Workday, Inc.

Welcome to Workday's third quarter fiscal year 2022 earnings call. At this time, all participants are in a listen-only mode. We will conduct a question and answer session towards the end of the call. During the Q&A, please limit your questions to one. With that, I will now hand it over to Mr. Justin Furby, Vice President of Investor Relations. Thank you, sir. You may begin.

Thank you, operator. Welcome to Workday's third quarter fiscal 2022 earnings conference call. On the call, we have Anil Bushri and Chana Fernandez, our co-CEOs, Robin Sisco, our co-president and CFO, and Pete Schlampe, our chief strategy officer. Following prepared remarks, we will take questions. Our press release was issued after close of market and is posted on our website, where this call is being simultaneously webcast. Before we get started, we want to emphasize that some of our statements on this call, particularly our guidance, are based on the information we have as of today and include forward-looking statements regarding our financial results, applications, customer demand, operations, and other matters. These statements are subject to risks, uncertainties, and assumptions, including those related to the impacts of the ongoing COVID-19 pandemic on our business and global economic conditions. Please refer to the press release and the risk factors and documents we file with the Securities and Exchange Commission, including our 2021 annual report on Form 10-K and most recent quarterly report on Form 10-Q for additional information on risks, uncertainties, and assumptions that may cause actual results to differ materially from those set forth in such statements. In addition, during today's call, we will discuss non-GAAP financial measures, which we believe are useful as supplemental measures of Workday's performance. These non-GAAP measures should be considered in addition to and not as a substitute for or in isolation from GAAP results. You can find additional disclosures regarding these non-GAAP measures, including reconciliations with comparable GAAP results, in our earnings press release and on the investor relations page of our website. The webcast replay of this call will be available for the next 90 days on our company website under the investor relations link. Also, the customer's page of our website includes a list of selected customers and is updated monthly. Our fourth quarter quiet period begins on January 16, 2022. Unless otherwise stated, all financial comparisons in this call will be to our results for the comparable period of our fiscal 2021. With that, I'll hand the call over to Anil.

Thank you, Justin, and good afternoon, everyone. Thank you for joining us today for our third quarter fiscal year 22 earnings call. I'm pleased to report that Workday had another strong quarter. As we highlighted at our analyst day in September, we continue to expand our addressable market with a broadening product portfolio and multiple go-to-market levers to drive sustainable growth on our path to $10 billion and beyond. As we've discussed throughout this year, our expectation has been for accelerating growth. While not every expectation comes to fruition, this one certainly has, even faster than we expected. And we're optimistic on the momentum we see as we head into our all-important Q4 and prepare for a great year in fiscal year 23. Rodman will provide more details shortly, but we are pleased to provide a preliminary view of 20% subscription revenue growth for next year. And with continued execution, we see opportunity to grow even faster. Before I hand it off to Chano to provide details on our go-to-market success in Q3, I want to quickly touch on highlights from the quarter. Starting out with our industry-leading Workday HCM products, we had another strong quarter as we continue to attract new customers and also having strong success growing our relationship with our existing customers. In Q3, we added Asda Stores Limited, ConocoPhillips, Northern Trust, Toll Brothers, and Vichay Electronic, among many other new HCM customers. Normal-goal lives in Q3 included the state of Iowa and five below, to name a few. In addition to strong growth from core HCM, our recently acquired PECON solution, newly named Workday PECON Employee Voice, delivered another record quarter. We're seeing the benefits having recently rolled out PECON globally across our own organization, and we couldn't be more excited about the long-term potential to help our customers better listen to and engage with their own employees. We also continue to see strong traction across our financial management suite of applications. Our growing product portfolio, combined with digital acceleration in the office of the CFO, is driving broader adoption of our financial management applications. To that end, new Workday financial management customers in Q3 include the City of Philadelphia, the World Health Organization, Wintrust, Memorial Healthcare, and Diversified Restaurant Group. Of course, one of the big drivers behind our continued strong customer adoption is our relentless focus on innovation by staying at the forefront of large trends that are secular drivers of future growth. One trend that has been accelerated by the demands of the pandemic is the future of work, which requires new ways of thinking about workforce composition and how to manage different types of workers. We expect to accelerate our efforts in this area with the proposed acquisition of Venly, a leading next-generation cloud-based vendor management solution platform. Workday and Bentley together will deliver a comprehensive total workforce optimization solution that brings an integrated approach to managing all types of workers. It will help customers bridge the gap between internal and external workforce management while enabling a holistic workforce strategy that delivers full visibility into the entire workforce and managing and planning for labor needs while also helping to control compliance and security risks. We look forward to expanding our efforts in this area and will share more information after the deal closes which we expect to occur in our fourth quarter. Looking ahead to fiscal year 23 and beyond, we have an amazing growth opportunity in front of us, and we see unique opportunity to accelerate our path forward by further ensuring that our purpose, strategic vision, and pride roadmap are in lockstep with our go-to-market strategy. To help us do that, we've announced a series of important organizational updates, the first two in late October and two more today that I'm excited to share with you. To help Charter further articulate Workday's strategic vision, Pete Schlampp has been appointed as our first-ever Chief Strategy Officer. Pete has successfully led our industry-leading product organization for the past two years. During that time, he implemented a robust product portfolio strategy that's contributed to our current momentum, both in terms of delivered innovation and financial success. His ability to set a strategic vision and execute makes him the perfect fit for this new role, overseeing and evangelizing our growth strategy going forward. Second, we are creating tight alignment across our product and technology organizations under the leadership of Cheyenne Chakraborty, who is now EVP of product and technology. Under Cheyenne's leadership the past two years, the technology team has infused Workday with game-changing innovations like machine learning, enable customers and partners to innovate in our platform with Workday Extend, build strategic cloud partnerships, and help ensure that Workday is amongst the most reliable, scalable, and secure platforms in the industry. His long and successful track record in delivering industry-leading innovations, along with his deep understanding of customer needs, makes him the ideal leader to map out our combined product and technology path going forward. And earlier today, we announced a couple more changes. First, we are pleased to share that Doug Robinson, UBP of Global Sales, has been promoted to co-president of Workday. Doug will serve as co-president alongside Robin Cisco. As co-president, Doug will continue to lead our global sales organization, but also take on an expanded leadership role across the company, helping to spearhead cross-functional initiatives that will help Workday reach new heights. And finally, we're also happy to share that Barbara Larson, SVP of Accounting, Tax, and Treasury, is being promoted to Chief Financial Officer, effective February 1st of next year, reporting to Robin. The transition of the CFO role from Robin to Barbara is part of Workday's strategic succession planning, an approach that focuses on developing leaders from within, Barbara has been a rising star since joining Workday more than seven years ago. During that time, she has held several leadership positions across our finance and product organizations, providing her with the right foundation to step into the CFO role and lead our finance organization into the future. With Barbara's move to CFO, Robin will now focus more on her co-president responsibilities. This will include an increased emphasis on engaging with some of our most strategic FINS customers and prospects to increase Workday's footprint within the office of the CFO, in addition to continuing to lead her current organization. It's an exciting time to be at Workday, and we're looking forward to the impact Pete, Cheyenne, Barbara, Doug, and Robin will continue to make as we all strive to inspire a brighter Workday for all. As I look ahead, my optimism for Workday's future couldn't be higher. We have a great team in place and a significant global opportunity in front of us as companies continue to embark on their HR and finance transformation journeys. With that, I'll turn it over to our co-CEO, Chano Fernandez. Over to you, Charo.