Pagerduty Inc (NYSE: PD) stock fell over 10.3% on 6th September, 2019 (As of 9:58 am GMT-4; Source: Google finance) as the company posted better than expected results for the second quarter of FY 20. During the quarter, the company saw robust demand for the platform as well as strong adoption of the new products, Event Intelligence, Modern Incident Response, Visibility and Analytics. PD has ended the quarter with 12,045 customers, up 15% year-over-year; and 274 customers with an annual recurring revenue above $100,000, up 51% year-over-year, demonstrating our strong growth in the enterprise segment. Net cash provided by operations was $2.2 million, or 5.3% of revenue, compared to net cash used in operations of $4.7 million, or 17.1% of revenue, in the second quarter of fiscal 2019. Free cash flow was positive $1.3 million, or 3.3% of revenue, compared to negative $5.0 million, or 18.1% of revenue, in the second quarter of fiscal 2019. Cash and Cash Equivalents and Investments were $341.1 million as of July 31, 2019.
Moreover during the quarter, PD has landed a 7 figure multi-year deal with them this quarter. They use PagerDuty across multiple teams, both a modern DevOps team and a traditional IT and OT team. They use PagerDuty to improve communication across teams, increase the benefit productivity and increase total visibility into the health of all services.
PD in the second quarter of FY 20 has reported the adjusted loss per share of 7 cents, beating the analysts’ estimates for the adjusted loss per share of 10 cents, according to FactSet. The company had reported the adjusted revenue growth of 45 percent to $40.4 million in the second quarter of FY20, beating the analysts’ estimates for revenue of $39.1 billion.
PagerDuty also slightly increased its annual forecast, adding a penny to its earnings forecast, which now calls for adjusted losses of 36 to 37 cents a share, and a million dollars to its revenue guidance, which is now $162 million to $164 million. International revenue grew 59% year-over-year and now represents 22% of our total revenue. The dollar-based net revenue retention for the quarter was 132%. In the past 8 quarters, our net revenue retention has been above 130%.
For the third quarter of fiscal 2020, PagerDuty expects the total revenue to be in the range of $41.5 million – $42.5 million, representing a growth rate of 33% – 36% year-over-year. Non-GAAP net loss per share is expected to be in the range of $0.09 – $0.10, assuming approximately 76 million shares.