Financial Data and Key Metrics Changes - Total revenue increased by 21% to $263 million, driven by a 39% increase in subscription revenue [4][21] - Non-GAAP EBIT margins were reported at 20.8%, reflecting strong profitability [4][26] - Total ARR grew by 18% to $890 million, with a constant currency increase of 21% to $911 million [23] Business Line Data and Key Metrics Changes - Subscription ARR, which includes term-based licenses and SaaS contracts, increased by 29% to $734 million, accounting for 83% of total ARR [23] - SaaS ARR grew by 71% to $259 million, with a constant currency growth of 75% [23] - Revenue from term software transactions over $100,000 increased by 18%, benefiting from a 30% rise in volume [21] Market Data and Key Metrics Changes - The company saw increased transaction volumes and strong close rates across various geographies and market segments [16] - The healthcare sector contributed to significant enterprise wins, including partnerships with major organizations [21][24] Company Strategy and Development Direction - The company is focused on capitalizing on the dynamic cyber resilience market, emphasizing the need for a unified resilience platform [5][6] - Innovations such as Cloud Rewind and enhanced Active Directory recovery capabilities are positioned as key differentiators in the market [9][12] - The strategy includes a strong go-to-market motion and an expanding partner ecosystem to scale globally [16][17] Management's Comments on Operating Environment and Future Outlook - Management highlighted the increasing frequency of cyber attacks as a driving force behind demand for their solutions [46] - The company is optimistic about achieving fiscal year 2026 targets earlier than initially planned, with a focus on continued investment in growth initiatives [33][30] - The outlook for fiscal Q4 includes expected subscription revenue growth of 35% year-over-year at the midpoint [29] Other Important Information - The company ended the quarter with no debt and $240 million in cash, reflecting a strong balance sheet [27] - Free cash flow for Q3 was reported at $30 million, with stock repurchases totaling $32 million [28] Q&A Session Summary Question: Momentum in SaaS customer base - Management noted that approximately 200 of the 1,000 new subscription customers came from Clumio, with the remainder being organic growth [36] Question: Acceleration from external factors - Management attributed growth to both external market conditions and internal execution, emphasizing the importance of their platform in addressing customer needs [46] Question: Seasonality in net new ARR - Management acknowledged that Q4 is typically stronger, but emphasized strong pipeline and field execution as key factors for continued growth [48] Question: Operating leverage outlook - Management indicated that FY 2025 is a year of investment, with expectations for improved operating leverage in the future [55] Question: Greenfield opportunity for protecting SaaS apps - Management expressed confidence in expanding offerings for cloud-native workloads, highlighting recent partnerships and innovations [82] Question: Impact of foreign exchange on guidance - Management confirmed that foreign exchange impacts were considered in the revised guidance, with organic growth remaining strong [89]