All right. Well, good afternoon. I'm Rob Owens with Piper. I manage our security and infrastructure software practice. Our next company is Jamf. With me from the company to my immediate right. I said left this morning, so really embarrassed. Nobody over there? Looking in a mirror is John Strosahl, who is the CEO, and Ian Goodkind, the CFO, is with us as well to John's right. So welcome. Thank you, thanks for attending. Thank you. Thank you. So John, you've been in the CEO seat for officially a week and a half now, or? Yeah, a week. Okay, excellent. It's all figured out. A week and a couple of days. But you're not new to Jamf whatsoever. Having been with the company eight years now or so. So share with us your vision for Jamf, and what are your top priorities near term? Yeah. Well, thanks, Rob. You know, I've been with the company, like you said, for eight years, and the previous CEO and I worked in partnership during those eight years. He was actually with the company five months longer than I have—I was. And so the security or the strategy that we have, you know, in place now is something that we co-developed, and not just myself and Dean, but also the rest of the executive team, and so our fingerprints are all over that murder weapon. We've got a good strategy. There continues to be demand there. You know, we've recently pivoted into security or added security onto the management piece, which, you know, has really resonated with our customers. And we didn't do that by happenstance. You know, we actually—our customers asked us to be able to help them with security so that they could have those devices, those Apple devices they have in their environment, they could trust those devices to access the corporate resources. And so that, we've really leaned into that, and it's taken off really well. So we'll continue down that path. And there's many facets of security and management too, but certainly on the security side that we haven't yet addressed, but our customers are working with us on that, and we'll continue to expand there. Obviously, the macro has been challenging, so just maybe talk about what you've seen over the last year plus- heading into this. We'll get to the optimism around PC shipments later because I think it's gonna be really interesting for Jamf as we come out. Yeah. You know, maybe as you've refined, as many companies have and optimized, what are some of the go-to-market changes that you've made, some of the structural changes, that when we see the other side of this thing, you feel better positions Jamf for success? Sure. You know, we did see a lot of. So we have a land and expand strategy, and it's worked very well for us. When now we've had these recent economic headwinds, it's been a little bit more difficult for device expansion because companies haven't been hiring. And but during that time, fortunately, we had leaned into security just prior to that. And, you know, security budgets haven't really been cut that much, if at all. We were at a security dinner last night, and one of the speakers said, "You know, my security budget as the CISO is not something that my boss wants me to cut by 5% to introduce risk into the company." And so though that's been really, really good for us. Because we focus on that Apple ecosystem, we've seen demand there from our customer base. We've had to shift a bit to a different economic buyer, and when it gets to the mid-tier and above, now we're talking to an InfoSec or a CISO organization, where before, we would have talked to the IT department. But they've given us warm handovers and support us and as good references. So we've really taken our go-to-market team and focused them on learning how to fish. So we brought in experts, overlay teams, things that help our territory managers learn how to sell security in addition to the device management piece of it, and that's really kept us in our growth. I mean, last quarter, we announced 40% of our business was security, and now it's, it's over 20% of our total business and growing at 37% year-over-year. So we've seen the benefit of that security lean in during these economic headwinds, and, and as you mentioned, when, when the market comes back, and it will, depending on which research you look at, that's, that's where we really believe that we can have the security that we learned how to sell during this time and the device expansion when the device management comes back. Sure. And so let's lean into security in the products for a bit. So you've got an EDR solution. Let's talk about EDR in the Apple world and why that's important, because we have enough EDR companies to, you know, to shake a stick at relative to everyone who's been acquired in the large independent ones, including Microsoft. So why is being Apple native important to the market? You know, there's just Apple. The operating system works differently than the Windows environment, and there are two companies on the planet that are ecosystem-specific at scale, and Microsoft does that on the Windows side, and Jamf does that on the Apple side. And there are certain things that work on the security products, on the device particularly, where if it's not written for the Apple environment, you can have per, you know, device performance degradation, you could have false positives. A security product will think, "Oh, there's something going nefarious going on on the device," when actually, that's just how the Apple system works. And so you get false positives that create some churn. So we've seen customers come to us and say, "You know, we've got this, the security products that work across our environment, but we're seeing some issues on the Apple side," and they'll test us alongside of that for the Apple devices. And they've actually, many times have gone to us full-time and even sometimes kept the second, security product on it, but certainly running us on the Apple. A lot of times you do sit next to those next-generation players. We do. We certainly do. Then, maybe speak to the connectivity identity piece that you guys have and the integration layer there. Yeah. You wanna talk some, about some of that? Yeah. Let Ian talk a little. Yeah. Oh, sure. I have questions for you, don't worry. Oh, he's got questions for me, too. That's good. Awesome. So on the connection side, yeah, think of it as identity and network. We've tied those together from an Apple standpoint. And what we hear, you know, those other players that are cross-platform from a network perspective, that doesn't work as well with the Apple devices. So they're trying to connect, maybe it's not connecting quite the right way, and maybe it's saying, "Hey, there's a security issue," when there really isn't. So it's the same thing as the endpoint as John was just talking about, but you're seeing it on the network side. On the identity side, we actually play along, we play alongside a lot of the identity players, 'cause they don't wanna go all the way to the Apple side. They'll say, "Hey, can you fix what's between what Apple makes and what we need?" And so that's where we play on the connection or identity side, but on the network side, we truly replace others. Great. And then if we look at the SASE clean pipe portion of the business, I think it's tremendous opportunity as I look at the education markets, things like transportation, where we might have an iPad out in the field, kind of fixed back- into a network, and it feels very new and very large. So maybe you can speak to your opportunity there. Yeah, we're seeing- What you do, since I spoke in code for half the room. We have a lot of, not just, you know, on the desk, a laptop or even a mobile device, but the deskless. So we're seeing a lot of retail, for example. One of our largest customers that we signed, and we announced on the call this last time, where we had 85,000 iOS devices that moved over to us from an incumbent that was not Apple specific. They were more cross-platform. And that is really becoming a greater part. It's growing rapidly. So we have typically, tech and K through 12 have been our two largest verticals that we have spoken, or industries that we've spoken about. But what's coming very rapidly is wholesale, retail, as well as financial services and professional services. On the retail side of it, all these iPads you see in many of these, you know, major brand retail stores, that's running something that when that clerk is done with that device, they'll put it down. The next clerk will come for the next shift, pick that device up. It can then be specific to that person's not only credentials, but also the workflow that you're doing for that particular store. So that's becoming a much bigger part of our business. Great. Ian, as we look at coming out of this kind of software spending drought, we can call it, over the last couple of years, and I look at my model and have ARR growth basing and actually starting to trend up into next year. I'm not asking you to bless that. I'm asking you to say, what are the different variables and factors that could make me right? Yeah, a good question. So we talk about headwinds and tailwinds. The headwinds is in the macroeconomics. So tailwinds, there's a couple of things there. Think about first, the Mac. There was an article, I think it was two weeks ago by IDC, that talked about Mac in the enterprise there, anticipating it'll grow 20% more in 2024 versus 2023. That bodes well. I mean, you go to who's the leader in Mac management, our name comes up. iOS, we got into that with our Wandera acquisition. There's a ton of iOS devices out there. We're getting better and better at selling the mobile. We have the security side there. That bodes well. John talked about the fact we've been building the muscle around security. We saw it was 40% of our net new ARR this quarter. We will continue that trend as well. On the education side there, we know there's some budgets left there. There's some money left on the table until October 2024. And then we have Jamf Safe Internet, which is our real new flagship product from a security posture on the education side. And we know we're gonna be doing some work around that here yet this fall/winter to get that into a place where we think that'll bode well for us in 2024 as well. So that would support your model. That's great. And then you had a price increase. As well recently. So talk about how that's either impacted the model from a net new ARR standpoint, or how should we think about how that flows through upon renewal? Yeah. So on that one, just to level set, we did a 10% increase on Jamf Pro and the commercial side of our business. So that's not our entire business, it's just one portion of our business. We did that. We announced it for January first of this year, 2023. Our contracts on average are about 21 months, so it's not all gonna come in in one year, right? Because you have this trend where it's over a period of time. That first quarter, well, what we saw in the fourth quarter when we announced it, a couple of customers came in and said, "Hey, I wanna actually renew right now, get in before that price hike, hike." Some in the first quarter were like: "Hey, you just announced this. Give us a break." So cool. We didn't see that much, but we'll see more of that this year. We haven't seen real impact on churn. We haven't seen an increase in that over this year, and customers are understanding that. We've added quite a bit of functionality around patch management, app management, that supports that, and we haven't done an increase in a really long time. So we'll see that have a lower single digits impact this year-a nd then it'll increase over next year. If we think about the Mac refresh cycle and the growth that's expected next year, talk about why or how that influences the model. Is it, does a Mac replacement force any type of action, or is it kind of net new growth in the enterprise of Apple gaining share that you're most excited about? Yeah, I'll jump on this one. So what you see out there is more choice programs. And a choice program means in the industry, like, hey, choosing between a PC and an Apple device, right? You know, that doesn't happen in this room, right? Never. Well, you'd be surprised, actually. Some of our. Starting to a little bit. Starting to a little bit, which is. Not as much as we would hope. The funny thing is, when you talk to all the guys in the room, they'll say: "Yeah, that's my bag and my personal Mac is right there. Oh, here's my iPhone and my iPad that I'm taking all my notes on," right? It is actually quite interesting. But those choice programs are important, right? As you know, as IT organizations are realizing there's an ability to secure and manage these devices, they're offering up more choice programs in industries like financial services, professional services. Those are industries we're seeing a lot of uptick, and that's what is important when you come to a refresh cycle. All of a sudden, they're saying: "Hey, okay, how many more employees want an Apple device?" And that's where you'll see expansion on the device side. When we look at you from the lens of a systems management company, I don't like to use MDM, because I think you're so much more than that. But MDM space has never really been standalone. It's been a consolidation space, the consolidated use. So what makes your story unique, and why should this be a standalone company over the long run? You know, really, what we've found out, again, at the behest of our customers, is adding the security piece to that, having the management and security together, they go hand in hand. They're two sides of the same coin. You can't have a secure device with it also not being managed, because you can sense a vulnerability, but you can't do anything about it. Do you stop access to that device? Can you, you know, update the application that may have the vulnerability in the, in the last version? Those are all things you do with a management application. So the two of those together are really the and, and there's, again, no one else does that at scale besides us and Microsoft, but for two different ecosystems. There are smaller players out there that are Apple-specific, but they don't have the security piece in it, and they certainly aren't at the scale that we've had. There are UEM vendors out there, where they've diluted the customer experience to the lowest common denominator. You know, we've seen that in MobileIron. We've seen that in VMware, and that hasn't been a path that we've decided to take, and we're thankful for that. How much opportunity either do you see or have you seen, given VMware yet getting consolidated up again with the AirWatch technology? Yeah. You know, we innovate at the pace of Apple, and that's not a, you know, super easy task, right? We have to work with them, and when they come out with a new operating system, we are available zero- day. The same day they come out with it, our application works. That's not the same with others. So that takes a lot of heavy lifting. But it's something that really differentiates us from those competitors, and we've just... You know, when we talk about the replacement market, the largest deal that we had in Q2 that we spoke about on the call was a replacement from that particular competitor. And the inbound questions, not just from this customer, but others, are, "Hey, you know, we know that Apple's doing Declarative Device Management. We don't believe that the investment is gonna be made on that other side to do that, so we're kind of dead in the water. We need to come to somebody who's gonna continue to innovate at the pace of Apple," and that's where we've gotten a lot of inbound. They've stated publicly that that sale will happen at the end of their fiscal year, which is the end of next month, and we've already seen the inbounds from that. Obviously, we're targeting that outbound, and we expect that to increase, especially as those devices come off subscription. Great. Ian, maybe speak to the recent quarter, and you highlighted it being the strongest commercial bookings quarter that you've had, but guidance did come down. Mm-hmm. So puts and takes from any other verticals, what you're seeing in education, what you're seeing in healthcare right now, and how we think about those markets, as we move forward. Yeah, good question. So took me a while to strip this one out and really think about it, but there are, as you said, puts and takes, headwinds, tailwinds, however you wanna put it. Some of the things we ran into that were surprises to the negative side. Education wasn't as strong as we thought. That was a little bit more bumpy than we thought. They held onto their money a little bit longer. They're still making decisions. They're still digesting all the devices they had. And then I'd call it the less strategic revenues, which was the bigger down take of the revenue guidance. And I use less strategic revenue sources for a reason. It's really relates to our on-premise, which we don't wanna grow, it's our license, which we're not planning to grow, and it's our services. Again, not one that we're actively growing. We wanna grow our SaaS business in commercial. That was why we tied in the positive, is if you think about it, when I say our strongest commercial bookings quarter ever in the second quarter, historically, that has not been our biggest quarter. Traditionally, that's an education quarter. So when you see commercial coming back in that quarter, that is an indicator that things may are starting to stabilize maybe a little bit. Mm-hmm. And so that's what got us as excited about things. But again, the guidance came down because it was less strategic and the education piece. Maybe I'll ask the obligatory AI question relative to JNUC next week. Yeah. And when I see you guys in Austin, Texas. Yeah. What should we expect? Well, we've actually been employing AI for quite a long time in our Threat Labs, and so we can identify things that are coming in, again, specific to the Apple ecosystems, what's going on. So we've had that. Part of that was acquired technology, some of it's what we've developed. You know, we've got such a fantastic—I mean, AI is only as good as the data set from which it can learn. And if you think about Jamf Nation, 100,000 members, the most Apple IT experts and certified admins around the world, and we've got 20 years or 15 years of that data input. That now that we're on the security side as well, and we're getting all this data from the security piece of it, that... Those are two massive data sets as it relates to Apple that we can learn from and point our AI engines towards. So those are things that we're looking at. You know, we do, you know, efficiencies internally for low-level code and things like that. Many, many companies do that. And lastly is not just the detection of what's going on, but the actual automated remediation of issues that you find, a vulnerability. "Okay, if this happens, then go do this, this, this, and that, and then just say it." You can say it into the instead of writing a smart group and a script and all those types of things, you can say it, and it'll actually go, and then it can do that itself. So those are the things that we're working on, you know, to really get better at that. Any questions at this point? Yeah. Yeah, can you just kind of touch on the education side a little more? You kind of talked there's a little bit of weakness there, but also some tailwind coming out from the spend that you alluded to earlier... Can you help us think about just how we should think about that side of the business going forward? Is it just naturally gonna be lumpy in the future, or do we see that kind of start to stabilize out? Yeah, I think we'll start to see that stabilize out. I think this year was unique. They're still digesting. I mean, you had COVID, right? That accelerated things. You definitely had some buying, and they're still digesting that. But there's definitely money out there. I think what's really gonna bode well for us next year is the fact we have Jamf Safe Internet. And there's some of the early customer feedback is localization of data, so making sure that data's housed in the right place, and we're working on that right now. I think, you know, a couple of customers have said, "You get that in place, next year is gonna be a good year for you." And so I think that will help us build and really start to get on those customers. We've always said about two-thirds of our devices are in education, so imagine, you know, doubling your basically ARR in that for over time, with those devices. So we think that's something that'll help us. And then there's always outside the U.S., there's also the, you know, there's still programs where, like in Taiwan, we got to 6-to-1 on children, right? Yeah, and we're—I mean, we're also lapping Q2 of last year- which was with the quarter that we did, the Taiwan Ministry of Education. So that was, that was, that was a hard, you know, compare for one. But two, you know, that, what Ian said, you know, we've, we've seen a lot of those things happen during COVID, or got accelerated during COVID, which is 2020. And typically, we see refresh cycles happen every four years on average. Could be three, could be five, but, you know, 2024 is what, you know, what we're seeing and the, and the data that we're looking at is a refresh cycle for, for education, too. So how do we think about 2024 with education? We expect to see some refresh cycles there. As Ian mentioned, the Safe Internet piece, as we continue to localize that, and that gets more traction. What were the other ones? I was actually gonna add to yours on the refresh cycle. That's again, we've seen some articles recently about Google Chromebook and the fact that they don't last as long as, you know, they bought a bunch. And we're definitely hearing educators talk about the fact, "Hey, I need to move away from the Chromebook," in a way or and to the Apple devices, the iPad. Yeah. So, that, you know, similar to what we were talking about education earlier, not only a refresh cycle, but with their choice programs in education, moving more to Apple products. Following on Jamf Safe Internet and Jamf Protect, both support Windows. Mm-hmm. Separation of church and state being. Yeah Jamf. Yeah. Well, the further you get from the device, the easier it is to protect cross-platform. And, you know, we, like in our education, for example, we believe that, you know, if there's a website that a child with an iPad shouldn't see, it's probably shouldn't see on a Chromebook or Windows either. Yeah. So we can do that at the network level, because it's less device specific, but the closer you get to the device, the more Apple-specific it becomes, and that's where our products really excel, Apple specifically. Okay. Any more questions? I can ask an obligatory margin question for you. Feel free. Yeah, 'cause I think you have less FTEs, but we've seen sales and marketing increase despite some of the slowing top-line dynamics with ARR. So just puts and takes around that. Yeah, I. How we should think about sales capacity as we potentially head into what I am modeling is an acceleration at some point next year. I like your model, by the way. Yeah, you know what? It is deceiving if you just look at quarters. I mean, we always do annual merit increases at the end of quarter one, so you're gonna see that in quarter two and quarter three. That's gonna pop your number a little bit. We also have our Jamf Nations in quarter two, and in quarter three, we actually have JNUC, which is next week, which is our annual user conference here in the U.S. So So you see a little bit of a bubble there. I think what you'll see it, you know, level out a little bit in Q4, but we're. You know, you can't just bring on a QBR tomorrow and expect them to sell efficiently tomorrow. There's a ramp-up period, six to nine months, and we want them in here for 2024, right? We've already spent to get to that point, so when we enter it, we're not gonna miss when it comes, when the economy comes back. And that's where we've been balancing the saying, "Hey, those roles that aren't producing the sales, if there's a backfill need, let's talk about it and see if there's a way we can reallocate that." And so that's how we've been able to take down our headcount from the peak of about 100 FTEs, yet achieve where we wanna be from a QBR perspective. We have some things on the system front, too, that'll help us on the go-to-market efficiencies. We're implementing technology, whereas, you know, allows us for the partner portal, for example. We don't today, we have to have a channel salesperson deal with that partner to generate a quote and, and put in their purchase order and all that. But as we roll out this technology that we have internally, the resellers can come and do that themselves, you know? So we're leveraging the third-party channel much more. We bought dataJAR recently, and that was tech and talent, so that we could enable our MSPs, who've been asking for this technology, to let them look across instances from one specific dashboard. They're very excited about that. That's gonna help us lean into the third-party channel. Lastly, would be in-product purchasing, and that's something we're looking at as well, so that a salesperson doesn't have to be involved in every sale. A customer can say, "Oh, you know, I need X amount of more seats." I can do that from within the product. Or, "You know, I want to trial. I'm in Jamf Pro today. I want to trial Jamf Protect," and I can do that from within the product. Those are all things that we're working on to get those efficiencies of scale and scope on the go-to-market side. All right, and realizing we have just over a minute left, it's your freestyling question here, 'cause we've seen a recovery across the tech markets, yet Jamf remains one of the cheaper tech stocks out there. What do you think we don't get? What do you think Wall Street doesn't get, the buy side doesn't get? Where's the biggest either misconception from your perspective or just not giving credit? You wanna go over the one? I think... Well, there's probably a couple in there. You know, one of them is, well, you know, Apple, you're Apple only, you know? Doesn't Apple come and do this? Don't they buy it, or isn't there a big enough market for you to expand? Well, Apple's expanding in, you know, in the install base. We know that. If you look at the data, it can be over from high 60s to low 70% of people will choose an Apple device over a PC if they're given the choice. So we know that that's expanding. And Apple's very s- very focused. I mean, Apple's gonna do what Apple's gonna do, but they're very focused on that consumer simple technology. And they've, you know, focusing on the enterprise takes attention away from the consumer and the individual, and that's where their clear focus, and that's why their devices are so great and they're so intuitive, because they've, they've put that focus there. And we've just filled that gap between what they've created for the consumer and what the organization needs in order to feel that that device can access those corporate resources. And so that, that's really something we wanna get across to the market, and we think that's just not understood as well yet. Great. Thank you both. Yeah, thank you. Thank you. Thank you.