GTLB GitLab Inc

Third Quarter Fiscal Year 2025 Highlights:

• Total revenue of $196.0 million, up 31% year-over-year
• Significant year-over-year GAAP and Non-GAAP operating margin expansion
• Announced the appointment of Bill Staples as CEO and Board Member; GitLab Co-Founder Sid Sijbrandij to transition to Executive Chair of the GitLab Board of Directors

All Remote – GitLab Inc. (NASDAQ: GTLB), the most comprehensive AI-powered DevSecOps platform, today reported financial results for its third quarter fiscal year 2025, ended October 31, 2024.

“GitLab’s growth at scale is a testament to the demand for a platform approach to software development,” said Sid Sijbrandij, co-founder and executive chair of the board of directors, GitLab Inc. “Our end-to-end DevSecOps platform addresses our customers’ need to accelerate the pace of software development to remain competitive, innovate faster, and ship software more securely.”

In a separate press release issued today, December 5, 2024, the company announced Bill Staples was named CEO and a member of the board of directors effective today. Staples succeeds co-founder and CEO Sid Sijbrandij, who is stepping down from his day-to-day role to focus on his health. Sijbrandij will transition to executive chair of the GitLab board of directors. The announcement can be found at https://ir.gitlab.com/.

“We delivered record non-GAAP operating margins as our third quarter fiscal year 2025 revenue reached $196 million dollars, an increase of 31% year-over-year,” said Brian Robins, GitLab chief financial officer. “I am very pleased with our results and the team’s execution as we continue to deliver against our commitment to responsible growth.”

Third Quarter Fiscal Year 2025 Financial Highlights (in millions, except per share data and percentages):

 

 

Q3 FY 2025

 

Q3 FY 2024

 

Y/Y Change

Revenue

$

196.0

 

$

149.7

 

 

31

%

GAAP Gross margin

 

89

%

 

90

%

 

Non-GAAP Gross margin

 

91

%

 

91

%

 

GAAP Operating margin

 

(15

)%

 

(27

)%

 

Non-GAAP Operating margin

 

13

%

 

3

%

 

GAAP Operating loss

$

(28.7

)

$

(40.3

)

$

11.6

 

Non-GAAP Operating income

$

25.9

 

$

4.7

 

$

21.2

 

GAAP Net Income (loss) attributable to GitLab

$

29.6

 

$

(285.2

)

$

314.8

 

Non-GAAP Net income attributable to GitLab

$

39.1

 

$

14.4

 

$

24.7

 

GAAP Net income (loss) per share attributable to GitLab, basic

$

0.18

 

$

(1.84

)

$

2.02

 

GAAP Net income (loss) per share attributable to GitLab, diluted

$

0.18

 

$

(1.84

)

$

2.02

 

Non-GAAP Net income per share attributable to GitLab, basic

$

0.24

 

$

0.09

 

$

0.15

 

Non-GAAP Net income per share attributable to GitLab, diluted

$

0.23

 

$

0.09

 

$

0.14

 

GAAP net cash used in operating activities

$

(177.0

)

$

(6.0

)

$

(171.0

)

Non-GAAP adjusted free cash flow

$

9.7

 

$

(6.7

)

$

16.4

 

A reconciliation between GAAP and non-GAAP financial measures is contained in this release under the section titled “Non-GAAP Financial Measures.”

Additional Financial Highlights:

• Customers with more than $5,000 of ARR reached 9,519, an increase of 16% year-over-year.
• Customers with more than $100,000 of ARR reached 1,144, an increase of 31% year-over-year.
• Dollar-Based Net Retention Rate was 124%.
• Total RPO grew 48% year-over-year to $811.8 million, while cRPO grew 39% to $515.2 million.

Business Highlights:

• Recognized as a Leader in the Gartner® Magic Quadrant™ for DevOps Platforms for the second consecutive year.
• Announced an integrated offering with AWS that brings together GitLab Duo and Amazon Q. Together, GitLab Duo and Amazon Q provide a seamless AI-powered developer experience that combines DevSecOps workflows and AWS environments to help organizations ship secure software faster.
• Announced the general availability of Advanced SAST for GitLab Ultimate customers, leveraging technology acquired with Oxeye, for more accurate vulnerability detections in first-party code.

Fourth Quarter and Fiscal Year 2025 Financial Outlook

For the fourth quarter and fiscal year 2025, GitLab Inc. expects (in millions, except share and per share data):

 

Q4 FY 2025 Guidance

 

FY 2025 Guidance

Revenue

$205.0 - $206.0

 

$753 - $754

Non-GAAP operating income

$28.0 - $29.0

 

$69 - $70

Non-GAAP diluted net income per share assuming approximately 170 million and 168 million weighted average shares outstanding during Q4 FY 2025 and FY 2025, respectively.

$0.22 - $0.23

 

$0.63 - $0.64

These statements are forward-looking and actual results may differ materially as a result of many factors. Refer to the Forward-Looking Statements safe harbor below for information on the factors that could cause our actual results to differ materially from these forward-looking statements.

A reconciliation of GAAP to non-GAAP financial measures has been provided in the financial statement tables included in this press release. An explanation of these measures is also included below in Non-GAAP Financial Measures. We have not provided the most directly comparable GAAP financial guidance measures because certain items are out of our control or cannot be reasonably predicted. Accordingly, a reconciliation of non-GAAP guidance for operating income (loss) and net income (loss) per share to the corresponding GAAP measures is not available.

Conference Call Information

GitLab will host a conference call today, December 5, 2024, at 1:30 p.m. (PT) / 4:30 p.m. (ET) to discuss its third quarter fiscal year 2025 financial results and its guidance for the fourth quarter and fiscal year 2025. Interested parties may register for the call in advance by visiting https://bit.ly/3Ul8cwM. A live webcast of this conference call will be available on GitLab’s investor relations website (ir.gitlab.com), and a replay will also be archived on the website for one year.

About GitLab

GitLab is the most comprehensive AI-powered DevSecOps platform for software innovation. GitLab enables organizations to increase developer productivity, improve operational efficiency, reduce security and compliance risk, and accelerate digital transformation. More than 40 million registered users and more than 50% of the Fortune 100 trust GitLab to ship better, more secure software faster.

Non-GAAP Financial Measures

GitLab believes non-GAAP measures are useful in evaluating its operating performance. GitLab uses this supplemental information to evaluate its ongoing operations and for internal planning and forecasting purposes. GitLab believes that non-GAAP financial information, when taken collectively with its GAAP financial information, may be helpful to investors because it provides consistency and comparability with past financial performance. However, non-GAAP financial information is presented for supplemental informational purposes only, has limitations as an analytical tool, and should not be considered in isolation or as a substitute for financial information presented in accordance with GAAP. Reconciliations of non-GAAP financial measures to the most directly comparable financial results as determined in accordance with GAAP are included at the end of this press release following the accompanying financial data. We define non-GAAP financial measures as GAAP measures, excluding certain items such as stock-based compensation expense, amortization of acquired intangible assets, foreign exchange (gain) loss, equity method investment loss and impairment, acquisition related expenses, changes in the fair value of acquisition related contingent consideration, charitable donation of common stock, restructuring charges, a non-recurring income tax adjustment related to bilateral advance pricing agreement (“BAPA”) negotiations, and other expenses that the Company believes are not indicative of its ongoing operations. Shares used for net income per share on a non-GAAP basis include incremental dilutive shares related to restricted stock units, options, and shares issuable under GitLab Inc.’s 2021 Employee Stock Purchase Plan that are anti-dilutive on a GAAP basis. A reconciliation of non-GAAP guidance measures to corresponding GAAP measures is not available on a forward-looking basis without unreasonable effort due to the uncertainty of expenses that may be incurred in the future. Investors are encouraged to review the related GAAP financial measures and the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures and not rely on any single financial measure to evaluate our business.

Adjusted Free Cash Flow

Adjusted free cash flow is a non-GAAP financial measure that we calculate as net cash provided by operating activities less cash used for purchases of property and equipment, plus any non-recurring income tax payments related to BAPA. We believe that adjusted free cash flow is a useful indicator of liquidity that provides information to management and investors about the amount of cash generated from our operations that, after the investments in property and equipment and any non-recurring income tax payments related to BAPA, can be used for strategic initiatives, including investing in our business, and strengthening our financial position. One limitation of adjusted free cash flow is that it does not reflect our future contractual commitments. Additionally, adjusted free cash flow does not represent the total increase or decrease in our cash balance for a given period.

Forward-Looking Statements

This press release and the accompanying earnings call contain “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. Although we believe that the expectations reflected in the forward-looking statements contained in this release and the accompanying earnings call are reasonable, they are subject to known and unknown risks, uncertainties, assumptions and other factors that may cause actual results or outcomes to be materially different from any future results or outcomes expressed or implied by the forward-looking statements. These risks, uncertainties, assumptions, and other factors include, but are not limited to the following:

• our ability to effectively manage our growth;
• our revenue growth rate in the future;
• our ability to achieve and sustain profitability, our business, financial condition, and operating results;
• security and privacy breaches;
• intense competition in our markets and loss of market share to our competitors;
• our ability to respond to rapid technological changes;
• the market for our services may not grow;
• a decline in our customer renewals and expansions;
• fluctuations in our operating results;
• our incorporation of artificial intelligence features into our products;
• our transparency;
• our publicly available company Handbook;
• customers staying on our free self-managed or SaaS product offering;
• our ability to accurately predict the long-term rate of customer subscription renewals or adoption, or the impact of these renewals and adoption;
• our hiring model;
• the effects of ongoing armed conflict in different regions of the world on our business; and
• general economic conditions (including changes in interest rates, inflation, uncertainty of the federal budget, increased volatility in the capital markets, and instability in the global banking sector) and slow or negative growth of our markets.

Further information on these and additional risks, uncertainties, and other factors that could cause actual outcomes and results to differ materially from those included in or contemplated by the forward-looking statements contained in this release are included under the caption “Risk Factors” and elsewhere in the filings and reports we make with the Securities and Exchange Commission. We do not undertake any obligation to update or release any revisions to any forward-looking statement or to report any events or circumstances after the date of this press release or to reflect the occurrence of unanticipated events, except as required by law.

Operating Metrics

Annual Recurring Revenue (“ARR”): We define annual recurring revenue as the annual run-rate revenue of subscription agreements, including our self-managed and SaaS offerings but excluding professional services, from all customers as measured on the last day of a given month. We calculate ARR by taking the monthly recurring revenue (“MRR”) and multiplying it by 12. MRR for each month is calculated by aggregating, for all customers during that month, monthly revenue from committed contractual amounts of subscriptions, including our self-managed license, self-managed subscription, and SaaS subscription offerings but excluding professional services.

Dollar-Based Net Retention Rate: We calculate Dollar-Based Net Retention Rate as of a period end by starting with our customers as of the 12 months prior to such period end (“Prior Period ARR”). We then calculate the ARR from these customers as of the current period end (“Current Period ARR”). The calculation of Current Period ARR includes any upsells, price adjustments, user growth within a customer, contraction, and attrition. We then divide the total Current Period ARR by the total Prior Period ARR to arrive at the Dollar-Based Net Retention Rate.

GitLab Inc.

Condensed Consolidated Balance Sheets

(in thousands, except per share data)

(unaudited)

 

 

 

 

 

 

 

October 31, 2024(1)

 

January 31, 2024(1)

ASSETS

 

 

CURRENT ASSETS:

 

 

Cash and cash equivalents

$

176,632

 

$

287,996

 

Short-term investments

 

740,340

 

 

748,289

 

Accounts receivable, net of allowance for doubtful accounts of $891 and $673 as of October 31, 2024 and January 31, 2024, respectively

 

197,555

 

 

166,731

 

Deferred contract acquisition costs, current

 

34,518

 

 

32,300

 

Prepaid expenses and other current assets

 

43,120

 

 

45,601

 

Total current assets

 

1,192,165

 

 

1,280,917

 

Property and equipment, net

 

3,563

 

 

2,954

 

Operating lease right-of-use assets

 

444

 

 

405

 

Goodwill

 

16,131

 

 

8,145

 

Intangible assets, net

 

19,536

 

 

1,733

 

Deferred contract acquisition costs, non-current

 

17,248

 

 

19,317

 

Other non-current assets

 

3,552

 

 

4,390

 

TOTAL ASSETS

$

1,252,639

 

$

1,317,861

 

LIABILITIES AND STOCKHOLDERS’ EQUITY

 

 

CURRENT LIABILITIES:

 

 

Accounts payable

$

2,224

 

$

1,738

 

Accrued expenses and other current liabilities

 

51,821

 

 

286,178

 

Accrued compensation and benefits

 

27,274

 

 

35,809

 

Deferred revenue, current

 

383,183

 

 

338,348

 

Total current liabilities

 

464,502

 

 

662,073

 

Deferred revenue, non-current

 

14,138

 

 

23,794

 

Other non-current liabilities

 

3,776

 

 

14,060

 

TOTAL LIABILITIES

 

482,416

 

 

699,927

 

STOCKHOLDERS’ EQUITY:

 

 

Preferred stock, $0.0000025 par value; 50,000 shares authorized as of October 31, 2024 and January 31, 2024; no shares issued and outstanding as of October 31, 2024 and January 31, 2024

 

—

 

 

—

 

Class A Common stock, $0.0000025 par value; 1,500,000 shares authorized as of October 31, 2024 and January 31, 2024; 140,528 and 114,670 shares issued and outstanding as of October 31, 2024 and January 31, 2024, respectively

 

—

 

 

—

 

Class B Common stock, $0.0000025 par value; 250,000 shares authorized as of October 31, 2024 and January 31, 2024; 21,555 and 42,887 shares issued and outstanding as of October 31, 2024 and January 31, 2024, respectively

 

—

 

 

—

 

Additional paid-in capital

 

1,891,653

 

 

1,718,661

 

Accumulated deficit

 

(1,161,952

)

 

(1,149,822

)

Accumulated other comprehensive income (loss)

 

(4,996

)

 

2,335

 

Total GitLab stockholders’ equity

 

724,705

 

 

571,174

 

Noncontrolling interests

 

45,518

 

 

46,760

 

TOTAL STOCKHOLDERS’ EQUITY

 

770,223

 

 

617,934

 

TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY

$

1,252,639

 

$

1,317,861

 

__________

(1)

As of October 31, 2024 and January 31, 2024, the consolidated balance sheet includes assets of the consolidated variable interest entity, GitLab Information Technology (Hubei) Co., LTD (“JiHu”), of $43.4 million and $47.6 million, respectively, and liabilities of $6.1 million for each period presented. The assets of JiHu can be used only to settle obligations of JiHu and creditors of JiHu do not have recourse against the general credit of GitLab Inc.

 

GitLab Inc.

Condensed Consolidated Statements of Operations

(in thousands, except per share data)

(unaudited)

 

 

 

 

 

Three Months Ended October 31,

 

Nine Months Ended October 31,

 

2024

 

2023

 

2024

 

2023

Revenue:

 

 

 

 

 

 

 

Subscription—self-managed and SaaS

$

175,257

 

 

$

130,993

 

 

$

489,617

 

 

$

364,280

 

License—self-managed and other

 

20,790

 

 

 

18,675

 

 

 

58,201

 

 

 

51,847

 

Total revenue

 

196,047

 

 

 

149,668

 

 

 

547,818

 

 

 

416,127

 

Cost of revenue:

 

 

 

 

 

 

 

Subscription—self-managed and SaaS

 

17,170

 

 

 

11,559

 

 

 

47,639

 

 

 

33,321

 

License—self-managed and other

 

4,955

 

 

 

3,525

 

 

 

14,632

 

 

 

10,398

 

Total cost of revenue

 

22,125

 

 

 

15,084

 

 

 

62,271

 

 

 

43,719

 

Gross profit

 

173,922

 

 

 

134,584

 

 

 

485,547

 

 

 

372,408

 

Operating expenses:

 

 

 

 

 

 

 

Sales and marketing

 

95,340

 

 

 

86,978

 

 

 

285,542

 

 

 

265,631

 

Research and development

 

61,354

 

 

 

49,058

 

 

 

176,767

 

 

 

148,452

 

General and administrative

 

45,960

 

 

 

38,815

 

 

 

146,615

 

 

 

110,882

 

Total operating expenses

 

202,654

 

 

 

174,851

 

 

 

608,924

 

 

 

524,965

 

Loss from operations

 

(28,732

)

 

 

(40,267

)

 

 

(123,377

)

 

 

(152,557

)

Interest income

 

12,586

 

 

 

10,874

 

 

 

37,443

 

 

 

27,301

 

Other income (expense), net

 

4,992

 

 

 

569

 

 

 

5,457

 

 

 

(508

)

Loss before income taxes and loss from equity method investment

 

(11,154

)

 

 

(28,824

)

 

 

(80,477

)

 

 

(125,764

)

Loss from equity method investment, net of tax

 

—

 

 

 

(743

)

 

 

—

 

 

 

(2,408

)

Provision for (benefit from) income taxes

 

(39,421

)

 

 

256,788

 

 

 

(66,131

)

 

 

262,290

 

Net income (loss)

$

28,267

 

 

$

(286,355

)

 

$

(14,346

)

 

$

(390,462

)

Net loss attributable to noncontrolling interest

 

(1,298

)

 

 

(1,197

)

 

 

(2,216

)

 

 

(2,755

)

Net income (loss) attributable to GitLab

$

29,565

 

 

$

(285,158

)

 

$

(12,130

)

 

$

(387,707

)

Net income (loss) per share attributable to GitLab Class A and Class B common stockholders:

 

 

 

 

 

 

 

Basic

$

0.18

 

 

$

(1.84

)

 

$

(0.08

)

 

$

(2.53

)

Diluted

$

0.18

 

 

$

(1.84

)

 

$

(0.08

)

 

$

(2.53

)

Weighted-average shares used to compute net income (loss) per share attributable to GitLab Class A and Class B common stockholders:

 

 

 

 

 

 

 

Basic

 

161,317

 

 

 

155,123

 

 

 

159,756

 

 

 

153,504

 

Diluted

 

167,436

 

 

 

155,123

 

 

 

159,756

 

 

 

153,504

 

 

GitLab Inc.

Condensed Consolidated Statements of Cash Flows

(in thousands)

(unaudited)

 

 

 

 

 

 

 

Three Months Ended October 31,

 

Nine Months Ended October 31,

 

 

2024

 

2023

 

2024

 

2023

CASH FLOWS FROM OPERATING ACTIVITIES:

 

 

 

 

Net income (loss), including amounts attributable to noncontrolling interest

$

28,267

 

$

(286,355

)

$

(14,346

)

$

(390,462

)

Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:

 

 

 

 

Stock-based compensation expense

 

48,042

 

 

41,334

 

 

139,263

 

 

120,032

 

Change in fair value of acquisition related contingent consideration

 

—

 

 

—

 

 

3,750

 

 

—

 

Charitable donation of common stock

 

2,957

 

 

2,675

 

 

8,871

 

 

8,025

 

Amortization of intangible assets

 

2,511

 

 

521

 

 

5,931

 

 

1,646

 

Depreciation expense

 

680

 

 

1,123

 

 

2,361

 

 

3,329

 

Amortization of deferred contract acquisition costs

 

12,704

 

 

10,447

 

 

35,650

 

 

31,066

 

Loss from equity method investment

 

—

 

 

940

 

 

—

 

 

3,048

 

Net amortization of premiums or discounts on short-term investments

 

(3,792

)

 

(5,867

)

 

(12,933

)

 

(14,361

)

Unrealized foreign exchange loss (gain), net

 

(5,184

)

 

(573

)

 

(5,442

)

 

252

 

Other non-cash expense, net

 

467

 

 

420

 

 

768

 

 

317

 

Changes in assets and liabilities:

 

 

 

 

Accounts receivable

 

(32,883

)

 

(30,572

)

 

(31,658

)

 

(5,291

)

Prepaid expenses and other current assets

 

(10,773

)

 

(3,935

)

 

2,498

 

 

(8,183

)

Deferred contract acquisition costs

 

(14,751

)

 

(13,623

)

 

(35,706

)

 

(31,760

)

Other non-current assets

 

1,348

 

 

(453

)

 

851

 

 

(1,174

)

Accounts payable

 

(1,317

)

 

799

 

 

33

 

 

(224

)

Accrued expenses and other current liabilities

 

(220,071

)

 

244,674

 

 

(241,704

)

 

245,857

 

Accrued compensation and benefits

 

(1,913

)

 

231

 

 

(8,815

)

 

2,842

 

Deferred revenue

 

19,665

 

 

14,270

 

 

34,503

 

 

29,158

 

Other non-current liabilities

 

(2,985

)

 

17,983

 

 

(11,068

)

 

16,070

 

Net cash provided by (used in) operating activities

 

(177,028

)

 

(5,961

)

 

(127,193

)

 

10,187

 

CASH FLOWS FROM INVESTING ACTIVITIES:

 

 

 

 

Purchases of short-term investments

 

(240,136

)

 

(238,680

)

 

(503,394

)

 

(573,676

)

Proceeds from maturities of short-term investments

 

148,763

 

 

253,995

 

 

524,862

 

 

526,979

 

Purchases of property and equipment

 

(1,057

)

 

(736

)

 

(2,608

)

 

(1,269

)

Payments for business combination, net of cash acquired

 

—

 

 

—

 

 

(20,210

)

 

—

 

Payments for asset acquisition

 

(346

)

 

—

 

 

(7,660

)

 

—

 

Escrow payment related to business combination, after acquisition date

 

—

 

 

—

 

 

—

 

 

(2,500

)

Other investing activities

 

—

 

 

—

 

 

457

 

 

—

 

Net cash provided by (used in) investing activities

 

(92,776

)

 

14,579

 

 

(8,553

)

 

(50,466

)

CASH FLOWS FROM FINANCING ACTIVITIES:

 

 

 

 

Proceeds from the issuance of common stock upon exercise of stock options, including early exercises, net of repurchases

 

7,822

 

 

4,715

 

 

17,895

 

 

22,492

 

Issuance of common stock under employee stock purchase plan

 

—

 

 

—

 

 

7,932

 

 

7,751

 

Settlement of acquisition related contingent cash consideration

 

(4,900

)

 

—

 

 

(4,900

)

 

—

 

Net cash provided by financing activities

 

2,922

 

 

4,715

 

 

20,927

 

 

30,243

 

Impact of foreign exchange on cash and cash equivalents

 

4,898

 

 

(1,249

)

 

3,455

 

 

(2,557

)

Net decrease in cash and cash equivalents

 

(261,984

)

 

12,084

 

 

(111,364

)

 

(12,593

)

Cash and cash equivalents at beginning of period

 

438,616

 

 

273,225

 

 

287,996

 

 

297,902

 

Cash and cash equivalents at end of period

$

176,632

 

$

285,309

 

$

176,632

 

$

285,309

 

 

GitLab Inc.

Reconciliation of GAAP to Non-GAAP

(in thousands, except per share data)

(unaudited)

 

 

 

 

Three Months Ended October 31,

Nine Months Ended October 31,

 

2024

2023

2024

2023

Gross profit on GAAP basis

$

173,922

 

$

134,584

 

$

485,547

 

$

372,408

 

Gross margin on GAAP basis

 

89

%

 

90

%

 

89

%

 

89

%

Stock-based compensation expense

 

1,993

 

 

1,648

 

 

5,924

 

 

4,760

 

Amortization of acquired intangibles

 

2,511

 

 

521

 

 

5,931

 

 

1,546

 

Restructuring charges

 

—

 

 

—

 

 

—

 

 

463

 

Gross profit on non-GAAP basis

$

178,426

 

$

136,753

 

$

497,402

 

$

379,177

 

Gross margin on non-GAAP basis

 

91

%

 

91

%

 

91

%

 

91

%

 

 

 

 

 

Sales and marketing on GAAP basis

$

95,340

 

$

86,978

 

$

285,542

 

$

265,631

 

Stock-based compensation expense

 

(17,012

)

 

(16,523

)

 

(54,290

)

 

(51,582

)

Restructuring charges

 

(130

)

 

54

 

 

(1,126

)

 

(3,623

)

Sales and marketing on non-GAAP basis

$

78,198

 

$

70,509

 

$

230,126

 

$

210,426

 

 

 

 

 

 

Research and development on GAAP basis

$

61,354

 

$

49,058

 

$

176,767

 

$

148,452

 

Stock-based compensation expense

 

(14,384

)

 

(12,738

)

 

(42,834

)

 

(36,917

)

Restructuring charges

 

—

 

 

(72

)

 

(393

)

 

(2,119

)

Research and development on non-GAAP basis

$

46,970

 

$

36,248

 

$

133,540

 

$

109,416

 

 

 

 

 

 

General and administrative on GAAP basis

$

45,960

 

$

38,815

 

$

146,615

 

$

110,882

 

Stock-based compensation expense

 

(14,653

)

 

(10,425

)

 

(36,215

)

 

(26,773

)

Amortization of acquired intangibles

 

—

 

 

—

 

 

—

 

 

(100

)

Restructuring charges

 

11

 

 

4

 

 

(377

)

 

(1,634

)

Charitable donation of common stock

 

(2,957

)

 

(2,675

)

 

(8,871

)

 

(8,025

)

Changes in the fair value of acquisition related contingent consideration

 

—

 

 

—

 

 

(3,750

)

 

—

 

Acquisition related expenses

 

(140

)

 

—

 

 

(2,849

)

 

—

 

Other non-recurring charges

 

(872

)

 

(413

)

 

(1,084

)

 

(413

)

General and administrative on non-GAAP basis

$

27,349

 

$

25,306

 

$

93,469

 

$

73,937

 

 

 

 

 

 

Loss from operations on GAAP basis

$

(28,732

)

$

(40,267

)

$

(123,377

)

$

(152,557

)

Stock-based compensation expense

 

48,042

 

 

41,334

 

 

139,263

 

 

120,032

 

Amortization of acquired intangibles

 

2,511

 

 

521

 

 

5,931

 

 

1,646

 

Restructuring charges

 

119

 

 

14

 

 

1,896

 

 

7,839

 

Charitable donation of common stock

 

2,957

 

 

2,675

 

 

8,871

 

 

8,025

 

Changes in the fair value of acquisition related contingent consideration

 

—

 

 

—

 

 

3,750

 

 

—

 

Acquisition related expenses

 

140

 

 

—

 

 

2,849

 

 

—

 

Other non-recurring charges

 

872

 

 

413

 

 

1,084

 

 

413

 

Income (loss) from operations on non-GAAP basis

$

25,909

 

$

4,690

 

$

40,267

 

$

(14,602

)

 

 

 

 

 

Other income (expense), net on GAAP basis

$

4,992

 

$

569

 

$

5,457

 

$

(508

)

Foreign exchange gains (losses), net

 

(5,096

)

 

(488

)

 

(5,326

)

 

506

 

Other income (expense), net on non-GAAP basis

$

(104

)

$

81

 

$

131

 

$

(2

)

 

 

 

 

 

Net income (loss) attributable to GitLab common stockholders on GAAP basis

$

29,565

 

$

(285,158

)

$

(12,130

)

$

(387,707

)

Stock-based compensation expense

 

48,042

 

 

41,334

 

 

139,263

 

 

120,032

 

Amortization of acquired intangibles

 

2,511

 

 

521

 

 

5,931

 

 

1,646

 

Restructuring charges

 

119

 

 

14

 

 

1,896

 

 

7,839

 

Charitable donation of common stock

 

2,957

 

 

2,675

 

 

8,871

 

 

8,025

 

Changes in the fair value of acquisition related contingent consideration

 

—

 

 

—

 

 

3,750

 

 

—

 

Acquisition related expenses

 

140

 

 

—

 

 

2,849

 

 

—

 

Loss from equity method investment, net of tax

 

—

 

 

743

 

 

—

 

 

2,408

 

Foreign exchange gains (losses), net

 

(5,096

)

 

(488

)

 

(5,326

)

 

506

 

Income tax adjustment

 

(39,965

)

 

254,392

 

 

(78,047

)

 

254,392

 

Other non-recurring charges

 

872

 

 

413

 

 

1,084

 

 

413

 

Net income attributable to GitLab common stockholders on non-GAAP basis

$

39,145

 

$

14,446

 

$

68,141

 

$

7,554

 

 

 

 

 

 

GAAP net income (loss) per share, basic

$

0.18

 

$

(1.84

)

$

(0.08

)

$

(2.53

)

GAAP net income (loss) per share, diluted

$

0.18

 

$

(1.84

)

$

(0.08

)

$

(2.53

)

 

 

 

 

 

Non-GAAP net income per share, basic

$

0.24

 

$

0.09

 

$

0.43

 

$

0.05

 

Non-GAAP net income per share, diluted

$

0.23

 

$

0.09

 

$

0.41

 

$

0.05

 

 

 

 

 

 

Shares used in per share calculation - basic on GAAP basis

 

161,317

 

 

155,123

 

 

159,756

 

 

153,504

 

Effect of dilutive securities

 

6,119

 

 

7,671

 

 

7,637

 

 

7,774

 

Shares used in per share calculation - diluted on non-GAAP basis

 

167,436

 

 

162,794

 

 

167,393

 

 

161,278

 

 

GitLab Inc.

Reconciliation of GAAP Cash Flow from Operating Activities to Adjusted Free Cash Flow

(in thousands)

(unaudited)

 

 

 

 

 

 

 

Three Months Ended October 31,

 

Nine Months Ended October 31,

 

 

2024

 

2023

 

2024

 

2023

Computation of adjusted free cash flow

 

 

 

 

 

 

 

GAAP net cash provided by (used in) operating activities

$

(177,028

)

 

$

(5,961

)

 

$

(127,193

)

 

$

10,187

 

Less: Purchases of property and equipment

 

(1,057

)

 

 

(736

)

 

 

(2,608

)

 

 

(1,269

)

Add: Income tax payments related to BAPA

 

187,735

 

 

 

—

 

 

 

187,735

 

 

 

—

 

Non-GAAP adjusted free cash flow

$

9,650

 

 

$

(6,697

)

 

$

57,934

 

 

$

8,918

 

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20241205686308/en/

Media Contact: Lisa Boughner VP, Global Communications GitLab Inc. press@gitlab.com Investor Contact: Kelsey Turcotte VP, Investor Relations GitLab Inc. ir@gitlab.com