Unknown Analyst

Welcome, everybody, and thank you for joining us. I'm [ Marty Vouin ]. This is [ Jane Patel ]. We are the JPMorgan equity research team covering enterprise software. And it's a great pleasure to be here with Rick McConnell, CEO; Jim Benson, CFO; and Dan Zugelder, CRO of Dynatrace. Rick, Jim Dan, really appreciate you guys coming back to TMC.

Unknown Analyst

We'll start off on a good note. You guys finished fiscal 2026 surpassing $2 billion in ARR, fourth consecutive quarter of 16% ARR growth and a fiscal '27 guide that bakes in net new ARR acceleration. So it's been a banner year for you guys. But then just to start off, why don't you guys give a quick introduction and just let us know what Dynatrace is solving for the world's enterprises today and how that's evolving in the AI world?

Rick McConnell
CEO & Director

Sure. DynaTrace is in the $75 billion plus observability space. Observability is targeted at enabling enterprises to run their software better. So think about us as helping to prevent incidents to remediate incidents and to optimize your environment. This is what observability software generally does. We often think of Dynatrace's vision in delivering the world software that works perfectly. So that would be our objective.

And obviously, as we evolve so rapidly into an agentic world, this brings a huge array of new opportunities to the observability space. Because agents enable us to actually take action and to execute those actions in a more autonomous