Rapid7(US:RPD)2025-05-12 20:12Revenue Performance - Total revenue for Q1 2025 was $210.3 million, up 3% year-over-year, with product subscriptions revenue at $204 million, also up 4%[3] - Total revenue for Q1 2025 was $210,253,000, a 2.5% increase from $205,101,000 in Q1 2024[38] - Product subscriptions revenue reached $203,935,000, up from $196,918,000 in the same period last year, reflecting a growth of 3.1%[38] - Revenue guidance for full-year 2025 is projected to be between $853 million and $863 million, with a year-over-year growth of 1% to 2%[6] - Rapid7 expects ARR for Q2 2025 to be between $850 million and $880 million, reflecting a year-over-year growth of 1% to 5%[6] Customer Metrics - The number of customers decreased by 2% to 11,462 from 11,685 in the previous year[3] Income and Profitability - Non-GAAP income from operations for Q1 2025 was $32.4 million, down from $40.3 million in Q1 2024[4] - GAAP net income for Q1 2025 was $2.1 million, compared to $1.4 million in Q1 2024, with GAAP net income per share increasing to $0.03 from $0.02[4] - Net income for Q1 2025 was $2,105,000, compared to $1,406,000 in Q1 2024, representing a 49.7% increase[38] - Non-GAAP gross profit for Q1 2025 was $157,460, up from $151,095 in Q1 2024, reflecting a growth of 4.5%[46] - Non-GAAP gross margin improved to 74.9% in Q1 2025 from 73.7% in Q1 2024[46] - Anticipated non-GAAP net income for Q2 2025 is projected to be between $31 million and $33 million[50] - Anticipated non-GAAP net income per share, diluted, for Q2 2025 is expected to be between $0.43 and $0.46[50] Cash Flow and Expenses - Free cash flow for Q1 2025 was $24.7 million, compared to $27.5 million in Q1 2024[4] - Operating expenses for Q1 2025 totaled $150,874,000, an increase from $134,391,000 in Q1 2024, marking a 12.3% rise[38] - The company incurred stock-based compensation expense of $27,151,000 in Q1 2025, compared to $25,745,000 in Q1 2024[41] - Free cash flow for Q1 2025 was $24,677, down from $27,534 in Q1 2024, a decrease of 10.1%[48] - Anticipated free cash flow for full-year 2025 is projected to be between $125 million and $135 million[51] Assets and Liabilities - Cash and cash equivalents at the end of Q1 2025 were $291,462,000, down from $334,686,000 at the end of Q4 2024[36] - Total assets decreased to $1,644,810,000 as of March 31, 2025, from $1,652,034,000 at the end of December 2024[36] - Total liabilities were $1,592,088,000 as of March 31, 2025, compared to $1,634,323,000 at the end of December 2024[36] Product Development and Expansion - In April 2025, Rapid7 launched new products including unified threat-informed remediation and Managed Detection & Response for Enterprise[5] - The company announced plans for expansion in India, including the establishment of a global capacity center[10] Future Outlook - The company anticipates continued growth in cloud-based solutions and is focused on integrating acquired companies to enhance market position[32]