Press release
MicroStrategy Announces Second Quarter 2020 Financial Results
TYSONS CORNER, Va.--(BUSINESS WIRE)-- MicroStrategy® (Nasdaq: MSTR), the largest independent publicly-traded business intelligence company, today announced
About this update from Strategy Inc
[{"type":"text","content":" TYSONS CORNER, Va.--(BUSINESS WIRE)--\nMicroStrategy® (Nasdaq: MSTR), the largest independent publicly-traded business intelligence company, today announced financial results for the three-month period ended June 30, 2020 (the second quarter of its 2020 fiscal year).\n\n\n“MicroStrategy’s second quarter results were solid in the context of the challenging global economic environment and highlighted by double-digit subscription services revenue growth and significant improvements in profitability. We are encouraged by the adoption of the MicroStrategy Cloud™ and HyperIntelligence® as customers look for the best way to make fast, data-driven decisions,” said Michael J. Saylor, CEO, MicroStrategy Incorporated. \n\n\n“We continue to make significant progress streamlining our cost structure and improving our operating efficiency. We now believe we are in a position to drive consistent and meaningful profitability going forward while also continuing to invest in revenue growth. This has given us the confidence to more actively utilize our strong balance sheet, which together with our improved operational performance provides multiple opportunities to generate substantial long-term value for our shareholders,” continued Mr. Saylor.\n\n\nCapital Allocation Strategy\n\n\nMicroStrategy today announced a new capital allocation strategy. With more than $500 million in cash and cash equivalents and short-term investments and an operating plan that anticipates generating material free cash flow going forward, MicroStrategy intends to return up to $250 million to its shareholders over the next 12 months. In addition, under this capital allocation strategy, MicroStrategy will seek to invest up to another $250 million over the next 12 months in one or more alternative investments or assets, which may include stocks, bonds, commodities such as gold, digital assets such as bitcoin, or other asset types. Both of these strategies will depend on market conditions.\n\n\nPhong Le, President & CFO, MicroStrategy Incorporated, said, “MicroStrategy is announcing a capital allocation strategy that reflects a new direction in its commitment to capital stewardship. We believe the business will be able to generate material excess cash going forward and are confident that we can manage our day-to-day business and achieve reasonable growth objectives with appr...