Intapp, Inc.

Good day, ladies and gentlemen. Thank you for standing by. And welcome to Intep's second quarter fiscal year 2022 earnings conference call. At this time, all participants are on a listen-only mode. After the speaker's presentation, there will be a question-and-answer session. To ask a question during the session, you will need to press the star, then the one key on your touch-tone telephone. If you will call all of your assistants, please press star, then zero. I would now like to hand the conference over to your speaker host, David Tron, Senior Vice President of Investor Relations.

Thank you. Welcome to Intap's second quarter fiscal year 2022 earnings conference call. On the call with me today are John Hall, Chairman and CEO of Intap, and Steve Robertson, Chief Financial Officer. During the course of this conference call, we may make forward-looking statements regarding trends, strategies, and the anticipated performance of our business. These forward-looking statements are based on management's current views and expectations entail certain assumptions made as of today's date and are subject to various risks and uncertainties described in our SEC filings and other publicly available documents. INTAP disclaims any obligation to update or revise any forward-looking statements. Further on today's call, we will also discuss certain non-GAAP metrics that we believe aid in the understanding of our financial results. A reconciliation to comparable GAAP metrics can be found in today's earnings release, which is available on our website and as an exhibit to the Form 8K furnished with the SEC prior to this call. With that, I'll hand the conversation over to John.

Thank you, and welcome to the team, David. Good afternoon, everyone. Thank you for joining us. We ended our fiscal second quarter and calendar year 2021 with continued dedication to our corporate mission. to enable professional and financial services firms to better connect their people, processes, and data through our AI-powered software solutions. As a reminder for those of you who may be new to our story, our team has focused on this sector for more than 20 years. Our clients are the professionals who work in the large professional and financial services firms that were traditionally organized as partnerships. This is a large global industry that brings in $3 trillion in fees every year. But it has been underserved and overlooked by the technology industry because its firms are organized differently than the traditional corporations that make up the rest of the technology market. Traditional corporate employees tend to be organized into functional departments like sales or finance or IT. Their workflows and data needs are specialized to those functions. In contrast, the professional clients whom we serve grow their careers by developing and leveraging individually specialized knowledge and expertise about their chosen domain. Our professionals drive their career success and their firm's success by leveraging that expertise to develop and build key investor and client relationships, to grow and retain business with those clients, and ultimately to deliver great results and returns for their clients on a wide range of projects. The unique working model that these professionals execute every day is different from the traditional sales or operations department workflows that traditional CRM and ERP systems were designed for. We've built our cloud based on 20 years of working directly with these firms. Intap's purpose-built industry cloud understands these professionals' focus to build and develop their own area of expertise and then arms them with the modern power of AI to help them make better, more market data-driven, more insightful, and more competitive judgments and recommendations. Intac has built the modern industry cloud for the global professional and financial services industry. Today, professional and financial services firms are rapidly adopting cloud for several reasons, including seeking greater agility to respond to market changes, improving access to data and market intelligence, and better connecting their global workforce and the broader ecosystem. We've established a trusted brand in these markets due to our deep knowledge of their unique workflows and our industry leading technology architecture. With our reputation and our specialized product strategy, we are focused on leading the cloud transformation for these firms. The market demand and acceptance of our cloud solution is evident. In our second quarter, our cloud ARR grew 52% to $135.3 million. CloudNow represents 56% of our total ARR of $240 million, which is up 27% year over year. We earned SaaS and support revenue of $47 million, up 36% year over year. and total revenue of $64.7 million, up 30% year over year. We ended December serving over 2,000 firms in over 40 countries around the globe. During our November call, I outlined several of our unique technology capabilities and how they directly address the critical needs of our clients. Today, I'll share a bit about our go-to-market organization to better illustrate how we interact with clients and prospects to drive demand for our solutions and deliver client success. We have evolved a unique go-to-market model to serve this industry based on our two decades of focus on the professional investors and advisors who work in these firms. Leveraging our go-to-market organization, our entire business has moved to a SaaS model, and we are enabling our target industry to make its own digital transformation to the cloud. This shift to the cloud is both accelerating our growth and improving outcomes for our clients, which drives the virtuous cycle of continued adoption and net revenue retention. Our client-facing teams include industry experts themselves, who have deep sector knowledge specific to the private capital, investment banking, legal, accounting and consulting markets. Our integrated sales and marketing programs at the industry level drive repeatable and predictable pipeline growth through both inbound lead generation and cross-selling programs. Our go-to-market team applies both account expertise and solution expertise resources to this pipeline to surround each opportunity. Our sales engineering experts focus on key solution use cases such as coverage management, relationship management, deal management, marketing and business development, operations and finance, and risk and compliance. Our ability to deliver unique proposals, demonstrations, and business cases to our clients is a significant competitive advantage and leads to high win rates in all of our markets. For example, Our team recently won a strategic opportunity at IQEQ, a leading investor services group with over 3,700 global employees and assets under administration of over $500 billion. Our solution will help enhance the relationship management capabilities of the firm. The ability of our services and technology teams to configure our platform to the unique use cases of IQEQ was critical to both winning the business and driving success for the client. The new platform will support information sharing, firm-wide knowledge capture, and expanded visibility into client relationships to help the IQEQ team to better support the expanding needs of clients. Our industry experts in pre-sales and services bring this to life for clients like IQEQ. This investment in our own deep bench of market expertise Building a unique team over many years who know and are known in this market represents a sustainable competitive advantage for Intep. Our go-to-market strategy has also developed ways to successfully engage with firms at different client sizes. We generally offer smaller firms our full platform and its suite of solutions, enabling the firm to build its operations around our industry cloud. and we grow users with the firm and as we bring out new functionality. For example, Graphite Capital, a leading UK mid-market private equity firm, recently selected our cloud platform to boost the efficiency of their deal, value creation, and investor relations teams. This is a good example of our integrated marketing, sales, and technical engagement with clients. After a series of discovery meetings supported by our marketing programs, Our sales and sales engineering teams showcased the potential of the technology for the firm's leaders. Working collaboratively with the client, we prioritized use cases that are most important to the firm's strategy, and we're now in the process of deploying those. We will continue to work with them over time to support their evolving needs as the firm grows. Larger firms often select a phased approach to adopting the Intac Cloud platform. We recently onboarded an independent global business advisory firm with over 6,000 employees. During the sales discovery process, we identified a specific use case to support improved compliance around their business intake process with a focus on some complex regulatory requirements in Europe. Our pursuit required a deep understanding of EU regulations, sophisticated technical demonstrations, and a strong integration with their existing enterprise IT strategy. Working collaboratively with the firm's experts, we identified a strategy for our cloud platform to both solve their immediate requirements and to set the firm up for additional adoption over time. We see significant growth opportunity within our clients as we expand, upselling with more adoption and cross-selling with new solutions. As we expressed in our S-1, we believe there is over $1 billion in expansion revenue opportunity in our top 100 clients alone. We invest in both client support and client relationship management to ensure that we continue to delight our clients. For example, a large global law firm and a long-standing Intap client using multiple Intap solutions recently sought to modernize their approach to handling conflicts, business intake, and overall risk management. They will soon deploy Intap's cloud solutions for risk and intake, which will allow them to move faster to support client needs while ensuring full adherence to complex regulatory requirements. As part of this project, we are also helping the firm accelerate cloud migration for their on-prem Intap solutions to our industry cloud. Our go-to-market also includes a strong client marketing program. In Q2, we hosted Intact Connect 21, our annual user conference. Over a two-day period, more than 1,700 registered guests attended keynotes and sessions led by experts and peers in the professional and financial services industry. Leaders from multiple sectors discussed the changing landscape and how to find opportunities, build the right teams, and harvest knowledge to drive better outcomes. This event is just one way our continued go-to-market program engages our clients in strategic discussions around how they can modernize and adopt solutions that better connect their people, processes, and data. These examples illustrate our industry-specific go-to-market function and rely on a few key InTAP advantages. First, our low-code platform is designed for the industry and is configurable for each firm. allowing each client's unique needs to be served without requiring custom code. Next, our investment in experts with the experience in these industries who can help identify and showcase how our technology supports and meets the requirements of industry-specific use cases for each client. Next, our services and client success teams, along with our partner ecosystem, focus on not just successful deployment, but successful adoption of our solutions. Finally, in concert with our clients over the past 20 years, we have developed a unique go-to-market approach that meets the needs of these special partner-led firms. We have developed a well-earned reputation as a trusted provider within our client community. And today we often generate new business through network effects within this community, Our long-standing client relationships act as a significant driver of new opportunities for us as professionals move between firms. We believe our unique go-to-market model, designed to serve the specific needs of this industry, is a sustainable long-term competitive advantage. Our teams are working across the firm with the technology and departmental leaders that support the firm and the professionals themselves. As our industry accelerates its move to the cloud, our teams will guide all these constituents on how to best take advantage of the transformation. As we mentioned on our last call, over the past year we have invested in building out a larger integrated go-to-market function to pursue our large and growing TAM. We will continue to invest as long as we see opportunity for growth, particularly to ensure that we remain the leader as our clients make the move to the cloud. We hired aggressively in Q2, and we are bullish that these new hires will help us to continue to capitalize on the market opportunity in front of us. As our cloud continues to grow, we are able to drive further growth through adoption and expansion of this sticky long-term subscription revenue. I'll now turn the call over to Steve to discuss our financial results.