ZoomInfo Technologies (ZI) BofA Securities 2024 Global Technology Conference summary

Business overview and product innovation

• Provides a platform delivering high-quality data and actionable signals to sales teams for more effective selling.

• Recently launched Copilot, integrating data and signals to guide sales outreach and prioritize opportunities.

• Copilot offers daily recommendations to users, helping them target the right contacts at the right time.

Market environment and customer trends

• Demand environment has been challenging, especially for sales-focused teams, with higher sensitivity to economic cycles.

• Mid-market and enterprise segments are stabilizing or improving in net retention, while small business has weakened, particularly at the end of Q1.

• Small business now represents about a third of revenue and has shown significant degradation in net retention.

Financial guidance and renewal cycles

• Sequential growth is expected to improve in the second half of the year due to lower contract expirations in Q2 and Q3.

• Over 90% of customers have renewed or transacted since September 2022, with remaining long-term contracts mostly with stable, larger companies.

• Recent contract resets are expected to support healthier renewals going forward.