Ashley Johnson: So obviously a lot of this has to do with timing. So, as we expressed, we feel really good about the business opportunity that is in front of us and the business that we’ve landed, the pilots that we’re working, and the opportunity to convert some things that as we expressed last year have been maturing in the pipeline and really have – the teams have continued to progress them, just not at the pace that obviously we had hoped previously. So the visibility is challenging, to your point, in particular, on the upside. And when I think about just managing our overall cost base and making sure that we’re getting to profitability. As I mentioned, we’re not assuming acceleration on that year-over-year growth rate.
And that helps us kind of ring fence how much we have to invest and determine where we best place it to drive the growth in the business. Beyond that, obviously, I’m not giving a range of any sort for a reason, but I’d say you should be hearing a tone of confidence in the opportunity in front of us and uncertainty really around timing.
Noah Poponak: Okay. Do you anticipate that you will have a range at some point through the year?
Ashley Johnson: We’ll continue to give more color. Obviously, as we progress each quarter, we get more visibility as to how the new business lands will be translating into revenue on the year. So we do anticipate giving more color as the year progresses.
Noah Poponak: Okay. And, Ashley, remind me, over the past few years, on average, or maybe just kind of directionally as a framework, how much of your annual revenue do you book and deliver within the year versus it was in the backlog when you entered the year?
Ashley Johnson: Yes. So we’ve talked in the past that we’ve typically seen the amount that’s in kind of RPOs and backlogs representing about 60% to 65% of revenue, and then from there, a decent amount of the remainder comes from renewals. And we tend to, for internal purposes, assume new bookings to be back half-weighted, and so a lesser percentage contributing to current year revenue and really more driving the next year revenue. So that’s typically how we think about it, how we’ve talked about it in the past.
Noah Poponak: Okay. And then just last one I wanted to ask about is on the capital plan, the $14 million to $17 million for the first quarter is a pretty big number compared to the run rate, although last year you had one quarter in that range. I guess, is that anomalous, or is that a run rate? What’s the full year look like? And I guess, where do we – how does that sort of start to normalize as a percentage of revenue over time?
Ashley Johnson: Well, as a percentage of revenue is a metric that depends on quantifying the revenue, but I’d say our long-term target is unchanged for where we expect CapEx as a percentage of revenue to be. And as we move out of this growth CapEx phase and into maintenance CapEx, this year is a growth CapEx year, and so Q1 levels are not what I would characterize as anomalous, but kind of more what we would expect to see as we’re in this growth CapEx cycle.
Noah Poponak: Okay. Okay. Thank you.
Ashley Johnson: Great. Thanks, Noah.
Operator: Thank you for your question. The next question comes from the line of Jeff Van Rhee with Craig-Hallum. Your line is now open.
Jeff Van Rhee: Great. Thanks for taking the questions. I guess, this would probably be for Kevin and Ashley. On the sales execution, with the transition going on, I think it’d be good just to get a sense of where you feel you are now with respect to sales execution. So, number one, just where are you? What’s working? What’s not? And generally speaking, what needs to change?
Ashley Johnson: Yes. Why don’t I jump in, and Kevin, if you want to add any color to it. But as we talked about, a lot of the changes that we wanted to make in our go-to-market strategy, we initiated back in Q3. I’d say, the team executed against that really thoughtfully in terms of thinking about where are we going direct to customers and where do we want to really be evolving and leaning into our partner ecosystem. And so, a lot of those changes got implemented over the back half of the year, so that we were ready to start this year with those changes completed and everyone focused on just this year’s numbers and getting out there and bringing the business in. So, I would say, we’ve done the heavy lifting on the organizational work, and now we’re excited for an upcoming sales kickoff and continuing to see strong performance around the globe. Any additional color you would add there, Kevin?
Kevin Weil: All I’d say is, I have a lot of confidence in Charlie, who leads our sales team, and as we transition here, in Ash’s ability to continue this execution.
Jeff Van Rhee: Okay, got it. And then, with respect to the commercial and maybe more specifically ag, I mean, in general, ag names in the space have been lifting their head for a little while now. Curious if you’re seeing the same or any changes in behavior in ag, and just fundamentally trying to understand the weakness in ag and commercial in general. Is it a function of the solutions needing to be more, I guess, I’d say, productized or easier to consume? Maybe a more demonstrable ROI? I mean, there’s both landing new customers and there’s retaining, and those two factors would obviously weigh, but just thoughts on commercial and ag and maybe why it’s been as soft as it has.
