Summary
CrowdStrike Holdings, Inc. reported its first quarterly report as a public company, covering the period ending April 30, 2019. The company demonstrated substantial top-line growth, with total revenue more than doubling year-over-year to $96.1 million, driven primarily by a 116% increase in subscription revenue. This growth was fueled by a significant expansion in its customer base, which grew by 105% to 3,059 subscription customers. Despite the strong revenue growth, CrowdStrike continued to operate at a loss, with a net loss of $26.0 million for the quarter. However, the operating loss decreased year-over-year, and the company also saw improvements in its gross margin, which rose to 70% from 59% in the prior year's comparable period. This improvement was attributed to increased operational efficiencies and optimized channel partner programs. The company also reported positive cash flow from operations of $1.4 million for the quarter, a notable improvement from the prior year's negative cash flow. Key financial highlights include an Annual Recurring Revenue (ARR) of $364.6 million, up 114% year-over-year, and a dollar-based net retention rate consistently above 100%, indicating strong customer expansion. The company's significant investments in sales and marketing and research and development are expected to continue driving growth, but also contribute to ongoing operating losses. The period also saw the company successfully close its Initial Public Offering (IPO) shortly after the quarter's end, providing a substantial capital infusion to support its growth initiatives.
Financial Highlights
47 data points| Revenue | $96.08M |
| Cost of Revenue | $29.27M |
| Gross Profit | $66.80M |
| R&D Expenses | $23.88M |
| Operating Expenses | $92.58M |
| Operating Income | -$25.77M |
| Interest Expense | $1K |
| Net Income | -$25.98M |
| EPS (Basic) | $-0.55 |
| Shares Outstanding (Basic) | 47.20M |
Key Highlights
- 1Total revenue surged by 103% to $96.1 million, driven by a 116% increase in subscription revenue.
- 2The number of subscription customers more than doubled, growing by 105% to 3,059.
- 3Annual Recurring Revenue (ARR) increased by 114% to $364.6 million.
- 4Gross margin improved significantly to 70% from 59% in the prior year's comparable period.
- 5The company reported a net loss of $25.98 million, a decrease from the $33.62 million net loss in the prior year's comparable period.
- 6CrowdStrike had $92.99 million in cash and cash equivalents and $82.07 million in marketable securities as of April 30, 2019.
- 7The company closed its Initial Public Offering (IPO) on June 14, 2019, raising $659.1 million in net proceeds.