Dayforce (DAY) 2 Aug 232023 Q2 Earnings call transcript

[Call Starts Abruptly] …CEOs, David Ossip and Leagh Turner and our CFO, Noemie Heuland. [Operator Instructions]

Now before I hand the call over to David, I want to remind everyone that our commentary may include forward-looking statements. These statements are subject to risks and uncertainties that could cause Ceridian's results to differ materially from historical experience or present expectations. A description of some of these risks and uncertainties can be found in the reports we file with the Securities and Exchange Commission, such as the cautionary statements in our filings.

of our we performance. course measures reference the describe to over this will call, non-GAAP Additionally, use and Please filings these for the with our GAAP the non-GAAP review earnings SEC our press to non-GAAP rationale reconciliation a full for release metrics. and of of measures behind call Relations documents, website. These this addition on available a to be in the of replay will Ceridian Investor

David. to I'd And like turn the over with to that, call

earnings our today Matt, customer Today, and will all to our on HCM the on more successful implementations thank provide and full our will an our second quarterly performance continued I'll call. us provide add update strong commitment detail quarter you, and discuss our Thank to outlook. outlook. continued full Noemie for raised second space updated scale Leagh and you results wins, and information on year sales joining across in quarter year innovation organization.

the financials, Before I our into dig to I'd team. congratulate like

our Our of that. partner our these evidence are customer the network. results HCM ecosystem. global and across momentum base organization workforce, is And There our and

profitability currency ex and Now float XX% across raise. I'm pushing profitability basis, across into revenue report pleased in grew XX%. currency. guidance metrics turning Dayforce we constant revenue revenue recurring metrics all our at Dayforce a And grew second On year full And the quarter. and the we recurring exceeded full our to revenue year-over-year are financial that results. beat guidance all constant to

basis was XX% a year-over-year and Adjusted was XXX cash same revenue continued meaningfully benefited million the cloud these by result also XX.X% from flow. $XX to is recurring and income or trends. year-over-year. Adjusted efficiencies. operational upside This our in gross Adjusted by of XX% Turning EBITDA XXX and the operating points. revenue of to basis focus on quarter of continued or expanded the of metrics margins expand $XX.X million revenue and bottom-line points

operating the cash has record in had for quarter. we Cash $XX an million organization. the flows And focus of been of flow area

I'm continued happy along And this to progress so announce metric.

first raising and As our on XXXX. profitability I mentioned, performance, our based both we outlook growth half for are

result a environment confident value focus that lead profitable and the growth are execute and in on show, are As we to macro continued well and durable to our current creation. positioned and have will success

density Our and our ability continually same innovate results customers our the value existing and deliver new us our new product at win are and allowed real also both outcome the customers. This customers. while commitment across of to has quantifiable to increase time, to

will and the This XX% As strategy. Hub year-to-date, continues to, talent attached solution both Lee speak we've full product our of customers. with resonate to sales. validation new adoption healthy sales of experience our seeing to of and the We're suite Dayforce is new

our adoption Dayforce continues across to Wallet healthy customer existing new and base. see

We new have within billion we and and are wallet. sold And the expect $X the attaching solution over a now sales, of customers weeks. X,XXX to on X,XXX XX% cross few loans we live to of customers

pleased to I'm continued front. last And announce map. our AI on to Joe progress spoke road quarter, that

provide This internally is tool usage which customer a productivity AI generative of up directed overall now are in quarter. support answering AI in organization, XX% support of gain on questions, our advancing is XX% as pace customer our XX% the our over We our within In support last from organization. generative over products. well is to

analytics to our documentation bases add customer customers. generative and byproduct is and model refined for All countless of responses. other already Across guides, implementation augment questions against to we solutions internal is of our up-level that see the Dayforce and this against training AI the a platform, intelligent knowledge opportunities

major Insight native with excited geography. the On offering front, core on every year. Dayforce day across advantage management payroll conference ahead are our payroll and into most our Dayforce our to Joe enterprise. extendable And well we to HR, major their for an address we to at our And was the and are and of referred market quarter, payroll platform And In X. almost countries I'd in finally, to what's The of thoughtful later competitive his of formula-based Germany. new team talent, to this and breaker. this is East our solutions global workforce chair native from built Middle the are payroll our discuss we global next global and customers that continue allows engine progress developed like expansion showcase for adoption competitors. rapid global part

are charter German we ITS running G with are payroll customers the country Board. and progressing Our certification now in

to We payroll German year. generally in available expect next QX be of

And And over year-over-year. XXX on than X,XXX of that same more Within time, has cohort Enterprise of employees of of We XX%. year-to-date, the size brought go depos first doubled net in within at lives the average by front. segment the deal live year. this customers customers half the our increased customers,

to our validating sell expand solution globally market. data set, a and our ability broader incremental Another point to shift

taking like fifth as Ceridian in and the and partners turn X to our Vegas. share welcome taker Las positioned flagship summary, I in before an October the call to to the market. And place Insights over innovator Leagh, to customers In global conference remains HCM I'd prospects

like to another I'd her to record-breaking looking opportunities. for Noemie with like thank are be that year last to up year. of us the to decided until has to will share One the forward the us years. say last her help item to pursue I'd X and outside will end you successor. Noemie We just discuss onboard

like to over turn call Leagh. I'd the that, to With

momentum and to growth us Echoing leaning we comments, Dayforce like them opportunities I'd Davin. the reaching that moment, are throughout entire strong to take intersecting through. by and we we're are across and both innovation which primed to driven are to Thank this help once-in-a-generation customers the is X of underscore advantage your innovation uniquely into you, platform. reason business Propelling seeing the the

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quarter. Moving to the

have platform more X,XXX suite. the Dayforce on more As nearly adopting of customers customers full our QX, with we and

That full base In XX%. fact, total globally, XX% to of customer in new brings sales suite our are suite XXXX. full

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value on to touched and and deliver land our validates expand earlier, David to As maximum our ability to this customers.

see organizations of Steve and of In customer that Steve. Alkharrat this both appointment which Officer QX, and this revenue the Driving Revenue experience quarter, as we has decision. Holdridge from been momentum our results under the continue announced Chief reporting we in and announced realignment to efficiencies Sam to we

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another very attract talent truly indicator a it's to doing to ability of something yet are our here. differentiated fact globally, special the very, is joining and that we testament His

we already, company Given in by the his will our the our bullish and about future and customers. impact this are felt so he's be benefit people had

solution with operations Now XX, support wins in company operations payroll, Ceridian Pacific its XX,XXX countries. across aviation go-lives. and In employees, globally choosing trusted Africa employees customer in its Europe, professional wins XXXX. included. leading X after added and Middle managed countries. of single employees with XXX America partner XX people global provide manufacturer East XX,XXX which partnership new for the as XX,XXX workforce a countries goods few its Dayforce in Asia selected company Ceridian notable company QX, Latin QX selected and let into XX with to leading with consumer Ceridian get management jewelry to U.S. Dayforce to services European global And me services with a A a for its global employees chose

its expanding with company and XX,XXX to quarter last DAX very that approximately with XX,XXX continuing consumer large HR to in a manufacturer, as German And employees automotive charter management group plans piloted move to Dayforce Dayforce workforce expand successful live day employees multinational and we standardize global we goods full date. conglomerate is luxury launched in workforce of their XX,XXX countries and a took its early the Also U.S. leading XX and reduce first notable, workforces its to employees deployment organizations implementation XX,XXX Ceridian, Canadian employees, to help pet operations Germany to include: care of to with turnover. its chemical and out of XXXX. A A globally over with XX

are value. customers In in implementing RSM Australia, bringing better the benefits Young phenomenal. Dayforce partner insight. partner Partner we our journey EY's array Also Dayforce Alliance also extensive continuous fueling the get to of network Deloitte Dayforce we Global services & industry we the with at customers Ernst And to value with and Ceridian ecosystem. It's Within saw the the the we and matching PwC of critical their our offerings. customers' QX, transformational by been growth the drive of joined progress partners program, moments CPN, with U.K. is together announced the accelerate evolution of really from align

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We fully innovation with believe that people. AI our begins

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inspiring to our Ceridian as X on QX, of communities for awarded can, USA first ESG only customer we their to as are leaders In the is month, be and success global we in passion we rallied in which people our super to furthering honored our and work. were also TODAY's as employees' is climate commitment Americas which Our people behind focus volunteer ever XXXX. held

in AA from ESG placement the the leader a category We also MSCI for in earned a second have and year row. rating

the all are to that In we progressing customers be of single one moment business fire opportunity. primed continue with noting. We ensure this HR had many, closing, of cylinders. this the and quarter showcases go-to lean to one part the this it best I by quarter, of we them organizations partner In to said in that every critical many for on into of conversations absolutely

to are existed. of has closest that the Grail You thing ever Holy technology HR modern the

for up are you were. everything we you generational are You thought that set growth.

the we and no there that October to all is to this better than I have store Dayforce and people truly is insights a and the celebrate think in with organizations. connect communicate day us. on It moment brand-new for community to for their goodness

like also over leadership a has years. offer tremendous She gratitude to Noemi dear it Ceridian out, more next for this and growth, hand even close for through these ready an Now I been she's will drive before and stage. to to more my I'd counsel very her helped leave us past our of and a she than friend. And us colleague wonderful deep stage

to you, bring Noemie. I'm you all going wish over us home. turn I to Thank it best, and to absolutely you the

Thank you.

quarter report the our giving results point that recurring of exceeded of another the currency. larger the us to stronger XX% year. volumes. revenue employment underpinned our recurring confidence here customers revenue for at outlook currency, and grew second happy Dayforce are to Growth metrics sustained of at business. of guidance, Dayforce I'm Our constant constant proof raise all QX ex remainder growth XX% lives float reflects by of strength

EBITDA million revenue. of Operating This continued scale the XXX XX.X%, cash up quarterly growth drive expanding $XX and adjusted business. record margins basis cloud Dayforce Adjusted for needs. regarding gross working revenue is points in of the discipline healthy reflects management of cloud million $XX.X and year-over-year, capital reflecting company. margins continued or gross a helped number flows recurring combination XX% The expanded of expense

As XX% cash operating at expect into previously adjusted conversion communicated, flows year XXXX. in EBITDA continue to fiscal least we

of Looking track of remain largest strong we ahead the to QX. the in volumes some of our bring quarter live towards go and on continue Notably, sustained remainder expect our QX employment customers lives. revenue to addition Dayforce guidance a in to reflects and year,

the range we a strong of back XX% the to year and to in at of to quarter, constant expect the raising of float And are at on currency. outlook first XX% range float our for In grow XX% we fiscal recurring the the half of revenue ex revenue in third 'XX, XX% currency. Dayforce constant Dayforce expect recurring year, ex for growth now

the reflects million QX rates. the seasonality for Our typical half and year float guidance of revenue for in $XX second stable balances relatively $XXX million and

year XX% to respect performance and system we our at we Dayforce, currency full revenue, full constant for and between of total outlook for XX% in accounts revenue, raised growth the XX% manage professional especially of our strong expect while QX integrators the and float, shift With partners. and implementation QX services The XX% Powerpay to year. to

Turning to profitability.

be year midpoint. INSIGHTS sales in to $XXX is a adjusted the investments sales expect Profitability We half $XX new expect and the the terms range $XX quarter, raise the marketing, go-lives. year second EBITDA adjusted in range as of accounts in $XXX million the EBITDA some million QX now largest 'XX for prepare typically in of level of into of QX which of or business, fiscal $XX.X to for the and million million to and our at especially we in both in million

scale of progress our And has continue goals. in since XXXX. Ceridian steady to the and towards tremendous Last, midterm undergone resilience I demonstrate growth business our and financial joined results our

opportunities, the It's CFO transition but to honor the to and weeks after other months. pursue upcoming to the So incredible around been team, world amazing ensure with ahead life work deeply working an our community who promise will colleagues in the to leadership confident work better. so years I'm customers. make decided with Ceridian committed to our I brand X in [indiscernible] path our and very of are

you. With the that, call over I'll to turn Matt,

McVeigh we'll Kevin our So first take Credit Suisse. of from question

it the XX% contribution think reflect, your outcome, really and at does just in results. in Or as productivity around mentioned and congratulations, -- we that if outsized in you macro incremental just And is margin? year? nice really back really, Ceridian. any we thanks boosting outcome. back Or for EBITDA And really guidance, EBITDA. wonder could increase as David, the go the that the Great. at a AI? I would the nice really, factor Iis very be of it to a it the thoughts revenue I of that result very, again, a about Does half strong again, that, something think a change any any

for you thank Kevin, that.

question. unpack me that just Let

to raising that. through on is into clarity million, beat full First, flowed And we recurring recurring combination am $XX ex beat. to are our give float the we QX the which Dayforce I beat revenue going have both the ex the by both Dayforce the and the QX EBITDA. of float

have only we half we through, QX the the flowed throughout one to year. not full So flowed beat

for of by raising the we we adjusted X expectations X our float a In mid, than you And have as and when of XX.X% are together, half add combination. the EBITDA, terms by raising at by second the X. the beat a combination QX -- we well, of which increased more are the year about million adjusted is of

have So just clarity. to

where of we the on know, you terms In focused been getting very productivity, actual the as have business. increased are we of efficiencies

and would thank would some part AI As I remainder efficiencies generative of our of strategy much expect is very But and of AI the you Leagh mentioned, be for mentioned, included the leveraging in the year. the and question. we that for

question our Mark And from Baird. comes Marcon with next

have you and just announced are anything ago macro the to relates in with environment really because wins those might to contributing of a regards live as of that factor that And be bigger with you. elements? high else the of revenue you in the to Noemie, the for Congratulations be to of to quarter there's that some it's stages guide. guide to pleasure third going career. been the the wishes recurring midpoint acceleration float, the fourth working the quarter regards ex Is and best next a that? that for how quarters level just and With at few the to looks Dayforce in it it ready confidence you some go relative your do like that

remains the remain we positive, optimistic. macro side and On

would the and QX, typically there's between that indicative of seasonality X quarters, be Regarding that. QX to some

and that globally board, Leagh, the the little on are obviously and about margins with while, guys of are what your Because how investing the profitability that David scalability you really suggest the and clients been Can the clients? then a -- And what you're is that talk a that for reflects in across imagine have substantially. expanding nicely. that business yet profitability existing with you current bit that, really doing the I would increasing place Great.

look I XXX It's recurring, Mark. Thanks, gross Dayforce is margin on up If XX.X%. at basis year-over-year. points which the

would you a the global. with are from about think of I And say at results -- know, X to competitor have lead designed global model. from as global terms that I operational globally on global perspective. we Dayforce In any reflect day a was be scale operating XX-year a full we

think could a add detail as Leagh I bit to more that well.

thing noted, that only The we just have I now in well. our every in would in Mark, commentary, when -- results remarks portfolio look sales which the very that in add, press region very very, would we're the the exceptionally we performed both at operate, even land QX, And release you selling across from also anecdotally, is region the were win Yes. and in both large suite full expand. that and prepared transactions every and

that. global And do the things so relates back working entire sales that to as in range. continue And footprint. the to well are add-on our our It's to will XX% reason to really continue we it be base the

Siti from next And from comes Mizuho. our question Panigrahi

best we are And as wishes well miss going to working with Noemie, you. my

back QX that momentum. XX,XXX-plus versus kind see my deals good question large to of QX. in So now about It's is deals

deals this does I that platform And at the now Africa we've how wondering expanded the Middle for point? Dayforce and countries. look like saw been now pipeline large to So East right

large And the follow-up. us momentum understand you a deals. can So have in I help in pipeline the

I upmarket. year-over-year. have The is of best XXX% X,XXX momentum above went at of segment look live it up think terms the number If So we in deals employees, that great we questions. metric, the in

significant So are we're those many momentum upmarket global of seeing accounts. and

Dayforce have like and and East. terms an Middle Mauritius do of engine Kenya in deployable extendable South is Africa. and that In developed have global the most customers payroll, countries of We Africa aero a we already across across

these David, deals far? And how great. year, large go-live so then That's the signed you tracking is Okay. last

very well. tracking It's

and at number of that number segment, we customers XXX% the Leagh, momentum if and track of I anything I the see would deals up enterprise quarter disclose large that in enterprise large look that we sales the is is X,XXX about, in year-over-year. the you that And in actually strong. segment enterprise. again were about largest -- just enterprise in metric the or above the live performance would both say went You and spoke add which

- is I'll just I mean few an technician understanding an really back set We'll perhaps a good We're to very accelerate is the would echo quarter exceptional go-to-market strong which really a He's addition. can his business. I the to getting and really he's and us. strong. that size exceptional. join we pipeline expect up has better. the up things of half I rolling for deal to continue tiny order Sam done excellent to is XX% addition. speed year-to-date He's job to make in say pleased tweaks with but work his very in, get even And for we're XX%, a that decided

question of Turrin next Michael comes Our Fargo. Wells from

now between end to place on to I Great. into enable questions share across you to a in or given given the taking a to factor resilience to hear and remain up And and the regions I QX deals seeing some you're it -- put gotten around track now of but that year. just those pretty you you've commentary you it's contrast I'd macro we're the know and if healthy and can that not resilience, of can the addressing? the like you point continue question. some just you market customers maybe it, August. the any the And seeing the you're of sounds your you're any visibility a on norm. details Appreciate segments. Is of on few market just at differences larger all and work build move compare love the think

the top half. we'll Leagh in the in saying been half we of macro come first our optimistic saw on number first and the Michael, quarter I have what employment strong last We the strong a believe quarter the positive in second we've a and expectations of pointed over above quarters. that about levels is consistent year. as believe been of and out, has

mean, something pass from Sam sounded Leagh of I couldn't -- like side. a little you maybe on Just up. the appointment more bit go-to-market The

some partner are got moves relationships you're you're You've some to you that out. investments are you're around put and the that context referenced that Can some prioritizing seeing the signals the of just more go-to-market speak broadening just making.

Yes, for them sure. I I us mean, we couldn't a pass And addition little you bit of past up. some you with exceptional said Sam. that experience digging just some an as said, would he's of -- and tell just and have he's

have As ecosystem. at excellent know, only how does also and assessing customer go-to-market sales analyzing it, let's experience, grow to and he but you not and sales great, a call he's

the and we quarter starting that in now And the The for And XX% on we're us, continues we been you really cited that day in to had the a can pay that to ecosystem serious mature. consultants had trained that dividends. first number increase see ecosystem. in of some

and them sold might with additional ideas partners, revenue accelerate since with only how with to he even SIs, with SIs, third-party about further, use has has go-lives on we partners, generate SIs, are could We kickoffs relationships ahead that some smart that with SIs streams. Sam influence incremental joined, we revenue but and not have

collaborate, question exceptionally for other Customers continues last original us. -- way no have be we your the And macro, to responded They efficiency. David to favorable to tricky to if quarter, say during that macro to could drive as look through just do said aligned work, I work, how how efficiency and still people, Secondly, of all HR and do to of is future everybody stay that? they growth, figure deliver this we people the trying they do do serves debate out technology how

even the work AI, to the then and work relates is trend this. And our will be as and through continues and to will lastly, will so to it reality is What displaced that cancel be, able made through we how wrestling customers we're change, everybody more as emerge. different

see for very of we long protracted good really So time. tailwinds period a

from BMO. comes question next our of And Jester Dan

can and your about of me how year? next trajectory Dayforce going David, we Great. thinking of be just about how some that should acquisitions remind you're conversion about the into thinking to you past

that into the It's we accounts at We red now side right as as of of green, we beginning the yellow ease the and continue a force -- had effectively about the $XX.X and the million well, know, I component position years. classified movement upselling inside the look them in Yes. actual of We're a that you of of have terms management at APJ workforce to of or migrations journey. look the part business of start and if talent and towards quarter, now revenue. particular alongside the will onto for number migrations

you Leagh, anything that would add?

No, I think you covered it.

as that of the chunk with you a next to At there, move how an just over Maybe to to update year. then great customer Great. the increasingly progress live. And that think push partnership is a you that, again going you especially an more take greater upmarket. of with implementations, a it see had regards was partners think to you do do bit sort the kind of to implementation to and as partners stage what integrator

-- of I'll grab great first you that by Thank for in all, question. it.

said, some that a started I spans by has virtually sales significantly. we in a and know, regard at X partner when say progressed of wins, our been every don't at standing ago them influenced segment very look which I have now our X/X I partner in would like single ecosystem, years start As which we operate.

kicked over is build of as network And with customers pipeline partners. upon will a and effect which more as what rich result us happens, you time imagine business will practices continue their build live around that in effect. is to that over that that excellent can more partners they brought for and increase off which continue that becomes value-added the services We to And time, will become our and see Dayforce, very be irreversible.

we perhaps so I say early continue we're see relatively still have imagine our you'll working than really that is the fact So as strong It's that better grow, and of probably demand technology to as could would is I only But result a so we innings. would in ever expected, the well increase. high.

And happening and one mega large space, happening them, brought real we now and by ease would brought a consistently live much is enterprise more in would partners with thing to us I the directly what proficiency. with we're seeing call deals that being note

that grows One if the to quarter, in year-over-year. add the projects at which is significantly that look to thing obviously it actually basis, of XX% were global I on a would number kicked up you by SIs is off

of that and majority also as we're the go breakdown expect our we actual that now company, forward, see software a line, professional services from of less more leveraging if shifting as you the services SI the you'll professional And see do that on our revenue SIs. you You'll scalable of you our be -- total our total hope would would revenue revenue towards less the do focus partners reflected to becoming the implementation.

question next of Lenschow And Raimo Barclays. comes our from

Thank you.

direction early-stage kind people me you the What there? the kind look worried going thousands it's kind terms on there. of of a the in economy versus now which What lot of cycle success you like the in in quarter the highlight employees, customer you reference there? you is If confirmation everyone of considering for like you the should customers, like of this see the were more. conversation Like a and you going nature have about or are wise, really what's the do with terms having engage what's like -- you're for of the is of the wins seeing of willingness to are pipeline with

the Lee as move thank add and to to come think, and does hat pointed customers. you that a general, pipeline, very look to we Raimo, But the very those led that we're focused half looking And more Leagh, towards out, the simplification, in the the execution focus, globally. actual are a And at on delivering globalization, powerful for the experience to of of IT a at environment, just very today's quantifiable scale we're looking improving effectively movement year. shared as AI, runs transformation, within good AI through And you. simpler that? runs has obviously, use I value analytics. to effectively decision-making first that, organizations into of digital obviously system very and services many us HR robust that overall generative would

I The you, just only thank would I thing guess for out. pointing add that is Raimo,

many ago, It's something employees. many, You space. or press we either in our the years customer to setting testament you real enterprise as delivering. to we of that said we that large thousands do going single And would meaningfully know to push are enterprise noted, do mind we into a release, couple a up prepared remarks and it saying us listed in the every of would were and

enterprise, tweaks Yes. a of -- this should obviously, little like think like people of little more like, is like that is middle a me And well. congrats about think how more kind from getting you, the strategic? with year. having kind Can more for bit Leagh, Sam Or as joining, always we something the it that more one tiny then, as happens bit nervous it tweaks in of moving makes you like

you. would following. Thank the say I mean I

customers the normal doing. real lots space launch Maybe some we which is is that SaaS into that company, any do. lean to overlay go-to-market with a we modifications territories. we make move minor thrust, you you full of example. point. at And products. to suite We're enterprise you and it beginning the every year, or sales you all I full a faster and an make can seeing resources those to that work segmentation can base and bags midyear prepare movement give to our to in of at considering ensure in haven't being that order add customer yet in that I'll in technology and our talent so quotas the thorough very in taken suite think interest advantage of can current changes together it and our continue sales might who

No of XXXX. a be a great tweaks moves no to in that back the and major we greater might increment example consider us set So making. the up to just half a sharp would year an of for change few drive turns, perhaps

Enders comes from Steve Citi. Our next question of

driven that being growth that moving how Or more upmarket? up sizes we about how Great. up the and being and deal expanded didn't ask do the there. Okay. mean, by primarily I components last and there? of growth it versus the I to Is suite be on good thinking the guess seeds comment larger helping growth? XX% these want much is more modules I about support support year.

look up base, of average the across it's XXXX. balanced. very Xx number the customer If It's I modules relative to about at

density used And So XXX% segment if higher strategy growth for very up durable But us, it's products period obviously it's our long client having runs about at number being look time. of base. module as very go-lives upper year. well, for of a in per we're much market the we the that more seeing across a

employee the in that there last you. I of the guide, guess, to about outlook not saw front? you then on kind you quarter, that upside Got And rolled what talked was you're helpful. change and forward, Okay. any components current how levels quarter That's think from I those this on and thinking seeing being about necessarily

Yes.

may we've very in seen substance, we've now QX, confident hedge recall quarter. the in So the with what we've had we and we levels, done we removed feel second around approach about that what you the talked and QX employment in is

second half. beat of the through So half we first flew the entire the

comes question from next William of Blair. Our Pfau Matthew

interest efforts. recently. ahead have space the Great. on for shown competitors your well of what of Maybe the And competitors more some replicate mentioned global you payroll you're what offer me here. in challenges to that One you have you I believe competitors face can clearly, your discuss of when David, And of some your competitors differs you some question think will do think you how the doing? built? from your trying are that

of be very global. to and place. where it basis. to in data a a take have you There of lot don't going retrofit on you're U.S. question. global the have I when tracked comes it starts elements not believe resides. in are There It that elements need HR product a model and to that that data good be cloud deploying actually tracked terms the actual to to complexity global. the certain There's possible a are environment with global That's it is and

time to and that the are workforce time, perspective. it actually continent. the calculations it are be North From pay country There that place attendance basis whether processes that on in American you paradigms perspective, as whether it way have when is over touch premiums, how management based outside be from scheduling, or be whether allowed work, operate data global a on penalty well and be particular be as not of to a to who of U.S.

and get councils, of into have directives Europe to meaning. areas go you that no working working If you like

into go holidays. you even it way would different you find Australia in that process the the comes New from actually they If quite what geos when like Zealand, to

rather If employee. you like follows construct a you're into pay the where than job get the like certain Australia, classification actual into policy the multi of countries awards kind called actual

worked, different how very many in On taxes very, the all terms payroll how side, calculate in cases. of to pension are

into acts likes. language operate there you for training, of the reso-national even perspective, U.S. materials outside where and doesn't equally languages, national Canada. have system doesn't example, From countries, in benefit certain documentation, extend website carry has It U.S. that Canada, and your carry to a the to benefit are In the actually paradigm throughout

reporting very get events to are very to Canada, very, the what money very, In out APJ, different of the into different. information U.K. to very from of movement as U.S. record world, want terms various going in going governments going actual of the what record to they Australia, specific and actual want across system, countries HR the when When format. they the from types employment the to to employees you going the of EU, employment and

customers. We global the global with company the We onset. to built have from started be

In fact, our largest live customers are global.

globally it we important as a to bit And think being inside well. again, deploying about understand off to operating in of true XXX been the a well. the takes we continent years enterprise. countries several that believe are over global half U.S. company and employees of platform run now up, we it with The actual global that I very I has doing So in we organization as our language operating a work. lift terms pivoted a being and model organizationally, from of localization ago work very Joe

today want into So to long starting global think new again, we've go. got us. and of against entrant be likes to a I a quite the competing way not would the market I

Our Alex next Wolfe. question from Zukin of comes

Alex. for on Patrick is This

years an being system the project we've to And project during for starting could on still ramp. payroll are million our broader project, So in that heard checks, inning with us you Canada the update Phoenix are we the if a give decisions what quarter, made then in on pilot. initial few we there? from out Wondering $XX.X the

Thanks for question, Patrick. the

the exceptional. first testing work we I government, we've be Next-gen thing been we have have call testing. And they which you -- with which concluded results I doing NextGen, tell the think is the continued can the I about X that that to tell things call Canadian the you there's would

results preparing cabinet testing present to findings I that thing they those the the is in that will tell call second and report, for which an The that now would few months. will you something initial government summarize is next consideration they

we positive forward. from and helping tell has The third the thoroughly who results been named pay system responsible and with government come thing which the can that that back, of understanding the and have emerged Deputy left and that go current as momentum Minister originally a view Next-gen Pennae], you, to support for understanding since Phoenix path that to limitations industry to its sign includes was the has [Alex I is and

progress. great So

Our next from Simmons question Robert D.A. Davidson. comes from

seeing of So and the some Can you of of takes dynamic? with we've seen to puts would partners kind you're larger the happen that there, more regional. buying that kind be some in partner consolidation about what and talk ecosystem

Yes.

So it's very encouraging.

strong that was Australia, and a force also again, building specifically and As you demand or their you seeing to implementations purchase the organization. Deloitte consulting the a consulting saw PwC forced in was U.K. saw Dayforce in people purchase I you in Likewise, our expect product. PeopleForce think sign enforced PwC handle that they're SIs of and And Dayforce it out APJ know, purchase I it would the PeopleForce demand as practices take big -- the would very I

on you That marketplace? ideal And that any kind Are update then on from And so year? then makes sense. still us to worrk you've learned this on the far be launch track learnings today? can keep you of

showing first be Insights. will we -- it to with customers track more charter the on at live expect this remain would of go We We year.

Our from next Bank. question Bhavin comes from Deutsche Shah

for Bhavin wishes this endeavors. congratulations your on evening.,And Nick future best and Noemie It's on

such of the Can at the been we have bit modules helping turning to on what dive forward? sales expectations. think looking strength? a growth base drive back in ahead that And going Just should the you to about sustainability of how

map We're part of go-to-market We change team meticulous think -- spoke about of the of going quite was the across in base. the we about customers. back actual white can a that time it the approach right this. overlay for actual to I also We determine we the actually and what is sales all dedicated space actually our segmentation them. having out

you and do would growth as back durable part that base has a anything to strategy, it long-term Leagh, a big believe towards of the be has success software sales to we scaled our look in been we As add? other companies.

that to guess would very our add receive. hold, our they which a I value as of means thing that they receive And I the are the buy more us happy and continue with service level retention customers customers happy rates that software. that from is the result, only

comes Our Jackson next from Moffettnathanson. from Ader question

in of markers when might those a what curious, at just be these or in mean heading say, the a feel of pipeline year. going quarter. or are already head tell at deals go-lives us look we that things really you a should that into months' either time, the some can through see tend we as the few give able these large indeed can't Can fourth the go-lives say, What coming some of to for sense hit to good isn't this you really are to that the good was or I you sign. look they about Great. you yes, I large end of you that

on luck a This and not is run chance. business

a account have a where is through meeting service we that We currently under forecast every weekly go call implementation.

any we run we that services For detail. group on a of into quarter-over-quarter account risk accountable -- amount the as more do Steve pushing risk well. the actually them go a we than actual we When forecasted each actually assign actual a has forecast, pushing that which we of very basis, we have we hold account, the group a has look for of account XX%, and have I sorry, sales well. mean at here

add a from you that anything So color perspective? would

All I would very add visibility. is good actually have we

of We we and what have that. to accurately understanding shown a expect very the good to predict and happen, we've have ability ability, we the

of our of So half second in view year. the for terms the

confident we based it's so it. experience, on a feel pretty foundation solid think and in I

building if Okay. like then, wins All right. customer half of this full new full What so. XX% are suite suite so in or kind Great. base, penetration, of of on the year the And kind Leagh, kind maybe of them suite toward toward of try that full doesn't time and to line build initial road go map up you do that after a full customers. suite deal you end an getting

front. this Thank do What try consistently. question. more would we done you. is suite say full and right, and up Great a I more position and We right

white customer, that to value, and go have away an to knowing available customer space white if time back that the about modules value. live, begin doing we value prove take means as right on to those on particularly expanding we're we it opportunity talking is, and which we available almost total we end-to-end full space SKU therefore, total what or could a do the that with and the and contribute X, assess decides we the value they begin maximum So a in our it so

can imagine expanding their quite relationship. You that receptive to customers are

you, everybody, quarter. with That our catch for Thank you the conference joining concludes call for us. night. over up We'll the