William Feehery: We are aware of the discussions in pharma about the Inflation Reduction Act, but we haven’t seen anything that would affect us there. We tend to invest in whatever pharma does, whatever therapies or molecules that pharma is interested in is. We tend to get pulled along. And so if there is a change in their investment from one therapy to carry to another that will eventually affect us, but we haven’t seen signs of that so far or any discussion of a major shift that would affect us.
Operator: Our next question comes from the line of Joy Zhang from SVB Securities.
Joy Zhang: I think you highlighted sort of the better than expected performance on the software side. And obviously that shows strong traction in marketplace and execution. But curious if there is anything to call out in terms of any sort of improvements in the overall sales environment, especially compared to sort of your prior commentary about elongated sales cycles in the past couple of earnings calls?
William Feehery: You are going to start with that one, Andy or are you
Andrew Schemick: I couldn’t quite hear everything, but if you could start, I can — I don’t know if it’s
William Feehery: Well, we ended the year with a book-to-bill ratio of 1.22. And if you recall, the way we report bookings is on an annual basis. So on the occasions where we might do a three year deal, we only report one year to make it indicative of how we are likely to do for our current year. So 1.22 is a number that is pretty healthy and ought to produce guidance, revenue results within the guidance. We have clearly got a lot of work pre-sold already as we are going into the year. I think during the fourth quarter, we saw healthy bookings. Our bookings tend to vary a bit quarter-to-quarter because you will have large customers will book a little bit earlier, a little bit late, it doesn’t really matter for revenues, which quarter they get into as long as they get into the year.
So that’s what we tend to guide, everybody to look at the trailing 12 months bookings number, which is quite healthy as we go into 2023 on software and on services as well. We’ve got a lot of — we have accelerated our new product introductions since the IPO. So we have got some new products out there, which started to get some early adoption last year in which we have got, I think, some hopes and reason to believe we will start to accelerate and we’ve got more things in the pipe line as well. So I mean overall, I think it’s — we’re in pretty good shape and there’s a lot of really good things going on in terms of future development that we think will pay off as well.
Joy Zhang: And as a follow-up would you have any sort of updates on the Memorial Sloan Kettering partnership you announced last summer, and how that’s progressing? Know that something that takes a few years to be meaningful on the revenue side, but any sort of early color on the product development side would be super helpful.
William Feehery: Well, it’s still work in progress. The Memorial Sloan Kettering relationship gave us access to extremely valuable data that we can use to build biosimulation around it. It would be extremely — it’s one of a kind. It would be extremely difficult to get access to that. So we are investing in it and proceeding, but nothing to report yet. I mean, as we said before, these things tend to take two to three years before they come out with a product. So give it a little bit of time and I think we’ll see something pretty cool come out there.
