MongoDB, Inc. (NASDAQ:MDB) Q2 2021 Earnings Conference Call - Final Transcript
Sep 02, 2020 • 05:00 pm ET
out the Q3, it looks for a pretty sharp slowdown in overall revenue growth. I just want to make sure, it sounds like a lot of that is kind of like the tough comp that you have from stronger EA a year ago period. Is there a -- also sort of an aspect of mix shift in terms of the mix that you expected to be so much more on the subscription side and sort of the new business coming to Atlas versus that EA and that's also kind of impacting the year-on-year growth dynamic for total revenues as we get into Q4?
Yeah. So thanks for the question, Keith. So overall, I think we have a very healthy outlook, despite a challenging macroeconomic backdrop. But as we've indicated, we certainly expect to continue to see or to see some impact on new business in the macroeconomic environment. We're also expecting to continue to see the Atlas consumption expansion at lower levels than we've had historically consistent with Q2. And obviously, as you go later in the year, that also compounds.
And the last factor, which you did call out, is the tough compare. We called out year in the Q4 that it was a particularly strong quarter for Enterprise Advance. And actually, even in that quarterly call, we talked about one large multi-year customer that represented about $3.5 million, just from that one customer of Q4 of last year. And so, just for those following the bouncing ball, not only do you lose that from the denominator or do you need to take that out of the denominator, but you also don't get the benefit of that in this year in the numerator. But overall, I think we are liking the dialogues that we're seeing, it's an incredible relevance, but there is macroeconomic uncertainty in the back half of the year.
Got it. Thank you very much, guys.
Our next question will come from Brent Bracelin with Piper Sandler. Please go ahead.
Thank you. One for Dev and a follow-up for Michael. Dev, I wanted to kind of drill down on the record number of new customers as well and maybe take out slightly different spin here. On one hand, I certainly appreciate that the self-service kind of investments and focus there over the last year that you've made that's clearly having an impact. It sounds like there's some incentives with the sales force that seems to be resonating and lowering some adoption kind of varies as well, but is there also an industry shift?
My real question here is, is the product resonating in this current environment kind of post-COVID in ways you did necessarily expect, or would you say most of the performance this quarter was all kind of internal execution? Just parse, how much of the industry is changing and the appetite for Mongo changing versus kind of just internal execution, which again was very strong?
Well, thanks for the question, Brent. I would