MongoDB, Inc. Announces First Quarter Fiscal 2023 Financial Results

First Quarter Fiscal 2023 Total Revenue of $285.4 million, up 57% Year-over-Year

Continued Strong Customer Growth with Over 35,200 Customers as of April 30, 2022

MongoDB Atlas Revenue up 82% Year-over-Year; 60% of Total Q1 Revenue

NEW YORK, June 1, 2022 /PRNewswire/ —  MongoDB, Inc. (NASDAQ: MDB), the leading modern, general purpose database platform, today announced its financial results for the first quarter ended April 30, 2022.

“MongoDB began fiscal 2023 with terrific first quarter results, highlighted by revenue growth of 57% year-over-year, driven primarily by 82% Atlas growth. MongoDB enables developers to build mission-critical applications that drive better user experiences, enable new capabilities and improves operational efficiency, and our Q1 results give us increased confidence in our ability to capture the large market opportunity over the long term,” said Dev Ittycheria, President and Chief Executive Officer of MongoDB.

First Quarter Fiscal 2023 Financial Highlights

• Revenue: Total revenue was $285.4 million for the first quarter fiscal 2023, an increase of 57% year-over-year. Subscription revenue was $274.6 million, an increase of 57% year-over-year, and services revenue was $10.9 million, an increase of 54% year-over-year.
• Gross Profit: Gross profit was $207.2 million for the first quarter fiscal 2023, representing a 73% gross margin compared to 70% in the year-ago period. Non-GAAP gross profit was $214.3 million, representing a 75% non-GAAP gross margin, compared to a non-GAAP gross margin of 72% in the year-ago period.
• Loss from Operations: Loss from operations was $75.9 million for the first quarter fiscal 2023, compared to a loss of $61.4 million in the year-ago period. Non-GAAP income from operations was $17.5 million, compared to a non-GAAP loss of $2.8 million in the year-ago period.
• Net Loss: Net loss was $77.3 million, or $1.14 per share, based on 67.7 million weighted-average shares outstanding, for the first quarter fiscal 2023. This compares to a net loss of $64.0 million, or $1.04 per share, based on 61.4 million weighted-average shares outstanding, in the year-ago period. Non-GAAP net income was $15.2 million or $0.20 per share based on 77.0 million diluted weighted-average shares outstanding. This compares to a non-GAAP net loss of $3.9 million or $0.06 per share in the year-ago period.
• Cash Flow: As of April 30, 2022, MongoDB had $1.8 billion in cash, cash equivalents, short-term investments and restricted cash. During the three months ended April 30, 2022, MongoDB generated $11.6 million of cash from operations, used $2.5 million of cash in capital expenditures and used $0.6 million of cash in principal repayments of finance leases, leading to free cash flow of $8.4 million, compared to free cash flow of $8.4 million in the year-ago period.

A reconciliation of each Non-GAAP measure to the most directly comparable GAAP measure has been provided in the financial statement tables included at the end of this press release. An explanation of these measures is also included below under the heading “Non-GAAP Financial Measures.”

First Quarter Fiscal 2023 and Recent Business Highlights

• Announced a new multi-year, strategic collaboration agreement with AWS to make it easier for joint customers to advance their cloud adoption journey. These efforts include integrated go-to-market activities across sales, marketing and developer relations, as well as both technology integrations and commercial incentives to streamline the migration of on-premises workloads to MongoDB Atlas on AWS.
• Launched MongoDB Atlas Pay-as-you-go option on Google Cloud, which can be launched directly from the Google Console. The offering provides developers with a simplified subscription experience, and makes it easier for customers to build, scale, and manage data-rich applications with MongoDB Atlas within the Google Cloud Console.
• Continuing a successful return to in-person events, MongoDB.local Paris in April was a completely sold out gathering of attendees. At the event, cloud partner OVHcloud announced the availability of its Managed Databases for MongoDB – Enterprise Plan in free beta. The extension of this partnership offers faster innovation with secure data governance for organizations ensuring they can harness the power of their data to build better applications.

Second Quarter and Full Year Fiscal 2023 Guidance

Based on information as of today, June 1, 2022, MongoDB is issuing the following financial guidance for the second quarter and full year fiscal 2023. This guidance includes our estimate of $4-5 million negative revenue impact in the second quarter from the current global macroeconomic environment and our estimate of $30-35 million negative revenue impact for the full year fiscal 2023.

The guidance provided above is forward-looking in nature. Actual results may differ materially. See the cautionary note regarding “Forward-Looking Statements” below. Fluctuations in MongoDB’s operating results may be particularly pronounced in the current economic environment due to the current volatility in the global economy and the continuing uncertainty caused by the ongoing COVID-19 pandemic. The situation regarding both the volatility in the global economy and the COVID-19 pandemic remains uncertain and could change rapidly, and MongoDB will continue to evaluate the potential impact of both these factors on its business.

Reconciliation of non-GAAP income (loss) from operations and non-GAAP net income (loss) per share guidance to the most directly comparable GAAP measures is not available without unreasonable efforts on a forward-looking basis due to the high variability, complexity and low visibility with respect to the charges excluded from these non-GAAP measures; in particular, the measures and effects of stock-based compensation expense specific to equity compensation awards that are directly impacted by unpredictable fluctuations in MongoDB’s stock price. MongoDB expects the variability of the above charges to have a significant, and potentially unpredictable, impact on its future GAAP financial results.

Conference Call Information

MongoDB will host a conference call today, June 1, 2022, at 5:00 p.m. (Eastern Time) to discuss its financial results and business outlook. A live webcast of the call will be available on the “Investor Relations” page of MongoDB’s website at https://investors.mongodb.com. To access the call by phone, dial 1-844-200-6205 (domestic) or +1-929-526-1599 (international). The access code is 463040. A replay of this conference call will be available for a limited time at 1-866-813-9403 (domestic) or +44-204-525-0658 (international). The replay conference ID is 693228. A replay of the webcast will also be available for a limited time at https://investors.mongodb.com.

About MongoDB

MongoDB is the leading modern, general purpose database platform empowering innovators to create, transform, and disrupt industries by unleashing the power of software and data. Headquartered in New York, MongoDB has more than 35,200 customers in over 100 countries. The MongoDB database platform has been downloaded over 265 million times and there have been more than 1.5 million registrations for MongoDB University courses.

Forward-Looking Statements

This press release includes certain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, or the Securities Act, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements concerning MongoDB’s financial guidance for the second fiscal quarter and full year fiscal 2023 and MongoDB’s ability to capitalize on its market opportunity and deliver strong growth for the foreseeable future . These forward-looking statements include, but are not limited to, plans, objectives, expectations and intentions and other statements contained in this press release that are not historical facts and statements identified by words such as “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “project,” “will,” “would” or the negative or plural of these words or similar expressions or variations. These forward-looking statements reflect our current views about our plans, intentions, expectations, strategies and prospects, which are based on the information currently available to us and on assumptions we have made. Although we believe that our plans, intentions, expectations, strategies and prospects as reflected in or suggested by those forward-looking statements are reasonable, we can give no assurance that the plans, intentions, expectations or strategies will be attained or achieved. Furthermore, actual results may differ materially from those described in the forward-looking statements and are subject to a variety of assumptions, uncertainties, risks and factors that are beyond our control including, without limitation: the impact that the precautions we have taken in our business relative to the ongoing COVID-19 pandemic may have on our business; the financial impacts of the COVID-19 pandemic on our customers and our potential customers; the effects of the ongoing military conflict between Russia and Ukraine on our business and future operating results; the effects of volatility in the global economy and financial markets on our business and future operating results; our potential failure to meet publicly announced guidance or other expectations about our business and future operating results; our limited operating history; our history of losses; failure of our database platform to satisfy customer demands; the effects of increased competition; our investments in new products and our ability to introduce new features, services or enhancements; our ability to effectively expand our sales and marketing organization; our ability to continue to build and maintain credibility with the developer community; our ability to add new customers or increase sales to our existing customers; our ability to maintain, protect, enforce and enhance our intellectual property; the growth and expansion of the market for database products and our ability to penetrate that market; our ability to integrate acquired businesses and technologies successfully or achieve the expected benefits of such acquisitions; our ability to maintain the security of our software and adequately address privacy concerns; our ability to manage our growth effectively and successfully recruit and retain additional highly-qualified personnel; and the price volatility of our common stock. These and…