Mongodb Inc (NASDAQ: MDB) stock fell over 1.5% in the pre market session of 5th September, 2019 (Source: Google finance) on gross margins pressure. Gross profit in the second quarter was $71.1 million, representing a gross margin of 72% compared to 74% in the year ago period. The operating loss was $14.8 million or a negative 15% operating margin for the second quarter compared to a negative 30% margin in the year ago period. MDB has reported the net loss in the second quarter of $14.7 million. For the third quarter, the company expect revenue to be in the range of $98 million to $100 million. The company expect non-GAAP loss from operations to be negative $16.5 million to negative $15.5 million and a non-GAAP net loss per share to be in the range of negative $0.29 to negative $0.27 per share based on 56.4 million weighted average shares outstanding.
During the second quarter, the company grew the customer base by over 800 customers sequentially, bringing the total customer count to over 15,000, which is up from over 7,400 in the year ago period. MDB ended the quarter with $436.6 million in cash, cash equivalents, short term investments and restricted cash. Operating cash flow in the second quarter was negative $12.6 million. After taking into consideration approximately $1.2 million in capital expenditures, free cash flow is negative $13.8 million for the quarter. This compares to negative free cash flow of $18 million in the second quarter of fiscal 2019.
MDB in the second quarter of FY 20 has reported the adjusted loss per share of 26 cents, while adjusted revenue growth of 67 percent to $99.4 million in the second quarter of FY 20. During the second quarter, subscription revenue was $94.2 million, up 71% year-over-year and professional services revenue was $5.2 million, up 15% year-over-year. Atlas grew over 240% in the quarter and now represents 37% of total revenue compared to 18% in the second quarter of fiscal 2019 and 35% last quarter. Atlas has now reached a nearly $150 million annualized revenue run rate only three years since its launch, which reflects the popularity of MDB and the growing interest that customers of all sizes have in a fully managed cloud database offering.