Just seen this drop. Cloudflare are announcing the Q1 2022 financial results today
Here is the investor presentation for Q1 2022
From the webinar. Sounds like a strong Q1 2022
Hopefully this will be reflected in the share price going forward over the next few days/weeks
Good results but nothing is saving high growth stocks right now
It’s down 15% after hours.
@SecureHttp yep. Saw that earlier. I wonder what caused the big drop earlier today and later this evening (uk time). Was it nervousness leading up to the Q1 results?
Nice detailed breakdown from business wire of the recent results
Looks like a great company, good set of results too
Either way, getting slapped down by the current market conditions and the stupid valuations for growth stocks
Added to my watchlist cos I can see this one recovering well in future
The thinking around growth companies is shifting. Negative cashflow doesn’t help either, Cloudflare said “The decrease in cash flow was primarily related to a unique withholding tax payment of approximately $30 million.” They “expect to return to positive free cash flow in the second half of this year”.
There is a lot of good news in the earnings update. Even more in the earnings call. Here’s a few quotes:
Related to AWS
“A Fortune 1000 gaming company signed a $3.3 million three-year contract. I love this story. They were using AWS but found their security couldn’t prevent the attacks they were seeing. After struggling to keep their application online, AWS’s team eventually told them, “You should just use Cloudflare.” And so they did.”
“R2 is progressing to open beta next week, and we expect we’ll be able to save them lots of AWS egress fees as well.”
R2 is Cloudflare’s AWS S3 competitor. Expect to hear more about their developer platform tools next week, the CEO said he thinks they will “have some very exciting surprises as part of what we’re rolling out over the course of the week”.
On protecting against phishing attacks through Area 1 and on simplicity of deployment
“Almost every headline hacking incident that you’ve read about in the last two years, email was the initial way that that vulnerability was taken into account. So I think it makes a ton of sense for us to have a solution. It’s also incredibly powerful because we’re the DNS provider that we can make it one-click deployment, where it’s a customer of ours clicks a single button and instantly, they get the benefits of the Area 1 solution, and they can continue to use whoever their existing email provider is, whether that’s Outlook and Microsoft Office or its G-suite or if it’s something that they’re hosting on-premise.”
“We can automatically isolate that email using our browser isolation product so that any link that you click on in that link don’t actually render on your laptop, but they’re actually rendered at the edge of our network.”
“Federal is a big opportunity for us. FedRAMP we think we’ll continue to unlock that. We got word actually today that we have thumbs up from our sponsoring agency and are just waiting kind of in line with the overall federal agency to get that approved.”
Found this interesting
Great set of results and huge jump in share price (still massively down from highs).