Nutanix: Fiscal 2Q22 Financial Results

(in $ million)	2Q21	2Q22	Growth	6-month 21	6-month 22	*Growth*
Revenue	346.4	413.1	*19%*	659.1	791.6	*20%*
Net income (loss)	(287.4)	(115.1)		(552.4)	(534.9)

Nutanix, Inc. announced financial results for its second quarter ended January 31, 2022.

“Our second quarter reflected continued solid execution, demonstrating strong Y/Y top and bottom-line improvement,” said Rajiv Ramaswami, president and CEO. “We also see growing momentum towards adoption of hybrid multicloud models and believe the recent launch of our hybrid multicloud solution portfolio will strengthen our ability to deliver the solutions our customers need.“

“In our second quarter, we achieved record ACV billings, which grew 37% Y/Y, and saw 19% Y/Y revenue growth,” said Duston Williams, CFO. “We saw good execution on our building base of subscription renewals and generated positive free cash flow in the quarter – both reflections of continued progress on our subscription model.“

2FQ22 financial summary
Nutanix Fiscal 2q22 Financial Results F

3FQ22 outlook
ACV Billings: $195-$200 million
Revenue: $395-$400 million
Non-GAAP Gross Margin: Approximately 82%
Non-GAAP Operating Expenses: $365-$370 million
Weighted Average Shares Outstanding: Approximately 222 million

FY22 outlook
ACV Billings: $760-$765 million
Revenue: $1.625-$1.630 billion
Non-GAAP Gross Margin: Approximately 82.5%
Non-GAAP Operating Expenses: $1.465-$1.470 billion

Comments

Revenue for 2FQ22 was $413 million, a 19% Y/Y growth, above guidance range of $400 million to $410 million and ahead of the Street consensus number of $407 million.

Once more, the HCI leader never was profitable since as far as 2012 now with more than $3.1 billion cumulative loss.

ACV billings for 2FQ22 were $218 million, reflecting 37% Y/Y growth, above guidance range of $195 million to $200 million and ahead of the Street consensus number of $198 million.

Average contract term lengths overall stayed steady at 3.1, the same as in 1FQ22. ARR as of the end of 2FQ22 was $1.04 billion, growing yearly 55%.

2FQ22 sales rep productivity was in line with forecast and net sales reps were flat in this quarter. The company adds of 700 new customers in 2FQ22 vs. 1FQ22 new ones of 560, and the 2FQ21 new logo count of 730.

The firm closed the quarter with cash and short-term investments of $1.29 billion, up from $1.28 billion in 1FQ22.

Customer growth
Nutanix F2 1646332451

Next quarter, the company expects revenue between $395 and $400 million, down Q/Q 4% to 3%.

The revenue guidance of $1.625 billion to $1.630 billion or up yearly 16% to 17*%, compares to the previous guidance range of $1.615 billion to $1.630 billion and vs. the previous consensus estimate of $1.626 billion.