LivePerson, Inc. (NASDAQ:LPSN) Q3 2022 Earnings Call Transcript

So I just think as a company, we really, and people, even the people who work here, we get excited by working on that. The other thing is, from an AI perspective, they have these large data sets. I mean, so we generate a lot of conversations. They have a lot of internal data and the ability to sort of crack the note on how do you automate all that at scale, that that’s exciting. So I think for us, for now, that’s where our focus is. It’s been our focus. We’re trying to get more streamlined, into ’23. We just want to be operationally better at going after that and that’ll be our focus for the near to medium term.

Zach Cummins: Understood. That’s, that’s helpful. And final question for me geared towards John, in terms of the double digit adjusted EBIDA margin target that, that you’ve put out there for 2023, is there any sort of needed growth that, to achieve that sort of target or, or what are some of the puts and takes that, that give you to confidence around that double digit adjusted margin target?

Rob LoCascio: Sure, there’s certainly a revenue component, but as we think about the, the, the range of double digits that are possible even in a, in a lower growth scenario, we’d still be able to achieve that goal that we’ve set for ourselves.

Zach Cummins: Understood. Well, thanks for taking my questions and, and congrats again on the quarter.

Operator: Next question comes from the line of Tom Blake from KeyBank. Please go ahead.

UnidentifiedAnalyst: Hey guys thanks for taking my question and congratulations on the results. I might have missed this, so I apologize if it was already discussed, but just wondering about the installed base and expansionary growth. I know I saw the new bookings growth. Just wondering specifically if there’s any during the pandemic there was some pull in from other of your peers in terms of spend there, if there’s any type of like maybe shelfware an old term, an old term there, right. But that you’re worrying about or kind of monitoring as you go into 2023? I have a follow up.

Rob LoCascio: No, I wouldn’t say we have anything other than the sources of revenue that we’ve discussed previously. From the pandemic, namely the COVID 19 testing, primarily if one particular customer, Citi group and the pandemic accelerated variable revenue in our gain share portfolio, which has both of which have largely rolled off the P&L in the first half of 2022. As Johnson, we accelerated some pull into the Q3 because of customer usage. So there’s not really any shelf, there’s no shelfware in the customer base per se. If anything, we’re pulling stuff in where we have, they hit their — they’re hitting the top of their range on their usage, they’ll go into overages. So then we restructure the deal, to like move them to another tier. So

UnidentifiedAnalyst: That’s a great follow up there. Thanks Rob, for the clarification and solid to have, a new bookings and installed base growth heading into out year would be it does seem great. And my second and last question is just on the defensible of LivePerson’s technology. I think this is tenfold led, but, adding LivePerson to these larger platforms, I’m just wondering, maybe it’s for Rob, if you could just add maybe a comment or two about, the defensible of the technology as maybe hedging off of a long term risk type of question of consolidated technology or consolidated spend of the LivePerson functionality as you attach yourself to these larger kind of strategic mandates. Thank you.