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Mimecast Stock Is Trading Higher On Q4 Earnings Beat, Robust Q1 Guidance

05/11/2021 12:05
  • Mimecast Ltd (NASDAQ: MIMEreported fourth-quarter FY21 revenue growth of 17% year-on-year to $133.9 million, beating the analyst consensus of $131.17 million.
  • Average services per customer rose 6% Y/Y to 3.5, and the average order value per customer increased 9% Y/Y to $13,900.
  • The company accomplished a net revenue retention rate of 104% from the upsell of 113%, with particular strength in Email Security 3.0 – Zone 2 solutions. Internal Email Protection added 900 customers, Awareness Training adding 800, and Web Security adding 300 customers.
  • Non-GAAP gross margin expanded 190 basis points to 77.8%.
  • Non-GAAP net income rose 90.7% Y/Y to $18.5 million with an adjusted EPS of $0.28, beating the analyst consensus of $0.23.
  • It generated $31.7 million in operating cash flow and held $292.9 million in cash and equivalents.
  • Adjusted EBITDA was $33.3 million with a 390-basis points margin expansion at 24.9%.
  • Guidance: Mimecast sees Q1 FY22 revenue guidance of $137.2 million - $138.6 million, above the analyst consensus of $131.66 million, and adjusted EBITDA guidance of $35.8 million - $36.8 million.
  • It sees an FY22 revenue outlook of $569.7 million - $579.7 million, above the analyst consensus of $498.84 million, and an adjusted EBITDA outlook of $148.5 million - $150.5 million.
  • Price action: MIME shares traded higher by 5.4% at $45.56 on the last check Tuesday.