I would now like to hand the call over to Scott Schmitz, investor relations. Please go ahead. Good morning, and thank you for joining us today to discuss SailPoint's fiscal second quarter 2027 financial results. Joining me today are SailPoint's Founder and CEO, Mark McClain, and our Chief Financial Officer, Brian Carolan. For the Q&A portion of today's call, we will also be joined by our President, Matt Mills. Please note that today's call will include forward-looking statements, and because these statements are based on the company's current intent, expectations, and projections, they are not guarantees of future performance, and a variety of factors could cause actual results to differ materially. This call will also include references to non-GAAP results, which exclude certain items that do not reflect our underlying business performance. Please reference this morning's press release and our supplemental earnings presentation posted on investor.sailpoint.com for further information regarding our forward-looking statements and non-GAAP financial measures, including reconciliations to the nearest comparable GAAP financial measures. Additionally, please note that the development, release, and timing of any features or functionalities described for our products that are currently not available remains at our sole discretion on a when and if available basis, and may not be delivered at all or should not be relied on in making, purchasing, or investing decisions. With that, I'd like to turn the call over to Mark. Thank you, Scott. Good morning, everyone, and thank you for joining us. Our strong second quarter highlights the compounding power of our identity security platform and new product innovations, with AI playing an increasingly larger role in our success. We finished the second quarter with ARR of $1.231 billion, up 25% year-over-year, exceeding the midpoint of our guidance by $11 million. SaaS was especially strong, growing 36% year-over-year, with SaaS net new ARR increasing 34% year-over-year. In Q2, early adopters of our new solutions moved quickly to secure access to our Agentic Suites ahead of the planned Q3 release. Combining this momentum with our existing solutions, our total AI-driven ARR has already crossed $70 million as of the end of Q2. This momentum gives us tremendous confidence in our FY 2029 year-end targets, which include at least $2.1 billion in ARR, while continuing on our path of delivering greater than 20% durable growth. Today, millions of non-human identities, from serviced accounts to autonomous AI agents, are exploding across the enterprise landscape. Yet we believe the vast majority remain completely ungoverned. In fact, in our research released last month, we found that 97% of AI agents now have access to sensitive enterprise data, while only 21% of organizations surveyed say they are highly confident in their ability to manage that risk. Competitors are treating these agents as isolated identities. We view identity as a human plus AI challenge that needs to be solved with a unified approach, and we are doing it at scale for many of the world's largest enterprises. You cannot safely secure an agent identity without deep, accountable human context. Conversely, you can no longer govern human access without knowing what agents those humans own and operate. For every agent, an organization must know its origin, what data it can touch, and which human is accountable when it goes off script. We believe no company is better positioned to solve this complex intersection than SailPoint. This is no longer a future trend. It is the law. The EU AI Act contains specific human oversight and audit logging requirements, which are scheduled to become enforceable as early as 2027. We believe regulators will increasingly ask who is accountable for this agent and its actions. We built our identity platform to answer that question before regulators even chose to ask it. Real-time human and agentic identity governance is no longer just an IT operational task. It is now a CISO and boardroom priority. As our strategic relevance elevates to the offices of the CISO and the Chief AI Officer, we are unlocking significantly larger enterprise budget opportunities, accelerating our pipeline, and paving a clear multipronged path to our fiscal 2029 targets. This momentum is evident in our results. In the second quarter, our SaaS customer count grew by 16% year-over-year. Our average ARR per SaaS customer grew 17% to over $400,000. Our AI-driven pipeline has more than doubled since our Investor Day, which was less than three months ago. When recent headlines detailed how frontier AI models broke out of their digital sandboxes, many labeled these as AI safety issues. We see them for what they are, identity governance failures, a massive problem which we expect will get even more challenging as AI usage expands in the future. The question I am constantly asked by CIOs and board members of other companies is simple: Can SailPoint protect our enterprise from these autonomous agent breakouts? The answer is yes, because securing and governing all identities, including agentic identities, is the exact problem our company was built to solve. Let me give you an example of how we recently expanded our market position in non-human identity security at a global Fortune 500 company. Within a week of a proof of concept, we connected to a majority of their data sources, leading to discovery of more than 10,000 unknown agents and thousands of associated risks in their environment. This resulted in a multimillion-dollar contract for our Digital Identity Flex offering alongside Entro. In another example of this momentum, we closed a three-year, seven-figure commitment with a global software company. This new customer is leveraging our core Identity Security Cloud with advanced digital identity governance across thousands of machine identities while establishing a direct path to upgrade to our Agentic Business Suite as they scale their AI infrastructure. Our go-to-market engine is significantly more versatile than it was six months ago. We expanded our entry points across CISOs, Chief AI Officers, and other C-suite leaders to win new customers, securing human workforces, autonomous agent fleets, or both together. In Q2, we also expanded our ecosystem with new agent identity security connectors for Snowflake and Databricks. We introduced our Cursor Enterprise connector for autonomous coding agents and launched a cloud enterprise integration utilizing Anthropic's compliance API. Whether an agent is writing code, analyzing data, or querying an LLM, SailPoint provides comprehensive visibility and human accountability in a single independent platform. Let me expand on our innovation. Our approach is grounded in a continuous intelligent security loop across three pillars. First, we discover every identity across all platforms and map their entire lineage so you know exactly what permissions they hold and who authorized them. Second, we govern them under a strict policy of zero standing privilege, dynamically orchestrating life cycle policies across millions of agentic and non-human identities with support for global compliance frameworks. Third, we will protect the enterprise with the ability to deploy a kill switch when an agent violates a guardrail. We are working to enable real-time authorization, prompt security, and response and remediation capabilities integrated with the SOC. To deliver on these pillars, we fundamentally advanced our platform this quarter with the launch of SailPoint Identity Security, featuring two purpose-built products, Agentic Fabric, which is now generally available, and Human Fabric, which is the evolution of Identity Security Cloud. This enables organizations to move beyond static compliance into real-time, threat-aware enforcement across both human and non-human identities. These are not future promises. These real-time detection, SOC integration, and automated enforcement capabilities are available right now. Unifying AI and human identities under one control plane creates an immediate compounding effect. All of this runs on our core technology foundation, SailPoint Atlas. Atlas provides one unified data model, a powerful, comprehensive identity graph, and a shared set of AI services engineered for agent scale, real-time telemetry, and inline threat response. We also accelerated our roadmap by acquiring Entro Security, and we are rapidly integrating its capabilities directly into the SailPoint Agentic Fabric. This expands our discovery capabilities to over 1,200 non-human identity types and provides deep lineage context. While other vendors are racing to bolt on session visibility or point-in-time threat detection, we believe we are one of the first to bring deep machine credential discovery and full agent lifecycle governance under one enterprise-grade control plane. Already this quarter, demand generated from live demonstrations of these capabilities at major industry events like Black Hat and Ai4 has translated directly into enterprise deals in our pipeline, with evaluations and POCs at an all-time high. Overall, the market response to our architecture and product roadmap has been exceptional, with our AI-driven solutions accounting for more than 30% of our net new ARR in Q2. Enterprises are also using agentic AI governance as a catalyst to accelerate cloud migrations. Through SailPoint Agentic Acceleration, we have dramatically simplified the migration process from on-prem to SaaS. Let me give you an example. This quarter, a global financial services firm signed a multi-year agreement to modernize with our SaaS platform to manage over 300,000 identities. By utilizing our automated onboarding tools, we dramatically reduced implementation friction and accelerated their migration by reducing weeks of configuration time to less than 10 hours. Ultimately, our ability to deliver rapid time to value remains a major differentiator. As part of this modernization, the company also adopted our Digital Identity Flex model to help ensure long-term flexibility in managing non-human identities. I'd like to turn to the competitive landscape. While many vendors market non-human identity or Agentic AI governance, we differentiate on three fronts. First, monitoring is not the same as security. Simply watching an agent go rogue is just a dashboard of active breaches. Regulators and CISOs require proactive governance. SailPoint is designed to enforce accountability before the agent ever takes action. We are moving the industry beyond static compliance and into continuous automated governance and protection. Second, governance is not a bolt-on feature. While others try to add governance to adjacent platforms, it lacks the depth required for modern security. Through our Agentic and Human Fabric, governance is natively embedded into our core, giving organizations seamless, unified control across the entire converged workforce. Third, access is not accountability. Giving an AI agent a login is easy. Proving to an auditor exactly what it did, who owns it, and instantly revoking that access at enterprise scale requires a unified identity graph. You cannot protect an AI-driven enterprise on a fragmented, stitched-together architecture. We are shipping a unified control plane today. Our architectural leadership isn't just our opinion. It is heavily validated by the industry analyst community, too. I'm incredibly proud to share that KuppingerCole, one of the industry's leading identity security analysts, named SailPoint the widely recognized leader in their latest Identity and Access Governance Leadership Compass released last month. Additionally, Gartner Peer Insights has us at 4.8 out of 5 based on 824 reviews submitted in the Identity Governance and Administration category as of September 2nd, 2026. The market is consistently confirming that SailPoint is one of the only identity platforms that can handle this workforce convergence. This is further strengthened by our strategic collaboration agreement with AWS, which establishes SailPoint as a preferred identity governance solution for Agentic AI on AWS. In conclusion, SailPoint is delivering strong growth at scale while redefining identity security for the AI era. The reality is clear. Basic monitoring isn't security, governance isn't a bolt-on, and access isn't accountability. This is why we believe no one else can do what we do. By delivering a robust identity security framework that spans human, cloud resources, and all non-human identities, particularly autonomous AI agents, SailPoint empowers the enterprise to harness the power of AI with absolute confidence. Our customers don't just secure AI, they secure their future. We believe we have the platform, the architecture, and the execution engine to lead this market. I'll turn it over to Brian. Thank you, Mark. Good morning, everyone, and thank you for joining us today. Fiscal Q2 2027 was another strong quarter with robust demand for our identity security platform. We are successfully executing a deliberate strategy to build a more durable and predictable business, delivering total ARR of $1.231 billion, which represents growth of 25% year-over-year. The central driver of this continued growth is the rapid adoption of our SaaS platform. SaaS ARR grew 36% year-over-year to $847 million. Net new SaaS ARR reached $66 million, a 34% increase from last year, underscoring the ongoing market shift toward our cloud-native solutions. In fact, SaaS accounted for 97% of our net new ARR this quarter. Within our SaaS platform, we are seeing healthy momentum across our AI-driven solutions, which accounted for more than 30% of our net new ARR in Q2. This is particularly evident within our installed base, where customers adopting our AI-driven solutions increased their annual spend by over 60%. Customer interest in the recent launch of our SailPoint Agentic Fabric and Agentic Suites is encouraging. Ahead of Q3 availability, we saw strong demand from early adopters. As Mark mentioned, this brings our total AI-driven ARR to over $70 million, putting us well ahead of the pace to achieve our $100 million target by fiscal year-end. As we discussed at our Investor Day, our AI-driven ARR definition encompasses our Agentic Fabric, our Agentic Suites, and our agentic add-on modules. We chose this definition because it reflects the underlying customer preference for an integrated identity solution across both human and non-human identities. Regarding the migration of our on-prem install base to our SaaS solutions, the unit economics remain compelling. This expansion continues to be driven largely by additional capacity, hosting costs, and expanded functionality. In fact, over two-thirds of our migrations added an AI-driven solution. Most importantly, once customers migrate to our SaaS platform, they typically continue to expand and grow with us over time. The migration contribution to our overall ARR growth was approximately four points this quarter. We believe we are still early in this motion, and our latest AI innovations and the launch of SailPoint Agentic Acceleration, an AI tool to accelerate deployments, gives us confidence that this can be a durable growth driver. As a reminder, as customers migrate from our on-prem solutions or land with SaaS first, there is a temporary timing impact on recognized revenue and adjusted operating income due to the shift from upfront license recognition to ratable SaaS revenue. As a general rule of thumb, each $5 million shift between SaaS and term impacts in-period revenue by approximately $10 million, with the majority flowing through to adjusted operating income. While this tempers near-term reported growth, it strengthens the predictability and long-term health of our business as that revenue is recognized over the full length of the contract. We saw this play out in the second quarter with a higher mix of net new SaaS ARR, which equated to approximately a $5 million revenue timing headwind. Putting this all together, we delivered total revenue of $309 million, an increase of 17% year-over-year, with SaaS revenue growing 34%. Excluding approximately $36 million of revenue recognized at point in time, primarily from term contracts, our revenue recognized over time grew 22% year-over-year. Additionally, our remaining performance obligation, or RPO, growth accelerated to 30% year-over-year to reach $1.9 billion, and our current RPO grew 27% to $931 million. Our adjusted operating margin was 20.3%. We generated $37 million of free cash flow in our fiscal second quarter, representing a 12.1% free cash flow margin. Our dollar-based net revenue retention remained robust at 113%, and our gross retention remains in the high 90s. Acquired ARR from Entro was less than $3 million, which was more than offset by currency headwinds in the quarter. In other words, our total net new ARR results are consistent with organic constant currency growth. Turning now to guidance. For simplicity, I will refer to the midpoint of our guidance ranges where applicable. Full details can be found in this morning's press release and supplemental earnings deck, where you can also find additional modeling notes. For the fiscal third quarter of 2027, we expect ARR to be $1.29 billion, up 24% year-over-year. We expect revenue to be $328 million, an increase of 16% year-over-year, with adjusted operating margin of 17.7%. We expect our diluted share count to be approximately 577 million shares and adjusted EPS to be $0.07-$0.08. For fiscal year 2027, we are flowing through the Q2 ARR upside to our full year guidance. This translates to an increase of $11 million to $1.38 billion, up 23% year-over-year. We expect revenue to be approximately $1.27 billion, an increase of 19% year-over-year. We expect our adjusted operating margin to be approximately 19%, which is inclusive of additional costs for Entro. We expect our diluted share count to be approximately 575 million shares and adjusted EPS to be $0.32. We continue to expect to generate approximately $200 million of free cash flow in FY 2027. We expect SaaS to account for approximately 85%-90% of our net new ARR in Q3 and approximately 90%-95% for the full year 2027. In summary, we believe our strong results, growth at scale, and innovative product roadmap position us extremely well for continued success in the AI-powered future. We are confident in our strategy and our ability to achieve our fiscal 2029 targets of at least $2.1 billion of ARR, at least $800 million of AI-driven ARR, at least 22% adjusted operating margin, and at least $400 million of free cash flow. We believe our execution against these targets will deliver long-term value to our shareholders. With that, let's invite Matt Mills, our President, to join us and open the call for questions. Operator? Thank you. As a reminder, to ask a question, you will need to press star one one on your telephone. To remove yourself from the queue, you may press star one one again. We ask that you please limit yourself to one question to allow everyone the opportunity to participate. Please stand by while we compile the Q&A roster. Our first question comes from the line of Matt Hedberg of RBC. Your question please, Matt. Great. Thanks for taking my question, guys. Congrats on the results. A lot of AI nuggets sprinkled through the prepared remarks, hearing that the AI-driven pipeline has doubled since Investor Day. Also, I think that you said AI-driven ARR was over $70 million this quarter, and contributed, I think, meaningfully to net new ARR. I guess I am wondering, can you help unpack how that pipeline is converting? I guess as you continue to target $800 million in AI-driven ARR by fiscal 2029, how should we think about the progression towards that number? Talking about attach rates to deal sizes. Just sort of curious on the mechanics. It feels like you guys are off to a really nice start there. Hey, Matt, it's Mark, and I will probably start and then turn it over to Matt for a little more. Yeah, I think what we are seeing, not surprisingly, is just tremendous interest in what we have brought to market in the last few months. I think as we all have discussed, and customers everywhere are kind of in a search mode on how to get their arms around the risks associated with AI. Everybody is familiar with some of the famous breach or risk stories that have hit the news. What we are finding is just tremendous interest in this topic. I think Matt can comment more on kind of some of the shifts we have made in our go-to-market approach, but we have, I think, successfully deployed a focused team in our field who can get in front of the Chief AI Officer, help them understand specifically what SailPoint is doing to address those risks, and differentiate that from some of the, frankly, the noise that is out in the market around everybody talking about what they are going to do to help you with AI. So I think what we are finding is we get the audience because there is interest in the topic. We are a credible player to come into the dialogue, and when we present in more specificity what we are doing, it tends to get very interesting very fast. That is why we feel good about the pipeline build. Yeah. Matt, I will just add, it is a pretty good place to be in in that there is a ton of interest in this topic, right? So, it is much easier to get calls returned and get access to folks. To that end, we are seeing a tremendous amount of interest in our products. It is a pretty easy story, right? If you look at our install base, and when you start moving from our, let us say, business suites to Agentic, it is really an upgrade, right? It is not a modernization, it is not a big migration, it is an upgrade. Now you get access to all the Agentic tools. So we are going through that process. I will tell you another thing that is real interesting is we have pivoted a bit in terms of our go-to-market motions. As Mark said, we have got an overlay group that is really designed to sell to a different persona, right? Which would be the AI side of the house, the security side of the house. Still continue to work the traditional silos around identity. But that kind of trifecta there is proving to be fairly effective in us being able to drive opportunities and get into things that, quite frankly, maybe we hadn't been getting into. Thank you. Our next question comes from the line of Saket Kalia of Barclays. Please go ahead, Saket. Okay, great. Hey, guys, thanks for taking my question here. Brian, maybe for you, I think most folks understand that more SaaS conversions means less upfront revenue. But could you maybe help us frame how your SaaS and upfront revenue outlooks are changing this year? Just to sort of flush out why the ARR beat isn't necessarily flowing through to full-year revenue. Just explain the mechanics so we're all on the same page. Yeah. Morning, Saket. Thanks for your question. So as you saw, we did land with a 97% SaaS net new ARR mix, which was above our guided range of 90%-95%. I think just looking out to the second half, this is definitely not a demand issue, it's a rev rec timing issue. So we're expecting the full year to still remain in that 90%-95% range, and that's what we're providing today is a range. So that could swing one way or the other. Each $5 million move in net new ARR means a $10 million move in revenue. So for Q3, we're expecting a range of closer to 85%-90% SaaS mix, given the Fed year-end. Then for the full year, it will be 90%-95%. But just to reiterate, this ends up being a rev rec timing issue. You are going to recognize it either largely up front in the period of sale or over time in the form of SaaS. It is definitely not a demand issue for us. Very clear. Thank you. Thank you. Our next question comes from the line of Brian Essex of JPMorgan. Please go ahead, Brian. Hi, good morning, and thank you for taking the question, and thank you for the Entro contribution, by the way. That was a popular question this morning. A question for me, I guess I have two related ones. Either Matt or Mark, how much of the traction, and maybe more importantly, how much of your pipeline was competitive displacement? One of the things we are hearing about, particularly in the channel, is AI as a catalyst for technology transformation, kind of similar but maybe more accelerated to what we saw in the cloud transformation era. Then maybe part two of the question, we heard about a greater than average amount of deal slippage in the quarter. If that is true, fantastic results in spite of that, but we would love to understand the deal dynamics, and what may have caused some movement, if any, whether it was the size of deals or complexity of deals. Just would love your color on those two points. Thank you. Why don't I take the back half, let Matt have the first. Brian, just to clarify, if we did, I apologize for any misunderstanding. We did not indicate any significant or any deal slippage of note. We feel like we closed the business we expected to close in the quarter. That is why we came in higher than our guided ARR number. There is a lot of complexity in getting some of these business closed, but I would not say we saw any significant slippage. Right I think it is more that we are seeing tremendous pipeline build in the back half, and it is taking some time to convert. Just as a reminder to everyone, we launched a lot of these agentic solutions in early May, and our quarter closed at the end of July. So with typical enterprise sales cycles, we knew we would not see a tremendous amount of that convert in the quarter, but we did see some, and we are very excited about the pipeline build. Then I will let Matt talk about the whole, when we see an agentic deal getting done, is that a displacement kind of a situation? Yes, no, how often, that kind of thing. Yeah. Brian, when you start to look at the competitive landscape and you start looking at the deals we are working, look, everybody typically is coming from something when they are talking with us. AI really has been this catalyst. When you look at the legacy systems, they are just not built to be able to handle this human agentic dynamic. I think that is causing companies to really start to accelerate. We are seeing it, quite frankly, in our install base. Quite frankly, that is one of the reasons we have come up with our new product offering, SailPoint Agentic Fabric, for non-SailPoint customers. If you look at our POCs that we are doing a lot right now, a high percentage of them are coming from non-SailPoint customers. They are very interested in our Entro SaaS solution. We think that is going to be an interesting thing as we see it play out, but we are getting a fair amount of interest from, again, non-SailPoint customers. I would tell you, I think everybody is kind of feeling it. Not to mention the fact that I think a lot of, especially the public companies, the mid-market companies that are public, they are getting a lot of downward pressure, right, to start being able to drive this technology into their company to get the kind of productivity and efficiencies that maybe the boards and the public markets are looking for. All right, great color. Thank you both. Thank you. Our next question comes from the line of Shaul Eyal of TD Cowen. Your line is open, Shaul. Thank you. Good morning. Congrats. Maybe one for Brian. RPO accelerated to 30%, CRPO grew 27%. Can you share with us this widening gap? Are customers signing larger, longer duration agreements, or are implementation and revenue recognition payments just keeps extending? Thank you. Yeah. Thanks, Shaul. We are really pleased with the acceleration in the RPO. I think that is a sign for the future and more commitments from customers. We are starting to see larger deal sizes. I wouldn't say the duration of the deals has extended too materially or significantly. They are in line with historicals, but we are seeing larger deal sizes for sure. Thank you so much. To clarify, Shaul, did you say 7% or 27% for CRPO, just to clarify? 27%. It is 27%. I thought Shaul said 7%. I apologize if I misheard that. It is 27% for CRPO. 27%, yep. Yep, thank you. Sorry, just maybe cut out for a second. Thanks. Sure. Thank you. Our next question comes from the line of Gray Powell of BTIG. Your line is open, Gray. Great. Thanks for taking the question, and congratulations on the good set of numbers here. I think you've kind of hit on this already, but you highlighted that customers who adopted an AI-driven solution in Q2 increased their annual spending with you by about 60% or more. At the Analyst Day, I thought we were talking about more like a 25%-50% uplift. I guess my question is, what's driving the upside in those customers? And how should we think about the sustainability of that trend going forward? A great question. Thanks, Gray. Yes, I think what we're seeing is a number of things. First of all, with our migration opportunity, our modernization approach, is that when we do a migration, about two-thirds of those migrations include an AI-enabled product. So there's definitely a trend here in terms of when customers expand with us and land with us, they're definitely interested in expanding with AI. So it's the power of both the non-human and human identities that's really driving the conversation and the modernization discussions. So we're really pleased with the early signs and green shoots that we're seeing in the funnel and some of the early deals that we've done. Awesome. Thank you. Thank you. Our next question comes from the line of Joseph Gallo of Jefferies. Your line is open, Joseph. Hey, guys. Thank you for the question, and also appreciate the intro disclosure. This one's for Matt and Mark. You spent a lot of time talking about the differentiation in AI versus competitors. Are customers understanding that message yet? Because it still kind of feels like the Wild West. The actual question is, one, who are you seeing most in those deals? Is it identity vendors, backup and recovery, or platforms? Then two, anything to note with those sales cycles relative to the company average sales cycle? Are they quicker, or are they longer? Thank you. Yeah. Hey, Joe, this is Matt. Look, it's quite interesting. We're seeing a ton of interest in what we're calling the SailPoint Entro and the SailPoint Agentic Fabric. Really what's happening is people are starting to realize that step one is to be able to identify what they don't know. We're really doing these and prosecuting these new opportunities with POCs. We're kind of moving to this mantra. Look, there's a lot of noise in the market. You guys already know this. I think one of the ways we're combating it is saying, If you're buying something today or you're looking something today, look, you need to see it. You need to put it on your network. You've got to use your data, use your use cases, and that's the only way you're going to find out if it works. That's an approach we're pushing. We have, and if you look in our pipeline, over the next three quarters, four quarters, we have hundreds of POCs that are already in the pipeline that we're going to go prosecute. When you look at a timeframe, it is accelerated. It's much quicker than a traditional Agentic Business Suite purchase. I think if you're looking for timelines, it's 30-45 days. Our hope is that it can accelerate further than that. But it's putting it on the customer's network, using their data, using their use cases, and getting through it. We're having a. What's really interesting is if you go look at 50 of these, you could change the name of the company. The results are all very much the same. I had no idea. I had no idea I had this many agents. I had no idea that I had this many people that were using tools that we weren't using. Our company standardized on Copilot, and nobody's using Copilot. They're using everything else. That's not a dig on Copilot. I'm just saying it's one of these things that it's real and it's what we're dealing with. I think the customers are amazed at what they're seeing. Joe Gallo, just to touch there on the differentiation, like Matt said, one of the things we accelerated dramatically with the purchase of Entro was the discovery capability. We always like to say you can't govern or secure what you can't see. Right? That kind of was a dramatic increase in expansion of what we can discover. As Matt said, it's literally 100% of the customers we go in to find way more than they expected to that's already out in their environments. But then you have to move to, okay, now that you've seen it, what can you do about it? Which is where some of the earlier technologies in the market today are falling pretty short. Because once you've found these things, you have to do something about it, right? Where we move to very quickly is you need to do a few things. You need to understand what all these non-human, particularly agentic identities are. You do need to tie them to humans because some human has to be responsible for this agent. I like to say you can't bring a lawsuit against an agent, right? If something goes wrong, somebody in that organization's got to be responsible. That's where our, as Brian was highlighting earlier, our sale is effectively a blended value proposition of you need to see the human world in great depth and breadth, and you need to tie it to the agentic and non-human world. SailPoint is uniquely well-positioned to do that. We show them what we found, we show them how it relates to the human environment, and then we put the protective capabilities in place to say, now when we see something bad happening, we can take action. We can turn it off, we can flag it, whatever the appropriate action is. It's that combination of value, of discovering and then setting up governance policies, and then protecting by taking kill switch type actions when we need to. Tying that whole non-human agentic world to the human world that we uniquely manage well is starting to resonate very well with customers. They get that they can't manage these agents completely independent of their human identity landscape. Really helpful. Thank you, guys. You bet. Thank you. Our next question comes from the line of Rob Owens of Piper Sandler. Your line is open, Rob. Yeah, good morning, guys, and thanks for taking my question. There are multiple components to your AI ARR definition. Just hoping you can unpack what is driving the strength that you are seeing thus far. Thanks. Hi, Rob. It is Brian here. Thanks for the question. As we have been saying, it is hard to look at AI just in isolation. We are really defining it as an integrated solution that crosses both human and non-human identities. So it is sold with the power of both, and both being additive to the number. I mean, this really drove the 19% net new ARR growth. It grew 34% net new ARR SaaS growth. So, what is included in the AI-driven definition is both the AI-driven solutions, suite customers that have an immediate upgrade path to Agentic Suites that were just unveiled. We really think it is the best prediction to measure our performance moving forward, as opposed to coming up with any kind of arbitrary allocation. We think the power of both of these combined going into the AI-driven number is really the way to look at it. We are really pleased with the pipeline, more than doubled to over $200 million. We have a record number of POCs, as Matt mentioned, and feel good about where we are tracking against our targets. Our next question comes from the line of Patrick Colville of Scotiabank. Your question please, Patrick. Thank you for having me on. I guess this one's for both Mark and Brian, please. The AI-driven ARR in 2Q accounting for more than 30% of net new, I thought was an incredibly helpful statistic, but also showing to us that AI is clearly a driver of SailPoint's business as of today. Is your expectation that that proportion stays consistent or increases? My back of the envelope math is if so, then that target for $100 million by the end of 4Q looks really low. I mean, we could even get to $120 million, $130 million and that would be a really exciting kind of lens into the future of how sales is going to grow from here. Yes. So, hi Patrick, it's Brian. So yes, we're excited about the early traction we're getting, and again, one drives the other. You can't just look at it as AI only. It's the power of AI with human and non-humans combined. Just our packaging and pricing and go-to-market approach is resonating. Again, pipeline build is there for the future. We feel really good about that. Even just since Investor Day, having more than doubled it is compelling. And actually, customers are coming to us on these questions too. So, it's really nice to be in a position where customers are seeking out our counsel and our guidance in terms of how to navigate through this ever-changing world. And yeah, you can see the math. We're off to a really good start, strong start on the Investor Day targets that we laid out. We feel good about them, and it's exciting. You directed that to both of us. I'll just say, basically, I agree with Brian 100%, Patrick. I think if anything, we feel very good about achieving and potentially obviously overachieving that original target of $100 million. Also this year, the question was, do we continue to see it growing as a proportion of our business? The answer to that is absolutely yes. I think, as Brian said, increasingly, customers, I think, won't even be asking us about human-only identity solutions. They'll just be asking about an integrated identity solution, and that's how we're packaging and selling. As Brian pointed out earlier, it's just impossible for us to tease that apart. We just want to get you guys thinking that that's the way that customers are moving forward with us, and we think it's the right way to think about solving the problem, most importantly. Very clear. Thank you. Thank you. Our next question comes from the line of Jonathan Ruykhaver of Cantor Fitzgerald. Your line is open, Jonathan. Yes, thank you, and good morning. The question that I have is just around modernization flags. I'd like to hear a little bit more in terms of how that might be impacting IdentityIQ migrations. I think some of the previous comments do highlight the need for IGA modernization. So I guess the specific question is this impacting any of your assumptions around SaaS migration in the second half? Also looking at the potential ARR uplift, which I think, Brian, you've said in the past, it's potentially 2x-3x. Any change in how you're looking at those two dynamics? Yeah. Thanks, Jonathan. I'll take that one. Yes, in fiscal Q2, migration momentum definitely continued. I think what we're seeing is that customers are buying into the vision, right? That's evident by about two-thirds, actually, over two-thirds of our migrations that we completed in Q2, actually included AI-enabled products with it. I think that is really compelling. We also have a tool and a service called SailPoint Agentic Acceleration, and this basically simplifies and accelerates the migration process, making it much easier for customers to lean in and continue to move more towards our strategic vision that we have. In terms of the uplifts, we're still in that range of 2x-3x uplift upon migration. That grows over time. When we do have a heavier mix of term, that's probably closer to 2x, but the important thing is that that definitely grows and expands over time over the next several years out. We just have more and more now to offer in terms of that expansion opportunity. We really feel good about it. Last thing I'll say, I think you were asking this question, this contributed about four points to our overall ARR growth in fiscal Q2, the migration activity alone, along with the expansion. Thank you. Thank you. Thank you. Our next question comes from the line of Meta Marshall of Morgan Stanley. Your line is open, Meta. Great, thanks. Maybe building on that last question, I just wanted to ask about Agentic Acceleration and just the timeline that you're seeing some of these accelerated migrations on, and when or if you could pivot Agentic Acceleration towards legacy provider solutions. Thanks. Yeah. Hi, Meta, this is Matt. Absolutely correct. It started out as an accelerating tool to be able to help our IQ customers move much more quicker and more efficiently to our SaaS platform. But today, we're far, far along the road of using this tool now for not only the legacy that you're talking about, but replacing maybe some of our competitors who had some failed implementations. Even so far along as taking a new prospect's RFI or RFP and using that for a source to actually go build out a POC that ultimately would end up as a production instance. This is part of the selling adoption we're going through right now for this new agentic world. So we're pretty excited about it. Non-SailPoint environments. Yeah. Non-SailPoint, I'm sorry, yeah. Non-SailPoint environments as well. Right. That would be all the legacy stuff you're thinking about, I'll just call them out, the Oracles and the CAs, the traditional big legacy players. Great. Thanks so much. Thank you. Our next question comes from the line of Joshua Tilton of Wolfe Research. Your line is open, Joshua. Hey, guys. Thanks for taking my question. Maybe just a two-parter for me. I appreciate the contribution. To growth from the migrations in the quarter. Can you just talk to maybe how those four points compare to your expectations? How are migrations tracking relative to your expectations and maybe also just relative to the context of the longer-term targets? Are they ahead of expectations, in line with expectations? The second part is for the back half, do you feel like you have this mixed dynamic locked in to the updated guidance that we have? I noticed the mix drops in 3Q, but you are still expecting a similar SaaS net new ARR mix for the full year. Just help us understand how much confidence that you have that we will not continue to see revenue headwinds from this mix dynamic going into the second half of this year. Thanks. Hi, Josh, it is Brian here. I would say that the contribution of the migration/modernizations to the growth was right in line with what we expected heading into the quarter. In terms of the mix assumptions for the second half of the year, the SaaS mix assumptions, we are tilting more towards 85%-90% because of the federal government year-end in fiscal Q3. We are still sticking with the 90%-95% SaaS mix for the full year. Again, that could swing. That is the reality of the situation. Every $5 million of swing one way or the other could be $10 million of revenue. We monitor it. We track it. We track the pipeline. We try to dial it in as much as possible, but we do want to caveat it that that is the range that you could see. We feel good about the second half of the year. I think our guidance implies about 58% of our business would come in the second half of the year, Q3 and Q4, and that is right in line with where it was last year. So we feel good about the overall number itself of the net new ARR. Thanks, guys. Thanks. Thank you. Our next question comes from the line of Shrenik Kothari of Baird. Your line is open, Shrenik. Yeah. Thanks a lot for taking my question. So congrats again. Entro seems to be really changing the front end of the sales motion, as you said. You now have hundreds of POCs in the pipeline and Mark and Brian, you mentioned the cycles are materially shorter than traditional Agentic Suite through becoming a faster new logo motion. So my question is, as the mix potentially shifts towards these faster Entro-led lands, should we expect kind of smaller initial ACV, but then a much larger subsequent sort of expansion opportunity into your Agentic Fabric and the broader suite? Part two, as the product boundary itself is surprisingly moving quickly from discovery into real-time runtime governance enforcement. Beyond Entro, where are the remaining, let's say, capabilities, either dynamic just in time or zero standing or any other runtime remediation, where you would still look at from an M&A or building organically? Thanks. I'll take the first one. This is Brian here. So we are not seeing any smaller deal sizes per se when Entro is introduced into the selling process. In fact, I think it's expanding our non-human identity discovery using Entro. So I think it actually could be a compelling use case for maybe having even larger deal sizes at some point in the future. But for now, I would think of it as status quo even with Entro, but it does speed up and make the sales process more efficient from the early stages. Yeah. Shrenik, on the second question, we did see a pretty dramatic expansion, as I said, of our discovery capabilities, particularly with Entro. We are continually developing a lot around our whole move toward more real-time governance. It is demanded in the world of agentic, and we think it will kind of slide very much into the way people think about doing human identity governance, which has again, been more asynchronous, a little less real-time. In this world, we are emerging toward the real-time ability to make decisions based on human access, based on context is I think going to be the buzzword here. Based on real-time context, can this human or this agent get access to what it is trying to access? That is the place we continue to make significant investments in things like what we call just-in-time provisioning or just-in-time authorization. We are building a lot there and continue to keep our eye on some of the early-stage technologies in the market to potentially supplement. You have seen us do that a couple of times in the last couple of years of kind of enhancing or accelerating our roadmap through a strategic technology acquisition. Those types of things are still very much in play for us, and we continue to scour the opportunities around the market for that. Very helpful. Thanks a lot. Thanks. Thank you. Our next question comes from the line of Richard Poland of Wells Fargo. Your line is open, Richard. Thanks for taking my question. I just wanted to ask about, it sounded like early in the prepared remarks you made mention that customers committed to some of the Agentic Suites ahead of that Q3 launch. I just wanted to clarify, is it fair to say that there was some contribution in Q2 from the Agentic Suites? As we think about Agentic Suites and what's embedded there for the second half, any, I guess, quantification or even qualitative framing for how we should think about Agentic Suites ramping in the second half? Yes. Richard, this is Brian. There was absolutely no pull-in of deals. These were existing business suite customers that have an upgrade path to the Agentic Suites effective immediately. These were early adopters of the agentic offerings that we have. It was strictly just a packaging thing. Now that we have the Agentic Suites available, there is an immediate upgrade path to that. The second part of your question, I think, the second half is, again, continuing to lean in on selling more and more Agentic Suites, and that's the power of both the human and non-human identity packaging that's part of it. Great. Thank you. Thank you. Our next question comes from the line of Gregg Moskowitz of Mizuho. Please go ahead, Gregg. Great. Thank you for taking the question. Just would like to get back to Gray's question on the spending uplift for existing customers buying AI, because certainly it's very early days, but also really encouraging data. I am wondering if this gives you some confidence that you could actually see more of an increase than perhaps you initially believed? Or do you expect that it will settle in at the levels that you had articulated at the Analyst Day? Thank you. I think as of now, Gregg, we are going to say that we feel really good about where we are, and we are off to a strong start. We are not changing anything from the Analyst Day per se, but we are off to a good start and tracking ahead of the goals that we laid out. Okay, great. Thank you. Thank you. Our next question comes from the line of Junaid Siddiqui of Truist. Please go ahead, Junaid. Great. Thank you, and good morning. Flex Navigator has clearly helped accelerate migrations to the SailPoint platform. Are you seeing it also increase the ultimate lifetime value of those customers through higher module adoption, attach rates, or just broader identity coverage? Do you see Flex primarily just as a migration catalyst or a meaningful wallet share expansion opportunity? Yeah. This is Matt. When we put this in place, it really is looked as an accelerator, right? To help customers move quicker to the SaaS or now agentic model. It kind of takes the risk, if you will, out of these large corporations that are moving, right? So they can start to move more strategically than this one big fail swoop, trying to get everything done in six or nine or 12 months. So that's how we put it in place, and I think it's working as we intended. Thank you. Thank you. I would now like to turn the conference back to Mark McClain for closing remarks. Sir? Thank you, and thank you everyone again for joining us. I feel very good about the results, as we've said throughout the call, and tried to indicate clearly the momentum we're seeing with the pipeline build and the interest in the agentic capabilities. We expect to continue to see a lot of momentum from these products in the market in the coming quarters, and we're excited about where we are today. Thank you for joining us. We look forward to maybe some further dialogue after the call. Thanks again. This concludes today's conference call. Thank you for participating. 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