business revenue. our Jeff, quarter, recurring and subscription we afternoon, first the continued our good and you, everyone. core our growing strong In performance in Thank
Our further model. manage our track will high-margin focus costs stay revenue, the proactively subscription remainder continue on for of our with long-term to and to build build our XXXX
we We as result profitability improving efforts through expect move to these XXXX. in
for year Given this, we reaffirming guidance annual fiscal 'XX. are our
first increase turn the was constant the of X% revenue Annual in let's With of million X% currency. the financial on million annualization now of and an that, quarter $XXX maintenance or $XX to first based year-over-year results. and subscription our at details recurring year-over-year bookings quarter,
XX% subscription was customers uplifts continue constant year-over-year. ARR to currency, customers. in subscription to convert Growth growth healthy of adding revenue at ARR increased we new ARR to maintenance subscription due while XX% as At
growth which of the was March year-over-year $XX Absent orders been million by as in ARR maintenance our the to currency. XX% X%. Integrated would have contributed negatively ARR Solutions unshipped million maintenance unshipped at $X this, Additionally, impacted constant would about ARR XX, negatively ARR have impacting backlog, at excess growth the
in our revenue We and revenue drive agreements focus recurring under other continue subscription, growing our to maintenance predictability on long-term to greater from business.
As year quarter, our revenue of from the XX% in total revenue, up first was end of of ago XX% long-term the model. recurring LTM line and a with
first the with let of results of subscription. Now look XXXX, beginning the us quarter at
base. subscription our of growth continued the by encouraged are We
Our of paid XXX,XXX year-over-year. software of at increase count the total quarter, XX% active the subscription end first reached approximately an
to and first solid, expectations. growth quarter was subscription the performance in our subscription continued and enterprise healthy Creative exceed
led added Pro increase milestone net Media We Media new and approximately in important a by of Tools We company. for a sequential an subscriptions growth over Composer and XXX,XXX continued year-over-year, Composer have creative Sibelius. XX.X% the XX,XXX adds for growth both in now subscriptions,
Overall, we mentioned improvement license subscription highly earlier. revenue second but confident Tools of strong our of introduction creation in in growth the business, the Pro are our consistent see with growth half Jeff that to Tools applications Creative in the expect in and music
about our believe to customer of Moving large video MediaCentral server We to first Enterprise grew during have quarter, maintenance of increase existing move furthers year-over-year an plus confidence representing increase subscriptions to over March in of ahead to us, of in as of have subscriptions of maintenance Enterprise MediaCentral customers subscription and X,XXX XX the million the to that business. $XX subscription. we opportunity The XX,XXX, subscription base our our and still approximately of will transition XX% growth converted time. MediaCentral in over a XXX%. graphics storage, about
price a part subscription to enterprise increase become active is drive impact of multiple price impact our price per subscription a per is our the software it seat. continuing in ARR a X.X% of of a positively continues seat paid seat creative our is subscription enterprise to helping subscription. seat The year-over-year mix, the more to of meaningful per As our as business overall
number which consistent the quarter, subscriptions and growth of of increase XX.X% a in during drove constant XX.X% in revenue the reached subscription $XX.X paid continued million, first an currency growth on basis. The year-over-year
plus subscription maintenance. to moving Now
was first million, around contracts XX% $XX.X quarter, maintenance year-end. revenue During year-over-year. are the down maintenance Many renewed
associated an in from seen decline to maintenance software QX. have We QX
software excess successfully XXX%, customers. revenue to subscription expect convert customers we at of see in related healthy maintenance continue offerings in a from we reduction those enterprise to As to our uplifts the
However, we as backlog second to the be to in and expected to expect normal due year-end. levels improve hardware plus associated by increases price maintenance beginning will our revenue the higher hardware revenue expect maintenance depleted quarter we
believe maintenance $XX maintenance revenue at remainder QX. supported end be As XXXX $XX million million to the stable current of per million a result, ARR in of we by will total the $XX for the quarter at
by X.X% currency X.X% on decline constant and first maintenance the quarter performance, going increased temporary software in the reverse offset forward. revenue by subscription strong subscription Total in maintenance by the a maintenance should year-over-year and and on basis, driven headwinds hardware that
XX.X% XXX Our in was subscription gross year-over-year. points up maintenance and the first basis margin quarter,
continue Now our work supply remaining X.X% was have Solutions quarter, production let's as million, In $XX.X we hindered capacity. audio look our first increase at revenue Integrated of issues Integrated performance. the to the chain year-over-year an hardware that through Solutions
committed We ended XXXX with the backlog first quarter $XX contractually million March of of XX. at
in XX.X% margin X,XXX Our the down gross first year-over-year. Integrated points basis was Solutions quarter,
chain challenges, resolving made audio margins gross although supply quarter. in the hardware Jeff the we an in impact on As did first we progress said, some see
a caused higher these production lower-margin of the due components profit to to to audio purchase components gross which was was in operating higher to was shipments quarter, gross year-over-year at aged quarter in $X.X the profit and costs. Together, sale higher of due in for million price audio but the hardware of variation year-over-year directly and $X.X the impacts audio a the $XXX,XXX products the $X.X in from due cost quarter decline income hardware. backlog Approximately decline of costs old prices, million EBITDA. mix flowed and million
and costs. aged in see our we to recapture are including an to expect component We surcharges increases driving key on backlog, improvement margins, price additional
highly levels the in 'XX our we're result, will that half QX more to improve get Integrated gross XX% in a margins Solutions year. and As of back second confident normal of plus the
software to our perpetual execute of rest revenue of a Perpetual we of in the subscription first as XX.X% to deemphasize was moving the we continue quarter our $X.X to year-over-year perpetual Now to solutions. software revenue. plan 'XX, as license move decrease end-of-life and million
in perpetual issue the The comparisons moving year for year forward. going but prior 'XX, less comparison in revenue be our more much of prior periods in year-over-year made amount our year-over-year challenging will perpetual QX large of of an revenue amount forward, the
first constant an $X.X the year-over-year was In our a revenue of and year-over-year currency training basis. and million, services X.X% professional quarter, on increase XX.X%
During our the plan. with first our make quarter, we progress continued to to solutions Cloud, to AWS to track our available make on projects continues Google which and
the across the and reflecting as year-over-year constant perpetual first of of Now our million, performance XXXX. was rest strong in X.X% at first down decline. well revenue for let's subscription currency, results look flat the the quarter the quarter $XX.X Total as at
was Integrated basis Non-GAAP the maintenance constant for XXX points year-over-year in at and margin due our a This previously. XXX margin to XX% margin basis decline subscription down from despite as first gross revenue was down Solutions strong points gross quarter, discussed currency. and improvement strategic
Non-GAAP $XX.X increase $X.X operating quarter, the million year-over-year. first million expenses were in a
preserving control have As spending invest our part we several to ability to high-growth our of while areas, efforts our in actions. taken
quarter, expected in During second additional restructuring, in And $XX which by program, voluntary we to expected costs reduce implemented fiscal 'XX. are $X which first early costs an retirement fiscal quarter, reduce is million implementing the to 'XX. year is by a million the we in year approximately a
million cost in XXXX, the As a savings to result for of second year fiscal of other expenses expenses these in operating efforts, $XXX our of we half operating resulting 'XX. actions and expect decline approximately
our subscription value investment business our the improved long-term management shareholders. for drive our across on protecting senior team entire profitability to is creation and cost There managing in buy-in base while
reflecting Integrated year-over-year, profit million EBITDA operating Adjusted expenses lower quarter, from was the and higher first in discussed. Solutions the million down as $X.X $XX.X gross
reflecting the higher share first per increase year-over-year, for earnings and down interest in due base expense adjusted quarter, was EBITDA lower $X.XX rates. non-GAAP to $X.XX the Finally,
Free to and was the down at due in end inventory of the $X.X cash increases year-over-year QX. the quarter, EBITDA QX timing to million support negative of planned reduction shipments collections in adjusted million receivables the in flow the starting Solutions $XX higher 'XX, in plus Integrated
fiscal quarter year of position first to the 'XX ended strong of We EBITDA a in debt X.Xx. financial net with
we and drive improve on be management our we growth overall earnings to continue year March we'll our but to invest our XXXX in the of in our free Also, assist As we initiatives to which revenue, cash X, half during prudent the to presentation benefit expect of profitability. second fourth capital improvements in discussed along XXXX, expect should our be in free a XXXX. more very cash subscription flow quarter to will our expense working see flow, in fiscal with
execute continue value. enhance corporate to shareholder actions we Finally, long-term to
first the $XX.X an shares During under X.X per for repurchases repurchased million average $XX.XX quarter, million of shares we million the reflecting XX,XXX to bringing price or authorization. the total $XXX,XXX, $XXX share,
to We long-term prudently drive the will capital continue most value. deploy to way shareholder responsible in
Let's now turn to guidance.
we our said, are strength Jeff of business. underlying As in confident the
a strong subscription We expect our X trajectory in last continued our given quarters. in the growth bookings the business strength positive and
Additionally, in profitability flow in improvements with expect second the and significant cash structure, see the our growth we cost the in to half year. of
also of second that levels of plus to Solutions to the the margin margins gross year. half expect second see XXXX quarter to will eventually We the in in gradual return Integrated improvement the in continue beginning XX%
X% period ARR and ahead approximately In $XXX the year-over-year ARR. $XXX is growth end million. terms year-over-year slightly million as this our quarter QX At at the for ARR is the of to of growth the XX% the reflects of of guidance, subscription midpoint, XXXX. for growth guidance Sequentially, of follows: second XXXX,
earnings million to $X.XX, shares year-on-year. of to $XX EBITDA million. and million guidance midpoint, $XXX revenue $X.XX growth this X.X% of outstanding. assuming reflects $XX At Total per share million Adjusted to million, XX.X guidance non-GAAP the of guidance $XXX
our for and At quarter this that full 'XX presentation was also fiscal time, affirming are year during we earnings March year XXXX X. discussed guidance fourth our on
a revenue of XXXX which $XXX XX.X% period for growth ARR midpoint. Our represents year-over-year range end $XXX to million of at guidance the remains the million, at the
enterprise the renewal rebound half will maintenance cohort cost the second revenue. second Pro the We to a from positive believe first transition subscription, our of in MediaCentral customers in accelerate our of maintenance continued improving uplift with half of hardware Tools, year ARR MediaCentral of a and growth in
total million, the million which revenue $XXX guidance revenue a Our year-over-year XXXX $XXX midpoint. of represents to remains at growth for XX.X% range
Our midpoint. XXXX year-over-year which $XXX represents million, guidance at growth remains to for the range, of revenue and maintenance million subscription XX.X% $XXX a
Our EBITDA adjusted million. million $XX guidance remains for $XXX XXXX to
for XXXX XXXX EPS $X.XX, $XX as $X.XX guidance flow non-GAAP Our outstanding. cash million free to $XX million, $X XX for million restructuring million charges. And includes cash which shares adjusted in remains assuming remains guidance to our
restructuring cash guidance reflects flow offset to XXXX due the rates and capital, profitability Our expense cash slightly improvement in free base in higher interest higher improvement in by working costs.
With to to back that, the I'd turn like call Whit.
