nCino, Inc.

Ladies and gentlemen, thank you for standing by, and welcome to the Encino, Inc. Second Quarter Fiscal 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 the question during this session, you will need to press star then one on your telephone. If you require any further assistance, please press star then zero. I would now like to hand the conference over to your speaker for today, Greg Ornstein. You may begin.

Good afternoon and welcome to Encino's second quarter fiscal 2022 earnings call for the quarter ended July 31st, 2021. With me on today's call are Pierre Naudet, Encino's Chief Executive Officer, David Rudeau, our Chief Financial Officer, and Josh Glover, our President and Chief Revenue 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, including those related to the impacts of COVID-19 on our business, the financial services industry, and global economic conditions. NCINO 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 just before this call. With that, thank you for joining us, and I will turn it over to Pierre.

Thanks, Greg. Good afternoon, and thank you for joining us. We had another great quarter and I want to thank our entire team at Encino for their hard work and efforts. As you can see from our second quarter results, the Encino platform continues to be selected by leading financial institutions around the globe, reinforcing our position as the worldwide leader in cloud banking. Encino really is in an enviable position. The digital transformation of the global financial services industry is accelerating. And we offer a best-in-class platform to help financial institutions of all sizes around the world transition to a digital client-first strategy. We reported impressive financial results for the quarter, highlighted by 37% growth in subscription revenues, which compared to a very strong second quarter last year that was driven by PPP revenues. We also achieved the highest sales for a second quarter in the history of the company. There is a lot of news from us today. In addition to earnings, this afternoon we were very pleased to announce that Wells Fargo has chosen the Encino Bank operating system as a foundational technology platform to accelerate its digital transformation within its commercial banking and corporate and investment banking businesses. A third press release shared promotions across our executive management team, positioning Encino for further growth as we scale the organization to address the significant global opportunity ahead. I want to spend time discussing these executive changes, but first, let me touch upon the Wells Fargo announcement and our record second quarter sales. At $1.9 trillion in assets, Wells Fargo is one of the top four banks in the U.S. We now have two of the top four. Bank of America has been a customer of Encino since 2017. Wells Fargo is a prime example of the momentum around digital transformation I just mentioned. They are investing in digital capabilities to serve their clients and improve their digital experience more quickly and effectively. We are incredibly proud to partner with Wells Fargo to help them transform their commercial lending operations and continue to meet the evolving needs of their clients. Signing our first customer in France was another highlight in the second quarter. This financial services firm, a subsidiary of one of the largest banking groups in France, purchased Encino for corporate lending and also purchased automated spreading, part of our Encino IQ or NIC platform, to automate and speed up the credit analysis process. You may recall as we started the year, I challenged the team to add customers in each of the new European markets we entered. Two quarters in and we've added a customer in Germany and now one in France. We are seeing the benefit of the teams we've been able to build out in the local markets and I'm pleased with the progress we have made, particularly in light of the challenges posed by COVID in Europe. Another key win was with U.S. Bank, a $540 billion asset institution and existing Encino customer, who significantly expanded their relationship with us in the second quarter. U.S. Bank first started using Encino for business banking in 2018. This additional agreement puts Encino Bank operating system at the core of U.S. Bank's commercial lending strategy. As Sel Maglieta, U.S. Bank Executive Vice President said in the press release they issued. Across our organization, our bankers and technology teams are working collaboratively to reshape the way we serve our wholesale banking clients. Everyone involved is guided by our commitment to increasing simplicity and agility at every step of the lending process. The expanded agreement will provide us with a proven platform that will improve outcomes for both clients and employees. A few other noteworthy U.S. customer wins in the second quarter include adding a new logo for a top 50 bank in the U.S. with over $75 billion in assets that will be using Encino in multiple lines of business and signing a multi-year expansion with a top 20 bank in the U.S. with $180 billion in assets giving them the ability to expand small business lending across their branches. I mentioned our first French customer purchased our automated spreading solution. They were one of nine new auto spreading customers this quarter, including the U.S. arm of a global bank. Demand for auto spreading continues to be very encouraging, and we are now selling it across our customer base globally. In addition to a strong sales quarter, our customer success organization had another productive quarter, crushing key implementation and adoption milestones for many customers, including in Europe, Australia, and North America. As always, we celebrate the go-lives, and notable go-lives this quarter included a $39 billion bank in the U.S., where we went live on an end-to-end commercial and small business transformation project. Treasury management go-lives for the U.S. Community Bank and the U.S. Regional Bank. And in Australia, we went live with three customers, including deployments for small, medium, and enterprise, or SME, and automated spreading. Our growth highlights the magnitude of Encino's global market opportunity. The executive promotions we announced today create additional infrastructure to support a much larger, increasingly global organization and to more effectively pursue the strategic opportunities we see ahead of us. One point to keep in mind, you've heard me discuss Encino's culture many times, and an important element of her culture is professional growth opportunities for our people. These internal promotions reflect the core Encino philosophy to forward invest in leadership. By adding more depth to our senior team, we are also giving the next level of leaders the chance to grow professionally. The appointment of Josh Glover as president is a perfect example. Josh was an early Encino employee and has played a key role in shaping the Encino you see today. Our results speak to his success as Chief Revenue Officer over the past two years in creating a dynamic global sales organization and driving Encino's expansion across North America, EMEA, and APAC. With the additional role of president, Josh will now take on operational responsibilities in addition to sales. At the same time, it enables the next year of sales leadership to undertake more senior roles as Josh adds new structure below him. Josh's new responsibilities will also free me up to focus more on customers, investors, and strategic opportunities. For those of you who have not yet met Josh, You will be seeing more of him in the quarters to come. Tricia Price's promotion to Chief Innovation Officer is another step to free up senior time to allow an even more strategic approach to product innovation, further aligning our technology vision and business strategy. Again, this move creates an opportunity for two proven leaders under Tricia, Josh Marcy and Dory Weiss, to take on larger roles within our product development, and engineering organizations. Being an innovation company is part of Encino's DNA. Tricia, who has led the design and development of the Encino bank operating system for the past several years, is now tasked with furthering our product innovation leadership position in the financial services industry. But innovation can also come from outside the company. Finding those ideal opportunities, be it a partnership or acquisition, He's part of our long-term strategy. So I've asked Greg Orenstein, who has more than 20 years of experience driving corporate strategy and executing M&A and corporate finance transactions in the fintech industry, to head up corporate strategy in addition to his role as Chief Corporate Development Officer. His responsibilities as General Counsel will be assumed by April Rieger, who has earned the title after working closely with Greg over the past three years. I view the second quarter as a textbook example of success for Encino. We exceeded our financial guidance, posted strong sales to support future growth, and took steps scaling the organization to effectively address a massive global market opportunity. While recognizing key leaders, we have made invaluable contributions to the company. With that, David will take you through the second quarter financials in detail and provide color around our outlook for the rest of the year.