Shares of UiPath (NYSE:PATH) fell 9.6% on Wednesday, following the release of the automation software leader’s fiscal 2022 second-quarter results.
So what
Revenue surged 40% year over year to $195.5 million. A combination of new customer additions and higher sales to existing clients helped to fuel the gains.
UiPath’s customer base grew to over 9,100 by the end of the second quarter, up from roughly 8,500 in the first quarter. Moreover, the company’s dollar-based net retention rate, which measures sales to existing clients over a 12-month period, checked in at an impressive 144%.
In turn, UiPath’s annualized renewal run-rate (ARR), a key metric for software companies that essentially estimates subscription-based revenue for the coming year, soared 60% to $726.5 million.
“Our land-and-expand go-to-market model delivered record net new ARR, a testament to our competitive differentiation and the power of our platform to drive meaningful return on investment for our customers,” CFO Ashim Gupta said in a press release.
