Elastic N.V. SEC 10-Q Report

Elastic N.V., a leading provider of search-powered solutions, has released its latest Form 10-Q report, showcasing significant improvements in both financial and operational performance. The report highlights the company's continued growth driven by the adoption of Elastic Cloud and other subscription services, as well as strategic investments in new product features and solutions.

Financial Highlights

Total Revenue: $415.3 million, increased by 20% compared to the same period of the prior year, driven by continued adoption of both Elastic Cloud and Other subscriptions.

Gross Profit: $318.5 million, representing a gross margin of 77%, up from 74% in the prior year, due to lower cloud infrastructure costs.

Operating Loss: $9.4 million, improved from an operating loss of $33.8 million in the prior year, reflecting better cost management and increased revenue.

Net Loss: $24.6 million, compared to a net loss of $49.2 million in the prior year, indicating a significant reduction in losses.

Net Loss Per Share: $0.23, compared to $0.48 in the prior year, reflecting improved financial performance and efficiency.

Business Highlights

Revenue Segments: Subscription revenue accounted for 94% of total revenue, with Elastic Cloud contributing 47% of total revenue, indicating a strong adoption of cloud-based solutions. The increase in Elastic Cloud revenue was primarily driven by a 31% growth in Annual Elastic Cloud revenue.

Geographical Performance: The United States remains the largest market, contributing $230.3 million to total revenue, while the rest of the world contributed $185.0 million. This indicates a balanced growth across regions, with no single country outside the U.S. accounting for 10% or more of total revenue.

Sales Units: The number of customers with annual contract value (ACV) over $100,000 increased to over 1,550, up from over 1,370 in the previous year, reflecting successful customer expansion and retention strategies.

New Product Launches: The company continues to enhance its Search AI Platform, focusing on developing new features and solutions to drive usage and growth. This includes investments in expanding capabilities for AI and machine learning use cases.

Future Outlook: The company anticipates continued growth in Elastic Cloud's contribution to subscription revenue, although this may have a modest adverse impact on gross margin due to associated third-party hosting costs. The company is also focused on expanding its customer base by converting free users to paid subscribers and increasing sales within its existing customer base.

SEC Filing: Elastic N.V. [ ESTC ] - 10-Q - Aug. 29, 2025