Elastic (ESTC) Reports Q3 Earnings: What Key Metrics Have to Say

Core Insights - Elastic reported revenue of $382.08 million for the quarter ended January 2025, marking a 16.5% increase year-over-year and a surprise of +3.74% over the Zacks Consensus Estimate of$ 368.32 million [1] - The company's EPS for the quarter was $0.63, significantly up from$ 0.36 in the same quarter last year, resulting in an EPS surprise of +34.04% compared to the consensus estimate of $0.47 [1] Revenue Breakdown - Revenue from Services was$ 23.89 million, exceeding the average estimate of $21.55 million by nine analysts, representing a year-over-year increase of +17.5% [4] - Subscription revenue reached$ 358.20 million, surpassing the average estimate of $346.74 million, with a year-over-year change of +16.4% [4] - Elastic Cloud subscription revenue was reported at$ 180 million, exceeding the seven-analyst average estimate of $174.25 million, reflecting a year-over-year increase of +25.5% [4] - Other subscription revenue amounted to$ 178.20 million, compared to the average estimate of $172.64 million, indicating an 8.5% year-over-year change [4] Stock Performance - Over the past month, Elastic's shares have returned -8.6%, while the Zacks S&P 500 composite has seen a -2.2% change [3] - The stock currently holds a Zacks Rank 2 (Buy), suggesting potential outperformance against the broader market in the near term [3]