BlackLine (BL) 2 Nov 232023 Q3 Earnings call transcript

Good day, and thank you for standing by. Welcome to the BlackLine conference call. [Operator Instructions]. Please be advised that today's conference call is being recorded.

I would now like to turn the conference over to Matt Humphries, Vice President of Investor Relations. ahead. go Please

Partin, thank on and Tucker, joining today. as us Executive . Good call you are me Mark well as the of Therese Financial Owen With Officer. Officers afternoon, BlackLine for Chief Ryan Co-Chief and

year would started, in QX that statements plans, call to note not objectives our particular, future historical for facts, XXXX. and Before made I that full this performance, during our we guidance and like get regarding expected conference are certain including those

statements These our forward-looking date of as Private meaning Securities Litigation the Our the within of forward-looking the Reform of of call. Act outlook XXXX. this represent statements only

our statements Exchange and subject in actual we differ the statements our uncertainties, materially, risks any forward-looking call on of Securities with and this these and particular, stated Form Form results XX-Q. expectations and today in made current While to including as are could periodic reasonable, are those XX-K as filed our believe based Commission, reports during are

We new do statements, result by expressly a law. to obligation or as whether our any of or applicable disclaim alter future except update as forward-looking events otherwise, required not information, undertake and

make year, the relate call the period of corresponding last we today comparisons unless All on noted. otherwise to

with in our our stated, of today. Finally, the filed investors.blackline.com or earnings historical of be release, non-GAAP. GAAP website these our at on non-GAAP financial A our our Investor unless reconciliations found this on versus otherwise is Form discussion information SEC which and non-GAAP disclosed measures call in available currently regarding Relations will may financial be results X-K measures

to Ryan. over call BlackLine's Co-Chief the Owen turn Executive I'll Officer, Now

revenue am existing comment were total in business today's our want our our in Thank non-GAAP for million automation saw this us focused quarter revenue while with performance Thank and we total on, and XX% targets joining and you, progress targets quarter profitability have and our I net forward. the the the results made today. with $XX income. delivered expectations to customers, To $XXX receivable high-level all solutions. discussion, mid-market in we start . We you our accounts in areas reviewing the going sell-through of on before and exceeding including of key afternoon. Matt, I on in our solid Approximately million sales good

customers or their Additionally, XX with ARR, revenue, million this number continue the as enterprises in recurring of journeys. transformation large with annual finance increased more to $X move quarter to or forward digital

occasional through mind. pothole. the co-CEO this results of the more demonstrate When strides in the broader the drive year, we long-term the are since in business some aspirations as March reviewing our assume been and progress walk quarterly of and let's a it's and opportunities our disrupted roles this and context, case by I Therese forward prioritizing we areas with provide key forward To steady

customer retention. As ensuring areas a and relentless of network; market and reminder, focus our four, message building receive across brand; are: BlackLine promise; customers five, the BlackLine's optimizing of operations; value the execution business three, and these two, one, distribution principal our

drive and execution, to continuing performance outcomes respect to deliver to With make we organization. progress the are steadily throughout improved better

out Some taken actions to of coming already of we is actions in the quarters. are and others of and this and communicate progress beginning months roll result the

our and on logo First like mid-market new quarter go-to-market Richmond. business performance adds specifically, Bank better-than-expected this Precisely with saw we in In customers particularly

enterprise to increasingly grow ourselves the have into disciplined target in being customers the potential those attaching customers to are We BlackLine. with we we believe in how mid-market

so and Worldly far. very Canada, saw With Further, solid the Global in we of solutions. a our year sell-through like customers accounts strength receivable automation underscoring Excel

interest mind CFOs for of receivable globally. top in As accounts you is can appreciate, automation

scrutiny. capital collections cash As and intense under are management working

the in bit a force. execution, Going deeper seeing efficiency improvements on of are our sales productivity modest and we

action rates receivable. track, close in competitive we in in we While also our win saw our August positively our improvement measures and workforce the does mid-market accounts and productivity the rates, influence in particularly in

far these illusions that we early based all quarterly to is and conclusions compete harbor product geographic more draw no I on While meaningful metrics, to even the industry too we it serve. across markets need

Turning to brand. our message marketing and

We to unify partners to are rapidly message and advancing global our our efforts customers alike.

event, was have at to power our aspiration seen through where XX% attendance year. digital this Conference, At come our the transformation. finance up You guide inspire, our and the BeyondTheBlack recent we prior over may reinforced

platform the As part finance becoming of that the of for we this, unveiled accounting office of new CFO. support and goal the our solutions

are offerings receivable our announced business to going we the Data invoice partner, financially and cash consolidation brings immaterial acquisition our our within of via component of accounts automation we Specifically, process This that into expanding deeper to end-to-end acquisition it. the key Interconnect. complete in-house while of the and our a breadth solution

of the that promise and ensure our returns investments. value on how understand value we can next generate the provide customers and their solutions is BlackLine's and The time the meaningful area on

implementation months announced we ago. a few recall, X-day program you a If

well We for program demand this increasing. this customers are to pleased is share program with is resonating and

do while and We to it automation have At a level priority their program the customers remains offering also we support to higher with further support with ourselves expect. and market seen customer high BlackLine unparalleled by easier of win solutions. purchases take making a in rates BlackLine the additional competitive in of business differentiate steps next this our level,

our making with are relationships both to efforts, expand progress field We alignment. and considerable partners our the distribution deepen with and top-to-top in

new within seeing a especially BlackLine larger consulting the global as positioning CFO. introduce are renewed within solutions a our office of footprint the we practices, servicing their partners, in interest For we

firms. such XX broad top service close XXX event we across over Additionally, increased our are engagement clients. other At provide managed and to BeyondTheBlack specifically, channel consolidation we partners, attendees seeing from providers to and services as their partner hosted our BPOs

executive multiple partner deepen collaboration. forums, hosted also further sessions engagement to meetings and and We our

partner of all a the attended XX% run powered of More value session highlighting attendees BeyondTheBlack partner a approach. than

terms partner out this channel. accounts our on success came our deals our In recommended X by who of a quarter, results largest solutions. via partner-driven other our much receivable X And were with in of receivable of partner accounts

Finally, retention. let's discuss

renewal to As our our the and relationships. you our is unacceptable revenue given XX%. This solutions of declined saw we level on this sequentially place an nature rate quarter, existing customer of performance the value

are have we will initiatives and the influencing performance. team our are environment, While market-related in expense placing Even consolidation metric, there such everyone vendor here customers, certainly better on as that effort are this negatively to efforts have and management from intensify. needs impacts this should expects that we

influence at To announced positively BeyondTheBlack going we we driving existing of this are number support forward, a customers. and customer-centric with that initiatives currently

end-to-end customer teams including BlackLine process success X optimization using our blueprints. the We standardized strategies, along optimization customer plans operationalized are focusing and with on in-flight

also one account teams our process engagement disparate consolidating management to and multiple customer We programs. within joint are eliminating

ultimately Finally, customer the this we digital to our to drive engagement and as are of of goal office and more CFO become increase solutions critical transformation rates higher. renewal and the Theresa mission with even speak will end The to, adoption, is increased their support simple: of journeys. breadth satisfaction and across finance expanding the depth customers

manufacturer with both signed the saw largest and America, We and activity competitive quarter. we deal displacing enterprise across wins North legacy this medical the mid-market solid to distributor private Medline, supplies being takeaways. wins many Turning of incumbent. In or

competitor customer all ROI with the processes, part initially BlackLine. in solutions of replace was and leading automation existing While looking financial small of BlackLine resonated their the a nearly strongly, at their value to of them

an In from errors on another example we manual global in provider processes away reducing consolidation successfully manufacturer number could activities. time CPM manage was intent signed customer while replacing key The the America, a new North that existing control close. industrial required financial not to moving and of close in customized

with We their were expected customer not with an But quo. the the provide replacing they of the to cost systems action value the status to BlackLine. also by that stayed just able legacy

In our largest for multiproduct existing relationships longer to to are what we in signed is long-term automation expertise our multiproduct the this industries partner across examples large and network global modern beverage real drive customer's customers exactly with a competitor. of domain displacing and an key BlackLine Further, the business. elite one for partner, our to collaboration Europe, we accounting benefits through leveraged we on distributors close a of deal provide leveraging sales have global and striving term, This deal with customers.

seeking consolidation powered and to controls, across multiproduct a via to Finally, focused transform streamlining also software close the infrastructure was and of their also the finance sales building security. strengthening operational departments and the receivable were processes challenges partner provider visibility. IT spanning of They motion, CFO internal and leading from their automation. improve landscape and on customer their on that could The office while a technology accounting partner accounts signed solve automation multiple we

is the partner and drive the software longer-term their Our business. for to partner best position at achieve customers' BlackLine results goals

expansion the side wins. some also quarter, saw this On great we

we our processes. handling financial competitor solutions, their that legacy was of Specifically, a WEX, replacing relationship in financial global grew a with leader existing technology many

We benefits their further goals. they to could this partnering finance seeing demonstrated BlackLine accelerate transformation extend how from they were already with where and

wins expansion Further, our we via partnership. SolEx saw

like global financial S/XHANA. their example, expand For journals to to more that close optimization relationship core we transition telecommunications they our activities efforts a company cases from use with deepened to process wanted as advanced

can automation their leveraged with customers processes able drive in were transformation. across be before results place and more demonstrate their additional are to that broader how digital teams Partnering we ensure efficient critical financial SAP to commence

fellow With to that, thoughts. I over my it Therese? Therese discuss turn will to CEO, our

technology, with Owen. early, are while and In you, results pleased I seeing. we Thank product am the

customer road on laser-focused map is product becoming Our centricity.

our August our autonomy. teams Our deliver agility silos more but our little to leaves our caused not us teams vision This better removed more in only and to for in workforce positioned and and act disruption very execute allowed action across customers. with

for our to has creating within data-driven and platform offering allows level, we and that deep or own building us comprehensive a are years of flexible solutions leverages those blocks acquired and maximize to solutions. to vision experience XX BlackLine close into innovating and of whether Incorporating a Speaking efficiencies. our and this platform accounting we unified high of tools expertise, finance. unified AI to the office CFO the a committed at leverage are knowledge integrating

the CFO. platform vision being of the forward We expect we for office support deliver the to innovations our market-leading move as of that

Our recent event, office exciting successful the several in beyond breadth of depth with office Black At benefiting across and of were we We CFO. the capabilities, announcements our of very Data the pleased product announce expands September from the consolidation this are announcements. our approach. which offerings the combined Interconnect made acquisition to

into transparency now offer customers. and and solution, analytics process record-to-report end-to-end financial our Through unprecedented reporting our the extended we've further to

where and market from real-time consolidation looking modern visibility. differentiate We by been consolidation our of has lack providers legacy suffered approached have this process how the and batch-based initially Historically, solutions at could served themselves. a

For at unique. on way drill is line and way reconciliation or individual powerful our fluctuation the the most all to and granular items to down general statements users, the the the all track the ledger to analysis level individual financial ability up

Also, and the validates cost attestation savings enterprise process and we've for pre-reporting time valuable delivers developed customers. numbers our

modern When saw opportunity, and we customers the that manual use solution end-to-end consolidation typically segmented customers market we excel. a combination of processes and mid-market often a lack

combine provide for Sound a value a offers is end-to-end and proposition close financial not and platform a customers Which when BlackLine advantage. powerful close FRA familiar? While can existing with solutions, consolidation. very real required our competitive complete

BlackLine several by as adoption consolidation seen large enterprise already we've a using tool with companies efforts. to market, up assist Looking

mid-market successful more from need be both partners collaboration to domain product. customer than just to and a We the our succeed. market-leading and requires feedback enterprise However, across expertise,

groups, aligning these advisory in where experience that's FRA considerable trends efforts it running product consolidation, to existing our map development customer now purchased top evolving road ensuring using while Through are customer that we've for are our with many with along partner is teams. So and who spent parallel of effort and industry time boards, we mind.

from further is our strategy. the validation and to report The into enthusiastic process record of our efforts customers extend we as reception our

EIPP of integrated success functionality acquisition capital small our cast functionalities environment and working or AR to on this as Interconnect, committed interest important our in market a creates power features demonstrated management reinforces receivable to vision payment automation, that such, for our this and integrated accounts solutions, invoice former that and this of [indiscernible] we partner he need market. end-to-end high a that Data the a their brings and The provided a fully results growing invoicing to the the CFOs as This remain we of quarter solution future our electronic becoming have by modern priority our in announced receivable that in-house solution. acquisition accounts presentment on we customers' ensuring globally. belief growth technology and the completes is the cash completion visibility and especially our remains in In

capabilities recently a new the unification features and expanded also well we Microsoft solutions of Microsoft the integration Primarily our new developing Connector. that on that deploying DXXX underscore solutions. of with operations. and We as for addition for announcements their and rely Microsoft as our our ecosystem the new time-to-value connectivity for mid-market Microsoft quick to announced commitment our often through These easy-to-use Teams customers

we of solutions new IFM at BeyondTheBlack. AR and innovative enhancements capabilities AI, a for number on our Finally, announced and close

occur, before Intercompany spent the guidance capabilities the offers IFM of the IFM cycle. the predictive time One they resources transaction and our failures to to more entire interesting solutions. customers intercompany across ability life is transaction minimizing prevent specific

its this capability in moving interest to seeing our IFM [indiscernible] still forward adopter XXXX. and we While phase, largest look in in great general from customers early are to availability

our accounting and BeyondTheBlack utilize over customers, it and offer closing companies they to and who course, of BlackLine. partners, call Before investors how digital of attended all event employees recent locally. fully sincere when of modern my I to made all to transformation demonstrate finance the and to want congratulations want accounting our I thank the winners. turning finance Partin, premier achieve They our event award Mark

performance of Mark our I'll discuss to turn to our over that, financial the With it outlook. Partin details and

Therese. you, Thank

and on are the we positioning ensuring Therese office deepening the drive our of higher of and focused that mentioned, levels business to while we position Owen CFO. extending remain the within performance As

certain let's detail third additional financial more business that the with of from you insights. to our demonstrate and are While in progress, our parts results steady mind, quarter review acknowledge in there this need the further. With we improve that quarter highlights provide that

line $XXX Calculated was revenue annual total quarter. XX% prior ARR, Services expectations. closed grew XX%. Total XX% the X%, We recurring the revenue grew with up to RPO, obligations, million, with or $XXX subscription was billings with performance of revenue, growth XX%. quarter XX%. versus in up million, The revenue growing our Remaining or up up

XX our added customers count to in We bringing net quarter the new customer quarter, X,XXX. total the of the end at

similar as of renewal with a what they lower rate, or rate renewal what we vendor expectations. XX% our last renew this to revenue consolidation. we Our saw was was seek not experienced quarter, deciding below quarter, either near-term On to group through customers to simplification small expenses technology landscape

lower customers. Net account by revenue XXX%, existing was retention growth activity influenced from

of see We decisions the near driving expansion. in on lower continue to cross-sell levels velocity and activity being lower of the term, more thoughtful user and customers their purchasing

driven with Strategic product sales, FRA. and from combined new performance receivable, by of XX% healthy represented net performance solid sales accounts

deals Intercompany both as net of new due large globally. lower seasonality performance well and combination XX% Partners quarter this a both were this quarter involved expansion as was relationship of our deal to lengths remaining elongated. SolEx cycle in and across

expectations year-over-year show despite the below being sales SolEx performance our quarter. slightly seasonal third in growth to continues steady

QX, In XX% of total partnership revenue. represented our SAP

margins. to Turning

XX%. Our margin non-GAAP subscription was margin across mid-August gross business. a performance, gross XX%, efficiency operating workforce nearly non-GAAP and margin of further gross action discipline Non-GAAP driven and with operating XX% our by margin was combination of our

margin. non-GAAP million, net $XX attributable Non-GAAP to income income a XX% representing net was BlackLine

performance on and drove income line. strength operating Our the net income bottom interest

in flow in flow free operating cash margin free the quarter We XX%. with generated in $XX cash of flow million cash $XX million a and

securities, cash, with cash $X.X ended billion and our data Finally, of QX. marketable inclusive interconnect of the equivalents purchase quarter in in we

we against to recent are we fourth market. balancing the the in As performance, expectations business to see what quarter our we ahead continue and look

are As such, views. year narrowing guidance revenue range to full reflect total these we our

interest Given the investment further took raising full efficiency workforce our operating income on actions are combined and we net in year higher incremental with August from portfolio, our guidance. benefits we rates non-GAAP

to revenue growth XXXX. million, approximately expect we X% to million fourth compared fourth to representing of for total the range $XXX the of Turning to quarter. the in to guidance GAAP quarter $XXX XX% be

million the to of $XX a basis. in We net million $X.XX expect on per $XX range BlackLine report $X.XX or share to attributable non-GAAP income to to

be weighted average is to count share approximately Our expected million shares. diluted XX.X

the XX% expect the be range million, XX% of in full growth compared XXXX, $XXX.X $XXX.X total And year for to XXXX. to million to revenue that GAAP year full we representing to

to On the net bottom line, basis. million $X.XX per BlackLine share non-GAAP income $XXX to we are raising or our a guidance $X.XX attributable for million to $XXX to on

be to expected is count XX.X shares. million share diluted weighted approximately Our average

To our for comments customers, investors positioning drive success, would partners, all while close, to Theresa's we I this groups. and that success. long-term of benefit year and that end commitment business provide through focused we these of employees echo are results to the this the long-term on our delivering want

operator the questions. now the to take to open I'll your discussion ask

Oliver be [Operator Instructions] will question Our first of Rob coming from Baird.

Owen, one start. for you to

that X the most year-end I the guys And into maybe with and little maybe customer execution you make? a a now Could improvement, to for progress and bit to maybe of perhaps to quick you where X areas so still have had starting retention. most 'XX, follow-up. about the those looking talk far. focus then progress of within you laid And So year areas have down you've out made where

Sure.

to brand and -- the you the of think about when to execution promise I the X distribution, the retention. think everything things, messaging from the

the network, prepared market. we've the levels we've also sure time only operate. the we field, a those we remarks, they understand that the been at make in think but success comfortable in markets those our spending trying I area they're build to world made to the major most bring of senior with said as sort to of our relationships distribution is They sure we're understand the institutional around in Because particularly the of choice. area most the probably lot not why they to all organizations the partners. And products make to of them we're these able in the have where support the best with

with global leadership. as well their As

we feel I So think good that. about very

to number positive to to with to through signs drive a Theresa, critical our some relationships and partners those finished that really over success. see again, already. in just You've started to, our the of some continue trip a to and Europe met I try going information we've there shared It's be forward. of

where the of most have I in hard area we just bring myself area for work a adopted the own think the and and now focus have team that so team retention. to customers that, to and And is achieve account what well the professional the our area working as organization. to point as of customer reality BlackLine right we really of our full an opportunity, and into promise it's a been of as beginning that well value as And is, not we're offer. would sometimes in-house is customer with our like. the hard has with make management to really partners sure leadership is that We services

to So going to is that's team. to the a And when and only attrition that is down for focus continue be area churn be X. that the happy will I

color. on just helpful. see. multiple That's seeing And I script product, great the to appreciate you noted that a in guys are traction there, quick all times really the AR which is follow-up that then

the as grab partners the larger to a to those CFO. spend that guys distribution work office get sense, of try with a of within to wanted Just you chunk

tuck-in head of As a top made rising role that, among sense at strategic pipeline the importance the you and here, is sort 'XX. could that is the larger play But products and that there something I terms could a AR enterprises today, to stressing here the in into of guys we you know as of as look well. acquisition be just

sure. Yes,

is accounts I doing think think what opportunity that interconnect of has the the in about around market we to that also because from end-to-end economic purchase that that there. But receivable. the is us feel huge allow we data other we're important so environment -- there's that a really product really solution changed. complete we And good thing did offer

of sudden, for to a collection, financing. X%, capital working that more is much all starting And when cash you're so X%, X% pay critical

really interest And that us on positioned. of smart being so capital working I to the investments change rate our the made out think we've it's helping about build to in macro better also offering us that and be importance and a the combination are

in about we're of again, And are very I think the us that front what excited product. on opportunities

James. Our next from will coming question be Alex of Raymond Sklar

want efforts? just to you the on question line I been regarding fruit? Can more your you're hold. to take answer some that team expecting able Rob's help Owen, frame lower-hanging up of time the kind and spoke actions there of identify kind today. of retention some kind you are those the of to these some to first of multi-quarter, Have Or you initiatives follow to multiyear

are that's hanging again, well we and always that Are it see see customers provided and at I But We're them, there's they we you there can out information using anything low how some for foundationally level we more looking it, and we of the data fruit? think Yes, than have. fruit our after. to from what go low-hanging us, actually else.

our to out And product ways call then with frankly, be and where so not. they're quite we're what they're BlackLine And where the to we the using partners able back the figuring our our them optimize those delivery help to in well out to . and relationships understand go them to the with through we'll moving have ways CFO our particular office well that working as of X also as within forward. customers areas customers strong

think been been Therese lot it. that's of know I well. has a us I giving part So thought as also of

add you Therese, So to that? to want anything

great low-hanging and nice implementation, was running fruit on quickly without that We that know the value of promise delivering BlackLine's of Alex, more getting up right? a and of a had . Sure. great was of a example one sort impact something X-day of deal people effort.

the -- there Has it product terms guess rate? the renewal mid-market? of Is just been change customers? point across kind any this I of clarification on commonality one the That's is kind All that. single sort color. Is of right. other board? all great commonality Any of on in of

we're No, where no or the they are with looking customers looking that we one of every information their Again, journey think that on at. I there's anything to data go see that's through us. unusual in our

Obviously, to customers we sure have out make we're that working those methodically that way that our for feel there through list room very with. the improvement we're working

And deploying some companies, larger focus our resources closely little and of But maybe the take of against with to so, partners really to trying bit is using our and them again, team sure yes, obviously, our you this very customers is the on help wouldn't way offer. talking a working what make to to sooner. our own advantage has be out they BlackLine internal

would So thoughtful, this. how methodical we're I all very, to structured say approach kind of pursuing very

more squeeze for I'll maybe just in one Mark. And

e-invoicing that was automation On -- that builds be solution average really AR frame an from to there. from product would new the interconnect? the data what kind seems there AR or it product out Can opportunity, whether revenue any from like automation e-invoicing it uplift customers just contribution of and you ARR

Yes. Thanks.

as people immaterial the revenue to a technology. to billings like acquisition, overall think quarter. and business the nice feel we We this acquisition and framed material, the the I we really technology is got even a

business. term from So . the coming no sort in that near there will uplift be of

Chris Our will next of Morgan Stanley. from be question Quintero coming

is made to exactly Owen, compared that maybe it macro distribution. and better-than-expected some is How of of you mid-market. execution the in customer about do driving talked outperformance from stabilizing in logo the you the much adds segment? improvements think the you've What

like market expect we it should on to how relatedly, customer go-forward And more of that more the size? of come mix kind Should from a expect we new of basis?

is the want focus be. what for I strategically And that Look, is I I'm sticking really where -- around organization. discipline is of to proud team to very think but think we a this lot and the doing

winning what able the And These of give BlackLine a situations. also competitive has does the great value to that our the as the we're rate. us This of We've a It's demonstrated them offer can table. something competitive to in to bring be higher we've team to I of truly think is And customers acquire. at been so able number been a been part solution in in that mid-market. differentiation. FRA

actually both more we're move of mid-market equally or bullish customers. on we enterprise on hard for shifting trying success versa. our focus our the from as We're so drive segment be this Doesn't vice market quite forward. to mean And we'll focused to

talked customers. kind And better given have to underpriced that of also you about your monetizing then relative value to of the add that some your products, they're they

So thoughts on the from maybe so been what learnings the those I monetization changes any maybe wanted key get And so to of of implementing different some your of you have model testing far? are far?

in at as We organization, watching doing as pricing we continue marketplace to what perceive are look an bring. others the as well where customers the that value

extensively be there's continuing quite led that And our executives focuses know a on we'll pricing. execute that. upon senior of internally to I that group by a have one We review

And on to refining achieve BlackLine and move working achieve we I is that the as try we're to the value that us so continues pricing or forward. for think value message answer to brings, be there short opportunity the -- for for the

be Our Walravens coming question from will Securities. Pat next JMP of

Congratulations.

came make when to with on back So and this relationship improve one that thought better. the how into to SAP you you things I figuring forward it role, said Therese, and of know you the you could out

So what far? can have you do? guys so else you what And learned

there's called that largest new very the organizations partner in SAP. far program believe back Grow -- addresses EMEA know excellent offices It's SAP it's And we an And SAP think well. What that We us. recently their event we marketing -- at Paris. They've mid-market. to the which a I the from that joint we've so continue where just also in did -- important an in learned with are as a that evaluating so to run we with is a world is come event came out partnership. I

it's combination delivered. from we very we and a have see of recognizing X, the value partner end deals large usually really SAP and And BlackLine up The involved, nice some power the full when Okay. that. of BlackLine, when of we

is power for grow think to the as Also one well continue that I that the So new mid-market. important at we on. we're looking X initiative, thing the of focus

So like move they continue it's is very to organization. it be large a a great going It as I fun as good. partner. would It's dealing move. to always But to never quickly with

mean, if do of large And a it there guess, How a then the I that's Great. you other to that becomes as follow-up, risk potential manage and is off-putting I partners? Okay. revenue, . too that? XX%

other to right? grow think the areas, want I you

listen, from vantage have want to against. build others relationships to our relationship continue And SAP, I will us. to with that very we what that's we with do execute we business point, strong a continuing think, while are with

So product big -- own our direct business still force various as is very of customers We've remember, well. sales built our that ERP-agnostic. from a to piece and a is

the out So all flexibility we're forward. We're to as continue to that going players have to ensure leading there. able to go we that connect we

The of next question . Koji America will of Ikeda come from Bank

just one. I have

look rate quarter. That's of from growth out revenue of not at fourth know growth XXXX about XX% got I it's And there. you at XXXX And to guide guiding accelerating I the metrics, today. there looking last XX%. quarter is you're sequentially? decelerating So billings let's the and about, your a the medium-term out in you I XX% have some target implies targets But know quarter. But RPO of think

we're triangulate, together algorithm thinking growth term? near should just all the to trying putting be and triangulate guess So I over the about we things how those

model, the our demand been we the even maybe fighting innovating I'll team Owen I got Koji, through, pulling because leadership bringing in we're coming the we've start number strategy for we we're trending our best product we're our laid today, that of growth market, start now for answer. but a -- returns, macro this to I'll as had that will acquisition and And levers to years. and a think in drive Yes. platform. position also to just chance give Is and We've position. we really maintaining and over double where not years when that out

getting platform growth the towards on progress the And profile really, sort so for track. to back is us, accelerating of really key our the

And that. little so said, more I like about . talk we'll a

today we efficiency on high and our line, XX-plus% to we sustain the margin of the bottom the confidence from margin our that levels profitability next on year, of here ability margin the profile, gross sales profile which is to strength the we business level years. run into and -- heading to even marketing On in the can profile given think this with the on coming

So do to model growth high respect got operating want With that to those? on algorithm, profile. about we've talk confidence you Yes. a

. go Yes, add Okay. I'll and on

that of really monetizing Look, the the meet they This customer really portfolio got games key, when Yes. companies growth in X,XXX-plus that customers is we're account for initiative. globe. changes flywheel new a the expanding with We've managers. again, transformation products teams around digital of is that for us, a and success the

can We the above $X million, business. expand customers and that's our part above $XXX,XXX, fastest-growing of

other oftentimes, and focus times, to customers things really internal towards and engaged, ready. lean so of to through. have other just that's when that's and our them priority keeping macro expand And And we work sorts needs they're budget happy letting

sort several next from committed the here the to for that years. So growth that's algorithm of we

next will BTIG. coming Our question be McNee of William from

to million or Just more seems wanted growing accounts of engagement? Have awareness Or strategy just in kind be of to when features brand changes this spending channel a result there say the been $X available. is in with you any well. than greater partner know customer what

William. expand. don't implement when value well, they people either that get really I of know a it's It's then matter BlackLine and we

expansion. natural and journey. seeing this finance continue transformation what lot value of on the communicating a people is. sort growth -- just what partners the of with it's extension we're their so vision Definitely, is natural just But And of as the help

sort And your of average of there amount is million kind Great. customer? -- buckets normal spend time using an like $X the of platform versus a Okay. in been

know to we but don't that that that that I is. really number. like know I what number I number, want have

something So reveal, we Mark. . that to -- not know would definitely probably like we I number, but would

Daniel from Capital Jester coming Markets. BMO be of will question next Our

out in close, Aberasturi wins the accounts Kyle You during wondering financial in for you're what further I on dig was environment? intercompany. receivable into automation bit the the Is seeing solutions, you a other some Jester. the called Could competitive quarter? Dan solid

anything my U.S., the on second trends please. ex regional then question, And just

Yes.

that companies. that that the about good we offer. the that Again, that these been results thought I feel if definitely how think of that against landscape, feel quite it's suite only have to of we a on across of about the very about do product quarter, think improved how but we compete trend. now. have a around we those we go we see We'll up had against turns competitive continue for into we I some comfortable But while.

going bit difficult little still again, to see always Regionally, And Europe, bit it's Pac progress slower Asia of we're be a But in with there. and but team what starting think is in over little and I feel market they about than a recognizing, to just other just bullish coming Japan I I Mark North again, happens America. day, periods. our in the think a typically were

North outside spending attention little think the to it regions, dividends I is trying things is forward. thereafter it's a America in the efforts be So keep growth of the -- Mark we're Japan rest next Therese weeks in move will there the that pay India there bit the world. slower than I those know and to accelerate is again heading then over our But going to some And time. for and driving shortly to marketplace. over progress in and few I help

the Ryan Thank you. to closing would for call Owen the back like I Please to queue. further in ahead. over see I go remarks. no turn questions

to certainly have asking weeks continuing days for you, thank questions. operator, I company ahead. the the and appreciate our colleagues of been look all forward thank interest you Well, the conversation in and truly our and in that your

Take speaking do, we So for you thank soon. you all forward care, look everybody. to and

conference This call. concludes today's

you You for disconnect. may all Thank joining.