MongoDB Inc Earnings
MongoDB, Inc. (NASDAQ: MDB), a leading player in the database market, concluded its fiscal 2025 on a high note. The company's robust financial results for the fourth quarter and the overall fiscal year ended January 31, 2025, were unveiled recently, showcasing impressive revenue growth and operational excellence. With an increasing customer base and strategic advancements, MongoDB continues to solidify its position in the market with its flexible and scalable database platform.
MongoDB Inc Results
Below is a table summarizing MongoDB's key financial metrics for the fourth quarter of fiscal 2025 compared to the same period last year:
| Metric | Q4 Fiscal 2025 | Q4 Fiscal 2024 | Change |
|---|---|---|---|
| Total Revenue | $548.4 million | $457 million | +20% |
| Subscription Revenue | $531.0 million | $445.8 million | +19% |
| Services Revenue | $17.4 million | $13 million | +34% |
| Gross Profit | $399.4 million | $342.8 million | +16.5% |
| Non-GAAP Gross Profit | $411.7 million | $351.25 million | +17.2% |
| Loss from Operations | $18.6 million | $71.0 million | (73.8% improvement) |
| Non-GAAP Income from Operations | $112.5 million | $69.2 million | +62.5% |
| Net Income (Loss) | $15.8 million | -$55.5 million | +128.5% |
| Non-GAAP Net Income | $108.4 million | $71.1 million | +52.5% |
For the full year 2025, total revenue reached $2.01 billion, marking a 19% year-over-year increase. Notably, the company posted a non-GAAP net income of $308.2 million, significantly up from $274.2 million the previous year. MongoDB’s financial strength is further underscored by generating $150.2 million in cash from operations during the year.
Revenue Breakdown
The table below illustrates the revenue performance across MongoDB's major segments for Q4 Fiscal 2025:
| Revenue Segment | Q4 Fiscal 2025 | Q4 Fiscal 2024 | Change |
|---|---|---|---|
| Total Revenue | $548.4 million | $457 million | +20% |
| Subscription Revenue | $531.0 million | $445.8 million | +19% |
| Services Revenue | $17.4 million | $13 million | +34% |
| MongoDB Atlas Revenue | 71% of Total Q4 Revenue | Not Specified | +24% YoY in Atlas |
In-depth Analysis
MongoDB's revenue growth is driven by its subscription services, which increased by 19% year-over-year. This solid performance is largely attributed to MongoDB Atlas, the company's flagship cloud database service, which accounted for 71% of the total Q4 revenue and grew 24% year-over-year. The strong demand for MongoDB Atlas underscores the increasing reliance on cloud-based data solutions across industries. Furthermore, services revenue rose by 34%, signaling the company's expansion in service offerings and successful customer engagements.
Key Developments
Several significant developments mark MongoDB's current trajectory. The strategic acquisition of Voyage AI, a leader in AI applications, is set to enhance MongoDB's capabilities in offering AI-powered data solutions seamlessly integrated within its platform. This move is poised to enrich the user experience by providing sophisticated, real-time data retrieval within applications.
Additionally, MongoDB's financial health received a boost with the redemption of 2026 Convertible Notes, eliminating debt from its balance sheet. The company also announced a $200 million stock buyback program to counteract the dilutive effects of the Voyage acquisition, signaling confidence in its market position and future prospects.
MongoDB's consistent recognition as a Leader in the 2024 Gartner® Magic Quadrant™ for Cloud Database Management Systems for the third consecutive year further cements its competitive edge in the industry.
Comments from Company Officers
President and CEO Dev Ittycheria expressed confidence in MongoDB's growth trajectory, citing the 24% growth in Atlas revenue and margin expansion as key achievements. "Atlas consumption in the quarter was better than expected and we continue to see good performance in new workload wins due to the flexibility, scalability, and performance of the MongoDB platform," Ittycheria noted. He emphasized MongoDB's role in enabling businesses to innovate at AI speed while discussing the strategic acquisition of Voyage AI, highlighting its potential to simplify the development of trustworthy AI-powered applications.
Dividends and Share Repurchases
While MongoDB does not currently offer dividends, the company announced a $200 million stock buyback program. This initiative is expected to counter the dilutive impact of the Voyage AI acquisition, showcasing MongoDB's commitment to delivering shareholder value and maintaining financial stability.
MongoDB Inc Stock Forecast
Based on the company’s robust financial performance and strategic developments, projections for MongoDB’s stock price show optimism. Given its innovative product offerings and strong market positioning, MongoDB could see its stock price rise within a range of $440 to $460 per share in the high estimate. However, in a more conservative scenario considering market volatility and broader economic conditions, the stock could potentially be valued between $400 and $420 per share.
These projections are fueled by factors such as MongoDB’s substantial market capitalization of over $17.9 billion and its capacity to leverage its expanded AI capabilities through the Voyage acquisition—key elements that exemplify MongoDB's potential for sustained long-term growth. As MongoDB continues to innovate and capture market share, investors can expect upward momentum in its stock performance driven by these favorable developments.
In summary, MongoDB's fiscal 2025 earnings provide a solid foundation for confidence and continuous growth, backed by strategic acquisitions, a strong customer base, and a commitment to technological innovation. As the company moves forward, investors and stakeholders alike are likely to remain vigilant, capitalizing on MongoDB's growth opportunities tied to its well-adapted database solutions in an increasingly digital economy.
