01—Abstract
Summary
Summary of the 10-K filed March 15, 2024. Cited figures are marked; the original filing is the authoritative source.
MongoDB, Inc. (Nasdaq: MDB) reported fiscal year 2024 (ended January 31, 2024) total revenue of $1.68 billiona, up from $1.28 billion in fiscal 2023, with subscription revenue of $1.63 billion.
MongoDB Atlas, its multi-cloud database-as-a-service offering, represented 66% of total revenue, versus 63% in the prior year. The company's net loss narrowed to $176.6 millionb from $345.4 million, though it remains unprofitable and reported an accumulated deficit of $1.7 billion. Operating cash flow turned positive at $121.5 million, compared with $(13.0) million in fiscal 2023.
The filing states that the macroeconomic environment negatively affected the business, with slower-than-historical growth in existing Atlas applications. Management expects this headwind on growth in existing Atlas applications to persist in the short term. Stock-based compensation was $456.9 millionc, and sales and marketing expense was 47% of revenue, versus 54% in the prior year.
Customers exceeded 47,800 as of January 31, 2024, and the company stated its net ARR expansion rate has consistently been over 120%. The filing also discloses a December 2023 security incident in which a third-party application flaw allowed unauthorized access to certain corporate applications, including customer contact information and account metadata; the company reports finding no evidence of unauthorized access to Atlas clusters. The 2026 convertible senior notes ($1.15 billiond principal) became convertible at holders' option from February 1, 2024 through April 30, 2024 after the share price condition was met, though the company stated its current intent is to settle principal in cash.
02—Key points
Key Highlights
- Total revenue of $1,683.0 million for fiscal 2024, up from $1,284.0 million in fiscal 2023 and $873.8 million in fiscal 2022.
- MongoDB Atlas represented 66% of total revenue in fiscal 2024, up from 63% in fiscal 2023; MongoDB Enterprise Advanced represented 26%.
- Net loss of $176.6 million, improved from $345.4 million in fiscal 2023, with an accumulated deficit of $1.7 billion.
- Operating cash flow of $121.5 million, compared with $(13.0) million in fiscal 2023.
- Over 47,800 customers as of January 31, 2024; net ARR expansion rate has consistently been over 120%.
- Cash, cash equivalents, short-term investments and restricted cash totaled $2.0 billion as of January 31, 2024.
- December 2023 security incident involving a third-party application and corporate applications; the investigation found no evidence of unauthorized access to Atlas clusters.
03—One dollar
Follow one dollar
For each $1.00 of revenue in FY2024, MongoDB lost $0.10.
- Revenue$1.68B100.0%
- Cost of revenue−$424.5M25.2%
- Gross profit$1.26B74.8%
- Operating costs−$1.49B88.7%
- Operating income−$233.7M13.9%
- Interest, other & tax$57.1M3.4%
- Net income−$176.6M10.5%
04—Financials
Financial Highlights
Figures from 10-KFY2024filed March 15, 2024Financial Statements
FY2024 against FY2023
| Line item | FY2024FY2023 | Change |
|---|---|---|
| Revenue | $1.68B$1.28B | +31.1% |
| Cost of Revenue | $424.49M$349.30M | +21.5% |
| Gross Profit | $1.26B$934.74M | +34.6% |
| R&D Expenses | $515.94M$421.69M | +22.3% |
| Operating Expenses | $1.49B$1.28B | +16.5% |
| Operating Income | -$233.73M-$346.65M | +32.6% |
| Interest Expense | $9.39M$9.80M | −4.2% |
| Net Income | -$176.60M-$345.40M | +48.9% |
| EPS (Basic) | $-2.48$-5.03 | +50.7% |
| EPS (Diluted) | $-2.48$-5.03 | +50.7% |
| Shares Outstanding (Basic) | 71.25M68.63M | +3.8% |
| Shares Outstanding (Diluted) | 71.25M68.63M | +3.8% |
05—Questions
Frequently Asked Questions
How did MongoDB's revenue and profitability change in fiscal 2024?
Total revenue rose to $1,683.0 million from $1,284.0 million, driven mainly by a $392.2 million increase in subscription revenue, including $357.3 million from Direct Sales Customers. The net loss narrowed to $176.6 million from $345.4 million, but the company has incurred net losses in every period since inception and does not guarantee future profitability.
How important is MongoDB Atlas to the business?
MongoDB Atlas represented 66% of total revenue for fiscal 2024, up from 63% in fiscal 2023 and 56% in fiscal 2022. Atlas revenue is primarily recognized on a usage basis, which the filing says limits visibility into revenue timing.
What macroeconomic headwinds did the company describe?
The filing states that the macroeconomic environment negatively impacted the business, causing slower than historical growth rates for existing MongoDB Atlas applications. Management expects this to remain a headwind on growth for existing Atlas applications in the short term.
What is the status of the 2026 convertible notes?
The conditional conversion feature was triggered for the quarter ended January 31, 2024, making the $1.15 billion 2026 Notes convertible at holders' option from February 1, 2024 through April 30, 2024. The company states its current intent is to settle principal in cash and continues to classify the notes as long-term debt.
Did the December 2023 security incident affect Atlas customers?
The filing says an unauthorized third party gained access to certain corporate applications, including those used for customer support, which contained customer contact information and related account metadata. The investigation found no evidence of unauthorized access to MongoDB Atlas clusters, a finding verified by third-party forensic experts, and the company states the incident has not had a material impact on its financial performance or operations to date.
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