New update uniquely brings External Attack Surface Monitoring (EASM), risk-based vulnerability management and patch management into a single unified FedRAMP-authorized platform WASHINGTON, May 21, 2024 /PRNewswire/ -- Qualys, Inc. (NASDAQ: QLYS), a leading provider of disruptive cloud-based IT, security and compliance solutions today announced it is expanding its focus on the government sector by enhancing and operationalizing the capabilities of the Qualys Enterprise TruRisk Platform. This expansion aims t ...

FOSTER CITY, Calif., May 9, 2024 /PRNewswire/ -- Qualys, Inc. (NASDAQ: QLYS), a pioneer and leading provider of disruptive cloud-based IT, security and compliance solutions, today announced that management will participate in a fireside chat and host one-on-one meetings with interested investors at the following conference:William Blair's 44th Annual Growth Stock Conference. Sumedh Thakar, president and CEO, and Joo Mi Kim, CFO, will host one-on-one meetings and participate in a fireside chat in Chicago, Il ...

Financial Performance - The company's revenue has grown from $411 million in 2021 to $554 million in 2023, representing a 16% compound annual growth rate (CAGR)[18] - Adjusted EBITDA has increased from $191 million in 2021 to $259 million in 2023, also demonstrating a 16% CAGR[18] - Free cash flow generation is strong, with capital being returned to shareholders through share repurchases[21] - In Q1 2024, Non-GAAP free cash flows reached $83.5 million[52] Platform and Market - The company emphasizes its Enterprise TruRisk Platform for end-to-end cyber risk management[29] - The company is positioned to capitalize on a large and expanding market opportunity[24, 87] - The company estimates its current total addressable market (TAM) for CY2024E and CY2027E[111] Customer Base and Revenue Model - The company has a blue-chip global customer base[38] - The company operates with a high-margin recurring revenue model that has no capex or maintenance costs[17] - Large enterprise customers (over 5,000 employees) account for 57% of revenues[16] - The company has over 10,000 subscription customers[112]

Qualys (QLYS) came out with quarterly earnings of $1.45 per share, beating the Zacks Consensus Estimate of $1.31 per share. This compares to earnings of $1.09 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 10.69%. A quarter ago, it was expected that this maker of security-analysis software would post earnings of $1.25 per share when it actually produced earnings of $1.40, delivering a surprise of 12%.Over the last four quarte ...

Financial Data and Key Metrics - Q1 2024 revenue grew 12% YoY to $145 8 million with channel contributing 45% of total revenue up from 43% a year ago [30] - Adjusted EBITDA for Q1 2024 was $69 million representing a 47% margin compared to 45% a year ago [31] - EPS for Q1 2024 was $1 45 and free cash flow was $83 5 million representing a 57% margin compared to 48% in the prior year [10] - Operating expenses in Q1 increased by 5% to $56 8 million primarily driven by an 11% increase in Sales & Marketing investments [70] Business Line Data and Key Metrics - Patch Management and Cybersecurity Asset Management combined made up 13% of LTM bookings and 23% of LTM new bookings in Q1 [59] - Cloud Security solutions made up 4% of LTM bookings in Q1 [59] - Customers spending $500 000 or more with Qualys in Q1 grew 19% YoY to 192 [92] Market Data and Key Metrics - Revenue growth outside the US was 13% ahead of domestic growth of 11% [95] - The US and international revenue mix is expected to remain roughly at 60% and 40% respectively [95] - Healthcare technology retail and financial services verticals demonstrated strong VMDR demand with large deal sizes in Q1 [26] Company Strategy and Industry Competition - Qualys is focusing on driving new customer acquisition campaigns and incentives while streamlining sales cycles and operations [9] - The company is investing in its partner program to bolster capacity and harness transformative solution sales [66] - Qualys is extending its technology leadership with new capabilities in External Attack Surface Management and third-party integration [7] - The company is advancing its TruRisk capabilities by integrating MITRE ATT&CK Matrix Prioritization into its platform [67] Management Commentary on Operating Environment and Future Outlook - Management noted a challenging upsell environment with a net dollar expansion rate of 104% down from 105% last quarter [9] - The company expects full-year 2024 revenue to be in the range of $601 5 million to $608 5 million representing a growth rate of 8% to 10% [71] - Full-year 2024 EBITDA margin is expected to be in the low 40s and free cash flow margin in the mid-30s [32] - Management highlighted the importance of reducing risk exposure through the adoption of integrated risk management platforms [68] Other Important Information - Qualys repurchased 105 000 shares for $18 million in Q1 2024 with $265 7 million remaining in the share repurchase program [10] - The company plans to increase investments in Sales & Marketing as well as related support functions systems and people [11] - Qualys is working towards FedRAMP High certification expected by the end of 2024 which will enable deeper penetration into federal agencies [77] Q&A Session Summary Question: Impact on upsell business and improvements [99] - The upsell environment remains challenging with longer review times and customers taking longer to make decisions on larger projects [74] - Management is focusing on generating additional opportunities and educating CISOs to improve upsell performance [74] Question: Federal business traction and GovCloud platform [101] - Qualys is investing in the federal market with recent hires and a planned public sector conference [56] - The company is working towards FedRAMP High certification which will enable deeper penetration into federal agencies [77] Question: Cloud security opportunity and CNAPP solution [61] - Cloud security is a significant opportunity with customers increasingly combining VMDR and TotalCloud solutions upfront [19] - Demand varies by maturity level with more mature organizations adopting workload protection and other advanced capabilities [42] Question: Capital allocation priorities [49] - Share buybacks are based on a grid to offset equity dilution with potential acquisition targets being considered opportunistically [82] Question: Billings growth and new customer growth [84] - Current billings growth of 8% reflects a net dollar expansion rate decline offset by new business traction [106] - New business growth is driven by channel partners with three consecutive quarters of double-digit growth [52] Question: Narrowing full-year revenue guidance band [14] - The decision to narrow the revenue guidance band was based on Q1 performance aligning with the mid-point of the guidance [36] - Management does not anticipate material improvement in the net dollar expansion rate [75]

Revenue Growth - Revenues for the three months ended March 31, 2024, increased by $15.1 million (12%) to $145.8 million compared to $130.7 million in the same period in 2023, driven by increased demand for subscription services [113]. - 96% of the revenue increase was from existing customers prior to January 1, 2024, while 4% was from new customers added in the same period [113]. - The company expects continued revenue growth from both new and existing customers due to strong market demand for its solutions [113]. Cost and Expenses - Cost of revenues for the three months ended March 31, 2024, increased by $0.2 million (1%) to $27.2 million, primarily due to increased personnel costs and shared cloud platform costs [114]. - Operating expenses as a percentage of revenues decreased to 50% for the three months ended March 31, 2024, from 53% in the same period in 2023 [112]. - Sales and marketing expenses increased by $3.8 million to $25.6 million, representing a 15% increase, primarily due to higher personnel costs driven by increased headcount [116]. - General and administrative expenses rose by $1.8 million to $16.9 million, a 12% increase, mainly due to increased personnel costs including stock-based compensation [117]. - Research and development expenses decreased by $0.3 million to $27.8 million for the three months ended March 31, 2024, a decline of 1% compared to the same period in 2023 [115]. Profitability - Gross profit margin improved to 81% for the three months ended March 31, 2024, compared to 79% in the same period in 2023 [112]. - Income from operations increased to 31% of revenues for the three months ended March 31, 2024, compared to 26% in the same period in 2023 [112]. - Net income for the three months ended March 31, 2024, was 27% of revenues, up from 22% in the same period in 2023 [112]. - Net income increased to $39.7 million for the three months ended March 31, 2024, compared to $29.1 million in the same period in 2023, with net income as a percentage of revenues rising to 27% [127]. - Adjusted EBITDA increased by $10.4 million to $69.0 million, representing 47% of revenues for the three months ended March 31, 2024, compared to 45% in the prior year [127]. Cash Flow and Investments - Cash provided by operating activities increased to $85.5 million, up from $66.8 million in the same period in 2023 [128]. - As of March 31, 2024, the company had cash, cash equivalents, and marketable securities totaling $543.4 million, including $120.5 million held outside the United States [128]. - The company expects to continue share repurchases in 2024, with approximately $265.7 million remaining under the authorized repurchase program [136]. - The company had $543.4 million in cash, cash equivalents, and short-term and long-term marketable securities as of March 31, 2024 [142]. - The primary objectives of the company's investment activities are the preservation of principal and support of liquidity requirements [142]. Market Risks - The company is exposed to market risks including interest rate, foreign exchange, and inflation risks [140]. - A hypothetical 100 basis point increase in interest rates would result in a decrease in the fair value of the company's marketable securities by $1.0 million [142]. - The effect of an immediate 10% adverse change in foreign exchange rates would not be material to the company's financial condition, operating results, or cash flows [141]. - The company enters into foreign currency forward contracts to reduce exposure to foreign currency exchange rate fluctuations related to forecasted subscription revenue and operating expenses [141]. - The company monitors the financial condition of large customers and limits credit exposure by collecting subscription fees in advance [140]. Other Income - Total other income, net decreased by $2.5 million to $2.2 million, a 117% decline, primarily due to a $3.7 million increase in interest income offset by a $1.2 million increase in foreign currency loss [118]. - The net dollar expansion rate was 104% as of March 31, 2024, down from 109% in the same period in 2023 [123].

Exhibit 99.1 Qualys Announces First Quarter 2024 Financial Results Revenue Growth of 12% Year-Over-Year GAAP EPS: $1.05; Non-GAAP EPS: $1.45 Raises 2024 GAAP EPS Guidance to $3.26-$3.50 Raises 2024 Non-GAAP EPS Guidance to $5.06-$5.30 FOSTER CITY, Calif., – May 7, 2024 – Qualys, Inc. (NASDAQ: QLYS), a pioneer and leading provider of disruptive cloud-based IT, security and compliance solutions, today announced financial results for the first quarter ended March 31, 2024. For the quarter, the Company reported ...

Traditionally, cybersecurity teams rely on disparate sources like standalone external scanning tools, IT-centric databases such as configuration management databases (CMDBs), and API-based integrations to piece together asset inventories. EASM tools have relied on banner-grabbing methods that produce stale, incomplete asset data snapshots. As a result of this piecemeal approach to asset discovery, the average enterprise is blind to 38%* of its assets at any given time. Qualys CyberSecurity Asset Management ...

FOSTER CITY, Calif., April 23, 2024 /PRNewswire/ -- Qualys, Inc. (NASDAQ: QLYS), a pioneer and leading provider of disruptive cloud-based IT, security and compliance solutions, today announced that the company will report its financial results for the first quarter 2024 after the market closes on Tuesday, May 7, 2024. Qualys will host a conference call and live webcast to discuss its first quarter 2024 financial results at 5:00 p.m. Eastern Time (2:00 p.m. Pacific Time) on Tuesday, May 7, 2024. To access th ...

NCSC recently released guidance recommending patching vulnerabilities for internet-facing services and software within five days and non-external-facing vulnerabilities within seven days. Many organizations find it challenging to accurately discover all their assets, specifically those that are internet-facing, efficiently measure and prioritize the risk, and then remediate it. Anonymized data from the Qualys Threat Research Unit (TRU) indicates the median time to remediate (MTTR) for the average UK organiz ...