Workiva Inc. (WK)

Amplify 2019 Part 3

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Sep 10, 2019

Okay. Welcome to the afternoon session. We're going to start with the safe harbor again because there will be forward looking statements here. You're familiar with the language. Okay. So the last push is an hour a half. We're going to try to be prompt because I know a couple of you have flights that you want to catch this afternoon. So I'm gonna talk for a little bit and then introduce, my colleagues starting with, dermit Murray. He's going to talk about EMEA and statutory reporting. And then Ted Feiner on integrated risk. And then Mike Ross on partnerships, we're going to have Q and a at the end of each speaker's talk. And then we'll have a wrap up Q and A as well. If you need to leave, don't don't worry. Just step out and we we will forgive you. Okay. So growth vectors, I mean, this has really been the focus of the day. And, this is a slightly different cut at it than perhaps you've seen us talk about before, but this is one of the ways that I think about it as sort of 3 buckets. So customer bucket and then, meaning really sort of, you know, our existing customers and the new logos and then the newest Vector, which is on is on acquisitions, which I'll touch on briefly. So, growth starts with customer retention, We're, very proud of our, net retention rate, and we're very proud of our, base rate, you know, 95 plus percent and customer satisfaction is very high. We never take that for granted. We have a customer care program. You got to see Penny, Ashley Lawrence speak this morning. There she is in the back, taking a bow again. She's so shy. And, Penny does a great job and is, runs that team, partially on metrics and, does just a phenomenal job there. We've, we talked at the solution based licensing. We talked at the end of the second quarter upon the announcement that, the tailwind from solution based licensing was beginning to wane at the end of the year. And that means perspective that that will start showing up probably in the second quarter. From a bookings perspective, it starts showing up a little bit earlier than that. And so, as we indicated on that call, our challenge is to replace that, growth tailwind and exceeded with some of these other growth vectors. And that's why we've been investing so heavily in the last year and a half. You've had a pretty good dose of W data earlier, so I'm not going to touch too much on that. Germit's going to talk about Global statutory reporting. Both of those solutions tend to be add on solutions with existing customers who already begin to understand the power of Wdesk. And then integrated risk. Remember, we started selling socks in, spring of 2013 and started hearing from some customers that some were interested in a point solution and others wanted a more integrated solution. And so we added, most recently audit management and policies and procedures. There's some other adjacencies there that are pretty interesting to us. And it's an area that we've carved out under, a general manager, Ted Feiner, who will talk about that, this afternoon and some depth. All those factors on the left hand side under add on sales are we expect to be strong contributors incrementally. In, in 2020, and they are this year. On the new logo side, Our new logos, some come from integrated risk, for sure. But on the new logo side, the the primary contributors from new logos when we about it that way is from, EMEA, which Herman is going to talk about at some length. SEC and SEDAR still continues to contribute to, to bookings growth. Remember that of our 3400 or so customers, about 2700, up, uses 2750, something like that, uses for SCC, and they're probably 4600 in the target set in North America. And there are quite a bit more than that in Canada and SEDAR. They don't use XBRL tagging there, but they But we have a fairly compelling solution for SEDAR and we're actually investing in our Canadian team, which makes up about 4% of our revenue. Private companies, new logo team, we initiated about 18 months ago, And, they've really, they started hitting their stride about 6 months ago or 9 months ago and has been a great source of new logos for us. And that's really around, internal and external reporting because they too have constituents like public companies do. And it also provides a nice pipeline for our Capital Market business. And then finally under new logos as government. And that includes both, state and local government, city of Mozilla was a, was a example of that on the sled side, but also on the federal side. And, I think we had some, good traction last year with the federal government and are even doing even better than that, this year. But still fairly early days in the federal government side. And they are the largest purchasers, single purchasers of IT in the world. And it's a market that, has some special characteristics. And, we're fortunate to have 2 executives who spent the bulk of their career or a big part of their career selling to the federal government and have helped us tremendously. That's Dermont and Scott. Now on acquisitions, and let's switch over to that. So you may recall we raised $345,000,000 that includes the green shoe, on the convert in, in early August with the, use of proceeds being, acquisitions, future acquisitions and, and investments. I think, we want you guys to understand, we've been looking at acquisitions as a team intently for the last 3 years. This was not a new thing where we woke up and said, Hey, let's go do some acquisitions. We've had an organized effort around acquisitions the last three years. We have, kissed a lot of frogs. We have bid on some We, have passed on most. And investments to date aggregate only $2,000,000, right? So one was a aqua hire with some type with some IP and the other was a direct investment. And understand that This team is very cautious, with investments. We had, plenty of opportunities to do to do deals if that was our goal, but our goal is not to do deals. Our goal is to make, wise investments. And, there's a lot of, in a lot of inside ownership here. So we really regard it as our money. On the, the team side, We're fortunate to have a fairly broad team. And again, this team has been looking at investment opportunities, acquisitions together for a while. But all of us have done quite a bit of M and A, in our previous lives, everybody on the team, Some of us, have done more on the transaction side, that would include me and others have done more on the integration side. And we, we have a healthy respect for the lack of the low success rate on acquisitions. The number of bounces between 70% to 90% sale and those as they're probably low. So, we're, we're highly skeptical, buyers and investors. I think we've demonstrated that over the last 3 years. We just haven't talked about it a lot. Kind of deals that we are likely to do, they are likely to be less than a $100,000,000 each. They are likely to be in the US, Canada, and Europe. I can tell you they will have a clear commercial rationale It's going to be around leveraging or accelerating our existing strategy. You're not going to see a diversification move on our part. We've got 2 large TAMs to be messing around in anybody else's TAM. And to give you some examples here, I mean, on the horizontal tuck in is pretty likely. There are product extensions available to us in reporting. And that goes for GRC, and that goes for financial reporting. It's just that and they're all going to have to stand up to a buy versus build analysis. Because we are fairly confident in our ability to build But in certain cases, we've seen, potential target to have domain expertise or are already in the market in a market that we think is getting ready to move faster. And so it may make sense for us to acquire on that basis. On the vertical side, I mean, the obvious examples are Financial Services And Energy. Where domain expertise is, is important and hard to replicate. But even then, you know, we'll show discipline on pricing on terms of value. And then, finally, I'd say, an aqua hire where we pick up a team that might have some, technology of interest to us you know, AI or something. We have our own AI capability, but could augment our AI capability, for example. There are great teams out there. And it's important to us that they know how to work together and trying to go build those teams from the ground up can take time and can evolve some false starts. So sometimes that matters. So I'm gonna pause there and see if there are any questions. What's the opportunity with government and what are the new vectors that the FedRAMP, kind of certification that's almost here? What what kind of vectors does that open up? Yeah. That's the sort of, in terms of, you're talking about in terms of an acquisition or just as a go to market? Strategy. I I re we really haven't thought that much about acquisitions in the government sector. From a go to market strategy, I think we have a really good, a good strategy there. They have both financial reporting needs and, compliance requirements in terms of internal controls. And, we've hired a really good team of people who have been in that business quite a while. The good news, I think it'll grow fast. The bad news is it's, even though it's the largest IP buyer, it's not a huge part of the TAM, but it will it will contribute. For our growth initiative. If you go to the FedRAMP marketplace website, it indicates that the general services administration is a customer of ours as is Tennessee Valley Authority and the postal service. For example, But we've just, you know, just scratched that and are seeing some potential there for sure. You can go department by department. Which is planned. So, Stewart, I know you've been we go. I know you've been getting this question a lot, over the last year and now we're kind of getting closer to the moment of truth in terms of when the solution based licensing impact laps and you get all your customers on there. And you just mentioned a couple of minutes ago talking about how it's more like I think you said Q2 when some of those benefits start to dissipate in the model on the revenue side. Can you just go through that in a little bit more detail and help us think about, number one part of that question, how much of the acceleration in growth in the last six quarters, would you attribute to the solution based licensing to have an, that's some sense of what's been driving that growth aside from just better execution, right? And then number 2, can you clarify your comments in terms of the timing of when the model starts to, I don't know, air pocket is the right word, but when you start to see some of the tailwinds from the SBL effect? Sure. So I'll take the last one first. I mean, the model we've designed is to pick up the slack, with additional use cases, right, with additional solutions to pick up that. Can you hear me? To pick that up with these other growth sectors we talked about. But so the way, let's go back for a second. So solution based licensing started in earnest really, well, it started in earnest at the end of the third quarter, last year. And it was more of a testing. And then it was very strong in the 4th quarter in the first quarter. And then, 2nd quarter was pretty strong and third it starts to fall off. So from a revenue perspective, you start to lap, it starts to, affect revenue in second quarter next year. In terms of the uplift that we've gotten, you know, as we said on the call at the end of the second quarter, It's pretty difficult analysis because, we had sales people focused, in Q4 and Q1 and to a lesser in Q2 on getting customers upgraded or converted to solution based licensing. And that took away time from selling additional solutions. And so the question is if you didn't have solution based licensing, what would they have sold from an additional solution basis. And if they didn't do solution based licensing, what kind of price increase the customer have taken. And so we ran through all that analysis internally and decided that, there was no great, valid way that we could put both our feet on the ground and say that the uplift from SBL was X because we knew what the what the situation would have been in the absence of SBL. I mean, it was certainly a couple of 100 basis points. But it was beyond that. I mean, it's really we have not been able to quantify it. And I would just go back to what I've been saying consistently. We have multiple growth factors that we've invested in for several quarters. We're going to go over some of those today. There's other ones that we're not going to talk about today. Government was brought up briefly. And, we don't need all those to click. I think we've made enough good bets and enough good investments where we're, you know, the new deal, new solution, add ons with w data, stuff like that is we have more than enough options to cover that. So we feel pretty comfortable. Yes, we're looking good there. Thanks. I don't know if this is for Stuart or Marty, but I know you love all of your children equally, but the the w data global steps to reporting integrated risks. It seems like we spent a lot of time on W. Data today. If we had to look at those 3 to kind of a newer products add on sales. How would you prioritize those in terms of which could be the biggest contributor over the next 12 to 24 months or pick the time frame, but it seems like we spent a lot of time on WDA today. I didn't know if that was fair to think about the biggest growth opportunity or how you think about that. Well, I think W Data, the reason we brought it up is it totally changed the game for us. I mean, it it provides, value in global statutory reporting. It provides value and integrated risk. Provides value to all of our existing customers already. So there's a good long tail, add on sales opportunity for us there. So we think that's a very significant part or one of the more significant growth factors clearly. EMEA is and, you know, derma will get into this, but we've just scratched the surface there on new logos. I mean, we're, you know, you know, I think Stuart said in one of the calls that 180 logos in that ballpark. And, you know, compared to the, you know, account we have in the state as a miniscule. So we have huge upside in in EMEA. I shouldn't say huge Mar we have really good upside. Just don't wanna just don't wanna get my GC is coming to get me tonight. He'll watch the recording and I'll get the call of all the mistakes I made. But He's texting now. I figured. Anyway, the global statutory reporting, large number companies, much bigger deal size. I mean, so they're all different. They're all very meaningful. And so I I I I don't know which of my children I like the most. Yeah. So EMEAW data global stat and integrated risk is integrated risk is a really nice sized market that we have a right to win a lot in. And we restructured it, but a good leader, and you're gonna hear from him in a minute. So they're all cute cute children. Gonna ask a man with more than one child. That question, Brett. Thank you. 6 years are coming for my first question. The acquisition framework. I don't know. I might not be invited back next year. The acquisition framework was helpful. How do you think about, product versus service, professional service? And how do you think about, you know, modern cloud offering versus something that's more traditional on prem than having to rewrite. Yeah. So Martin, Marty wants to take this at some point, but clearly from an integration perspective, cloud based would be easier if we intended to integrate it, which we probably would. But there, there are lots of companies out there that are in the process, as you know, of moving from on prem to the cloud. And if the client base is compelling and the problem that they're solving is compelling. We'll certainly take that into consideration. On the services side, remember that, we're about 83% subscription and, 17% services, 17% going to 15 and 2 thirds of our services revenue is XpRL tagging. And so, we're really we're we're services light we are going to increasingly depend on our partners to, pick up the the services burden, we are going to be we're going to continue to, employ high quality services talent because we have to have that domain expertise that, that, services expertise in house to help leverage, what our partners are doing. But unbalanced for a software company. And we prefer, software solutions and certainly high margin software solutions over services. Okay. Okay. Next. Alright. Next slide. Let's you've been waiting for a long time. For the great dermit Murray. Dermit runs EMEA and our our public sector, including any runs that, global statutory reporting. And so without further ado, Please take it away, Herman. Thank you, George. Good afternoon. He's a text and you can tell by his actions. You don't understand my accent, I grew up in Ireland, so my problems with ths and rs allegedly. But I am trying to blend into the native. I am disappointed I'm not your favorite child. Marty will talk about that later. The presentation. A couple of things about Europe, just maybe 5 minutes on a couple of slides so we can set the scene. Large economy, almost the same size as the U. S, not quite with almost 18,800,000,000,000 in GDP. And interestingly enough, 5 of the top 5 countries in Europe account for almost 70% of that business. 44 countries in Europe, 28 in the EU and 23 taxonomies, 24 official languages in Europe a surprise if anyone can tell me which one is missing from the taxonomy for ESET, but we'll talk about that in a second. People frantically googling. We're just getting started in Europe, beginning to ramp up marketing and sales operations across Europe. We have 5300 is the number approximately of issuers that are public companies in Europe that will be required by 2020 to file, as part of the ESMA mandate for ESOP. Staxure reporting, CAF, our farm private issuers for 20 F, 6 Ks, all part of our business over there as well. And as you'll hear, later, we're also looking at the integrated risk markets, which looked very promising for us of course, the banking and financial institutions have a lot of regulations in Europe, both the banks that are over there, but also the banks that have to participate in the European market. I think we've mentioned that we expect the revenue to get approximately 25% of our total revenue over time. So we have some targets that we're heading towards and we are moving as quickly as we can to head in that direction. On the right hand side, you'll see, a green chart. It's not that Ireland has taken over everything that's turned green for St. Patrick's Day. But this is where we have Warkiva users logging into the system. So while we're getting started here in Europe, from the sales and marketing and going after this market, Warkiva has been in this market for a long time. And so we do understand Europe. We have users all over Europe. We understand some of the challenges, that they have. We understand some of the differences between the country. We have, 23 different languages spoken in our European offices to day. So we support the market very well. And one of the things that Warkiv has done very well is build a foundation for support and infrastructure to help the growth of sales and marketing because sometimes lags behind. So they've done a nice job with the setup and enabled us for a strong trajectory of growth. Some of the things on my mind, obviously, while Europe, is one market as the European Union and we are all, as you read in the news today, very tightly integrated as a European Union. There are some differences in the market. And it doesn't completely function at work like the U. S. So understanding the localized marketing needs, so if you've checked out our French website or our German website, you'll understand that we have taken the time to begin to look and be able to act local while we bring our global platform to these environments. This is very important as well. So we want the right blend of collaboration to take the best of what the US has to bring to the market, but we also need to make sure we're translating into the local requirements, the local standards, the local regulations, the local language that we can compete and drive business in that area. The other piece, of course, that's really important for any growth organization is to build the right organization structure. And this is probably, both the most challenging, also the most exciting piece of what we're doing today. There's a lot of talent in Europe, maybe me accepted, grown up in Ireland, but across Europe, there's a lot of talent. And this is an opportunity for Warkiva to also hire additional talent and hire some very talented people to help, not just with our business in Europe, but our business around the world as well. So it's both a challenge to get the right people and bring them on board, which we're doing. And we have a very strong focus and a very good team now focused on recruiting right across Europe. Once we get them on board, the next most important thing is to make sure they become effective very quickly. And we spent a lot of time, working and making sure that we have new hires getting up to speed quickly and delivering on the bottom line. I would be remiss if I didn't talk about ESF, the mandates that's coming, around annual report filings within Europe. Purpose to provide, the easy access to financial information. So very similar to what the SEC is here, for EXPAREL filing. It's part of ESMA, and you've got this. Here, Esman, and I don't know what it stands for. It begins 2020. So for your first filing will be the first quarter of 2021. So for your accounts for 2020, you have to tag your face statements in IXBRL and file them. There'll be 23, each country, 23 languages each country will have its own filing. Gateway, which you file and then they will be integrated at the European level. The interesting thing, about, this for us is that 2022, you have to tag, your, your footnotes, block tagging as they call it. And so the important thing about that is that's the point for both the narrative and the numbers now need to be tracked. And again, for all of you who are well versed in understanding, Workiva solutions, disability to link and have this connected report, and have compliance entrusted across the team become really important as you begin to look at tagging both the numbers and the narrative. And so this is a very, solid use case for us and an area where many people are talking to us about this market. We've been busy. And I know this is a busy chart, but I wanted to show that we didn't just suddenly wake up when, Esma published the taxonomy. We've been at this for a while, and we have a number of east of road shows all across Europe, with the ability to demonstrate in French, in German, in multiple languages, we have put a lot of effort into ensuring that we can have the conversations we need to have with the customer. And remember, I think you heard this morning as well. IX BRL mean, we are the market leaders in this space. We are the market leaders in connected reporting and compliance. This is a use case that is, is really right up what we do really, really well. And, we have a lot of interest. In addition, our bank and financial services, obviously since I think Marty talked about this morning how much money he lost on this stage. Since this happens, we have had a whole host of regulations. I've just put a couple of them up there to show you we have many customers looking at us as a platform to manage this whole environment. The cost that is occurs for banks to continuously manage and change the regulations and financial institutions is excessive. And so, they're very excited to see the platform and what we have to offer in these areas. And Pat is going to talk more about integrated risk. But again, particularly in Europe, this concept of combined insurance, is, being talked about a lot and having the ability to look at the totality of risk across your organization is an important piece of what's going on here. Whether it's from integrated risk, SOX, internal controls, etcetera. This whole business of compliance and being able to manage that business is becoming an important piece for our companies in Europe. And again, you'll see lots of opportunity of companies that have not, not moved to look at how they're integrating and managing this, but it's a big topic of conversation in a market that we're certainly paying a lot of attention to. And I will pause there as sort of a quick overview and answer any questions. Long as it's not who is my favorite boss? Just curious how many other players are competing for the stock opportunity, and how they're going at it versus the way you're going at it? Yeah. Good question. The market is very fragmented. So we have a lot of small loop niche players that tend to look at it. And maybe not too dissimilar from what happened with the SEC market where They're looking at very simple tagging solutions, with not a lot of control on the data, just from a tagging perspective. We know this doesn't work. It doesn't build compliance. It doesn't allow you to make changes in the process as you begin to run down the wire where you have to have to file. And so one of the things we've learned is that this market tends to the amount of time you need for pencils down and the time you need to file really narrows as you move to an online solution so disability to export your data and tag it in a simple tool, is is is not really a solution that recommend. You might wanna touch on what pencils down means. Oh, what pencils down? Councils down. Okay. So, in in Europe, when today, when go back to the old days of printing, well, not everyone's old enough to remember. You would stop maybe a week or 2 before your annual report. And they would do what's called pencils down. That was probably before they had computers as well. And they would stop and they would go off to the printer. And if something happened, which often does in your accounting, clothes where you need to make a change, it became very difficult to make changes. And so the value of having an online system your filing and doing the whole thing as well connected to the back end is you can make changes right up to the last minute. And that allows you to have much more effective control over what what you thing. So so that pencils down because there's no printing time now. This is gonna drive it out. So this idea that you can export it out and then disconnect fix it and tag it and then file it without changes coming. Doesn't it's not a very good solution for a for a real business. So certainly be some of the 5300 that will do it that way. But if you're a sizable company, controls and process and you want to be careful about what's being filed. And remember, you're signing off to the board about what's being filed. The last thing you want to do is have of a controlled environment. Just a brief comment. The, the, the companies that are making noise about competing with us, we've been doing a lot of, intelligence work on them. And in the US market started, there was already a a format of filing called, Edgar, which was a form of HTML 5. So there is already the big printers that already built to Edgar Tools to actually Edgarize and file. And they had already gone through that part of the process. Then they were asked to put a second EXPAREL file in conjunction with that. So the the technology lift was actually more stepped up in the US gradually as opposed to the, the, the step that they're making them do in, in EMEA. The companies that we've looked at so far are just getting their legs under them, and they have a long way to go to compete. It's been sort of a pleasant surprise, frankly, how how much lift they have yet to do to really compete. And, yeah, they'll get 20, 30, maybe a 100 customer each, but, there was probably 4 viable competitors in the US when we started. All with their structural issues, but still they could actually do it. And, I think at one time, Rivet had 2600 customers, I believe, are in that, in that range. And over time, just the superiority of our connected reporting, well, you know what happened to rib it. So, it's gonna be a similar thing, but the the European people have even a bigger lift to get the first filings due, and especially 2020, is it 2022, the next one or 1? 2022 for the block. Yes, when they, when they have to have all the the text tags as well. It's going to be a heavy lift for those companies. And I do think like as you look at it, it's important again, people are beginning to get up to speed very quickly on the customer side here in Europe as well on this is that, is that as they begin to see that it's not just the face to face admins that need to be tagged, but that you are eventually going to block tag, people are suddenly realizing that it needs to be a more comprehensive solution than just being able to tag the table. And so, again, not a lot of solutions for tagging, the footnotes. Hey, Herman, do you want to talk about what's been driving your revenue growth? Pre ESF in Europe and EMEA? Sure. Absolutely. I didn't think I was going to get questions from you Stewart as well. I'm trying to figure out if this is a question I should answer or is this you're trying to understand where I'm going from perspective. Yeah, so look, we have a lot of use cases. Obviously, the, again, the SEC business foreign private issuers, stocks have been, you know, strong for us. But we've also begun to see CAF in the UK as a banking regulation. Be a big winner for us as well. We've looked at IFRS 17 from the insurance perspective. Annual and quarterly reporting has been really big for us as well. And so again, we've actually got quite a few customers who on their annual and quarterly reporting. And there'll be natural expansions for us into the ESF market as well. So that's basically the use case. German, what's your sense of how rigorous, the review is going to be for the tagging? I mean, the SEC wasn't terribly rigorous at the beginning. It was kind of a, let's go our feet wet and we'll correct mistakes as they take place. And, you know, what's kind of evolved here, is, are we going to see the same approach playing out in Europe, or are they going to be coming down hard on companies that don't do a good job of tagging? Yeah. I I I so that so this is the, how long have I got? 3 minutes 45. So this is this is about a 10 beer and Really quickly, right? There are 23 filing authorities or, well, across each country is gonna have their, filing authority across Europe, right? So everyone is gonna have it. They're all at different stages. And so, you know, you can imagine France, Germany to UK, our Netherlands has to be careful phoning them out, you know, about what, Austria is. Like, all those countries, they'll be fairly rigorous, and they've had rigorous requirements already. As it relates to driving regulations. They've also got a lot of experience in the EXPAREL space as well. So it's not they've had other types of filings in EXPAREL. Some of the other countries, I think, you know, we'll we'll we'll be playing catch up. And we've been watching carefully, how they have been, addressing the filing needs over time. And so as with Europe, it's not a simple, yeah, they're going to do that or no, they're not. I think you'll see a variety. I I will say that, and you could see as the mandate rolls out, I don't think this is any different than the US. It will become more rigorous over time. And as people get used to it and begin to use the data, I think you'll see, a lot more rigor across Europe. I will tell you that it relates to regulation, Stewart and I sometimes I don't joke may not be the right thing, but you're everything from both the numbers to how they've used the ability within their organizations, European Businesses are really a lot more, focused on ensuring that the companies are doing the right things, not only for the shareholders, but for the, their employees and for their communities. And so this focused not just on the numbers, but on what's not in the numbers becomes a very important piece of this. And again, ideally set up for the platform that we have. Maybe just 2 quick ones. Like 5300 issuers required to do XBRL reporting in like 3 months. What are they all doing now? And I guess 2nd of all, is the mandate for like just inline EXPRL or is it like the broader XPRL as well? Yeah. So, well, it's not wrong. So you'll finish your report hopefully in December of 2020 and you'll have 3 months to tag it on file. It's just the face statements initially. So it's not a huge lift, although there are a couple of unique things within the SPRL, IFPRL structure, the EXPAREL structure that they have for the taxonomy, around anchoring and extensions that have some play but not getting too technical. What they've done already is every year is they print and publish down annual report and they usually that report with the regular lethargy in the country. It's slightly different than different countries. And they have to do that just like you have to do a filing here in US with the FDC. So it's very similar. The the change here will be that, a, you now have to do a, a, a, an IXIARAL filing as related the taxonomy and you'll also have to produce an ex HTML file as well. And in some countries also a PDF. Did that answer your question or? Are you sure? Thank you. Yes, just wanted to ask a little bit more. I mean, this is a very topical thing for investor that's why we're asking you a lot of questions. But the the buying pattern, like, do you see it just, you know, over multiple years, maybe they don't go with the solution initially, but they know that was a band aid. Or you know, like just trying to understand like as we go throughout 2020, how you actually see the buying pattern, you know, potentially linear or you know, like just curious on that. And then secondly, in Europe, you know, with w data and connected, reporting, like, how much of a messaging are you in traction are you getting with that broader teaching messaging for Warkiva in Europe? Thanks. Okay. 2 great questions. Well, so as it relates to the, what are linear and exponential you know, obviously everyone's gotta do it. There'll be a segment of the market for sure that we'll look at, fixing the entire reporting process and, we're well placed for that. We are looking closely in our well placed for the people who want to tag only and then want to upgrade. And that will be sort of main components of our market. We believe that the majority of those companies over time, just like here in the U. S, we'll want to have an integrated connected supporting a compliance solution or we probably wouldn't be after the business. I, you know, I'll probably be out of the job. But, So over time, that will happen. You know, certainly by 2022, where you're starting to look at you know, everyone will have extensions. Some countries will have their own extensions mandates across what they believe is important for their country specific filings. And you're looking at at block tagging for the for for the, for the notes and some of the other requirements, you know, at that point in time, you know, people are going to have to be in a real solution that manages this very effectively. And of course, a lot of them are in, you know, the usual suspects today in, you know, word and well and, you know, having fun with that. And you just have to walk around the conference here, talking to users to ask them about how it's changed our life in the SEC process. And I don't believe Europeans like working any later than Americans. Don't quote me on that one. We're gonna have to move on to your next section, in the essence of time, if you don't mind. We have a a time for Q and A after, after everyone has spoken as well. So You can go ahead. Thank you. Okay. So I have to switch halves here. So on the global statutory reporting side, and again, I wanna make this very clear. This is really a financial report that has be filed, in every country where you have an entity. And some most companies have multiple entities in multiple countries of all different shapes and sizes. And we see customers with anything from 30 entities up to thousands of entities, as you can imagine. And so, globally 80,000 public companies, 1,700,000 entities globally as as as we've counted them. And so this is, I think huge is still here. This must be your slide, Martin, which is huge. So it's a big market. Yeah, it's a painful problem. Again, as you look at it, and we'll drill in a second, but you often have 100100 of word doc here. And this is again, this is not a small group of people that are working on this. This is a global group of people that are working, on this problem, across the world trying to provide insight into what gets filed for each entity in each country. So a lot of lack of consistency, no standard process, a lot less oversight in this process than you might imagine. Certainly, I imagined, from talking to financial controllers. And people have begun to wake up to the risk of their business and not understanding what happens here. It's very inefficient, very costly to audit and has a lot of issues. Obviously, our solution reduces the risk streamlines, there's all that good stuff, which you can go see it at the boot. 71% of organizations rely on spreadsheets today to do this. The number of customers I've been to where you find a set of accountants, trained accountants, custom and pasting documents in this process is amazing. And, I'm sure it's not what they train to do. And again, this comes back to the parenting and the insight. We want this system to be providing the transparency. We want the accountants who are trained to be looking at the data to ensure there are no errors. People worried about ours and finance believe they'll never be free of spreadsheet dependency. They should come to our conference. The other thing I want to say about this is, when you look at SEC, it's a 1, I would say, 1 dimensional, but it's process. When you look at Global Stat, it operates at multiple different levels, right down into the organization across different companies. Across different types of entities, specialized entities for this and intellectual property, tax. There's quite a few different things like people would be setting them up. And so this starts to multiply out the number of entities at an organization, which makes control and oversight very difficult. We have huge spaghetti of data and process. It's going back and forward. Everything from sending reviews out to the directors of the company to provide, approval. Their statements come back in. It's usually handwritten or managed on a PDF. Little security, etcetera, etcetera. It just seems a real problem. The other interesting thing is when you start looking at entities, whether they come from acquisitions, or set up, they're often not fully integrated into the system yet. So there's a lot of stuff happening outside the system of record. And again, some of the stuff you saw from Will earlier, around how we're able to, manage and build a source data and then manipulate it in W Data is making a real difference here. If you think of the number of different formats you need, right, UK gap, IFRS, U. S. GAAP, and you start to look globally at the number of different structures that you need to have your reports in, you can begin to see the value of W. D. Data in this particular scenario for us as well and the ability to set them up have one source of data and do it. The other thing that happens here outside the system is things called topside adjustments adjustments after the books to close, keeping track of those, keeping track of the supporting evidence, being able to come back and audit them, the cost of audit. All this is a real problem in the current situation. And so this particular process has been really, really, it's just really a great process for us, for what we do with our platform. And so obviously, we can connect the data at the back end. We have, obviously, the compliance and the reporting when you come back for audit. And, we have a complete view in to being able to orchestrate and manage the information as it happens outside the system of record. And again, just to give you the idea, this is a global challenge as you look across the world. I've set the UK up here, but, you know, could be headquartered in the US as well or anywhere. And you're trying to look into your organization and understand exactly what is going on in all these countries, often in different languages. And so our ability to be able to manage the reporting process here, manage the numbers and also manage the narrative, which may be different as well, depending on the local regulations. You just really need to have a platform like, like we're keeping has in order to have the reporting oversight, data integrity, disclosure consistency, and audit preparation. Global staff. Determine how are people handling global staff reporting without Wdesk? How are they doing it now? I don't know if it's a, like, if you fail as an accountant, you must get put in a room for a global spat. I think that's kind of how I look at it. It's like, you know, you didn't make it in the tax department. You didn't make it in financial reporting. You've got global staff. I mean, today, it's very manual. Around the world, right? And lots of people are still using, you know, Word, Excel, other types of documents, editors manage this process. And it is a nightmare. I mean, you know, if you think of a a 10 q and you multiply it by by 3000, and try and manage that process. It like, some people, they spend 6 months, 7 months, managing the paper trail here. And when they get audited, they are awake night, noon, morning trying to pull up the documentation to use this. So, you know, the number of controllers I've talked to and we'd recommend you talk to them as well that have full insight into what's happening and what's been filed by their entities. Is very low and very limited. And so this is, a market, again, you know, obviously we're a cloud based platform. Global reach. People can deploy this very quickly and get this up to speed and get insight into what they're doing and begin to manage their global operations. The way it should be. How many, like entities would a company need to have, like legal entities in order to make for this, like, solution to make sense for them to purchase? Or is it just am I just ignorant? And like all these companies have so many legal entities and just don't really even realize that. I just think of it as one entity. No. No. Good question. I mean, obviously, I'm a little biased. I would say if you had one entity, you should use, Warkiva. So that's my answer. But we've looked at about, usually from about, 20 to 25 entities up, this starts to make real sense. Below that, maybe you can manage it. I'm not saying it's easy. We have a few customers that are below that, but in in in in essence, we manage about 20 to 25 entities up. And you see some with thousands of entities managing it this way. Could you give us a sense of the cost of adopting something like this? I'm just looking at, I know it's larger enterprise and then the cost, the uplift of going to something like that. I'm just curious what that might look like adopting statutory reporting. What do you charge for Tim with some sort of range on? Yes. So the typical range, is It's based on the number of entities. Current pricing is about 5000 in entity. There there are many variances in that, so I want to I want to be careful in case you do some math. But there are many variances in that as it relates to, you know, in in and how you come out with the price point. And there are also many different components to which we add on like audit and some other stuff as well. So on a straight map number. Okay. How do you get companies to even know about it? They're aware of it. Believe me, when you find the financial controller and you say I think he needs to make him aware of that Wdesk can solve this problem. Yeah. So we're targeting typically. No. I mean, they know do they know they have the problem? They know that it's not efficient. They know it's not an efficient usage of their time and people, but, like, is it a high enough priority where they understand? Is it completely a missionary sale? Because I don't think somebody else is like outselling this. So it's not like it's a market that's known. So, it's definitely a problem that's known. So when you talk to financial controllers and you ask them how how are you managing your topside adjustments? And do you know what's actually gone on and what was filed in each country? You know, they, they know they have a problem you can usually tell by, by the they turn a little white. And then they, they go a little pale. And then they kind of say, well, that doesn't happen here. And then, when you drill in and out mean, are they ever able to balance their books back to, to be able to look at the, you know, was originally, signed off and at the end of the year, all the adjustments that took place and what was filed outside on behalf of them. From a legal perspective, for a few places they're able to do it today. So it's for sure a known problem. It's becoming a bigger problem because the overseas regulatory authorities are now getting a lot more active as well. So there's a lot more exposure in this market that may not have been there 4 or 5 years ago. We're not having any trouble getting, getting, substantive meetings about this with potential buyers, not having any trouble getting those meetings. Other questions? Okay. Thank you. Now, Ted Feiner, who's the general manager of Integrated Risk. Hey, good afternoon, everybody. So I'm going to walk us through a little bit of brief history on As Stuart alluded to earlier, we entered this market deliberately as part of a demand pull. Our existing customers are already using this technology. And over the course of 4 years, we added a number of solutions on top of our of our SOX offering. And at the end of last year, we reached a point where we saw opportunity in the market and we saw that in order for us to move more effectively spawn to change and essentially have a faster closed loop process in order to react more quickly to opportunity that it may sense to break off into a separate business unit. And we really step back and organize that around a sense of principles, a set of operating principles. Focus when we talk about speed, focus, and that teamwork, that ability to have R and D all the way to the post signing of our customer or all the way through to customer success, where we're all under one umbrella. And that's one team focusing on the uniqueness of the risk market and being able to attack that and compete really effectively. So we're just about a year into that journey. So a couple of factors that are in play today in our market that are, and also how we're organizing ourselves to compete in that market. So, data, that has real relevancy to us in the integrated risk market because as we open up our platform beyond simply being a tech sting and certification, a very granular tactical point solution. As we open that up with a, with a broad set of APIs, we're giving an opportunity, I'll talk about it more on some subsequent slides. We're essentially creating opportunity for our customers to get even greater yield from the investment they've already made with us. Some other changes that are happening also, it also allows us to go after some near adjacent use cases, which I'll speak to. Also, some when we look at our market, it's increasing there's an increased shift from traditionally, internal audit or from the SOX team increasingly, we're seeing enterprise IT play more of a role as a buying center. So that's a shift that's occurring inside of our market that we want to be better prepared to react to. I'll talk more a little bit here in a second about some emerging technologies. But one of the other changes we're making, with respect to our go to market is that when we look at our customer base, over percent of internal audit and SOX customers outsource some step in that process. There is an advisory firm somewhere in that either the entire process is outsourced and consumed as a managed service or maybe it's something just minute like testing. So we are increasingly shifting our routes to market, our go to market motion to mirror that buying center and buying behavior of our customers. So as we coalesced kicking off when we trade the business unit, really 3 big strategic priorities for us, really latter half of this year going into 2020, really is securing our existing and strengthening our existing footprint, becoming the best in the market when we look at SOX, finding those near adjacent use cases expanding that and then finding, and then really penetrating very aggressively those new markets. And then all as an underlying layer, if you you'll hear from Mike Ross here in a little bit, talking partnerships is optimizing that go to market motion through both managed services and with our delivery partners. Let me talk a little bit about strengthening our core from the business. All of the biggest shift that we have seen is now as our platform is open, is the ability to go in and have a broader conversation beyond just a point solution. So we are shifting from, like I said, just that granular set of controlling testing certification. You're now being able to have a broader conversation. That lends itself well for us positioning the broader platform. And we're seeing the ability to position a broader package versus just a single solution. Case in point would be when we talk about connected reporting for GRC. Over the years, this market not unlike the ERP market with the late 90s into early 2000s, our customers had tremendous sunk costs in large legacy GRC systems. There's a slide to show them. Those systems are not coming out today. Those, how much of their control data, much of their, a much of their risk data is in there. Where they gap out is the ability to report effectively on that information that's housed there. So they have this in flexibility of reporting And we offer a solution that is an intelligent layer around that. The incremental value associated with this is that this creates tremendous opportunity for our partners. If you are out on the expo floor today, I'd encourage you to go see some of our big four partners that are out there today, that have already built services offerings around this concept and are ready to take or already taking it to market today. So we're very excited about what traction this gives us in our existing customer base and also our ability to create opportunity for our partners. So second pillar, when we look at how we're going to market with integrated risk, really across really big 3, 3 emerging areas. Let me talk a little bit about OMB 123 and then, and then, agency audit. We're excited about federal government. Obviously, FedRAMP dependent, is OMB 123, we have a 30 seven thirty eight year old forcing function that still hasn't been solved with the greatest efficiency. So we're bringing to bear new technology on an old problem. Again, creates a great opportunity for our partners to go in and sell controls rationalization the internal controls for the federal government. At the same time, the amount of scrutiny at the agency and departmental level from their essentially their watchdog agencies think Office of Inspector General, an OIG, which exists in each department, a congressional investigation. Those number of audits, they call them in audits. They're essentially investigations, requests for They're extremely detailed, they're far reaching, there's massive amounts of data and hundreds plus of collaborators. This is an unwieldy process today that we are seeing well received by our customers when we position this agency audit solution. A very experienced federal team that's already out there today, and we expect to have customers up and running these solutions in the near future. So we're very excited about that. Dermont touched on EMEA. One thing I will say is that, we see a great deal of increased scrutiny around privacy and the reporting associated with that. And that, that's a great segue into where we see some of the greater, the near adjacent opportunity around IT risk and compliance. So when you look at in the EU, you look at requirements specifically around whether it's chain of custody, or privacy, it's we're starting to see that, particularly when you look at like CCPA out in California, you're essentially seeing the first privacy, the beachhead of some of the privacy regulation landing here in the U S, we expect that to only expand. The other the other thing we see real opportunity and when we look at IP compliance is much like some of our earlier use cases. This is one that is held at a board level. Cybersecurity, security as a whole. It's often at the board level. It's one that's very frequently budgeted for. And companies have made significant investments. But many of those investments, whether it's endpoint security, network scanning, vulnerability scanning, incident event management, All of that has been approached in a segmented and siloed fashion, which gives our customers a great ability to defend and detect but not the ability to report. And that's where we're we are really excited because we already have a lot of that information, a lot data housed. And we're already doing a lot of reporting and use cases very similar to that. And just this is just a picture to kind of give a, give us some illustration about how we view this market. So when we look at IT risk, think of it as very broad. Just a metric for you to take away a majority of audits, an audit universe established in some sort of internal audit department. Roughly 20% of those controls are IT controls today. So already, our customers are using our platform to pull in data, whether it's it's user data, access data, incident reports into our system for reporting. We see that compliance landscape only expanding. I mentioned CCPA. And we, we also expect to see, an increased drive, and we're already seeing this where our partners are finding an opportunity where they can make a market around a forcing function in some shape of a regulatory requirement. Go to market with us in a joint go to market fashion. And when I touch on that, we really have 2 ways in which we've gone to market with our partner's teams. Over the last couple of years. 1 is when we go arm in arm and we're going in as a trusted advisor to solve a problem with strategic nature and sell a solution, ends up giving us an opportunity for larger deal size, but most importantly, it takes in with a trusted advisor. And we find ourselves in a much better opportunity for stickiness, and, and, and follow on sale. We look at managed service where we've had some success with big part, big 4 partners essentially white labeling our technology and delivering, whether it's SOX or audit as an outsourced managed service. So that's a part of our business. We're really excited to continue to try to grow, especially since, as I mentioned earlier, over 50% of our markets are already outsourcing in some way. Just to touch on this, this was a little bit about when we, some of the drivers behind why we created this business unit. I really want to talk about more importantly is that the speed at which this gives us, it also really allows us to fully exploit our cross sell opportunity. Of all of our customers inside our integrated risk customer base, over 30% of them have more than one of our solutions. And we see that continuing to increase. That was really one of the drivers when we looked at this market as a need to really intently focus on it as we saw a number of our customers become cross sell customers and the importance of being able to bring the domain expertise and the focus to that market. There we go. Thanks for the slide there. Any questions? I like the idea of white labeling. That sounds, you know, like you have strategic value for these partners maybe you could talk about where you are on the evolution of white labeling and actually revenue being generated from some of those relationships. Yes. So we're not disclosing, externally where we are from a revenue basis. But we are already in a white label a couple of those white label partnerships, with some of the big 4 as well. We're not breaking out number of endpoints. We did disclose it's KPMG, it was the first one. Yeah. So with KPMG, we're already seeing really good traction with their existing customer base as they start to go into what they segment as the national markets. So if you look at where they primarily operate, it's in that Fortune 1000 and they're seeing real challenges is with their footprint of being able to go down market and compete. When you look at a white labeled KPAG instance essentially of our platform. It allows them to drop that in in a $250,000,000 to $750,000,000 or even up to $2,000,000,000 size customer. And allow them to go in and take that business. And eventually, as those companies climb that growth curve, they've got a relationship establish with them early stage and they're able to sell ancillary services around that over time. So it's a great way for them to get at early stage companies in their from their risk advisory side of their business. Leverages their cost structure, right? It leverages their cost structure with smaller accounts. It's hard for them to, you know, to serve it to a $1,000,000,000 revenue company. Other questions? Okay. Thanks for responding. Thanks, Chad. And then, Mike Ross, who runs, partnerships for us, is another important growth factor. I should have pointed it out earlier. I apologize, Mike. But it's a force multiplier for sure. Yes, I think when I when you look at the growth side of it, right? I really look at Partners Alliance is essentially a leverage point for all of our growth factors similar to what we just talked about with, with Tad there, right? And when I look at kind of framing this up and how you look at what we're doing here, right? I think there's kind of 3 things you look at, right. One is it is a growth factor across everything we do, right? How do we leverage this other community out there of both advisory firms and technology partners to drive business, right? The second thing is when you think about W data, right, supply of data creates demand for Warkiva. And we have to have data, the more complex the data, the more demand for W data, the more need for Warkiva on on driving that demand. The third interesting point that we've been finding now in this partner community is we're bringing a level of complexity now. With partner integrations, with data integrations, with more complex reporting that really has got the attention of the advisory firms. Advisory firms drive revenue out of complexity. They can go drive significantly larger projects and get more attention from there. And that's really, you know, think about framing this up is kind of consider that into, to what we're doing. We have a lot of momentum going on So many of you might have seen the press releases that came out in the last, couple of weeks, starting last week. So Today, we announced an alliance agreement with, with Deloitte. This is a global framing of an agreement. We've actually been doing quite a bit with Deloitte over the last 2 years. This is really formalization of that relationship, which really then gives us a license to hunt in a lot of different partner areas, for Deloitte. You heard Yasser on stage today talk about our, partnership with ServiceNow. ServiceNow, I know many of you are familiar with them. They actually have their New York release announcement in the last 2 weeks, they have an entire new business unit focused on the Office of Finance. We've been working with ServiceNow the last 8 months. As part of their financial close application and have, a couple different points of integration. And we see the workflow that ServiceNow is bringing to this market. And the weight they have behind them as a company as an interesting play for us and a great complement to what we're doing, with Workiva. BlackLine. We had an announcement with BlackLine last week. It's interesting, right. With both of us being leaders, the lack several years in the financial close, a cloud financial close Magic Quadrant from Gartner, oftentimes, people get us confused, right? And say, well, geez, BlackLine and Warkila, you're financial close vendors, you must compete because you're in the same Gartner quadrant. That couldn't be further from the truth, right? When you look at a lot of our clients and you go out and walk the show floor here and talk to people that, that use it, right? And BlackLine is all about reconciliations. They're involved in the close process. Warkiva is all about connector porting. It's a very interesting data source for our clients to bring in as part of their connected reporting process, which think about, the, the nature of the balance sheet information they have and, you know, with Wakiba being that source of record for the balance sheet there. Flow caps is actually a fascinating company for those who are not familiar with them. We got about 700 customers, a privately held company. They operate primarily in the mid to upper mid market with private companies. Locast has more private companies than Workiva has. Right? So this is an interesting complimentary channel where forecast looks at us as having some weight behind us and market size. We look at them as having some real expertise in going after private companies, and again, very complimentary from solution side. We've got great momentum with them in the field and look at that as a great way us to expand in the private market. Centio, we announced a Centio relationship this week as well. Centio is a financial research platform. Think of it as, for those of you, that lived on Bloomberg terminals in the past or, icon or, Cotron, if you want to go way back, right? CENTIO is a modern version. I'm an expert of Reuters first. I had to go Cotron here. So, CENTIO is a fascinating active data platform that we really see is taking SEC reporting to the next level. When you're going in and preparing Ks and Qs and and doing analyst reports, you know, you know, you can actually go in this platform. Many of you here in the room are actually searchable in this platform because all of your commentary on every earnings call, I can bring up like that, right? So when I enter an earnings call, I can actually figure out what questions you might have asked in the last three earnings calls. If I'm researching a K and wanna know what 3 of my competitors wrote on their K about a certain topic, I can go instantly search that, copy and paste to bring it to the WDS, and we're looking for some further integrations on that. So we see that as a very exciting, complement to what we're doing in the SEC reporting area. And we're gonna kind of move into the the Q and A thing. So to kind of frame up a Q and A, this is kind of generally how we look at our partner community. So we look at it from the advisory side of things. These are people that are out there working with our clients, helping them bring through whether it's connected reporting, whether it's SOX and internal, internal or integrated risk or brought a compliance initiatives. On the managed service side, the tag kind of covered some of those that's primarily in the integrated risk area and service. Our technology partners, again, the very important part of what we're doing, we need to live in the ecosystem of our customers and integrate with the solutions that are most critical for them as far as a system of record goes. We do have several reseller relationships as well. That's kind of an emerging area for us, from a partner side of things. So with that, questions. You could ask questions, if anybody's still in the room, if you'd like. We have a few minutes to do any of that. Hi. I'm just curious about the go to market strategy with the service partners and how much you're utilizing them to drive of you guys helping them bring in new business for theirs as well? That's a great question, right. So from an advisory firm standpoint, you know, there's a couple of things that, that we look at. First off is for them leveraging Wdesk and we brought a Warkiva for developing new use cases. So many advisory firms are organized in a vertical way. So for example, we're working with a big 4 firm on several insurance use cases. They're utilizing Fortiva to help build out utilizing their IP a solution they can bring to market. That brings Warkiva into net new opportunities, we're sourcing new opportunities for us. Obviously, important for them, it brings a whole transformational service line to them, So they're gaining the revenue, right? So that's typically, and then Tad actually had on this slide where it's kind of these win win joint pursuits where we're providing additional services for them, right, them basically building their IP on top of Workiva. And, as I kind of mentioned earlier, the more complexity and the more complex use cases you go after, which we can really fuel with our W Data Chain Builder and broader W Data that really then opens up the door these interesting use cases where the numbers are big enough for them to invest time and effort behind us. So on the technology partners, it's also a great question. Right? So each of them is probably a little different, right? So if you look at a ServiceNow, for those of you who were at the ServiceNow event, right, I was I was actually at their their user conference. They did a a presentation on their, financial close application, and the presenter asked question to the room saying, how many accountants in the room? There's about 3 hands raised up, right? They have, less experience in selling to the financial audience we do. And, you know, for them, they're looking at us as an interesting channel, right? So there is go to market relationship. We're looking for them. Where they're going to bring us into other areas, potentially that we're not in. So that's, black line is kind of a mutual, thing where, you know, really it's about connecting the data. And it's really serving our customers. We look at as really a greater attachment rate, a greater renewal rate on both of our platforms for there. Plus, you know, if, we are trading back through. Most of our relationships have some referral part to them where they'll refer us over. Locast, as I mentioned earlier, is about going into a market where they have more dominance. And we're actually learning from them on how to best optimize that private market. HMS had a little different flavor to it. So like KPMG and Deloitte in like the advisory bucket, KPMG is also like the managed service bucket. How do you like think about relationships and I'm trying to like figure out why a company like KPMGs in both of those and Deloitte is not like, how do you kind of think about that? Yes. So anybody that's ever dealt with, advisory firms, right, know that they are very franchised and fragmented organizations. Right? So you have basically, you know, buying centers essentially or business centers inside of those advisory firms, right? So if I kind of look at, manage service, right? Our business around KPMG has primarily been on SOX, into some degree on internal audit, right? And we're really aligned with the risk advisor group. You know, part of this goes through, you know, our, our really dealings with them, part of this even goes through some past relations we have with them. So we have a sponsor in DMNR who is the head of Global Risk Advisory and his broader team that is basically seeing the value in Wdesk and then they are carrying us through on that side of it. Deloitte, on the other hand, you see Deloitte over there as a reseller that's the Deloitte Australia team, Deloitte Consulting in Australia is a reseller of ours. They actually are standardizing, in this case, on IFRS 17 deployments for disclosure with Fortiva. Right? Deloitte up on top under global advisory part of the relationship, that was all through the digital controllership practice. Completely different area than what we compared with KPMG. It's where we've gotten that foothold where they see the value. And we have the support of some senior partners to drive that business. That's really kind of how you have to attack the advisory firms is find those right partners to see the value proposition, then they'll carry the weight of the organization with you once they get the, the mass behind them and see the value proposition. And I'd say generically, when, when the big 4 see that a company is looking to buy purpose built software. That tells them that there's a consulting opportunity to rethink business processes. And that, that gives them the incentive to go and say, well, you know, you can, you can implement the software, but have you, if you considered the best practices around the business process that it's supposed to address, and that can that can result in consulting fees at 3 or 4x what the software costs. Question for Dermot on the global stat side. So on on the EXPAREL business, there's specific drivers of adoption like the SEC and the EastMA mandate. I'm just curious What do you see on the global stat side? Are there specific catalyst to adoption, or is it more just the complexity of managing all these thousands of different legal entities. So the statutory report is obviously required for every country. So there is a mandate to to make that happen. There's no huge mandate coming up. And there are different filing practices in different countries. Some are EXPAREL, some are, you know, form of space filing. So you see across the board, but they are statutory filing and you have to do them every year. And if you guys start getting them wrong, you can get in trouble with the local regulator you got to do them with local accounting. You got to do them with local statutory requirements. So it's not it is a statutory report. So there was a mandate for it. That's not a big one like each country has its own. Breakthrough mandate, which creates complexity, which is really good for us. I mean, one of the interesting things is why do they do it, right? So the governments over there use it for gathering economic statistics to, to report their GDP and employment data. They also use it to validate that a foreign corporation substance in case it needs to be pursued legally. And in certain cases, not all cases, they share that data with the tax authorities. And I think that's a good point because it is, you know, statutory and required, we are getting access now to some fairly senior level people who are looking at this problem globally. So from a call plan perspective, like financial controllers are worried about how they are managing this process globally and the conversations at the top level. And that enables us to talk about the broader base of our platform as well. So got a lot of nice features to how we go to market Anything else, for the broader group? Yes. Let her just run over and get you the microphones so people online can hear. I think during the morning presentation you talked a 150,000 users, in that 3400 companies' customers. I'm just curious how that's trended post solutions based licensing that's been a major uplift in user growth. And if that's at all indicative, that's a metric we could all track to see kind of growth in some of these new solutions. Dermot, you want to, I mean, yasser, you want to take that question? The question was, the 150,000 users that we quoted What was that before solution based licensing? The 115% increase in access to users over the last year So the number of users that we had in the system, the 1st 9 years, you added the same amount access from an access perspective over the course of the last 1 year, right? So that's 100 15% increase since May of 2018. Thank you. So what number is that now Yes, sir, is that like 2:30 or something? Over 200,000 of access and the 150 was people who have actually used it. There's a, you know, there's typically a time after they turned on when some reporting cycle or some audit cycle or something actually triggers them to get in. So the real steep addition of users hasn't all been realized yet in terms of actually logging in and being active. Marty, in your opening remarks, you had the wheel, the 16 solution slide. And this has never been a company that's been shy about as you noted, spending money in R&D to keep innovation high. So that's been great, but you've got a very complete complete solution set So if we look at even just the last year, it seems like you've done a lot more to sort of focus your sales team on the solutions hand and maybe a smaller subset of those and really drive, drive customers into heavier usage of what you have. Do you see that wheel expanding aggressively if you look out over the next 3, 4, 5 years? Or do you feel like you've got the platform at its nearly complete state. And at this point, you kind of aim to expand productivity on the sales side? I think that There'll be some of that. I I do. I think that the ultimate driver is gonna be after we have 5. We're already seeing this in its infancy where we have 5 or 6 solutions. And we start getting attention from IT. We start getting attention from higher level business users. And they say, you know, you're gonna use cases to death So they view it and say, let's do, some type of SLA or something like that where or ELA, enterprise license agreement And, then we try to structure those so that is this sorta it's sorta funny we tag back to a user's model almost. But where we have some number that they agreed to over a 2 or 3 year time frame and have a chance to renegotiate if that number goes dramatically higher. So I think before we go sell a lot of the of the of these other solutions, we're gonna sell the ones that have the biggest total SAM, with, you know, the other characteristics are important too, how fast it takes to, you know, actually generate the business and what the cost is to generate the business. We're gonna try to find the things with the highest ROI to get the customer to the point where they're ready to do a broader deal with us. And so I'm sure if we find a a couple more use cases that are very, you know, really good deal size and we can push them fast, we'll do that. But I think we have enough use cases now for the most part to really get to that. We have, what, a 140 different ways people use it. We don't sell all that. Ones we've identified. Ones we've identified that we find them all the time. So eventually, the IT teams and the people start to, you know, really get creative and understand what they got. So, couple of points. 1, I think as we expand geographically, we're going to be picking up additional use cases just like did with Cass in the UK as a classic example of that. But also, it took us to get a certain level of global reach from a sales and marketing perspective to realize opportunity in statutory reporting, right? It was always there, but when you're selling in a seat basis, statutory reporting didn't make a lot of sense. When you move to a solution basis, you start to have a more global sales team, it makes a lot more sense. And we've discovered that a couple dozen customers were already using us for both staff. I think that will continue to happen. I mean, that's how we got into the SOX business was discovering that several dozen customers were already using us for SOX. Running and looking over their shoulder going, what are you doing there? And then, and then you go, product marketing goes and builds a campaign around that. Jasser, did you have something you wanted to add? Yes, I think Marty had asked the question what the delta looked like. So, we began SPL in May of 2018, we were roughly about 196,000 provision seats. And I don't have the data for August, but we finished July of this year with 429,000. So it's a little over about 119% increase. Thank you. So what was the 150 that you quoted this morning? 115, sorry, okay. I think I said 150. That was that was what I saw for the active active users. We have about 2 more minutes. Anybody else have a question who wrapped this up? Anything else? Well, thank you very much for coming to amplify and please do go get over the expo if you haven't already and go go talk to some customers. Thank you. Yeah. Thank you very much everybody.