Zenvia Inc. (NASDAQ:ZENV) Q2 2023 Earnings Call Transcript

Cassio Bobsin: I’m not sure what I am able to tell on that sense. I don’t have a lawyer by my side. But as we have been working to view the long-term vision, and we are starting to get the first benefits of this movement of building a very strong SaaS layer comprised of solutions from different parts of the customer journey that are now being integrated, we are starting to get lots of traction on the cross-sell and the bundling of the solutions. And in the next couple of quarters, we’re going to see the effects of that. So as we capture these — all those investments over the last two, three years, I would say, beginning Q3, Q4 this year, but fully on 2024 and on, we expect that the next five years would look awesome in that aspect of getting all the results of this strategy, which is a long-term strategy that will become very clear for the market that we are building Zenvia to become the leader in customer experiences, software.

And that’s why we understand that there is a very good opportunity for long-term investors to capture that over time.

Shay Chor: Another one here. Congrats on solving the funding gap for ’23. How do you see this moving on for ’24? So as we’ve been working hard to deliver strong EBITDA and cash flow, it puts us in a better situation than we were a couple of months ago. We negotiated with banks and funding alternatives. So we are very confident that by continuing to deliver the strong results, we’ll be able to solve the funding gap not only for ’24, but the entire funding gap of the company, mainly arising from the earnout structure that we have. So we are confident that we’ll come up with good news for our stakeholders on this front. But we don’t — as of now, we feel that we are in a much better situation than we were a couple of months ago.

Operator: [Operator Instructions]

Shay Chor: I’ll continue here. In order to meet the 2022 revenue guidance, you would need relatively high revenue growth in H2. How is your visibility on achieving this? Caio, do you want to take this?

Caio Figueiredo: Yes, of course, of course. So as Shay said, we are aiming on the low part of the guidance for revenue. For CPaaS business, we have a seasonality of the business. In Q4, we had return on revenue due to Black Friday and Christmas. So that gives us more room for growth in the second-half of the year. So that’s why you’re going to see a strong growth when comparing to the first-half. And for SaaS business, we — as also Shay already said, we have — we’re already seeing the pipeline for large enterprise getting stronger. And also, you can see in our results, our number of clients for SaaS start to — had a strong growth. So as we start small in their business, and we have a strong revenue expansion, we are confident that we can deliver the growth that we need in order to reach the low part of the guidance in terms of revenue.

Shay Chor: Thanks, Caio. Cassio, can you give more color on the One Zenvia that you highlighted in your opening remarks?

Cassio Bobsin: Sure. What we’ve been doing the last — strategically looking at the past three years is building our SaaS layer. And that movement was a combination of a stronger investment on R&D and also some acquisitions that we did on companies that had complementary SaaS offerings that are now part of our portfolio. But of course, doing so, created a certain complexity in terms of how we offer those products to our customers and how we operate the company internally. So part of the integration process that we’ve been doing in the last couple of quarters started with the corporate infrastructure and organizational chart and basic process integration and — which are pretty much concluded. And now we’re beginning to combine all these products into a single suite.