© JFrog, 2025. All Rights Reserved. Disclaimer This presentation contains forward-looking statements that reflect our current views with respect to, among other things, the operations and financial performance of JFrog Ltd. and its subsidiaries (collectively, "JFrog," "we," "us," or "our"). All statements other than statements of historical facts contained in this presentation, including statements regarding matters such as our industry, business strategy, goals, and expectations concerning our products and ...

Financial Performance - JFrog's 3Q'25 Last Twelve Months (LTM) revenue reached $503 million[7] - The company experienced a 23% year-over-year (YoY) revenue growth in 3Q'25 LTM[7] - JFrog's 3Q'25 LTM Free Cash Flow was $141 million[7] - The Net Dollar Retention Rate for 3Q'25 LTM was 118%[7] - The company projects FY'25 revenue between $523 million and $525 million[145] Customer Base - JFrog has 7,300 customers as of FY24[7] - 82% of Fortune 100 companies are JFrog customers[7] Platform and Security - JFrog discovered over 2.8 million malicious artifacts[51] - JFrog Security Research has scored over 1700 CVEs[51] - JFrog Security Research has disclosed over 200 zero-day vulnerabilities[51] Economic Impact - The JFrog platform accelerates software delivery time, resulting in $13.5 million in value[27] - Automation of activities on Open Source Software (OSS) contributes $6.7 million in economic impact[27] - Increased productivity due to JFrog leads to $3.4 million in value[27]

Financial Data and Key Metrics Changes - JFrog's total revenue for Q2 2025 was $127.2 million, representing a 23% year-over-year increase [5][18] - Operating margin improved to 15.2%, up from 13.2% in the previous year [6][21] - Cloud revenue reached $57.1 million, a 45% increase year-over-year, accounting for 45% of total revenue compared to 38% in the prior year [6][18] - Net dollar retention rate for the trailing four quarters was 118%, up two points sequentially [20] - Free cash flow for Q2 was $35.5 million, or a 28% margin, compared to $16 million, or a 15% margin, in the year-ago period [22] Business Line Data and Key Metrics Changes - Cloud revenue growth was driven by increased annual commitments and the adoption of security products [18][19] - Self-managed or on-premises revenues were $70.1 million, up 10% year-over-year [19] - Revenue contribution from Enterprise Plus subscriptions grew to 55% of total revenues, up from 50% in the prior year [19] Market Data and Key Metrics Changes - JFrog's RPO (Remaining Performance Obligations) totaled $476.7 million, a 75% increase year-over-year, benefiting from multi-year commitments [22] - The company noted a strategic shift in customer infrastructure towards hybrid solutions due to the unpredictable costs associated with AI [10][11] Company Strategy and Development Direction - JFrog aims to become the system of record for all software packages, focusing on DevOps, security, and MLOps [7][12] - The company is deepening partnerships with AI industry leaders and expanding support for the AI ecosystem [13][14] - JFrog is positioning itself as a model registry for AI, emphasizing the importance of a unified software supply chain [13][51] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's alignment with modern software demands and the ongoing growth in cloud and security solutions [8][11] - The company is cautious about future guidance due to macroeconomic uncertainties but expects continued growth in cloud commitments and security adoption [23][25] - Management highlighted the resilience of the team amid external challenges, reinforcing the strength of the business [26][27] Other Important Information - JFrog will hold its Annual User Conference on September 9, 2025, to announce new products and strategic partnerships [17] - The company is committed to addressing emerging security threats associated with AI and MCP (Model-Centric Programming) [14][100] Q&A Session Summary Question: Can you discuss the evolution of customer hesitations regarding self-managed data centers? - Management noted that customers are rethinking their cloud strategies due to the unpredictability of AI costs, leading to a more cautious approach to cloud migration [34][35] Question: How has the sunsetting of JFrog Pipeline affected partnerships with CI/CD players? - The decision to sunset JFrog Pipeline has allowed for better integration and partnerships with companies like GitHub, focusing on security and cloud migration [38][39] Question: Can you provide insights into the pipeline of large enterprise deals? - Management highlighted a focus on migrating workloads to the cloud and the addition of security solutions as key factors driving large enterprise deals [43][45] Question: What impact have AI coding tools had on the DevOps toolchain? - The introduction of code assistance tools has changed the developer landscape, increasing the need for a model registry and security solutions [85][88] Question: How is JFrog leveraging hyperscaler partnerships for co-selling? - Collaboration with cloud providers is crucial for accelerating deals and optimizing costs, with strong relationships established with AWS, GCP, and Microsoft Azure [78][79] Question: What is the outlook for security's contribution to JFrog's business? - Management plans to provide metrics around security's contribution and sees strong momentum in this area [92]