GitLab (GTLB) investor relations material

Executive summary

• Q2 FY27 revenue reached $286.3 million, up 21% year-over-year, with record gross bookings and net ARR growth of 42% year-over-year.

• First Orders more than doubled year-over-year, and new logo net ARR grew 39%.

• Ultimate ARR grew 35% year-over-year and now represents 59% of total ARR.

• Paid Consumption Run Rate exceeded $40 million, up from $15 million in Q1, driven by Flex and Duo Agent Platform.

• The company launched Flex, a hybrid seat and consumption-based model, with over 130 customers committing $20 million in the first six weeks.

Financial highlights

• Non-GAAP operating income was $42.6 million (15% margin); GAAP net loss was $36.1 million for the quarter.

• Gross margin was 86.5% non-GAAP and 84% GAAP.

• Adjusted free cash flow was $9.8 million (3% margin); ended Q2 with $1.26 billion in cash and investments.

• Calculated billings grew 24% year-over-year, doubling the prior quarter's growth rate.

• SaaS revenue was 34% of total, up 36% year-over-year.

Outlook and guidance

• Q3 FY27 revenue expected at $281–$283 million (15–16% year-over-year growth); non-GAAP operating income $35–$37 million.

• FY27 revenue guidance raised to $1.129–$1.133 billion (18–19% growth); non-GAAP operating income $148–$152 million.

• Non-GAAP EPS guidance: $0.19–$0.20 for Q3 and $0.85–$0.87 for FY27.

• Full-year gross margin expected between 85–87%.

• Guidance does not include potential Flex revenue recognition impacts, which may shift up to $13 million out of FY27.