Anaplan, Inc.

Good afternoon. My name is Emma, and I will be your conference operator today. At this time, I would like to welcome everyone to the Anna Plan third quarter 2022 fiscal earnings conference 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, again, press star. Thank you. You may begin your conference.

Good afternoon. Thank you for joining us on today's conference call to discuss Anaplan's third quarter fiscal year 2022 financial results. Joining me on the call are Frank Calderoni, our Chief Executive Officer, and Vikas Mehta, our Chief Financial Officer. On today's call, we will review our third quarter fiscal year 2022 financial results and discuss our financial guidance for the fourth quarter and fiscal year 2022. Please note that some of the information discussed on the call, particularly our guidance, is based on information as of November 23rd, 2021, and contains forward-looking statements that involve risks, uncertainties, and assumptions, including those related to the continued impact of COVID-19 on our business and global economic conditions. The guidance we will provide today is based on our assumptions as to the macroeconomic environment in which we will be operating. Those assumptions are based on the facts we know today. Many of these assumptions relate to matters that are beyond our control and changing rapidly, including but not limited to the scope and effectiveness of precautionary measures designed to contain and prevent the spread of COVID-19, the continued impact of COVID-19 on customers' purchasing decisions, and the length of our sales cycle, particularly for customers in certain geographies. Please refer to documents we filed with the SEC including the Form 8-K filed with today's press release. Those documents contain risks and other factors that may cause our actual results to differ from those contained in our forward-looking statements. These forward-looking statements are being made as of today, and we disclaim any obligation to update or revise these statements. If this call is reviewed up to today, the information presented during this call may not be current or accurate. We will also discuss non-GAAP financial measures which are not prepared in accordance with generally accepted accounting principles. Unless otherwise stated during the call, all references to our gross margins, expenses, and operating results are on a non-GAAP basis. For historical periods, a reconciliation of GAAP and non-GAAP results is provided in the press release and in supplemental financial information on our website. And with that, I will now turn the call over to Frank Calderoni.

Thank you, Adelita. Good afternoon, everyone, and thank you for joining us today. We delivered a solid quarter. driven by healthy deal volume, pipeline growth, and increasing interest in our platform. Our Q3 revenue grew 35% year-over-year, and we saw 67% of new bookings from existing customers. We now have over 1,800 total customers, which includes half of the Fortune 50, and we continue to invest in innovation that positions Anaplan as the preferred enterprise planning platform of choice. From a new customer perspective, we grew over 50% year over year and welcomed customers such as GNC, eSure, A10 Networks, Keeling, Financo, and All Value Holdings. They represented a wide range of industries from insurance, financial services, and professional services to retail and technology. One of our new customers is Royal London Asset Management. which is a leading fund management company in the UK. In response to the company's impressive growth and new regulations around profitability reporting, they needed a robust and flexible platform for revenue and assets under management analysis. Anaplan offered enhanced reporting capabilities, ability to run scenarios, and fast calculation performance using granular data. I'm also pleased to share that one of our partners is a customer as well. Deloitte, in the U.S. and Canada, has selected Anaplan to enhance their financial planning processes to increase time spent on strategic analysis over process management. Our customers are quickly realizing the value of our platform. In fact, our newest customer cohort from a year ago has increased its initial ARR over 30%. Companies continue to expand with Anaplan for the digital transformation. To support its finance evolution and drive business agility, a multinational food company leveraged Anaplan. They chose our platform for its scalability, performance, flexible scenario modeling, and partnership with Google Cloud. This customer will connect operational planning with financial outcomes to drive productivity gains and cost savings. eliminate duplicate systems of record, and identify rapidly market opportunities. Another expansion this quarter was with Equinix, the world's largest digital infrastructure company and longtime Anaplan customer. In 2016, Equinix began its planning transformation journey with sales performance management. A year ago, in response to strong market demand for data center capacity, they expanded into supply chain and procurement planning. Last month, Equinix selected us for their workforce planning initiative to prepare for a labor force at the right cost and time. In addition, a longtime customer, VMware, expanded this quarter to sales segmentation and finance. Integrating more of their planning across the company demonstrates greater agility and precision, which leads to better outcomes. Finally, a French manufacturer, Societe Vic, began their Anaplan journey with FP&A in 2019. They expanded into supply chain with FNOP and demand planning. Vic will leverage Anaplan for its trade promotion planning to maximize performance across product lines. They will manage promotions at aggregate and detailed levels in a single environment, providing better visibility and flexibility to optimize plans. With these land and expand examples, the common element is how customers are leveraging planning as a competitive advantage. They understand the need for strategic planning across their enterprises, and we are helping them with our investments in partner ecosystem and customer success, as well as our expand motions. Our retention rate was the highest it has been in nine quarters, and with customer loyalty comes an increasing need for Anaplan resources. Our ecosystem of certified Anaplan experts continues to grow with the total number of certified model builders increasing 84% year-over-year. We also capitalized on our cloud partnerships. These relationships have been instrumental for us to scale quickly, and this quarter, we launched Anaplan on Google Cloud in Japan. This technology partnership enables our customers to quickly deploy and access Anaplan on Google Cloud Platform infrastructure with low latency, adherence to data residency, and access to AI and ML capabilities. GCP in Tokyo launched with our first customer, a leading financial services institution. Overall, I am excited about the market opportunities and the feedback from our customers about how our innovative platform is solving their complex challenges. Being the leader in the planning space continues to work in our favor. To further extend our lead, earlier this month at Anaplan Live, we introduced the Anaplan Autonomous Enterprise. Five years ago, we disrupted traditional planning and pioneered connected planning. This was validated by Gartner's Market Guide. Now we are experiencing another paradigm shift. Today's environment is in constant change. supply chain disruptions, the future of work, inflation, et cetera. As organizations operate with distributed teams, they need a dynamic planning solution. This requires a real-time, scalable, intelligent approach to plan, analyze, and act. Anaplan Autonomous Enterprises starts with modeling and accessing external data to make real-time decisions, which we integrate into our platform via Anaplan CloudWorks. This is an easy, no-code feature that enables business users to import data from many sources, including Amazon Web Services S3, Azure Blob Storage, and Google BigQuery. Together with our partner ecosystem, more than 250 enterprises have already embraced CloudWork and they have executed more than 32,000 integrations. Next, we extend our platform with embedded intelligence capabilities like Anaplan PlanIQ with Amazon Forecast. This joint effort provides our customers with automated, easy-to-use intelligent forecasting using Amazon AI ML capabilities. After that, we simplify the most complex problems across the largest enterprises with scale. We recently introduced Anaplan Polaris, our next generation calculation engine with unparalleled multidimensionality, including exceeding 10 quatillion cells while efficiently managing sparsity. Early access with select customers is underway, and we expect to make it generally available in 2022. Our autonomous enterprise strategy is simple. Develop the most innovative planning platform to power the fastest decisions. With this investment in the next stage of planning, I am confident we can further our customer success with greater agility and intelligence within one sophisticated platform. In summary, we are well positioned with our go-to-market and product efforts, especially as we head into our biggest quarter. We couldn't do this without our talented employees, and I'm also proud that we have been recognized on Inc.' 's inaugural top 250 best-led companies list for 2021. Thank you to our employees for making Anaplan the company it is today. Now let me turn over the call to Vikas, who will discuss our third quarter financials and provide our outlook for the fourth quarter and fiscal year 2022, as well as a preliminary guide for fiscal year 23. Vikas?