Market-Defining and Diversified Innovations Driving Value Creation slide image

Market-Defining and Diversified Innovations Driving Value Creation

Delivering Strong Results: Actions in Place to Accelerate Momentum 1 2 What We Said at 2020 Investor Day Double frontline sales capacity at a lower cost per order dollar (CPOD) from FY16-FY22 Deepen customer relationships and focus on value selling to expand margin Actions Taken & Results • • • • • More than doubled our sales capacity • 47% increase in annual productivity at a 29% lower CPOD Deploying full sales capability to scale strategic customer collaborations Top 200 customers grew 35% Added over 6,000 new customers contributing >$900M Accelerated cadence of price increases 3 Grow services orders to exceed $600M Optimize global sales capacity with • 4 emphasis on recurring revenue from services and software Launch new offerings and 5 attached services upfront, adding recurring revenue ✔ KEYSIGHT . Achieved over $720M in services orders in FY22 Expanded solutions and subscription services 11% services and software order CAGR >14% recurring revenue CAGR from a shift to software subscriptions, support contracts, and enterprise agreements Launched solution services, now ramping in all end markets New offerings, including KeysightCare, are nearly 100% recurring revenue 28% services upfront order CAGR with a 60% attach rate Notes: Services figures represent the Keysight Global Services Organization, including repair, calibration, remarketed instruments, and new offerings such as KeysightCare. Referenced growth rates are FY19-22 unless otherwise noted. 81
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