“We are pleased to report another outstanding quarter for monday.com. Underscored by robust revenue growth of 27%” (CEO)
“The enterprise continues to be our fastest-growing segment and the investments we have made in offering for these customers are bearing fruit.” (co-CEO)
“monday CRM has recently reached $100 million in annual recurring revenue, marking a significant milestone in our product rapid growth.” (co-CEO)
“Q2 marked another strong quarter with solid revenue growth and improving efficiency.” (CFO)
“We remain on the target to meet our Investor Day goal generating over $1 billion in free cash flow from fiscal year '23 to fiscal year '26.” (CFO)
Topic: 2025 as investment year and 2026 outlook on growth/operating leverage
Key points:
2025 plan: catch-up hiring in sales organization (demand from existing base) + heavy R&D investment in AI and product capabilities.
Head count growth will continue into 2026, but at lower percentages for sales.
Already seeing “fruits” of investment in AI usage, product adoption, and upmarket penetration.
Mgmt stance: Bullish – expects 2026 to be “very different” in head count growth efficiency, with 2025 investments yielding results.
Q7 — Noah Ross Herman
Topic: Managed services adoption in enterprise, pricing contribution & FX impact for FY2025
Key points:
Add-ons (security, governance, customization) attach more commonly as customers go upmarket; growth “healthy” and “in line with enterprise segment growth.”
FY2025 pricing contribution unchanged: $80 million total over ’24–’26, with $40 million in 2025.
Full-year FX impact estimated below 50 basis points.
Mgmt stance: Neutral – add-on growth in line with enterprise; guidance unchanged, FX non-material.
Q8 — Steven Lester Enders
Topic: Go-to-market changes (new CRO Casey, promotion to CCO), Google search impact and mitigation confidence
Key points:
New CRO driving “significant impact”; record add of customers >$100k in Q2.
CCO created to support enterprise accounts, improve retention and expansion (aims to drive higher NDR over time).
Google search impact: not significant yet; company diversifies across many channels (AdWords is only part); monitors every click/expense and optimizes quickly.
Mgmt stance: Bullish on go-to-market changes and revenue retention; confident in ability to mitigate Google impact through optimization and channel diversification.
Q9 — Brent John Thill
Topic: Google change impact percentage, forward guidance magnitude
Key points:
Higher-quality customers still click Google ads; drop is only in volume (lower-quality leads) due to Google’s AI experiments.
Company can “mitigate that relatively quickly” through other channels.
Guidance raise magnitude is lower than usual; weakness partly from Google and partly from other hard-to-understand trends in the lower end of the business.
Mgmt stance: Cautious – acknowledges some weakness in SMB segment and Google-related uncertainty, but sees mitigation path.
Q10 — Raimo Lenschow
Topic: Services opportunity vs CRM rollout, Q2 beat vs conservative full-year guidance
Key points:
Services scaling “really fast” and is a “huge opportunity”; go-to-market is different (from existing customers, not Google), already succeeding.
Q2 beat of ~$6 million fully incorporated; full-year guidance raised only $3 million to reflect conservative stance on uncertainty (Google changes, some lower-end weakness).
“Areas of uncertainty” already built into guidance; approach is “achievable and prudent,” focused on long-term growth and profitability.
Mgmt stance: Bullish on services; cautious on full-year guide – “transparent” about Google trend and low-end weakness, buffer reflects conservative view.
Q&A Batch (11-15 of 17)
Q11 — Matthew John Bullock
Topic: AI actions adoption and SEO disruption impact
Key points:
AI actions revenue grew nearly $20 million in Q2; sequential growth slowed due to payment introduction at year start.
More accounts exceeding the 500 credit monthly limit, leading to incremental revenue.
New AI features (magic, vibe, sidekick) also contributed to usage.
SEO disruption impact is “very minor” on mid-market/enterprise, slight effect on SMB; daily budget optimization ongoing.
Mgmt stance: Bullish (satisfied with AI adoption and revenue generation; SEO impact insignificant for customer acquisition).
Q12 — David E. Hynes
Topic: Headcount growth and future hiring pace
Key points:
Headcount growth expected at ~30% for fiscal 2025, with deceleration starting in H2.
Investment in product, R&D, and sales/marketing to capture multiproduct opportunities.
Expects to have “right resources” by year-end, leading to more moderate hiring in 2026 and beyond.
Mgmt stance: Neutral (investment year planned; pace moderates later; no specific headcount target given for 2026).
Q13 — Thomas Blakey
Topic: CRM ARR drivers, seat vs. pricing, and stock-based compensation spike
Key points:
CRM ACV grew over 20% YoY in Q2, driven primarily by seat expansion and larger customer lands.
Q2 stock-based compensation increased due to annual equity refresh cycle (Q2 is compensation cycle), new executive hires, and retention grants.
Topic: Enterprise focus on large deals and AI monetization outlook
Key points:
Focused on landing larger enterprises alongside mid‑market/SMB; September Elevate conference expected to drive pipeline.
Multiproduct strategy enables cross‑sell bundles for full monday experience.
AI consumption revenue already occurring as customers exceed free credits and purchase more; new AI products (solutions/build workflows) to drive further consumption.
Mgmt stance: Bullish (enterprise and AI monetization are progressing as planned; expecting increased AI revenue over time).
Q&A Batch (16-17 of 17)
Q16 — Scott Randolph Berg
Topic: AI product positioning (magic, vibe, sidekick) vs. AI actions; H2 profitability vs. growth trade-off
Key points:
Roy Mann: magic (mondaymagic.ai) lets users describe business problems and receives a full solution, including a movie; sidekick does work within the platform; magic incorporates blocks and sidekick for compound value.
Eliran Glazer: H2 guidance philosophy same as Q1; NDR stable at 111%; customer growth expected mid-single digits; small amount of monday service revenue and minimal FX tailwinds factored in.
Head count growth in H2 will decelerate vs. H1; if performance marketing recovery opportunities arise, company will invest if appropriate.
Mgmt stance: Neutral — guidance reflects cautious prudence (decoupled head count growth, stable NDR), but open to opportunistic investment.
Q17 — Robert Cooney Oliver
Topic: Partner network role in upmarket ($50k–$100k); vertical/geographic pipeline; NRR details and segment trends
Key points:
Eran Zinman: No particular segment (SMB, enterprise, vertical, geography) overperforming or underperforming; H2 performance marketing continues across all products.
Eliran Glazer: H2 revenue guide implies growth stabilizing in mid-20s; assumptions changed vs. initial base case (high 20s–low 30s) include: NDR at 111%, uncertainty around Google Search (proactively addressed), head count/hiring plans, and new product revenue contribution.
In-period NRR: trailing 12-month metric ~111%; deceleration from 112% to 111% due to lapping of 2024 price increase, not other factors; NRR pressure broad-based, with strength in mid-market and upmarket enterprise.
Mgmt stance: Neutral — guidance described as “responsible and prudent”; no FY2026 guidance provided (budget in progress).