MariaDB Announces First Quarter Fiscal 2023 Financial Results
MariaDB plc (NYSE: MRDB) reported its financial results for Q1 FY2023, ending December 31, 2022, showcasing 20% revenue growth year-over-year to $12.8 million. A significant highlight was the 90% increase in cloud-related subscription revenue, reflecting ongoing transformation towards cloud services. Their Annual Recurring Revenue (ARR) rose to $52.0 million, a 17% increase year-over-year. Despite these gains, the company reported a net loss of $13.0 million ($0.55 per share), compared to a $12.2 million loss in the same quarter last year. Notably, MariaDB signed a historic multi-year contract valued at up to $34 million.
- 90% growth in cloud-related subscription revenue year-over-year.
- Total revenue increased by 20% year-over-year to $12.8 million.
- Annual Recurring Revenue (ARR) rose 17% year-over-year to $52.0 million.
- Gross margin improved to 73.7%, up from 72.8% year-over-year.
- Signed the largest multi-year contract in company history worth up to $34 million.
- Loss from operations increased to $12.8 million from $11.3 million year-over-year.
- Net loss widened to $13.0 million from $12.2 million in the previous year.
Cloud-related subscription revenue up
“We continue to make progress at transforming our business to the cloud, demonstrated by
First Quarter Fiscal 2023 Financial Highlights
-
Revenue: Total revenue was
$12.8 million 20% year-over-year, which was consistent with our revenue growth rate over the last few years. Cloud-related subscription revenue grew90% year-over-year, continuing the transformation of our on-premises business to the cloud. -
Annual recurring revenue (ARR): Total ARR as of
December 31, 2022 was$52.0 million 17% year-over-year, which was consistent with our ARR growth rate over the last few years. -
Gross profit: Gross profit was
$9.4 million 73.7% gross margin compared to72.8% in the year-ago period. -
Loss from operations: Loss from operations was
$12.8 million $11.3 million -
Net loss: Net loss was
$13.0 million $0.55 $12.2 million
First Quarter Fiscal 2023 Business Highlights
-
MariaDB completed its merger with Angel Pond Holdings Corporation and listed on the
New York Stock Exchange under the ticker “MRDB.” -
Signed the largest multi-year deal in the company’s history for up to
$34 million -
Accelerated growth in our cloud business, including customer announcements with Certified Power Solutions,
Hit Labs and SUPERCAT. - Showcased the upcoming new release of our SkySQL cloud database service at AWS re:Invent.
-
Appointed
Hal Berenson , former VP and general manager of Amazon RDS, to MariaDB’s board of directors.
About MariaDB
MariaDB is a new generation cloud database company whose products are used by companies big and small, reaching more than a billion users through Linux distributions and have been downloaded over one billion times. Deployed in minutes and maintained with ease, leveraging cloud automation, our database products are engineered to support any workload, any cloud and any scale – all while saving up to
Key Business Metrics
We review a number of operating and financial metrics, including Annual Recurring Revenue (“ARR”), to evaluate our business, measure our performance, identify trends affecting our business, formulate business plans and make strategic decisions.
We believe that our ARR is an important indicator of our financial performance and operating results given the renewable nature of our business. ARR does not have a standardized meaning and is therefore unlikely to be comparable to similarly titled metrics presented by other companies. We define ARR as the annualized revenue for our subscription customers, excluding revenue from nonrecurring contract services (e.g., time and material consulting services). For our annual subscription customers, we calculate ARR as the annualized value of their subscription contracts as of the measurement date, assuming any contract that expires during the next 12 months is renewed on its existing terms (including contracts for which we are negotiating a renewal). In the event that we are negotiating a renewal with a customer after the expiration of their subscription, we continue to include that revenue in ARR if we are actively in discussion with the customer for a new subscription or renewal, or until we are notified that the customer will not be renewing its subscription. Additionally, a subset of customers under the MariaDB SkySQL subscription service offering has monthly pay-as-you-go contract terms. We calculate ARR as their monthly recurring revenue as of the measurement date, multiplied by 12. We consider these annualized pay-as-you-go revenues relevant in the determination of ARR as it aligns with our strategic goal to convert the pay-as-you-go customers to annual subscription customers.
ARR should be viewed independently of revenue, and does not represent our revenue under
Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements often contain words such as “expect,” “anticipate,” “intend,” “plan,” “project,” “estimate,” “believe,” “seek,” “see,” “will,” “would,” “target,” similar or comparable expressions, and variations or negatives of such words. Forward-looking statements by their nature address matters that are, to different degrees, uncertain, such as the benefits of the recent business combination with Angel Pond Holdings Corporation and related transactions (the “Business Combination”), future opportunities for us and our products and services (including increased business in the cloud), the ultimate length and value of contractual relationships with our customers, and any other statements regarding MariaDB’s future operations, anticipated growth, financial or operating results or condition, capital allocation, market opportunities, strategies, anticipated business levels, future earnings, customer relationships (including terms), planned activities, competitions, and other expectations and targets for future periods.
As a result of a number of known and unknown risks and uncertainties, our actual results, condition, or performance may be materially different from those expressed or implied by these forward-looking statements. Some factors that could cause actual results to differ include: (a) our ability to continue as a going concern and to secure additional financing needed to meet short-term and long-term liquidity needs; (b) our ability to compete in an increasingly competitive environment; (c) our ability to retain and recruit qualified personnel, including officers (including a chief financial officer), directors and other key personnel (including those with public company experience); (d) our ability to acquire and integrate technologies, personnel, and other assets (including those related to the acquisition of CubeWerx and Sector 42 by Legacy MariaDB; (e) our ability to retain existing customers and their business and attract additional customers and their business; (f) intellectual property, information technology and privacy requirements that may subject us to unanticipated liabilities; (g) our ability to realize the anticipated benefits of the Business Combination, which may be affected by, among other things, competition, and our ability to manage our operations, including potential growth and expansion of our business operations and building out controls, effectively; (h) our ability to effectively operate as a public company; (i) any regulatory actions or litigation relating to the Business Combination; (j) our ability to maintain the listing of our Ordinary Shares, Public Warrants or other securities on the NYSE; (k) the effects of the ongoing coronavirus (COVID-19) pandemic or other infectious diseases, health epidemics, pandemics, and natural disasters on our business; and (l) other risks and uncertainties indicated from time to time in our
Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and we assume no obligation and, except as required by law, do not intend to update or revise these forward-looking statements, whether as a result of new information, future events, or otherwise. We give no assurance that we will achieve our expectations or plans, which may change over time.
Condensed Consolidated Balance Sheets (in thousands, except par value and share amounts) (unaudited) |
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2022 |
|
2022 |
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| ASSETS | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 27,875 |
|
$ | 4,756 |
|
||
| Short-term investments | — |
|
25,999 |
|
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| Accounts receivable, net | 25,045 |
|
12,154 |
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| Prepaids and other current assets | 5,906 |
|
15,806 |
|
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| Total current assets | 58,826 |
|
58,715 |
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| Property and equipment, net | 522 |
|
708 |
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7,816 |
|
7,535 |
|
|||||
| Intangible assets, net | 1,056 |
|
1,120 |
|
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| Operating lease right-of-use assets | 777 |
|
890 |
|
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| Other noncurrent assets | 1,738 |
|
1,006 |
|
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| Total assets | $ | 70,735 |
|
$ | 69,974 |
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| LIABILITIES AND STOCKHOLDERS’ DEFICIT | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 6,381 |
|
$ | 3,267 |
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| Accrued expenses | 6,224 |
|
8,902 |
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| Operating lease liabilities | 509 |
|
496 |
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| Long-term debt, current | 16,053 |
|
122 |
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| Deferred revenue | 29,106 |
|
26,236 |
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| Total current liabilities | 58,273 |
|
39,023 |
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| Long-term debt, net of current | — |
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14,622 |
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| Operating lease liabilities, net of current | 303 |
|
433 |
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| Deferred revenue, net of current | 16,578 |
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5,321 |
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| Warrant liabilities | 6,235 |
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1,749 |
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| Deferred tax liability | 174 |
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— |
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| Total liabilities | 81,563 |
|
61,148 |
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| Commitments and contingencies | ||||||||
| Convertible preferred shares, par value of |
— |
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206,969 |
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| Stockholders’ equity (deficit): | ||||||||
| Ordinary shares, par value of |
664 |
|
— |
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| Additional paid-in-capital | 211,465 |
|
11,482 |
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| Accumulated deficit | (213,362 |
) |
(200,320 |
) |
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| Accumulated other comprehensive income (loss) | (9,595 |
) |
(9,305 |
) |
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| Total stockholders’ equity (deficit) | (10,828 |
) |
(198,143 |
) |
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| Total liabilities, convertible preferred shares and stockholders’ equity (deficit) | $ | 70,735 |
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$ | 69,974 |
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Condensed Consolidated Statements of Operations and Comprehensive Loss (in thousands, except share and per share amounts) (unaudited) |
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Three Months Ended |
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2022 |
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2021 |
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| Revenue: | ||||||||
| Subscription | $ | 11,277 |
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$ | 9,509 |
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| Services | 1,528 |
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1,191 |
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| Total revenue | 12,805 |
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10,700 |
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| Cost of revenue: | ||||||||
| Subscription | 1,590 |
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1,573 |
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| Services | 1,775 |
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1,336 |
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| Total cost of revenue | 3,365 |
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2,909 |
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| Gross profit | 9,440 |
|
7,791 |
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| Operating expenses: | ||||||||
| Research and development | 9,473 |
|
8,470 |
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| Sales and marketing | 7,232 |
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6,575 |
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| General and administrative | 5,503 |
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4,033 |
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| Total operating expense | 22,208 |
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19,078 |
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| Loss from operations | (12,768 |
) |
(11,287 |
) |
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| Other (expense) income: | ||||||||
| Interest expense | (232 |
) |
(721 |
) |
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| Change in fair value of warrant liabilities | 1,731 |
|
(120 |
) |
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| Other income (expense), net | (1,829 |
) |
(39 |
) |
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| Loss before income tax expense | (13,098 |
) |
(12,167 |
) |
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| Income tax expense | 56 |
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(15 |
) |
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| Net loss | $ | (13,042 |
) |
$ | (12,182 |
) |
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| Net loss per share attributable to common shares – basic and diluted | $ | (0.55 |
) |
$ | (1.01 |
) |
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| Weighted-average shares outstanding – basic and diluted | 23,912,928 |
|
12,072,473 |
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| Comprehensive Loss: | ||||||||
| Net loss | $ | (13,042 |
) |
$ | (12,182 |
) |
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| Foreign currency translation adjustment, net of taxes | 1,887 |
|
604 |
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| Amounts reclassified from accumulated other comprehensive income for unrealized gains on available-for-sale debt securities, net of taxes | (2,177 |
) |
— |
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| Total comprehensive loss | $ | (13,332 |
) |
$ | (11,578 |
) |
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Source: MariaDB
#earn-news
View source version on businesswire.com: https://www.businesswire.com/news/home/20230213005198/en/
Investors:
ir@mariadb.com
Media:
pr@mariadb.com
Source: MariaDB
FAQ
What were MariaDB's total revenues for Q1 FY2023?
How much did cloud-related subscription revenue grow in Q1 FY2023?
What is the current Annual Recurring Revenue (ARR) for MariaDB?
What was MariaDB's net loss for Q1 FY2023?
What significant contract did MariaDB sign in Q1 FY2023?
