NYSE$PD

PagerDuty Inc · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

PagerDuty's Q3 2023 earnings exceeded expectations with revenue up 31% year-over-year and achieving profitability ahead of schedule.

PagerDuty announced strong Q3 fiscal 2023 results, with revenue increasing 31% year-over-year to $94.2 million. The company achieved non-GAAP profitability a quarter ahead of expectations, with a non-GAAP operating margin of 3.2%. PagerDuty finished the quarter with 15,265 total paid customers and a net retention rate of 123%.

  • Revenue was $94.2 million, an increase of 31.3% year over year.
  • GAAP operating loss was $32.5 million; GAAP operating margin of negative 34.5%.
  • Non-GAAP operating income was $3.0 million; non-GAAP operating margin of 3.2%.
  • The company reported 710 customers with annual recurring revenue over $100,000.

Headline financials

Total Revenue

$94.2M

Previous: $71.8M+31.3%
EPS (adj)

$0.04

Previous: -$0.07+157.1%
Paid Customers

15.3K

Previous: 14.5K+5.4%
Capital Expenditures

-$3.76M

Previous: -$1.38M-172.9%
Free Cash Flow

-$36.3M

Previous: -$27.7M-31.0%
Net Income

-$32.5M

Previous: -$26.3M-23.5%
Operating Income

-$32.5M

Previous: -$24.8M-31.1%
Gross Profit

$76.2M

Previous: $59.7M+27.6%
Cash & Equivalents

$262M

Previous: $360M-27.1%
Total Assets

$784M

Previous: $782M+0.2%
Stock-Based Comp

$31.4M

Previous: $17.8M+76.9%

Revenue & EPS history

PagerDuty · Revenue · Quarterly

$94.2M

Q3 2023+31.3%vs Q3 2022
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Forward guidance

For the fourth quarter of fiscal 2023, PagerDuty expects total revenue of $98.0 million - $100.0 million, representing a growth rate of 25% - 27% year over year, and non-GAAP net income per diluted share of $0.02 - $0.03.

Tailwinds

  • Total revenue of $98.0 million - $100.0 million, representing a growth rate of 25% - 27% year over year
  • Non-GAAP net income per diluted share attributable to PagerDuty, Inc. of $0.02 - $0.03
  • Assuming approximately 102 million diluted shares
  • Full fiscal year 2023 revenue of $368.0 million - $370.0 million, representing a growth rate of 31% - 31% year over year
  • Non-GAAP net loss per share attributable to PagerDuty, Inc. of $0.01 - $0.00

Headwinds

  • Actual results may differ materially
  • Expectations as to non-GAAP net income (loss) per share attributable to PagerDuty, Inc. to GAAP net loss per share attributable to PagerDuty, Inc. because certain items are out of its control or cannot be reasonably predicted.
  • A reconciliation for forward-looking non-GAAP net income (loss) per share attributable to PagerDuty, Inc. is not available without unreasonable effort.
  • Effect of uncertainties related to the COVID-19 pandemic on U.S. and global markets
  • General global market, political, economic, and business conditions

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q3 2023

Historical avgQ3 2023

+0.1%

Avg return

Earnings day

+0.6%

Avg return

5 days after

-0.1%

Avg return

30 days after

45%

13 / 29 earnings

Positive

+34.1%

Q1 2027

Best reaction

-29.1%

Q2 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2027+34.1%+25.3%
Q4 2026-3.0%-4.1%-21.2%
Q3 2026-23.5%-22.1%-13.3%
Q2 2026+6.2%+6.7%+2.8%
Q1 2026-11.3%-5.6%-5.4%
Q4 2025+17.7%+20.7%-0.9%
Q3 2025+1.7%+2.9%-11.3%
Q2 2025-8.6%-10.1%-10.9%
Q1 2025-2.4%-0.4%+18.0%
Q4 2024-9.1%-5.3%-5.4%
Q3 2024-1.2%-1.3%+5.2%
Q2 2024-7.3%-6.6%-12.3%
Q1 2024-15.5%-15.8%-17.4%
Q4 2023+14.7%+12.3%+19.4%
Q3 2023+6.4%+0.3%+19.4%
Q2 2023-9.7%-11.4%-11.4%
Q1 2023+2.4%+9.8%+0.1%
Q4 2022+30.9%+41.4%+31.6%
Q3 2022+17.9%+9.1%+0.1%
Q2 2022+8.2%+7.5%-3.4%
Q1 2022-15.9%-7.4%+0.4%
Q4 2021-8.3%+3.0%+3.2%
Q3 2021+19.1%+19.7%+21.6%
Q2 2021-29.1%-31.4%-24.6%
Q1 2021-7.2%-5.6%+6.0%
Q4 2020+23.4%+19.1%+40.0%
Q3 2020-15.0%-12.1%-5.0%
Q2 2020-14.6%-27.8%-27.2%
Q1 2020+2.8%+5.6%+0.2%
Q4 2019
Q3 2018
Q2 2018
Q1 2018
Q4 2017

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