Domo(DOMO)2023-05-26 01:31Financial Data and Key Metrics Changes - In Q1, total revenue grew by 7% year-over-year, reaching 70.3 million, reflecting a year-over-year decline of nearly 4% [31] - Current Remaining Performance Obligations (RPO) grew by 6% year-over-year to 356.7 million [32] - The company reported a net loss of 7.6 million a year ago [35] Business Line Data and Key Metrics Changes - Subscription revenue constituted 89% of total revenue and grew at 10% year-over-year [33] - Subscription gross margin improved to 85.9%, up 1.3 percentage points from the previous year [33] Market Data and Key Metrics Changes - International revenue represented 21% of total revenue, consistent with the same quarter last year [33] - The company has seen a stable demand environment in established relationships, particularly in Japan, which continues to perform well [72] Company Strategy and Development Direction - The company is focused on rebuilding its growth trajectory through customer engagement and a motivated sales team [8][29] - A shift to a consumption-based pricing model is expected to enhance customer adoption and align pricing with the value delivered [19][20] - The company aims to leverage AI technologies to enhance its data experience platform, integrating AI solutions that provide flexibility and control to customers [26][28] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's prospects, citing a reenergized sales force and improved customer relationships [29][31] - The macroeconomic environment is challenging, but the company believes it can find opportunities to close deals and upsell within existing accounts [50][72] - The company anticipates that efforts to stabilize and grow will begin to show results in the next 2 to 3 quarters [29] Other Important Information - The company was recognized as a leader in the Nucleus Research 2023 Analytics Technology Value Matrix for the third consecutive year [25] - The AI service layer is set to be available in June, with several AI features already accessible [28] Q&A Session Summary Question: What initiatives are being taken to rebuild the large deal pipeline? - The CEO mentioned reengaging with existing customers and leveraging established relationships to facilitate conversations and close deals [42][47] Question: How is the consumption pricing model being implemented? - The CEO explained that the consumption model allows customers to try features without upfront costs, leading to higher adoption rates and upsells [51][53] Question: What is the demand environment like across different geographies? - The CEO noted that established relationships are crucial for closing deals, with Japan performing particularly well, while cold calls have become less effective in the current environment [68][72]