Okta, Inc. (OKTA) Tops Q4 EPS by 4c, Revenues Beat; Offers Q1 & FY21 Revenue Views Above Consensus, Q1 & FY21 EPS Outlook Below Consensus

Okta, Inc. (NASDAQ: OKTA) reported Q4 EPS of ($0.01), $0.04 better than the analyst estimate of ($0.05). Revenue for the quarter came in at $167.3 million versus the consensus estimate of $155.85 million.

Fourth Quarter Fiscal 2020 Financial Highlights:

• Revenue: Total revenue was $167.3 million, an increase of 45% year-over-year. Subscription revenue was $158.5 million, an increase of 46% year-over-year.
• Remaining Performance Obligations (RPO): RPO was $1.21 billion, an increase of 66% year-over-year. Current RPO, which is subscription revenue expected to be recognized over the next 12 months, was $592.3 million, up 54% compared to the fourth quarter of fiscal 2019.
• Calculated Billings: Total calculated billings were $225.0 million, an increase of 42% year-over-year.
• Operating Loss: GAAP operating loss was $44.7 million, or 26.7% of total revenue, compared to $27.7 million, or 24.0% of total revenue, in the fourth quarter of fiscal 2019. Non-GAAP operating loss was $5.6 million, or 3.3% of total revenue, compared to $4.9 million, or 4.3% of total revenue, in the fourth quarter of fiscal 2019.
• Net Loss: GAAP net loss was $50.5 million, compared to $30.8 million in the fourth quarter of fiscal 2019. GAAP net loss per share was $0.42, compared to $0.28 in the fourth quarter of fiscal 2019. Non-GAAP net loss was $1.7 million, compared to $4.4 million in the fourth quarter of fiscal 2019. Non-GAAP net loss per share was $0.01, compared to $0.04 in the fourth quarter of fiscal 2019.
• Cash Flow: Net cash provided by operations was $24.8 million, or 14.8% of total revenue, compared to net cash provided by operations of $10.1 million, or 8.8% of total revenue, in the fourth quarter of fiscal 2019. Free cash flow was $18.1 million, or 10.8% of total revenue, compared to $4.8 million, or 4.1% of total revenue, in the fourth quarter of fiscal 2019.
• Cash, cash equivalents, and short-term investments were $1.40 billion.

"Our strong fourth quarter performance caps another fantastic year of growth and expansion," said Todd McKinnon, Chief Executive Officer and co-founder of Okta. "We continue to post industry leading growth for subscription revenue, remaining performance obligations, and billings, while achieving positive operating and free cash flows for the year. Our unparalleled cloud-based platform and continued execution is allowing us to achieve this exceptional growth at scale. We’re still in the early days of a massive addressable market to modernize identity for the workforce and customers and we are in the leading position to capitalize on the opportunity for many years to come."

GUIDANCE:

Okta, Inc. sees Q1 2021 EPS of ($0.24)-($0.23), versus the consensus of ($0.14). Okta, Inc. sees Q1 2021 revenue of $171-173 million, versus the consensus of $166.37 million.

Okta, Inc. sees FY2021 EPS of ($0.42)-($0.37), versus the consensus of ($0.27). Okta, Inc. sees FY2021 revenue of $770-780 million, versus the consensus of $756.28 million.

For the first quarter of fiscal 2021, the Company expects:

• Total revenue of $171 million to $173 million, representing a growth rate of 37% to 38% year-over-year
• Non-GAAP operating loss of $33.2 million to $32.2 million
• Non-GAAP net loss per share of $0.24 to $0.23, assuming weighted shares outstanding of approximately 123 million

For the full year fiscal 2021, the Company expects:

• Total revenue of $770 million to $780 million, representing a growth rate of 31% to 33% year-over-year
• Non-GAAP operating loss of $65.0 million to $57.0 million
• Non-GAAP net loss per share of $0.42 to $0.37, assuming weighted shares outstanding of approximately 125 million

For earnings history and earnings-related data on Okta, Inc. (OKTA) click here.

You May Also Be Interested In

• Tesla touts acceleration of new models, but Q1 results fall short of estimates
• Visa (V) earnings and revenue exceed estimates in Q2, shares rise
• Eastgroup Properties (EGP) Tops Q1 EPS by 17c, provides guidance