Nik Cremo: Thanks for all the additional color. It’s very helpful. And then, my follow-up for Larry, it would be helpful if you could just provide some additional detail on the guidance assumptions for the remainder of the year for the consumer lending business, excluding mortgage, just across the various loan types such as like auto, personal, credit cards. What are you thinking from a volume perspective relative to Q1? Thanks.
Larry Katz: Hey, Nik, nice to meet you, and thanks for the question. So, in general, we are looking at — we’re cautiously optimistic in the second- half. We are given the rate environment, we have pulled back on some of our assumptions in the second- half from our prior guidance. And just to give you a little bit of color on it. And we’re referencing industry sources and all the rest here, but looking at our own business and where and how our segments are performing. On the auto side, we are expecting some modest recovery in the back half, in line with industry sources as the used market, which, as you know, represents the majority of our consumer lending business. As that begins to recover, we’ll see some pickup in the back half.
And similarly, in other non-asset-backed loan types of account [indiscernible] had a relatively soft first quarter, just given the comments to last year, and we’re expecting some pickup in the back half and other personal loans and credit cards have remained pretty healthy and will be stable to positive through the back half. But just generally, I’d say it’s pretty modest recovery given our outlook, our rate outlook.
Nik Cremo: Thanks a lot for all the color.
Operator: Thank you. [Operator Instructions] And your next question comes from the line of Adib Choudhury from William Blair. Please go ahead.
Adib Choudhury: Hey, guys. Thanks for taking our questions. If I could just ask on ACV release, I mean you guys have talked a lot about accelerating implementation, and clearly, some set release benefiting results now. But could you kind of just talk about where we are in that journey and how that’s kind of been trending? Thanks.
Larry Katz: Yes. It’s Larry again. Thanks for the question. So, question is on ACV release. Look, we talked a lot in prior quarters around acceleration of our ACV release. And we are seeing that in the quarter, right? The story in the quarter is that ACV release, both the new and cross-sell. That release is accelerating and it’s offset by volumes. And so, you don’t see it as much in the numbers, but that’s kind of the underlying trend and is really the part of the coil spring story that we’ve talked about. On a period-on-period basis, ACV is up, and that’s a benefit. I mean, there are a couple of things going on there. One is as our bookings have — go to market has become has built a bigger pipeline that drives ACV release services investment that has increased our time to revenue as we’ve talked about in prior quarters, but also there’s a mix component here where new implementations can take longer to implement and the cross-sell is a quicker implement, and as we’ve talked about, cross-sells a big chunk of our business.
And so, there’s a mix element here as well that drives ACV relief. So, we are seeing it in the numbers, it doesn’t show up as much, just given the macro headwinds that we’re facing. But it is based into the numbers.
Adib Choudhury: Perfect. And if I could just ask on MeridianLink Access, could you kind of just talk about how that product has kind of trended relative to your initial expectations over the last couple of months? And how the offering is differentiated versus some of your peer offerings? Thanks.
Chris Maloof: Thanks for the question. So, we released this product in H2 of last year. And the number we talked about last quarter was 50, I think we sold 40 to 50 of them. So, that’s in line with expectations as we continue to mature the product. Now, as far as differentiation is concerned, is when we think about ML1 from a data perspective, the more aspects of the platform you have, the better the data you’re going to have on how effective each part of your organization is and driving originations. And that’s the central part of the insights and data product that we’ve had continued success selling as well. So, if you were to leverage one of our partners, which is great, and we enable our customers to extend our solution with third parties as we highlight, you wouldn’t have some of those extra features that allow you to optimize your business for the different channels you’re operating in.
Adib Choudhury: Great. Thank you very much.
Operator: Thank you. [Operator Instructions] Your next question comes from the line of Alex Sklar from Raymond James.
Alex Sklar: Great. Thank you. And nice to meet you, Larry as well. Sorry, jumping between calls here. Larry, just the first one for you, I just kind of wanted to see — I know it’s fairly new still, but the next couple of months, where are you most focused on in — specifically as it relates to kind of the accelerating growth comments you made, aside from some of the macro headwinds easing.
Larry Katz: It’s nice to meet you. Look, I think focus on there’s — we’re focused on controlling what we can control, right, and given the macro. And those are around ACV release around time to revenue around bookings and obviously, pipeline release around focused on understanding churn and managing churn and then on pricing as well, kind of all the key elements of value creation. And then, as I mentioned in the script also on turning up the inorganic efforts as well. We think there’s a real opportunity in the market right now, given valuations and liquidity that is really — we’re well positioned there as well. And given our recurring revenue and free cash flow, I think we’ve got a meaningful opportunity there to add on when we see product market fit and when we see — and when it’s accretive and when it makes sense for us. So, that’s an area as well that we’re spending a lot of time in over the next — and we’ll be over the next quarter.
