GitLab Reports Strong Dollar-Based Net Retention Rate

By Bobby Samwell • Sunday, March 23 15:21 • Permanent Link

GitLab Inc. has recently released its 10-K report, providing a comprehensive overview of its financial performance and operations. GitLab, together with its subsidiaries, develops software for the software development lifecycle, offering a DevOps platform that enables faster cycle times and visibility throughout various stages of the DevOps lifecycle. The company also provides related training and professional services. GitLab's business model is open-core, allowing customers and contributors to add functionality to its platform, with nearly 900 people contributing over 3,000 merge requests back to the core product in 2024.

In its 10-K report, GitLab highlighted its key business metrics, including the Dollar-Based Net Retention Rate and ARR. The Dollar-Based Net Retention Rate for the fiscal year ended January 31, 2025, was reported at 123%, indicating a strong ability to retain and expand revenue generated from existing customers. Additionally, GitLab saw an increase in the number of $100,000 ARR customers, with 1,229 such customers as of January 31, 2025, compared to 955 in 2024 and 697 in 2023.

In terms of revenue, GitLab reported total revenue of $759.2 million for the fiscal year ended January 31, 2025, representing a significant increase from $579.9 million in the previous year and $369.3 million in 2023. The revenue was primarily driven by subscriptions for self-managed and SaaS offerings, amounting to $675.2 million, and license revenue for self-managed and other services, totaling $84.1 million.

The company's cost of revenue for self-managed and SaaS subscriptions primarily consisted of allocated cloud-hosting costs, personnel-related expenses, and third-party payment processing fees. GitLab also detailed its operating expenses, including sales and marketing, research and development, and general and administrative expenses, which are expected to increase in absolute dollars as the company continues to make strategic investments in its operations.

GitLab's 10-K report provides a comprehensive insight into its financial condition and operational performance, reflecting its continued growth and strategic focus on customer retention and expansion. The market has reacted to these announcements by moving the company's shares -0.4% to a price of $50.95. If you want to know more, read the company's complete 10-K report here.

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