Thanks, Jim.
heightened in given with and coupled expect product of XXX, everyone to seasonality under I that associated First, in conditions. present and and revenue treatment under revenue quarters recorded like year, with fourth the higher our pattern patterns, our ASC any results continue this of would business remind billings in first software revenue we to metrics seasonal
We end high range. by adjusted of driven our for growth, exceeded the QX, achieved our strong product at software guidance EBITDA revenue revenue and
spend prior COVID-XX. and adjust were external below Our software-related our reductions as in a services year are expectations. market services result These customers relative of project declined conditions of to to more revenue to their some the as our response deteriorating susceptible
Our first products. driven software demand our continuing solid for were by quarter results
last $XXX.X total a $XXX.X exceeding both year, product of equaled our X% reached Software from from revenue million, growth million, while increase X% representing an year of ago, guidance. revenue
to than were last customer We headwinds in XX% decline in software-related anticipated a total revenue larger a The currency services base. we the million in and in impact quarter. year from growth services our reflects was decline and continued achieve able software-related in negative despite automotive of $X.X
XX% prior reflect engineering client our services the Notably, of year. to compared growth a
QX near our detail level we However, in in of guidance as COVID-XX, some growth expect by term, that reductions due shortly. due imposed customers CES the after of to do we not to will
XXXX. in impact software fluctuations by adverse of the revenue by for currency total grew product compared X% X% QX grew Adjusting revenue and XXXX, to QX
over points quarter, of adjustment the margins long-term XX% up trend In continuing we first year, expanding important from data forward. basis driver to XXX any XX% our total last product look without over key increasing of mix of product under points, as the currency-related revenue, software just revenue, operating revenue of software a for increased
quarter over the our XX% points due of in compared combination to for segment as of software-related of revenue software decline first a product percentage revenue product quarter, and that, XXXX growth the up services basis software Note segment software in to revenue, XXX revenue. hit
percentage revenue the QX profile to to streams key for quarter we of The compared data revenue XXXX. this to business recurring increase – XX%, the license is software rate strong that with our is past about be of software revenue better at prior percentage slightly recurring the than the that – able continues performance that is our driver in to Our year. were recurring consistent revenue analytics and during
quarter On were decline were First ago. by decrease a impacted Billings X% X% current well as year currency which million, billings by the for negatively a a billings negatively from $X.X services by million. $XXX.X impacted of period shift, billings quarter. as basis, decreased software-related currency constant the in
tend of longer quarter in variations customer time to the impact view arrangements have and We over can periods expansions new to due to billings timing renewals, quarter.
revenue. would like XX%, turn was quarter compared relative revenue Gross have of quarter directly to results. gross XXXX. margin the adversely the margin attributable impacted QX balance I the Gross I the to decline earlier, service P&L mentioned prior margin services not million decline approximately in year by in to first essentially for to software-related $X.X the flat was year-over-year. If increased in would the the software-related that to in
operating the other amortization operating compensation, quarter, expenses, and which exclude million. of income intangibles non-GAAP stock-based $XX.X were For
quarters with a coupled our XXXX across remained operating Non-GAAP year, to expenses QX of as incremental last range an the and in DEM. in acquisitions expected, uptick costs with Polliwog related tight
speak a taken which operating align to are in to outlook, those number to activities shortly, with closely to invest realizing have reduce will while our actions continuing beneficial believe about expenses We long-term more growth. we reduced our of we
by the at guidance Our margins of a adjusted million and EBITDA for range driven decrease quarter, last top reflects decrease year's our from in first of XX% gross near $XX.X software-related services. substantially from the the quarter was
adoption also negative $XXX,XXX new shifts the a requirements $XXX,XXX. an the Our by the currency foreign loss additional of with affected from approximating was to credit in expense during quarter, CECL EBITDA along adjusted impact due
capacity $XXX in activities, with cash and with million balance to and ended the first we Turning billings quarter sheet. and seasonality US our equivalents Consistent our the undrawn collection in revolver. $XXX cash million in our on
Our and feel the with liquidity well-prepared navigate to current business position in we uncertainties remains quite environment the strong, COVID-XX. associated
an related an operations of elements. flows. in flow of primarily cash to inflow $XX in working million was Moving quarter inflow our of the compared quarter The was first cash the to capital normal to first flow $XX.X Cash from in variations XXXX. increase in million
Free from was million year. lower $XX.X $XX.X quarter with improved compared of from cash year. on operations, to the first year flows improvement to last based year along a this million capital expenditures improved this This last level in cash flow same period the
Our will challenges start this rooted reductions XXXX QX updated balance we belief the engineering are as year, guidance of along for approach client expectations for in our with software-related we both although year. do we in of for see that improvements to similar this continue that services, will expect to see services
uncertain of conditions this revenues, pared that back we product economic seeing. based growth presently have While expect expectations stable are we on software we for the year
that most until economic conservative into and growth posture and evidence We we begin translating conditions believe R&D improve, to that technology. tangible cautious operating investments global with is see a prudent in
the safety and customers. and our of priority employees Our health is
We have to by restrictions, our adhering response from to the adopted webcast, local and business to home, online-only non-critical our and measures to work instructing employees. restricting of including several in employees outbreak, customer shifting events travel COVID-XX certain regional
making we use current cash to such and employees' certain reflect from of permitted, with to with billings reducing have demand by and adjustments declines collections And outside compensation similar potential adjustments as levels, fees. expenses environment our in along the other expenses reducing or correlate to contractors, the customers, consulting professional our adjusted as
and field in were other sales, a conducted person. Historically, portion services of professional activities
reductions. of services other professional and result our cost being also conducted of substantially sales, restrictions, remotely, activities are to all a travel contributing As
We the in loss software-related reduction of to had adjusted cost partially of revenue contractors. through primarily of revenue, mitigate the services outside use
in invest selectively R&D support strategically to our sales capacity. areas certain and technical continue will and We expand
many to and engineering resources XX taught array business and service Our years basis navigated cycles us typically technologies retain important experience over engaged, much on has specialized customers. which of has long-term challenging having develop broad that more continually to deeply and it is our history through technical a a us allowed the than support of and
believe of EBITDA Against to XX% that plus difficult is this may a long-term be impacted uncertain of manner backdrop, target adjusted we in economic presently achieving our predict.
achieve achieving we this timeline we greater prudent firmly this target. can While expect that even and profitability, level is to an think do for we it of our revisit
update evolve COVID-XX to long-term forward As year, our balance expectations and the events regarding for the look timeline the of related beyond. target achieving this to over we providing an
free $XX a million, and driven $XX X% XXXX; the million, of representing year, between of For X% decrease million. representing XXXX, and of of between we revenue to presently decrease product million, revenue; services flat a a XXXX million expect from million $XX primarily $X of EBITDA from in growth between million by essentially million $X and million representing to adjusted cash software $XXX total revenue million of flat of $XXX between $XXX to year-over-year; flow $XXX reduction and $XX
collection are expectations flow cash free of seasonality sensitive our patterns before, our the billings. to mentioned following As billings and
XXXX, a product are XXXX; to EBITDA XX% million of XX% revenue X% software-related to representing million XXXX. quarter million million, apart adjusted QX revenue from software and million, revenue; a same the and As last $XX in million between to of to $XX engineering representing services and client of impacted software from decrease product by be million, between our a expectations $X the and year, XX% service in between be total $X revenue, $XX $XX decrease period reduction the $X from from of to decrease representing QX second
guidance these stable Please provided foreign market that note release tables expectations of after rates. been have press the issued exchange detailed yesterday. assume Further in close
remain unchanged. for XXXX expectations rate tax Our
We our XX% continue that applied our about pretax be rate expect income to this year. will tax to
events business very We are through points few factors, believe very a key cautious in perspective that manner. decades conservative a evolving adopting most experience and the of different several unpredictable from at emphasize a to appropriate driven an there navigating this and business. our view is at emanating rapid COVID-XX challenging about juncture. pace cycles With are
of regardless Our product industry. critical customers the are to activities of engineering and design our R&D technologies
analytics quickly, information, can and today's products our Our need perform so that make environment. deep decisions analysis much important is so which customers to data of respond in important more streams the better to
well continue the model allows leverage the Our to us customers. incredibly support to key our our licensing is needs we suited and to for provide future and customers benefits present of
we importantly, to so Our have strong will continue opportunistically. our business balance sheet continue gives to us team do activities, customers environment. dedicated M&A to the and continuing Most regardless pursuing highly we a experienced support of global selective the to flexibility
the open With that, can we now to call operator, questions
