Q124 INFA earnings

Total ARR (Annual Recurring Revenue): $1.64 billion, a 6.7% increase year-over-year.
Cloud Subscription ARR: $653 million, 35% increase year-over-year.
Subscription ARR: Grew over 13% year-over-year to $1.16 billion.
GAAP Total Revenues: $389 million, 6.3% increase year-over-year.
Subscription Revenue: $252 million, 18% increase year-over-year; 65% of total revenue.
Maintenance and Professional Services Revenue: $137 million.
Gross Margin: Non-GAAP, 81%, up 1 percentage point year-over-year.
Operating Income: Non-GAAP, $109 million, 29% increase year-over-year.
Net Income: Non-GAAP, $69 million.
Adjusted Unlevered Free Cash Flow: After tax, $183 million.
Cash and Short-term Investments: $1.1 billion.

Total ARR: Continuation of similar trends expected with cloud subscription growth offsetting declines in self-managed and maintenance ARR.
Foreign Exchange Impact: Foreseen as a headwind due to U.S. dollar strengthening against major currencies.
Operational Expenses: Approximately $4 million in additional restructuring charges expected for the remainder of 2024.
Free Cash Flow: Q2 expected to be much lower, but on track to meet full-year guidance.
Net Leverage Ratio: At the end of March, 1.4x, with net debt at $725 million.

Cloud-Only Consumption-Driven Strategy: Execution on this strategy, focusing on cloud subscription growth.
Migration from On-Prem to Cloud: Accelerating, with positive ARR uplift ratios on migrations.
Modernization and Innovation: Ongoing investment in product innovations such as CLAIRE GPT for gen AI and new cloud data management solutions.
Gen AI Revolution: Seen as the next phase of digital transformation, with Informatica positioning itself as key in preparing data for gen AI.
Partnerships and Ecosystem Expansion: Strong co-selling and collaborations with key cloud and technology partners like Microsoft, AWS, and Google Cloud.
Customer Retention and Growth: Strong cloud net expansion rates and new customer acquisitions contributing to growth.
Geographic Performance: Notable international revenue growth, indicating expansion beyond U.S. markets.

Amit Walia (CEO): “We’re focused on consistently executing our commitments… and driving ongoing data-driven digital transformation.”
Michael McLaughlin (CFO): “Q1 was another solid financial cross the board… delivering a great start to the year.”
Product Innovation Discussion: “Let me discuss a few net new product innovations on IDMC… we launched our new cloud data access management solution.”
Gen AI Strategy: “I firmly believe that the next phase of digital transformation will be fueled by gen AI… Informatica is driving the modern data management stack for gen AI enterprise architectures.”
Operational Health and Growth: “Operational health of our business remains very strong… We believe this continues to position us well for durable, consistent future growth and profitability.”