Jan 31, 2021

Zuora Q4 2021 Earnings Report

Reported strong Q4 2021 results, exceeding expectations across operating results.

Key Takeaways

Zuora reported a strong finish to the year, exceeding expectations across its operating results. Total revenue was $79.3 million, an increase of 13% year-over-year, and subscription revenue was $65.1 million, an increase of 19% year-over-year.

Fourth quarter subscription revenue grew 19% year-over-year.

Full year subscription revenue grew 17% year-over-year.

Customers with annual contract value (ACV) equal to or greater than $100,000 increased to 676 customers, or 8% year-over-year

Dollar-based retention rate was 100%.

Total Revenue
$79.3M
Previous year: $70.4M
+12.6%
EPS
-$0.02
Previous year: -$0.09
-77.8%
Dollar-based retention rate
100%
Previous year: 104%
-3.8%
Gross Profit
$47.2M
Previous year: $36.2M
+30.1%
Cash and Equivalents
$94.1M
Previous year: $54.3M
+73.4%
Free Cash Flow
$2.1M
Previous year: -$4.5M
-146.7%
Total Assets
$422M
Previous year: $402M
+4.8%

Zuora

Zuora

Zuora Revenue by Segment

Forward Guidance

Zuora provided guidance for the first quarter and full year fiscal 2022 based on current market conditions and expectations, emphasizing that the guidance is subject to various important cautionary factors.

Positive Outlook

  • First Quarter Fiscal 2022 Subscription revenue is expected to be between $63.0M - $65.0M
  • First Quarter Fiscal 2022 Total revenue is expected to be between $78.0M - $80.0M
  • First Quarter Fiscal 2022 Non-GAAP loss from operations is expected to be between $(5.0M) - $(4.5M)
  • First Quarter Fiscal 2022 Non-GAAP net loss per share is expected to be between $(0.04) - $(0.03)
  • Full Year Fiscal 2022 Subscription revenue is expected to be between $272.0M - $276.0M

Challenges Ahead

  • Full Year Fiscal 2022 Total revenue is expected to be between $335.0M - $337.0M
  • Full Year Fiscal 2022 Non-GAAP loss from operations is expected to be between $(12.0M) - $(8.0M)
  • Full Year Fiscal 2022 Non-GAAP net loss per share is expected to be between $(0.10) - $(0.06)
  • Guidance is subject to various important cautionary factors
  • Risks and uncertainties associated with the ongoing COVID-19 pandemic

Revenue & Expenses

Visualization of income flow from segment revenue to net income