AYX - Earnings call transcript Q4 2021 | Alteryx Inc

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Operator

Greetings. Welcome to the Alteryx Fourth Quarter and Full Year 2021 Earnings Conference Call. [Operator Instructions] Please note this conference is being recorded. I will now turn the conference over to your host, Chris Lal, Chief Legal Officer. Thank you.

begin. may You

Chris Lal

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

announcing Suresh remarks. a joining Hansen, the us our and question-and-answer Chief results This Product issued Chief our session Revenue and Paula our fourth release XX, Officer, full prepared afternoon, the for press we ended Additionally, year Officer XXXX. after quarter President Vittal, for will be and December

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

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

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

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

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

Mark Anderson

today. and of to increase modernize all guidance. to XXXX, business, and annual that as how transformation and serve note, I changes innovation a outlined we designed our customers. well you to our non-GAAP on and with revenue all for revenue, significantly as delighted development streamline we sell Thanks, I At operating comprehensive an product us to report year beginning the joining the thank income, Chris call exceptional on beating and finished recurring the am

change, ahead $XXX every back, on in finish to and customers It’s number Looking exceeding me million QX. added entire in job forecast gives at the by such massive my early that opportunity sense will to in are a we they highlight but only contention tell that a get on joining and digitize Business workforces, is of into I in journey net of XXXX initiatives our many while new priorities fiscal for delighting proud during progress going ARR impact year. Kevin for into year executing a XXXX we the for see Growing wavered us. not have year. CEO to million new one This of was our results. record ‘XX. year-on-year confidence before The imperatives of so $XXX made wants am up outlining for and ARR upskill become increasing. show million data-centric Alteryx, $XX delivered our us. strategic the momentum government the details, I’d and in fiscal frequently the their urgency year the that our I our the Since to some of like and organizations. of kind XX% wonderful We leaders to have me their Alteryx organization for

over this study see to approximately a XX growing clip of concluded believe These and leaders and be completed Today, workers $XXX literacy at across companies we independent we a this will us democratizing opportunity our market $XX by there in according As data recently XXXX, billion billion we the advanced new across of that are and strategy data well. with are we there analytics are market. to million projected towards worldwide emerge exceed markets Furthermore, generational healthy data also IDC. this IDC population shift believe a positions engineering platform that analytics evolves, space. as

through on this strategy will innovation, expanding and executing opportunity our seize through go-to-market We partners.

roadmap Our and product leadership, to innovation our continues inorganic to drive product advancing and our we innovation opportunities organic both to continue Suresh Under strengthen. accelerate Vittal’s agenda. are

of We centricity, strategic and are focused big on a three innovation: fluency advantage. as pillars AI cloud data

Both have and making Designer in are We been terrific Alteryx Learning America. progress. Machine Cloud available North now

Alteryx in share seen the in addition, success that excited launched we to we In Insights Insights formerly with have we Auto are North have America. APJ Anna, Hyper now with Auto

analytics certainly customers and across will data modern architectures more cloud data need cloud a deploy operate to bring and and more increase. warehouses data As the their to hybrid environment,

ability Our Trifacta this customers to problem. solve help our enhances acquisition of

We products. of audience, order across key expansion keenly interested functional products: for cloud In more our modern flexibility. products. addition, update growth engineers. know our cloud in learn strategy In Alteryx user accelerates Ultimately, to that all Auto the at more aligns about and pricing cloud-first talent of areas combined inclusively Trifacta cloud. our portfolio by will us and with to we bench strategy of we on cloud brings platform Machine you that for work expect including all and to the acquisition it go-to-market Today, pricing our of Throughout back-end expands our XXXX, very rich nicely become to environments you adds and we Trifacta adoption to Trifacta public scales more into core giving IT our for build with growing Designer our Cloud, three strong Alteryx drive customers particularly serving encourage the data customer our journey is our Insights. our cloud-based the This product a Alteryx business. our launched with platform. our to needs This progress. and Learning this cloud-based leapfrogs are also of introductory us within portfolio base, IT.

their to For journey. the with Collectively, the for we mature analytic while on will capabilities pricing contracts are further Trifacta, experience reducing friction based retain more we consumption. scales existing customers’ providing them

being The and include: deals Under we traditionally have on closed leadership, for On scaling world-class our growth we seen across the go-to-market been team. in customers improvements Hansen’s and execution major scalable with engagement foundation the more for coordinated points have ARR, highest than coverage, customer more and up million in no expansion in ended partner different. with Other processes, ACV is focused and $X we XXXX front, double XX marketing do we tell over renewal a this XX% focus strongest XX% quarter since year-over-year quarter We account results. Customers what me the this sales, sales Paula them $X saw The continue in quarter, year-over-year resources. shows the sales closed ARR and year confidence instrumented long-term fourth our building QX XX proof nearly through discipline. That and it growth do faster. helps business XXXX. our with is quarter in board. in million We we a representing productivity rate growth. to realized was increase in success

leveraging moved purchasing future saw because strong example, expanded away ELA large by a-la-carte from new our a they bundle, growth. For insurer for and multi-state a appetite

partner. this and for expanded This the and leveraging organization. Alteryx MillerKnoll, delivered our to Alteryx modern office their to has was challenges, and driver supply Alteryx, The which out now pulled Alteryx finance applications is chain seen factor By and in provide of and to the Additionally, to the throughout Snowflake, them in early informatics formerly access FP&A elegance with integration from known to is to known integration data their actuary, was sales, finance company optimizing and their use into automation value and a MillerKnoll key from that to stack Herman tight important They actionable departments. Alteryx using the and became required. insights to how car scalable as with generating cloud flexibility their change in analytics are An applications workflows, this are FP&A is value forecasting aligned insurer with company and real-time and customer buy coming strategy. due business SaaS team. a to across is MillerKnoll. their decision easy home and real-time partners critical modern rental speed we trapped departments. data leveraging and And planning, for between quarter, our generated the a initiatives. key ELA using primarily stack automation drive SaaS and feedback is analysts, data America structure quarter. budgeting business was insights. Tableau preventing a being The leading platform platform address and Miller ERP and Snowflake up and building Data this furniture, the Also integrate technology the includes up-skill

MillerKnoll, vendors and customers on we on the to developing well focus together. work continue partners. partnerships, ecosystem distribution Next modern expect Like through strategic technology to

and we data experience, modern out, to ecosystem. in speed data better for solve move customer a centricity every With generational As a value. actionable well-positioned to increased are partnership, we insights the plays more

remarkable strategy to allowing getting customers Our Reuters, risk range to solutions reduction. lot technology and sell upside efficiencies Alteryx of here. these collaboration. encourage Reuters dramatically is deliver results for Thomson with partners seamless is three QX, key integrations their with just broad of In sizably is leverage yields deep business going there Thomson them partnership our field a flywheel This of and us that we and customers across units. with for expanded improved

education QX, leveraging and Alteryx their enterprise partnerships In XXX,XXX achieved count data This sales how more to to XXX allows unlocks also with and towards Designer place to and Server knowledge and the means a in with us our of AWS became streamlining all have billing. global universities. product program, now XXXX, Alteryx, commitment. AWS This In discount while SparkED us. in skills. upskilling learners have new with We expand over progress now Alteryx we than at our the provides Finally, programs consumption procurement Marketplace. levels of acquire the reach. initiative terrific we customers that realize great analytics This opportunities AWS annual representing can students customers for empowers available go-to-market purchases value are that consolidated example

SparkED our data evangelists their create technology who thousands ambitious Alteryx throughout to advocate plans have leverage of We community to with careers. passionate of for hundreds

X,XXX As partner momentum successful XXXX, week’s acquisitions over are as including in-person team, was had well our solid an last XXX from sales years. executive the this on focused incredible. to leveraging first we the attendees, participants. The We as X three over kickoff, well in our hyper energy time recent finish

and our team constructed ‘XX. have during as optimistic to strong execute to execute we still plan do, for continue we have in FY operating been much We greater. another will never I’m results confidence ability has their operating that FY We solid but ‘XX, and my to see work

continues innovate field ability our improve in as transformation. Our of the to we our to readiness sunset is accelerating, and year

will that initiatives an and to we our assert in will Now XXXX, Alteryx of value define platform for the stack. data modern cloud while on our focused build broadening on the key innovation squarely year we analytics our as moving a success. leadership are This following be integrated

vision easy all democratize their complement Our to is are make flexible on-premise providing positioned for enterprise FY in We we analytics across build using that to their ‘XX. on while to easy-to-access vision investments. believe still cloud well options solutions, it this customers

innovative Our now. Designer Server, continue Trifacta, X no-code analytics our available including new extend are capabilities that our of core products, All automation. cloud and products, low-code, to deliver

are customer base to of platform quickly cloud solutions our these our move of Trifacta integrate on We rest we focused as XXXX. adoption the across unified through driving cloud as

Enterprise the year. robust land ecosystem the focuses last strategy way to realization. the a initial XXXX, we selling by all value go-to-market put on Our value through partner class, place Global from the foundation supported in

resources Alteryx to and results believe have and our transformation the last support year. but to partners time, in Customers leadership. initially well. team work never globally they much, us. for and I’ve this so so customers launch democratize we provide beyond. grateful I behind their are will in seen advance digital our options execute And progress portfolio in am be their cloud in unified platforms I in customers time. doing the customer-facing In this especially vast The of we’re of I’m right and closing, XXXX Paula’s data. an as proud winners to long to a under put the executive and long Our looking and believe made employees, our drive of confident growth now extremely data for analytics automation I fragmented with we very the things I’m so more quickly I’ve way aligned meaningful journey. for doing this been innovation of for are a And XXXX and transformation highly a our that will landscape. and our one amount predictable so agendas

XX hold updated powerhouse, are forward to information Day annual world-class you our being let turn also the user that, are to motion. on progress Inspire, innovation We look about Analyst the We’ll with me a to from soon. that over We May call planning XXth. keeping an to conference building supported our by held conjunction With and provide go-to-market in an Kevin. more Kevin?

Kevin Rubin

year operating that now a increase Thank QX Mark. the operating record Alteryx. of a income transformative all and revenue with for row was ARR, QX year-over-year, we’ve revenue, year-over-year, quarter in ended XX% us income approximately you, QX ARR, We for guidance. non-GAAP quarter was growth. in an XXXX $XXX million or our operating the second accelerated was quarter million, seen X% as $XX a a exceeded non-GAAP $XXX up was margin. XX% million

and in product innovation momentum efforts And acquisitions and the we believe we into results. launches, our go-to-market footing XXXX. with this strong solid to build accelerated our is reinvigorated our leaders engine, new on are evident on which recent New

upsell on and and the value. focus as our which Global customers Our XXXX XX% large strong reinforces potential customers, meaningful prospects lifetime have largest customer We traction. of now the gaining is

uptick XX% of ARR XXXX Global expansion And our least We QX, make customers at $XXX,XXX billion up XXX%. segment as year-over-year. our with of also grew XX up within million saw customers approximately and We ARR, now in $X.X in XX% an or $X net with approximately greater ARR year-over-year. in have at

the Safeway, the Energy, Textron Pfizer approximately Veeva we as QX employees. years. for quarter K, was growth the coming another in QX durable we for ‘XX. a Warner employee from we saw the Devon which include in peak significant attrition, DIRECTV, wins Circle and as in invest cut Systems Canada, points we half X,XXX improvement key production. the Systems, of reported record hiring Bros. ended of Some are with And important was These in in business quarter proof

for want to that non-GAAP the unless stated, to to release otherwise Please on I full of results. I reconciliation a financial refer discussing results. to Now will be review, remind GAAP press everyone non-GAAP our

an GAAP of million, revenue QX year-over-year. Our $XXX X% increase was

that impact growth contract ACV, XXXX in we XXXX. Our our We Average The pleased us on ongoing contract am lower approximately pricing where from well this a is strategic for focus and of XX strategic focus believe duration going up working. to duration strengthen ACV sets in this pricing, of was the revenue as in XXXX. approximately result renewals. of and to XXXX. we have resulting XXXX I go-to-market to shift a cost report to us population percentage into approximately X nonrecurring a compared was on treatment XXXX are our years seeing X.X improved accounting points large

making Our continued QX our gross XX%. margin the margin was are out reflects we success investments in customer organization. QX building

our overall rates. improved the see XXXX to renewal out beginning rates Global in the within prove and are these We net benefits improved of investments expansion

in compared headcount increase our $XXX attributable is were expenses year. last drive million in operating operating to the to the to period expenses programs overall QX Our in marketing The growth. our same increase $XXX and million

of million Our operating million was QX or an on outstanding. $XX weighted shares $X.XX XX.X or $XX operating per million XX%, share fully net and income average diluted based was margin income

XX.X the million. $XXX for was X% Let grew investments success. fully and Operating in operating me essentially were outstanding. year, continued share million to $XX reflective million, for year. briefly loss year the the and compared million $XXX was average ARR XX%, based weighted due loss on XXXX. the customer Gross XX% was or record million to to year the for net shares revenue XXXX diluted $X.XX breakeven, for $XXX results expenses primarily Full increased per million last full the summarize hiring as year, in $X margin of

had billion statement long-term Turning short-term the of now from in flows, XX, we investments. fourth $XX to December as the equivalents, over GAAP cash and And we million and generated balance $X of sheet cash, in cash operations. in cash quarter,

high-level XXXX, to share to how outlook are with like Before turning this for framework approaching you year. our we I’d for a

demand backdrop a customers with robust XXXX entering of large are from their looking digitally who enterprise are we businesses. transform to First,

an expanding plan. a growth go-to-market achieve strategy product we portfolio us Second, with our strong have help to

Third, on Trifacta X. acquisition our of closed February

financial $XX close of that as We their approximately recognizing and will million this in will the start in anticipate results contribute XXXX. date acquisition ARR

Fourth, will products. revenue We expect a contribution accounting year. revenue build throughout recognize which the to deferred to we limited this in treatment purchase upfront expect the as amount deferred year up of due from revenue revenue, our see be of on-premise an we increase dynamic one-time will back

our the expect XX%, recognition approximately previously. upfront we XX% for XXXX, products from be revenue on-prem up For to

most ARR believe closely reminder, overall unaffected the cash And perspective, correlates customers. operating to We flows is a the and flexibility right behaviors revenue while the contract and like years. our fiscal business on other cash measures a flow mechanics. the be we to ARR health previous revenue, XXXX providing for focus duration ARR long-term expect finally, our and from encourages seasonality and choice As of by the

As second expenses ARR aggressively in to the we can revenue years, in early in higher the employees so half typically that coming year. the half. fiscal prior in benefit year first with of results hire in and from productive the leverage relative This of half the the second operating year the in we

Finally, important today’s guidance and factors our is release. in various to cautionary I’d like today that call remind subject in and risks referenced you to our earnings

expect XXXX, $XXX of to year-over-year the QX to our growth representing to for we of for year be outlook in XX%. range and million, million full Now $XXX turning QX ARR XXXX,

year-over-year of to $XXX range XX%. million of to expect We revenue million, the to representing XX% GAAP approximately in growth be $XXX

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

of For exit million, expect $XXX representing the growth of ARR full $XXX XXXX, million we year-over-year with the range to to year XX%. in to XX%

GAAP be our XX% $XX of in included in expect growth XX% range impact revenue recognition to which roughly year-over-year The from of to increasing we approximately in $XXX revenue, our million adds million of guidance. upfront representing to We the to XX% percentage approximately million, $XXX XX%. revenue have

impact be $XX of Trifacta expect our to million the loss our accounting. operating the acquisition non-GAAP $XX to range due purchase of and We million, primarily in to

of impact the Trifacta, our the year. Excluding on we breakeven to business be expect

per $X.XX to to basic Our non-GAAP $X.XX. expected XX.X range net assumes This outstanding. is from share million shares loss

of we rate effective about Finally, come in summary, XXXX. excited expect tax is an XX%. what In I’m to

We have we of that a serve. over positioned a billion robust large TAM believe well XXXX $XXX pipeline we are with by growing to

aggressively with of are cloud and platform We launches building product new Trifacta. out our the acquisition

our accelerated are experienced call the up expanding sales healthy And organization our see strategy bolstering and to with and We revenue in go-to-market an questions. open we for And that, will we with growth growing ARR growth. expect and partnerships. Operator?

Operator

Our Instructions] proceed question. Please Bracelin [Operator question Piper Sandler. Brent comes of you. with first with from line Thank the your

Hannah Rudoff

all. Hannah Rudoff question. Thank my today. for you Bracelin Brent for Hi, is taking This on

cloud of execution, Just cloud, and you, Suresh, Trifacta. one integration you Anna question functionality aside capitalize my still feature on guess for in it’s from really any the and opportunity? there are you investing these you Hyper acquisitions that is to like the feel and guys is IO need Lore I clear

Suresh Vittal

and is And focused as there of these entire delivering map solutions. as massive platforms cloud for were best-in-class value to So is forward. our a and on the on road think in offering experience the democratizing what be solutions best-in-class opportunity analytics on-premise going enterprise. here that’s We integration well believe user I the

Mark Anderson

is build friction us it’s not and kind something do, that with a take big doing is us. really us we a our and to so interact good as to years successfully Hannah, reminder, quickly a believe going customers bang this a This possible. reduce of for couple Just we’re really of as to can

Hannah Rudoff

Helpful. Thank you.

Operator

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

Tyler Radke

obviously, you standardization this and the larger question co-selling Yes. guess million differently. and the you I’m message of exercise of touch your then taking I kind promotion. it is as Maybe the how kind are year go-to-market see nice two dollar deals. And what how side, strong doing managing Thank to Trifacta in curious customers? second maybe you’re Thanks for the how mean Paula across congratulations ELA approaching for just those for what’s wanted I product to a – the growth I lines? and force question. just for are I relates question on on are your my guess a you you. like to sales you

Paula Hansen

question and also the for for Tyler, the Thanks, congrats.

parcel of as more for and and upskilling to strategy look customers, personas broader our of democratization analytics So analytics we the our unlock enterprise for the to at the the enterprise, discussions really, data conversation and participate with part the the ELA of the their in opportunity with enabling across helping potential it’s having around business.

So like that the flexibility. in customers predictability. discussion expansion their them ELA supports It growth initiatives. like adoption They us helps in because and and their

very positive analytics. what our existing opportunity looks a in mature for continue us with with to they just well it’s with their – as, cases, as Alteryx to new some customers want as like understand who customers our both growth with the been So conversation

that’s you our and last person and galvanize the of SKO direction to we had virtually. around course, the the with In second be electric week. And both mission. was the team It of your question, in terms team, when

year around to selling, around enterprise a your clear. in put So us adoption question, last help foundation post customers made and to value the investments investment benefit to drive realize customer place it’s success with value really We’ve in our realization. selling. We

We’re XXX% on path. continuing that

motions. We have diversified our sales

the business analysts, and thrilled classic engineer Server Designer we users serve personas IT access into and win democratization We plug to, the we persona have business we a whole user. And and now that lot Machine can Alteryx conversation often data that a speak well. we’re Learning Trifacta and of of where now where new our that really

the so clear. mission And is

they their that enterprise. mature know organic do both help the automation of a serve personas have that, analytics enable as us across customers in have as our portfolio, to need Trifacta And order now well acquisitions capability. incredibly like We’re number products others an conversations. and to we those to here to powerful We to developed

Tyler Radke

you. Thank

Operator

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

Andrew Sherman

Congrats quarter. Andrew ARR the for guide into can Kevin, modeled Trifacta, strong expectations think Derrick. had growth shape in first but the on your half? are some is heading It’s than through Thanks. – What pipeline the demand? on stronger on releasing the obviously, includes talk we Great. you Designer about pent-up the of year? Cloud terms of ARR your we And how about should of that

Kevin Rubin

Thanks for I Yes. question. the it. appreciate

So in having going and growth up of QX record quarter. into look, put just a with XX% a lot we’re confidence ARR XXXX

So us year. confidence a lot that into go we gives the of as

and mentioned As strong we do as have go prepared confidently during we’re looking we the pipeline, I remarks, pretty a forward.

those year, We is with and for large than time also better I in really no this renewals. conversations have that a population customers that for about come there the the renewal us up have relationship in year very of mentioned renewals of to expanding

built really then get out a lot is we SKO a as of momentum year. into of renewals Paula that of there a we’ve So in pipeline, mentioned, coming population both from positive energy, and the really, as up

mentioned, of this similar around very I as In terms your I shape expect look year comments to seasonality the to the ARR, of prior.

Andrew Sherman

Kevin. Thanks, Great.

Kevin Rubin

Thank you.

Mark Anderson

Thanks, Derrick.

Operator

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

Michael Turits

The ex cash expect EBIT gave Hi, the write-down, flow what but flow and deal And the out? Kevin, guys. the and us there. of negative from on told the quarter. Where cash flow? much you the and come rev – Trifacta? lot a how from impact it rec to cash puts you takes do Congrats was position on What about us

Kevin Rubin

Michael. Thanks,

I per So how operating but we cash should what a think terms – about to se, flow cash reasonable guide of the income in mean investing is don’t for proxy from and we year a perspective. in expect we flow

And at core we expenses run breakeven As this are Trifacta’s assuming I obviously expect year we and mentioned, run levels. to business this the rate year.

to is effect a we to their positive there book business, that. onetime we as a will on the that flow So forward and But cash effect relative to start year build and have going forward. go

Michael Turits

thank Okay, you.

Kevin Rubin

Michael. Thanks,

Operator

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

Sanjit Singh

sort for you it go the the some behind of congrats of the strategic in question proposition sense, core Thank you a and to year. want Trifacta – Mark, give I speak like of capabilities a because core it on close to value the Alteryx’ chance rationale looks strong to through historically. sort

you And time going think as you data solution, cloud part think cloud market, side be? will the the the growth in of why what was other on you impact tool? the preparation right the is impact particularly do gets so product, now on that to do recent And portfolio, What Designer the do of Designer a data which on of integration, Trifacta how portfolio the portfolio? what you buy the impact the out are to a Alteryx that manage just launch, core the parts and Server, that think

Mark Anderson

I Yes. it. Sanjit. question mean appreciate I always, thoughtful really as

stars, kind pretty about need clear the all the build to a of They in really years. all, I in been will people can I’ve platform on rationale, get a feeling we that that the the cloud-first, First – us listen, that apart that think, well. think as innovations of could And for And I support the cloud last road be doing from expressed been we from flexibility, the the the to of as device team rock of to Trifacta as we the and the any better anywhere spent anyone in think, before think timing and that’s last And due provision is part year I the diligence. apps them right world. down working possible make easy for even as with Trifacta the that XXX I the long X.X them stand has for run.

all are the I the through that reasoning improvement think line, if look XX demonstrated we execution on time could in time the it for we And cut felt get XX are off reduce especially by time bring QX and people in Kevin’s there journey it, the marketing the bench getting our fingerprints significant ourselves, significant made right our years. that X to is we we and built. that this to that prepared onto ARR If and in and at it mentioned brings This in we that X scale team. Paula’s you the we QX inject changes take people XXX I the not QX, comments, think at cloud-first and it that XXX accounting and over that in QX to in and the so sales like to or just drop that for product X getting really skills. need attrition need this to just and that, the combined we engineering, the with finance did into fact need. because And

we But the more experience with they So on we don’t and are will to the a like customers us. have our make sooner friction to doing really have we start yet. and get we clear some been business platform when going the I the build flexible think sooner cloud progress less that,

whole up new on said, opens think the I a – Paula persona impact, up for us. it’s opens as really it

selling have into in somebody selling know, go-to, us been may That’s their to write at user, we’ve not on primary to primarily a level being really or driven that Trifacta or into what with complementary sell to data want executives really with more lot get a compliance. As Anna we’ve the companies, a come gives people dovetails doing. Hyper been being business bigger And governance selling you – workflows engineers. and into that motion and has to experienced Alteryx. a inclusive Python into that’s been inclusive that drive persona business and the to new you team it And but focused necessarily the senior also of IT security from IT folks to Paula focus analysts. like hiring drive to security me

think, time at ideal I and really, for it us. is ideal so it an And the comes fit,

Sanjit Singh

Appreciate all the details. Thanks.

Mark Anderson

Sanjit. Thanks, Yes.

Operator

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

Kamil Mielczarek

changes target, of given as mix should the but to congrats of roll my expect out I personas how integrate taking the question the cloud we products cloud still on it’s X years? out thinking you you as and the range are for look you’re great solutions? Thanks you about sales that and results. your X incentivizing And the new how realize in early, any team the

Mark Anderson

Yes. I’ll more and start Kamil. Paula some can that, maybe context, you give with

can and bring the that and kind us build industry seen three people friction ever this that I we to are that the think multiple our far, before. has try on win. like use to build journey the the of building clearly be to customers. time it to we’re we’re on really amount reduce less takes our have separately to that on is consolidates kind what real a elements people would platforms differentiate going products of platform platform that’s customers other our acquisitions And think of ourselves design done future drive far to the And to the of in than selling people very all that of the this why with by

So progress that. think we’ve on I great Paula? made

Paula Hansen

Thanks, thanks for question, Kamil. Mark, Yes. the and

that and conversation So really go-to-market place we of making is of as participate motion put in growing discussions our conversations. have year well as multiples enterprise-wide the really the the supports perspective the capability about from in cloud can portfolio. foundation enterprise a have tailored that with this personas last It that sure we

just every that more evolve, and continuing is place put foundation go-to-market scale innovation that the have I portfolio XXXX grow we and confidence plug the in that we’ve into So through of excited us and beyond that with the will to go-to-market. and

Kamil Mielczarek

Thanks, That’s helpful again. color.

Mark Anderson

Thanks, again. Kamil. Congrats

Operator

the from comes with your question. Please of with question George proceed next line Oppenheimer. Iwanyc Our

George Iwanyc

Thank you question. taking for my

demand now, you at in bit are a launch strong and the how what look color on to that leverage effort, well? are give the the go-to-market bit and that direct maybe you can when more sales Marketplace expansion seeing on own with your quickly force So, you environment a customer put the drive ecosystem generation getting as maybe digging into more little you can us you AWS

Paula Hansen

George, question. the for Thanks,

while Marketplace our We importance we Reinvent many participated partner quite strategy really our are frankly. meetings growth, in about of ecosystem the partnerships because excited were and of overall there AWS and go-to-market the and had to

digital providers our through of be us at to AWS. is customers executive whether whether senior of leveraging will providers level of us the products thinking customers. existing go-to-market with made our expand GSIs ecosystem some the cloud in conversations Marketplace we to consume partnerships So, it’s transformation other I technical around that gives about that participate marketplaces, or UiPath customers others to market, or are different Snowflake commitments another work solution it’s encouraged have we which within all channels, the think some have a chance helping they gives the help have and different route the a means the like us and partners marketplace that with, field us the the to our an new that like from investments and and some like with within with perspective, And and definitely AWS

as I – will strategy part in more partnerships, partnerships growth to a be of big think So, ecosystem well. our and we expanding partnerships, XXXX is it’s new

Mark Anderson

And the if George, think coming is willing, you up strong realizing it’s and God waking I the post-pandemic that because now, are could are I not just right, add data-centric demand on I that business. And needs here to Ph.D.s top think to that, or for just are of successful the be going government. modern become of everyone to analytic develop enterprise to kind deliver you It’s be skills everyone. got to more if solutions are a going the people

consolidates recognizing possible. us that, companies there are for as think I and as so of no And demand that out platform much coming this there because real is is that

gives this innovation So, of and heads that down confidence us kind powerhouse. that build put the can we our

George Iwanyc

Thank you.

Operator

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

Steve Koenig

cycles love transfer be, year, first Hi your do is to you would productivity what half on quarter. plans then for year the against for there. And – that my of what how would see very your matching much. ramping, you color your XXXX? Thanks get for productivity What your performance that going did? your the in Congrats system-wide your and terms I for what’s are some productivity? see taking the particularly hiring And the on throughout on sales XXXX Thanks now question. hiring in trends you of would

Mark Anderson

then will me data on Steve. the Yes. I to and out Listen, have for one I for answer? for pass do excuse Thanks Paula, Paula. it you start our new high-level to the question, some with – taking mind second. President, I think sneeze.

Paula Hansen

You bet.

have So Steve, a last the we I couple productivity that think something sales is little bit talked of about quarters. the

couple pleased for go expanding focus quarters. will we are time, at continue It to the as XXXX. be through last same are We capacity. us And a in the that to sales improvements see of we

So, is at we as shared in the TAM – big and the remarks. growing, opening the

TAM the We growth. are investing for in and opportunity in that

our the I think come in of the are we pleased know their are that of based cases, the then hitting that are And sales hitting only customers not we are more but telling impact some in on have right placed people and we we productivity in strategy the So, what the hiring because seeing sales in have of types that the capacity, that hiring are we just and faster, hiring part being board we that on newer focus us. talent can the faster, strategy stride are capacity. improvements

Mark Anderson

to Take of I Yes. that. are at bringing on kind board. a Paula. we look Thanks, tag that the on people And will

more with they at or happy they from more You have an that coming experience necessary employer. actively of are billion make week. companies experience. their talking are are than can are is that on They to SKO about about stage as They coming see this stage. revenue. last them talking They at And customers in experience Alteryx XX with And LinkedIn. years on $X average have that their experience so

journey. Paula is necessary I in win too and this building have magnets. to long-term maybe have of recognize talent think done often I And is but And modest She team tech been what’s magnet, growth that’s is a so think they talent through that. they she start-ups, And sustained these a hyper to days.

Steve Koenig

Thanks. Well.

Mark Anderson

Thanks Steve.

Operator

question JPMorgan. Pinjalim with the question. next Bora comes proceed Our of Please with line from your

Pinjalim Bora

you and you how and little think four – on Thank us cloud for do us as you, all quarter. my bit, have Cloud, help heard Great. Mark. maybe but I the One position well could products. you different you maybe Trifacta I a because Could now question Designer congratulations you help

So, cloud I heard I – think Trifacta’s cloud platform. unified platform unified

your then heard products. of So cloud all should umbrella from Trifacta Trifacta well? or I over the And branding a they pricing these technical on under time, they launched volume-based. a think you of user-based would fold – has I products, as kind perspective and some

pricing could of kind we models? that time, the expect also over unify one of So under two to

Mark Anderson

great as the for always. Thanks Yes. Pinjalim, question,

geographic as as cloud over they the that Trifacta their being than of them of in three the think are stack have It’s X.X our leveraging of platform. I foundation think years more work just done last – building the in public players in one theater. we all

to that express So, as having can write to as I be routes applications sort think that to really possible. we platform and that build us of access friction-free a platform now

Suresh into to terms flexible thresholds customers as about a able positioning, seat them limits of enterprise be ran with of period of them and be Designer, trial user. And And not give how agreements learned cloud to as as products bundled we burst designer Designer us as to to lot but of possible, we encourage our through data to able so new wanted their an a well successful as that incorporate well offerings in for early really Cloud like went as on also to people over. these are, penalize more beyond going license be what kind

that. the flipping really script So, on

sell to English suggestions Kevin to use. I or it to we And product, discrete surface, that is me a be new Auto really that data can And so like think give able today Alteryx the the that think Hyper simple and person will can Insights, persona look products to. at, about areas language Anna you to a aggregate Alteryx we render can And of pipeline. that

For the Alteryx same it’s Machine Learning, thing.

were go We year, into happy. selling and suggest some the and selling to the the to the that starting IT And and being models be able just compliance deploy will with has. learning want pricing customers and platform going masses and important are may to next engineering consumption-based the near-term, continue features start and roles machine that In over successful customers Trifacta’s build their role, to are intimacy make there. from really access building apps that will use get enjoying Trifacta to them that we those to learning some that we making data and machine for

sure. all will common it for So, together a platform under come

people but this And I you race this our are business with to think to make to going are see customers, and knowing a whether or Again, browser a will will do Office to like make on up application. finish. really our in a for not an up pricing. to start users do easy us we think much is easy job. want for working as We working to do we high-quality woke to it they in And not want XXXX wake I XXX as possible people.

some things have add may more you Paula, So there. to

Paula Hansen

Yes. and great Thanks, Pinjalim. question, Mark,

of to the we think They lot with see So, lines familiar from about are like of Designer ease various off coming business in its Cloud, last tools. we of Cloud, use. clear are where our Designer with terms familiar sell business week. When users are we of of what continue interest analysts, we a who kickoff business,

them. see So, our then Designer decisions in a Trifacta we footprint architecture. place with going where we is are for just a continue where their are match already and to really solution of the re-platforming cloud IT. users expand opportunity to in from logical – us data to hundreds released that the solution making with people we on And often are early that’s have case, Cloud a These the of engineers different our programs. warehousing inside And perfect that for be really Trifacta data speaking data of

motion. but distinct, complementary very So, sales

Pinjalim Bora

seems you million Kevin, thoughtful think answer. Understood. ARR like One I question for on for the year. said $XX from the quick for – the Trifacta you Thank

DR how to the understand of kind through kind that any Just number, of the ARR wanted to prior kind a write-down post year? way the that run into ask to rate if And should of Trifacta million acquisition? flow is $XX number

Kevin Rubin

Appreciate Pinjalim. Thanks, Yes. it.

revenue. books records, deferred – that financial now into relates have our acquisition as write-down, closed integrate as Trifacta do when you and the we well, information the we mentioned, the So, and we of we it take to will

the what’s it’s forward affected that an So, same dynamics. expense perspective, level go ARR by the those as impacting not is From we higher year. to

And so that forward have we acquired. we the are bringing business

I as ARR expect in million come we about mentioned, to And this from them $XX year. so

Pinjalim Bora

Got it. you. Thank

Mark Anderson

Thank you.

Kevin Rubin

Pinjalim. you, Thank

Operator

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

Koji Ikeda

nice questions Kevin, to Hey year. Two Mark, quarter and the finish Paula, for…

Mark Anderson

Thanks, Koji.

Koji Ikeda

Two questions for me.

in for guide close of costs. the that acquisition the sense a operating the without to Trifacta, come income to On guidance XXXX magnitude would income Just maybe integration guidance, have operating breakeven? get of trying

Kevin Rubin

Yes. Thanks, Koji.

at I in business before operate to as expected is So, Trifacta breakeven mentioned prepared this the remarks, for the year. core

Koji Ikeda

Got it.

Okay.

question, I Apologies. Sorry. And of year, an that. else missed for this effect from rev about rec in I the rev there you have versus comment then we contract this past. causing thinking that’s second must upfront change there rec should XX% be was that a anything the the or Is about duration, remarks, change? prepared noticed was XX% –

Kevin Rubin

we Yes. of of talked products, to that see Unfortunately, Designer. of higher this in in function portion the No, as has of are gymnastics nauseam. have ad got on-premise going we a of But not particular a result it features some case, for slightly duration. XXX in contract it’s about the packaging upfront some a

million $XX which in have the that in of so commented totality we guide. about certainly And is of ‘XX, will revenue will the it a the upfront. little increase not I bit drive incremental

Koji Ikeda

much. Thanks so Thanks guys. it. Got

Mark Anderson

Koji. Thanks

Operator

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

Chase Donovan

for great my the quarter. taking congrats Thanks question Hi on and guys.

that’s coming with the noted the America, to strong products. Insights machine Auto for in North learning You the noted APJ, also strong and success now demand

today? you as see guys that for of now think incremental curious time kind of take And strategy? look platform go do you a Just if you can at kind leverage where the of do rate stand the kind you take modules, today that over where

Mark Anderson

by product. rates not on stuff get into take Yes. going Chase, we cloud are the to

business. that kickoff of businesses from have materiality all last Natalie, were tell server were to at seen it’s and small just stage, Kent – week the I and compared relatively acquired our the designer think you, the from a of this standpoint founders we having it Anna. and still But can of sales firsthand, at I Hyper founders

most people team overwhelmed be we had swarmed the at We because are another our – Trifacta XX were for probably had term. by the they people and successful tied there, team, Trifacta the show might sales

to And acquisitions, analyst count either it people our So you, integrate That’s, listen, on to to salespeople to. products we and base want want investor where a make recognized experience and sort the our in my this want base team to that – execute technology we and or acquisitions people company. have more all these have of in succeed fail. they into sell, these more they plan sell mind, of can

can got And this granular help each have not market to avail to only a educate we so also plan for you very these platform. of our but bet, are more, around salespeople products to doing build we the what

Suresh Vittal

Alteryx if And using Chase, limited And been point. for these data and Machine quick has the a over Designer for generally last board We putting products months products have our been feedback through Learning the now. well can six beta and add a I Cloud. availability. across months customers hundred the positive spent six Several

customers be automation. kind they to to use And the that and met ready of so for very expand where analytics we the feel confident we case meet want are

Chase Donovan

Suresh. more, one then And helpful. really That’s Perfect.

Just about closing for out integration any high-level acquisition, year? this milestones we you process and the we watch just should how a know – timeline, thoughts into major I Trifacta are the curious, just think that Trifacta week and only any but Thanks.

Suresh Vittal

Great question. Yes. Thank you.

doing And customers is cloud the where the multiple you had past. process, take drive of of opportunity to these integrations your feedback with of the I their integration. heart product So, and I think have integrations the products in journey the at continue put

be view releasing out about a to as a Trifacta is of the capabilities for to will talked us, integration bang that and theme you are us. But the on opportunity quarterly going Mark big become to for we will don’t platform. basis, as there execution be infrastructure kind thinking be I for cloud a here. the almost integration, milestones So, this have we a but big about and play themes platform definitely,

so about we And bringing of are are aggressively. something is common we that delivering a set thinking and services again pretty platform

should and And data connectivity of theme. – third should user across expect think data of then, thematically thing, us experience the kind variety be sources. of You another to about connectivity cloud a course, see on-boarding and

out and So, these the roadmap, themes as we be will us. for front build center

Chase Donovan

Perfect. Thanks.

Mark Anderson

lot a Chase. Thanks

Operator

the Magi question comes Edward with of line Berenberg question. Please from proceed final Our your Capital Markets. with

Edward Magi

acquisition. taking Thanks and congrats the for my question and quarter on the

‘XX fiscal of Just about Can pains the that investors over has at talked point And as past through question past growth growing year Alteryx. was we on new months? the one scale. sort truly inflection right vision transformative demonstrates pinpointed a last view introductions company management major here, for now how XX

Mark Anderson

Yes, for sure.

we massive this I from squarely focused into words think best TAM tone from that are – driving – long-term I people. growth that with hearing our the the by we and inferring ARR hope our and from that best have and on platform

So, that’s of lot the moved a business the last – of in people out we year.

that to self-selected, of ground hitting we we we brought really team spot, want change that are people a have volume now, that the didn’t do. of Some think I in in some the But the good imposed. Edward. really for And volume we the be running. around I are

Paula Hansen

I our us customer add, us up to new one that and the because asking picked focused are have services for adoption organization value opportunity was for realization. making. customers we success would are acceleration to customers and the to point sale real year is – really of levels to on role a told what their our add responsibilities accelerate that help And Edward, my that’s This expansion just And quickly looking a at executive and with automation that what are do. I analytics. Mark they and of maturity customer our And with us they us the have after is to driving that the them in where

that Stauble, customer acceleration are been to with customers, in plus our built helping are this for. our the just Officer, And away to what last lean throughout give journey, asking the analytics blown will how their some Alteryx we that over how team under been me sharing good Chief of partnership we partner they be that that, assess we in with year business has them provide. addition benchmark frankly, will so the on you help them with going they our to themselves, come things accelerate we we maturity, year asking deliver recommendations can a their have as real out success technology able that are really Customer in on terms to that’s Matthew business customers And to around they exciting discussions

So, as that’s over something be to continue on going update year. to the well will we course of the you

Edward Magi

Thank Really year. really going are we all to what me. great looking That’s I to hear, am see next forward for you.

Mark Anderson

much. so you Thank

Operator

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

Mark Anderson

Alteryx. customers thank would operator. at team I again our to our and you say like Thanks, to

to Let XXXX. very clear that expect me be in we win

in take large share a of and front are We that TAM have our we positioned to of opportunity. us, well

by ARR with technology customers that by delighting the motion We to go-to-market imperative focusing faster. on stack modern that’s growth, by are make successful building to this the going do will a them and

Operator

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

Alteryx Inc - Ordinary Shares (AYX) 16 Feb 222021 Q4 Earnings call transcript