Good day and thank you for standing by. Welcome to the 8x8 Q4 2026 Earnings Conference Call. At this time, all participants are in a listen-only mode. Please be advised that today's conference is being recorded. After the speaker's presentation, there will be a question and answer session. To ask a question, please press star 11 on your telephone and wait for your name to be announced. To withdraw your question, please press star 11 again. I would now like to hand the conference over to your speaker today, Kate Patterson, Head of Investor Relations.

Thank you. Good afternoon, everyone. Today's agenda will include a review of our results for the fourth quarter of fiscal 2026 with Samuel Wilson, our Chief Executive Officer, and Kevin Krause, our Chief Financial Officer. Following our prepared remarks, there will be a question and answer session. In addition to our prepared remarks, we have posted a more detailed letter to shareholders in the quarterly results section of our Investor Relations website. Before we get started, let me remind you that our discussion today includes forward-looking statements about our future financial performance, including investments in innovation and our focus on profitability and cash flow, as well as statements regarding our business products and growth strategies. We caution you not to put undue reliance on these forward-looking statements as they involve risks and uncertainties that may cause actual results to vary materially from forward-looking statements, as described in our risk factors in our reports filed with the SEC. Any forward-looking statements made on this call and in the presentation slides reflect our analysis as of today, and we have no plans or obligations to update them. All financial metrics that will be discussed on this call are non-GAAP unless otherwise noted. These non-GAAP metrics, together with year-over-year comparisons in some cases, were not prepared in accordance with the U.S. Generally Accepted Accounting Principles, or GAAP. A reconciliation of these non-GAAP metrics to the closest comparable GAAP metric is provided in our earnings press release and earnings presentation slides, which are available on 8x8's investor relations website at investors.8x8.com. With that, I'll turn the call over to our Chief Executive Officer, Samuel Wilson. Good afternoon, everyone, and thank you for joining

us. Fiscal 2026 marked a turning point for 8x8. Our Q4 results demonstrated improving execution, operating discipline, and a growing momentum across the business. We've delivered four consecutive quarters of year-over-year revenue growth, generated our first gap-profitable full fiscal year since 2015, increased net income and earnings per share, and strengthened our balance sheet. Most importantly, I believe this year validated the strategy we've been building towards for several years. It is clear the business communications market is changing rapidly. The driver is straightforward. AI is beginning to handle low-level repetitive work that used to require people. Routine inquiries, transactions, first-line support. We're still early, but the trajectory is clear, and customers are making architectural decisions today based on where this is going as the market evolves what customers buy and how they pay for it changes percy pricing made sense when every interaction needed a human as ai takes on more of the interactions pricing needs to shift towards usage and outcomes these shifts also change how customers buy ai needs unified context to deliver real results it doesn't work well in fragments That's what's accelerating demand for integrated platforms, not as a preference, but as a prerequisite. We built 8x8 for this transition. Today, our platform combines carrier-grade global voice infrastructure, programmable communications APIs, UCaaS, CCaaS, digital engagement, and embedded AI into a single architecture designed to support both human and AI-driven interactions at enterprise scale. And that matters more than ever in an AI era. Voice is not a legacy channel in an AI-driven world. In many ways, it becomes more important. Voice is the bridge between automated execution and human judgment. As enterprises move towards human-to-agent and agent-to-agent interactions, communications infrastructure stops being utility and starts becoming a strategic control layer. Reliability, security, trust, and orchestration matter more than ever. The challenge is no longer leveraging AI to generate responses or drive engagement. It's already happening. We are seeing both generative and agentic AI drive a surge in communications APIs across voice, messaging, and digital channels, and it is evident in our numbers. Usage-based revenue, including CPaaS communications APIs, AI solutions, digital channels, telecom usage, grew more than 70% year-over-year and represented approximately 23% of service revenue, up from 14% a year ago. The real challenge is delivering interactions that feel seamless secure intelligent and trustworthy ai agents must be able to hear clearly understand intent accurately authenticate securely and know exactly when to hand interactions to a human that requires more than another ai voice model it requires a highly reliable communications infrastructure and a platform capable of orchestrating interactions seamlessly across both human and agentic layers. This requirement is redefining where value accrues in enterprise communications. Customers do not want another closed ecosystem or another AI model that needs to be tested and integrated. They want platforms that can evolve as the AI landscape evolves. The new winners will be companies that combine carrier-grade infrastructure with orchestration across communications, workflows, APIs, analytics, and customer engagement, and do it at scale. Our approach has been different from many of our peers. Instead of building around a single AI model or a closed ecosystem, we have focused on building an open integration and orchestration layer directly into the platform itself. This allows customers to adopt new AI capabilities quickly and deploy AI across voice, messaging, and customer engagement workflows without rebuilding infrastructure. More importantly, this approach helps customers simplify increasingly complex technology environments by reducing operational friction, accelerating deployment, allowing them to adopt new innovation without constantly rebuilding infrastructure. That philosophy has shaped our innovation strategy, and we hit some important milestones in Q4. In March, we announced general availability of 8x8 Engage, extended customer engagement beyond the traditional contact center to frontline sales and operational teams. Customer adoption has been strong. With partners now fully enabled, demand is building. We also added native agentic AI to our platform for CX with AI Studio. AI Studio allows customers to build and deploy AI-powered voice and digital agents directly on the AFA platform for CX using natural language prompts. It could not be easier. Check out the video demo on our website. During the quarter, we expanded platform capabilities across analytics, authentication, CRM integrations, and orchestration workflows designed to simplify deployment and improve how AI-powered interactions move across human and digital engagement channels. Our outcome-focused platform strategy also shapes how we approach partnerships and technology acquisitions. Our partnership with SynFlow AI expands our capabilities for SMBs and strengthens our position in AI-powered and genetic engagement. Maven Labs expanded our messaging and automation capabilities, while CallRoute strengthens our Microsoft Teams integration strategy, and we'll simplify platform-to-platform migrations. Most importantly, our customer wins reinforced that our platform strategy is aligned with where the market is going. In the U.S., an insurance company replaced two competitors with a full UCAS-CCAS deployment after evaluating six competing vendors. A healthcare organization operating more than 100 locations implemented an omni-channel engagement solution integrating voice, SMS, web chat, and Salesforce to modernize patient communications. Internationally, a UK automotive retailer selected 8x8 to replace a legacy environment that combined UC and contact center deployment, and a bank in the Philippines selected 8x8 to strengthen authentication and fraud prevention capabilities ahead of new anti-fraud compliance requirements. Yes, we are a security company in places. Across these wins, customers constantly prioritize integrated workflows, trusted infrastructure, AI-ready engagement capabilities, and flexible deployment models, and security over disconnected point solutions. As our markets evolve, we are sharpening our go-to-market strategies, adapting our pricing models, and improving our processes. Partners have always played a central role in the communications and customer experience markets because they maintain trusted customer relationships and expanded geographic and commercial reach. We believe 8x8 remains significantly underdistributed relative to the size of the opportunity. As a result, we are increasing our investment in partner recruitment, enablement, onboarding, automation, and deployment tools that make it easier to do business with 8x8 and easier for partners to deliver solutions to their customers. At the same time, we are exploring new consumption-based pricing and deployment models that reduce decision risk and traditionally associated with enterprise software purchases and simplify trial and activation. By reducing decision risk and removing traditional barriers to adoption, we can accelerate time-to-value and better align our go-to-market motions and sales cycles with product innovation cycles. Fiscal 2026 was also a year of operational discipline. We completed the Fuse migration process, integrated several financially immaterial but strategic acquisitions, reduced debt meaningfully, and maintained disciplined operating expense management while continuing to invest in innovation, infrastructure, and AI capabilities. The past several years has required focus, restructuring, and hard operational decisions. This year, we begin to see the benefits of that work show up across the business. As we enter fiscal 2027, our overarching objective remains straightforward. Drive sustainable growth, profitability, and cash flow. Our priorities remain clear. Expand our global communications infrastructure for AI-driven customer engagement. Deliver innovation that enables seamless interactions that build trust at every stage of a customer journey. Scale our partner and distribution ecosystems globally. And continue to drive operational discipline and efficiency. Let me finish by saying that I believe 8x8 is operating from a position of strength, with a clear strategy, solid financial fundamentals, and a growing confidence in our ability to compete aggressively in a rapidly evolving market. Thank you again to our customers, our partners, our employees, and our shareholders for your continued support. And with that, let me turn it over to Kevin.

Thanks, Sam. Good afternoon, everyone, and thank you for joining us for our fiscal Q4 26 earnings call. In addition to our shareholder letter, detailed financial results are available in our press release and on our investor relations website. Therefore, I'll focus my remarks on a few key highlights. As otherwise noted, all figures other than revenue and cash flow are presented on non-GAAP basis. Q4 was our fourth consecutive quarter of year-over-year revenue growth, capping a fiscal year that returned 8x8 to growth, achieved healthy operating profit, and meaningfully strengthened our balance sheet. We exceeded our guidance ranges for service revenue, total revenue, operating profit, earnings per share, and cash flow from operations. We had another record quarter for service revenue, and we have had positive operating profit and cash flow from operations in every quarter for over five years total revenue was 185.2 million and service revenue was 180.2 million dollars growing 4.6 percent and 5 percent year-over-year respectively these results reflected continued strength in our usage-based offerings our usage-based offerings which include our cpass communication apis digital channels and AI Solutions set another all-time record and accounted for approximately 23% of service revenue in the quarter, compared to approximately 14% in Q4 25. Gross profit was approximately $118.9 million, approximately $2 million above the gross profit implied by the midpoint of our Q4 guidance. Gross margin as a percent of revenue was 64.2 percent, moderately below Q3 due to the continued mix shift toward our usage-based offerings, which in aggregate carry a lower margin profile but can add meaningful profit dollars of the business scale. As we have noted in prior quarters, our usage-based offerings can fluctuate, which may introduce some quarter-to-quarter variability in gross margin. We are actively working to expand margins within the usage portfolio, but as that part of the business grows, it does impact the consolidated gross margin percentage. Importantly, we are leaning into where the market is growing and not where the highest gross margin sits today. As we have articulated over the past few years, we manage the business to operating income, and we have consistently demonstrated the ability to offset gross margin mix impacts with disciplined operating expense management. Operating income came in at $19.8 million, resulting in a 10.7% operating margin, well above the high end of our guidance range and demonstrating our commitment to operating discipline. Operating expenses were favorable to expectations and down 5% year-over-year. For the full fiscal year, total operating expenses declined approximately 3%, reflecting our continued focus on our cost structure. We have meaningfully reduced our debt service costs through significant paydowns of debt principal over the past two years. Trailing 12-month cash interest paid declined approximately 51% from fiscal 2024 to fiscal 2026, from approximately $35.6 million to approximately $17.3 million. The combination of higher revenue, lower operating expenses, and lower interest expense resulted in net income of $16.6 million and fully diluted EPS of $0.11 per share, $0.03 above the high end of our guidance range. Cash flow from operations was $14.4 million for the quarter, significantly above the high end of our guidance range. The strong Q4 result reflects both operating over performance and favorable timing of collections and payments, and is a reminder that cash flow from operations can vary meaningfully quarter to quarter based on timing. We ended the quarter with $93.3 million in cash and cash equivalents, excluding restricted cash, an increase of approximately $6.4 million sequentially. We ended Q426 with $323.9 million of principal debt outstanding. In early April, we made a $14.5 million principal payment on the term loan, bringing the principal balance down to approximately $309.4 million as we entered Fiscal Q127. This represents a reduction of approximately 43% from the August 2022 peak of $548 million. Turning to guidance, we are providing both first quarter and full year Fiscal 2027 guidance. Our outlook reflects continued discipline and a measured view, given the broader macro environment, as we continue building a more diversified, durable business. We are leaning into where the market is growing fastest, while protecting profitability through the operating discipline we have demonstrated quarter after quarter. For fiscal Q127, we are providing the following guidance service revenue is expected to be between 175 million and 180 million dollars total revenue is anticipated to be between 180 million and 185 million dollars we anticipate gross margin between 63 and a half percent and 64 and a half percent reflecting the ongoing mix shift toward usage based revenue we anticipate operating margin between 8.5% and 9.5%. This results in a range for fully diluted non-GAAP earnings per share of $0.08 to $0.09 per share, based upon approximately 147 million fully diluted shares outstanding. In fiscal Q1, we expect to make cash interest payments of approximately $1.8 million, which reflects the term loan interest payment. The next semi-annual interest payment on our 2028 convertible notes occurs in fiscal q2 we anticipate cash flow from operations to be between 10 million and 12 million dollars for fiscal 2027 full year we are providing the following guidance service revenue is anticipated to be between 707 million and 727 million dollars total revenue is anticipated to be between $727 million and $747 million. We anticipate gross margin to be between 62.5% and 63.5%, noting the increasing amount of usage-based revenue in our revenue mix and potential variability in the proportion of usage-based revenue. Full-year operating margin is projected between 9% and 10%, translating to non-GAAP operating income of approximately $70 million at the guidance midpoint. We expect fully diluted non-GAAP earnings per share to be in the range of $0.33 to $0.38 per share, assuming approximately $150 million average diluted shares outstanding. For the full year fiscal 2027, we anticipate cash flow from operations of approximately $45 million to $52 million. Our fiscal 2027 cash flow outlook reflects the timing of certain non-recurring items. We expect to make $39.5 million of principal payments on the term loan during fiscal 2027, in line with the loan's amortization schedule. Looking back, fiscal 2026 was a year of meaningful progress on the financial fundamentals of the business. We returned 8x8 to year-over-year revenue growth, expanded our usage-based offerings, and delivered positive operating margins in every quarter, meeting or exceeding our guidance each time. We also significantly reduced our debt and cash interest costs, driving net income growth to over 19% for the year. The discipline we applied to managing the business gave us the flexibility to invest where the business needed it most while still expanding profitability. Our forward planning reflects continued focus on the same priorities. We view the work ahead as a multi-year journey, and the foundation we built in fiscal 2026 positions us well for what comes next. With that, I will turn the call over for Q&A. Thank you. As a reminder, to ask a question,

please press star one one on your telephone and wait for your name to be announced. To withdraw your question, please press star one one again. One moment for questions. Our first question comes from Citi Benagrahi with Mizuho. You may proceed.

Thanks, guys. This is Chad TV on here for Citi. Good quarter. I just wanted to start on sort of the fiscal year 27 service revenue guidance. You know, you're obviously coming off four consecutive quarters of good growth. Could you sort of walk us through the guidance range and any puts and takes you're thinking about as you're entering the year? Obviously, with the low end implying slight slowdown in growth versus 2% growth at the high end.

All right. So, I'm going to just start by giving you some context, and then I'll let Kevin fill in the details. I think the thing that you need to realize and sort of generically the street and our investors need to realize is that usage is now 23% of our revenue, and we don't have as good a visibility in usage when we go out three, four quarters. And so we are naturally conservative in how we forecast usage revenue out that far because it's not contracted. And so what you'll see from us over time, and we've tried to highlight this this last couple of years as usage has been growing steadily, is that we naturally will be slightly more conservative in our guidance because of those things.

Sure. I think additionally, look, our revenue geography is changing, too. We have about 40% international revenue. There's a geopolitical environment that's a little bit unpredictable at times. So there's no reason for us to lean forward, as Sam said, and I just want to point out that with respect to the revenue mix, we've been navigating through this for quite some time, and we're a fairly agile company, and we can manage our business to continue to deliver the operating income and the cash flows that are healthy for us.

Got it. Super helpful. And then just one follow-up here on the gross margin guidance. You know, understand there's a lot more usage revenue that's coming in and increasing as a percent of the mix, but wondering if you could break that down a bit for us. You know, how much of that is driven by sort of more traditional CPaaS and messaging versus some of your newer AI solutions? And anything you can share on the gross margin profile of those newer solutions would be super helpful.

Okay, so I'll start with this one. So let me break it into a couple buckets. If you look at our traditional UCCC business, those gross margins have been incredibly steady over the last couple of years with really no changes except for a little bit of quarter-to-quarter variability. If you look at, you know, SMS messaging, I think it's kind of the question you're getting at at the bottom of the stack, that commodity messaging. On a year-over-year basis, I would say the number of SMS messages we sent was not substantially larger. um what's been changing is the mix of all the things in between so we've we've done in our cpass business a higher percentage of more margin rich products um over the last year so that's been a positive and that's offset by the new ai products the new ai products when they launch for example ai studio for our new customers we're giving us some credits to get them started those kinds of things ai costs are very hard to predict um as you guys read the news as well as I do, Anthropic and OpenAI and others change pricing on a regular basis and those kinds of things. And so those products themselves, as they start, and I, you know, I find this with any really new product, as a new product starts, it starts at a lower gross margin. And then as we scale it and get economies of scale out of it, we'll grow the gross margins over time. One thing I'd like

to add onto the usage, you know, we do have a variety of margin profiles for the variety of usage products that we have. I think that over time, it'll also change perhaps a little bit as we expand some of our usage products geographically and not just focus in certain regions where maybe the pricing might be a little bit more competitive. The other thing I'll say about usage revenue is that it is much lower cost from an OPEX perspective. And while you see the gross margin percentage might decline we're focused on the dollars and so the gross profit dollars is something that we look at obviously very closely and more can fall to the bottom line so we're interested very much in scaling that part of the business and that's actually where the market is moving so we're going toward where the market is moving and we're not focused on a particular gross margin profile at a given point in time

awesome thanks very much guys thank you thank you our next question comes from peter levine with

evercore you may proceed thank you for taking my question um congrats guys on the kind of close to the year maybe just to follow up to the prior question just i know you said it's hard to get visibility but maybe help us understand how these contracts are structured you know in your pair remarks you kind of talked about outcome-based pricing it's more usage-based but are there kind of thresholds that these customers agree to in terms of usage um maybe just help us understand like how you know i don't visibility is light but just help us understand how these contracts are structured and you know what customers are actually committing to peter no problem at all look let me

just let me take the back and i swear to god i'll answer your question in excruciating detail in a second but if you think about new and emerging technologies right I think it's completely fair on our part, and we really think about the customer and put it at the center of our universe, going to a customer today and saying, hey, I need you to forecast how many voice AI interactions you're going to do a year from now or two years from now is, I believe, fundamental lunacy. And they think it's fundamental lunacy too. So the way we structure the contracts is this. we charge a reasonable rate on a per usage basis with zero commitment. And then as you raise your level of commitment, we will put a discount in to your rate on a per interaction basis, per outcome, per transaction, per credit, for however you want to think about it. So at a very basic level, if you give us a commitment for a year or even month to month, we will give you a 5% or a 10% discount. If you give it to us for a year, we'll give you a bigger discount, those kinds of things. But what we find is even when we get commitments, the customers just don't know a lot on the AI products and even on some of the CPaaS messaging products, how many marketing campaigns are you going to run, how many authentications are going to come in, how much OTP is going to happen, Those kinds of things. And so they always want to commit at a number that is substantially below what they think they're going to actually use. And so they're willing to capture some discount, but they always want to really get away from this concept of shelfware or unused commitment. And it's why we've embraced the usage-based business model, because it was obvious years ago to us, the CFOs were getting incredibly frustrated with unused seats and unused software. Trust me, my CIO is incredibly frustrated about it. And so that was why we were going to see more and more of this consumption-based pricing, you know, driven by credits or dollars or however you want to do it. But really, it's that notion. And so long-winded answer, Peter, to say a fair price on a per-interaction basis and a discount when you're willing to commit.

No, I appreciate the detail. And then maybe, you know, for Kevin, maybe help us understand, like, what's the threshold then on gross margins? And then when can we see that kind of start to tick up? I know, again, my prior question, it's hard to get the visibility, and we're still trying to figure out the seasonality, but where's, like, what's the threshold for gross margin? Similar question on the OPEC side, you know, where OPEC margins call it sub, you know, call it 9.5% this year. You talked about cutting costs out of the model. Just kind of help us the pull and take between, you know, the gross margin impact and where's the cost coming out on the

operating side. Thank you. Sure, sure. I mean, look, we don't have a precise answer on the gross margin threshold. This is about mixed, right? And we talked about it being a little bit more difficult to predict. What I would focus on on the cost side is cheaper routes to market, okay? So, we're deploying AI internally to generate pipeline, to have customer interactions and sales processes that are much cheaper than they were in the past. So, we're focused there on And not only increasing the revenue from that, but doing it in a much cheaper way. Other areas internally where we're deploying AI operational efficiencies across the entire org. We're covering more customers through the support systems that we have in place, and we're doing that more cheaply. So cost to delivery, cost to deliver should come down naturally over time as we deploy these operational efficiencies. And again, from my perspective, we have a multi-year track record of being agile enough to adapt to any margin percentage change to have an operating income and cash flow that delivers what we need to delever and strengthen our balance sheet. So it's difficult for me to have thresholds for you, Peter, but it's something we're constantly looking at, and I'd like to see us over the long term, again, if the usage goes up at a lower OPEX cost, you know, double-digit non-GAAP operating income percentages is really the target I have in mind, and I'd like for it to stay there and grow.

Hey, Peter, one other thing I want to just add on kind of riffing on what Kevin's saying, and I need you to kind of keep this in mind, is forecasting token usage and cost is really hard right now, even for us as a software company, right? So we have our developers running on one of the coding by coding engines. We have our marketing department using automation for content delivery and all those kinds of things. And the cost associated with tokenization and what's happening is really hard. And I think we haven't even started the game yet or the top of the first inning around token optimization. I'm sure there'll be some startup companies that come about over the next few years that help demise token usage, but it's still early, and so it is really hard to sort of have these notional thresholds because something that's a low-margin product, after you rinse and repeat it through AI a bit, can become a pretty nice margin product once you get it up that

Yeah, and I think some of the things that companies do and that we did, Sam alluded to it earlier on the call, where you're seeding your customers with some free usage and so forth, that can really, really grow very, very rapidly and drive a whole lot of top line revenue with not a lot of operational costs. So, I look forward to that happening for us at some point.

I appreciate you taking my questions.

Thanks, Peter. Thank you. Our next question comes from Catherine Trebnik with Rosenblatt Securities. You may

proceed. Yeah. Hey, I have a question more on debt and free cash flow and capital allocation. So you reduce the debt 43% from 2022 peak and consistently you've done a good job of generating operating cash flow. So my question is, how do we look at 27? Are you prioritizing cash flow, further deleveraging, reinvestment in AI, usage-based products, what do you, anyway, can you help me out there? And then I have a follow-up.

I got it, Catherine. So, look, I would say what's changed slightly for us is, you know, we did two acquisitions last quarter, so the acquisition engine is sort of back in at 8x8, and we're really proud of the acquisitions we did, so we did one last year, and we did... I think we did a total of four last year, sorry. We did one a year ago, and then we did three last quarter. So we're tucking in some really interesting technologies that we can use to sort of round out the portfolio and offer better solutions into our customers. So that's the use of capital. We delivered another $14.5 million in April. That's the use of capital. And we did buy back shares a couple quarters ago. Share buybacks are a little tougher because, you know, I've got to work around covenants and bank things and other things. and so I might my preference is sort of in rank order acquire things that help us you know improve our customer outcomes pay off debt and then buy back

stock number three yeah and Catherine we do we have like thirty nine and a half million it you know forty million dollars of debt payback in this year's plan including including the egg including the 14 and a half okay and then

just a little bit bet on you had a good quarter Sam so congratulations on that and um we do like your new color scheme so you have to tell your marketing guy that on the platform differentiation verse of peers so you've been you know you're open orchestration centric platform versus more more closed ecosystems of the peers can you kind of explain to me why on a competitive and takeaway today at how these LIN rates or average deal sizes for AI-enabled CX deployments, I mean, how are they coming together? I'm kind of curious on that aspect.

Sure. So two things. First, I'll say to stat, right? 67% of CFOs and CIOs want to go to, you know, consolidate the number of vendors they have. And so, you know, first and why, right? Lower total cost of ownership. So what you're getting from us is if you consolidate your spending dollars with 8x8, you're getting a business communications platform. I believe the walls are coming down with these categories of UC and CC and CPaaS, right? Our engaged product interactions was up 300% year on year. Is that a CC product? Is that a UC product? Yeah, it's somewhere in the middle between those two, right? And so the walls are coming down between these segments. Corporate America and corporate world wants to consolidate on the vendors, and they want to pick a vendor where they can get economies of scale in terms of spending and discounts, contract simplification, worldwide support, single throat to choke, all the things that you've heard over the past, right? So when we, you know, I would say when we pitched that story five years ago, there was a pretty big technology discount you had to get from 8x8 to get that story. Today, I think that technology discount doesn't really exist. We have world-class CPaaS. I think we're number 11 or number 10 in the world in terms of CPaaS volumes, right? So we're way in front of most of our, you know, normal competitors. We've got great contact center. We've got Engage, which completely is differentiated from others. We've got UC, and now on top of everything else, we've got AI Studio, which is absolutely amazing in the sense that it's, you know, prompted, et cetera, and you see it. And so I think when we go into a company, oh, sorry, when we go into a company, what we're trying to do is have a business communications platform discussion and not have a UCCC, let me dive bomb pricing, because that's what my competitors like to do, conversation. All right. Well, thanks, Sam. Appreciate it.

Thanks, Catherine.

Thank you. I would now like to turn the call back over to Sam Wilson for any closing remarks.

Thank you, everyone. Thank you for joining us today. I'd just like to sort of end with this concept, right? We're operating from a position of strength. We have a clear strategy, which after four quarters of growth, which some of you doubted clearly, is working, solid financial fundamentals, and growing confidence in our ability to compete aggressively in a rapid evolving market. And let's not forget, it's somewhere between $70, $80, $90 billion in size, depending on which third-party analyst you use as a reference point. I think we're in a great position as a company to move forward. I thank you for a chance to sort of give you an update on where we are, and I look forward to talking to you again after the end of next quarter.

Thank you. This concludes the conference. Thank you for your participation. You may not disconnect.