Record fourth quarter revenue of $151.3 million; Record full year revenue of $502.9 million
Subscription Bookings Mix of 71% in the fourth quarter; 66% for the full year 2021
Subscription Portion of Annual Recurring Revenue (ARR) of $183 million with Growth Accelerating to 146%
Total ARR of $393 million with Growth Accelerating to 44%
Subscription Transition Goals Now Expected to be Met in Second Quarter of 2022
NEWTON, Mass. & PETACH TIKVA, Israel– CyberArk (NASDAQ: CYBR), the global leader in Identity Security, today announced record financial results for the fourth quarter and full year ended December 31, 2021.
“2021 was a historic year for CyberArk characterized by transformation, outperformance and acceleration,” said Udi Mokady, CyberArk Chairman and CEO. “As we moved through 2021, momentum continued to build culminating in a record fourth quarter. In the fourth quarter, we experienced a step function change in demand resulting in the largest sequential increase in ARR. In addition, subscription ARR growth accelerated to 146 percent, and total ARR growth accelerated to 44 percent, and we added a record number of new logos, signing more than 375 customers. We again exceeded our subscription bookings mix framework, and revenue beat our guidance range in the fourth quarter, demonstrating that our bookings were significantly above our guidance framework. Given our performance in 2021, we are confident we will hit our subscription transition target goal of reaching about 85 percent bookings mix in the second quarter of 2022. With the acceleration in our business in 2021, our excellence in execution and strong competitive stance, we are in a great position to deliver long-term profitable growth and increase shareholder value.”
Financial Summary for the Fourth Quarter Ended December 31, 2021
- Subscription revenue was $47.6 million in the fourth quarter of 2021, an increase of 142 percent from $19.6 million in the fourth quarter of 2020.
- Maintenance and professional services revenue was $65.1 million in the fourth quarter of 2021, an increase of 6 percent from $61.4 million in the fourth quarter of 2020.
- Total revenue was $151.3 million in the fourth quarter of 2021, up 5 percent from $144.5 million in the fourth quarter of 2020.
- GAAP operating loss was $(11.8) million and non-GAAP operating income was $16.3 million in the fourth quarter of 2021.
- GAAP net loss was $(16.9) million, or $(0.42) per basic and diluted share, in the fourth quarter of 2021. Non-GAAP net income was $11.8 million, or $0.28 per diluted share, in the fourth quarter of 2021.
Financial Summary for the Full Year Ended December 31, 2021
- Subscription revenue was $134.6 million in the full year 2021, an increase of 139 percent from $56.4 million in the full year 2020.
- Maintenance and professional services revenue was $252.6 million in the full year 2021, an increase of 9 percent from $231.9 million in the full year 2020.
- Total revenue was $502.9 million in the full year 2021, up 8 percent from $464.4 million in the full year 2020.
- GAAP operating loss was $(78.3) million and non-GAAP operating income was $23.9 million in the full year 2021.
- GAAP net loss was $(83.9) million, or $(2.12) per basic and diluted share, in the full year 2021. Non-GAAP net income was $13.4 million, or $0.33 per diluted share, in the full year 2021.
Balance Sheet and Net Cash Provided by Operating Activities
- As of December 31, 2021, CyberArk had $1.2 billion in cash, cash equivalents, marketable securities, and short-term deposits.
- During the full year ended December 31, 2021, the Company generated $74.7 million in net cash provided by operating activities, compared to $106.8 million during the full year 2020.
- As of December 31, 2021, total deferred revenue was $317.3 million, a 31 percent increase from $242.5 million at December 31, 2020.
Key Performance Indicators
- Annual Recurring Revenue (ARR) was $393 million, an increase of 44 percent from $274 million at December 31, 2020.
- The subscription portion of ARR was $183 million, representing 46 percent of total ARR at December 31, 2021. This represents an increase of 146 percent from $74 million, or 27 percent of total ARR at December 31, 2020.
- The Maintenance portion of ARR was $210 million at December 31, 2021, compared to $199 million at December 31, 2020.
- Recurring revenue was $102.9 million, an increase of 48 percent from $69.6 million for the fourth quarter of 2020. For the full year 2021, recurring revenue was $348.7 million, an increase of 41 percent from $247.3 million for the full year 2020.
- 71 percent of total license bookings were related to subscription bookings, compared with approximately 35 percent in the fourth quarter of 2020. For the full year 2021, 66 percent of total license bookings were related to subscription bookings, compared with approximately 35 percent for the full year 2020.
- Added a record number of new logos, signing more than 375 customers during the fourth quarter of 2021.
Recent Developments
- CyberArk published its first annual Environmental, Social and Governance (ESG) report, highlighting the progress of its ESG program on key focus areas such as Business Ethics and Corporate Governance, Human Capital Management, Diversity, Equity and Inclusion (DEI) and Environmental Stewardship
Business Outlook
Based on information available as of February 10, 2022, CyberArk is issuing guidance for the first quarter and full year 2022 as indicated below.
First Quarter 2022:
- Total revenue is expected to be in the range of $125.0 million and $133.0 million.
- Non-GAAP operating loss is expected to be in the range of $(16.0) million to $(9.0) million.
- Non-GAAP net loss per share is expected to be in the range of $(0.42) to $(0.25) per basic and diluted share.
- Assumes 40.3 million weighted average basic and diluted shares.
Full Year 2022:
- Total revenue is expected to be in the range of $582.0 million to $598.0 million.
- Non-GAAP operating loss is expected to be in the range of $(34.0) million to $(20.0) million.
- Non-GAAP net loss per share is expected to be in the range of $(0.98) to $(0.64) per basic and diluted share.
- Assumes 40.7 million weighted average basic and diluted shares.
- ARR as of December 31, 2022 is expected to be in the range of, $530.0 million to $536.0 million, representing growth of 35 percent to 36 percent from December 31, 2021.
Conference Call Information
In conjunction with this announcement, CyberArk will host a conference call on Thursday, February 10, 2022 at 8:30 a.m. Eastern Time (ET) to discuss the Company’s fourth quarter and year-end financial results and its business outlook. To access this call, dial +1 (833) 968-2251 (U.S.) or +1 (778) 560-2670 (international). The conference ID is 9918439. Additionally, a live webcast of the conference call will be available via the “Investor Relations” section of the company’s website at www.cyberark.com.
Following the conference call, a replay will be available for one week at +1 (800) 585-8367 (U.S.) or +1 (416) 621-4642 (international). The replay pass code is 9918439. An archived webcast of the conference call will also be available in the “Investor Relations” section of the company’s website at www.cyberark.com.
About CyberArk
CyberArk (NASDAQ: CYBR) is the global leader in Identity Security. Centered on privileged access management, CyberArk provides the most comprehensive security offering for any identity – human or machine – across business applications, distributed workforces, hybrid cloud workloads and throughout the DevOps lifecycle. The world’s leading organizations trust CyberArk to help secure their most critical assets. To learn more about CyberArk, visit https://www.cyberark.com, read the CyberArk blogs or follow on Twitter via @CyberArk, LinkedIn or Facebook.
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