Fri, Jun 7, 10:08 AM (92 days ago)
Domo, Inc. reported its financial results for the quarter ended April 30, 2024. The company's total revenue increased by 1% year-over-year to $80.1 million, primarily driven by a slight increase in subscription revenue. However, professional services and other revenue saw a decline. The gross margin decreased from 77% to 74%, largely due to higher costs associated with third-party web hosting services and increased amortization of capitalized software development costs. Operating expenses remained relatively flat at $80.8 million, with sales and marketing expenses decreasing slightly due to lower employee-related costs, despite higher marketing expenses from their annual user conference. Research and development expenses also saw a modest decline. General and administrative expenses increased, primarily due to higher professional and legal fees. The company reported a net loss of $26.0 million for the quarter, up from a $24.4 million loss in the same period last year. Cash flow from operations was positive at $1.9 million, a slight improvement from the previous year. As of April 30, 2024, Domo had $61.2 million in cash, cash equivalents, and restricted cash, and was compliant with its credit facility covenants. The company anticipates challenges in the near term due to macroeconomic conditions but expects long-term improvements in margins and cash flow with continued strategic investments.