SailPoint Reports 23% Revenue Growth to $230.5 Million, Net Loss Increases to $187.3 Million

SailPoint, Inc. reported significant financial results for the three months ended April 30, 2025, with total revenue reaching $230.5 million, a 23% increase from $187.7 million in the same period last year. The growth was primarily driven by a 27% rise in subscription revenue, which amounted to $215.3 million, up from $170.1 million. The company’s net loss for the quarter was $187.3 million, compared to a net loss of $89.2 million in the prior year, reflecting increased operating expenses and equity-based compensation costs associated with its recent initial public offering (IPO).

The company underwent a Corporate Conversion on February 12, 2025, transitioning from SailPoint Parent, LP to SailPoint, Inc. This change was part of its IPO process, which successfully raised approximately $1.25 billion in net proceeds. Following the IPO, SailPoint repaid its term loans totaling $1.04 billion, significantly reducing its debt burden. The company also reported a substantial increase in equity-based compensation expenses, totaling $160.7 million for the quarter, largely due to the acceleration of awards related to the IPO.

SailPoint's customer base expanded to 3,040 as of April 30, 2025, up from 2,790 a year earlier. Notably, the number of customers generating over $250,000 in annual recurring revenue (ARR) increased by 28%, while those exceeding $1 million in ARR rose by 62%. The company’s ARR reached $924.7 million, a 30% increase year-over-year, with SaaS ARR contributing $573.5 million, representing 62% of total ARR.

Geographically, the company generated 66% of its revenue from the United States, with the remaining 34% coming from EMEA and other regions. SailPoint continues to focus on expanding its market presence and product offerings, including recent launches in non-employee risk management and data access security. The company anticipates ongoing investments in sales and marketing to deepen its penetration in international markets and enhance its product portfolio.

Looking ahead, SailPoint aims to leverage its strong cash position and market opportunities to drive growth. The company expects to continue its transition to a SaaS-first model, which may impact short-term revenue growth but is anticipated to enhance long-term profitability. The management remains optimistic about sustaining growth rates and expanding its customer base while navigating the complexities of the identity security market.