Fri, May 31, 8:08 PM (56 days ago)
Zuora, Inc.'s Q1 FY2024 report highlights a 10% YoY increase in subscription revenue to $99.0 million and a 6% YoY increase in total revenue to $109.8 million. The company's gross profit improved to $74.7 million, with a gross margin of 68%, up from 64% the previous year. Operating loss significantly narrowed to $4.0 million from $20.2 million, reflecting a 16 percentage point improvement in operating margin. Despite a net loss of $13.7 million, this represents an improvement from the $19.3 million loss in Q1 FY2023. Key metrics showed 451 customers with ACV ≥ $250,000 and an ARR growth of 8% YoY. The company closed two deals with ACV ≥ $1 million in the quarter and completed the acquisition of Togai Inc. for $26 million to enhance usage-based offerings. Cash and cash equivalents rose to $265.7 million, with total assets at $809.7 million. The report underscores strong subscription growth, improved margins, strategic acquisitions, and robust cash flow, positioning Zuora for continued expansion despite macroeconomic headwinds.