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February 2024
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EXHIBIT 99.1
Varonis Announces Fourth Quarter and Full-Year 2023 Financial Results
Annual recurring revenues grew 17% year-over-year
SaaS ARR as a percentage of total ARR was approximately 23%
Year-to-date cash from operations generated $59.4 million vs. $11.9 million last year
Year-to-date free cash flow generated $54.3 million vs. $0.5 million last year
NEW YORK, Feb. 05, 2024 (GLOBE NEWSWIRE) --
Varonis Systems, Inc. (Nasdaq: VRNS), a leader in data security, today announced financial results for the fourth quarter and full year ended December 31, 2023.Yaki Faitelson, Varonis CEO, said, "Our fourth quarter results reflect the sustained momentum of our SaaS platform and I’m happy to announce that SaaS ARR represented approximately 23% of total company ARR at year-end. This progress gives us the confidence to accelerate our SaaS transition timeline, which we now expect to complete by the end of 2026, a year earlier than our initial outlook."
Guy Melamed, Varonis CFO & COO, added, “The strong demand for our SaaS platform is reflected by our fourth quarter SaaS mix of 66% versus our guidance of 60% and better than expected existing customer conversions. This adoption benefits ARR and free cash flow and we expect the uptake of SaaS to accelerate in dollar terms in the coming year, which positions us well as we enter 2024."
Financial Summary for the Fourth Quarter Ended December 31, 2023
Financial Summary for the Year Ended December 31, 2023
The tables at the end of this press release include a reconciliation of GAAP operating income (loss) to non-GAAP operating income (loss) and GAAP net income (loss) to non-GAAP net income (loss) for the three and twelve months ended December 31, 2023 and 2022. An explanation of these measures is included below under the heading "Non-GAAP Financial Measures and Key Performance Indicators."
Key Performance Indicators and Recent Business Highlights
An explanation of ARR is included below under the heading "Non-GAAP Financial Measures and Key Performance Indicators." In addition, the tables at the end of this press release include a reconciliation of net cash provided by operating activities to non-GAAP free cash flow. An explanation of this measure is also included below under the heading "Non-GAAP Financial Measures and Key Performance Indicators."
Financial Outlook
For the first quarter of 2024, the Company expects:
For full year 2024, the Company expects:
Actual results may differ materially from the Company’s Financial Outlook as a result of, among other things, the factors described below under “Forward-Looking Statements”.
Conference Call and Webcast
Varonis will host a conference call today, Monday, February 5, 2024, at 4:30 p.m. Eastern Time, to discuss the Company's fourth quarter and full year 2023 financial results. To access this call, dial 877-425-9470 (domestic) or 201-389-0878 (international). The passcode is 13743527. A replay of this conference call will be available through February 12, 2024 at 844-512-2921 (domestic) or 412-317-6671 (international). The replay passcode is 13743527. A live webcast of this conference call will be available on the "Investors" page of the Company's website (www.varonis.com), and a replay will be archived on the website as well.
Non-GAAP Financial Measures and Key Performance Indicators
Varonis believes that the use of non-GAAP operating income (loss) and non-GAAP net income (loss) is helpful to our investors. These measures, which the Company refers to as our non-GAAP financial measures, are not prepared in accordance with GAAP.
Non-GAAP operating income (loss) is calculated as operating income (loss) excluding (i) stock-based compensation expense, (ii) payroll tax expense related to stock-based compensation, and (iii) amortization of acquired intangible assets and acquisition-related expenses.
Non-GAAP net income (loss) is calculated as net income (loss) excluding (i) stock-based compensation expense, (ii) payroll tax expense related to stock-based compensation, (iii) amortization of acquired intangible assets and acquisition-related expenses, (iv) foreign exchange gains (losses) which include exchange rate differences on lease contracts as a result of the implementation of ASC 842 and (v) amortization of debt issuance costs.
The Company believes that the exclusion of these expenses provides a more meaningful comparison of our operational performance from period to period and offers investors and management greater visibility to the underlying performance of our business. Specifically:
Free cash flow is calculated as net cash provided by or used in operating activities less purchases of property and equipment. We believe that free cash flow is a useful indicator of liquidity that provides information to management and investors about the amount of cash provided by or used in our operations that, after the investments in property and equipment, can be used for strategic initiatives.
Each of our non-GAAP financial measures is an important tool for financial and operational decision making and for evaluating our own operating results over different periods of time. The non-GAAP financial measures do not represent our financial performance under U.S. GAAP and should not be considered as alternatives to operating income (loss) or net income (loss) or any other performance measures derived in accordance with GAAP. Non-GAAP financial measures may not provide information that is directly comparable to that provided by other companies in our industry, as other companies in our industry may calculate non-GAAP financial results differently, particularly related to non-recurring, unusual items. In addition, there are limitations in using non-GAAP financial measures because the non-GAAP financial measures are not prepared in accordance with GAAP, and exclude expenses that may have a material impact on our reported financial results. Further, stock-based compensation expense and payroll tax expense related to stock-based compensation have been, and will continue to be for the foreseeable future, significant recurring expenses in our business and an important part of the compensation provided to our employees. Also, the amortization of intangible assets are expected recurring expenses over the estimated useful life of the underlying intangible asset and acquisition-related expenses will be incurred to the extent acquisitions are made in the future. Additionally, foreign exchange rates may fluctuate from one period to another, and the Company does not estimate movements in foreign currencies. Finally, the amortization of debt issuance costs are expected recurring expenses until the maturity of the senior notes in 2025.
The presentation of non-GAAP financial information is not meant to be considered in isolation or as a substitute for the directly comparable financial measures prepared in accordance with GAAP. Varonis urges investors to review the reconciliation of our non-GAAP financial measures to the comparable GAAP financial measures included below, and not to rely on any single financial measures to evaluate our business.
A reconciliation for non-GAAP operating income (loss) and non-GAAP net income (loss) referred to in our “Financial Outlook” is not provided because, as forward-looking statements, such reconciliation is not available without unreasonable effort due to the high variability, complexity, and difficulty of estimating certain items such as charges to stock-based compensation expense and currency fluctuations which could have an impact on our consolidated results. The Company believes the information provided is useful to investors because it can be considered in the context of the Company’s historical disclosures of this measure.
ARR is a key performance indicator defined as the annualized value of active term-based subscription license contracts, SaaS contracts, and maintenance contracts in effect at the end of that period. Subscription license contracts, SaaS contracts, and maintenance contracts are annualized by dividing the total contract value by the number of days in the term and multiplying the result by 365. The annualized value of contracts is a legal and contractual determination made by assessing the contractual terms with our customers. The annualized value of maintenance contracts is not determined by reference to historical revenues, deferred revenues or any other GAAP financial measure over any period. ARR is not a forecast of future revenues, which can be impacted by contract start and end dates and renewal rates.
Forward-Looking Statements
This press release contains, and statements made during the above referenced conference call will contain, "forward-looking" statements, which are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including regarding the Company's growth rate and its expectations regarding future revenues, operating income or loss or earnings or loss per share. These statements are not guarantees of future performance but are based on management's expectations as of the date of this press release and assumptions that are inherently subject to uncertainties, risks and changes in circumstances that are difficult to predict. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from any future results, performance or achievements. Important factors that could cause actual results to differ materially from those expressed or implied by these forward-looking statements include the following: the impact of potential information technology, cybersecurity or data security breaches; risks associated with anticipated growth in Varonis’ addressable market; general economic and industry conditions, such as foreign currency exchange rate fluctuations and expenditure trends for data and cybersecurity solutions; Varonis’ ability to predict the timing and rate of subscription renewals and their impact on the Company’s future revenues and operating results; risks associated with international operations; the impact of global conflicts on the budgets of our clients and on economic conditions generally; competitive factors, including increased sales cycle time, changes in the competitive environment, pricing changes and increased competition; the risk that Varonis may not be able to attract or retain employees, including sales personnel and engineers; Varonis’ ability to build and expand its direct sales efforts and reseller distribution channels; risks associated with the closing of large transactions, including Varonis’ ability to close large transactions consistently on a quarterly basis; new product introductions and Varonis’ ability to develop and deliver innovative products; Varonis’ ability to provide high-quality service and support offerings; the expansion of cloud-delivered services; and risks associated with our convertible notes and capped-call transaction. These and other important risk factors are described more fully in Varonis’ reports and other documents filed with the Securities and Exchange Commission and could cause actual results to vary from expectations. All information provided in this press release and in the conference call is as of the date hereof, and Varonis undertakes no duty to update or revise this information, whether as a result of new information, new developments or otherwise, except as required by law.
About Varonis
Varonis (Nasdaq: VRNS) is a leader in data security, fighting a different battle than conventional cybersecurity companies. Our cloud-native Data Security Platform continuously discovers and classifies critical data, removes exposures, and detects advanced threats with AI-powered automation.
Thousands of organizations worldwide trust Varonis to defend their data wherever it lives — across SaaS, IaaS, and hybrid cloud environments. Customers use Varonis to automate a wide range of security outcomes, including data security posture management (DSPM), data classification, data access governance (DAG), data detection and response (DDR), data loss prevention (DLP), and insider risk management.
Varonis protects data first, not last. Learn more at www.varonis.com.
Investor Relations Contact:
Tim Perz
Varonis Systems, Inc.
646-640-2112
investors@varonis.com
News Media Contact:
Rachel Hunt
Varonis Systems, Inc.
877-292-8767 (ext. 1598)
pr@varonis.com
Varonis Systems, Inc. | |||||||||||||||
Condensed Consolidated Statements of Operations | |||||||||||||||
(in thousands, except for share and per share data) | |||||||||||||||
Three Months Ended December 31, | Twelve Months Ended December 31, | ||||||||||||||
2023 | 2022 | 2023 | 2022 | ||||||||||||
Unaudited | Unaudited | ||||||||||||||
Revenues: | |||||||||||||||
Subscriptions | $ | 129,164 | $ | 116,727 | $ | 400,907 | $ | 366,144 | |||||||
Maintenance and services | 24,935 | 25,890 | 98,253 | 107,490 | |||||||||||
Total revenues | 154,099 | 142,617 | 499,160 | 473,634 | |||||||||||
Cost of revenues | 19,347 | 17,030 | 71,751 | 69,836 | |||||||||||
Gross profit | 134,752 | 125,587 | 427,409 | 403,798 | |||||||||||
Operating expenses: | |||||||||||||||
Research and development | 48,144 | 45,018 | 183,838 | 177,881 | |||||||||||
Sales and marketing | 70,569 | 71,779 | 277,893 | 275,090 | |||||||||||
General and administrative | 21,283 | 18,783 | 82,901 | 72,055 | |||||||||||
Total operating expenses | 139,996 | 135,580 | 544,632 | 525,026 | |||||||||||
Operating loss | (5,244 | ) | (9,993 | ) | (117,223 | ) | (121,228 | ) | |||||||
Financial income, net | 5,433 | 4,270 | 30,305 | 10,413 | |||||||||||
Income (loss) before income taxes | 189 | (5,723 | ) | (86,918 | ) | (110,815 | ) | ||||||||
Income taxes | (1,087 | ) | (5,025 | ) | (13,998 | ) | (13,703 | ) | |||||||
Net loss | $ | (898 | ) | $ | (10,748 | ) | $ | (100,916 | ) | $ | (124,518 | ) | |||
Net loss per share of common stock, basic and diluted | $ | (0.01 | ) | $ | (0.10 | ) | $ | (0.92 | ) | $ | (1.14 | ) | |||
Weighted average number of shares used in computing net loss per share of common stock, basic and diluted | 109,007,859 | 109,214,698 | 109,141,894 | 109,281,368 |
Stock-based compensation expense for the three and twelve months ended December 31, 2023 and 2022 is included in the Condensed Consolidated Statements of Operations as follows (in thousands): | |||||||||||
Three Months Ended December 31, | Twelve Months Ended December 31, | ||||||||||
2023 | 2022 | 2023 | 2022 | ||||||||
Unaudited | Unaudited | ||||||||||
Cost of revenues | $ | 1,275 | $ | 2,236 | $ | 7,221 | $ | 10,720 | |||
Research and development | 11,199 | 12,243 | 48,679 | 50,971 | |||||||
Sales and marketing | 10,186 | 12,573 | 48,047 | 51,793 | |||||||
General and administrative | 8,983 | 7,754 | 35,872 | 29,378 | |||||||
$ | 31,643 | $ | 34,806 | $ | 139,819 | $ | 142,862 |
Payroll tax expense related to stock-based compensation for the three and twelve months ended December 31, 2023 and 2022 is included in the Condensed Consolidated Statements of Operations as follows (in thousands): | |||||||||||
Three Months Ended December 31, | Twelve Months Ended December 31, | ||||||||||
2023 | 2022 | 2023 | 2022 | ||||||||
Unaudited | Unaudited | ||||||||||
Cost of revenues | $ | 20 | $ | 61 | $ | 405 | $ | 595 | |||
Research and development | 133 | 40 | 365 | 180 | |||||||
Sales and marketing | 152 | 188 | 1,972 | 2,661 | |||||||
General and administrative | 32 | 23 | 518 | 704 | |||||||
$ | 337 | $ | 312 | $ | 3,260 | $ | 4,140 |
Amortization of acquired intangibles and acquisition-related expenses for the three and twelve months ended December 31, 2023 and 2022 is included in the Condensed Consolidated Statements of Operations as follows (in thousands): | |||||||||||
Three Months Ended December 31, | Twelve Months Ended December 31, | ||||||||||
2023 | 2022 | 2023 | 2022 | ||||||||
Unaudited | Unaudited | ||||||||||
Cost of revenues | $ | 381 | $ | 381 | $ | 1,525 | $ | 1,525 | |||
Research and development | 128 | 467 | 1,363 | 2,235 | |||||||
Sales and marketing | — | — | — | — | |||||||
General and administrative | — | — | — | — | |||||||
$ | 509 | $ | 848 | $ | 2,888 | $ | 3,760 |
Varonis Systems, Inc. | |||||||
Condensed Consolidated Balance Sheets | |||||||
(in thousands) | |||||||
December 31, 2023 | December 31, 2022 | ||||||
Unaudited | |||||||
Assets | |||||||
Current assets: | |||||||
Cash and cash equivalents | $ | 230,740 | $ | 367,800 | |||
Marketable securities | 253,175 | 236,338 | |||||
Short-term deposits | 49,800 | 128,350 | |||||
Trade receivables, net | 169,116 | 135,979 | |||||
Prepaid expenses and other current assets | 64,326 | 37,190 | |||||
Total current assets | 767,157 | 905,657 | |||||
Long-term assets: | |||||||
Long-term marketable securities | 211,063 | — | |||||
Operating lease right-of-use assets | 51,838 | 56,772 | |||||
Property and equipment, net | 33,964 | 39,043 | |||||
Intangible assets, net | 1,263 | 2,788 | |||||
Goodwill | 23,135 | 23,135 | |||||
Other assets | 15,490 | 16,337 | |||||
Total long-term assets | 336,753 | 138,075 | |||||
Total assets | $ | 1,103,910 | $ | 1,043,732 | |||
Liabilities and stockholders’ equity | |||||||
Current liabilities: | |||||||
Trade payables | $ | 672 | $ | 2,962 | |||
Accrued expenses and other short-term liabilities | 125,057 | 115,231 | |||||
Deferred revenues | 181,049 | 110,550 | |||||
Total current liabilities | 306,778 | 228,743 | |||||
Long-term liabilities: | |||||||
Convertible senior notes, net | 250,477 | 248,963 | |||||
Operating lease liabilities | 51,313 | 57,627 | |||||
Deferred revenues | 886 | 1,503 | |||||
Other liabilities | 4,808 | 4,771 | |||||
Total long-term liabilities | 307,484 | 312,864 | |||||
Stockholders’ equity: | |||||||
Share capital | |||||||
Common stock | 109 | 108 | |||||
Accumulated other comprehensive loss | (8,649 | ) | (9,557 | ) | |||
Additional paid-in capital | 1,142,578 | 1,055,048 | |||||
Accumulated deficit | (644,390 | ) | (543,474 | ) | |||
Total stockholders’ equity | 489,648 | 502,125 | |||||
Total liabilities and stockholders’ equity | $ | 1,103,910 | $ | 1,043,732 |
Varonis Systems, Inc. | |||||||
Condensed Consolidated Statements of Cash Flows | |||||||
(in thousands) | |||||||
Twelve Months Ended December 31, | |||||||
2023 | 2022 | ||||||
Unaudited | |||||||
Cash flows from operating activities: | |||||||
Net loss | $ | (100,916 | ) | $ | (124,518 | ) | |
Adjustments to reconcile net loss to net cash provided by operating activities: | |||||||
Depreciation and amortization | 11,703 | 12,176 | |||||
Stock-based compensation | 139,819 | 142,862 | |||||
Amortization of deferred commissions | 21,531 | 22,264 | |||||
Noncash operating lease costs | 9,468 | 9,305 | |||||
Amortization of debt issuance costs | 1,514 | 1,486 | |||||
Amortization of premium and accretion of discount on marketable securities | (9,354 | ) | (344 | ) | |||
Gain from sale of property and equipment | — | (21 | ) | ||||
Changes in assets and liabilities: | |||||||
Trade receivables | (33,137 | ) | (18,800 | ) | |||
Prepaid expenses and other current assets | (21,459 | ) | (6,161 | ) | |||
Deferred commissions | (21,964 | ) | (22,033 | ) | |||
Other long-term assets | (577 | ) | 502 | ||||
Trade payables | (2,290 | ) | (2,362 | ) | |||
Accrued expenses and other short-term liabilities | (5,278 | ) | (9,115 | ) | |||
Deferred revenues | 69,882 | 5,266 | |||||
Other long-term liabilities | 474 | 1,364 | |||||
Net cash provided by operating activities | 59,416 | 11,871 | |||||
Cash flows from investing activities: | |||||||
Proceeds from sales and maturities of marketable securities | 301,350 | 41,600 | |||||
Investment in marketable securities | (517,948 | ) | (277,871 | ) | |||
Proceeds from short-term and long-term deposits | 214,444 | 15,961 | |||||
Investment in short-term and long-term deposits | (135,823 | ) | (142,566 | ) | |||
Proceeds from sale of property and equipment | — | 21 | |||||
Purchases of property and equipment | (5,099 | ) | (11,396 | ) | |||
Net cash used in investing activities | (143,076 | ) | (374,251 | ) | |||
Cash flows from financing activities: | |||||||
Proceeds from employee stock plans | 11,537 | 11,940 | |||||
Taxes paid related to net share settlement of equity awards | (21,415 | ) | (31,077 | ) | |||
Repurchase of common stock | (43,522 | ) | (56,444 | ) | |||
Net cash used in financing activities | (53,400 | ) | (75,581 | ) | |||
Decrease in cash and cash equivalents | (137,060 | ) | (437,961 | ) | |||
Cash and cash equivalents at beginning of period | 367,800 | 805,761 | |||||
Cash and cash equivalents at end of period | $ | 230,740 | $ | 367,800 |
Varonis Systems, Inc. | |||||||||||||||
Reconciliation of GAAP Measures to non-GAAP | |||||||||||||||
(in thousands, except share and per share data) | |||||||||||||||
Three Months Ended December 31, | Twelve Months Ended December 31, | ||||||||||||||
2023 | 2022 | 2023 | 2022 | ||||||||||||
Unaudited | Unaudited | ||||||||||||||
Reconciliation to non-GAAP operating income: | |||||||||||||||
GAAP operating loss | $ | (5,244 | ) | $ | (9,993 | ) | $ | (117,223 | ) | $ | (121,228 | ) | |||
Add back: | |||||||||||||||
Stock-based compensation expense | 31,643 | 34,806 | 139,819 | 142,862 | |||||||||||
Payroll tax expenses related to stock-based compensation | 337 | 312 | 3,260 | 4,140 | |||||||||||
Amortization of acquired intangible assets and acquisition-related expenses | 509 | 848 | 2,888 | 3,760 | |||||||||||
Non-GAAP operating income | $ | 27,245 | $ | 25,973 | $ | 28,744 | $ | 29,534 | |||||||
Reconciliation to non-GAAP net income: | |||||||||||||||
GAAP net loss | $ | (898 | ) | $ | (10,748 | ) | $ | (100,916 | ) | $ | (124,518 | ) | |||
Add back: | |||||||||||||||
Stock-based compensation expense | 31,643 | 34,806 | 139,819 | 142,862 | |||||||||||
Payroll tax expenses related to stock-based compensation | 337 | 312 | 3,260 | 4,140 | |||||||||||
Amortization of acquired intangible assets and acquisition-related expenses | 509 | 848 | 2,888 | 3,760 | |||||||||||
Foreign exchange rate differences, net | 2,290 | 532 | (916 | ) | (5,147 | ) | |||||||||
Amortization of debt issuance costs | 381 | 374 | 1,514 | 1,486 | |||||||||||
Non-GAAP net income | $ | 34,262 | $ | 26,124 | $ | 45,649 | $ | 22,583 | |||||||
GAAP weighted average number of shares used in computing net loss per share of common stock - basic and diluted | 109,007,859 | 109,214,698 | 109,141,894 | 109,281,368 | |||||||||||
Non-GAAP weighted average number of shares used in computing net income per share of common stock - basic | 109,007,859 | 109,214,698 | 109,141,894 | 109,281,368 | |||||||||||
Non-GAAP weighted average number of shares used in computing net income per share of common stock - diluted | 126,061,869 | 126,010,187 | 126,585,777 | 126,247,041 | |||||||||||
GAAP net loss per share of common stock - basic and diluted | $ | (0.01 | ) | $ | (0.10 | ) | $ | (0.92 | ) | $ | (1.14 | ) | |||
Non-GAAP net income per share of common stock - basic | $ | 0.31 | $ | 0.24 | $ | 0.42 | $ | 0.21 | |||||||
Non-GAAP net income per share of common stock - diluted | $ | 0.27 | $ | 0.21 | $ | 0.36 | $ | 0.18 |
Varonis Systems, Inc. | |||||||
Reconciliation of GAAP Measures to non-GAAP | |||||||
(in millions) | |||||||
Twelve Months Ended December 31, | |||||||
2023 | 2022 | ||||||
Unaudited | |||||||
Reconciliation to non-GAAP free cash flow: | |||||||
Net cash provided by operating activities | $ | 59.4 | $ | 11.9 | |||
Purchases of property and equipment | (5.1 | ) | (11.4 | ) | |||
Free cash flow | $ | 54.3 | $ | 0.5 |
Varonis Systems, Inc. | |||||||
Reconciliation of GAAP Measures to non-GAAP | |||||||
(in millions) | |||||||
Twelve Months Ended December 31, 2024 | |||||||
Low | High | ||||||
Reconciliation to non-GAAP free cash flow: | |||||||
Net cash provided by operating activities | $ | 77.0 | $ | 84.0 | |||
Purchases of property and equipment | (7.0 | ) | (9.0 | ) | |||
Free cash flow | $ | 70.0 | $ | 75.0 |
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Varonis Systems Inc's Definitive Proxy Statement (Form DEF 14A) filed after their 2024 10-K Annual Report includes:
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Our income tax provision could be significantly impacted by estimates surrounding our uncertain tax positions and changes to our valuation allowance in future periods.
During 2022 and throughout 2023, however, our operations around the world were negatively impacted by the broader macroeconomic conditions, including a higher inflation and interest rate environment, a general economic slowdown, the weakening of the Euro and the Pound Sterling and the exit of our Russia business.
Our inability or failure to do so could harm our business, financial condition and results of operations.
The advantages include: quicker and easier deployment and maintenance of solutions with reduced infrastructure and personnel requirements; a lower total cost of ownership; faster deployment of risk assessments, which is the core of our sales motion; enhanced threat detection; continual threat model updates; increased automation for securing data in place; and the ability to deliver additional features and functionality to customers more efficiently.
Critical accounting policies and estimates are those that we consider the most important to the portrayal of our financial condition and results of operations because they require our most difficult, subjective or complex judgments, often as a result of the need to make estimates about the effect of the matters that are inherently uncertain.
This is partially offset by...Read more
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Annual recurring revenues is a...Read more
We have observed two seasonal...Read more
The benefits of SaaS delivery...Read more
For maintenance included in subscription...Read more
We recognize share-based compensation expense...Read more
On October 31, 2022, we...Read more
We recognize revenues from maintenance...Read more
Early adoption is permitted and...Read more
During 2023, we have continued...Read more
We believed that rapid data...Read more
For the year ended December 31,...Read more
We expect RPO to continue...Read more
The amount of revenues recognized...Read more
Operating expenses are classified into...Read more
Income taxes for the year...Read more
Pursuant to these contracts, customers...Read more
Other expenses are comprised of...Read more
Management’s Discussion and Analysis of...Read more
When selling on-premises subscription products,...Read more
As we transition to a...Read more
We recognize expenses related to...Read more
We reevaluate the judgments surrounding...Read more
The increase in cost of...Read more
On October 31, 2022 we...Read more
Deferred revenues represent mostly unrecognized...Read more
Enterprises now use many different...Read more
Maintenance and services revenues consist...Read more
We sell our products worldwide...Read more
Customers with maintenance agreements are...Read more
Conversely, the fourth quarter typically...Read more
Our focus has been on...Read more
Our customers span leading firms...Read more
We believe that our sales...Read more
Our DSO for the three...Read more
Our product offering currently contains...Read more
Remaining performance obligations ("RPO") represent...Read more
The increase is also due...Read more
Revenues allocated to remaining performance...Read more
We account for our convertible...Read more
Additionally, despite the revenue recognition...Read more
If our costs were to...Read more
The ASU requires that an...Read more
We recognize revenues in accordance...Read more
Operating expenses also include allocated...Read more
Conversions from a license sold...Read more
Conversions from a license sold...Read more
The amendments in this ASU...Read more
Our gross margins and operating...Read more
Professional services have always been...Read more
We account for stock-based compensation...Read more
As a result, we expected,...Read more
We measure the renewal rate...Read more
We expect our flagship Varonis...Read more
The increase in sales and...Read more
Our remaining performance obligations were...Read more
We also offer professional services,...Read more
The annualized value of contracts...Read more
As a result, we have...Read more
Due to the transition to...Read more
ASC No. 718 requires companies to...Read more
We operate in several tax...Read more
Subscription licenses are sold on-premises...Read more
Further, the ASU requires certain...Read more
The increase in financial income,...Read more
Our expenses, which do not...Read more
Foreign exchange gains or losses...Read more
As a company, we have...Read more
General and administrative expenses primarily...Read more
As the majority of our...Read more
We expect to fund these...Read more
Subscription software that is sold...Read more
Subscription license revenues are sold...Read more
To the extent that there...Read more
We also expect sales and...Read more
Due to differences in the...Read more
We recognize compensation expenses for...Read more
As a result, we have...Read more
We pay sales commissions to...Read more
Earnings from our non-U.S. activities...Read more
We expect the impact of...Read more
We do not expect perpetual...Read more
For example, we are currently...Read more
These seasonal trends also impact...Read more
The anticipated decrease in maintenance...Read more
Based on our technology, customer...Read more
For software licenses included in...Read more
In addition, we are subject...Read more
Due to the war that...Read more
We believe there is a...Read more
Financial Statements, Disclosures and Schedules
Inside this 10-K Annual Report
Material Contracts, Statements, Certifications & more
Varonis Systems Inc provided additional information to their SEC Filing as exhibits
Ticker: VRNS
CIK: 1361113
Form Type: 10-K Annual Report
Accession Number: 0001628280-24-003498
Submitted to the SEC: Tue Feb 06 2024 4:20:52 PM EST
Accepted by the SEC: Tue Feb 06 2024
Period: Sunday, December 31, 2023
Industry: Prepackaged Software