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Okta Inc. (OKTA+1.59%) has submitted its 10-Q filing for the quarterly period ended October 31, 2024.
The filing includes financial statements for the quarter, showing an increase in total revenue to $665 million from $584 million in the same quarter the previous year. This growth was primarily driven by an increase in subscription revenue to $651 million from $569 million.
Cost of revenue for the quarter was $157 million, compared to $145 million in the previous year. The increase was attributed to higher employee compensation and third-party hosting costs.
The company reported a gross profit of $508 million for the quarter, compared to $439 million in the previous year. The gross margin remained stable at 76%.
Operating expenses decreased to $524 million from $550 million, with reductions in research and development, and sales and marketing expenses.
Net income for the quarter was $16 million, compared to a net loss of $81 million in the previous year. The improvement was partly due to a gain on early extinguishment of debt and increased interest income.
Okta had cash, cash equivalents, and short-term investments totaling $2,248 million as of October 31, 2024. The company expects these resources to be sufficient to meet its short-term and long-term capital expenditure needs.
The filing also highlights Okta's strategic focus on expanding its sales force and enhancing its product offerings to drive future growth.
Okta's management acknowledges the potential risks from cybersecurity incidents and compliance with evolving data privacy regulations, which could impact its operations and financial results.
The company continues to monitor macroeconomic conditions, including inflation and interest rates, which may influence customer spending and demand for its products.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Okta Inc. quarterly 10-Q report dated December 4, 2024. To report an error, please email earnings@qz.com.