CRWD Q2 2021 Earnings

Call Details

• Call Title: CrowdStrike Q2 2021 Earnings Call
• Date: September 2, 2020 at 9:00 PM UTC
• Management Team:
  • Maria Riley (Vice President of Investor Relations)
  • George Kurtz (President and Chief Executive Officer and Co-Founder)
  • Burt Podbere (Chief Financial Officer)

Call Summary

Financial Performance

• Total revenue grew 84% year-over-year to $199.0M in Q2 FY2021.
• Subscription revenue grew 89% year-over-year to $184.3M in Q2 FY2021.
• ARR totaled $790.6M at quarter end, reflecting 87% ARR growth year-over-year.
• Net new ARR for the quarter was $104.5M, which represented 77% year-over-year growth.
• Professional services revenue was $14.7M, up 40% year-over-year, and drove record downstream seven-figure subscription deals.
• Cash and cash equivalents increased to approximately $1.1B, and operating cash flow was approximately $55.0M in the quarter.
• Free cash flow for the quarter was positive $32.4M, with management expecting operating cash and FCF positivity for the back half of the fiscal year.

Guidance

• Q3 revenue guidance is $210.6M to $215.0M, reflecting year-over-year growth of 68% to 72%.
• Q3 non-GAAP operating income is guided to a loss of $1.4M to income of $1.6M, with the midpoint approximately break-even.
• Q3 non-GAAP net income is guided to a loss of $2.2M to income of $0.9M, with diluted non-GAAP EPS guided to a loss of $0.01 to $0.00.
• Full-year FY2021 revenue guidance is $809.1M to $826.7M, reflecting 68% to 72% growth over FY2020.
• Full-year non-GAAP income from operations is guided to $3.6M to $16.4M, and full-year non-GAAP net income is guided to $5.6M to $18.4M.
• Management expects atypical seasonality in net new ARR moving from Q2 into Q3 due to the outsized Q2 deal, and they are maintaining higher assumptions for contraction and churn for the remainder of the year.