SecureWorks Corp. (SCWX) Bundle
A Brief History of SecureWorks Corp. (SCWX)
Foundation and Early Years
Foundation and Early Years
SecureWorks Corp., founded in 1999, began its journey as a specialized provider of cybersecurity services. Headquartered in Atlanta, Georgia, the company focused on delivering information security solutions to businesses and organizations. In June 2016, SecureWorks went public on the NASDAQ under the ticker symbol SCWX.
Acquisition by Dell Technologies
In 2011, SecureWorks was acquired by Dell Technologies for approximately $612 million. This acquisition allowed SecureWorks to enhance its product offerings and expand its reach in the cybersecurity market.
Revenue Growth and Financial Performance
In the fiscal year ending February 2021, SecureWorks reported revenue of $254.1 million, reflecting a year-over-year growth of 8%. The company reported a net loss of $11.2 million for the same period.
| Fiscal Year | Revenue (in million USD) | Net Income (Loss) (in million USD) | Year-over-Year Growth (%) |
|---|---|---|---|
| 2019 | 239.4 | -51.9 | 8% |
| 2020 | 235.8 | -34.1 | -1.5% |
| 2021 | 254.1 | -11.2 | 7.2% |
Market Position and Competitors
SecureWorks primarily competes with companies such as CrowdStrike, Palo Alto Networks, and FireEye. The global cybersecurity market was valued at $167 billion in 2020 and is projected to reach $345.4 billion by 2026, growing at a CAGR of 12.5%.
Service Offerings
SecureWorks offers a suite of cybersecurity services, including but not limited to:
- Managed Security Services
- Incident Response
- Threat Intelligence
- Vulnerability Management
- Compliance Solutions
Recent Developments
In 2022, SecureWorks announced an expansion of its cybersecurity platform with the launch of new features aimed at enhancing threat detection capabilities. The transactional value of new contracts signed in 2022 reached $75 million.
Stock Performance
As of September 2023, SecureWorks Corp. has a market capitalization of approximately $1.2 billion. The stock price fluctuated between $14 and $24 over the past year, reflecting the market's response to its financial performance and strategic initiatives.
| Date | Stock Price (USD) | Market Cap (Billion USD) |
|---|---|---|
| September 2022 | 18.50 | 1.1 |
| March 2023 | 19.75 | 1.15 |
| September 2023 | 20.50 | 1.2 |
Future Outlook
SecureWorks continues to invest in innovation and its technology infrastructure, determining to maintain a competitive edge in the rapidly evolving cybersecurity landscape. Analysts predict revenue growth in the range of 10-15% for the upcoming fiscal year.
A Who Owns SecureWorks Corp. (SCWX)
Current Ownership Structure
As of the latest available data, SecureWorks Corp. (SCWX) has a diverse ownership structure. The company was publicly listed and has institutional, retail, and insider ownership.
| Ownership Type | Percentage Ownership | Notable Stakeholders |
|---|---|---|
| Institutional Investors | 76.3% | Vanguard Group, BlackRock, Aberdeen Standard Investments |
| Insider Ownership | 3.5% | C. David McGinnis (former CEO), other executives |
| Retail Investors | 20.2% | General public |
Major Institutional Investors
The largest institutional investors owning shares of SecureWorks Corp. include:
| Institution | Shares Held | Percentage of Shares |
|---|---|---|
| Vanguard Group | 2,350,000 | 12.1% |
| BlackRock | 2,200,000 | 11.3% |
| Aberdeen Standard Investments | 1,500,000 | 7.7% |
| Invesco Ltd. | 1,000,000 | 5.2% |
| State Street Global Advisors | 900,000 | 4.6% |
Insider Ownership Details
Insider ownership is a smaller percentage of the total shares. Notable insiders include:
| Insider Name | Position | Shares Owned |
|---|---|---|
| C. David McGinnis | Former CEO | 150,000 |
| SecureWorks Executive Team | Various | 200,000 |
| Board of Directors | Various | 50,000 |
Share Performance and Market Capitalization
As of October 2023, the stock performance of SecureWorks Corp. is as follows:
| Date | Stock Price (USD) | Market Capitalization (USD) |
|---|---|---|
| October 1, 2023 | 16.50 | 700 million |
| October 10, 2023 | 17.00 | 720 million |
| October 15, 2023 | 16.75 | 710 million |
Recent Developments in Ownership
Recent changes in ownership have been highlighted by:
- Increased institutional purchases following the earnings report in Q3 2023.
- Insider sales by some executives as part of a structured selling plan.
- Active retail investor interest due to recent marketing campaigns.
Conclusion on Ownership Trends
Ownership patterns at SecureWorks indicate a robust institutional presence, while insider ownership remains modest. The activity in stock performance reflects ongoing interest and investment in cybersecurity solutions, particularly in the wake of heightened concerns regarding data security.
SecureWorks Corp. (SCWX) Mission Statement
Overview
The mission statement of SecureWorks Corp. focuses on delivering innovative cybersecurity solutions that protect organizations from a variety of threats. The company aims to provide exceptional security services through the use of advanced technology and expert knowledge in the field.
Core Principles
- Customer Centricity: SecureWorks prioritizes the needs and security concerns of its clients.
- Innovation: The company continuously invests in research and development to stay ahead of emerging threats.
- Expertise: A dedicated team of cybersecurity professionals provides insights and protection.
- Collaboration: Engaging with partners and clients to enhance security measures.
Financial Overview
As of the latest financial reporting period, SecureWorks Corp. has shown significant growth in its revenue streams. Below is a summary of key financial metrics:
| Metric | Amount (in millions) |
|---|---|
| Revenue for FY 2023 | $339.3 |
| Net Income for FY 2023 | $3.9 |
| Revenue Growth Rate year-over-year | 5.4% |
| Total Assets as of Q2 2023 | $224.1 |
| Total Liabilities as of Q2 2023 | $126.9 |
Market Position
SecureWorks has established itself as a leader in the cybersecurity industry. According to the latest market research, the company holds a significant share of the managed security services market.
| Market Segment | Market Share (%) |
|---|---|
| Managed Security Services | 8.5% |
| Threat Intelligence | 7.2% |
| Incident Response Services | 6.8% |
| Security Consulting | 5.9% |
Strategic Goals
SecureWorks has identified several strategic goals that align with its mission statement:
- Enhance Threat Detection: Invest in advanced AI and machine learning capabilities.
- Expand Global Reach: Increase presence in international markets.
- Improve Client Education: Develop comprehensive training programs for clients.
- Strengthen Partnerships: Collaborate with technology providers for integrated solutions.
Client Engagement
SecureWorks engages with its clients through various platforms to understand their security challenges and needs. Metrics related to client engagement are as follows:
| Engagement Metric | Value |
|---|---|
| Number of Active Clients | 4,300 |
| Client Satisfaction Rate (%) | 92% |
| Average Response Time to Incidents (minutes) | 30 |
| Retention Rate (%) | 95% |
Conclusion
SecureWorks Corp. continues to adapt and evolve its mission statement to address the ever-changing landscape of cybersecurity threats and customer needs. This commitment to innovation, client satisfaction, and market leadership positions SecureWorks as a formidable player in the cybersecurity space.
How SecureWorks Corp. (SCWX) Works
Business Model
SecureWorks Corp. operates primarily on a subscription-based model, delivering security services to organizations across various industries. Their offerings include managed security services, threat intelligence, and incident response solutions.
Financial Overview
As of Q2 2023, SecureWorks reported total revenue of $144.3 million, marking a year-over-year increase of 6%. The company's net income for the same quarter was $2.9 million, with a gross margin of 66%.
| Financial Metric | Q2 2022 | Q2 2023 |
|---|---|---|
| Total Revenue | $136.0 million | $144.3 million |
| Net Income | $3.2 million | $2.9 million |
| Gross Margin | 65% | 66% |
| Operating Income | $4.5 million | $3.0 million |
Service Offerings
SecureWorks provides a range of security solutions including:
- Managed Security Services
- Threat Intelligence
- Incident Response
- Compliance Management
- Security Operations Center (SOC) Services
Clientele and Market Reach
SecureWorks serves over 4,300 clients globally, including Fortune 1000 companies. Their customer base spans various sectors such as finance, healthcare, and government.
Employee Overview
As of 2023, SecureWorks employs approximately 1,500 individuals, with a team of security analysts and engineers providing 24/7 monitoring and support.
Stock Performance
As of the end of Q2 2023, SecureWorks shares were trading at approximately $16.50, with a market capitalization of around $720 million.
| Date | Stock Price | Market Capitalization |
|---|---|---|
| March 31, 2023 | $15.00 | $645 million |
| June 30, 2023 | $16.50 | $720 million |
Recent Developments
In 2023, SecureWorks launched a new threat detection and response platform that integrates machine learning capabilities for enhanced security analytics. This innovation is aimed at improving response times and predictive threat identification.
How SecureWorks Corp. (SCWX) Makes Money
Revenue Model
SecureWorks Corp. primarily generates revenue through a subscription-based model. As of the fiscal year 2023, the company reported total revenue of $424.7 million, a growth from $399.6 million in 2022.
Service Offerings
The company offers a variety of services that contribute to its revenue streams, including:
- Managed Security Services
- Incident Response Services
- Threat Intelligence Services
- Vulnerability Management
- Security Consulting
Revenue Breakdown
The following table illustrates the breakdown of SecureWorks' revenue by service line for the fiscal year 2023:
| Service Line | Revenue (in millions) | Percentage of Total Revenue |
|---|---|---|
| Managed Security Services | $315.2 | 74.3% |
| Incident Response Services | $49.5 | 11.6% |
| Threat Intelligence Services | $35.6 | 8.4% |
| Consulting Services | $24.4 | 5.7% |
Customer Segments
SecureWorks serves a diverse clientele, including:
- Healthcare
- Financial Services
- Retail
- Government
- Energy
For fiscal year 2023, SecureWorks reported a customer base of approximately 4,000 clients.
Geographic Revenue Distribution
The revenue generated by geographic regions is as follows:
| Region | Revenue (in millions) | Percentage of Total Revenue |
|---|---|---|
| North America | $350.4 | 82.5% |
| Europe | $56.1 | 13.2% |
| Asia-Pacific | $18.2 | 4.3% |
Cost Structure
The company’s expenses primarily consist of:
- Cost of Revenue
- Sales and Marketing
- Research and Development
- General and Administrative
For the fiscal year 2023, SecureWorks reported total operating expenses of $380.1 million.
Profit Margins
SecureWorks’ Gross Profit for 2023 totaled $44.6 million, resulting in a Gross Margin of approximately 10.5%.
Future Growth Strategies
To drive future revenue growth, SecureWorks is focusing on:
- Expanding its service offerings
- Leveraging AI and machine learning technologies
- Enhancing customer experience
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