MongoDB, Inc. Reports Strong Q3 Fiscal 2024 Results

Magpie.AI 2023-12-05 20:28:05

Keywords: MongoDB, Inc., financial results, Q3 fiscal 2024, revenue growth, AI use cases, platform

MongoDB, Inc. (NASDAQ:MDB) reported strong third-quarter fiscal 2024 financial results, with revenue growing 30% year-over-year and exceeding the high end of guidance. The company's Atlas revenue grew 36% year-over-year, representing 66% of total revenue. The non-GAAP operating income was $79 million, with an 18% non-GAAP operating margin. The company added over 1,400 new customers, bringing their total customer count to over 46,400. The company's retention rates remained strong, indicating the mission criticality of their platform even in a difficult spending environment.

During the quarter, the company saw exceptional interest in their Vector Search public preview, and they announced general availability. Customers are building a range of AI use cases using Atlas Vector Search, and the company received the highest net promoter score from developers compared to all other vector databases available in the market. The company also launched the Relational Migrator earlier this year to help customers successfully migrate data from legacy relational databases to MongoDB.

The company reported strong performance in the difficult environment and is pleased with its ability to win new business and demonstrate the operating leverage inherent in its model. MongoDB's significant margin improvement this year is primarily driven by its revenue outperformance and the fact that it didn't increase its pace of investment as the revenue outlook improved until relatively late in the year.

The company is excited about the opportunity ahead and will continue to invest responsibly to maximize its long-term value. MongoDB's run-anywhere strategy allows customers flexibility over where they deploy, and the company is emerging as a platform of choice for AI-powered applications. Customers are using MongoDB to modernize and become more efficient.

Overall, MongoDB delivered excellent third-quarter results in a difficult environment, and the company remains incredibly excited about the opportunity ahead. The company's long-term growth opportunities include the adoption of its developer data platform, AI strategy, and the modernization of legacy applications. The company is well-positioned to address these opportunities and is deepening investments in its product, partnerships, and customer-facing teams to enable customers to do both.