Backblaze Reports Strong Growth in Cloud Storage Revenue

Backblaze, Inc. ( (BLZE) ) has released its Q4 earnings. Here is a breakdown of the information Backblaze, Inc. presented to its investors.

Backblaze, Inc. is a cloud storage company that provides a modern alternative to traditional cloud providers, offering high-performance and secure cloud object storage solutions for various applications, including AI workflows and media management. In its latest earnings report, Backblaze announced significant growth, with a 22% increase in B2 Cloud Storage revenue and an 18% overall revenue growth in the fourth quarter of 2024. The company also reported a more than doubled adjusted EBITDA margin year-over-year, reaching 14% for the quarter.

Key financial highlights for the fourth quarter of 2024 include a revenue of $33.8 million, a gross profit of $18.5 million, and a net loss of $14.4 million. The B2 Cloud Storage segment led the growth with a 22% increase in revenue, while the Computer Backup segment saw a 13% rise. The full-year 2024 results showed a 25% increase in total revenue, with B2 Cloud Storage revenue up by 36% and Computer Backup revenue up by 16%.

Strategic highlights from the report include a successful secondary offering that reinforced the company’s balance sheet with $37 million in net proceeds and a significant deal for over $1 million in annual contract value. The company also noted a substantial increase in AI-related business, with AI companies becoming a significant part of its top customer base.

Looking ahead, Backblaze management expects continued revenue growth, projecting between $144 million to $146 million for the full year 2025, with an adjusted EBITDA margin between 16% to 18%. The company remains focused on expanding its B2 business and enhancing its market presence through strategic partnerships and cost-saving initiatives.