Cloudflare, Inc. (NYSE:NET) Reports Third Quarter 2024 Financial Results
Cloudflare, Inc., a leading connectivity cloud company, has announced its financial results for the third quarter ending September 30, 2024.
Key Financial Metrics
| Metric | Q3 2024 | Q3 2023 | Year-over-Year Change | Wall Street Consensus |
|---|---|---|---|---|
| Revenue | $430.1 million | $336.8 million | +28% | $424.12 million |
| GAAP Net Income (Loss) | $(15.3) million | $(23.5) million | -- | -- |
| GAAP Earnings per Share | $(0.04) | $(0.07) | -- | $0.18 |
| Non-GAAP Net Income | $72.6 million | $55.3 million | -- | -- |
| Non-GAAP Earnings per Share | $0.20 | $0.16 | -- | $0.18 |
Cloudflare exceeded consensus estimates, reporting a revenue of $430.1 million, which marks a 28% increase year-over-year. Non-GAAP earnings per share also surpassed expectations, reaching $0.20 compared to the consensus estimate of $0.18. The company continues to show robust financial performance as reflected in both revenue growth and improved earnings.
Operational Highlights
- Added a record 219 large customers.
- Achieved a milestone where 35% of the Fortune 500 companies are now paying customers.
- Supported cybersecurity efforts for the 2024 U.S. elections, providing services at no cost to hundreds of government websites in over half of the U.S. states.
Comments from Company Officials
Matthew Prince, CEO of Cloudflare, remarked on the company exceeding expectations across several metrics and noted a key turning point in the transformation of their go-to-market organization. He highlighted the company’s role in aiding election security in the U.S., protecting the democratic process, and broadening its customer milestones.
Forward Guidance
- Q4 2024 Outlook : Revenue is expected to be between $451.0 million to $452.0 million. Non-GAAP net income per share is projected at $0.18.
- Full Year 2024 Outlook : Revenue is projected to be between $1,661.0 million to $1,662.0 million with a non-GAAP net income per share of $0.74.
Stock Price Movement
Following the earnings release, Cloudflare’s stock saw an upward movement, with an increase of approximately 4.32%.
Overall, Cloudflare's third-quarter results highlight robust growth and financial strength, while demonstrating its strategic efforts in expanding its market and customer base.
For more in-depth analysis and insights, stay tuned with our platform to stay ahead of the market.
