MDB Q3 2022 Earnings

Call Details

• Call Title: MongoDB, Inc. Q3 2022 Earnings Call
• Date: December 6, 2021 at 10:00 PM UTC
• Management Team:
  • Dev Ittycheria (President and CEO)
  • Michael Gordon (COO and CFO)
  • Peter Ulander (Chief Marketing Officer)
  • Cedric Pesch (CRO)

Call Summary

Financial Performance

• Total revenue for Q3 was $226.9M, which represented a 50% year-over-year increase.
• Subscription revenue was $217.9M, up 51% year-over-year, and professional services revenue was $9M, up 35% year-over-year.
• Atlas revenue grew 84% year-over-year and represented 58% of total revenue, up from 47% in the year-ago quarter.
• Gross profit was $163.9M and gross margin was 72%, which was consistent with the prior quarter and the year-ago period.
• Non-GAAP operating loss was $3.5M, or negative 2% operating margin, compared to a negative 11% margin in the year-ago quarter.
• Net loss was $7.2M, or $0.11 per share on 66.4M weighted average shares, compared to a loss of $18.2M, or $0.31 per share on 59.4M shares in the year-ago quarter.
• The company ended the quarter with $1.8B in cash, cash equivalents, short-term investments, and restricted cash.
• Operating cash flow was negative $5.8M and free cash flow was negative $9.2M after approximately $3.4M in capital expenditures and principal repayments of finance lease liabilities.

Guidance

• For Q4 fiscal 2022, revenue is expected in the range of $239M to $242M.
• For Q4 fiscal 2022, non-GAAP loss from operations is expected to be $13M to $11M and non-GAAP net loss per share is expected to be $0.24 to $0.21 on a 67M share count.
• For full fiscal 2022, revenue guidance was updated to a range of $846.3M to $849.3M.
• For full fiscal 2022, non-GAAP loss from operations is expected to be $36.4M to $34.4M and non-GAAP net loss per share is expected to be $0.74 to $0.71 on a 64.6M share count.
• The company revised its expectation for incremental travel, events, and workplace expenses for the year from $20M-$25M to $9M-$12M due to a lower-than-expected rebound in those activities.
• Marketing spend was below expectations in Q3 while the new CMO reviewed programs, and the company expects marketing spend to revert to normal levels in Q4.