E2open Parent Holdings Inc Q4 2025 Earnings Call Transcript

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

Question: Christopher Quintero - Morgan Stanley & Co LLC - Analyst : Hey, Andrew, Greg, Marje. Thanks for taking the questions here. I wanted to ask on the fiscal year '26 revenue guide. Really great to see the implied return back to the positive growth there but a two-part question. On the subscription side, how should we think about the linearity throughout the year like be more steady improvement like we saw in '25? Or would there be more improvement in the second half of the year? And then the second part of the question is on the PS side. It looks like that guide also implies a nice improvement in the year-over-year growth rate throughout the year. So just curious what gives you the confidence and visibility into improvement on the PS side?

Question: Christopher Quintero - Morgan Stanley & Co LLC - Analyst : Got it. That's very helpful, Marje. And then you also mentioned some investments for 26 around the commercial business and making some product development as well. So just wondering if you could unpack that, where exactly are you making those investments in? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. APRIL 29, 2025 / 9:00PM, ETWO.N - Q4 2025 E2open Parent Holdings Inc Earnings Call

Question: Christopher Quintero - Morgan Stanley & Co LLC - Analyst : Doing well, Andrew. How are you?

Question: Christopher Quintero - Morgan Stanley & Co LLC - Analyst : Excellent. Super helpful, Andrew. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. APRIL 29, 2025 / 9:00PM, ETWO.N - Q4 2025 E2open Parent Holdings Inc Earnings Call

Question: Mark Schappel - Loop Capital Markets LLC - Analyst : Hi. Thank you for taking my question. Andrew, starting with you, I appreciate your commentary in your prepared remarks around your global trade capabilities. But I was wondering if you could provide some additional details around some of the customer conversations you're having regarding global trade. For instance, is it opening discussions to get you in the door and then once you're in the door, is it opening up just a broader discussion around your just digital transformation capabilities for supply chains in general. Any further insight would be helpful.

Question: Mark Schappel - Loop Capital Markets LLC - Analyst : Great. Thanks. Then with respect to the demand environment, I was wondering if you could just comment on what you're seeing on the trucking or the freight side of your business. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. APRIL 29, 2025 / 9:00PM, ETWO.N - Q4 2025 E2open Parent Holdings Inc Earnings Call

Question: Mark Schappel - Loop Capital Markets LLC - Analyst : Great. Thank you.

Question: David Ridley-Lane - BofA Global Research - Analyst : Hi. This is David Ridley-Lane on for Andrew Obin. First question on the first quarter subscription revenue guidance -- what are the factors that are driving it down sequentially?

Question: David Ridley-Lane - BofA Global Research - Analyst : Got it. And then on the full-year subscription revenue guidance, I mean, if I understand you right, your net retention rate is 99%. The bookings are growing year over year and put in the midpoint at flat? Would you describe that as conservatism? What are some other potential offsets to that?

Question: David Ridley-Lane - BofA Global Research - Analyst : Got it. And then in the investments in products, is there a similar willingness to invest in sales force structure and headcount? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. APRIL 29, 2025 / 9:00PM, ETWO.N - Q4 2025 E2open Parent Holdings Inc Earnings Call

Question: David Ridley-Lane - BofA Global Research - Analyst : All right. Thank you very much.

Question: Adam Hotchkiss - Goldman Sachs & Co Inc - Analyst : Great. Thanks so much for squeezing me in here. I just wanted to touch on the legacy customer satisfaction piece. I know that gross retention has been at or around 90% for a little while now, improved a little bit to 91%, and I think there's still a couple of points behind where you were back during 2021 and 2022. So how would you characterize what inning you're in now? I know you mentioned the 60% reduction in support tickets and some continued unbilled professional services flowing through. But where are we in the process of getting back to normalized churn and how much longer should we expect there to be on some of these support ticket reductions and unbilled PS in order to get back to where you were historically?

Question: Adam Hotchkiss - Goldman Sachs & Co Inc - Analyst : Got it. So that's really helpful. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. APRIL 29, 2025 / 9:00PM, ETWO.N - Q4 2025 E2open Parent Holdings Inc Earnings Call

Question: Adam Hotchkiss - Goldman Sachs & Co Inc - Analyst : Okay. Yes. That's really helpful. And Marje, would you just remind us, I know there's the potential for volatility in global trade volumes -- to what extent E2open has exposure to changes in those volumes within your products? .

Question: Adam Hotchkiss - Goldman Sachs & Co Inc - Analyst : Sorry, the revenue yeah, revenue -- any like revenue exposure to volatility in it trade volume.

Question: Adam Hotchkiss - Goldman Sachs & Co Inc - Analyst : Okay. That's really helpful color. Thanks, Marje. Thanks, Andrew.