I thought their Q2 guidance came in light, but we’ll have to see how much sand is in the bag in their next ER.
At first glance, I thought this too but when compared to their historical Q2 sequential growth rates, it does not appear to be as light as it seems. Here are their historical QoQ growth rates going back the last few years:
Fiscal 2020
Q1: 19.4%
Q2: 12.5%
Q3: 15.7%
Q4: 21.6%
Fiscal 2021
Q1: 17.1%
Q2: 11.7%
Q3: 16.8%
Q4: 14.0%
Fiscal 2022
Q1: 14.3%
Q2: 11.5%
Q3: 12.5%
Q4: 13.4%
Fiscal 2023
Q1: 13.2%
Q2: 11.0% (assuming a similar size beat as the last four quarters)
Clearly, there is some seasonality at play here and for whatever reason, Q2 is their weakest quarter each year for revenue growth. So while the guide does seem somewhat light, it looks to be on par with their previous Q2 growth rates. At their scale, it is inevitable for them to slowdown somewhat so I do not see any thing to be concerned with here. Just another great quarter, business as usual from what I can gather.
Rex
Long CRWD ~ 11%