Gitlab (GTLB)2024-12-05 21:09Revenue and Financial Performance - Total revenue for Q3 FY 2025 reached $196.0 million, a 31% year-over-year increase[2][4] - Total revenue for the three months ended October 31, 2024, increased to $196.0 million, up from $149.7 million in the same period last year, representing a 31% growth[23] - Subscription revenue for the three months ended October 31, 2024, reached $175.3 million, a 34% increase compared to $131.0 million in the prior year period[23] - Q4 FY 2025 revenue guidance is projected between $205.0 million and $206.0 million, with full-year FY 2025 revenue expected to be between $753 million and $754 million[9] - Net income attributable to GitLab for the three months ended October 31, 2024, was $29.6 million, compared to a net loss of $285.2 million in the prior year period[23] - Net income for the three months ended October 31, 2023 was $28,267, compared to a net loss of $(286,355) in the same period last year[25] - Net income attributable to GitLab common stockholders on a GAAP basis for Q3 2024 was $29.6 million, compared to a loss of $285.2 million in Q3 2023[27] - Non-GAAP net income for Q3 2024 was $39.1 million, up from $14.4 million in Q3 2023[28] - GAAP net income per share, diluted, for Q3 2024 was $0.18, compared to a loss of $1.84 per share in Q3 2023[28] - Non-GAAP net income per share, diluted, for Q3 2024 was $0.23, up from $0.09 in Q3 2023[28] Operating Margins and Profitability - GAAP operating margin improved to (15)% from (27)% year-over-year, while Non-GAAP operating margin expanded to 13% from 3%[4] - Non-GAAP operating income for Q4 FY 2025 is forecasted to be between $28.0 million and $29.0 million, with full-year guidance of $69 million to $70 million[9] - Gross profit for the three months ended October 31, 2024, was $173.9 million, up 29% from $134.6 million in the same period last year[23] - Gross profit on GAAP basis for Q3 2024 was $173.9 million, compared to $134.6 million in Q3 2023, with a gross margin of 89% for both periods[27] - Non-GAAP gross profit for Q3 2024 was $178.4 million, with a gross margin of 91%, consistent with Q3 2023[27] Customer Growth and Retention - Customers with more than $100,000 of ARR grew 31% year-over-year to 1,144[6] - Dollar-Based Net Retention Rate stood at 124%[6] - Total RPO increased 48% year-over-year to $811.8 million, with cRPO growing 39% to $515.2 million[6] Expenses and Investments - Sales and marketing expenses for the three months ended October 31, 2024, were $95.3 million, up 10% from $87.0 million in the prior year period[23] - Research and development expenses for the three months ended October 31, 2024, were $61.4 million, up 25% from $49.1 million in the prior year period[23] - Research and development expenses on a GAAP basis for Q3 2024 were $61.4 million, up from $49.1 million in Q3 2023[27] - Sales and marketing expenses on a GAAP basis for Q3 2024 were $95.3 million, compared to $87.0 million in Q3 2023[27] - Stock-based compensation expense for the three months ended October 31, 2023 was $48,042, up from $41,334 in the prior year period[25] - Stock-based compensation expense for Q3 2024 was $48.0 million, up from $41.3 million in Q3 2023[27] Cash Flow and Financial Position - Cash and cash equivalents decreased to $176.6 million as of October 31, 2024, from $288.0 million as of January 31, 2024[21] - Total current assets decreased to $1,192.2 million as of October 31, 2024, from $1,280.9 million as of January 31, 2024[21] - Total liabilities decreased to $482.4 million as of October 31, 2024, from $699.9 million as of January 31, 2024[21] - Total stockholders' equity increased to $770.2 million as of October 31, 2024, from $617.9 million as of January 31, 2024[21] - Net cash used in operating activities for the three months ended October 31, 2023 was $(177,028), compared to $(5,961) in the same period last year[25] - Purchases of short-term investments for the three months ended October 31, 2023 totaled $(240,136), compared to $(238,680) in the prior year period[25] - Proceeds from maturities of short-term investments for the three months ended October 31, 2023 were $148,763, down from $253,995 in the same period last year[25] - Net cash provided by financing activities for the three months ended October 31, 2023 was $2,922, compared to $4,715 in the prior year period[25] - Cash and cash equivalents at end of period October 31, 2023 were $176,632, down from $285,309 at the end of the same period last year[25] - Adjusted free cash flow for Q3 2024 was $9.7 million, compared to a negative $6.7 million in Q3 2023[29] Product and Market Recognition - GitLab announced the general availability of Advanced SAST for GitLab Ultimate customers, leveraging technology acquired with Oxeye[7] - GitLab was recognized as a Leader in the Gartner® Magic Quadrant™ for DevOps Platforms for the second consecutive year[7] Deferred Revenue and Accounts Receivable - Deferred revenue for the three months ended October 31, 2023 was $19,665, up from $14,270 in the prior year period[25] - Accounts receivable for the three months ended October 31, 2023 was $(32,883), compared to $(30,572) in the same period last year[25] - Accrued expenses and other current liabilities for the three months ended October 31, 2023 was $(220,071), compared to $244,674 in the prior year period[25]