX XX. Investor Day, XXXX, index XX May what cadence guidance to to with for Okay. per you can indeed XX

Stefan Schulz

I every time, is the XX. same do. would I Andres leverage of AI and what thinking building and how XX. of capability can on everything today more customers. like more accelerating the rule a efficient. organization in our our leverage XXXX, rule thinking of value as from and to AI a for talked business. also to can become we company how be in about the to buy-in how necessarily to aspect say we become we that not We we at about provide earlier then about to And there efficient rate want earlier we mentioned type more better about We're growth infusing do, about that focusing our question of in just We're on

value lot same a we into as help efficient. to that being our get leverage can the at we're So time, of want more well. more customers We how

XXX% we make that we've to year, of a about order the very in yes, do our objective driving But organization achieve And rule is type that to So good in I first in what bought into XX. even that year benefit. feel year. with got every I'm with that of acknowledge we Andres. second progress the accomplished and

do we close fairly to that 'XX. of linear and rule rule we progression, a a said we're of achieving a XX, at pretty would So

we on XX progress very path need feel about the then with in XXXX. get good we're we for have where be to I feel And the ultimately I and So like made right of this type to guidance XXXX.

Operator

would gentlemen, we to And I to the have session. the remarks. Belinda call back like question-and-answer reached the and for end Overdeput closing ladies of turn

Belinda Overdeput

events listening to look to you forward today's Thank call. with you for We at quarter. this and speaking conferences

Research will Conference be York Wolf February Madness City. attending in We on New the Smart XX

and If contact following questions please have ir@pros.com. at any call, you you, today's goodbye. Thank us

PROS (PRO) 8 Feb 242023 Q4 Earnings call transcript