nCino Inc at Bank of America Global Technology Conference Transcript

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

Question: Adam Charles Bergere - BofA Securities, Research Division - Analyst : And so yes, just for people who are new to the story, let's just start out with like a high-level overview of what nCino does and the solutions it provides. 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 07, 2023 / 3:40PM, NCNO.OQ - nCino Inc at Bank of America Global Technology Conference

Question: Adam Charles Bergere - BofA Securities, Research Division - Analyst : Great. Thank you. And just as a follow-on to that, like, how do you think about the addressable market of the core business? And how has that continued to grow over time?

Question: Adam Charles Bergere - BofA Securities, Research Division - Analyst : Great. I guess a bit of a harder question. So apologies here. So we're now more than a year into like the Fed tightening cycle and the beginnings of some recessionary fears. Can you provide a quick synopsis of how the operating environment has evolved over the last 12 months?

Question: Adam Charles Bergere - BofA Securities, Research Division - Analyst : Got it. And yes, you kind of alluded to it that you reported results last week. So just let's quick recap, maybe some key highlights that you wanted to point out. And then maybe some common discussion points you're having with investors.

Question: Adam Charles Bergere - BofA Securities, Research Division - Analyst : Got it. And there's a counterintuitive element of, I guess, your reported earnings last quarter, where you kind of saw a bit more resilience in small banks, smaller financial institutions. So just curious if you could elaborate on that.

Question: Adam Charles Bergere - BofA Securities, Research Division - Analyst : Got it. Thank you. And stepping back a bit, thinking about the build versus buy thought process of a lot of these banks, you sell to institutions of all sizes, small and large. Just how is the discussion around build versus buy -- buying software evolved over time? 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 07, 2023 / 3:40PM, NCNO.OQ - nCino Inc at Bank of America Global Technology Conference

Question: Adam Charles Bergere - BofA Securities, Research Division - Analyst : Yes. And kind of what leads most customers to choose nCino over competitors, whether it's replacing an older system, an alternative or replacing that something they had built themselves and then maybe it just gets a little unruly?

Question: Adam Charles Bergere - BofA Securities, Research Division - Analyst : Perfect. And then thinking about the different lines of businesses you serve commercial banking, retail banking, small business banking, treasury, asset finance and leasing use cases. And you talked about the single platform. So just when you kind of build a relationship with the customer, are they landing on a single use case or several? Or are they kind of because there's that platform effect, are they kind of buying the whole thing outright?

Question: Adam Charles Bergere - BofA Securities, Research Division - Analyst : Got it. And then are there any areas of the portfolio use cases that you've kind of seen, come a little stronger just despite the tougher macro?

Question: Adam Charles Bergere - BofA Securities, Research Division - Analyst : Perfect. And then on SimpleNexus, you kind of touched on it already. How should we think about the [TAM] and opportunity? Who's the target customer? And also in just the last quarter earnings, you called out in the market, the housing market is slowing but SimpleNexus is taking share. So clearly, you guys are doing something right. So I wanted to get your thoughts on what that might be.

Question: Adam Charles Bergere - BofA Securities, Research Division - Analyst : Awesome. And yes, you're -- just got to ask about M&A here. So I guess just how hands on has nCino been with some of the acquisitions? For example, SimpleNexus is pretty full fledged but in terms of go to market, how much of a joint effort is there in terms of product road map? How much more are you mixing the 2 offerings?

Question: Adam Charles Bergere - BofA Securities, Research Division - Analyst : Great. And then on the hot topic, AI. You kind of mentioned nIQ already but what are some other AI enabled offerings? How big of a revenue driver are these solutions today? And where could that opportunity be over the next few years?

Question: Adam Charles Bergere - BofA Securities, Research Division - Analyst : Yes. And just a quick clarification. You mentioned it contributes roughly 5% of revenue. But in terms of like percentage of customers who are using it, would it be fair to characterize it as also 5%? Or how should we think about that mix?

Question: Adam Charles Bergere - BofA Securities, Research Division - Analyst :

Question: Adam Charles Bergere - BofA Securities, Research Division - Analyst : Yes. And then stepping back from that, thinking about the whole company go to market, it's a combination of SI partners as well as direct. So just where incremental investment dollar is going in terms of investments being made in the sales and marketing organization?

Question: Adam Charles Bergere - BofA Securities, Research Division - Analyst : Great. It's a good segue. So on capital allocation, you guys made great progress on profitability these past few quarters, managing the business to the Rule of 30 for this year. Just how should investors think about capital allocation and the trade-off between growth and profitability? Just how much of that profitability would we have seen had there not been that slow down? Like, was this already kind of part of the plan?

Question: Adam Charles Bergere - BofA Securities, Research Division - Analyst : Got it. Is it fair to say that hiring plans are slowing a bit for the year? Or what's the cadence there?

Question: Adam Charles Bergere - BofA Securities, Research Division - Analyst : Got it. And lastly, on international, just how should investors be thinking about the international opportunity? Is it, a lot of companies obviously say like, in the end state, it will be like a 50-50 mix between U.S. and international. Where do you guys see that going? And where is that today?

Question: Adam Charles Bergere - BofA Securities, Research Division - Analyst : Got it. Good to hear. And just how much incremental effort is it? I feel like for financial services customers, I would expect it to be the regulatory hurdle, localizing the products. Is it a lot more incremental effort to kind of do that? And is the sales motion different for international?

Question: Adam Charles Bergere - BofA Securities, Research Division - Analyst : Got it. Thank you. Yes, that puts us at time. So yes, thank you very much for joining us.