Varonis Systems had a strong second quarter with growth in recurring revenues and raised guidance.

From GlobeNewswire: 2024-07-29 16:05:00

Varonis Systems, Inc. reported a strong second quarter with 18% year-over-year growth in recurring revenues. SaaS revenues accounted for 36% of total revenues. Cash from operations increased to $68.4 million, up from $42.6 million last year. The company raised its full-year ARR and free cash flow guidance, expecting SaaS ARR to reach 48%. Financial results for the second quarter showed total revenues of $130.3 million, up from $115.4 million in the same period last year. SaaS revenues were $44.8 million, term license subscription revenues were $62.7 million, and maintenance and services revenues were $22.8 million. GAAP operating loss was ($28.8) million. Key performance indicators for the second quarter included $584.2 million in annual recurring revenues, $790.3 million in cash and cash equivalents, and a federal designation from FedRAMP. Varonis’ recent business highlights included industry-first automated remediation for data security, expanded security offerings for Microsoft 365, and recognition as a Customers’ Choice by Gartner Peer Insights. Looking ahead, Varonis expects third-quarter revenues of $140.0 million to $143.0 million, with non-GAAP operating income of $7.0 million to $8.0 million. Full-year guidance includes ARR of $629.0 million to $635.0 million, free cash flow of $80.0 million to $85.0 million, and revenues of $544.0 million to $552.0 million. To further support investors, Varonis highlighted the importance of non-GAAP financial measures such as operating income and net income in providing insight into the company’s operational performance. Free cash flow was also emphasized as a key indicator of liquidity that can be used for strategic initiatives.



Read more at GlobeNewswire:: Varonis Announces Second Quarter 2024 Financial Results