New Relic, a company that provides app-monitoring on a SaaS-basis, filed to go public today. The company intends to use the ticker symbol “NEWR” in the flotation, and its offering is underwritten by Moran Stanley, J.P. Morgan, and four other groups.
The company’s financials appear to be strong, when compared to current market norms. In the first 6 months of 2014, the company had revenue of $47.974 million, up from a first-half 2013 tally of $26.146 million. That’s 83 percent growth over the last year. New Relic’s fiscal year ends on March 31.
Perhaps more importantly, as the company’s revenue has grown, its net loss has barely budged. The company lost $19.395 million in the first half of 2014, up only mildly from the year-ago total of $18.569 million. Compared to other, quickly growing technology companies that have shown widening losses in keeping with their revenue growth, New Relic has demonstrated that it has a path to profitability.
As CrunchBase notes, the company has a number of competitors, including AppDynamics, and AlertFox.
Presumably, the company will update its S-1 before its IPO with its calendar third quarter data. The company has $92.37 million in cash and equivalents, putting its current runway on what appears to be solid footing.
The IPO listing indicates that the company intends to raise up to $100 million in its offering, though I would not be surprised to see that number to revised upwards later. New Relic has raised $214.5 million to date, making the currently-listed $100 million for its IPO somewhat light, in a ratio sense. The company’s last round, which came earlier this year, totaled $100 million in its own right.
All told, it seems that New Relic is in better shape than other companies looking to pull the trigger, and so, provided that we don’t see additional market chop, the offering should make it live.