Commvault: Commvault Announces Fiscal 2025 Fourth Quarter Financial Results

TINTON FALLS, N.J. , April 29, 2025 /PRNewswire/ -- Commvault [Nasdaq: CVLT] today announced its financial results for the fourth quarter and fiscal year ended March 31, 2025. "It was a record-breaking year at Commvault," said Sanjay Mirchandani , President and CEO. "Commvault surpassed all key metrics, ended the year with over 12,000 subscription customers, and is firmly positioned as a growth company with subscription revenue up 45% in Q4. We continue to deliver cloud-first innovations that solve a hard problem for customers - strengthening their cyber resilience." Notes are contained at the end of this Press Release. Fiscal 2025 Fourth Quarter Highlights - Total revenues were $275 million , up 23% year over year Subscription revenue was $173 million , up 45% year over year Income from operations (EBIT) was $27 million , an operating margin of 9.7% Non-GAAP EBIT 1 was $59 million , an operating margin of 21.5% Operating cash flow was $77 million , with free cash flow 1 of $76 million Fourth quarter share repurchases were $30 million , or approximately 182,000 shares of common stock Fiscal 2025 Full Year Highlights - Total revenues were $996 million , up 19% year over year Total annualized recurring revenue (ARR) 2 grew to $930 million , up 21% year over year Subscription revenue was $590 million , up 37% year over year Subscription ARR 2 grew to $780 million , up 31% year over year and represents 84% of Total ARR 2 Income from operations (EBIT) was $74 million , an operating margin of 7.4% Non-GAAP EBIT 1 was $210 million , an operating margin of 21.1% Full year operating cash flow was $207 million , with full year free cash flow 1 of $204 million Full year share repurchases were $165 million , or approximately 1,215,000 shares of common stock On April 17, 2025 , our Board of Directors increased our share repurchase program to $250 million Financial Outlook for First Quarter and Full Year Fiscal 2026 3 - We are providing the following guidance for the first quarter of fiscal year 2026, based on current macroeconomic conditions: Total revenues are expected to be between $266 million and $270 million Subscription revenue is expected to be between $166 million and $170 million Non-GAAP gross margin is expected to be between 81% and 82% Non-GAAP operating margin 1 is expected to be approximately 21% We are providing the following guidance for the full fiscal year 2026, based on current macroeconomic conditions: Total revenues are expected to be between $1,130 million and $1,140 million Total ARR 2 is expected to grow between 16% and 17% year over year Subscription revenue is expected to be between $727 million and $732 million Subscription ARR 2 is expected to grow between 22% and 23% year over year Non-GAAP gross margin is expected to be between 81% and 82% Non-GAAP operating margin 1 is expected to be approximately 21% Free cash flow 1 is expected to be between $210 million and $215 million The above statements are based on current targets using exchange rates as of March 31, 2025 . These statements are forward-looking and made pursuant to the safe harbor provisions discussed in detail below. We do not undertake any obligation to update these forward-looking statements. Actual results may differ materially from anticipated results. Conference Call Information Commvault will host a conference call today, April 29, 2025 at 8:30 a.m. Eastern Time ( 5:30 a.m. Pacific Time ) to discuss quarterly results. The live webcast and call dial-in numbers can be accessed by registering under the "News & Events" section of Commvault's website at ir.commvault.com under the "Investor Events" heading. An archived webcast of this conference call will also be available following the call. About Commvault Commvault (NASDAQ: CVLT) is the gold standard in cyber resilience, helping more than 100,000 organizations keep data safe and businesses resilient and moving forward. Today, Commvault offers the only cyber resilience platform that combines the best data security and rapid recovery at enterprise scale across any workload, anywhere-at the lowest TCO. Safe Harbor Statement This press release may contain forward-looking statements, including statements regarding financial projections, which are subject to risks and uncertainties, such as competitive factors, difficulties and delays inherent in the development, manufacturing, marketing and sale of software products and related services, general economic conditions, outcome of litigation and others. For a discussion of these and other risks and uncertainties affecting Commvault's business, see "Item 1A. Risk Factors" in our annual report on Form 10-K and "Item 1A. Risk Factors" in our most recent quarterly report on Form 10-Q. Statements regarding Commvault's beliefs, plans, expectations or intentions regarding the future are forward-looking statements, within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from anticipated results. Commvault does not undertake to update its forward-looking statements. Revenue Overview ($ in thousands) Q4'24 Q1'25 Q2'25 Q3'25 Q4'25 Revenue Summary: Subscription $ 119,873 $ 124,080 $ 134,038 $ 158,321 $ 173,228 Perpetual license 15,196 13,736 10,522 16,423 14,962 Customer support 77,025 76,288 77,688 77,078 76,509 Other services 11,198 10,568 11,030 10,808 10,340 Total revenues $ 223,292 $ 224,672 $ 233,278 $ 262,630 $ 275,039 Q4'24 Q1'25 Q2'25 Q3'25 Q4'25 Y/Y Growth: Subscription 27 % 28 % 37 % 39 % 45 % Perpetual license (13) % 4 % (27) % 10 % (2) % Customer support - % (1) % 1 % - % (1) % Other services (20) % (2) % (7) % (1) % (8) % Total revenues 10 % 13 % 16 % 21 % 23 % FY'24 Y/Y Growth FY'25 Y/Y Growth Revenue Summary: Subscription $ 429,167 23 % $ 589,667 37 % Perpetual license 57,613 (23) % 55,643 (3) % Customer support 307,771 (2) % 307,563 - % Other services 44,696 (6) % 42,746 (4) % Total revenues $ 839,247 7 % $ 995,619 19 % Constant Currency ($ in thousands) The constant currency impact is calculated using the average foreign exchange rates from the prior year period and applying these rates to foreign-denominated revenues in the current corresponding period. Commvault analyzes revenue growth on a constant currency basis in order to provide a comparable framework for assessing how the business performed excluding the effect of foreign currency fluctuations. The non-GAAP financial measures presented in this press release should not be considered as a substitute for, or superior to, the measures of financial performance prepared in accordance with GAAP. Subscription Perpetual license Customer support Other services Total Q4'24 Revenue as Reported (GAAP) $ 119,873 $ 15,196 $ 77,025 $ 11,198 $ 223,292 Q4'25 Revenue as Reported (GAAP) $ 173,228 $ 14,962 $ 76,509 $ 10,340 $ 275,039 % Change Y/Y (GAAP) 45 % (2) % (1) % (8) % 23 % Constant Currency Impact $ 1,900 $ 242 $ 1,111 $ (65) $ 3,188 % Change Y/Y Constant Currency 46 % - % 1 % (8) % 25 % Subscription Perpetual license Customer support Other services Total FY'24 Revenue as Reported (GAAP) $ 429,167 $ 57,613 $ 307,771 $ 44,696 $ 839,247 FY'25 Revenue as Reported (GAAP) $ 589,667 $ 55,643 $ 307,563 $ 42,746 $ 995,619 % Change Y/Y (GAAP) 37 % (3) % - % (4) % 19 % Constant Currency Impact $ 2,624 $ 283 $ 1,266 $ (18) $ 4,155 % Change Y/Y Constant Currency 38 % (3) % - % (4) % 19 % Revenues by Geography ($ in thousands) Our Americas region includes the United States , Canada , and Latin America . Our International region primarily includes Europe , Middle East , Africa , Australia , India , Southeast Asia , and China . Q4'24 Q1'25 Q2'25 Q3'25 Q4'25 Revenue Y/Y Growth Revenue Y/Y Growth Revenue Y/Y Growth Revenue Y/Y Growth Revenue Y/Y Growth Americas $ 131,069 7 % $ 138,725 14 % $ 144,408 20 % $ 155,435 24 % $ 169,384 29 % International 92,223 14 % 85,947 13 % 88,870 10 % 107,195 17 % 105,655 15 % Total revenues $ 223,292 10 % $ 224,672 13 % $ 233,278 16 % $ 262,630 21 % $ 275,039 23 % FY'24 FY'25 Revenue Y/Y Growth Revenue Y/Y Growth Americas $ 498,545 6 % $ 607,952 22 % International 340,702 8 % 387,667 14 % Total revenues $ 839,247 7 % $ 995,619 19 % Total ARR, Subscription ARR and SaaS ARR 2 ($ in thousands) Q4'24 Q1'25 Q2'25 Q3'25 Q4'25 Total ARR 2 $ 769,946 $ 802,709 $ 853,265 $ 889,628 $ 930,051 Subscription ARR 2 $ 596,667 $ 635,910 $ 687,050 $ 734,212 $ 780,098 SaaS ARR 2 $ 167,509 $ 187,908 $ 214,832 $ 258,957 $ 281,045 For the three months ended March 31, 2025 - Income from Operations (EBIT) Income from operations (EBIT) was $27 million , an operating margin of 9.7% Non-GAAP EBIT 1 was $59 million , an operating margin of 21.5% GAAP and Non-GAAP Net Income 1 GAAP net income was $31 million , or $0.69 per diluted share Non-GAAP net income 1 was $46 million , or $1.03 per diluted share Cash Summary and Share Repurchases Cash flow from operations was $77 million in the fourth quarter During the fourth quarter, Commvault repurchased $30 million , or approximately 182,000 shares, of common stock at an average share price of approximately $163.73 per share For the year ended March 31, 2025 - Income from Operations (EBIT) Income from operations (EBIT) was $74 million , an operating margin of 7.4% Non-GAAP EBIT 1 was $210 million , an operating margin of 21.1% GAAP and Non-GAAP Net Income 1 GAAP net income was $76 million , or $1.68 per diluted share Non-GAAP net income 1 was $165 million , or $3.65 per diluted share Cash Summary and Share Repurchases Cash flow from operations was $207 million in the full fiscal year As of March 31, 2025 , ending cash and cash equivalents were approximately $302 million During the full fiscal year, Commvault repurchased $165 million , or approximately 1,215,000 shares, of common stock at an avera