Release Date: April 25, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Q & A Highlights
Q: Can you elaborate on how the monetization of Gen AI will accelerate client adoption of Pega?
A: Alan Trefler - Pegasystems Inc. - Founder, CEO & Chairman of the Board: Gen AI is being integrated across our products to enhance their functionality, making them faster, better, and more cost-effective. This integration is expected to be a key reason for accelerated client adoption, as it significantly improves the speed and efficiency of deploying Pega solutions.
Q: How has the strong Q1 cash flow impacted your expectations for the full year?
A: Kenneth R. Stillwell - Pegasystems Inc. - COO & CFO: The strong cash flow in Q1 is a positive start, reinforcing our confidence in achieving our full-year targets. However, it doesn't change our overall expectations for the year, as we anticipated Q1 and Q4 to be stronger due to the timing of collections.
Q: With the introduction of Blueprint, are there early indications that this could lead to an increase in applications being developed on the platform?
A: Alan Trefler - Pegasystems Inc. - Founder, CEO & Chairman of the Board: Yes, the interest in Blueprint has been significant, and it's being included in RFP responses and bids. This tool is expected to drive a substantial increase in applications developed on the platform, particularly as it aids in legacy transformation and streamlines the design process.
Q: Are the Gen AI capabilities driving discussions about cloud migrations from self-managed products?
A: Kenneth R. Stillwell - Pegasystems Inc. - COO & CFO: Yes, the introduction of Gen AI capabilities is encouraging discussions about cloud migrations. Clients see the benefits of Pega Cloud in terms of cost-effectiveness and scalability, which are enhanced by the integration of Gen AI.
Q: Can you discuss the consumption trends or patterns seen with early Blueprint adopters on the Pega platform?
A: Alan Trefler - Pegasystems Inc. - Founder, CEO & Chairman of the Board: Early adopters have created thousands of blueprints, exceeding our expectations. This high level of engagement is a strong indicator of the tool's utility and potential impact on accelerating application development and digital transformation initiatives.
Q: What are the next steps in the go-to-market strategy for AI, and can we expect more partnerships?
A: Alan Trefler - Pegasystems Inc. - Founder, CEO & Chairman of the Board: We are actively working with key partners and looking to broaden these relationships. The rapid adoption and enthusiasm for Blueprint suggest a more viral go-to-market approach moving forward, supported by strong partner engagement.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
