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Dynatrace Inc. (DT-5.48%) has submitted its 10-Q filing for the quarterly period ended December 31, 2024.
The filing includes financial statements for the quarter, showing an increase in total revenue to $436,169,000 from $365,096,000 in the same quarter the previous year. This growth is primarily attributed to an increase in subscription revenue.
Subscription revenue for the quarter was $417,207,000, up from $348,294,000 in the previous year, reflecting a 20% increase. Service revenue also saw a rise to $18,962,000 from $16,802,000.
Cost of subscription increased to $60,666,000, representing 14% of revenue, compared to 13% in the previous year. This increase is due to higher cloud-based hosting costs and personnel expenses.
The company reported a gross profit of $353,608,000 for the quarter, compared to $297,227,000 in the previous year, maintaining a gross margin of 81%.
Research and development expenses rose to $98,343,000 from $80,102,000, driven by increased personnel costs and share-based compensation.
Sales and marketing expenses increased to $154,472,000 from $132,723,000, mainly due to higher personnel costs and marketing expenditures.
General and administrative expenses were $49,354,000, up from $43,231,000, primarily due to increased personnel costs.
Net income for the quarter was $361,752,000, significantly higher than $42,691,000 in the previous year, largely due to a substantial income tax benefit recognized from an intra-entity asset transfer.
Cash provided by operating activities was $42,238,000, while cash used in investing and financing activities was $51,484,000 and $112,032,000, respectively.
Dynatrace had cash and cash equivalents of $907,482,000 as of December 31, 2024. The company continues to focus on expanding its customer base and enhancing its platform capabilities.
The filing also details the company's share repurchase program, with $369.9 million remaining available for future repurchases.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Dynatrace Inc. quarterly 10-Q report dated January 30, 2025. To report an error, please email earnings@qz.com.