Varonis Systems ( (VRNS) ) has released its Q4 earnings. Here is a breakdown of the information Varonis Systems presented to its investors.
Varonis Systems, Inc. is a leading company in the data security industry, specializing in cloud-native data security platforms that continuously discover, classify, and protect critical data using AI-powered automation across various environments including SaaS, IaaS, and hybrid clouds.
Varonis Systems recently released its financial results for the fourth quarter and full-year 2024, highlighting significant growth in its annual recurring revenue (ARR) and a strategic shift towards SaaS offerings. The company has seen an 18% increase in ARR year-over-year, and for the first time, SaaS represents a majority of the total ARR, marking a pivotal transition in their business model.
Key financial metrics from the report indicate a total revenue of $551 million for 2024, up from $499.2 million in 2023, with SaaS revenues significantly increasing to $208.8 million. Despite a GAAP operating loss of $117.7 million, the company achieved a non-GAAP operating income of $15.9 million. Varonis also reported substantial improvements in cash flow, with cash from operations rising to $115.2 million and free cash flow to $108.5 million, reflecting a robust financial position.
Looking ahead, Varonis Systems aims to continue its growth trajectory by expanding its data-centric security solutions and completing its transition to a SaaS model in 2025. The company anticipates further ARR growth and plans to leverage strategic investments to sustain its momentum in the data security market.