John Rettig: Yes. Thanks, Jonathan. I’ll take that question. I think we talked about a few times before that we’ve been really successful at driving expanded monetization over the last couple of years, but it’s not perfectly linear quarter-to-quarter. Our primary goal is finding the right payment method between buyer and supplier in order to drive the transition to electronic payments and repeat transactions. And I think we’ve been very successful at doing that. In any given quarter, there is a lot of moving parts. In the December quarter, we continued to drive adoption of ad valorem payments. But there were some other factors that influenced our monetization expansion. Examples would be we had a slight headwind associated with foreign currency given the U.S. dollar weakening.
That was roughly 0.1 to 0.2 basis points in the quarter, a slightly lower monetization expansion because of that. We also saw a much higher percentage of ACH payments versus check payments, which is a good testament to our ability to drive electronic payments, and we’re now roughly 85% electronic overall for the business. So near term, our expectation is for monetization expansion probably to be similar to what we saw in the second quarter, which is slightly below historical averages. But looking at the longer-term opportunity, we’re still very confident that we can continue to significantly expand monetization, especially given our large network and our expanding supplier network enablement capabilities over time.
Jonathan Lee: Hey thanks for that color. A follow-up here, how should we think about sales and marketing leverage at Divvy? I mean given some of your private competitors and the state of the funding environment, have you seen the intensity in sales and marketing spend there soften a bit?
John Rettig: Well, as you know, the spend management market, which frankly Divvy helped create and has been a leader in the space for a long time, it’s still very early in its evolution. We’ve been working in the AP automation space for a long time and the spend management is even earlier. So there is still the need to drive awareness, to connect with prospective customers to change behaviors around a completely new way of doing business. And we’re continuing to invest in growing that segment of the business and tapping into that market opportunity. I would say we’re less influenced by day-to-day competitive pressures, just given the sheer size of the market and the very small number of businesses in total that have adopted the type of solution that Divvy offers. Obviously, as we scale as a company, we’re approaching $1 billion in revenue; we do expect to create operating leverage across the entire business, sales and marketing included.
Jonathan Lee: Very helpful, thanks guys.
John Rettig: Yes.
Operator: Thank you. Our next question comes from the line of Kenneth Suchoski with Autonomous. Your line is now open.
Kenneth Suchoski: Hey good afternoon Rene and John. Thanks for taking the question here. It seems like you’re factoring in a recession in your TPV growth outlook. So can you just talk about the different levers you can pull, whether it’s on the transaction side, the subscription side or maybe even the Divvy side that might support revenue growth as volumes seem to be coming under pressure from the macro environment? And I’m just curious to get your appetite to pull some of those levers over the coming quarters. And then I don’t think I heard the FI TBV contribution in the quarter and the TPV per customer growth, XDFI channel. So any color there would be great. Thanks so much.
