Greetings, and welcome to Alteryx First Quarter 2022 Earnings Conference Call. At this time, all participants are in listen-only mode. A question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. I would now like to turn the conference over to your host, Ryan Goodman, Head of Investor Relations, Alteryx. Over to you, sir. Thank you, operator. Good afternoon, and thank you for joining us today for Alteryx's first quarter 2022 earnings conference call. I'm Ryan Goodman, Alteryx's Head of Investor Relations. With me on the call today are Mark Anderson, Chief Executive Officer, and Kevin Rubin, Chief Financial Officer. Additionally, Paula Hansen, our President and Chief Revenue Officer, and Suresh Vittal, our Chief Product Officer, will be joining us for the question and answer session after prepared remarks. This afternoon, we issued a press release announcing our results for the first quarter ended March 31st, 2022. If you would like a copy of the release, you can access it online on our investor relations website. During this call, we will make forward-looking statements related to our business, including statements about our financial guidance for the second quarter and full year 2022. These statements are not guarantees of future performance. They are subject to a variety of risks and uncertainty, some of which are beyond our control. Our actual results could differ materially from expectations reflected in any forward-looking statement. For a discussion of the material risks and other important factors that could affect our actual results, please refer to our SEC filings available on the SEC's website and our investor relations website, as well as the risks and other important factors discussed in today's earnings release. Additionally, non-GAAP financial measures will be discussed on today's call. A reconciliation of these measures to their most directly comparable GAAP financial measures can be found in today's earnings release. With that, I'd like to turn the call over to Chief Executive Officer, Mark Anderson. Mark? Thank you, Ryan. It's great to have you on the team, and thank all of you for joining us on the call today. Q1 was an outstanding quarter across the board for Alteryx and a terrific start to 2022. Key financial metrics all exceeded the high end of our guidance range, driven by increased traction with large enterprise customers. This reflects both global digital transformation tailwinds coupled with contributions from our enterprise go-to-market initiatives. As of Q1, nearly half of the Global 2000 are now Alteryx customers. We had an exciting quarter on the cloud front with our new product launches and game-changing acquisition of Trifacta. Our entire cloud portfolio is now available as part of our new unified Alteryx Analytics Cloud platform. Last but not least, we strengthened our leadership bench. We promoted Paula Hansen to President earlier this year, welcomed Keith Pierce as our new Chief Marketing Officer, and recently added Lucas Moody as our new Chief Information Security Officer. We are committed to our vision of democratizing data analytics for all, and our highly differentiated low-code, no-code end-to-end analytics platform continues to resonate with our customers and prospects. Our strong results further bolster my confidence in both our go-to-market strategy and our innovation path ahead. I'll begin with some financial highlights, followed by an update on our product innovation momentum and go-to-market strategic initiatives. Annual recurring revenue or ARR of $684 million grew 33% year-over-year, reflecting the fourth consecutive quarter of accelerated year-over-year growth. Revenue of $158 million grew 33% year-over-year, a reflection of strong underlying tailwinds from our large customer cohorts. We had a record Q1 in terms of number of $1 million ACV deals, double that of Q1 last year. As a great early proof point of Paula's enhanced go-to-market motion, I'm delighted to share that we secured another eight-figure TCV win with the Fortune 100 financial services organization that more than doubled its contract value as it expands its Alteryx use to new teams and global markets. We expect more to come as we continue to win with large enterprises across a wider range of personas than ever before. Simply put, the results were fantastic, and I'm so proud of the entire Alteryx organization. Earlier, I highlighted a couple of key additions to the leadership team, and we have seen parallel trends of strengthening the team throughout the organization. The best leaders attract top talent. We're benefiting from a virtuous cycle of high-quality team expansion with employee retention rates at the highest level in over a year. We also welcomed over 200 employees from Trifacta, whose deep industry skills continue to strengthen our cloud capabilities. I'm confident that with the right leadership team in place and a rapidly expanding pool of skilled talent, the company is well positioned to capitalize on the attractive market opportunity ahead of us. That data analytics market opportunity is massive. According to IDC, there is $65 billion in annual spend today, and that is projected to exceed $110 billion by 2025. This is a market defined in large part by spend on disparate, siloed legacy data engineering and analytic tools. In Q1, we benefited from a continued increase in customer demand for a more comprehensive, unified analytics platform. In addition, a separate study we commissioned with IDC indicated that a significant volume of data analytics is still happening primarily in spreadsheets. This study highlighted that across nearly 80 million advanced spreadsheet users, over 60 billion hours per year are wasted in unsuccessful or repetitive data analytic efforts. Meanwhile, we are beginning to see enterprise digital transformation at a global scale, which is creating incremental opportunities across a range of new personas, including data engineers, business analysts, and often business executives themselves. Large enterprise companies are embracing digital transformation and are in the early stages of their journey to become data-centric organizations. This generational shift towards data literacy is creating urgency for companies to upskill their workforces to embrace data, extract insights, and unlock new opportunities to drive growth and create value. These dynamics create three key opportunities for Alteryx with respect to the addressable market. One, we can gain share in a tangible $65 billion market that is ripe for modernization. Two, we can expand the addressable market by empowering spreadsheet users with our Low-code/no-code analytics platform. Three, we can meet the incremental demand of new personas emerging with this underlying wave of digital transformation. This aligns perfectly with our vision of democratizing analytics for all. Global demand for data analytics is ramping, and we have strategically aligned the company's product innovation and go-to-market motion to meet this meteoric opportunity. It begins with our flagship Designer solution, which has long established Alteryx as a leader in the data analytics industry. Our unique offering of rich enterprise analytic capabilities with a low-code/no-code user interface continues to be a key driver of our success. For our customers, the operational efficiencies that Designer provides are transformational. Time and again, our customers leverage our solutions to optimize processes that take multiple hours, if not days, into workflows that execute in a matter of minutes. The fact that we can empower a business analyst that has no coding expertise with these capabilities is career-changing for our users. We take great pride in the level of engagement and enthusiasm across our user community of well over 300,000 users. As we look to the future, we are committed to providing true end-to-end analytics capabilities. This begins with the expansion of our product offerings to include new cloud-based solutions. In Q1, we launched our cloud offerings in North America, Designer Cloud, Alteryx Machine Learning, and Alteryx Auto Insights. Of course, we completed the acquisition of Trifacta, which both expands our data engineering capabilities and enhances our ability to drive meaningful workloads into and within cloud data warehouses. On that note, our journey to unifying analytic apps on the Trifacta platform is progressing very well. We expect to have some milestone updates to share soon. As we are now equipped with a comprehensive breadth of cloud-based offerings, we are excited to have recently launched Alteryx Analytics Cloud platform. This platform approach will enable customers to access our complete cloud offering portfolio through one unified solution suite. We believe this consistent user experience across our portfolio of solutions will foster cross-team enterprise collaboration as new personas embrace data analytics. In addition, providing access to our complete suite of offerings in a single interface should nurture multiproduct engagement and accelerate our customers' ability to upskill their broader workforces. While still early on, we're pleased with the customer interest and initial pipe gen. In fact, we already have one of our larger Global 2000 customers on track to implement multiple cloud solutions this quarter. Demand is ramping, and we have a highly differentiated, expanded product offering that is resonating with our customers. With that in mind, it's important to complement our innovation strategy with a targeted, scalable go-to-market motion. The first key initiative here is amplifying our sales focus on larger enterprise companies. Building off the solid foundation of enterprise business, we've significantly expanded and focused our enterprise sales team over the past year. As these sales reps ramp, we find ourselves engaged with customers at a more executive level and across a broader range of user personas. This top-down strategy complements our land and expand motion of seeding smaller wins to expand over time. Only we are now seeding fields of opportunities across entire organizations. We're seeing success with this strategy in landing new large-scale wins, as well as with favorable expansion trends within the customer base. In terms of new Global 2000 wins, we had a strong quarter, including several marquee companies such as AES, Boston Properties, Crédit Agricole, Investec, and Voya Financial, among others. In fact, our Global 2000 penetration expanded by roughly six points year-over-year to 45% in Q1. In Q1, Lotto Hessen, a German-based digital lottery provider, selected Alteryx to empower its marketing team with enhanced customer analytics and visibility. The ease of use, depth of analytic capabilities, and flexibility to integrate with other enterprise workflows were key drivers of this win. We are so excited for Lotto Hessen as they begin their journey with Alteryx Designer and Server. We're also seeing success with our enterprise motion via net expansion with our Global 2000 net expansion rate once again at 128% this quarter. Another positive customer journey example is with Optus, one of the largest telecommunications providers in Australia. Optus has broadened its implementation of Alteryx solutions across multiple departments in recent years, and is now empowering its network team with rich insights as they plan for 5G infrastructure and deployment. Optus has done some amazing work in driving efficiencies with Alteryx and also optimizing customer-facing experiences with tangible results. The second key initiative in scaling our go-to-market strategy has been partnerships. We have a thriving ecosystem of partners across solution providers, distributors, and global systems integrators, as well as with technology and OEM partnerships. Earlier this year, we announced an updated partner program that further empowers this community to effectively bring Alteryx solutions to the global markets and elevate user engagement. We had a great partner-led new logo win with a multi-billion dollar Canadian-based information management company. In working with one of our global elite GSI partners, this customer is implementing Designer within its tax organization to unlock significant efficiencies in terms of time and cost savings. More often than not, our larger partners are customers themselves. In Q1, one of our sizable partners expanded its own Alteryx 1,000+ license implementation to include new predictive capabilities and greater capacity. What an endorsement it is to see our partners more deeply embrace the Alteryx platform to drive efficiencies within their own businesses, as well as for their customers. Before passing the call over to Kevin, I'd like to take a moment to address the unconscionable war being waged on Ukraine and its citizens. Our focus is on the safety and wellbeing of our employees. We have approximately 40 employees based in Ukraine, and we have actively worked with many on relocation. While we do not anticipate a meaningful impact to either revenue or operational workflow, we are humbled by the courage and commitment shown by our colleagues and their families. We will continue to support their needs through this difficult time. In closing, we delivered an outstanding first quarter, and we're off to a solid start for FY 2022. I firmly believe this is just the beginning. We have a massive market opportunity that is very much in need of democratized analytics for all. We have an expanded portfolio of solutions that are now unified in a single cloud-based platform, and we have a scalable enterprise-focused global go-to-market motion. I'm so proud of what the team has accomplished, and I'm energized and excited by what's to come. With that, I'll turn the call over to Kevin. Thanks, Mark. Q1 was a strong financial quarter across the board, with key growth and profitability metrics exceeding our expectations entering the quarter. ARR of $684 million grew 33% year-over-year, above the high end of our guided range. Net new ARR more than doubled year-over-year with increased average ARR per customer contributing to the upside as we are benefiting from increased traction with larger customers. Revenue of $158 million also exceeded the high end of our guided range, with growth acceleration in both domestic and international regions. A non-GAAP operating loss of $30 million was better than guided, with much of the revenue upside falling through to profitability. Recall, this is the first quarter reflecting Trifacta costs. Underlying these strong results are positive tailwinds with large enterprise customers. In Q1, customers with $100,000 or greater in ARR delivered continued acceleration in year-over-year ARR growth to nearly 40%. This strength is driven in part by robust new logo wins with larger enterprise customers. Over the past six months, we have expanded our customer base with over 500 net new customers, and roughly a quarter of those new customers are within the Global 2000. Over the last 12 months, we've added approximately the same number of $1 million ARR customers that we added in all of 2019 and 2020 combined. This favorable mix in new customer adds provides us significant incremental upsell opportunities within our lowest churn customer cohort. Building upon this momentum, we continue to reinforce our investments in customer success to drive net retention durability with this expanded customer base. A great example of this is with one of our largest banking organizations in Europe. This longtime customer of Alteryx has leveraged hundreds of Designer licenses and servers across multiple departments, including finance, regulatory, treasury, to name a few. As they continue to broaden their engagement with Alteryx, we are now providing inspiration sessions with a partner to train, coach, and attract new users to the platform. Our commitment to the customer was once again validated in Q1 with our net expansion rate coming in at 119%, consistent now for three consecutive quarters, and with our Global 2000 net expansion rate of 128%. We are also seeing favorable customer response to our ELA offerings in terms of both upsell momentum and multiproduct adoption. For example, a leading provider of branded payment solutions quadrupled its Alteryx implementation in Q1, and also put into place an ELA to explore new predictive capabilities and use cases. As a reminder, our ELA offerings include additional license flexibility to encourage speed of deployment. Over one-third of our ELA wins from the second half of 2021 are already leveraging the additional license flexibility provided by the sales motion. This is a positive growth driver for the business, plus provides us a higher level of visibility on near-term upsell momentum. As our sales strategy to focus on larger enterprise customers takes hold, average ARR per customer demonstrates how we are consistently growing within this important cohort. In Q1, we achieved a record high average ARR per customer of $83,000. This is a metric that has been growing for several quarters and accelerated four points year-over-year in Q1. We are pleased with the growth trajectory of the business, and given the size of the market opportunity, continue to invest for durable growth in the years ahead. These investments will be made with discipline, as we appreciate the importance of optimizing the underlying profitability of the model. Case in point, we exceeded the high end of our revenue outlook by $11 million and came in $17 million better than the high end of our profitability outlook, meaning we captured more than 100% of the Q1 top-line beat at the operating profit level. This provides us additional resources to redeploy into the business over the remainder of the year to fuel long-term durable growth. At the same time, in Q1, we were able to elevate investments in customer success, accelerate our velocity of sales rep hiring, and continue our pace of rapid innovation in both cloud and our flagship solutions. Looking ahead, we have multiple profitability levers in place, particularly with sales and marketing. We had great success in attracting new enterprise sales talent with our biggest hiring quarter ever. We brought on many well-tenured sales reps with a wealth of sales experience, coming from Fortune 500 and multibillion-dollar software companies. As these reps ramp, we expect positive tailwinds with sales rep efficiency in the second half of the year as our mix of ramped sales reps increases. The strong enterprise momentum is also positive for long-term margin trajectory, given the high renewal rates with lower CAC associated with the potential upsell. As we scale the business over time, we expect to continue to unlock efficiencies of scale across the operating expense items. Of course, as we integrate Trifacta as part of our natural sales motion, we'd expect related revenue contributions to offset the corresponding expenses that are now fully reflected in our non-GAAP profitability. With this backdrop of robust ARR growth, ramping enterprise traction, favorable profitability trends, and incremental drivers ahead, let's turn to the outlook. For Q2 2022, we expect ARR to be in the range of $718 million-$721 million, representing year-over-year growth of 31%-32%. Given our growing contributions from international customers and the current geopolitical environment, we've incorporated an element of currency prudence in our outlook. We expect GAAP revenue to be in the range of $159 million-$162 million, representing year-over-year growth of 32%-35%. We expect our non-GAAP operating loss to be in the range of $50 million-$47 million. This reflects the cost of our first full quarter of Trifacta returning to our offices in our annual user conference in May. We expect non-GAAP net loss per share of $0.61-$0.58. This assumes 68.2 million weighted average shares outstanding. For the full year 2022, we are increasing our ARR range to $812 million-$822 million, representing year-over-year growth of 27%-29%. This is up from the prior growth range of 26%-28%. We are increasing our GAAP revenue range to $730 million-$740 million, representing year-over-year growth of 36%-38%. This is up from the prior growth range of 32%-34%. We expect non-GAAP operating loss to be in the range of $40 million-$30 million, an improvement from our prior outlook for a loss of $50 million-$40 million, driven by the incremental Q1 efficiencies. We expect non-GAAP loss per share to be in the range of $0.56-$0.46, an improvement from our outlook from a loss of $0.68-$0.58. This assumes 68.3 million basic shares outstanding and an effective tax rate of 20%. In summary, Q1 was an excellent start to the year. We are pleased to see the early benefits of our strategic investments in go-to-market and product contributing to the strong results. The market opportunity is massive and rapidly expanding with new personas and use cases. Alteryx is uniquely positioned to meet this increasing global demand with our platform of leading on-premise and cloud-based analytic solutions. Before handing the call to the operator, I'd also like to note that we have an investor day coming up on May seventeenth as part of our 2022 Inspire User Conference in Denver. We will further discuss Alteryx's market opportunity, sales strategy, and platform innovation path with a live customer panel for those joining in person. As a CFO that leverages our solutions across my entire organization, I am intimately aware of the efficiencies, cost savings, and user empowerment our solutions provide. With our first in-person user conference in two years, I am so excited to provide our investor community with the opportunity to experience it firsthand. With that, thank you all for joining us today, and I'll turn the call back to the operator for Q&A. Thank you. At this time, we will be conducting our question-and-answer session. If you would like to ask a question, please press star one on your telephone keypad. Confirmation tone will indicate your line is in the question queue. You may press star two if you would like to remove your question from the queue. For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys. One moment please while we poll for questions. As a reminder, we ask that you please limit to one question. We have our first question from the line of Tyler Radke with Citi. Please go ahead. Hey, thanks for taking the question. Maybe a question for Mark or Paula. There was a lot of discussion around some of your large customer expansions this quarter. It sounded like the ELA program, you know, is off to a good start. I'm curious how much is the Trifacta acquisition and just kinda this, you know, new vision on cloud helping drive those expansions and those conversations? You know, what are you messaging the customers in terms of timeline for the, you know, eventual conversion onto the Trifacta back end? Also what are you saying just in terms of, you know, moving to a usage-based model over time? Thanks. Hey, Tyler. Thanks a lot for the question. Yeah, I think you nailed it in your quick recap that you just published. You know, I think it's, we're really seeing the benefit of the go-to-market improvements that Paula has made in the last, really in the last year. You know, really showing execution across the board, elevating the discussions with customers, senior executives, and just driving bigger deals with, you know, much stronger enterprise traction. I think the enhanced portfolio gives us more to talk about, but I would say that the, you know, the business with Trifacta is still, you know, very much rounding error at this point. We've been really clear with our customers, and we'll continue to do so at our upcoming Inspire conference by giving, you know, kind of a pretty granular roadmap for how we're gonna deliver, you know, cloud down the road. Yeah, Tyler, I would just add to that we definitely anticipated that the ELAs were gonna be well received in the market because you know, the customer feedback was they were looking for ease of expansion, predictable pricing, a way to sort of manage bringing more users into the Alteryx platform. The ELA does that very nicely, and we're really excited with the results that we've seen. We shared a couple of those in the prepared remarks, about over a third of the customers are already bursting into extra capacity and expansion of users with us as an outcome of this ELA vehicle. Now as we look forward, we'll be having the Trifacta solution as well as the entire analytics cloud platform available to our customers in an ELA capacity as well. It will just layer on really nicely to this ELA construct that's being really well received by our customers and driving ease of expansion. Great. Thanks so much. Thanks, Tyler. Thank you. We have next question from the line of Brent Bracelin with Piper Sandler. Please go ahead. Hi, all. This is Hannah Rudoff on for Brent today. Thanks for taking my questions. Just a few for you, Paula. You've been at Alteryx for just about a year now, and as you reflect back, I was wondering what your biggest learning has been and what your key priorities are for the remainder of the year. Alongside that, I guess, how is the sales integration going post the Trifacta integration or acquisition, and what is left to be done there? Thanks. Thanks, Hannah. Great question. So yeah, I'm coming up on one year here on the 17th, and I'm even more bullish than I was on day one, because of the opportunity that our customers see with Alteryx. I mean, clearly the biggest learning is that the opportunity to democratize analytics across the enterprise is the answer for enterprises today that wanna become data-driven and are looking to, you know, build differentiation in their markets and leverage their data to do that. As powerful as the last couple of decades have been of building out data science teams, and so forth, everyone's realizing that that capability is in short demand and that the only answer is to democratize analytics across the enterprise from knowledge workers to business analysts to data engineers and business owners alike. We're really convinced that our Alteryx analytics platform and cloud platforms are the path to democratizing analytics. Then we've married that up with investments in customer success and partnerships to help our customers with being able to to roll this out and deliver business outcomes across virtually every function in the enterprise. As we look forward, we're really engaged in a lot of cloud conversations with customers right now. They are definitely wanting to understand as they continue their expansion with Alteryx, where the cloud platform plays into that, and as they plan out their journeys to the cloud, they're looking for a business partner like Alteryx to help them navigate through that. I think that the future is bright for us with our customers, and we're just gonna continue investing in the Global 2000, in partnering with our customers around customer success to help them unlock the innovation that Suresh and team are building around our analytics cloud portfolio. Thanks, Hannah. Thank you. Thank you. We have next question from the line of Derrick Wood with Cowen and Company. Please go ahead. Oh, great. Thanks. Congrats on a strong quarter. Kevin, maybe I'll throw one at you. You know, you guys talked about this push to transition from three-year to one-year contracts and expect a decent kind of ASP uplift as you cycle through that. Can you talk about, you know, how big of a renewal year 2022 is, how effective you think you can be in kind of making this, you know, contract structure change? You know, given that it sounds like you've got a growing mix from the enterprise, which carries higher net revenue retention rates, how are you thinking about the direction of NRR through the year? Yeah, thanks, Derrick. Appreciate the questions. Starting with pricing and the proportion of renewals that we have in 2022, maybe relative to 2021. We certainly have a much larger population of renewals coming up this year, on a relative basis. Keep in mind that, you know, the largest population of renewals are in the second half of the year, which also provides us with a lot of visibility into how we think about H2 as well. That's kind of one. From a pricing perspective, you know, we took a pretty significant effort last year to really solidify pricing for one-year contracts and take away the heavy discounting on multi-year. We saw that play out pretty well for us through the back half of 2021. I would say that pricing has been pretty stable into the first quarter of 2022, and I would expect to continue to see stability in pricing as we go forward in the year. We still have customers that are electing three-year contracts and we're happy to have that conversation with them as they continue their deployment. I think that as we think about contract duration, we obviously have seen it stabilize quite a bit here the last two or three quarters, and I'm hopeful that we'll see that going forward. Derrick, I'm missing one last part of your question. Yeah, it was just the direction of net revenue retention. Oh, yeah. Especially given that what seems to be kind of a rising mix from enterprise. Yeah. Thank you. That's exactly right. I think as you see us continue to focus on that customer segment, I mean, the Global 2000 as a customer segment is generating 128% net retention. As we continue to kind of roll out and invest in customer success, we think that that's also a driver of stronger net retention. You know, very pleased that we've seen 119% across the total customer base, you know, stable now for three consecutive quarters. I think if you look at, you know, what we've been able to achieve, you know, within the Global 2000, I think that gives you a sense for how this can trend over time. Well done. Thank you. Thanks. Thanks, Derrick. Thank you. We have next question from the line of Ittai Kidron with Oppenheimer. Please go ahead. Thanks. Hey, guys, nice quarter. Mark, I guess a couple for me that are tied together on the product side. Clearly you're getting much more traction with large customers. That's great. Maybe you could talk about the landing. Clearly in the past, it used to be people landed with a couple designers. In what way are you landing differently now with large customers? Maybe you can just not talk about just in the context of volume, but also from a product. Are you landing differently, with them with product? Then the second question on the portfolio. You know, going through your website right now, when you go through the product list, it's quite long and extensive and frankly confusing. I guess my question is, do you see an opportunity here perhaps over the next year to simplify, consolidate, bundle all of this a little bit better to make it a little bit easier for customers to land bigger, and not just kind of start picking and choosing multiple products and going through that, trying to figure out what's right and wrong, make it easier for them, putting it much more packaged better together? Yeah. Ittai, thanks a lot for the question. For sure there's more focus on landing with large enterprises. Oftentimes if we do a good job articulating our proposition of value, we'll land with a larger deal. I think in the past we've had different tools that allowed the sales teams to, you know, to sell to users. I think, by broadening our focus to include executives and lines of business owners. Then, you know, kind of coaching and developing the team to think big. These digital transformation projects, they're not departmental, they're company-wide, and they require a different sort of sales motion and a different discipline that Paula has really brought home in spades for us. The tool that has been really successful for us, as Paula mentioned earlier, is our enterprise license agreement, which kind of removed the shackles from customers focusing on a hard ceiling of number of users that they can use and allows them to burst, you know, upwards of 50%. To kind of like flip the script and allow them to go faster because we're finding customers now, you know, really are buying into the notion of, you know, upskilling and upleveling their people to become, you know, more citizen data scientists. In terms of the product side, I take your informed point of view seriously. You're a smart guy, and I've always appreciated your point of view. We've definitely streamlined our product line over the last few years, and I think as we go forward, you'll see the platform that we're building in the cloud, will avail a whole host of applications that customers will be able to hit up. Suresh is right here beside me. He's building out that platform and driving the integration with Trifacta. Maybe he can give you a bit more color. Yeah, Ittai, thanks for that question. As we think about the product portfolio and announcing the Alteryx Analytics Cloud as the unified analytics platform where our customers can enjoy the benefits of Designer Cloud, Trifacta, Alteryx Machine Learning, and Auto Insights, and one kind of product experience was kind of critically important for us, and that's where we're aspiring to go with the delivery. Our customers will continue to enjoy the benefits of Designer and Server, as they think about running Alteryx on their desktop. You'll start to see us converge on those two models of deployment. Very good. Thank you. Good luck, guys. Thanks, Ittai. Thank you. We have next question from the line of Sanjit Singh with Morgan Stanley. Please go ahead. Yeah, thank you for taking the question, and congrats on a strong start to the year. I guess I'm gonna go ahead and ask the macro question because it's sort of been top of mind all throughout earnings season. Just from your perspective, I guess we could sort of look at it two ways. One, sort of coming out of COVID and budgets getting in a better place for analytics more broadly. Two, sort of the concerns around potential in Europe and potential recession in North America. When you talk to your sort of large enterprise customers, what are they telling you about spending on Alteryx and their digital transformation budgets more broadly and how that's sort of embedded into your framework for guidance for this year? Yeah. Thanks, Sanjit. You know, certainly we're, you know, painfully aware of what's going on in the macro environment. I do think though, however, whether it's number one or number two, we constantly hear from executives that, you know, functionally and digitally transforming everything about your business is a priority. It's really starting to, you know, drive that priority through into budget cycles and allow, you know, solutions like Alteryx and services like our partners can deliver around Alteryx to, you know, to make it above the red line on that CFO spreadsheet that gets prioritized and spent every quarter. You know, I think the upleveling of the team that Paula has continued to do and the solid training that we've got gives us access to the right kind of people that are making those decisions. I think, you know, governments and enterprises need to upskill people to do a better job of running a business or running a government. That makes perfect sense. Thank you so much, Mark, for the thoughts there. When we think about sort of, you know, the nature of investment, I think last year the team was really focused on getting the right people in the right roles, Paula, working on like pricing and packaging and go- to market. How does this sort of investment focus change in 2022 versus 2021? If you could sort of lay out the areas of investment to drive the continued growth in the business. Yeah. Thanks for the question. You know, as we talked about last quarter going into the year, the areas of investment can continue to be, you know, within the go to market, in particular, building out the global organization, the global teams. I would like to call out that, you know, we've continued to invest prudently, if you will, in customer success as we continue to, you know, put resources around our largest customers to ensure that, you know, they are getting value and continuing to identify, you know, areas to expand. With the acquisition of Trifacta and, you know, the cloud efforts, we're continuing to put, you know, investment into product engineering, and that's a key area of focus. We're, you know, obviously, as you saw from the performance of Q1, you know, we were able to beat handsomely on the bottom line, and that's, you know, that's important to us as we think about the year going forward. Great. Congrats on Q1, guys. Hey, thanks a lot. Thank you. Appreciate it, Sanjit. Thank you. We have next question from the line of Mike Cikos with Needham & Company. Please go ahead. Hey, guys. Thanks for taking the questions here. I did have a couple on the guide for Kevin, but I just wanted to get a better understanding of how you guys are looking at the guidance for the remainder of the year. Really, there's two pieces to that. First, on the ARR. You guys beat your guide at the midpoint by about $7 million and raised full year by $7 million at the midpoint. Just curious, what you're seeing in the year like why not raise above that beat? The second question, again, coming to the guide, but on the operating profit. I know we spoke to the fact that you guys beat handsomely on the bottom line. You beat your midpoint in Q1 by almost $19 million. When we think about full year guide, the midpoint's moving up just $10 million. What are some of the puts and takes when we're thinking about that ARR guide, and how it's changed now as we think about the remainder of calendar 2022? Yeah. Thanks, Mike. I'll give some commentary, and if anybody else has, they're happy to jump in. You know, as I mentioned in one of the prior questions, you know, we do have the benefit of, you know, pretty good visibility into the back half, both in terms of new bookings as well as in the renewals and just the size and nature of that renewal base. We executed well in Q1, right? We're going into Q2 with a lot of, you know, momentum. The team is executing well. You know, Mark mentioned we have, you know, strong visibility into the pipe. You know, we are feeling confident. Now, having said that, we did apply some prudent elements of, e xcuse me, we did incorporate some elements of prudence, if you will, into the guide to take into consideration what's going on in the macro backdrop. It's also, you know, just to be clear, we recognize the importance of putting out, you know, guidance that we have confidence in. On the bottom line, you know, as I mentioned, you know, we are carrying forward the revenue beat into the guide for the full year. There is opportunity for us, you know, to continue to be very disciplined in where we invest in the year to continue to drive growth. Thanks for that. Then I know we were talking about the operating profit as well. With the guidance you guys just laid out for Q2 and this upside we saw in Q1, can you help us think about the cadence of OpEx or gross margins as we're looking to the second half of the year now? Just because I think that the Q2 operating profit was lower than maybe what we had been expecting, and I'm trying to get a sense. I know that you have a couple of things in Q2 like the DISH. I guess the user conference is coming up in May. Just wanna make sure I'm thinking about that properly as well. Yeah. No. That's exactly right. We typically have some seasonally higher expenses in Q2. Certainly you called out the costs associated with our Inspire conference. We also have incremental costs that we've incurred for return to office. You know Q2 is seasonally higher. We do expect the back half of the year to settle into more normalized range. As you're thinking about you know operating expenses, I would put those layers on. Thanks a lot, Mark. Thank you. Thank you. Thank you. We have next question from the line of Kamil Mielczarek with William Blair. Please go ahead. Hey. Thanks for taking my question, and congrats on a strong quarter. Your sales and marketing headcount was up, I think, 30% at the end of last year, and it sounds like that hiring strength continued into 2022. Can you update us on how the new reps have ramped relative to your initial expectations, how the areas of investment focus may have changed over the past year, and how should we think about the sustainable rate of sales headcount growth going forward? Yeah. Maybe I'll start off, Kamil, and thanks for the congrats, and then hand it over to Paula, our President and CRO. You know, listen, I think we put together a really strong foundation to drive execution to large enterprises, large governments around the world, and really start to see the benefits from the sort of tailwinds of digital transformation that's impacting all. I couldn't be prouder of the job that Paula has done to, you know, not only help prop up the team that we have here and continue to make them the best and brightest, but to attract, you know, many more that are coming from outside of Alteryx. Thanks, Mark, and thanks, Kamil, for the question. We have definitely been really focused on hiring. I think we've talked about it the last couple of quarters, how we've put an operating cadence in place, much like our forecasting cadence around hiring, where we are really focused on this. We have been really pleased with record hiring. I think if you look over the last couple of quarters, we've definitely set our highest levels of hiring in sales and marketing. We have seen consistent productivity that is aligned with our expectations of those individuals as they come on board. As we continue to infuse them with the enablement that we've built over the last year, you know, we're bullish on the impact that increased capacity can deliver as we go into second half. Yeah. It really shows up in the numbers as it usually does. You know, I think we talked about the record number of million-dollar ACV wins in Q1. We saw us getting, you know, close to 50% of the G2K are now Alteryx customers. You know, just over the past 12 months, we added roughly the same number of million-dollar ARR customers that we did in the last two years. Yeah. It's incredible to see that. That's helpful. Just as a quick follow-up, has the ramp of the cloud portfolio led to any changes in the competitive environment? Are you seeing anyone new on head-to-head deals, and how is that cloud product impacting win rates? Yeah. The cloud platform has been a really exciting opportunity for us with our customers. It expanded the audiences that we can speak to. You know, it in particular has opened up our conversations with IT, with the CIOs as we're talking about expansion across the enterprise, and they're wanting to understand how to do that easily, you know, how to operate in their cloud environment, how to deliver the different analytic capabilities to the different types of persona across the enterprise. We're having the conversation with all our customers. I think, you know, the reception's been really positive in terms of seeing Alteryx as the partner for them as they, you know, navigate their journey to the cloud. Thanks, Paula. Good to be here. Thanks again, Paula. Thanks, Kamil. Thank you. We have next question from the line of Joel Fishbein with Truist. Please go ahead. Hi, all. Congratulations on a great quarter. I have one for Mark and Paula, and then just a quick follow-up for Kevin. Just Mark, Paula, can you give us an update on the Snowflake partnership and how that may be helping to drive some deals? Kevin, just curious if you believe like you're in a good position now to potentially give us a longer-term guide at Analyst Day, that's coming up in a couple weeks. Hey, Joel. Thanks for that. Listen, the Snowflake partnership I think is going really well. We're really proud of, you know, the work that the technical teams under Suresh has done, to build really meaningful integration, not just from our perspective or Snowflake's perspective, but more importantly from customers' perspectives. It's really driving, you know, field level engagement, you know, teams getting together at Starbucks, you know, talking about strategies to jointly prosecute an opportunity. You know, when both sides of the equation here, both Alteryx and Snowflake, are getting value, you know, it's always great for customers. I don't know if you wanna add anything to that, Paula. Yeah, it's. I think you're spot on. It's been by far one of our strongest partnerships, and we're only getting started with them. You know, they obviously are really focused on consumption, and the feedback that they've provided is that they're seeing Alteryx really drive consumption because of the push down capability that we have. As more and more customers are building out cloud data warehouses and wanna harness the power of all that data sitting in the warehouse, they're turning to Alteryx for that analytic capability. Really pleased with the partnership with Snowflake. Just getting started there, and you know, anticipate continued growth in our joint customers. Just quickly on your question with respect to the long-term model, we do intend to have a conversation as part of the Analyst Day at Inspire in a couple of weeks on a long-term model as well. Thank you so much. Thanks a lot, Joel. Thank you. Thank you. Thank you. We have next question from the line of Pinjalim Bora with JP Morgan. Please go ahead. Oh, great. Hey, guys. Congrats on the quarter. Thanks for taking my questions. Can you go one click deeper on the macro question? Maybe touch upon the demand environment in the various theaters that you're seeing, especially in Europe. Are you seeing any kind of change in tone in the customer conversations? Any kind of higher level of scrutiny sign-offs required? Any color would be helpful. Secondly, Kevin, is it possible to parse out the ARR in terms of the inorganic contribution from Trifacta and Hyper Anna? Is there any change in your assumption for the year? Well, thanks for the question, and congrats, Pinjalim. Great to hear from you. You know, on the macro side of things, listen, I think what we saw in Q4 and really in Q3 last year was the Americas team really kind of achieved escape velocity. In my experience, having gone through this a few times before, you know, usually Asia Pac, Japan and EMEA are, you know, anywhere from nine to 18 months behind that in terms of experiencing the same kind of execution escape velocity. You know, Paula's hired two really good senior leaders to run Asia Pac, Japan and EMEA. Like I said in my prepared comments, you know, good talent always begets and has good talent follow it. We've seen really good demand coming from, you know, all areas of the globe. That's one of the great things about what we do, is it matters to every single vertical, you know, government, every vertical in the enterprise spectrum. Companies need to run, you know, more efficiently and better, and human beings wanna upskill themselves to be more strategic to their businesses. Yeah, Pinjalim, I would agree with that. You know, very similar conversations happening globally right now. Nothing, you know, particularly unique to EMEA and APJ. We're just really excited about the strength of the leadership across our three important geographic theaters and, you know, seeing the democratization of analytics conversation ringing true across industries and across geographies. Yeah. Thanks, Pinjalim. Just quickly about your question. There haven't been any changes to the assumptions that we laid out, going into the year. We do expect Trifacta to contribute about $20 million in ARR this year. We're not planning to break it out just given the small size, but there are no changes in assumptions. Got it. Thank you. Thanks. Thanks, Pinjalim. Thank you. We have next question from the line of Chase Donovan with Raymond James. Please go ahead. Thanks for taking the question. I know in 2021, there was a big focus on the channel program, and you guys made several key announcements, adding key channel partners. I'm curious to hear how you are seeing those channel partnerships ramp here in 2022. How do you think about adding new partners, particularly to support your new product capability? Thanks. Yeah, Chase, thanks for the question. I'll start off and then pass it over to Paula. Yeah, listen, I think this is a massive market. It's a $65 billion total addressable market according to IDC, and they see it growing to $110 billion by 2025. So we can't prosecute this by ourselves. No one company is gonna be able to do that. We've got to do it with all different kinds of partnerships, both distribution, as well as, technology and OEM partnerships. You know, last year we hired a great person to sort of build out the muscle and build out the organization to leverage these partnerships. Consistently, since Paula's been here, she's been training our teams on how to work better and smarter with partners. Like we mentioned Snowflake earlier, but there's a lot more technology and distribution partners behind that. Paula, maybe some more color. Yeah. Chase, I mean, this is a huge pillar of our growth strategy. As you mentioned, we relaunched our partner program to be very intentional about the benefits that our partners can enjoy when building their businesses with us, and uniquely identifying the needs of a GSI versus an ISV versus a solution provider. We have, you know, clearly top partners in all of those categories, and we're continuing to recruit more. Overall, we think the attach rate of partners to our business will grow as a percentage of our business as we grow, and we're starting to see early indicators of that just since the launch of the program. I think you'll, you know, continue to see this as being a really significant pillar of the growth strategy as we go forward. We'll talk a lot about that at Inspire as well. Again, another plug there for those of you that can join us to understand how the partnerships play out in the market in support of our customers. Perfect. Thanks. Looking forward to joining you guys in Denver. Thanks, Chase. Thanks a lot, Chase. Thank you. We have next question from the line of Koji Ikeda with Bank of America. Please go ahead. Hey, Mark, Paula, and Kevin. Thanks for taking the questions. Just one from me, you know, really on the, on your commentary with the increased traction with the larger customers. You know, just wanted to kind of dig in there a little bit. I mean, is that really, you know, that increased traction being driven by adoption of the legacy Designer and Server products, or is there any sort of, you know, adoption of Designer Cloud or maybe even Trifacta that's driving that increased traction with the larger customers? You know, I guess from a bigger perspective, thinking about that increased traction, I mean, what's going on in the end market right now with the upmarket traction? You know, maybe something that's a little bit different in 2022 versus the years past. Yeah. Koji Ikeda, thank you for the question. The answer is all of the above. The expansion and the growth that we see with our customers, you know, does look like more designers. It does look like introduction of servers into the environment to drive broader automation and scheduling and sharing of workflows. It looks like the, you know, the cloud products and the adoption of cloud products into the environment. It's all of the above. I mean, I'll give you an example. We made reference, you know, earlier in our prepared remarks about a large financial institution in the U.S. who doubled their demand with us. That is, you know, driven both by Designer Server expansion as well as their interest in Trifacta, in their, you know, cloud data warehouse environment, their interest in conversations around Auto Insights because they wanna help their executive team better understand what's happening in the business. It's all of the above. That's the beauty of our vision of a unified end-to-end platform. These ELA constructs that we have is customers can go all in with us and be able to expand through a variety of different products. Yeah. I'll just add on top of that, Koji. You know, I think we're broadcasting to a much broader set of personas now, and we're marketing to lines of business up and down their organizations. I think we're driving more relevance to this, in this market. I think there is massive vendor fatigue with over 400 companies all kind of sounding like they do about the same thing. But nobody does what we do, and that's, we take the hardest part of the journey, the early part of the journey of getting going, and allowing customers to access, you know, more than 100 data sources and use more than 100 plus tools with relatively little training. I think we're really trying to drive that relevance, and we've got a very strong vision because our customers are on a journey to the cloud. The customers that we're focused on aren't gonna put all their eggs in one basket, and they wanna have a vision that makes sense. I think democratizing analytics is really doing that for them. Thanks, guys. Thank you so much. Thanks, Koji. Thank you. We take the last question from the lineup. Patrick Walravens with JMP Securities, please go ahead. Thank you so much. It's Jeremy taking over for Pat. Appreciate the question. How are you thinking about M&A at this point? I saw you made some, you know, recent hires on the corporate development side. So just curious to get your thoughts there. Thank you so much, and congrats. Yeah. I'm sorry. I missed you. Is it Jeremy? Joey. Thank you. Oh, okay. Sorry about that. Well, thanks for the question. Yeah. Listen, we did the biggest acquisition in the history of the company last quarter, and we're working really hard right now to knit together our innovations on Alteryx with an amazing team from Trifacta. You know, we have built out a corporate development organization. We really didn't have one before, and just hired a new leader in the last quarter or so, and she's really off to a great start. You know, we've got Alteryx Ventures, who are always looking at you know, early stage innovators and companies, you know, really give us a front row seat to you know, the people and the tech that we think are gonna matter in the future. In terms of, you know, future M&A, we're just gonna, you know, kinda take our time and continue to look for opportunities that we think make sense for our customers, make sense for the team, and make sense to our shareholders. You know, just given the macro situation these days, we wanna be, you know, prudent, as Kevin would say. Super helpful. Thank you so much. Thank you. Ladies and gentlemen, we have reached the end of the question and answer session, and I'd like to turn the call back to Mark Anderson, CEO, for closing remarks. Over to you, sir. Thank you so much, operator. I'd like to say thank you again to our customers, our partners, shareholders, and our team here at Alteryx. It was a great start to FY 2022. We are super excited about the opportunity that's ahead of us. We've got a great team in place, the vision is crystal clear, and we're executing better than ever. I'd really like to encourage you to come and join us at our Inspire event in Denver. We're gonna have a special investor conference. I'd love to have you walk around the halls and talk to our people, talk to our customers, and just see how happy they are with our vision and our execution. It's gonna be a great event, and really hope to see you there. Thanks again. Thank you very much. Ladies and gentlemen, this concludes today's conference. You may disconnect your lines at this time. Thank you for your participation.