Good afternoon, and welcome to Copperleaf's First Quarter 2023 Results Conference Call. At this time, all lines are on listen only mode. Following the call, we will conduct a question and answer session. If at any time during this call you require immediate assistance, please press star zero for the operator. This call is being recorded on Wednesday, May 10th, 2023. Your hosts today are Paul Sakrzewski, Chief Executive Officer of Copperleaf, and Chris Allen, the company's Chief Financial Officer. Before we begin, I am required to provide the following statement respected forward- looking information. During the call today, the company will make forward-looking statements that are based on assumptions and therefore subjected to risks and uncertainties that could cause actual results to differ materially from those projected. The company undertakes no obligation to update these statements except as required by law. You can read about these risks and uncertainties in regulatory filings that were filed earlier today. The commentary today will include Adjusted financial measures, which are non-IFRS measures. These should be considered as supplement to and not a substitute for IFRS financial measures. Reconciliation between the two can be found in the company's regulatory documents, which are available on sedar.com or on our website. Commentary today will include key performance indicators that help evaluate the business, measure performance, identify trends affecting the business, formulate business plans, and make strategic decisions. Such key performance indicators may be calculated in a manner different than similar key performance indicators used by other companies. With that, I'd like to turn the call over to Paul Sakrzewski. Thank you. Good afternoon, everyone. Thanks for joining us to discuss Copperleaf's first quarter performance. I'm excited to share an update of our progress in 2023 and some of our future direction. On today's call, I'll make opening remarks before passing it over to Chris to provide a detailed review of the financial results. Following our prepared remarks, we'll open the call to questions. Copperleaf's first quarter results demonstrated continued momentum with material year-over-year growth across multiple sectors and geographies. During the first quarter, we delivered 28% year-over-year revenue growth and 29% growth in annual recurring revenue. We delivered these strong results while continuing to navigate uncertain economic conditions with temporary associated headwinds, like increased client signatory requirements and limited client resources. Copperleaf's first quarter 2023 results reflect the team's commitment to prosecuting our pipeline, converting deals into backlog, ARR, and revenue. We ended the quarter with CAD 110.5 million backlog and the largest pipeline of opportunities in our company's history, giving us confidence in our bookings in 2023 and into 2024. In the years that I've been part of the Copperleaf journey, I've had the privilege of seeing firsthand how Copperleaf solutions deliver value for clients as they roll out our value-based decision making methodology and software across their businesses. Now, as CEO, I've focused on driving increased adoption and penetration of our solutions globally to ensure everyone has access to our products and the value they generate. Over the past few years, Copperleaf has been focused on strengthening our market-leading solution and driving scalable growth. Today, we're a leading provider of AI-powered enterprise decision analytics software solutions, trusted by organizations in the electricity, natural gas, water, oil and gas, pharmaceutical, and transportation industries across the globe to guide their investment decisions. As a direct result of our planful approach to introducing new market sectors, we've successfully expanded into the ports industry with our first win in the Middle East, as well as into upstream oil and gas here at home in North America. We recently announced that Teréga selected Copperleaf Portfolio for asset investment planning. Our first client in France, Teréga, is at the forefront of the energy transition, lighting the path to carbon neutrality through the development of innovative solutions and the commitment to establishing and meeting environmental, social, and governance targets. The organization is focused on improving the reliability of its asset base to provide customers with a safe, high-performance grid and accelerate the adoption of new technologies and energy sources. Copperleaf Portfolio will allow Teréga to optimize asset investment planning to ensure the organization can maximize the value of every investment they make. During the quarter, we also welcomed Scottish Water as our ninth UK-based water client and signed Sydney Water, our first Australian water client, underscoring the global applicability of our solution. This highlights the competitive advantage of using the Copperleaf Value Model Library to rapidly enable these new clients to align decision making with strategic goals and maximize the value of their capital investment programs operational activities while proactively managing risk across their asset bases using tried and tested models. Water utilities are facing unprecedented headwinds, making it increasingly challenging to meet service level targets and minimize disruptions. Copperleaf provides water companies with proven tools to assess these complex challenges, providing a comprehensive understanding of asset risk. With an established position in the UK water market, our first win in Australia, and a strong pipeline of opportunities, we're well-positioned to drive adoption globally in water utilities. Our continued ability to deliver tangible return on investment and retain our clients has driven a 111% Net Revenue Retention Rate in the quarter, which demonstrates the stickiness of our client base and the growing need for the solutions that we provide. Going forward, we intend to strategically approach new market sectors where we are able to apply the required resources, where it's clear that the scope for growth is material, and where we know we can provide substantial value to the largest clients in those sectors. In January of 2023, we established a Global Growth Office to ensure that we have an efficient, coordinated approach to bringing together specific expertise in market sectors, products, and partners, together with Value Engineering to support our go-to-market activities. With dedicated Copperleaf partner managers in place in each region, we're focused on expanding our reach and establishing the tools, partner ecosystem, and structure needed to efficiently scale the business. The alliance ecosystem continued to gain traction during the quarter as our partners invested in expanding their Copperleaf practice areas. In Q1, Copperleaf signed an Endorsed Apps agreement with SAP, signaling SAP's recognition of Copperleaf's industry-leading technology and the value that the combined solutions can deliver to organizations globally. Cooperation between SAP and Copperleaf will provide our mutual clients with best-in-class capabilities to further unlock value in their business and achieve their strategic goals. During Q1, Copperleaf released version 23.1 of its product suite, which introduced numerous new features, including a configurable performance management dashboard, enabling flexible and powerful visualization and adaptation of plans, and improved support for multi-part or dependent projects, coupled with an intuitive graphical user interface, which will drive better outcomes and further improved optimization results. Copperleaf is executing on the plan we put in place prior to our IPO. 2022 was a planned investment year for Copperleaf, with a focus on hiring talent, increasing capacity, and laying the framework necessary to drive future growth. With the right people and strategies now in place and a refreshed operating model, our focus is squarely on execution to drive continued growth. 2023 is a year focused on execution and ensuring that those investments are generating value. Our attention will remain on holding headcount flat, managing our costs carefully, and delivering deals and bookings, which will lead to strong ARR and backlog growth in the second half of the year. For the remainder of 2023, we expect our growth to be driven by sustained industry tailwinds, such as the increasing needs of our clients to practically manage ESG requirements and generally improve capital efficiency, acceleration of our ability to bring innovation to market in the form of new products and enhanced services, leveraging our investments in sales and marketing, which are demonstrating early positive results with some examples of accelerated deal velocity in increased lead generation and pipeline creation. Lastly, expansion of our alliance ecosystem, which includes new partners like SAP. With that backdrop, I firmly believe that Copperleaf is well-positioned for the next phase of growth, enabling us to make substantial progress in 2024 on our path back to profitability. I look forward to building on the solid foundation we've established as we continue to transform how the world sees value. I'll now turn the call over to Chris to review our financial results in more detail. Excellent. Thanks, Paul, and good afternoon, everyone. We're pleased to report that our first quarter 2023 results continued to deliver growth across our key financial metrics. Revenue for the quarter ended March 31, 2023 was CAD 20 million, an increase of 28% from CAD 15.6 million in the comparative period, driven by the delivery of new clients and expansion within existing clients. Subscription revenue for the first quarter was CAD 11.3 million, an increase of 24% from the prior year, representing 56% of our Q1 revenue. The trend in subscription revenue growth was masked sequentially as a result of client negotiations in 2022, where we took a conservative revenue recognition approach. Those negotiations were finalized in Q4 2022 and resulted in revenue from prior periods to be recognized or caught up in Q4 2022. For reference, without the catch-up, subscription revenue in Q4 2022 would have been CAD 10.9 million. Professional services revenue for the first quarter was CAD 6.9 million, compared to CAD 6 million in the prior year. This segment represented 35% of our Q1 2023 revenue. Perpetual and term license revenue for the first quarter was CAD 1.8 million, compared to CAD 0.5 million in the prior year. This segment represented 9% of Q1 2023 revenue. Our annual recurring revenue at March 31, 2023 was CAD 49.1 million, a 29% increase compared to CAD 38 million at March 31, 2022. As of March 31, 2023, our Net Revenue Retention Rate was 111%, reflecting expansion within our client base and our strong renewal history. This percentage will vary period to period due to the timing of large expansion contracts within our existing client base and the mix between perpetual and SaaS expansion deals. Revenue backlog was CAD 110.5 million at March 31, 2023, a 15% increase from CAD 96 million as at March 31, 2022. Gross profit was CAD 13.7 million, representing a gross margin of 68%, a 22% increase from CAD 11.2 million and a gross margin of 72% in Q1 2022. Gross margin has decreased temporarily due to a combination of increased partner subcontracting costs in the quarter, plus the increased headcount, travel costs, and product support related to our growing client base. As a result of our planned investments to capitalize on the inflection in the decision analytics market, we had an Adjusted EBITDA loss of CAD 10 million for the quarter, compared to an Adjusted EBITDA loss of CAD 9 million in the prior year. Net loss for the quarter ended March 31, 2023 was CAD 11.8 million, or a loss of CAD 0.17 per share, compared to a net loss of CAD 10.9 million, or a loss of CAD 0.16 per share in the prior year. We finished the quarter with CAD 145.9 million in cash, compared to CAD 149.5 million in cash at the end of fiscal 2022, which places us in a strong financial position to build on our advantage and further penetrate the investment planning and decision analytics market. With our strong unit economics, we remain focused on making thoughtful, long-term investments that will drive accelerated growth in 2023 and beyond. As we continue to expand our reach, we're confident that our focus on operational excellence will drive best-in-class margin, expand our leadership position in the growing decision analytics market, and accelerate our path to profitability. That concludes our prepared remarks. I'll now hand the call back over to the operator and open it up for questions. Thank you. Ladies and gentlemen, we will now conduct the question and answer session. Should you have a question, please press the star followed by the one on your touch tone phone. You will hear a three-tone prompt acknowledging your request. If you'd like to withdraw your request, please press the star followed by the two. If you are using a speakerphone, please lift the handset before pressing any keys. Your first question comes from Maxim Matushansky with RBC Capital Markets. Please go ahead. Yeah, thank you. Good evening. I just wanted to touch on the pipeline. In terms of the pipeline for 2023, is it still too early to have, you know, indications of how bookings will progress into the back half of 2023? Or do you have, like, a decent sense now in terms of visibility from, you know, the conversations that you have ongoing right now in terms of how kind of, you know, the Q3 and Q4 bookings will progress? Yeah. Thanks, Max. I mean, we've got a good pipeline. It's distributed globally, you know, we see it growing across all the different market sectors and within the core sectors that we're penetrating and also some new sectors that we're introducing. You know, we are gonna be back-end heavy as usual, you know, which is in line with our clients' buying patterns. Generally speaking, Q3 and Q4 heavy again this year. You know, the pipeline is well and truly enough to cover, you know, what we're calling for the year, and we think that it represents substantial growth on last year. Got it. I just wonder if you can touch on the recent wins and the kind of the go-to-market strategy, with clients in the newer industries like ports and oil sands. Are you having success there because of the consulting partners, or is this more of a result of, you know, the sales and marketing investments you've already made in being able to establish more direct relationships? It's a combination of both. You know, we've certainly seen partner activity increase, and I think that we're more coordinated with our partners now. You know, it, we've had good opportunistic success with partners over the years, but it feels like we're more coordinated and we're taking, you know, a joint approach to most of the markets where we are. You know, obviously global coverage is something as well. You know, the deal in the Middle East is a direct deal. You know, and it's largely due to the fact that we have people on the ground and, you know, the project is kicked off and the client is happy. Engagement looks good. I'm actually in Dubai at the in Abu Dhabi at the moment and talking to the client. I've got firsthand knowledge from today. It's the coverage is good and the partners are ramping. Awesome. Just final one from me, I just wanted to touch on pricing and how we should think about, you know, the potential for that to move higher. You obviously have close relationships with your customers, so I'm wondering how you balance the customer satisfaction side of it, you know, with the measurable, you know, value add that the software is providing customers. Is it easier to have those conversations with existing customers on renewal? You know, do you just try to set appropriate pricing with new logos right away? Yeah. You know, we are constantly reviewing our pricing. You know, we introduce new products and, you know, the different parts of the suite generate different value. Like I said, we introduced a Global Growth Office and, you know, one of the benefits of the Copperleaf solution is that it does demonstrate material value almost from the day that you switch it on. We're getting better at articulating that value, which obviously has a knock-on effect of the price that we can command in the market. You know, it's a focus area for us to make sure that we're doing, you know, post-implementation value audits so that the client and the clients in the install base and we are lined up on just how much value the product is delivering. Of course, the more references we have that will speak well of the ROI of the solution. You know, the better we're placed to command better prices in the market. We're constantly reviewing that, and we're putting concentrated effort into making sure that we can articulate value to new clients, you know, in ways that they can understand in terms of their business. You know, it's an ongoing effort to make sure that we're fully priced in the market. You know, that's a balance between how much we can command in each deal and, you know, how quickly we wanna go. Okay. Thanks. I'll pass the line. Thanks, Max. Thanks, Max. Your next question comes from Thanos Moschopoulos with BMO Capital Markets. Please go ahead. Hi, good afternoon. Regarding the spending climate and sales cycles, is it sort of status quo, or has it gotten any better or worse over the last 90 days? Hey, Thanos. I don't think it's changed much. You know, we've come into a new year, and I think there was a reasonable amount of optimism coming into the new year. You know, we've seen a little bit of financial insecurity with a couple of banks in North America, and it's different per region. It's hard to really pick a trend. I think, you know, people are still cautious about deploying capital. They're still cautious about taking on new digitization projects. We don't see a material difference in the last 90 days, you know, from an ease of closing point of view. You know, we're certainly hopeful that things will free up a little bit more as we go into the end of the year. No, no huge difference that we can see. Looking at the R&D expense, R&D expense in Q1 was quite a step up from Q4. What drove that increase? Sure. I can take that one. You're just talking about the expense on R&D. As we mentioned in the that Q4 call, much of the expense that you saw there, that reduction from Q3 was a effectively a reversal of accrued incentive compensation. I think the Q1 results that we see here with regard to both COGS and our operating expenses are pretty good indications of run rate that we'll see through the rest of the year. Okay. I remember that dynamic, but I thought it was more on the sales and marketing line, couldn't remember it was R&D. Just on gross margins, just going back to that, with Q1's gross margin level, if we adjust for licenses and the license mix in any given quarter, would that be kind of an indicative run rate for the next while? I think we saw some, you know, unique partner subcontracting costs in Q1 and more likely in Q2 as well. I still think that through the rest of the year it'll taper off a bit. We still expect to be, you know, in and around the seventies for the rest of the year. All right. I'll pass along. Thanks. Your next question comes from Gavin Fairweather with Cormark. Please go ahead. Oh, hey, thanks for taking my question. Just to close the loop on gross profit, it sounds like the subcontractor piece is maybe more transitory- Mm-hmm. The component tied to kinda headcount, travel, product support is maybe kind of permanent costs that you'll just kinda leverage with growth. Is that the way to think about it? That's correct. I mean, as we said last quarter, we didn't necessarily end with in 2022 with all of the backlog that we expected. That does have an impact on services revenue coming into Q1 as well as utilization to a degree. That was further exacerbated just with, again, this unique kind of temporary partner subcontracting cost that we saw in the, in the first quarter. Okay, great. Then, Net Dollar Retention has been kinda ticking up for a few quarters, but maybe still below kinda your targeted range. Mm-hmm. Maybe you can just touch on kind of the pipeline for expansions, whether those are, you know, materially easier than new logos to get across the line, and if you have any kind of visibility on that number trending back towards your targeted range. Yeah. I mean, we see it, we see it trending back and, you know, we continue to introduce new solutions that can be utilized by the installed base. There's still a substantial opportunity among the, you know, the clients that are currently using the system for more software and services. But it is lumpy. You know, we have introductions of, you know, substantial new LOBs in some of the clients, and where that happens, the number ticks up. Where it doesn't happen, it's flatter. We're also putting some concentrated effort through customer success managers into ensuring that we have pipeline, like, roadmaps in place with the with each of the installed base clients. you know, we get a little bit more visibility on what they're gonna be needing and what the timing is on those new phases. rather than, you know, having that be more opportunistic and spotty, we are getting that to a position where it's more programmatic. Great. just lastly, I guess it's been, you know, kinda since the start of the year since you implemented this Global Growth Office model Do you have any kind of early feedback or kind of data points that you can share in terms of kind of the impact on that on the satellite offices and how they're able to move deals forward? Yeah, it's a good question. You know, we've introduced, like I said, it's got four pieces to it. Effectively, it's people who carry the responsibility for ensuring that our product lines are being taken up by our clients and being included in new deals so that we've got good penetration and good coverage with our products across the heat map on the installed base, but also in new product, new client pursuits. There are people focused now on industries. You know, the industries piece is key. It's not something that we want to proliferate globally. We're not a company yet that can afford to have industry specialists in every market. Making sure that we've got good people centrally that can be leveraged by the whole global go-to-market team is important. You know, you're gonna see a lot more coming out of the partner side of the business, which is the third plank. SAP is an early one. There are more partners in the pipeline that we'll be signing formal agreements with and having joint market-marketing agreements with as we progress into the year. Then value engineering is the fourth plank. Just making sure that, you know, for those strategic deals, we're building much more robust ROI statements and value statements for the clients to make sure that as we go in… No, I think we just lost Paul. Can we still- I'm still here. You're Paul? Paul's kind of, dropped off. I think we got kind of most of that question, I think, unless you wanted to add anything, Chris. No. Paul's gonna have to try to jump back in here. Sorry, Gavin. Yeah, I think I covered the majority of it. Do you have another question, Gavin? Nope. That's it for me. Thank you. Thanks. Hello, operator. We'll take our next question. Your next question comes from Koji Ikeda with Bank of America. Please go ahead. Hi. Thanks for taking my question. This is George McGreehan on for Koji. You know, I just wanted to ask in terms of, you know, sales and marketing productivity and, you know, how you've kind of ramped headcount over the last couple years and now kind of getting a chance to keep that flat this year. I was going to ask if you could kind of maybe provide some color on how sales and marketing productivity is ramping, how headcount productivity is ramping there and how that's kind of tracking in relation to your own internal expectations, if you could? Sure, yeah. I think Paul's still coming in. I can start on that. Basically, you know, effectively, we did a good job, I think, of executing on the plan last year, which was to build the headcount, the sales and marketing team, round that out, and we've done that. Really, as far as the productivity goes, you know, the early green shoots, it was we've said even in the last conference call, we can really point to the pipeline, which we've seen increase. We said on this, you know, press release, we've got the biggest pipeline in the history of the company. We continue to see those new sales resources starting to build pipeline. As well, in fact, some of those new ads have already closed deals. You know, as we've mentioned in prior conference call, there's quite wide variability on each one of our deals. They can range from, you know, as short as several months to close a deal to, you know, many months and years to close deals. We've seen, yeah, some of our new hires even closing new logos basically in that timeframe. Overall, we're happy with the ramp-up. We think that we've got a great team in place, and we're very encouraged again with that pipeline that we can show good bookings, good ARR through the rest of this year, and we'll have an excellent start on next year. That's very helpful. Thank you. Your next question comes from Todd Coupland with CIBC. Please go ahead. Good evening. I wanted to circle back to sales cycle. I know you gave an answer to an earlier question. You didn't think there'd been a change since last year. You observed that the banking crisis and a focus on digital budgets, I guess, not loosening up was still an issue. I guess in that context, has that banking crisis extended sales cycles? I don't know if we're reading too much into that observation, but just curious how that specifically is impacting clients' views of your products. Thanks. Yeah. Thanks. Thanks, Todd. I mean, I wanna avoid coming across as like an amateur economist. You know, it's really just an indication of an ongoing instability in the market. I don't think we're seeing a, you know, a boom back economy at the moment globally. We're just a little bit cautious. The point around the clients is as much, you know, capital preservation and cash preservation as it is capacity. You know, we're still seeing companies constrain their capacity, you know, coming out of COVID. Some of that is that they might have some reduced capacity or reduced tenure in their businesses, you know, particularly in the deployment of new digitization projects. Also there's a trend globally towards, you know, migrating to the cloud away from, you know, on-prem solutions, you know, particularly the big ERP companies. We're seeing that that's taking up a lot of bandwidth as well. You know, it's a mixed bag. We don't see it any worse. We don't see it necessarily improving, but, you know, we'll certainly call it out as we see changes. Okay, great, Paul. Just on that trend to the cloud. That's away from you. It's effectively enterprises, making choices on where those dollars are going. Is that the point you're making? Well, dollars and almost more than that, resources. You know, the IT functions, particularly, you know, the ones who are tasked to, you know, point tasked with implementing new software solutions and new programs, are focused very much on, you know, migrating, you know, S/4HANA upgrades and things like that. It's a resource thing as much as it is a budgetary issue. Right. Yeah. Okay. Whenever the market, you know, starts to turn or, you know, close rates improve, can you just talk to the current state of the go-to-market? I know, you know, you made that observation on the Global Growth Office, but do you have all the pieces in place now with the exception of the partners that you referenced, so it is now blocking and tackling and then dealing with these market dynamics? Is there anything else to put in place on the go-to-market? No, not really. I mean, I think the key functions are in place. You know, obviously we'll add capacity, you know, as we start to see growth improve. You know, for the time being, we've got the capacity that we need to prosecute the pipeline that we have. The introduction of the Global Growth Office and also some introduction of sales operations resources to improve our processes like forecasting, sales training, so that we can bring account executives up to speed quicker. Those things are all in place at the moment. It's a matter then of adding capacity as we see growth. I think we can do that not too far ahead of the curve going forward. We do have a critical mass of coverage globally now. There's a big difference between just increasing your footprint to try and get coverage globally and adding capacity in those places. You know, I think that the days of adding capacity well ahead of the curve are behind us. You know, we can add capacity pretty tight to the growth that we see emerging. I know you're very much a Q4 quarter. You called that out again this time. When do you feel you'll have a better visibility on Q4? Is it not till you're into the quarter or a little earlier in the second half of the year? Any observations to make on that would be helpful. Thanks a lot. That's all for me. Yeah, thanks for the question. It starts to emerge, you know, in Q2 and Q3. You know, the nature of our long sales cycle is that you do start to get visibility on how solid the deals are and whether they're on a closing path several months in advance. We'll, we'll, you know, as you go through the year, it solidifies. You know, Copperleaf is not unique in this situation. I've been living this dream at different enterprise software companies for the last couple of decades. You know, back end, the, you know, the back end of the year is always the big, the big quarter. The back end of that quarter is always the, is always the big, the big last six weeks. It's, it's always like that. I think that we're getting better and more predictable at prosecuting those pipelines. Great. Thanks a lot. Thanks. Ladies and gentlemen, as a reminder, should you have any questions, please press the star followed by the one. Your next question comes from Robert Young with Canaccord Genuity. Please go ahead. Hi. Good evening. I'll maybe add on to one of Todd's questions there on the capacity. I understand there's some of the commentary in the release, around maybe capacity on deployment being constrained, or you said limited client resources, maybe subcontracting on your partners. I'm just trying to get a sense of whether you have the deployment to sort of prosecute the bottom of the funnel as you see it now, or is that a challenge? It's not a challenge internally for us. You know, we've got good capacity in the CX function across the 3 regions. It's not a problem for us internally. And that CX capacity has good tenure now as well. You know, we've got very experienced people in each one of the regions. And again, just to call out a point I made a little while ago, there's a big difference between putting the first few people in and adding capacity under those people. We tend to be able to ramp people much more quickly because we have experienced people in the region, we can add capacity faster than we used to be able to. What I was referring to was really more at the client level. Copperleaf tends to be fairly light on client requirements. There's an element here of the fear of introducing a Copperleaf deal or a Copperleaf project to the mix, being much more than the actual reality of it. Our implementations tend to be fairly light on requirements of the client, they do line us up with other enterprise software companies. You know, just making sure that we articulate that to our clients and just make sure that they understand that it's not as heavy a lift to implement a Copperleaf solution as it is, say, an Oracle or an SAP or an IBM solution for the most part, is important to us. We need to make sure that, you know, clients are feeling comfortable about that. It's more at the client level than internally at Copperleaf. Maybe just a little bit on the partnership with SAP. Have you seen any uptick on that? Like I said, that's a big profile announcement. I think you said that you're gonna hit the SAP Store in Q2. Is that something that we should think of as an inflection, or is that just a, you know, a milestone that you're looking forward to? Or maybe give us a little bit of an update there. Yeah. SAP on the store in Q2 is still where we're at. There's been a lot of engagement between the teams globally. You know, I've personally met with a lot of the SAP sales leaders across the three regions, and there's a lot of excitement about the combination of Copperleaf and SAP. And there's a lot of conversations going on around, you know, forming joint pursuits with specific clients. We're seeing a lot of specific activity occur. It'll really kick off in earnest when we are actually up and running on the store. You know, I think that we're well ahead of the curve. You know, the comment from SAP is that they've never seen anybody as far down the path of getting ready for go-to-market planning ahead of actually being up on the store than we are in our situation. Things are looking good. I don't wanna put an overemphasis only on SAP. We have a portfolio of different partners coming through, both SI partners and technology partners. You know, we need to put that in context and make sure that we're not talking too much about the SAP relationship, which is incredibly important to us, but we're not 100% reliant on that for seeing the uptick. The partner and ecosystem, you know, is a huge part of our future. It is the key to our scaling on a global basis. We're seeing really good progress in all of those different categories of the, of partners. Okay. You know, a lot of that's due to just focused execution on that. A bit of coming of age from a Copperleaf point of view. We're at the point where the critical mass is sufficient for people to start to build practices around what we do. You know, it's, the timing is good. Very nice. Last question would be on the Sydney Water win. Seen quite a lot of tailwind in water. That's a pretty big place to start in Australia. I'm curious, why would the largest water utility pick Copperleaf? Is that a good reference for Australia? How does it imply in, you know, the ability to sort of move quicker in Australia than in the UK? I know you've said in the past that water is very advanced in the United Kingdom. Is that, you know, are you seeing some of the benefit of, you know, starting in the UK and then now bleeding out into other areas? I'll pass the line. Sydney Water is obviously a terrific logo for us in Australia. I mean, it's a, you know, starting at the top is a, is a good place to be. People look to Sydney Water as a best practice company. They pride themselves on being a best practice company. It's often the way that we work with clients who are most forward-looking, most technology forward and, you know, looking for technological advancement. Sydney Water is certainly one of those companies. You know, we've been working on that deal for quite a while. We do find that the first win in a specific country takes a while, but once you get there, you can build off that. We've seen, we've seen how that works in the UK. There's a good pipeline of water behind that. You know, obviously this is gonna accelerate it. The team has kicked off the project. You know, the focus for us now at Sydney Water is to make sure that we're demonstrating value and that the project goes well. You know, they speak well of us. They're a great reference for Australia, but they're a great global reference as well. You know, water management in Australia is an important topic. You know, it's a pretty dry country and water conservation, circular economy, ESG, sustainability, all of those things are on the agenda there. It's a pretty exciting project for us. Is North America still greenfield from a water perspective? Is there a reason why North America is maybe a bit slower? Yeah, it is greenfield. There are some large water companies and, you know, we're obviously talking to them and there's a pipeline in North America, but it's one of the more fragmented markets. You know, so, you know, that is one of the features of the U.K. and Australia. The water utilities tend to be quite big and, you know, that gives them the affordability to go out to innovative solutions like ours. You know, we are, you know, there's enough in North America in the big end of the water market for us to focus on. You know, we do expect that we'll deliver some U.K. water deals in the not too distant. Okay. Thanks a lot. Thanks for taking all my questions. Your next question comes from Dylan Becker with William Blair. Please go ahead. Hey, guys. Appreciate you taking the question here. Maybe not to continue on the sales efficiency side of the equation, but as you are seeing again, you've ramped a lot of capacity there. I guess how are you interacting with clients? I know we've got the partnership channel that's coming into. Is it still much more of an evangelization of what the tools and functionality can actually really deliver? Or are you starting to have more in-depth and ingrained customer conversations where they know the value proposition and now it's more just aligning with the purchasing patterns of that actual business or line of business, I guess? Thanks, Dylan. I mean, I take it to continuum. We are definitely walking into clients and having more discussions that progress quicker because I think this is a topic, AIP, and it's definitely a topic that's on people's minds. You know, as their decision-making landscape gets more complicated, they really are looking for software solutions to ensure that they can incorporate all of the different value drivers, you know, apply the constraints and do more accurate and more capital efficient long-term planning. This is a topic that's on people's minds and, you know, it engages quickly. Most of the clients that we work with are in the utility space, our core of core is in utilities. They're pretty conservative, and they're certainly conservative in new markets, in new sectors. You know, getting those conversations to, you know, go across the line is still an evangelization exercise. You know, again, just referencing the U.K. water market, where there is an established client base and there are ready references, things move a lot quicker. The other part of the equation is really speaking the client's language. I think having industry specialists who can really speak in the client's language and just make sure that we're articulating... You know, you talked about features and functions. Features and functions are a part of the discussion, but we also need to really focus on articulating value, as I've said a bunch of times before. Just that needs to be in the language of the client. I think that we're getting better and more efficient at that, and it helps to short-circuit that evangelization process. Got it. That makes a ton of sense, appreciate the color. I guess since you touched on, again, some of the AIP topic coming up in nearly every discussion. How much does like the ESG and sustainability piece, I know we talk a lot about this, but it seems like every month there's some sort of new mandate, right? I wonder how much that is helping fuel. I think it was maybe, I don't know, a third of new business activity last year. Are you seeing that pick up or accelerate? Thanks. Yeah. I mean, most of our discussions have got some element of ESG in them these days, and that's, you know, that's become a stronger and stronger trend over the past 24 months. And certainly a lot of our value measures in the, in the model library, are, you know, ESG focused. So, you know, everybody's wrestling with that the ability to incorporate ESG value drivers into their, into their decision making. You know, some of these things are hard to measure, hard to quantify, you know, so being able to line up those value drivers next to the more traditional things of, you know, profitability and safety and reliability, and to have those things compare on an apples-for-apples basis is certainly on people's mind. Just about every discussion we have has got an ESG component to it. You know, a lot of that is about decarbonization, you know. There's a lot of the E. You know, more and more we're seeing people want or companies want to include social justice overlays in their investment planning so that they're making sure that they're, you know, putting money into, putting capital into underserved communities. You know, that's a, that's a key focus for us as well, and it's something that we can really achieve for clients. That's, that's certainly a tailwind that we see. Yeah. Thank you, guys, and nice job again here. There are no further questions at this time. I will now turn the call over to Mr. Zakrzewski. Okay. Thank you everybody for joining us today. We certainly appreciate the interest and we're looking forward to a good 2023. Happy to take any further questions if anyone has them. Otherwise, we'll close the call. Thank you. Ladies and gentlemen, this concludes your conference call for today. We thank you for participating and ask that you please disconnect your lines.