Alkami Technology (ALKT) 1 Nov 232023 Q3 Earnings call transcript

Hello, and welcome to the Alkami Third Quarter 2023 Financial Results Conference Call. My name is Betsy, and I will be your operator for today's call. [Operator Instructions] please note this event is being recorded. I would now like to turn the conference over to Steve Calk. Steve, you may begin.

Betsy. you, Thank today's Officer; on Shootman, Alex With Bryan call Hill, Executive and Chief Chief me are Financial Officer.

we regarding These risks and During and expectations and management's call, may to statements and forward-looking today's various subject about current other views matters are our statements performance. uncertainties. are future based on make guidance

actual may be results materially Our different.

call Form Factors and For to forward-looking We statements, refer release earnings any to please non-GAAP this financial comparable call Forward-Looking to our forward-looking also the the the SEC. in on measures is measures financial I'd the a of useful are sections statements, made summary Risk no the be discussed of believe revise our of our over being measures call risk factors in A found will and XX-K our This otherwise basis. to Statements. today Alex. obligation unless press the [indiscernible] press turn we or investors understanding now undertake and GAAP made associated release and like entitled to today, with during with update can results. in our today's on a as filings are be stated, of these reconciliation financial in

Thank you, Steve, and good afternoon, everyone.

was Alkami quarter as again expectations. our we another for third good quarter once The of grew revenue ahead XX%

adjusted other and positive X sooner committed, digital quarter achieved we EBITDA at pace provider. users keeping adding addition, a than we banking In are than we better and any

do and off another digital a the end platform our satisfied in a our strong unions to X.X and not quarter a Digital culture, we credit to marks approach Alkami banks with clients. And months, digital of our . QX into plan banking technology platform. growth, healthy as added we profitability, progress to year. solid the XXXX, this primary provider build of lose of we single expect to XX million last Over client of users

many of a questions how the clients of are me dynamic is our you One asked very environment. navigating macro

slept as country of gained week and and During September how beds prospects I the thriving traveled today's first the October, are on perspective environment. unions in XX banks in different regional a and credit meeting with and clients I

week, executives [ and dozen ] strategies members discuss last of current hosted for Every our client to board we exchange addition, their headquarters In listen at a our those to prospects and advisory got tactics. some rapid never all policy. of conversation [indiscernible], [indiscernible] with change variation on a narrative. headquarters years the in seen monetary the my such in and and have I business, in our following fiscal started of this with

that digital this told environment. I this about is they way thought the in to meetings digital evolved the we into playbooks had and one most innovation to always CEO at had but really staff driving mid-XXXXs. of I say of tactics having the last The and teach deposits, we too in to we since interestingly, cost here not talked strategies to on have used to speed volatility went my not tell discussions in deposits dust hadn't me, drive a banking. asked And the mandatory direct rebalancing deposits they've person, deposits, usage card about changed the and She rising they're the each time much they rates, need a which off have loans, we Alex, me it. none CEO interest of on the and used and years. focused banking on attracting were were we

even in were We routine banking continuing analytics don't to products digital to as Alex, usage told to to we manually. CDs ]. these in people and offered handle digital something all deposits enough direct and encourage will tactics From me CEO One fight have short-term drive XXXX. mind. [ to fraud is CD rollovers card roll on them their to and to over invest as onboarding technology They

digital the meet use to have capabilities demand. We to

In overall digital addition priorities. by adoption personal to surveyed of maturity related a asking XXX September series digital questions their the assess meetings to we FIs to and in I investment conducted,

found We more call branches mature also to more revenue reported digital digitally most that say the peers growth their important are organizations, than than higher is much which or likely banking centers.

also improving are to likely customer investment is much they top more priority addition, experience their say technology. that In

way of the if bank reminder one to a from it, digitize levels, it. put an As the on lowest the organization responded top constant there's the all there's opportunity,

be our change, resilient. Amidst clients proving this are all to

industry the clients' our July. banking almost in of the June, uninsured unchanged. early in U.S. since a Also since have deposits seen remains as virtually when the user their X.X% deposits increase FDIC and data, increased percentage we've evaluate reported counts July, year-over-year deposits with users contracted While we X%

new banking of to mirror their seeing our our Our this digital and ability by the client being purchased additional clients' and current are wins strategic use products in compete demand we clients. in environment

part as the renewal XX cards. of analytics, and digital including biometric business that and new capabilities, client to example, For card added provision in advanced security one capabilities data QX, products, allow them

alone. not They're

see add We continue client earlier functionality. cohorts to

at Our initial initial XXXX now and their at XXXX is are ARR, ARR. and cohorts XXXX already our X.Xx cohort Xx

grow clients in new our market. platform to add and users In In continue than any addition history. our clients overall our more digital users faster digital to will XXXX, adding than we products, the to year

our can ever, the clients so of digital we our to the Our commitments pipeline portfolio is capabilities To made we and with they XXXX deliver product expanding banks. the our to mega clients, to continue committed compete we our strongest investors. in on and going into invest

we've large X R&D has most Alkami as compared $X.XX spent invested percent last to R&D. years, consistently And billion the on revenue the companies over market. in our Over of in a other

opening, continue advanced account capabilities, solutions. will card digital technology percentage modern keep we as services, R&D banking includes fraud payment this competitive. grow commercial and grows, moderate platform will business revenue While today our to we to protection, The and deliver

of to new demonstrates of our new our just today, portfolio. And over our we on we App product user users. used clients would are deliver rated hold XXXX, in for that may one time committed delivering clients of not our we more XX% but Store consistently space. the portfolio. At by [ world-class their developing right on that is We board end average highest products. in also products, in our that the our experience This XX% IPO continuously of importantly new app Today, a clients ] product with new the the most be far the ratings

to Alkami. legacy And we connections date. their client are entire our of commitments is to parties biggest when them system to we as there convert. to This Alkami launch core nontrivial, systems, third base to the user to of the dozens customer is platform the convert back-office integrations make thousands usually, moves from One their on and accounts of

significant launching launched advantage. the competitive in experience launched a Among Alkami. day. clients X a a many we single clients and accomplished new in sustainable Our QX, we in We for is clients first

it's the and client. also just has not about their clients experience So to It launching great users. be for end a our

are better have Alex advanced from must to our staff of and banking new months, Credit and platform, digital the CEO banking thrilled availability -- the has than it moments. conversion performance X with digital users Agnes members converted XX% to with been new over last and ], no committed have progress transitioning on any me, our our automation. and an trusted Over told Union A during tools architecture Elevations digital continuously who's platform experienced. life the with rely because evolving Alkami in platform. our and made to other observability for I've implementing and or event-driven our members critical [ clients intervention Alkami President for of We for platform our great Jerry assistance

now are X scaling, we and We support downtime auto using upgrades.

our such Linux. PostgreSQL while through this transitioning allowed Keeping commitments us to technologies our keep [ and has commitments to efficiency of to our All to as driving shareholders. clients ]

have growth our our and with We being delivered consistently prudent expenses. targets investments while on

and commitment adjusted we EBITDA EBITDA on the margin delivered provided. be guidance longer-term have gross have and We have adjusted confidence to in revenue a positive, we

we prospects to in am the are the we with delivered we've Alkami the and progress results be closing, long-term an indispensable In confident in made pleased I XXXX. proud the for of quarter in platform Brian to to services a to place the and through for partner call great I'll us the reliable technology a the numbers. investment industry, for community. take work, hand financial the And now

Alex, Thanks, good afternoon, and everyone.

of third During crossed quarter XXXX, the major milestones. Alkami several

than First, of our achieved originally expected This X adjusted quarter XXXX. beginning earlier quarter the at of EBITDA. we occurred positive first

obligation or and million Second, representing the digital represents company than just we backlog under million in X.Xx $XXX X banking third, reached during digital largest the live increase ago. platform And a by ARR our quarterly history, to XX% XX on purchase This users our quarter. remaining users. Alkami's bringing us the digital higher million, contract increased year

financial our banking evidence performance, outcoming in with position and trend achievements, These the combined success strong capitalize the digitization to upon industry. of secular XXXX unique

an unpack me you. for impressive Let quarter

drivers. representing our was For digital primary count of the XXX. XX our which is end performance platform implemented $XX.X clients of the of million, we the to revenue new growth revenue achieved This above of our quarter high We bringing guidance. XX%, third balanced slightly across XXXX, driven quarter, in financial client by

XXXX. which XXXX, in just ARR, year under full $XX million users exceed million implemented at far both X.X we So of of have the

production near-term ARR. by our X.X in digital compared and and year. implementation expect exited [ to banking on we representing last backlog or now implementation million XX% digital registered million XX% to on XX.X our exceed for XX quarter users. users We XX% the We platform our last year's X.X of with ] have live users Based new clients digital visibility, million

the growth by months, to last be driven user continues XX X digital Over areas.

X.X supporting institutions digital financial users. XX implemented we First, million

clients channel. user challenging to accounts more by client environment. a demonstrating existing the ability drive This and our digital X.X importance of adoption million Second, users, an underscores their economic the digital during increased growth digital

our XX XXXX. Over not experienced from expect we months, any year the have full the client digital the churn platform, banking and for we same last

sales higher approximately $XXX the ARR revenue. of year We third higher grew to addition to quarter exited by with clients who by of We which $XX.XX, tend ended the last new the and and at XX% is X% with the quarter an than average RPU. driven Subscription a prior XX% increased onboard year, quarter RPU add-on represents compared success of million. XX% revenue and total

approximately most addition, we million occur for ARR implementation, in XX likely months. of $XX over the to next have currently backlog In

see demand product We across portfolio. healthy our continue to

new So in XX signed banking signed during the quarter. we XXXX, which platform far clients, of have digital were third X

client new reflect into expect our far banking platform digital sales we quarter be solid to in pipeline representation wins. client fourth QX decisions, XXXX. from X strength visibility banks Presently, the We a based quarter strong new with for Our on signed wins of so and the

results, the sales yield add-on total first new quarters of X success XXXX. Our sales continues to for XX% representing of

In responsible addition to add-on is contract sales, for our client team sales client renewals.

client first during and XXXX, rate over the a new run we XX raised During expect product of growth. client clients quarters In we ARR XX renew relationships the we combination total, where renewed sales of X% X to through committed XXXX.

profitability. to gross turning Now and margin

For engineering Improvement results in our margin compared IP teams, of XX%, the and our our of across by success, when such operations, XXXX, basis prior leverage client higher third gross a site to gross partners. was of implementation, from XXX reliability margin operating points quarter. expansion third-party non-GAAP the from revenue our quarter offset post-sale as representing mix year

output. of scaling level post-sale while the We previously operations are higher delivering mentioned

is as As a to our non-GAAP XX% our revenue. scale gross reminder, model operating continue target margin XXXX we a of

expenses. operating to Moving

driven quarter ago For year growth. or basis R&D pace third scale XX% $XX.X quarter. Margin at XXX revenue was than expense as revenue million our a the primarily we've of by revenue, non-GAAP expansion lower increased points expenses R&D the was XXXX, than of slower

best-in-class However, in new functionality. while our innovate efficiency, to operational platform are drive achieving products scale and we and future investing reliability,

target continue R&D is to of model while our and operating expand XX% to Our platform. we invest to leverage revenue,

sales the Non-GAAP approximately prior million $XX than basis and marketing XXX points year. revenue, lower or XX% of expenses were

by expense matched level we our to administrative achieve productivity and go-to-market slightly a improve SaaS high-growth or many gain share. we market go-to-market efficiency and as continue $XX.X sales high and revenue. companies. team We the expect business or XX% to scale million was maintain and of Non-GAAP of efficiency general

a margin approximately primarily further as revenue. closely expansion we In the revenue of The as as expect our was objectives. percentage G&A is towards move expenses, quarter, we to G&A revenue profitability manage to year prior scale, of attributable leverage achieve XX% we

to over Our adjusted a of the $X improvement which the EBITDA the and quarter million year $XXX,XXX, compared for $X is when million third prior better was high expectations over our end quarter. than

the are the pleased at the of by as business. EBITDA have of And expected established adjusted demonstrates year. margin the believe our adjusted as originally very model to XXXX leverage quarter objective well a financial crossed We we beginning than reminder, a afforded our this a trajectory of have We positive EBITDA earlier XX%. as

will points basis path at occur a pace year. each margin adjusted expansion of roughly We EBITDA expect to XX% our XXX of

just quarter and securities Now under of moving on sheet. cash marketable balance We results. over million third to with of million and on our item quarter ended final the $XX One debt. the $XXX just

In addition cash EBITDA, flow flow $X to and we approximately of crossing adjusted million. operating cash million into positive are of positive $X.X free reporting

guidance. Now to turning

$X.X And XX%. of to EBITDA we million are quarter of to fourth XXXX, $XX.X $X.X guidance the For the of of million, in representing million. million growth to providing range XX% $XX.X adjusted revenue for

guidance year of XXXX, XX% XX% compares $XXX an million, to This EBITDA representing to of full a million for adjusted million of million are full to $X.X revenue and the EBITDA to million. year our loss loss XXXX. $XX.X range of of $X.X to For growth raising $XXX an we adjusted

we positioned ago. years continue laid well growth to over are on we path remain confident X closing, we In the out that

the industry both deliver year, and tested resiliency the shareholders. has our our to by for our last of clients have macroeconomic we model and factors, During been continued and

questions. We quarter, delivering operator hand fourth are momentum we another that, call XXXX. year the carrying great in into With strong look and to to for I'll the forward the

Napoli [Operator from Instructions] Bob Blair. today comes William The with first question

kind points and you up have the and are What margin trends you EBITDA guidance the the the basis have and pretty side expanding driving is growth question on growth begs that technology obviously development Appreciate the momentum. impressive the the which get side year expansion, [indiscernible] of XXX you. that to giving or operating while Thank a leverage. on you momentum dramatic.

around color that. any . appreciate So

in ability is don't grow we're Alex. anything the I like the our this to up in business Bob, feel giving terms of future.

pleased team. beginning -- of lot pleased the that a with productivity a leverage to grows. company and teams we're are got visibility how the we're that We the on turn that investments getting leverage the of of in get the platform, making out implementation the lot we're And and investments into with the we're those we're as also we've implementation out of

the to and up . customers don't of we all. our provided feel in guidance with like anything we've that we're So you terms our giving ability serve grow with

financial allows And the I Bob, just know visibility add is of I'll invest when where couple and it to more to that comments a Alex's invest. statement. to mean beauty and to model us of provides our invest

our are and I sales companies management that find that at engineering Sales deliver that that a our at delivering dollar really few and level. scale ARR you'll there of what about grow have every our marketing efficiency by sales a just the we'll best-in-class SaaS is We spend. very are and efficiency. same we $X.XX that we research mean for as and organization. in pace sales So team, product marketing. can Again, development, revenue, teams,

coming when really G&A. IPO now, And you G&A, of made out it's couple years. then look been necessary of within at investments a We've the our

now growth with business see to X% over next you'll X a So X reasonable year years. between to some the the X%

the basis the invest for the model, just percentage continue I the we of us margin G&A expansion, at where leverage been allows points or again, it have we'll to the that that to scaling points during EBITDA speaks quarter, so mean XXXX. And visibility XX to are level which, that in scale we've necessary. adjusted we that X,XXX

rate the follow-up you're adding, then number haven't win on you new obviously, And the of customers. that mean, I just customers any lost a has maybe -- that. Appreciate

with rate driving So improved, has the, acceleration what of having success the banks are the the win I . kind what's additions? And guess, in customer you

Yes.

Our we new the We customers additional win X signed unions with X and the customers steady. the X that that the remains or were after X new quarter rate quarter week then the in so credit we and banks. in signed pleased

credit high with in in rates we've space. and So mixed space. new we're got a win I'll the our the winning the we're remain bank union pleased blessing that logos say

more us mentioned in -- being think rates that in the for good have invited are may the call, banks, I had earnings is this to We win weren't news opportunities to are we we high and we but invited where that past many opportunities. we being

rate is banks slightly we it our opportunities win less bit us, go wanted us are more participation results our for But So because being really of right to being now in we invited than up. good in is for that's credit in a unions. news to rate banks that

The with Citi Global. Schmidt Andrew next from comes question

Andrew This most ] more Can now? is strength the for [ products progress, right the detail speak in Schmidt. David what seeing regarding you're Bailin you cross-sell guys .

Yes.

a this sales we once we team, And we couple renew client responsible we're base clients. but cross-sell of taken functions. mentioned renewal. are at X times, XXXX. we've renew that primary created into upon One and So products they're created what is client our is additional a X to for in to second that team the When XXXX, is in being new least X seeing

it products. the that is XX% that team sales. and sales amount we're a cross-selling XX% when renewal less And was comparable seeing where team. great sales. as percentage just In year, to That's XX%, total So the cycle. we're of has ago, we're movement client we're occurs. a the client our money last of from XXXX, bases dependent a traction X our of was that that seeing in total service products most and years represented our than total upon seeing what cross-sell our lot from . But not renewal a security sales fraud team of is into opportunity progress products

within momentum progress lot in So we're function. a . seeing that of

What we we've -- seen shift add buying I some would it's some in that have nice based shifting of dynamics market, the strategies product have portfolio tactics. customers because just seen and we've to is are the the given upon the their what

capabilities, advanced anything cards. a lot of is a mentioned, now, of got around for think interest, digital have example, strong about Brian and the if to might as card you some couple which right things That ability fraud -- whereas So issue and maybe management wellness ago, people interest. around years provision financial gives

customers about interest our the thing that's fiscal to federal the change occurred strategies manage nice and sell shift that's So and that shift policy with product rates we've and us a to product allows big in portfolio got government, is the they tactics the need. their them what portfolio

question comes from Salvas next . & Co. Sam with Needham The

the and this have feel all? XXXX into you last a have changed a bit maybe how if environment EBITDA on more quarter. quarter, conversations customer about Congrats at the how heading And little just Could you start soon? talk bit they demand just talk adjusted positive guys little from as we broader about guys

Alex. is This

As attract I've I the and you're having to in really during rate I to strategies shift mentioned asking. in environment change prospects that with a and my more they're lot because deposits. understand because prepared QX need wanted And and tactics customers the of thing the same the spent remarks, to personally, time of their business interest

we deposits? do CDs to conversation What has promote direct What the to accounts? to to market, what digitally so can digitally we And can do we digitally things money do like deposits. market market do to moved attract can

leveraging just shifted it's really to things that shifted. and is have, the What about. I commitment attack channel it to to customers, has of some they hasn't the our talked most So most important channel. of they all try In are that the digital the of that

in challenges saying, on have saying, channel. just I I discussion I'm can That So banking going be that not part -- airlines attendants of or doing to is are changed digital going the use no to flight digital invest I'm business pilots mechanics. there's like now. to or What's how work it's right not business. where a have would It's people

companies? FIs those just sweet just then quick for, some there? into quarter. bit Could maybe are any helpful. the and to That's the you Or you these go just see guys your a to guys little a logos guys talk of size and this try wins And it. a new Good larger right spot sense out playing had follow-up. trying in after more Just commentary signed get now? is X Got about starting more to it you

that Keep to Well, in our feeds of we continue what average in to spot model in tends larger FIs sweet be mind of our number users. revenue terms is FI. play the the per digital user

live terms low the average that next per closest in the we have competitor in we XXs high FI digital users of per so for XX,XXX us average. thousands clients and is XXX than XXs, the And kind to of

institutions a so over on sized the lends So quarter, we're believe, very X,XXX bank to this is XXX,XXX FIs. seen we our to us we've institutions. largest already focused, few we year We've top the date. larger far What financial had similar Last signed financial users. digital

So we're pleased with demand Difficulty]. that We're with the success. [Technical the pleased

our speakers. we your much reconnected lost Looks thank we've very with you connection Ladies speakers. with reconnect. gentlemen, and We've our Please hold for like patience. while

we move question to the next queue. Operator, in can the

Unless follow-up there was . that. on a

question comes next with . Sachs. Hotchkiss Goldman from The Adam

the much funnel rate. momentum has you improved year, inflecting guess are of of think you when by been pipeline you how today say top where would I versus beginning driven versus an the about conversion an

some just just think of seen the . this versus at you've a and rate of on historically. to more I historical converting color up rate on an we're made tech get sense investments than for of influx the whether back environment Any be the is you've would a that trying top a on helpful. higher the interest

from year. has if the of we up And experience. is think we the time the the then line what top we is to picked on with credit market I same the layering demand the demand This union -- market What of of say last in Yes. is about side compared from that, Alex. would bank the consistently side

I like do graph . if of add consistent market last market, use credit time this and the than bank higher something then to a pretty pipeline on just that, I from interest, union that demand just the if So year.

bank side the competitive necessary and being prepared pipeline the for banks. being being road then a market core more be to around deliberate And our integrations the market of market us demand on more active in the our the really map is are product Adam, from bank that the to market us pipeline around . in bank a strategy total that resulted that's awareness. our now more in XX% sales And creating sales related has of

Got of And it. a point, from you I about some folks just to think having point. that your Is you done invited before. know That's of bank guess helpful. When being of relative on really I getting say more versus function that would a follow up the your just RFP's core awareness? of some legacy off providers of call some for out sense conversions competitors? them many referenceability capabilities that's

you Alkami hear what the and proposition core differentiators RFP the some that's on with curious changed? customers that from banks, in of value process how Just

Alex. is This

X it's think I things.

are known that of has increased their banks anybody all, that what market that the made up being great has people accounts, really and as deliver digital they have is Alkami that for. that's pressure a once made the really up deliver as of realizing commercial serves for to a their pressure commercial people First to digital great realizing and consumer experience, again customers experience, are a of they're

back. our at certainly is that wind So

more more on getting live our customers are customer platform. -- bank We

awareness referenceability Alkami standpoint. those at digital is create and an helps option together should making look from . that that And they're X things then transformation. if that a So a considering bank people they're a

next question comes JMP. The from Walravens Pat with

me my let And congratulations. add Great.

XXXX. you're yet to know ready points we any point mind us in that? you're about Bryan, want at the guidance as you And for I keep so key not where give . to think But

when we'll for guidance provide XXXX late QX. guidance February, February, official we announced in Pat,

key provided from the on what you from growth QX for accelerating think based of of rate you derive is that revenue is an that the QX point, I can we though, XXXX, can XXXX. what guidance

So this in XX% a rate delivering range of And QX versus growth in the XX%. at us XX%, year.

in have XX% throughout we margin is just gross an XXXX. of at right expectation stated being what year Second, of the QX

our of QX us gross XXXX. I have about to still ARR towards backlog level visibility, move can next year. the XX you months this implemented of in terms expect of in visibility from be see building And once of terms margin same we over So of as exit would that of the year, we'll a we

All right. That's of then super And for Alex, helpful. theme. the you sort same

what the X or for the X of most sort XXXX? be to you're So that going are on focused top things

continuing market bank for progress in the that's that critical making certainly Well, us. we're the pretty

customers that build-out product referenceability. the so Bank integrated And cores the is getting continued with live integrating of that organization, the skills in number an of excellent the the capabilities, [indiscernible] into the we're experience and

that competitor flexibility of create terms we that telemetry of So extensibility priority platform have and any of us a terms that's will of the pretty the of key. of in other in the out distance to the The banking terms start digital platform creating for in be capabilities in that the clearly platform, platform between coming us. itself the the

got bunch of a like we're good a that we because clients our and job for at working them. serving Alkami and Pat, really, then like successful people doing And

into so And have and work and build place to want be to to doing. they're people to come we continue their to work a that of to, about be passionate proud and Alkami want what they want people

Jacob from Markets. comes with Lake question next Street The Capital Stephan

backlog the me Maybe I of to my quarter understand as just the help on implementation here. well congrats add kind here. want

orders. and on clients sales new XX So add

down So the is XX not a down but new at ARR quarter-over-quarter, clients as percentage. much as

of customers in there, mix versus of is kind a bank union there the So side? basically, higher credit

client or in of $XX. ], XX roughly XX logo the carry win banks new an we our [ mean, of are have I RPU of No. backlog banks, those the

included higher the indicated is as are backlog. that the RPU, credit of the X cohorts $XX So in The we've XX RPU. backlog the to banks around between are always carry a tend unions evenly within AR fairly split

than . different and I it's So the at last Nothing -- quarters. what our the several not that look would backlog similar. significantly it's is suggest over very been mix

of Okay. credit That's upgrading cycle solutions just upgrade credit quicker side? kind talk you And unions. union we Or the adding about new then banks quicker, than about of of that? helpful. kind see banks versus maybe technological how can think Do

in really There's they're couple in evaluating I materially process. decision contracts. it's a cycle. -- start think if They different different -- a long-term both years before a you They're of mean both options Yes. -- about the not

live you are If of yourself know, contract. end you contract, that you're cushion I XX-month decision build X-month X-, a then to some yourself, probably want and Then ending to sure build on X- you'd don't yourself a you making something cycle. cycle give before you implementation new

And a union. different bank credit that's a materially not so and between

really in the I credit predominantly because a union, think the but difference ask a there's implementation retail. -- it's on cycle you didn't this, difference

going by go customers new But the want my they're And new just particularly then in themselves their have to commercial thinking from individually I'm so would be credit about, downloading some application to to customers, the the help they've App platform. move large Store. banking got the and customers move if going to platform the union the okay, to through new launch situation,

implementing difference decision a cycle -- really in timing. in difference don't customer. it's motion terms There decision the a I we're in or of so of much the which is And the too not a

That's had. here, luck all going forward I Best of guys.

And Hibshman Craig with our Daniel from question Hallum. final comes

that's count acceleration recent the churn? looking if on? -- digital a is I live platform the of high us you that that Rhee. Yes, driver a of that's the the is in level what excellent could looks so significant number logos a looks record. logos on assume lack up coming driver just Is impressive. help implementation? in Daniel coming the through Is adds? quarter, adds like Maybe that user like the year-over-year, the for is on It one acceleration a size? recent Is with it client This us that up sort that logo pace? very or number Jeff Just at that of Van of in at the think of of on. primary surge of is terms new maintainable help sort Is user is

users million, as adds, onto the platform, in user our months. we X.X XX is, X.X last new first, added comments mentioned driving million really our the implementation we of clients prepared what's over So digital

from time themselves. We given have our are backlog any clients comes our And and during that year, that of visibility implementations. then growing the at

and rate growing XX% the only are XX for resulted XX% over a about million clients months in of Our last X.X that at digital users XXXX.

the So users. clients digital grown quarters our X of XXXX, million have

we . they what a institutions. their in top tend the as market, since in is, more nice institutions fairly find the platform at And leaning institutions be financial on those financial of a grow financial that, focus X,XXX digital communities So we result technology rate. to the

that certainly, mean, customers. platform where do to be a ability And banking that's our lose year, XX to . of care I in helps. this but not that on able be our digital result position to not to certainly the we're years, our for every single customer year a We a going of may great next take

in provider more there users believe is a or that space, over XX-month X the we million other . Yes. adding no period. I mean,

And just maybe X follow-on for me. then

about Looking the ARPU year-over-year. at X% up

new in XX% I around our is ARPU backlog X XX%. was think that the around customers versus the the commentary current

that or way sort trending? the of other traditionally I current know element I any the pricing have weighted a high shift a average is Is at little those on grown around X%. which on coming new mix get would customers be able you'd to in bit a higher Just ARPU that's thought there into plays how the X%, ARPU, that that, that with all than it's

Well, And we the user platform works to the cost our users months. over goes more institution financial added pricing million -- our digital last model more incremental down. X a so scale, brings per the the is XX users that again, our the way clients

overcoming the we grow coming that's when user. So of per are $XX digital million headwind X%, at below in the that X.X users

the ARPU the And gross the range. comes by is X% the So added then expansion dilution X% that . from financial users institutions. have to incremental in you our

today's you Thank for our This conference attending and concludes presentation. session the call. question-and-answer concludes

may disconnect. now You