HashiCorp, Inc.

Ladies and gentlemen, thank you for standing by, and welcome to HashiCorp's Fiscal 2024 Third Quarter Earnings Call. At this time, our participants are in a listen-only mode. After the speaker's presentation, there will be a question-and-answer session. Please be advised that today's conference is being recorded. I would now like to turn the conference over to your first speaker today, Alex Kurtz, Vice President of Investor Relations and Corporate Development. Thank you. Please go ahead.

Good afternoon, and welcome to HashiCorp's fiscal 2024 third quarter earnings call. This afternoon, we'll be discussing our third quarter fiscal 2024 financial results, announced in our press release issued after the market closed today. With me are HashiCorp CEO, Dave McJanet, CFO, Navam Walianda, and CTO and co-founder, Armand Dagar. In conjunction with our earnings press release, we have published an earnings presentation that provides Additional financial information about our quarter, we encourage you to review that presentation in advance of our call. You can access it on our investor website at ir.hashicorp.com. Today's call will contain forward-looking statements which are made under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning financial and business trends, our expected future business and financial performance and financial condition, and our guidance for the fourth quarter and full 2024 fiscal year. These statements may be identified by words such as expect, anticipate, intend, plan, believe, seek, or will, or similar statements. These statements reflect our views as of today only. They should not be relied upon as representing our views at any subsequent date, and we do not undertake any duty to update these statements. Forward-looking statements by their nature address matters that are subject to risks and uncertainties that could cause actual results to differ materially from expectations. During the call, we will also discuss certain non-GAAP financial measures, which are not prepared in accordance with generally accepted accounting principles. The financial measures presented on this call are prepared in accordance with GAAP unless otherwise noted. A reconciliation of these non-GAAP financial measures to the most directly comparable GAAP financial measures as well as how we define these and other metrics is included in our earnings press release, which has been furnished to the SEC and is also available on our website at ir.hashicorp.com. With that, let me turn the call over to Dave. Dave?

Thank you, Alex, and welcome everyone to our third quarter earnings call for fiscal 2024. We reported solid third quarter results that exceeded our top and bottom line guidance with revenue of $146 million representing year-over-year growth of 17%. Current non-GAAP remaining performance obligations reached 421 million, representing 23% year-over-year growth, and we added 26 customers with greater than or equal to $100,000 in annual recurring revenue to reach a total of 877. Our HashCorp Cloud Platform offerings reached 19.9 million in revenue, representing 14% of subscription revenue in the quarter. The team performed well under difficult circumstances, with continued new large customer wins despite sustained deal scrutiny that's a result of the broader macroeconomic environment. Coming out of our annual user conference in October this quarter, we remain convinced about the long-term opportunity ahead of us as the world's largest enterprises move to the cloud. With that as backdrop, I want to talk today about what we're doing both short-term and long-term to fully realize this opportunity. HashiCorp's position as an enabler for the cloud makes us unique, At HashiConf in October, we had more than 1,200 in-person and 12,000 virtual attendees and hosted keynotes with customers such as Home Depot and Unity Games. The size of our community and the variety of customer use cases on display at HashiConf underscore that we have a large long-term opportunity that touches multiple facets of cloud infrastructure. At HashiConf, We unveiled multiple new product investments aimed at enabling both developers and platform teams with workflow automation capabilities and lifecycle management. We announced HCP Vault Secrets, a good example of how our continued investment in cloud capabilities is expanding our portfolio, and also gave a preview of HCP Vault Radar, which is based on the secret scanning startup we acquired earlier this year. We also made several announcements related to Terraform, the industry standard for infrastructure as code. I think attendees and users were most excited about Terraform Stacks, a major investment and enhancement to the Terraform execution engine. We also announced our first generative AI feature within Terraform, which uses LLMs to generate module tests for users. Additionally, we announced the private beta of HashCorp Developer AI, an AI-powered companion for finding reference materials, architectural guidance, and product examples from the HashCorp Developer Portal. You'll also continue to see us being targeted about incorporating AI capabilities into our products over time. We're being thoughtful about what AI use cases are valuable to our customers and are proceeding deliberately. However, you will continue to see investments across our portfolio with the focus on lifecycle management capabilities across infrastructure and security. As I mentioned earlier, it's no secret that market conditions remain difficult. While there are many things we cannot control, there are many others we can, so we've taken steps to help us with both near-term performance and meeting the long-term opportunity ahead of us. First, we are focused on simplifying our go-to-market messaging and strategy. At our Financial Analyst Day, we introduced new messaging centered on lifecycle management, which we apply to both our infrastructure and security offerings. This helps our sales teams more easily position key parts of the HashiCorp product portfolio as comprehensive solutions to common problems and package them together. Susan St. Ledger, our President of Worldwide Field Operations, is key to this go-to-market approach, and she is already having an impact with new leadership hires and enablement efforts to our field teams. With our help, our field teams will be better positioned to execute on this new strategy, while also putting additional focus on our cloud offerings. This investment in our go-to-market is aligned with the investments in our products I mentioned earlier, and together, they will help us to continue to win and expand within the Global 4000. Second, it's worth noting that these go-to-market efforts are also crucial to our ongoing focus on building a wholly integrated offering around the Hashcore Cloud Platform. These cloud-managed products are a fast-growing part of our business, as you can see in our results. Through HCP, these products can be sold and consumed more easily with simplified opportunities for product expansions and extensions, and we can better respond to changing customer needs. We are already seeing positive responses to the new cloud pricing frameworks we introduced earlier this year. Finally, we remain focused on increasing efficiency and are committed to creating further operating leverage in our business. Those efforts are already underway, and we are making good progress on our path to profitability. Navam will discuss those in more detail. These efforts do not alter our ability to build new products, as you can see from the broad set of announcements we made at HashiConf. Now, I'll turn it over to Navam to walk through the details of our Q3 performance, and then I'm happy to take any questions.