Yext, Inc.

Pardon me, this is the conference operator. Thank you for joining us for the Yext Incorporated conference call. We'll be starting the call in just a couple of minutes. We appreciate your patience and please continue to hold for the Yext Incorporated conference call. We'll be starting in just a couple of minutes. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Good afternoon, and welcome to the next second quarter fiscal 2023 earnings conference call. All participants will be in listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then one on your telephone keypad. To withdraw your question, please press star, then two. Please note, this event is being recorded. I would now like to turn the conference over to Niels Erdmann, Senior Vice President, Investor Relations. Please go ahead.

Thank you, Operator, and good afternoon, everyone. Welcome to the next Fiscal Second Quarter 2023 conference call. With me today are CEO Mike Walrath, COO and President Mark Farentino, and CFO Daryl Bond. Before we begin, I'd like to remind everyone that this call may contain forward-looking statements, including statements about expectations regarding growth of our business, our management and governance plans, strategy, forward-looking guidance, and estimates of financial and operating metrics, capital expenditures, and other non-historical statements as further described in our second quarter earnings press release. These forward-looking statements are subject to certain risks, uncertainties, and assumptions, including those related to Yext's growth, the evolution of our industry, our product development and success, our management performance, and general economic and business conditions, such as the impact of COVID-19 pandemic. We undertake no obligation to revise any statements to reflect changes that occur after this call. Descriptions of these and other risks that could cause actual results to have a material difference from these forward-looking statements are discussed in our reports filed with the SEC including our most recent quarterly and annual reports and our press release that was issued this afternoon. During the call, we also refer to non-GAAP financial measures. Reconciliations with the most comparable GAAP measures are also available in the earnings press release, which is available at investors.yext.com. With that, I will turn the call over to Mike.

Thanks, Nils, and thanks, everyone, for joining us today. Second quarter was a solid quarter for Yext, and we executed well against our strategy of driving long-term growth through increased operational efficiency, best-in-class product innovation, and improving customer satisfaction. Our revenue for the quarter was 100.9 million, and our non-GAAP net loss per share was 3 cents, beating the high end of our guidance range by 2 cents. Driven by our success in streamlining the business and improving our operating efficiencies. These results highlight the momentum we're generating through a realignment of our sales and customer success organizations while successfully managing costs in order to increase our cash position in the future. As our full year non-GAAP EPS guidance suggests, we expect to achieve profitability in the back half of this year. I'd like to share some observations about our progress toward achieving our strategic objectives and how the rate of this progress factors into our expectations for the second half of the year. First, as we noted in our first quarter call, providing greater clarity around our brand and platform capabilities are key to re-architecting our go-to-market strategy. During the quarter, we made significant progress against this priority and transitioned the name of our Answers product to Search, and our core set of products listings, reviews, pages, search, and knowledge graph together as the Answers platform. We did this to align with what we actually do for customers and our vision to help businesses answer every question from their customers, employees, and partners anytime, anywhere. We made this change with the launch of our summer release that included 60 plus new features and upgrades across every area of the platform, reflecting our continued commitment to innovation and realizing our vision as the answers company. To help us continue to strengthen our brand positioning, we announced our new Chief Marketing Officer, Ran Reese in late August. Ran has more than 20 years of global technology marketing experience at companies like AWS, Juniper Networks, and more recently, Elastic. Ran will oversee YEC's global marketing organization and be responsible for building and strengthening the YEC's brand and increasing demand for YEC solutions globally. Second, we continue to lay the groundwork for future revenue opportunities, landing deals across all of our products, Although it's still early, I'm very encouraged by the breadth and variety of deals we close during the quarter as they demonstrate that our product suite and value are resonating with customers. Mark will discuss our recent product innovations and share customer wins in a moment. I believe these customer stories are leading indicators reflecting that the ongoing re-architecture of our go-to-market is having an impact and we are well-positioned to capture additional opportunities as we continue to improve all elements of our go-to-market motion. to drive product innovation and expand customer use across the platform. In conversations with dozens of customers and prospects this quarter, I've observed firsthand the increasing importance to the C-suite of answering their constituents' questions wherever and whenever those questions are being asked. The individual use cases and priorities of each customer vary from location-based questions on third-party properties to various company-controlled search use cases, such as support search, but this is a clear priority across a diversity of customer use cases. While we remain cautious on our outlook, I am highly encouraged by our prospects to drive tremendous customer value. Third, our third quarter guidance reflects our ability to successfully improve our operating efficiencies. We've demonstrated we can operate more efficiently, and the team is excited about the changes we are making to drive success for our customers. We continue to make organizational changes in the business that lower our operating expenses by reducing layers, increasing spans of controls, and creating more coordination across our teams. I can continue to believe that we will drive better customer outcomes and ultimately sell and service our products more effectively by creating a leaner, more agile organization. As we noted on our last call, ARR is a metric we focus on because it provides insight into the performance of our recurring revenue business model and is less impacted by fluctuations in billing and contract terms. Direct ARR continues to be our primary revenue driver, but we are working to broaden our relationships with third-party resellers and refocus on our shared growth opportunities. As I look at the ARR picture, our total ARR is relatively flat over the last couple of quarters. This is largely driven by significant negative FX in Q1 and Q2 and weakness in third-party reseller ARR. We are seeing growth in direct ARR, which we believe is the most immediate measure of our overall product market fit. Daryl will provide more detail on the specific dynamics around FX and ARR. We will continue to look at the ARR picture conservatively as we work to improve our go-to-market motion and in light of global macroeconomic and FX conditions. We do see a global trend towards more scrutiny on overall spending and longer deal cycles, and this is reflected in our outlook. Our Q2 results and full-year guidance demonstrate that we are executing well against our strategy while making clear progress on our path to profitability. The team and I continue to operate the business based on the principle that long-term, sustainable growth is the result of a more clinical and efficient operating model. And I remain extremely optimistic about our ability to capitalize on our large market opportunity. We have installed a lot of change inside the company in the last six months. Change like this is challenging in any environment, and even more so with the backdrop of uncertainty in the global macro environment. I'd like to take a moment and thank our entire global team for their dedication and commitment to getting to the right answer for our customers and the company. We continue to believe that our stock is a great investment, and this is reflected in our continued share repurchases in Q2. With that, I'd now like to turn the call over to Mark.