Third Quarter Fiscal 2024 Total Revenue of
$432.9 million, up 30%
Year-over-Year
Continued Strong Customer Growth with Over
46,400 Customers as of October 31,
2023
MongoDB Atlas Revenue up 36% Year-over-Year;
66% of Total Q3 Revenue
NEW
YORK, Dec. 5, 2023 /PRNewswire/ -- MongoDB,
Inc. (NASDAQ: MDB) today announced its financial results for the
third quarter ended October 31,
2023.
"MongoDB continued to perform at a high level in the third
quarter, as evidenced by 30% revenue growth and
better-than-expected profitability. We are pleased by our
success in winning new workloads from both new and existing
customers across verticals, geographies, and customer segments,"
said Dev Ittycheria, President and Chief Executive Officer of
MongoDB.
"MongoDB has clearly established itself as an indispensable part
of the tech stack of any organization focused on building durable
competitive differentiation through software development. The
recent general availability release of MongoDB Vector Search is the
latest example of the strength of our innovation flywheel and
reinforces our competitive advantage in winning AI
workloads."
Third Quarter Fiscal 2024 Financial Highlights
- Revenue: Total revenue was $432.9
million for the third quarter of fiscal 2024, an increase of
30% year-over-year. Subscription revenue was $418.3 million, an increase of 30%
year-over-year, and services revenue was $14.6 million, an increase of 13%
year-over-year.
- Gross Profit: Gross profit was $325.9 million for the third quarter of fiscal
2024, representing a 75% gross margin compared to 72% in the
year-ago period. Non-GAAP gross profit was $335.3 million, representing a 77% non-GAAP gross
margin, compared to a non-GAAP gross margin of 74% in the year-ago
period.
- Loss from Operations: Loss from operations was
$45.2 million for the third quarter
of fiscal 2024, compared to a loss from operations of $82.9 million in the year-ago period. Non-GAAP
income from operations was $78.5
million, compared to a non-GAAP income from operations of
$19.8 million in the year-ago
period.
- Net Loss: Net loss was $29.3
million, or $0.41 per share,
based on 71.6 million weighted-average shares outstanding, for the
third quarter of fiscal 2024. This compares to a net loss of
$84.8 million, or $1.23 per share, in the year-ago period. Non-GAAP
net income was $79.1 million, or
$0.96 per share, based on 82.7
million diluted weighted-average shares outstanding. This compares
to a non-GAAP net income of $18.7
million, or $0.23 per share,
in the year-ago period.
- Cash Flow: As of October 31,
2023, MongoDB had $1.9 billion
in cash, cash equivalents, short-term investments and restricted
cash. During the three months ended October
31, 2023, MongoDB generated $38.4
million of cash from operations, used $2.1 million of cash in capital expenditures and
used $1.4 million of cash in
principal repayments of finance leases, leading to free cash flow
of $35.0 million, compared to
negative free cash flow of $8.4
million in the year-ago period.
A reconciliation of each Non-GAAP measure to the most
directly comparable GAAP measure has been provided in the financial
statement tables included at the end of this press release. An
explanation of these measures is also included below under the
heading "Non-GAAP Financial Measures."
Third Quarter Fiscal 2024 and Recent Business
Highlights
- MongoDB announced the general availability of MongoDB Atlas
Vector Search, which dramatically simplifies building real-time
generative AI applications, and MongoDB Atlas Search Nodes, which
provide developers with dedicated infrastructure to scale
generative AI and relevance-based search workloads with up to 60
percent faster query times.
- MongoDB introduced additional generative AI capabilities,
including four new AI-powered capabilities built into MongoDB
Relational Migrator, MongoDB Compass, MongoDB Atlas Charts, and
MongoDB Documentation that accelerate developer productivity and
application modernization. MongoDB expanded its collaboration with
cloud hyperscalers, including a new integration between MongoDB
Atlas and Amazon Bedrock, which makes it easier for customers to
build applications using managed foundation models with their
proprietary data. In addition, MongoDB is now integrated with
coding assistant tools Amazon CodeWhisperer and Microsoft Copilot
to help streamline AI-powered development.
- MongoDB launched new MongoDB Atlas for Industries vertical
initiatives—Atlas for Automotive and Manufacturing, Atlas for
Healthcare, Atlas for Insurance, Atlas for Telecommunications, and
Atlas for Media—to help organizations quickly innovate with
industry-specific accelerators and solutions.
Fourth Quarter and Full Year Fiscal 2024 Guidance
Based on information available to management as of today,
December 5, 2023, MongoDB is issuing
the following financial guidance for the fourth quarter and full
year fiscal 2024.
|
Fourth Quarter Fiscal 2024
|
Full Year Fiscal 2024
|
Revenue
|
$429.0 million to
$433.0 million
|
$1.654 billion to
$1.658 billion
|
Non-GAAP Income
from
Operations
|
$35.0 million to
$38.0 million
|
$236.3 million to
$239.3 million
|
Non-GAAP Net Income
per
Share
|
$0.44 to
$0.46
|
$2.89 to
$2.91
|
Reconciliations of non-GAAP income from operations and non-GAAP
net income per share guidance to the most directly comparable GAAP
measures are not available without unreasonable efforts on a
forward-looking basis due to the high variability, complexity and
low visibility with respect to the charges excluded from these
non-GAAP measures; in particular, the measures and effects of
stock-based compensation expense specific to equity compensation
awards that are directly impacted by unpredictable fluctuations in
MongoDB's stock price. MongoDB expects the variability of the above
charges to have a significant, and potentially unpredictable,
impact on its future GAAP financial results.
Conference Call Information
MongoDB will host a conference call today, December 5, 2023, at 5:00
p.m. (Eastern Time) to discuss its financial results and
business outlook. A live webcast of the call will be available on
the "Investor Relations" page of MongoDB's website at
https://investors.mongodb.com. To access the call by phone, please
go to this link (registration link), and you will be provided with
dial in details. To avoid delays, we encourage participants to dial
into the conference call fifteen minutes ahead of the scheduled
start time. A replay of the webcast will also be available for a
limited time at http://investors.mongodb.com.
Forward-Looking Statements
This press release includes certain "forward-looking statements"
within the meaning of Section 27A of the Securities Act of 1933, as
amended, or the Securities Act, and Section 21E of the Securities
Exchange Act of 1934, as amended, including statements concerning
MongoDB's financial guidance for the fourth fiscal quarter and full
year fiscal 2024 and our ability to capitalize on our market
opportunity and deliver strong growth for the foreseeable future.
These forward-looking statements include, but are not limited to,
plans, objectives, expectations and intentions and other statements
contained in this press release that are not historical facts and
statements identified by words such as "anticipate," "believe,"
"continue," "could," "estimate," "expect," "intend," "may," "plan,"
"project," "will," "would" or the negative or plural of these words
or similar expressions or variations. These forward-looking
statements reflect our current views about our plans, intentions,
expectations, strategies and prospects, which are based on the
information currently available to us and on assumptions we have
made. Although we believe that our plans, intentions, expectations,
strategies and prospects as reflected in or suggested by those
forward-looking statements are reasonable, we can give no assurance
that the plans, intentions, expectations or strategies will be
attained or achieved. Furthermore, actual results may differ
materially from those described in the forward-looking statements
and are subject to a variety of assumptions, uncertainties, risks
and factors that are beyond our control including, without
limitation: the impact the COVID-19 pandemic may have on our
business and on our customers and our potential customers; the
effects of the ongoing military conflicts between Russia and Ukraine and Israel and Hamas on our business and future
operating results; economic downturns and/or the effects of rising
interest rates, inflation and volatility in the global economy and
financial markets on our business and future operating results; our
potential failure to meet publicly announced guidance or other
expectations about our business and future operating results; our
limited operating history; our history of losses; failure of our
platform to satisfy customer demands; the effects of increased
competition; our investments in new products and our ability to
introduce new features, services or enhancements; social, ethical
and security issues relating to the use of new and evolving
technologies, such as artificial intelligence, in our offerings or
partnerships; our ability to effectively expand our sales and
marketing organization; our ability to continue to build and
maintain credibility with the developer community; our ability to
add new customers or increase sales to our existing customers; our
ability to maintain, protect, enforce and enhance our intellectual
property; the growth and expansion of the market for database
products and our ability to penetrate that market; our ability to
integrate acquired businesses and technologies successfully or
achieve the expected benefits of such acquisitions; our ability to
maintain the security of our software and adequately address
privacy concerns; our ability to manage our growth effectively and
successfully recruit and retain additional highly-qualified
personnel; and the price volatility of our common stock. These and
other risks and uncertainties are more fully described in our
filings with the Securities and Exchange Commission ("SEC"),
including under the caption "Risk Factors" in our Quarterly Report
on Form 10-Q for the quarter ended July 31,
2023, filed with the SEC on September
1, 2023. Additional information will be made available in
our Quarterly Report on Form 10-Q for the quarter ended
October 31, 2023 and other filings
and reports that we may file from time to time with the SEC. Except
as required by law, we undertake no duty or obligation to update
any forward-looking statements contained in this release as a
result of new information, future events, changes in expectations
or otherwise.
Non-GAAP Financial Measures
This press release includes the following financial measures
defined as non-GAAP financial measures by the SEC: non-GAAP gross
profit, non-GAAP gross margin, non-GAAP operating expenses,
non-GAAP income from operations, non-GAAP operating margin,
non-GAAP net income, non-GAAP net income per share and free cash
flow. Non-GAAP gross profit and non-GAAP gross margin exclude
expenses associated with stock-based compensation. Non-GAAP
operating expenses, non-GAAP income from operations, non-GAAP
operating margin, non-GAAP net income and non-GAAP net income per
share exclude:
- expenses associated with stock-based compensation including
employer payroll taxes upon the vesting and exercising of
stock-based awards and expenses related to stock appreciation
rights previously issued to our employees in China;
- amortization of intangible assets for the acquired technology
and acquired customer relationships associated with prior
acquisitions; and
- in the case of non-GAAP net income and non-GAAP net income per
share, amortization of the debt issuance costs associated with our
convertible senior notes and gains or losses on non-marketable
securities;
- additionally, non-GAAP net income and non-GAAP net income per
share for the fiscal year 2024 periods are adjusted for an assumed
provision for income taxes based on an estimated long-term non-GAAP
tax rate. The non-GAAP tax rate was calculated utilizing a
three-year financial projection that excludes the direct impact of
the GAAP to non-GAAP adjustments and considers other factors such
as operating structure and existing tax positions in various
jurisdictions. We intend to periodically reevaluate the projected
long-term tax rate, as necessary, for significant events and our
ongoing analysis of relevant tax law changes.
MongoDB uses these non-GAAP financial measures internally in
analyzing its financial results and believes they are useful to
investors, as a supplement to GAAP measures, in evaluating
MongoDB's ongoing operational performance. MongoDB believes that
the use of these non-GAAP financial measures provides an additional
tool for investors to use in evaluating ongoing operating results
and trends and in comparing its financial results with other
companies in MongoDB's industry, many of which may present similar
non-GAAP financial measures to investors.
Free cash flow represents net cash from/used in operating
activities, less capital expenditures, principal repayments of
finance lease liabilities and capitalized software development
costs, if any. MongoDB uses free cash flow to understand and
evaluate its liquidity and to generate future operating plans. The
exclusion of capital expenditures, principal repayments of finance
lease liabilities and amounts capitalized for software development
facilitates comparisons of MongoDB's liquidity on a
period-to-period basis and excludes items that it does not consider
to be indicative of its liquidity. MongoDB believes that free cash
flow is a measure of liquidity that provides useful information to
investors in understanding and evaluating the strength of its
liquidity and future ability to generate cash that can be used for
strategic opportunities or investing in its business in the same
manner as MongoDB's management and board of directors.
Non-GAAP financial measures have limitations as an analytical
tool and should not be considered in isolation from, or as a
substitute for, financial information prepared in accordance with
GAAP. In particular, other companies may report non-GAAP gross
profit, non-GAAP gross margin, non-GAAP operating expenses,
non-GAAP income from operations, non-GAAP net income, non-GAAP net
income per share, free cash flow or similarly titled measures but
calculate them differently, which reduces their usefulness as
comparative measures. Investors are encouraged to review the
reconciliation of these non-GAAP financial measures to their most
directly comparable GAAP financial measures, as presented below.
This earnings press release and any future releases containing such
non-GAAP reconciliations can also be found on the Investor
Relations page of MongoDB's website at
https://investors.mongodb.com.
About MongoDB
Headquartered in New York,
MongoDB's mission is to empower innovators to create, transform,
and disrupt industries by unleashing the power of software and
data. Built by developers, for developers, our developer data
platform is a database with an integrated set of related services
that allow development teams to address the growing requirements
for today's wide variety of modern applications, all in a unified
and consistent user experience. MongoDB has tens of thousands of
customers in over 100 countries. The MongoDB database platform has
been downloaded hundreds of millions of times since 2007, and there
have been millions of builders trained through MongoDB University
courses. To learn more, visit mongodb.com.
Investor Relations
Brian
Denyeau
ICR for MongoDB
646-277-1251
ir@mongodb.com
Media Relations
MongoDB
press@mongodb.com
MONGODB,
INC. CONSOLIDATED BALANCE SHEETS (in thousands,
except share and per share
data) (unaudited)
|
|
|
October 31,
2023
|
|
January 31,
2023
|
Assets
|
|
|
|
Current
assets:
|
|
|
|
Cash and cash
equivalents
|
$
477,675
|
|
$
455,826
|
Short-term
investments
|
1,447,036
|
|
1,380,804
|
Accounts receivable,
net of allowance for doubtful accounts of $8,163 and $6,362 as of
October 31,
2023 and January 31, 2023, respectively
|
271,679
|
|
285,192
|
Deferred
commissions
|
87,221
|
|
83,550
|
Prepaid expenses and
other current assets
|
36,982
|
|
31,212
|
Total current
assets
|
2,320,593
|
|
2,236,584
|
Property and equipment,
net
|
54,892
|
|
57,841
|
Operating lease
right-of-use assets
|
39,181
|
|
41,194
|
Goodwill
|
69,679
|
|
57,779
|
Acquired intangible
assets, net
|
7,127
|
|
11,428
|
Deferred tax
assets
|
3,837
|
|
2,564
|
Other
assets
|
198,708
|
|
181,503
|
Total
assets
|
$
2,694,017
|
|
$
2,588,893
|
Liabilities and
Stockholders' Equity
|
|
|
|
Current
liabilities:
|
|
|
|
Accounts
payable
|
$
9,340
|
|
$
8,295
|
Accrued compensation
and benefits
|
100,591
|
|
90,112
|
Operating lease
liabilities
|
9,592
|
|
8,686
|
Other accrued
liabilities
|
66,715
|
|
52,672
|
Deferred
revenue
|
303,325
|
|
428,747
|
Total current
liabilities
|
489,563
|
|
588,512
|
Deferred tax liability,
non-current
|
1,134
|
|
225
|
Operating lease
liabilities, non-current
|
33,131
|
|
36,264
|
Deferred revenue,
non-current
|
17,436
|
|
31,524
|
Convertible senior
notes, net
|
1,142,423
|
|
1,139,880
|
Other liabilities,
non-current
|
42,790
|
|
52,980
|
Total
liabilities
|
1,726,477
|
|
1,849,385
|
Stockholders'
equity:
|
|
|
|
Common stock, par
value of $0.001 per share; 1,000,000,000 shares authorized as of
October 31,
2023 and January 31, 2023; 72,058,847 shares issued and
71,959,476 shares outstanding as of
October 31, 2023; 70,005,957 shares issued and 69,906,586
shares outstanding as of January 31, 2023
|
72
|
|
70
|
Additional paid-in
capital
|
2,634,381
|
|
2,276,694
|
Treasury stock, 99,371
shares (repurchased at an average of $13.27 per share) as of
October 31,
2023 and January 31, 2023
|
(1,319)
|
|
(1,319)
|
Accumulated other
comprehensive loss
|
(9,422)
|
|
(905)
|
Accumulated
deficit
|
(1,656,172)
|
|
(1,535,032)
|
Total stockholders'
equity
|
967,540
|
|
739,508
|
Total liabilities and
stockholders' equity
|
$
2,694,017
|
|
$
2,588,893
|
MONGODB,
INC. CONSOLIDATED STATEMENTS OF OPERATIONS (in
thousands, except share and per share
data) (unaudited)
|
|
|
Three Months Ended October 31,
|
|
Nine Months Ended October 31,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Revenue:
|
|
|
|
|
|
|
|
Subscription
|
$
418,339
|
|
$
320,756
|
|
$ 1,182,387
|
|
$
886,944
|
Services
|
14,599
|
|
12,865
|
|
42,622
|
|
35,784
|
Total
revenue
|
432,938
|
|
333,621
|
|
1,225,009
|
|
922,728
|
Cost of
revenue(1):
|
|
|
|
|
|
|
|
Subscription
|
87,954
|
|
77,150
|
|
250,949
|
|
213,154
|
Services
|
19,104
|
|
16,502
|
|
58,895
|
|
46,990
|
Total cost of
revenue
|
107,058
|
|
93,652
|
|
309,844
|
|
260,144
|
Gross
profit
|
325,880
|
|
239,969
|
|
915,165
|
|
662,584
|
Operating
expenses:
|
|
|
|
|
|
|
|
Sales and
marketing(1)
|
192,977
|
|
177,419
|
|
571,644
|
|
509,285
|
Research and
development(1)
|
128,150
|
|
106,392
|
|
370,387
|
|
310,801
|
General and
administrative(1)
|
49,969
|
|
39,081
|
|
135,900
|
|
116,204
|
Total operating
expenses
|
371,096
|
|
322,892
|
|
1,077,931
|
|
936,290
|
Loss from
operations
|
(45,216)
|
|
(82,923)
|
|
(162,766)
|
|
(273,706)
|
Other income,
net
|
19,554
|
|
3,117
|
|
51,336
|
|
1,936
|
Loss before provision
for income taxes
|
(25,662)
|
|
(79,806)
|
|
(111,430)
|
|
(271,770)
|
Provision for income
taxes
|
3,635
|
|
5,035
|
|
9,710
|
|
9,230
|
Net
loss
|
$
(29,297)
|
|
$
(84,841)
|
|
$
(121,140)
|
|
$
(281,000)
|
Net loss per share,
basic and diluted
|
$
(0.41)
|
|
$
(1.23)
|
|
$
(1.71)
|
|
$
(4.11)
|
Weighted-average shares
used to compute net loss per share, basic and diluted
|
71,560,023
|
|
68,916,813
|
|
70,878,162
|
|
68,325,990
|
|
(1) Includes stock‑based compensation
expense as follows:
|
|
|
Three Months Ended October 31,
|
|
Nine Months Ended October 31,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Cost of
revenue—subscription
|
$
6,018
|
|
$
5,016
|
|
$
17,607
|
|
$
14,492
|
Cost of
revenue—services
|
3,200
|
|
2,827
|
|
9,490
|
|
7,599
|
Sales and
marketing
|
40,585
|
|
38,352
|
|
118,567
|
|
104,539
|
Research and
development
|
50,759
|
|
41,458
|
|
143,238
|
|
117,583
|
General and
administrative
|
15,267
|
|
11,545
|
|
44,194
|
|
35,105
|
Total stock‑based
compensation expense
|
$
115,829
|
|
$
99,198
|
|
$
333,096
|
|
$
279,318
|
MONGODB,
INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH
FLOWS (in thousands) (unaudited)
|
|
|
Three Months Ended
October 31,
|
|
Nine Months Ended
October 31,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Cash flows from
operating activities
|
|
|
|
|
|
|
|
Net
loss
|
$
(29,297)
|
|
$
(84,841)
|
|
$
(121,140)
|
|
$
(281,000)
|
Adjustments to
reconcile net loss to net cash provided by (used in) operating
activities:
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
4,711
|
|
4,167
|
|
13,257
|
|
11,912
|
Stock-based
compensation
|
115,829
|
|
99,198
|
|
333,096
|
|
279,318
|
Amortization of debt
issuance costs
|
849
|
|
845
|
|
2,543
|
|
2,530
|
Amortization of
finance right-of-use assets
|
994
|
|
994
|
|
2,981
|
|
2,981
|
Amortization of
operating right-of-use assets
|
2,302
|
|
2,331
|
|
6,781
|
|
6,789
|
Deferred income
taxes
|
(195)
|
|
716
|
|
(572)
|
|
414
|
Amortization of
premium and accretion of discount on short-term investments,
net
|
(10,896)
|
|
(1,122)
|
|
(36,405)
|
|
2,954
|
Unrealized gain on
non-marketable securities
|
—
|
|
—
|
|
(1,294)
|
|
(1,694)
|
Unrealized foreign
exchange gain
|
(1,621)
|
|
(410)
|
|
(322)
|
|
(1,554)
|
Change in operating
assets and liabilities:
|
|
|
|
|
|
|
|
Accounts
receivable
|
(397)
|
|
(18,780)
|
|
11,761
|
|
(38,260)
|
Prepaid expenses and
other current assets
|
3,485
|
|
1,274
|
|
700
|
|
6,182
|
Deferred
commissions
|
(12,720)
|
|
(13,354)
|
|
(17,160)
|
|
(29,909)
|
Other long-term
assets
|
(77)
|
|
(171)
|
|
(215)
|
|
(1,033)
|
Accounts
payable
|
1,434
|
|
475
|
|
1,078
|
|
2,636
|
Accrued
liabilities
|
16,855
|
|
(18,568)
|
|
20,314
|
|
(18,769)
|
Operating lease
liabilities
|
(2,333)
|
|
(2,555)
|
|
(6,989)
|
|
(7,104)
|
Deferred
revenue
|
(47,374)
|
|
23,642
|
|
(138,724)
|
|
23,973
|
Other liabilities,
non-current
|
(3,127)
|
|
415
|
|
(2,840)
|
|
793
|
Net cash provided by
(used in) operating activities
|
38,422
|
|
(5,744)
|
|
66,850
|
|
(38,841)
|
Cash flows from
investing activities
|
|
|
|
|
|
|
|
Purchases of property
and equipment
|
(2,078)
|
|
(1,381)
|
|
(3,336)
|
|
(6,533)
|
Investment in
non-marketable securities
|
—
|
|
(1,604)
|
|
(2,056)
|
|
(2,723)
|
Business
combination
|
(15,000)
|
|
—
|
|
(15,000)
|
|
—
|
Proceeds from
maturities of marketable securities
|
435,000
|
|
675,000
|
|
1,190,000
|
|
1,075,000
|
Purchases of
marketable securities
|
(583,252)
|
|
(316,433)
|
|
(1,233,851)
|
|
(514,047)
|
Net cash (used in)
provided by investing activities
|
(165,330)
|
|
355,582
|
|
(64,243)
|
|
551,697
|
Cash flows from
financing activities
|
|
|
|
|
|
|
|
Proceeds from exercise
of stock options
|
1,303
|
|
1,352
|
|
4,812
|
|
4,340
|
Proceeds from the
issuance of common stock under the Employee Stock Purchase
Plan
|
—
|
|
—
|
|
19,781
|
|
15,777
|
Principal repayments
of finance leases
|
(1,380)
|
|
(1,305)
|
|
(4,083)
|
|
(3,187)
|
Net cash (used in)
provided by financing activities
|
(77)
|
|
47
|
|
20,510
|
|
16,930
|
Effect of exchange
rate changes on cash, cash equivalents, and restricted
cash
|
(2,513)
|
|
(1,634)
|
|
(1,098)
|
|
(4,029)
|
Net (decrease)
increase in cash, cash equivalents and restricted
cash
|
(129,498)
|
|
348,251
|
|
22,019
|
|
525,757
|
Cash, cash
equivalents, and restricted cash, beginning of
period
|
607,856
|
|
651,926
|
|
456,339
|
|
474,420
|
Cash, cash
equivalents, and restricted cash, end of
period
|
$
478,358
|
|
$ 1,000,177
|
|
$
478,358
|
|
$ 1,000,177
|
MONGODB,
INC. RECONCILIATION OF GAAP MEASURES TO NON-GAAP
MEASURES (in thousands, except share and per share
data) (unaudited)
|
|
|
Three Months Ended
October 31,
|
|
Nine Months Ended
October 31,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Reconciliation of
GAAP gross profit to non-GAAP gross profit:
|
|
|
|
|
|
|
|
Gross profit on a GAAP
basis
|
$ 325,880
|
|
$ 239,969
|
|
$ 915,165
|
|
$ 662,584
|
Gross margin (Gross
profit/Total revenue) on a GAAP basis
|
75 %
|
|
72 %
|
|
75 %
|
|
72 %
|
Add back:
|
|
|
|
|
|
|
|
Expenses associated
with stock-based compensation: Cost of
Revenue—Subscription
|
6,201
|
|
5,124
|
|
18,252
|
|
15,103
|
Expenses associated
with stock-based compensation: Cost of Revenue—Services
|
3,194
|
|
2,660
|
|
10,734
|
|
7,521
|
Non-GAAP gross
profit
|
$ 335,275
|
|
$ 247,753
|
|
$ 944,151
|
|
$ 685,208
|
Non-GAAP gross
margin (Non-GAAP gross profit/Total revenue)
|
77 %
|
|
74 %
|
|
77 %
|
|
74 %
|
|
|
|
|
|
|
|
|
Reconciliation of
GAAP operating expenses to non-GAAP operating
expenses:
|
|
|
|
|
|
|
|
Sales and marketing
operating expense on a GAAP basis
|
$ 192,977
|
|
$ 177,419
|
|
$ 571,644
|
|
$ 509,285
|
Less:
|
|
|
|
|
|
|
|
Expenses associated
with stock-based compensation
|
42,349
|
|
38,276
|
|
130,638
|
|
109,203
|
Amortization of
intangible assets
|
760
|
|
760
|
|
2,280
|
|
2,280
|
Non-GAAP sales and
marketing operating expense
|
$ 149,868
|
|
$ 138,383
|
|
$ 438,726
|
|
$ 397,802
|
|
|
|
|
|
|
|
|
Research and
development operating expense on a GAAP basis
|
$ 128,150
|
|
$ 106,392
|
|
$ 370,387
|
|
$ 310,801
|
Less:
|
|
|
|
|
|
|
|
Expenses associated
with stock-based compensation
|
52,133
|
|
42,258
|
|
148,679
|
|
121,586
|
Amortization of
intangible assets
|
2,052
|
|
1,535
|
|
5,122
|
|
4,605
|
Non-GAAP research and
development operating expense
|
$
73,965
|
|
$
62,599
|
|
$ 216,586
|
|
$ 184,610
|
|
|
|
|
|
|
|
|
General and
administrative operating expense on a GAAP basis
|
$
49,969
|
|
$
39,081
|
|
$ 135,900
|
|
$ 116,204
|
Less:
|
|
|
|
|
|
|
|
Expenses associated
with stock-based compensation
|
17,024
|
|
12,069
|
|
48,329
|
|
38,227
|
Non-GAAP general and
administrative operating expense
|
$
32,945
|
|
$
27,012
|
|
$
87,571
|
|
$
77,977
|
|
|
|
|
|
|
|
|
Reconciliation of
GAAP loss from operations to non-GAAP income from
operations:
|
|
|
|
|
|
|
|
Loss from operations
on a GAAP basis
|
$ (45,216)
|
|
$ (82,923)
|
|
$
(162,766)
|
|
$
(273,706)
|
GAAP operating
margin (Loss from operations/Total revenue)
|
(10) %
|
|
(25) %
|
|
(13) %
|
|
(30) %
|
Add back:
|
|
|
|
|
|
|
|
Expenses associated
with stock-based compensation
|
120,901
|
|
100,387
|
|
356,632
|
|
291,640
|
Amortization of
intangible assets
|
2,812
|
|
2,295
|
|
7,402
|
|
6,885
|
Non-GAAP income from
operations
|
$
78,497
|
|
$
19,759
|
|
$ 201,268
|
|
$
24,819
|
Non-GAAP operating
margin (Non-GAAP Income from operations/Total
revenue)
|
18 %
|
|
6 %
|
|
16 %
|
|
3 %
|
|
|
|
|
|
|
|
|
Reconciliation of
GAAP net loss to non-GAAP net income:
|
|
|
|
|
|
|
|
Net loss on a GAAP
basis
|
$ (29,297)
|
|
$ (84,841)
|
|
$
(121,140)
|
|
$
(281,000)
|
Add back:
|
|
|
|
|
|
|
|
Expenses associated
with stock-based compensation
|
120,901
|
|
100,387
|
|
356,632
|
|
291,640
|
Amortization of
intangible assets
|
2,812
|
|
2,295
|
|
7,402
|
|
6,885
|
Amortization of debt
issuance costs related to convertible senior notes
|
849
|
|
845
|
|
2,543
|
|
2,530
|
Less:
|
|
|
|
|
|
|
|
Gain on non-marketable
securities
|
—
|
|
—
|
|
1,294
|
|
1,694
|
Income tax effects and
adjustments **
|
16,145
|
|
—
|
|
41,061
|
|
—
|
Non-GAAP net
income
|
$
79,120
|
|
$
18,686
|
|
$ 203,082
|
|
$
18,361
|
|
|
|
|
|
|
|
|
Reconciliation of
GAAP net loss per share, basic and diluted, to
non-GAAP net income per share, basic and diluted:
|
|
|
|
|
|
|
|
Net loss per share,
basic and diluted, on a GAAP basis
|
$
(0.41)
|
|
$
(1.23)
|
|
$
(1.71)
|
|
$
(4.11)
|
Add back:
|
|
|
|
|
|
|
|
Expenses associated
with stock-based compensation
|
1.69
|
|
1.46
|
|
5.03
|
|
4.26
|
Amortization of
intangible assets
|
0.04
|
|
0.03
|
|
0.10
|
|
0.10
|
Amortization of debt
issuance costs related to convertible senior notes
|
0.01
|
|
0.01
|
|
0.04
|
|
0.04
|
Less:
|
|
|
|
|
|
|
|
Gain on non-marketable
securities
|
—
|
|
—
|
|
0.02
|
|
0.02
|
Income tax effects and
adjustments **
|
0.23
|
|
—
|
|
0.58
|
|
—
|
Non-GAAP net income
per share, basic
|
$
1.10
|
|
$
0.27
|
|
$
2.86
|
|
$
0.27
|
Adjustment for fully
diluted earnings per share
|
(0.14)
|
|
(0.04)
|
|
(0.39)
|
|
(0.04)
|
Non-GAAP net income
per share, diluted *
|
$
0.96
|
|
$
0.23
|
|
$
2.47
|
|
$
0.23
|
|
|
*
|
Diluted non-GAAP net
income per share is calculated based upon 82.7 million and 82.2
million of diluted weighted-average shares of outstanding common
stock for the three and nine months ended October 31, 2023,
respectively. Diluted non-GAAP net income per share is calculated
based upon 80.4 million and 79.9 million of diluted
weighted-average shares of outstanding common stock for the three
and nine months ended October 31, 2022, respectively.
|
**
|
Non-GAAP financial
information for the fiscal 2024 periods is adjusted for an assumed
provision for income taxes based on our long-term projected tax
rate of 20%. Due to the expected sustained non-GAAP profitability,
this adjustment is applied prospectively and comparative periods
have not been adjusted. Due to the differences in the tax treatment
of items excluded from non-GAAP earnings, our estimated tax rate on
non-GAAP income may differ from our GAAP tax rate and from our
actual tax liabilities.
|
The following table
presents a reconciliation of free cash flow to net cash provided by
operating activities, the most directly comparable GAAP measure,
for each of the
periods indicated (unaudited, in thousands):
|
|
|
Three Months Ended
October 31,
|
|
Nine Months Ended
October 31,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
Net cash provided by
(used in) operating activities
|
$
38,422
|
|
$
(5,744)
|
|
$
66,850
|
|
$
(38,841)
|
Capital
expenditures
|
(2,078)
|
|
(1,381)
|
|
(3,336)
|
|
(6,533)
|
Principal repayments of
finance leases
|
(1,380)
|
|
(1,305)
|
|
(4,083)
|
|
(3,187)
|
Capitalized
software
|
—
|
|
—
|
|
—
|
|
—
|
Free cash
flow
|
$
34,964
|
|
$
(8,430)
|
|
$
59,431
|
|
$
(48,561)
|
MONGODB,
INC. CUSTOMER COUNT METRICS
|
|
The following table
presents certain customer count information as of the periods
indicated:
|
|
|
10/31/2021
|
|
1/31/2022
|
|
4/30/2022
|
|
7/31/2022
|
|
10/31/2022
|
|
1/31/2023
|
|
4/30/2023
|
|
7/31/2023
|
|
10/31/2023
|
Total Customers
(a)
|
31,000+
|
|
33,000+
|
|
35,200+
|
|
37,000+
|
|
39,100+
|
|
40,800+
|
|
43,100+
|
|
45,000+
|
|
46,400+
|
Direct Sales
Customers(b)
|
3,900+
|
|
4,400+
|
|
4,800+
|
|
5,400+
|
|
5,900+
|
|
6,400+
|
|
6,700+
|
|
6,800+
|
|
6,900+
|
MongoDB Atlas
Customers
|
29,500+
|
|
31,500+
|
|
33,700+
|
|
35,500+
|
|
37,600+
|
|
39,300+
|
|
41,600+
|
|
43,500+
|
|
44,900+
|
Customers over
$100K(c)
|
1,201
|
|
1,307
|
|
1,379
|
|
1,462
|
|
1,545
|
|
1,651
|
|
1,761
|
|
1,855
|
|
1,972
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(a)
|
Our definition of
"customer" excludes users of our free offerings and all affiliated
entities are counted as a single customer. As of and prior to
January 31, 2022, our definition of "customer" excluded (1) users
of our free offerings, (2) mLab users who spend $20 or less
per month with us and (3) self-serve users acquired from Realm. The
excluded mLab and Realm users collectively represented an
immaterial portion of the revenue associated with users acquired
from those acquisitions.
|
(b)
|
Direct Sales Customers
are customers that were sold through our direct sales force and
channel partners.
|
(c)
|
Represents the number
of customers with $100,000 or greater in annualized recurring
revenue ("ARR") and annualized monthly recurring revenue ("MRR").
ARR includes the revenue we expect to receive from our customers
over the following 12 months based on contractual commitments and,
in the case of Direct Sales Customers of MongoDB Atlas, by
annualizing the prior 90 days of their actual consumption of
MongoDB Atlas, assuming no increases or reductions in their
subscriptions or usage. For all other customers of our self-serve
products, we calculate annualized MRR by annualizing the prior
30 days of their actual consumption of such products, assuming
no increases or reductions in usage. ARR and annualized MRR exclude
professional services.
|
MONGODB,
INC. SUPPLEMENTAL REVENUE INFORMATION
|
|
The following table
presents certain supplemental revenue information as of the periods
indicated:
|
|
|
10/31/2021
|
|
1/31/2022
|
|
4/30/2022
|
|
7/31/2022
|
|
10/31/2022
|
|
1/31/2023
|
|
4/30/2023
|
|
7/31/2023
|
|
10/31/2023
|
MongoDB Enterprise
Advanced:
% of Subscription Revenue
|
34 %
|
|
33 %
|
|
33 %
|
|
28 %
|
|
29 %
|
|
28 %
|
|
28 %
|
|
26 %
|
|
27 %
|
Direct Sales
Customers(a)
Revenue: % of
Subscription Revenue
|
85 %
|
|
86 %
|
|
87 %
|
|
86 %
|
|
87 %
|
|
88 %
|
|
88 %
|
|
88 %
|
|
88 %
|
|
|
(a)
|
Direct Sales Customers
are customers that were sold through our direct sales force and
channel partners.
|
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SOURCE MongoDB, Inc.