Joe Vruwink: Great. Hi, everyone. Thanks for taking the questions. One up front, just on the composition of RPO bookings across WMS, OMS, TMS, have your expectations changed at all in terms of the relative share of what’s flowing into your backlog just given how the era started?
Eddie Capel: No, I would say, you know, advances by quarter. You know, we talk about that all the time, Joe. But in terms of the makeup, I think we expect it to be pretty consistent. The way I think about it is on an annual basis, it’ll branch around quarter-by-quarter.
Joe Vruwink: Okay, great. And then active WM, that debuted in the spring of 2020. You saw a pretty nice step up in RPO bookings really towards the end of that year and then certainly 2021. So the early adopters at this point, they’re in year three, year four some are maybe coming up on renewal conversations, but certainly many are far enough along and live where you probably engage with the new cloud installed base just on cross-selling? How has that experience, both experience at renewal and then maybe net retention experience over the course of that initial five years so engagement. How has that fared so far and does it change at all kind of the evolution of your model as more of the model is just going to reflect cloud financials and how the renewal base is evolving over time?
Eddie Capel: Let’s see, quite a bit packed in there. But we haven’t seen, obviously, material renewals just yet. Because to your point, we haven’t even quite met the four-year mark for launch. So next year and the year after is when we’ll start to see more of the renewals, that renewals. Net retention rate is very, very strong. Cross-sells, we’re pleased with. I know I’m a bit of a broken record here, but again, banks are around a little bit quarter-by-quarter. You know, this quarter I think the cross-sells were in the 20%, maybe just a tick above 20%, that seems to bounce around, frankly, between anything from 15 to 35 on a quarterly basis, but usually settles in annually to be around about 25% cross-sell, upsell.
Joe Vruwink: Great. I’ll leave it there. Thank you.
Eddie Capel: Okay, thank you, Joe.
Operator: Our next question is from the line of Mark Schappel with Loop Capital. Please proceed with your questions.
Mark Schappel: Hi, thank you for taking my question. Eddie, could you just provide a little bit of an update on the Shopify partnership that was announced recently, specifically with respect to the product integration efforts?
Eddie Capel: Yes, sure. Sure, I’d be happy to, Mark. So we announced that at NRF in earnest and seen a lot of interest around the Shopify partnership. I’ll try to make it short. The gist of it is that Shopify sees an opportunity for them to come up into the enterprise with their web store and e-commerce storefront. We obviously are a great partner for them because they would love to be able to integrate directly into our enterprise class order management system and get after our enterprise order management system customers. So that’s, sort of, great news for them. We think there’s going to be, over time, a wave of e-commerce platform replacements, given some of the older systems have, kind of, fallen off of the wayside and so forth.
Obviously, Shopify do as well. And we’d like to attach to that replacement cycle as it happens over the next few years, hence the benefit of the partnership for Manhattan Associates. You know, we’ve busily been building standard integration and out of the box integration with Shopify and our R&D teams on both sides have been working very closely together and seems to be — it is seems to be an — it is a very productive relationship and partnership. And looking forward to seeing what comes of that in the future. It will feature as one of the things that we talk about in a little more detail, momentum with our existing customers as well. And I think it’ll be interesting for them.
Mark Schappel: Great, thanks. And then growth in the Asia-Pac region seemed a little bit softer this quarter than maybe in the past. I was wondering if we should read anything into this, or is this just quarterly variability in the numbers?
Eddie Capel: No, it was actually pretty strong this quarter. Now, as you know, APAC for us is in the 6% to 10% of our revenue, so it can be a little bit on the smaller side from an actual numbers perspective. But we had a good quarter, frankly, good margins, and the pipeline looks pretty good in APAC as well, maybe with the exception of China where things are not quite as strong for us.
Mark Schappel: Great, thank you. That’s all.
Eddie Capel: Okay. Thank you, Mark.
Operator: Our next question is from the line of George Kurosawa with Citi. Please proceed with your questions.
George Kurosawa: Thanks for taking the questions. Happy to be on the call. Maybe just high level on the demand backdrop. You guys described kind of a volatile environment that you’re executing through. Maybe you could just double click on kind of what you’re seeing there relative to what you saw last quarter and if there’s kind of any particular vertical that you described as maybe seeing a little more impact? Thank you.
Eddie Capel: I would say no, George. And look, the macro — the volatility that I’m referring to is the exact same volatility that every single company on the planet is observing. Look, I’m going to repeat myself from, I think, last quarter, 12-months ago, there was a healthy amount of macro volatility and so forth around the world. And it seems to us that none of those have come off the table, but more issues have been added to the mix, just hence the reference to the volatility and so forth. But it hasn’t had a particular impact on any vertical. For us, as I pointed out in some of the wins for the quarter, we’ve got pretty good diversity across airlines and paint suppliers and golf equipment, retailers, and so forth. So we feel pretty good about the diversity and how we can smooth out some of that volatility. But I think it would be inappropriate for us not to mention you know all of the you know the backdrop of the things that are going on around the world.
