“The landscape of DevOps and security is undergoing dramatic change, and I’m thrilled about the future prospects for JFrog. Our platform’s evolution into a comprehensive solution spanning DevOps, DevSecOps, MLOps and MLSecOps sets a new standard in enterprise capabilities,” stated Shlomi Ben Haim, JFrog CEO and Co-founder. “Q1 was another quarter of strong execution as we exceeded the high-end of our guidance measures. Growth in adoption of JFrog Platform subscriptions – across multiple verticals and geographies – highlights the need within organizations for a unified Software Supply Chain Platform.”
First Quarter 2024 Financial Highlights
Revenue for the first quarter of 2024 equaled $100.3 million, up 26% year-over-year.
GAAP Gross Profit was $79.7 million; GAAP Gross Margin was 79.5%.
Non-GAAP Gross Profit was $85.3 million; Non-GAAP Gross Margin was 85.1%.
GAAP Operating Loss was ($16.6) million; GAAP Operating Margin was (16.6%).
Non-GAAP Operating Income was $14.1 million; Non-GAAP Operating Margin was 14.0%.
GAAP Net Loss Per Share was ($0.08); Non-GAAP Diluted Earnings Per Share was $0.16.
Operating Cash Flow was $17.5 million; Free Cash Flow of $16.6 million.
Cash, Cash Equivalents and Investments were $579.6 million as of March 31, 2024.
Remaining performance obligations were $261.7 million as of March 31, 2024.
Recent Business & Product Highlights
Cloud revenue equaled $36.9 million during the first quarter of 2024, an increase of 47% year-over-year. Cloud revenue represented 37% of total revenue, compared to 31% in the year ago period.
Net Dollar Retention rate for the trailing four quarters was 118%.
Customers with greater than $100K ARR increased to 911, compared with 785 in the year-ago period.
Customers with greater than $1 million ARR increased to 40, up from 21 in the year-ago period.
Customers adopting the end-to-end JFrog Platform Enterprise+ subscription represented 49% of total revenue during the first quarter of 2024 versus 44% in the year-ago period.
Announced MLflow and Qwak MLOps platform integrations to bring model development and packages in the software supply chain
Announced partnership with Carahsoft to enhance public sector channel sales
Second Quarter and Fiscal Year 2024 Outlook
Second Quarter 2024 Outlook:
Revenue between $103 million and $104 million
Non-GAAP operating income between $13 million and $14 million
Non-GAAP net income per diluted share between $0.13 and $0.15, assuming approximately 116 million weighted average diluted shares outstanding
Fiscal Year 2024 Outlook:
Revenue between $425.5 million to $429.5 million
Non-GAAP operating income between $56 million and $58 million
Non-GAAP net income per diluted share between $0.59 and $0.61, assuming approximately 116 million weighted average diluted shares outstanding
The section titled “Non-GAAP Financial Information” below describes our usage of non-GAAP financial measures. Reconciliations between historical GAAP and non-GAAP information are contained at the end of this press release following the accompanying financial data.
Conference Call Details
Event: JFrog’s First Quarter 2024 Financial Results Conference Call
Date: Thursday, May 9, 2024
Time: 2:00 p.m. PT (5:00 p.m. ET)
A live webcast of the conference call will be accessible from the investor relations website at https://investors.jfrog.com/events-and-presentations.