Veeva Systems Inc. Class A

Ladies and gentlemen, thank you for standing by and welcome to the Beavis Systems fiscal 2023 second quarter results 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, please press star followed by the number one on your telephone keypad. If you would like to withdraw your question, again, press star one. Thank you. Atto Garrett, Senior Director of Investor Relations, You may begin your conference.

Good afternoon and welcome to VIVA's fiscal 2023 second quarter earnings conference call for the quarter ended July 31st, 2022. As a reminder, we posted prepared remarks on VIVA's investor relations website just after 1 p.m. Pacific today. We hope you've had a chance to read them before the call. Today's call will be used primarily for Q&A. With me today for Q&A are Peter Gassner, our Chief Executive Officer, Paul Schella, EVP Commercial Strategy, and Brent Bowman, our Chief Financial Officer. During the call, we may make forward-looking statements regarding trends, our strategies, and the anticipated performance of the business, including guidance regarding future financial results. These forward-looking statements will be based on our current views and expectations and are subject to various risks and uncertainties. Our actual results may differ materially. Please refer to the risks listed in our earnings release and the risk factors included in our most recent filing on Form 10Q. Forward-looking statements made during the call are being made as of today, August 31, 2022, based on the facts available to us today. If this call is replayed or viewed after today, the information presented during the call may not contain current or accurate information. VIVA disclaims any obligation to update or revise any forward-looking statements. We may discuss our guidance on today's call, but we will not provide any further guidance or updates on our performance during the quarter unless we do so in a public forum. On the call, we may 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 and in the supplemental investor presentation, both of which are available on our website. With that, thank you for joining us, and I'll turn the call over to Peter.

Thank you, Atto, and welcome everyone to the call. We had a solid Q2 with revenue ahead of our guidance and operating income at our guidance. Total revenue was $534 million, up 17% year over year, and subscription revenue was up 17% to $429 million. Non-GAAP operating income was $202 million, or 38%. We've revised our full-year revenue guidance down by about 1.5% at the top end, from $2.175 billion to $2.145 billion. due to foreign currency and macroeconomic factors. We executed well in the quarter. Hiring was good, our innovation engine is working well, and our customer relationships continue to get stronger as we have more solutions to offer and each of our solutions gets better. Our competitive landscape and product strategy also have never been stronger. We continue to track ahead of our goal to cross $3 billion in revenue in 2025 and have planted seeds for a long runway of growth well into the future. We'll now open up the call to your questions.