ASUR - Earnings call transcript Q3 2017

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

Operator

Good morning, and welcome to Asure Software Third Quarter 2017 Earnings Conference Call.

Joining us for today's call are Asure's CEO, Pat Goepel; CFO, Kelyn Brannon; and Director of Human Resources, Cheryl Trbula.

Following their remarks, we will open up the call for your questions. With that, I would like to turn the call over to Cheryl, who will provide the necessary cautions regarding the forward-looking statements made by management during this call. Please proceed.

Cheryl Trbula

good and Operator, you, morning everyone. Thank

may not risk guidance. or This start, of outcome. historical the affect to we might business projections, number forward-looking I of the that discussion during are uncertainties would forward-looking some that on include information. other and mention to estimates include that this statements their company's call any all other statements of like subject this Before will made management outlook made and call and could particular statements These be that are a by

the You actual are the urged factors results from expected to factors are the to our risk file These consider company's in business differ with materially reports important Commission. on risk contained results. and cause to could Exchange and Securities relating they

Finally, Web at the CEO, remind like and link turn will that Pat be will via to like now call Relations available Goepel. Investor the that, to section available it call to our this site a be over for www.asuresoftware.com. our replay With recorded made I would in Pat? I would everyone of

Pat Goepel

We you, continued appreciate or I'd Cheryl. welcome call. to to your Software's third-party resource. client, valued Thank a third an earnings XXXX interest like Asure and employee, you're support quarter analyst whether everyone a And certainly an

Third quarter was fantastic.

achievement cloud to momentum I operational in Asure, increase First Notably, and that double year, and a in reflects top of of early all, quarters, some year. delivered a quarter the strong was including line a think revenue. $XX.X last that in several XX% growth by and digits the really year-over-year sequential, made record we driven XX% acquisitions record million highlights. our quarter. This for We last grew had and over continuation the the revenue the a we've

a the several Officer, from years, quarter. bookings XXX%. change made we've you for sell revenue over was off all cloud We also sales Revenue and for in To cloud, pricing the bookings first has where we of which successful. for a XXX% customers, cloud time maintenance Eyal year program the to very quarter top cloud up been do maintenance in people success the to really told in percentage, pricing was our our third the X.X as we're revenue times On to total get products, revenue had on a the and from also cloud year, Goldstein, XX% solid all Chief When average We're as and it's the contribution program. paying and be customers a strategy cloud this, in revenue from last people revenue in QX about fantastic. early company was our that XX% those migrate hardware of Asure, we some had that continued transforming for and were of customers we've for migrating company.

What we're away Our location and May. a customer, were operating our some closing as the that primarily in the did in is areas with to up non-recurring SG&A both related well as two due we completed acquisitions to and year-over-year, non-cash sequentially higher expenses costs in and centralizing doing the addition down. service severance key some model of to have we that associated from

and Financial, some us. and period was for get for quarter Anthem but spend X, X about we talk that a the Human Department up so compliance Health key big expanded Soc sales were and robust third perspective, us. infrastructure, those From quarter. little have been Soc as I Services, And a We our Our several to client also we will as Broadridge is in were and a Kelyn activity and the able well compliance, wins, up. costs XXX of later, bit wins

to Global cloud as Radio, and with and quarter. we we The across Easy Cobalt Jeff them and human were so far Ventures. And companies Shape Bee [ph] able welcome this pond as like management Green then well our deals clients also Services, we product, of capital do HCM, Behavior, had the As with

in sales Our is new to existing adding with as as team well logos roster clients. very, very effective expanding our

is Our average deal costs and have acquisition size up our year-over-year, down. customer been

which as the human pipeline sales Our force. sequentially logo is well And our capital from new in sell the deferred the quarter, the backlog management was XX% from and positioned continue for up us about pipeline quarter. area. strong, prior revenue especially well XX%, grew as should fourth the Cross expanded then and set opportunities

deferred from we XX% weren't And believe Advanced May initiative, in is backlog of over year, the X.X. we a that in innovation From million. we successful and technology importantly, the launch at the products future. product product HR company and via a X. new the More took we was lot X, to in punch and quarter, to success standing out a drive mobile Evolution and work our did We the growth announced product for our still. that quarter, that to When with employees the the previous roll $XX.X the we is allows October Mobile, launched on in the key October was revenue phone, now in which going two perspective, AsureForce

in are geo-fencing regionally for of Mobile our also but they're start be. it's the AsureForce of to or companies areas. where supposed companies the companies the healthcare, not area home in, requested building of if And building have locally punched to are construction, introduce other the whether us that lot different a the you workers dispersed can We they tell which in future. worker goal brings only

HR as positive. got the we it brining HR reviews. good far And beta Technology. been has the talked very X.X, were It very As at and that customers customers feedback about on

a did of also work front. acquisition the We lot on

third obviously Associated we did made October was quarter. the acquisition We the lot Birmingham, out in of X Alabama, of Date well. Service, an as a work

into more about walk I'd talk our through the new bit Brannon-Ahn. And little on M&A, bring very strategic to before we're introduce the pleased the location so I family. like financials. And she's to the Kelyn a going Birmingham But CFO, to Asure

fit the years, of and who you past, International resume Networks haven't call of of financial for the along her. I she's success pleasure the Amazon, meet you a lead gets with welcomed Kelyn sharp, I'm chair. anxious kind great She's long-term We're to a to feel, the add she's best the with as addition the short-term. she Kelyn, the as to plan of to Technology Asure's I this things. going of well the had going of in And aspects And meeting very She's CFO felt Asure to in is turn Calix. eight to is right the a with CFO Calypso well Asure culture. person, organization. including confident I'm taking over best those do yet Arista And the Kelyn. family. to great going For public, that over the to is had that, the value

Kelyn Brannon-Ahn

as in for and have opportunity a team exciting to everyone. today. Pat, please leadership to thrilled the joining It's introduction, you, speak morning this to good be company's Asure's an Thank the development. you time such I with am

success overall operational momentum, strategic offering, future. market and well for acquisitions, financial into positioned an us solid reach and the service have ideally Asure's industry-leading

to for ended our financial results turning the quarter third September Now, XX, XXXX.

The cloud XX% $XX.X of last XX% QX record support XX% from increased increase revenue, hardware was last a in revenue on-premise increase XX% in $X.X increase increase QX million year. million year. by revenue, license services revenue Our was driven and a software X% XX% of a in a in in increase to revenue, offset compared professional and maintenance revenue. by This to decline

current a Our percentage of year. revenue last XX% XX%, of third total revenue from the improved quarter in as to

This of an of or improvement of was $X.X from Our QX gross or of $XX.X total revenue. last revenue gross third margin was year. total the for million quarter in XX.X% million XX.X% margin

an EBITDA excluding from at of of items XX% Now reported one-time we increase million, looking metrics, our last QX totaled million in year. $X.X $X profitability

net per loss This compared per of or Our of negative QX XXXX. in $X.XX $XXX,XXX share. net GAAP million $X.X income totaled to or share $X.XX

of the quarter for XXXX items, net QX Excluding of net share. one-time to totaled share, items of compares or per year. one-time $XXX,XXX third This income $XXX,XXX excluding $X.XX or non-GAAP our per last income $X.XX

totaled income of $X.X compares of or share non-GAAP million $X.XX in income per This per share. net or QX net to million non-GAAP Our $X.XX XXXX. X.X

turned Now yet or turning repetitive and have repetitive to our product, revenue is backlog, both including that into which we not revenue define one value sales included as lines; product bookings for in backlog. year's deferred non-repetitive

XX% to prior the a Our a and from XXXX. XX.X quarter backlog increase QX of increase totaled XX% compared million,

had XX.X long-term enterprise to equivalent revenue sheet, the move to to in will this and and growth. conversion balance cash from many process clients million continue gears in We in end year of implementation debt. quarter at we expect XX our which backlog to reported our result Shifting cash million through

million our last Finally, quarter X.X XX.X end totaled concludes revenue in from at deferred QX remark. up which prepared of year. my million, That was

And call now over to Pat. Pat? turn so, back I'll the

Pat Goepel

like Thanks, mobile business I'll October of an and platform here. SaaS-based vision support completed acquisition X platform our outlook. early And capital consistent Kelyn. then to is briefly human our to October back and to deliver workforce. our on with workplace shift would we the I unified And to acquisition tuck-in evolving ADS software guidance to turn management ADS, solution in

Southeast natural the report and customer It between human our of forward integration. also from longstanding synergies leverage And a ADS in going of services to to the other where payroll and As We extends is integration, organization. business solutions been very human benefited we already market. A we've our region small very am smoothly. I pleased software, to reseller footprint local provides look capital management the nationally. expertise and our technology successful resource

from We revenue to PSNW, we and earlier EBITDA have what this achieved improvement CPI. similar Compass, to year, and tuck-ins begun realize our

Now turn to could if guidance. I

the which increased fiscal year our the reaffirm August. first XXXX and given nine Our in guidance confidence performance back is us to months we

with achieve fiscal 'XX, we revenue for XX.X in XX.XX XX.XX to expect revenue to in EBITDA and million between onetime excluding XX.X. item between So

year. several between include be that the brisk, early per per looking onetime items. our that believe item. we Our our will 'XX net next And would not excluding XX you And guidance we're does share I for XXXX 'XX, between and will $X.X is loss tell excluding additional pipeline transaction in be acquisition. not deals net income consummate M&A non-GAAP $X.X I XX onetime but mind have in and activity Keep event will and be do share

drive acquisition. outlook, through being far I strong. initiatives focused both remain scaling the talked and ahead. organically to velocity We our selling financial will will continue key accelerating of on include cross we business, As our pipeline looking our strategic as acquisition visibility, XX's us our forward. This are about opportunity, and improving

to fiscal expect achieve good acquisition visibility $XX to revenue pipeline. the our have XX guidance. XXXX, ours we accretive software an objective in over our where tuck-in XXXX. service this, million standpoint, XXXX into inorganic bureaus million service in complete We approximately strategic On represents improvement both our is XX% and our of From we technology top which to using of current of business in organic would organic of which $XX revenue add multiple acquisitions, already

As goes, of the achieve that anticipate half far million I the XXXX. we'll XX in first as pipeline that

and are Although financial momentum, and solutions and scale significant we both our we both in business even we well. believe and to industry-leading sheet the strong but product financially long-term Clearly, have the near-term, progress making very our with the the operationally. we're also a balance positioning in please growth further, strategy, right very, as operational

now efforts pleased are or refocused on comment enhanced pipeline I'm two is many front to a in robust on I'd the opportunities in fact like the Our that and management to in sales us, us one performance management team. Also, our year-to-date. our reflected our allowing management of capitalize We're level very and deep levels team. with sales team.

joined Some Eyal been these fold, or brought in are over Hill, years. Diez, team and Bob has the addition Web It's about for last with year Joe of Kelyn here in now Brannon-Ahn so. us making to We people year, have the Others the management to contributions, Bellaire the the my years a I've business been Trbula, the Asure. Cheryl over some calendar Karbowski, cases in seven who've and best well running years. felt at team management Goldstein, eight Christine immediate

in plan. long-term. dynamics for our synergies results the reflect revenue, with I also get $XXX our Asure for demand positioned solutions strategic operational of favorably So to quarter as well the to feel XX% summary, with on that, increasing third our as questions. track to our These surpassing goal take of in have we're in the XX% midterm ready some margins. And we're million that double-digit EBITDA

Operator

line the Derrick question of Thank our Company. with Instructions] you. is and [Operator first And from Wood Cowen

Your line is open.

Derrick Wood

just on of job nice and and talent, from the Thanks about sales seen the you've about a you've business talk executive Great. Pat, changes talked it payroll what you've business progress some in and last Could of kind the onboarding you over working the like HCM more go-to-market quarter. the sounds and standpoint. on impact side you're rebranding been the few making, months?

Pat Goepel

Yes, I have believe Human a Human effective as from without the very an strategy can't one is human an well, think things you Management, strategy. asset Management; we Capital as capital effective workplace strategy of well Capital having a management

has solutions So We fantastic our we're think number has traction, solid. products brining revenue bookings quarter, platform. together into as been been we're and evidenced a the three our this growth getting by

tremendous selling people solution years to year, make tuck-in all products have together not very one only we for is the or think come. one the into sales And can acquisitions, We pipeline progress, this we but platform strong. with

Derrick Wood

Okay. maybe favorable it workspace there. you on conditions side, And out overall heard just the talk AsureSpace? the rates sounds more from just Can the we've demand there's win or the guess what on I competitive like about

Pat Goepel

'XX 'XX. have going Capital we're of please fortunate time, continue When very side, and I we been multinationals, a very a On AsureSpace, they the feel Well, 'XX win Management reporting deal XX% and pipeline win all, greater of we're analytics robust us large-company think bring that than mean more in been to we've number And see I have we that. and to growth. you'll first of table that with the to into Human pretty with -- successful.

Derrick Wood

guess in into terms I thoughts getting even around to any see the back And Kelyn. nice cash one next for of Really cash on flow QX to Great. flow? QX, trend positive or year about

Pat Goepel

is And done short Typically discipline strong discipline cash all lot know, because next good brings job cash customer in around we a the XXXX. been of for a I our Asure. brining taxes, her a have But flow employer usually we the great a pay quarter of of I a early in have do here cash forecast flow on end Yes, at Kelyn's cash time is and Asure. and good cash the a year Kelyn flow call the she's and flow, activity quarter fourth starts. of will through the discipline year to us. flow,

[ph] being that our guidance, have. cash with it As equipment mentioned. EBITDA less quarter flow costs capitalization far that due as I EBITDA and interest we should any and guidance That match typically hard our the to slightly believe favorable factors we typically been has fourth

Derrick Wood

Perfect. All Thank you. right, well done.

Pat Goepel

Derrick. Thanks,

Operator

much. Baldry ROTH next line question Please from proceed. comes of the you our with Thank so Capital. Richard And

Richard Baldry

your what of about completed, in talking it, first-half call by the you see pipeline Thanks. next Yes, the could acquisitions year given of pipeline. be,

much those? You if to the integrate talk incremental make about your then you'd the Obviously for million see about -- a talk to you pause or $XX you Yes, that framework do a to acquisitions drive you think can that happens can sequentially pause revenue. continue you do out of this quieter steady-state quarter, would opportunity rises. you EBITDA just period, you in showed sort as think pursue how

Pat Goepel

Rich, your Yes, question, and great interest. thanks for

vacuum one go I reasons in where a in we the we first October, to was just acquisition, through window the acquisition. we think had And in ADS deal. to had one did wanted iSystems a that make the acquiring of our sure we

that steady that to first won't confidence a pause, state can is that as much forward. of we we'll but there My year. time. we'll us do is giving going continue though it's the make a acquisitions think I of guess of over absorb more half do What the be

attractive conditions, to investment to but for more to demand, to we that, idea the whole to and is growth market subject a all and When more EBITDA some that become get to we Now, become kind XX% we're starting and that XX% scale. the rate with the get of of community. $XXX us company margins is million traction,

now continue course. So new going pause we're isn't this these likely iSystems new say pause. to that I make to less more We year matter to the a us. I was path. because think But see to down would us we're continue you'll of to did iSystems that us earlier

Richard Baldry

had strength your pro the some line quarter. services in And

So of there repeatable, issues? third-parties of within sort that I'm kind is? sort think new as move to timing how sort to that extensible in-house that Are you curious service bring offerings do of more that of more of is you centralized some maybe, group a versus model than

Pat Goepel

some a we and think keeps have. have services and believe sales profession big continue we'll that projects think of space I benefited based very of services. in to have we deferred from No, will professional on revenue installs, we the backlog addition Mae, big I to that lumpiness folks, Fannie senior team driving driving services professional some the contracts, some area But Eyal in keep

Richard Baldry

guidance around Okay. your And I adjusted midpoint The to $X of think million. would $X sequentially, another million. it at for the when EBITDA, million up I million from look if I range about to go $X.X million it, $X.X is picked

well largely about of Associated talking of continuing a the realize Is you're about both? or -- acquisitions? So bit as Data coming about it that to model little to the more sort in is Services of existing synergies

Pat Goepel

we going few couldn't anticipate we both. annually had $X all of goal revenue at we get drive of success some a them take to forward bit quarter. that could little out. have also third then quarter. We fourth A in the think million out We more growth. synergies with a We And

Richard Baldry

cash you given positive scale you're that's in seems it EBITDA some internal showing are seeing you the [Indiscernible] you know, sustainable. generation like

the to is thing acquisitions periods acquisitions cash that or of feel and periods how on that'll short-term balance would you in to where in best variable your be down of would you're sort to what doing more between take quarter-to-quarter? thoughts like your debt those sort maybe quickly be So balance not your adding

Pat Goepel

at perspective, mean, all We're one we're I so it's XX% We'll comp on I cheap all see would But management just at think remind when I to and What all we'll becomes you'll I go relatively our debt. we'll debt will more of all, XX% stock the determinations that market for And that Rich, a grow acquisitions. down think, Yes, cash it look fits would don't framework think and is owns I take the price more attractive. level. share. coin-operated. we'll the we'll debt necessarily size is anticipate look from we're I our together. debt make you in into

Richard Baldry

And And maybe growth bringing you these you sort feel bottom in you really in everything, the engine, talked bit on it's of and thing, You street? the with their could feel the could of much companies realizing then how you're been last then on the the allowing being booking generation discretionary? talk them the sort now demand about side. you that and you're engine so of to able the about more and a to helping like line versus performance pretty much it see some to how be as synergies, pushing out about do organic now stay

you the of heading see you where have group Where it XXXX? So you Thanks. maturity the now? feel about into

Pat Goepel

of then that We're acquisition in what a the new. 'XX. as Cities. and that we now less because to talent have 'XX. very as they're absolutely sales years, XX. contribute them as of in brining I And Tale will no, that it's And -- about grown. very really of bottom-line sales than is brining to And them business say selling sent model. a going their the training people it, months we're that we performance. been is performance hope of acquisitions, performance, anticipate think the six Rich. would I revenue. opportunity. attracting, all, And continue out the The the solution we're lot some Eyal the relatively sell with less May good jury the of has I good has Two whole sharp have pleased our job. out to done we here couple grow we're We first And then over We're But always and a far Yes, of growth we're ultimately the year, that's feel line reps cross people great into forward. a to appreciate we've is, top and feel right a than or strategy attract with think still because on able think continue We about have the able sales that strategy. good And this will some on model the clearly And

thank Rich. you, So

Richard Baldry

great All right. Congrats quarter. on a

Pat Goepel

Thanks.

Operator

you. our of line Thank next And with Canaccord. from question Hynes comes the David

line is open. Your

David Hynes

Hi, thanks. Good Pat. morning,

sellers term ADS is I you are kind iSystems on M&A how questions the when second and I iSystems strategy pace Mangrove quick done of targets, of profile risks about ready you margin controlling the much that how much two deals? you've can M&A opportunistic as with the being you think just the acquisitions, SBO to now in any then transact? question the difference of front, the are So deals the mean between your handicapping and the the in it and And drive ecosystem, think in front, on the intermediate

Pat Goepel

which difference the is the we answer, to mean, same. model the model no is the feel Short that I --

that. typically So far want schedule we appropriate. a have key. to communication then pipeline, think good look build controlling kind are as life be at And events; and at communication is of we look they we'll where And as acquisitions where life. about the are they they we We desires where different go of in pace, want and service feel good the to we and that

we We're logical golf been And good pretty And well. but not been DJ, visibility. there. Some are handicapping your out maybe pretty very as We it's going know They good, good a fit. along we've I think but are strategic. opportunistic, in most as know we're we there. handicap pretty they're think it have

David Hynes

million do that of get pursuing acquired you see now, to revenue way, -- me opportunities let try kind you're the in yield year? need $XX another to Maybe what it. of next Got to kind

Pat Goepel

I when an it we've get yield I mean, say on you when we been pretty transparent. I WeWork LOI think mean closed.

our So rate XX% history. that's, we first-half the of on year. close the And I visibility good based have don't into know,

So focused. we're petty

David Hynes

then And could maybe from Kelyn. Perfect. we hear

to tenure. far you the land. the I'd what impressed of to seen over so into you your Asure? look six think next five great operational weeks And your as What's could where you You're improvements about kind or lay two? year get you've room be of at see for forward you high-level do

Kelyn Brannon-Ahn

operating you tell a five partners. what we excites I'm Arista, been demonstrated we The the me although just, I'd so the in, here that to Well, me industry-leading about of products as Asure and these of here about, to in size the have, I'm talked as that is just experienced TAM leadership we're what's that worked excited weeks leadership team its at CAGR team growth smaller reminds have that I XX%. lot, very and the

here. that's nothing be to there's want not made that's popped up So

the to operational combined be of me able that to hopefully doing brought think be the want prepared large filer, the we side scale, reasons now infrastructure I soon one these we're on Pat is growing think as sure accelerated on a to side, filer. in accelerated up and make becoming we're also acquisitions with I to

the focused will kind my on for six probably the to of focus And so months and be infrastructure here. next nine backend the

to drop these we can get of get these So as acquisitions acquisitions. drive we and that very margin them that synergies, XX% we out the quickly, to make in get

David Hynes

Good color for that's quarter. guys. it, great. Thanks Got the

Kelyn Brannon-Ahn

you. Thank

Operator

you. Thank

with next is question Lake the Eric Our from of Street. Martinuzzi line

Your line open. is

Eric Martinuzzi

any product where you measuring the more metrics to than And product to x Wanted about in that things like land and install penetration had you there's the if ask expand. internally percent one compared I'm install to the that year-ago give could one a wondering today? of base, the of see you're I if us kind base is of

Pat Goepel

anecdotally Eric, I two and to you'll Management type that a Time Space our with real Human 'XX with and well, have would now, and a the & of bit a say those we're I done. see In products go cohort well. plethora those -- XX% couple getting But over think about goes -- just on metric deals. little together attach XX% not and rates, good now that. of I Right us and come 'XX we're selling you'll so attach I acquisitions of our out don't quite there We're analysis. HR Attendance with think things. we've rate a XX% of Capital very sales. Payroll together pursuit, in pretty in 'XX,

those We're spending FSA selling some out better get some Payroll, and early effort are with So to our those attach integration here [indiscernible] metrics. we're with calories rates.

more merging data see come around as you'll and think to arms data I 'XX So metrics in the acquisitions. here with the around of get and our 'XX we these simplicity the

Eric Martinuzzi

shifting side, then to Okay. And for operating million. the cost expenses QX were $XX.X

the about correct You tax did QX. pick what's for be thinking up operating way a small acquisition. impact I to here in Payroll know of But the you also QX? mentioned expenses some

Pat Goepel

drop we'll hiring or and in so or operating about have then think a so. I of probably national expenses, $XXX,XXX XXX probably we'll

area in or somewhere So it's that probably so.

Eric Martinuzzi

up. on you this DSO were If that year-to-date, months, see Okay. the come but I we're exception a back over XX are the crept it'll on of a And are I targeting then you nine What the then the kind days are ago guys in you year DSO, of we but with has targeting via and of the down acquisition, look growing acquisitions, the mid-XXs DSO? do what lot DSO. running companies there? expect

Pat Goepel

an in of you; to did allowed year the of us. is us cash evergreen And a I little do this let is I'll change to important make DSO, But of more right QX Kelyn we me. post very bit first on remind we to after want all of So all, went strategy speak to which earlier. the one

apples apples, I about to was, if $X or remember that so. affect correctly, So million

a DSO a the our very first and And past. quicker, in in cash So miles disciplined some to to of ultimately allows about strip it if been million has talk been let is very, I where bring focus her us she even it. it's isn't that cash five these you strong out, background, Kelyn? But Kelyn will from collect but her focus. weeks

Kelyn Brannon-Ahn

right. exactly That's

at of the I data the first for one So, look to operating being cycle always that. company's and things is able a have

can are I we that collecting. the there around evergreen think allow contract, and I to out provide we not is with and doing DSO, our away focus for when ageing, the going targets those what collection. about so change come And our I guidance And Pat on but are back not too us see think what to would far XXXX, is and forward. cash how said, processes DPO, on to improving a moving I -- we And around real if billing some again our

Eric Martinuzzi

Okay. my Thanks questions. for taking

Pat Goepel

Thanks, Eric.

Operator

And from next line of question comes with you. Barrington the Colicchio Thank Research. our Vincent

open. line Your is

Vincent Colicchio

you Yes, the growth you with if have, forma a don't in Pat, us range? quarter? maybe And pro organic the can rate help

Pat Goepel

Yes.

XX% bit. growth in space those that in a at. have be are all We a have that at we are as in But Clearly, into of -- running quarter. systems financial component helped of there 'XX some helped the or and quite are in Kelyn kind quicker. the a able we in chair. royalty numbers deals metric get what out sales number the little that we to quite centralizing looking have a to has And back number noise large the bit because just XX and the for will some our some of and gets to number We with that's bit has cross acquisitions And headline there. sell as you is you about some that

Vincent Colicchio

the match And levels a sequentially. margin level. It's relatively last high quarter gross will

asked sustainable. were last it quarter was I think you if

said the same I way? still think you you is. Do it feel

Pat Goepel

Yes, is. I it think

as to but well, we pretty ties about -- we our it. it are be. And are we right of feel we gross good is some hardware think we margin feel going I where to said

Vincent Colicchio

then And on in if Anthem there? land got and just opportunities Financial, and expand wondering Broadridge you've

Pat Goepel

sure for do. Anthem we

in grow opportunities. We But products see I very to are to and as as data more us strategy think the a will couple location Clearly, have do to They forward. you'll Anthem, other see a at they more we'll location right I been of we opportunities. to positive. earn case And with has Broadridge go. we centralization locations strategy. been opposed hope offer the other continue the of going in think will

Vincent Colicchio

a That's from quarter. me. Okay, on it Thanks. good congrats

Pat Goepel

support. Vincent. Appreciate Thanks,

Operator

Company. our is And MacDonald Dougherty question with & from you. Thank line Ryan the next of

is open. Your line

Ryan MacDonald

the Hey, and on Kelyn. Congrats good great Pat quarter. morning,

of First third quarter? see lot issue impact a these and expect to maybe any we obviously during fourth could But the transition you have Southeast of into might more the quarter hurricane you that over now. off, the -- had with your in a presence from fleeting

Pat Goepel

the I two impact. Yes. the hurricane. in be days We XX,XXX our Ryan, doing calls another won't the That people. service calls. very probably real to with our incur cost close We it in did for over made was is quarter. right Tampa a We fourth switched did that. location. small They with pleased in

It's we relatively but it's relatively we don't see management And human And as far our anything. going we continue capital and So -- as nationalize business. growth, expand minor. but a small to -- will number. to are

Ryan MacDonald

you bureaus, area guess about it, forward your when as like is the for specific service are maybe looking regions goal it. Got then an got expand now? that and or are have bringing that into you on right you don't M&A to I you XXXX in that into as additional And you into focus there would strategy looking looking footprint and further, think much to penetration perhaps

Pat Goepel

mean I to our I Ryan, we're I that they going these we'll competitors continue happen. listen Since sometimes think. my when pretty tell you I to I transparent say, nationalize grow mention am just to am And footprint to not would too much. and guy. going calls, But

Ryan MacDonald

one then the Assure side, sort out general maybe qualitatively then the as on quantitatively versus of pipeline, bringing mix expansion a there just customers? Evolution particularly existing tracking HCM last or the from new is within what And one HCM And my or on HR how the is mix guess net of look the me, base sort Okay. at between the offering?

Pat Goepel

Yes.

we logos, XX:XX. are our and sell versus roughly or on Just our expand land cross new opportunity

of expanded current about XX% our that XX% come SMBs are So, have logos. and new capabilities from customers

we with the second where are. we're very kind part market pleased your we mid-market pleased that's are And strategy. the strategy So of our small with of and then very question,

both. development our big feel efforts time in recognize And win that out going We product started we efforts. product have to rates have

platforms both sales drive optimistic I to in growth. 'XX. we continue we'll in think So continued And are very

Ryan MacDonald

much. Excellent. you very Thank

Pat Goepel

Thanks.

Operator

with is our Capital. of And you. question Latimore next from the line Thank Mike Northland

Your line is open.

Mike Latimore

excellent there. quarter thanks, Yes,

Workspace booking from the adjusted of the terms In of much the bookings, came how the quarter? category in

Pat Goepel

something Mike, -- or that, have that XX of in the or broken out XX:XX. HCM say quite I don't XX% something came so like that XX probably space, but way, like area I from would

Mike Latimore

that you Mae's how going the appointments big I guess, mentioned Fannie And are HSBC [indiscernible]? beyond appointment,

Pat Goepel

do are going in variability large well. very mean They them. appointments have I

variability is an install. Sometimes a it versus XX is install XX is that

Some locations a the on in building are space. dependent area new of

of mercy are you schedule if or will. And an new sometimes building we a opening at

- an are export a bit we around import, et starting cetera. to of different countries' in about sensors learn little So rules

So believe we guidance. variability that our variability, all understood have we but some is in

Mike Latimore

the talked that [indiscernible]? of of Mangrove on mix Yes, is million potential a about service XX acquisition growth and you then acquired iSystems or pipeline, revenue, and

Pat Goepel

are give Yes, opportunity. believe focused very we We both. both I on think models us

Just by times nine than bureaus the the service probably iSystems Mangrove. there's shared number,

And our that attributes numbers, we we reflects a bases. that of just look probably lot both as at. on in pipeline numbers. there based quality, there as, is far feel region it's the is So that opportunities whether But

Mike Latimore

lastly, a do in of kind you fourth just the And to normal hardware seasonality quarter? expect

Pat Goepel

in it I the does. quarter like think track hardware should up fourth traditionally

Mike Latimore

you. Thank okay. Yes,

Operator

line from next you. Instructions] the of with And Flamholz question is Trading. GF Thank our David [ph] [Operator

line Your open. is

Unidentified Analyst

market a Wework also, thank you cap in could that And talk Xyster Could Wework hi. involved Wework talk about you $XX about you. the billion now space the Yes, and is Assure kind partnership? Consulting and phenomenon. -- has of

Pat Goepel

on the WeWork. revisit them. we go time would decided table the They've a Yes, help partner can question We technology to thanks them. that And to we over now We've think couple the over you seen long, love David. time. of with can them know, for to and thanks bring some to

their phenomenal As a very, it. to done they real value have proposition understand business some WeWork, as decisions estate as I and have own far they very made well. They've

go area. We have not that wanted to into

You know, our technology company. is believe more strength we

and not just based respect own study I they them; done probably the for an a on I'm some have market have that stock. versed as investors on are of outstanding So job value. lot WeWork

we We and that think we are have and come those focuses long on and we to we way, a will nicely, our think continue grow strategy, we are pursuing opportunities.

help questions as consulting a should first help us, of the as strategically software a you think business we and in will consulting, deployments it'll be get little that opportunity our some bit strategy. are there'll can we well, think we software have help deploy are, you typically far there taking for a software? what when some of we nationally. in We that we consult put greatly us evolution the we arm So that drive As small natural

that's So kind my of thoughts that. on

Operator

David, And your question? does that right. All answer

Unidentified Analyst

you very thank Yes, much.

Operator

with question-and-answer turn over conclude And his ladies I for the that, and would remarks. we like our to Goepel gentlemen, to call Mr. back session. closing

Pat Goepel

outstanding Yes, headline all, just job. she and Kelyn welcoming going some is of an takeaways; are first thinks do to we

with we think then know, both in be here. we guidance, the and quarter growth are inorganic, 'XX midterm record you is and have the really to visibility, our of pleased we you the the organic and our company a as $XXX far quest know, is visibility As good working, million over reach strategy revenue

million ago with an were company see orphan -- public we can started first when We've we come $X.XX So, miles from it. when share. a we a years eight that

invested tell you excited I'll a company its years back about going had the later you growth you return, with prospects very more I never been and good have forward. us eight then, but If

right have have with the time, employees think I'm thank and Until and we us at have, that propel right position, that clients right going And the think to in I time. I'm the right I this investors will forward. the be in we to you. because thankful people place strategy very very next thankful

Operator

and XXXX and thank everyone conference. of site. call a in Thank ladies in available a remind that This today's will call. the company's via I quarter have link section a And earnings the will Asure's you for Web replay today's be Investor for third gentlemen available concludes day. to recording participating like you, great of

Asure Software (ASUR) 13 Nov 172017 Q3 Earnings call transcript