Rapid7 Inc · Q4 2023 earnings

Briefing

Rapid7's Q4 2023 financial results were announced, showcasing growth in ARR and revenue, exceeding guided ranges, and a focus on platform and services investments for long-term growth.

Rapid7 announced solid Q4 2023 results, exceeding guided ranges for ARR, revenue, non-GAAP operating income, and free cash flow. The company is focused on platform and services investments to enhance customer experience and drive long-term growth.

• Annualized recurring revenue (ARR) reached $806 million, a 13% year-over-year increase.
• Total revenue was $205.3 million, up 11% year-over-year.
• GAAP income from operations was $10.9 million, compared to a loss of $13.3 million in the same quarter last year.
• Free cash flow was $60.3 million, compared to $28.5 million in the same quarter last year.

Headline financials

Revenue & EPS history

Rapid7 anticipates annualized recurring revenue between $885 million and $895 million, revenue between $203 million and $205 million, non-GAAP income from operations between $37 million and $39 million, non-GAAP net income per share between $0.52 and $0.55 for Q1 2024. For the full year 2024, the company expects revenue between $848 million and $856 million, non-GAAP income from operations between $150 million and $158 million, non-GAAP net income per share between $2.10 and $2.21 and at least $160 million in free cash flow.