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H.S. junior Good
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New words:
abuse, affording, armed, ASU, Australia, automated, biased, Bunny, CDA, child, Cooperation, CPRA, Decency, delete, division, DMCA, DSA, epidemic, FASB, flux, gather, globe, harbor, harder, India, infer, infrequently, intermediary, leaked, linkedin, Millennium, moderation, NetScaler, outpacing, owe, prioritizing, recommended, reconciliation, recourse, retrain, revealed, Safety, screening, segment, sexual, stricter, subfacility, sublimit, swingline, Topic, unbilled, undermine, unsettled
Removed:
aforementioned, Altitude, Architect, arrangement, assessed, attributed, backlog, belonging, Bixby, churned, Citrix, closing, cohort, comparability, comparable, comparative, consolidate, consultant, curtail, DBNER, deductible, divide, establishment, extinguishment, flat, Holdback, improved, incurring, insight, Joshua, lagging, latency, learning, machine, merger, methodology, niche, outbreak, paragraph, permanent, portfolio, referenced, remained, replacing, restriction, returned, revest, revesting, rolled, settled, settlement, situation, sourcing, stage, thousand, unrestricted, unvested, updated, Utah, weighted
Financial report summary
?Competition
Level 3 Parent • F5 • Netscout Systems • Akamai • Radware • Edgio • Cloudflare Inc - Ordinary Shares • A10 Networks • Meta Data LimitedRisks
- If our platform fails to perform properly due to defects, interruptions, outages, delays in performance, or similar problems, and if we fail to develop enhancements to resolve any defect, interruption, delay, or other problems, we could lose customers, become subject to service performance or warranty claims, or incur significant costs.
- If we are unable to attract new customers, in particular, enterprise customers, and to have existing enterprise customers continue and increase their use of our platform, our business will likely be harmed.
- We receive a substantial portion of our revenues from a limited number of customers from a limited number of industries, and the loss of, or a significant reduction in usage by, one or more of our major customers would result in lower revenues and could harm our business.*
- Component delays, shortages or price increases could interrupt our ability to complete the construction of our servers to meet the usage needs of our customers. Our operating results could be materially harmed if we are unable to adequately manage our server needs.
- Our limited operating history and our history of operating losses makes it difficult to evaluate our current business and prospects and may increase the risks associated with your investment.
- If we fail to efficiently develop and sell new products and respond effectively to rapidly changing technology, evolving industry standards, changing regulations, and changing customer needs, requirements, or preferences, our products may become less competitive.
- If we fail to forecast our revenue accurately, or if we fail to manage our expenditures, our operating results could be adversely affected.
- Failure to effectively develop and expand our marketing and sales capabilities could harm our ability to increase our customer base and achieve broader market acceptance of our platform.
- The markets in which we participate are competitive, and if we do not compete effectively, our business will be harmed.
- If we fail to maintain and enhance our brand, our ability to expand our customer base will be impaired and our business, results of operations and financial condition may suffer.
- We have previously been and may in the future be involved in class-action lawsuits and other litigation matters that are expensive and time-consuming. If resolved adversely, lawsuits and other litigation matters could seriously harm our business.
- We may not be able to scale our business quickly enough to meet our customers’ growing needs. If we are not able to grow efficiently, our business could be harmed.
- We may have insufficient transmission bandwidth and colocation space, which could result in disruptions to our platform and loss of revenue.
- The nature of our business exposes us to inherent liability risks.
- Our dedication to our values may negatively influence our financial results.
- Our growth depends in large part on the success of our partner relationships.
- We operate in an emerging and evolving market, which may develop more slowly or differently than we expect. If our market does not grow as we expect, or if we cannot expand our services to meet the demands of this market, our revenue may decline, or fail to grow, and we may incur operating losses.
- The estimates of market opportunity and forecasts of market growth may prove to be inaccurate, and any real or perceived inaccuracies may harm our reputation and negatively affect our business. Even if the market in which we compete achieves the forecasted growth, our business could fail to grow at similar rates, if at all.
- Usage of our platform accounts for substantially all of our revenue, and as a result, our operating results could suffer from a reduction in usage.
- We expect fluctuations in our financial results and key metrics, making it difficult to project future results, and if we fail to meet the expectations of securities analysts or investors, our stock price and the value of your investment could decline significantly.
- Our pricing models subject us to various challenges that could make it difficult for us to derive sufficient value from our customers, and we do not have sufficient history with our pricing models to accurately predict the optimal pricing necessary to attract new customers and retain existing customers.
- Our sales and onboarding cycles with customers can be long and unpredictable, and our sales and onboarding efforts require considerable time and expense.
- If our platform does not achieve sufficient market acceptance, our financial results and competitive position will suffer.
- We rely on third-party hosting providers that may be difficult to replace.
- If we do not or cannot maintain the compatibility of our platform with third-party applications that our customers use in their businesses, our business will be harmed.
- We provide service level commitments under our customer agreements. If we fail to meet these contractual commitments, we could be obligated to provide credits for future service, or face contract termination with refunds of prepaid amounts, which could harm our business.
- If we fail to offer high quality support, our business may be harmed.
- Investors’ expectations of our performance relating to environmental, social and governance factors may impose additional costs and expose us to new risks.
- The failure to attract and retain qualified personnel could prevent us from executing our business strategy.
- We rely on the performance of highly skilled personnel, including our senior management and other key employees, and the loss or transition of one or more of such personnel, or of a significant number of our team members, could harm our business.
- Our past growth may not be indicative of our future growth and we may not be able to manage our growth effectively.
- If we cannot maintain our company culture as we grow, our success and our business may be harmed.
- Our ability to timely raise capital in the future may be limited, or may be unavailable on acceptable terms, if at all, and debt or equity issued to raise additional capital may reduce the value of our Class A common stock.
- Seasonality may cause fluctuations in our sales and operating results.
- Our current operations are international in scope and we plan on further geographic expansion, creating a variety of operational challenges.
- Current and future indebtedness could restrict our operations, particularly our ability to respond to changes in our business or to take specified actions.
- If we are unable to maintain effective internal control over financial reporting in the future, investors may lose confidence in the accuracy and completeness of our financial reports, and the market price of our Class A common stock may be seriously harmed.
- We may not be able to successfully manage the growth of our business if we are unable to improve our internal systems, processes and controls.
- Our financial results may be adversely affected by changes in accounting principles applicable to us.
- Failure to comply with United States and foreign governmental laws and regulations could harm our business.*
- We are subject, or may become subject, to stringent and evolving U.S. and foreign laws, governmental regulations and rules, and contractual obligations, industry standards, policies and other obligations related to privacy, infrastructure, and data security. Our actual or perceived failure to comply with such obligations could harm our business, by resulting in regulatory investigations or actions, litigation, fines and penalties, disruptions of our business operations, adverse publicity and reputational damage, loss of revenue or profits, loss of customers or sales and other adverse consequences that may negatively affect the value of our business and decrease the price of our Class A common stock. Compliance with such obligations could also result in costs and liabilities to us or inhibit sales of our products.
- Our sales to highly regulated organizations and government entities are subject to a number of challenges and risks.
- The success of our business depends on customers’ continued and unimpeded access to our platform on the Internet.*
- We are subject to anti-corruption, anti-bribery, anti-money laundering and similar laws, and non-compliance with such laws can subject us to criminal and/or civil liability and harm our business.
- Changes in our effective tax rate or tax liability may harm our business.
- We could be required to collect additional sales taxes or be subject to other tax liabilities that may increase the costs our clients would have to pay for our offering and harm our business.
- Adverse tax laws or regulations could be enacted or existing laws could be applied to us, which could adversely affect our business and financial condition.
- Our ability to use our net operating losses to offset future taxable income may be subject to certain limitations.
- Our international operations may subject us to potential adverse tax consequences.
- We are subject to governmental export and import controls that could impair our ability to compete in international markets or subject us to liability if we violate such controls.
- We are exposed to fluctuations in currency exchange rates.
- The phase-out of the London Interbank Offered Rate (“LIBOR”), or the replacement of LIBOR with a different reference rate, may adversely affect interest rates.
- We could incur substantial costs in protecting or defending our proprietary rights, and any failure to adequately protect our rights could impair our competitive position and we may lose valuable assets, experience reduced revenue, and incur costly litigation to protect our rights.
- We may in the future be subject to legal proceedings and litigation relating to intellectual property disputes, which are costly and may subject us to significant liability and increased costs of doing business. Our business may suffer if it is alleged or determined that our technology infringes the intellectual property rights of others.
- Elements of our platform and our products use open source software, which may restrict the functionality of our platform and our products, or require that we release the source code of certain products subject to those licenses.
- Provisions in various agreements potentially expose us to substantial liability for intellectual property infringement, data protection, and other losses.
- Our stock price may be volatile, and the value of our Class A common stock may decline.
- We may not have the ability to raise the funds necessary to repay or settle conversions of the Notes in whole or in part in cash or to repurchase the Notes upon a fundamental change, and our future debt may contain limitations on our ability to pay cash upon conversion or repurchase of the Notes.
- Conversion of the Notes may dilute the ownership interest of our stockholders or may otherwise depress the price of our Class A common stock.
- Servicing our debt requires a significant amount of cash, and we may not have sufficient cash flow from our business to pay our substantial debt.
- Regulatory actions and other events may adversely affect the trading price and liquidity of the Notes.
- The conditional conversion feature of the Notes, if triggered, may adversely affect our financial condition and operating results.
- Future sales and issuances of our capital stock or rights to purchase capital stock could result in dilution of the percentage ownership of our stockholders and could cause the price of our Class A common stock to decline.
- Future sales of our Class A common stock in the public market could cause the market price of our Class A common stock to decline.
- If securities or industry analysts do not publish research or publish unfavorable or inaccurate research about our business, our Class A common stock price and trading volume could decline.
- We do not intend to pay dividends for the foreseeable future.
- We incur significant costs as a result of operating as a public company, and our management is required to devote substantial time to compliance with our public company responsibilities and corporate governance practices.
- Anti-takeover provisions in our charter documents, the indenture governing the Notes, and under Delaware law could make an acquisition of our company more difficult, limit attempts by our stockholders to replace or remove our current board of directors or management and limit the market price of our Class A common stock.
- Our amended and restated certificate of incorporation provides that the Court of Chancery of the State of Delaware and, to the extent enforceable, the federal district courts of the United States of America will be the exclusive forums for substantially all disputes between us and our stockholders, which could limit our stockholders’ ability to obtain a favorable judicial forum for disputes with us or our directors, officers, or employees.
Management Discussion
- * Columns may not add up to 100% due to rounding.
- Revenue was $133.5 million for the three months ended March 31, 2024 compared to $117.6 million for the three months ended March 31, 2023, an increase of $15.9 million, or 14%.
- In the three months ended March 31, 2024 and 2023, approximately 95% and 94% of our revenue was driven by usage on our platform, respectively. Revenue was primarily from existing customers, as revenue from new customers contributed less than 10% of our revenue. The proportion of the revenue contribution between new and existing customers is consistent with prior periods and typical customer behavior as customers tend to contribute more revenue over time as their use of the platform increases. The remainder of our revenue was generated by our other products and services, including support and professional services.