John Rettig: Yes. Thanks for the question. First, on Divvy, we’re €“ obviously, we’ve been very proactive at managing the growth of Divvy and improving over time, our capabilities around risk management and the card program there, which obviously has a very short repayment cycle. It’s a charge card, not a revolving credit card with an average payment cycle around 10 days. So we’re very proactive in managing that. And part of what we’re doing is improving the overall sort of health, their financial stability of the customer base associated with that charge card. And we feel good about the progress that we’re making there. And we obviously do take the macro conditions into account as we’re making some of those decisions. On the share repurchase that was authorized. This is an opportunistic program. It’s not an accelerated purchase or programmatic effort at the moment.
Tien-Tsin Huang: Great. Thank you for clarifying.
Operator: Thank you. Our next question comes from the line of Samad Samana with Jefferies. Your line is now open.
Samad Samana: Hey, thanks. Hi, Rene and John. Maybe just €“ I know that the question on guidance you’ve been asked, John, I wondered maybe drilling a little bit more specifically, if I think about the 3Q guidance for TPV being flat year-over-year for BILL, I think that would imply that the same-store sales equivalent or existing customer TPV would be down maybe year-over-year? And assuming that new customers are still adding TPV. I’m just curious if you could maybe break it apart that way. And then just also whatever your retention expectations are for subscription in the forward guidance would be helpful.
John Rettig: Yes. Thanks, Samad. Yes, we’ve estimated flat on a year-over-year basis. And the changes in absolute TPV there’s less growth coming from the existing installed base, the new customers acquired in the last, call it, year or so are obviously still getting up to speed on the platform. And so there is some embedded growth there. And obviously, if you look at the year-over-year numbers and translate those into the transition from December to March quarter, it’s actually a decline on a quarter-to-quarter basis. That also factors in the seasonality associated with March. So it’s not just the macro conditions there. And we’re expecting €“ I don’t think we’ve talked about a specific retention number associated with subscription revenues, but it is an important part of our monetization and our pricing and packaging, and so we aren’t expecting any significant changes there.
I think as we mentioned on the earlier comments, engagement and retention of customers continues to be very strong, consistent with recent history.
Samad Samana: Great. Thank you, John.
John Rettig: Thanks, Samad.
Operator: Thank you. Our next question comes from the line of Bryan Keane with Deutsche Bank. Your line is now open.
Bryan Keane: Hi, good afternoon guys. John, my question was around kind of the guide as well. We’ve all gotten a custom to build raising guidance, especially some of us are taken by surprise whenever there’s any adjustments in the core growth. So just trying to figure out what surprised you that you’ve had to adjust the core revenue down. Was it just the €“ is it just TPV impact, the fact that SMBs have kind of frozen? Or is there other things in either the sales channel or pricing or adding add-ons anything like that, that’s also kind of impacted the guide kind of surprised you from what you originally thought? Thanks.
