Five9 Inc at Barclays Global Technology Conference Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Raimo Lenschow - Barclays Services Corp - Analyst : <_ALACRA_META_ABSTRACT>Yeah. And it's funny, I'm asking that question, because we kind of have the announcement on you already, but how do you think -- now that you hand, eventually the reins over, how do you think about the growth algorithm for Five9 going forward?

Question: Raimo Lenschow - Barclays Services Corp - Analyst : What do you see in terms of urgency? Because like -- that call centers being on-premise has been -- as you said, have been around for a long, long time as a discussion point. We've been talking about it for many, many years, and it never happened never really happened as at the speed at scale that we kind of probably followed a few years ago. But now with AI, it's like, how do you want to do AI if you're sitting on premise in some old systems? Like -- so how are your discussions kind of evolving there?

Question: Raimo Lenschow - Barclays Services Corp - Analyst : How are the conversations going with your customers around the AI side? How's adoption? And I'll give you more context. The reason I'm asking is there's a lot of POC, now POCs are turning into projects, but they're very well-defined smaller projects because everyone's still nervous that something is going wrong. What are you seeing in your market?

Question: Raimo Lenschow - Barclays Services Corp - Analyst : Can you just like -- for those of us and I call my -- I include myself now because I didn't cover you for a while. If you think about your AI projects like offerings, how do they fit into that value chain that we have on a call center? Like what are the products in a way --?

Question: Raimo Lenschow - Barclays Services Corp - Analyst : Okay. Perfect. Yeah, that's really good. And how does it -- like in the old world, you had not -- it's not old, but in a minute, you know what I mean. In the old world, you were doing the plumbing and then it was the Salesforce, the ServiceNow doing maybe the UI kind of from them. The -- they are kind of talking about and you're talking like has the overlap kind of changed? Or like how do we need to think about that?

Question: Raimo Lenschow - Barclays Services Corp - Analyst : Do you think that -- because I think from an investor perspective, that understanding of those data and being gold. I think that's still evolving. Is that the same on the customer side? And I would assume few steps for ever?

Question: Raimo Lenschow - Barclays Services Corp - Analyst : Okay. And then -- moving on from the AI team a little bit, like you had some very large deployments over the last few quarters. Can you speak to that where we are in that journey there. And the thing I was hoping is like they give you a reference kind of very large customers, which kind of usually then get to the next one, I think for the next one?

Question: Raimo Lenschow - Barclays Services Corp - Analyst : Okay. Makes sense. And then related a little bit to the point you made before with the system of record guys. There was a little bit of a discussion like recently with how is your relationship with Salesforce, ServiceNow evolving? One is like who's doing what. The other thing is like investments in certain other companies. Like what's your conversation with Salesforce, ServiceNow like?

Question: Raimo Lenschow - Barclays Services Corp - Analyst : I mean there must be also be a nice market share move towards you because like if I look at the the numbers from those vendors, they are not quadrupling or growing at the rates at the salesforces. So -- so within the relationship must be getting stronger for you guys?

Question: Raimo Lenschow - Barclays Services Corp - Analyst : Yeah, yeah. Okay. The other thing is, as we talked about AI and the product, how do we have to think about pricing there?

Question: Raimo Lenschow - Barclays Services Corp - Analyst : Yeah, yeah, yeah, yeah, okay, makes sense. And then Brian, I want to get you involved and I apologize because it's going to be the tough question straight away. Like if you think about it like when Mike and I talked in the past, group which were different, now the growth rates are kind of at a slightly different level. Like, can you speak to the factors that impacted that? And how do you see that evolving from here?

Question: Raimo Lenschow - Barclays Services Corp - Analyst : Yeah, yeah, yeah. Okay. Makes sense. And then the -- if you think about it, like talk a little bit about that commercial versus higher segment, -- how do you define that again? Because every vendor has like a different dynamic there? LSEG STREETEVENTS | www.lseg.com | Contact Us consent of LSEG. 'LSEG' and the LSEG logo are registered trademarks of LSEG and its affiliated companies. DECEMBER 10, 2025 / 9:55PM, FIVN.OQ - Five9 Inc at Barclays Global Technology Conference

Question: Raimo Lenschow - Barclays Services Corp - Analyst : And then the other thing I'm trying to kind of get an answer around confidence for next year, like there's obviously sort of easier comps, which kind of makes sense. What do you see also like in terms of like pipeline build, et cetera, around like it's early stage pipeline, probably like a pipeline build as you go into next year, like how do you feel about the change?

Question: Raimo Lenschow - Barclays Services Corp - Analyst : Yeah, yeah, yeah. Okay. And then the Bryan more for you like that, the offside is on -- well, there's growth and then there's margins. On the margin side, significantly better profitability in the quarter. Like, can you talk a little bit about like what's driving and how sustainable is that?

Question: Raimo Lenschow - Barclays Services Corp - Analyst : Yeah, yeah, yeah. Okay. And then is there because the cash flow is the other question that comes up a lot between EBITDA, like how do you think about that EBITDA to cash flow conversion?

Question: Raimo Lenschow - Barclays Services Corp - Analyst : And is it like -- is it really working capital and CapEx that's kind of the delta, that explains the delta?

Question: Raimo Lenschow - Barclays Services Corp - Analyst : Yeah. Okay. Perfect. Last couple of minutes, I want to talk about capital allocation a little bit like if you think where the shares are, like how do you think about buyback, share buyback?

Question: Raimo Lenschow - Barclays Services Corp - Analyst : Okay, yeah. And then the other part of the capital allocation is obviously M&A as well, like -- how are you guys thinking about that?

Question: Raimo Lenschow - Barclays Services Corp - Analyst : It's going to be difficult at the moment. Yes.

Question: Raimo Lenschow - Barclays Services Corp - Analyst : Yeah, yeah. Okay. Perfect. And then maybe last thing is like if you think about the organization, like how do you think about like your successor? Like what's the requirement? What's on the list?

Question: Raimo Lenschow - Barclays Services Corp - Analyst : YeahYes. Okay. That's also a very good closing statement. Mike, good to see you again. Bryan, thank you.