AudioEye, Inc. (NASDAQ:AEYE) Q4 2022 Earnings Call Transcript

David Moradi: Yes. We’re just seeing that elongation of the sales cycle in a tougher environment. We have a couple of larger deals that were expiring. We’re still in negotiations. Those couple of deals did reduce ARR at the end of the quarter. We’re still working with them and still providing services, and hopefully, moving forward, to much bigger contracts with them. New business continues to be strong. We’re closing it. It’s just these couple of deals we’re working through, and we think we’re going to get them in a good place. But we’ll grow regardless.

Zach Cummins: Got it. That’s helpful. And final question is just really on the new Chief Revenue Officer hire. I mean you called it out a little bit within the script. But I mean, give us some insight into why you had to shake up in terms of leadership there, on the sales side of it? And is there going to be any sort of changes in terms of how you attack the enterprise or the partner channels?

David Moradi: Yes. Mikel is a rock star. He has a proven track record and has scaled of multiple companies. He has been a CRO before. We just think he’s the right fit for the right time, and he’s going to help us unlock a ton of potential in sales and marketing. He’s done this before. So I think it’s really good.

Zach Cummins: Got it. Best of luck with the rest of the quarter.

David Moradi: Thanks so much.

Operator: And we have a follow-up from Scott Buck with H.C. Wainwright.

Scott Buck: Guys, I figure I’d throw one more at you here. Dave, I wonder if you could speak a little bit to the competitive environment and maybe how some of your peers are addressing a more challenging environment.

David Moradi: Yes. The market is still pretty fragmented. Look, we like the competition. We’re confident that we have the best product. We actually think we’re outperforming the market today based on checks. And we have some very exciting things coming soon, so stay tuned.

Operator: At this time, this concludes our question-and-answer session. I’d now like to turn the call back over to Mr. Moradi for his closing comments.

David Moradi: Thank you for joining us today. As always, I want to thank our employees, partners and investors for their continued support. We look forward to updating you on our next call.

Operator: Before we conclude today’s call, I would like to remind everyone that a recording of today’s call will be available for replay via a link available in the Investors section of the company’s website. Thank you for joining us today for AudioEye’s Fourth Quarter and Full Year 2022 Earnings Conference Call. You may now disconnect.