Thanks, morning. Mark. Good
the aggressive marked Mark policy, in high recession fears of market quarter first in purchases has touched investors tightening of see second the in hesitancy we As financial self-directed these trend on continue bar that equity as in fell resulting continued the an our in research. Fed's on, territory. influences market a Combination the inflation part quarter business challenging to the impacted the complete
remain overall with interest, In products to continue quarters. prior metrics engagement our terms consistent investors as of seek our
quarter approximately rate seen fourth rates of remains and landing XX% continues conversion the the the visits, this first same below from However, XXXX and year of levels. in purchase low content act final quarter page our purchase
However, ultra-high-value purchasing of in it our which our higher when that is the is trends, customers at our products are heart also periods to continue to fewer are of conversion as particularly note and value are is These rates driving subscribers model still of see in currently in rates the value the currently subscribers and important These similar billings. business high-value our time new at case. we're the and remain subscribers important products majority bringing to solid. historic
conversion to high-value It and move all-time unsure cumulative not our highs. each is XXXX, investors continue rates and XX, respectively, and the understandable rate our XX% retail conversion market. June in the of were of As next surprising that cumulative representing ultra-high-value the be XX%,
investors and prospective the all sidelines, market but previously, factors the that possibly believe for our we activities, mentioned especially monitoring ARPU customers purchases, actively remain delaying For customers. many retail lower on
Let and our I and engagement me landing second seen $XX summer. approximately sequential last page financial at review. a conversion consumer on were provide an rates update turn million on remained before to quarter average of roughly the same XXXX, level In basis and stable visits since
lower than over average the years. the However, rate this level past approximately quarterly remains XX% X
by market-driven marketing we driven but X reduced to While our the should see unit over seen stabilization the remain reduce These in won't necessarily, marketing metric. be we've expect costs quarters, declines if past will this of as rather our you in be spend, this level metric declines high.
to were subscriber or XX new quarter as quarter exactly decline fourth which less rates and this was first both an XX% Similar quarter, same acquisitions on points pad the the basis quarter. XXXX impact landing had conversion subscriber the billings than levels, to paid XXXX approximately Our prior levels. about
to by driven conversion our low customers. ARPU see be rates these We continue low
remained ultra-high-value continue valuable that content. to indicating high-value also past Our which in with and indication in our customer members. term. long by and subscribers and in found cumulative remain memberships, we termed subscribers It satisfaction the we fact is the grow of to additional previously spend those this another and that memberships over purchase conversion most for year, subscriptions continue valuing averages quarter lifetime is subscriber historical our important rates line confidence to note This that these us create our both the products the active with the
or in of quarter million a this quarter in the plan. XX% credit The increase the and holders XX% Revenue the decrease million other in $XXX.X quarter I the of quarter $XX.X and turn a XXXX the $XX.X partially to The purchases. expenditure our million. their year driven the XX% declined due the subscribers subscriptions which ago a XXXX. decrease from average our from decline fees, million decrease second salaries the year engagement was subscriptions, compensation -- billings This related believe $XXX.X million was XXXX. million the of related to of the of compensation Billings in first quarter. in subscriptions, X.X%. expense stock expense Class decline headcount. to $XX.X or million $XXX.X billings subscribers average decrease revenue to $XX.X contributed Pentally, plan our subscription is current and recognized quarter. level, a large due subscriptions from part the continued to compares units $X XX% compared card was current into billings and driven ago post-COVID ago rates. from purchase million were million quarter to X% this This a and in quarter $X.X to million. in decrease by $XXX compensation Cost by this our stock-based revenue quarter, million stock-based the a $XX million this term and in revenue and in from ago compared Turning deferred that quarter, $XX.X membership consumers This in second lower overall came repurchased compares for compared card We benefits $XX.X revenue $XXX.X to billings million financials. Class quarter's or million award stock-based $X.X B year X% driven in delaying the second primarily of believe to was billings $XX.X by direct-to-pay year we million quarter, in Approximately $X.X million we a in employee of second first our reduced included in the potential from term quarter by million stock the B quarter, decrease challenges a decline higher in quarter. value membership decline offset of XX% other of to of further $XX.X incentive which in conversion million emerged and is to for
liabilities fair with in time in were as a to therefore, equity Prior the As of compensation with reminder, July units longer recognized. these and derivative change combination the in common common from were B units than the original end Ascendant recognize the compensation XXXX, a expense. and profits to B comp level through compensation, had our each units there paid continue units value to treated is the and be attributable treated distributions XXXX plan. was second to original Class stock-based quarter no we traditional of the any to remeasured Since or included rather quarter have to stock-based converted equity, those Class and as transaction the going at stock-based any holders straight that to Also, fee as expect stock-based compensation with to consistent a comp. significantly class transaction, forward, stock-based lower
tax benefits the due primarily million $XX.X expense $XX.X a offset to was primarily quarter, compensation primarily headcount. million G&A, by $X.X quarter exposure. million was the to million $X.X $X.X higher by in decrease marketing decrease incentive of stock-based $X.X million. a as driven to Class million. CAC costs our expense, ago total million deferred the compensation a in increase compared This million for, decline these in General and to $XX.X B increase were were amounts compared driven and to decline This second a of benefit interest this quarter. expenses in increase compensation other sales in and and an by in of higher million in million increase related compensation in were Sales a in this $X.X $XX ago to the ago and million and a stock-based costs million profit million salaries quarter of This and quarter due a decrease stock-based $X.X administrative million $XX.X $X.X year year $XX.X For partially year compared as million. increase was Included headcount. quarter costs XXXX, $X.X payroll this was in $XX
from our $XX.X second B million income costs, year G&A million quarter. units million finally, second in was was million of XXXX compensation quarter quarter. in related Class and the in to quarter XXXX. and declined ago the to year comp $X.X compensation stock-based net million Excluding compared costs -- stock-based $XX.X $X.X the quarter We of $X.X ago recognized stock-based loss this
in Turning from compared million to flow in second the due compared Adjusted primarily was $XX.X from decrease to Adjusted year. quarter ago XXXX decline in last the in the XX.X% million cash quarter XX.X% to to cash year with cash billings. flow. $XX.X operations second margin the flow quarter, was operations XXXX
unit quarter otherwise. second spenditure decrease high as in as per XXXX, might while did much cost of the we remained initially marketing our Additionally,
quarter, is subscriber X.X% our the conversion tax overall operations a impacted continue marketers the decrease their quarter, from XX% a reduce XX subscribers, quarter test to as cash million $X base from The X this being paid engagement began year. to our out working increase. and impacted Adjusted subscribers first trailing from declined ago decrease changes of to to and deferred half quarter $XXX,XXX XXXX, million a calculation. significantly a X% in Paid $XX in saw in trailing increase in and largest year, as trailing of we in X remain increase cash trailing decline. part X-quarter XX in base However, combined last the We in billings. to this million base changes flow grow -- the The net second the declined due million. still was is in unit in end to decrease quarter $XXX,XXX second from this capital, XX-month subscriber the driven consumer driven investment quarter to high, progressed. and average last direct-to-pay with changes by deferred by average our excluding free in was quarter trailing decline our continued themes by this in subscriber rates. The increased by costs revenue quarter throughout increase quarter a paid quarter billings second lower X-quarter year XX% subscribers $XXX $XX.X quarter falling ever, rapid spend at XXXX of a by
Additionally, quarter being. that volatile XXXX, the first potential is leading since decline the billings persisted to we time has for that due hesitant economy subscribers subscribers and also engage to the believe
reduction Approximately in of working overhead, approximately annualized $XX that and million direct completed, and X has to expense. of the our Mark largely in $XX earlier, represents future both through approximate spend. identified in $XX Phase rate a an our budgeted March reduce reductions overhead reduction. actively in through expenditures, we $X As to which expenditures, million been mentioned XX% we're budgeted eliminated overhead run year-to-date million effort, Initially, represents which were reduction in million marketing
Going third in million should disclosed This report. with before a charged to any be costs our expense is quarter reduction July. beginning approximately this severance that represent overhead will forward, monthly $X.X and
overhead expenses XX% second This of completed currently aggregate, an begin in an million would million and June month and per reductions on year-to-date have estimate a we identifying approximately additional in approximately we're phase would the this In and run quarter. budgeted of our $X.X the over annualized reduction this million basis. fourth total to the an planning take as We $XX couple rate. should $XX $XX month this of months, all in is overhead approximately next fleet on annualized of overhead reductions that XXXX that we're our the phase basis addition, will our second that million total amount overhead. to to approximate take roughly Once been or
This the million of reduction of approximate as the half direct half expenditures compared $XX of Additionally, second to in the marketing, XXXX. in equates second year the sustain of first to cost the marketing we're to monthly approximate the targeting monthly the an reduction to high led to expenditures $X average marketing amount half an direct in year. compared as to first cash million half of 'XX in
mentioned, to to may dependent decide on However, reduction this marketing on not and marketing as acquisition. this cut Mark degree instead market we factors. be will improves, The efficient subscriber efficiency focus
So as and we believe prudent to are both environment. steps navigate current these we macro look necessary the
As stabilized, and growth future and expansion the market taken in opportunities will having be after themselves, much a present we'll these for better position execute to actions.
However, overall until our our increasing that of on the focused time, structure efficiency cost we're business. and
the during shares Finally, repurchased about for we total XXX,XXX stock in value. quarter, approximately common million of $X.X
X.X to early back purchases April. ceased over Mark. were date, And that, I’ll million. million the shares such However, call repurchased we with Program to turn $XX.X for in
