Yext, Inc. Q3 FY2025 earnings call

• Q3 revenue grew 13% y-o-y including Hearsay. • Core Yext business is stable with growth from Hearsay. • Selling environment stabilized in the second half of the year with early signs of cost optimization moderating. • Early phases of fragmented search environment driven by generative AI, positive for Yext as brands need to structure content for various search experiences. • Focus on efficiency and accelerating growth, with global team's commitment crucial. • Customer demand for unified platforms driving initiatives like Yext Social and Hearsay acquisition.

Revenue grew 13% year-over-year with the inclusion of Hearsay Systems. The core Yext business is stable. Hearsay contributed $16.4 million in Q3 revenue. The core Yext business's revenue contribution is stable, with Hearsay adding to growth. FX had an impact on Q4 revenue guidance.

• FX had an impact on Q4 revenue guide, with FX rates coming down post-October 31st influencing the guide. • Revenue and ARR pictures are stable, with focus on future growth as integration of Hearsay progresses. • Guidance is conservative, focusing on proving dynamics before more aggressive growth projections.

• Factors affecting forward-looking statements include industry evolution, product development success, integration of Hearsay Systems, management performance, and general economic and business conditions. • Risks detailed in SEC filings, including factors causing actual results to differ from forward-looking statements.

Q: Ryan MacDonald asked about how fragmented search environment translates to customer conversations and organic growth.

A: Mike Walrath discussed that fragmentation is a key conversation with customers, similar to mobile fragmentation, and Yext's platform is central to brand strategy for handling different search experiences.

Q: Ryan MacDonald asked about Q3 results and Q4 guidance.

A: Mike Walrath mentioned FX impact on Q4 guide, with Darryl Bond elaborating on FX benefit in Q3 and rates coming down post-October 31st. • Q: Tom White asked about Hearsay trends and M&A.

A: Mike Walrath said Hearsay business is growing, integration progress is good, and they evaluate M&A based on customer needs, focusing on listening to customers and expanding value proposition. • Q: Rohit Kulkarni asked about Yext Social go-to-market and near-term opportunities.

A: Mike Walrath discussed Yext Social launch in September, focus on customer needs for unified platforms, and convergence of platforms over time. • Q: Naved Khan asked about ARR and search fragmentation.

A: Darryl Bond clarified Direct ARR decline from Q2 to Q3 with FX and seasonality factors, and Mike Walrath discussed fragmentation leading to more exploit queries and need for structured data.