Citrix Systems, Inc.

Ladies and gentlemen, thank you for standing by, and welcome to the Citrix Systems, Inc. Third Quarter 2020 Conference Call. At this time, all participants are in a listen-only mode. After the speaker presentation, there will be a question-and-answer session. To ask a question during the session, you will need to press star 1 on your telephone. If you require any further assistance, please press star 0. I would now like to hand the conference to your speaker today, Tracy Tsuchiguchi, Vice President of Investor Relations. Please go ahead, ma'am.

Thanks, Joelle. Good morning, and thank you for joining us for today's third quarter 2020 earnings call. Participating on the call with me is David Henshaw, President and Chief Executive Officer, and Arlan Shankman, Executive Vice President and Chief Financial Officer. Please note that we have posted our third quarter earnings letter to our investor relations website. I'd like to remind you that today's conversation will contain forward-looking statements made under the Safe Harbor provisions of the U.S. securities law. These statements are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results could differ materially from those anticipated. Additional information concerning these and other factors is highlighted in today's earnings letter and in the company's filings with the SEC. Copies are available from the SEC or on our investor relations website. On this call, we will discuss various non-GAAP financial measures as defined by the SEC's Regulation G. A reconciliation of the differences between GAAP and non-GAAP financial measures discussed on today's call can be found at the end of our earnings letter found on the Investor Relations page of our website. Now I'd like to turn the call over to David, our President and Chief Executive Officer. David?

Thanks, Tracy, and good morning and welcome, everyone. Thanks for joining us today. I'm pleased to report another really strong quarter of results, even with a mix of subscription bookings that's running higher than anticipated. The transition clearly accelerated over the last quarter, and we now expect the year to finish with 85% to 90% of total bookings coming from subscription bookings in the fourth quarter. Regardless of this, for the full year, we're still raising the midpoint of our revenue guidance and, of course, raising our operating margin and EPS expectations considerably. So the Citrix workspace is really what's driving these results, with total revenue up 12%, including subscriptions, which are growing north of 50%. As companies have spent the last seven months largely working from home, this concept of back to the office is really moving beyond a discussion of one location versus the other. I think there's a broad realization going on that a hybrid work style blends really together the best attributes of a physical office environment with, of course, the flexibility that individuals need to be productive and really do their best work. And all of this is dependent upon technologies like those provided by Citrix to ensure a safe, secure, and productive work experience across any location people choose to work. And so we believe with that as a backdrop, we're really well positioned to achieve our longer-term targets that we outlined at this time last year. And of course, despite the uncertain environment that we're all operating in, today we're also going to provide some early headlights into our initial expectations for 2021. So with that, let's open up the call and take some questions. Operator?