Impressive Q1 Fiscal 2025 Results for Elastic

By Bobby Samwell • Friday, August 30 07:59 • Permanent Link

Elastic (NYSE: ESTC) has just released its financial results for the first quarter of fiscal 2025, and the numbers are looking quite impressive. The company reported a total revenue of $347 million, marking an 18% increase year-over-year. Notably, Elastic Cloud revenue saw a significant rise of 30% year-over-year, amounting to $157 million.

The GAAP operating loss was $34 million, with a GAAP operating margin of -10%. However, on a non-GAAP basis, the company reported an operating income of $37 million, with a non-GAAP operating margin of 11%. Additionally, the GAAP net loss per share was $0.48, while the non-GAAP diluted earnings per share stood at $0.35.

The company's operating cash flow for the quarter was $53 million, with an adjusted free cash flow of $64 million. As of July 31, 2024, Elastic held cash, cash equivalents, and marketable securities amounting to $1.147 billion.

In terms of customer metrics, Elastic saw growth in various areas. The total customer count with annual contract value (ACV) greater than $100,000 surpassed 1,370, compared to over 1,330 in the previous quarter and over 1,190 in the same period last fiscal year. The total subscription customer count also experienced an uptick, reaching approximately 21,200 compared to the previous quarter's approximately 21,000.

Looking ahead, Elastic provided guidance for the second quarter of fiscal 2025, forecasting total revenue to be between $353 million and $355 million, representing 14% year-over-year growth at the midpoint. Additionally, the company expects non-GAAP operating margin to be approximately 13%, with non-GAAP diluted earnings per share projected to fall between $0.37 and $0.39.

For fiscal 2025, Elastic anticipates total revenue to range between $1.436 billion and $1.444 billion, signifying 14% year-over-year growth at the midpoint. The company also expects a non-GAAP operating margin of approximately 12.5% for the fiscal year, with non-GAAP diluted earnings per share projected to be between $1.52 and $1.56.

Following these announcements, the company's shares moved 0.6%, and are now trading at a price of $103.64. For more information, read the company's full 8-K submission here.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.