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DOMO Beats on Q4 Earnings, Subscription Revenues Increase Y/Y
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Domo (DOMO - Free Report) reported fourth-quarter fiscal 2021 non-GAAP loss of 32 cents per share that beat the Zacks Consensus Estimate by 27.3% and was narrower than the year-ago quarter’s loss of 85 cents.
Revenues of $56.8 million increased 23.1% year over year, primarily driven by customer addition. The figure also beat the consensus mark by 5.7%.
Domo’s revenues for fiscal fourth quarter benefited from higher subscription revenues, much similar to its Zacks Internet-Software industry peers like Anaplan , Nice (NICE - Free Report) and Workday (WDAY - Free Report) .
Notably, Anaplan’s fourth-quarter fiscal 2021 subscription revenues (91.9% of total revenues) rallied 25.7% year over year to $112.6 million. Cloudera’s fourth-quarter fiscal 2021 subscription revenues (91.3% of revenues) rose 13.7% year over year to $206.8 million. Workday reported fourth-quarter fiscal 2021 subscription revenues (88.9% of total revenues) of $1.01 billion, up 19.8% year over year.
Domo’s subscription revenues contributed 87.9% of revenues and totaled $50 million, up 25.7% year over year. Moreover, this Zacks Rank #3 (Hold) company’s professional services revenues increased 7% to $6.4 million, representing 12.1% of revenues. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Quarter Details
International revenues represented 24% of total revenues, unchanged sequentially.
Billings increased 27.5% year over year to $82.8 million. The solid growth was driven by strong new customer count growth, upsells and expansions, and high retention rates.
Domo witnessed gross retention rate of almost 90%. The company continues to invest in retention and its long-term target is 90% or better. Further, net retention rate remained above 90%.
Remaining performance obligations (“RPO”) grew 21% year over year to $282.3 million. Additionally, RPO expected to be recognized as revenues over the next 12 months grew 23% year over year.
In the quarter under review, gross profit rose 33.5% year over year to $42.3 million. Gross margin expanded 580 basis points (bps) to 74.5%.
Notably, non-GAAP subscription gross margin was 72.2% in the reported quarter, up 630 bps.
GAAP sales & marketing expenses decreased 3.4% year over year to $31.2 million. GAAP research & development expenses also declined 5.1% to $16.6 million. However, GAAP general & administrative expenses increased 25.3% to $11.4 million.
Total non-GAAP operating expenses decreased 5.2% year over year to $50.4 million, reflecting benefits of solid cost management.
Non-GAAP operating loss of $7.2 million was narrower than the year-ago quarter’s loss of $21.1 million.
Balance Sheet & Cash Flow
As of Jan 31, 2021, Domo had cash, cash equivalents and short-term investments of $90.8 million compared with $83.8 million as of Oct 31, 2020.
Moreover, adjusted net cash used in operations was $15.3 million against net cash flow from operations of $1.4 million in the previous quarter and $3.5 million in the year-ago quarter.
Guidance
For first-quarter fiscal 2022, revenues are anticipated between $56.5 million and $57.5 million. Non-GAAP net loss per share is expected between 43 cents and 47 cents.
Billings are expected to total $54 million, up 16% year over year.
For fiscal 2022, revenues are anticipated between $240 million and $245 million. Non-GAAP net loss per share is expected between $1.53 and $1.63.
For fiscal 2022, billings growth is expected to be 16%.
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DOMO Beats on Q4 Earnings, Subscription Revenues Increase Y/Y
Domo (DOMO - Free Report) reported fourth-quarter fiscal 2021 non-GAAP loss of 32 cents per share that beat the Zacks Consensus Estimate by 27.3% and was narrower than the year-ago quarter’s loss of 85 cents.
Revenues of $56.8 million increased 23.1% year over year, primarily driven by customer addition. The figure also beat the consensus mark by 5.7%.
Domo’s revenues for fiscal fourth quarter benefited from higher subscription revenues, much similar to its Zacks Internet-Software industry peers like Anaplan , Nice (NICE - Free Report) and Workday (WDAY - Free Report) .
Notably, Anaplan’s fourth-quarter fiscal 2021 subscription revenues (91.9% of total revenues) rallied 25.7% year over year to $112.6 million. Cloudera’s fourth-quarter fiscal 2021 subscription revenues (91.3% of revenues) rose 13.7% year over year to $206.8 million. Workday reported fourth-quarter fiscal 2021 subscription revenues (88.9% of total revenues) of $1.01 billion, up 19.8% year over year.
Domo, Inc. Price, Consensus and EPS Surprise
Domo, Inc. price-consensus-eps-surprise-chart | Domo, Inc. Quote
Domo’s subscription revenues contributed 87.9% of revenues and totaled $50 million, up 25.7% year over year. Moreover, this Zacks Rank #3 (Hold) company’s professional services revenues increased 7% to $6.4 million, representing 12.1% of revenues. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Quarter Details
International revenues represented 24% of total revenues, unchanged sequentially.
Billings increased 27.5% year over year to $82.8 million. The solid growth was driven by strong new customer count growth, upsells and expansions, and high retention rates.
Domo witnessed gross retention rate of almost 90%. The company continues to invest in retention and its long-term target is 90% or better. Further, net retention rate remained above 90%.
Remaining performance obligations (“RPO”) grew 21% year over year to $282.3 million. Additionally, RPO expected to be recognized as revenues over the next 12 months grew 23% year over year.
In the quarter under review, gross profit rose 33.5% year over year to $42.3 million. Gross margin expanded 580 basis points (bps) to 74.5%.
Notably, non-GAAP subscription gross margin was 72.2% in the reported quarter, up 630 bps.
GAAP sales & marketing expenses decreased 3.4% year over year to $31.2 million. GAAP research & development expenses also declined 5.1% to $16.6 million. However, GAAP general & administrative expenses increased 25.3% to $11.4 million.
Total non-GAAP operating expenses decreased 5.2% year over year to $50.4 million, reflecting benefits of solid cost management.
Non-GAAP operating loss of $7.2 million was narrower than the year-ago quarter’s loss of $21.1 million.
Balance Sheet & Cash Flow
As of Jan 31, 2021, Domo had cash, cash equivalents and short-term investments of $90.8 million compared with $83.8 million as of Oct 31, 2020.
Moreover, adjusted net cash used in operations was $15.3 million against net cash flow from operations of $1.4 million in the previous quarter and $3.5 million in the year-ago quarter.
Guidance
For first-quarter fiscal 2022, revenues are anticipated between $56.5 million and $57.5 million. Non-GAAP net loss per share is expected between 43 cents and 47 cents.
Billings are expected to total $54 million, up 16% year over year.
For fiscal 2022, revenues are anticipated between $240 million and $245 million. Non-GAAP net loss per share is expected between $1.53 and $1.63.
For fiscal 2022, billings growth is expected to be 16%.
5G Revolution: 3 Stocks to Make Your Move
With super high data speed, it will make current cell phones obsolete and unlock the full potential of big data, cloud computing, and artificial intelligence. In the next few years this industry is predicted to create 22 million jobs and a stunning $12.3 trillion in revenue.
Today you have an historic chance to pursue almost unimaginable gains like Microsoft, Netflix, and Apple in their early phases. Zacks has released a Special Report that reveals our .
Download now. Today the report is FREE >>