Cognyte Software Ltd. · NASDAQ:CGNT
Cognyte Software — Q3 FYE25 Earnings Presentation
27 slides from Cognyte Software's earnings presentation, Dec 11, 2024
Slide 1: Q3 FYE25 Results
Q3 FYE25 Results NASDAQ: CGNT December 11, 2024 1
Slide 2: Disclaimers
Disclaimers Forward Looking Statements This presentation contains "forward-looking statements," including statements regarding expectations, predictions, views, opportunities, plans, strategies, beliefs, and statements of similar effect relating to Cognyte Software Ltd. These forward-looking stateme
Slide 3: Strong Q3 Execution
Strong Q3 Execution Revenue $89.0 + Revenue of $89 million, 12.1% year-over-year growth $83.7 $82.7 $84.4 $79.4 + $6.6 million of Adjusted EBITDA + Market remains robust + Solutions delivering significant value to customers, Q3 FYE24 Q4 FYE24 Q1 FYE25 Q2 FYE25 Q3 FYE25 driving large follow-on orders
Slide 4: Cognyte Intelligence Summit
Cognyte Intelligence Summit Global Summit connecting customers worldwide 300 Attendees representing 70 countries Key discussions around tackling the evolving threat landscape: Criminals leveraging advanced technology to obscure operations Empowering solutions showcasing AI-driven advanced analytics
Slide 5: Raising FYE25 Outlook
Raising FYE25 Outlook Revenue* $349.0 $313.5 + Revenue of $349 million with a range of +/- 1% $283.0 − Approximately 11% year-over-year growth at midpoint + Adjusted EBITDA of $26 million at the midpoint of the FYE23 FYE24 FYE25 Outlook revenue range − Leverage in our business model Adjusted EBITDA
Slide 6: Financial Summary
Financial Summary Confidential and proprietary information of Cognyte. 66
Slide 7: Q3 FYE25 Highlights
Q3 FYE25 Highlights Revenue $89.0 $83.7 $84.4 + Revenue of $89 million $82.7 $79.4 − Approximately 12% year-over-year growth + Recurring Revenue of $46.9M or 53% of total revenue + Non-GAAP Gross Profit of $62.4 million Q3 FYE24 Q4 FYE24 Q1 FYE25 Q2 FYE25 Q3 FYE25 − Approximately 12% year-over-year
Slide 8: Q3 FYE25 KPIs
Q3 FYE25 KPIs Billings Short-Term RPO $104.7 $325.9 $97.8 $320.6 $312.4 $81.0 $78.2 $77.8 $302.5 $290.9 Q3 FYE24 Q4 FYE24 Q1 FYE25 Q2 FYE25 Q3 FYE25 Q3 FYE24 Q4 FYE24 Q1 FYE25 Q2 FYE25 Q3 FYE25 Non-GAAP Gross Profit Adjusted EBITDA $62.4 $58.8 $60.2 $8.3 $57.8 $55.7 $6.6 $4.6 $5.0 $4.3 Q3 FYE24 Q4 F
Slide 9: Revenue Streams
Revenue Streams + Three revenue streams: − Software − Software services − Professional services and other + Manage business by focusing on total software revenue − Total software revenue equals software plus software services + Professional services helps generate follow-on revenue 9
Slide 10: Raising FYE25 Outlook
Raising FYE25 Outlook + Revenue of $349 million with a range of +/- 1% − Approximately 11% year-over-year growth at midpoint − Total software revenue ~87% of total revenue + Adjusted EBITDA of $26 million at the midpoint of the revenue range − Leverage in our business model − $17 million year-over-y
Slide 11: Strong Execution
Strong Execution Revenue Non-GAAP Gross Profit Adjusted EBITDA Growth Growing Faster than Revenue Growing & winning $62.4 $8.3 $89.0 customers $60.2 $58.8 $83.7 $84.4 $57.8 $82.7 $6.6 $55.7 $79.4 $5.0 $4.6 $4.3 Technology leadership Q3 Q4 Q1 Q2 Q3 Q3 Q4 Q1 Q2 Q3 Q3 Q4 Q1 Q2 Q3 Leverage in FYE24 FYE2
Slide 12: Thank you
Thank you cognyte.com 12
Slide 13: Appendix
Appendix Confidential and proprietary information of Cognyte. 13 13
Slide 14: Summary Metrics
‘Cognste Software Summary Metrics oie wome fem [fame [oom forme Poem om [oom feo | om 2 £ [Protessional services and other revenue 68 ‘368 303 ‘02 TH ‘78 w9 39 348 48 Bo 388 ‘21 srt $07 a7 $028 328 || Feverueretics tab a: Total ravens wn_f vee | we [em | ve | ome | vor [om |[ ome | om |[ ver | we |
Slide 15: Revenue Metrics
Cognyte Software Revenue Metrics Nine Year Months Three Months Ended ended Three Months Ended Ended 413012023 ___7/31'2023___1013112023__11312024 3112024 4130/2024 71372024 1013112024_f 10/3112024 ‘Software and software services revenue - GAAP Professional services and other revenue - GAAP Total rev
Slide 16: Gross Profit
Cognyte Software Gross Profit ($ in millions) Nine Months Total GAAP gross profit Total GAAP gross margin Revenue adjustments Intangible write-off Amortization of acquired technology Stock-based compensation expenses Acquisition expenses, net Restructuring expenses Separation expenses Total non-GAAP
Slide 17: Operating Expenses
Cognyte Software Operating Expenses ($ in millions) Nine Months GAAP research and development, net as a % of GAAP revenue Stock-based compensation expenses Acquisition expenses, net Restructuring expenses Separation expenses Other adjustments Non-GAAP research and development, net as a % of non-GAAP
Slide 18: Operating and adjusted EBITDA margins
Operating and adjusted EBITDA margins 18
Slide 19: Other income, tax and new income
Other income, tax and new income 19
Slide 20: Tax and net income – FYE24 revised (footnote 2)
Tax and net income – FYE24 revised (footnote 2) 20
Slide 21: EPS
Consolidated EPS and Diluted Shares Outstanding Thiee Momhs Ended r Thee Months Ended ‘GAAP Giluted netincome (oss) per share atiibulable fo Cognyte sotware Lid s O13) s O13) S O07 S 5 or 003 way S015) [Non-GAAP diluted net income (loss) per share atributable to Cogryte sofware Ltd. 8 (023) 5 (009)
Slide 22: EPS – FYE24 Revised (footnote 2)
EPS – FYE24 Revised (footnote 2) 22
Slide 23: Footnotes
(1) (2) The actual cash tax paid, net of refunds, was $1.5 million and $5.5 million for the three and nine months ended October 31, 2024, respectively and $1.3 million and $4.4 million for the three and nine months ended October 31, 2023, respectively. The non-GAAP income tax adjustments for the qua
Slide 24: Supplemental information and non-GAAP measures
Supplemental information and non-GAAP measures 24
Slide 25: Supplemental information and non-GAAP measures
Supplemental information and non-GAAP measures 25
Slide 26: Supplemental information and non-GAAP measures
Supplemental information and non-GAAP measures 26
Slide 27: Supplemental information and non-GAAP measures
Supplemental information and non-GAAP measures 27