CrowdStrike Reports Fourth Quarter and Fiscal Year 2022 Financial Results|||


Milestone quarter combines strong growth at scale with record cash flow

  • Achieves record net new ARR of $217 million with growth accelerating for the second sequent quarter
  • Catastrophe ARR grows 65% year-over-year to exceed $ane.7 billion
  • Delivers record operating and free cash flow for the second sequent quarter, bringing operating and free cash flow for the financial year to a record $575 1000000 and $442 million, respectively

AUSTIN, Texas–(BUSINESS WIRE)–CrowdStrike Holdings, Inc. (Nasdaq: CRWD), a global cybersecurity leader that provides deject-delivered protection of endpoints, cloud workloads, identity and data, today announced financial results for the fourth quarter and financial year 2022, concluded January 31, 2022.


CrowdStrike once once again delivered an exceptional quaternary quarter and capped off a record year, achieving new milestones across both the peak and lesser line. Net new ARR of $217 million in the quarter was a new all-time high, driven by expansion of our leadership in the cadre endpoint market as well every bit a record quarter for cloud, identity protection and Humio. As our record results, growing scale and module adoption rates demonstrate, customers are increasingly leveraging the breadth and depth of the Falcon platform as they wait to transform their security stack,” said George Kurtz, CrowdStrike’south co-founder and main executive officer.


The robust acme-line growth and exceptional leverage we generated this year demonstrates the efficiency in our model and enables us to footstep-up investments in new technologies and international geographies. Our durable platform model and powerful innovation engine have translated into a truly differentiated offer in the market and strong momentum heading into fiscal year 2023. As we keep to capitalize on our unique marketplace position, nosotros firmly believe CrowdStrike’s best days are ahead,” said Burt Podbere, CrowdStrike’s master fiscal officer.

4th Quarter Fiscal 2022 Fiscal Highlights

  • Acquirement:
    Total revenue was $431.0 meg, a 63% increment, compared to $264.9 million in the fourth quarter of fiscal 2021. Subscription acquirement was $405.4 million, a 66% increment, compared to $244.seven 1000000 in the quaternary quarter of financial 2021.
  • Almanac Recurring Revenue (ARR)
    increased 65% year-over-twelvemonth and grew to $1.73 billion as of January 31, 2022, of which $216.ix million was internet new ARR added in the quarter.
  • Subscription Gross Margin:
    GAAP subscription gross margin was 76%, compared to 78% in the fourth quarter of fiscal 2021. Non-GAAP subscription gross margin was 79%, compared to fourscore% in the quaternary quarter of financial 2021.
  • Income/Loss from Operations:
    GAAP loss from operations was $23.v million, compared to $15.8 million in the fourth quarter of fiscal 2021. Non-GAAP income from operations was $fourscore.iv million, compared to $34.four million in the fourth quarter of fiscal 2021.
  • Net Income/Loss:
    GAAP cyberspace loss was $42.0 million, compared to $xix.0 million in the quaternary quarter of financial 2021. GAAP internet loss per share, bones and diluted, was $0.eighteen, compared to $0.09 in the fourth quarter of fiscal 2021. Non-GAAP cyberspace income was $70.four million, compared to $31.half dozen million in the fourth quarter of fiscal 2021. Not-GAAP net income per share, diluted, was $0.30, compared to $0.13 in the quaternary quarter of financial 2021.
  • Cash Period:
    Net cash generated from operations was $159.7 million, compared to $114.5 million in the fourth quarter of financial 2021. Complimentary greenbacks flow was $127.3 meg, compared to $97.4 1000000 in the fourth quarter of fiscal 2021.
  • Cash and Cash Equivalents
    was $ii.00 billion equally of January 31, 2022.

Total Yr Fiscal 2022 Fiscal Highlights

  • Revenue:
    Total acquirement was $ane.45 billion, a 66% increase, compared to $874.iv 1000000 in fiscal 2021. Subscription revenue was $1.36 billion, a 69% increase, compared to $804.vii one thousand thousand in fiscal 2021.
  • Subscription Gross Margin:
    GAAP subscription gross margin was 76%, compared to 77% in fiscal 2021. Non-GAAP subscription gross margin was 79%, compared to 79% in fiscal 2021.
  • Income/Loss from Operations:
    GAAP loss from operations was $142.5 million, compared to $92.5 million in fiscal 2021. Non-GAAP income from operations was $196.two million, compared to $62.iv million in fiscal 2021.
  • Net Income/Loss:
    GAAP internet loss was $234.8 meg, compared to $92.6 one thousand thousand in financial 2021. GAAP internet loss per share, basic and diluted, was $1.03, compared to $0.43 in fiscal 2021. Not-GAAP net income was $160.vii meg, compared to $62.half dozen million in fiscal 2021. Not-GAAP net income per share, diluted, was $0.67, compared to $0.27 in fiscal 2021.
  • Greenbacks Flow:
    Net cash generated from operations was $574.8 million, compared to $356.vi million in fiscal 2021. Costless cash menstruum was $441.8 million, compared to $292.9 million in fiscal 2021.

Recent Highlights

  • Added i,638 net new subscription customers in the quarter for a total of 16,325 subscription customers as of January 31, 2022, representing 65% growth year-over-twelvemonth.
  • CrowdStrike’s subscription customers that accept adopted four or more modules, five or more modules and vi or more than modules increased to 69%, 57%, and 34%, respectively, as of Jan 31, 2022.
  • Announced the full general availability of the Falcon XDR module, extending CrowdStrike’south leadership in endpoint detection and response capabilities.
  • Introduced Falcon Identity Threat Protection Consummate, extending the Falcon Consummate managed service to include the Falcon Identity Threat Protection module, which volition bring together identity threat prevention and IT policy enforcement, with expert management, monitoring and remediation.
  • Launched Falcon Zero Trust Cess on macOS and Linux platforms, extending comprehensive protection with an identity and data-axial arroyo across all major platforms and announced multiple new Zero Trust partner integrations.
  • Selected by Deloitte, a leader in managed security services, to ability critical components of its Managed Extended Detection and Response suite of managed services and solutions.
  • Ranked #ane for the 2d consecutive time for Modern Endpoint Security revenue marketplace share by IDC1
    and recognized by Frost & Sullivan every bit the 2021 Asia-Pacific Endpoint Security Company of the Yr2.
  • Received a new AAA honor from independent testing organization SE Labs, achieving a 100% Attacks Detected Rating in the latest Avant-garde Security Exam, and won the 10th sequent Approved Business Security Production award from AV-Comparatives.
  • Received a perfect score on the Human Rights Campaign Foundation’due south 2022 Corporate Equality Index for the second sequent year.
  • Launched Falcon Fund Two, a $100 1000000 investment vehicle in partnership with Accel focused on cantankerous-stage private investments inside cybersecurity and relevant adjacent markets. Falcon Fund 2 represents CrowdStrike’s commitment to growing the cybersecurity engineering ecosystem across adjacent markets as ane of the largest strategic venture artillery in cybersecurity.
  • Landed the number one position in the 2021 Fortune Time to come 50 list, which recognizes leading, publicly traded companies best positioned for long-term growth through a market-based cess of company potential and capacity to deliver growth.
  • The CrowdStrike Foundation continued to support the community throughout the twelvemonth by application scholarships through the NextGen Scholarship program, which supports university students studying cyber security and AI. The CrowdStrike Foundation besides made several donations, including support for Girls Who Code, The Trevor Project, and The Gary Sinise Foundation. Separately, CrowdStrike launched a matching gift plan resulting in donations to over 175 different nonprofit organizations. CrowdStrike also made donations to the Freedom Fund and Thurgood Marshall College Fund, equally well as to nonprofits that reflect its Social Impact Pillars.
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Fiscal Outlook

CrowdStrike is providing the following guidance for the first quarter of fiscal 2023 (ending April thirty, 2022) and guidance for fiscal year 2023 (catastrophe January 31, 2023):

Q1 FY23

Guidance

Full Year FY23

Guidance

Total revenue

$458.9 – $465.4 million

$2,133.i – $ii,163.2 1000000

Non-GAAP income from operations

$61.7 – $66.4 million

$289.2 – $311.8 meg

Non-GAAP net income

$52.0 – $56.7 million

$251.1 – $273.6 1000000

Not-GAAP internet income per share, diluted

$0.22 – $0.24

$ane.03 – $1.13

Weighted average shares used in computing Non-GAAP internet income per share owing to common stockholders, diluted

240 million

243 1000000

These statements are forwards-looking and bodily results may differ materially as a event of many factors. Refer to the Frontwards-Looking Statements safe harbor below for data on the factors that could cause our bodily results to differ materially from these forward-looking statements.

Guidance for non-GAAP financial measures excludes stock-based compensation expense, amortization expense of acquired intangible assets, including purchased patents, amortization of debt issuance costs and discount, legal reserve and settlement charges or benefits, proceeds (loss) and other income from strategic investments, acquisition-related expenses, and revenue enhancement costs for intellectual holding integration relating to the Humio acquisition. Nosotros have non provided the most directly comparable GAAP measures because sure items are out of our control or cannot be reasonably predicted. Accordingly, a reconciliation for non-GAAP income from operations, non-GAAP internet income owing to CrowdStrike, and non-GAAP net income per share owing to CrowdStrike mutual stockholders is non bachelor without unreasonable endeavor.

Conference Call Information

CrowdStrike will host a conference call for analysts and investors to discuss its earnings results for the fourth quarter of fiscal 2022 and outlook for its financial start quarter and fiscal year 2023 today at 2:00 p.m. Pacific fourth dimension (5:00 p.one thousand. Eastern fourth dimension). A recorded webcast of the event will also be available for ane year on the CrowdStrike Investor Relations website ir.crowdstrike.com.

Date:

March ix, 2022

Time:

2:00 p.k. Pacific time / five:00 p.m. Eastern time

Punch-in number:

409-937-8967, conference ID: 2077681

Webcast:

ir.crowdstrike.com

Forrard-Looking Statements

This press release contains forward-looking statements that involve risks and uncertainties, including statements regarding our hereafter growth, and future financial and operating functioning, including our financial outlook for the fiscal first quarter and financial yr 2023. In that location are a significant number of factors that could cause actual results to differ materially from statements made in this press release, including: risks associated with managing our rapid growth; our ability to place and effectively implement the necessary changes to address execution challenges; the impact of the COVID-xix pandemic on our and our customers’ business concern; our limited experience with new product and subscription and support introductions and the risks associated with new products and subscription and back up offerings, including the hazard of defects, errors, or vulnerabilities; our ability to concenter new and retain existing customers; our ability to successfully integrate acquisitions; the failure to timely develop and achieve market acceptance of new products and subscriptions as well as existing products and subscriptions and support; our ability to interact and integrate our products with offerings from other parties to deliver benefits to customers; rapidly evolving technological developments in the market for security products and subscription and support offerings; length of sales cycles; and general market, political, economic, and concern conditions, including those related to COVID-nineteen and geopolitical uncertainty.

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Additional risks and uncertainties that could impact our financial results are included in the filings we make with the Securities and Exchange Commission (“SEC”) from fourth dimension to time, particularly under the captions “Take chances Factors” and “
Management’south Give-and-take and Analysis of Fiscal Condition and Results of Operations”, including our most recently filed Almanac Report on Class 10-K, subsequent Quarterly Reports on Class x-Q and subsequent filings.

You should not rely on these forward-looking statements, as actual outcomes and results may differ materially from those contemplated by these forward-looking statements as a outcome of such risks and uncertainties. All forward-looking statements in this press release are based on data available to us every bit of the date hereof, and we do not assume any obligation to update the forward-looking statements provided to reflect events that occur or circumstances that be after the date on which they were made.

Use of Non-GAAP Financial Information

We believe that the presentation of non-GAAP fiscal information provides important supplemental information to management and investors regarding financial and concern trends relating to our financial condition and results of operations. For further data regarding these non-GAAP measures, including the reconciliation of these not-GAAP fiscal measures to their most directly comparable GAAP fiscal measures, please refer to the fiscal tables below, likewise equally the “Explanation of Non-GAAP Financial Measures” section of this press release.

Channels for Disclosure of Information

We intend to denote material information to the public through the CrowdStrike Investor Relations website ir.crowdstrike.com, SEC filings, press releases, public briefing calls, and public webcasts. Nosotros use these channels, as well as social media and our blog, to communicate with our investors, customers, and the public well-nigh our company, our offerings, and other issues. Information technology is possible that the data nosotros post on social media and our web log could be deemed to exist material information. Every bit such, nosotros encourage investors, the media, and others to follow the channels listed to a higher place, including the social media channels listed on our investor relations website, and to review the information disclosed through such channels. Any updates to the list of disclosure channels through which nosotros will announce data will exist posted on the investor relations page on our website.

Reports Referenced

  1. IDC: Worldwide Modern Endpoint Security Market Shares, July 2020–June 2021: CrowdStrike and Microsoft Outdistancing All Other Vendors in a Quickly Expanding Market place, Doctor # US48616621, January 2022​.
  2. The Frost & Sullivan ‘Company of the Year Award’ is a top honor recognizing the market participant that exemplifies vision, innovation, market-leading performance, and unmatched client care. Frost & Sullivan analysts independently evaluate companies based on a range of criteria including leadership focus, all-time practices implementation, financial performance, price/performance value, customer experience and addressing unmet needs.

About CrowdStrike Holdings

CrowdStrike Holdings, Inc. is a global cybersecurity leader that provides deject-delivered protection of endpoints, cloud workloads, identity and data.

Powered past the CrowdStrike Security Cloud and advanced bogus intelligence, the CrowdStrike Falcon® platform delivers better outcomes to customers through rapid and scalable deployment, superior protection and operation, reduced complexity and firsthand fourth dimension-to-value.

CrowdStrike Falcon leverages a single lightweight-agent architecture with integrated cloud modules spanning multiple security markets, including corporate workload security, managed security services, security and vulnerability management, IT operations direction, threat intelligence services, identity protection and log management.

For more information, delight visit: ir.crowdstrike.com

CROWDSTRIKE HOLDINGS, INC.

Condensed Consolidated Statements of Operations

(in thousands, except per share amounts)

(unaudited)

Three Months Concluded Jan 31,

Year Concluded January 31,

2022

2021

2022

2021

Revenue

Subscription

$

405,443

$

244,662

$

1,359,537

$

804,670

Professional person services

25,567

twenty,267

92,057

69,768

Full revenue

431,010

264,929

1,451,594

874,438

Cost of revenue

Subscription(1)(2)

95,544

54,348

321,904

185,212

Professional services(one)

17,076

12,384

61,317

44,333

Total cost of revenue

112,620

66,732

383,221

229,545

Gross profit

318,390

198,197

1,068,373

644,893

Operating expenses

Sales and marketing(1)(two)

162,594

112,449

616,546

401,316

Research and development(1)(2)

105,018

66,070

371,283

214,670

General and administrative(1)(ii)(3)(4)

74,312

35,481

223,092

121,436

Total operating expenses

341,924

214,000

1,210,921

737,422

Loss from operations

(23,534

)

(15,803

)

(142,548

)

(92,529

)

Interest expense(5)

(vi,302

)

(ane,049

)

(25,231

)

(1,559

)

Other income, cyberspace(half dozen)

1,679

682

7,756

vi,219

Loss before provision for income taxes

(28,157

)

(xvi,170

)

(160,023

)

(87,869

)

Provision for income taxes(seven)

13,582

2,832

72,355

4,760

Net loss

$

(41,739

)

$

(19,002

)

$

(232,378

)

$

(92,629

)

Net income owing to noncontrolling involvement

241

2,424

Internet loss attributable to CrowdStrike

$

(41,980

)

$

(19,002

)

$

(234,802

)

$

(92,629

)

Internet loss per share attributable to CrowdStrike common stockholders, basic and diluted

$

(0.18

)

$

(0.09

)

$

(ane.03

)

$

(0.43

)

Weighted-average shares used in computing net loss per share attributable to CrowdStrike common stockholders, basic and diluted

229,662

221,700

227,142

217,756

_____________________________

(i) Includes stock-based compensation expense every bit follows (in thousands):

Three Months Ended January 31,

Year Ended January 31,

2022

2021

2022

2021

Subscription cost of revenue

$

6,496

$

3,849

$

22,044

$

11,705

Professional services cost of revenue

iii,087

2,058

10,050

vi,005

Sales and marketing

21,456

fifteen,456

89,634

50,557

Enquiry and development

31,085

14,574

102,027

forty,274

General and administrative

30,513

xi,777

86,197

41,134

Full stock-based compensation expense

$

92,637

$

47,714

$

309,952

$

149,675

(2) Includes acquittal of acquired intangible avails, including purchased patents, as follows (in thousands):

3 Months Ended January 31,

Yr Ended January 31,

2022

2021

2022

2021

Subscription cost of revenue

$

3,208

$

660

$

ten,758

$

ane,057

Sales and marketing

608

209

2,117

362

Research and evolution

29

General and administrative

14

27

Total acquittal of purchased intangibles

$

3,830

$

869

$

12,902

$

one,448

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(iii) Includes acquisition-related expenses as follows (in thousands):

Iii Months Ended Jan 31,

Yr Ended January 31,

2022

2021

2022

2021

General and administrative

$

457

$

1,639

$

half dozen,369

$

3,758

Full acquisition-related expenses

$

457

$

1,639

$

6,369

$

three,758

(4) Includes legal reserve and settlement charges equally follows (in thousands):

3 Months Ended Jan 31,

Yr Ended January 31,

2022

2021

2022

2021

General and administrative

$

seven,000

$

$

9,500

$

Total legal reserve and settlement charges

$

vii,000

$

$

9,500

$

(five) Includes amortization of debt issuance costs and discount as follows (in thousands):

Three Months Ended January 31,

Yr Concluded Jan 31,

2022

2021

2022

2021

Interest expense

$

548

$

347

$

two,187

$

347

Total amortization of debt issuance costs and discount

$

548

$

347

$

2,187

$

347

(6) Includes gains and other income from strategic investments as follows (in thousands):

Three Months Concluded Jan 31,

Twelvemonth Ended January 31,

2022

2021

2022

2021

Other income, net

$

746

$

$

5,112

$

Total gains and other income from strategic investments

$

746

$

$

5,112

$

(7) Includes tax costs for intellectual property integration relating to the Humio acquisition (in thousands):

3 Months Ended January 31,

Year Ended January 31,

2022

2021

2022

2021

Provision for income taxes

$

8,412

$

$

57,236

$

Total provision for income taxes

$

8,412

$

$

57,236

$

CROWDSTRIKE HOLDINGS, INC.

Condensed Consolidated Residual Sheets

(in thousands)

(unaudited)

January 31,

January 31,

2022

2021

Assets

Current assets:

Greenbacks and cash equivalents

$

i,996,633

$

1,918,608

Accounts receivable, cyberspace of assart for credit losses

368,145

239,199

Deferred contract acquisition costs, electric current

126,822

80,850

Prepaid expenses and other electric current assets

79,352

53,617

Total current assets

2,570,952

two,292,274

Strategic investments

23,632

two,500

Property and equipment, net

260,577

167,014

Operating lease right-of-use assets

31,735

36,484

Deferred contract acquisition costs, noncurrent

192,358

117,906

Goodwill

416,445

83,566

Intangible assets, net

97,336

15,677

Other long-term assets

25,346

17,112

Total assets

$

three,618,381

$

2,732,533

Liabilities and Stockholders’ Equity

Current liabilities:

Accounts payable

$

47,634

$

12,065

Accrued expenses

83,382

51,117

Accrued payroll and benefits

104,563

71,907

Operating lease liabilities, electric current

nine,820

8,977

Deferred revenue

ane,136,502

701,988

Other current liabilities

24,929

17,499

Total current liabilities

1,406,830

863,553

Long-term debt

739,517

738,029

Deferred revenue, noncurrent

392,819

209,907

Operating charter liabilities, noncurrent

25,379

31,986

Other liabilities, noncurrent

xvi,193

17,184

Total liabilities

2,580,738

1,860,659

Commitments and contingencies

Stockholders’ Equity

Common stock, Class A and Form B

115

112

Additional paid-in capital

1,991,807

1,598,259

Accumulated deficit

(964,918

)

(730,116

)

Accumulated other comprehensive (loss) income

(one,240

)

ii,319

Total CrowdStrike Holdings, Inc. stockholders’ equity

i,025,764

870,574

Non-controlling interest

11,879

i,300

Total stockholders’ equity

1,037,643

871,874

Total liabilities and stockholders’ disinterestedness

$

3,618,381

$

2,732,533

CROWDSTRIKE HOLDINGS, INC.

Condensed Consolidated Statements of Cash Flows

(in thousands)

(unaudited)

Year Concluded January 31,

2022

2021

Operating activities

Cyberspace loss

$

(232,378

)

$

(92,629

)

Adjustments to reconcile internet loss to net cash provided by operating activities:

Depreciation and amortization

55,908

38,710

Amortization of intangible assets

12,902

ane,448

Acquittal of deferred contract conquering costs

113,884

66,425

Non-cash operating charter cost

9,103

seven,786

Stock-based compensation expense

309,952

149,675

Deferred income taxes

(thirteen,956

)

(1,452

)

Gain on sale of debt securities, cyberspace

(1,347

)

Amortization of marketable securities purchased at a premium

578

Non-cash interest expense

ii,469

853

Change in fair value of strategic investments

(4,823

)

Changes in operating avails and liabilities, net of touch on of acquisitions

Accounts receivable, net

(125,354

)

(73,022

)

Deferred contract acquisition costs

(234,308

)

(150,975

)

Prepaid expenses and other avails

(29,535

)

ii,198

Accounts payable

33,248

xi,325

Accrued expenses and other liabilities

38,483

33,083

Accrued payroll and benefits

32,681

33,212

Operating lease liabilities

(nine,900

)

(eight,105

)

Deferred revenue

616,408

338,803

Cyberspace cash provided by operating activities

574,784

356,566

Investing activities

Purchases of property and equipment

(112,143

)

(52,799

)

Capitalized internal-utilize software and website development

(20,866

)

(ten,864

)

Purchases of strategic investments

(xvi,309

)

(1,500

)

Business concern acquisitions, net of cash caused

(414,518

)

(85,517

)

Purchases of intangible assets

(680

)

(180

)

Purchases of marketable securities

(84,904

)

Proceeds from sales of marketable securities

639,586

Maturities of marketable securities

91,605

Cyberspace cash (used in) provided past investing activities

(564,516

)

495,427

Financing activities

Payments of debt issuance costs related to revolving line of credit

(219

)

(3,328

)

Payment of debt issuance costs related to Senior Notes

(one,581

)

Proceeds from issuance of Senior Notes, net of debt financing costs

739,569

Proceeds from issuance of common stock upon do of stock options

fifteen,899

28,831

Gain from issuance of common stock under the employee stock purchase plan

50,277

34,263

Capital contributions from non-decision-making interest holders

viii,155

800

Net cash provided by financing activities

72,531

800,135

Effect of strange exchange rates on cash and cash equivalents

(four,774

)

1,682

Cyberspace increase in cash and cash equivalents

78,025

1,653,810

Greenbacks and cash equivalents, outset of menstruum

ane,918,608

264,798

Cash and cash equivalents, end of period

$

1,996,633

$

1,918,608

Contacts

Investor Relations Contact

CrowdStrike Holdings, Inc.

Maria Riley, Vice President of Investor Relations

investors@crowdstrike.com
669-721-0742

Press Contact

CrowdStrike Holdings, Inc.

Kevin Benacci, Sr. Director, Corporate Communications

press@crowdstrike.com
216-409-5055

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