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Oct 31, 2021

PagerDuty Q3 2022 Earnings Report

PagerDuty's Q3 2022 earnings showcased record revenue and year-over-year growth.

Key Takeaways

PagerDuty reported an outstanding third quarter with record revenue of $72 million, representing a 33% increase year-over-year. The company's growth was driven by product innovation and expansion across various use cases and departments. PagerDuty continues to focus on empowering enterprises to mature their digital operations and deliver superior customer experiences.

Revenue reached $71.8 million, a 33.5% increase year-over-year.

Total paid customers reached 14,486, compared to 13,725 in the prior year.

Customers with ARR over $100,000 increased to 543, compared to 401 in the prior year.

Dollar-based net retention rate was 124%, compared to 119% in the prior year.

Total Revenue
$71.8M
Previous year: $53.8M
+33.5%
EPS
-$0.07
Previous year: -$0.09
-22.2%
Total Paid Customers
14.49K
Previous year: 13.73K
+5.5%
Gross Profit
$59.7M
Previous year: $46.1M
+29.6%
Cash and Equivalents
$360M
Previous year: $337M
+6.9%
Free Cash Flow
$1.78M
Previous year: $4.5M
-60.4%
Total Assets
$782M
Previous year: $778M
+0.5%

PagerDuty

PagerDuty

Forward Guidance

For the fourth quarter of fiscal 2022, PagerDuty expects total revenue of $75.5 million - $76.5 million, representing a growth rate of 27% - 29% year over year, and non-GAAP net loss per share of $0.06 - $0.05 assuming approximately 86 million shares. For the full fiscal year 2022, PagerDuty expects total revenue of $278.5 million - $279.5 million, representing a growth rate of 30% - 31% year over year, and non-GAAP net loss per share of $0.34 - $0.33 assuming approximately 84 million shares.

Positive Outlook

  • Total revenue growth of 27% - 29% year over year is expected for Q4 2022.
  • Revenue is projected to be between $75.5 million and $76.5 million for Q4 2022.
  • Full fiscal year 2022 revenue is expected to grow by 30% - 31% year over year.
  • Total revenue for fiscal year 2022 is projected to be between $278.5 million and $279.5 million.
  • Company anticipates continued expansion with current customers

Challenges Ahead

  • Non-GAAP net loss per share of $0.06 - $0.05 is expected for Q4 2022, assuming approximately 86 million shares.
  • Non-GAAP net loss per share of $0.34 - $0.33 is expected for the full fiscal year 2022, assuming approximately 84 million shares.
  • Actual results may differ materially due to various risks and uncertainties.
  • The company has not reconciled its expectations as to non-GAAP net loss per share to GAAP net loss per share.
  • Certain items are out of the company's control or cannot be reasonably predicted.