Remo Canessa: Yeah. I mean, our new and upsell bookings were up year over year. So, for Q4, so it was a good quarter. From my perspective, John, I mean, it’s a huge market opportunity, on the part of Zscaler. I don’t want to make any projections related to our doing upsell billings because we don’t get that guidance. But let me just say that our pipeline for new and upsell is very strong. and we had really strong and good execution in our Q4 which gives us confidence. So I feel that we’re well positioned to go forward, and really do well. As I mentioned, and it’s come up a few times, the wild card really is the global macro backdrop. And so we’re expecting the global macro environment to stay similar year-over-year. And so we’ll see how that plays through.
But from a company perspective, for what we did in Q4 and how our business tracked, we had a very strong quarter which gives us optimism going into fiscal ‘24. The point I’ll also add is since Zscaler can actually reduce cost while reducing business [risk, there is added attractions] (ph). We’re able to engage with customers and close deals even when the macro is tight. We also kind of felt very good about the record number of $1 million deals we closed in Q4. So I see strength across all major areas, major vertical arrangements, and that’s why we feel good about it.
John DiFucci: That all that all makes sense. And thanks for taking my question. I mean, what you guys are doing is better than most everybody out there. But, I guess just quick follow-up, Remo, you said your bookings were up year-over-year. If you look at current billings, and I don’t know if you look at it that way, I guess I do, but I’m looking, I’m trying to [back into] (ph) new ACV, new ARR depending upon the company. For you, it’s new ACV. Was that up year-over-year? For most companies, it’s not. And we calculate it being down a little bit, but still better than most.
Remo Canessa: Yeah. We’re not commenting on new ACV, but our bookings were up year-over-year. And I think that’s a good way to look at the business.
John DiFucci: Okay. Thank you.
Remo Canessa: Thank you.
Operator: Thank you. One moment please. Our next question comes from the line of Adam Borg of Stifel. Your line is open.
Adam Borg: Awesome. And thanks so much for taking the question. Maybe just for Remo, a couple of related housekeeping follow ups. So NRR, I think, was at 121%, below 125% for the first time after a number of quarters. I was hoping you could talk a little bit more about that and patients to next year. And I apologize if I missed it as a follow-up, but billings duration in the quarter, just what did that turn out to be and without a headwind or tailwind? Thanks so much.
Remo Canessa: Yeah. So NRR at 121%, we feel is outstanding. What we’re seeing is that we’re seeing more customers buying more of our platform upfront. So when customers are buying more of your platform upfront, that’ll impact what they’re going to purchase in the future. Also, we called out on the call a Fortune 10 company bought basically within one quarter So if you’re buying within the year based on the calculation for NRR, that impacts it. From my perspective, and we’ve been saying this since our public offering is billings is really the best measure to really look at Zscaler. Like, we still feel that The only time we look at NRR, is really at the end of the quarter. It is a metric that we look at, but really what I look at is basically our total billings, whether it comes from new or upsell. Related to billing duration, it was a tailwind in Q4.
Adam Borg: Great. Thanks so much.
Operator: Thank you. One moment, please. Our next question comes from the line of Peter Levine of Evercore. Your line is open.
Peter Levine: Great. Thanks for squeezing me in here guys. So I mean want to just follow-up on the GenAI opportunity, you know, at your Analyst Day — not your Analyst Day but your customer conference a couple of weeks ago, you announced the security autopilot, maybe, Remo, for one. Can you just put a final point in terms of how your plan on monetizing that as usage base? Is it just an upsell to kind of the normal contract subscription? And then second to Jay is your competitors are all saying same thing in terms of your data’s proprietary. Maybe the same question to you is, what do you think makes Zscaler’s data proprietary what’s your competitive advantage when you go into an RFP versus call it like a, you know, Apollo, whoever it might be that your data is proprietary there is a mode around your business. What would your answer to that be?
Remo Canessa: So let’s start with, data. Larger companies have larger data. What’s exciting about Zscaler is we are designed as a switchboard for all communication between different parties. A firewall, it’s not a switchboard. Firewall is a door. It’s a gate. It says you are inside, your outside. That’s number one. Number two, fiber often what’s going to short logs. Still a small number of firewall transaction, whether they’re on prem or in the cloud as we are SSL decrypted. If the if record’s on, if the transaction non-decrypted, your logs aren’t of much use at all, or if you take DNS logs, they’re not very useful at all. It says with DNS which domain are you going to? We have full logs after decryption about all information, including the full URL.
