Jamf Holding Corp.

Thank you for standing by. My name is Rochelle and I will be your conference operator today. At this time, I would like to welcome everyone to the Jamf first quarter 2024 earnings call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, simply press star followed by the number one on your telephone keypad. If you would like to withdraw your question, press star 1 again. Thank you. I would now like to turn the call over to Jennifer. Please go ahead.

Good afternoon, and thank you for joining us on today's conference call to discuss JANF's first quarter 2024 financial results. With me on today's call are Josh Drossel, Chief Executive Officer, and Ian Goodkind, Chief Financial Officer. Before we begin, I'd like to remind you that shortly after the market closed today, we issued a press release announcing our first quarter financial results. We also published a Q1 earnings presentation, investor presentation, and Excel file containing quarterly financial statements to assist with modeling. You may access this information on the investor relations section of Jamf.com. Today's discussion may include forward-looking statements. Please refer to our most recent SEC reports, including our most recent annual report on Form 10-K, where you will see a discussion of factors that could cause actual results to differ materially from these statements. I would also like to remind you that during the call, we will discuss the non-GAAP measures related to chance performance. You can find the reconciliation of those measures to the nearest possible GAAP measures in our earnings release. Additionally, to ensure we can address as many analyst questions as possible during the call, we ask that you please limit your questions to one initial question and one follow-up. Now, I'd like to turn the call over to John Strozel. John?

Thanks, Jen. Jam started off the year strong, reaching the milestone of $600 million of total ARR. At the end of Q1, ARR grew 14% year-over-year to $602.4 million. We're delivering on the expectations we set for 2024. Both Q1 revenue and non-GAAP operating income exceeded the high end of our outlook. Q1 year-over-year revenue growth was 15%, and non-GAAP operating income was $22.1 million, with non-GAAP operating income margin of 15%. This margin represents a 1,000 basis points improvement from Q1 of 2023. We ended Q1 with 75,900 customers and 32.8 million devices on our platform. Of these customers, 41% run a Jamf management and security product. We continue to drive cross-sell with 31% year-over-year growth in security ARR to $138 million, or 23% of Jamf's total ARR. Our largest industries, tech and K-12, remain muted, impacting device expansion. The remaining industries in our top five continue to see positive trends. were also encouraged by growth in the PC market in Q1 after two years of decline. According to IDC, Q1 year-over-year worldwide PC shipments grew 1.5% to nearly 60 million units, representing a similar level of shipments to pre-pandemic. Apple saw the highest year-over-year growth in shipments of any company in Q1 at 14.6% and also increased its market share. IDC remained optimistic regarding PC sales in 2024 as companies began refreshing PCs that were purchased during the pandemic. While we are encouraged by this Q1 data, our outlook for 2024 does not rely on a significant uplift in device expansion. We continue to innovate and deliver solutions to help organizations succeed with Apple. In April, we held a special Jamf event to showcase a number of new offerings with a focus on compliance. IT and security teams are being asked to get more involved beyond traditional device management functions to help meet these various compliance standards across their Apple devices. Jamf is proud to deliver tools that help customers navigate the vast and varied compliance landscape. Product updates highlighted at the event include a customizable compliance dashboard in Jamf Protect, allowing admins to view an aggregate baseline score and detailed information to understand and remediate compliance issues. Compliance editor tool for Jamf Pro for iOS that generates deployable configurations to make endpoints compliant with a chosen compliance benchmark. Jamf Routines Tool for Jamf Bundled Solutions, which offers customers new no-code automations and integrations to streamline management and security workflows, while also providing seamless integration with Slack and Microsoft Teams to alert IT teams when devices fall out of compliance. Privilege Elevation Feature that utilizes an organization's cloud identity provider and Jamf Connect to temporarily allow admin privileges for local macOS accounts based on valid user authentication and authorization. We also recapped our recent announcement that support for Apple Vision Pro is now available across the entire Jamf platform. With Jamf Pro, organizations can enroll and streamline deployment of enterprise apps and settings for Apple Vision Pro. Jamf Connect allows Apple Vision Pro to securely access enterprise resources for any of the web and native apps that require secure identity-based access controls. Jamf Protect extends the same mobile threat defense, network protection, and content filtering use cases to the Apple Vision Pro. We also announced that support for watchOS management is coming later this year, including enrollment and inventory display. We're excited about the opportunities that watchOS management provides, especially as it relates to deskless workflows across a number of industries. Enabling these new device types is a testament to Jamf's commitment to simplifying Apple at work and giving users the ability to be productive however they work best. In addition to the spring event, we hosted another important event, our first Investor Day in mid-March. We outlined the next phase of Jamf's evolution, which is all about efficient scalability. If you hadn't had a chance to review the event yet, I encourage you to do so. The replay and presentation can be found on our investor relations website. During the event, we highlighted our differentiated position in competitive mode, our large and growing addressable market, our strategic growth drivers, and our financial expectations through 2026. I'd like to use the strategic growth drivers we discussed during this event as the framework for the remainder of my remarks, highlighting some of the specific successes we saw in Q1. First, in Mac leadership, we continue to demonstrate how Jamf's Apple-first, Apple-best solutions deliver the best outcomes for our customers. In Q1, a leading online travel company renewed with Jamf for three years. Key to this win was our ability to demonstrate how Jamf's solution can help with the customer's current strategic initiative around process automation. We also delivered a long-term roadmap for expanding with Jamf, including Jamf Pro for iOS and Jamf Protect. Our ability to build multiple strong relationships with the customers at the management level was also beneficial, helping streamline the approval process. and our suggestion to utilize AWS Marketplace to leverage their committed spend was a win-win, simplifying procurement for the customer and resulting in a timely renewal for Jamf. We're excited about continued growth through the AWS Marketplace, as customers can use committed spend towards their Jamf contract, like Netlify, a cloud platform for front-end teams to build, deploy, and scale modern web applications. Netlify is now using Jamf with committed spend for AWS to manage its Apple devices and connect their end users to the resources they need. Second, with respect to expanding with mobile, we continue to see customers utilizing Jamf across their mobile fleets, especially for deskless workflows. In Q1, one leading specialty retailer expanded with Jamf beyond Mac by adding Jamf Pro for 15,000 iOS devices used across nearly 1,500 retail locations. This was a great win for Jamf against the legacy UEM provider, a testament to Jamf's continued commitment to innovating at the pace of Apple to securely manage multiple device types across multiple use cases. We're strongly encouraged by our progress in the retail space, which represents one of our top five largest industries. Retail, along with financial services and professional services, continue to see strong growth, helping balance the softness we are seeing in tech and K-12 education. Tech is seeing muted hiring and lower IT investments, while K-12 experienced a bit of a COVID overhang with record device deployments in 2020 and 2021. The third growth driver, management and security, are what we refer to as delivering our trusted access vision. In the area of opportunity, we expect to become a larger part of our total ARR over time. Our ability to deliver both management and security on one platform is a key differentiator for Jamf. Both legacy UEM providers and Apple-specific management providers lack the complete platform requiring customers to utilize a number of third-party vendors to deliver management, connection, and protection capabilities. Smaller organizations often don't have the bandwidth, budget, or the desire to engage multiple third parties, making Jamf's trusted access platform an appealing solution. We continue to see an increased number of deals with both a management and a security component. We see this by continued strong growth of Jamf's bundled commercial solutions, which grew 63% year-over-year in Q1. And currently, 45% of Jamf's new customer commercial pipeline is made up of security opportunities. Additionally, when a customer consolidates management and security with Jamf, we see reduced churn compared to customers with just a management solution or just a security solution. In Q1, a precision medicine company became a Jamf Business Plan customer for their 1,200 devices. This company chose to move away from the legacy UEM provider and chose Jamf due to the value of trusted access brings to their organization and the strength of our capabilities for a mixed device environment. The customer's device environment includes Mac, PCs, Chromebook, and Android. Also in Q1, one of our largest airline customers, a mainline American carrier, expanded beyond management, adding Jamf Connect and Jamf Protect to 15,000 of their iOS devices which are utilized globally. We were able to demonstrate our industry leadership in managing and securing mission-critical mobile use cases and remote work situations, which were key to this win. Our solutions allowed the customer to have a defined practice for continuously securing mobile devices, something the customer only had previously for PCs. This success will serve as the blueprint for further expansion with customers in other areas of their business. Inclarian Housing Group, the largest housing association in the United Kingdom with 125,000 properties across more than 170 local authorities, recently became a Jamf customer using Jamf Pro and Jamf Connect for their Mac and iOS fleets. These three wins showcase the strength and leadership of Jamf's management and security platform, which is able to deliver the right solution for each organization, whether that is purchasing both management and security at the onset or expanding beyond management at the right time. And lastly, with respect to international expansion, Jamf continues to invest in strategic geographies where we're seeing growing adoption for Apple. Revenues outside of the U.S. continue to grow at a faster rate than U.S. revenues. In Q1, we saw a number of international wins for our Jamf Executive Threat Protection product with government agencies in the Middle East and India. The win in India represented our first government agency win in the country. The agency has embarked on a journey to curb cybercrime, and Jamf Executive Threat Protection, along with other products, will be used by forensic teams to investigate and, for instance, response. Jamf's executive threat protection was chosen due to its ability to identify sophisticated digital threats and extend visibility into attacks that target high-value users. Winds like these help our footprint in these regions and offer a blueprint for similar organizations in the area to utilize Jamf. We've seen success with this strategy in the past in countries like Japan. We'll continue to leverage this success in select geographies where we're seeing the most potential. I'll now turn it over to Ian to review our results and provide our Q2 and 2024 outlook. Thanks, John.