American Software, Inc. (NASDAQ:AMSWA) Q3 2023 Earnings Call Transcript

Anja Soderstrom: Okay, thank you. And also among your customers, is there any sort of grouping that you can call out that’s maybe a little bit more challenging €“ challenge than others or?

Allan Dow: Hate to pick on anyone, but the retailers are always tough. They are naturally tough. That’s their business model. But I think they are the frontline of what the economic conditions are all about and they are experiencing some of that. But in general, as Vince commented, we’re not at a point where we’re seeing outright cancellations or churn. We’re just, much like I commented earlier on about people’s scrutinizing their authorizations to start new projects. They are doing the same thing on every invoice and looking for an opportunity to find another round of correct this and put the purchase order number on it. And then I’ll put it back in the queue and that will buy me another 30 days before I have to send the check out.

So that’s generally what we’re seeing as opposed to outright, we’re not going to send the check in kind of conversations. Just taking a little extended time, I think that as Vince said though, the DSO number is not reflective only of our collections challenges. We had a tremendous billing cycle as we came into the New Year, January being in €“ falling in our third quarter. So we will see an uptick in collections, an uptick in our cash position. So I think we will land at the end of next quarter in quite a good position.

Anja Soderstrom: Okay, thank you. That was all for me.

Allan Dow: Excellent. Thank you, Anja.

Operator: And it does appear there are no further questions at this time.

Allan Dow: Cloe, thank you for your assistance this afternoon and thank you for all the participants who joined us this afternoon on our third quarter earnings call. We look forward to getting back with all of you in a few months and talking about the fourth quarter. Have a good evening.