Business
Varonis Announces Fourth Quarter and Full Year 2019 Financial Results
Annual recurring revenues grew to $210.5 million, a 62% increase over fourth quarter 2018Subscription revenues were 82% of fourth quarter 2019 license
About this update from Varonis Systems, Inc.
[{"type":"text","content":"Annual recurring revenues grew to $210.5 million, a 62% increase over fourth quarter 2018Subscription revenues were 82% of fourth quarter 2019 license revenues\n NEW YORK, Feb. 10, 2020 (GLOBE NEWSWIRE) -- Varonis Systems, Inc. (Nasdaq: VRNS), a pioneer in data security and analytics, today announced results for the fourth quarter and full year ended December 31, 2019. Yaki Faitelson, Varonis CEO, said, “We completed the year with a strong fourth quarter, as new and existing customers continue to embrace the Varonis Data Security Platform which reduces risk, better detects and responds to insider threats and cyberattacks, and helps to improve regulatory compliance. At the same time, we continued our rapid transition to a subscription model. Over the last twelve months, we believe that we have built the foundation for a durable and scalable subscription business, and we are excited to continue our momentum in 2020 as we work toward our $1 billion sales target.” Guy Melamed, Varonis CFO and COO, said, “2019 was a transformational year, capped by our fourth quarter results, in which we achieved a record 82% of license revenues from subscriptions and ended with annual recurring revenues of $210.5 million, up 62% year-over-year. We feel confident in the market opportunity and our competitive position and will continue to invest to drive future growth. While this will pressure operating margins in the first half of the year, we expect to show sequential margin expansion each quarter in 2020 and improving operating leverage for the full year versus 2019.” Financial Summary for the Fourth Quarter Ended December 31, 2019 Subscription revenues were $31.6 million, or 82% of license revenues, compared with $3.8 million, or 7% of license revenues, in the fourth quarter of 2018.Maintenance and services revenues were $34.2 million, compared with $33.9 million in the fourth quarter of 2018.Total revenues were $72.6 million, compared to $87.5 million in the fourth quarter of 2018, reflecting the accelerated transition to a subscription-based model.GAAP operating loss was ($14.0) million for the quarter, compared to GAAP operating income of $4.5 million in the fourth quarter of 2018.Non-GAAP operating loss was ($2.4) million for the quarter, compared to non-GAAP operating income of $15.5 million in the fourth quarter of 2018.As of December 31, 20...