Business
Rapid7 Announces First Quarter 2024 Financial Results
Annualized recurring revenue (“ARR”) of $807 million, an increase of 11% year-over-yearTotal revenue of $205 million, up 12% year-over-year; Product
About this update from Rapid7, Inc.
[{"type":"text","content":"Annualized recurring revenue (“ARR”) of $807 million, an increase of 11% year-over-yearTotal revenue of $205 million, up 12% year-over-year; Product subscriptions revenue of $197 million, up 13% year-over-yearGAAP operating income of $11 million; Non-GAAP operating income of $40 millionNet cash provided by operating activities of $31 million; Free cash flow of $28 million BOSTON, May 07, 2024 (GLOBE NEWSWIRE) -- Rapid7, Inc. (Nasdaq: RPD), a leader in extended risk and threat detection, today announced its financial results for the first quarter of 2024. “We continued to see solid traction with our consolidated threat detection and response solutions during the first quarter”, said Corey Thomas, Chairman and CEO of Rapid7. “Total ARR was below expectations, primarily driven by a slower than anticipated shift of our VM base into our integrated risk offering, Cloud Risk Complete. We firmly believe that consolidating cloud security and risk management into an integrated offering will drive stronger growth over the long-term by providing customers the most effective and efficient way to manage risk across a fragmented attack surface.” “As we navigate this shift, we delivered a strong start to the year on profitability, both for Operating Income and Free Cash Flow. These results reflect our commitment to driving efficient growth, and we reiterate our Free Cash Flow outlook of at least $160 million for the full year.” First Quarter 2024 Financial Results and Other Metrics Three Months Ended March 31, 2024 2023 % Change (dollars in thousands, except for customer data)Annualized recurring revenue$807,196 $727,853 11%Number of customers 11,462 11,034 4%ARR per customer$70.4 $66.0 7% Three Months Ended March 31, 2024 2023 % Change (in thousands, except per share data)Product subscriptions revenue$196,918 $173,772 13%Professional services revenue 8,183 9,402 (13%)Total revenue$205,101 $183,174 12% North America revenue$157,340 $143,880 9%Rest of world revenue 47,761 39,294 22%Total revenue$205,101 $183,174 12% GAAP gross profit$144,198 $127,175 GAAP gross margin 70% 69% Non-GAAP gross profit$151,095 $134,387 Non-GAAP gross margin 74% 73% GAAP income (loss) from operations$10,568 $(23,965) GAAP operating margin 5% (13)% Non-GAAP income from operations$40,285 $10,993 Non-GAAP operating margin 20% 6% GAAP net income (loss)$2,258 $(25,915) GAA...