AYX - Earnings call transcript Q3 2021 | Alteryx Inc

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

Operator

Greetings. Welcome to the Alteryx Third Quarter 2021 Earnings Conference Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. [Operator Instructions] Please note, this conference is being recorded. the to turn Lal, host, now Legal. Chief will conference your over Chris I you. Thank

begin. may You

Chris Lal

Thank afternoon XXXX. operator. Chief Officer. to the you, Good today Executive discuss us for call Rubin, Alteryx's today Officer; joining and third Chief Mark quarter are; With Kevin on and me Anderson, thank Financial you

results quarter Hansen, Paula question-and-answer Officer a after September remarks. prepared Revenue release session we press joining issued third be Additionally, will Chief for announcing XXXX. XX, our This ended our the us the afternoon, for

you can would our website. like release, If a copy access Investor the of you on at online Relations'

During not this fourth of we make of control. are They guarantees the XXXX. a quarter about statements to our forward-looking statements year call, future business, of some performance. including our uncertainty, for to risk will and financial subject which and are guidance variety beyond statements our are full related These

from forward-looking could any expectations differ in actual Our materially results reflected statements.

material and and the important available other Relations' our For discussed and a please the actual risks earnings factors to as today's well other release. website, could in Investor discussion important website factors SEC's affect SEC on refer filings risks results, our our the as of that

over release. non-GAAP earnings of With Additionally, call. found that, financial our GAAP will like their Executive to on most comparable Chief Anderson. today's A Mark? discussed I'd these turn today's measures financial be reconciliation directly to Officer, be call the measures measures in Mark to can

Mark Anderson

which to seasonally, another Anna execution, of acquisitions largest proud million of our business, growth. range continue grew across of especially QX, on Alteryx. us leadership high these report right meaningful of on framework you while expertise and and that sets and progress in an I'm I'll to achieving QX, to the and all our guidance commitment pleasure strategy Lore and up An to and to thank subject on strategic the that have of quarter as IO. teams never closing brings more incredible place. the joining us quarter our Hyper my I've the of you I'm our continue well efforts. will ARR for confident of delivered innovation. call - we drive Today, Chris product all update today. operating our been talent our we transformation on in XX% go-to our their right recent year. we It's us update Thanks, for bolster areas market that more give announcements. activity, our welcome including Beating in ARR year-over-year, QX, to M&A color quality, proud cloud-centric $XXX our matter solid the engineering Each

brings, with TAM, believe less transformation to early Analytics pursue $XX this their early doing I from and Advanced user to data-centricity. are their very fast. strong it necessary focus is users this billion continue sense on includes change a which the We would benefit spreadsheet $XX as who million of we this about advanced TAM, urgency and driving we're to with Today, close penetrated our the in the Automated journeys delivers. customers, very X% that and them base platforms journeys is than of Alteryx X,XXX many Alteryx customer into in necessary

down. decisions to to is journey culture. part companies win, market go-to data-centric of devoted make at data consistently will participant their in more recent that around across their transformation from realize embrace hands world to example, every a drive I best For maintain there that as a massive Advisory Meetings, midpoint of A globe In ever. us, at than our need analytics at and important enterprises that efforts. the is the of governments our better major for future our one Board opportunity themselves the was C-Suite ahead scored data

Here to adoption, drive way. and customers' our and we've friction reduce make democratize platform large in journey on our scalable analytics, a to adopt highly been desires it focused enterprises, available in

expanding our in in the team We customer global as developing to continue our well help as resources our and success consumption sales innovation. to invest of

Our to A expand start motion path specific enterprise and deployment Executive two more other department sales we're to grow expand CAOs, customer time, our our land with supplement a three seats and in scale enterprise the ultimately with typical initially, higher model, companywide. more the to strategy may complementary expand over using we is and and CDOs where users our and land selling to in up journey Chief sales organizations Leaders. and

For a CVS CVS XX level in since XXX claims their launched across us membership claims XXXX, Stanley operations, and we & months, strategically department and strategy, our began our e-commerce, compliance cycle up reports risk revenue and over started finance automated XXXX science. Alteryx the and have large with a one seats at in proceeds analytics with launched Through Alteryx deal within X through transformation XXXX, in merchandising, example, handful to over leading They to Team Decker across delivered have seats the analytic now XXXX. seats seat Today with processes. daily depends and engagement, Executive completed in Black data workflows. million of XXX on Leadership conversations. and and

across increase. transformative is is to we a across engage program can Our higher go we organization. initiative organization. end these years productivity by hearing this leveraging approach of XX enterprise-wide The major that, improvements by opportunity XX% three we million the of of Stanley's $X drive with technology-enabled learned how chain is customers to in to we supply the the the deployed governance up to advanced are conversations These to QX, in year-over-year helping in we're more expected what be mature have ARR, have greater productivity. when than capabilities, way nearly an the brings drive had customers organization, stabilization At that, much What targeted analytics. from And and have users holistic in in representing at more of functions conversations million $XXX strategic presence pockets over scale. enterprise-wide value, and $XXX critical is Alteryx million

front our efforts to organization. significant as market rigor make our with that driving operating go-to go-to tools a We're framework, and success is structures to to embrace Paula we The the poised these coming Through sales Revenue investments customer In discipline investments, the Hansen, into team continue go market progress we're continues strong our making Officer, QX, to leadership. organization expansion. in saw us. start hiring. it and opportunity such improvements creating attrition, engine. and and together create go-to significant in see after operational best-in-class encourage of flexible commercial Let's to deploying market matters, the new where Chief scalable

adding to ramp improve. value continues as sales continue Our productivity to numerous associates quickly,

most we be As working increasingly and the also best hire our hard We're partner result, a customers. in excelling and are prospects. to strategically for and more customers flexible to

leaders by their flexible strategy consumer customers I've Choice this Machine Companies leading transformational Voice named Science our the also For grow of more in manufacturer One to multiple capability. for - the With business expansion. the day, analysts Solutions a grow broader named platforms a accelerating we Five packaging for Research well to Gartner's the truck Fortune and ROI was the now a Science going are XXX analytics Alteryx example, I incredible exciting, our and Know and enterprise contracts significant SUV as These hands. as our our enterprise electronics users sales platforms was to analytic named Machine Self electric always Alteryx analytics. is, customer to GX this leverage leverage leader a fragmented part Customer our like Customer's as of vendor of enable of accelerate Constellation encourages part which on now is business contracts adoptions enterprise-wide Service pricing license platforms. Peer much XXXX Learning end and our sellers Alteryx. Data how handful new flexibility received organically very bundles. their the These company, shortlist. are one Alteryx believe for allow we're And with of Insights, the customers of that Learning in organizations still from Alteryx us platform with initiatives departments into to a and customers up capacity, users' and landscape. in address love Equally departments. flexible pathway, and found additional And bundles quarter. as can depend Sharp fall quickly multiple By provides getting of reports and accolades are Illustrating compelling including for win. QX across to across and analytics a leveling At annual for HealthCare predictive XXXX are XXXX, expanding conversations Data seamlessly deliver. separately, our motion, new, of with aspect to and more third an that industry was in outcomes this, the

as proud voice for these recent what our and in the recognized are immensely validate leader. of been humbled of a be unified XXXX. a years, and these weighted Data self-service, we're interface heavily platform No and rankings. customers our easy-to-use Report leader market that KLAS's to accolades for We're customers Analytics continues have doubt, in Platform Finally, as Research accolades saying these our

major Alteryx Designer product our our in Alteryx Cloud an cloud step we to Learning, strategy. on and year, update Machine now a Moving this unveiled strategy. Earlier

adoption make This data cloud continue our easy-to-use weeks, cloud highly release with Designer We our these early Cloud for over the on offer that ML. Suresh and to Officer with Product to products are of advancing the a have minimal Interoperability his important roadmap journey. been customers. approachable excited both product availability now as organic last innovations are agenda. is positive inorganic innovation feedback a across accelerate and Machine commercially and over develop Learning. major this seamless software. and part Chief limited both few on actively cloud North and XXX on-prem journey. has milestone evaluating American launch and participants The products team of no-friction for strides to opportunities and unified our analytics select Vittal, and cloud available I'm Alteryx our using downtime and These share become

to of pillars AI their advantage. democratize analytics customers and are big a focused Cloud-centricity it enterprise. cloud-centricity, efforts data access easier innovation, across fluency three of as to goal around Our for supports our making strategic

Our datasets, trend with to in cloud as second as fluency theme, aligned on-prem repositories. is well our customers' data both analyze need innovation big data a large

expect data We trend this fragmented. the across grow highly will as enterprise remains

AI aimed the insights at analysts. skill capabilities business across by up as a democratizing using help advantage AI Finally, to strategic is

enables solution call, the a Hyper AI-driven talent. regardless for As technical as beginning mentioned access insights well insights. as from capabilities data closed we at to generating AI-driven Anna providing of the platform acquisitions anyone recently I brings two cloud-based of to background automated

We to acquisitions Lore Lore more data modeling add announced Alteryx. data capabilities the cloud, and enable cloud-based improved to the of talent accelerate also functionality discovery us and to recently acquisition IO. IO capabilities. Both brings to

automation morning, with Kimberly their XXth. innovative of technology customer CeCe Finally, deep November Former we world-class ability at so years. thank a in scale. supported Alteryx' I that, and thinking successfully The here. appointment for this several winners over of the of Bellizzi the believe Alexy us experience is motion. remain ahead a like shareholders. past our Their go-to long-term journey partners, turn transform for phase powerhouse, both of and one Alteryx what analytics Board to Morken, of President our Chair fragmented Dan Health our our new to of scale will our value Directors Alteryx transformation and landscape. be for Alteryx we're growing confident contributions effective opportunity will us We're NetApp over deliver as John Kevin. Executive help and Board announced an and data Directors. With Warmenhoven, to two building growth. and associates market members join CEO in Headspace I'd Directors next position and global bring significant to and this the that of let invaluable pleased me to of expertise. innovation to highly Both doing in Kevin? I'm the call I the by customers,

Kevin Rubin

solid a ARR, performance with Thank generated year-over-year In million, million QX, for Revenue new $XXX XX% guidance growth. $XXX we increasing representing and million. in net ARR Overall, delivered QX you, ending of $XX we was year-over-year. QX, in XX% meeting Mark.

X,XXX as customers, We for a global execution walked moment. detail We efforts approximately continue the with to last of you experience of sales into in transformation through improvement including XX% quarter, QX ended a QX I us setting in the will up result XXX which go we XXXX. more well or

Jones and Overall, global Foods, was Company, has which Snap-On, we the Financial Hormel Dow potential stronger Alteryx AutoNation with significant XXX% platform a all This and expand & of net within the BlackRock to Management, across expansion organization. including XXXX. quarter added their customers XXX%

As volatility as market, forward go-to some going that expand of we to that Alteryx. quarter, experienced of the with to we continue see with with focusing 'XX. on expected quarter's we I the a in levels we land anticipate supplement as propensity attrition signaled in a how We half expansion On call, strategic adopt transform strategy and in elevated last expansion largest and customers downtick our focus. greatest expand sales we small the and to enterprise our discussed last first prospects

that on, year. resignation many to that QX leadership. report and we Paula's journey transformation as a attrition as rates the great pleased well I'm are down have market in of As changes as our the improved take go-to this in trending under companies hold the experienced result are

We great another attract continue quarter. talent to and record hiring had

we Mark Lore and Australia mentioned, Francisco. IO closed San based two in based acquisitions as October, of Anna Additionally, Hyper the in we completed in acquisitions

these ARR are also not teams. view, by our and immaterial. only a associated our adding and revenue, of functionality expenses cloud strong point to more operating financial acquisitions strategy talent cloud acquisitions will knowhow, with but From We these expect accelerate adding

overall are operating rate expense increase is While as result. a in there expenses our run slight a immaterial,

one-time some charges Additionally, with there acquisitions. the are associated

guidance. has this factored QX been into our of All

at integration and hard are the work we teams bring new on on the to are board. excited We

X.X want decrease contract of came a GAAP result stated, I this representing from year-over-year. quarter, of results. for QX I non-GAAP unless non-GAAP of in remind years on, million, expected was be will average revenue and refer full X% to XXXX. to moving under This everyone Before two years to which, primarily press that otherwise was discussing $XXX result. Please release as reconciliation a duration, XXXX down the just in our

on contracts. to and continue I As while discounts duration to sales significantly see expect last efforts call focus level account for the on we we ACV as ROI-based multiyear reducing contract mentioned our outcomes, quarter, shorten

and market the at intend further on coming some we continue average While continue to further to the This intended focus elect to contracts streamline will offer our is is customers terms, contract down. multiyear go-to and longer level. to ACV change deal

similar of preferred reducing this and in QX, the Snowflake integral customers' Alteryx XXXX. Alteryx data believe our average to cadence factors we other are to as the modern strong growth we part made how be we dating net experienced. which and increasingly main continues is had Importantly, buying validation financial our contracts companies what in have well our the year-over-year in and ecosystem contract ARR rate. rates customers, is believe shorter renewal partners to is software Americas. the from success discount for We back that as driving three-year an the by like the made UiPath changes duration. continued new our to sell reinforced the early of with consistently Also highest In saw win specifically strong we commitment we

QX XX% an investments as to and drive adoption customer Our in lower due was gross XX% QX product margin success higher compared in churn. to to XXXX, increased

net initiative, strategic over success will this in a expansion discussed a we've and year, customer As to is be investment believe catalyst we drive time.

same primarily headcount expenses increases The last $XXX payroll-related to in compared increase related million QX attributable year. to to were in and our is Our operating expenses. operating expenses $XX million, the period

$XX fully $X.XX weighted a diluted $XX on of loss was average outstanding. per Net loss loss million based operating or QX $XX.X shares million share was million. Our

sheet GAAP of In million operations. generated now the to and from the third Turning flow cash quarter, statement we flows. cash balance $X in

$X remains liquidity Our equivalents, over investments. billion cash, position very cash just strong long-term short-term in and with

outlook Now and the full turning to for QX year.

the assumes guidance following. Our

remainder First, we macro for expect the of the environment continued improvement in XXXX.

that will X.X agreements in like subscription recognized call release. risks our third, the with today's of that And in factors the remind I'd subject of trend to various duration cautionary time booked and we've over XX% the contract. in of shorten TCV guidance remainder approximately earnings recognized average referenced ratably the is upfront important to the our Second, years. and to and continue below you our today quarter

with to of For December QX XXXX, we approximately XXst expect year-over-year ARR end million, which represents $XXX of XX%. growth

discussed or as and such As the impact we contract recognition the previously, not of have revenue. revenue ARR of health overall measures impacted by that duration business upfront some mechanics the is

which expect million, in to million the X% of $XXX revenue range We GAAP year-over-year $XXX X%. of a to represents increase to be

non-GAAP range $X.XX. million million operating and our This the of per in $X shares $X.XX to $X share expect outstanding. weighted non-GAAP income We assumes million XX.X to net average be income of to

the GAAP the translates year expect of now into be to For to $XXX $XXX we of 'XX, range $XX in revenue full X% which to million X%. year-over-year growth million,

We our of operating $XX $XX million non-GAAP million. in range loss the to be to expect

share net from is non-GAAP loss expected to to range per $X.XX. Our $X.XX

loss non-GAAP outstanding. shares per XX.X million net Our basic share assumes

Finally, with quarter have to progress the position of of for on XX%. for rate one with I our more year, In phase growth. we am made next transformation tax the effective Alteryx summary, journey expect to we pleased an the go

roadmap we'll positive strategy through from our accelerating us transformation puts a this the believe seen Operator? question. We And and that, with to growth advanced the announced open to go-to future. acquisitions. year, two recently results on through the the organically in and to have our We market call path up both product our

Operator

with Bracelin proceed this At Our your Sandler. Piper session. comes conducting question first [Operator Brent Instructions] of Thank the question. we'll a you. with line time, question-and-answer from be Please

Brent Bracelin

if to one anniversary, you're hear the priorities couple two one, that you're thinking there good going questions could. now I about two. approaching you maybe kind you've the market spent from of year Mark, A Are overhaul. on focused afternoon. last the year love little go-to shifting given how me a here bit really into Thank and top the year

curious quick and Paula. follow-up Just hear one would have be for that to

Mark Anderson

demand to I know, Yeah, job going? Good and see you that organized year done you the after to on back into where the bet, be to listen more. innovation year How the the environment it Thank deliver volume that and quarters that and that think XXXX, to a transformation to for know as monetize able to our still I both a the I talk what as is can of do and here, Brent. well way we're Yeah, the I fingertips work year called you at you. of question. think of three to we we put do or look you earn permission customers,

I think shape in really good better like right and in been we're we've I feel never now. position a

operating I think know and leveraging go-to going FY both about model, innovation 'XX is possibly can. be you the for know efficiencies the cranking out as clearly we of market then you much to as

think the going broad we're us automation. know a this last in half, a you do and And pace permission want for roll customers in up vendors, I and going this there's fewer saw know more and organically to inorganically. less week complexity, we're do to you this to you as think I platform

So building we're heads down that.

Brent Bracelin

kind should it you of build when of the you just here to of back, for implemented beginning Really there color be did some couple we half? the that think was pipeline Is of And the How expand pivots? that in tuck-ins enhancements. wanted helpful? any drive obviously circle 'XX. about in the that change would those the felt pipeline acquisitions could go-to shifts here to sense. and and market hear like for next on changes kind joined Should and will these a helping or provide bit super year? the great number go-to pipeline you a Paula, to second little of about we think I a market plans Thanks. a makes May, pivot with Totally help

Paula Hansen

bet. you Sure,

their analytics our different seeing definitely continuing can companies engagements that, our they in an transformation in So, efforts. with is to is their understand what the bring analytic advance that interest maturity, to value there customers we're

And expand work the And the then to we very a an that of and particularly capacities, motion our customers are lines and capability across our there's democratizing indications across appetite capability. And so early continuing demand that's in we're of and land are through this supplementing with enterprise. that to two sales business. Executive level at course, and scale the the with build conversation for out around analytics bringing effective, enterprise

much We lot hearts then to earn also we continued of announcement that level with drive quality solution of them up Executive users customer the when feedback. talked product of And And back of to agreement, making enterprise the easier it the it capability high the at about our we've to feel our adoption. we're success and that and a enterprise for to with minds then we the the consume scale.

So, we are heading in the right direction.

Our go strategy the into customers expect to and year. this next continuously are validating we

Brent Bracelin

hear. Thank so Great the to you for color. much

Kevin Rubin

Brent. Thanks,

Mark Anderson

Thanks, Brent.

Operator

Citi. Please Our comes of Radke with from question your question. line next with Tyler proceed the

Tyler Radke

customers about for Hey, talked friction sales faster Good of flexible key your taking that just this one the referenced afternoon. consumption. side more some your some doing Mark, on you enterprise with And since allow arrangements to of initiatives quarter of past you've the thanks. you're over. is reducing

Alteryx we more of for predominant are is pricing the thinking on maybe - of just understand of about where a help used use things or in the would way As towards cloud-based play paying consumption start How about to being predominant the ARR? Thanks. cases of basis. think that measure the into And the how Alteryx kind evolution us model? potentially you consumption

Mark Anderson

a know anybody bigger heard aggressively current cloud cases think in in pricing yet. for you you and But listen, know of and you the me not look on potentially sense get But we of it'll building new we'll timeframe know easy really on. which cloud the XXXX, what Yeah, It's you you Tyler using XXXX the of know important that probably I've you our - be it's just we like it's know, still forced is designer board, think next we're phase to addresses the be know a know, But the once know pricing Tyler, as that a in you know know stages an additive some different for time and the GA personas net on think and I we as a for well now bet, sneakiest early reminder, goes cohort that question. you you is will and a it's way different Alteryx That's product or Learning, beyond, for to asked plan. Machine ever the year. for part that piggybacked replacement this like, use big models making going us learning many a you It's thanks product and have announce early we that's to to sell. January-February in make migration, our you bigger Alteryx hoping of business comes plan ML, journey of different right ML users. and a with

we're innovation. out going to crank this to So, continue

Tyler Radke

I maybe in sneak follow-up Kevin. a Right. And if could for

and think is Just in guidance hiring good we growth know, it you to ARR out just sales a sounds the understand off it trending Maybe expected, you takes down you attrition like in new us about and saw a net above nice you is folks clearly start. existing know you where for help ARR. the just know there came looks QX and know puts as you QX, reiterated like

keep that prior a bit higher you you have is Thank given the quarters, instead as beat? of year of know after leading what in kind So, things you raised to just the that take you. full guide is

Kevin Rubin

you a the high guidance intend about I is of look we for know, technology I can demand have think about QX at know we've guidance as marketplace. lot I Look, you we're that we me momentum is do a Tyler. there we Alteryx mean, And in there confidence Paula's encouraging. the in feel thanks, degree maybe put you know leadership that market, describe Yeah, this QX. talked the we a and which for say let seeing we particular. would We in obviously like mean how strong to go-to certainly the out achieve.

ultimately would I lines. pretty that QX think expect. close for nothing relationships. look net us all number if very previous at have you have one into of and implied would new And visibility what strong rates, is QX know expand the look you a to good does of the finally, customer rates at it gives consistent I we remind renewals, this renewal that which opportunities for pipeline, different disproportionate And trend with you ARR to QX know QX. growth expect just is guide QX, you then if in you

know it think all you So I in line. comes

into question, that we hopefully you going know anyway history. Alteryx's So are expect the you but we answer your what know to be largest in quarter

Tyler Radke

you. Thank

Mark Anderson

Tyler. Thanks,

Operator

proceed Please from question. Wood Cowen Company. with your with comes Derrick & the question of next Our line

Derrick Wood

you'd How to that of Great, three touch how discounts just been what's you the year? or change upside kind less kind reaction how structure is by as have upside one they the outlined reaction get don't and wanted know year. to get the to discounting and captured kind of as kind with customers of discounts I trended the has one you from the maybe with of just you know I they go years been go ARR guys used on that thought the to - thanks. in you

Kevin Rubin

Pricing couple ago of ACV that with you we And And aligned the deployments. a I will those that. that that of delivering. know it little And those in a you than value continue focused Appreciate offer embedded a customers that customers the what customers. environments. of longer-term with we're you be the on contracts tend longer in as those engaging are And it to know the large Derrick. contracts implied longer-term may as those years means time. period favor we've you is very contract ACV. price align with doing as those to to them think to trying organization And there regards. course, customers focused for thanks, know relates protection different mean, said have we're to it customers, tend we're strategically been is gives when really really about to that past we've ARR. bit Yeah, we're around that in you the know, are are sellers clearly But Look

So you dynamic, driven how the you how this we customers and with I their is think if contracts and know lot being a will. you them talk intentional and ultimately and engage less to dynamics of it's about other we any pricing know about by

Derrick Wood

Yeah that's see clear those Okay. execution to the through and nice changes.

question, or in year-to-date you quarters you've hiring Can looks like sales just sounds and of from know of capacity year? talent and should growth intentions a going Mark your hiring. record had the how end that about you're two we think mean into where attracting you Second what it row either I share Paula. the and like

Mark Anderson

you Derrick. for recognition Yeah, Thanks bet, that, on yeah. the

driving. hiring we've know team the on keep built you in know benefits Chief with recruiting Officer, You and we've decision targets year, as know, double here up that's made operating up the and early important very the been definitely to you aggressive I LDK I - you some People of think really we kind know, plan that is our our yielded to able

hiring context. guidance a I'll - specific give that you giving of we Derrick, of a know But in her and specific Paula talking you terms here recruiting you the entire about is you recruiting more and and I In but capacity, don't that, machine let she's tell sourcing business the and language sales about can know, a on do and she's kind about talking organization talk opportunities. that they same got

team for it's real sales change very and and the mind the they here responded well a it. to shift leaders so, And

Paula Hansen

have, where that things we into rigor want like globally familiar hiring enterprise with What our have. talent the through great we, you the hire have want you is people cadence? bring make over does investments? What market? well certainly get and you of seen colleagues like do a companies know, we of we're talent you hiring and to pool we And is, to recent as have go-to model and them see principles around door to software a that and uptick types market know, an moving that the look and number rapidly like from the the the their rigor with the the your question in we've put people they opportunity regular once operating to in to run look forecasting, want a that that cadence know in and approach much of that we news many of discipline with we them with often where Yeah, And months. they those we at it's business around similar work. We've like quite an reputable that hiring

Derrick Wood

Great. Well done, congrats.

Mark Anderson

Derrick. lot, a Thanks

Operator

limit Thank one yourself please question. you to that you. ask We

the question Please comes next from Michael question. proceed with Our line of your with KeyBanc. Turits

Eric Heath

on question Heath Eric just is for Mark, for on this Hey, my ask IO Michael. acquisition. want to the you, I Lore

Data Cloud and just you taking advantage could that step the talk Alteryx of a out offering? to push multitenant this building So a direction brings SaaS be a what especially down in with about of further Compute. Could the analytics platform,

Mark Anderson

an down of really that know of They up know that a certainly these and Well, good Lore that's platform make one roadmap. and know is woke you, that's they've realized got fit - But you engineers yeah. better the more think ours in ed of such belong path feature they particular than that's why day I I tuck-in. the think technology - building Michael an a a Eric. think like and in us. smart acqui-hire objective tell acquisitions they're you the let Listen I think size for me an longer-term sorry, I you

in So into and in different workflows interface organizations they're where be absolutely Snowflake engineering But able or know down to product hire push want want like don't a you plugging specialty their area through orientation the already into management. and gone an user already is the leave to customers to new push and down Databricks. environment

of smart advantage But fit into construct these very a importantly more us And I people think we on quickly. is acquisitions that certainly so will you addition know feature to that bringing in of really all really taking our well. plan

we've they really And with time I'm pleased able prepared this been allow the six I and I last as think to do said months. more these know matters us make that kind in comments. way quite the faster on acquisitions the of You do in to two

Eric Heath

clear. Very Thank you. Great.

Kevin Rubin

Eric. Thanks,

Mark Anderson

Eric. Thanks,

Operator

question with next the your of comes line Our question. Ittai Oppenheimer. with Kidron proceed from Please

Ittai Kidron

Salesforce Mark, Thanks. making follow-up you're I there. on And the clearly want progress over transformation? to very good

respect that's exactly to and But want the get you things? baseball the great. from are in new with to doing the analogy So what give towards you change where your way perspective maybe you know to the inning you're perhaps talent getting in you a can and alignment us

Mark Anderson

always a thoughtful lot, I questions years. Yeah, appreciate the thanks over your Ittai. really

for quarter we fiscal certainly in to this, know It we're to fiscal me, you know people quarter right hard third allow feels a the You got be right know back and - can to excuse build two we're the And year go and or now year. we're know just listen, an half like lot. you we've customers awful done months full now new plan us you fiscal in investors. and with working in prepare that the the fourth the of successful

but the lot chunks now. So, rearview the a I of mirror think are big in

a combination. it as you we've teams now know getting team. you as great of the I some and we're it's think have just pretty the innovation And said, high-performing here - got a - the both we've I stayed as go-to the at mix amazing good operate we really that lot and for makes teams into on stabilizing to people that people added close. we well mean, market really like a know Alteryx

Ittai Kidron

luck. Very good. Good

Mark Anderson

Thanks, Ittai.

Kevin Rubin

- Thank you

Mark Anderson

later Talk on. to you

Operator

of with the Kamil comes Please next with question. proceed Our from Mielczarek William question your line Blair.

Kamil Mielczarek

my taking the you customer Thank on great Congrats the quarter all. growth. for and question. strong Hi,

environment? rank from and local over you the macro would market is sales much expected the And seven by [ph] go-to is think improving acceleration? more quarters, some drivers I you. on contribution maybe level like out How ads the change of growth is this how new headcount? of highest few new strategy? out productivity something [GXK] Thank customer drivers much growth? How in you much to the And years, from then, the detail how net reached Can see. improved great if break it's next looking

Mark Anderson

great are question Those -

Paula Hansen

all in so I Yeah, increase and are our our sales their terms seeing capacity. that And think are of we transformation the demand definitely the to we outcomes see improved efforts. that solution productivity, value within recognizing different you strong we drives customers it play investing of the that market into their for a sales the on in to results hit factors were

cite probably the of each but three without So specifically percentage, to as difficult the to category a too question, those quarter. of contributed all success

Mark Anderson

important top the Yeah. to just also say important - And become Kamil, there to be think going I'll acknowledge to for that know increasingly us. are partnerships it's that out I contributors you line an

You build UiPath these and the technology we've is demanding. know, muscle opportunity now with to just starting certainly that seen we're take go-to are and Snowflake of market to demand partnerships with that the creation And really advantage customers terrific. others, and

partners. us of those it's than lot gets creation part with that us lot a just it to of activity demand chance integration about doing and a the we're demand for events creating more of a So creating it's talk customers, gets

have every thousand been things we listen, better to all never orchestrate suited quarter get are to things I all thousand we together, do a this and than today. So we've orchestrate think those to

Kamil Mielczarek

Thanks That's again. great color.

Mark Anderson

Kamil. Thanks,

Operator

of Our of your with next proceed the question. comes Please America. Koji from question line Ikeda with Bank

Koji Ikeda

and and thanks for Kevin Nice Hey, Paula. Congrats my Mark, quarter. taking question.

for be might Kevin. question this think or either Mark I

was know at look the the I You targets back in same and at about they Investor and long-term the the or given the that in ones they May updated deck, back were the are noticed May, the I same investor in back Day. looking

joined preferences A changed. and contract the a released that changed have the duration I of too. in things you've Cloud. about acquisitions thinking have couple Just you of team, Designer lot there, know mean, Paula has

guess terms about could you. to in Thank the targets know timeline maybe how scale of you us I about be the So think or you revenue long-term of you might overall when long-term achieved? know targets remind of guardrails

Kevin Rubin

and Thanks, one, Yeah. don't I'll mind. Koji. go if you take that ahead

would Day, when you long-term we scale the that view, are I achieve for business think presented we the targets know targets. you the four leverage and years I at know pretty So clear frame a that the you to this basis is running the were long-term Analysts to know profitability we on in that six back

hopefully think to have quarters on we to we served last I continued believe we've growing pretty this at which high consistently, focus over that business said really demonstrate. a many investors as the best are rate

long-term we're versus understand know is And and I we target. result. products margin, you to profitable you profitability more in see ultimately portfolio move important so, we as long is, on period are think going somewhat the as of impacts of deferring highly the to achievement growth but cloud do that period time, What set of the focused are this is a we a to to think to gross over that introduce long-term business as

Koji Ikeda

there. one just quick Kevin follow-up Hey,

on be want Just clear that. to absolutely

versus four say to scale on time on focusing in you start leverage from growth. to the that years want six where So point Did correctly? you I hear

Kevin Rubin

right. that's Yeah,

Koji Ikeda

you much. Okay, got so Thank it.

Kevin Rubin

you. Thank

Mark Anderson

Koji. Thanks,

Operator

Stanley. with line question of proceed question. with Please comes Sanjit next your Morgan from the Singh Our

Sanjit Singh

release. really is limited really you out question - of Thank Cloud] market the a might sort product the And was about see my it have for Designer, you of for we question. roadmap you [sic in Designer the Like sales taking thinking Cloud in nice it's go-to terms as think the to scaling know Designer about into which the as XXXX, the going about and Cloud about that sequencing what other is for motion at you - vision could sort sort that if that you know the XXth that product of you of would that the be coming of last there. together speak looking of the hinted correct of personas customer, said, on Mark, you year pieces was then a And even I'm Designer, Cloud beyond different wrong do do target maybe the think if how target different me sequencing great. come to

Mark Anderson

Yeah.

for Thanks question. the so much Sanjit. bet, You

a because to that, than customers You want they SaaS, I respond real few to want we're can been environment, know think that's and in power clear that last wanting And where Alteryx backend VPC know you the got more to Mac, any customers quarters, going. to with about - these users and the for and the environments whatever, use multi-tenant that. in in to more we've Windows listen pretty we've a cloud platform build frontend be a exposed

can with and Hyper Hyper you continue productize So customers know going in build on Anna we'll use more solution. to as Machine we're amazing capabilities, Anna. our to the that solution cloud-based know to automated premise-based you that you journey help data people know like We're we can from products as designer so Alteryx Learning our technology their that desktop more both insights well sources, amazing ML going get tools team more build on and more

you So stickier going capabilities ongoing new I every three months Sanjit that's new products, us. why CAOs and the only just to partnerships that larger important six know and know users forward, see Data stickier, and Chief you you'll our make solution not is CFOs will driving features, to what think projects. that to new are to the analysts become these to the Officers but on the and the And the transformational budgets really continue

feature you between a Cloud, and have know I might in the - Designer Designer point even not where excuse of terms you near-term future. it's parity data to so me, getting think And in

it thought as be separate product. a of needs to So

Sanjit Singh

much. very Thanks Understood.

Kevin Rubin

Thanks, Sanjit.

Mark Anderson

Thanks, Sanjit.

Operator

next Nikko. comes Koenig Our Please line from of your question. question the Steve with with SMBC proceed

Steve Koenig

on congrats a and question my quarter. taking for Thanks Alteryx. solid Hi,

Mark Anderson

Thanks, Steve.

Steve Koenig

Yeah.

probably notions now. pre-pandemic, had accounts. use know So, that run into level with the to flexible Data that they to falling did giving let's with have the that by do focused you had a is, at say, you know, our that limited sale for sponsored Alteryx sell et Level? you pace particular yet. maybe we focus seen do you're your wondering we fair avoid at of where where situation Chief amount for cetera. it widespread, the at clearly software that kind where into we more stuff Shelfware bundles, when and to you used I'm higher able it getting situations so the How but software executives found Executive in commensurate of Officer, a How that. an And which you a resulted creating not And trap overhang were know sales you that's on the know you people haven't the of But were the up but situations avoid end pace seen than Mark, you're -

Mark Anderson

be customers going there, productive consume question Around you're plan, our where building very was long is it, for tied to strong wondering to I Steve. great think you number but probably one, our question. on run. a And I operating a most thoughtful important it's making foreseeable know thing. us, you up our salespeople future, for going the more know Yeah, success That's through for ensuring the tied that innovation. there right our

some so one another thing to are say support. team sort and know the customer organizational tripled customer And it's thing to enterprise-class size that's muscle it, out success of building the put behind of is almost which we've you why

to that it, our, next just sell our to we of So call on something in resources customer, there use to that we've them library got in them buttons to faster. building but to able consume that's really stack cases and the be of use we're And move resources are customers for not put to of front it. be that that customers to help value like easy get a will why

some this. more lot introducing Paula know, so you And have is into that Paula, are of mix sort these the the a of on things But you might here. context

Paula Hansen

realize multipronged I I customers approach know going a that really that a the question. And on Yeah, that they're making I deliver to it's you there's And we're feel areas value that. it's I where our - help the making. behind three think investments think sure to thoughtful

applying to is and set customers just we're is of from than the on really resource adoption that we focus the about the really transaction much in a ensure that support, side. it's First that other perspective a technology more that to it

it's a on that to into customer as and supporting as our actually models predictable them value. help to and in that front, the now The the flexibility second so consume. consumption so and And helped customers grow them their to as but too thirdly, Mark piece of with with available investments enterprise grow agreements of way, large make with our up have and come them turn not that asking the that now best customers is needed we the they sort flexible we're helping change side, to many investments all things management practices our tools enablement mentioned, adoption then success operational giving

and some next to this, our really year it of to assessments means, think exciting I benchmarking be about are long-term more other the only think that and and and started we they know as the for but in it's realize there's So, have capabilities, the on customers know capabilities you in exciting getting value we're this where you we things investment. we're like with going

Mark Anderson

Steve. just And Yeah. on one this, maybe closing comments

I be think days I is in old pre-pandemic being with our you will it to applied what customers better, deserve. attention working excised by Shelfware the better think common transformation the pretty is that's know I know time we're You know think and get and so and that's hard out evolve to by you notion better vendors, partners digital all over to because scrutiny things why

Steve Koenig

you Mark and thank very Right, Paula. much,

Mark Anderson

you. thank Yeah,

Kevin Rubin

Steve. Thanks,

Operator

from Bora the J.P. Pinjalim question with next Please line your Our Morgan. proceed question. comes with of

Pinjalim Bora

GXK about million are about down that at of one question. How Mark, customers way look for million. a is are to Great. it? your bit, GXK my that understand of mean, $X I opportunity? - XX% Hey, seems the mean, there question kind I you retention come little taking about opportunity. like rate big on the GXK thank is has I XX% but a customers $X of

guess customers that that in hopefully can a I still that lot expand GXK So of range. these seven-figure

So what it changes, cloud adopt something contracting Is to answer factor? that doing? making mainly that related to gating already understand the is these else? or Is trying easy you're to that Right.

Mark Anderson

factored Pinjalim? what So of getting to sort

Pinjalim Bora

the customers ACV? like Gating of a GXK for seven-figure the factor XX% to reach

Mark Anderson

Yeah, Yeah. roughly that right, - Do numbers it's we think okay.

Pinjalim Bora

you I XX, of and customers - your I'm said just XX have right You believe, are XXX so million, $X GXKs

Mark Anderson

spirit of the replayed statements, we I yeah Right, I right. comments across listen, GXK. question of I a And of a the a data-centric Yeah, all most that where culture. very were customers thought customer where at recent Pinjalim beginning, segments, it's so. you journey our were in in the were the clarify and know they understand thought that mid-term. think prepared nonetheless, they think But most not Global them companies specific had, at become made the C-Suite they the to just - were we to the did Advisory to self-analysis your mature thought some that's they at of best, Session their

And the GXXXX going that's the think, we is markets data. GXXXX. just got the up so our you you X% companies know And penetration resources on realizing they've get the or addressable to best where act return a know the it's that's get in we to next years, with into five is, majority make market to decisions because three together to are their for waking that and with better in the where vast focusing we're think of most market maybe total

Pinjalim Bora

understood. Yep,

seems acquisitions? investment it's acquisition? to guidance a entirely doing? follow-up, to like it incremental income Okay, The mostly you're investments operating bit the Kevin. lower and there any you're related saying one is is Is related seems little that Or like

Kevin Rubin

these know know my now run did guide, commentary the these that rate. to are relative both obviously - No and increase you our we acquisitions you was consuming of - they two

expenses you just So, higher in to were bit a some trying provide operating I QX. why color know was around

Pinjalim Bora

it. got Thank you. Okay,

Kevin Rubin

Pinjalim. Thanks,

Operator

next of question. Chase proceed Donovan question your from Our with line with James. Please comes the Raymond

Chase Donovan

question. the taking for thanks Hey,

kind M&A. questions to Pinjalim's on of the wanted are Just on that piggyback

Lore to your You most functionality where future or appetite you kind the kind achievement Analytics and your acquisitions. need? for towards you guys guys announced the of What to broader the and Hyper vision? of Can IO pressing Anna of achieving just M&A kind opportunity add Platform talk and platform biggest about see

Mark Anderson

Yeah.

talked before. exact XXX Chase. over and bet, they the market well the lot think question. I like them for vendors You you Thanks sound same this know thing. space a Yeah about in we've listen, this of There's do

in Alteryx that that it's think go from going I what stay early to fact of some you platform. for most We companies to - customers does fragmented are confusion know a the signal for think that, the means go time. journey obvious what that's their build who and there's

Chase Donovan

Okay, thanks.

Operator

Our of with with next the Blair question Rosenblatt proceed line your Please Abernethy from Securities. comes question.

Blair Abernethy

nice and you thank guys. Well, quarter,

strong other where the terms How today? your Just another wanted know partnerships PwC. a you've of had where you're you you - obviously little year to with your ask in about and you the thoughts of be longstanding, to And looking bit say, or a you market are major relationship go-to Sis you'd some for XXXX two positioned like at how years?

Paula Hansen

you. thank Yeah, question, great

committed very for we're we see So a how We've we talked about lot partnerships. that lever go major as to forward. our as a growth

PwC new we're leave think years the about with on customers and acceleration areas that that projects much lead others. so example, a now of and that As chain with conversations you see that's of transformation as relationship started increased in in there's getting we an supply the and we couple know finance unlocking terms still just of into they in with PwC

landscape about ecosystem like there. customers transformation to traction we've in be excited continue us expecting going the know great really UiPath, in our to relationship leader over data players together see the we're XXX where efforts. that customers, help really many our that we're many to partnering a we're we relationships growth are and confident also seeing of with our other great joint to and opportunity Snowflake, that I'm Snowflake technical you with partnering had So We're know there

get expanding access that where you'll benefit the able who to look areas of to say of and in for partnerships to in be also there we'll number XXXX, know then have be going out and able success many into the would share. other see the to us double as number you're down us support our see we in of our of customers customers I needs. be their we solutions that of to So, terms into partnering want And us stories ecosystem those will

Blair Abernethy

Great, thank you.

Operator

the now have question-and-answer gentlemen, call end of Ladies the you. turn Thank we remarks. to for over will and I closing the session. to reached Anderson Mark

Mark Anderson

time in about and opportunity really the that Right. beyond. thank much Thank today. about to QX 'XX so you XXXX you, operator we've FY your in progress excited and the excited made for make and I'm really and history everyone

attention. and time your for all you thank So,

Looking there to forward field. in you seeing the out

Operator

you participation and you lines wonderful concludes have This you. disconnect at for this may today's Thank Thank a day. conference time. your and your

Alteryx Inc - Ordinary Shares (AYX) 3 Nov 212021 Q3 Earnings call transcript