Core Insights - Wall Street analysts forecast that Rapid7 (RPD) will report quarterly earnings of $0.35 per share, reflecting a year-over-year decline of 36.4% and anticipated revenues of $208.45 million, which is an increase of 1.6% compared to the previous year [1] Earnings Estimates - Over the last 30 days, there has been an upward revision of 1.9% in the consensus EPS estimate for the quarter, indicating a collective reconsideration by covering analysts [2] - Changes in earnings estimates are crucial for predicting potential investor reactions, as empirical research shows a strong correlation between earnings estimate revisions and short-term stock price performance [3] Revenue Projections - Analysts estimate 'Revenue- Professional services' at $6.80 million, a decrease of 16.9% from the prior-year quarter [5] - The average prediction for 'Revenue- Products' is $202.25 million, reflecting an increase of 2.7% from the previous year [5] Key Metrics - The combined assessment suggests 'Annualized recurring revenue' will likely reach $840.83 billion, up from $807.20 billion year-over-year [6] - Analysts project the 'Number of customers' to reach 11,631, compared to 11,462 in the previous year [6] - 'ARR per customer' is expected to be $72,342.91, an increase from $70,400 in the same quarter last year [7] - 'Non-GAAP Gross Profit- Products' is forecasted to be $152.07 million, compared to $148.80 million year-over-year [7] Stock Performance - Over the past month, Rapid7 shares have recorded returns of -0.9%, while the Zacks S&P 500 composite has changed by +11.3% [7] - Based on its Zacks Rank 3 (Hold), RPD is expected to perform in line with the overall market in the upcoming period [7]

BOSTON, April 29, 2025 (GLOBE NEWSWIRE) -- Rapid7, Inc. (NASDAQ: RPD), a leader in extended risk and threat detection, today announced a series of powerful enhancements to its Command Platform. With unified threat-informed remediation, Rapid7 now offers security teams platform-level remediation capabilities across exposure management and threat detection and response, resulting in greater visibility, alignment, collaboration, and security outcomes. In addition, Rapid7 stands behind these security outcomes w ...

BOSTON, April 24, 2025 (GLOBE NEWSWIRE) -- Rapid7, Inc. (NASDAQ:RPD), a leader in extended risk and threat detection, today announced the launch of Managed Detection & Response (MDR) for Enterprise, a fully managed and customizable detection and response service designed to meet the unique demands of complex, distributed enterprise environments. Modern enterprises operate across sprawling digital environments spanning cloud, on-premises, legacy systems, and proprietary applications. For some organizations, ...

Purpose-built for large enterprises, the latest evolution of Rapid7’s MDR offering delivers flexible, expert-led cybersecurity coverage that meets the unique demands of complex, distributed environmentsBOSTON, April 24, 2025 (GLOBE NEWSWIRE) -- Rapid7, Inc. (NASDAQ: RPD), a leader in extended risk and threat detection, today announced the launch of Managed Detection & Response (MDR) for Enterprise, a fully managed and customizable detection and response service designed to meet the unique demands of complex ...

BOSTON, April 15, 2025 (GLOBE NEWSWIRE) -- Rapid7, Inc. (NASDAQ: RPD), a leader in extended risk and threat detection, today announced that the company will release its first quarter 2025 financial results on Monday, May 12, 2025, after the financial markets close. The company will host a conference call that same day to discuss its results and business outlook at 4:30 p.m. Eastern Time. The call will be accessible by telephone at +1 888-330-2384 (toll-free) or +1 240-789-2701 with the event code 8484206. T ...

Annual channel awards program honors Rapid7 partners' excellence in cybersecurity product and services delivery, customer retention, and more Rapid7 recently announced significant updates to its global PACT partner program, uniting and energizing partners with tailored engagement programs and specializations, an all-new Partner Training Academy, and a modernized and expanded partner portal. The new program was rolled out to Rapid7's full channel community, which includes resellers, distributors, systems int ...

Company Overview - Rapid7, Inc. is a leader in extended risk and threat detection, focusing on cybersecurity solutions that simplify and enhance security for organizations [8] - The company serves over 11,000 global customers, providing comprehensive security solutions that unite cloud risk management and threat detection [8] Board of Directors Changes - Rapid7 announced the appointment of three new members to its Board of Directors: Wael Mohamed, Mike Burns, and Kevin Galligan, expanding the Board to 11 directors [1][2] - These appointments are expected to enhance the company's leadership and execution capabilities, aligning with its growth strategy [2][3] Strategic Goals - The company aims to accelerate its growth and enhance operational efficiency through the expertise of the new board members [2] - Rapid7 is focused on delivering cutting-edge solutions in AI-driven threat detection, cloud security, and exposure management, positioning itself for sustainable and profitable growth [2] Cooperation Agreement - Rapid7 has entered into a cooperation agreement with JANA Partners Management, LP, which includes support for all of Rapid7's director nominees at the upcoming annual shareholder meeting [1][2] Expertise of New Board Members - Wael Mohamed brings over 30 years of experience in cybersecurity and digital transformation, having held leadership roles in various technology companies [4] - Mike Burns has more than 25 years of senior leadership experience in finance and operations within high-growth public technology companies [5] - Kevin Galligan has 18 years of experience in investing and driving shareholder value, currently serving as a Partner and Director of Research at JANA Partners [6]

Core Insights - Rapid7, Inc. is expanding its operations in India by opening a new Global Capability Center (GCC) in Pune, aimed at driving AI innovation and enhancing cybersecurity operations [1][2][3] Group 1: Expansion Plans - The GCC in Pune will open in April 2025, focusing on providing 24x7 security operations coverage for global customers [2] - The new office will prioritize hiring talent to foster product and service innovation in cyber operations and build a local cybersecurity talent pipeline [2][3] Group 2: Leadership Statements - Corey Thomas, CEO of Rapid7, emphasized that the expansion into India is crucial for enhancing security operations leadership and customer-centric innovation [3] - Swami Nathan, Rapid7's country manager for India, expressed excitement about leading the new hub and the opportunities for team members to impact customer security [3] Group 3: Engagement Initiatives - Rapid7 will host three Security Day events in May 2025 in Mumbai, Delhi, and Bangalore to engage with corporate, academic, and government leaders on cybersecurity challenges and advancements [4] - These events will focus on topics such as Continuous Threat Exposure Management (CTEM) and Managed Extended Detection and Response (MXDR) [4] Group 4: Company Overview - Rapid7 is committed to creating a safer digital world by simplifying cybersecurity and empowering security professionals [6] - The company serves over 11,000 global customers, integrating cloud risk management with threat detection and response [6]

Financial Performance - For the year ended December 31, 2024, the company recorded total revenue of $844 million, an increase of 8.5% from $777.7 million in 2023[355]. - Product subscriptions revenue was $808.9 million, up from $740.2 million in 2023, representing a growth of 9.3%[355]. - The company reported a net income of $25.5 million for 2024, a significant recovery from a net loss of $152.8 million in 2023[355]. - Total gross profit for 2024 was $593 million, compared to $545.7 million in 2023, reflecting a gross margin improvement[355]. - Operating expenses decreased to $557.9 million in 2024 from $629.9 million in 2023, primarily due to lower research and development costs[355]. - The company recognized a total comprehensive income of $23 million in 2024, compared to a comprehensive loss of $150.1 million in 2023[359]. - Net income for the year ended December 31, 2024, was $25,526,000, a significant improvement from a net loss of $152,815,000 in 2023 and $124,717,000 in 2022[364]. - The company reported a loss before income taxes of $153,333,000 for the year ended December 31, 2024, compared to a profit of $41,455,000 in 2023[482]. - Total income tax expense for 2024 was $15,929,000, a significant increase from a tax benefit of $518,000 in 2023[483]. - The effective income tax rate for 2024 was 38.4%, compared to 0.3% in 2023[483]. Cash and Investments - The company reported cash and cash equivalents of $334.7 million and investments of $224.3 million as of December 31, 2024[330]. - The company’s cash and cash equivalents increased to $334.7 million as of December 31, 2024, up from $213.6 million in 2023[353]. - Total cash, cash equivalents, and restricted cash at the end of 2024 was $342,101,000, up from $214,127,000 in 2023[364]. - The company had $7.4 million of restricted cash recorded on its consolidated balance sheet as of December 31, 2024[384]. - As of December 31, 2024, Rapid7's available-for-sale investments totaled $224.3 million, with maturities ranging from 1 to 17 months[440]. Competition and Market Conditions - The company anticipates that prolonged economic uncertainties could adversely affect its business and operating results[13]. - The company faces intense competition in its market, which could negatively impact its financial condition and results of operations[13]. - The company is dependent on customers renewing and expanding their subscriptions, which is vital for future operating results[13]. - The company aims to maintain an adequate annualized recurring revenue growth, which is critical for its future operating results[12]. - The company is focused on diversifying its sources of revenue and effectively managing its growth to sustain profitability[12]. Expenses and Costs - Stock-based compensation expense for 2024 was $107,961,000, slightly down from $111,636,000 in 2023[364]. - The total amortization expense for intangible assets was $33.8 million in 2024, up from $31.9 million in 2023, indicating a year-over-year increase of 5.9%[447]. - The adjusted total cost of revenue for 2024 was $221,664 thousand, up from $202,655 thousand in 2023[510]. - Total lease costs for the year ended December 31, 2024, were $25.905 million, a decrease from $26.254 million in 2023[467]. - The company incurred fees of $0.4 million related to the Credit Agreement, which are amortized over the contractual term[465]. Acquisitions and Goodwill - Rapid7 acquired Noetic Cyber, Inc. for an aggregate fair value of $51.2 million, consisting of $38.6 million in cash, $12.1 million in contingent consideration, and $0.5 million in deferred cash payments[429]. - Rapid7 acquired Minerva Labs Ltd. for an aggregate fair value of $34.6 million, with $35.0 million paid in cash at closing[438]. - The fair value of net assets acquired from Minerva was $13.9 million, with goodwill recorded at $20.7 million and intangible assets at $12.8 million[439]. - Goodwill increased from $536.4 million as of December 31, 2023, to $575.3 million as of December 31, 2024, reflecting a growth of approximately 7.3%[447]. Tax and Regulatory Matters - The company had federal net operating loss carryforwards of $265.6 million and state NOLs of $306.0 million as of December 31, 2024[484]. - The company recorded additional research and development tax credits of $4.2 million during the fourth quarter of 2024[487]. - The company received an initial tax assessment from the Israel Tax Authority of approximately 324 million Israeli New Shekels (about $88 million) for fiscal year 2021, but has not recorded any impact in its financial statements[494]. - The company recorded $4,520 thousand in additions based on tax positions related to the current year, increasing unrecognized tax benefits to $9,876 thousand by December 31, 2024[492]. Restructuring and Operational Changes - The company completed its Restructuring Plan in Q1 2024, incurring $(0.2) million in restructuring charges[513]. - The company incurred $22.2 million in restructuring charges in 2023, which included a workforce reduction of approximately 16%[511]. - The company recorded impairment losses of $30.8 million related to idle office spaces in 2023, consisting of $22.2 million for right-of-use assets and $8.6 million for leasehold improvements[468]. Stock and Shareholder Matters - The number of shares available for grant under the Employee Stock Purchase Plan (ESPP) as of December 31, 2024, was 3,076,461[478]. - The expected volatility for the ESPP in 2024 was between 37% and 47%[481]. - As of December 31, 2024, the company had 582,638 stock options outstanding with a weighted average exercise price of $12.38 and an intrinsic value of $16,225,000[477]. - The company has not paid dividends on its common stock and does not expect to do so in the foreseeable future[480].

Core Insights - Rapid7 has announced new innovations to its Exposure Management offering, enhancing the Rapid7 Command Platform to provide improved attack surface visibility and context for organizations [1][2][3] Group 1: Innovations and Features - The new features allow organizations to continuously monitor sensitive data across multi-cloud environments, integrating AI-driven risk scoring and asset context for effective exposure prioritization and remediation [1][2] - Enhancements to the Remediation Hub align risk severity, asset context, reachability, and exploitability with recommended remediations, streamlining the remediation process for security teams [2][6] Group 2: Importance of Context and Control - Security teams require not just visibility but also context and control to enhance efficiency, which is addressed by integrating sensitive data insights and AI-driven prioritization into the platform [3][6] - The innovations aim to help organizations proactively reduce risk, expedite response times, and gain deeper visibility into their attack surface [3] Group 3: Data Protection and Compliance - The ability to discover and protect sensitive data from endpoints to the cloud is essential for organizations to comply with evolving privacy regulations [2][6] - Integration with Cloud Service Provider security services like AWS Macie and Microsoft Defender allows teams to classify and secure sensitive data from the outset, improving data hygiene [6]