John Gomes's questions to PagerDuty Inc (PD) leadership • Q2 2025
Question
John Gomes, on for Nick Altmann, asked for the primary driver of longer deal cycles and for the underlying assumptions for SMB ARR performance in the second half of the year.
Answer
CEO Jennifer Tejada responded that she views longer sales cycles positively, as they result in larger, stickier, multi-product deals that strengthen the business long-term. CFO Howard Wilson addressed the SMB outlook, stating they expect the bulk of growth to come from enterprise and mid-market, with the SMB segment remaining a headwind in the second half, even with some signs of stabilization.