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Subscription Revenue: Grew 24% to $250.6 million in Q4, representing 96% of total revenue.
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Confluent Cloud Revenue: Increased 38% to $137.9 million, accounting for 55% of subscription revenue.
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Confluent Platform Revenue: Grew 10% to $112.7 million, making up 45% of subscription revenue.
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Non-GAAP Operating Margin: Improved to 5.2% in Q4, exceeding guidance.
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Free Cash Flow Margin: Reached a record high of 11.1% in Q4.
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Net Income Per Share: $0.09 using 362.1 million diluted weighted average shares outstanding.
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Cash and Marketable Securities: Ended Q4 with $1.91 billion.
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Customer Growth: Ended fiscal year 2024 with approximately 5,800 customers, an increase of 840 customers.
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100K+ ARR Customers: Grew 12% to 1,381, representing approximately 90% of revenue.
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1 Million+ ARR Customers: Increased 23% to 194 customers.
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Net Revenue Retention (NRR): 117% in Q4.
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Gross Revenue Retention (GRR): Remained above 90%.
Release Date: February 11, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
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Confluent Inc (NASDAQ:CFLT) exceeded all guided metrics with a 24% growth in subscription revenue and a 38% increase in Confluent Cloud revenue.
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The company achieved a non-GAAP operating margin of 5%, marking its third consecutive positive quarter.
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Confluent Inc (NASDAQ:CFLT) announced a major expansion of its strategic partnership with Databricks, enhancing real-time data capabilities for AI-driven decision-making.
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The introduction of Tableflow has been well-received, providing real-time, consistent, and secure data as structured tables in cloud object storage.
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Confluent Inc (NASDAQ:CFLT) reported its first non-GAAP profitable year with a 26% growth in subscription revenue and a significant improvement in free cash flow margin.
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The company faces risks and uncertainties that could cause actual results to differ materially from forward-looking statements.
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Despite positive growth, the reliance on non-GAAP financial measures may present limitations in financial analysis.
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The transition to a consumption-driven go-to-market model may require ongoing adjustments and tuning.
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The competitive landscape includes potential acquisitions by competitors, such as Snowflake’s interest in Redpanda, which could impact market dynamics.
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Confluent Inc (NASDAQ:CFLT) must continue to navigate the complexities of integrating new technologies and partnerships, which could pose operational challenges.
Q: Can you discuss how customers are using Confluent for streaming and processing outside of analytic engines, especially in light of your expanded partnership with Databricks? A: Jay Kreps, CEO, explained that the rise of AI applications is driving the need for real-time data in analytics, moving beyond traditional data warehousing. The partnership with Databricks integrates Confluent’s streaming data with Databricks’ analytics, enabling real-time data processing and AI-driven decision-making. This collaboration aims to unify operational and analytical data ecosystems, enhancing the utility of streaming data across various applications.
