CrowdStrike Holdings Inc (NASDAQ:CRWD) Q3 2020 Earnings Conference Call - Final Transcript

Dec 05, 2019 • 05:00 pm ET

Previous

CrowdStrike Holdings Inc (NASDAQ:CRWD) Q3 2020 Earnings Conference Call - Final Transcript

Share
Close

Loading Event

Loading Transcript

Q & A
Executive
George Kurtz

we've seen is drilling acceleration of pipeline and just a general dissatisfaction with some of the acquisition, the incumbents they had in the acquisitions that have taken place.

Analyst
Saket Kalia

Got it. That makes a lot of sense. Burt, maybe for my follow-up for you, really nice customer addition number in the quarter. And clearly, most of the business is enterprise, but you've been building a mid-market inside sales team for some time and I think there was just talk about balanced additions just across kind of customer size. Can you just maybe touch on how that mid-market sales effort is going? And at this point, what is -- if you are willing to disclose, what is the mix of ARR when thinking about enterprise versus mid-market/SMB, if you will?

Executive
Burt Podbere

Hey. Thanks for the question, Saket. So, we have certainly seen strong acceleration in new customer adds in the SMB space, which is clearly aligned with our growth strategy that we outlined during the IPO. The great news about us is our -- because of our cloud-based model, we are able to address both enterprise and SMB verticals in a very efficient manner.

In the SMB space, obviously, there is a massive number of customers, deals are smaller, but we discount less. And so for us, as we think about both markets, we're equally as efficient in going after both of them and we're investing in both. And because we're in greenfield in both, any particular quarter could vary in terms of, which has a bigger acceleration or not. So right now, we're really, really happy with the acceleration in both of those markets.

Analyst
Saket Kalia

Got it. Very helpful. I'll get back in queue. Thanks, guys.

Operator
Operator

Thank you. Our next question comes from Alex Henderson with Needham. Your line is now open.

Analyst
Alex Henderson

Great. Thank you very much. First, I just wanted to clarify, you guys are based in California, not in Ukraine, right.

Executive
George Kurtz

That would be correct. Sunnyvale, California.

Analyst
Alex Henderson

So first question, I really wanted to ask here was, you've obviously had outstanding execution across the board. Your products taking off. Can you talk a little bit about the degree that you're able to staff up to sustain these exceptional growth rates? And obviously, there is scalability in your model that is different than the typical model. And I think it'd be helpful if you can go through just how much capacity you need to add in order to deliver an incremental growth.

Executive
George Kurtz

Well, great question. And I'll start out with saying, just phenomenal execution by the entire team, obviously, despite a lot of the noise in the environment. So, we're really excited about that. And I think that's a testament to the team we have and the model that we've built, both on the financial side as well as on the operating side in terms of the technology. We've been very aggressively hiring sales personnel all around the world. As Burt talked a little bit earlier, our inside sales team is a