SolarWinds Corporation, a leading provider of powerful and affordable IT management software, today reported results for its first quarter ended March 31, 2021.
On a GAAP basis:
- Total revenue for the first quarter of $256.9 million, representing 4.0% year-over-year growth.
- Total recurring revenue for the first quarter of $232.0 million, representing 10.5% year-over-year growth. Total recurring revenue includes:
- Maintenance revenue for the first quarter of $123.0 million, representing 5.8% year-over-year growth.
- Subscription revenue for the first quarter of $109.0 million, representing 16.4% year-over-year growth.
- Net loss for the first quarter of $7.2 million.
On a non-GAAP basis:
- Non-GAAP total revenue for the first quarter of $257.0 million, representing 3.4% year-over-year growth.
- Non-GAAP total recurring revenue for the first quarter of $232.1 million, representing 9.7% year-over-year growth. Non-GAAP total recurring revenue includes:
- Non-GAAP maintenance revenue for the first quarter of $123.0 million, representing 5.8% year-over-year growth.
- Non-GAAP subscription revenue for the first quarter of $109.1 million, representing 14.6% year-over-year growth.
- Adjusted EBITDA for the first quarter of $106.5 million, representing a margin of 41.4% of non-GAAP total revenue.
For a reconciliation of our GAAP to non-GAAP results, please see the tables below.
“Our first quarter results, which exceeded the high end of our previously provided outlook with respect to both non-GAAP total revenue and adjusted EBITDA, are a testament to our team’s focus and commitment,” said Sudhakar Ramakrishna, president and Chief Executive Officer, SolarWinds. “We continue to deliver value, enhance our relevance, and make significant progress executing on our ‘secure by design’ initiative. We believe the resiliency we see in our business, coupled with the ongoing commitment and support from our customers and partners, gives us a strong momentum on our journey to help all manner of IT professionals transform their businesses faster in a hybrid IT world.”
Additional highlights include:
- SolarWinds announced the APM Integrated Experience for the SolarWinds® application performance management (APM) solutions-AppOpticsTM, Loggly®, and Pingdom®-consolidating access to application performance metrics, traces, logs, and user experience into a common navigation experience for technology professionals. The new APM Integrated Experience helps reduce much of the complexity associated with modern APM by streamlining visibility into critical application and infrastructure performance and empowering tech pros with faster, easier troubleshooting.
- A number of key customers, including the company’s largest customer and those in the federal sector, completed multi-year renewals and license expansions in the first quarter, validating the team’s proactive and sustained efforts to ensure the safety and security of customers while delivering industry leading solutions.
- The company plans to continue efforts to build momentum in the Database monitoring segment with the formation of a dedicated core team to capture a large and growing market opportunity.
- SolarWinds MSP completed its rebrand to N-able across its platform and solutions, corporate website (www.n-able.com), and partner community sites in the first quarter of 2021.
- The integration of Microsoft Intune with N-ableTM N-central® is now generally available. N-central users can control Intune-managed devices directly from the N-central dashboard, maintain consistent policies and configurations, as well as see all alerts for devices and create consolidated reports all in one place. In addition, N-able continued to expand its monitoring breadth, including enabling remote access capabilities into additional network device types, and extended Apple device support with new remote management capabilities for Mac workstations and iOS devices.
- Over the past three months, the company has implemented a series of actions that are designed to better secure its internal environment and systems against attacks, including zero trust and least privilege access mechanisms and further addressing possible risks associated with third-party applications access. In addition, N-able has implemented in-product security enhancements to the N-able platform, including, multi-factor authentication, single sign-on, SSH for network devices, in addition to more secure development and testing procedures.
