OTMO - Earnings call transcript Q4 2021 | Otonomo Technologies Ltd.

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Operator

Good afternoon, ladies and gentlemen. Thank you for standing by, and welcome to the Otonomo Q4 End of Year 2021 Conference Call. At this time, all participants are in listen-only mode. There will be a presentation followed by question-and-answer session. [Operator Instructions] I must advise you that your conference call is being recorded today. to IR. over like Segal, speaker, now - MS would hand the you Miri I ahead. go Please

Miri Segal

Thank you, full thank to call. operator, and Otonomo’s today. joining fourth Welcome us quarter and year conference you XXXX all for

call. we today’s certain provided statements. press pertains that And release Before our Safe Harbor contain this call information I also to on would remind begin, statement listeners may the this forward-looking like outlined to in

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Ben Volkow

you, the deck. business everyone regarding and the X. Thank provide Today’s summary slide Otonomo’s high-level the in you recent the quarter and further a move call. conference new intelligence to move of mobility thank of for please will Miri, and and a growth details earnings of presentation of X to review fourth development end joining Please year our slide year’s events, activity. Hi

can seen strategic platform in Looking growth scaling go-to-market, all technology, back solutions Company foundation growth, been as offers. at our be XXXX, and board across we critical organic engagement. our investments lay ecosystem unique our and Otonomo strong and for the market in progress has the the acquisitions, This

are in Xx over acquisitions demonstrate the vision revenues with in large XXXX. us. standpoint, growth our to capital line strong continue Please growth our move partnerships via increased We in strategy X. drivers before sector From to investments, a by opportunity that that slide and a and see

connected OEM is revenue XXXX providing encouraged generation agreements XX our potential additions vertical increased and our growth by range data XX that the to We lead industry. number of strong customers, to partnerships vehicle of addressable and new We These initially million to include We Otonomo vehicles. OEM The XX. are million segments. vehicles model. OEM by agreements to XX partners, OEM new will OEM signed and XX% a of which or the six to increased capabilities this are for from existing wide and with our a of cases, from services in to modest to business see of this use agreements extensions was in a total the testament agreements that driven believe number pivotal

X of partnership have manufacturers. with XX the top agreements automotive out We

including added as also dozens We LeasePlan, Mobility. and new of SWAT customer WeatherOptics, customers engagements, such OBI+,

response in analytics access and solution offerings for and mobility with ability intelligence activities. workbench, our to A XXXX to additional and August EVP As the Inc. the strategic adoption. you diversify a the little listed newer acquired address both to endpoints, pipeline market over solid on and elements, NASDAQ call revenues XXXX. publicly markets. to Otonomo are market will aware, and to technologies to and see Amit Shortly Hammer, our strong market later Neura, accelerate access expected. a to total to Neura In XXX their capital Otonomo addressable of share key accelerate X. several slide provides fourth currently our million during broaden Neura talent as in AI Otonomo contributed our growth We to quarter at Operations more our data about we COO move thereafter, AI October, our and Please greater

Finally, we are growing the Otonomo team.

doubled nearly capabilities XXXX, key enabling the to us and have scale our strategy. development base employee go-to-market Our

capabilities We added achieve our new goals. to team. It we our brings must members have also the leadership ambitious and several experience to

financial Moav our slide to X. will XXXX move provide I performance. call And over more the please Bonnie to to details Bonnie? turn on Now,

Bonnie Moav

than was Thank agreements. new activities, and year-over-year you, new for from intelligence customers to our Ben. XXXX mobility Revenues driven $X.X by OEM new Growth $XXX,XXX million. are Xx more

experienced resulted on COVID-XX-related that contributed also impact an activity, focused health. increase in intelligence in revenues, We by population mobility

amortization non-GAAP I intangible stock-based our assets, further and move compensation that depreciation, numbers, to merger of want I acquisition related and expenses. expenses, include acquired items into you remind Before the

presented for will the items. excluding to these move to non-GAAP results information is the I X. Our turn slide detailed quarter. financial Please now

$XX.X headcount the Neura, and million, Our operating $X.X GAAP of acquisition compared year-over-year, the same our mainly quarter, was reasons $X.X $XX.X in loss fourth associated the This The to year quarter-over-quarter. fourth million in doubling the In was by driven with XXXX, GAAP company. operating increase. million, operating million XXX% of to non-GAAP by increase mentioned was loss expenses the quarter before. loss a is driven public-listed of fiscal compared a becoming cost the

revenues products cost using the of for their remain our data the same quarter we and our OEMs providers, includes compared to the the pay cost XXXX. data including Our fourth level to

ingest, the XXXX XXXX QX from grew cloud amount QX than to the infrastructure of data XXX,XXX related in our consumers, by our more and XXX%. in amount data cloud and process mainly Our which to QX $X.X we by store, by used data of XXX%, consists due million XXXX XXXX of to third-party the from cost which services, QX increase in increased to

XXX%, department, development expenses our more than compared increase fourth for representing quarter of a administrative fourth for research same XXXX quarter due sales over to Our were year-over-year. and expenses and Neura. and expenses, compared to mainly increase XXX% and an and continued growth million XXX% fourth million, by in to in $X.X the the each respectively, acquisition year the of General XXXX, the marketing quarter XXX% accelerated of the XXXX ago, of period the including to $X.X workforce

headcount the cost mainly associated with of as As expenses additional a to of and SEC the slide of acquisition Please publicly the traded, mentioned Neura. and registration the our this result move becoming Company earlier, is X.

restricted the primarily into on million, the including cash In offer equivalents by focus of at was Our expand geographies. new our to will and from an cash SPAC partnerships to in its Otonomo merger. of proceeds was $XXX.X which cash, the end OEM cash, year expects revenues, XXXX, continue solution million the the and of position end expand increase $XXX.X received in guidance driven announce our XXXX we growth March. by partnerships, diversity for in Otonomo the

and former share like COO some mobility our of EVP, to the into last Operations intelligence quarter. to activity Now, the insights will Neura. I over would over the Amit, hand Amit

Amit Hammer

everyone platform slide In business Neura, we intelligence on and Thank about update the call. in the Otonomo. I’ll order of on of The next was customers, of our increased ecosystem. see partners you, deliver integration to and the the progress transportation talk the rationale and the we and Bonnie new the the move Please Ben, see post-merger how in an intelligence is in the mobility synergy to data how XX. behind create to mobility actionable fuses hello vehicles, and to growing mobility value that into market. I’ll Neura a insights powerful provide traction section, the acquisition to connected

to experience more transportation, in more of the mobility and data algorithms, XX. Neura, With mobility device, moved assets and building of Please deployed science, the stations, proven layers, dataset. insights data transportations for Neura great mobility by move acquisition, Otonomo our with diversifies the has charging than added data, slide a our OEM and data solutions XX Otonomo public also in proprietary demographics, adding smart enriches mobile with Neura acquisition micro EV broadens core dozens intelligence through successfully mobility developed data to Neura and mobility, assets analytics customers. of city. Through our and Mobility-as-a-Service such we of and IP intelligence team experts automotive big as

synergies patents big and has are data than execution been of results and merger XX added We mobility completed the the experiencing and in also registered fields we signals expected. The of analytics. positive earlier

three launched Mobility-as-a-Service Please point slide XX. solutions planning. charging and EV focused already move to have new We provider, transportation on operators,

maximize where operators operators. The investment. on return vehicle first determine charging solution to point is focused to EV enables on deploy sites electric The charging platform to

example, deployments. with rapid customer global we EV a a a The deal is station For company energy on recently expansion. signed undergoing charging focusing global

for vehicle to plan have which and to way EV for of deployed. investment. mobility a expansion each main challenges EV intelligence areas accordingly on they high One slide the optimize return Otonomo’s return planning bring gain charging higher extension will demand were XX. and into to is have on able on connected would charging they based solution, highest insight in the Please a their market point move data investment market With the data, that

MaaS greater their The efficiency. second for MaaS these delivers providers. ridership the mobility Service, demand maximize targets The platform services, enabling and visibility Mobility-as-a solution into operational providers actual

services high operational accordingly, our America. their to is the micro got signed multimodal to fleets slide in XX. solutions MaaS America. mobility mobility intelligence leader the They order Latin This to demand, expansion Another and and have cities thus space move of example Otonomo’s of a data Latin impact and most recent insights deal using in been of solution requires the a efficiency. identify maximize across in optimize in and alternate ridership big with Please its deploy plan areas demand patterns,

The transportation and third solution smart focused on cities planners.

and slide enables Our to preferences the platform patterns. mobility resources. right mobility the move and build and to This company, community them thus management deploy transportation generate consulting to cities planners infrastructure XX. a match demand global insight into environmental transportation We optimize recently enables and mobility systems, better needs transportation mobility with on signed a impact. and around deal world Please and

from the together, In Thank and experiencing certainly to decision. revenue our Neura QX. automotive are intelligence, we and success you. we We the promise we QX Neura holds already positive In the data-driven the serve our results great mobility ecosystem to first intelligence us transportation Otonomo can of and how across We combination doubled of strategic the to-date. serve. transportation number QX our Ben, received to to mobility empower drives drive results number after quarter XX%. journey of see of we Neura. increased and back summary, And by organization customers sector. to the continue you. highest significant have This mobility was mobility, for the from geographies operational acquisition

Ben Volkow

and on Thank and Like of strategy from of all months business APIs. sharing of We to of revenues introduction the a announcements you, and the fleet services continued acquisitions future slide their growth. across we And have the technology number Amit. OEMs we via their to see the Please data operating see ecosystem. data in seen transportation few impact and last sectors and the you, XX. continue OEMs electrification its of move in benefits

and of course, in to For clear is the a activities example, business operations services Stellantis vision and taking announced play strategy, in data our It aligns central services and in the our of position its well expected and mobility It interactions growth group. sector. our with are future. evolution trend are Stellantis automotive data This their that and supports a and associated and pivotal strategy. role, the with

the XXXX, throughout strategic core will ahead our focus. looking five in following So, be priorities

serve. our Further in well increasing create our as Continued mobility growth we and we diversity in solutions the of partnership, offering. geographies OEM as development intelligence

XXXX. to excited market We the billion opportunity strong building fleet by are market be product from and expected analysts engagement great very sales and sector, McKinsey pipeline. $XX a the by approximately The are

cloud-native and software-defined, one contract. multi-vendor dictionary, integration, delivers and multi-data, fleet, course, one Our billing one solution data of one one API,

is ready customer facing these efforts. strong to support team Our

drivers personalized segment, richer and XXXX rapidly. data by partnership this customer insurance growth grow expected is intend the is for value, segments, increased data There services partnerships be transparency high the by will growth. and by personalized expectations further in expected and such Business spotlight continue to and on in marked services. is advanced the revenue fleet increased as greater for be secure increase. services We In to and partners. to arena, sets, financial a segment, to have use in powered more XXXX focused data generated for mobility our Demand XXXX, current cases, to value

reality the us will in expansion are to touch NXP from a with devices Otonomo is making we automotive NXP process, we relationship embedded leading NXP. platform orchestrate These hardware saving, this a and edge vehicle vehicles. security, development, hope cloud our upon with want vision energy and of technological and one QX, announced our I data and marketplace. enable assist savings. cost edge partnerships will that we Additional privacy, to in by proposition. our data share as value space In provide provider forward move strong devices, in partnership millions wherein offering, collaborations of the end-to-end, collaboration, edge-to-cloud transportation the in an we

XXXX as collaboration which We and especially unique to extremely XXX%, In market. more QX nears excited our financial is the this growth our Please are grew KPIs. to than an saw in time end, impact to and rapid slide supposed XX. business aligned, whole. and our company a remain went and your QX Revenue for number today on about summary, all move innovative consideration. that recurring vehicles to from that Thank for you. as customers, we over up We all remain are coming and vision market of The revenue. OEM confident agreements, and rapidly. our Miri, licensed XXXX positive you the much

Miri Segal

Operator, we’re ready to take your questions.

Operator

We [Operator from a from Instructions] you. Riley. Thank It’s coming question. of Nichols line Josh first have the B.

Josh Nichols

my taking above And see for question. quarter revenue to for Thanks the growth in fourth Yes. guidance. good the the coming XXX%

different one of early know there’s a of right? lot the KPIs. I So, stage, So, companies big

is new for One for the of them in is. X OEM being clearly it that of to potentially contracts hitting signed these that What’s OEM XXXX? to that thinking add OEM think or I going target than contracts, KPI ‘XX, to this you to there do I process? partnerships potential think a X expand as more you’re what’s new XX thought year or the ‘XX you’re

Ben Volkow

strategy, slightly So, I it OEM when into or I’ll and it will look we XXXX, think that adjust our explain. change we in

initially, was and open to us for important the OEMs shop, needed us possible, We focus wanted as as bring many for to was right it the have on we think I to that’s thing. the the coverage, and quantity.

some our areas, requests which have vehicles. lacking. some specific In coverage. maybe In is areas, the we see coverage that maybe for see maybe started less think gaps in geographies, in areas missed our and some we market. I we parameters XXXX, that growing in some some our In segment, fleet, is -- fastest slightly seeing we some we

will be XX. now quality and moving we So, of more to as quantity. we started OEMs we to And with, also we XX engaged the X right towards get part number have than aim of it’s sharing top it,

on and the data data quality of overall how the possible. emphasis or more So, instead much be our of getting strategy the location as data there’ll of fills as the it

to targets have our approaching our the team won’t very clear with or think agreements agreement But orders the I X in and ballpark agreement of emerging just they’re those specific talking this and when for or think new in OEM I any XX strategy. XX with is I but be hope and that extension OEM. numbers to question. OEM, to answers we every the aligns

Josh Nichols

Yes, I it. I think, got

you or guess, I don’t you’re have penetration OEMs is on increase X that there? more those, focal like top to focusing the specifically, So, points for out key the XX the ‘XX especially

Ben Volkow

Yes.

can those to impact that believe make think a I compared we OEMs. bigger smaller

to when We OEM data, comes but needs targets, so engagements to some it few small exactly. very our and have our

Josh Nichols

And you have that? you or revenue -- for quarter the of and have then curious the split kind if also was that handy the marketplace recurring by XXXX, SaaS just was between what could I’m how much you And fourth if chance? of

Bonnie Moav

Hi It’s Josh. Thank answer you for question. the going it. Bonnie, to I’m

-- So, count basically, a on separate move to separate we segment. marketplace as and decided not not -- to SaaS a

and the that all We the OEMs consumers we are have. data offering

Amit marketplace that Our product SaaS call. OEM intelligence services, on the offering, or licenses the it’s cases, to use whether product mentioned it’s different different whether mobility or

of So, breakdown we those this the are split. not mixture of giving

recurring last grow our of quarter. we to terms revenues, compared recurring In revenues

are We to building are our have revenues. our offering much we focusing in a recurring now and growth

it if quarter. So, revenues recurring to any we SaaS be from company showing will growing quarter

Josh Nichols

Thanks. And complete out, inflows? financial then, Is that soon? with when be coming will the XXF the more

Bonnie Moav

are required March file end file So, the to it aiming we to it are April, but of XXst. by by we

Josh Nichols

sales sales I How on what -- so, what’s And, to Like, up being so force, per And the marketing guess, a are Company So, time much person and doubled these is little KPIs? on team of right? ask revenue basis? kind new to what generate based are are the XXXX a the then I lead to the in? team? guys contract get for And sales their wanted the -- paid? speed? to lot bit, sales of how the that new you’ve for a revenues there they Is they’re expectations expected it bringing hires

Ben Volkow

we good it’s a question. So, --

our is to ability Anders, ramp that with came I close from important advantage. XX industry. up to years think very and for rest We say also business. And are after it’s us that from from I us lead to data people CRO, started coming people faster to Their additional with We onboard the will other with definitely someone sector the So, our industry. data. bring We the some the TomTom, brought the at team of engagements. lead people dealing fleet brought is to that to background fleet

of on improve say days So, time going through the measured years’ will just And I we weight to a all another And not also a people for just booking, lot, and that we than is the these lot measured part to but less important they of and give board are month, there answers on and and revenues. team number question. in the coming to our is to sure see the future getting the But working important team training we closing not revenues, effective a starting the things. being question? recurring that revenues, our it. revenues. very for growth, very on on deals Was are And hope I it making be

Josh Nichols

No.

the I waiting XXXX it. guess, think last that, And one I’m March for in just materialize that about Is you’re there? last that or large about what’s two talked think you you the curious until near-term that’s me then, could visibility was think there works there the question commentary call but to in also, agreement, I deals expectation that. you potential are why I is give get guidance. that And Mitsubishi Is waiting I still didn’t better or to influx, hear that any are on? a renewal potential

Bonnie Moav

So, point. see We the market at an very made we acquisition. dynamic this

companies. get we acquisition to to into to we the optimistic of with little wait far between for disappointment But, synergies a and a little not the very number come that We value and bit away. to the you. the We it’s of can and decided the it’s a QX. know more I of end see by bit are the want back best quarter see

So, be with us. patient

Operator

Co. question. coming Ryan have We It’s question. Instructions] a & Needham the from Koontz [Operator Please from ask next

Ryan Koontz

maybe new Some months onboard idea through you. data? to us of to Thank talking an it to OEM looks walk give these we OEM partners, access what new how us kind Are agreements of to these typically long like? full can that process takes typically or turn the

Ben Volkow

definitely, So well, I hope and Ryan. you are

that OEMs. there think typically many, us, always, many for I are

agreements. have XX about different We

engagement on almost OEM. with commercial to comes spread the to the itself it a an say privacy OEM, typically, months, the depending used is related it that takes to X But there. the this. I double And be would agreement when there the So, discussion, today legal discussion, X

are the think side. OEMs I to the weeks three slightly I are that needs takes of every improved every think, we And usually months. slightly two Again, different is of we OEM’s really implementation to still onboarding improved, talking our actual has different. consent on place. consent data to OEM data OEM about are and that the slightly has it’s And be different. anonymization When the in PAI, X with management. every Afterwards, OEM requirements X

new don’t process, to it the weeks you usually. on-boarded. side once adding you of again, a and you to that’s do us technical So, the six OEM need have two do and to OEM nine takes the But, Actually, three it overall. you months

Ryan Koontz

couple And if typically those from one, What sales contract in revenue cycles quarters? do of I one on typically to sales quick the look engagement could, to side. like

Ben Volkow

It’s question. a good

I that we approach and the our cities, you number insurance SMBs are closing approach as with smart industries with fleet cetera. We we we the DOTs, aggregate of and the industry know, data, approach et data. industry think

we And think talking week about to are We talking DOTs, really closed call I are cities, now, slightly a one. timeline typically are solutions, the first when I different three fleet, it When that personal but insurance, use a goes many contract. like smart with like and about from times industries. So, like cases, unusual deal like talking in with aggregate through after we POC we an would think data first. parking a just that was different I months four say about, there like the are data,

four the are And the about five I to three timelines are would months. six see those longer to compared we to say we slightly term, industry. talking So, months in

maturity when becoming are to on three and but with data, slowly hope shorter. comes the six the months think four they’re cases. with first answers an times legal it call five better it with use complex more those months today, operational personal to agreement from end, signing other and I a I question. more more foundations, our And aggregate to maturity data side, with with on and the

Ryan Koontz

It does. I all That’s Thanks. Very had. helpful.

Operator

to this will turn it There are at I remarks. Ben time. for no Volkow now further closing questions back

Ben Volkow

And elaborate course and Thank any we and be further wrap today. a to will will of today. answer Thank questions. happy this, good you everyone. have all for With for we joining you day up

Operator

gentlemen, and Ladies for today. our Thank does conclude for that participating. you conference

now disconnect may Thank you. your You lines.

Otonomo Technologies (OTMO) 15 Feb 222021 Q4 Earnings call transcript