Axon Enterprise (AXON) 7 May 202020 Q1 Earnings call transcript

[Call Starts Abruptly] 2020 earnings conference webinars. I’m Andrea James, Vice President of Corporate Strategy and Investor Relations. Thank you for joining us today. Today we have available Axon CEO, Rick Smith; President, Luke Larson; CFO, Jawad Ahsan; Chief Revenue Officer, Josh Isner; and Chief Product Officer, Jeff Kunins.

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let’s from hear All now right, Rick.

Awesome. flew different and February our team to Andrea, on on we everyone that employees, today. joining last vacations. are from home; Far or where we mission. that travel we less may does work the curb to agile not it, environment to the from all adapting we our call message very QX business feels you superior against vigor we ate and non-essential conditions to in our it gain thank to to world, for this world our in travel days adaptability and reducing with what was new and to Three us which meetings later XX, we aggressively We clear mean and leverage to spoke update our very our a use now Thanks, like competitors. pursue we restaurants people into meetings curbed our will opportunities seek you all changing but ground Zoom as for are

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time money donated employees to Axon of number this large or A personal cause.

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us protect the keep Donate Help are able investors, axon.com/covid us scroll our and Go to safe. you, If those support button. and hit please who do. Now to cause, down the

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But leader at space past retreated, customer. advanced as now a exactly now safety the into we software two major the first new cloud agencies; and or year, in sensors. evidence products, clear in-flight digital Axon just management competitors ourselves deployments in and when went hosted the live that’s signed camera live market we Dispatch, In with our software more we’ve established Axon as opportunities at which Records, and than we dozen shipped is public

and $XXX cash cash and and We revenues. that strong flow is with business Today Axon debt generates in an stronger recurring underlying QX margin nearly ended than high ever. zero equivalents, million

expense, QX XX% year-over-year. grew adjusted million, $XX revenue EBITDA compensation while to than year-over-year Our our more And doubled XX% stock-based net margin. was affected a by income reflecting

several moonshots in We have progress.

weapon power. this Before will we a millimeter decade launch is stopping outperform pistol’s a will X out, TASER that

effective. to continue making system, transparent across make extend efficient. reach more fair it our will both and And we more and the policing justice criminal We will

for great value social or continue and our will create great you, shareholders. We to value society

President, call the turn to Luke? like I’d that, over Luke our Larson. with to And

we’ve the team, and employees; on leadership our priorities; safety customers. our one, two, number health the Since Thanks, going key curve; as three, a Rick. initiatives COVID and to part laser-focused three our doing flatten to key support help keeping been of number number

Josh have home our lines business out Elizabeth to up to as to specific want and workers our for want shift give allowed CDC the who months. customers recommended out a a are last stepped of open ability as to people to I mission up of VP our all lines. our support keep for to their and entire to our entire IT the with give keeping They’ve from on Ops; team; two I all heads actions Axon’s team, employees. critical These of work Goldman, shout up the workforce knowledge front shout Hart, running well our really to who us truly guidelines.

mission in decision globe keep added major risk occur, factor they lot that manufacturing on awaiting customers in X our to key they enforcement first Body we and points. mission tools critical shipping X. to safe will sure our Early Axon to was responders it departments, receiving flatten our We To continued to many police our city to law making and part critical to open. compressed of need of shareholder were employees our keep from precautions and work. health XXX paying gross a employ’s around safety asking crisis, even basis do have the though out get began high margins devices, TASER the From groups detailed departments we letter a and in the lines and Axon by we that in TASER messages couldn’t small their be if our that keep our communities anxiously

our to If quarter off the QX you customer be Dispatch paying even we and ability initiatives told live going key launched a keep last be thrilled our global we’re a pandemic. We would quarter we first would shows with that this there by were no This secondary bit sooner. results even Axon’s throughout and live. for went Dispatch mid-year is Axon to that major company the start milestone beyond that a year, kicked our that phenomenal headline COVID-XX, strong a

Dispatch software rapidly entry growing into billion a is and real-time our command $X control market.

also XXX which and The We’re pretty of the call powering is for from operations empowers is personnel. firefighters This the is goal dispatchers, hello our hello. to to the It takers, in when first be thrilled That’s response, medical an arrives. first shorten what mission the time partner. protect officer our Maricopa, to involved industry incident between command, everyone here time software city critical life. to XXX patrol launch dispatching time to calls an officers, to somebody calls the the

as in back. for the to Officer, accelerate call rapidly leaning prouder seen last this is Kunins, our us and we particularly doubling on key Air, Evidence filled senior and Digital Axon be of our in and has VP including of velocity with initiative continue leadership while engineering of I as the down SVP holding with that in global Chief hiring, and new Management, rather Vietnam tech far Product as software in our quarter, Scottsdale. today, well who’s Jeff Seattle us to talent raising particular, key roles our grow couldn’t rapidly always In GM and hub we’ve more than of Another AI, hiring bench in

really has to the out as one. Axon want end of customers. a other section in and team crisis is Thank to our started the employees, with well I with I all as a out another leaned great my each during to you dedicated employees. support to our This that shout

CFO, our And to Ahsan. with that, over I’ll turn it Jawad

world unprecedented. today Thanks, since changed last face earnings The and the we our Luke. has are challenges call,

our on take and come today, stock resilience, pride, where confidence. stand three words QX I mind; As and to we of reflect results

the that I’m campaign source customers. of made campaign. to have the for to the cohesively PPE more the we stepped secret of We infrastructure way to testament with systems productively, first way National our even our no even a to our work our of love contributed proud distributed workforce. hard employees internal in worked in Foundation. place. the responders I’m proud partnership our tools, for Police a up I’m of into new proud continuing and put the adapted employees It’s with to reality, support that way we’ve and nationwide to

an this our conservative This SaaS have we purposefully be to our as resilience growth, investments stronger the emerge and enterprise has in balance At storm that aggressive us brought and ever. sheet. stage device the our with weather chosen us connected and with will to company, allow than strategy

our channel in investments liquidity and are and Our position is strong. both exciting exceptionally product yielding returns

also that add seeing three are We to emerging resilience. trends our

agencies Citizen considered software and fostering current discussions we’re cloud about it, the and globe. wouldn’t of to value Axon agencies is First, the with the have crisis usage demonstrating across previously that utility

move pooling step agencies order as And the federal benefits we’re law bolster to may spending, devices. in to devices committing which third, and sharing and stimulus to outlast seeing more rather Second, the or Axon standard government have budgets enforcement crisis. than law issue, seeing we’re that

we operating the rather budgets majority go-to-market that an bundle than Our of as being is agencies in as unpredictable XX% sell increasingly expense. model is products of our capital pay out to revenue more contracts, And recurring for tied their treated XXXX. resilient,

has is revenue churn for has six business, us as customers nil trended the our factors; it our why we net months business XX-year important SaaS look how is other terms two most about X- and sharing contracts, resilience key at of annual more metric captures retention This past our XXX%. us typically giving sign the contracting almost we’re that become in companies. to over than first, and The In an metric today. SaaS at

contracts In tools portion to second, upgrading all software recaptures in customers retention of advantage of given new to of year, we our their take Axon that agency offer. some the are have any

contracts customers. Axon Some a major XXX% and at committing our prior our value and their we testament cities are again of proposition to upgrades resilience, SaaS to the with to offer that’s

look we remainder out are as feeling year, the Finally, confident. we at of the

and pandemic potential the ability one to be this We the for we we our cannot do withdrawing wide to is a feel extent impact of are we impact What and today in business time. and know serve on evaluating we the at of crisis markets that known respect full current on reason, guidance our of ongoing range confident this through the crisis. are scenarios our the with manage simply

internal and strengthened. In remain federal fact, same. our XXXX to our goals the weeks, In pipelines have that we’re international managing recent

plan hire We and to execute a continue an officer’s continue to multimillion safety closing we dollar, tech pipeline large, robust upon talent at contracts. multi-year bar-raising accelerating pace,

are uncertain are employees and our significant These being impacted times, and in ways. customers

around resolving show to to continue the to grateful our ingenuity employees of We’re all and world mission, our execution. incredible who commitment their

is While we’re days one us. for unprecedented of best thing sure, ahead still today, are adversity facing our

us the take to that, to questions. through Andrea With turn over it I’ll

everybody Thanks, Can turn your view? your camera we cameras? you Analysts, see Jawad. pretty Moderators, Okay. onto up faces. can want you to on bring

Our – you. thank first question

is question from Needham. first at Our Berg Scott

Scott. questions. your ahead Hey, Go with

Q&A. Hi, is thanks. of a a well. minutes This late couple everyone doing for to the I little Apologize, Hope call. different is was

I’ll a ask question So guess. redundant I

You’ll see face at it my least. in

I questions. couple guess a So

couple us help been that maybe Can On XXX%. would three Has terms Has for of up? the around you of down? that XXX%? the Has gave, net been retention at over That Jawad in understand be Good you Thank metric. disclosing compares that been that metric trending? it. just that that revenue years helpful. how last

been disclose something the stable we’ve we’ve past that been we’re to that started quarters it’s is proud over stable, It’s It’s enough start few one that. it. the it’s that of. decided Yes. it disclosing of reasons Scott, to it’s around very that

really inventory over doing And global protecting level? inventory I that obviously, from Got it’s three the kind around increase then from large uncertainty there. you’ve the something that you does prescriptive opportunity? issues of think how just a my some you do And it. move of levels you’re couple follow-up doing, or least, yourself eye. are of reach of think caught seen that trade quarters? kind a approved you the go But given perspective, question next in because high was it components the the remarks At that

great question. Hey, Scott,

of cycle We well big with ahead well AB markets upgrade have international expanding X as to us addition in in a TASER adjacent expansion. as as as X corrections

level supply our for That exhaustive up and strategy us the enough through to for an customer months. And is has actually so us great a helped right also in being few de-risk demand, say inventory what make the can expansions. have chain, went that we to sure these we and of ended fulfill exercise last

analysis also fulfillment. to managing through We’re going see inventory cash now our year-end. another We have are customer want levels the right levels throughout ensure right that free to we’re support to what but flow, the

Yes. the is to We about I cash material want that’s add, to how the the be we going we’ve a think it right And going financial that have thing mentioned. to that position to this to in to it’s sheet a It fund to that a But advantages of do think of that one be from with just for perspective. so to use Scott, fairly year. the that be got inventory something to able built. that’s be balance reasons Luke

I’ll that’s the Great, again. jump back queue I here. Congrats, have. into all

Dougherty. take from Thanks at next our so Charlie question much, to guys. And we’re Anderson going

guys Can me right? hear you all Great.

Yes

of yet at want year. just this do, that’s you’re great that demand it any COVID-XX push want like on effects seeing a the sounds as like the on sure strong seen cancellations or haven’t pipeline, that point. outs congrats Well, to profile. sounds that correct, things make you Excellent. not characterize I the to to to start of I the

Just you’re are real characterize want as in conversations to time sort as as evaluating of the seeing far what cities revenue. those

great question. Hi, Charlie, that’s a

want Before just right an I’ll I want back away and very very we She her. our it, for to involved to her customers, April come and and time sad the who I active a Police passed been we’ve longest is one officer out family. of answer, acknowledge of in Department, to just department and standing and and Breann Metro Indianapolis Leath officer supporting due in her acknowledge shooting to

have on around didn’t risk themselves the the and during are to want families here day. responders thoughts putting and quarantining, front lines the the support our acknowledge out and first also their customers, We and who our or sheltering-in-place all luxury we’re world, of And with this every of them are time. at prayers to

to it say is minor there to pipeline, pertains to and the as Now accurate pipeline. been some it have adjustments

for a hearing are their revenues impacts qualitative federal well expect as on support on and And in budgets. forth, tax that local. as do some are and We state agencies basis so question there’s that

On the we’re also about for that the customers is reason our issue to flip from side, product. thinking COVID hearing they’re standard some going

body contamination well. cams sentiment we’re limit one to not TASER, equipment or as So is way sharing whether and that hearing it’s

a on so both think here. I little sides And there’s

now So major we there’s nothing do material right that But the risk for respect either a way that at exists the view as with pipeline. COVID. this unprecedented we to disruption have point

very our and federal, of our much. focused local, on of state And to and year well. fulfilling newer so all this certainly build international our but long-term goals also in pipeline, channels Thanks continuing terms as we’re some only not executing, and of

a have We do you follow-up? unmute, can have one. if Charlie, you Yes.

do. I Great, Yes. Yes.

So that color. thank you for all

guess I also it So, curious relates software. to I as to, was

this as you presents relates your the to incumbents I relative Records on guys wonder potentially if there. on So strategy to Dispatch, for it opportunity pricing an and

the consider thanks. that as curious under, sort be So I’m of that any so Yes, they may of pressures you’re that that seeing. creates you opportunities sort

Yes. To view certainly an as this some opportunity. extent, we

in continue our continue channel with virtually to product, are and we and We the than invest, connect creative we’re ways customers to the ever. investing more using to

investing the COVID, still are without certainly to feel we product channel reckoned a force we’re or bringing and new product we side with in like that and on the with, in both think to I any market. side be

in confident CAD, these And so whether very, be the competitive we’re RMS that we’re going of to forth. in very all long-term DMS, and it’s markets, definitely so

guys. Thanks, Great.

not okay, but how the stronger Yes, officers strategies. safety here. thing is fantastic COVID list approach but a really fantastic we would and broad want do strategy go confidence actually the add elements much, those to win element has allows my XXX every of one getting so to I of try well. don’t I the would to officers developing have plan it’s the sort products I that system our basically does that build software by know really, and say impacted user with win software to battle in and things user-centric try decided – of day I key our We day to to boxes, our check – officers really experience. the through And that of through RFPs

to I strong with sets every great for software, And and be and as expand start oh market we’re we to that is to that playing a it plans on experience field. have a us. allow strategy small our a out wow! them touching ultimately makes that the procurement experience us it great focusing And the they’re hearing, by the have time position this Like appears really in things long-term think cops that up

Thanks.

Okay.

Blair. question So at come will William from Ho next our Jonathan

me Can okay? Hi. you hear

Yes.

Yes.

Perfect.

little the a much targeting? mid of pretty get that you’re of out, market, potentially to you want about high-end, better and a looking what of CAD of I the with guys just things system. range market segment you the low-end the at are wanted and a set sense that maybe with Since there’s to a the little bit new can bit rolling talk you’re is, feature understand One that what system

question. Yes, absolutely. Great

So and/or that’s significant Maricopa incredibly product, market it a with the agencies, Maricopa live in to coverage GA our beyond context, Stahl. and fantastic at handful And with happy the with say customer first of our live in a put pipelines year, customers thing be be percentage I the for is first route a of SAM this deployments active in and just we’re of first, Chief to goal en match. end fit steadily is first next sales to the XXXX, we U.S. with growing for to strong excited

what the currency is RMS, kind accelerate our in building on. in specifically of on coverage so of a that which now are journey means to they unit customers that which the great for And you for need, same continuing records to question and up for your way of fit what we’re well for which

For CAD, the main whether dimensions fire a and law primary serves are, once. one, time whether a the And multiple at given the jurisdiction, or at that the aggregated only is jurisdiction dimension it’s also serving EMS. key serves an dispatch jurisdictions if then or staff that jurisdiction serves serves a second it’s piece single enforcement

jurisdiction so same with of a an and becoming of single law then for specifically in we’ll been with a playbook whole we’ve subset see there there, awesome, And is doing one potential progressively like enforcement starting excessive kind so only, for on agencies excellent great what product those, customers. that you’ll Records from of fit tranche

that’s overall approach. our So

Of number the of in we’re categories agency CAD. of to the Dispatch. going course, more way, probably and then time in point to And both share Axon I’m confident over Rick’s will early it’s Records that up-leveling operations and in very be productivity one buying leader records for case up along days, to the wind end-to-end these real-time the case much the criteria about be

said, one loving that are Rick us those bundling be state a together adopt. market the building, are things to as loving no customers just X And approach Plus two going journey, So going. overnight. illusions But it’s should the easier they’re is any to it’s what OSP have where and makes buy helping the way and multi-year we’re

follow-up, a as when coming cannot? balancing your there up, competition are the you. just with some of challenging would do helpful. between operating be that investing you Thank and environments Any leverage maybe think macro And color Fantastic. potentially about how

and went with. Yes. we Jonathan, actually great XXXX something that’s very into a question that’s purposefully

guidance and have in continue is is geared we’ve in this in team we to had that as aggressively, proof our continue seen the try getting the we’re year, year international for metal that lot Our market, we’ve of bring are making in that to positions R&D of double previous products the products some put the disclosed that footprint. of A the sales very we’re groups our a the markets it’s to we’re investments seeking product budget on debts. Records that about we to very the team to in expand to channel. aggressive which those towards open in and because to grow, enter down going like to pedal And points started our these those is our

you. Thank

And follow-up? Okay. great. do you Okay, have a

Our next Keith Northcoast Research. from Housum question come at will

with across agencies? this Good there. our business, and software in second, Josh. morning, was sensors I everybody. sales good Probably quarter. different few just more And very this targeted you the the what’s a more board was or question strength weapons international widespread for it is the a Josh, was color some hoping could provide the or but perspective. that Is

you thank for and sure, Yes, Keith. the question,

channel. of look not to that success. that couple pay feeling characterize And point a in We we three markets, year, it the that large but were were as we for at very but in Tier success years ago outside international as, would at So two good years I pipeline also ago, the our investments of having of really X we of starting made little results, investment seeing X is really Tier only look, off. rest or the QX I’m the

of starting revenue were saw of to CEW to and X team’s those and in CEW we’re the Tier I I strong in throughout continue also side, X we expect putting side, of that Tier world, the the especially been QX while to some terms the fruition. a work XXXX, on so that think lot see And countries from on rest meaningful contributions coming

during could then second going correctly, points just I said COVID the I a maybe as I pressure for, on margins commentary that I employees thanks. Jawad, gross guess, you there go thought XXX back if into to on quarter? a to if paying Great, is basis And follow-up. And the then continue heard of a for time. guys before, was

Yes.

guidance. not This to are, is mentioned one on the our basis going in but margins, QX. to estimates, earlier, for degree to internal is guidance. going on it still it’s We’re as disclose We of issuing margins our going what to things to had I not managing formed previous about which trickiest weigh weigh the

On be we’re that the there’s traveling cost are that person seeing to to There much. flip associated some savings not able that. in side, now some aren’t programs had we’re with savings, and right. going People as we to were also committed that do

while going what are than degree also it. to to slightly savings in offset that we are we QX, in going QX impacted see So to a saw we be going to are larger

you. Thank Great.

best Thanks, one, – in anticipating we a calls come answer came Keith. question learn. call to of earnings is and think We webcast? great actually. test anonymously earnings And on but experience, it. that It Zoom the would public, a says, answer thinking, weren’t a plan our yet. iterate thought providing so you to good it’s I design that, from did continue I one I Do instead traditional

guys on back it. like if come we’ll We’ll you you that to see one. So

right. All

Baird. So from our at next Will be question will Power

Yes, great. a Okay, questions. couple of

take other impacts that broadly. start a with respect respect themes transformation to digital that seem in me about along conversations that. maybe COVID-XX lines, that’s Records, focused dialogue so with I is wants Dispatch just wonder with into Or having move big saying entering the it of one to kind Luke you it more it. talk on they’re those as Rick accelerant question to enforcement the cloud, you’re law to or an or to you’re with and as and broader particularly not whoever for trying things really And the let yet? is what to Just software, to the was the feed of

Yes.

pandemic. interacting. Let this engagement really silver is been this I many this, eyes take bright me literally, I I this cloud had have mean, never I velocity. meetings their some talked to linings think ways customer there one. to I and are new my customer of about open have that the

is the to They’re in controllable over expenses should our I seeing able future an more Zoom. with customers should more effective that travel this that think be to we engage. that be way engage

and also here ago lining again, me silver a were where a shift telling other perceptions is this has started is of two enforcement of another years few lot law negativity. that things. police One, facing I’m to hearing they sensing bright

flow a pandemic Now More cops people there. this and thing this than where by XXX into almost federal And for the hopeful government being is combined. like actually guns in realizing, policing good so first that’s fund that it’s are accidents far support rebuilding that year cops hey, public and helping the will vehicle a responders. killed sort and stepping out we’re that those thing of are are

is, been the some business talking is week that past deliver strong. to instead more to the using to to them The people side to court. to stuff the do evidence.com. And forcing to disks now this the things or the courts impetus customers with on of then put getting agency that digital desk, want prosecutor it, evidence to differently have successful to where in it resistant to We’ve other prosecutors the pushing are courts was downloading start I just of start been burn start accepting right?

of our with out alpha hey, And the I’ve some patient. find let’s customers, been

servers to don’t need They negatives upgrade are I previously it’s they COVID possible. see wasn’t it. that say, it for And we well, a I are hear browser. online. look, barrier the Let’s don’t look, technology stuff, everywhere break need experience. one to things to have driving the like change is, of courts of find some us our that And Like to down opportunity don’t That’s need and going music let’s their judges fantastic great a They systems. ears. the install and hey, move

pushing other the example, And resistance calls, to about and than I’ll There’s one really thumb whole from give the with Europe. Look, hard drives where cloud the in sharing reason customers. stronger going of team what officers up social evidence to engage out with to the hard be and move a want CDs public. drives cloud-hosted platform a of for ton in talked Axon conference we you using been a bunch you on of to to world just for reasons, a Europe the push could your to mainland risk in or we’ve Citizen been pick digital distancing a minimize we’ve previous

include to hearing I digital long-term been of than this changing have positive different. drive across don’t back report transformation. looking anything other we’re traditionally the we can change, what to Customers use help we’re lot material quite at and have is they’re a resistant change, know to we that quite which board can how

– second my ahead. Okay. And go

please. ahead, Go

been about second I corrections, in row. calls a say, you was going just up of some my Well, several the I commentary. know have all on talking to a that follow was question

now. other into right stand I How in to that me, of with in you’ve numbers, shipments? referenced Where opportunity? does long you really kind Any a that five think quantification? takes ramp of that front have relationships states terms of bigger maybe

Sure thing.

necessarily into market. far. corrections. they’re our year year on use independent work And much And in focused up past, specifically body were more third now we’ve last on a coming there. on excited an TASER but side this on more the forth. of there wasn’t so that have in so focused about about becoming ramped the benefits camera where the are doing And clear. control It efforts sales side that we the much So riot focusing are we cases And a terms really obviously place team and – the I’m

really obviously safety risking COVID a environment things on is their contained spread jails actually in are because through quickly And hands officers one COVID could of given going interesting that. like by the really

of CEW from past, risk from So faster we’re hands them officers segment particularly on having than keep to the in seeing in a investment more go and the infection. potential protect to cadence on a

the see meaningful the a on So both domestic corrections part of long-term we state definitely federal and more becoming our on business, local level.

Thank you. Okay.

Thank you, Will.

Our from next Joe Securities. Osha question is JMP at

Hi there.

to to Two doing This good for with a job Thank compliments this great. such Zoom has my IR team. starters, questions. conference. you everybody been For

time. see went plan recurring I might shift to way payment those a I’m the sold in there that was that customers portion some non-U.S. TASERs over just wondering whether the of about First, international. potential the think of behave shifting down as be result a

perhaps resequence And one. just of questions. cause chain CAD. had had a how We’ve of We’ve evidence. second We’ve at might is little whether a general Records management. a more coming wondering are the priorities it’s those question Axon sort then just I’m this had my crisis Those bit.

take second for your I’d thanks the be to and for Joe, then question. Okay, over the one happy one. hand it first And

subscriptions, Tier our market. we in already international are seeing X that on actually So

UK TASER UK, customer relatively it sign XX over plan. in pay the they up already to the that for is in the TASER on UK is common and So in Especially like agency a Australia, every a CEW U.S. Canada, agencies in contract where a for months. the actually is just XX XX

there So nice through moving direction really as has the Canada lagging job. They’re just the transitioning TASER we’ve the a has yet. authorized that team to not fact done subscription. Canada commonly distribution in is that to little due well. a And bit behind X been is Australia then and in sold

right risk ball might multi-year is Tier say a would some moving little there There some complication more in in on especially X where the the that direction. be more of forth. engagements I and so collectability of X ones And volatile markets so and is

to set closely deals to the make signing. a business. international to confident up very it’s pivot we’re that that more subscription But to monitoring type would expect sure fair we’re in say So of I we’re TASER continue on very to

Thank you.

second of from machine. think continuing I’m Obviously like and the of we on adapting there learning as Axon to that part Yes, a question.

as been focus always more. the have think to we But validating continue in has prioritization we’ve the what learn of to front far data that reserve our transformation we right us. front So and I of and re-examine our so wake from up smarter in we us seen of

which sensors double on down about management including is in productivity and across to leverage with we’ve to relation continued the investment, signals, and new operations our Really and forward core in with we for as TASER be real on investment, [Audio categories, forward. aggressive R&D our go and time CAD. records looking and of Our Dip] communications investments pillars categories and the like the

and and bigger sense, but that in these some Air those prioritization. to great makes We pretty evaluate the pretty Axon and addition small drones are the feeling CAD the those And and to that those into But of evaluate seeing live in make those up taken if right feel of rest continue like got right and when last we’re the regularly describing and we’ve like been sequencing. what records we’ve the each with that best about go areas fall, the validation we’ll we in good the with adjustments about we’re in to as and we lake.

Okay. Thank you.

Thanks, Joe.

Our Erik, Lapinski Give me Erik next at another video question from Morgan your second. is off. is Stanley.

Can you hear see me and Hello? me.

ahead ahead Go question. ask. can’t you. hear ask can the We go it, We and see but and

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Yes.

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question. Thanks thing. Sure the much very for

think like of I focused we’re early learning. all just customers, kind with on right really now

references for is gaining have And and priority we success so working stories. higher deployments. on that a But pipeline use customers with CAD us we forward a some early to of cases, look

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actions any That’s there through then kind perspective consider the promotions customers or could going I one from or I a you’ve in follow-up, maybe your could where pricing helpful. or you you are see, everything like just you license help And potential if accommodations could year. kind guess pull that impacts as on of thought customers, of a this look

that, market, budgets. the or whether the Sure. challenges customers of budget Nothing certainly those of have some that voiced really across they’re timing

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Thank you.

on a would Yes. just just can to And add different that device buying have products individual I ways a customer plans. multiple we – that today acquire from our several we

one. day They premium benefits and just Plus, plan, of OSP is aligned around Our customers. the can the as X start leadership team are the using very this on

And so that’s been received. very positively

and see popped Erik, you, now, you Thank you can guys. I up.

So Sigdahl our question Ryan. at Craig-Hallum. from next Go ahead Ryan will be

your I’m is Hey, guess to background start, fake. thanks, to going And Andrea.

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a TASER here me carry off, today, the follow-up corrections, on percent what on correctional For approximately separately think officers body and cams. to just first of the you then XXX,XXX do

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prepared space So start a and but to capture lot meaningful space. at to some for white think white of not point, of we the that first firm momentum numbers I’m there that, that really this we’re give on a qualitatively to seeing in there’s time market

want XX%, of XX% XX%, Fair to baseball. if in to a or talk innings you just ballpark put

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thanks again the Ryan, question. So for

seasonality. and the just strongest of year. our QX that’s think I quarters QX

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large to X TX And strong and expect to meaningful us work of and QX to pipeline in on TASER deployments. we continue half we’re year surprise be huge as change with QX, here. So it’s not the agencies not definitely sales to back we as the in build are going that that a

Thanks, Latimore guys. from Mike Northland.

up You’re next.

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yes. Okay,

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that I think said the this you I point last into about guess, you that year, guidance the visibility original XX% have year. for kind at was of visibility. what

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go sort the of terms this then many little additional international touched cloud adoption, you’ve these to some on How in you Is the right won trending of Evidence.com in And are bit as that cloud? willing in internationally. with earlier, now deals a of just but direction?

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you. Thank

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Andrea, some back questions. more for So you to

Thanks, Rick.

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at Scott Imperial. and Scott, from your is go question ahead video us. for turn Next Kessler on

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window. via go us follow-ups, and if any our So know chat let of the have analysts ahead

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increasing and we’re we’re lean everything and public as shy continue As software them throw you our our to to productivity. safety got out And us. evangelizing know, from Axon challenges. not in XXXX away to approaches opportunities does to to new has trying We viewed and cloud that going

all hope you again and we disruption. all we to look this So of stay August. you sane And period healthy during safe, forward in updating

So thanks. talk to soon. And you we’ll