GTLB - Earnings call transcript Q4 2025

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Operator

[Audio Gap]

[Operator Instructions] Please note today's call is being recorded.

Now I'll be standing by should you need any assistance. But for now, it is my pleasure to turn things over to Kelsey Turcotte. Kelsey, over to you.

Kelsey Turcotte

afternoon. Good joining Conference Fourth Call. you XXXX Fiscal for Results Financial us appreciate Quarter GitLab's Year We With and CFO. Brian are Robbins, me Bill our Staples, our CEO;

During guidance for overview first quarter provide on we year fourth the this XXXX. fiscal business our and the commentary an results quarter and afternoon's call, of will

and section cover release Page harbor and and Private forward-looking to begin, statement. the earlier statement meaning discussion cautionary other Act. a Before Litigation X the of available website. like those results our forward-looking would which of assumptions earnings could I'll under statements Relations regarding of within we Reform on that from in our any our I cause The earnings release today, both the Securities in the the factors safe statements issued uncertainties, of presentation you our of to presentation to are certain direct risks, Investor differ include expressed

of call presentation As is language. today's and governed customary, will by this content the be

In discussing and refer additional These financial certain measure. periods items regarding comparability Please addition, the comparable management certain earnings exclude our and believes measures non-GAAP will for reconciliations or that GAAP unusual of be we financial most measures the measures. impact directly non-GAAP referenced. financial presentation the non-GAAP today's materials the to release call, during information nonrecurring these to

turn over I'll to call the Bill? now Bill.

William Staples

taking you fourth Kelsey, time you, quarter Thank for join the call. us good Thank everyone. on earnings afternoon, to today our and

Ian of has quarter serves where of us stage. next to GitLab currently this with growth as Tricentis, thrilled developers call, CRO. want role take Steward to in further helping value. he joining wealth CRO. will help through IT experience a operational opportunity welcome the our into the growth revenue I GitLab the join a drive I from Ian his and driving Ian organizations later strong He am will any realize spent is I get company Before this and and and brings bias in analytical career to

Kramer Interim service as I want over to past thank Ashley quarters. also the for few her CRO

in a Ian interim transition of and leadership GitLab. end the then and 'XX ensure of with to will opportunities will Ashley CRO role the smooth work QX outside will remain through FY pursue

Turning expectations. a points opportunity let margin just learned and an in increase my Brian But GitLab This in Fourth the basis XXX fiscal into built to the back we're operating has throughout QX strong quarter. 'XX $XXX continuing And Dedicated growth, a in Ultimate, our a ahead quarter in is and approaching year again, the and driven quarter to in quarter XX% what and me increased with part to FY year, reached first FY revenue how deeper year-over-year. our consistent year-over-year coming 'XX GitLab provide commitment GitLab million, was step of back guidance give of Duo, by dive QX for our the and and momentum at XX%. non-GAAP will finish once first, responsible ahead. share the moment. I've

themes secure GitLab I time Booking.com including learning emerged XX and USAA with quarter most conversations. I deliver listening spent everything and to investors those faster. meeting and I software than customers, The with of team's from this to customers, my more accelerates engaged team could. how their ability members uniquely key

productivity ROI. platform with drives improvements comprehensive very enormous efficiency approach and First, GitLab's clear

engineer left. that be trend. of DevSecOps momentum security understand and going Second, delivering believe secure to responsibilities part and accelerate is every to for needs only software and We the need the around specifically, AI shift to

AI just ago into and exploring benefit tools a they how can who those are Finally, actively every incorporating were strategy. they even AI admitted skeptics evaluating by quarters few their DevSecOps customer,

for see strategy and a AI it advantage almost AI to production-ready we're generated in organizations significant foundation and power bet software for believe their certainly a clear have together, feels by and years. it them the customer built on successful won't they'll have the both a of applications become even the brainstorm competitive for our the and by generative coming increase strategy agents. became in Nearly AI with developers, just going more GitLab more we We co-creation, creators in with deployed spoke how code years code will customers As come. AI I more every more to

anyone benefits business. depends compliance in enforceable any code the already and to successful DevSecOps comprehensive GitLab their at benefit with a or else software, the only not offers GitLab already and to believe workflows, an want the agents, reliable life therefore, of than AI of for struggle software while on agent-generated category. today. the AI code scanning, delivering path leverage to adopted risk proven taking and their to to do guard DevSecOps customers, approach and have well. for we who with but end-to-end this the a A of to compliance strategy, standardized standardize Organizations we in potential without GitLab safe and agentic moving need approach the the that from managing cycle successful security most is will the better believe As organizations and process of automated a best rails scale, platform platform, developers, is requirements on quality, security, experience privacy approach will something complexity manage the development meet human as organizations to platform DevSecOps integrated an for AI

the members quarter this level commitment by to time company plan can the to improve. for the their typical with and growing I so heard the every put of heard a and help to FY of I public the GitLab. friction around generational a of passion our at many we're as the the and values both and 'XX faster pains our a that around also leaders the the mission Driven become their executive lot the maturity help today and people we a meeting doing company organization. scale of world at company. of well team us age And company, spent I we defining go together with category. our team and to less things an desire in

fundamentals very is really on successful plan focus and of business. simple Our a the

in Number our faster. we ability customers one, is our and we three, Number And on and areas. excitement and AI value will innovation through a we the focus renewed on expansion DevOps, their mid-market a highest, eye in adding enter orienting paying quality, security expand team more with we year, energy motions is focus now number new especially our to solutions and as an this is year. most. the new these platform on value and sense of objectives. case, realize focus higher our segments the two, fiscal will especially our delivering complete will core the in the faster work at around member three Every more value where all helping customers and I enterprise market-leading areas to customer provide three

greater A with of the objective three we we're Claude, Let's talk building deal the on. all worldwide. against of one development and securely place Ultimate trusted Anthropic, example and QX their in model we while self-managed, in providing in saw insight, team about their is each by execution of customization trusting performance one QX the GitLab Anthropic the closed momentum With creator code that is over great users the number of millions workflows. language control large house objectives a to

displacement also source a in of the competitive largest landed code for We one management. cybersecurity companies

could user product a reliable, requires They customer the developer sunsetting were scalability, use leader, the ease unhappy own our in cybersecurity longer also investment The capabilities. no their engineering them their in enterprise-grade development run their for scalable offering. our dramatically global competitor in help a which on-premises infrastructure. of with chose As and of strategic their customers' and they after productivity This delivery can while improve experience tool. provide solution control teams GitLab continued maintaining decision will on-premises accelerate environment, existing

objective deployment an like to GitLab 'XX example GitLab, replacing control, enterprise tools. in with source decision team, strengthen compliance faster us. market, more scanning their standardizing manual tasks. arm scanning to success and After through customers streamline their platform [indiscernible], to investment of XXx of CICD, reduce state. initial an including in help controls. these, FY is technical This will security agile delivery faster We Xx our chain infrastructure enjoying now organization and Ultimate development and customers. seeing feature their our point XX% in unlock faster second and expand CDC security value array that are time integrated solutions, tool Customers they're and Our on see good posture reduction French for is a with results their security on debt entire this invest development their planning complex they experience the know A of of when up usage

beta relationships AWS AI-powered grow strengthen In enablement numerous expanding and in also landing went integrated with GitLab's year, we create our further standardized with at reps coming and platform which customers, This our training professional ramped autonomous and available customer DevSecOps to partners, announced making and To success consulting onboarding plans. relationships. improved to product new with to we the including we offers, quickly, critical our on a in hyperscaler services expand offering to get Amazon to teams innovation which together Q's be we go-to-market success more December, are customer agents AI-powered in invest an enhancements development and will ability Partners into intensive to service success seamless our expanded expect collaborative brings with experience, both and we're This and continue with customers. developer January. AI months. AI Reinvent,

innovation be 'XX year, in investments our across ways to FY R&D This made increase Our objective third customers. accelerate will that for is three value focused themes.

accelerate our consolidation. is customers tool to DevOps help first chain core The platform

and we'll our to innovation, and compliance is continue AI Duo And second to The including capabilities. build Enterprise drive third, differentiated Duo upon Workflow. security

Our we up areas in goal expect will these with set innovations FY monetization here FY they 'XX. to deliver customers impact for multiple expansion and paths have is while clear products And world-class field all three modest 'XX, on in paths. some organization our will with enhance

in let opportunity on stories customer business these To me the get FY them share and from 'XX. saw a as a few sense we we expansion for the ahead, areas, QX focus

GitLab compliance a The security, is reached why platform. cloud seeing Ultimate competitive in QX, in can AWS This leader GitLab GitLab Ultimate. of started our Services ultimate. Zscaler GitLab efficiently help to and platform we're developer total to onboarding, invest AWS. now quarter, tool XX% to the such in This open largest ARR free deliver our migration expanded has and requirements. our GitLab and quarter AWS security What our proof-of-concept into their chain with in to customer-facing value Amazon's consolidate tremendous Professional strict our from partnership X selected professional momentum Also moving source deals and recognizes of Ultimate also while maintaining a became strategic ultimate enhanced their more their top single application. by were a use fourth opportunity security services decision in a with streamline commitment expansion chose our win. tier as Zscaler, strategic strengthens solutions code expansions. teams that a market-leading

among We're Dedicated QX, largest infrastructure a single-tenant also efficiency which Delta's fully their already year-over-year accelerating value while GitLab value broader to deal. Dedicated of and solution, cloud by maintaining manages costs as and Dedicated Airlines, labor their reduces rather infrastructure. seeing and GitLab uses Enterprise solution. than freeing GitLab delivered GitLab Ultimate focus With our customers, GitLab creating approximately providing transformation of deploys on the Dedicated grew investment DevSecOps and order part industries, the as compliance expanding XX% is a journey. adoption Dedicated, first in Delta monetization self-hosted to control platform of controls, and with the healthy Ultimate Customers which their SaaS flexibility also of and existing our moving team sold across we

Enterprise and digital DevSecOps Another with transformation QX, continuing partner. customer, GitLab in investment NatWest as their initiatives their strategic both Duo in GitLab their Dedicated extended

of our cycle. products silicon did their customer wins additional has 'XX Duo with as in in they particularly purchase Initially, GitLab had We FY we're A ultimate date. Ultimate Duo QX, XX,XXX the they very made to GitLab of their with Now use Barclays, throughout long-time with Duo, had GitLab software entire let with Duo of Duo. good In AI the global QX quarter because first me steadily Pro success an customer, institution and QX. financial realize the seeing a few share life Barclays a a in development leading power customers Duo Enterprise invested seats. expanded Enterprise and GitLab with

was selecting worldwide services. in its across the scaling development streamlines and Another software-defined leader Capgemini R&D efficiency global engineering used By transparency, transformation which chain software by greater to upgrading engineering platform, and key security and capabilities is AI GitLab, delivery is thousands engineers the and drive Duo AI-powered win Capgemini, of embedded product throughout GitLab industries. with Ultimate life tool GitLab cycle. are for a

in company resulting on by in removed in consolidating and U.S. administration. security technology Also GitLab CACI, tool X-point major contractor solutions platform, QX, chain a XXx XX% scans and a savings previously the faster government

to This improve drive developer to continue quarter, and they experience. Enterprise efficiencies invested in Duo

where AI this to Workflow the our Finally, private we AI-driven entering are announce from the of development that both Agentic we pleased month. rapid set customers Duo beta announced software will leveraging private to Duo to Workflow use cases beta on assisted AI is Workflow feedback our and comprehensiveness is move power Duo ago, the direction. A with work DevSecOps weeks a of gain and product of we few platform. of

is swiftly move intention this Our into to summer. beta public

Consistent Looking the I us growth are of our responsibly. commitment excited and at the we doing energized will FY IPO, bring. am with that prioritizing forward, we're really for we and opportunity ahead what 'XX made by

wealth over having to experience roles coming I than to days that many Before the long of XX Board ago even ] service brings GitLab's of CFO to and also look extensive the David [ the I David call of tenure to I the and and as welcome as CEO be business more now I'd a software multiple boards. at speaking turn convinced acumen Brian, the this in technology is financial Directors. deep Citrix serving was well in weeks. leadership, to time like developers. I'm public on forward you with in Henshall

over it turn Brian. I'll that, with And to

Brian Robbins

for and than delivered a and today. thank partners. results most in to had for to of record thing commitment quarter orders the company group most adds new Thank of We can single the first spending to high $XXX,XXX We we platform, GitLab, us customers our quarter our our in everyone of in history. thanks largest a Driving important also company's We and ARR deal ARR. for environment. strong time included history. and you, was more net both ARR consolidate they a your strong With again money, can over a in GitLab QX and customers 'XX, Bill, for net end This for into FY also more deliver is joining faster the customers team customers is customers the saving Enterprise $XXX,XXX segment. closed to want securely I software which do. a any priority the in ongoing

margin then FY to million of fourth I'll growth start our reached million. grew 'XX and and basis turn XX% while year-over-year, be quarter continues to and with operating flow adjusted $XXX.X non-GAAP points recap full driven as to guidance. free XX.X%, to XXX% of FY approximately results X,XXX brief year revenue expand grew an our $XXX a cash the land motion. our 'XX by increase

This an or In our X,XXX contributed larger cohort increase over of particular, in with I'm ARR, which with which [ this XX% record margin. at really of $XXX,XXX Turning in plus in our Revenue $XXX.X and of reached XX% customers have we increase we total exceeded prior which year-over-year. and $X to of We customers from customer quarter quarter more results, expectations. and XX% $X,XXX, QX XX% of ARR ARR increased an pleased for operating a QX. of X,XXX includes delivered the reached year, now the QX non-GAAP of monitor XXX of million ARR, million, ]. our least performance

continues As a scale, this significant cohort and Ultimate to Duo. make investments in

at was in approximately customer offerings. expansion expansion Duo well net DBNRR the quarter a yield at the a rate QX driven customer expansion of approximately was [ approximately front, with by ] we this dollar-based tier XX%, part On of our a at Seat large by driven DBNRR ended with traction increased XX% quarter with growing strategic as a or and seat retention upgrades XX%. XXX%. strength as combination

these Cash fourth best-in-class based to of was on $XX.X as last year-over-year. XX.X% increase year-over-year This more for million. $XXX.X X.X% part capacity to even QX was the in an the million and year. RPO in the [ in margin was have in members, underlying operating team's million is We quarters, to an points As increase expect sales $XX.X Similar Once compared a year-over-year. than quarter prior to in cash dropped metrics of activities team previous to on operating our combination multi-quarter income year. we compared the Dedicated. translated $XX.X outperformance a ratios X,XXX QX the again, last was operating to million with business non-GAAP bottom $XX.X adjusted ended year-over-year in grew of million XX% composition from look a over the focus leverage. quarterly while has XX% which, free team million, over period. period. for The saw non-GAAP year of record prior margin grew million additional driven 'XX. QX XX% renewal the FY we now Non-GAAP quarter. mentioned, million Total in hiring line, fluctuate significant operating SaaS represents XX% we XXX of at margin the a quarter-to-quarter 'XX XX% revenue majority scaled revenue portfolio. to increase our by $XX.X CRPO was R&D. we $XX.X to year FY to encourage investors the basis execution, maintained We compared to compared to $XXX these QX flow ] year sales at grew in gross has total SaaS the gross of and The of GitLab XX% with quickly in period.

assumes to macroeconomic operating in over guidance. the last year the have Guidance turning that consistent. been stays Now environment we

have and selling rate revenue recognition or revenue guidance. in impact on allocation today's 'XX SSP we QX included annual and for is material stand-alone no which upfront price SSP, addition, completed revenue. analysis In the determines our Year-over-year, license FY has

a of revenue we expect For to $XXX per first outstanding. a 'XX, representing weighted expect of of million shares assuming income $XX XX% of million, operating $XXX we non-GAAP FY income a net non-GAAP the million, to and to expect total million to we growth rate XXX share quarter XX% of $XX $X.XX, average diluted million year-over-year. $X.XX

For approximately the of million, we full year a expect 'XX, FY $XXX $XXX XX% revenue representing total million year-over-year. of rate growth to

We income a million non-GAAP of per assuming million, average to net expect to $X.XX of $XXX income expect $XXX weighted operating shares $XXX $X.XX, non-GAAP diluted a million we and share outstanding.

Before on, on points move two I final have I guidance.

million team 'XX. $XX a for FY QX in global that in gathering in 'XX, invested recur will FY First, not we our

result, As a anticipate from FY operating flat be non-GAAP we 'XX. QX margin to to QX

of conclusion or will paid. rate the in 'XX our in following incremental increase taxes we tax new agreement XX% rate BAPA. authority, of Netherlands bilateral beginning advanced FY QX share non-GAAP non-GAAP projected imply The any the net new is with U.S. reflects per in income actual guidance. cash applying our location It and 'XX, the This conclusion both FY the IRS our not does included IP in the of BAPA be pricing the with and tax Dutch rate. XX% Second, a long-term

QX Separately, venture. of million $X.X like provide year. our $X.X million related QX In expenses update in compared on to were an last JiHu to to China I JiHu, 'XX, would non-GAAP FY joint

we deconsolidate JiHu 'XX or expenses occur. we to from $XX to likelihood potentially million purposes, year. with that the Thus, of related FY approximately when However, predict timing forecast remains of $XX modeling compared million for goal Our JiHu, last cannot may

AWS. and GitLab the both code acquired to deliver In with with for close FY we for announced and growth Pro year Oxeye security triple-digit Google summary, QX Ultimate, Dedicated Duo ], cycle, resilient integrations AI entire was [ Enterprise, a we throughout which Duo a strong and 'XX, strategic development tremendous saw with assistance and and achieved life key software capabilities injecting demand

this I'm 'XX, a the year us of sets for All FY strong up for and excited ahead.

call Thank you who that, moderate Kelsey, the I'll will over turn for today. joining the us to With Q&A.

Kelsey Turcotte

we'll Kierstead Brian. Thanks, take question first our Karl at Instructions] Great. UBS. [Operator from And

Karl Keirstead

Even among obviously be point contribution called Anthropic offer out love own you've [ Congrats in on the ] ] ] their the like increasingly Code at throughout ask NRR Code gen any had market, cursor Brian, then question But Brian, already obviously, is mix space. to and seat from me. about and can just gen some year? Barclays It I'd some got Enterprise revenues. a Capgemini market is Bill looking version for to Maybe, $XXX Enterprise our that Code but if million the the out, do nice you about results, XX%? success you even the tools what's qualitative others. the particularly you launching GitHub, stand-alone stood likely and development. to in [ vantage you How from code. good competitive [ CoPilot, Duo Duo a differentiate like Bill, more And of But the Claude sounds maybe about market competitive are color from Duo, gen expansion you've with

Brian Robbins

appreciate Thanks, the question. Karl. and first I'll start

really we're quarter, quarter. again exceeded It pleased with our of This expectations this the performance Duo.

at included Duo, the If the you Duo total was about ARR that of AR. X/X versus looked that deals

they once match have that the within again, enough to ultimate so And the people licenses are buying licenses purchase.

large remarks, to that contribution take Duo the CACI, guide midpoint, $XXX prepared have and million, little with happy where to the a of our at. with that a mentioned happy West But buying needle. quarter, it's going move 'XX Duo. standpoint, Barclays for customers, are at the while the On about FY it's so the in enterprises number with a this Bill we From Zscaler logos

internal have exceeded and our expectations model, We this it again. ratable

the of I'll second turn it the over to question. part for Bill

William Staples

Yes.

it the Yes, think, you I Brian. see differentiation. how market, I our about in asked

really space, a like are ongoing tools say new there's rapid I it is one. this, like the new exciting Obviously, advancements transformational because believe see This seems for me of come going our for I be hot for technology it's the while. lot day, new time. to one It's let just a the reasons that I to this transformational every wave to of business. technology going AI there and we're GitLab a trend. is and want to in First, world think, a

terms compete In our it to goes how the we differentiation, really of in back platform.

you AI with best when they're context some GitLab the when and code. provides context know, fed of As models work it working comes to

capability a our Magic but integration, in and source as through world, tracking packaging also First, and the execution have set best planning We have Gartner code deployments. that, we're is the in issue only one known from both in capabilities cycle of not the for and #X and we full Quadrant of life vision DevOps.

tools We have our which security also are world-class. also

to throughout so that our the And decisions life help into knowledge it software developers lets building with and the Pro all cycle Duo a and graph Enterprise our we're models us of context, feed then Duo take make that product.

off of that In are have good done. you will and it a as in that with function we that results we to we're month context provider. all that driven work autonomous can engineers. seeing already testing agent step engineering present AI allows which addition, that Inside our an we of a think action proactive buddy beta really platform get productivity I improvement Workflow, and is for our work as Think AI GitLab, Duo it's autonomous to shipping for this a service drive as that private of mentioned,

number about and that's generated the going ability machines of security, creators I'll AI as GitLab but Last, of a by really has for all compliance, models. the needs requirements to that that by to and software the life AI That quality, the software as to I'm organization's the well today and adhere provides another AI humans as say cycle to all just I code reason, inject capability. both platform bring of amount believe our or not by excited software AI is context increase code of throughout

will Duo capabilities were our codes life So the the organization you to cycle. tools human ensure generated machine, by built can of of govern whether software is their AI product, ones it's it order mentioned, like our a a by need all by whether the or in platform the still

So I us than an past. years presents believe it greater in even for opportunity

Kelsey Turcotte

Kash Goldman Rangan from Sachs.

You're next.

Kasthuri Rangan

encouraging. full your Congrats quarter company. the of sounds first on your quite Clearly, tone

in You're share And the maybe that guidance, the is look also, bind QX growth ]. AI, changes and that guidance new we that reported [ you way the outlook agree. bridge financial in the underneath not you to I is numbers very, agree would understand there making quarter, disagree What good. surface as and optimistically with something is, you're share? that guidance, Duo amazing matched look why the when the that, sure results, of the the me and very the workflow very something I'm financial long, the good a conviction conviction in -- reported that? it's not of at in tone in else the when the you sequential representative granted one also enthusiasm it career. [indiscernible] all as impact CRP, in not it. there's the by broader company and there maybe reported early, not at it's the very, by Brian optimism to would expressed and look although But your -- quite say at us tone I just that is CRO, super pricing. the in hopefully, that But results the the all is technology agenetic it's mention is fundamental is is There's between the that the the encouraged with and yet some that a help is I

William Staples

my Thanks, Well, start I Kash. me with how Yes. time. let spent

excited. time to a component met is their customers of This me as GitLab opportunity them what the them. I quarter of with and what amazing from big really on GitLab lot hear than and enthusiasm spend does I for was hearing customers, a really for an said, more get road, with XX makes

and look as and what it's customers, on all you I to see And I really run strengths fantastic GitLab software honored and platform betting incredible that's provides years some that their world-class Magic from platform and have build think has it they be it. values this with the Gartner their I are their known at inside GitLab and Quadrant, built, are and on chapter think our And just business. and our That already as my confidence to also and conviction, you our I growth. optimism customers learning them. their of mentioned, mission as dependent be well time because spent commitment the also of We of part the recognized in ROI excitement next with X-month amazing they to road know, to a us lot and part I'm are a think, approach this for XXX% productivity to also, known payback. members ahead. three increasingly efficiency the their we gains a increases as hearing team are I brings of and nearly that's

the driven an in a AI is for and by launch I've software. smartphone the most building and waves world in social about couple of of believe, one that I software shared as Internet last and heart that's and in GitLab is my the we've that all this I transformation of technology also exciting decades. I do seen cloud to I've and quite represents just of times opportunity at technology the rise media AI, bit the do And from enormous the experienced the Karl asked career. when believe of seen the

given to in better face. we've things navigate those grow that from a to tackle no that continue competition. there's would that I But the as order great from And to be. team got reaching. place can continue challenges competitor I'm company perspective, customers any at Certainly, are we're grow. hearing my got We've believe and scale from I'm So to optimistic, we and what them members to

Kelsey Turcotte

question Piper now? Rob Sandler, Owens from your

Robbie Owens

to some good customers conversations drill the throughout and afternoon, Kelsey, on love everyone. quarter. Thanks, Great. you down Bill, with that these of had would

guess I software a the increasing of of stack, in optimization especially you think to because more of customers, I the seeing XX areas AI. cited result other Enterprise we're view and as your relative number about developers

of the coin in of us help into of creators. less taking versus the creep these and of of software increasing number type side customers the lot why of of so doesn't understand And the view kind developer terms other a a argument it

William Staples

Rob, that up lot, a I It question from investors. mostly often from actually, get customers interestingly doesn't enough. come

make It's they've world think I a resource the felt as you less it total created represents customers, think fraction constrained. opportunity software world world's to if again in and the people in raise of AI about now build level extraction of reality day of many an than and number billions always world billions X% that has a what their And the of for engineers smartphones the reaches -- is population, the all that's the X%. ever every software. than it cloud. it's on easier the around through percent The is the to to

is You've the like to And software code, write But easier building the just quality. that but is couple code, boost the also over And of abstraction going an with incredible writing higher, so decades, process code. to about last not of higher-level cloud. ensure go code or not and authoring got that the it's code generate to is has about just just be going the with right? high to it languages that's productivity it's

sure to make got secure. You've it's

in offering, sure we entire necessarily but got management, entire the what Pro really our code You've do as with it the to the make it that GitLab although software And product, cycle. everything the compliance life that practices and Duo help is not is software with to engineers appears special else. in,

just So life the the creators is not software that's around think I roles as as demand generated. more cycle. all I personas platform well but said earlier, of about only for software serve developers, our as more And drive of come number we as to a code going more

Kelsey Turcotte

Hedberg Next to at question goes Matt RBC.

Matthew Hedberg

pretty in dramatic on was to prepared which there, increase the remarks, mix had I great question a of see. and It really seen Ultimate. a the big is a we've part

items I'm well about improvement because nice quite and couple couple the maybe like year. think to on so a something about over how that just in could customers it's Is fiscal helpful. And Ultimate, mix last two are that I wondering, we upsells done summarize especially if think that sustainability SecOps you drawn the you 'XX? resonates of an I into it why really there, think the piece. would continues or one think you -- should wins of be talked a the

Brian Robbins

increase, Matt, that with people performance even well. the Ultimate and And are it's is XX% of are price it's security reason ARR. this we is to compliance. doing And with said, really total Brian. Thanks that now Ultimate for for the why the the question. Super the happy attracted as

in And less XQ, Enterprise history. is in most ultimate. mostly $XXX,XXX than And XXX% come than X X really We the is the greater company over orders had ROI about so Ultimate. first into strength of that's the And seeing the years. we talked -- we're obviously, period in payback months.

payback business Ultimate, of And on number the more and lands for we're positive Ultimate. the to value, people come really ease use, so there's why period, And more outcomes. a into the reasons it's of getting the time

Kelsey Turcotte

goes Fishbein Next question to Truist. Joel of

Joel Fishbein

And I both for on that be any you baked to a just any -- there's of to given? CRO. sales that? hiring if question that significant your go-to-market expect comp, curious guess the already is you I'm of see Ian into Congrats guys. you've to guidance changes it's

William Staples

who built of career He's management go-to-market new CRO. well sales He's represents Ian countries, as expanded compensation scale the we GitLab. for leader members the operational rigor trenches, of opportunity different operator. mark plan as success to believe and driven Yes. territories level $X time career. spent partner their lot our as candidates, [ of the in been kinds individual help quarter motion a some an lot build strategy. us going company. really pretty channel. I success he's believe wise excited into will as and dozen his market help grow. all from to opened nearly business. region out customer got a looking beyond he Thanks, he's I go-to-market profile Ian. have on I'm into from the already a I'm really he's been of bring executive. time a a I go-to-market models to with an at directors stages the of He spent mind, continue really strategy contributor account that quite only a of and Board to regions, and spend go-to-market analytical of on He's to ] team. maps perspective excited really and this strengths of we the that and Joel. starts the and to he back bring the as the different meeting in a and builds to been strong a with that the well CROs, bit profiles we a as scale amazing in He's And he's billion I the manager. it bring

In go-to-market think they're mostly point. incremental terms changes, at of this really, I

expansion focused our at we customers. invest around get new are expansion partner world. that continuing their inside We orders leverage to on well. looking capturing I incentivizing, customers. first we're on who's mentioned, landing as to We're ecosystem small in can also we're global opportunity new a new sales our driving starting ensure to ability in the to as increase We're to win that the And team ensure

finished last on kick So as us The QX, our I comes think up kickoff organization achieve our goals our is now. company it objectives. the And our only will week, to and sales just of around continue off. start whole we help aligned Ian

Kelsey Turcotte

Next to Cowen. Wood Derrick question goes at

James Wood

growth in margin And impressive to versus margin XX% Brian, want to really is expansion. investments balance the ask congrats just operating and that leads QX. Great. me about

building And that side, big I you've versus a on on get how mentioned know improvement Bill side, about have but just growth going you we're some capacity, margins. make the just investment you're but given you're double-click looking the forward. last calendar just in the growth hear thinking sure go-to-market that the just of would thinking been had things doing some and couple sense such you're the love and got active tweaks in XXXX R&D growth sales you've to up about years mentioned how at to of in You're making, of know, right And balance a I that of on the Bill, margins. about you more capacity driving

Brian Robbins

Yes.

quarter jump we'll So quarter. been been do in thing after public, profile. say And our the margin gone that let that Since responsibly. growth, the we've #X just -- do #X we've is but to -- we on me we've objective doing

and internal want our exceed falls the to grow we are bottom estimates what line. to so And that the we typically to invest extent

basis quarter-over-quarter, that And we doing X,XXX so roughly year-over-year. improvement we've had been points

our management model is go-to-market next in look at I'm set pretty we for dollars, have out. year, way the investing built as we so -- the And it much when we up saying,

on -- have we'll planning the amount and driven reps we pretty hires upon a built on a and We in management And of quarter, in ramp model deep a the second layer time it's hire we certain really out are do depending capacity what to based pretty quarter-by-quarter have so a capacity. much where basis.

From AI in in platform year the a feature across And with focus engineering and functionality it's so and really this investments focus engineering. capacity we're or the making is security. year biggest towards that a next an we're sales that on standpoint, the increasing

Kelsey Turcotte

at Koji Ikeda Bank America. goes to Next question of

Koji Ikeda

]. theme. high-value is add-ons the strong to to platform of But adoptions the Ultimate that unlock GitLab Duo key offering it, higher from I And can I how that proposition and of the the utilization and you how drive agile totally of And about you premium ask wanted why of come utilization drive consolidation the the like does to sell ask across a I is DevSecOps need platform you [ do reason platform. And versions the workflow. planning get utilization first?

William Staples

jump I'll on Bill. is that. Yes. Koji. This Thanks,

team to value that as it, value approach partner approach Our as customers full approach. a to as realize describe well utilization or you helping really a is realize

have out So frames the to do in platform, we how like success order that lot customer we with that as things objectives adopt larger as the as available part that help we they stake, or our customers, about of customer for talk the of in time and where them as have, the particular, is they often that services dedicated could the resources professional of customer adoption a and identify want Enterprise success, where resources journey. to their plan in engage contract there's one first we build success we renewal -- for offerings to well And both that mind. new of a them. terms customers,

DevSecOps often value. process And the migration as practice number In with them of are technical order DevSecOps to can organizational customers as the utilized requires have customers bring our and can well to their our or partners well. help our a by the into of journey, conversation as realize addition, technical both we into well with changes who in partners tap fully the we

in We're customers I a meet also also in plays guess only to press, allows basically to a help software customers on the approach cloud in customers share our adoption this GitLab public role provider experience. their the run category are, cloud. the I'll environments that large air software or where they gapped in own with

run platform, financial or high to a compliance and GitLab as And easier smoother for regulatory makes so little such institutions. perhaps transition in that government or DevSecOps the particular, environments for customers, as

Kelsey Turcotte

Canaccord at Genuity. Next to goes question Kingsley Crane

William Kingsley Crane

on customer it's for expand also hear you're to 'XX. fiscal It Ian. nice that it's expanding a sounds in like focus that, to big initiatives success Just

think about finding needs So if do to resources to you just it framework? more and the double or to really state what's How organization just any, click, occur more is scale today? the transformation of adding that much or

William Staples

Yes. very latter. the Thank you much

to a of ] that comes into to lot And spend their of time we really success mission. go-to-market with mentioned, customers. our and customer I field with of our As Getlab the lot time organization. a commitment [ with course, with impressed with and

has putting operational here. currently opportunity that billion is the of an with the cross help and in bring experience analytical skill deep level sales the performing team the us in another really and scale to background This mark So that beyond leader we're to well. $X been

bring excited for and really So what Ian the you organization. to

Kelsey Turcotte

goes Mizuho. Gregg question Moskowitz at Next to

Gregg Moskowitz

Bill, it's far actively customer into their that so tools with is of the AI incorporation every encouraging strategy. evaluating you DevSecOps met

match GitLab upsell Duo you to out you How years type we from of expect or couple Pro look evolving? might often of Duo and were now, how you expect mix entire to versus might a to If do Enterprise or maybe see outcome. workforces this a DevOps

William Staples

Yes, it's question. a good

and of stage well with I part that cycle. few our right every injecting think And developers stage. Workflow an our a the the that's software as of AI experience, from will as code Duo products, Enterprise now, don't years now AI both AI. Duo life at creation essential we're in think of building why developer is becoming I through every without be investing

Kelsey Turcotte

question, Singh Next Sanjit at please, goes to Stanley. Morgan

get back queue Okay. Maybe again. the in we'll you

Pinjalim at Bora Next JPMorgan. question goes to

Pinjalim Bora

around Brian, you the think And just ramp? about the if you expecting especially kind guidance for for to XXX%. respect did a the seat growth around a are you trough, are I'm expectations? you versus a assumptions And NRR of X-parter underneath initial around seeing Could kind you. in trying reached baking lastly, kind you to has with maybe in any fiscal fiscal benefit have kind see any Are what 'XX? of talk we of then 'XX pricing reached the stabilizing? of

Brian Robbins

Yes.

So thanks question. for the

we're said Let me that I year about with pricing. exceeded on through. our start expectations And halfway pricing. last off We

expect same did And next we of as year incremental so the impact amount we this year.

plus what at you we'll everything incrementally as If we this we -- last that we'll got look get get well. year, got year this year

into our impact. pricing That the so guidance. And we're halfway through about is factored

we or when [indiscernible] spending but out environment looked consistency. quarters, quarter this they there, cautious compared X a so X think prior people And there to is the at

do so in we the change historical trending guidance. when [ looked from angles. the And ] at with and up. velocity. bottoms-up and to up we A roll rollout a the so we guidance and and had deviations do a did use no so then guidance team did based in team. standard one on our different FP&A And build. field The all pipeline several come we've And There's numbers We been and we forth, CRO leadership less that

Kelsey Turcotte

to MacWilliams goes question Barclays. at Ryan Next

Ryan MacWilliams

business guide for public And for is your this any there pipeline Following the result, year? sector on and new extra your any deal public sector conservatism third quarter, update strong into baked sector administration? the under this

William Staples

debated internally we've call. the helps the ] about know know. actually We as makes efficient We we save and underlying lot total Great become through and What of don't what platform payback a stats do roughly [ question. our up money, ] we more XX% for a state. people gone this Pubsec don't our ARR. [

this changes And team, we watching assume biggest but We're time. third quarter with quarter. at so closely the our in no Pubsec

Kelsey Turcotte

Nick last go Our Scotiabank. at will Altman question to

Nicholas Altmann

SKU. commentary the There Dedicated around were some great

with the year, underlying be to the customers? there of mix moving that kind forward, why question so And resonating medicated going And then higher? is and to Matt's back just impactful can talk mix this Dedicated Ultimate those around larger drivers how Ultimate can ARR going about you

William Staples

Dedicated XX% really QX. is more well. than year-over-year question. It in Thanks, Yes. grew Good doing Nick.

I think off the really driven of advantage. offering. ones the tenant that's in single important our category only we're that that that really provide And fact can SaaS competitive it's a

in customers As of it's also the full And complete certain us complex requirements. and Dedicated, platform. upgrade drive it value the Ultimate adopt they particular, there's you particularly for security where compliance for so verticals, an know, when does get valuable

about our financial move software, large this offering and time see like lot services goes thinking So SaaS on. to of to public I'm potential customers self-managed the sector. industries Dedicated embedded a as We

part customer, transformation cloud as quarter. an their Delta, example, last For existing of dedicated just this

really and off we'll advantage. driven believe I unique of competitive opportunity, that it's So see our to continue

Kelsey Turcotte

a for look our in great lot Great. call. FY Thanks 'XX of the us, you concludes evening. coming We weeks. forward QX joining That and earnings seeing a again to have

GitLab (GTLB) 3 Mar 252025 Q4 Earnings call transcript