The following is excerpted from the question-and-answer section of the transcript.
(Questions from industry analysts are provided in full, but answers are omitted - download the transcript to see the full question-and-answer session)
Question: Rajiv Sharma - B. Riley Securities, Inc., Research Division - Analyst
: Congratulations on good results. I have a couple of questions just following up on the comments just made on the net leverage 4x. So you're
thinking if this delevering happens by 0.5 point, it happens primarily via free cash flow in the business? Or perhaps is there any sort of consideration
of sale of any assets?
Question: Rajiv Sharma - B. Riley Securities, Inc., Research Division - Analyst
: Got it. Got it. And then, again, I think you just kind of addressed this question, but if I could kind of touch upon it again, which is that do you think
you are missing any content on Percipio? At some point, you have enough content to engage and retain clients with. So I guess I heard, Jeff, you
say that you're good with your portfolio. Now it's all about integration.
Question: Rajiv Sharma - B. Riley Securities, Inc., Research Division - Analyst
: Great. And then are you -- I know the growth in terms of Percipio plus dual deployment, are you satisfied with and can you guide any on growth
Question: Rajiv Sharma - B. Riley Securities, Inc., Research Division - Analyst
: Great. Then just last question on the EBITDA guidance for this year is flat, and that would -- should we assume that -- I know you pointed to a $20
million loss on Codecademy. Should we assume any improvement in that during this year? And I know that you pointed to a breakeven next year.
So should we assume there is any improvement in EBITDA losses for Codecademy this year or -- and/or is -- there's going to be a $20 million increase,
I guess, on the core business.
Question: Rajiv Sharma - B. Riley Securities, Inc., Research Division - Analyst
: Yes, that's it.
Question: Rajiv Sharma - B. Riley Securities, Inc., Research Division - Analyst
: Great. And then does your guidance on revenue on the top line assume any sort of cross-selling into the tech and dev subscriber base that you
were talking about, the 20 million? Does that assume any sort of 1% or a few percent cross-sell into your revenue guidance?
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