00:00 Speaker A
Let’s talk about the third quarter because it’s the first quarter where we made a profit. You’ve seen companies accelerate spending on automation, software and strategy. So do you think that profitability trend will continue?
00:20 Asim
Yes, absolutely. Well, look, our team is performing at a high level. Well, we had a great quarter. It was a quarter marked by both the innovations we brought to market and the responsiveness of our customers, as well as great discipline in investing in areas needed for future growth and efficiency gains, including in-house representation. Putting those two things together, we’re very excited about continuing the momentum we saw in Q3 in the fourth quarter and next year.
00:53 Speaker A
Asim, could you explain for people what you’re doing in terms of automated processes and how it’s different from or complementary to the AI wave that’s impacting just about everything?
01:08 Asim
That’s right, UI, UI Path provides an AI-powered platform that helps organizations streamline and transform their businesses. It will employ advanced AI capabilities, software robots, and process orchestration. And then we take processes as simple and common as accounts payable and business to really specialized processes that are very complex, like insurance claim denials in healthcare, and we do manual workouts to improve accuracy and reduce the cost of the transaction and the overall cost of those processes to the customer. For our customers, this means they can invest in innovation. That’s what we do. Well, if you look at how we compare to other AI waves, I’d say we’re delivering ROI on a lot of the AI capabilities that are on the market. So when we think about the capabilities of large language models, we integrate the many large language models and companies that are out there. Therefore, their model can be used to read and automate documents that are used in these manual processes today. Our platform has many AI capabilities built-in and allows you to monitor your agents by orchestrating processes and running them in a secure and reliable manner using process orchestration. So we’re very positive, and what’s important to us is to embrace the language of AI and make sure that it actually benefits companies in tangible ways and enables them to take on the next wave of growth in both revenue and revenue.
02:36 Speaker A
A few months ago, you signed a new partnership with NVI and Open AI. So how is it working and will we still see results this quarter?
02:50 Asim
Well, when I think about partnerships, the first thing that comes to mind is that they are a true staple of the UI path. You know, three years ago our main focus was deterministic automation and RPA. But these partnerships show that we are a real player in the AI space out there. From that perspective, I think the results in the market are being noticed by customers, and by the CIOs and CTOs and CFOs out there. The second part is that these partnerships are the foundational capabilities that allow us to incorporate the promise of AI into our processes. So, integrating with companies like Open AI allows us to take that model and bring it to the forefront of claims processing within healthcare and loan origination within financial services institutions. Um, in terms of how that plays out in the future, I think these partnerships will strengthen our technological capabilities, which will improve our ROI and increase our revenue as well. With our 16% revenue increase this quarter, we think people are seeing us as a long-term part of the architecture, and we think this will only gain momentum for us in the coming quarters and years.
03:50 Speaker A
So, Asim, it doesn’t seem like you guys are seeing any hesitation or slowdown in corporate spending.
03:57 Asim
No, I would say that the environment is different from five years ago. I think five years ago there was an innovation fund, and there’s a lot of different things in there. What I’m saying is that it’s not a matter of slow or fast, it’s a matter of more discipline and more scrutiny. But what we feel like we’re in a really good position on is what discipline and oversight actually shows us, what is the return on investment? So if we can hire a cybersecurity company and transform their processes and save them millions of dollars, we can save millions of dollars. So I think there’s discipline and oversight, and I actually think that’s what drives sustainable growth over the long term versus quarters where we’re flooded with orders. Well, that’s actually what we’re seeing in the market. It’s not about the level of spending, it’s about the discipline with which funds are actually released.
