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Jan 31, 2021

Okta Q4 2021 Earnings Report

Okta reported strong Q4 and fiscal year 2021 results, marked by substantial revenue growth and strategic acquisition announcement.

Key Takeaways

Okta announced strong Q4 and Fiscal Year 2021 results. Q4 revenue grew 40% year-over-year, and the company entered into an agreement to acquire Auth0.

Q4 revenue grew 40% year-over-year.

Subscription revenue grew 42% year-over-year.

Remaining performance obligations (RPO) grew 49% year-over-year to $1.80 billion.

Okta signed a definitive agreement to acquire Auth0.

Total Revenue
$235M
Previous year: $167M
+40.3%
EPS
$0.06
Previous year: -$0.01
-700.0%
RPO
$1.8B
Previous year: $1.21B
+48.8%
Gross Profit
$174M
Previous year: $123M
+41.5%
Cash and Equivalents
$435M
Previous year: $520M
-16.4%
Free Cash Flow
$32.5M
Previous year: $18.1M
+79.1%
Total Assets
$3.3B
Previous year: $1.96B
+68.7%

Okta

Okta

Okta Revenue by Segment

Forward Guidance

For the first quarter of fiscal 2022, the Company expects total revenue of $237 million to $239 million, representing a growth rate of 30% to 31% year-over-year. For the full year fiscal 2022, the Company expects total revenue of $1.08 billion to $1.09 billion, representing a growth rate of 29% to 30% year-over-year.

Positive Outlook

  • Total revenue of $237 million to $239 million, representing a growth rate of 30% to 31% year-over-year for Q1 2022
  • Full year fiscal 2022 total revenue of $1.08 billion to $1.09 billion, representing a growth rate of 29% to 30% year-over-year
  • Continued strength in RPO
  • Continued strength in revenue
  • Continued strength in cash flows

Challenges Ahead

  • Non-GAAP operating loss of $28.0 million to $27.0 million for Q1 2022
  • Non-GAAP net loss per share of $0.21 to $0.20, assuming weighted-average shares outstanding of approximately 133 million for Q1 2022
  • Non-GAAP operating loss of $61.0 million to $55.0 million for FY 2022
  • Non-GAAP net loss per share of $0.49 to $0.44, assuming weighted-average shares outstanding of approximately 135 million for FY 2022
  • Financial outlook does not include any potential impact from the proposed acquisition of Auth0.

Revenue & Expenses

Visualization of income flow from segment revenue to net income