Commvault Reports 19% Revenue Growth to $995.6 Million for Fiscal Year Ending March 31, 2025

Commvault Systems, Inc. reported a significant increase in its financial performance for the fiscal year ending March 31, 2025, with total revenues reaching $995.6 million, a 19% increase from $839.2 million in the previous fiscal year. This growth was primarily driven by a 37% rise in subscription revenue, which amounted to $589.7 million, accounting for 59% of total revenues compared to 51% in the prior year. The company also noted a 74% increase in its Software-as-a-Service (SaaS) revenue, reflecting a shift in customer preferences towards subscription-based models.

In terms of profitability, Commvault reported a net income of $76.1 million, or $1.68 per diluted share, down from $168.9 million, or $3.75 per diluted share, in the previous year. The decrease in net income was attributed to increased operating expenses, which rose by 21% to $742.8 million, driven by higher sales and marketing costs, as well as expenses related to recent acquisitions. The company completed the acquisitions of Appranix and Clumio during the fiscal year, which contributed to the increase in operational costs.

Operationally, Commvault's customer base expanded, with the company reporting a total of 44,125,430 shares of common stock outstanding as of May 2, 2025. The company also emphasized its commitment to enhancing customer satisfaction through a restructuring plan completed in fiscal 2025, aimed at optimizing operational efficiency and aligning customer experience functions with strategic goals. The restructuring incurred expenses of $10 million, primarily related to severance and office termination costs.

Geographically, Commvault's revenues were split between the Americas, which accounted for 61% of total revenues, and international markets, which made up 39%. The Americas saw a 22% increase in total revenues, while international revenues grew by 14%. The company also reported a 15% increase in international revenues, indicating successful geographic expansion efforts. As of March 31, 2025, Commvault employed approximately 3,300 individuals worldwide, with a focus on maintaining a diverse and skilled workforce.

Looking ahead, Commvault expressed optimism about its growth trajectory, particularly in the subscription revenue segment, which is expected to continue generating significant recurring revenue. The company plans to leverage its recent acquisitions to enhance its product offerings in the cyber resiliency market, addressing the increasing demand for data protection solutions amid rising cyber threats. However, management acknowledged potential risks related to market competition and economic conditions that could impact future performance.