Darktrace shares soar as guidance lifted again on strong customer numbers

Cybersecurity company Darktrace on Thursday raised annual guidance again after a strong rise in customer numbers in the first half of its fiscal year as firms looked to shield themselves from cyber attacks.

The company, which listed last April, said annualised recurring revenue (ARR) rose 45.5% to $427m, driven primarily by the increase in customers to 6,531 from 4,677. The shares soared by 15% on the news.

Core earnings more than doubled to $34.8m on revenue up 52.3% to $192.6m. This was driven by a 39.6% year-on-year growth in customer base.

The group said it now expected a year-on-year increase in constant currency ARR in 2022 of 38.5% - 40%, against previous guidance of 37% - 38.5%, implying a year-over-year increase in net constant currency ARR added of 24% - 29%, from 19% - 24%.

It also now expects year-on-year revenue growth of between 44.5% - 46.5% from 42% - 44%. Darktrace also lifted forecasts for annual adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) margin to 10% -12%, up from 3% - 6% previously. Adjusted EBITDA more than doubled to $46.7m in the six months to December 31.

Chief executive Poppy Gustafsson said that the current geopolitical situation had "heightened the urgency for businesses and governments to improve cyber resilience", adding that the company is "laser-focused" to protect organisations around the world from cyber-attacks.