Splunk, Inc. (NASDAQ:SPLK) Q4 2017 Earnings Conference Call - Final Transcript

Feb 23, 2017 • 04:30 pm ET


Splunk, Inc. (NASDAQ:SPLK) Q4 2017 Earnings Conference Call - Final Transcript


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Good day, ladies and gentlemen, and welcome to the Splunk Fourth Quarter 2017 Financial Results Conference Call. At this time, all participants are in a listen-only mode. Later, we will conduct a question-and-answer session and instructions will follow at that time. [Operator instructions]. As a reminder, this conference call is being recorded.

I would now like to turn the conference over to Ken Tinsley, Corporate Treasurer and Vice President of Investor Relations. Please begin.

Ken Tinsley

Great. Thank you, Latoya, and good afternoon, everyone. With me on the call today are Doug Merritt and Dave Conte. We issued a press release after close of market today and it's posted on our website. Additionally, this conference call is being broadcast live via webcast, and following the call an audio replay will be available on our website as well.

On today's call, we will be making forward-looking statements including financial guidance and expectations including our forecast for our first quarter and full year of fiscal 2018; transaction, products, services and revenue mix; planned investments and trends in our operating model results in our investments, trends and momentum in our business including international revenue. These statements reflect our best judgment based on factors currently known to us and actual events or results may differ materially.

Please refer to our documents we file with the SEC from time to time, including the Form 8-K filed with today's press release. Those documents contain risks and uncertainties and other factors that may cause our actual results to differ from those contained in our forward-looking statements. These forward-looking statements are being made as of today, and we disclaim any obligation to update or revise these statements. If this call is reviewed after today, the information presented during this call may not contain current or accurate information. We will also discuss non-GAAP financial measures, which are not prepared in accordance with Generally Accepted Accounting Principles. A reconciliation of GAAP to non-GAAP results is provided with the press release and on our website.

With that, let me turn it over to Doug.

Douglas Merritt

Thank you, Ken. Hello, everyone, and welcome to the call. Having just flown in from our annual sales kick-off, I'm excited to be talking to you all about the opportunity in front of us. As a company, we delivered on FY'17 and our enthusiasm heading into FY'18 couldn't be higher. Our energy comes from a great Q4, where we delivered $306.5 million in total revenue. It's up 39% over last year. For the full year, revenue totaled $950 million, up 42% year-over-year. Our growth continues to come from a combination of both new and existing customers expanding their deployments both on-prem and in the cloud.

I am pleased to report that in Q4, we added nearly 700 new customers to the Splunk family, which is now more than 13,000 strong. We are well on our way to achieving the goal we shared with all of you at our Analyst Day in January of adding 20,000 customers in three years. I'd