Slide 1: Investor Presentation: Second Quarter and Fiscal Year 2027
Investor Presentation Second Quarter and Fiscal Year 2027 © GitLab Inc.
Slide 2: Forward-looking statements
This presentation contains “forward-looking statementsˮ within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact are forward-looking statements. These statements include, but are not limited to,
Slide 3: Exceptional second quarter 2027 results
Exceptional second quarter 2027 results Largest gross bookings quarter in company history $286M 15% Non-GAAP operating margin 1 $9.8M Adjusted free cash flow1 Revenue, 21% YoY1 Ahead of expectations 3% margin; collections timing weighed on Q2 5 points ahead of guidance 42% 117% 100% Net ARR gro
Slide 4: Progress across five growth initiatives
Progress across five growth initiatives 01 Accelerating First Orders Largest First Order quarter in three years 1,700 First Orders, 100% YoY 40% First Order net ARR YoY Scaling sales capacity 02 Capacity and productivity compounding 30% AE capacity YoY 10% Productivity per rep 2 quarters Att
Slide 5: As enterprises adopt more AI development tools, they use more GitLab
As enterprises adopt more AI development tools, they use more GitLab A decade of connected context across code, pipelines, and policies GitLab Orbit Beta since June Core platform usage, YoY 2,200 170K Secure repositories 60% organizations enabled indexing, customer queries generated Code pushes
Slide 6: GitLab Ultimate
59% of total ARR1 from Ultimate GitLab Ultimate Security, governance, and compliance are driving 8 10 out of largest Q2 deals purchased Ultimate demand as AI proliferates across the SDLC 35% Ultimate ARR growth YoY 1 Definitions can be found in the Appendix © GitLab Inc.
Slide 7: The GitLab growth algorithm
The GitLab growth algorithm More customers More products More consumption Our market is expanding from engineers to From Premium or Ultimate to Flex consumption Pay only for the seats + Credits needed. anyone who wants to be a builder. of seats and credits via agentic infrastructure. Revenue scales
Slide 8: Financial highlights
Financial highlights © GitLab Inc.
Slide 9: Broad strength across all customer segments
Broad strength across all customer segments $286M 1 117% 150% Revenue, 21% YoY Dollar-based net retention 1 Growth in deals $500K YoY 5 points ahead of guidance Up sequentially for the first time Largest customers deepening since 2024 their commitment 24% $40M 90% Calculated billings growth1
Slide 10: Focus on growth and profitability
Focus on growth and profitability Non-GAAP Gross Margin 1 Non-GAAP Operating Expenses 1 % of Revenue) 1 Definitions and reconciliations with most directly comparable GAAP figure can be found in the Appendix © GitLab Inc.
Slide 11: Balancing growth and margin expansion
Balancing growth and margin expansion Non-GAAP Operating Income / Loss1 % of Revenue) 1 Definitions and reconciliations with most directly comparable GAAP figure can be found in the Appendix © GitLab Inc.
Slide 12: Adjusted free cash flow impacted by collections timing
Adjusted free cash flow impacted by collections timing Non-GAAP Adjusted Free Cash Flow1 % of Revenue) 1 Definitions and reconciliations with most directly comparable GAAP figure can be found in the Appendix © GitLab Inc.
Slide 13: A better way to buy from GitLab
A better way to buy from GitLab We believe Flex will become the default way customers transact with GitLab Prior model With Flex Fixed commitments to fixed quantities One flexible dollar commitment Dollars committed to fixed quantities of Draws down across seats, GitLab Credits, and Premium or Ultim
Slide 14: Illustrative revenue recognition impact
Illustrative revenue recognition impact A $100 self-managed annual contract, under the traditional license model vs. under Flex Traditional revenue recognition Revenue recognition under Flex License 15% recognized upfront in Q1 Above the floor: recognized as consumed, varies with usage Subscript
Slide 15: What changes, and what doesn't, with Flex
What changes, and what doesnʼt, with Flex Unaffected by Flex Impacted by Flex Bookings Billings Cash Total RPO Net ARR bookings unchanged; Non-cancellable and billed No impact to operating cash flow; Includes Flex in full: the total same sales motion and deal values annually up front, consistent wit
Slide 16: Financial outlook
Financial outlook Third quarter and fiscal year 2027 $ in millions, except per share data) Q3 FY 2027 FY 2027 Revenue $281.0 $283.0 $1,129 $1,133 1516% YoY 1819% YoY Non-GAAP Operating Income $35.0 $37.0 $148 $152 Non-GAAP Net Income per Share1 $0.19 $0.20 $0.85 $0.87 1 Non-GAAP dil
Slide 17: Act 2 results to date
Act 2 results to date A healthy core business Accelerating customer growth 117% $1B 59% 42% 1,700 150% net retention, up trailing-four-quarter of ARR from Net ARR growth First Orders, more growth in deals ≥ sequentially revenue Ultimate YoY than 2x YoY $500K New products gaining traction Consump
Slide 18: Questions?
Questions? © GitLab Inc.
Slide 19: Appendix
Appendix © GitLab Inc.
Slide 20: Flex revenue recognition
Flex revenue recognition Three ways revenue is recognized under the Flex model (backup detail) RESERVED PAYPERUSE ONDEMAND REVENUE ALLOCATION REVENUE ALLOCATION REVENUE ALLOCATION New contract each calendar month as Same option-based structure as Separate purchase option outside capabilities are
Slide 21: GAAP to non-GAAP reconciliation: Gross Profit
GAAP to non-GAAP reconciliation Gross Profit $ in thousands) FY 2025 FY 2026 Q2 FY26 Q2 FY27 GAAP Gross Profit $674,109 $834,481 $207,455 $240,616 Stock-based Compensation Expense $7,922 $10,313 $2,261 $3,891 Amortization of Acquired Intangibles $8,126 $8,065 $2,015 $2,015 Restructuring Charges $0
Slide 22: GAAP to non-GAAP reconciliation: Sales & Marketing
GAAP to non-GAAP reconciliation Sales & Marketing Expense $ in thousands) FY 2025 FY 2026 Q2 FY26 Q2 FY27 Sales & Marketing Expense $384,295 $434,725 $109,583 $134,363 Stock-based Compensation Expense $72,954 $78,967 $19,950 $25,327 Restructuring Charges $1,126 $1,493 $0 $5,220 Non-GA
Slide 23: GAAP to non-GAAP reconciliation: Research & Development
GAAP to non-GAAP reconciliation Research & Development Expense $ in thousands) FY 2025 FY 2026 Q2 FY26 Q2 FY27 Research & Development Expense $239,652 $274,574 $71,488 $94,980 Stock-based Compensation Expense $58,312 $63,754 $19,197 $21,803 Restructuring Charges $393 $0 $0 $8,011 Non-GA
Slide 24: GAAP to non-GAAP reconciliation: General & Administrative
GAAP to non-GAAP reconciliation General & Administrative Expense $ in thousands) FY 2025 FY 2026 Q2 FY26 Q2 FY27 General & Administrative Expense $192,877 $195,663 $44,735 $68,208 Stock-based Compensation Expense $46,711 $61,917 $12,876 $23,985 Restructuring Charges $377 $0 $0 $5,168 Ch
Slide 25: GAAP to non-GAAP reconciliation: Operating Income
GAAP to non-GAAP reconciliation Operating Income Loss $ in thousands) FY 2025 FY 2026 Q2 FY26 Q2 FY27 GAAP Operating Loss $142,715 $70,481 $18,351 $56,935 1 Stock-based Compensation Expense $185,899 $214,951 $54,284 $75,006 Amortization of Acquired Intangibles $8,126 $8,065 $2,015 $2,015
Slide 26: GAAP to non-GAAP reconciliation: Net Income
GAAP to non-GAAP reconciliation Net Income Loss Attributable to GitLab $ in thousands) FY 2025 FY 2026 Q2 FY26 Q2 FY27 Net Loss Attributable to GitLab $6,326 $55,956 $9,208 $36,844 1 Stock-based Compensation Expense $185,899 $214,951 $54,284 $75,006 Amortization of Acquired Intangibles $8
Slide 27: GAAP to non-GAAP reconciliation: Adjusted Free Cash Flow
GAAP to non-GAAP reconciliation Operating Cash Flow to Adjusted Free Cash Flow $ in thousands) FY 2025 FY 2026 Q2 FY26 Q2 FY27 Net Cash Provided by Used in) Operating Activities $63,971 $232,856 $49,369 $3,092 Additions to Property and Equipment $3,765 $10,827 $2,904 $213 Income Tax Pa
Slide 28: Definitions
Definitions Customer: A single organization with separate subsidiaries, segments, or divisions Current Period ARR Includes any upsells, price adjustments, user growth within a that use the GitLab platform is considered a single customer for determining each customer, contraction, and attrition. org