Q3 2022 Domo Inc Earnings Call
Welcome to do almost third quarter fiscal year 2022 earnings call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question and answer session. If you'd like to ask a question. During this time simply press star followed by the number one on your telephone keypad.
He would like to withdraw your question again press the star one.
And with that I will hand, it over to Peter Lowry Domo as Vice President of Investor Relations.
Good afternoon and welcome.
On the call today, we have Josh James our founder and CEO, Bruce felt our CFO and Julie Kehoe, Our Chief Communications Officer, Julie will lead off with our Safe Harbor statement and then onto the call Julie.
Thanks, Pete our press release was issued after the market close and is posted in the Investor Relations section of our website, where this call is also being webcast.
Statements made on this call include forward looking statements related to our business under federal security laws, including statements about financial projections, our plans and expectations for our go to market strategy, our expectations for our sales and new business initiatives the impact of COVID-19 on our business.
Financial condition. These statements are subject to a variety of risks uncertainties and assumptions for a discussion of these risks and uncertainties. Please refer to documents we filed with the SEC in particular today's press release and most recently filed annual report on Form 10-K, and our most recently filed quarterly report on form 10.
Q these.
These documents contain and identify important risk factors and other information that may cause our actual results to differ materially from those contained in our forward looking statements.
In addition, during today's call, we will discuss non-GAAP financial measures, which we believe are useful supplemental measures of <unk> performance.
Revenue unless otherwise stated we will be discussing our results of operations on a non-GAAP basis.
These non-GAAP measures should be considered in addition to and not as a substitute for or in isolation from GAAP results.
Please refer to the tables in our earnings press release for a reconciliation of our non-GAAP financial measures to the most directly comparable GAAP measure.
With that let me hand, it over to Josh Josh.
Thank you Julie Hello, everyone I hope, you're all doing well thanks for joining the call in.
In Q3, we once again delivered strong results driven by continued market demand for our core modern <unk> solution and the increasing demand for data enabled apps that are built on our platform and help our customers run their businesses.
Here are a few examples of how this is driving both new customer growth and expansions within existing customers.
We posted 26% billings growth.
Which was our fifth consecutive quarter of delivering billings growth of 25% or better.
I am very pleased with these results as we continue to make investments to support our goals of driving even faster long term results.
The dynamics of digital transformation and distributed work continue to work in our favor.
For new customer wins, we're seeing increasing interest from line of business leaders that have urgent needs not being met by their existing systems.
They're not necessarily looking to rip out existing systems. They are focuses on rapidly putting apps such as externally facing ones like domo everywhere and internally facing ones like a retail store operations out into more hands to drive action and change business processes.
For expansion within our existing customers. We're seeing that success is driven by the level of engagement their employees and partners had with them was apps.
It's almost focus on usability helps them deliver experiences in a way that serves the users. This is one of domo as primary differentiators, we have a unique approach to this because of the App development framework built into our platform that puts these experiences in the place where work gets done by these users.
To highlight this engagement within our customers the number of our customers with more than 1000 monthly active users grew 33% two years ago and last year. It grew 45%. This means that our customers are doing broader with their use of domo at an increasing rate.
We think this engagement highlights a big differentiator for Domo inner usability, which is manifesting itself more frequently through apps, including Domo everywhere.
<unk> enables a very broad range of use cases, but a common theme is user experience Haa engagement, which is a high priority for both internal and external use cases.
The focus is to rapidly put solutions in employees, where partners hands to drive action.
An automated workflow or improve a business process.
I will emphasize the word rapidly because speed is constantly a reason the dermal wins.
The App development framework built into our platform makes it easier to deliver these experiences right where the work gets done.
These experiences go well beyond traditional be iron spanned from simple manual actions to fully automated workflows powering any level of business process across an organization.
So it could be on a mobile device in the hands of a store manager who is walking the store floor.
Or it could be embedded in our system that employees already use like Salesforce, where work is already happening. So I'm pleased there'll have to log into multiple systems.
One of our customers for example has an app that is used by 17000 people.
Across 400 locations to help them better manage store inventory.
The later expanded with another App for 2500 call center employees across five locations to better serve their customers.
And now we know we're in a POC with a same customer for our store performance App that will consolidate over 60 different data sources into a single app to help the store manager optimized store performance via a mobile device, while they are walking the store floor instead of being behind a desk.
All of these apps drive increased productivity.
Truly dramatic business results at massive scale.
We're also seeing more customers leveraging the platform for external reporting and embedded capabilities and our domo everywhere solution continues to be uniquely positioned in the market.
How are your customers customers and partners to solve back end integrations.
Significant pinpoint so they can get to business value faster.
And our customers are increasingly applying AI in the form of data science and machine learning to these datasets to drive more predictive analytics.
One of our customers for example provides Iot data around truck deliveries, such as location miles driven and hours driven.
But their customer is the freight trucking company that wants to know if this trip is profitable.
Everywhere allows our customers customer to combine data from their own internal systems like HR financial and accounting data with the telemetry data to provide this insight.
Easily combining our customers' data with their customers' data is something our competitors in this space just can't do.
Before I dive into some of our significant customer wins this quarter, let me say that I'm very pleased that Wolfgang Mossberg has joined the executive team.
Priority Domo Wolf served as executive Vice President of global sales and field operations for Fastly, where he was responsible for doubling company revenue in two years and supporting its growth to a multibillion dollar market cap company.
It's great to have the wolf in the boat as I believe he can further boost what we're doing particularly with his go to market motion experience, where I think he is superb and we recruited him so hard with Wolfe joining the team and Ian Tickle moving back to London and has been named President of International revenue to work with me on our international expansion, while continuing to drive.
<unk> global growth initiatives I want to thank Ian for taking us from teen growth to five consecutive quarters of growth over 25% truly a great job done in.
Now, let me talk about a few of our recent customer wins.
What's interesting about this quarter is that we saw our customers increasingly look to adopt domo more broadly and more quickly and are looking to us and our partners to accelerate their adoption.
As a result, many of our larger wins and Upsells with some of our largest customers. This quarter had a significant services or a POC component to them.
While our focus is on subscription revenue certainly customer engagement is a strong indicator of future growth and retention and these services deals with large customers give me great confidence that we are delivering delivering compelling value and it's leading to these expanded use cases of domo throughout their organizations.
One example is a global fortune 500 retailer that originally chose domo for the governance their existing vendors couldnt provide as well as the ability to easily extend the platform with domo apps. This customer is now using domo to provide real time analytics around it supply chain inventory store performance and predictive returns.
Among other use cases, and this quarter they signed a seven figure services deal to accelerate their adoption.
And a fortune 500 technology and media conglomerate signed a $500000 services contract to accelerate the development of a domo everywhere app that allows it's tens of thousands of partners to more easily and securely share data with their own network of partners.
We also have a big three auto manufacturer currently conducting a POC that was initiated from their marketing organization to optimize global marketing performance.
This has an initial contract of more than half a million dollars.
On the new logo front, we had a win with a property management software company, representing about $500000 of recurring new HCV to quickly deliver a powerful analytic solution for their customers through an app powered by our domo everywhere technology.
This customer initially came to demo through our free trial as a finance use case to modernize their financial reporting to business leaders and partners.
But the company was also in urgent need of a solution to provide analytics to their customers and was having significant integration issues combining data from decades of investments in legacy systems.
We won this customer based on our platforms ability to quickly solve the companys integration issues and develop and deploy this app in record time.
We had a strong upsell quarter as well.
In addition to some of the <unk> I mentioned earlier, we have.
A significant upsell with a fortune 500 retailer that needed to provide a uniform view into store level performance to the executive team.
<unk> won versus the legacy incumbent to solve this challenge.
Now before I hand, this over to the Bruce I have a few more highlights that I wanted to touch on.
First I'm extremely pleased that our annual customer event, and we will be returning to Salt Lake City in March 2022, as the hybrid event.
At this point, we are planning to be back together with customers to explore the future of business and data and of course, we're monitoring the situation to ensure it's a safe event.
Second in Q3, we added Jay Brown co founder of Roc Nation, and Mercy ventures to our board of Directors J has built a multi billion dollar brands and I'm looking forward to the value he'll bring to me and our management team as we continue to scale the company.
Also we're continuing to widen our lens on diversity and deliver on our commitment to the parity pledge with.
<unk> addition, our board is now 57% diverse with 43% and 50% of outside board seats held by women on the hiring front, 35% of all new Q3 hires were diverse.
And to close I am confident that our differentiated products and strong execution should enable our growth for a long time to come.
I'm very proud of the team for producing accelerating growth this year.
Given what I'm seeing in the marketplace I'm looking forward to providing you guidance for next year from the time comes and with that I'll hand, it over to Bruce.
Thank you Josh.
I am pleased with our Q3 performance and more importantly, our string of 25% billings growth quarters while.
While at the same time building underlying growth sustainability.
We continue to make good progress on the sales hiring front.
We've exceeded our 20% increased sales capacity goal and are looking to add more.
I'm also pleased that we have not seen a decline in our productivity as we onboard the new reps in fact, we have seen a slight increase in productivity from our reps through the first three quarters.
While it's still early and they're ramping we're starting to see production from reps hired earlier this year, particularly in the corporate segment.
We're now planning for fiscal year 'twenty three sales hiring.
And at this point based on our productivity results, we plan to add at least 20% more capacity in fiscal year 'twenty three.
On execution, we had a record quarter for new logo customer ads and saw strong upsell activity.
As Josh mentioned, we had a strong services quarter as several of our largest customers look to accelerate their adoption of demo within their organizations.
We are engaged with our services organizations in order to deploy additional use cases.
Okay significant proof of concept mentioned earlier will be classified as professional services and other revenue on the P&L in the short run.
And is expected to be instrumental in driving future subscription revenue with that customer thereafter.
Strong professional services quarters are usually leading indicators of high adoption and high levels of customer satisfaction.
Our north American corporate business, which focuses on companies with less than $1 billion in annual revenue.
Also had another strong quarter.
At the same time, we're encouraged by the enterprise pipeline build which should be further enhanced as new enterprise reps continue to ramp.
We delivered Q3 billings of $70 2 million a strong year over year increase of 26% driven.
Driven by new customer additions.
Expansions into existing customers.
And over 90% gross retention rate.
Net retention was above a 105% on a revenue basis.
And over 108%.
On a contracted.
Our basis.
On a dollar weighted measure.
We now have 61% of our customers under multiyear contracts at the end of Q3.
From 59% a year ago.
Current RPI grew 24% year over year.
While our total RPM grew.
<unk> grew 19%.
The growth rates in these two numbers can diverge with strong services bookings quarters.
Since services contracts typically have shorter lengths.
Q3, total revenue was $65 1 million a year over year increase of 21%.
Subscription revenue grew 21% year over year and represented 87% of total revenue.
International revenue in the quarter represented 24% of total revenue in line with last quarter.
Leading indicators that billings growth.
And contracted <unk>.
Point to higher revenue growth rates in the future.
And these are growing faster than our reported revenue and ultimately they become recognized revenue.
Our subscription gross margin was 83% from 81% in Q3 of last year and was up slightly from last quarter. We.
We continue to be successful in managing our data center costs.
By innovating.
And making our software more efficient.
Fleet step financial leverage.
Even as volumes increase.
In Q3 operating expenses increased 16% from last year, primarily as we invest in our sales capacity.
<unk> intentionally lagged our billings growth of 26% and revenue growth of 21%.
As we seek to get leverage out of our cost structure.
The resulting resulted in an improvement in our operating margin of over 500 basis points from the same.
Same quarter of last year.
Our net loss was $10 3 million down from $11 9 million a year ago.
Net loss per share was 32.
This is based on $32 4 million weighted average shares outstanding basic and diluted.
In Q3, we remained operating cash flow positive.
Our cash balance was approximately $84 million down slightly from last quarter.
Due to tax driven share repurchases related to our restricted stock program and cap ex.
Now to discuss what we expect in Q4 and the full year fiscal 'twenty two.
For Q4, we're expecting year over year billings growth of approximately 21%.
This is the highest executive level feliks growth, we've guided to since our IPO.
As we have previously discussed we have many growth drivers in play that we expect could help us achieve an even higher growth.
Right in the future.
For the current fiscal year, we expect billings growth of about 24% year over year up from our previous guidance of 21%.
On expenses, we're planning for Q4 operating expenses to increase from Q3 levels as we continue to pursue our growth initiatives.
Given all of our growth investments, we're planning for Q4, adjusted operating cash flow to be slightly less than breakeven.
But look for positive full year operating cash flow.
Now the formal guidance for the fourth quarter of fiscal year 'twenty, We expect GAAP revenue to be in the range of 65, $66 5 million.
$267 5 million.
We expect non-GAAP net loss per share basic and diluted 37.
<unk> 41.
This assumes $32 8 million weighted average shares outstanding basic and diluted.
Turning to full year fiscal year 'twenty, two we expect GAAP revenue to be in the range of $254 5 million to China, $55 5 million representing year over year growth of 21% to 22%.
Non-GAAP net loss per share basic and diluted of $1 26 to $1 30.
This assumes 32 million weighted average shares outstanding.
We can deliver.
In closing, we're pleased with our strong performance in Q3 and believe we continue to be well positioned to act.
Executing against our growth plans.
That.
Well open the call for questions operator.
At this time I would like to remind everyone in order to ask a question Press Star then the number one on your telephone keypad, a pause for just a moment to compile the Q&A roster.
Your first question comes from the line of Sanjay <unk> with Morgan Stanley. Your line is now open.
Hi, Thank you for taking the questions.
Yes, My question starts with which is looking at the growth in billings, which.
<unk> was 26% really strong against a tough compare versus the revenue growth, which decelerated a little bit of an easier compare and then when I sort of look to your Q4 guidance again, another strong billings guidance, yet youre guiding to revenue below 20%, if you can sort of.
Help me bridge those two two sets of numbers and why would given the sustained billings growth that you've seen in the mid twenties.
Why is the revenue growth not.
More in line with what we're seeing in terms of the billings trajectory.
Yeah, Hi, thanks, good to hear from you.
Well first let me just highlight revenue revenue is a lagging indicator in the SaaS model and basically represents activity in the last four quarters, maybe even even further back.
And that's why I made the statement that with billings growing at 25%.
A R are right in line with that that ultimately has to become the growth rate.
In revenue because it just naturally converts to revenue.
And with all of these metrics pointing to that number ultimately that's going to work its way through revenue.
For Q4 not yet.
Basically in line with what we've been saying, but you can't have they are growing at that rate without it finally, working its way through revenue, which sometimes just takes longer than we all hope for it to be but you obviously cannot expect.
Avenue to track exactly what happens in billings.
Our growth in any one quarter.
Got it and then maybe for Josh around sort of the broader embedded out op strategy that includes domo everywhere.
Is this where the in terms of.
How customers are consuming.
Analytics today and business intelligence solution is it primarily now in the form of an app versus a dashboard I just want to get a sense of how the market is evolving and how <unk> is set up for some of these shifts and how.
Customers are consuming business intelligence solutions.
Yes, definitely that's that's what we're seeing is customers moving more and more towards apps.
Basically bespoke applications that allow them to not only look at data, but input data back into the app as well so it's truly.
They are using to.
To run their business and.
I think thats whats.
That's what's been actually really fun to see because we're so well positioned for that with the platform that we have and all of these data enabled apps that we're seeing our customers use and the bigger the customer is the more apps they want to use from us. So that's actually been really fun to see.
Great. Thank you Josh for the color I appreciate it thank you.
Your next question comes from the line of Derrick Wood with Cowen <unk> Company.
Your line is now open.
Thanks.
And congrats on a strong quarter first question is.
Can you just talk a little bit more about these larger POC transactions that are happening why why are they coming in this form right now and whats the color in terms of when you expect to see it translate into more on that on a subscription revenue side.
Yes.
Do this periodically sometimes you get more than a quarter than you do in other quarters of the great things that are great indicators of future opportunity for sure because there are meaningful commitments from our customers and.
We actually got a text message today.
I'll take a chance to read it right now.
But this is for one of the applications that.
Is that we built for for one of our customers They said.
During Black Friday weekend, there is a lot to ask for our stores to provide.
Ongoing reporting.
He noted that the App is a game changer, because it allowed him to do constant reporting and saved them a huge amount of time and effort over black Friday weekend.
Another customer using the same App said I never want to go back to using SAP again.
This app awesome, it's a total unlock for Onboarding new leads and then a third store manager said none of the data that we're seeing in this app could it be access quickly any other way before it took an hour to an hour and a half now it takes five minutes and so it's just truly transformative for these and these are big multibillion dollar.
And we're changing the way that they run their business based on these data enabled apps.
That are making it down to the front lines of people that are either running stores or managing construction sites.
It doesn't matter.
Our modern platform and the apps that we have built on top of that are truly changing the way that people can run their businesses.
Great that's exciting.
Bruce on the translation into subscription revenue and it was just a couple of quarters or anything to show on that.
Hum.
Okay.
Based on Guy that's not next quarter, but as we look to next year.
It's got to start working its way through.
It's just the way the math works they can it can build up for a while but at some point it gets released in the revenue.
So we should see some of that come through next year.
Got it.
And just a question on the change in leadership structure.
Any any tweaks expected what kind of what new additive focus could come into the fold and what are you going to do to make sure that there's good continuity going into Q4.
Yes, we're feeling good about the continuity like we mentioned Ian <unk> from London went back to London, and we're excited that he's taking over responsibilities for our international opportunity International has been about 25% of our of our business overall and it's stayed fairly flat and of course you have to <unk>.
It's mostly on the U S, but having.
A seasoned leader like and who knows everything about this company and just rolled off.
Several great quarters in a row, and it's really exciting to have.
That expertise really focused on the international while it's still a part of the executive team. So.
And then layering on top of that being able to have wolf here.
We've had a chance to work with before and who we've watched since I worked with him last time 10 years ago.
We feel like we just were able to double down and Theres a lot of upside for us here.
Continuity feels great team feels great everyone's really jacked I'm excited.
Alright, thank you.
Your next question comes from the line of Jack Andrews with Needham <unk> Company. Your line is now open.
Good afternoon, and thanks for taking my questions.
Josh in your prepared remarks, you talked about the trend of customers increasingly applying AI and machine learning to data set. So I was wondering do you feel the need to.
And maybe beef up your capabilities around that or does that open up potential new partnership opportunities with others in the ecosystem. How do you think about navigating that dynamic.
Yes, we think about navigating just just just similar to the way you state your question.
We have a platform here and it's the first time that the customers like I mentioned from that text messages text message from our customers using our app. It's the first time that customers have all their data accessible to them and it's because of this platform that we have and when you make it possible for business line managers to have access to that data.
Started asking questions or they want AI applied they want machine learning applied.
I want to have an understanding of.
How that quarter is going to turn out for them and where they need to pay attention and AI and predictive.
The more you incorporate that into the platform.
Better response, we get from our customers. So it's been exciting to see that and yes, because it is a platform doing everything we can to open that up to partners.
I don't know if were going to build to make the best AI on Earth and I wouldn't want to bet my business on that but opening up as a platform and giving AI partners access to our customer base. So we can do really interesting things together.
As I think a winning strategy.
Yes.
That makes sense I appreciate that and then just a follow up question is there any commentary you can provide on your sandbox product any impact that's having in terms of customer adoption of our pipeline build at this point.
Yes, it's just another set of functionality that you look at our biggest smartest and most complex customers its functionality that they were clamoring for.
Have these great customer advisory boards, and we actually segment that out into.
Large companies small companies and then also by different types of executives and it was feedback that we're getting the product team responded.
It created a bunch of additional leads because of the product and people are willing to pay for so gave our customers.
Account execs and opportunity to go back to our customers a reason to talk to them again, and it's actually created quite a meaningful amount of pipeline as well. So it was a it was a great effort on behalf of <unk>.
Different departments was at really good joint effort that we did internally and we're really excited and everyone's like okay. We can go do five more of these we have all kinds of assets internally and Pat can you spin them up and distributing them to our customer base in a similar way is definitely something we're going to try to continue to do.
Great I appreciate the color.
You bet.
Yeah.
Your next question comes from the line of Camille Neil check with William Blair. Your line is now open.
Hi, Thanks for taking my question.
So Bruce you mentioned you plan to build more capacity through the rest of the year given billings growth has now been above 25% for six quarters.
Maybe 25% the right way to think about head count growth for the year and its productivity stays where it is how sustainable is that mid 20% growth.
If I could just put differently what needs to change in the business for you to make that shift from sustainably growing head count at 20%, maybe 25% or higher.
Well, we we've already been we hit our 2020% Mark early in the year and we kept going and.
We wanted to keep adding to that and get to 25%.
And may be further either so we're kind of already at a point where.
We're really comfortable with what we see in the business.
We like the we like the fact, we can get good reps hire them onboard them make them productive on a reasonable amount of time and at the same time maintain productivity of the sales force.
So we're putting a stake in the ground for next year of 20%, but highly highly likely we would get to that point and continue hiring and we as we sit here now as a management team don't see the limit as to where we ought to go at this point.
We see plenty of opportunity and we'll get more specific about what we're going to do next year and then on the on the next call but.
We're leaning into it and we think we should and.
I will talk in more detail after the Q4 call when we're talking about next year.
That's great color and can.
Can you update us on the traction youre seeing with Domo everywhere, how many customers are sharing data outside of their own company and given we have and 10 platforms like Domo and data warehousing point solutions and investing in the space. How do you expect that data sharing market to evolve over the next three to five years.
Yeah.
Yes, the area of our business.
All of the apps, especially our that's where our business is growing the fastest domo everywhere don't waver with technology and the opposite that creates is something thats truly unmatched by anybody else in the marketplace and so it's fun to work with customers on that and Theres a lot of people that do embedding analytics embedded analytics and we certainly do embedded analytics.
But with Domo everywhere, we have this thing that we called publish and Thats, where you can basically take the entire domo software package and our customers can give that entire domo software package and function that set of functionality to their customers.
And we're seeing.
More and more really interesting case studies.
<unk> unique experiences where our customers are taking that taking the data that they have and pushing it out to their partners pushing up to their customers and things like the example, I used.
In my prepared in my prepared remarks.
People are taking telemetry often vehicles.
And sending that to the customers. So the customers can combine that with their own data and is transforming the way they run their businesses and that just that kind of stuff it wasn't possible without.
Tens of millions of dollars being spent on technology to create that that kind of reporting and we can come along and use the platform that we have in use of domo everywhere technology. We have we can enable that for our customer to distribute that to hundreds of thousands of their customers. So it really is a unique technology.
And I think I was talking to one of our top 10 customers. This last quarter and they were talking to us about their apps and we came we showed them a bunch of different opportunities.
<unk> opportunities that we can work on together and they said there's totally changes internally the way we think about domo basically every time, we turn around the corner and we see an opportunity or a problem that we need to solve when you think that hey, domo can probably help us solve that help us solve this.
With an app. So I think it's going to transform the relationship that we haven't that customers and how they think about the possibilities and the way that they want to run their business with us.
That's great to hear and it's great to see the progress there. So thanks again for taking my questions.
Sure.
Your next question comes from the line of Joseph <unk> with JMP. Your line is now open.
Oh, great. Thanks, it's actually Pat Walraven.
Hey, Josh can you give us an update sort of what youre seeing competitively and then maybe as part of that.
You could help us understand.
What happened to the mule soft tableau business within.
Within Salesforce.
This quarter, where they may have had to slow down a lot, but they didn't want to explain why.
Yes, we don't we don't come across.
Neil soft very often or tableau I think they are focused really on the sales force.
Customer base, my guess, but I don't know I can't speak to that.
For Us I think competitively we are in a brand new space, we're really in a brand new opportunity.
We have consistently said since day one.
Not in the traditional sense and.
Then there started to be this definition of modern pie and it's a little bit more similar to the way that we were approaching at least data gathering connecting reporting and distribution of it.
In our modern world on your phone.
Record speed massively scalable and also like any usability that anybody in their business could use.
But really the way we think about this is we're helping you run your business and that's where these data enabled apps come into play and I.
Thank you.
When we're in there we just we just had a great conversation with with one of the industry analysts and we had one of our customers get on and talk to them about how they're one of the largest contractors for cement in the country.
And they were talking about how they use our product to manage the number to manage the number of trucks that late cement each day and to get real time reports to make sure that they don't get behind on their multibillion dollar construction projects and.
That's not it's not by that showed up on some report for someone's running a spreadsheet.
And do they get.
Did they get data in a PDF like this is real time reporting with alerts helping them understand how to run a multibillion dollar construction business. We have another customer that is a top five construction company in the country and they build.
They built they are one of the very top vendors for all of the Amazon warehouses.
And they told us that without domo as they would have only had probably one amazon warehouse, but because of domo they truly attributed to us.
They've made over a dozen built over it doesn't Amazon warehouses now.
And it's because they are able to see how many cubic feet of contra conquer.
Concrete.
Every day and how many.
Trucks are dirt come through every day and they actually manage the number of trucks every single day and if any one of.
20 different components, and putting together warehouse fall behind the whole project falls behind and so they are truly using domo to measure things that people wouldn't normally measure you wouldn't normally think about as part of <unk>, but it's not it's an app that we built for them specific to help them run their business. It's all data enabled it's only because we have the platform we have.
It's only because we have the ability to connect to all the data sources that we do and then distribute that in a way that makes it so that.
A guy wearing a hard hat on a on a construction project and see the data and change the way they operate their business based on that and we're talking about billions of dollars. So it's.
From a competitive standpoint, there's someone else it does that and.
Maybe we slow played this because we werent the most appealing business from the outside looking in three or four years ago. So not everyone was trying to emulate and try to be the next domo, but in the meantime, we built a pretty spectacular business I think has a lot of upside.
Great. Thank you very much I appreciate it.
Thanks Pat.
There are no further questions. This concludes today's conference call. Thank you all for attending you may now disconnect.
Please wait the conference will begin shortly.
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