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Sep 30, 2022
Informatica Q3 2022 Earnings Report
Informatica's Q3 2022 financial results were reported, demonstrating subscription ARR growth above expectations and strong bottom-line performance.
Key Takeaways
Informatica reported a 3% year-over-year increase in GAAP total revenues, reaching $372.0 million, and a 10% year-over-year increase in GAAP subscription revenues, totaling $214.0 million. The company's subscription ARR grew by 27% year-over-year to $936 million, while cloud ARR increased by 39% year-over-year to $400 million. GAAP operating income was $2.6 million, and unlevered free cash flow was $76.8 million.
Subscription ARR increased 27% year-over-year to $936 million.
Cloud ARR increased 39% year-over-year to $400 million.
GAAP Total Revenues increased 3% year-over-year to $372.0 million.
Processed 44.5 trillion cloud transactions per month, a 91% increase year-over-year.
Informatica
Informatica
Informatica Revenue by Segment
Revenue by Segment
Subscription Revenue
CapyFin.comMaintenance & Professional Services Revenue
CapyFin.com Forward Guidance
Informatica provided financial guidance for the fourth quarter of 2022, with GAAP total revenues expected to be in the range of $398 million to $408 million and subscription ARR expected to be in the range of $980 million to $990 million. Cloud ARR is expected to be in the range of $425 million to $431 million, and non-GAAP operating income is expected to be in the range of $93 million to $103 million.
Positive Outlook
- GAAP Total Revenues are expected to be in the range of $398 million to $408 million, representing flat year-over-year growth at the midpoint of the range.
- Subscription ARR is expected to be in the range of $980 million to $990 million, representing approximately 23% year-over-year growth at the midpoint of the range.
- Cloud ARR is expected to be in the range of $425 million to $431 million, representing approximately 35% year-over-year growth at the midpoint of the range.
- Non-GAAP Operating Income is expected to be in the range of $93 million to $103 million.
- Basic weighted-average shares outstanding to be approximately 284 million shares and diluted weighted-average shares outstanding to be approximately 288 million shares.
Challenges Ahead
- Fourth quarter total revenues guidance includes a negative impact of approximately $15 million from FX year-over-year.
- Guidance includes the impact from macroeconomic conditions and foreign exchange headwinds.
- Reconciliation of non-GAAP operating income and unlevered free cash flow after-tax guidance to the most directly comparable GAAP measures is not available without unreasonable effort.
- Stock-based compensation expense specific to our equity compensation awards and employer payroll tax-related items on employee stock transactions are directly impacted by the timing of employee stock transactions and unpredictable fluctuations in our stock price
- Fourth Quarter 2022 Ending December 31, 2022
Revenue & Expenses
Visualization of income flow from segment revenue to net income