Q4 2023 Workiva Inc Earnings Call

Operator: Good afternoon, ladies and gentlemen. My name is Mandeep, and I will be your host operator on this call. After the prepared comments, we will conduct a question and answer session. Instructions will be provided at that time.

Good afternoon, ladies and gentlemen, my name is Martin deep and I will be your host operator on this call.

After the prepared comments, we will conduct a question and answer session.

Instructions will be provided at that time.

Operator: If at any time during the conference you need to reach an operator, please press star followed by zero. Please note that this call is being recorded on February 20, 2024, at 5 p.m. I would now like to turn the meeting over to your host for today's call, Mike Ross, Senior Vice President of Corporate Development and Investor Relations at Workiva. Please go ahead.

At times during the conference you need to reach an operator. Please press star followed by zero. Please note that this call is being recorded on February 20th 2024 at five P M. Eastern.

I would now like to turn the meeting over to your host for today's call Mike Ross.

Mike Ross: In your vice President of corporate development and Investor Relations at work Kibbeh.

Mike Ross: Please go ahead.

Mike Ross: Good afternoon, and thank you for joining us for Workiva's fourth quarter and full fiscal year 2023 conference call. During today's call, we will review our fourth quarter results and discuss our guidance for the first quarter and full year 2024. Today's call has been pre-recorded and will include comments from our Chief Executive Officer, Julie Isko, followed by our Chief Financial Officer, Jill Clinton. We will then open the call up for a live Q&A session. A replay of this webcast will be available until February 27th, 2024. Information on how to access the replay is listed in today's press release, which is available on our website under the Investor Relations section.

Mike Ross: Good afternoon, and thank you for joining us for Pirquitas fourth quarter and full fiscal year 2023 conference call.

Mike Ross: During today's call, we will review, our fourth quarter results and discuss our guidance for the first quarter and full year 2024.

Mike Ross: Today's call has been prerecorded and will include comments from our Chief Executive Officer, Julie as coal followed by our Chief Financial Officer Jill Quint.

We will then open the call up for live Q&A session.

Mike Ross: A replay of this webcast will be available until February 27th 2024.

Mike Ross: Information to access the replay is listed in today's press release, which is available on our website under the Investor Relations section.

Mike Ross: Before we begin, I would like to remind everyone that during today's call, we will be making forward-looking statements regarding future events and financial performance, including guidance for the first quarter and full fiscal year 2024. These forward-looking statements are subject to known and unknown risks and uncertainties, and Workiva cautions that these statements are not guarantees of future performance.

Julie: Before we begin I would like to remind everyone that during today's call, we will be making forward looking statements regarding future events and financial performance, including guidance for the first quarter and full fiscal year 2024.

Julie: These forward looking statements are subject to known and unknown risks and uncertainties.

Julie: Were keto cautions that these statements are not guarantees of future performance.

Mike Ross: All forward-looking statements made today reflect our current expectations only, and we undertake no obligation to update any statement to reflect the events that occur after this call. Please refer to the company's annual report on Form 10-K and subsequent filings for factors that could cause our actual results to differ materially from any forward-looking statement. Also, during the course of today's call, we will refer to certain non-GAAP financial measures. Reconciliations of non-GAAP-to-GAAP measures and certain additional information are also included in today's press release. With that, we'll begin by turning the call over to CEO Julie Isko. Thank you, Mike, and thank you to everyone on today's call.

All forward looking statements made today reflect our current expectations only and we undertake no obligation to update any statement to reflect the events that occur after this call.

Julie: Please refer to the company's annual report on Form 10-K, and subsequent filings for factors that could cause our actual results could differ materially from any forward looking statements.

Julie: Also during the course of today's call, we will refer to certain non-GAAP financial measures.

Julie: Reconciliations of non-GAAP to GAAP measures and certain additional information are also included in today's press release.

Julie: With that we'll begin by turning the call over to CEO Julie <unk>.

Julie: Thank you Mike and thank you to everyone on today's call. There were key the team closed out 2023 with solid Q4 results delivering subscription revenue growth of 18% and the non-GAAP operating profit to beat the high end of our guidance by 367 basis points.

Julie Isko: The Workiva team closed out 2023 with solid Q4 results, delivering subscription revenue growth of 18% and a non-gap operating profit that beat the high end of our guidance by 367 basis points. For the full year 2023, we exceeded guidance for the targets that we set in both February and Q3. Our solid performance resulted in a revenue growth rate of 20% in subscription revenue and 17% in total revenue.

Julie: For the full year 2023, we exceeded guidance for the targets that we set in both February and Q3 of 2023.

Julie: Solid performance resulted in a revenue growth rate of 20% and subscription revenue and 17% in total revenue.

Julie Isko: These results were driven by broad-based, strong demand across our solution portfolio. Consistent with the past several quarters, we continue to see outpaced growth in our large contract customers, which is driven by additional solution sales into our installed base. In Q4, the number of contracts valued over $100,000 increased 21%.

Julie: These results were driven by broad based strong demand across our solution portfolio consistent with the past several quarters, we continue to see outpaced growth in our large contract customers.

Julie: This is driven by additional solution sales into our installed base.

Julie: In Q4, the number of contracts valued at over $100000 increased 21%.

Julie Isko: Those over $150,000 increased 27%, and contracts valued over $300,000 were up 32%, all compared to Q4 of 2022. Although 2023 brought with it a tough macro environment, we finished the year strong, and we believe we're set up for durable growth in the years to come. Our platform is a key differentiator in the marketplace. Workiva remains the only platform that brings financial reporting, ESG, and GRC together in one secure, controlled, audit-ready environment.

Julie: Those over $150000 increased 27% and contracts valued at over $300000 or up 32%.

Julie: Compared to Q4 of 2022.

Julie: Although 2023 brought with it a tough macro environment. We finished the year strong and we believe we're set up for durable growth in the years to come.

Julie: Our platform is a key differentiator in the marketplace or keep it remains the only platform that brings financial reporting ESG and GIC together in one secure controlled audit rating environment.

Julie Isko: We are the platform for assured, integrated reporting. I'd like to highlight three assured integrated reporting wins that we signed in Q4. First, a Fortune 50 US multinational food company rounded out their platform with investment in GRC. The purchase of the controlled management solution complements their previous investment in ESG, SEC, and management reporting. This 10-year loyal SEC customer was engaged with a Big Four advisory firm in a 2023 ESG implementation project, and this firm recommended Workiva as the technology of choice for GRC. This same firm will also be providing delivery for the GRC project. Second, a European-based biopharmaceutical company expanded their platform usage with the purchase of ESG and global statutory reporting. This ESG win was in competition with a regional ESG point solution that could only address some of the company's requirements.

Julie: We are the platform for a short integrated reporting.

Julie: I'd like to highlight three assured integrated reporting wins that we signed in Q4.

Julie: First.

Julie: Fortune 50 U S multinational food company rounded out their platform with investment in DRC.

Julie: The purchase of the controls management solution complements their previous investment in ESG.

Julie: And management reporting.

Julie: This 10 year loyal FCC customer was engaged with the big four advisory firm and a 2023 ESG implementation project and this firm recommended where key here is the technology of choice for Trc.

Julie: The same firm will also be providing delivery for the GIC project.

Julie: Second <unk>.

Julie: A European based biopharmaceutical company expanded their platform usage with the purchase of ESG and global statutory reporting.

Julie: This ESG win was in competition with the regional ESG point solution that could only address some of the companys requirements.

Julie Isko: This customer initially purchased Workiva for ESF reporting, internal controls, and enterprise risk management back in Q3 of 2022. The Big Four firm that successfully implemented those solutions was a co-sell partner in this Q4 deal, and they will be providing delivery on both the ESG and the Global Statutory Reporting solution. And third, more than just account expansion, we're landing with the platform, including a five-solution new logo win with a European-based holding company that purchased Global Statutory Reporting, ESG, Controls Management, Audit Management, and Enterprise Risk Management. This was a competitive deal against five GRC platform solution providers.

This customer initially purchased for keeper for ease of reporting internal controls.

Julie: Enterprise risk management back in Q3 of 2022.

Julie: The big four firm that successfully implemented those solutions with a co sell partner in this Q4 deal and they will be providing delivery on both the ESG and the global statutory reporting solutions.

Julie: And third more than just account expansion landing with the platform, including a final solution new logo win with a European based holding company that purchased global statutory reporting ESG.

Julie: Trolls management audit management enterprise risk management. This was a competitive deal against five DRC platform solution providers.

Julie Isko: This assured, integrated reporting win was sourced by a Big Four advisory firm who will be providing implementation services for this project. In addition to the assured integrated reporting wins that I just described, we also saw some large platform deals this quarter in financial services. While our platform itself is a clear differentiator, the wins we saw were also driven by the specific fit-for-purpose solutions we offer to banks, insurance companies, and investment firms. I'd like to highlight three financial services-specific deals.

Julie: This is short integrated reporting win with sourced by a big four advisory firm, who will be providing implementation services for this project.

Julie: In addition to the assured integrated reporting wins that I. Just described we also saw some large platform deals this quarter in financial services.

Julie: While our platform itself is a clear differentiator. The wins. We saw were also driven by the specific fit for purpose solutions, we offer to banks insurance companies and investment firms.

Julie: I'd like to highlight three financial services specific deal.

Julie Isko: The first is a new logo and a seven-figure opportunity with the top 20 U.S. bank holding companies. This was a five-solution deal that included SEC reporting, ESG reporting, stress testing, living wills, and bank regulatory reporting. This deal was sourced and will be implemented by a Big Four advisory firm. The second is a seven-figure account expansion with a top 10 global bank. This bank is now using 15 solutions across the platform with an annual spend of over $5 million.

Julie: The first is a new logo seven figure opportunity with the top 20 U S Bank holding company.

This was a five solution deal that included SEC reporting ESG reporting stress testing living will and bank regulatory reporting.

This deal was sourced and will be implemented by a big four advisory firm.

Julie: The second is a seven figure account expansion with the top 10 Global Bank.

Julie: This bank is now using 15 solutions across the platform with an annual spend of over $5 million.

Julie Isko: This existing account renewal included expanded use of financial reporting, ECEF reporting, and bank-specific solutions, including ICAP, or the Internal Capital Adequacy Assessment Process, which is part of the Basel Pillar 2 Framework. It also included resolution planning, stress testing, and Basel Pillar 3 disclosure reporting. And these platform wins are not just limited to banks.

Julie: This existing account renewal included expanded use of financial reporting ECF reporting and bank specific solutions, including icon or the internal capital adequacy assessment process, which is part of the Basel pillar two framework.

Julie: It also included resolution planning and stress testing and Basel pillars, III disclosure were appointed.

Julie: And these platform wins are not just limited to banks. The third highlighted deal is a seven figure account expansion with a top 10 global life insurance company.

Julie Isko: The third highlighted deal is a seven-figure account expansion with the top ten global life insurance companies. This customer has now licensed 17 solutions with an annual spend of over $3 million. This solution expansion included the addition of ESG and three insurance-specific solutions – Insurance Statutory Reporting, Solvency II Reporting, and Actuarial, Memorandum, and National Association of Insurance Commissioners Reporting Requirements.

Julie: This customer is now licensed 17 solutions with an annual spend of over $3 million.

Julie: This solution expansion included the addition of ESG and three insurance specific solutions insurance statutory reporting solvency II reporting an actuarial memorandum and National Association of insurance Commissioners reporting requirement.

Julie Isko: This opportunity was a co-sell with a Big Four firm who will be providing delivery for the ESG solution. The connecting theme between these financial services customers is that they're all spending more than $1 million in annual recurring revenue with us. Although the Workiva customer base is spread across all industries, more than half of those customers spending more than $1 million in ARR with us are financial services firms. We are encouraged by the increased spend that we saw from financial services customers in 2023, and we believe we have room for significant growth in this industry in the coming years. This optimism is driven by the value that we deliver to these customers, and it's supported by our unrivaled platform, internal expertise, and an expanding partner ecosystem.

This opportunity with a co sell with a big four firm, who will be providing delivery for the ESG solution.

The connecting theme between these financial services customer is that they are all spending more than $1 million in annual recurring revenue with us.

Julie: Although the work if a customer base is spread across all industries more than half of those customers spending more than $1 million, an IRR with us our.

Julie: Actual services firms.

Julie: We are encouraged by the increased spend that we saw in financial services customers in 2023, and we believe we have room for significant growth in this industry in the coming years.

Julie: This optimism is driven by the value that we deliver to these customers and it's supported by our unrivaled platform internal expertise and an expanding partner ecosystem.

Julie: First.

Julie Isko: We've been doing SEC and investor-grade regulatory reporting for more than a decade. And second, we have the market-leading ESG reporting solution, and ESG is quickly becoming a must-have for financial services firms as they manage ESG risks as part of their overall risk program. Third, we have fit-for-purpose capabilities for financial services regulation.

We've been doing SEC and investor grade regulatory reporting for more than a decade.

Julie: And second we have the market, leading ESG reporting solution and ESG is quickly becoming a must have for financial services firms as they manage ESG risks as part of their overall risk program.

Julie: Third we have fit for purpose capabilities for financial services regulations, we have more than a decade of experience supporting firms with their Dodd, Frank solvency to stress testing living will and other regional regulatory reporting requirements.

Julie Isko: We have more than a decade of experience supporting firms with their Dodd-Frank, Solvency II, stress testing, living will, and other regulatory reporting requirements. And importantly, our partner ecosystem and staff expertise enable us to support complex regulatory requirements. We have a proven track record of delivering to top global banks, insurance companies, and investment firms. Let's move on to a top booking solution yet again for the quarter.

Julie: And importantly, our partner ecosystem and staff expertise enable us to support complex regulatory requirements. We have a proven track record of delivering to top global banks insurance companies and investment firms.

Julie: Let's move on to a top bookings solution, yet again for the quarter.

Julie Isko: BFG, We're beginning to see early signs that the upcoming deadlines for regulations, such as the European CSRD, are influencing purchasing cycles. Reporting for the CSRD begins in 2025. And while we still see many firms purchasing ESG outside of mandatory regulatory requirements, we did see more deals in Q4 referencing the CSRD and the reporting requirements approved this past year, the Enterprise Sustainability Reporting Standards (ESRS). Our ESG account expansion activity remains strong, and both our differentiated platform and our partner-first strategy are contributing to our win rate. I'd like to highlight three ESG wins from the quarter. First,

Julie: ESG.

Julie: We're beginning to see early signs that the upcoming deadlines for regulations, such as the European CSR D are influencing purchasing cycles.

Julie: Reporting for the CSR D begins in 2025.

Julie: And while we still see many firms purchasing ESG outside of mandatory regulatory requirements. We did see more deals in Q4, referencing the CSR D and the reporting requirements approved of this past year, the enterprise sustainability reporting standards E. S. R F.

Julie: Our ESG account expansion activity remains strong.

Julie: And both of our differentiated platform and our partner first strategy are contributing to our win rate.

Speaker Change: I'd like to highlight three ESG wins from the quarter.

Speaker Change: First a fortune 25 oil and gas company purchased our ESG solution to support their global ESG reporting initiatives, including the CSR D.

Julie Isko: A Fortune 25 oil and gas company purchased our ESG solution to support their global ESG reporting initiatives, including the CSRD. This healthy six-figure account expansion deal was sourced by a regional advisory firm that has been engaged with this company on a three-year finance transformation project that includes the Workiva platform. This deal was also influenced by a bid for a firm that's working with the company's Carbon Accounting Solution and will provide integration between Workiva and this Carbon Accounting Solution.

Speaker Change: This healthy six figure account expansion deal was sourced by our regional advisory firm, who has been engaged with this company on a three year finance transformation project that includes the work if a platform.

Speaker Change: This deal was also influenced by a big four firm that's working with the company's carbon accounting solution and we will provide integration between <unk> and this carbon solution.

Julie Isko: Second, a European-based shipping company expanded to their sixth solution on the Workiva platform with the addition of ESG. This company first purchased Workiva to support SEC reporting back in 2017. Over the years, they've added ECEF reporting and the GRC solutions to their platform usage. The specific features offered by Workiva to support the Enterprise Sustainability Reporting Standards and connectivity to the GRC solutions were a differentiator for this customer. This opportunity was a co-sell with a Big Four firm. And third, we signed a new logo deal for ESG with a top US-based private consumer products company.

Speaker Change: Second a European based shipping company expanded to their six solution on the work Iva platform with the addition of ESG.

Speaker Change: This company first purchase work EBIT support SEC reporting back in 2017.

Over the years, they've added Easter reporting and the JRC solutions to their platform usage.

Speaker Change: The specific features offered by work either to support the enterprise sustainability reporting standards and connectivity to the GSE solutions, where a differentiator for this customer.

Speaker Change: This opportunity was a co sell with a big four firm.

Speaker Change: And third we signed a new logo deal for ESG with the top U S based private consumer products company.

Julie Isko: This company has publicly committed to achieving net zero emissions by 2050, and it's investing more than $1 billion in the coming years to become more sustainable. With over half of its revenue coming from outside of the U.S., compliance with the European CSRD was one of the drivers for this deal. This was a co-sell deal with a Big Four advisory firm who will also be leading the implementation. I'd like to shift the discussion now towards the performance of our GRC solution set.

Speaker Change: This company has publicly committed to achieving net zero emissions by 2050, and it's investing more than $1 billion in the coming years to become more sustainable.

Speaker Change: With over half of its revenue coming from outside of the U S compliance with the European CSR D. With one of the drivers for this deal and this was a co sell deal with the Big four advisory firm, who will also be leading the implementation.

Speaker Change: I'd like to shift the discussion now towards the performance of our <unk> solution set.

Julie Isko: GRC provided a significant account expansion opportunity for us in 2023. In the face of an economic slowdown, geopolitical events, and a heightened awareness of sustainability, organizations are grappling with increased uncertainty. As a result, managing risk and controls has become more important than ever. I'd like to highlight three GRC deals that closed during the fourth quarter. First,

Speaker Change: <unk> provided a significant account expansion opportunity for us in 2023 and.

Speaker Change: In the face of economic slowdown geopolitical events and heightened awareness of sustainability organizations are grappling with increased uncertainty.

Speaker Change: As a result, managing risk and controls has become more important than ever.

Speaker Change: I'd like to highlight three <unk> deals that closed during the fourth quarter.

First.

Julie Isko: A Fortune 100 U.S.-based consumer staples company expanded their use of the Workiva platform with a six-figure investment in our controls and risk management solution. This customer had previously purchased Workiva's SEC, Global Statutory Reporting, and ESG solutions. This was a competitive deal against a GRC point solution provider where the Workiva platform approach was a significant differentiator. The connectivity of ESG and GRC data, along with a single vendor platform approach, were key in achieving the sign-off by IT on this important transformation project.

Speaker Change: A fortune 100 U S based consumer Staples company expanded their use of the work Iva platform with a six figure investment and our controls and risk management solutions.

Speaker Change: This customer had previously purchased working as SEC global statutory reporting and ESG solutions.

Speaker Change: This was a competitive deal against the <unk> point solution provider with a work Iva platform approach was a significant differentiator.

Speaker Change: The connectivity of ESG and GSE data along with a single vendor platform approach were key in achieving the sign ups.

Speaker Change: On this important transformation project.

Julie Isko: This opportunity was sourced and will be implemented by a Big Four advisory firm. And second, a European-based digital media company purchased our controls management solution. This new logo deal was a co-sell and will be implemented by a Big Four advisory firm. The CoSell motion on this GRC deal also positioned Workiva's ESG solution.

Speaker Change: This opportunity was sourced and will be implemented by a big four advisory firm.

Speaker Change: And second a European based digital media company purchased our controls management solution.

Speaker Change: This new logo deal with a co sell and will be implemented by a big four advisory firm.

Speaker Change: The cross sell motion on the CRC deal also positioned where Keith is ESG solution.

Julie Isko: We were selected as the top vendor in this competitive deal since we were the only solution to provide capabilities that addressed not only GRC-specific requirements but also supported their future CSRD reporting needs. And third, a top UK insurance company expanded their investment in Workiva with a four-solution deal including controls management, audit management, policy management, and enterprise risk management. This customer had previously invested in Workiva's financial reporting, global statutory reporting, and insurance-specific Solvency II solutions. This healthy six-figure product expansion into our GRC solution set was sourced and will be implemented by a Big Four advisory firm. Over the past two years, this firm has been working with the company on a finance transformation project that includes the Workiva platform. I'll move on now to an update on global regulation.

Speaker Change: We were selected as a top vendor in this competitive deal since we were the only solution to provide capabilities that address not only GSE specific requirements, but also supported their future CSR reporting needs.

And third a top UK insurance company expanded their investment and more kiva with the four solution deal, including controls management audit management policy management and enterprise risk management. This customer had previously invested and will keep us financial reporting global.

Speaker Change: Statutory reporting and insurance specific solvency II solutions.

Speaker Change: This healthy six figure product expansion into our GIC solutions that were sourced and will be implemented by a big four advisory firm.

Speaker Change: For the past few years. This firm has been working with the company on a finance transformation project that includes the work Iva platform.

Speaker Change: I'll move on now to an update on global regulations.

Julie Isko: 2023 was a busy year for regulators with a number of final rulings on ESG both in Europe and in the U.S., including the State of California Climate Disclosure Rule, which passed in October. During Q4, there was additional ESG regulatory activity in Europe, with further updates announced in 2024. On February 7th, the EU Council and the EU Parliament announced a two-year delay in developing standards for specific industry sectors and third country companies. The CSRD defines third-country companies as those non-EU organizations with over €150 million in annual revenue from the EU for the past two consecutive years. This standard setting delay, which does not impact reporting timelines, will provide regulators more time to develop specific disclosure rules for non-EU companies and certain industries. The end result of this action is that it will give affected companies less time to adjust once the final rules are published. To be very clear, this was not a change to the reporting timeline for non-EU companies. The qualifying non-EU company reporting dates remain unchanged.

Speaker Change: 2023 was a busy year for regulators with a number of final rulings on ESG, both in Europe and in the U S, including the state of California climate disclosure rule, which passed in October.

Speaker Change: During Q4, there was additional ESG regulatory activity in Europe with further updates announced in 2024.

Speaker Change: On February 7th the EU Council in the EU Parliament announced a two year delay in developing standards for specific industry sectors and third country companies.

Speaker Change: The CSR D defined third country companies as those non EU organization with over 150 million euros in annual revenue from the EU for the past two consecutive years.

Speaker Change: This standard setting delay, which does not impact reporting time lines will provide regulators more time to develop specific disclosure rules for non EU companies and certain industries.

Speaker Change: The end result of this action is that it will provide affected companies less time to repair once the final rules are published to be very clear. This was not a change the reporting timeline for non EU companies.

Speaker Change: Qualifying non EU company reporting dates remain unchanged.

Julie Isko: What this change is likely to do is cause greater uncertainty among those companies affected. We believe that this provides an opportunity for Workiva to offer additional guidance to clients on how to be ready when these specific ESRS guides are published. What remains unchanged is that companies will need to build the processes and reporting systems to disclose additional climate and sustainability information and deliver those disclosures on the dates as originally outlined in the CSRD. As we enter 2024, the ESG regulatory landscape is taking shape.

Speaker Change: What does change is likely to do is cause greater uncertainty with those companies affected.

Speaker Change: We believe that this provides an opportunity for will give us to offer additional guidance to clients and how do we be ready for when these specific esr's guides are published.

Speaker Change: What remains unchanged is that companies will need to build the processes and reporting systems to disclose additional climate and sustainability information and deliver those disclosures on the date as originally outlined in the CSR D.

Speaker Change: As we enter 2020 for the ESG regulatory landscape is taking shape.

Julie Isko: In Europe, the CSRD and related enterprise sustainability reporting standards are in place, and the timelines are set. Large enterprises will be required to begin reporting in 2025 on 2024 results. In the U.S., the California Climate Disclosure Rule has been passed, with reporting dates outlined in those regulations.

Speaker Change: In Europe, the CSR D and related enterprise sustainability reporting standards are in place and the timelines are set large enterprises will be required to begin reporting in 2025 and 2024 results in the U S. The California climate disclosure rule has been passed with.

Speaker Change: Reporting dates outlined in those regulations state Bill 253 requires subject companies to report scope, one and scope two emissions starting in 2026.

Julie Isko: State Bill 253 requires subject companies to report Scope 1 and Scope 2 emissions starting in 2026. Starting in 2027, those subject companies will have to report scope-free emissions. State Bill 261 requires covered entities to prepare, publish, and submit a climate-related financial risk report on or before January 1, 2026, and biannually thereafter.

Speaker Change: Starting in 2027, those subject companies will have to report scope three emissions.

Speaker Change: State built 261 requires covered entities to prepare published and submit our climate related financial risk report on or before January one of 2026 and by annually thereafter.

Julie Isko: Also, in the U.S., we're still awaiting the finalization of the proposed SEC Climate Disclosure Rule. In December, the SEC communicated that the proposed Climate Disclosure Rule has targeted completion on their April regulatory calendar. As we've communicated in the past, regardless of regulation, organizations are purchasing software to report their sustainability and financial information. Regulation or not, what remains constant is that when companies report, both numbers and narrative, it needs to be accurate. And we shine where data consistency, data integrity, and data accuracy are critical, and narrative is required. How we manage this data is all driven by our platform, which we continue to invest in. We remain focused on innovation and commercializing market-leading solutions. In Q4, we continue to deliver new capabilities that not only address our customers' current requirements but that also prepare them for what's on the horizon. One of Workiva's strengths is our speed to deliver net new innovation. One example is our ambitious generative AI roadmap. Workiva first launched in-app GenAI platform capabilities in July 2023 to deliver a GenAI experience to our customers that was secure and protected, that focused on customer workflows, and that was tailored to our solution.

Speaker Change: Also in the U S. We're still awaiting the finalization of the proposed SEC climate disclosure rule in.

Speaker Change: In December the SEC communicated that the proposed climate disclosure rule has targeted completion on their April regulatory calendar.

Speaker Change: As we've communicated in the past regardless of regulation organizations are purchasing software to report the sustainability and financial information.

Speaker Change: Regulation or not what remains constant is that when companies report both numbers and narrative it needs to be accurate and we shine where data consistency data integrity and data accuracy are critical and narrative is required.

Speaker Change: How do we manage this data is all driven by our platform that we continue to invest in.

Speaker Change: We remain focused on innovation and commercializing market leading solutions.

Speaker Change: In Q4, we continued to deliver new capabilities that not only address our customers' current requirements, but that also prepare them for what's on the horizon.

Speaker Change: Wonderful Ricky the strengths is our speed to deliver net new innovation.

Speaker Change: One example is our ambitious generative AI roadmap.

Speaker Change: We're kiva first launched in our journey II platform capabilities in July 2023 to deliver a journey I experience to our customers that was secured protected that focused on customer workflows and that was tailored to our solutions.

Julie Isko: At our November EMEA Amplify event, we announced the availability of new Gen AI capabilities specific to ESG. These new capabilities support ESRS disclosure statement generation, which will assist those customers that need to comply with the EU Corporate Sustainability Reporting Directive. These new capabilities employ semantic search along with retrieval-augmented generation techniques, which allow us to combine the power of large language models with domain-specific data to help solve our customers' challenges. ESRS Disclosure Statement Generation supports our ESG customers in adopting the new CSRD ESRS reporting standard by enabling them to identify relevant disclosures and then automatically generate draft disclosure statements based on their data.

Speaker Change: At our November EMEA amplify event, we announced the availability of new Gen AI capabilities specific to ESG.

Speaker Change: These new capabilities support Srs disclosure statement generation that will assist those customers that need to comply with the EU corporate sustainability reporting directive.

Speaker Change: These new capabilities employee semantic search along with retrieval augmented generation techniques, which allow us to combine the power of large language models with domain specific data to help solve our customers' challenges.

Speaker Change: ESR as disclosure statement generation supports our ESG customers in adopting the new CSR D E. Srs reporting standard by enabling them to identify relevant disclosures and then automatically generating draft disclosure statements based on their data.

Julie Isko: In Q4, we also launched new design reporting capabilities. The ability to create formatted and highly stylized disclosures is an important part of our customers' workflow. Whether they utilize an outside design agency or they do the work in-house, the Workiva platform offers unique capabilities for layout and design, which sets us apart. In Q4, we added more features for designers to create integrated reports with highly stylized designs. These features include locking object properties, SEC EDGAR support for reports, and advanced blackline and track changes capabilities.

Speaker Change: In Q4, we also launched new design reporting capabilities.

Speaker Change: The ability to create formatted and highly stylized disclosures is an important part of our customers' workflow.

Speaker Change: Whether they utilizing outside design agency or they do the work in house. The work Iva platform offers unique capabilities for layout and design, which sets us apart.

Speaker Change: In Q4, we added more features for designers to create integrated reports with highly stylized designs.

Speaker Change: These features included locking object properties SEC Edgar support for reports and advanced Black line track changes capabilities.

Julie Isko: As a result of the new design reporting capabilities launched in Q3 and Q4, hundreds of customers and partners across Europe and North America are now adopting Workiva's platform to build designed reports. Finally, in Q4, Workiva shared its global commitment to enable customers to work in their preferred language. Although Workiva has supported multi-language capabilities for years, the newly released platform features will reduce the time it takes to add new languages and will provide translation for both menu labels and content.

Speaker Change: As a result of the new design reporting capabilities launched in Q3, and Q4 hundred this customers and partners across Europe, and North America are now adopting or gave US a platform to build designed reports.

Speaker Change: Finally in Q4, where Keith assured its global commitment to enable customers to work in their preferred language.

Speaker Change: Although we're kiva has supported multi language capabilities for years. The newly released platform features will reduce the time it takes to add new languages and will provide translation for both menu labels and content.

Julie Isko: The platform now supports several new languages, including Castilian and Latin American Spanish, French, German, Japanese, and traditional Chinese. Hundreds of customers are already using our platform in these languages for a better user experience. We continue to deliver technological innovation on our platform and differentiated capabilities with our solutions, both of which are being embraced by our customers. Moving on to the setup for 2024, Jill will provide you with detailed information for our Q1 and full year 2024 guidance. Setting the backdrop for the guidance, I'll provide a few comments on what we're seeing in the market and our 2024 focus areas. As we step into 2024, we still observe cautious fires and continuous uncertainty in the economic and geopolitical environment in both the U.S. and Europe.

Speaker Change: Platform now supports several new languages, including custodian and Latin America, Spanish French German Japanese and traditional Chinese.

Speaker Change: Hundreds of customers are already using our platform in these languages for a better user experience.

Speaker Change: We continue to deliver technology innovation on our platform and differentiating capabilities with our solutions both are being embraced by our customers.

Speaker Change: Moving on to the setup for 2020 for Jill will provide you with detailed information for Q1 and full year 2020 for guidance.

Jill Quint: Setting the backdrop for the guide I'll provide a few comments on what we're seeing in the market and our 2024 focus areas.

Jill Quint: As we step into 2024, we still observe cautious buyers and continuous uncertainty in the economic and geopolitical environment in both the U S and Europe.

Julie Isko: While we're optimistic about improved market conditions, uncertainty persists, and this uncertainty is reflected in our full-year guidance. From a strategy perspective, in 2024, we're first and foremost focused on subscription revenue growth. Across the company, we continue to focus on driving growth and going after our large and untapped TAM. We plan to balance this growth focus with a continued emphasis on productivity.

Jill Quint: While we're optimistic for improved market conditions uncertainty persists and this uncertainty is reflected in our full year guidance.

Jill Quint: From a strategy perspective in 2024, we're first and foremost focused on subscription revenue growth.

Across the company, we continue to focus on driving growth and going after are large and untapped Tam.

Jill Quint: We plan to balance this growth focus with a continued emphasis on productivity.

Julie Isko: We're building strong teams, improving the way we work, and incentivizing the right behaviors to achieve our growth. We also remain enthusiastic about the opportunity that we see with account expansion and the increased leverage delivered from our expanding partner ecosystem. Furthermore, we're pleased with the progress made by our sales and our customer success teams, who are working closely with our clients to address their most challenging reporting and compliance needs. Leading organizations are investing in our strategic platform that brings together financial reporting, GRC, and ESG. Workiva's position as the assured integrated reporting platform to power transparent reporting continues to gain momentum.

Jill Quint: We're building strong teams improving the way, we work and Incentivising the right behaviors to achieve our growth.

Jill Quint: We also remain enthusiastic about the opportunity that we see with account expansion and the increased leverage delivered from our expanding partner ecosystem.

Jill Quint: Furthermore, we are pleased with the progress made by our sales and our customer success teams, who are working closely with our clients to address their most challenging reporting and compliance needs.

Jill Quint: Leading organizations are investing in our strategic platform that brings together financial reporting JRC and ESG.

Jill Quint: We're keeps us position as the assured integrated reporting platform kept power transparent reporting continues to gain momentum.

Julie Isko: Our value proposition has never been stronger or more relevant. In closing, I'd like to thank the entire Workiva team for their commitment and their achievements in Q4 and throughout 2023. We have an incredible opportunity in front of us, and I remain confident in our ability to capitalize on it thanks to the more than 2,500 Workivians dedicated to our mission. And with that, I'll now turn the call over to Jill. Thank you, Julie.

Jill Quint: Our value proposition has never been stronger or more relevant.

Jill Quint: In closing I'd like to thank the entire work iva team for their commitment and their achievements in Q4 and throughout 2023.

Jill Quint: We have an incredible opportunity in front of us and I remain confident in our ability to capitalize on it thanks to the more than 2500 work unions dedicated to our mission.

Jill Quint: And with that I'll now turn the call over to Jill.

Jill Quint: Thank you Julie.

Jill Clinton: For our call today, I will be discussing the financials and key metric highlights for the fourth quarter and full year 2023. Following that, I will provide commentary and guidance for Q1 and full year 2024 before opening the line for questions. I'm pleased to report that we have exceeded our Q4 revenue guidance by $2 million.

Jill Quint: For our call today.

Jill Quint: We'll be discussing the financials and key metric highlights for the fourth quarter and full year 2023.

Jill Quint: Following that I will provide commentary on guidance for Q1 and full year 2024 before opening the line for questions.

Jill Quint: I am pleased to report that we have exceeded our Q4 revenue guidance by $2 million.

Jill Clinton: This beat was driven by strong subscription revenue growth, as well as higher than expected services revenue. We also beat our guidance on Q4 operating results, generating $12.7 million of operating profit.

Jill Quint: This beat was driven by strong subscription revenue growth as well as higher than expected services revenue.

Jill Quint: We also beat our guidance on Q4 operating results.

Jill Quint: Generating $12 7 million of operating profit.

Jill Clinton: 430 basis point improvement versus Q4 2022. Stronger revenue, improved efficiency and productivity, and lower travel expenses drove the beat, reflecting our focus on growth and improved operating leverage. We generated total revenue in the fourth quarter of $166.7 million.

Jill Quint: 430 basis point improvement versus Q4 2022.

Jill Quint: Stronger revenue improved efficiency and productivity and lower travel expenses drove the beat reflecting our focus on growth and improved operating leverage.

Jill Quint: We generated total revenue in the fourth quarter of $166 $7 million deliver.

Jill Clinton: Delivering growth of 16% from Q4 2022. Subscription revenue was $148.8 million in Q4 2023, up 18% from Q4 2022. Once again this quarter, a combination of new customers and account expansions contributed to our strong revenue growth. New customers added in the last 12 months accounted for 47% of the increase in subscription revenue. Professional services revenue was $17.9 million in Q4 2023, down 37 basis points compared to the same quarter last year. A decline in setup and consulting revenue was mostly offset by growth in XBRL services.

Jill Quint: Delivering growth of 16% from Q4 of 2022.

Jill Quint: Subscription revenue was $148 $8 million in Q4 2023.

Jill Quint: Up 18% from Q4 2022.

Jill Quint: Once again this quarter, a combination of new customers and account expansion contributed to our strong revenue growth.

Jill Quint: New customers added in the last 12 months accounted for 47% of the increase in subscription revenue.

Jill Quint: Professional services revenue was $17 $9 million in Q4, 2023 down 37 basis points compared to the same quarter last year.

Jill Quint: A decline in set up and consulting revenue was mostly offset by growth in <unk> services.

Jill Clinton: As I have previously mentioned, we are currently working on shifting our lower margin setup and consulting services to our partners. We are actively implementing this plan, and we anticipate that the revenue from setup and consulting services will continue to decrease throughout 2024. Moving to our performance metrics, we added 89 net new customers in Q4 for a total customer count of 6,034. A growth of 370 customers from Q4 2022. Our gross revenue retention rate of 98% was well ahead of our 96% internal target metric. And, our net revenue retention rate increased to 110% for the fourth quarter of 2023 compared to 109% for Q4 2022. Additionally, for Q4 2023, 64% of our subscription revenue was generated from customers with multiple solutions. This compares to 62% reported in Q4 2022. This account expansion trend is also reflected in our large contract customers. In the fourth quarter of 2023, we had 1,631 contracts valued at over $100,000 per year.

Jill Quint: As I have previously mentioned we are currently working on shifting our lower margin setup and consulting services to our partners.

Jill Quint: We're actively implementing this plan and anticipate that the revenue from setup and consulting services will continue to decrease throughout 2024.

Jill Quint: Moving to our performance metrics.

Jill Quint: Added 89, net new customers in Q4 for a total customer count of 6034.

Jill Quint: Growth of 370 customers from Q4 2022.

Jill Quint: Our gross revenue retention rate of 98% was well ahead of our 96% internal target metric.

Jill Quint: And our net revenue retention rate increased to 110% for the fourth quarter of 2023 compared to 109% for Q4 of 2022.

Jill Quint: For Q4 2023, 64% of our subscription revenue was generated from customers with multiple solutions.

Jill Quint: This compared to 62% reported in Q4 2022.

Jill Quint: This account expansion train is also reflected in our large contract customers.

Jill Quint: In the fourth quarter of 2023, we had 1631 contracts valued at over $100000 per year.

Jill Clinton: Up 21% from Q4 the prior year. The number of contracts valued at over $150,000 totaled 915 customers in the 4th quarter, up 27% from Q4 2022. And the number of contracts valued over $300,000 totaled 311, up 32% from Q4 2022.

Jill Quint: Up 21% from Q4, the prior year.

Jill Quint: The number of contracts valued at over $150000 totaled 915 customers in the fourth quarter.

Jill Quint: Up 27% from Q4 2022.

Jill Quint: And the number of contracts valued over $300000 totaled 311 up 32% from Q4 2022.

Jill Clinton: Moving on to our operating metrics, gross profit totaled $130.7 million in Q4, up 18% from the prior year. Gross margin improved year-over-year by 130 basis points, increasing to 78% in Q4 2023. This was driven by improved leverage on both compensation and cloud computing costs versus the same quarter a year ago. Operating expenses increased 11% from Q4 2022, driving 300 basis points of our margin improvement versus the prior year.

Speaker Change: Moving on to our operating metrics.

Speaker Change: Gross profit totaled $137 million in Q4 up 18% from the prior year.

Speaker Change: Gross margin improved year over year by 130 basis points, increasing to 78% in Q4 2023.

Speaker Change: This was driven by improved leverage on both compensation and cloud computing costs versus the same quarter a year ago.

Speaker Change: Operating expenses increased 11% from Q4, 2022, driving 300 basis points of our margin improvement versus the prior year.

Jill Clinton: Improved productivity resulting from process automation and efficiency efforts drove margin improvement along with a favorable variance in R&D cloud computing costs compared to Q4 2022. We posted an operating profit of $12.7 million in Q4 2023, a continued improvement compared to the Q4 2022 operating profit of $4.8 million. We were pleased with the leverage we delivered in Q4 and in the second half of 2023. The operating profit beat in Q4 was driven by revenue outperformance, disciplined investments, and managing controllable expenses, including travel. At December 31, 2023, cash, cash equivalents, and marketable securities increased $31 million sequentially to a balance of $814 million. Operating activities in Q4 2023 resulted in cash provided of $24 million compared with a heap of cash of $1 million in the same quarter a year ago.

Speaker Change: Improved productivity, resulting from process automation and efficiency efforts drove margin improvement.

Speaker Change: Along with a favorable variance in R&D cloud computing costs compared to Q4 of 2022.

Speaker Change: We posted an operating profit of $12 $7 million in Q4 2023 continued.

Speaker Change: You'd improvement compared to the Q4 2022 operating profit of $4 8 million.

We were pleased with the leverage we delivered in Q4 and in the second half of 2023.

Speaker Change: The operating profit in Q4 was driven by revenue outperformance disciplined investments and managing controllable expenses, including travel.

Speaker Change: At December 31, 2023, cash cash equivalents and marketable securities increased $31 million sequentially to a balance of $814 million.

Speaker Change: Operating activities in Q4 of 2023 resulted in cash provided of $24 million.

Compared with the use of cash of $1 million in the same quarter a year ago.

Jill Clinton: Moving to our milestones and key takeaways for 2023. Although 2023 brought with it a tough macro environment, we finished the year strong. For the full year 2023, we generated $630 million in total revenue, beating the high end of the full year revenue guidance we provided in both Q3 and back in February of 2023. Our year-over-year subscription revenue grew by 20 percent.

Speaker Change: Moving to our milestones and key takeaways for 2023.

Speaker Change: Although 2023 brought with it a tough macro environment, we finished the year strong.

Speaker Change: For the full year 2023, we generated $630 million in total revenue, beating the high end of our full year revenue guidance. We provided in both Q3 and back in February of 2023.

Our year over year subscription revenue grew by 20%.

Speaker Change: We also improved operating leverage with operating expenses growing by only 11% the lowest growth rate since 2020.

Speaker Change: We finished the year with 15% of our revenue coming from outside the Americas and improvement of 317 basis points compared to year end 2022.

Jill Clinton: We also improved operating leverage with operating expenses growing by only 11 percent, the lowest growth rate since 2020. We finished the year with 15% of our revenue coming from outside the Americas, an improvement of 317 basis points compared to year-end 2022. Subscription revenue grew at 50% outside of the Americas. For 2023, we generated $71 million in operating cash flow, the strongest in Workiva's history.

Speaker Change: Subscription revenue grew at 50% outside of the Americas.

Speaker Change: For 2023, we generated $71 million in operating cash flow the strongest in <unk> history.

Turning now to our guidance for Q1 and the full year 2024.

Speaker Change: While we remain encouraged by our opportunities to drive growth over the longer term.

Speaker Change: It still remains an uncertain macro in a measured customer buying environment.

Speaker Change: As such we continue to remain prudent with our guidance assumptions.

For the first quarter of 2024.

Jill Clinton: Turning now to our guidance for Q1 in the full year 2024. While we remain encouraged by our opportunities to drive growth over the longer term, it still remains an uncertain macro in a measured customer buying environment. As such, we continue to remain prudent with our guidance assumptions, especially for the first quarter of 2024. We expect total revenue to range from $173 million to $175 million. We expect services revenue to be flat compared to Q1 2023.

Speaker Change: We expect total revenue to range from 173 million to $175 million.

Speaker Change: We expect services revenue to be flat compared to Q1 2023.

This is a result of the shift I discussed moving our low margin startup and consulting services to our partners.

Speaker Change: We expect non-GAAP operating income to range from 4 million to $6 million.

Speaker Change: And net income of 15 to 19 on a per share basis.

Speaker Change: Our share count will be approximately 55 million weighted average shares.

Speaker Change: As a reminder, for Cuba has historically shown some seasonality in our numbers in Q1.

Jill Clinton: This is a result of the shift I discussed, moving our low-margin setup and consulting services to our partners. We expect non-GAAP operating income to range from $4 million to $6 million, a net income of $0.15 to $0.19 on a per share basis. Our share count will be approximately 55 million weighted average shares.

Speaker Change: On the new business side Q1 is historically one of our lowest quarters for new bookings as many of our customers are heads down working on yearend reporting.

Speaker Change: Q1 deferred revenue has historically been flat or declining compared to Q4 balances driven by the same seasonality of our bookings.

Speaker Change: Okay.

Speaker Change: Also we have discussed in the past Q1 has several front loaded expense items, including the timing of employee raises and therefore, one K match.

Jill Clinton: As a reminder, Workiva has historically shown some seasonality in our numbers in Q1. On the new business side, Q1 is historically one of our lowest quarters for new bookings, as many of our customers are heads down, working on year-end reporting. Q1 deferred revenue has historically been flat or declining compared to Q4 balances, driven by the same seasonality of our bookings.

Speaker Change: For the full year 2024.

Speaker Change: We expect total revenue to be between $718 million and $722 million.

Speaker Change: We expect total services revenue trading flat.

Speaker Change: We expect <unk> services revenue to continue to grow at a low single digit rate.

Speaker Change: For set up and consulting revenue, we expect a similar rate of decline from what we saw in 2023.

Jill Clinton: Also, as we have discussed in the past, Q1 has several front-loaded expense items, including the timing of employee raises and our 401k match for the full year 2024. We expect total revenue to be between $718 million and $722 million. We expect total services revenue to remain flat.

Speaker Change: We expect our subscription revenue growth to be 16% at the midpoint.

Speaker Change: We are setting our guidance for non-GAAP operating income to range from 17 million to $21 million or a net profit of 56 to 63 on a per share basis.

Speaker Change: Our share count will be approximately 55 million weighted average shares.

Speaker Change: We believe we will post positive free cash flow margin of 10% for the full year 2024.

Jill Clinton: We expect XBRL services revenue to continue to grow at a low single-digit rate. For setup and consulting revenue, we expect a similar rate of decline from what we saw in 2023. We expect our subscription revenue growth to be 16% at the midpoint. We are setting our guidance for non-GAAP operating income to range from $17 million to $21 million, or a net profit of $0.56 to $0.63 on a per share basis. Our share count will be approximately 55 million weighted average shares.

Speaker Change: Before we proceed to the Q&A session I'd like to emphasize three important points.

Speaker Change: First.

Speaker Change: We are optimistic about the opportunities that lie ahead of us.

Speaker Change: We have a large and untapped Tam and our platform provides immense value to our customers.

Speaker Change: Second.

Speaker Change: We exceeded our Q4 guidance on revenue and operating margin and look to carry that momentum into 2024.

Speaker Change: And finally.

Speaker Change: We see opportunity to drive durable profitable growth over the longer term.

Speaker Change: In conclusion, I want to Echo Julie's message of gratitude to our incredible where kiva team.

Speaker Change: <unk> to work alongside you and together, we can achieve great things.

Jill Clinton: We believe we will post a positive free cash flow margin of 10% for the full year 2024. Before we proceed to the Q&A session, I'd like to emphasize three important points. First,

I'd also like to thank you our shareholders for your continued support of our Kiva.

Speaker Change: And we look forward to speaking with you at our upcoming events.

Speaker Change: With that said, we're now ready to take your questions. Operator, please begin the Q&A session.

Jill Clinton: We are optimistic about the opportunities that lie ahead of us. We have a large and untapped market, and our platform provides immense value to our customers. Second, we exceeded our Q4 guidance on revenue and operating margin and look to carry that momentum into 2024. And finally, we see opportunity to drive durable, profitable growth over the longer term. In conclusion, I want to echo Julie's message of gratitude to our incredible Workiva team. It's an honor to work alongside you, and together, we can achieve great things.

Speaker Change: The floor is now open for your questions to ask a question at this time simply press the star followed by the number one on your telephone keypad.

Speaker Change: I ask that you. Please limit yourself to one question, we'll now take a moment to compile a roster.

Speaker Change: Our first question comes from line of Rob Oliver with Baird. Please go ahead.

Rob Oliver: Great. Thank you.

Rob Oliver: I will limit myself to one although that will be difficult.

Rob Oliver: I guess my question will be on the.

Rob Oliver: 2020 for guidance and I'd love to get a little bit of a better sense.

Rob Oliver: From you Julia are you Joe about.

Rob Oliver: Some of the factors.

Rob Oliver: You've considered in setting that guidance.

Operator: I'd also like to thank you, our shareholders, for your continued support of Workiva, and we look forward to speaking with you at our upcoming events. With that said, we're now ready to take your questions. Operator, please begin the Q&A session. The floor is now open to your questions. To ask a question at this time, simply press the star followed by the number one on your telephone keypad.

Rob Oliver: Specifically macro which I know you touched on in your prepared remarks, as well as continued ESG momentum.

Rob Oliver: And things like capital markets.

Rob Oliver: And I think overall and I think Joe you May have mentioned it at the very end of your remarks about the subscription guidance, but just how to think about that breakout between subscription growth and services, which I know is.

Operator: We ask that you please limit yourself to one question. We'll now take a moment to compile our raw, and our first question comes from the line of Rob Oliver with Baird. Please go ahead. Great, thank you. I will limit myself to one, although that will be difficult.

Rob Oliver: And decline purposely thank you.

Joe: Sure Hi, Rob and not an unexpected question I think you actually answered much of it.

Joe: Multiple reasons for the guide and the first one is yes, even with our very strong Q4, and our value proposition resonating with our customers. We are still seeing that uncertainty in the market and we we.

Rob Oliver: I guess my question will be on the 2024 guidance, and I'd love to get a little bit of a better sense from you, Julie, or you, Jill, about some of the factors that you've considered in setting that guidance, specifically macro, which I know you touched on in your prepared remarks, as well as continued ESG momentum and things like capital markets. And I think, above all, and I think, Jill, you may have mentioned it at the very end of your remarks about the subscription guidance, but just how to think about that breakout between subscription growth and services, which I know is in decline purposefully. Thank you. Sure. Hi Rob.

Joe: We call. It this a measured customer buying environment and as I did highlight in my comments still some softness in the IPO market. There. So our response of course is to provide prudent guidance there.

Joe: The second reason and you touched on it too we've we've already communicated our intentional slowdown in our non X BRL low margin services revenue as we move that that set up and consulting work to our partners and of course. This is by design and it's part of our growth strategy.

Joe: We've talked about that quite a bit so that plays in and then finally we're.

Joe: Expecting lighter subscription revenue growth, which is driven by the softer bookings that we saw in 2023, and we were consistently communicating in 2023 as well that we faced the tough macro so.

Jill Clinton: And not an unexpected question. I think you actually answered much of it. Multiple reasons for the guide. And the first one is, yes, even with our very strong Q4 and our value proposition responding with our customers, we are still seeing that uncertainty in the market. And we call it this measured customer buying environment. And, as I did highlight in my comments, there is still some softness in the IPO market there. So our response, of course, is to provide prudent guidance there. The second reason, and you touched on it too, we've already communicated our intentional slowdown in our non-XDRL low-margin services revenue as we move that setup and consulting work to our partners. And of course, this is by design, and it's part of our growth strategy. So we've talked about that quite a bit, so that plays in.

Joe: Having said all of that of course, we are very pleased with our subscription revenue growth in Q4.

Joe: As I mentioned in the comments our value proposition is resonating with customers and our prospects.

Joe: We absolutely remain optimistic about the long term durable growth market and and going after the large untapped Tam and we have a differentiated.

Joe: Platform as well as differentiated solutions and it's a true platform that brings our customers significant value.

Great. Thank you I appreciate it.

Sure.

Joe: Our next question comes from the line of Matt Pfau with William Blair. Please go ahead.

Jill Clinton: And then finally, we're expecting lighter subscription revenue growth, which is driven by the softer bookings that we saw in 2023, and we were consistently communicating in 2023 as well that we face tough macro. So having said all of that, of course, we are very pleased with our subscription revenue growth in Q4. As I mentioned in the comments, our value proposition is resonating with customers and our prospects. We absolutely remain optimistic about the long-term, durable growth market and going after that large untapped TAM. We have a differentiated platform as well as differentiated solutions, and it's a true platform that brings customers significant value. Great. Thank you. I appreciate it. Our next question comes from the line of Matt Pfau with William Blair. Please go ahead.

Matt VanVliet: Great. Thanks for taking my question wanted to follow up with one more in on the guidance and specifically on the margins. So you did a really nice job outperforming in Q4, I think that operating margin was about 8% and then if I look at the guide you are at about 3% for Q1 and full year of.

Speaker Change: 24, so what's driving that decline going into next year. What areas are you investing in that's causing that to be down from <unk>.

Speaker Change: We're pleased with the improvement we've shown in the margins. The non-GAAP operating profit I think you might recall Joe mentioned there is some seasonality. So those expenses so it'd be some fluctuation, but overall, we remain focused on both the growth and productivity. So as we entered the year, we do want to provide ourselves.

Matt VanVliet: Great, thanks for taking my question. Wanted to follow up with one more on the guidance and specifically on the margins. So you did a really nice job outperforming in Q4. I think that operating margin was about 8%. And then if I look at the guidance, you're at about 3% for Q1 and full year of 24.

Speaker Change: Some flexibility with where we wanted to invest and where we can accelerate growth and go after our Tam. So we do think about some incremental investments across the key growth areas. We have well, we're still delivering the margin expansion as we scale and optimize the business. So it really is that and we do believe.

Jill Clinton: So what's driving that decline going into next year? What areas are you investing in that's causing that to be down from 14? We're pleased with the improvement we've shown in the margins, the non-gap operating profit. I think you might recall Jill mentioned there's some seasonality to those expenses, so there'll be some fluctuation. But overall, we remain focused on both growth and productivity. So as we enter the year, we do want to provide ourselves with some flexibility with where we want to invest and where we can accelerate growth and go after our TAM. So we do think about some incremental investments across the key growth areas we have while we're still delivering margin expansion as we scale and optimize the business.

Speaker Change: Over time, we'll continue to to increase the non-GAAP operating margin, but just being thoughtful about hiring in efficiency and productivity, but we do intend to invest where we see growth opportunity and again accelerating our movement towards going after the Tam.

Speaker Change: Oh, and as Julie mentioned lightly round some seasonality related to Q1. So we do have seasonality related to some expenses in Q1 with all of our employee.

Speaker Change: Annual raises take.

Speaker Change: Take effect on the first of January and so we do see some uptick in expenses, especially around compensation starting in Q1 as compared to Q4. So you will see that in the guide for the for the quarter as well.

Speaker Change: Great. Thank you.

Okay.

Our next question comes from the line of Dan Jester with BMO capital markets. Please go ahead.

Jill Clinton: So it really is that, and we do believe over time we'll continue to increase the non-gap operating margin by just being thoughtful about hiring, efficiency, and productivity. But we do intend to invest where we see growth opportunities and, again, accelerate our movement toward going after the TAM. Oh, and as Julie mentioned lightly around some seasonality related to Q1, we do have seasonality related to some expenses in Q1, with all of our employee annual raises taking effect on the 1st of January.

Dan Jester: Great. Thanks for taking my question.

Dan Jester: Maybe we can spend a moment talking about sort of the international opportunity in Europe.

Dan Jester: Specifically I think in your prepared remarks, you said something like.

Dan Jester: Roughly 50% roughly growth in subscription revenue International I hope I caught the number right, but sounds like you are making substantial progress in selling in Europe, and so maybe just expand about the momentum there and maybe compare and contrast, how you see at the moment in the U S. If there's any differential there. Thank you.

Jill Clinton: And so we do see some uptick in expenses, especially around compensation, starting in Q1 as compared to Q4. So you will see that in the guide for the quarter as well. Thank you. Our next question comes from the line of Dan Jester with BMO Capital Markets. Please go ahead.

Speaker Change: Sure I'll jump in on that one first Joe we executed well in Q4 in Europe I mean, it was our top bookings quarter. It was a record bookings quarter.

Speaker Change: For the full year 2023, we did improve to deliver 15% of our revenue from outside of the Americas I think it's up from $11. Five in 2022. So we grew our revenue outside of the Americas by 50% for the full year.

Dan Jester: Great, thanks for taking my question. Maybe we can spend a moment talking about the international opportunity in Europe specifically. I think in your prepared remarks, you said something like 50% roughly growth in subscription revenue international. I hope I caught that number right.

Joe: And very pleased with the momentum got some signature wins, there multi solutions six figure deals.

Joe: <unk> are strong in contributing to our our bookings a value prop of assured integrated reporting is resonating there and.

Julie Isko: But sounds like you're making substantial progress in selling in Europe. And so maybe we could just expand on the momentum there and maybe compare and contrast to how you see the momentum in the U.S. if there's any differential there. Thank you. Sure. I'll jump in on that one first, Jill.

Joe: We are very optimistic about it we've had some focused work streams. There we've been very intentional about it as I've mentioned our leadership.

Joe: Strengthened and the team is selling more platforms and multi solution deals I will say despite the progress we are still very open about the need for improvement there we made some fundamental.

Julie Isko: We executed well in Q4 in Europe. I mean, it was our top bookings quarter. It was a record bookings quarter for the full year 2023. We did improve to deliver 15% of our revenue from outside of the Americas. I think it's up from 11.5 in 2022. So we grew our revenue outside of the Americas by 50% for the full year, and I'm very pleased with the momentum. Got some signature wins there, multi-solutions, six-figure deals.

Joe: Round based changes there, but a lot of opportunity for us and we're going to continue to go after the unaddressed Tam globally, so lots of progress there.

Speaker Change: Great. Thank you.

Speaker Change: Our next question comes from the line of Terry Tillman with tourists Securities. Please go ahead.

Speaker Change: Hi, This is Dominic one follow on for Terry just wanted to go back to the international opportunity.

Dominic: <unk> you all have entered APAC. Most recently could you give us an update on how the part of our strategy is progressing in that region and how we should think about that growth relative to North America and Europe.

Julie Isko: Partners are strong and contributing to our bookings. The value prop of assured integrated porting is resonating there, and we're very optimistic about it. We've had some focused work streams there. We've been very intentional about it.

Dominic: Sure.

Speaker Change: That's a newer region for us.

Speaker Change: We also had record bookings quarter, there as well our strategy there because we are so much less less known there is through our partner network. Another reason why our strengthening of our high performing partner ecosystem is so important and we are focused on that globally. So our go to market their lives.

Julie Isko: As I've mentioned, leadership has been strengthened, and the team is selling more platforms and multi-solution deals. But I will say, despite the progress, we are still very open about the need for improvement there. We made some fundamental ground-based changes there, but there is a lot of opportunity for us, and we are going to continue to go after the unaddressed TAM globally. So a lot of progress there. Great, thank you. Our next question comes from the line of Terry Tillman with Truist Security. Please go ahead. Hi, this is Dominique Monticello on for Terry. I just wanted to go back to the international opportunity.

Speaker Change: Heavily on the the partners and are continuing on with strengthening those relationships, but again, new nascent area for us over the past.

Speaker Change: Few years, but growing strong and continue to do so.

Speaker Change: Great. Thank you.

Speaker Change: Our next question comes from the line of Ryan Krieger with Wolfe Research. Please go ahead.

Ryan Krieger: Hey, guys. Thanks for taking the question. So I just had a quick one on kind of the macro and the retention rate. So there's a little bit surprising to see MLR ticked down two points and talk to you after trending up for four quarters in a row.

Terry Tillman: Considering you all have entered APAC most recently, could you give us an update on how the partner-first strategy is progressing in that region and how we should think about that growth relative to North America and Europe? Sure, that's a newer region for us. We also had record bookings quarter there as well. Our strategy there, because we are so much less known there, is through our partner network. Another reason why our strengthening of our high-performing partner ecosystem is so important, and we are focused on that globally. So our go-to-market there relies very heavily on partners, and we will continue to strengthen those relationships. But again, a new nascent area for us over the past few years but growing strong and will continue to do so. Great, thank you. Our next question comes from the line of Ryan Krieger with Wolf Research. Please go ahead.

Ryan Krieger: No.

Ryan Krieger: Did you guys actually see the macro environment getting more difficult and for Q versus kind of three Q.

Ryan Krieger: And then how should we kind of think about retention trending from here and how is the macro trend that through January and February.

Ryan Krieger: Okay.

Speaker Change: Yes, thanks for asking the question.

Speaker Change: We're really actually pleased that year over year, the NR continues to increase.

There, we did not see the macro change.

Speaker Change: From Q3 to Q4, we think it's staying pretty consistent.

Speaker Change: With the similar challenges quarter over quarter.

Speaker Change: And related to in our or it can move around quarter to quarter.

Speaker Change: It's something that we of course want to continue to drive forward, we're still focused.

Ryan Krieger: Hey guys, thanks for taking the question. So I just had a quick one on kind of the macro and the retention rate. So it was a little bit surprising to see NRR tick down two points in 4Q after trending up for four quarters in a row.

Speaker Change: Well, we've always as a company been focused on selling into our base and its you see progress in that with some of the metrics around our customers with who spend greater than 100, K greater than a 150 <unk> greater than 300 K with us.

Jill Clinton: So, Did you guys actually see the macro environment get more difficult in 4Q versus kind of 3Q? And then how should we kind of think about retention trending from here? And how is the macro trending through January and February?

Speaker Change: And so I think that where.

Speaker Change: We're glad that it's continuing to increase year over year and do expect it to move around a little bit but continued to make progress.

Speaker Change:

So yeah. Thanks for the question.

Jill Clinton: Thanks for asking the question. We were really actually pleased that, year over year, the NRR continued to increase. We did not see the macro change from Q3 to Q4.

Speaker Change: Our next question comes from the line of Steve Enders with Citi. Please go ahead.

Speaker Change: Hi, This is George Chris <unk> on for Steve. Thanks for taking my question just one from me.

George Chris: On the <unk>.

Jill Clinton: We think it's staying pretty consistent with the similar challenges quarter over quarter. And as for NRR, it can move around quarter to quarter. It's something that we, of course, want to continue to drive forward. We're still focused. Well, we've always, as a company, been focused on selling into our base. And we see progress in that with some of the metrics around our customers who spend greater than $100K, greater than $150K, greater than $300K with us. And so I think that we're glad that it's continuing to increase year over year and do expect it to move around a little bit but continue to make progress. So, yeah, thanks for the question. Our next question comes from the line of Steve Enders with Citi; please go ahead. Hi, this is George Curacao on behalf of Steve. Thanks for taking the question. Just one for me.

George Chris: You talked about some of these ESG regulations coming down the pipeline CSR D, California, and Sec's upcoming decision.

George Chris: I'm just I would just love to hear a little more about what youre seeing from an urgency of buying from customers at this point with these things now clearly.

George Chris: On the doorstep and if you expect 24 to be really a step function year or more gradual pace of adoption.

Speaker Change: Sure I think we continue our perspective.

Speaker Change: Not a step function hockey stick, but long durable growth, but think it's a it's a great question a timely question, we get them get it a lot, particularly given the visibility of ESG in the media and we do keep a close eye on legislation have been monitoring the speed of adoption in the regulation.

Speaker Change: Themself the regulation themselves so.

Speaker Change: You know for us and what we're seeing I can tell you. This that ESG remained one of our top solutions and bookings performance for Q4 and its been in the top three booking solutions for several quarters now we continue to add fortune 500 clients to already elite roster of ESG account expansions and.

Steve Enders: On the, you know, you talked about some of these ESG regulations coming down the pipeline, CSRD, California, and SEC's upcoming decisions. I'm just, I would just love to hear a little more about what you're seeing from an urgency of buying from customers at this point with these things now, you know, clearly on the doorstep. And if you expect 2024 to be, you know, really a step function year or a more gradual pace of adoption, sure, I think we should continue our perspective: not a step function hockey stick but long, durable growth. But thank you.

Speaker Change: <unk> talked earlier about the partner strategy here. The partner first strategy is really driving results for us I would say vast majority of our ESG opportunities, particularly in the up market continued to be either sourced or co sold with a <unk>.

Speaker Change: Advisory or technology partner, So we're continuing to see strong demand for the work Eva ESG solution, even without the regulation.

Speaker Change: Yes, political debate the debate around the ESG acronyms and anti ESG sentiment, certainly, but we see stakeholder demands for the transparency and nonfinancial data increasing so.

Speaker Change: Many of the U S companies or are going to have to comply with CSR D. As well. So we are seeing the the stable demand for it and I'm seeing that with even without the regulation passing and in the U S. But.

Julie Isko: It's a great question, a timely question. We get it a lot, particularly given the visibility of ESG in the media. And we do keep a close eye on legislation, and we've been monitoring the speed of adoption and of regulations themselves. So, you know, for us and what we're seeing, I can tell you this: ESG remained one of our top solutions in bookings performance for Q4. And it's been in the top three booking solutions for several quarters now.

Speaker Change: We definitely see in some conversations in LC srd surfacing more as a reason to buy so.

Speaker Change: Great. Thanks for taking the question.

Speaker Change: Sure.

Speaker Change: Our next question comes from a line of Alex Sklar with Raymond James. Please go ahead.

Alex Sklar: Great. Thank you I'm going to try and squeeze in a two part follow up here to Robyn Matts questions. Just first in terms of the prudence and the growth outlook that you've spoken to.

Julie Isko: We continue to add Fortune 500 clients to our already elite roster of ESG account expansions, and we talked earlier about the partner strategy here. The partner first strategy is really driving results for us. I would say the vast majority of our ESG opportunities, particularly in the upmarket, continue to be either sourced or co-sold with a Workiva advisory or technology partner. So we're continuing to see strong demand for the Workiva ESG solution, even without the regulation. Yes, there is political debate around the ESG acronyms and anti-ESG sentiments, certainly, but we see stakeholder demand for transparency and non-financial data increasing. Hence, many US companies are going to have to comply with CSRD as well. So we are seeing stable demand for it and seeing that with or without the regulation passing in the US. But we definitely see in some conversations now CSRD surfacing more as a reason to buy.

Alex Sklar: Change in terms of how you approach the guide from a macro conservative conservatism level versus the prior couple of quarters and then second on the profitability side in terms of the comment about leaving yourself some flexibility for growth investments is there anything you're watching in terms of execution or macro that would have you not.

Alex Sklar: Some of those growth investments for later in 2024 are those are those are pretty much set at this point. Thanks.

Alex Sklar: So related to the Prudence on the guide I mean, there's no change to the way that we are operating.

As far as how we look at.

Alex Sklar: Our where we're setting our models.

Alex Sklar: We as you know, we're a company that will.

Alex Sklar: To beat our guidance, we're careful and prudent about how we set these numbers, we expect them to be able to beat them and so.

Alex Sklar: It's very consistent with how these models were put in place.

Alex Sklar: Related to the profitability in and.

Julie Isko: Great, thanks for taking the question. Sure. Our next question comes from a line from Alex Sklar with Raymond James. Please go ahead.

Alex Sklar: The potential for investment in 2024.

Alex Sklar: And we're of course watching that top line and we can and would adjust based on different macro factors and if we had additional challenges above what we were expecting in <unk>.

Alex Sklar: Great, thank you. I'm going to try to squeeze in a two-part follow-up here to Rob and Matt's questions. Just first, in terms of the prudence and the growth outlook that you've spoken about, did anything change in terms of how you approach the guide from a macro-conservatism level versus the prior couple quarters? And then second, on the profitability side, in terms of the comment about leaving yourself some flexibility for growth investments, is there anything you're watching in terms of execution or macro that would have you not make some of those growth investments for later in Those are pretty much shut down at this point.

Alex Sklar: In bookings and revenue.

Alex Sklar: But that's again no change to how we would have done this in other years. We're just careful about how we are.

Alex Sklar: We're managing the business and as Julie talked about really focused on growth and profitability.

Alex Sklar: And so.

Alex Sklar: So I think that you can expect us to continue to operate this year and the way in similar way to how we have in past years.

Speaker Change: Okay. Thank you very much for the color.

Jill Clinton: Thanks. As far as the prudence in the guide is concerned, there's no change to the way that we are operating as far as how we look at where we're setting our models. We, as you know, are a company that will continue to beat our guidance. We're careful and prudent about how we set these numbers. We expect to be able to beat them. And so it's nice; it's very consistent with how these models were put in place.

Thanks, Alex.

Speaker Change: Our next question comes from the line of Brad Reback with Stifel. Please go ahead.

Brad Robert Reback: Great. Thanks very much.

Brad Robert Reback: Julien if my math is correct I think you've added 80 people over the last five quarters combined.

Brad Robert Reback: Can you give us a sense of what the hiring plans are for 2004.

Julien: Sure again is our theme is where we see.

Julien: The opportunity to invest in an increased growth and go after our Tam we will do that we're being very thoughtful about hiring it's become easier to hire the right talent for the right roles I was just looking at our numbers for last year, we had.

Jill Clinton: Related to profitability and the potential for investment in 2024, we're, of course, watching that top line. And we can and would adjust based on different macro factors and if we had additional challenges above what we were expecting in bookings and revenue. But that's, again, no change to how we would have done this in other years.

Julien: Hi, North of well north of 100000 applications at work Ive or last year. So.

Julien: The team is strong we're being thoughtful about who we're putting in those roles that will continue to hire where we see opportunity for investment.

Alex Sklar: We're just careful about how we are managing the business, and as Julie talked about, really focused on growth and profitability. And so I think that you can expect us to continue to operate this year in a similar way to how we have in previous years. Okay, thank you very much for the color.

Speaker Change: And you can see that I would chime in Brad on the guide but.

Speaker Change: Yeah.

Speaker Change: Implied within that guidance is that of course, we will be hiring.

Speaker Change: We will focus on the as Julie had talked about before the best potential for growth and the best potential for success, whether it's a geography, whether it's solutions and we're going to be really thoughtful about where we put those resources.

Brad Robert Reback: Thanks, Alex. Our next question comes from the line of Brad Reback with Stiefel. Please go ahead.

Julie Isko: Great, thanks very much. Julia, if my math is correct, I think you've added 80 people over the last five quarters combined. Can you give us a sense of what the hiring plans are for 24? Sure, again, our theme is where we see the opportunity to invest in increased growth and go after our TAM. We will do that. We're being very thoughtful about hiring. It's become easier to hire the right talent for the right roles. I was just looking at our numbers for last year, you know, high north, well north of 100,000 applications at Workiva last year. So the team is strong.

Speaker Change: But you will.

Speaker Change: As you can tell from the guide you will see us hiring continuing to hire in 2024.

Speaker Change: That's great and then Julie maybe higher level, if we think about the 16% sub guide and I understand the conservatism there, but if we step away from the current period.

Julie: Look a little bit longer term, what do you think the normalized organic growth rate is of the business today.

Julie Isko: We're being thoughtful about who we're putting in those roles, but we'll continue to hire where we see opportunity for investment. You can see that I would chime in on Brad on the guide that, implied within that guidance is that, of course, we will be hiring. We'll focus on, as Julie talked about before, the best potential for growth and the best potential for success, whether it's geography or solutions. And we're going to be really thoughtful about where we put those resources. And but you will, as you can tell from the guide, you will see us hiring and continuing to hire in twenty twenty four. That's great.

Julie: I guess, you're asking will we be getting back to you know maybe that 20% growth.

Our subscription.

Julie: Ibs 16, because such a growth guide of 16% at the midpoint for 2024, and we're focused on that we do aspire to get back there are 16% is not the limit to our upside of course, therefore, we're not we're not happy with it we're hopeful to see return in cap markets adoption of ESG software to address the new.

Julie: <unk> just overall improved software spending environment. So we again see the long term durable growth market a significant tam in.

Jill Clinton: And then Julie, maybe a higher level, if we think about the 16% sub guide, and I understand the conservatism there. But if we step away from the current period and maybe look a little bit longer term, what do you think the normalized organic sub growth rate is for the business today? I guess you're asking, will we be getting back to, you know, maybe that 20% growth? Our subscription guide, yes, the 16 growth guide is 16% at the midpoint for 2024. And we're focused on that. We do aspire to get back there. 16% is not the limit, you know, to our advantage. Of course, therefore, we're not happy with it.

Julie: Where we're going to go after it.

Speaker Change: Great. Thanks very much.

Thanks, Brad.

Speaker Change: Yeah.

Our final question comes from the line of Adam Hotchkiss with Goldman Sachs. Please go ahead.

Adam Terese: Great. Thanks for taking the question Julien, it's pretty clear, you're making progress on our multi solution Friday, but I'd be curious if you could go a layer deeper how should we think about what your solution penetration looks like in your average customer today and how you think about how that white space evolves, either this year or just over time broadly.

Julie Isko: We're hopeful to see a return in capital markets adoption of ESG software to address the new regulations and just overall improved software spending environment. So we again see the long-term durable growth market, significant TAM, and we're, we're going to go after it. Great, thanks very much.

Julien: Sure I I will say, we have thousands of.

Julien: Of customers and I don't have the number right in front of me, but we have a lot of a lot of white space, there with adding additional solutions to the the base that we have I mean, our base is our installed base is.

Brad Robert Reback: Thanks, Brad. Our final question comes from the line of Adam Hotchkiss with Goldman Sachs. Please go ahead.

Julien: Really one of our most significant assets today, we just crossed over the 90% of the Fortune 100, we got 85% of the Fortune 500, we have 80% of the Fortune 1000, and there is a lot of room there to have additional solution sales and platform sales to the base that we have so very optimistic.

Adam Terese: Great, thanks for taking the question. Julie, it's pretty clear you're making progress on the multi-solution front, but I'd be curious if we could go a layer deeper. How should we think about what your solution penetration looks like in your average customer today and how you think about how that white space evolves either this year or just over time, broadly? Sure, I will say we have thousands of customers, and I don't have the number right in front of me, but we have a lot of white space there for adding additional solutions to the base that we have. I mean, our base is, our installed base is... truly one of our most significant assets today. We just crossed over 90% of the Fortune 100.

Julien: We highlighted a number of them on the call today. Our team is again getting strengthened when it comes to selling multi solution and platform. So when we look at our growth opportunity. This is a huge growth factor for us and.

Julien: Again, that's how we're approaching the Tam.

Speaker Change: Okay. Thanks Julie.

Speaker Change: This does conclude today's call you may now disconnect.

Speaker Change: Please wait the conference will begin shortly.

Adam Terese: We've got 85% of the Fortune 500. We have 80% of the Fortune 1000, and there is a lot of room there to have additional solution sales and platform sales to the base that we have. So, very optimistic. We highlighted a number of them on the call today. Our team is, again, getting strengthened when it comes to selling multi-solutions and platform. So when we look at our growth opportunities, this is a huge growth factor for us.

Speaker Change: Okay.

Okay.

Speaker Change: Okay.

Speaker Change: Yes.

Speaker Change: Yes.

Speaker Change: Okay.

Speaker Change: Yes.

And again, that's how we're approaching the TAM. Thanks. This does indeed conclude today's call. You may now disconnect. Please wait; the conference will begin shortly. Please wait; the conference will begin shortly. Please wait; the conference will begin shortly. Please wait; the conference will begin shortly. Please wait; the conference will begin shortly.

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