Phase Forward Q1 2009 Earnings Call Transcript

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2009-04-28 16:43:12.0

Tags: Call Transcript, Earnings, Clarix Product, Sales Strategy, Sales Force Management, Help Desk, Sales, It Operations, Seeking Alpha, Phase Forward Inc.

Question-and-Answer Session

Operator

(Operator Instructions). And our first question come from the line of Steven Crowley with Craig-Hallum Capital. Go ahead.

Steven Crowley - Craig-Hallum Capital

Good afternoon gentlemen.

Robert Weiler

Good afternoon, Steve.

Christopher Menard

Hey Steve.

Steven Crowley - Craig-Hallum Capital

First of all congratulations on a great quarter. Couple of questions. You mentioned in the press release and then your dialogue that you have some success here with the bundle of EDC and IRT. What have been the biggest drivers because it's a bit sooner for this phenomenon to take place then maybe you would led us to believe previously, is it a function of the environment, is it a function of the sales proposition that you brought help us understand the ingredients that's brought us together? I guess related to that, could you give us an update on expectations for the IRT business for this year as a whole, I don't think that was part of your prepared commentary?

Robert Weiler

Well, essentially you never can totally predict sales cycle. So, when we gave guidance for how long this is going to take, we clearly has number of items in the pipeline, whether they are going to close or not, we were not really sure of on our last call. But I think what is clear is the drivers of IRT and EDC that it is just a very, very natural integration of the product in a product requirement.

The Clarix product is an excellent product to combine it with InForm and the benefits that are getting readily apparent. So as we made this proposition to companies, as they're going through the evaluation, just as we hope would happen they really saw the benefit of an integrated suite solution not just from technology, but dealing with one customer, the investigators having one help desk, the ability of the service project management and bills coming under one umbrella, combining the best of breed of the service people from Clarix with the best of breed that we have on InForm and understanding the products is a very, very compelling offering. You combine that with when you buy them together you get cost synergies as well we believe that this is just going to be the first few of many that we expect over the next years.

Steven Crowley - Craig-Hallum Capital

Okay. Just as my follow-up, really two prongs, was there a nature to the customers that have gone to this bundle early on, are they established existing customers of the InForm that are adopting Clarix or vice versa? And then somewhat unrelated but important to us, your CRO channel, and CRO business had a very good quarter in the context that I think is confusing and where there have been some issues presented by some companies and not by others, what can you tell us about your success on the CRO side of the equation, and how you're making that work for us or work for you and is there anything anomalous in the results related to the CRO partners? So and then I'll get back in the queue, thanks for taking my questions.

 

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