John Rettig: Thanks, Bryan. I’d say no surprises. We for, I think, a few quarters now talked about the beginnings of shifting patterns from SMBs and their spend behavior, starting with mid-market customers, then extending to all sizes. And now we’re seeing some changes in spend, not just in discretionary items, but kind of across the board. It’s not true across all categories, but we’re seeing businesses adjust. And so we’ve taken that into consideration. We’ve also assumed slightly lower monetization expansion in the second half of the year. We think that is temporary as is the spend patterns from SMBs. We are at a point in time now where economic conditions need to be taken into consideration for all businesses, but we’ll obviously grow through this particular cycle as well. So we’ve tried to account for really the trends that have continued throughout this fiscal year versus something new that’s happened, say, recently.
Bryan Keane: Thank you.
John Rettig: Thanks Bryan.
Operator: Thank you. Our next question comes from the line of James Friedman with SIG. Your line is now open.
James Friedman: John, Rene, I was encouraged to hear your comments about pricing on the subscription side. I was hoping you could unpack that a little. Is that only direct? Is there an opportunity to take price or set price rather on the FI channel as well? Any commentary on the pricing would be helpful? Thank you.
John Rettig: Yes, we’re in fiscal 2023, we’ve announced a price increase that impacts our BILL direct and accounting clients, basically. So it’s not in the financial institution channel. And it’s a phased approach. It’s been some time since we’ve done a price increase, I think, more than in two years, and it will be later in the fiscal year Q4, so before the effect of the price increases across all of our direct and accounting channel customers. So we think we still are positioned really well from a value proposition standpoint and what we can help small businesses accomplish relative to our low price points considering some of the other software that they invest in. So notwithstanding the price increase, we still feel really good about the value proposition that we’re delivering for small businesses.
James Friedman: Thank you.
John Rettig: Thank you.
Operator: Thank you. Our next question comes from the line of Brad Sills with Bank of America. Your line is now open.
Brad Sills: Great. Thanks guys. I wanted to ask a question on the core transaction business. John, you mentioned an FX impact in there but I think even ex that, a little bit lighter monetization. So could you comment on whether or not you saw any impact from the macro on the uptake of cross-border virtual card, the Ad Valorem Services? And do you think exiting the macro, we might get back to the same level you had been seeing in that kind of uptick quarter-to-quarter in the core transaction business take rate?
John Rettig: Yes. Thanks for the question, Brad. I’d say we haven’t seen any direct impact on monetization expansion from macro. Certainly, indirectly there could be some influence. But as I mentioned before, it is normally not linear or expansion. We’re working hard to optimize payments for repeat transactions more than monetization expansion. And I think the conditions that we’re operating in now really that SMBs are operating in is at some point going to be temporary, and I think beyond this particular uncertain period we’re very confident in our ability to continue to expand monetization at historical rates are better. But in the short-term, we’ve tempered those expectations given the conditions that we see in the market.
