Thu, Aug 29, 8:05 PM (138 days ago)
Okta, Inc. reported its Q2 2024 results, showing continued growth in subscription revenue, which increased 17% year-over-year to $632 million. Total revenue for the quarter reached $646 million, a 16% increase from the prior year. The company achieved a gross profit of $491 million, resulting in a gross margin of 76%. Operating expenses decreased to $510 million, aided by reduced research and development costs and lower sales and marketing expenses. This led to a significant improvement in operating loss, narrowing to $19 million compared to $162 million in Q2 2023. Net income for the quarter was $29 million, a strong recovery from a loss of $111 million in the previous year. Cash flow from operations was robust at $305 million, with total cash and investments at $2.36 billion. Despite recent cybersecurity incidents and macroeconomic challenges, Okta's Dollar-Based Net Retention Rate remained strong at 110%. However, uncertainties related to future sales cycles and economic conditions could impact growth. The company continues to focus on expanding its customer base and enhancing product offerings, crucial for maintaining competitive positioning in the identity management market.