Netskope (NTSK) investor relations material

Company overview and business model

• Provides a unified, cloud-native platform for security, networking, and analytics, targeting the cloud and AI era.

• Serves over 4,300 customers globally, including more than 30% of the Fortune 100 and 18% of the Forbes Global 2000 as of July 2025.

• Generates nearly all revenue from multi-year cloud subscription contracts, with a land-and-expand strategy driving cross-sell and upsell.

• Platform includes over 20 products, with increasing customer adoption of multiple products over time.

• Focuses on large and mid-market enterprises, governments, and leverages a broad partner ecosystem for distribution.

Financial performance and metrics

• Annual Recurring Revenue (ARR) grew 33% YoY to $707M as of July 31, 2025; revenue for the six months ended July 31, 2025 was $328M, up 31% YoY.

• Net loss for the six months ended July 31, 2025 was $170M, improved from $207M YoY; fiscal 2025 net loss was $355M.

• Gross margin increased to 71% for the six months ended July 31, 2025, up from 62% YoY.

• Net retention rate (NRR) reached 118% as of July 31, 2025; gross retention rate (GRR) was 96%.

• Operating cash flow margin improved to 3% for the six months ended July 31, 2025, from (42%) YoY.

Use of proceeds and capital allocation

• Net proceeds of ~$810M (or ~$933M if underwriters' option exercised) expected, based on $18.00/share IPO price.

• Proceeds to be used for general corporate purposes, including working capital, operating expenses, and capital expenditures.

• A portion will cover tax withholding obligations related to RSU settlements; potential use for acquisitions or investments, but no current agreements.

• May use proceeds to repay convertible notes, but no current intention to do so.