VMware, Inc., a leading innovator in enterprise software, announced financial results for the fourth quarter and full fiscal year 2021:

Quarterly Review

• Revenue for the fourth quarter was $3.3 billion, an increase of 7% from the fourth quarter of fiscal 2020.
• The combination of Subscription and SaaS and license revenue was $1.7 billion, an increase of 8% from the fourth quarter of fiscal 2020.
• Subscription and SaaS revenue for the fourth quarter was $707 million, an increase of 27% year-over-year.
• GAAP net income for the fourth quarter was $791 million, or $1.87 per diluted share, compared to $321 million, or $0.76 per diluted share, for the fourth quarter of fiscal 2020. Non-GAAP net income for the fourth quarter was $936 million, or $2.21 per diluted share, up 8% per diluted share compared to $868 million, or $2.05 per diluted share, for the fourth quarter of fiscal 2020.
• GAAP operating income for the fourth quarter was $1.0 billion, an increase of 303% from the fourth quarter of fiscal 2020. Non-GAAP operating income for the fourth quarter was $1.1 billion, an increase of 7% from the fourth quarter of fiscal 2020.
• Operating cash flow for the fourth quarter was $1.3 billion. Free cash flow for the fourth quarter was $1.2 billion.
• RPO for the fourth quarter totaled $11.3 billion, up 10% year-over-year.
• Total revenue plus sequential change in total unearned revenue grew 6% year-over-year.
• The combination of Subscription and SaaS and license revenue plus sequential change in unearned Subscription and SaaS and license revenue grew 10% year-over-year.

Annual Review

• Revenue for fiscal year 2021 was $11.8 billion, an increase of 9% from fiscal 2020.
• The combination of Subscription and SaaS and license revenue for fiscal 2021 was $5.6 billion, an increase of 11% from fiscal year 2020.
• Subscription and SaaS revenue for fiscal year 2021 was $2.6 billion, an increase of 38% from fiscal year 2020.
• GAAP net income for fiscal year 2021 was $2.1 billion, or $4.86 per diluted share, compared to $6.4 billion, or $15.08 per diluted share, for fiscal 2020. Non-GAAP net income for fiscal year 2021 was $3.0 billion, or $7.20 per diluted share, up 15% per diluted share compared to $2.7 billion, or $6.24 per diluted share, for fiscal 2020.
• GAAP operating income for fiscal year 2021 was $2.4 billion, an increase of 66% from fiscal 2020. Non-GAAP operating income for fiscal year 2021 was $3.8 billion, an increase of 16% from fiscal 2020.
• Operating cash flow for fiscal year 2021 was $4.4 billion. Free cash flow for fiscal year 2021 was $4.1 billion.
• Cash was $4.7 billion, and unearned revenue was $10.3 billion, as of January 29, 2021.

"We are pleased with our fourth quarter financial performance and it was a good finish to the fiscal year. Our results reinforce that customers continue to choose VMware technologies and solutions to drive their digital foundation for today and for the future," said Zane Rowe, CFO and Interim CEO, VMware. "We continue to build and scale our Subscription and SaaS business, bringing customers flexibility in consumption choices, as well as delivering new offerings to market."

Business Highlights & Strategic Announcements

• VMware Workspace ONE Access achieved FedRAMP Moderate Authorization, allowing the public sector and other regulated industries to rapidly adopt SaaS solutions for mission-enabling, more secure and cost-effective cloud-based IT.
• VMware announced a partnership with Dell Technologies and SK Telecom to develop a multi-access edge computing (MEC) solution that brings together private 5G and edge computing capabilities.
• VMware announced the commercial availability of VMware Blockchain, an extensible and scalable enterprise-grade platform to build business networks and deploy business-critical decentralized applications. With VMware Blockchain, customers can unlock data silos and free up data to flow more securely, privately and instantaneously.
• VMware announced the company's 2030 Agenda, a 10-year commitment to reaching 30 goals by 2030 for creating a more equitable, sustainable and resilient world. These goals, which will be integrated into VMware's business, are focused on three outcomes: trust, equity and sustainability.
• VMware achieved a number of recognitions for strong environmental, social and governance (ESG) performance in the area of sustainability:
  • The company has been included on the 2020 Dow Jones Sustainability Indices (DJSI), one of the world's leading ESG benchmarks. VMware ranked in the 94^th percentile in the software category for its leadership in corporate sustainability.
  • VMware was recognized on CDP's 2020 Climate A List, which recognizes companies committed to reducing carbon emissions and managing climate change risk.
  • VMware was acknowledged by the 2020 Carbon Clean 200, which ranks publicly traded companies based on their green energy revenues.
• In November, Forrester named VMware a leader in The Forrester Wave: Hybrid Cloud Management, Q4 2020.
• VMware once again was named a Leader in the December 2020 Gartner Magic Quadrant for Hyperconverged Infrastructure Software, December 2020.
• Also in January, VMware was positioned as a leader in three IDC MarketScape reports related to the End-User Computing space:
  • IDC MarketScape: Worldwide Unified Endpoint Management Software 2021 Vendor Assessment (doc #US46957820, January 2021)
  • IDC MarketScape: Worldwide Unified Endpoint Management Software for Apple Devices 2021 Vendor Assessment (doc #US46965620, January 2021)
  • IDC MarketScape: Worldwide Unified Endpoint Management Software for Ruggedized/Internet of Things Deployment 2021 Vendor Assessment (doc #US46957920, January 2021)