The provider of real-time Big Data tools Confluent has announced results for the fourth quarter of last yearas well as the full year 2022. The income during October and December of the company were 169 million dollars, 41% more than in the same quarter of 2021, and have exceeded expectations. However, they have not been enough for the company not to register losses during the quarter: 115 million net losses.
Throughout the year 2022, it has managed to enter 586 million dollars, 51% more than in 2021, which shows that it is a company that is in the midst of its growth phase. In addition, in the fourth quarter of 2022, the company’s cloud platform, Confluent Cloud, has entered $68 million, a figure that represents a year-on-year increase of 102%, totaling $211 million in 2022, 124% more than in 2021.
This platform is an enterprise version of Apache Kafka, which is used to track data points such as sales, operations, orders, and customer responses in real time. It can be deployed on public cloud platforms such as AWS, Google Cloud, and Azure. It can also be used for local deployments.
The data it collects is sent to clients through real-time streams, and with Confluent’s software they can analyze it in no time. This has led to the fact that Confluent software has already entered many large companies. So much so that it is already present in most of the companies on the Fortune 500 list. It currently has 991 clients with annual recurring revenue equal to or greater than $100,000. This means that it has 35% more of these clients than in 2021.
In view of the results, Jay Kreps, CEO and one of the founders of Confluenthas stressed that the company “helps drive richer customer experiences and smarter, more efficient backend operations, as well as unlock new data-driven business opportunities«.
Furthermore, Kreps points out that the company’s position “as a category leader is demonstrated by Confluent Cloud’s 124% year-over-year growth in revenue growth in 2022, by increasing customers with more than 100,000 annual recurring revenue, up 35% year-over-year; and for a net, dollar-based, withholding rate of less than 130%«.
As for the Confluent CFO Steffan Tomlinsonhas indicated that the results of the fourth quarter of the companies demonstrate their «ongoing commitment to deliver high revenue growth with significant room for improvement. Looking ahead, we are focused on accelerating our route time to breakeven operating margins in one year, exiting in 2023. At the same time, we expect to achieve annual revenue growth in 2023 of approximately 30%.«.
However, their forecasts for the current quarter are cautious. For these first three months of 2023, the company forecasts revenue of between 166 and 168 million dollars. For all of 2023, Confluent plans to enter between 760 and 765 million of dollars.
