Earnings Highlights
Revenue: $314.8 million, up from $313.3 million in the first quarter of fiscal 2019, reflecting revenue compression from the company’s ongoing transition to subscription and the significant reduction of hardware revenue from the prior year
Billings: $380.0 million, down from $383.6 million in the first quarter of fiscal 2019, reflecting billings compression from the company’s ongoing transition to subscription and the significant reduction of hardware billings from the prior year
Software and Support (TCV)1 Revenue: $305.0 million, up 9% year-over-year from $280.7 million in the first quarter of fiscal 2019, reflecting revenue compression from the company’s ongoing transition to subscription
Software and Support (TCV) Billings: $370.3 million, up 5% year-over-year from $351.0 million in the first quarter of fiscal 2019, reflecting billings compression from the company’s ongoing transition to subscription
Gross Margin: GAAP gross margin of 77.1%, up from 76.3% in the first quarter of fiscal 2019; Non-GAAP gross margin of 80.1%, up from 78.6% in the first quarter of fiscal 2019
Net Loss: GAAP net loss of $229.3 million, compared to a GAAP net loss of $94.3 million in the first quarter of fiscal 2019; Non-GAAP net loss of $135.3 million, compared to a non-GAAP net loss of $23.7 million in the first quarter of fiscal 2019
Net Loss Per Share: GAAP net loss per share of $1.21, compared to a GAAP net loss per share of $0.54 in the first quarter of fiscal 2019; Non-GAAP net loss per share of $0.71, compared to a non-GAAP net loss per share of $0.13 in the first quarter of fiscal 2019
Cash and Short-term Investments: $889.4 million, compared to $965.0 million in the first quarter of fiscal 2019
Deferred Revenue: $975.3 million, up 39% from the first quarter of fiscal 2019
Operating Cash Flow: Use of $26.2 million, compared to generation of $49.8 million in the first quarter of fiscal 2019
Free Cash Flow: Use of $44.4 million, compared to generation of $20.0 million in the first quarter of fiscal 2019
Reconciliations between GAAP and non-GAAP financial measures and key performance measures are provided in the tables of this press release.
“Our solid Q1 performance, particularly in the Americas, gives us confidence that we have the right formula for global sales leadership as demonstrated by improved productivity and sales hiring over the last six months,” said Dheeraj Pandey, Chairman, Founder and CEO of Nutanix. “We have also seen momentum in key areas of our business, including the transition to subscription and an improved 28% attach rate of new products onto our core HCI platform.”
“We continued to make progress towards our goal of more than 75% of billings coming from subscription by the end of the fiscal year, further demonstrating that customers want the freedom and flexibility that a subscription software model offers,” said Duston Williams, CFO of Nutanix. “Our last two quarters of solid execution position us well to deliver on our growth plans for fiscal 2020.”
Average analysts price target $34.83 | Overweight
7.26% float shorted
Company profile
Nutanix, Inc. engages in the provision of enterprise virtualization and storage solutions. It specializes in cloud operating system that converges traditional silos of server, virtualization, storage, and networking into one integrated solution and unifies private and public cloud into a single software fabric. Its products are offered through the Acropolis and Prism brands. The company was founded by Dheeraj Pandey, Ajeet Singh, and Mohit Aron in 2009 and is headquartered in San Jose, CA.
Revenue: $314.8 million, up from $313.3 million in the first quarter of fiscal 2019, reflecting revenue compression from the company’s ongoing transition to subscription and the significant reduction of hardware revenue from the prior year
Billings: $380.0 million, down from $383.6 million in the first quarter of fiscal 2019, reflecting billings compression from the company’s ongoing transition to subscription and the significant reduction of hardware billings from the prior year
Software and Support (TCV)1 Revenue: $305.0 million, up 9% year-over-year from $280.7 million in the first quarter of fiscal 2019, reflecting revenue compression from the company’s ongoing transition to subscription
Software and Support (TCV) Billings: $370.3 million, up 5% year-over-year from $351.0 million in the first quarter of fiscal 2019, reflecting billings compression from the company’s ongoing transition to subscription
Gross Margin: GAAP gross margin of 77.1%, up from 76.3% in the first quarter of fiscal 2019; Non-GAAP gross margin of 80.1%, up from 78.6% in the first quarter of fiscal 2019
Net Loss: GAAP net loss of $229.3 million, compared to a GAAP net loss of $94.3 million in the first quarter of fiscal 2019; Non-GAAP net loss of $135.3 million, compared to a non-GAAP net loss of $23.7 million in the first quarter of fiscal 2019
Net Loss Per Share: GAAP net loss per share of $1.21, compared to a GAAP net loss per share of $0.54 in the first quarter of fiscal 2019; Non-GAAP net loss per share of $0.71, compared to a non-GAAP net loss per share of $0.13 in the first quarter of fiscal 2019
Cash and Short-term Investments: $889.4 million, compared to $965.0 million in the first quarter of fiscal 2019
Deferred Revenue: $975.3 million, up 39% from the first quarter of fiscal 2019
Operating Cash Flow: Use of $26.2 million, compared to generation of $49.8 million in the first quarter of fiscal 2019
Free Cash Flow: Use of $44.4 million, compared to generation of $20.0 million in the first quarter of fiscal 2019
Reconciliations between GAAP and non-GAAP financial measures and key performance measures are provided in the tables of this press release.
“Our solid Q1 performance, particularly in the Americas, gives us confidence that we have the right formula for global sales leadership as demonstrated by improved productivity and sales hiring over the last six months,” said Dheeraj Pandey, Chairman, Founder and CEO of Nutanix. “We have also seen momentum in key areas of our business, including the transition to subscription and an improved 28% attach rate of new products onto our core HCI platform.”
“We continued to make progress towards our goal of more than 75% of billings coming from subscription by the end of the fiscal year, further demonstrating that customers want the freedom and flexibility that a subscription software model offers,” said Duston Williams, CFO of Nutanix. “Our last two quarters of solid execution position us well to deliver on our growth plans for fiscal 2020.”
Average analysts price target $34.83 | Overweight
7.26% float shorted
Company profile
Nutanix, Inc. engages in the provision of enterprise virtualization and storage solutions. It specializes in cloud operating system that converges traditional silos of server, virtualization, storage, and networking into one integrated solution and unifies private and public cloud into a single software fabric. Its products are offered through the Acropolis and Prism brands. The company was founded by Dheeraj Pandey, Ajeet Singh, and Mohit Aron in 2009 and is headquartered in San Jose, CA.