Shaul Eyal: Thank you. Good afternoon, guys. Congrats on the ongoing SaaS transition and the overall results. Guy or Yaki, I wanted to ask about the mix between existing customers and new logos this quarter. Can you double-click on this item? And maybe, Yaki, specifically for you, I know you’re often being asked about a competitive arena. Typically, the case for Varonis is limited scope of competition, but with many security companies in many categories buying small DSPM assets, what are you seeing out there from the overall — aside from the market validation? Thank you.
Guy Melamed : So, Shawl, I’ll start with the first question. When you look at the results in Q1, the majority of our new ACV in Q1 was driven by new logos. And as I said before, SaaS is really opening up new markets for us because it’s eliminating the two biggest pushbacks we used to get. One being companies don’t have the people to support the risk. And number two, they don’t want to buy the hardware. So the changes we made to the comp plan, which I discussed in one of the previous questions, together with the simplicity of the story and the benefits of the products are really working. And the new logo activity was really healthy.
Yaki Faitelson: On our end, so in the traditional areas that were really completely dominating, which is all the NAS devices, Active Directory, Entra ID, 365, Salesforce.com, Google, Box, all of this, nothing changed. But one thing that changed for us, the companies that you mentioned primarily, they are focusing on the IS side, which is AWS and Azure. And we build a product that we believe is the best in the market in this area. And we are there in the places that we are installing. We see that we have very good results. And we anticipate that in these places, we see competition that we create, budget. But in terms of scale and automated outcomes, I believe that we are well positioned to take this market and win. So overall, at this point, what’s going on in this market, we see that creating a lot of awareness and creating more and more budgets. And so far, this is very good for us in terms of overall awareness and sales motion.
Operator: Next question comes from the line of Joseph Gallo with Jefferies.
Annick Baumann: Hi, this is Annick Baumann for Joe Gallo. Thank you for taking our question. You guys launched many new products last quarter, including Snowflake and Salesforce Protection and things like that. Can you just talk qualitatively about the traction you’re seeing there?
Yaki Faitelson: I think that in terms of everything we’re doing in IaaS, we very fast see a lot of traction. The other thing that is very interesting, like Snowflake and other data repositories, they are massive. So everything we, the core technology that we have to analyze metadata to do it, its scale is working extremely well. And all the connectivity to the MDDR has very exciting prospects. So really at this point, we see good prospects to everything we have done on the engineering side. And we’re also very proud of the team in the rapid release cycle of features and products.
Operator: Next question comes from the line of Jason Ader with William Blair.
Jason Ader: Yes, thank you. Good afternoon, guys. I just wanted to ask about MDDR again, more specifically. I mean, just I know you’ve recently announced it. It clearly has exceeded your expectations. You’re thrilled about the early demand. Can you just talk about the pricing model that you use, what type of uplift it could create on your SaaS business, and then maybe any early metrics on attach rate?
Guy Melamed : Yes, I think that’s a great question. And we talked a little bit about it last quarter when we introduced MDDR. When you think about our goal at the end of the day, it’s to protect our customers. And when you look at the MDDR offering, it’s really resonating within our customers, and the value there is very clear. So at the end of the day, with that value that we provide customers, we’re trying to extract dollars from them and increase customer lifetime value. And there are two ways to do it. Either you allow customers to buy additional licenses and then your MDDR pricing is somewhat reduced as long as they buy and increase the ASP, or if they only want the MDDR, then that pricing of MDDR as a standalone is significantly higher.
What we’re seeing is that customers are embracing the package itself and they’re buying it as part of additional licenses that could give them additional benefit. And that allows us to increase the ASP. It’s still very early, so I don’t want to give out numbers and kind of go through the exercise of kind of the uplift that we’re getting there, but we’re seeing our ASPs increase in a very healthy way. And the value that we can provide with that platform is significant.
Yaki Faitelson: The MDDR essentially is our ability to make sure that to fulfill our promise to the world that if you have us most probably, you are not going to have a data breach. And the key is the MDDR, the customers will have as much coverage as possible. And with that, we will be able to protect them automatically.
Jason Ader: So you think ultimately like most of your customers will take this?
Guy Melamed : We believe that every customer needs to get it. And I think it’s going to be a gradual process. But I can say that initially, the way it started was extremely encouraging from our perspective. And the conversations that we’re having for the rest of the year on MDDR are also extremely positive.
Operator: Next question comes from the line of Shrenik Kothari with Baird.
