Toast (TOST) 7 Nov 242024 Q3 Earnings call transcript

Good afternoon. My name is Paul, and I will be your conference operator today. At this time, I would like to welcome everyone to Toast's Third Quarter 2024 Earnings Conference Call. Today's call will be 45 minutes. I'll now turn the call over to Michael Senno, Senior Vice President of Finance.

conference. your begin may You

Gomez, Thanks, Pauley. third call call the by CFO, earnings CEO which prepared will be to ended September Toast's followed Elena and quarter Narang; today's Q&A Co-Founder; conference open XX, with and remarks, session. for our Aman Welcome will XXXX. are On

included like release. press I'd start, attention we today's draw your to in the Before to safe harbor statement

the restructuring within facts Securities statements our call, expected and business guidance related for that future location the outlook, and we'll future year meaning [indiscernible] those margin financial considered profitability plan, performance be growth of looking this including and our quarter and Act. fourth our of During Exchange of XXXX. and including to warrant repurchase forward-looking Act than the management's share and operational All financial repurchase operational business program, expenditures, are make may full other expectations and growth, regarding outlook the of statements, and statements statements, forward historical impact

language and reflect we for risks Forward-looking law, from and today's discussion as refer today, differ except expectations. only statements. or uncertainty the of and release filings, could of these materially as our by Please to cautionary views results that to press to forward-looking no required revise our obligation undertake actual SEC our update the in a statements cause

not limited collectively since stream. subscription During this non-GAAP gross but to we call, we non-GAAP to, which recurring a refer including, will discuss gross profit measures, non-financial profit, profit certain services as and technology financial

references substitute to filings the these press detailed not measures line top non-GAAP results. expense general release marketing comparable and otherwise development margin, and profit measures. on Please These of research intended gross most a refer all for guidance. basis. expense, are the are our this and GAAP and basis sales to stated, reconciliations measure administrative a and be our GAAP non-GAAP are [indiscernible] on call and gross for Unless to non-GAAP for expense SEC These the

can After the call on Finally, with Investor I Aman. to website. press available found over And Relations release that, the call the be turn a is our the on replay website investors.toasttab.com.

everybody, afternoon. strong you, added us Michael, for X,XXX delivered joining another you, net quarter. approximately this thank and We Thank locations.

profiting positioned gross $XX strong at was million. EBITDA year-over-year. grew million, and our I'm XX% of and into to Our momentum GAAP proud us the out the Adjusted really $XXX finish year with income we're bring came XXXX. well team, I'm confident and operating in this

is they new to their help And We to restaurants do our serve across market new impact Our Toast and ambition segments new XXX,XXX geographies, guests, this mission verticals. to what today. proudly delight is at nearly long-term scale love locations [indiscernible].

possible I but coming customer by we what's addressable just about years, firmly As multiples continuing not both the we the penetration think markets market decade, can our expand our and believe to current our serve count in increasing markets current many over next time. over of

support and focusing we've our proud priorities have much be year, And so on been to align disciplined that most long-term our past with the investments important vision. Over we of.

over potential While full that of tremendous, the the progress in early the unlocking ahead. lies past has we're XX years still the opportunity been

this scale. market expanding leverage expanding as our adjacencies offering addressable our deliver restaurants into strategic love; in we locations number share market core scaling out the up in for and setting We've increased for on earlier operating company customers business; number quarter, on number to focused two, third laid our year. remain four, and priorities three, finally; we our outlook full one, we Number based our X new the performance the that year the and ongoing

and scaling locations business. gaining in share First, our core restaurant

recently including doubled than more the penetration. Earl U.S, Metro Diner, mid-market Corporation. signed We're we've years, X XX% only Pizza the still market in at brands, Over and Giordano's our share

Our platform density engine, in we creates go-to-market X,XXX local effect increase a markets, in as sizeable and net local adds quarter. purpose-built the restaurant driving approximately

choose to for choice growing in as position expand locations as our customers market the Toast, they Our solidifying successful continue a restaurants.

story locations. that in variety Toast is Here's Atlanta speed third Toast. of uses speaks reduce this momentum. across recently a that & area, and to and restaurant Food location coffee with increase service Cultivate to products Cultivate full-service of a errors their their concept Coffee the a opened

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All right.

on, customers we've reach help with to demand, Moving love. help their Branded Marketing. guests. recently second App expanding our our drive experiences To priority X offering released our restaurants customers restaurants and for and is products Assess products new

iOS with our allows our digital field ordering, at the a more. First, with and brands customers loyalty mid-market fraction larger our of successful Branded cost customers. particularly been build much helps best-in-class level and playing This SMBs customers native Android, new and and including has App multiunit app to the delivery, for our experiences integrated

they suite. through our and various different at our released as up variety with And show can earlier increased digital of expand experience. in protiers they we This as Guest our included businesses storefront products guest grow. now for the round builds points, our us we offerings a price are essential seeing Facing options our customers multiple products [indiscernible] this powered on of and already App provide With year customers Branded our how loyalty premium

fast with repeat XX restaurant's customers to the those casual they've order than up make For digital example, likely the sales a since through Midwest, be a the restaurant guests of across newly launched for [indiscernible] app who more are Mediterranian way, almost locations App saw XX% launched. orders orders of who Branded Xx website.

highly Second, reach we directly our guests customers generate their to [indiscernible] revenue. added suite marketing and to in capability marketing SMS more help a our

Our It's customers a slow. Marketing just [indiscernible] works. in in first SMS XX,XXX you, its the tell California [indiscernible], be will business through alone. over when full-service Marketing SMS sales tool first in month is a critical attributed

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first we refer deep little and a what to This to in on strategy across a goes focuses unique Switching our fall Kiosks, Toast thousand wide Tables Payroll updates as customer vertical direct SaaS like Our and Now, restaurant gears. Toast we things. Benchmarking, products response feedback. released range alone, of capabilities, dozen

verticals third investments and Our These right in location food beverage, over and priority new adjacencies, drive to expanding including growth international position is our market us meaningful term. where the into retail, And a we enterprise. addressable these see TAMs areas sustained represent new our win. to long

these these conviction our into continue us We head market see as across in areas to even great more segments XXXX. which we investments to increase given has signal

to and over XX,XXX functionality manages to opens on Chicago of and expanded to [indiscernible] up market food annually sales million does store product grocery snap be TAM. square In who more convenience foot retail, Americans serve accept proud million including benefits XX now over the we've beverage EBT We're which XX,XXX SKUs. customers market in that Snap, a in over $XX rely the able and

concept, this because new able New would to needs [indiscernible] meet they in be markets Toast use of their Toast restaurants past. owners in their the already

operator momentum to and guest real-time this sales unit month-over-month and data and early Now Ireland us can U.K., productivity. continuing products where app, we they our Next about for view attach see drive in also year, gains with Customers rolled in economics we're -- the Toast now can Canada international, helping our access restaurant. is that out our which the our global

we their excited drivers. to what to for won have more of be rates see markets conviction growth internationally Potbelly even the U.S. as across XXX-plus Sandwich locations deploying we've attach As international products Works long-term invest and Toast And in we within in continue announce Toast and will present enterprise, I'm improve, our the

and fourth across rollouts others. as and Marriott, is continue our we lastly, with MTY NBC scale. XXXX entering strong, priority many is progress operating we our leverage continue deliver to pipeline Our to And make Group, ongoing really to

XXXX, In to to out cost structure, our positioning durable drive long invest term. us we the we've priorities reshaped behind laid over growth our

Investor set us While we at Day. up I'm trade-offs right towards a continuing presented make and for ability our our the the confident in to future. team's our to expand margins target

thank and of to passion I and in plan us. the you It's the There's serve And every you us for question potential. believe for up, you. an our honor here your and no Toaster dedication we our ahead Thank in be confident customers. I'm team, mission. without wouldn't Thank As investors, continuing so our our have our place you to for in to we you. wrap to opportunity to

more turn quarter's results. to share Elena Now over of to this I'll call the

line joining. also with want and to Thank you, successful execution results Aman. I hard our whose employees quarter to another bottom you consistent expectations. work Thank everyone top to for led thank exceeding and

total XX%. our In -- the subscription gross increased grew third fintech quarter, profit and and streams XX% ARR profit recurring gross

a adjusted approach to [ on margin XX% million. EBITDA by and our operating resulting gross top streams is million, disciplined growth strong business Our profit complemented line and our $XX ] of efficient in income the GAAP of recurring $XXX scaling

and expectations, in a came Toast [indiscernible] higher driven revenue. by results upside contribution results line top our to SaaS from quarter including above Third strong

Subscription locations localized growth in SaaS increased XXXX. strong we drive ARR an driven up With deliver The net our momentum. XX% more conversion. on SaaS to location increase We motion locations QX, to X% and across to on adds our continue XXXX compared improve organization ARPU to year-over-year, XX% purpose-built year-over-year revenue in strong growing ARR ARR to nearly than added total our focus a and due increasing ARR faster platform net the X,XXX year-to-date, basis. location as SaaS combination XX% revenue performance approximately by ongoing remain year-over-year. in our to of to go-to-market grew track XXX,XXX,

of rate QX. and was XX with points. take XX for growing revenue in the profit grew changes benefit. the to September. approximately Net Payments increased payment expect And [indiscernible] we a impact rate the Part XX% gross GPV basis cohort in GPV XX% customers part of targeted fintech in is small year-over-year, increase forward. down We sustainable location that XX% quarter, of and last in X% rate ARR pricing versus quarter. subscription going a minimal was a made a benefit trade points net billion, $XX.X of small per third was basis improvement in onetime had with year. It

targeted small driven in down primary long ongoing As we've demand building relative for increased to prior discussed, growth for bad adjustments and over fintech the we continued pricing the drivers healthy with optimization are we Toast even and from lever capital. to capital Nonpayment by view profit million, X Gross $XX debt our price Defaults Toast associated is complement remain line due motion program. addition with our a as solutions to a the of flow, as scale forward and to year expectations term.

opened Let Speakeasy and help that Champagne me shop Toast early the used new and which to how fast, UES this capital popular they shows City low-friction one operations called business. with access value for concept The customers York their Cream Problems a Capital [indiscernible] year. grow story the Group, to Ice earlier New share owns

control visibility Shifting to their access be Group an her partner considers given Toast while complexity The seamless operations quick and maintain Toast's future Toast use Capital back avoiding loans. with time allowed to and traditional to strategic P&L. and business the of with plans and unique funding ideal expansions. The owner into to the the business to financials to for growth, Bond associated help

and areas our expansion [ made X% channels year-over-year in market Total including in R&D and reflecting priority first investments TAM planned aligned increased XX% of the debt as Sales ] credit-related our were product XXXX XX% bad to we QX, investments the expenses accelerating go-to-market share year-over-year the with investments expenses marketing areas. gains. operating highest across and due U.S. increased year-over-year in in third upsell quarter, half quarter, up strategy. versus targeted our increase the third expenses, to

provide We recently Marketing, SMS across dozen to Branded the for reflecting and our innovation a differentiate more new features Aman mentioned, further platform, recently. continued offering, our our value over App As announced customers.

rolling retail our deepening investing Cards integrations. retail, Internationally, our Toast out more TAM grocery areas. In more accepting inventory Now, expansion payments like segments and expanding We're also and EBT we're and product products, convenience behind Gift offering. adding management we're integrations our and third-party SNAP including

G&A of declined debt and $XX expenses, credit-related X% year-over-year. bad Excluding million

focus efficiencies, leverage including expect global [indiscernible] we continue and through on a as maintain workforce. automation of We to operating our diversification driving

$XXX to retail, prudently growth while and to quarter to balancing strong results was international EBITDA year-over-year percentage reflect foundation in more line growth XX QX million top The food our commitment healthy and XX%. Adjusted lay areas a the the scaling come. beverage margins in to nascent deliver expanded to investments durable and the business enterprise years and like for points

QX margin also benefits from Our payment seasonality. typical

and third QX, was free in million compensation operating $XX disciplined GAAP income reflecting performance approach $XX to stock-based totaled in expenses, strong managing million cash the and our operating quarter. flow

third price the reducing of we quarter, million repurchased also capital reflecting per over for X to repurchased million million X Early warrant average for a we share. $XX focus through shares, Moving dilution. third in our on an $XX representing allocation. shares the Year-to-date quarter,

continue based shareholder will and act opportunistic be in to building market conditions value. of on support We judiciously long-term

Turning guidance. to

to million For margin GPV to compared long $XXX subscription reinvestments quarter for quarter XX% decline adjusted total and be typical EBITDA and XXXX reflects healthy range, we quarter, profit year-over-year the ourselves decline ongoing and of the XX% $XX term. set million. sustained the seasonal to to adjusted both the the over sequential up our location, and as The grow in fourth well to as third EBITDA in to in in fourth growth planned per expect gross fintech

versus a growth we XX% now million to in the to at representing adjusted and $XXX full midpoint, XX subscription in fintech profit point percentage gross XX% expect margin EBITDA, million year, EBITDA last $XXX approximately XX% the marking margin adjusted year. For improvement

have investments areas. year we priority our XXXX, significant the of highest the resetting with in aligning meaningful structure and at adjusted our far, after EBITDA margin Thus cost delivered out-performance beginning and our expansion

business strong a the we financial position and to exit for growth. As durable year, the enables us to us both profile XXXX our long-term invest in strong

to We balancing as we on modest march expansion Day. medium-term we will Investor goal XX% XX% at focus the margin growth with laid out towards

position accomplished the up, and across in we wrap proud To what executing XXXX. of our heading XXXX, far and extremely so in board are into we've

back Now I operator over will call to begin the turn the to Q&A.

your Instructions] [Operator line comes Baer from of first And Stanley. question the Josh from Morgan

ahead. on is Questions growth location

expanding, strong. is execution's TAM Your

XXXX. the momentum mean about it more your and that add this density that how 'XX? 'XX from you're you wondering benefit of you're more from in location You efficiency locations markets, in can talking a Just bringing versus additions? thinking the into year trajectory Does about Is similar number?

we've Josh, net and look, adds. by X,XXX I'll quarter, start we had great saying had a

got drive And our led continues I than adds core markets our for markets [indiscernible] really These XXXX. the business. stronger think overall and we've productivity in by to to number strong continue It's of net in flywheel strong markets markets. increase. other flywheel year, our productivity the

that year. conviction to international does more businesses those our And market. next in we're parallel, momentum, us good X invest give ABG In at Retail seeing early Horizon more

recognize verticals it's scale market segments. in win market scale had if next zoom steady see you and now -- new about in to to like and before as critical well, like a we next TAM the both just momentum. [indiscernible] billing our core and expanding that to enterprise, U.S. -- across while our great And We year moment decade new continue and drive business drive out both share also there think

drive next And growth ability continue year. in so into to overall, confident we're our to location

from question next Samad Jefferies. Samana the line from Your of is

guys App restaurant. core start to the items strong to just not for newer continue the of are I'll Maybe Branded other some It's the SMS great ways value and of the to you that you Marketing, kind that inside add on of see results. mentioned, first, the

margin type Just motion revenue different how how are about those attach profile gross those the a there maybe of just sale? cross-sell is think we products? thinking then about rates? different Is for or upsell a should And Elena, streams? it we of And

Yes. our tools, and help we're really from [indiscernible] -- additions to you and our SMB pick multi-unit Thanks, nice our can in early the the especially mid-market great. elena, drive to Branded suite customers they're customers Marketing it after jump And customers Samad. the been App has start demand. can really feedback guest And in SMS I seeing, up.

locations. It's and about we as our think why invest existing make locations business the continue innovation driving we're driving as longer-term continuing think to and I our growth That's to both TAM well expand in talking products strategy. as about better. our core in the product

And step stronger suite market. guest so the in to our continue to even help just this is an make us product one more

too gross against I our execute as payback tell to on unit it's you add Yes. the that seen doesn't we've the focus -- point platform. periods the really Samad, for and profit us just products, on economics discipline more but seen can that change to that those early, and you've we products

So we'll nothing on keep but to eye report. It's too an early. it,

Great. And just a on price the increases. then follow-up

to tailwind Is when expectation that us was -- that think through this should the people experienced. any what take maybe base some the kind let it's that installed several have think on magnitude be targeted. -- fully long should years? base? baked is And we very the something different something know that that will take about whole there And there's guys will very into several clearly we be on quarters? will what when out the going of curious some I'm You it rolling I how chatter

for the Samad, question. Thanks,

think target about it alluded minute little the how bit right, a locations the this time. algorithm So levers think and we that about we're it And pricing ARPU we think make and just build adjustments think frame alongside. really just we muscle over as to going is growth But way the we Aman pricing, primary about complements ago. a about and growth as pricing business, to two to of the

changes made small what you cohort in September. And do very price was QX a of saw us for customers targeted so effect into in went

So we would is some pricing pricing I will more strategy. for occasionally, where think minimal a in that that's time, make And But going impact why long comment of QX. sense. adjustments long-term to with small about impact think as something we it as targeted in makes QX, about it us a be

is line Your next of Blair. Stephen the from Sheldon question of William

and enterprise. with a is Bellies really Pot one So encouraging win

is convert And So just pipeline you've bigger that customers upmarket, there. of longer building? versus a win deals know the to are for factors that usually that won lot solutions? enterprise takes curious how it competitive you I have what helped some

Stephen. in Thanks, me great got their Potbelly food always the is down for a Massachusetts, us. I've one their win actually I bottled live. for street peppers. I've loved and

brand, a it's out. them excited get rolled great to with So them to partner

As previous pipeline, I just continue enterprise year, the I every really think that the see year, build is we about we think to our which on sign. good a is thing

product the really of the execution, we're investments restaurants in offer the testament out of continue management, course, help the we the been the importantly, of capabilities for we've our some our manage terms to, to config even -- at a it's to In just scale. but opportunities. of opportunities to making getting upmarket, And of types go-to-market above support store more scale enterprise, whether and scale build the capabilities that's we're seeing,

is but our talked these working some so and this each international business. on. out we've vector is the important capability there's something other and core it enterprise the course, I it, as in think as the next enterprise be we're alongside going vectors some piece and of that just about I the custom decade, think has -- capability is way of international us, about steady about think growth SMB building we other I -- is of and well U.S. And it's retail, of for to an growth that

Redburn next is Atlantic. Your from Dominic of the question line Ball of

retail from? Elena. a also mean start you the software XXXX, expansion. such how little international speak more to forward come where bit impressive really more even going as And towards Great Can into win and I larger job change quarter-on-quarter merchants? as ARPU does on this usual. sharp has then acceleration you

sure. Yes,

your in improve the the a There on to billing what team's of end-to-end quarter was the focus execution this conversion, the process. at comment the in revenue improving revenue organization quote-to-cash infrastructure So answer with our happened to proud focused question here. the the ARR is and step-up SaaS to more team looking really specifically, actually

And so to ARR revenue. resulted converting that in more

bit I saw as is than we some you ARR a And some more commented, little revenue in a the we've is way But should the higher onetime We'll on benefit. about -- QX see conversion think onetime future basis. QX, of that -- in historically. seen a

as So levels. to won't it QX, be as shouldn't we certainly higher than high but historical expect -- we

the and and what economics far so smaller and to just in they Elena Okay. look businesses while them. of across looking are of overlap these because need. that, and some both core unit It the U.S. you I'm And what been year. Dominic team is retail so year, carefully asked higher scale international at seen ARPU there's business businesses, And We've one things just a our much this expansion new is segments really ARPU you the bit and than CPG at platform on we've slightly all core in across and of this us driving these SMB mean. able about of proud new as the But if these of margin really grow segments margins we contribution market markets.

That's great.

ask and you location to mean any wins mind retail I terms you of quarter? one more. for this If me numbers us don't international give on can for

to economics, of of more improving progress been or grocery bottle really we're unit Day. the more we the good continued from I across or add we're shops. which We both and whether retail, continuing In our Investor then just products, international, convenience the Yes, positive. CPG -- it's had our -- all we're then. think numbers momentum shared seeing some our seeing across and progress has And And is really productivity.

expect good And signal really year. 'XX, to what going businesses in more based we momentum on see next far continue invest to we're -- so to year. just these this seeing in so next And

the Your Chiodo Timothy next question line of is from from UBS.

a to on little I capital dig want to bit. in

of -- clearly, have, this SaaS the a this another key of of with become position. leaning sort advantage given not system Capital is record, So is more topic in you This Square and pull good advantage topical payments, the it's the into for investors just Capital has and growth that you about is you're business. Clover being business been that somewhat Clover has Square. delivering but their

So with right, all still that below GPV, X% different the business, as nascent a Square backdrop, a as when different And I et Clearly, merchant program percentage compared of vertical look a in level. cetera. distribution, sort that's the at relatively very your of volumes it's is size, Capital. to

they're certainly higher? see could there little sides? you to be might in to the Could talk possibly wanted X% term? we more sort X% you both if range, are about where sit X.X% But I And range? and it a longer arguments good think it in of just bit that on Is

to to as best the up default to fast, this performance you thing getting rates the expect the to be. and continue we And we where question. million, for let been valuing excellent. Tim, capital. Customers question. program. the It's very I are start access the are saying quarter team's me a is think by demand has here Thanks, fair execution Yes. And clear, the of the right? all, product the low-friction saw just optimize for Like them first $XX

So program. all a really healthy in it's all,

grow about have in the profiles Other of to to we're term, different As continue it a going balanced companies customers. long think we way.

to term, program that attach. So consideration. you no reason there's grow take But through more why over the the long we got into could

manner. that we a we feel confident to sure today. team in the we think want balanced where risk-adjusted make I executing really do just very is But

the question from next from Mizhuo. Dolev Your is line Dan of

going know Okay, long-term Day, results I bigger that kind months? want the any other the if of to here. is just of last into guys, question. you're strategic any terms re-prioritizations next of you had initiatives in over I your international been like but ask have Analyst discussions, in -- to sort recent really there the sort whether take there the few amazing evolvement of products, different or given year?

product lot all think is with of drive of what outlined consistency Yes. our it terms for against and of really ARPU Dan, in into I to our impact to good seen portfolio foundation. year really in Investor customers. markets ways that's and growth, that Day. growth at location And has that's a and a the progress continue more flywheel, continuing efforts We've expand to get we

we the future our most growth driving about business think important That's As foundational. have, scaling we is the leadership towards core in all and market opportunities thing.

where future, there's right the unit we to with in the the investing next about core think platform. -- great of addition our we the think things As good overlap really one see a important scaling we and most win, economics areas and there's to to opportunity. up where is Where over in the decade where open TAM our right there's think we

next the international markets some going has right, job we're with I retail, some like of And go-to-market finding with going key CPG We're investing so and more think team the make keep with year. some to those of product same a areas, expansion have products that enterprise the in we keeping great business, done and better attach in rates. areas of those also capacity to there to invest

are Day. strategy There we're so we a And is things really, that out. Analyst are few outlined with doing further at consistent also what that the

as other is investing things international markets, portfolio. that share we are we're R&D we'll looking our when And there any going signal. our sub-verticals, it's some Those and we're we're are see looking So things further more in that of in -- to whether are is in where we're other product investment the R&D learning, take to What part our -- it's categories, appropriate. out. team do

line Your the Bauch from question Andrew Wells next Fargo. is of from

between Andrew. on I X% Can bit I just two? the revenue, -- own your the it little you a on is a it on year-over-year go into metric, subscription quick Conan up ARPU was had up what guess, SaaS XX%. for This was -- is question difference and looking at

ARR things or Yes, there differences sure. concessions timing, like based revenue based at between At the are on on times that. level, credit, highest and

driver And about an team just that mentioned, talking And as so the the of has view one strong. of X%, we primary talking basis, about growth ARPU. key on that's so execution levers ARR locations. between two. keep of the alongside SaaS When the We're as the been And Aman mind. ARPU, the in terms in

it. how that's about think So we

Next the Sachs. Will Nance comes question of from from Goldman line

thoughts Really we've I -- wanted I'll And on A great so feedback have lot on out curious just I'm to of you're of, incremental tonight, I verticalized on kind sales the scale just wild. kind thinking out structure the one any one, you're but ask you product? just benefits have and getting or ask existing some for of force heard the it. more of seen retail exciting in calls sales about if of that the How having weighing push. versus it force specialty the how going on hand, kind about go-to-market? of

the that is the that investing of all is, can strategically top with benefit lead throughout have is drive flow. think said, to we've the part look playing more of retail across yes, retail. to But great yes, XXXX, on team -- it's subcategories confidence And got reps phone country invest. you all we in as in. very I that Will like the momentum help also And at you we us focused continue sales we're the Thanks, see it if giving

So maximize through approach something tweaking what to is that's we're testing. and we're thinking and growth, best the

year. thank next seen highest if lean the you far. you from momentum thinking on progress we see the signal report build team year appreciate and But we've This this the that. of and conviction that our at gives and some level, us for invest And the more shared can so to to the

is question Nick from next of Your from Wedbush. the line Setyan

The to uptick July here. industry over restaurant troughed seems in have all -- way through month October the an month

expect forward? the have -- potentially be see And so we And per going is, location? could QX? GPV troughed question in to that what that Could see for improvement

the Yes. Thanks for question.

consistent location consistent the relatively been with per QX, last GPV it's several actually So down quarters. X%, and over was

reflects. always guidance that's believe and obviously, type over we continue band. we're monitoring expect And the we trend. the that As the say going consider and a that. within kind next the stay same We we couple It's it still tight will be a head similar quarters, QX, of And in into to it's as monitoring, we our range. to to it of be in always what macro.

We from will last Jason America. take Bank with question now of of our the line Kupferberg

on still Or it question I This the And there tell you on takeaways? bounced restaurant what range slightly this the wanted net metric? annualized between Is fairly just ask to they churn. updates the competitive Jason. new adds quarter. above new quick openings Or basis? an is X,XXX in a on Melissa of about us Are to are XX% and [indiscernible] there? for can any about that

in reps Sure. either in job We're market does new to as we've compete great of either as terms way. adds the mix some well -- the -- it's a consistent team new largely the existing and can I the think existing some that and and great trends good past, are been restaurants, X,XXX restaurants switching hitting thing net with is seen our in upgrade. quota openings of [indiscernible] openings And with we've so case, got as go

with it's shared terms what see in we be churn, we've of aligned churn, smaller do historically. -- largely it's restaurants. And When

so And smaller. everybody. of so range the churn you, is just our similar -- impact there. Thank And ARR metrics

Thank today's call. This joining. for conference concludes you