PagerDuty Announces Second Quarter Fiscal 2025 Financial Results
PagerDuty (NYSE:PD) reported Q2 fiscal 2025 financial results, showing revenue growth of 7.7% year-over-year to $115.9 million. The company's ending ARR grew 10% to $474 million. Despite a GAAP loss from operations of $16 million, PagerDuty achieved a non-GAAP operating income of $20.1 million with a 17.3% margin. Key highlights include:
- Customers with ARR over $100K grew 6% to 820
- Dollar-based net retention rate was 106%
- Free cash flow of $33.3 million
- Cash, equivalents, and investments totaled $599.3 million
PagerDuty updated its fiscal 2025 guidance, now expecting total revenue of $463.0-$467.0 million, representing 7-8% growth year-over-year, and non-GAAP net income per diluted share of $0.67-$0.72.
PagerDuty (NYSE:PD) ha riportato i risultati finanziari del secondo trimestre fiscale 2025, evidenziando una crescita del fatturato del 7,7% rispetto all'anno precedente, raggiungendo 115,9 milioni di dollari. L'ARR finale dell'azienda è cresciuto del 10% a 474 milioni di dollari. Nonostante una perdita operativa secondo i principi contabili GAAP di 16 milioni di dollari, PagerDuty ha raggiunto un reddito operativo non-GAAP di 20,1 milioni di dollari, con un margine del 17,3%. I punti salienti includono:
- I clienti con ARR superiore a 100.000 dollari sono aumentati del 6%, raggiungendo 820
- Il tasso di ritenzione netto basato sul dollaro è stato del 106%
- Flusso di cassa libero di 33,3 milioni di dollari
- Liquidità, equivalenti e investimenti hanno totalizzato 599,3 milioni di dollari
PagerDuty ha aggiornato la propria guida fiscale per il 2025, ora prevedendo un fatturato totale di 463,0-467,0 milioni di dollari, con una crescita del 7-8% rispetto all'anno precedente, e un reddito netto non-GAAP per azione diluita di 0,67-0,72 dollari.
PagerDuty (NYSE:PD) informó sobre sus resultados financieros del segundo trimestre fiscal 2025, mostrando un crecimiento de ingresos del 7.7% interanual, alcanzando 115.9 millones de dólares. El ARR final de la compañía creció un 10% hasta 474 millones de dólares. A pesar de una pérdida operativa GAAP de 16 millones de dólares, PagerDuty logró un ingreso operativo no-GAAP de 20.1 millones de dólares con un margen del 17.3%. Los aspectos destacados incluyen:
- Los clientes con ARR por encima de 100K dólares crecieron un 6% alcanzando 820
- La tasa de retención neta de ingresos fue del 106%
- Flujo de caja libre de 33.3 millones de dólares
- Efectivo, equivalentes e inversiones totalizaron 599.3 millones de dólares
PagerDuty actualizó su guía fiscal para 2025, ahora esperando ingresos totales de 463.0 a 467.0 millones de dólares, lo que representa un crecimiento del 7-8% interanual, y un ingreso neto no-GAAP por acción diluida de 0.67 a 0.72 dólares.
PagerDuty (NYSE:PD)는 2025 회계연도 2분기 재무 결과를 보고하며, 전년 대비 7.7%의 매출 성장을 보여 1억 1,590만 달러에 달했습니다. 회사의 연간 반복 수익(ARR)은 10% 증가하여 4억 7,400만 달러에 도달했습니다. GAAP 기준 운영 손실이 1,600만 달러임에도 불구하고, PagerDuty는 비-GAAP 운영 수익 2,010만 달러를 달성하며 17.3%의 마진을 기록했습니다. 주요 하이라이트는 다음과 같습니다:
- ARR이 10만 달러를 초과하는 고객 수가 6% 증가하여 820명에 도달
- 달러 기준 순 유지율은 106%
- 자유 현금 흐름은 3,330만 달러
- 현금, 현금성 자산 및 투자 합계는 5억 9,930만 달러
PagerDuty는 2025 회계연도 가이던스를 업데이트하여 총 매출을 4억 6,300만 달러에서 4억 6,700만 달러로 예상하며, 이는 전년 대비 7-8% 성장에 해당하고, 희석 주당 비-GAAP 순이익은 0.67-0.72달러로 전망하고 있습니다.
PagerDuty (NYSE:PD) a annoncé ses résultats financiers du deuxième trimestre de l'exercice 2025, montrant une croissance des revenus de 7,7 % par rapport à l'année précédente, atteignant 115,9 millions de dollars. L'ARR final de l'entreprise a augmenté de 10 % pour atteindre 474 millions de dollars. Malgré une perte d'exploitation GAAP de 16 millions de dollars, PagerDuty a réalisé un revenu d'exploitation non-GAAP de 20,1 millions de dollars avec une marge de 17,3 %. Les points clés incluent :
- Le nombre de clients avec un ARR supérieur à 100 000 dollars a augmenté de 6 % pour atteindre 820
- Le taux de rétention nette basé sur le dollar était de 106 %
- Flux de trésorerie disponible de 33,3 millions de dollars
- La trésorerie, les équivalents et les investissements totalisent 599,3 millions de dollars
PagerDuty a mis à jour ses prévisions pour l'exercice 2025, maintenant qu'elle s'attend à un chiffre d'affaires total de 463,0 à 467,0 millions de dollars, représentant une croissance de 7 à 8 % par rapport à l'année précédente, et un revenu net non-GAAP par action diluée de 0,67 à 0,72 dollar.
PagerDuty (NYSE:PD) hat die Finanzergebnisse für das zweite Quartal des Geschäftsjahres 2025 veröffentlicht, die ein Umsatzwachstum von 7,7% im Vergleich zum Vorjahr auf 115,9 Millionen US-Dollar zeigen. Der jahresgültige ARR des Unternehmens wuchs um 10% auf 474 Millionen US-Dollar. Trotz eines GAAP-Betriebsverlusts von 16 Millionen US-Dollar erzielte PagerDuty einen nicht-GAAP-Betriebsgewinn von 20,1 Millionen US-Dollar bei einer Marge von 17,3%. Wichtige Highlights sind:
- Kunden mit einem ARR von über 100.000 US-Dollar wuchsen um 6% auf 820
- Die dollarbasierte Netto-Retention-Rate betrug 106%
- Freier Cashflow in Höhe von 33,3 Millionen US-Dollar
- Zahlungsmittel, Äquivalente und Investitionen beliefen sich insgesamt auf 599,3 Millionen US-Dollar
PagerDuty hat seine Prognose für das Geschäftsjahr 2025 aktualisiert und erwartet nun einen Gesamtumsatz von 463,0 bis 467,0 Millionen US-Dollar, was einem Wachstum von 7-8% im Vergleich zum Vorjahr entspricht, und einen nicht-GAAP Nettoertrag pro verwässerter Aktie von 0,67 bis 0,72 US-Dollar.
- Revenue grew 7.7% year-over-year to $115.9 million
- Ending ARR increased 10% year-over-year to $474 million
- Non-GAAP operating income of $20.1 million, with a 17.3% margin
- Free cash flow of $33.3 million
- Customers with ARR over $100K grew 6% to 820
- Number of customers with ARR greater than $500K grew over 20%
- Raised non-GAAP net income per diluted share guidance for fiscal 2025
- GAAP loss from operations of $16 million
- Dollar-based net retention rate decreased to 106% from 114% a year ago
- Total paid customers decreased to 15,044 from 15,146 a year ago
- Lowered total revenue guidance for fiscal 2025
Insights
PagerDuty's Q2 FY2025 results present a mixed picture. While revenue grew
The company achieved non-GAAP profitability for the eighth consecutive quarter, with a non-GAAP operating margin of
PagerDuty's focus on AI-powered solutions and incident management is timely, given the
The company's recognition in Gartner and Forrester reports bolsters its market position. The integration with Snowflake Trail and the launch of PagerDuty Advance show a commitment to innovation. These initiatives could be important for maintaining competitiveness and driving future growth, especially as organizations prioritize operational resilience and digital transformation.
Second quarter revenue increased
Ending ARR grew
Second quarter loss from operations of
“PagerDuty delivered a solid second quarter with revenue growth within our guidance range, a non-GAAP operating margin four points above the range, and our eighth consecutive quarter of non-GAAP profitability,” said Jennifer Tejada, Chairperson and CEO, PagerDuty. “We remain confident in ARR growth acceleration as global outages reinforce that incident management has become a CEO priority.”
Second Quarter Fiscal 2025 Financial Highlights
-
Revenue was
, an increase of$115.9 million 7.7% year over year. -
Loss from operations was
; operating margin was negative$16.0 million 13.8% . -
Non-GAAP operating income was
; non-GAAP operating margin was$20.1 million 17.3% . -
Net loss per share attributable to PagerDuty, Inc. common stockholders was
.$0.14 -
Non-GAAP net income per diluted share attributable to PagerDuty, Inc. common stockholders was
.$0.21 -
Net cash provided by operating activities was
, with free cash flow of$35.8 million .$33.3 million -
Cash, cash equivalents, and investments were
as of July 31, 2024.$599.3 million
The section titled “Non-GAAP Financial Measures” below contains a description of the non-GAAP financial measures and reconciliations between GAAP and non-GAAP financial information.
Second Quarter and Recent Highlights
-
Customers with annual recurring revenue over
grew$100 thousand 6% to 820 as of July 31, 2024, compared to 773 a year ago. -
Dollar-based net retention rate was
106% as of July 31, 2024, compared to114% a year ago. -
Free and paid customers totaled more than 29,000 as of July 31, 2024, representing approximately
12% growth year over year. - Total paid customers were 15,044 as of July 31, 2024, compared to 15,146 a year ago.
-
Remaining performance obligations were
as of July 31, 2024. Of this amount, the Company expects to recognize revenue of approximately$403 million , or$280 million 70% , over the next 12 months with the balance to be recognized as revenue thereafter.(1) -
The number of customers with ARR greater than
grew over$500 thousand 20% . - Lands and expands include: Aon, Commonwealth Bank of Australia, Coupa, FirstRand Bank, Moderna, Snowflake, Western Digital Corp and Vodafone.
- Expanded generative AI solutions with PagerDuty Advance to mitigate risk of operational outages including AI-powered capabilities for enterprises to accelerate strategic roadmap initiatives, build more resilient operations and drive digital transformation initiatives.
- Highlighted in nine Gartner Hype Cycle Reports and Forrester’s Infrastructure Automation Platforms Landscape report.
- Announced integration with Snowflake Trail to improve observability workflows.
-
Released a study that reveals customer-facing incidents increased by
43% during the past year; each incident costs nearly addressing the imperative for organizations to invest in automation in order to mitigate the risk and shorten the time of incident.$800 thousand -
Engaged with hundreds of customers and prospects during PagerDuty on Tour in
New York ,San Francisco ,London ,Sydney andTokyo to learn about the PagerDuty Operations Cloud. - Launched Learning from Incidents Workshop, a series of best practice workshops to help teach organizations how to outmaneuver the complexity of digital operations and establish a more proactive approach for handling and learning from incidents.
- Showcased PagerDuty customer - Vodafone in Executive Spotlight series.
-
Recognized as a great place to work including: FORTUNE Best Workplace in the Bay Area 2024, 2024 Fortune Best Workplace for Millennials (US), San Francisco Business Times - Fastest-Growing Middle Market Companies in the Greater Bay Area, Inspiring Workplace -
North America , Inspiring Workplace -Australasia , Inspiring Workplace - LatAm and 2024 ParityLIST.
(1)Beginning in the first quarter of fiscal 2025, the Company began to include contracts with an original term of less than 12 months in this disclosure which comprised |
Financial Outlook
For the third quarter of fiscal 2025, PagerDuty currently expects:
-
Total revenue of
-$115.5 million , representing a growth rate of$117.5 million 6% -8% year over year. -
Non-GAAP net income per diluted share attributable to PagerDuty, Inc. common stockholders of
-$0.16 assuming approximately 96 million diluted shares and a non-GAAP tax rate of$0.17 23% .
For the full fiscal year 2025, PagerDuty currently expects:
-
Total revenue of
-$463.0 million (down from$467.0 million -$471.0 million ), representing a growth rate of$477.0 million 7% -8% year over year. -
Non-GAAP net income per diluted share attributable to PagerDuty, Inc. common stockholders of
-$0.67 (up from$0.72 -$0.66 ) assuming approximately 96 million diluted shares and a non-GAAP tax rate of$0.71 23% .
These statements are forward-looking and actual results may differ materially. Please refer to the section titled "Forward-Looking Statements" below for information on the factors that could cause our actual results to differ materially from these forward-looking statements.
PagerDuty has not reconciled forward-looking net loss per share attributable to PagerDuty, Inc. common stock holders to forward-looking non-GAAP net income per share attributable to PagerDuty, Inc. common stockholders because certain items are out of PagerDuty's control or cannot be reasonably predicted. Accordingly, such reconciliation is not available without unreasonable effort.
Conference Call Information
PagerDuty will host a conference call and live webcast for analysts and investors at 2:00 p.m. Pacific Time on September 3, 2024. This news release with the financial results will be accessible from PagerDuty’s website at investor.pagerduty.com prior to the conference call. A live webcast of the conference call will be accessible from the PagerDuty investor relations website at investor.pagerduty.com.
Supplemental Financial and Other Information
Supplemental financial and other information can be accessed through PagerDuty’s investor relations website at investor.pagerduty.com. PagerDuty uses the investor relations section on its website as the means of complying with its disclosure obligations under Regulation FD. Accordingly, we recommend that investors monitor PagerDuty’s investor relations website in addition to following PagerDuty’s press releases, SEC filings, social media, including PagerDuty’s LinkedIn account (https://www.linkedin.com/company/482819), X (formerly Twitter) account @pagerduty, the X account @jenntejada and Facebook page (facebook.com/pagerduty), and public conference calls and webcasts.
Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to, statements regarding our future financial performance and outlook, and market positioning. Words such as “expect,” “extend,” “anticipate,” “should,” “believe,” “hope,” “target,” “project,” “accelerate,” “goals,” “estimate,” “potential,” “predict,” “may,” “will,” “might,” “could,” “intend,” “shall,” and variations of these terms or the negative of these terms and similar expressions are intended to identify these forward-looking statements. Forward-looking statements are subject to a number of risks and uncertainties, many of which involve factors or circumstances that are beyond our control. Our actual results could differ materially from those stated or implied in forward-looking statements due to a number of factors, including but not limited to, risks and other factors detailed in our Annual Report on Form 10-K/A filed with the Securities and Exchange Commission (SEC) on March 18, 2024. Additional information will be made available in our Quarterly Report on Form 10-Q for the quarter ended July 31, 2024 and other filings and reports that we may file from time to time with the SEC. In particular, the following risks and uncertainties, among others, could cause results to differ materially from those expressed or implied by such forward-looking statements: the effect of unfavorable conditions in our industry or the global economy, or reductions in information technology spending on our business and results of operations; our ability to achieve and maintain future profitability; our ability to attract new customers and retain and sell additional functionality and services to our existing customers; our ability to sustain and manage our growth; our dependence on revenue from a single product; our ability to compete effectively in an increasingly competitive market; and general global market, political, economic, and business conditions.
Past performance is not necessarily indicative of future results. The forward-looking statements included in this press release represent our views as of the date of this press release. We anticipate that subsequent events and developments will cause our views to change. We undertake no intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. These forward-looking statements should not be relied upon as representing our views as of any date subsequent to the date of this press release.
About PagerDuty Inc.
PagerDuty, Inc. (NYSE:PD) is a global leader in digital operations management, enabling customers to achieve operational efficiency at scale with the PagerDuty Operations Cloud. The PagerDuty Operations Cloud combines AIOps, Automation, Customer Service Operations and Incident Management with a powerful generative AI assistant to create a flexible, resilient and scalable platform to increase innovation velocity, grow revenue, reduce cost, and mitigate the risk of operational failure. Half of the Fortune 500 and nearly
The PagerDuty Operations Cloud
The PagerDuty Operations Cloud is the platform for mission-critical, time-critical operations work in the modern enterprise. Through the power of AI and automation, it detects and diagnoses disruptive events, mobilizes the right team members to respond, and streamlines infrastructure and workflows across your digital operations. The PagerDuty Operations Cloud is essential infrastructure for revolutionizing digital operations to compete and win as a modern digital business.
PAGERDUTY, INC. |
|||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS |
|||||||||||||||
(in thousands, except per share data) |
|||||||||||||||
(unaudited) |
|||||||||||||||
|
Three months ended July 31, |
|
Six months ended July 31, |
||||||||||||
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Revenue |
$ |
115,935 |
|
|
$ |
107,616 |
|
|
$ |
227,107 |
|
|
$ |
210,862 |
|
Cost of revenue(1) |
|
20,080 |
|
|
|
19,833 |
|
|
|
39,423 |
|
|
|
37,769 |
|
Gross profit |
|
95,855 |
|
|
|
87,783 |
|
|
|
187,684 |
|
|
|
173,093 |
|
|
|
|
|
|
|
|
|
||||||||
Operating expenses: |
|
|
|
|
|
|
|
||||||||
Research and development(1) |
|
35,088 |
|
|
|
36,441 |
|
|
|
72,611 |
|
|
|
69,949 |
|
Sales and marketing(1) |
|
50,966 |
|
|
|
49,724 |
|
|
|
99,465 |
|
|
|
93,525 |
|
General and administrative(1) |
|
25,828 |
|
|
|
27,791 |
|
|
|
53,368 |
|
|
|
51,592 |
|
Total operating expenses |
|
111,882 |
|
|
|
113,956 |
|
|
|
225,444 |
|
|
|
215,066 |
|
Loss from operations |
|
(16,027 |
) |
|
|
(26,173 |
) |
|
|
(37,760 |
) |
|
|
(41,973 |
) |
|
|
|
|
|
|
|
|
||||||||
Interest income(2) |
|
7,516 |
|
|
|
5,011 |
|
|
|
14,496 |
|
|
|
9,214 |
|
Interest expense |
|
(2,363 |
) |
|
|
(1,396 |
) |
|
|
(4,511 |
) |
|
|
(2,730 |
) |
Other income (expense), net(2) |
|
117 |
|
|
|
(114 |
) |
|
|
(134 |
) |
|
|
(127 |
) |
Loss before (provision for) benefit from income taxes |
|
(10,757 |
) |
|
|
(22,672 |
) |
|
|
(27,909 |
) |
|
|
(35,616 |
) |
(Provision for) benefit from income taxes |
|
(427 |
) |
|
|
50 |
|
|
|
(620 |
) |
|
|
156 |
|
Net loss |
$ |
(11,184 |
) |
|
$ |
(22,622 |
) |
|
$ |
(28,529 |
) |
|
$ |
(35,460 |
) |
Net loss attributable to redeemable non-controlling interest |
|
(272 |
) |
|
|
(569 |
) |
|
|
(478 |
) |
|
|
(1,189 |
) |
Net loss attributable to PagerDuty, Inc. |
$ |
(10,912 |
) |
|
$ |
(22,053 |
) |
|
$ |
(28,051 |
) |
|
$ |
(34,271 |
) |
Less: Adjustment attributable to redeemable non-controlling interest |
|
2,330 |
|
|
|
1,729 |
|
|
|
9,247 |
|
|
|
1,729 |
|
Net loss attributable to PagerDuty, Inc. common stockholders |
$ |
(13,242 |
) |
|
$ |
(23,782 |
) |
|
$ |
(37,298 |
) |
|
$ |
(36,000 |
) |
|
|
|
|
|
|
|
|
||||||||
Weighted average shares used in calculating net loss per share, basic and diluted |
|
93,289 |
|
|
|
92,542 |
|
|
|
93,082 |
|
|
|
92,041 |
|
Net loss per share, basic and diluted, attributable to PagerDuty, Inc. common stockholders |
$ |
(0.14 |
) |
|
$ |
(0.26 |
) |
|
$ |
(0.40 |
) |
|
$ |
(0.39 |
) |
(1) Includes stock-based compensation expense as follows: |
|||||||||||||||
|
Three months ended July 31, |
|
Six months ended July 31, |
||||||||||||
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Cost of revenue |
$ |
1,508 |
|
$ |
2,164 |
|
$ |
3,264 |
|
$ |
4,040 |
||||
Research and development |
|
11,842 |
|
|
|
12,773 |
|
|
|
23,064 |
|
|
|
22,874 |
|
Sales and marketing |
|
8,116 |
|
|
|
8,317 |
|
|
|
16,063 |
|
|
|
14,268 |
|
General and administrative |
|
10,900 |
|
|
|
12,283 |
|
|
|
22,915 |
|
|
|
21,900 |
|
Total |
$ |
32,366 |
|
|
$ |
35,537 |
|
|
$ |
65,306 |
|
|
$ |
63,082 |
|
(2) Includes a reclassification for the three and six months ended July 31, 2023 for a portion of other income to the interest income line item to conform to current period presentation. |
PAGERDUTY, INC. |
|||||||
CONDENSED CONSOLIDATED BALANCE SHEETS |
|||||||
(in thousands) |
|||||||
(unaudited) |
|||||||
|
July 31, 2024 |
|
January 31, 2024 |
||||
Assets |
|
|
|
||||
Current assets: |
|
|
|
||||
Cash and cash equivalents |
$ |
385,673 |
|
|
$ |
363,011 |
|
Investments |
|
213,640 |
|
|
|
208,178 |
|
Accounts receivable, net of allowance for credit losses of |
|
66,804 |
|
|
|
100,413 |
|
Deferred contract costs, current |
|
19,676 |
|
|
|
19,502 |
|
Prepaid expenses and other current assets |
|
14,683 |
|
|
|
12,094 |
|
Total current assets |
|
700,476 |
|
|
|
703,198 |
|
Property and equipment, net |
|
18,239 |
|
|
|
17,632 |
|
Deferred contract costs, non-current |
|
24,373 |
|
|
|
25,118 |
|
Lease right-of-use assets |
|
3,339 |
|
|
|
3,789 |
|
Goodwill |
|
137,401 |
|
|
|
137,401 |
|
Intangible assets, net |
|
26,530 |
|
|
|
32,616 |
|
Other assets |
|
5,648 |
|
|
|
5,552 |
|
Total assets |
$ |
916,006 |
|
|
$ |
925,306 |
|
|
|
|
|
||||
Liabilities, redeemable non-controlling interest, and stockholders’ equity |
|
|
|
||||
Current liabilities: |
|
|
|
||||
Accounts payable |
$ |
6,940 |
|
|
$ |
6,242 |
|
Accrued expenses and other current liabilities |
|
16,104 |
|
|
|
15,472 |
|
Accrued compensation |
|
29,547 |
|
|
|
30,239 |
|
Deferred revenue, current |
|
214,494 |
|
|
|
223,522 |
|
Lease liabilities, current |
|
4,603 |
|
|
|
6,180 |
|
Convertible senior notes, net, current |
|
57,241 |
|
|
|
— |
|
Total current liabilities |
|
328,929 |
|
|
|
281,655 |
|
Convertible senior notes, net, non-current |
|
392,098 |
|
|
|
448,030 |
|
Deferred revenue, non-current |
|
3,395 |
|
|
|
4,639 |
|
Lease liabilities, non-current |
|
6,622 |
|
|
|
6,809 |
|
Other liabilities |
|
4,216 |
|
|
|
5,280 |
|
Total liabilities |
|
735,260 |
|
|
|
746,413 |
|
|
|
|
|
||||
Redeemable non-controlling interest |
|
16,062 |
|
|
|
7,293 |
|
|
|
|
|
||||
Stockholders' equity |
|
|
|
||||
Common stock |
|
— |
|
|
|
— |
|
Additional paid-in capital |
|
747,599 |
|
|
|
774,768 |
|
Accumulated other comprehensive loss |
|
(730 |
) |
|
|
(733 |
) |
Accumulated deficit |
|
(580,486 |
) |
|
|
(552,435 |
) |
Treasury stock |
|
(1,699 |
) |
|
|
(50,000 |
) |
Total stockholders’ equity |
|
164,684 |
|
|
|
171,600 |
|
Total liabilities, redeemable non-controlling interest, and stockholders' equity |
$ |
916,006 |
|
|
$ |
925,306 |
|
PAGERDUTY, INC. |
|||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS |
|||||||||||||||
(in thousands) |
|||||||||||||||
(unaudited) |
|||||||||||||||
|
Three months ended July 31, |
|
Six months ended July 31, |
||||||||||||
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Cash flows from operating activities: |
|
|
|
|
|
|
|||||||||
Net loss attributable to PagerDuty, Inc. common stockholders |
$ |
(13,242 |
) |
|
$ |
(23,782 |
) |
$ |
(37,298 |
) |
|
$ |
(36,000 |
) |
|
Net loss and adjustment attributable to redeemable non-controlling interest |
|
2,058 |
|
|
|
1,160 |
|
|
8,769 |
|
|
|
540 |
|
|
Net loss |
|
(11,184 |
) |
|
|
(22,622 |
) |
|
(28,529 |
) |
|
|
(35,460 |
) |
|
Adjustments to reconcile net loss to net cash provided by operating activities: |
|
|
|
|
|
|
|||||||||
Depreciation and amortization |
|
5,163 |
|
|
|
5,266 |
|
|
10,455 |
|
|
|
9,991 |
|
|
Amortization of deferred contract costs |
|
5,427 |
|
|
|
5,173 |
|
|
10,706 |
|
|
|
10,163 |
|
|
Amortization of debt issuance costs |
|
671 |
|
|
|
478 |
|
|
1,279 |
|
|
|
933 |
|
|
Stock-based compensation |
|
32,366 |
|
|
|
35,537 |
|
|
65,306 |
|
|
|
63,082 |
|
|
Non-cash lease expense |
|
789 |
|
|
|
1,143 |
|
|
1,635 |
|
|
|
2,319 |
|
|
Other |
|
(1,163 |
) |
|
|
950 |
|
|
(2,465 |
) |
|
|
98 |
|
|
Changes in operating assets and liabilities: |
|
|
|
|
|
|
|||||||||
Accounts receivable |
|
10,441 |
|
|
|
(5,599 |
) |
|
33,157 |
|
|
|
24,404 |
|
|
Deferred contract costs |
|
(5,325 |
) |
|
|
(3,393 |
) |
|
(10,130 |
) |
|
|
(6,765 |
) |
|
Prepaid expenses and other assets |
|
1,951 |
|
|
|
822 |
|
|
(2,862 |
) |
|
|
(1,385 |
) |
|
Accounts payable |
|
511 |
|
|
|
961 |
|
|
779 |
|
|
|
(245 |
) |
|
Accrued expenses and other liabilities |
|
2,606 |
|
|
|
229 |
|
|
(829 |
) |
|
|
(15 |
) |
|
Accrued compensation |
|
846 |
|
|
|
(1,506 |
) |
|
(821 |
) |
|
|
(18,792 |
) |
|
Deferred revenue |
|
(5,893 |
) |
|
|
(5,182 |
) |
|
(10,316 |
) |
|
|
(12,428 |
) |
|
Lease liabilities |
|
(1,437 |
) |
|
|
(1,507 |
) |
|
(2,949 |
) |
|
|
(2,998 |
) |
|
Net cash provided by operating activities |
|
35,769 |
|
|
|
10,750 |
|
|
64,416 |
|
|
|
32,902 |
|
|
Cash flows from investing activities: |
|
|
|
|
|
|
|||||||||
Purchases of property and equipment |
|
(637 |
) |
|
|
(713 |
) |
|
(1,094 |
) |
|
|
(948 |
) |
|
Capitalized internal-use software costs |
|
(1,849 |
) |
|
|
(1,299 |
) |
|
(2,941 |
) |
|
|
(2,371 |
) |
|
Purchases of available-for-sale investments |
|
(48,335 |
) |
|
|
(68,972 |
) |
|
(98,400 |
) |
|
|
(108,057 |
) |
|
Proceeds from maturities of available-for-sale investments |
|
47,021 |
|
|
|
58,609 |
|
|
93,577 |
|
|
|
107,564 |
|
|
Proceeds from sales of available-for-sale investments |
|
— |
|
|
|
— |
|
|
2,237 |
|
|
|
— |
|
|
Purchases of non-marketable equity investments |
|
— |
|
|
|
(200 |
) |
|
— |
|
|
|
(200 |
) |
|
Net cash used in investing activities |
|
(3,800 |
) |
|
|
(12,575 |
) |
|
(6,621 |
) |
|
|
(4,012 |
) |
|
Cash flows from financing activities: |
|
|
|
|
|
|
|||||||||
Investment from redeemable non-controlling interest holder |
|
— |
|
|
|
1,781 |
|
|
— |
|
|
|
1,781 |
|
|
Cash paid for debt issuance costs |
|
(403 |
) |
|
|
— |
|
|
(403 |
) |
|
|
— |
|
|
Repurchases of common stock |
|
(27,213 |
) |
|
|
— |
|
|
(27,213 |
) |
|
|
— |
|
|
Proceeds from employee stock purchase plan |
|
5,735 |
|
|
|
6,292 |
|
|
5,735 |
|
|
|
6,292 |
|
|
Proceeds from issuance of common stock upon exercise of stock options |
|
513 |
|
|
|
2,666 |
|
|
804 |
|
|
|
7,417 |
|
|
Employee payroll taxes paid related to net share settlement of restricted stock units |
|
(7,576 |
) |
|
|
(7,166 |
) |
|
(14,128 |
) |
|
|
(15,986 |
) |
|
Net cash used in financing activities |
|
(28,944 |
) |
|
|
3,573 |
|
|
(35,205 |
) |
|
|
(496 |
) |
|
Effects of foreign currency exchange rates on cash, cash equivalents, and restricted cash |
|
92 |
|
|
|
(214 |
) |
|
(23 |
) |
|
|
(274 |
) |
|
Net change in cash, cash equivalents, and restricted cash |
|
3,117 |
|
|
|
1,534 |
|
|
22,567 |
|
|
|
28,120 |
|
|
Cash, cash equivalents, and restricted cash at beginning of period |
|
386,117 |
|
|
|
300,605 |
|
|
366,667 |
|
|
|
274,019 |
|
|
Cash, cash equivalents, and restricted cash at end of period |
$ |
389,234 |
|
|
$ |
302,139 |
|
$ |
389,234 |
|
|
$ |
302,139 |
|
Non-GAAP Financial Measures
This press release and the accompanying tables contain the following non-GAAP financial measures: non-GAAP gross profit, non-GAAP gross margin, non-GAAP research and development, non-GAAP sales and marketing, non-GAAP general and administrative, non-GAAP operating income, non-GAAP operating margin, non-GAAP net income attributable to PagerDuty, Inc. common stockholders, non-GAAP net income per share attributable to PagerDuty, Inc. common stockholders, free cash flow, and free cash flow margin.
PagerDuty believes that non-GAAP financial measures, when taken collectively, may be helpful to investors because they provide consistency and comparability with past financial performance and can assist in comparisons with other companies, some of which use similar non-GAAP financial measures to supplement their GAAP results. The non-GAAP financial information is presented for supplemental informational purposes only, should not be considered a substitute for financial information presented in accordance with GAAP, and may be different from similarly-titled non-GAAP measures used by other companies.
The principal limitation of these non-GAAP financial measures is that they exclude significant expenses and income that are required by GAAP to be recorded in PagerDuty’s financial statements. In addition, they are subject to inherent limitations as they reflect the exercise of judgment by PagerDuty’s management about which expenses and income are excluded or included in determining these non-GAAP financial measures. A reconciliation is provided below for each historical non-GAAP financial measure to the most directly comparable financial measure presented in accordance with GAAP.
Specifically, PagerDuty excludes the following from its historical and prospective non-GAAP financial measures, as applicable:
Stock-based compensation: PagerDuty utilizes stock-based compensation to attract and retain employees. It is principally aimed at aligning their interests with those of its stockholders and at long-term retention, rather than to address operational performance for any particular period. As a result, stock-based compensation expenses vary for reasons that are generally unrelated to financial and operational performance in any particular period.
Employer taxes related to employee stock transactions: PagerDuty views the amount of employer taxes related to its employee stock transactions as an expense that is dependent on its stock price, employee exercise and other award disposition activity, and other factors that are beyond PagerDuty’s control. As a result, employer taxes related to employee stock transactions vary for reasons that are generally unrelated to financial and operational performance in any particular period.
Amortization of acquired intangible assets: PagerDuty views amortization of acquired intangible assets as items arising from pre-acquisition activities determined at the time of an acquisition. While these intangible assets are evaluated for impairment regularly, amortization of the cost of purchased intangibles is an expense that is not typically affected by operations during any particular period.
Acquisition-related expenses: PagerDuty views acquisition-related expenses, such as transaction costs, acquisition-related retention payments, and acquisition-related asset impairment, as events that are not necessarily reflective of operational performance during a period. In particular, PagerDuty believes the consideration of measures that exclude such expenses can assist in the comparison of operational performance in different periods which may or may not include such expenses.
Amortization of debt issuance costs: The imputed interest rates of the Company's convertible senior notes (the "2025 Notes" and the "2028 Notes" or, collectively, the "Notes") was approximately
Restructuring costs: PagerDuty views restructuring costs, such as employee severance-related costs and real estate impairment costs, as events that are not necessarily reflective of operational performance during a period. In particular, PagerDuty believes the consideration of measures that exclude such expenses can assist in the comparison of operational performance in different periods which may or may not include such expenses.
Gains (or losses) on partial extinguishment of convertible senior notes: PagerDuty views gains (or losses) on partial extinguishment of debt as events that are not necessarily reflective of operational performance during a period. PagerDuty believes that the consideration of measures that exclude such gain (or loss) impact can assist in the comparison of operational performance in different periods which may or may not include such gains (or losses).
Adjustment attributable to redeemable non-controlling interest: PagerDuty adjusts the value of redeemable non-controlling interest of its joint venture PagerDuty K.K. according to the operating agreement. PagerDuty believes this adjustment is not reflective of operational performance during a period and exclusion of such adjustments can assist in comparison of operational performance in different periods.
Income tax effects and adjustments: Based on PagerDuty's financial outlook for fiscal 2025, PagerDuty is utilizing a projected non-GAAP tax rate of
Non-GAAP gross profit and non-GAAP gross margin
We define non-GAAP gross profit as gross profit excluding the following expenses typically included in cost of revenue: stock-based compensation expense, employer taxes related to employee stock transactions, amortization of acquired intangible assets, and restructuring costs. We define non-GAAP gross margin as non-GAAP gross profit as a percentage of revenue.
Non-GAAP operating expenses
We define non-GAAP operating expenses as operating expenses excluding stock-based compensation expense, employer taxes related to employee stock transactions, amortization of acquired intangible assets, acquisition-related expenses, which include transaction costs, acquisition-related retention payments, and asset impairment, and restructuring costs which are not necessarily reflective of operational performance during a given period.
Non-GAAP operating income (loss) and non-GAAP operating margin
We define non-GAAP operating income as loss from operations excluding stock-based compensation expense, employer taxes related to employee stock transactions, amortization of acquired intangible assets, acquisition-related expenses, which include transaction costs, acquisition-related retention payments, and asset impairment, and restructuring costs which are not necessarily reflective of operational performance during a given period. We define non-GAAP operating margin as non-GAAP operating income as a percentage of revenue.
Non-GAAP net income attributable to PagerDuty, Inc. common stockholders
We define non-GAAP net income attributable to PagerDuty, Inc. common stockholders as net loss attributable to PagerDuty, Inc. common stockholders excluding stock-based compensation expense, employer taxes related to employee stock transactions, amortization of debt issuance costs, amortization of acquired intangible assets, acquisition-related expenses, which include transaction costs, acquisition-related retention payments and asset impairment, restructuring costs, adjustment attributable to redeemable non-controlling interest, and income tax adjustments, which are not necessarily reflective of operational performance during a given period.
Non-GAAP net income (loss) per share, basic and diluted
We define non-GAAP net income (loss) per share, basic as non-GAAP net income attributable to PagerDuty, Inc. common stockholders divided by weighted average shares outstanding at the end of the reporting period. We define non-GAAP net income (loss) per share, diluted as non-GAAP net income attributable to PagerDuty, Inc. common stockholders divided by weighted average diluted shares outstanding at the end of the reporting period.
Free cash flow and free cash flow margin
We define free cash flow as net cash provided by operating activities, less cash used for purchases of property and equipment and capitalization of internal-use software costs. We define free cash flow margin as free cash flow as a percentage of revenue. In addition to the reasons stated above, we believe that free cash flow is useful to investors as a liquidity measure because it measures our ability to generate or use cash in excess of our capital investments in property and equipment in order to enhance the strength of our balance sheet and further invest in our business and potential strategic initiatives. A limitation of the utility of free cash flow as a measure of our liquidity is that it does not represent the total increase or decrease in our cash balance for the period. We use free cash flow in conjunction with traditional
PagerDuty encourages investors to review the related GAAP financial measures and the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures, which it includes in press releases announcing quarterly financial results, including this press release, and not to rely on any single financial measure to evaluate PagerDuty’s business.
Please see the reconciliation tables at the end of this release for the reconciliation of non-GAAP financial measures to their most-comparable GAAP financial measures.
PAGERDUTY, INC. |
|||||||||||||||
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES |
|||||||||||||||
(in thousands, except percentages and per share data) |
|||||||||||||||
(unaudited) |
|||||||||||||||
|
Three months ended July 31, |
|
Six months ended July 31, |
||||||||||||
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Non-GAAP gross profit and non-GAAP gross margin |
|
|
|
|
|
|
|
||||||||
Gross profit |
$ |
95,855 |
|
|
$ |
87,783 |
|
|
$ |
187,684 |
|
|
$ |
173,093 |
|
Add: |
|
|
|
|
|
|
|
||||||||
Stock-based compensation |
|
1,508 |
|
|
|
2,164 |
|
|
|
3,264 |
|
|
|
4,040 |
|
Employer taxes related to employee stock transactions |
|
39 |
|
|
|
45 |
|
|
|
83 |
|
|
|
117 |
|
Amortization of acquired intangible assets |
|
2,268 |
|
|
|
2,086 |
|
|
|
4,675 |
|
|
|
4,173 |
|
Restructuring costs |
|
(2 |
) |
|
|
— |
|
|
|
(2 |
) |
|
|
137 |
|
Non-GAAP gross profit |
$ |
99,668 |
|
|
$ |
92,078 |
|
|
$ |
195,704 |
|
|
$ |
181,560 |
|
|
|
|
|
|
|
|
|
||||||||
Revenue |
$ |
115,935 |
|
|
$ |
107,616 |
|
|
$ |
227,107 |
|
|
$ |
210,862 |
|
Gross Margin |
|
82.7 |
% |
|
|
81.6 |
% |
|
|
82.6 |
% |
|
|
82.1 |
% |
Non-GAAP gross margin |
|
86.0 |
% |
|
|
85.6 |
% |
|
|
86.2 |
% |
|
|
86.1 |
% |
|
|
|
|
|
|
|
|
||||||||
Non-GAAP operating expenses |
|
|
|
|
|
|
|
||||||||
Research and development |
$ |
35,088 |
|
|
$ |
36,441 |
|
|
$ |
72,611 |
|
|
$ |
69,949 |
|
Less: |
|
|
|
|
|
|
|
||||||||
Stock-based compensation |
|
11,842 |
|
|
|
12,773 |
|
|
|
23,064 |
|
|
|
22,874 |
|
Employer taxes related to employee stock transactions |
|
236 |
|
|
|
203 |
|
|
|
518 |
|
|
|
720 |
|
Acquisition-related expenses |
|
228 |
|
|
|
162 |
|
|
|
523 |
|
|
|
323 |
|
Amortization of acquired intangible assets |
|
29 |
|
|
|
87 |
|
|
|
116 |
|
|
|
174 |
|
Restructuring costs |
|
(2 |
) |
|
|
(2 |
) |
|
|
(2 |
) |
|
|
(5 |
) |
Non-GAAP research and development |
$ |
22,755 |
|
|
$ |
23,218 |
|
|
$ |
48,392 |
|
|
$ |
45,863 |
|
|
|
|
|
|
|
|
|
||||||||
Sales and marketing |
$ |
50,966 |
|
|
$ |
49,724 |
|
|
$ |
99,465 |
|
|
$ |
93,525 |
|
Less: |
|
|
|
|
|
|
|
||||||||
Stock-based compensation |
|
8,116 |
|
|
|
8,317 |
|
|
|
16,063 |
|
|
|
14,268 |
|
Employer taxes related to employee stock transactions |
|
145 |
|
|
|
283 |
|
|
|
335 |
|
|
|
550 |
|
Amortization of acquired intangible assets |
|
633 |
|
|
|
610 |
|
|
|
1,265 |
|
|
|
1,220 |
|
Restructuring costs |
|
(10 |
) |
|
|
56 |
|
|
|
(10 |
) |
|
|
(48 |
) |
Non-GAAP sales and marketing |
$ |
42,082 |
|
|
$ |
40,458 |
|
|
$ |
81,812 |
|
|
$ |
77,535 |
|
|
|
|
|
|
|
|
|
||||||||
General and administrative |
$ |
25,828 |
|
|
$ |
27,791 |
|
|
$ |
53,368 |
|
|
$ |
51,592 |
|
Less: |
|
|
|
|
|
|
|
||||||||
Stock-based compensation |
|
10,900 |
|
|
|
12,283 |
|
|
|
22,915 |
|
|
|
21,900 |
|
Employer taxes related to employee stock transactions |
|
154 |
|
|
|
172 |
|
|
|
341 |
|
|
|
513 |
|
Acquisition-related expenses |
|
31 |
|
|
|
— |
|
|
|
(1 |
) |
|
|
— |
|
Amortization of acquired intangible assets |
|
7 |
|
|
|
22 |
|
|
|
29 |
|
|
|
44 |
|
Restructuring costs |
|
16 |
|
|
|
1,204 |
|
|
|
24 |
|
|
|
1,318 |
|
Non-GAAP general and administrative |
$ |
14,720 |
|
|
$ |
14,110 |
|
|
$ |
30,060 |
|
|
$ |
27,817 |
|
Note: Certain figures may not sum due to rounding. |
PAGERDUTY, INC. |
|||||||||||||||
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (continued) |
|||||||||||||||
(in thousands, except percentages and per share data) |
|||||||||||||||
(unaudited) |
|||||||||||||||
|
Three months ended July 31, |
|
Six months ended July 31, |
||||||||||||
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Non-GAAP operating income and non-GAAP operating margin |
|
|
|
|
|
|
|
||||||||
Loss from operations |
$ |
(16,027 |
) |
|
$ |
(26,173 |
) |
|
$ |
(37,760 |
) |
|
$ |
(41,973 |
) |
Add: |
|
|
|
|
|
|
|
||||||||
Stock-based compensation |
|
32,366 |
|
|
|
35,537 |
|
|
|
65,306 |
|
|
|
63,082 |
|
Employer taxes related to employee stock transactions |
|
574 |
|
|
|
703 |
|
|
|
1,277 |
|
|
|
1,900 |
|
Amortization of acquired intangible assets |
|
2,937 |
|
|
|
2,805 |
|
|
|
6,085 |
|
|
|
5,611 |
|
Acquisition-related expenses |
|
259 |
|
|
|
162 |
|
|
|
522 |
|
|
|
323 |
|
Restructuring costs |
|
2 |
|
|
|
1,258 |
|
|
|
10 |
|
|
|
1,402 |
|
Non-GAAP operating income |
$ |
20,111 |
|
|
$ |
14,292 |
|
|
$ |
35,440 |
|
|
$ |
30,345 |
|
|
|
|
|
|
|
|
|
||||||||
Revenue |
$ |
115,935 |
|
|
$ |
107,616 |
|
|
$ |
227,107 |
|
|
$ |
210,862 |
|
Operating margin |
|
(13.8 |
)% |
|
|
(24.3 |
)% |
|
|
(16.6 |
)% |
|
|
(19.9 |
)% |
Non-GAAP operating margin |
|
17.3 |
% |
|
|
13.3 |
% |
|
|
15.6 |
% |
|
|
14.4 |
% |
|
|
|
|
|
|
|
|
||||||||
Non-GAAP net income attributable to PagerDuty, Inc. common stockholders |
|
|
|
|
|
|
|
||||||||
Net loss attributable to PagerDuty, Inc. common stockholders |
$ |
(13,242 |
) |
|
$ |
(23,782 |
) |
|
$ |
(37,298 |
) |
|
$ |
(36,000 |
) |
Add: |
|
|
|
|
|
|
|
||||||||
Stock-based compensation |
|
32,366 |
|
|
|
35,537 |
|
|
|
65,306 |
|
|
|
63,082 |
|
Employer taxes related to employee stock transactions |
|
574 |
|
|
|
703 |
|
|
|
1,277 |
|
|
|
1,900 |
|
Amortization of debt issuance costs |
|
671 |
|
|
|
478 |
|
|
|
1,279 |
|
|
|
933 |
|
Amortization of acquired intangible assets |
|
2,937 |
|
|
|
2,805 |
|
|
|
6,085 |
|
|
|
5,611 |
|
Acquisition-related expenses |
|
259 |
|
|
|
162 |
|
|
|
522 |
|
|
|
323 |
|
Restructuring costs |
|
2 |
|
|
|
1,258 |
|
|
|
10 |
|
|
|
1,402 |
|
Adjustment attributable to redeemable non-controlling interest |
|
2,330 |
|
|
|
1,729 |
|
|
|
9,247 |
|
|
|
1,729 |
|
Income tax effects and adjustments |
|
(5,566 |
) |
|
|
(662 |
) |
|
|
(10,092 |
) |
|
|
(1,454 |
) |
Non-GAAP net income attributable to PagerDuty, Inc. common stockholders |
$ |
20,331 |
|
|
$ |
18,228 |
|
|
$ |
36,336 |
|
|
$ |
37,526 |
|
|
|
|
|
|
|
|
|
||||||||
Non-GAAP net income per share, basic |
|
|
|
|
|
|
|
||||||||
Net loss per share, basic, attributable to PagerDuty, Inc. common stockholders |
$ |
(0.14 |
) |
|
$ |
(0.26 |
) |
|
$ |
(0.40 |
) |
|
$ |
(0.39 |
) |
Non-GAAP adjustments to net loss attributable to PagerDuty, Inc. common stockholders |
|
0.36 |
|
|
|
0.46 |
|
|
|
0.79 |
|
|
|
0.80 |
|
Non-GAAP net income per share, basic, attributable to PagerDuty, Inc. common stockholders |
$ |
0.22 |
|
|
$ |
0.20 |
|
|
$ |
0.39 |
|
|
$ |
0.41 |
|
|
|
|
|
|
|
|
|
||||||||
Non-GAAP net income per share, diluted(1) |
|
|
|
|
|
|
|
||||||||
Net loss per share, diluted, attributable to PagerDuty, Inc. common stockholders |
$ |
(0.14 |
) |
|
$ |
(0.26 |
) |
|
$ |
(0.40 |
) |
|
$ |
(0.39 |
) |
Non-GAAP adjustments to net loss attributable to PagerDuty, Inc. common stockholders |
|
0.35 |
|
|
|
0.45 |
|
|
|
0.78 |
|
|
|
0.77 |
|
Non-GAAP net income per share, diluted, attributable to PagerDuty, Inc. common stockholders |
$ |
0.21 |
|
|
$ |
0.19 |
|
|
$ |
0.38 |
|
|
$ |
0.38 |
|
|
|
|
|
|
|
|
|
||||||||
Weighted-average shares used in calculating net loss per share, basic and diluted |
|
93,289 |
|
|
|
92,542 |
|
|
|
93,082 |
|
|
|
92,041 |
|
|
|
|
|
|
|
|
|
||||||||
Weighted-average shares used in calculating non-GAAP net income per share |
|
|
|
|
|
|
|
||||||||
Basic |
|
93,289 |
|
|
|
92,542 |
|
|
|
93,082 |
|
|
|
92,041 |
|
Diluted |
|
96,238 |
|
|
|
103,235 |
|
|
|
96,245 |
|
|
|
103,342 |
|
Note: Certain figures may not sum due to rounding. |
|
(1) On October 13, 2023, the Company provided written notice to the trustee and the note holders of the 2025 Notes that it had irrevocably elected to settle the principal amount of its convertible senior notes in cash and pay or deliver, as the case may be, cash, shares of common stock or a combination of cash and shares of common stock, at the Company’s election, in respect to the remainder, if any, of the Company’s conversion obligation in excess of the aggregate principal amount of the 2025 Notes being converted. The company uses the if-converted method to calculate the non-GAAP net income per diluted share attributable to PagerDuty, Inc. related to the convertible notes due 2025 prior to the election on October 13, 2023. As such, approximately 7.2 million shares related to the convertible notes due 2025 were included in the non-GAAP diluted outstanding share number for the three and six months ended July 31, 2023, related to the period prior to the election on October 13, 2023. Similarly, for the three and six months ended July 31, 2023, the numerator used to compute this measure was increased by |
PAGERDUTY, INC. |
|||||||||||||||
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (continued) |
|||||||||||||||
(in thousands, except percentages) |
|||||||||||||||
(unaudited) |
|||||||||||||||
|
Three months ended July 31, |
|
Six months ended July 31, |
||||||||||||
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Free cash flow and free cash flow margin |
|
|
|
|
|
|
|
||||||||
Net cash provided by operating activities |
$ |
35,769 |
|
|
$ |
10,750 |
|
|
$ |
64,416 |
|
|
$ |
32,902 |
|
Purchases of property and equipment |
|
(637 |
) |
|
|
(713 |
) |
|
|
(1,094 |
) |
|
|
(948 |
) |
Capitalization of internal-use software costs |
|
(1,849 |
) |
|
|
(1,299 |
) |
|
|
(2,941 |
) |
|
|
(2,371 |
) |
Free cash flow |
$ |
33,283 |
|
|
$ |
8,738 |
|
|
$ |
60,381 |
|
|
$ |
29,583 |
|
Net cash used in investing activities |
$ |
(3,800 |
) |
|
$ |
(12,575 |
) |
|
$ |
(6,621 |
) |
|
$ |
(4,012 |
) |
Net cash (used in) provided by financing activities |
$ |
(28,944 |
) |
|
$ |
3,573 |
|
|
$ |
(35,205 |
) |
|
$ |
(496 |
) |
|
|
|
|
|
|
|
|
||||||||
Revenue |
$ |
115,935 |
|
|
$ |
107,616 |
|
|
$ |
227,107 |
|
|
$ |
210,862 |
|
Free cash flow margin |
|
28.7 |
% |
|
|
8.1 |
% |
|
|
26.6 |
% |
|
|
14.0 |
% |
View source version on businesswire.com: https://www.businesswire.com/news/home/20240903021643/en/
Investor Relations Contact:
Tony Righetti
investor@pagerduty.com
Press Contact:
Debbie O'Brien
media@pagerduty.com
SOURCE PagerDuty
Source: PagerDuty, Inc.
FAQ
What was PagerDuty's (PD) revenue growth in Q2 fiscal 2025?
How much did PagerDuty's (PD) ARR grow in Q2 fiscal 2025?
What was PagerDuty's (PD) non-GAAP operating income in Q2 fiscal 2025?
How many customers does PagerDuty (PD) have with ARR over $100K as of Q2 fiscal 2025?