Commvault's Q3 ARR Grew To $752M, Up 17% YoY
Portfolio Pulse from Benzinga Newsdesk
Commvault (CVLT) reported strong fiscal 2024 third quarter results with total revenues of $216.8 million, an 11% increase YoY. The company's Annual Recurring Revenue (ARR) grew to $752 million, up 17% YoY, while subscription revenue rose 31% to $114.2 million. Subscription ARR also saw a significant increase of 29% to $571 million. Operating income (EBIT) was $21.1 million with a margin of 9.7%, and non-GAAP EBIT was $46.7 million with a 21.5% margin. Operating cash flow stood at $44.4 million, and free cash flow was $42.6 million. The company repurchased $51.3 million worth of shares, approximately 711,000 shares of common stock, during the quarter.
January 30, 2024 | 12:53 pm
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POSITIVE IMPACT
Commvault's Q3 FY2024 results show robust growth in revenues and ARR, with significant increases in subscription revenue and ARR. The company also demonstrated strong profitability and returned value to shareholders through share repurchases.
The positive earnings report with increased revenues, ARR, and subscription growth is likely to instill investor confidence and could lead to a short-term uptick in CVLT's stock price. The substantial share repurchase also signals management's confidence in the company's value, which can be seen as a positive indicator by the market.
CONFIDENCE 90
IMPORTANCE 90
RELEVANCE 100