Q3 2023 VeriSign Inc Earnings Call

October 26, 2023

Please standby.

Speaker 1: transcript

Speaker 1: Good day everyone. Welcome to VeriSign's third quarter 2023 earnings call. Today's conference is being recorded. Recording of this conference is not permitted unless preauthorized. At this time, I'd like to turn the conference over to Mr. David Ashley, Vice President of Investor Relations and Corporate Treasurer. Please go ahead, sir.

Speaker 1: Good day everyone, welcome to Verr signs third quarter, 2023 earnings call. Today's conference is being recorded. Recording of this conference is not permitted unless pre-authorized. At this time, I'd like to turn the conference over to Mr. David Ashley, vice president of Vester Relations and corporate treasurer. Please go ahead, sir.

Good day, everyone. Welcome Nevers Science third quarter 2023 earnings call. Today's conference is being recorded recording of this conference is not permitted unless preauthorized at this time I'd like to turn the conference over to Mr. David actually Vice President of Investor Relations.

Corporate Treasurer. Please go ahead Sir.

Speaker 2: transcript

Speaker 2: Welcome to Verisign's third quarter 2023 earnings call. Joining me are Jim Bidzos, Executive Chairman and CEO , Todd Strube, President and COO, and George Kilgus, Executive Vice President and CFO . This call and presentation are being webcast from the Investor Relations website, which is available under About Verisign on Verisign.com.

Thank you operator welcome to various mines third quarter 2023 earnings call. Joining me are Jim <unk> Executive Chairman and CEO, Todd <unk>, President and C O O and George Kilgus Executive Vice President and CFO. This call and presentation are being webcast from the Investor Relations website, which is available under about.

Please stand by.

Operator: Good day, everyone. Welcome to Verisign's third quarter, 2023 earnings call. Today's conference is being recorded. Recording of this conference is not permitted unless pre-authorized.

They're assigned on Verisign Dot Com. There you also find our earnings release at the end of this call. The presentation will be available on that site and within a few hours. The replay of the call will be posted financial results in our earnings release are unaudited and our remarks include forward looking statements that are subject to the risks and uncertainties that we do.

Speaker 2: transcript

Speaker 2: There you also find our earnings release. At the end of this call, the presentation will be available on that site and within a few hours, the replay of the call will be posted.

David Atchley: At this time, I'd like to turn the conference over to Mr. David Atchley, Vice President of Vester Relations and Corporate Treasurer. Please go ahead, sir. Thank you, operator.

Speaker 2: transcript

Speaker 2: Financial results in our earnings release are unaudited and our remarks include forward looking statements that are subject to the risks and uncertainties that we discuss in detail in our documents filed with the SEC, specifically the most recent report on Form 10K.

Speaker 2: Financial results in our earnings release are unaudited and our remarks include forward-looking statements that are subject to the risks and uncertainties that we discuss in detail in our documents filed with the SEC, specifically the most recent report on Form 10-K .

David Atchley: Welcome to Verisign's third quarter, 2023 earnings call. Joining me are Jim Bidzos, Executive Chairman and CEO, Todd Struby, President and CEO, and George Kilguss, Executive Vice President and CFO. This call and presentation are being webcast from the Investor Relations website, which is available under AboutVerisign on Verisign.com. There you also find our earnings release. At the end of this call, the presentation will be available on that site, and within a few hours, the replay of the call will be posted.

Discuss in detail in our documents filed with the SEC specifically the most recent report on Form 10-K, Verisign does not update financial performance or guidance during the quarter unless it is done through a public disclosure.

Speaker 2: transcript

Speaker 2: Verisign does not update financial performance or guidance during the quarter unless it is done through a public disclosure.

Speaker 2: transcript

Speaker 2: The financial results in today's call and the matters we will be discussing today include Gap results and two non- GAAP measures used by Vericide, adjusted EBITDA and free cash flow. Gap to non-Gap reconciliation information is appended to the slide presentation, which can be found on the Investor Relations section of our website available after this call.

Speaker 2: The financial results in today's call and the matters we will be discussing today include GAAP results and two non-GAAP measures used by VeriSign, adjusted EBITDA and free cash flow. GAAP to non-GAAP reconciliation information is appended to the slide presentation which can be found on the investor relations section of our website available after this call.

The financial results in today's call and the matters, we will be discussing today include GAAP results and to non-GAAP measures used by Verisign adjusted EBITDA and free cash flow GAAP to non-GAAP reconciliation information is appended to the slide presentation, which can be found on the Investor Relations section of our website available after this.

David Atchley: Financial results in our earnings release are unaudited, and our remarks include forward looking statements that are subject to the risks and uncertainties that we discuss in detail in our documents filed with the SEC, specifically the most recent report on Form 10K. Verisign does not update financial performance or guidance during the quarter unless it is done through public disclosure. The financial results in today's call and the matters we will be discussing today include gap results and two non-gap measures used by Verisign, adjusted EBITDA and free cash flow. Gap-to-non-gap reconciliation information is appended to the slide presentation, which can be found on the Investor Relations section of our website, available after this call.

Call.

Speaker 2: transcript

Speaker 2: Jim and George will provide some prepared remarks and afterward we will open a call for your questions. With that, I would like to turn the call over to Jim. Thank you, David. Good afternoon to everyone.

Jim and George will provide some prepared remarks and afterward, we will open the call for your questions with that I would like to turn the call over to Jim.

Thank you David good afternoon to everyone and thank you for joining us we.

Speaker 3: transcript

Speaker 3: We delivered another solid quarter by focusing on our mission as a critical internet infrastructure operator. In addition to delivering on our mission during the third quarter, I'm pleased with the financial results, which show the continued strength of our business model during this uncertain macroeconomic period. For the third quarter, revenues grew 5.4% year over year, while EPS grew 15.8% year over year.

Speaker 3: We delivered another solid quarter by focusing on our mission as a critical Internet infrastructure operator. In addition to delivering on our mission during the third quarter, I'm pleased with the financial results, which show the continued strength of our business model during this uncertain macroeconomic period. For the third quarter, revenues grew 5.4% year over year, while EPS grew 15.8% year over year.

We delivered another solid quarter by focusing on our mission as a critical internet infrastructure. Operator. In addition to delivering on our mission during the third quarter I am pleased with our financial results, which show the continued strength of our business model. During this uncertain macroeconomic period for the third quarter revenues grew five 4% year over year, while IPU.

<unk> grew 15, 8% year over year.

Speaker 3: transcript

Speaker 3: At the end of September , the domain name basin dot com and dot net totaled 173.9 million domain names, up slightly from 173.8 million names at the end of 2022.

Speaker 3: At the end of September , the domain name basin.com and.net totaled 173.9 million domain names, up slightly from 173.8 million names at the end of 2022.

David Atchley: Jim and George will provide some prepared remarks, and afterward we will open a call for your questions.

At the end of September the domain name base in Dot Com and Dot net totaled $173 9 million domain names up slightly from $173 8 million names at the end of 2022.

Jim Bidzos: With that, I would like to turn the call over to Jim. Thank you, David.

Jim Bidzos: Good afternoon to everyone, and thank you for joining us. We delivered another solid quarter by focusing on our mission as a critical internet infrastructure operator. In addition to delivering on our mission during the third quarter, I'm pleased with the financial results, which show the continued strength of our business model during this uncertain macroeconomic period. For the third quarter, revenues grew 5.4% year over year, while EPS grew 15.8% year over year. At the end of September, the domainname basin.com and .NET totaled 173.9 million domain names, up slightly from 173.8 million names at the end of 2022.

Speaker 3: transcript

Speaker 3: During the third quarter, the domain name based decreased by 0.5 million domain names.

Speaker 3: During the third quarter, the domain name base decreased by 0.5 million domain names.

During the third quarter the domain name base decreased by <unk> 5 million domain names.

Speaker 3: transcript

Speaker 3: From a new registration perspective, the third quarter ended with 9.9 million new registrations flat with the same quarter last year. We believe that the renewal rate for the third quarter of 2023 will be approximately 73.4 percent compared to 73.7 percent a year ago.

From a new registration perspective, the third quarter ended with $9 9 million, new registrations flat with the same quarter last year.

We believe that the renewal rate for the third quarter of 2023 will be approximately 73, 4% compared to 73, 7% a year ago.

Speaker 3: transcript

Speaker 3: While there are many factors that drive demand for domain names, the core value proposition, four domain names remain strong, and we're seeing broad-based engagement from our Registrar channel. However, even with those fundamentals intact, low demand from China remains the primary source of drag on the overall domain name-based growth. Excluding Registrar's based in China, both our domain name-based and new registrations are up year over year through Q3.

While there are many factors that drive demand for domain names the core value proposition for domain names remains strong and we're seeing broad based engagement from our registrar channel. However, even with those fundamentals intact low demand from China remains the primary source of drag on the overall domain name base growth exclude.

Jim Bidzos: During the third quarter, the domain name based decreased by .5 million domain names. From a new registration perspective, the third quarter ended with 9.9 million new registrations, flat with the same quarter last year. We believe that the renewal rate for the third quarter of 2023 will be approximately 73.4%, compared to 73.7% a year ago. While there are many factors that drive demand for domain names, the core value proposition, four domain names remain strong, and we're seeing broad-based engagement from our registrar channel.

Excluding registrars based in China, both our domain name base and new registrations are up year over year through Q3.

Speaker 3: transcript

Speaker 3: With this current trend, we now expect the change in the domain name base for full year 2023 to be between negative 0.4% and positive 0.4%. This updated range reflects continued uncertainty primarily due to the weakness we're seeing from China.

Speaker 3: With this current trend, we now expect the change in the domain name base for full year 2023 to be between negative point 4% and positive point 4%. This updated range reflects continued uncertainty primarily due to the weakness we're seeing from China.

With this current trend we now expect the change in the domain name base for full year 2023 to be between negative <unk>, 4% and positive <unk>, 4%. This updated range reflects continued uncertainty primarily due to the weakness we're seeing from China.

Speaker 3: transcript

Speaker 3: Our financial and liquidity position remains stable with 943 million in cash, cash equivalents, and marketable securities at the end of the quarter. During the third quarter, we repurchased 1.1 million shares for 220 million. At quarter end, 1.34 billion remained available and authorized under the current share repurchase program.

Our financial and liquidity position remains stable with $943 million in cash cash equivalents in marketable securities at the end of the quarter during the third quarter, we repurchased one 1 million shares for $220 million.

Jim Bidzos: However, even with those fundamentals intact, low demand from China remains the primary source of drag on the overall domain name base growth. Excluding registrar's basin China, both our domain name base and new registrations are up year over year through Q3. With this current trend, we now expect to change in the domain name base for full year 2023 to be between negative 0.4% and positive 0.4%. This updated range reflects continued uncertainty primarily due to the weakness we're seeing from China.

At quarter end 134 billion remained available and authorized under the current share repurchase program.

Speaker 3: transcript

Speaker 3: Regarding .web, today I can post it Altenovos IRP complaint and I can's answer to its website. I urge anyone interested in this issue to read it as I believe it will help you understand our current and past statements on .web. We think I can's answer is informative and I'd like to read the concluding paragraph from I can's document. First, I just want to clarify that the reference to NDC here is a company new.co, which is Verisign's partner in the .web application.

Regarding dot web today, I can posted Alta novo's, IOP complaint and I can answer to its website I urge anyone interested in this issue to read it as I believe it will help you understand our current and past statements on Dot web. We think I can answer is informative and I'd like to read the concluding paragraph for my Kansas document.

Jim Bidzos: Our financial and liquidity position remains stable with 943 million in cash, cash equivalents, and marketable securities at the end of the quarter. During the third quarter, we repurchased 1.1 million shares for 220 million. At quarter end, 1.34 billion remained available and authorized under the current share repurchase program.

First I just want to clarify that the reference to MDC here is a company new Dot co, which is <unk> partner in the dark web application.

Speaker 3: transcript

Speaker 3: The conclusion reads as follows, quote, after an exhaustive first.webIRP and an extremely thorough evaluation process following that IRP, I can determine that NDC did not violate the guidebook or the auction rules.

Speaker 3: The conclusion reads as follows, quote, after an exhaustive first dot web IRP and an extremely thorough evaluation process following that IRP, ICANN determined that NDC did not violate the guidebook or the auction rules.

The conclusion reads as follows quote after an exhaustive first dot web ERP and an extremely thorough evaluation process following that IOP.

Jim Bidzos: Regarding .web, today I can post it Altenobo's IRP complaint and I can's answer to its website. I urge anyone interested in this issue to read it as I believe it will help you understand our current and past statements on .web. We think ICANN's answer is informative and I'd like to read the concluding paragraph from ICANN's document. First, I just want to clarify that the reference to NDC here is a company new .co which is Verisign's partner in the .web application.

Can determined that MDC did not violate the guide book or the auction rules I can't fully complied with its articles bylaws and internal policies and procedures. When it made that determination and the board's resolution is entitled to difference under the bylaws as an <unk> of the business judgment rule Accordingly alternate oboes ERP.

Speaker 3: transcript

Speaker 3: ICANN fully complied with its articles, bylaws, and internal policies and procedures when it made that determination, and the Board's resolution is entitled to deference under the bylaws' enshrinement of the Business Judgment Rule. Accordingly, Altanovo's IRP request should be denied.

Speaker 3: I can't fully comply with its articles, bylaws, and internal policies and procedures when it made that determination. And the Board's resolution is entitled to deference under the bylaws' enshrinement of the business judgment rule. Accordingly, Altenovo's IRP request should be denied.

Jim Bidzos: The conclusion reads as follows, quote, after an exhaustive first .web IRP and an extremely thorough evaluation process following that IRP, ICANN determined that NDC did not violate the guidebook or the auction rules. ICANN fully complied with its articles, bylaws, and internal policies and procedures when it made that determination. And the board's resolution is entitled to deference under the bylaws' enshrinement of the business judgment rule. Accordingly, Altenobo's IRP request should be denied. We agree with ICANN. We continue to believe that this IRP filed by Altenobo and its backers has been filed for the purpose of delay.

<unk> should be denied.

Speaker 3: transcript

Speaker 3: We agree with ICANN. We continue to believe that this IRP filed by Altanovo and its backers has been filed for the purpose of delay. I will also repeat our intention, which is to bring.web to market.

We agree with ICANN, we continue to believe that this <unk> filed by Ulta Novo and its backers has been filed for the purpose of delay I'll also repeat our intention which is to bring dot web to market by this company that has operated dot com and dot net with reliability and confidence for nearly 30 years with its newly available names.

Speaker 3: transcript

Speaker 3: by this company that has operated.com and.net with reliability and confidence for nearly 30 years.

Speaker 3: transcript

Speaker 3: With its newly available namespace.web, we'll add more choice of registrations for our global channel of thousands of registrars and their millions of potential customers in a new generic top-level domain.

Space Dot web will add more choice of registrations for our global channel of thousands of registrars and there are millions of potential customers in a new generic top level domain.

Speaker 3: transcript

Speaker 3: Now I'd like to turn a call over to George. I will return when George is completed as financial report with closing remarks. George.

Now I'd like to turn the call over to George I will return when Georgia has completed his financial report with closing remarks George.

Speaker 4: transcript

Speaker 4: Thanks Jim, and good afternoon everyone. For the quarter ended September 30th, 2023, the company generated revenue of 376 million, up 5.4% from the same quarter of 2022, and delivered operating income of 254 million, an increase of 7.4% from the same quarter a year ago.

Thanks, Jim and good afternoon, everyone.

For the quarter ended September 32023, the company generated revenue of $376 million up five 4% from the same quarter of 2022 and delivered operating income of $254 million, an increase of seven 4% from the same quarter a year ago.

Jim Bidzos: I will also repeat our intention which is to bring .web to market by this company that has operated .com and .net with reliability and confidence for nearly 30 years. With its newly available namespace .web will add more choice of registrations for our global channel of thousands of registrars and their millions of potential customers in a new generic top-level domain.

Speaker 4: transcript

Speaker 4: Operating expense in the third quarter totaled 122 million compared to 123 million last quarter and 120 million a year earlier

Operating expense in the third quarter totaled $122 million compared to $123 million last quarter and $120 million a year earlier.

Jim Bidzos: Now I'd like to turn a call over to George.

George Kilguss: I will return when George is completed his financial report with closing remarks. George. Thanks, Jim. And good afternoon, everyone. For the quarter ended September 30th, 2023, the company generated revenue of $376 million, up 5.4% from the same quarter of 2022, and delivered operating income of $254 million, an increase of 7.4% from the same quarter a year ago. Operating expense in the third quarter totaled $122 million, compared to $123 million last quarter and $120 million a year earlier.

Speaker 4: transcript

Speaker 4: Net income totaled 188 million compared to 169 million a year earlier, which produced diluted earnings per share of $1.83 for the third quarter of 2023, compared to $1.58 for the same quarter of 2022.

Net income totaled $188 million compared to $169 million, a year earlier, which produced diluted earnings per share of $1 83 for.

For the third quarter of 2023 compared to $1 58.

For the same quarter of 2022.

Speaker 4: transcript

Speaker 4: Operating cash flow for the third quarter of 2023 was $245 million, and free cash flow was $217 million compared with the $262 million and $255 million respectively in the year ago quarter.

Speaker 4: Operating cash flow for the third quarter of 2023 was $245 million and free cash flow was $217 million, compared with the $262 million and $255 million, respectively, in the year-ago quarter.

Operating cash flow for the third quarter of 2023 was $245 million and free cash flow was $217 million compared with the $262 million and $255 million, respectively in the year ago quarter.

Speaker 4: transcript

Speaker 4: Operating cash flow and free cash flow for the nine month period and September 30th, 2023, totaled 650 million and 609 million, respectively, and we're up from 614 million and 595 million for the same nine month period a year ago.

George Kilguss: Net income totaled $188 million, compared to $169 million a year earlier, which produced diluted earnings per share of $1.83 for the third quarter of 2023, compared to $1.58 for the same quarter of 2022. Operating cash flow for the third quarter of 2023 was $245 million, and free cash flow was $217 million, compared with the $262 million and $255 million, respectively, in the year ago quarter.

Operating cash flow and free cash flow for the nine month period ended September 32023 totaled $650 million and $609 million, respectively and were up from $614 million and $595 million for the same nine month period a year ago.

Speaker 4: transcript

Speaker 4: I'll now discuss our updated full year 2023 guidance.

I will now discuss our updated full year 2023 guidance.

Speaker 4: transcript

Speaker 4: Revenue is now expected to be in the range of 1,490,000,000 to 1,495,000,000.

Speaker 4: Revenue is now expected to be in the range of $1,490,000,000 to $1,495,000,000.

Revenue is now expected to be in the range of $1.490 billion to $1 billion and $495 million.

Speaker 4: transcript

Speaker 4: Operating income is now expected to be between 995 million and 1 billion.

Speaker 4: Operating income is now expected to be between $995 million and $1 billion.

Operating income is now expected to be between $995 million and $1 billion.

George Kilguss: Operating cash flow and free cash flow for the 9 month period and to September 30, 2023 totaled 650 million and 609 million respectively and we're up from 614 million and 595 million for the same 9 month period a year ago.

Speaker 4: transcript

Speaker 4: Interest expense and non-operating income net, which includes interest income estimates, is now expected to be an expense of between 25 million to 35 million.

Interest expense and nonoperating income net which includes interest income estimates is now expected to be an expense of between 25 million to $35 million.

Speaker 4: transcript

Speaker 4: Capital expenditures are still expected to be between 45 million to 55 million.

Capital expenditure spending yours are still expected to be between 45 million to $55 million.

George Kilguss: I'll now discuss our updated full year 2023 guidance. Revenue is now expected to be in the range of 1,490 million to 1,495 million. Operating income is now expected to be between 995 million and 1 billion. Interest expense and non-operating income net which includes interest income estimates is now expected to be an expense of between 25 million to 35 million. Capital expenditures are still expected to be between 45 million to 55 million and the gap effect of tax rate is now expected to be between 21% and 24%.

Speaker 4: transcript

Speaker 4: And the Gap Effective Pax Rate is now expected to be between 21% and 24%.

And the GAAP effective tax rate is now expected to be between 21% and 24% and.

Speaker 4: transcript

Speaker 4: In summary, Verisign continued to demonstrate sound financial performance during the third quarter of 2023, and we look forward to continuing to deliver on our mission and our objectives to finish the year. Now I'll turn the cloud back to Jim for...

In summary, Verisign continued to demonstrate sound financial performance during the third quarter of 2023, and we look forward to continuing to deliver on our mission and our objectives to finish the year.

Now I will turn the call back to Jim for his closing remarks.

Speaker 3: transcript

Speaker 3: Thank you, George. We strongly believe our strategic focus and discipline management continue to service well, allowing us to deliver another solid quarter in which we provided secure and reliable infrastructure services, managed our business responsibly and efficiently, and returned value to our shareholders.

Thank you George we strongly believe in our strategic focus and disciplined management continue to serve as well, allowing us to deliver another solid quarter in which we provided secure and reliable infrastructure services managed our business responsibly and efficiently and returned value to our shareholders. While there is ongoing turbulence.

Speaker 3: transcript

Speaker 3: While there is ongoing turbulence in the economy due to macroeconomic and geopolitical issues, and there continues to be low demand from China, the fundamentals of our business remain strong.

And the economy due to macroeconomic and geopolitical issues and there continues to be low demand from China. The fundamentals of our business remains strong these.

George Kilguss: In summary, Verisign continue to demonstrate sound financial performance during the third quarter of 2023 and we look forward to continuing to deliver on our mission and our objectives to finish the year.

Speaker 3: transcript

Speaker 3: These strong business fundamentals and our focus on managing items within our control continues to deliver strong financial results, including steady growth in revenue, operating income, and EPS.

These strong business fundamentals and our focus on managing items within our control continues to deliver strong financial results, including steady growth in revenue operating income and EPS.

Jim Bidzos: Now I'll turn the club back to Jim for his closing remarks. Thank you George. We strongly believe our strategic focus and discipline management continue to service well, allowing us to deliver another solid quarter in which we provided secure and reliable infrastructure services, manage our business responsibly and efficiently, and return value to our shareholders. While there is ongoing turbulence in the economy due to macroeconomic and geopolitical issues and there continues to be low demand from China, the fundamentals of our business remain strong. These strong business fundamentals and our focus on managing items within our control continues to deliver strong financial results including steady growth in revenue, operating income and EPS.

Speaker 3: transcript

Speaker 3: Thanks for your attention today. This concludes our prepared remarks, and now we'll open the call for your questions. Operator, we're ready for the first question.

Thanks for your attention today and this concludes our prepared remarks and now we'll open the call for your questions. Operator, we're ready for the first question.

Speaker 1: transcript

Speaker 1: Thank you. If you would like to signal with questions, please press star one on your touch.

Thank you if you would like to signal with questions. Please press star one on your Touchtone telephone.

Speaker 1: transcript

Speaker 1: If you are using a speaker phone, please make sure your mute function is off to allow your signal to reach our equipment. Once your question...

Are using a speaker phone. Please make sure your mute function is off to allow your signal to reach our equipment. Once your question has been stated. Please mute. Your line again that is star one if you would like to signal of questions Star one.

Speaker 1: transcript

Speaker 1: your line. Again, that is star one if you would like to single questions, star one. And our first question will come from

Our first question will come from Rob Oliver with Robert W. Baird.

Speaker 1: transcript

Speaker 1: Great. Thank you. Good afternoon. Appreciate you taking the questions. Jim, I'd like to start. Certainly noted the comments relative to China and that the rest of the business would have been up on the domain front had it not been for China. So let it clear on that. Just curious to hear your take on the China market right now. Maybe what you're hearing from your partners on the ground there as to when things might stabilize or if there's anything else going on in that market that we should be aware of. And then I had to follow up.

Operator: Thanks for your attention today. This concludes our prepared remarks and now we'll open a call for your questions. Operator, we're ready for the first question. Thank you. If you would like to signal with questions, please press star one on your touch tone telephone. If you are using a speaker phone, please make sure your mute function is off to allow your signal to reach our equipment. Once your question has been stated, please mute your line. Again, that is star one, if you would like to signal with questions, star one.

Great.

Good afternoon I appreciate you taking the questions Jim.

Jim I'd like to start.

Certainly noted the comments relative to China and that the rest of the business would have been up on the demand front had it not been for China, So loud and clear on that just curious to hear your take on that.

China market right now, maybe what Youre hearing from your partners on the ground there as to when things might stabilize or if there's anything else going on in that market that we should be aware of.

And then I had a follow up.

Rob Oliver: And our first question will come from Rob Oliver with Robert W. Baird. Great. Thank you. Good afternoon. I appreciate you taking the questions. Jim, I'd like to start, certainly noted the comments relative to China and that the rest of the business would have been up on the domain front had it not been for China. So let it clear on that.

Speaker 3: transcript

Speaker 3: Okay, thanks Rob. So with respect to China, as we mentioned in our prepared remarks, for the past several quarters, our domain name demand from China-based registrars has been weak. As a result of several factors, they include challenging economic conditions, a more stringent regulatory environment, and the impact of a weaker local currency combined with retail pricing adjustments. We believe these factors combined have driven down demand in China, which has been offset by domain name gains and other geographies.

Speaker 3: Okay. Thanks, Rob. So, with respect to China, as we mentioned in our prepared remarks, for the past several quarters, our domain name demand from China-based registrars has been weak as a result of several factors. They include challenging economic conditions, a more stringent regulatory environment, and the impact of a weaker local currency combined with retail pricing adjustments. We believe these factors combined have driven down demand in China, which has been offset by domain name gains in other geographies.

Okay. Thanks, Rob so.

With respect to China, as we mentioned in our prepared remarks for the past several quarters, our domain name demand from China based registrars has been weak as a result of several factors may include challenging economic conditions are more stringent regulatory environment and the impact of a weaker local currency combined with retail pricing adjustments we believe.

Jim Bidzos: Just curious to hear your take on the China market right now, maybe what you're hearing from your partners on the ground there as to when things might stabilize or if there's anything else going on in that market that we should be aware of and then add a follow-up. Okay. Thanks Rob. So with respect to China, as we mentioned in our prepared remarks for the past several quarters, our domain name demand from China-based registrars has been weak.

These factors combined have driven down demand in China, which has been offset by domain and gains in other geographies.

Speaker 3: transcript

Speaker 3: As you can see in the geographic revenue table filed in our 10Q this afternoon, we generated 22 million or about 6% of revenue in the quarter from China-based registrars and that revenue was down about 5 million from the year ago quarter. The remaining 354 million of revenue in the quarter from registrars outside of China was up 24 million or about 7%. So we're able to drive both top line in operating income growth even as our China registrars adjust their specific set of facts.

Speaker 3: As you can see in the geographic revenue table filed in our 10-Q this afternoon, we generated $22 million, or about 6% of revenue in the quarter, from China-based registrars. And that revenue was down about $5 million from the year-ago quarter. The remaining $354 million of revenue in the quarter from registrars outside of China was up $24 million, or about 7%. So we're able to drive both top-line and operating income growth, even as our China registrars adjust to their specific set of factors.

As you can see in the geographic revenue table filed in our 10-Q. This afternoon, we generated $22 million or about 6% of revenue in the quarter from China based registrars and that revenue was down about $5 million from the year ago quarter, the remaining $354 million of revenue in the quarter from registrars outside of China was up too.

Jim Bidzos: As a result of several factors, they include challenging economic conditions, a more stringent regulatory environment, and the impact of a weaker local currency combined with retail pricing adjustments. We believe these factors combined have driven down demand in China which has been offset by domain name gains and other geographies. As you can see in the geographic revenue table filed in our 10Q this afternoon, we generated 22 million or about 6% of revenue in the quarter from China-based registrars and that revenue was down about 5 million from the year ago quarter.

$94 million or about 7%. So we're able to drive both top line and operating income growth, even as our China registrars adjust to their specific set of factors <unk>.

Speaker 3: transcript

Speaker 3: Dear specific question of when we think things will normalize for a China-based registrar, I would say two things. One, the only certainty is change in the future development that influence that change or not within our control. So your guess would be as good as ours. And two, I think the term perfect storm is overused, but it feels a bit like that here. So I feel that the chances that change will be helpful is at least as likely as not.

To your specific question of when we think things will normalize for our China based registrars I would say two things one the only certainty is change in the future developments that influenced that change are not within our control. So your guess would be as good as ours and two I think the term perfect storm is overused, but it feels a bit like that here. So.

Jim Bidzos: The remaining 354 million of revenue in the quarter from registrars outside of China was up 24 million or about 7%. So we're able to drive both top line in operating income growth even as our China registrars adjusted their specific set of factors.

I feel that the chances that change will be helpful as at least as likely as not.

Speaker 5: transcript

Speaker 5: Okay, great. Thanks, Jim, for that very helpful color. My follow-up was around the, I can't post on...

Speaker 5: Okay, great, thanks, Jim, for that very helpful color. My follow-up was around the, I can't post on.

Okay, great. Thanks, Jim for that very helpful.

Color.

Right.

Follow up was around the I cant post on.

Jim Bidzos: The specific question of when we think things will normalize for our China-based registrars, I would say two things. One, the only certainty is change in the future development that influence that change are not within our control. So your guess would be as good as ours. And two, I think the term perfect storm is overused, but it feels a bit like that here. So I feel that the chances that change will be helpful is at least as likely as not. Great. Thanks, Jim, for that very helpful color.

Speaker 5: transcript

Speaker 5: dot web and um... you know i guess uh... you know pretty clear their their view but just and for the b-priced notice but you know there's been so it's been a uh... flavor in the uh... journey here on dot web and so we're now that dot opinion from i can has what what is that leave us and what should we expect next or what do you think uh... para next later you two

Dot web and.

I guess.

Pretty clear there.

But just and forgive me if I should know this but there's been so it's been a deliberate theme journey here on dot web and so.

Now that that.

Opinion from ICANN has.

Where does that leave us and what should we expect next or what do you think will happen next.

Jim Bidzos: My follow-up was around the, I can't post on .web and I guess, you know, pretty clear their view, but just, and forgive me, I should know this, but, you know, there's been so, it's been a flavor-in-thene journey here on .web. And so we're, now that that opinion from ICANN has hit, what, where does that leave us and what should we expect next or what do you think will happen next? Thanks. Okay, thanks for that question.

Speaker 3: transcript

Speaker 3: Okay, thanks for that question. Let's see a couple of things. First of all, I mentioned that in the document, I urge everybody to read the document. I think it's really indicative of, obviously what ICANN's response will be. I clarified the term, NBC2B new.co, which is a company that we actually partnered with in something called the DAA, the Domain Acquisition Agreement.

Speaker 3: Okay. Thanks for that question. Let's see, a couple of things. First of all, I mentioned that in the document, I urge everybody to read the document. I think it's really indicative of, you know, obviously what ICANN's response will be. I clarified the term NVC to be new.co, which is a company that we actually partnered with in something called the DAA, the Domain Acquisition Agreement.

Okay. Thanks for that question.

Let's say a couple of things first of all I mentioned that in the document I urge everybody to read the document I think it's really indicative of obviously, what I can response will be.

I clarified the term NBC to be new Dot co, which is a company that we actually partnered with in something called the DAA the domain acquisition agreement.

Speaker 3: transcript

Speaker 3: and you'll see those terms used throughout. And so what to expect next, I think the important thing here is that this is a legal proceeding that we are currently not a party to that might change.

Speaker 3: and uh... you'll see those terms used throughout and uh... uh... the uh... what to expect next i think the important thing here is that this is an this is a legal proceeding that we are currently not a party to that might change

And Youll see those terms used throughout <unk>.

So what.

What to expect next I think the important thing here is that this isn't this is a legal proceeding that we are currently not a party to that might change.

Speaker 3: transcript

Speaker 3: So I think what you're gonna see next is they're working to form a panel and then the documents that are gonna be filed became public today and that is the IRP complaint from Altenovo and ICANN's answer. So we'll be watching those developments. We don't know anything beyond that.

So I think what youre going to see next is they are working to form a panel and then the documents that are going to be filed became public today and that is the ERP complaint from Alta Novo and I can answer so we'll be watching those developments, we don't know anything beyond that.

Jim Bidzos: Let's see a couple of things. First of all, I mentioned that in the document, I urge everybody to read the document. I think it's a really indicative of, you know, obviously what ICANN's response will be. I'd clarified the term NVC to be new.co, which is a company that we actually partnered with in something called the DAA, the Domain Acquisition Agreement. And you'll see those terms used throughout. And so what to expect next, I think the important thing here is that this is a legal proceeding that we are currently not a party to, that might change.

Speaker 3: transcript

Speaker 3: or due to read what's out there now and I think that gives you some expectation of what the issues on the table will be when the proceedings begin.

Speaker 3: urge you to read what's out there now, and I think that gives you some expectation of what the issues on the table will be when the proceedings begin.

Are due to read what's out there now and I think that gives you some expectation of.

What the issues on the table will be when the proceedings begin.

Speaker 5: transcript

Speaker 5: Great, thanks, okay, I'll get back in the queue. If there's an opportunity later on, thanks guys, appreciate it.

Great. Thanks, Okay, I'll get back in the queue.

If there is opportunity later on thanks, guys appreciate it.

Jim Bidzos: So I think what you're going to see next is they're working to form a panel. And then the documents that are going to be filed became public today. And that is the IRP complaint from Altenovo and ICANN's answer. So we'll be watching those developments. We don't know anything beyond that. We urge you to read what's out there now. And I think that gives you some expectation of what the issues on the table will be when the proceedings begin. Great. Thanks. Okay. I'll get back in the queue if there's an opportunity later on. Thanks, guys. Appreciate it.

Speaker 1: transcript

Speaker 1: And we'll take our last question from EGAL Aromian with

Speaker 1: And we'll take our last question from Egal Oronian with.

And we'll take our last question from <unk> <unk> with Citi.

Speaker 6: transcript

Speaker 6: Take it after you guys. Why don't they dig into the piece of the being growth a little bit and understood the pressures in China. So maybe just a few things around outside of China.

Hey, good afternoon guys.

I wanted to dig into the pace of demand growth.

A little bit.

Understood the pressures in China, So maybe just a few things around outside of China.

Speaker 6: transcript

Speaker 6: As close as the revenue growth by geography, and maybe you could just speak a little bit to the domain growth by geography too, and if you're seeing different trends, there's some pricing within the geography revenue growth as well. So what do you think overall by geography and domains and

Speaker 6: is the revenue growth by geography and maybe you could just speak a little bit to the domain growth by geography too and if you're seeing different trends you know there's some pricing within the geography revenue growth as well. So what do you think overall by geography and domains?

The revenue growth by geography, but maybe you could just speak a little bit too.

The domain growth by geography, too and if youre seeing different trends.

There's some pricing within.

The geography revenue growth as well so.

Igal Arounian: And we'll take our last question from Igal Aromian with City. Take it after you guys. I want to dig into the piece of the being growth a little bit. And I'm, you know, understood the pressures in China. So maybe just a few things around outside of China. You use as close as the revenue growth by geography. And maybe you could just speak a little bit to the domain growth by geography too. And if you're seeing different trends, you know, there's some pricing within the geography revenue growth as well. So we think overall by geography and domains.

Leasing overall.

By geography and domains and.

Speaker 6: transcript

Speaker 6: Even though it's better than what we're seeing in China, we're still kind of below historical norms and what you think the contributing factors are there.

Even though it's better than what we're seeing in China.

We're still kind of below historical norms.

What you think the contributing factors are there.

Around that.

Speaker 4: transcript

Speaker 4: yeah thanks a girl uh... just a couple points uh... i mean that there's obviously a lot going on in uh... in the world today obviously we have uh... some macroeconomic factors uh... you know they still high interest rates are they still high inflation obviously there's some geopolitical uh... factors going on there um...

Yes. Thanks.

Just a couple of points.

There's obviously a lot going on in the world today, obviously, we have.

To macroeconomic factors.

High interest rates, so there's still high inflation, obviously theres some geopolitical factors going on there.

<unk>.

Speaker 4: transcript

Speaker 4: So I think those are, like other companies, those things are impacting our business. But as Jim mentioned, we are seeing XR China's registrars growth from those.

Speaker 4: So I think those are, you know, like other companies, those things are impacting our business. But as Jim mentioned, you know, we are seeing XR China's registrars growth from those

So I think those are like other companies those things are impacting our business, but as Jim mentioned.

George Kilguss: And even though it's better than what we're seeing in China, you know, we're still kind of below historical norms. And, you know, what you think the contributing factors are there around. Yeah, thanks, Carl. Just a couple of points. I mean, there's obviously a lot going on in the world today. Obviously, we have some macroeconomic factors, you know, they're still high interest rates. They're still high inflation. Obviously, there's some geopolitical factors going on there.

We are seeing X X our Chinese registrars.

From those.

Speaker 4: transcript

Speaker 4: Those groups both in new registrations as well as a domain name base there. Again, I would point you, we really don't break out the domain name base for competitive purposes, but I would point you to...

Those groups, both in new registrations as well as the domain name base there again.

Again, I would point to we really don't break out the domain name base for competitive purposes, but I would point you to.

Speaker 4: transcript

Speaker 4: You know, our geographic revenue disclosure, which really gives you a sense of some of the growth. We charge the same price, we do charge the same price across all markets, so we offer that to everybody, so I think it's a fair comparison for you to take a look at that. But the domain name base continues to be resilient. I think the value proposition of a domain name has remained strong, but the declines we're seeing in China, which is a smaller geographical segment so… is…

Speaker 4: you know, our geographic revenue disclosure, which really gives you a sense of some of the growth. We don't, we charge the same price. We do charge the same price across all markets. So, you know, we offer that to everybody. So I think it's a fair comparison for you to take a look at that. But, you know, the domain name base continues to be resilient. I think the value proposition of a domain name has remained strong. But, you know, the declines we're seeing in China, which is a smaller geographical segment of ours,

Our geographic revenues closure, which really gives you a sense of.

Some of the growth we don't we charge the same price we do charge the same price across all markets. So.

We offer that to everybody. So I think it's a fair comparison for you to take a look at that but.

George Kilguss: So, I think those are, you know, like other companies, those things are impacting our business. But as Jim mentioned, you know, we are seeing X, XR China's registrars growth from those, those groups, both in new registrations as well as a domain name base there. Again, I would point you, we really don't break out the domain name base for competitive purposes, but I would point you to, you know, our geographic revenue disclosure, which really gives you a sense of some of the growth.

The domain name base continues to be a resilient I think the value proposition of a domain name is remains strong.

The.

Lines, we're seeing in China, which is a smaller geographical segment of ours is.

Speaker 4: transcript

Speaker 4: impacting the total domain name base growth, but we're able to offset that as you have the geography, so I have to want better.

Speaker 4: impacting the total domain name base growth, but we're able to offset that as the other geographies have performed better.

Impacting the total domain name base growth, but were able to offset that.

As the other geographies have performed better.

Speaker 6: transcript

Speaker 6: Got it. Okay, that's helpful there and maybe on the car side. Also, you guys continue to come ahead of expectations.

Got it okay. That's helpful. There.

George Kilguss: We don't, we charge the same price. We do charge the same price across all markets, so, you know, we offer that to everybody. So, I think it's a fair comparison for you to take a look at that. But, you know, the domain name base continues to be resilient. I think the value proposition of a domain name is remained strong.

Maybe on the cost side.

Also you guys.

Come in ahead of expectations.

Despite the.

Speaker 6: transcript

Speaker 6: relative softness on the revenue side. So to kind of get to the end of this year and start looking at the...

Speaker 6: relative softness on the revenue side. So, should we kind of get to the end of this year and start looking at the.

Relative softness on.

On the revenue side, so as we kind of get to the end of this year and start looking into 2024.

George Kilguss: But, you know, the declines we're seeing in China, which is a smaller geographical segment of ours, is impacting the total domain name base growth, but we're able to offset that as you have the geography, so I have to work on better. Got it. Okay, that's helpful there. And maybe on the cost side. Also, you guys continue to come ahead of expectations, despite the relative softness on the revenue side.

Speaker 6: transcript

Speaker 6: any walk us through how you're thinking about post investments and what's needed, what's not.

Maybe walk us through how you're thinking about cost and investments.

What's needed whats not and how you're approaching that.

Speaker 4: transcript

Speaker 4: Yeah, we'll provide full year guidance on our next earnings call for 2024. You know, our expenses or the midpoint of our guidance suggests that our expenses will be lower this year around 3% and that's down from prior years. Keep in mind we did have some costs come out of the

Speaker 4: Yeah we'll provide full year guidance on our next earnings call for 2024. You know our our expenses or the midpoint of our guidance suggests that our expenses will be lower this year around three percent and that's down from prior years. Keep in mind we did have some costs come out of the

Yes, we will provide full year guidance on our next earnings call off for 2024.

Our.

Our expenses or the midpoint of our guidance suggests that our expenses.

We'll be lower this year around 3% and thats down from prior years keep in mind, we did have some cost come out of the.

George Kilguss: So, to kind of get to the end of this year and, you know, start looking at the 2024, or just any walk us through how you're thinking about costs and investments, and kind of what's needed, what's not, and how you're approaching that. Thanks. Yeah, we'll, we'll provide full year guidance on our next earnings call for 2024. You know, our, our expenses or the midpoint of our guidance suggests that our expenses will be lower this year, around 3% and that's down from prior years.

Speaker 4: transcript

Speaker 4: The business with regard to when.tv migrated away from us. That was about five million of fees that we paid to.tv that is not picked up this year. But if you were to normalize that out, we're probably at a similar expense growth rate this year than last year. And as you recall last year, expenses grew about 4% or so. So...

The business with regard to when Dot TV migrated away from us that was about $5 million of fees that we pay to dot TV.

Is not picked up this year, but if you were to normalize that out.

We had a similar expense growth rate this year than last year and as you recall last year expenses grew about.

4% or so so.

Speaker 4: transcript

Speaker 4: You know, we'll continue to manage expenses and be responsible, as Jim said, several quarters in a row. You know, during this time of uncertainty, we're trying to control what we can control. And that means being responsible, making sure we're making the right investments and, you know, areas where we can make some efficiencies we'll do so. But I can assure you we're making all the necessary investments we need to execute our mission and our strategic framework to protect the company and meet our SLAs.

<unk>.

We will continue to manage expenses would be responsible as Jim said.

Several quarters in a row. During this time of uncertainty we're trying to control what we can control and that means being responsible.

George Kilguss: Keep in mind, we did have some costs come out of the, the business in regard to when .tv migrated away from us. That was about 5 million of fees that we paid to .tv. That is not picked up this year. But if you were to normalize that out, you know, we're probably at a similar expense growth rate this year than last year. And as you recall last year, you know, expenses grew about 4% or so.

Making sure we're making the right investments and.

Areas, where we can make some efficiencies we will do so but I can assure you, we're making all the necessary investments we need to.

Execute our mission and our strategic framework to protect the company and meet our Sla's, yes.

Speaker 3: transcript

Speaker 3: Yeah, I got to you know, George is exactly right. The term responsible expense control for us means that person foremost investment in our infrastructure to provide the critical infrastructure services that we do provide is simply mandatory. We make all of those, but we manage responsibly where we can. And as George said, next round of earnings will give you full 2024 guidance.

Speaker 3: Yeah, of course, Jim. George is exactly right. The term responsible expense control for us means that first and foremost, investment in our infrastructure to provide the critical infrastructure services that we do provide is simply mandatory. We make all of those, but we manage responsibly where we can. And as George said, next round of earnings, we'll, we'll give you full 2024 guidance.

Yes, Jim George is exactly right.

Term responsible expense control for us means that first and foremost investment in our infrastructure to provide the critical infrastructure services that we do provide is simply Mandy.

George Kilguss: So, you know, we'll continue to manage expenses and be responsible. As Jim said, several quarters in a row, you know, during this time of uncertainty, we're trying to control what we can control. And that means being responsible, making sure we're making the right investments, and, you know, areas where we can make some efficiencies will do so. But I can assure you, we're making all the necessary investments we need to to execute our mission and strategic framework to protect the company and meet our SLAs.

Mandatory we make all of those but we manage responsibly, where we can and as George said.

Next round of earnings will will give you full 2020 for guidance.

Okay.

The color thanks.

Speaker 1: transcript

Speaker 1: and we'll go back to Rob Oliver with Robert

Speaker 1: And we'll go back to Rob Oliver with Robert.

And we will go back to Rob Oliver with Robert W. Baird.

George Kilguss: Yeah, I got it, Jim. George is exactly right. The term responsible expense control for us means that first and foremost investment in our infrastructure to provide the critical infrastructure services that we do provide is simply mandatory. We make all of those. But we manage responsibly where we can.

Speaker 5: transcript

Speaker 5: Great. Thanks guys for squeezing me in here with one more. Jim, my question is for you. You mentioned, I think, response to my earlier question just around the macro, which you characterise some ongoing turbulence and clearly China is part of that. But outside of China, that I know you guys are growing outside of that generally. But just curious to hear you take on the current macro, whether your characterization earlier, there was anything incremental or if it was sort of the same now as when you entered the quarter, certainly terms of Middle East and headlines out there, who feels, you know, sentiment, things, feels like things are a bit softer, but just wanted to get a sense, you know, from what you're seeing and hearing from your partners. Thanks.

Great. Thanks, guys for squeezing me in here with one more Jim King. My question is for you you mentioned I think in response to.

My earlier question, just around the macro which you characterize some ongoing turbulence and clearly.

China is part of that but outside of China.

Jim Bidzos: And as George said, next round of earnings will give you full 2024 guidance. I appreciate the car. Thanks.

No.

You guys are growing outside of that generally, but just curious to hear your take on the current macro.

And whether your characterization earlier.

The incremental sort of the same now.

Rob Oliver: And we'll go back to Rob Oliver with Robert W. Baird. Great. Thanks guys for squeezing me in here with one more. Jim, my question is for you. You mentioned, I think, response to my earlier question just around the macro, which, you know, you kind of drive some ongoing turbulence and clearly, you know, China is part of that. But, you know, outside of China that I know, you guys are growing outside of that generally.

When you entered the quarter certainly in terms of middle eastern headlines out there.

Intimate feels like things are a little bit.

Rob Oliver: But just curious to hear you take on the current macro, whether, you know, your characterization earlier was anything incremental, or if it was sort of the same now as when you entered the quarter, certainly terms of Middle East and headlines out there who feels, you know, sentiment, things, feels like things are a bit softer but just wanted to get a sense, you know, from what you're seeing and hearing from your partners. Thanks.

Softer, but just wanted to get a sense.

What youre seeing and hearing from your partners.

Speaker 3: transcript

Speaker 3: Yeah, that is all of the events around the world, whether it's Ukraine or the Middle East, all of those we believe are impacting the economy and indirectly are part of the geopolitical issues that affect some of the macroeconomic trends and headwinds that we're seeing. And I think those are broad and you're seeing that effect for companies.

Yes that is.

All of the events.

Around the world, whether it's Ukraine or the middle East.

All of those we believe are impacting the economy and indirectly are part of the geopolitical issues that affect some of the macroeconomic trends and headwinds that we're seeing and I think those are broad and youre seeing that effect for companies Tech.

Speaker 3: transcript

Speaker 3: tech companies i think across the board that one is tough to assess how it's going to impact this in the future it's relatively the event there are relatively recent so i don't know that we have any real insight into anything we can identify at this point i can tell you at least from what i'm seeing publicly i think uh... you know there are certainly challenges in the chinese market and that's obviously the biggest impact and that seems to be uh... felt broadly across the tech space as well

Speaker 3: tech companies I think across the board. That one is tough to assess how it's going to impact us in the future. It's relatively, the events there are relatively recent so I don't know that we have any real insight into anything we can identify at this point. I can tell you at least from what I'm seeing publicly I think you know there are certainly challenges in the Chinese market and that's obviously the biggest impact and that seems to be felt broadly across the tech space as well.

Tech companies I think across the board that one is tough to assess how it is going to impact us in the future. It's relatively the events. They are relatively recent so I don't know that we have any real insight into anything we can identify at this point.

I can tell you at least from what I am saying publicly I think there are certainly challenges in the Chinese market and Thats, obviously, the biggest impact and that seems to be felt broadly across the tech space as well, but.

Rob Oliver: Yeah, that is all of the events around the world, whether it's Ukraine or the Middle East, all of those we believe are impacting the economy and indirectly are part of the geopolitical issues that affect some of the macroeconomic trends and headwinds that we're seeing. And I think those are broad and you're seeing that effect for companies, tech companies, I think across the board. That one is tough to assess how it's going to impact this in the future.

Speaker 3: transcript

Speaker 3: But, you know, we monitor these things, and we observe them, and nothing to report right now. I appreciate your question. I just don't have any trend data, or trends sense even really to share at this point.

We monitor these things and we observe them, but nothing to report right now I. Appreciate your question I, just don't have any trend data to our trend sense, even really to share at this point.

Certainly they do have some negative impact people are more cautious interest rates rise all sorts of second and third order effects occur from from these and Thats. What we were alluding to when we talk about them. They do sort of put some pressure on the business interest rates in particular, no particular, one or all of the things we mentioned and as George said, what we do then is.

Rob Oliver: It's relatively the event there, relatively recent. So I don't know that we have any real insight into anything we can identify at this point. I can tell you at least from what I'm seeing publicly, I think, you know, there are certainly challenges in the Chinese market and that's obviously the biggest impact and that seems to be felt broadly across the tech space as well. But, you know, we monitor these things and we observe them.

Our result, as we focus on what we can control we make absolutely certain that we're delivering our services in accordance with our contracts. That's first first and foremost and secondly, we engage frequently constantly and responsible expense control. Those are the things. We can do in our business model allows us to deliver solid quarters, while we.

Rob Oliver: Nothing to report right now. I appreciate your question. I just don't have any trend data or trends sense even really to share at this point. Certainly they do have some negative impact. People are more cautious, interest rates rise, all sorts of second and third-order effects occur from these. And that's what we were alluding to when we talk about them. They do sort of put some pressure on the business, interest rates in particular, no particular order, all the things we mentioned.

Speaker 3: transcript

Speaker 3: wait for better economic climate.

Speaker 3: uh... wait for better economic climate

Wait for better economic climate.

Speaker 5: transcript

Speaker 5: Great. Okay, thank you, Jim. I appreciate that. Thanks again, guys.

Speaker 5: Great. Okay. Thank you, Jim. I appreciate that. Thanks again, guys.

Great. Okay. Thank you Jim I appreciate it thanks again guys.

Thank you.

Speaker 1: transcript

Speaker 1: Thank you. That does conclude the question and answer session. How now turn the conference back over to Mr. David Atch?

Thank you that does conclude the question and answer session I will now turn the conference back over to Mr. David Atchley for final comments.

Speaker 7: transcript

Speaker 7: Thank you, operator. Please call the investor relations department with any follow-up questions from this call. Thank you for your participation. This concludes our call. Have a good evening. Thank you. This does conclude today's conference. We do thank you for your participation. Have an excellent day. Thank you.

Rob Oliver: And as George said, what we do then as a result is we focus on what we can control. We make absolutely certain that we're delivering our services in accordance with our contracts. That's first and foremost. And secondly, we engage frequently, constantly, in responsible expense control. Those are the things we can do.

Speaker 2: transcript

Speaker 2: Thank you, operator. Please call the Investor Relations Department with any follow-up questions from this call. Thank you for your participation. This concludes our call. Have a good evening.

Speaker 2: Thank you, Operator. Please call the Investor Relations Department with any follow-up questions from this call. Thank you for your participation. This concludes our call. Have a good evening.

Thank you operator, please call the Investor Relations Department with any follow up questions from this call. Thank you for your participation. This concludes our call have a good evening.

Speaker 1: transcript

Speaker 1: Thank you. This does conclude today's conference. We do thank you for your participation.

Thank you. This does conclude today's conference we do thank you for your participation have an excellent day.

Jim Bidzos: And our business model allows us to deliver solid quarters while we wait for better economic climate. Great. Okay. Thank you, Jim. I appreciate that. Thanks again, guys. Thank you. That does conclude the question and answer session.

Yeah.

Sure.

David Atchley: How now turn the conference back over to Mr. David, actually, for final comments. Thank you, operator. Please call the investor relations department with any follow-up questions from this call. Thank you for your participation.

David Atchley: This concludes our call. Have a good evening. Thank you.

Operator: This does conclude today's conference. We do thank you for your participation. Have a good evening.

Q3 2023 VeriSign Inc Earnings Call

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