Q3 2024 Nutanix Inc Earnings Call Transcript
Key Points
- Nutanix Inc (NTNX) delivered a solid third quarter with results exceeding guidance across all metrics.
- Quarterly revenue reached $525 million, representing a year-over-year growth of 17%.
- Annual Recurring Revenue (ARR) grew 24% year-over-year to $1.82 billion.
- The company generated a strong free cash flow of $78 million, representing a 15% free cash flow margin.
- Nutanix Inc (NTNX) announced significant partnerships, including expanded collaborations with Dell and NVIDIA, enhancing their cloud platform and AI capabilities.
- The company continues to experience elongated sales cycles, particularly for larger deals, which can impact the timing and outcome of revenue recognition.
- Despite a strong pipeline, the new and expansion ACV and ARR performance year-to-date have been below initial expectations.
- The competitive landscape remains aggressive, with competitors like Broadcom displaying flexibility in pricing and packaging to retain customers.
- The transition to net share settlement for employee tax liabilities on RSU vesting has required significant cash outflows, totaling over $111 million year-to-date.
- The company's guidance for Q4 fiscal 2024 indicates a potential slowdown in non-GAAP operating margin compared to Q3, with a range of 9% to 10%.
Good day, and thank you for standing by, and welcome to Nutanix Q3 2024 Earnings Conference Call. (Operator Instructions) Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker today, Rich Valera, VP of Investor Relations at Nutanix.
Good afternoon, and welcome to today's conference call to discuss third quarter fiscal year 2024 financial results. Joining me today are Rajiv Ramaswami, Nutanix's President and CEO; and Rukmini Sivaraman, Nutanix's CFO.
After the market closed today, Nutanix issued a press release announcing third quarter fiscal year 2024 financial results. If you'd like to read the release, please visit the Press Releases section of our IR website.
During today's call, management will make forward-looking statements, including financial guidance. These forward-looking statements involve risks and uncertainties, some of which are beyond our control, which could cause actual results to differ materially and adversely
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
