For the fourth quarter of 2017, Mongodb Inc(NASDAQ: MDB) revenue rose 50% yoy to $45 million, exceeding the expectations. Accordingly, the stock rose over 3.7% in the after-hours session on March 13th, 2018 (As of 7:59PM EDT ; Source: Google finance). MDB stock generated over 27.6% returns this year.
The customer’s surged 78% yoy to 5,700 customers, driven by growth across Enterprise Advanced, EA for short, and Atlas customers. Atlas is the major revenue driver which had over 3,400 customers as at the end of the quarter against over 2,600 at the end of the third quarter. The group’s Subscription revenue surged 54% yoy to $41.9 million, while professional services enhanced 16% yoy to $3.2 million. This solid performance of the business was driven with healthy new logo and upsell activity among enterprise customers as well as the ongoing rapid adoption of Atlas.
Meanwhile, the group sees a solid market opportunity as they see the beginning of a real platform shift where customers realize the only way to solve this problem is to modernize the legacy infrastructure by moving to a next-generation data platform. The group believes that they are in the early stages of establishing MongoDB as the seminal software franchise with the opportunity to sustain high levels of growth for a long period of time. Accordingly, they are making investments in mobile and expanding the app to ensure what developers can do with their platform, including some very interesting data visions of Asian capabilities that they are planning to launch later this year. Secondly, the group is driving strong revenue growth through expansion of their sales capacity and related marking investments. They are at the very early stages of pen, one of the largest market in software which is right for disruption.
For fiscal 2019, they intend to continue to expand their direct sales team in order to expand it in new markets, as well as deepen up penetration. The group is investing to more tightly align with partners as a part of their strategy to pursue larger, more strategic customer relationships.