Varonis Q2 revenue beats analyst estimates as cloud platform adoption increased
VRNS•Drivers behind the result
- SaaS growth - SaaS ARR excluding conversions rose 25% yr/yr, driven by new customer additions and increased adoption of cloud platform
- Customer conversions - Declines in term license and maintenance revenues were mainly due to customers moving to SaaS platform
- AI security demand - Increased focus on securing AI and data supported new business momentum, according to CFO
Outlook for the coming quarters
- Varonis sees Q3 revenues of $185 mln to $188 mln, up 14% to 16% year-over-year
- Company expects full-year SaaS ARR of $819 mln to $850 mln, up 28% to 33% year-over-year
- Varonis raises full-year SaaS ARR excluding conversions growth outlook to 21% at midpoint
Quarterly results beat estimates
- Data and AI security firm's Q2 revenue rose 18% yr/yr, beating analyst expectations
- Non-GAAP operating income turned positive from a loss last year
- SaaS ARR excluding conversions grew 25% yr/yr as customers migrated to cloud platform
