Commvault Reports 48% Increase in International Sales

Commvault Systems, Inc. has recently released its 10-K report, providing a detailed insight into its operations and financial performance. The company offers data protection solutions, including backup and recovery, disaster recovery, data protection, and as-a-service offerings, catering to a wide range of industries such as banking, healthcare, and technology. Commvault generates revenues through subscription arrangements, perpetual software licenses, customer support contracts, and other services, with a significant portion of its total revenues coming from subscription arrangements.

In its 10-K report, Commvault Systems, Inc. highlighted that it experienced a 48% increase in sales outside the United States in fiscal 2024, accounting for 48% of its total revenue. The company emphasized that it is exposed to risks of foreign currency fluctuation, which can impact its revenue, operating expenses, and net income for its non-U.S. operations.

The report also delved into the critical accounting policies of the company, particularly its revenue recognition practices in accordance with Accounting Standards Codification ("ASC") 606, Revenue from Contracts with Customers. Commvault Systems, Inc. emphasized that it makes significant judgments and estimates in determining the timing and amount of revenue recognized in a given period, particularly with regards to subscription arrangements, perpetual software licenses, and customer support contracts.

Additionally, the 10-K report provided insights into the company's cost of revenues, including third-party royalties, media, manuals, translation and distribution costs, and hardware associated with its appliances. It also detailed the breakdown of its operating expenses, encompassing sales and marketing, research and development, general and administrative, and depreciation and amortization.

As a result of these announcements, the company's shares have moved -0.2% on the market, and are now trading at a price of $111.11. For the full picture, make sure to review Commvault Systems's 10-K report.

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