Okta Inc() stock surged over 5.7% on September 8th, 2017 (as of 12:09PM EDT; Source: Google finance) leading to a total rally of over 21.7% in the last four weeks.
For the second quarter of 2017, Okta reported a calculated billings rise of 54% yoy to $71.7 million indicating the solid underlying demand for the group’s products. The group expects this strong momentum to continue for the full fiscal year, forecasting a billings growth in the 50% range. Overall revenue surged 62.9% yoy to $61.0 million during the quarter while Subscription revenue enhanced 67.7% yoy to $56.1 million. The group also enhanced their customer base to over 3,650 customers during the second quarter which is a rise off 38% against pcp. The group had 539 customers with an annual contract value above $100,000, which is a rise of 52% from same quarter last year. Okta is aiming to leverage this huge customer base for more sizable upsell opportunities in the future, which could be a major driver for their business long-term. Dollar-based retention rate, reached 123% for the trailing 12 months ended July 31 boosted by the stickiness of their products coupled with better customer satisfaction.
The group has over 2,400 registrants, which is a rise of more than 50% on a year-over-year basis. The group strengthened their identity management of new and exciting product enhancements. Okta Identity Cloud continues to be a neutral cloud identity solution which is made up of six individual products: Okta Single Sign-On, Universal Directory, Adaptive Multi-Factor Authentication, Lifecycle Management, Mobility Management and API Access Management.
During the second quarter, GAAP operating loss reached $27.2 million, or 44.5% of total revenue, from $20.6 million in pcp. For the third quarter of fiscal 2018, overall revenue is forecasted to be in the range of $62.0 to $63.0 million, Non-GAAP operating loss would be in the range of $23.5 to $22.5 million. For the full fiscal 2018, revenue is forecasted to be in the range of $243.0 to $245.0 million.