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Yesterday we covered the results from Anaplan’s First Quarter 2020 Earnings Report. Today in Part 2 we will cover management’s prepared remarks and the Q&A from the earnings call. Prepared remarksFrank Calderoni — Chief Executive OfficerI like to watch the verbiage and how management communicates to open calls. If we see changes in this tone, I’ll start to dig deeper.We are very pleased with our first-quarter results as it marked a strong start to the year with solid financial and operational performance.On the competitive landscape.We believe we are the leading modern business planning platform as we are the only connected planning solution that can address the phenomenon of digital transformation. The rapid growth and expansion we are seeing is the result of the key role Anaplan plays in helping enterprises, regardless of industry, adapt faster to the increased business dynamics.Land with a new customer. This quarter, one of our largest insurance companies in the world selected Anaplan as part of a large-scale effort to modernize their financial processes and functions. This customer has over 50,000 employees in almost 1,000 locations, so they needed a platform that could extend beyond finance. Expand with an existing customer.A key customer expand this quarter was with one of our largest multinational technology companies through their digital transformation effort to focus on transforming user experience with their products. They were already using the Anaplan platform for financial planning and workforce planning, and we are now focusing on their global marketing operations. Previously, manual processes and limited visibility into spending across geographies led to millions of lost marketing campaign dollars.Framework for Anaplan’s land/expand model; the honeycomb.We have a new framework to visualize how Anaplan's many use cases typically expand and connect within our customers, which we call the honeycomb. Starting with one use case or a single hexagon within a honeycomb, we typically see that rapidly expands into additional use cases often in related or adjacent business areas.On Gartner ratings. Note the movement from “niche player” to “leader”.We are very proud of our recent achievements as Anaplan was recognized as a leader by Gartner in the 2019 Sales and Operations Planning Systems of Differentiation S&OP Market Magic Quadrant.In Gartner's last version of this report, we were considered a niche player, and we have quickly moved to a leadership position. We believe the recognition in the elitist quadrant is because of the high customer satisfaction and impressive capabilities of our supply chain solution. It's important to note that we are one of the few included in six different Gartner categories for a single platform. Driving further adoption of our platform globally is an area of focus.Dave Morton — Chief Financial OfficerFor the first quarter of fiscal 2020, we exceeded our expectations across all of our key financial metrics. On remaining performance obligation (RPO).Our remaining performance obligation or RPO consists of both billed and unbilled consideration for contracted business remaining to be performed that we expect to recognize as subscription revenue. We exited the first quarter with a total RPO of $473 million, up 53% over last year, which accelerated compared to last quarter's year-over-year growth rate of 44%. There are two key factors that can influence RPO. First is the timing of large enterprise renewals, and second is the weighted average contract term length.Raised full-year 2020 guidanceFor the full fiscal of 2020, we are raising our revenue and operating margin outlook driven by the first-quarter performance and ongoing strength we see in our business.Analyst Questions and AnswersQuestion 1 : A.) How we should think about the renewal opportunity this year versus last? B.) And then as we think about some of the recent changes in the sales and marketing leadership, just an update on how that's going, what you're looking for and what you're expecting there? Answer: A.) At the end of the day, we're just finding some great customer success not only with the land but then also with expands. We continue -- I mean even this quarter, our top 10 deals, both lands and expands, continue to be well above $500,000. B.) Our focus, and I mentioned this last time and internally this is what we talk about, is scaling the business to $1 billion and beyond. And so we've been putting plans in place, making our investments in order to do that.Question 2: Just the mix of business across, as you call them quadrants, whether it's finance sales, supply chain and HR, have you noticed any changes, any discernible changes in terms of the mix across those quadrants? And then I have a follow-up.Answer 2: The overall mix continues about the same, where it's about 60% in finance and 40% outside of finance. But similar -- and I've mentioned this in the past that, but I have to say in the last quarter alone, it continues to accelerate, which is supply chain. It was great to see the recognition by Gartner as the leader in the Magic Quadrant. I think that also solidified many of the great customers and the use cases that we have in supply chain and how Anaplan is uniquely positioned across supply general, not just in one specific area and really trying to connect the supply chain.But I have to say, more and more at the Gartner Supply Chain Conference just a week or so ago, we got a strong interest in Anaplan, and we continue to see that outreach. If I go back to what I mentioned in the prepared remarks talking about spirits and also cosmetics, if you look at those companies, and those are large companies on a global basis, pretty much all of them are either using or looking to use Anaplan in supply chain. And it works extremely well for them to help digitize and streamline a lot of the metrics and the process by which they manage their demand and supply.My conclusionAs I stated in part 1 (and with my actions by starting a 5% position), I believe this was a strong quarter and I expect the momentum to continue. I like management’s focus on long-term growth and that they are having success growing in both the financial and supply-chain verticals. Take a look at the earnings call transcript in the links below if you want to read the rest of the questions and answers.LinksAnaplan First Quarter 2020 Earnings Press ReleaseAnaplan First Quarter 2020 Conference Call and PresentationAnaplan First Quarter 2020 Earnings Call Transcript - The Motley FoolThank youThat’s all for today. I’ll get to management’s prepared remarks and the Q&A portion of the conference call in our next email/podcast.If you want to support the newsletter, please like (hit the heart above it helps people find us!), share with friends, or change to a $5/month or $50/year “subscription” which includes the exact same content you are currently reading for free. Get full access to Founder Stock Investing at austin.substack.com/subscribe