Varonis Systems Inc at William Blair Growth Stock Conference Transcript

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

Question: Jason Ader - William Blair & Company - Analyst : All right. Thanks, Brian. I guess maybe we'll start out with just the go-to-market evolution for the company, let's say over the last five to 10 years. I know that the big changes have been -- in the last few years have been around bundling and now the SaaS version, but can you just talk about

Question: Jason Ader - William Blair & Company - Analyst : Let's talk about the impact to the financials from the SaaS transition and just as -- near term and then longer term?

Question: Jason Ader - William Blair & Company - Analyst : So you can see that three-year to four-year timeline maybe compress a bit if more customers kind of, at renewal basically come to you and say we don't want to -- we don't really want to renew on the term, we want to renew with SaaS or we want to (inaudible) with SaaS. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. JUNE 06, 2023 / 2:20PM, VRNS.OQ - Varonis Systems Inc at William Blair Growth Stock Conference

Question: Jason Ader - William Blair & Company - Analyst : So if you did a deal in, let's say, 2021 three-year deal that's coming due 2024, your salesforce is not going to push the customer to go to SaaS on that renewal?

Question: Jason Ader - William Blair & Company - Analyst : Got you. Okay. And then have you done any analysis on like LTV to CAC with the SaaS product versus the traditional term license.

Question: Jason Ader - William Blair & Company - Analyst : Great. I want to open it up to questions in a minute. One kind of general question is just on macro. How has the macro environment affected the business? And how are you adapting to some of the changing conditions out there?

Question: Jason Ader - William Blair & Company - Analyst : Any questions from the audience? Yes, we got one right over there. The mic's coming. Unidentified Participant You mentioned the markup when you go from on-prem subscription to SaaS. Can you just maybe provide a little bit more granular detail like what's the customer getting? They're getting like $0.50 on $1.00 for an extra $0.25. I mean, how is that bundling approach working as you transition to SaaS?

Question: Jason Ader - William Blair & Company - Analyst : One question I have for you guys, now that you've been at a few William Blair conferences. You've been at a lot of other conferences. What do you think is the most underappreciated aspect of the story when you talk to investors, like what do they not like fully appreciating?

Question: Jason Ader - William Blair & Company - Analyst : And so the constraints historically on companies didn't know they need that, this stuff? Has that changed a lot in the last few years where now, more customers say, okay, we know we need this?

Question: Jason Ader - William Blair & Company - Analyst : All right. Well, yeah, last question. Unidentified Participant The size of your customers, how did that ship in?

Question: Jason Ader - William Blair & Company - Analyst : Great. Thanks, guys. Thanks, everyone, for being here.