Tenable(TENB)2025-02-21 23:59Customer Base and Market Position - As of December 31, 2024, the company had approximately 44,000 customers, including about 65% of the Fortune 500 and 50% of the Global 2000[30]. - The company aims to expand its market leadership in exposure management and capture large market opportunities in cloud, identity, and operational technology (OT)[25]. - The company plans to continue acquiring new enterprise platform customers, leveraging expanded product capabilities and investments in sales and marketing[26]. - The company’s sales strategy includes both direct-touch and low-touch approaches, utilizing a network of channel partners for broader geographic reach[31]. - Revenue derived from the channel network comprised 94% of total revenue in 2024, compared to 93% in 2023[443]. Product and Technology Development - The Tenable One platform integrates various products, providing a unified view of risk across IT assets, cloud resources, containers, web applications, and identity systems[18]. - The company intends to invest in its technology platform to innovate and broaden exposure management solutions, enhancing analytical capabilities over time[34]. - The company continues to invest in research and development to enhance its platform offerings and maintain competitive positioning[37]. - The Nessus product line is one of the most widely deployed vulnerability assessment solutions, providing a continuous feedback loop of data and insights[21]. Financial Performance - Total revenue for the year ended December 31, 2024, was 798,710,000 in 2023[384]. - Gross profit for 2024 was 615,133,000 in 2023, indicating a gross margin improvement[384]. - Net loss for 2024 decreased to 78,284,000 in 2023, showing a significant reduction in losses[384]. - Cash and cash equivalents increased to 237,132,000 in 2023, reflecting improved liquidity[382]. - Total assets grew to 1,606,871,000 in 2023, indicating overall growth in the company's financial position[382]. Revenue Recognition and Deferred Revenue - Subscription revenue for 2024 reached 725,013,000 in 2023[442]. - Deferred revenue increased to 580,779,000 in 2023, suggesting strong future revenue recognition potential[382]. - Remaining performance obligations totaled 775,008,000 in 2023[445]. - Deferred revenue recognized in 2024 was 502.8 million in 2023[444]. Cash Flow and Liquidity - Cash flows from operating activities increased to 149,855 thousand in 2023, representing a growth of approximately 45.2%[392]. - Cash and cash equivalents at the end of 2024 were 237,132 thousand at the end of 2023, indicating an increase of approximately 38.6%[392]. - The company had 248.5 million in short-term investments as of December 31, 2024[355]. Investments and Acquisitions - The company plans to explore acquisition opportunities to enhance the functionality of its platform offerings[34]. - In 2024, the company recorded a total cash consideration of 243.8 million for the acquisition of Ermetic, including 1.9 million in 2024, down from 17.415 million, compared to 353.9 million for federal, 468.6 million for foreign tax purposes, with expirations beginning in 2030[496]. - Total deferred tax assets increased to 263.9 million in 2023, primarily driven by increases in stock-based compensation and capitalized research and development[496]. Employee and Operational Metrics - The company employs 1,872 individuals, with 854 located outside the United States, and has not experienced any work stoppages[49]. - Stock-based compensation expenses rose to 145,327 thousand in 2023, marking an increase of about 12.5%[392]. Environmental and Social Responsibility - The company has implemented environmental stewardship practices, including recycling and using renewable energy through AWS[57].