It’s kind of the same tactic, frankly, that Epic took years ago to consolidate the EHR space or that Microsoft took with the whole office suite that they have. If you can offer an integrated suite, you’re going to save that CIO a lot of headache in the long term, and then they’ll sign a multiyear engagement with you and you’re off to the races. So our R&D budget and our focus is all about building on that strength and making that suite more powerful and more flexible and more extensible going forward. And so I think you’ll see, as we make progress on the road map in ’24 and ’25 a lot more potential in terms of new logo coming into the business right now. I think our best years ’24 is going to be a huge transition for us in terms of our platform.
I think our best years are going to be ’24 and ’25. I think we got a lot of good things in front of us. I hope that helps.
George Melas: Definitely. That’s really interesting. And then maybe a quick question maybe for Calvin. You’ve had amazing software bookings this year, especially in the second quarter, but also in the third. How does that flow in through the P&L? I mean, is it just like — I mean, I see that the maintenance revenue increased nicely. So I think that’s an incredible indication of success. But how does it flow.
Calvin Rice: Yes. So the direct correlation isn’t going to exist between bookings and the P&L, generally speaking. There’s a significant breakout in terms of the booking mix that’s within that number between license, services, maintenance and equipment. And so when we make a sale, that’s going to go into our backlog. So bookings and backlog are really relevant. And you’ve seen that similar growth in the backlog, which ultimately represents future revenue yet to be recognized. So that’s a critical element. License and equipment are generally relatively book in turn. So those are going to be the 2 components that generally, when sold are going to flow through either immediately or within the next several months from a revenue standpoint.
And then the maintenance, that’s going to get recognized over the contract period, which can be anywhere from 1 to typically 3 years. And then on the services front, that’s generally going to be recognized as the projects are completed themselves. And those projects, typically 5 to 7 months in completion time, but it can take a couple of months to get up and running, depending on resource allocation at the customer sites. And so generally speaking, we kind of look to about 12 months for those projects to flow through as well.
George Melas: Okay. Great. Great. Can you remind me software 101. I appreciate that, thanks a lot.
Calvin Rice: You’re welcome.
Operator: There are no further questions at this time. I would now like to turn the floor back over to Vince Kelly for closing comments.
Vincent Kelly: Look, thanks, everyone, for your participation today. We’re proud of what this company is accomplishing, and we’re very excited about the future. Like I said, we’re going to consider when we want to put our ’24 guidance out, and we’ll get back to the market then. And we’ll also be at the Piper conference in New York next month. So look forward to seeing some of you there. And we’ll report our fourth quarter year-end results in late February and talk to you there as well. And everyone, have a great day, and thanks for being a supporter of Spok.
Operator: Ladies and gentlemen, thank you for your participation. This does conclude today’s teleconference. You may disconnect your lines, and have a wonderful day.
