I think on the customer win side, we’re seeing strong successful wins in a variety of segments in the market, that give us confidence that we’ve got a very compelling value proposition for these folks; both the folks who are focused on the cloud transition, and the folks who are focused on the applied AI opportunities, that are a little bit more forward-looking.
Bobby Dee: That’s great. And then how have the opportunities expanded with maybe more nontraditional verticals, like corporate development and in-house legal teams? Are you seeing traction there or anything to call out in emerging use cases?
John Hall: Yes, definitely. There’s a broad ecosystem of firms and companies who participate in both the private capital markets and all the advisory services that go with them. And we’ve seen good traction in several of the additional subverticals. We talked about corp-dev specifically with one of the examples on the call today. We also have shown a lot of progress in private credit, which is a relatively newer area for us. But as I already talked about, that’s a big booming space right now. So several of the industry blueprints that we brought out more recently, have been intentionally focused on addressing some of these additional new sub-verticals for us and represent great expansion opportunity for us.
Operator: And our next question coming from the line of Alex Sklar with Raymond James.
Alex Sklar: Great. John, first on the Microsoft go-to-market partnership and some of those changes there. Can you just elaborate on your prepared remarks in terms of what you’ve seen from a rep enablement standpoint. So the idea how many Microsoft sellers are familiar with Intapp now versus a year ago? And what are you doing on the Intapp side to kind of drive further rep enablement and arm those kind of Microsoft reps?
John Hall: Thanks, Alex. So we’re very excited about the progress that we’re continuing to make with Microsoft. We’ve been working with them for 18 months or so now, as you all know, and it’s been a steady program starting with the product and then more recently, several steps in the go-to-market, including this most recent one, where Microsoft has shifted its seller incentives to reward people for selling things from the Azure marketplace, which includes all of Intapp solutions now. The support that we’re getting from Microsoft has increased pretty meaningfully. One of the big things that happened this quarter, was they started adding global partner managers in addition to U.S. partner managers to our relationships. So we’re very excited about that, because up until now, it’s been a U.S.-focused relationship.
So our team, not just in the U.S., but our whole global team is meeting with and working with the Microsoft sellers in all of our geographies, and we have a regular review meeting between our go-to-market team and the Microsoft go-to-market team quarterly or more frequently. So that kind of connection, I think, is an increase in the volume of conversations, deal by deal. We’re also successfully getting into some of the larger accounts, where we can bring Microsoft in through the MAC agreement that we’ve talked about earlier, and there’s a lot of excitement about that because the clients have already committed to spending X with Microsoft, and they can soak that up by buying solutions from Intapp now.
Alex Sklar: Okay. Great color there. Dave, maybe then one follow-up for you. Just with ARR kind of reaccelerating versus the fourth quarter, can you just provide some more context, because that’s the result of kind of better expansion activity? I know it’s a wide range, that $1.13 to $1.17, but did you see that step up or is that new logo ARR pick up?
David Morton: So to give some color on that, yes, we did see a small step-up in our NRR. We saw, I would say — we over probably indexed on our expand motion than the net new. And so for us, we have both of those motions clearly, but those expands, we continue to earn our way into these respective clients. And we continue to move just far beyond that original land. So we had quite good success this past quarter with that.
Operator: And our next question coming from the line of Saket Kalia with Barclays.
Saket Kalia: Okay. Great. Nice solid print for the quarter. John, maybe for you. I think one of the questions that I get often, is just the cyclicality of the DealCloud business, right, just given the end customer there with private capital. Can you just talk to that at all, just given the volatility in some financial markets, how does sort of that thought maybe compare to what you actually see in the DealCloud business? Does that make sense?
John Hall: Obviously, I think we benefit from the larger structural trend toward private capital, and that’s happened for us over many years and continues to happen. So there’s a general demand for these firms who have raised small, medium or large funds or one or many funds, to need infrastructure to run the firm and to need purpose-built infrastructure that’s designed specifically for the way that the private capital operation runs. And historically, those firms have been relatively underserved with technology. So I think there’s just an underlying modernization opportunity that’s independent of the cycle that you’re describing, which is obviously true. But I think we benefit from being pretty early in our penetration of the space, the fact that most firms have not gotten to the cloud and not gotten the applied AI technologies deployed, that really fit their business in the way that DealCloud does.
So I think there’s just an underlying trend that’s helped us. And then we’ve moved up into the multi-strategy category now, which has taken us a while to get there, but a lot of our opportunity is in these large multi-strategy and private capital firms that are pretty diversified. And what you see them doing is very analogous to what the professional services firms have done as well for many years, which is to shift their emphasis on where they’re raising funds, the types of funds strategies that they’re deploying, into areas that fit the current economic cycle so — current point of the economic cycle. So I think where we see a lot of growth generally on top of that, we get surges in demand across different strategies and categories. And that’s one of the reasons the Industry Solutions strategy is working for us, because we’re able to develop specifically for the segments of the market that are really in growth mode.
And so I think it’s a pretty stable foundation, with some great opportunistic sales opportunities on top.
