Workday Inc (NASDAQ:WDAY) Q3 2020 Earnings Conference Call - Final Transcript

Dec 03, 2019 • 04:30 pm ET


Workday Inc (NASDAQ:WDAY) Q3 2020 Earnings Conference Call - Final Transcript


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Aneel Bhusri

we believe has the deepest product capabilities, and unparalleled user experience and the highest levels of customer success. In Q3, we added six more Fortune 500 customers and 11 in the Global 2000. A few of the new HCM customers include Anheuser-Busch InBev, Magna International, Royal Bank of Canada and Sutter Health. Some notable go-lives in the quarter included Glencore International AG, The Dow Chemical Company and Telstra Corporation.

Turning to Workday Financial Management, we saw continued momentum for our suite of applications in Q3 with new customers including Consumer Direct Care, P.F. Chang's, the State of Iowa, and WPP Group USA. We also had a natural inorganics grocery store chain with over 85,000 employees add financial management to its existing use of HCM.

We now have approximately 800 total financial management customers, which include notable go-lives in Q3 of Rivera [Phonetic] and American Family Insurance. In addition to core financial management, Adaptive Insights Business Planning Cloud and Workday Prism Analytics continue to be a strong up-sell and add-ons to our core applications. In Q3 alone, Adaptive Insights added approximately 200 new planning first customers and approximately 50 new platform and upsell deals to new and existing Workday customers. Our momentum in customer success was best captured at our annual user conference, Workday Rising. Between our US conference in Orlando in October and our European conference in Milan last month, we welcomed more than 15,000 attendees, including more than 9,700 customer participants representing 2,250 organizations. At Workday Rising, we once again revealed our annual customer satisfaction rating, which was 97%. We are very proud of our customer success and the confidence they have in Workday as they embark on their digital transformations for finance and HR globally.

Innovation has always been at the forefront at Workday and it continues to be a key to our success. As I highlighted at Rising, spend management is one of the areas where we are putting more focus on investment. We have designed Workday Procurement and Workday Inventory as part of our single system to streamline the procure-to-pay process and improve operational efficiency, driving down costs while enhancing supplier collaboration and engagement. We expect to accelerate our efforts in this area with the proposed acquisition of Scout RFP, a leading cloud-based platform for strategic sourcing and supplier engagement.

With Scout, which has been a Workday Ventures portfolio company since 2018, Workday provide organizations a comprehensive source to pay solution with best-in-class strategic sourcing to help transform the procurement organization and deliver better business outcomes, including reduction in spend, greater policy compliance, and maximized engagement across key stakeholders.

We're also thrilled to welcome Scout's employees, who share our passion for customer service and fund to Workday. We look forward to expanding our efforts in this area and we'll share more information as the deal closes, which we expect to occur in our fourth quarter. As we continue to focus on long-term growth, there are few leadership changes, I'd like to highlight. First, the appointment of