Rubrik Reports 43% Revenue Growth to $236.2 Million, Net Loss Widens to $130.9 Million

Rubrik, Inc. reported significant financial performance in its latest 10-Q filing for the quarter ending October 31, 2024, with total revenue reaching $236.2 million, a 43% increase from $165.6 million in the same period last year. Subscription revenue was the primary driver, growing 55% to $221.5 million, compared to $143.4 million in the prior year. However, the company also experienced a net loss of $130.9 million, widening from a loss of $86.3 million in the previous year, reflecting increased operating expenses primarily due to stock-based compensation and investments in research and development.

The filing highlighted a notable increase in operating expenses, which surged to $304.8 million from $197.2 million year-over-year. This increase was largely attributed to a rise in research and development costs, which more than doubled to $80.1 million, and sales and marketing expenses, which rose to $158.9 million. The company’s total operating loss for the quarter was $124.8 million, compared to a loss of $65.3 million in the same quarter last year.

Strategically, Rubrik completed its initial public offering (IPO) in April 2024, raising approximately $710.3 million in net proceeds. The company also acquired Laminar Technologies in August 2023 for $104.9 million, enhancing its data security posture management capabilities. The transition to its new Rubrik Security Cloud (RSC) platform is ongoing, with the company reporting that RSC now represents a majority of its total revenue. As of October 31, 2024, Subscription Annual Recurring Revenue (ARR) reached $1.0 billion, a 38% increase from the previous year, indicating strong customer adoption and retention.

Operationally, Rubrik reported a customer base of 2,085 clients with $100,000 or more in Subscription ARR, up from 1,581 a year earlier. The company also noted a dollar-based net retention rate exceeding 120%, reflecting its ability to expand within existing accounts. Geographically, the Americas accounted for the majority of revenue, generating $169.4 million, while EMEA and APAC contributed $56.6 million and $10.2 million, respectively.

Looking ahead, Rubrik anticipates continued growth driven by the adoption of its RSC platform and the transition of existing customers from legacy systems. However, the company acknowledged potential fluctuations in revenue due to the timing of customer transitions and the exercise of Subscription Credits. The management remains focused on enhancing its product offerings and expanding its market presence, while also navigating the challenges posed by increased competition and evolving market dynamics.