Joe Binz: Yes. Thanks for the question. Let me just talk a little bit about the differences between SMB and Enterprise, and I think it will get to your question. The SMB segment of our business is the most sensitive to macro and it has been the most impacted over the last year by the macroeconomic headwinds. We also do see the impact of changes in SMB in our cloud revenue sooner than in enterprise, simply given the mix of monthly cloud billings that we have in SMB. So I do expect SMB to be an area that will most benefit in our portfolio if macro improves, and we’ll see that impact in a fairly timely way in our revenue and P&L when it occurs. Now as you point out, Enterprise has slightly different dynamics. It’s been less macro sensitive over the last year, still impacted by macro, but not to the same degree as SMB and as you pointed out, Enterprise also benefits from the investments we’ve made to unblock cloud migrations and improve enterprise capabilities, including premium enterprise SKU value.
And they purchased that value through a higher percentage of annual and multiyear contract billings and that reduces the quarter-to-quarter revenue variability to some degree. So you will see that play out over time, and it does take longer for us to see that goodness from enterprise fully reflected in the P&L as a result of that.
Operator: Your next question comes from Austin Cole from Citizen JMP Securities. Please go ahead.
Austin Cole: Yes, thanks for taking my question. Congrats on the results. So just cash now exceeds $2 billion on the balance sheet kind of a milestone there. I was wondering if you guys could share anything on how you guys are thinking about M&A strategy at this stage?
Joe Binz: Yes. Thanks for the question. I’ll talk a little bit just in general about our capital allocation philosophy, which really hasn’t changed. The first priority is investment to drive the long-term growth of our business, both from an organic R&D and sales and marketing perspective as well as you point out, mergers and acquisitions and strategic investments. And from there, we typically look to opportunistically return capital to shareholders as we’re currently doing through the share repurchase plan. So Atlassian has always done M&A as part of its growth strategy, and that continues to be part of it going forward as well. Scott?
Scott Farquhar: I don’t think there’s any change to our philosophy, irrespective of what our balance sheet numbers look like. We’ve always been a company that thinks about the long-term in terms of our investments. And it’s not going to change as a result of having a large or a small cash balance out there. We look at the right things suites like from a new customer acquisition perspective. We don’t want to dig up a hole to the suit. We’re willing to sit around and wait for something that really hits us and really provides value to our customers. And so for us, we’re always on the lookout for great value assets, and we’ll do them when the time is right, not irrespective of our bank balance.
Operator: Your next question comes from Fred Havemeyer from Macquarie. Please go ahead.
Fred Havemeyer: Hi, I’m back. Thank you. I wanted to also ask on the ITSM side of the business as well in Jira Service Management. Just the enterprise growth, in particular, I think you noted about 80% year-over-year is looking quite impressive. Just was hoping to better understand, to the extent you can describe kind of how much of those Jira Service Management customers you would qualify as enterprise at this point in time? And then secondly, what’s really started to work there to be able to turn on that enterprise growth within Service Management?
