08/17/2021 | Press release | Distributed by Public on 08/17/2021 04:48
● |
Revenue was $70.6 million, an increase of 94% year-over-year.
|
● |
GAAP operating loss was $27.5 million compared to a loss of $28.2 million, in the second quarter of 2020; GAAP operating margin was negative 39%, compared to negative 77% in the second quarter of 2020.
|
● |
Non-GAAP operating loss was $9.9 million compared to a loss of $14.9 million, in the second quarter of 2020; non-GAAP operating margin was negative 14% compared to negative 41%, in the second quarter of 2020.
|
● |
GAAP net loss per basic and diluted share was $1.67 compared to GAAP net loss per basic and diluted share of $2.79, in the second quarter of 2020; non-GAAP net loss per basic and diluted share was $0.26 compared to non-GAAP net loss per basic and diluted share of $0.39, in the second quarter of 2020.
|
● |
Net cash used in operating activities was negative $0.4 million, with negative adjusted free cash flow of $1.5 million, compared to negative net cash used in operating activities of $13.9 million and $15.0 million of negative adjusted free cash flow, in the second quarter of 2020.
|
● |
Cash, cash equivalents, short-term deposits and restricted cash was $878.0 million as of June 30, 2021, including $21 million from borrowings under our revolving credit facility, and net proceeds from our IPO and concurrent private placement of $736.2 million.
|
● |
Our net dollar retention rate for customers with more than 10 users was over 125%.
|
● |
The number of paid enterprise customers with more than $50,000 in annual recurring revenue was 470, up 226% from 144, in the second quarter of 2020.
|
● |
Announced monday workdocs, a completely new capability to monday.com Work OS, which enables organizations to take document collaboration to new levels. Documents are the starting point for work and monday workdocs is a completely new style of connected documents that are built to support collaboration, with live objects that update in real time whenever their source of data changes. The introduction of monday workdocs is a significant opportunity to provide our customers with new ways to create no-code, low-code software and expand how monday.com is adopted across organizations of all sizes.
|
● |
Announced the official launch of the free tier of monday.com, limited to two users. The free offering is designed to increase our market opportunity by driving awareness and broader adoption among a new set of audiences.
|
● |
Notable new customer wins or expansions during the quarter included Headspace, Wellington-Altus Private Wealth, Mintel, and Adyen.
|
● |
New strategic alliances with Global Systems Integrators across key industries such as manufacturing and real estate including Hitachi Solutions and NTT-Data.
|
● |
Continued international and geographic expansion with new channel partners, customer deals, and increasing our ARR in this region. Added Polish as a new supported language, increasing our total languages supported to 14 languages.
|
● |
Total revenue of $74 to $75 million, representing year-over-year growth of 74% to 76%.
|
● |
Non-GAAP operating loss of $26 million to $25 million.
|
● |
Total revenue of $280 million to $282 million, representing year-over-year growth of 74% to 75%.
|
● |
Non-GAAP operating loss of $93 million to $91 million and negative operating margin of between 33% and 32%.
|
Three months ended June 30,
|
Six months ended June 30,
|
|||||||||||||||
2021
|
2020
|
2021
|
2020
|
|||||||||||||
Revenue
|
$
|
70,615
|
$
|
36,460
|
$
|
129,587
|
$
|
68,389
|
||||||||
Cost of revenue
|
9,108
|
4,883
|
17,032
|
9,474
|
||||||||||||
Gross profit
|
61,507
|
31,577
|
112,555
|
58,915
|
||||||||||||
Operating expenses:
|
||||||||||||||||
Research and development
|
16,271
|
12,781
|
31,852
|
19,432
|
||||||||||||
Sales and marketing
|
61,057
|
39,636
|
124,105
|
76,581
|
||||||||||||
General and administrative
|
11,648
|
7,351
|
21,914
|
11,096
|
||||||||||||
Total operating expenses
|
88,976
|
59,768
|
177,871
|
107,109
|
||||||||||||
Operating loss
|
(27,469
|
)
|
(28,191
|
)
|
(65,316
|
)
|
(48,194
|
)
|
||||||||
Financial income (expense), net
|
(359
|
)
|
141
|
(765
|
)
|
490
|
||||||||||
Loss before income taxes
|
(27,828
|
)
|
(28,050
|
)
|
(66,081
|
)
|
(47,704
|
)
|
||||||||
Income tax expense
|
(1,063
|
)
|
(350
|
)
|
(1,762
|
)
|
(559
|
)
|
||||||||
Net loss
|
$
|
(28,891
|
)
|
$
|
(28,400
|
)
|
$
|
(67,843
|
)
|
$
|
(48,263
|
)
|
||||
Deemed dividend to preferred shareholders
|
(3,589
|
)
|
(4,665
|
)
|
(8,203
|
)
|
(9,331
|
)
|
||||||||
Net loss attributable to ordinary shareholders
|
$
|
(32,480
|
)
|
$
|
(33,065
|
)
|
$
|
(76,046
|
)
|
$
|
(57,594
|
)
|
||||
Net loss per share attributable to ordinary shareholders', basic and diluted
|
$
|
(1.67
|
)
|
$
|
(2.79
|
)
|
$
|
(4.78
|
)
|
$
|
(4.88
|
)
|
||||
Weighted-average ordinary shares used in calculating net loss per ordinary share, basic and diluted
|
19,417,672
|
11,836,484
|
15,924,392
|
11,807,296
|
June 30
|
December 31
|
|||||||
2021
|
2020
|
|||||||
ASSETS
|
||||||||
CURRENT ASSETS:
|
||||||||
Cash and cash equivalents
|
$
|
865,328
|
$
|
129,814
|
||||
Short term deposits
|
10,051
|
10,000
|
||||||
Accounts receivable, net
|
4,364
|
3,911
|
||||||
Prepaid expenses and other current assets
|
6,901
|
3,898
|
||||||
Total current assets
|
886,644
|
147,623
|
||||||
Property and equipment, net
|
13,905
|
7,178
|
||||||
Other long-term assets
|
2,100
|
2,619
|
||||||
Total assets
|
$
|
902,649
|
$
|
157,420
|
||||
LIABILITIES, CONVERTIBLE PREFERRED SHARES AND SHAREHOLDERS' (DEFICIT) EQUITY
|
||||||||
CURRENT LIABILITIES:
|
||||||||
Accounts payable
|
$
|
25,325
|
$
|
25,734
|
||||
Accrued expenses and other current liabilities
|
34,529
|
22,967
|
||||||
Deferred revenue
|
101,923
|
70,719
|
||||||
Revolving credit facility
|
21,035
|
21,016
|
||||||
Total current liabilities
|
182,812
|
140,436
|
||||||
OTHER LONG-TERM LIABILITIES
|
1,244
|
1,045
|
||||||
Total liabilities
|
184,056
|
141,481
|
||||||
CONVERTIBLE PREFERRED SHARES
|
-
|
233,496
|
||||||
SHAREHOLDERS' (DEFICIT) EQUITY:
|
||||||||
Share capital and additional paid-in capital
|
1,102,802
|
98,809
|
||||||
Accumulated deficit
|
(384,209
|
)
|
(316,366
|
)
|
||||
Total shareholders' deficit
|
718,593
|
(217,557
|
)
|
|||||
Total liabilities, convertible preferred shares, and shareholders' deficit
|
$
|
902,649
|
$
|
157,420
|
Three months ended
|
Six months ended
|
|||||||||||||||
June 30,
|
June 30,
|
|||||||||||||||
2021
|
2020
|
2021
|
2020
|
|||||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES:
|
||||||||||||||||
Net loss
|
$
|
(28,891
|
)
|
$
|
(28,400
|
)
|
$
|
(67,843
|
)
|
$
|
(48,263
|
)
|
||||
Adjustments to reconcile net loss to net cash used in operating activities:
|
||||||||||||||||
Depreciation and amortization
|
527
|
441
|
1,074
|
787
|
||||||||||||
Capital loss from sale of property and equipment
|
2
|
-
|
47
|
-
|
||||||||||||
Share-based compensation
|
17,558
|
13,301
|
32,098
|
16,527
|
||||||||||||
Change in accrued interest on revolving credit facility
|
(2
|
)
|
(12
|
)
|
19
|
(18
|
)
|
|||||||||
Changes in operating assets and liabilities:
|
||||||||||||||||
Accounts receivable, net
|
533
|
(2,636
|
)
|
(453
|
)
|
(2,306
|
)
|
|||||||||
Prepaid expenses and other assets
|
(429
|
)
|
(214
|
)
|
(2,058
|
)
|
(2,125
|
)
|
||||||||
Accounts payable
|
(4,972
|
)
|
(1,416
|
)
|
(1,003
|
)
|
2,289
|
|||||||||
Accrued expenses and other liabilities
|
1,099
|
2,743
|
5,961
|
3,569
|
||||||||||||
Deferred revenue
|
14,220
|
2,343
|
31,204
|
10,557
|
||||||||||||
Net cash used in operating activities
|
(355
|
)
|
(13,850
|
)
|
(954
|
)
|
(18,983
|
)
|
||||||||
CASH FLOWS FROM INVESTING ACTIVITIES:
|
||||||||||||||||
Purchase of property and equipment
|
(1,358
|
)
|
(1,032
|
)
|
(5,581
|
)
|
(2,174
|
)
|
||||||||
Capitalized software development costs
|
(718
|
)
|
(250
|
)
|
(1,158
|
)
|
(359
|
)
|
||||||||
Proceeds from sale of property and equipment
|
-
|
-
|
21
|
-
|
||||||||||||
Changes in short-term deposits
|
(51
|
)
|
-
|
(51
|
)
|
-
|
||||||||||
Net cash used in investing activities
|
(2,127
|
)
|
(1,282
|
)
|
(6,769
|
)
|
(2,533
|
)
|
||||||||
CASH FLOWS FROM FINANCING ACTIVITIES:
|
||||||||||||||||
Proceeds from initial public offering and concurrent private placement, net of underwriting discounts and other issuance costs
|
736,227
|
-
|
736,020
|
-
|
||||||||||||
Proceeds from exercise of share options
|
1,300
|
187
|
1,843
|
247
|
||||||||||||
Receipt of revolving credit facility, net of payments
|
-
|
1,000
|
-
|
3,000
|
||||||||||||
Receipt of tax advance relating to exercises of share options
|
6,023
|
-
|
6,023
|
-
|
||||||||||||
Capital lease payments
|
(21
|
)
|
(18
|
)
|
(49
|
)
|
(36
|
)
|
||||||||
Net cash provided by financing activities
|
743,529
|
1,169
|
743,837
|
3,211
|
||||||||||||
INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH
|
741,047
|
(13,963
|
)
|
736,114
|
(18,305
|
)
|
||||||||||
CASH, CASH EQUIVALENTS AND RESTRICTED CASH - Beginning of period
|
126,881
|
167,658
|
131,814
|
172,000
|
||||||||||||
CASH, CASH EQUIVALENTS AND RESTRICTED CASH - End of period
|
$
|
867,928
|
$
|
153,695
|
$
|
867,928
|
$
|
153,695
|
||||||||
RECONCILIATION OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH TO THE CONSOLIDATED BALANCE SHEET:
|
||||||||||||||||
Cash and cash equivalents
|
$
|
865,328
|
$
|
151,695
|
$
|
865,328
|
$
|
151,695
|
||||||||
Restricted cash - Included in prepaid expense and other current assets
|
600
|
-
|
600
|
-
|
||||||||||||
Restricted cash - Included in other long-term assets
|
2,000
|
2,000
|
2,000
|
2,000
|
||||||||||||
Total cash, cash equivalents, and restricted cash
|
$
|
867,928
|
$
|
153,695
|
$
|
867,928
|
$
|
153,695
|
Three months ended
June 30,
|
Six months ended
June 30,
|
|||||||||||||||
2021
|
2020
|
2021
|
2020
|
|||||||||||||
Reconciliation of gross profit and gross margin
|
||||||||||||||||
GAAP gross profit
|
$
|
61,507
|
$
|
31,577
|
$
|
112,555
|
$
|
58,915
|
||||||||
Share-based compensation
|
1,833
|
603
|
3,364
|
902
|
||||||||||||
Non-GAAP gross profit
|
63,340
|
32,180
|
115,919
|
59,817
|
||||||||||||
GAAP gross margin
|
87
|
%
|
87
|
%
|
87
|
%
|
86
|
%
|
||||||||
Non-GAAP gross margin
|
90
|
%
|
88
|
%
|
89
|
%
|
87
|
%
|
||||||||
Reconciliation of operating expenses
|
||||||||||||||||
GAAP research and development
|
$
|
16,271
|
$
|
12,781
|
$
|
31,852
|
$
|
19,432
|
||||||||
Share-based compensation
|
(5,068
|
)
|
(5,594
|
)
|
(9,605
|
)
|
(6,619
|
)
|
||||||||
Non-GAAP research and development
|
$
|
11,203
|
$
|
7,187
|
$
|
22,247
|
$
|
12,813
|
||||||||
GAAP sales and marketing
|
$
|
61,057
|
$
|
39,636
|
$
|
124,105
|
$
|
76,581
|
||||||||
Share-based compensation
|
(5,536
|
)
|
(2,706
|
)
|
(9,570
|
)
|
(3,757
|
)
|
||||||||
Non-GAAP sales and marketing
|
$
|
55,521
|
$
|
36,930
|
$
|
114,535
|
$
|
72,824
|
||||||||
GAAP general and administrative
|
$
|
11,648
|
$
|
7,351
|
$
|
21,914
|
$
|
11,096
|
||||||||
Share-based compensation
|
(5,121
|
)
|
(4,398
|
)
|
(9,559
|
)
|
(5,249
|
)
|
||||||||
Non-GAAP general and administrative
|
$
|
6,527
|
$
|
2,953
|
$
|
12,355
|
$
|
5,847
|
||||||||
Reconciliation of operating loss
|
||||||||||||||||
GAAP operating loss
|
$
|
(27,469
|
)
|
$
|
(28,191
|
)
|
$
|
(65,316
|
)
|
$
|
(48,194
|
)
|
||||
Share-based compensation
|
$
|
17,558
|
$
|
13,301
|
$
|
32,098
|
$
|
16,527
|
||||||||
Non-GAAP operating loss
|
$
|
(9,911
|
)
|
$
|
(14,890
|
)
|
$
|
(33,218
|
)
|
$
|
(31,667
|
)
|
||||
GAAP operating margin
|
(39
|
)%
|
(77
|
)%
|
(50
|
)%
|
(70
|
)%
|
||||||||
Non-GAAP operating margin
|
(14
|
)%
|
(41
|
)%
|
(26
|
)%
|
(46
|
)%
|
||||||||
Reconciliation of net loss
|
||||||||||||||||
GAAP net loss
|
$
|
(28,891
|
)
|
$
|
(28,400
|
)
|
$
|
(67,843
|
)
|
$
|
(48,263
|
)
|
||||
Share-based compensation
|
17,558
|
13,301
|
32,098
|
16,527
|
||||||||||||
Non-GAAP net loss
|
$
|
(11,333
|
)
|
$
|
(15,099
|
)
|
$
|
(35,745
|
)
|
$
|
(31,736
|
)
|
||||
Reconciliation of net loss attributable to ordinary shareholders
|
||||||||||||||||
GAAP net loss attributable to ordinary shareholders
|
$
|
(32,480
|
)
|
$
|
(33,065
|
)
|
$
|
(76,046
|
)
|
$
|
(57,594
|
)
|
||||
Deemed dividend to preferred shareholders
|
3,589
|
4,665
|
8,203
|
9,331
|
||||||||||||
Share-based compensation
|
17,558
|
13,301
|
32,098
|
16,527
|
||||||||||||
Non-GAAP net loss
|
$
|
(11,333
|
)
|
$
|
(15,099
|
)
|
$
|
(35,745
|
)
|
$
|
(31,736
|
)
|
||||
GAAP net loss per share attributable to ordinary shareholders', basic and diluted
|
$
|
(1.67
|
)
|
$
|
(2.79
|
)
|
$
|
(4.78
|
)
|
$
|
(4.88
|
)
|
||||
Non-GAAP net loss per share, basic and diluted
|
$
|
(0.26
|
)
|
$
|
(0.39
|
)
|
$
|
(0.81
|
)
|
$
|
(0.83
|
)
|
||||
Reconciliation of basic and diluted weighted average number of shares outstanding
|
||||||||||||||||
Weighted average number of ordinary shares outstanding used in computing basic and diluted net loss per share (GAAP)
|
19,417,672
|
11,836,484
|
15,924,392
|
11,807,296
|
||||||||||||
Additional shares giving effect to IPO and concurrent private placement (1)
|
3,946,810
|
-
|
4,489,262
|
-
|
||||||||||||
Additional shares giving effect to conversion of convertible preferred shares at the beginning of the period (2)
|
20,629,197
|
26,440,239
|
23,518,666
|
26,440,239
|
||||||||||||
Weighted average number of ordinary shares outstanding used in computing basic and diluted net loss per share (Non-GAAP)
|
43,993,679
|
38,276,723
|
43,932,320
|
38,247,535
|
(1)
|
Assumes ordinary shares outstanding after accounting for the issuance of 5,037,742 ordinary shares associated with our initial public offering and concurrent private placement at the beginning of the first quarter of 2021 instead of the IPO closing date, June 10, 2021.
|
(2)
|
Assumes ordinary shares outstanding after accounting for the automatic conversion of the preferred shares then outstanding into ordinary shares at the beginning of fiscal year.
|
Reconciliation of net cash provided by operating activities to adjusted free cash flow
|
||||||||||||||||
Three months ended June 30,
|
Six months ended June 30,
|
|||||||||||||||
2021
|
2020
|
2021
|
2020
|
|||||||||||||
Net cash provided by operating activities
|
$
|
(355
|
)
|
$
|
(13,850
|
)
|
$
|
(954
|
)
|
$
|
(18,983
|
)
|
||||
Purchase of property and equipment
|
(1,358
|
)
|
(1,032
|
)
|
(5,581
|
)
|
(2,174
|
)
|
||||||||
Capitalized software development costs
|
(718
|
)
|
(250
|
)
|
(1,158
|
)
|
(359
|
)
|
||||||||
Purchase of property and equipment related to build-out of our new corporate headquarters
|
951
|
100
|
4,618
|
525
|
||||||||||||
Adjusted free cash flow
|
(1,480
|
)
|
(15,032
|
)
|
(3,075
|
)
|
(20,991
|
)
|