Tufin Software Technologies Ltd. Ordinary Shares

Greetings, and welcome to the Tufin third quarter fiscal 2021 earnings call. At this time, all participants are in a listen-only mode. A question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. I would now like to turn the conference over to your host, Jackie Marcus, Investor Relations. Thank you. You may begin.

Thank you, Operator. And good day, everyone. Tufin released results for the third quarter of fiscal 2021, ended September 30th, 2021, earlier this morning. If you did not receive a copy of our earnings press release, you may obtain it from the investor relations section of our website at investors.tufin.com. With me on today's call are Ruby Kitaf, Tufin's co-founder and chief executive officer, and Jack Wakile, Tufin's chief financial officer. This call is being webcasted and will be archived on the investor relations section of our website. Before we begin, I would like to remind everyone that any statements made in today's webcast that express a belief, expectation, projection, forecast, anticipation, or intent regarding future events and the company's future performance may be considered forward-looking statements as defined by the Private Securities Litigation Reform Act. These forward-looking statements are based on information available to Tufin's management team as of today and involve risks and uncertainties, including those noted in this morning's press release and Tufin's filings with the SEC. Such forward-looking statements are not guarantees of future performance. Actual results may differ materially from those projected in the forward-looking statements. Tufin specifically disclaims any intent or obligation to update these forward-looking statements except as required by law. Please note that a reconciliation of any non-GAAP number to the most directly comparable GAAP number can be found in the tables of our earnings press release located in the investor relations section of our website. With that, I'd like to turn the call over to Tufan's CEO and co-founder, Ruvie Kataf.

Ruvie? Thank you, Jackie. Good morning, everyone, and thank you for joining us today. I'm very pleased to report another good quarter that demonstrated our ability to serve our current customers while also adding several significant subscription deals during the quarter. Our third quarter revenues grew by 9% year over year, which was largely driven by the 17% year over year increase in product revenues. We also surpassed our guidance on both the top and bottom lines, which puts us in a strong position to close out the year. We finished the third quarter with $28 million in revenue, with subscriptions representing approximately 46% of new business bookings for the first nine months of the year, against our targeted one-third of all new business bookings being sold to subscription in 2021, with the majority of subscription deals being multi-year deals. 81% of the bookings from new logos, excluding hardware and professional services in the first nine months, were subscription, compared with our target of reaching 50% at the end of 2021. As I reflected on our third quarter, we made significant progress across our strategic initiatives. We completed the key hires to round out our sales management and we saw more organizations emerging from the challenges of the pandemic ready to invest in their network security solutions. Before I discuss our latest product announcements from this morning and some of our recent customer wins, I'd like to now turn the call over to Jack for a deeper discussion of our financials. Jack?