Slide 1: Investor presentation Q1 2025
Investor presentation Q1 2025 Period ended April 30, 2024
Slide 2: Safe harbor
Safe harbor This presentation contains forward-looking statements. All statements other than statements of This presentation also contains estimates and other statistical data made by independent historical fact contained in this presentation, including statements as to future results of operations
Slide 3: Purpose, Vision, Mission
Purpose We empower teams with the time and efficiency to build the future. Vision An equitable world where we transform critical work so all teams can delight their customers and build trust. Mission To revolutionize operations and build customer trust by anticipating the unexpected in an unpredicta
Slide 4: PagerDuty overview
PagerDuty overview Strong Durable Scaled Non-GAAP scale revenue growth adoption profitable $111m 8% 15,120 14% Revenue for the quarter Revenue growth YoY Paid customers as of Q1’25 Non-GAAP ended April 30, 2024 through Q1’25 April 30, 2024 Operating Margin See appendix for GAAP to non-GAAP reconcili
Slide 5: The PagerDuty Operations Cloud: Addressing customers' critical business priorities
The PagerDuty Operations Cloud: Addressing customers’ critical business priorities Enterprise priorities PagerDuty delivers Grow revenue by increasing Modern operations capabilities enable teams to move innovation velocity faster, create more value, and build a competitive advantage Reduce costs to
Slide 6: The PagerDuty Operations Cloud
The PagerDuty Operations Cloud Monitoring & Customer Service Observability 700+ integrations Reduce MTTR by 25% Security Business Ops & IoT DevOps & Lifecycle ChatOps & Collaboration DataOps ITOps & ITSM Higher customer 87% fewer satisfaction per incidents case
Slide 7: The Operations Cloud product pillars
The Operations Cloud product pillars PagerDuty Incident Management PagerDuty AIOPs: consumption PagerDuty Automation PagerDuty for Customer Service pricing, starting at $4,788/year Self-managed (contact for pricing) – Professional $252 per user/year – Professional $252 per user/year – Business $492
Slide 8: The PagerDuty Operations Cloud is a market leader
The PagerDuty Operations Cloud is a market leader GigaOm Forrester Wave G2 Incident Response Platforms Radar Process-Centric AIOps Workload Automation Grid #1 Overall Leader Leader #1 Overall Leader
Slide 9: Underpenetrated, fragmented market opportunity
Underpenetrated, fragmented market opportunity 80 million users by persona (estimated) in 2023 $38B Total Addressable Market Developers: driven by digital services and software-driven ~$38B Automation innovation → 29m users Infrastructure and Operations: undergoing modernization ~$30B AIOps with Dig
Slide 10: Go-to-market model aligns to customer opportunity
Go-to-market model aligns to customer opportunity Customer segment (by $ revenue) Sales channel High value Enterprise >$1B field sales Self-service High velocity Mid-Market >$50m inside sales Programmatic SMB <$50m digital sales
Slide 11: Innovation-driven land-and-expand model
Innovation-driven land-and-expand model Expansion Motion at a Expanded product mix and purchase A leading financial services organization relies on Major Financial Institution sets for international PagerDuty to increase workforce efficiency, critical business needs application uptime, and operating
Slide 12: Momentum in the enterprise segment: Million-dollar ARR customers continue to expand
Momentum in the enterprise segment: Million-dollar ARR customers continue to expand Operations Expanding reach Technology Increasing ARR Cloud traction within the enterprise recognized as a is earned by driving with adoption value driver for delivering proven multi-product, across business driving i
Slide 13: Focus on Global Impact
PagerDuty FY24 Impact Focus on Global Impact / PagerDuty
Slide 14: Financials
Financials PagerDuty
Slide 15: Select operating metrics
Select operating metrics FY24 Q1 FY24 Q2 FY24 Q3 FY24 Q4 FY25 Q1 Revenue ($m) $103 $108 $109 $111 $111 Revenue Growth 21% 19% 15% 10% 8% Non-GAAP Operating Margin 16% 13% 14% 10% 14% DBNR 116% 114% 110% 107% 106% Paid Customers 15,089 15,146 15,049 15,039 15,120 Customers >$100K 764 773 778 804 811
Slide 16: Non-GAAP target operating model
Non-GAAP target operating model % of Revenue FY20 FY21 FY22 FY23 FY24 Q1’FY25 Target Gross Margin 86% 87% 85% 85% 86% 86% 85% Sales & Marketing 53% 50% 50% 43% 38% 36% 35% Research & 26% 25% 25% 24% 22% 23% 20% Development General & 24% 21% 19% 17% 13% 14% 10% Administrative Operating Margin (17%) (
Slide 17: Our mission at PagerDuty
Our mission at PagerDuty is to revolutionize operations and build customer trust by anticipating the unexpected in an unpredictable world.
Slide 18: Investment highlights
Investment highlights Real-time leading operations Comprehensive product offerings to optimize operating efficiency cloud platform and offer tangible ROI Significant market opportunity Customer-driven demand across business operations and industrial operations Expansive enterprise adoption Strong en
Slide 19: Appendix
Appendix PagerDuty
Slide 20: Definitions
Definitions Annual recurring revenue (ARR) - Annualized recurring value of all active contracts at the end of a reporting period. Customer - A separate legal entity, such as a company or an educational or government institution, that has an active subscription with us or one of our partners to acces
Slide 21: Reconciliation
Reconciliation PagerDuty, Inc. Reconciliation of GAAP to Non-GAAP Data (in thousands, except percentages and per share data) (unaudited) Three Months Ended April 30, Year Ended January 31 2024 2023 2024 2023 2022 Reconciliation of gross profit and gross margin GAAP gross profit $91,829 $85,310 $352,
Slide 22: Reconciliation con't
Reconciliation con’t PagerDuty, Inc. Reconciliation of GAAP to Non-GAAP Data (in thousands, except percentages and per share data) (unaudited) Three Months Ended April 30 Year Ended January 31 2024 2023 2024 2023 2022 GAAP sales and marketing $48,499 $43,801 $196,769 $195,622 $161,624 Less: Stock-ba
Slide 23: Reconciliation con't
Reconciliation con’t PagerDuty, Inc. Reconciliation of GAAP to Non-GAAP Data (in thousands, except percentages and per share data) (unaudited) Three Months Ended April 30 Year Ended January 31 2024 2023 2024 2023 2022 Reconciliation of net loss attributable to PagerDuty, Inc. GAAP net loss attributa
Slide 24: Reconciliation con't
Reconciliation con’t PagerDuty, Inc. Reconciliation of GAAP to Non-GAAP Data (in thousands, except percentages and per share data) (unaudited) Free Cash Flow Three Months Ended April 30 Year Ended January 31 2024 2023 2024 2023 2022 Net cash provided by (used in) operating activities $28,647 $22,152
Slide 25: Appendix
Appendix PagerDuty
Slide 26: Why PagerDuty wins – fast time to value
Why PagerDuty wins – fast time to value Technology Customer focus Integrations AI / Machine Automation 24/7 availability Enterprise Scale Easy setup Learning Driving value for customers 795% 77% 2 months 74% 85% Reduced time to Reduction in Reduced time to identify 3-year ROI To payback troubleshoot
Slide 27: 66% of organizations have more than 10 observability tools
66% of organizations have more than 10 observability tools Total observability tools used 11-15 to collect data from application 46% environment Source: ESG Research Report, Observability from Code to Cloud, May 2022. 6-10 22% 16-20 1-5 17% 10% 20+ 3% Don’t know 2%