SUSE Releases Q1 2022 Financial Results 

Luxembourg, March 17, 2022 — SUSE S.A. (the “Company” or “SUSE”), an independent leader in open source software specializing in Enterprise Linux operating systems, Enterprise Container Management and Edge software solutions, has announced its results for the first quarter of financial year 2022, which ended January 31, 2022.

“In the first quarter, SUSE once again delivered strong revenue growth and high profitability as we continue to implement our proven business strategy,” said Melissa Di Donato, CEO of SUSE. “Customers depend upon our innovative, interoperable solutions and ability to help them adapt to evolving market conditions while reaping the benefits of developments in technology. We continue to expand our workforce and are well positioned to drive value for all our stakeholders in the months and years ahead.”

“Today we are reaffirming our guidance for the current year and for the medium term,” said Andy Myers, CFO of SUSE. “With another quarter of strong financial performance completed, we are continuing to invest in the business, increasing our capacity to innovate, sell and serve our customers as we facilitate their transition to the cloud. With established scale, a successful business model and high-quality enterprise customers buying mission-critical applications, we are confident in our ability to continue to deliver high profitability and cash flow.”

Strong Revenue Growth Continues in First Quarter of 2022

• SUSE continued to deliver on its strategy in the first quarter of FY 2022, reporting 16% growth in Adjusted Revenue (17% at constant FX) and a 34% Adj EBITDA Margin
• SUSE reaffirms its guidance for the full year
• Group ARR of $574 million, a 17% increase on the prior year (19% at constant FX)
• ACV grew 5% in Q1, reflecting the impact of several multi-year deals signed in the prior period. Core ACV grew by 8% to $119.9 million. Emerging ACV declined by 9% to $23.9 million as a legacy SUSE contract was not renewed; excluding this, growth was 14%
• Adjusted Cash EBITDA was $93.1 million for Q1, as long-term contracts delivered over $40 million change in deferred revenue
• Adj unlevered Free Cash Flow was $44.6 million, a cash conversion rate of 85%
• Strong growth has continued in the Cloud route to market, and growth levers continue to deliver as SUSE benefits from the global trend toward cloud transformation
• The integration of NeuVector is proceeding well; previews of the source code have been published faster than anticipated
• Headcount grew by almost 200 in Q1, with approximately 140 new staff in sales and customer service

To read the full financial results, visit this link.

About SUSE

SUSE, the world’s largest independent open source company, powers digital transformation with agile, enterprise-grade open source solutions, edge to core to cloud. Collaborating with partners, communities and customers, SUSE delivers and supports enterprise-grade Linux, software-defined infrastructure and application delivery solutions to create, deploy and manage workloads anywhere – on premises, hybrid and multi-cloud – with exceptional service, value and flexibility. For more information, visit www.suse.com.

Source: SUSE