Aleksandr Zukin: I guess maybe I wanted to ask one about the configuration of the guidance for next year. Is it safe to say that we’re assuming kind of single-digit — high single-digit net client net adds for the year, where the bulk of the growth is going to come from larger — both larger lands and more expense? And then maybe just if you can double click on how much you expect growth for the year to come from the installed base selling compared to where maybe fiscal — where you ended fiscal ’23. And then any comments on just the competitive environment, where you’re taking share from increasingly, et cetera?
Steven Beauchamp: Okay. So maybe start in reverse order. I wouldn’t call it anything different from a competitive environment. It’s always been very competitive. It’s kind of the usual suspects. And really, our point of differentiation come down to the solutions and really providing a very modern experience. So no change there. In fact, we feel good about our road map to be able to continue to compete from that perspective. I think in terms of some of the other points, Ryan or Toby, you want to handle one of the other pieces?
Toby Williams: Yes. I don’t think — I mean, I think to start, I mean, I think in terms of your question in terms of what the mix is from a growth standpoint and across sort of the target market. I mean I think while it’s been different every single year, I think we — with what we’re seeing right now, I don’t think we have any different expectations for fiscal ’24 in terms of the mix of business relative to what we’ve seen kind of over the course of fiscal ’23. I think to Steve’s point, the competitive environment tends — it’s always been competitive. I don’t think we see any major shifts there. And I think our plan for ’24 contemplates largely what we’ve been seeing over the course of the last few quarters.
Operator: Our next question comes from the line of Dan Jester with BMO Capital Markets.
Daniel Jester: I wanted to ask about the $500 PEPY. It seems like a really big step up compared to last year. And so I’m just wondering what lets you this year introduce so much new product? Is it you’re just seeing better productivity out of the R&D organization, that the types of products that you’re launching or just maybe easier to get into the marketplace? Maybe just help me think about that big step because it seems it’s the biggest in several years.
Steven Beauchamp: Yes, it’s a good question. I think we’ve been pretty happy with our velocity in R&D overall. Sometimes, these things do happen where you’re doing a lot of work on the back end. Some products can take you 9 or 12 months to build. You may have other products that are multiyear efforts that you’re kind of working on. So the timing of launch can be very different. And so I think what you’re seeing is the product of a couple of years of pretty strong work. And the other thing I would say is we’ve also focused on some platform capabilities that would allow us to go faster across R&D. And so I feel like the investments we’ve made over the last couple of years, you’re starting to see now in terms of the new product launches. But I think it actually, more importantly, positions us to be able to have high velocity on a go-forward basis, and that’s pretty exciting for us.
Daniel Jester: Great. And then I appreciate the new financial targets, maybe any updates on how you’re thinking about capital allocation, inorganic growth going into the new year?
Toby Williams: Yes, I don’t think there’s any different contemplated from a capital allocation perspective. I think our view has consistently been that we want to use capital to be able to drive growth. Obviously, you’re seeing the strength right now, as Steve was just talking through and our ability to organically and deliver product to continue to drive differentiation in the market. But I think — I don’t think there’s any substantive change in our view on capital allocation as we think about fiscal ’24.
Operator: Our next question comes from the line of Jason Celino with KeyBanc Capital Markets.
Jason Celino: Just two quick ones. When we think about OpEx and R&D growth for the upcoming year, is the deceleration we’re seeing just kind of the return back to a more normalized spending after the few previous years and some pretty heavy investments?
Ryan Glenn: Yes. I mean I think that’s right. If you look at the spend levels that we had in fiscal ’23. I think total R&D was up about 46%, both in Q4 and then in the full fiscal year. And I think what you’ll see as we head into a more normalized environment in fiscal ’24, you’ll see R&D spend and sales and marketing as well, kind of back to that historical cadence that tracks much closer to revenue growth.
