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spk_0: hello and welcome to the didn't my hand inc third quarter two thousand and twenty one adding called my name is robin and i'll be coordinating your coach day if you would like off the question during the presentation in a t say by question start when it by one on the telephone keypad i would now hunt you a that you're faced mates that vp of investor relations the event not same name please go ahead
spk_1: more you'd wanna join us to go to games my home to the three and nine moon furious and in september twenty twenty one during the on all of those one forgiven by water those markings chief executive officer the a larger village chief financial officer i work in birmingham one of the discussion today making to inform looking statements including the for dog garbage huge performance and cause books always been permanently subject to risks and uncertainties the can cause actual outcome for results to differ materially from those include in such statements we could friends on the beach risks and uncertainties demoted factor section in our and record on form temporary workers the you're twenty one once in a few the only part of the day can you not an island remake of the us and see from time to time the yet again no obligation to update my guys probably a diploma looking statements weather as a result of immigration future reds were otherwise in today's remarks we've also the birds a certain longer financial measures reconciliation of the naga a mansion measures to the most measures calculated and for enemy accordance with down to be done to be a without having a leopard aren't available in the urges released and company and presentation which are available on the investor relations searching of our website i'll turn the call over to do the point or one and two o'clock in each each on lessons call and i'd really appreciate your just today we are excited to get enough gave our smartphones for the third quarter remind you of why the earlier the smartphone and provide additional insight on too much to teach me shit out of my mom said each on the called the home keys into details of the third quarter alone vagina guidance for your which we are again even trying to be east he blatantly from results record or why we are in each mining company and what differentiates different from others might have less on mission is to redefine the home experience with technology services to preach to monitor united states or time that's a lot customers money every month
spk_2: what is money we got a single demise of the door came up with thermostat doesn't need a smart well it's machine has multiple devices properly located install all hi including scandal top one that include shine in she it it's operating system
spk_1: similarly we don't believe that having smart speaker home in the having in the i do the machinery not reply for one of the did what did i like politics and public a lot of press and even the outliers is a growing segment each week versus the question install and want your second survey showed
spk_2: the have a bias purchase never get install in over twenty brazilian if i could do get install a by some other than a purchaser only have like my how high sales growth we believe represents only a small percentage of the article
spk_1: well on little between the two seventy times greater than that result ones are seconds visual grow a delivery boy percent plus i just even on merchants i'm very pleased with as or were results at me at it double digit year over year growth in both revenue just jersey the top
spk_2: no with more than double the growth rate in the prior year period
spk_1: we've let a new bus to meet for the products and services we deliver gingerly underlying metrics and a bit of strong improve year earlier on global nutrition the king in london me or percent which one not thirteen one are no and home for you these when you put a person surprise you why is in mind when you to it employed or phones are on the story i leave my lord krishna resulted in my arse one platform to live in anderson her mind now you can peace of mind to our customers
spk_2: and then a measured we actually with in the nearly seventy nine dollars in cash from opportunities to in court agreed to do this time to condom and cash from operation feet and been a focus of the entire organization and we expected do you expect to achieve that goal of eating tweet we won our believe in the different business model a superior to others and used we both in terms of even economics as well you believe that gap too much he just not to be partners including with you can it incredibly rude splash each don't
spk_1: we need of these trillion category one when i mean my same category one we need them into the need for me with a proprietary found a slap on a differentiating ended can distribution model strong local company at an honest and multiple levers group sustain proper world
spk_2: it's medium that on prize or based ai ingenious plan that you design engineer eating continue your home from the nerve center of it's to differentiate indian
spk_1: we believe it anyway because i'm offering some larger issues and marcus that logically lean back to our smart and platform from hundred the guy that we already delivered on one one point eight million customers with an average of fifteen devices install from home with only wish first started the environment
spk_2: it helps is not only protect our customers but also probably efficiency me and told me a piece of money are targeted or energy stems from the energy focus on the importance of only entire technology stack intelligent with the we somehow l need to recession customers once is absolutely critical why computed using our platform we the latter customers at key of interaction and our customer satisfaction increases the trust in his bills and is creating a full potential levers for suspicion profit growth for your saddam or should keep firing or for was unloading you trust me to find on it's pretty it's with a blessing class technology and services to pray smarter we're safer home that will see our customers money every month as we do this we believe you can transform long term relationships in a lifetime of was malicious
spk_1: we believe this will allow us to extend our average person alive or whether yours today to something much longer in the picture even moderate success in education which she had the potential to me he priest each mission or custom base and priest a lifetime five our customers we only or strategy the pursuing growth and she the discussing our flagship product offering his martin over the years we have developed as the last election that levers what we believe in the premier one i'm offering to the masses in a lower computers definition of a smart begins and ends with the to yourself doorbell know what is so much more get my customers end up with homes are protected by partial solution night and smart we need customers are better served by having a racist and scold install and or to protect their homes and families have to be in a true category one the platform with
spk_2: it must allow we're seeing much more a should enable him to benefit from new products and services that leverage the smartphone legal system that is why you investing in the developing a complete markets smart energy is my insurance and so ground in line on deep nelson and to broke out in use today and to expand you and asleep of widely believed smurf energy in smite insurance company extensions to a smart mockery and was our focus investment
spk_1: the first company is the first man from either spain's much energy we are working to deliver keeper customer value by offering hundred of bundle a subsidizing the cost of smart home and helps protect us from it's from rising energy costs while have been better stewards of the man the in ukraine's won the lottery of smiled as much energy that us energy production and consumption year into didn't allow customers to intelligent manage their homes
spk_2: use a study from one previously by from their consulting shoot he calmly or documents and in been smart home in smart energy and we are seeing that with our customers as well
spk_1: we are approaching this opportunity to have to altaf strategy and acted light and cells
spk_2: he aced back and your line he announced a partnership with solar funniest partners someone and was at it
spk_1: as well as with freedom for after one of the country's largest and fastest growing saw and stocks this partnership with new green forever to include a spirit and smart system with each other solar cells which will deliver in the ninth interest and of course we've spent this lucas more
spk_2: you don't want to build in addition through a partnership with really grammar and ozil resource we can model as smart energy to our customers bought a new costumes we are on craig's to generate injury forty five megawatts of installed solar the sheer really smart energy to backfire
spk_1: thousand homes in some markets will see me instances of smart customers bundle was smart energy the building will you be significantly more in twenty twenty two and we move directly expand on a bundle solution in markets where customers spend from residences or over time as needed great the production get it from the solar panels with customer behavior patterns we believe smart energy contrivance your little savings that will reinforce the value of the that a platform i'll get it on we believe consumers across the country will be work on solution of smartphone it's much energy as a clear difference here i would have other than just living on like and and smashed into your more than a smile so while you'll see a little grow with a just needed down dollars over all margin percentages will be a bit more as a revenue from small towns in a more margin we all came with this and me likely to leverage grabbers position cause and increase the latter kind of vapor customers by to receive an audience market again to bubbly conclusions present a very compelling productivity another benefit is an hour or more differentiate smartphone smart energy offering over by
spk_2: i don't sell channels with the lui to offer greater value and the products they sell in providing opportunities to interact with trying to protect infested with the sure i'm working out on his out and in the upcoming months but trust me we believe this is a good adjacent market brush with that
spk_1: now that you've got to my insurance we've been so not sure it's to a limited number of customers for a while now the logical connection jr is that has six hundred billion dollar plus property casually insurance market has been looking for homework down one to the smart driver discount the auto insurance chairs to liver to them tell them have solutions in it's we believe that in atlanta and one given a rich first pretty good at times for my hours customer interaction or system overload as for day and thirteen smart devices all that for check them against water damage fire and that and we have work
spk_2: you're selling insurance carriers we have been crippled by their eagerness to help us create a strong deterrent solutions that leverages our smartphone ecosystem when we my client and health insurance to is better price the risk of a customer as a professional install system and of home as monitoring he was consistently to mitigation severely a claim to this in short we should be able to demonstrate teachers and fifteen tattoos percent or more risk and homers without a smartphone system or the highway system that was eventually skelton installed to gave me that already the agency mean it's own insurance vice from a few large carriers and played himself biking eight thousand insurance policies infinitely month to their level address one of the platform and provide actually for different things for consumers we are working in town income generating which will allow us to develop specific former coverage has got customs we blew into potentially double the number of calls insulting twenty twenty
spk_1: you and provide a higher level of catching specific coverages through our engagement offerings in some of a larger states as demonstrated sandy the benefits of our proprietary cabbages we believe spending a lot of space or the next several years we will expand in a thoughtful and deliberately as improve your class the benefits that as and provider in protecting their homes their pounds and are was we are focused on your salary long term growth for eternity jason sees malibu meeting a sharp focus on a horse mind business we consider the darkness in natural extensions of our for smart and mockery we believe we are the tools technology in capabilities to non delivery right to an elegant smart i'm experience but as the refreshments money drought innovative energy and climate solutions rb to do you prefer to operating system in home and it's true black would play we bleed customers trust us to protect their homes their amateurs any manner while also having and save money as you do list will be will benefit from said scaling subscriber acquisition costs increase in a lifetime value each customer and increasing the number of years customers on a been a platinum we are excited about the road ahead and being confident that the robust growth potential but i formed in his mouth along with the agencies were person will put it in a position to deliver long term sustainable died for ourselves i not call with the elderly is gottlieb each other that were financial results as water out any guidance for four years they are they say that it by yeah don't wanna take for granted because god
spk_2: as far as i will probably kill or that i here and here they are operating in financial results i've also buy a bigger thoughts are guys are on here
spk_1: we will have the gall correctly when a out a of or marks a blind eye to the numbers i wanted to delay or for him a burglar results while agree and certain costs for contact transactions than a quarter ended september thirty two thousand twenty one in there by her charlie in are utterly false or and has reportedly related with having around a recognition is all and serve and protect our air and previously reported amount of revenue so
spk_2: typically a boundary did not properly buyer and then came back control and a quarter ended september thirty two thousand and twenty one and well prior recording years to actually determine their career record has value such a certain transactions
spk_1: it's transactions fighter related to monthly service charge of as a contract or cash what are your a dollar in arizona reporting revenue and other account bouncy items and surprise eric's the coyotes that the material hockey of the mistake have by both quantitatively and qualitatively and he targeted at the correct spelling errors to be emulator the all prayer and solid connections pants the academic hall and there are many for the body or to card airs would not require however the company concluded that kimberly the back of cracking the eric's in the quarter ended september thirty two bad and twenty one when they're terrible mistake to cut is another
spk_2: confessed about a financial statements the three and nine months ended september thirty thousand twenty one the quietly the gotten as we plan to prices are the end of terror airs the results are or areas included in the financial statements to another earnings release kind presentation as well as quarterly report on former can hear that will be by of the day
spk_1: the company was revised as a permission and peter pan's to like the crash of the air's i repay the if you are quite a few and will be filed day from what he does and can so the topic the birther the repository for patients are and better license was that to provide additional context on the quarter unlike and on the problem facing the idea of our kitties our boy on next thoughts aspires for nicely from september thirty two thousand twenty nine point two percent one point eight four million as of september thirty two down and twenty one irish mafia recurring gravity or user or a m and argue a priest by for a lifetime percent versus the prior year career
spk_2: during my classes are getting more spot on a security products at the point of sale
spk_1: the combination of the government also spiders and the ground and a and argue a lot of you either items like and talk about the recurring revenue by fifteen point one percent year over year the one hundred and twenty one point five million dollars
spk_2: now do when the revenue for the three month and nine month period and in september thirty two downplay one or fly a lot
spk_1: for the third quarter of two thousand forty one battling with three hundred eighty six point seven million dollars a twenty one point three percent increase on the prior year here the contrary driver of the year we are rolling grata were increase in tulsa spiders and increase in the alex mcleish recurring revenue or user and contributions from are smart energy and smart and sharks to discuss but why one point for yourself revenue brought in the third quarter of two thousand twenty one was more than double the nine one six percent growth rate in third quarter of two thousand twenty
spk_2: running for the nine months ended september thirty two thousand and twenty one
spk_1: was one point here are eight billion dollars an increase of thirteen point six percent from the nine month period the prior year simmer for the third quarter the key drivers and growth and nine month period about encloses spiders
spk_2: brought in a and are you in contributions from were smart energy and smart insurers and issues
spk_1: now is why not well i want job i will discuss just not been on a third quarter and yearly period is but the third quarter adjusted ebola or you're turning point seven percent to one hundred and seventy point four million dollars with an adjusted ebitda margin of or you four point one percent i would know that a daddy longlegs and and smart energy and smart instruments are lower than are smuggled marshals we are directly overall with solid even on items achieve in asia than watch married for issues in today's economic entire i would include them to there are laws are practically nine million dollars of investments and brand awareness a product and service and election and ip and angeles
spk_2: but making the nine months ended september thirty two thousand and twenty one a job in geiger thirteen percent from the same period in two thousand and one
spk_1: that includes traffic twenty nine dollars on a duchess been associated with brand awareness in private servers innovation and eighty two hands since two thousand twenty you love have a lot of noise related to the and ninety and and we limit and scrappy or it batters to look at a comparison of other just teabagger out the three and i must have to balance y one versus the same period and to bow and ninety a job even are in a hurry and nine months of two thousand and twenty one by more than sixty four center in urgency peered into the other ninety we were also been able to expand originally jumping on margin on the minute thirty percent range cut you down and ninety the main point percent range and two thousand and twenty one now that you dislike thirteen i like a few magic surrounding spot originations it's about originated during the third quarter two thousand and nine one one hundred fourteen thousand think pieces a drive on sale channel when blower the his third quarter turn and largely by effective carbon that oh how exciting and sell em season into the oven twenty and the two thousand and twenty seven feet in the end of september of last year our national in fact the on a channel or and i ask and year over year growth of seven point six percent in the third quarter of two thousand and twenty one imperative the third quarter of two thousand twenty for the nine month period ended september thirty two thousand and twenty one and i are conditions for bioware be people said the company added two hundred ninety by it out and started another eighty cases hours
spk_2: ha three point eight percent from the same period in balance y
spk_1: we are pleased with the comes some figure out on the i actually how i would ask for years and believe in distraught and earlier of the value a password thirty minutes final battle when did all of the origination channels we continue to focus on underwrite high quality probable customers or the third quarter of two thousand twenty one one and ninety nine percent of his fans pay people weren't bunch of the person who there but the one of our binary partners i will never forget service enough
spk_2: sour are actually she thought and flight fourteen
spk_1: natural stuff for spatter of a third one or two thousand twenty one can argue forty ninth us a lady from a record low in the third quarter two thousand and one but down homeless or dollars in the same period it's about ninety yeah so smart and in the third quarter of two thousand and twenty one when right brigade brava a salad sandwich seven percent i believe that our customer experience and bill operations thirds of able to provide a conference a delightful experience while name's you path as actions and our partners in general terms of has rebounded from the abnormally low level during the height of the pandemic last year the international a black for a while and allowed to see significant reduction in that star acquisition costs for the to describe her over the past few years
spk_2: nasa's far acquisition costs for new subscriber for the period september thirty two thousand and twenty one increased decreased by fifty two point two percent to one hundred hours it's a they have one hundred and nine dollar reduction in the prior year period why average pursuit quite good at the point of sale increased almost two thousand two hundred dollars
spk_1: but we desire fifty alla fall of attrition rate of allowed going or percent for the period ended september thirty two thousand and twenty one one hundred and forty ladies when lower than same period last year and in the and thirteen portillo or or word first we believe that contention for me expression is related to learn hand and are entertainers in entry interactions of our customers with the popular in terms of cash or operating activities when another solid color at the of seventy eight million dollars
spk_2: i will it either that are jackson operating activities in the quarter in a nine about games include the back of the change in the timing of payments to whatever find keepers as well as our investments and brand awareness a five answers innovation the ip in here
spk_1: at the in the quarter saw the put putting position or partially six hundred thirty five million dollars in july we completely normal refinancing emerged as a structure with seekers or cold out any by approximately ninety nine dollars lowered added cause of death by nearly two hundred basis points and increase or involving finance only been three hundred thirty one dollars
spk_2: seventy million dollars
spk_1: we expect to be financing to save the company approximately thirty million dollars in a life interest expense people for buying into a box on game i went to get a lot more was backing iran expectations for casual operating activities and sky over the last year we plan to operate within a casual fan base we would be a the excess cash flow to do among other things on sale for investors assume you know that agency such a smart energy and star and sharks and back to new fire answers innovation and reading outstanding debt when comparing cash flow into the until i wanted to downplay it didn't want to know a casual operating activities in two thousand twenty dedicated from college and is toxic gases from money and dumped emperor in two thousand and twenty one we have seen many of the temporary classic actually this is gonna enter our regret and we have seen by start fresh and labor and material cost the officers to a price increase are started back at the beginning of the painted into balance while in other significant change in gas love the mockery and of tea gardens wanting to keep out of line at the of the chase and away with a funny to be and it has been a crowd office to glamour piracy bars switching from paying the and allowed to alpha founded by yes this will all have an impact on cash flow of operating activities in two thousand points you and week later the full impact of the change and over to the unemployment empty thousand and twenty two finally in terms of guide for the all year we believe there's a lot of been going on and openness and with remain very optimistic about the rest of the year is by a noble and abundance related to spiking disruptions inflationary pressure and labor and stress we are up the area is for the full year as follows thousand subscribers in a range of one point eight order to one point five million versus previous games and between one point eight and one point five below oh routing in the range of one way or that one way or today billion dollars about a previous games between one point three eight the one point or two billion dollars in biology and geology blur in the ranks and six hundred and fifty six dollars six billion dollars worth of predicts guidance of between six hundred forty six hundred and fifty five billion dollars robin of this includes for greg clark be lovely call for keeper
spk_0: thank you if you'd like out a christian faith path start for it by one on your telephone keep have now if you change your mind and flights with jury a question teeth press start followed by key and repaint of your christian people sure you're saying a time he could likely are fact question comes from like a whole family guy in fact not pizza hut your line is a pen
spk_3: hi this is our on up a frog thanks for taking my question on my shelf hundred thousand or the color on as much energy and modern child so i want to start their of or to app on the economics of the smart energy offering a how exactly the you generate mcmartin a year of a new and how much
spk_2: what are the margin and on insurance you know the talk about that business model you considered are you offering event blogger insurance or will be worth a partnership the third party for letters and i'll a followup thank you
spk_4: yeah
spk_2: so
spk_1: vr
spk_2: to do the job interview around of our our thinking about what have been branded or or or or not on the interested in enjoys a large of an issue can do a issue as you go into it i'm start out on a guy bills and scale how's the autumn of margins
spk_5: back in argentina smart energy and for teachers to
spk_2: as we continue to build allows ah in a lot of say
spk_1: the the be around you associated with kind of those two and issues in the third quarter ah with approximately how could you read probably five or six for some the revenue growth at twenty one percent was related to los angeles and good work well i'll tell you that all the economics around out of it but the as he continues below that we will expand as well but as you could imagine solar industry the guy on the other rosters those margins are less than what we see are smart home industry and it's also important to let we're going after life business here we're not we're not doing that solar install where it's more sales approach and were generally in silverdale uk and uncle elite regenerating ah crossed our platform ah
spk_2: and so was i another the only a more on one of us you thought it's not a clever push their the customs aren't directly that he came on in our kids either see of skill after she got more than that it is get a pension or by get to see them as on solution
spk_1: egypt
spk_2: with regard to second was random really
spk_3: to bring them in the the t v and that it's one sure smart energy and get by with attitude one person that he didn't believe it and right now he can worded mediation cycle
spk_2: captain new to the depression and little bit of every it's a more central or sense or time
spk_1: how the art and branded onto the option to change it if it exists
spk_2: you appreciate all the car there and on the quatre it sounds i wanted to catch on new subscriber growth it's down ten percent you're on your and you mentioned that it could difficult comp off our duty edge so can you comment on linearity and how should we think about and normalize street
spk_1: i've caught for new subscribers thank you yeah yeah
spk_6: the summit of vermont you know i think when you go back and try to do comparisons you're here you're told the difficult to paris and because it can be got started late last year i'm terms we can only serves only to the way extended all the way through ah september and all season was only actually to enforce it in the august
spk_7: ah adding a got a lot of pressure around
spk_0: you know the difference and twenty twenty one day and point you are cheap one point is also the pillar average in how do you get help for average drop come back to come what we saw historically back and for nineteen vs points one
spk_2: and slightly fire gabby how's related to the backing that ah more people were home but both the whole lot both that decision makers in a whole were holding twenty versus twenty one people started go back and they're off the go back to to to work from mama locations ah so all those can come together
spk_8: when i will i be we would expect to see our father charles is kind of ten percent plus model on a new life think that's lot of excellent targets are continually brothers else ah
spk_2: and so don't keep million dollars and i ask the backs of fingers broken in an intractable ah a bit countries when movie look into a big about twenty twenty two and in your life you can ten percent or greater a nice not about a channels thanks guys for she added
spk_1: in a thanks and good them
spk_2: thank you on that question comes from poor chung from jp morgan poor people had your line of can
spk_1: i think she kicked my question than anger that applying here so on your average monthly revenue notes trended quite night this year so know what what our customers buying more today and it kind of jurgen strength fair on and then as we think about insurance and solar initiate added that monkey revenue
spk_2: i'm no cause for user accelerate from here and then are there any price increases that we should think about in the near term law are you under the first part and the nine the second half
spk_1: it'll give judiciary will you strong demand for cameras and cheaper and the smart home or business
spk_2: we've invested heavily there to keep that the strangely handler can was appointed your own each on what should continue not that in a little gender events to the also told something truly name events is one wanted to keep to work i'm not having a camera that of intruder alert was no i was moving around the house earlier and awesome my house in normal and integrates marginality actually item and just a smart humor into the why his mom would see him because he to him she on the diagnostic a lot of the what i saw a sauce i'm safe
spk_1: i look at any health some right
spk_2: each my house you can definitely out so you know that of other people just been much higher have a tiny our customers for our team was honestly in two hours to my from home increase so we're focus on me vigilantly you little they want but also properties
spk_1: hilda woman install the devices on a but the only canvases will be driving dangerously your we're yeah concerns that the way or recognize the smart ah insurance and smart jersey where are you currently down be recognized and period at that got caught recurring revenue that's it that's gonna walk around here a those cards were out of the smallest out there ah so big that of suspect busted where began in the costs of looking at not that good and then there are followed on the insurance how large connected can cheer leader the time on you know your your data is there some because i didn't seem to incremental but you know how the margin in that are the because how material on can that be at a partner overall user base
spk_2: oh yes or them into my comments were buddies
spk_1: agency model and helping them you know what on the customers at the right espresso machine after to move towards a good model where you as leverage the ecosystem that we have on being happy with all the since we haven't home we can just stay in the home bell and he gave us our and occupancy and then just the blur that how will the belt or ecosystem is a home in a around flat tire of that will he be protected there are so and the consumer and
spk_2: the my system is probably sculpted install on the nicest system you know a quite a bit and you know that they're occupancy the home to determine out to the time it would need that you can fundamentally change the risk profile of what you've been on t g insurance giant leap from now on me either you can you drive to say yeah
spk_9: should have he felt he had an adoption when he can be by interior on if want to do something like that it's it's with reinforcing as you show a customer that should be consistent bradley it should reduce their insurance premiums though uses of the one where you live on the
spk_2: no more say they have and more laughing at the luigi with his for a long time so he really like that we foresee a mechanism between the two and on local one or two years i like that for me for talk about it but he keep it will be a pretty high agreed to know the catch rate
spk_1: as we as we can say that i am and what seems quite a lot of time for customers the mean we've approached on that they trust us but they were helping to make a bit of selection and they see the logic is due to finishing the smile you know the beneficial state by state regulated industry and the young wife state by state with will brain controls on can be lawful milan to states first and in more across the entire country on don't snow three to four years he should be in most of not all states
spk_2: and left lock on for me i mean for similar question for the solar what priests our conversation or gifts back or where the insides nice dogs over time and then in know you're near appear yeah i mean a large acquisition here so you seen it's and a secular certain the you album a new competitor
spk_1: no commissioner
spk_2: oh you know how can you capture your share in it the more on and page and borrowed it and then on you know how are you making be purchased it's was buried that both are customer
spk_1: which sometimes can be on what complex thank you
spk_2: his own russian mob on the us more energy side in you he can get annual ritual for out there are interrelated the lovely enhanced was them son and music and freedom on we've had a very strong to be and and for that lot more customers idols orange quite well as you give my five years already and and sort of quote select a son he had done in absolutely mindful of the economics with customers no unfortunately i'm sort of pencil nicely in every state there is no one your so states that the pencils on and and at three in a good way for the customer so we're gonna go to those dates no are falling on see were wholesome nine and day in freedom aren't aren't around twenty five states today it's ground as we can lead to reduce the exhaust and neck as an oxygen fast you can be the cancel nicely into different states so
spk_1: that your first guy there should be and world stage that those are so beetle today it's roughly twenty or twenty baskets on your differently concealing states we going to keep the savings but we have a very large cutter based in the southern states which is often and of labor and makes a since for solar
spk_2: and once again within the penetration nearly a year the been there could be in on on material for us ah yes the i be less than fifty percent by the with that had will and resettled in that range ah lot more detail as would prove it out overtime but the moment we've seen thus far has been nice it's only been with a partial focus on it would have an open up for broadband adoption with ourselves force we'll see throughout my to into the open up more more and more optimal were seniors people he was smart home and other but a smile and a to each second close again
spk_10: your second clothes on solar on onto the combination of to is resonating with them a pin number
spk_1: in one aspect of the out as a or higher partnership of greater forever for example every one of our customs and by source of they're actually selling the solar and had better included a a net smile ah says to that the so we expected be growth coming out and it's kind of person outside find ourselves force
spk_0: ah the after that partnerships a week because the bus that will be got our part of virginia tech's in classrooms or are smart on plastic out the smart on girl from from for years saw similar to that us intelligence look so compelling about this on and talk about the logical adjacent seats
spk_3: elsa and will show more detail and going to my to my outward seen a significant a substantial increase in the number of customers as stay sticky and on the solar side mutable recall saying they solar so was a nice about this is latest sell and and we install are smart home i'm with a day or two of the sat in the country to see my style from that and then it's a little selective it is all star and and then when the sole install depend upon jurisdiction weather's thirty days or that eighty six and eight a guy by state and by news alley a leader for second after the install on
spk_1: and to have seen by you much earlier the propensity to follow through on that much higher the locker fitness as much higher so we're seeing material benefits much faster or perspective and anything about how you have a higher to on your on your phone i'm going to subsidize the cost of that smile so mercy into when when when it's done the benefit of customers even if they are off the trust of the company honestly on and of read or share with so very encouraged by that on the definitely to melt more living better than the on others that are trying to enter the space and are very very very pleased with our partnership this and how they're body great thanks so much i spawn can do funky are not christian comes from a fact that track from rp he kept my clock or sheesh keep their heads your line of now i can i can't the question or like the had my contract and south does compliment and and a quarter admittedly for quick like fine we've heard about the eight labor market and supply chain constraint or just wanted to conform have you seen any impact on your ability to add new customer upgrade your customers because of the could have done labor market and up like constraints he unfair and actually to david i'm so the of the we will
spk_2: well supplied he eleven which means or will so i don't want a bit better all our team is done a really good job
spk_3: i'll be pro active and thoughtful on on on doors runs in europe substantially on britain's right er bara older passions are recruiting team operation keen on grab on two hundred and into were at the of the summer actually really get a good job a war he said to me trouble understanding or like opposition what we stand for any condition of protecting families protecting all that the the boxes is resonating can be a life our class what we're doing so i'm definitely a definitely a challenge but that's would be a pig do it works really chill
spk_11: changes in i'm really proud of our team on how demanding to know on the supply chain same he on the real ah
spk_1: he would deal with this week the week we've been going on with our hung out with money where on our suppliers and who laid off with an honor roll not a word only the product read market how innovative they are on our vendors have been saying plain yogurt is very differently we love your road map below the doing and you want to quarter with this ah in the future which elaborate for undergraduate financially my to get the inside anything that helps us get up a proper know a better or an issue with regard to current supply so to get a lot you know that only the discount that but our team was exceptional i'm very very impressed with how the evening an issue that he managed to it they include need help us like a certain vendors and done in a little furnish of conversations have been burned red cognitive looking to see a run out or momentum on the robustness of our model on augmented both and that it's really helped us and he knew she was better than i expected i'll network to go to class it's not a godzilla still have shown a teacher is not older people with the each annual i can keep the manifest themselves routes willing to into a outlier in some point and next year will be a media much when they are today but archie comics the them the been an incredible job
spk_2: that's very helpful get and maybe deal a quick question for you and peter on the cash flow and offender if i'm a one off items being on the cash for like twenty one some investments and changes and he talked about some of those sub changes in the financing agreement being on twenty two but as he think about the make them that are we to think about a big that conversion or how to me think about a casual from operations or to make them thanks
spk_1: yeah i mean average
spk_2: escape the question at the bird flying blind ah we we just and seventy million dollars in the third quarter ah fourth quarter you build a historical like the dollars ben ah i used up to a cashless what we pay our back and commission said so for ideological year old
spk_1: in court in our looking at that hello
spk_2: his family's lawyer cashflow are operating activities that other color sixty to seventy five million dollar range ah and everything would but to grow that go into the twenty twenty two against the followers of the although organization decisions that by a message across the organization all of our lawyers literature ah it's something that part of her i like you swerve it's cover because of you may have a lot of great artist has been sustain probable growth a generous cash flow on that and so that's kind of more focus does he look across whether and backwards that were making here today are in the future as an adjacent cheese platter were so you know
spk_3: hi on the smart energy smart and sharpen believe be gatekeeper balcombe has really get cash flow dynamics ah and so they they they at their incremental or creek i guess the cash flow not and so when we look at new ah on a it price new services of tackle
spk_12: it's one of the actors on the back of his we think about a where we want to go what an to customers
spk_0: so that our we are right have to be updated come on casual operatives yeah i'm handling and i mean the elite think about the i been a to focus on a limb or little someone brought about market and on my or segments was professional install a monster market with the that much
spk_2: will use smart unreadiness my show consistent growth about market we get and wanted to get a skill the business
spk_1: and so now you're into a were trying to help me circles economics flow through the bottom line you are very nicely throwing a lifetime value the customers by can send a child one play yellow talked about and it's very exciting for our company internally to see the platform play a whole and growling
spk_2: i'm in love of smart we love our that performing and jason sees you know and italian far our employees at it in a on titan it's loud with your life have i the costume and then last week on now casual generation hum guys and in we grow by craig i'll look for in economics and for cash and rishi that's not how you want robbins right my goodness for we also show you guys that the casual generation improvements and erupted year after year i'm touched them she were british congress commercial release among my growth it's really skill on business mom
spk_1: or literally lt ltd on play and cash nourishing doesn't get that were focus on an ipad company and that be investors are those pg wants to focus on that may help from color thank you very much and congrats on for you a dentist thank you
spk_2: thank you are not christian country and already returned from ah can handle eric pay for had your nine them
spk_1: thank you so much and congrats on a good korea guys just want to get to and he guided the year roughly in our kind of early august so what did you see kind of in the last two months of the quarter that at that allows you to materially outperform you know don't raise your for your expectations for
spk_2: thanks yeah i think they are at least in only said that at the seem to have gone girl august that the in a weird way were bullish on lucky he ever looked like that there are still some some can handle that the around spikes in a labor constraints at the a dataset of the pay these bills well through those ah and better later and even are scared or fourth quarter and so you know we were able to this ah what as people don't really get the quarter terms of all over or performance parts or matters and selectors it's kind of the entire is where yeah it were seven here i guess it back days or whatever it is a few days of good of year
spk_1: we don't forget about it on where we take the boy european that that's why you to her that it's up getting in you look at aim's the treasury he can use for really well in a so subscribers turn into the or strivers it's not i'm headed in the eyes of the rage on it inevitably even with all that of things going on now be able to keep barking not margins in that and forty two hour before your savage here is what was seeing the grow up against the to go to increase soda
spk_2: even our and his the acoustic sixty five sixty million dollars on subservient revenue don't let the addition of the and snarl things to grow in which he didn't really get drunk your here and look into smartphone fragile that from that adult and and you actually to i'm jason kidd barely started contributing
spk_1: to the two and a meaningful way to around you that allows the and go back and look at that a a song where we are today feel very confident and got tired or that guy is also so did one all and in back together at the are we were selling in august again table and here get point maybe sixty they made only five days
spk_2: on his knees don't think it about strategy the power that executing for the rest of year are looking at some those and are out there and below the navigator and the building again where we want her to the rapid like one i'm frankly inaudible working on a twenty twenty two or the i in and we're excited ah where where we're headed in terms of the movement of would have going in that like twenty two okay that's really helpful and then i'm obviously you know are amazing jilani attrition side in a where do you guys think that can and this year and then in a directional how should we think about that going into our twenty twenty two
spk_1: do them to leave the country is of operation to teens you lose the them i'm they've as well appreciate all i do you know too big factor servers always where you are in the cycle with that customs i'm so look like covert coming out of contract law courts going the with the growth way back and let one lady and secondly is
spk_2: in order to do here which is can you provide more buying those customers the more you provide nine pm but iraqi wine and finger on companies would have thought about it is involved and regional been phenomenal at protecting family homes thanks is really really blood but if he would cost
spk_1: and we think that me on that and that it on with this can be blocked but now you been living other logical adjacent he said it will get in nicely with the platform inaugural in solar you should say much money he will and each other you should see the money but you will enjoy giants and into the benefit on with our overall uses more using the money so you know in some situations you made offset a portion of that expense to see the family the protected family home in other situations you before see that you out and read saga you can see the publishing imagination what you're saying you're protecting family the home the earth and or wallet
spk_2: the you are mission was raging eating given package
spk_1: well it's take teacher a customer base it when taking all of us can and i'm better off and usually so it was even more can spend a day into the overall portfolio and deliberate consistently across all the customers i'm the only hope that lessons have a great party an entire country should i will take time
spk_2: i don't not media to be dominated altitude and but the road i can tell the customer see that i'm i can keep execute nicely on we don't we hope that that the yes but angeles
spk_1: two teams will i will benefit us or time so anecdotally have more in line at it i could get as executor i even that such as kind of our slammed really bill that all this a customer interaction because i'm starting to our platform or something along with is in a little bit of the and enough hundred and something changes to pay a little last few years ah against the able to this earlier when we get over them and are writing on the back up and blow it up
spk_2: bottles and labor and day bogey only that threatening for that for that because of the shareholders and so he continued to the tweet that underwriting because the as can surround that that would when you look at us for symbol across the this year i'm like yo around somewhere in the rings we are right now and i would say the is that a tissue it would probably go are a little bit as we go into a like twenty one example symbol of it probably isn't the the high level play the local a doctor exchange
spk_13: in the in that color that's a couple were in the tournament and so you're editor's from hires version of as historically that the in other what we see that that hundred and actresses actually not changing it's just the mechanics somewhere where the david mention the be courts are in there and after what the number coworkers work at and
spk_14: the term can be broke rating than that year versus other years on the over or mean the entire about where she is why we became go status as a and and are adjacent she's pregnant more value to consumer on in a world where that is now the part of the in protecting their their bandit and it's also knows telling him
spk_15: which get savings are concerns his brain energy to learn all of them and calling them the answer if you and federal mr either other savings you think a lot of benefits across this model and and power and maybe we believe in time out back in our to snipe be able to sort of were trying to reconstruct the changes that will help us all
spk_0: their time in particular material at trust
spk_8: you go back and incorrect we're trying to redefine the from experience with technology services is the know what's going on in service to creative smarter we are super hornet seeds or as with money three once i get a fundamental shift of partnership for customs and are you hurt or to return extremes one which we are
spk_2: he got long term relationships in the life hunters relations between aspirations for us minutes left into it by you know how to either cause right now eighty nine years is remarkable contracts by awesome so little that might the on a week and we execute on this it to eat your habits like don't five more all that absolutely i'm so glad you hear asking closely with i'm sure sure that we are you bringing the right solutions to delivering every day but we do that with the jewelry defensive extremists and it's platform playing a home will actually there in his room on and as was got out of the company on
spk_1: focus on making it happen on a skill always itself
spk_2: as we can go str
spk_1: now that's great i really appreciate the corridor thanks yeah thanks again and i got smarter a quarter i'm here thank you on that question control i met korea nani from ever evercore admit please go ahead your nine is i can all you have a you have a couple questions a thaw of a popular to the damage much more with your from like energy and insurance up getting use of the where are they look for the for people with the number you disappointed and then or the lord the could be a sub skill oscillatory
spk_8: revenue from that you have or are they going to be structurally lord it really get to skill
spk_16: yeah so
spk_17: just watched him on the margins bomb the the randomly generated from the management and smarter energy aren't in the forty four percent so so so
spk_1: you know we can have our are small margins were falling down at a higher a good mobility because each kind of new industries and some scale of stars cause such an idiot no the she going into those are the of the model to pay ah that we expect over time that he was even see the we've been the scale in from those ah those marshes associated of about fathers businesses again but i am actually believe that it backwards today it
spk_2: what a little over excited our the are those objects to taken me a there's more value than this
spk_1: margin to the bottom line terms of overall cost relationship and daily says he can get we can expand the relationship to a smartphone customer that had a half ago seventy eight percent service margins but we've had a on whether it's a year you buy more years with they get a comment only after the to the overall ah because the five billion dollars and side effects can work are these what will get more killed and he'd go give you the scale up and to me no issues around some unit economics that but today back or regular where we are ya the ltd people get really nice to meet a and i you know and that's really the am a at a get that fact that extending now that you of these customers by the you off and by that logic to that are i'm honored with you and the company a finite resources money to deploy why not doubled down and expand the number of the up a one point eight billion
spk_2: can be bigger
spk_1: got in the core what you do with i'm going to a gaping teeth were it sounded more like his opposition ah yay for brown and like why not block a new sub like laughably rather than expanding the often wow what a little above i mean actually he was smarter than and jack flash of business were absolutely nothing illegal filesharing and i'm absolutely no we're not you don't put off and all bomb leaders differently just mentally into mindless a great opportunity though you don't bring onlookers we saw a preview that impression will meet you were actually dylan thomas one on and advice we can be channels were going after an broke on every channel so i'm actually sold last year when we moved on the line customer and eat about the lives customer they want been the work and we
spk_8: he was given a tradition to build in order to save money and protect their family their home the earner in which are logical and the was really into superior solution so
spk_1: with with snarl you love bernadette meehan absolutely glued on tuesday
spk_2: no one million skin here for those customers but also introduce you to mars was first one so source great solar not subjects get your those are thirty two year contract thirty five times that with saving money and has remained remainder and eighty dollars i would leave the night in all if you're in california months kind of each race aren't changing all the time and on she's can actually help that customer a novel with a hyperlink when i get home and
spk_18: on police raids we can help them consuming better and we produce their part and very sticky but also was originally solar see when i was smart home so i should be enough
spk_19: for us i'm saving with insurance for nine hundred and and education and it's i need a former partner
spk_0: i'll i protect my heart insurance about one after you enjoy her after my lover legal system don't allow me to get been a better me over time it enough to your soul double double down the for
spk_2: aj are helpful know the world bank customers even to your chances are due to stop don't think you are questionable that was blurred not a great or a the final can be obligated with the new subscribers of the director on people down quite a bit of could you say because one drove the drop and how to enter into the normalize are yeah maybe i'll get from what happened over there
spk_1: yeah to build would we gotta cut us loose earlier covered older and it's really gotten the largely driven by the fact that you had a twenty twenty two story the some he would later be extended always through said in the september person's it's you and your kind of of historical selling things
spk_2: really runs on the old able to gather melt in august of that was really a big driver that are your be here again when we what we in the babies and we're investing in smile when by he bought those channels to each girl double digits ah natalie where work all has to make sure that what was he he added a smartphone girl from got on how can i ask one for perfect thank you again a minute
spk_1: pinky and i find no question that comes from fire and latin that from imperial capital and kicker hatch or money selling them bf that thank you very much congratulations on a quarter i have a couple questions around bad dna i ever present arachnids that thirty nine percent target scorer last quarter is around yeah and forty is sam forty two percent last year as forty five percent decrease ah and dna as and yeah percent
spk_2: duran a due to the citizens bank agreement and you expect the in a to continue to decrease at a percentage or revenue at current levels and then kind of finally at a throw it all at once i in there and last year period you provided that said it and bank or i'd yell at the fees and ago ten point two million last quarter and how much of that court jennifer
spk_8: exactly a on a father and of view on under that the present between been a l l l of they have been trying for me the building to jail and by a prayer ah if we got a should not be not obama hung out in terms of service and about an hour
spk_20: when should be included in the as that should be actually insulated to there are brought that up
spk_0: okay ko and and wingers follow up with those and any let me just flip over then and i and half the broader question you talk about your life and extending that area like bad yeah wait what is new offering
spk_2: what about going and to existing homes and upgrading is there a process that your yeah because a years ago technology was much different i would imagine that can be the same thing eight years from now that yeah those new smart homes are not going to be so new anymore is there a process where you go in and upgrade i
spk_1: in charge more and provide get away it's greatest about hardware english an absolutely bizarre encore good and a long time so we have a systematic mental from the bible a place to prevent today day on biblical times was before they get into contract we are to upgrade them show them the latest reader's bomb and then of look it's it's core lloyd you are already
spk_0: teams are very focused on the and and for a long time on his plan to be the money he got attrition rate and residential space with you get lower than on the harm to your spouse very proud of them analysis has denied her gonna do and how to do evening kinda you looking for the i had damaged it's one of the best best
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