Jan 31, 2024

Nutanix Q2 2024 Earnings Report

Nutanix's Q2 2024 financial results were reported, showing a solid performance with significant ARR growth and free cash flow generation. The company achieved GAAP operating profitability for the first time.

Key Takeaways

Nutanix reported a strong second quarter in fiscal year 2024, marked by a 26% year-over-year increase in ARR and robust free cash flow. The company achieved GAAP operating profitability for the first time. Nutanix exceeded expectations across all guided metrics.

ARR grew by 26% year-over-year, reaching $1.74 billion.

GAAP operating income was $37.0 million, a significant improvement from the $(56.5) million loss in the same quarter last year.

Free cash flow was $162.6 million, compared to $63.0 million in the second quarter of fiscal year 2023.

Revenue increased by 16% year-over-year to $565.2 million.

Total Revenue
$565M
Previous year: $486M
+16.2%
EPS
$0.46
Previous year: -$0.3
-253.3%
Customers
1.74B
Previous year: 1.38B
+26.1%
Gross Profit
$484M
Previous year: $400M
+21.0%
Cash and Equivalents
$679M
Previous year: $407M
+67.1%
Free Cash Flow
$163M
Previous year: $63M
+158.0%
Total Assets
$2.73B
Previous year: $2.37B
+15.1%

Nutanix

Nutanix

Nutanix Revenue by Segment

Forward Guidance

Nutanix provided the following outlook for the third quarter of fiscal year 2024: ACV Billings between $265 and $275 million; Revenue between $510 and $520 million; Non-GAAP Gross Margin of approximately 85%; Non-GAAP Operating Margin between 7.5% and 8.5%.

Positive Outlook

  • ACV Billings between $265 and $275 million
  • Revenue between $510 and $520 million
  • Non-GAAP Gross Margin of approximately 85%
  • Non-GAAP Operating Margin between 7.5% and 8.5%
  • Weighted Average Shares Outstanding (Diluted) Approximately 301 million

Revenue & Expenses

Visualization of income flow from segment revenue to net income