MongoDB, Inc. (NASDAQ: MDB), the leading, modern general purpose database platform, today announced its financial results for the second quarter ended July 31, 2020.
"MongoDB's strong second quarter performance reflected impressive sales execution and the growing strategic importance of our modern data platform in solving many of our customers' most complex digital transformation challenges," said Dev Ittycheria, President and Chief Executive Officer of MongoDB. "The record number of direct sales and total customer adds in the quarter are clear proof points that our focus on getting more customers onto our platform is working."
"Based on the strength of our first half performance and our confidence in our go-to-market team's ability to execute amidst challenging circumstances, we are significantly increasing our revenue outlook for fiscal 2021. While we continue to expect to see an impact from COVID-19 on our business, the strength of our modern data platform and the rising importance of digital transformation and cloud migration are making MongoDB an increasingly strategic partner for our customers."
Second Quarter Fiscal 2021 Financial Highlights
- Revenue: Total revenue was $138.3 million in the second quarter fiscal 2021, an increase of 39% year-over-year. Subscription revenue was $132.5 million, an increase of 41% year-over-year, and services revenue was $5.8 million, an increase of 11% year-over-year.
- Gross Profit: Gross profit was $96.0 million in the second quarter fiscal 2021, representing a 69% gross margin, compared to 70% in the year-ago period. Non-GAAP gross profit was $99.7 million, representing a 72% non-GAAP gross margin.
- Loss from Operations: Loss from operations was $49.8 million in the second quarter fiscal 2021, compared to $37.7 million in the year-ago period. Non-GAAP loss from operations was $10.2 million, compared to $14.8 million in the year-ago period.
- Net Loss: Net loss was $64.5 million, or $1.10 per share, based on 58.4 million weighted-average shares outstanding in the second quarter fiscal 2021. This compares to $37.3 million, or $0.67 per share, based on 55.6 million weighted-average shares outstanding, in the year-ago period. Non-GAAP net loss was $12.7 million or $0.22 per share. This compares to $14.7 million or $0.26 per share in the year-ago period.
- Cash Flow: As of July 31, 2020, MongoDB had $975.4 million in cash, cash equivalents, short-term investments and restricted cash. During the three months ended July 31, 2020, MongoDB used $10.0 million of cash from operations, $3.8 million in capital expenditures and $1.1 million in principal repayments of finance leases, leading to negative free cash flow of $15.0 million, compared to negative free cash flow of $13.8 million in the year-ago period.
A reconciliation of each Non-GAAP measure to the most directly comparable GAAP measure has been provided in the financial statement tables included at the end of this press release. An explanation of these measures is also included below under the heading "Non-GAAP Financial Measures."
Second Quarter Fiscal 2021 and Recent Business Highlights
- Strengthened our executive team with three key new leaders. We appointed Mark Porter to the role of Chief Technology Officer, Harsha Jalihal to the role of Chief People Officer and Rishi Dave to the role of Chief Marketing Officer. All three executives bring demonstrated functional expertise and experience scaling billion-dollar plus technology companies.
- Over 14,000 attendees from 130 countries joined us for MongoDB.live - a free, global, fully digital, two-day event. The event featured key product announcements including 4.4 updates, a keynote showcasing how customers benefit from using our entire platform, as well as over 100 breakout sessions, live workshops and hands-on tutorials.
- Microsoft awarded us Gold Data Platform partner status, the highest tier within its partner program. This will deepen our partnership with them by increasing go-to-market services and technical enablement for joint MongoDB and Azure customers. Microsoft Gold Certified Partners receive a rich set of benefits, including access, training and support.
Business Outlook
Based on information as of today, September 2, 2020, MongoDB is issuing the following financial guidance for the third quarter and full year fiscal 2021.
| Third Quarter Fiscal 2021 | Full Year Fiscal 2021 | |
| Revenue | $137.0 million to $139.0 million | $549.0 million to $554.0 million |
| Non-GAAP Loss from Operations | $(27.0) million to $(25.0) million | $(71.0) million to $(66.0) million |
| Non-GAAP Net Loss per Share | $(0.48) to $(0.45) | $(1.29) to $(1.21) |
The guidance provided above is forward-looking in nature. Actual results may differ materially. See the cautionary note regarding "Forward-Looking Statements" below. Fluctuations in MongoDB's operating results may be particularly pronounced in the current economic environment due to the uncertainty caused by, and the unprecedented nature of, the ongoing COVID-19 pandemic, whose severity, duration and ultimate impact is difficult to predict at this time. The situation regarding COVID-19 remains uncertain and could change rapidly, and MongoDB will continue to evaluate its potential impact on its business.
Reconciliation of non-GAAP loss from operations and non-GAAP net loss per share guidance to the most directly comparable GAAP measures is not available without unreasonable efforts on a forward-looking basis due to the high variability, complexity and low visibility with respect to the charges excluded from these non-GAAP measures; in particular, the measures and effects of stock-based compensation expense specific to equity compensation awards that are directly impacted by unpredictable fluctuations in our stock price. We expect the variability of the above charges to have a significant, and potentially unpredictable, impact on our future GAAP financial results.
About MongoDB
MongoDB is the leading modern, general purpose database platform, designed to unleash the power of software and data for developers and the applications they build. Headquartered in New York, MongoDB has more than 20,200 customers in over 100 countries. The MongoDB database platform has been downloaded over 125 million times and there have been more than one million MongoDB University registrations.
